H. B. Claflin Co. v. Lass
H. B. Claflin Co. v. Lass
Opinion of the Court
This suit by plaintiff in error in its own behalf-as a creditor of Lass, Rudowsky & Hudgins, and in behalf of other creditors, is to reach property claimed to have been conveyed to defendants in error, Engle and Carter, to defraud creditors. Judgment below for defendants.
Lass, Rudowsky & Hudgins owned three stores, located respectively at Como, Breckenridge and New Castle. These were attached in suits, First National Bank of Central City against the firm, and Mrs. Rudowsky against the same. These suits merged into judgments and executions were levied upon the stocks. A third suit, same defendant, was that of Engle Brothers Exchange Bank, attachment out of which was levied upon the three stores, the suit merging into judgment. At the sale of the Como and Breckenridge stores, under execution in favor of the First National Bank of Central City, sufficient was realized to satisfy the execution, Carter, as trustee
Plaintiff in error cannot successfully assault these sales, upon the ground of’fraud charged,.without connecting defendants, Carter .and Engle, therewith-. ■ While there- was-testimony that Hudgins and Rudowsky, two members of the firm of Lass, Rudowsky & Hudgins,, agreed together that a fraudulent sale should be made, yet there is no testimony that either Carter or Engle was ever consulted relative, to such sale, or ever agreed to become, or did become, parties to such a sale. In truth, the fraudulent sale which Rudowsky says was planned between him and Hudgins was never made. Two of the stores were offered for sale under the execution in favor of the. First National’ Bank of Central City, Engle Brothers Exchange Bank (being for the purpose of this suit George Engle), a junior execution creditor, through Carter, as trustee, bought, bidding a sitfficiént sum to- satisfy the previous execution lien of above bank. Nó oné testified that, the purchase was made with a fraudulent purpose. The circumstances in evidence are consistent with the legal presumption that the purchase was made with honest purpose on the part of Carter and Engle, that is, for the purpose of protecting a junior lien.
The third store, as stated, was purchased by Carter, as trustee, on- the execution in favor of Engle Brothers Exchange Bank. No one testified that the purchase was made with other than honest intent. The circumstances here too are consistent with the legal presumption of honesty in this transaction.
Judgment affirmed. Affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.