Dyess v. Everett
Dyess v. Everett
Opinion of the Court
E. H. Everett, Trustee in Bankruptcy, brought this suit against Mrs. Sue Hammond Dyess to cancel, as a fraudulent conveyance, a quitclaim deed dated October 3, 1951, executed to her by her husband, W. S. Dyess, insofar as it affected the right of the complainant to collect an indebtedness owing to A. J. Hill. Herbert C. Stillions, Jr. was made a defendant for discovery purposes only. There was a decree for the complainant, and Mrs. Dyess appealed.
The bill charged that on March 3, 1950, W. S. Dyess was indebted to A. J. Hill in the sum of $3,000, evidenced
The bill further charged that the deed in question was without consideration and was a voluntary conveyance; and that it was made by collusion between "W. S. Dyess and his wife with the fraudulent intent or purpose of placing the title to the land beyond the reach of W. S. Dyess’ creditors, especially A. J. Hill. The defendant, in her answer, denied the foregoing allegations; and in addition thereto, she averred that the conveyance was made to her in good faith for a valid indebtedness due. her, which was equal to the value of her husband’s interest in the land.
Actually the sole issue was whether this was a good faith conveyance, or whether it was in fact fraudulent,
Mrs. Dyess testified that she was teaching in the Rome elementary schools, and that Kathryn Ann Dyess, her husband’s daug’hter, went to .college in September before she and W. S. Dyess were married in April 1949. She
A. J. Hill testified that, at the time of the execution of the notes, the amount of the indebtedness to him was $3,400. This money was advanced for crop production and for the education of Kathryn Ann Dyess, some of
Dyess’ life expectancy was shown to be about 18 years, the value of the land about $150 per acre, and the value of the life estate $20,000.
Appellant contends that the evidence was insufficient to sustain the allegations of the bill of complaint. Among other things she says that the bill of complaint did not positively allege fraud, and that her sworn answer to the contrary was not overcome by two witnesses, or one witness and corroborating circumstances; that the proof did not establish her participation in any fraud; and that the court failed to find affirmatively the value of the life estate of W. S. Dyess.
A reading of the bill of complaint leaves no doubt that the facts constituting fraud were set out positively and definitely. Of course fraud may be charged upon the knowledge of the complainant, or on information and belief. Griffith, Miss. Chancery Practice, 2d ed., Section 501, pp. 508-9.
The deed did not recite what the consideration was. It merely said, “FOR A GOOD AND VALUABLE CONSIDERATION”. The appellant, by her testimony, undertook to say that the actual consideration was the previous advance by her of $3,450 to her husband, as shown above. But she produced no vouchers or other evidence of such advances, and her version was, therefore, incredible. It is passing strange that, in the absence of a reasonable explanation as to its source, Mrs. Dyess had so much money scattered around the house, or on her person, as
In view of all of the evidence in this case, the court had ample justification in finding that Mrs. Dyess knew that her husband was indebted to Hill; that she was not a purchaser for value and in good faith; and that by the execution of this deed she and her husband purposed and intended to put the title to this land beyond the reach of Hill’s claim. Richards v. Vaccaro & Company, 67 Miss. 516, 7 So. 506; Mississippi Valley Trust Company v. Brewer, 151 Miss. 170, 117 So. 540. W. S. Dyess’ interest in this land constituted his largest asset. The execution and recordation of the two conveyances in September and October conveniently antedated the due date of the first note to A. J. Hill for only a short time: If the consideration was feigned, obviously the appellant participated in the fraud. Consequently the appellee had the right to a judicial sale of the W. S. Dyess interest in the land, without reference to the claim of appellant, and it was unnecessary for the court to adjudicate the value of the life estate.
Prom which it follows that the decree of the trial court must be, and is, affirmed.
Affirmed.
Reference
- Full Case Name
- Dyess v. Everett, Trustee
- Status
- Published