Reford v. Cramer
Reford v. Cramer
Opinion of the Court
The opinion of the court was delivered by
The plaintiff in this certiorari applied to the Court of Common Pleas of the county of Essex for the benefit of the insolvent laws. At the hearing of the case, July 1st, 1861, the court would have discharged him, but for tlie filing of an undertaking by the defendant, pursuant to the 8th section of the act. Nix. Dig. 378.
Among other things proved on the trial, it appeared that, on May 4th, 1858, a deed was made to the plaintiff’s wile for a house and lot, situated in Bloomfield, which it was alleged, on behalf of the defendant, was designed fraudulently to cover up the property, and keep it free from the claims of plaintiff’s creditors.
It further appeared that, in April, 1858, the plaintiff rented ■a paper mill in Morris county, and shortly afterwards he began to deal with Cramer and Pierson, who were partners and merchants in Morristown, and paid his indebtedness to them in full up to October, 1858. They afterwards obtained a judgment against him in the Essex Circuit Court for a debt contracted after the last mentioned day, and have filed a bill in equity to set aside the conveyance to plaintiffs wife as
There was evidence that the plaintiff, in May, 1858, and subsequently, represented to his creditors that he had property in Bloomfield, for which he had been offered three thousand dollars; that it was worth three to four thousand dollars, and was not encumbered. The plaintiff denied that he had ever made any such representations.
The court charged the jury, among other things, as follows: “If you believe, from the testimony, that Reford, after making conveyance of his property, represented himself as still the owner of it, for the purpose of obtaining credit, and did obtain credit on the faith of such representations knowing them to be false, then there is evidence going to show that his conduct has not been fair, upright, and just; and if' you should be satisfied of this, your verdict should be in favor of the creditors, and no further examination of the case would be necessary.’'
The jury returned a verdict for the creditors, and judgment was rendered that the debtor be continued in custody until thence delivered by due course of law, as provided by the statute.
A state of the case having been agreed upon and returned, in answer to the certiorari, disclosing the above facts, it is now insisted that the charge of the court to the jury was erroneous.
The design of the insolvent act, as set forth in the first section, is that a person in confinement for debt, who is willing to deliver up to his creditor or creditors all his estate, both real and personal, toward the payment of his creditor or creditors, shall obtain his discharge in the manner therein
To effect this object, the act prescribes the form »f a declaration and plea, whereby the question is put in issue whether the plaintiff has well and truly complied with the insolvent act in all things on his part for the use and benefit •of his creditors. From the several provisions of the act, as before enumerated, I think it is manifest that the general words used in the 6th section, which require the debtor’s conduct so be fair, upright, and just, must be restricted to his conduct in making his account and inventory, and in delivering up to his creditors all his estate. This construction is indicated not only by the provisions I have enumerated, but also by the 20th section, which enacts that every insolvent debtor, having given up all his estate and conformed in all things to the directions of the act, shall for ever be discharged from his debts, so far as regards the imprisonment •of his person. And this view of the act was evidently taken by this court in the cases of Smick v. Opdycke, 7 Halst.
It is by the act respecting imprisonment for debt in cases of fraud (Nix. Dig. 354,)
Being of opinion that the court erred, in instructing the jury in regard to the defendant’s conduct, in contracting the debts he owed, the judgment must be reversed, and the proceedings remitted to the Court of Common Pleas, that there may be a new trial of the issue joined between the parties.
Judgment reversed.
Rev, p. 500, § 13.
Rev., p. 857, § 58.
Reference
- Full Case Name
- JAMES A. REFORD v. GEORGE CRAMER, EDWARD PIERSON, AND GEORGE S. CORWIN
- Status
- Published