Embree v. Reeve
Embree v. Reeve
Opinion of the Court
delivered the opinion of the court.
This bill was filed in the Chancery Court at Jonesborough, by the complainant against Robert Reeve, Job W. Reeve and Clayton Reeve, surviving partners of Mark Reeve and sons, and James J. Tipton. The bill states that several years since, a judgment at law was obtained by the complainant, in the Circuit Court for Washington county against the said firm; and that executions issued thereon directed to the Sheriff of Washington county, upon which he made the return
“The important question is whether a judgment creditor can upon the ground of the lien of his judgment upon the lands of his debtor, go into a court of chancery to seek satisfaction out of the equitable real estate, without having issued his execution, or procured thereon a return of nulla bona? It is frequently said that, in these cases, a court of chancery lends its aid to a court of law, exerts a jurisdiction which is merely of an auxiliary character, and that, therefore, the plaintiff who invokes its aid. must show to the court, with a view to its jurisdiction, that he has exhausted his legal remedies. Generalities of this sort which, with reference to so many eases, are founded in truth, sometimes come to be taken, by frequent repetition, as axioms, behind which, as a bulwark, we seldom, in any case, look. As a question affecting merely the jurisdiction of a'court of chancery, it is believed, that the principle, traced to its origin, will be found to be this: that a creditor who goes into a court of chancery to obtain satisfaction of a merely legal demand, must show that he has proceeded to such extent at law as to give him title to proceed in equity; that, in the earlier cases,- seems to have been, that if satisfaction was sought to be obtained out of equitable title in*40 personal assets, not only a judgment but an execution issued and put into the hands of the Sheriff in the county where the equitable assets were situated, were held to be necessary.
The actual issuance of the execution and its reception by the Sheriff in the proper county were necessary to give a lien, and the lien authorized the party having it, to go into chancery. So, if the creditor sought to obtain satisfaction of his legal demand out of equitable real estate, he must obtain a judgment at law; for in such case, it is the judgment, and not the issuance of an execution, which confers a lien on real estate, and having such judgment and lien, the creditor might pursue the equitable real estate in chancery.”
What is said above, incidentally, of equitable personal assets, does not, by any means, 'import, that a judgment creditor may not subject them in equity to the satisfaction of his demand, when he shows, by the return of nulla iona, “that he has exhausted his legal remedies;” but that “according to the earlier cases, he has “title to proceed in equity,” short of this exhaustion of legal remedies, if he will place an execution in the hands of the sheriff where the equitable personal assets are situated, thereby creating thereon a lien, on the foot of which he might proceed in equity. It is not intended that if he show that he has “exhausted his legal remedies,’ he cannot go into a court of chancery to obtain satisfaction of his judgment, unless he, also, issue an execution to the county where the equitable personal assets were situated, for the purpose of creating this lien — no such thing was thought of. It is not said that at this day a lien thus created upon equitable personal assets would, of itself, and without a return of nulla bona authorize a court of chancery to decree satisfaction of the judgment. We merely stated that “the earlier cases” maintained the principle. The point was not before us. Without contravening in the slightest degree, therefore, anything decided in the case of McNairy vs. Eastland, we are of opinion, that the complainant having shown, by the return of nulla bona, that he has exhausted his legal remedies, has thus made out “title to proceed in equity,” and does not stand in need of the additional “title,” if it be now
The decree of the Chancellor will be affirmed.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.