Black v. Sanders

• Decision Date: 31 December 1853
• Citation: 1 Jones 67,46 N.C. 67
• Parties: PLEASANT BLACK v. ALFRED SANDERS.
• Court: North Carolina Supreme Court

1 Jones (NC) 67

46 N.C. 67

PLEASANT BLACK

v.ALFRED SANDERS.

Supreme Court of North Carolina.

December Term, 1853.

A deed of gift may be fraudulent, though the donor, at the time of the gift, honestly believed, that she had property sufficient to satisfy all her debts, then existing--when in fact she was mistaken.

If there be an existing debt, and the debtor makes a voluntary conveyance, and afterwards becomes insolvent, so that the creditor must lose his money, unless the property conveyed can be reached; such voluntary conveyance is presumed as a matter of law, to be fraudulent.

The act of 1840, only requires the question of fraud to be submitted to a jury, in cases where property FULLY SUFFICIENT AND AVAILABLE to pay all creditors is retained by the donor.

Twenty-two negroes and two small tracts of land, valued at $7250 retained in such a case, is not SUFFICIENT and AVAILABLE to pay debts amounting to $6848.

(JONES v. YOUNG, 4 D. & B., 353, and HOUSTON v. BOGLE, 10 Ired. 496 cited.)

This was a scire facias before Judge SAUNDERS, at the Fall Term 1853, of Rockingham Superior Court.

The plaintiff and one Jane Sanders, mother of the defendant, were co-sureties on a bond of Luther Linder, dated 5th Jan. 1842. Judgment was taken upon this bond and satisfied by the plaintiff, before the year 1845, who thereupon instituted a suit against Jane Sanders for contribution, and recovered judgment at Spring Term of Superior Court 1851, for the sum of $595,28 and costs.

On the 22nd of October 1845, Jane Sanders executed a deed of gift, for certain negroes to the defendant. To subject defendant on account of these negroes to the payment of the judgment, obtained against Jane Sanders, this suit was brought. Prior to the deed of gift, between 1840 and 1845, Jane Sanders executed bonds to the amount of $6848, as principal, and others, amount not stated, as security. At the time of the gift, her circumstances were generally deemed doubtful, and in 1849 her property was entirely exhausted. She left the county on the same week that the plaintiff obtained his judgment, and the defendant disposed of his slaves, in a very short time thereafter.

The defendant further proved, that in October 1845, his mother was in possession of 22 slaves and two small tracts of land, valued altogether at $7250, which property she retained up to 1849, when it was sold, and she became insolvent, and that all the debts which plaintiff read in evidence had been satisfied, except the one due the plaintiff himself.

The Court charged, that if Jane Sanders honestly believed, when she made the deed of gift, that she had property sufficient to satisfy all her debts then owing, but was in fact mistaken, and that the deed was not made to defraud creditors, they should find for the defendant.

Under these instructions, the jury found for the defendant. Rule for a venire de novo, on account of misdirection.

Rule discharged, judgment for the defendant and appeal.

Morehead for the plaintiff .

Miller and Lanier, for the defendant .

PEARSON, J.

His Honor instructed the jury, that if the donor, at the time the deed of gift was executed, honestly believed, that she had property sufficient to satisfy all of her debts then owing, but was in fact mistaken, and made the deed of gift without an intent to defraud creditors, it was valid. To...