City National Bank v. Goshen Woolen Mills Company

• Decision Date: 30 June 1904
• Docket Number: 18,964
• Citation: 71 N.E. 652,163 Ind. 214
• Parties: City National Bank v. Goshen Woolen Mills Company et al
• Court: Indiana Supreme Court

71 N.E. 652

163 Ind. 214

City National Bank v. Goshen Woolen Mills Company et al

No. 18,964

Supreme Court of Indiana

June 30, 1904

From St. Joseph Circuit Court; Lucius Hubbard, Judge.

Action by the City National Bank of Goshen against the Goshen Woolen Mills Company and others. From a decree in favor of plaintiff against said company and Edmund R. and James L. Kerstetter and refusing to cancel an alleged fraudulent trust deed preferring certain other creditors, the plaintiff appeals. Transferred from the Appellate Court under subdivision 1 § 1337j Burns 1901, with a recommendation that the case of Nappanee Canning Co. v. Reid, Murdoch & Co., 159 Ind 614, be overruled.

Affirmed.

A. L. Brick, C. W. Miller and J. S. Drake, for appellant.

J. M. Van Fleet and V. W. Van Fleet, for appellees.

Hadley J., dissents.

OPINION

Per Curiam.

This action was brought by the appellant the City National Bank to recover a debt alleged to be due to the bank from the appellees, the Goshen Woolen Mills Company, Edmund R. Kerstetter, and James L. Kerstetter. The appellant also sought to cancel and set aside as fraudulent a deed executed by the Goshen Woolen Mills Company to one Harry L. Arnold, as trustee, to secure the payment of certain bona fide debts owing by the said company, to set aside certain judgments confessed by the said company in favor of other bona fide creditors, and it asked for the appointment of a receiver to take possession of the property of the said company, etc. A special finding of facts was made by the court at the request of the parties, and conclusions of law were stated thereon. The appellant excepted to the second conclusion of law. Judgment was rendered in favor of the bank and against the Goshen Woolen Mills Company, Edmund R. Kerstetter, and James L. Kerstetter for $ 5,325.24. Judgment was rendered in favor of the other defendants and appellees and against the bank. Motions to modify the judgment and for a new trial were overruled.

The cause was taken to the Appellate Court on appeal, and two of the judges of the first division of that court being of the opinion that the decision of the Supreme Court in the case of Nappanee Canning Co. v. Reid, Murdoch & Co. (1903), 159 Ind. 614, 64 N.E. 870, a ruling precedent, was erroneous, the said cause was transferred to this court, with a written statement of the reasons of said first division of the Appellate Court for its opinion.

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