Trabue v. Henderson

• Decision Date: 10 February 1904
• Citation: 79 S.W. 451,180 Mo. 616
• Parties: TRABUE v. HENDERSON et al.
• Court: Missouri Supreme Court

79 S.W. 451

180 Mo. 616

TRABUE v. HENDERSON et al.

Supreme Court of Missouri, Division No. 1.

February 10, 1904.

FRAUDULENT CONVEYANCES—INTEREST OF HEIRS—CONSIDERATION.

1. H. died intestate, leaving an estate valued at about $12,000, and debts amounting to over $10,000, of which $4,000 was owed as surety for his son J. After the father's death, all of the heirs deeded the farm of which the father died seised to defendant, their mother, in order to save administration, and executed a power of attorney to a sister, who thereafter managed the estate. Held, that since, if the estate had been administered in court, J.'s share would have been insufficient to pay his indebtedness to his father, his joinder in the deed to his mother was not fraudulent as to his creditors.

Appeal from Circuit Court, Jackson County; C. O. Tichenor, Special Judge.

Action by James L. Trabue against Sarah L. Henderson and others. From a judgment in favor of defendants, plaintiff appeals. Affirmed.

S. W. Dooley, for appellant. Smith & Denton, for respondents.

MARSHALL, J.

This is a bill in equity to set aside a deed dated March 28, 1898, from the defendant John M. Henderson to his mother, the defendant Sarah L. Henderson, to his undivided one-sixth interest in a certain 480-acre tract of land in Bates county, of which his father, Eli Henderson, died seised on March 11, 1898, on the ground that it was a voluntary conveyance, without consideration, and made for the purpose of defrauding his (John M. Henderson's) creditors, and especially the plaintiff, to whom he was at the time indebted in the sum of $500, and which has since been reduced to judgment, and said John M. Henderson's interest in the land sold under execution to the plaintiff. The answers are general denials. The venue was changed from Bates county to Jackson county, where the case was tried before Hon. C. O. Tichenor, as special judge. The court made the following special finding of fact, and entered judgment thereon for the defendants:

"That on the 8th day of February, 1898, the defendant John M. Henderson became indebted to the plaintiff, James L. Trabue, in the sum of $500, bearing interest at the rate of 8 per cent. annually—said debt becoming due in September, 1898-by an assumption in a deed to him. That Eli Henderson, who was the father of said John M. Henderson, died intestate March 11, 1898, seised of, in fee, the following property, to wit: The south half of section 28, township 42, and range 33, containing 320 acres; the northwest quarter of the northwest quarter of section 33, township 42, range 33, containing 120 acres; and the southeast quarter of the southwest quarter of section 29, township 42, range 33, containing 40 acres—or 480 acres in all—in Bates county, Missouri. That the said Eli Henderson left as his heirs his widow, the defendant Sarah L. Henderson, and six children, as follows: John M. Henderson, the defendant, Martha A. Ankrum, Elan, Asenath O., Lois Belle, and Laura A. Henderson, all of whom were on said date of age. That on the 24th day of March, 1898, the heirs above named, except Asenath, joined in and executed and acknowledged a power of attorney to said Asenath O., creating her their attorney in fact to manage the estate of their father for them, and pay all the debts he owed. That on the 28th day of March, 1898, all the said children of Eli Henderson joined in a quitclaim deed, which they duly executed, acknowledged, and delivered, conveying all of their interest in and to said property to their mother, the defendant Sarah L. Henderson, for an expressed cash consideration of two thousand dollars, and the assumption of a deed of trust for two thousand against part of the same, given to Duvall & Percival by Eli Henderson in his lifetime. That the property has ever since been managed by Asenath O. Henderson under said power of attorney. That said deed is the one attacked and sought to be set aside in these proceedings. That when said debt of defendant John M. Henderson to plaintiff, J. L. Trabue, dated February 8, 1898, became due, September, 1898, the said John M. Henderson refused to pay same, and suit was brought thereon to the February term, 1899, of the Bates county circuit court, and judgment thereon was had on the 18th day of July, 1899, at the June term, 1899, of said term for the sum of $561.15 debt and interest, also for his cost therein expended, that execution was duly issued thereon and the sheriff of Bates county levied on the interest of the defendant, John M. Henderson, in and to the aforesaid 480 acres, and the same was duly advertised for sale and sold on the 15th of February, 1900, at public auction, as required by law. That at said sale the plaintiff became the purchaser thereof for the sum of $12, and a deed for the same was duly executed, acknowledged, and delivered to him for the same on the 22d day of December, 1900, which was duly recorded in the recorder's office of said Bates county on the 28th day of December, 1900, in Book M1, page 205, of said records. The court further finds that the firm of Eli Henderson & Son, and composed of Eli Henderson and his son, the defendant John M. Henderson, was engaged in the business of buying and selling stock from the ____ day of March, 1895, to the last day of February, 1898, as shown by the books of the Merwin Bank, Merwin, Mo., where they kept a running account during all that time, and an account at the Farmers' Bank at Butler, Mo. That on or about the 29th of September, 1897, the said John M. Henderson, in his own name, and for himself, purchased 335 head of cattle for $7,000, to pay for which he borrowed of Evans-Snider-Buel commission Company the sum of $7,000, and executed his individual notes therefor, being two principal notes and one commission note, as follows: One note for $2,467.60, due January 26, 1898, and one note for $4,638.65, due May 27, 1898, and one note for $167.50, due August 27, 1898—all of said notes dated September 29, 1897, with 8 per cent. interest thereon. That after said cattle were bought a large sum of money was borrowed to pay for feeding the same, and notes were given therefor in the name of Eli Henderson & Son, and these notes amounted to $3,350. That all of these were for the individual debts of defendant John M. Henderson. That said cattle did not sell for enough to pay the debt to Evans-Snider-Buel Commission Company. That the balance due on this account for cattle and feed, after crediting proceeds of the sale of said cattle, was equal to the value of the interest of said John M. Henderson in the estate of his father, Eli Henderson, placing the value of the 480 acres of land on the 28th day of March, 1898, the date of said deed, at $27.50 per acre, which the court finds to be...