John Curtis & Co. v. Olds

Citations

• 250 Pa. 320
• 95 A. 526
• 1915 Pa. LEXIS 943

Syllabus

<p>Equity — Equity jurisdiction — Fraud—Gift of property to wife— Creditor’s bill.</p> <p>1. The loss of a remedy at law, through the misrepresentation of an adversary, is ground for invoking the aid of equity.</p> <p>2. If a husband is in embarrassed circumstances at the time he makes improvements on his wife’s land, the money or improvements furnished will be regarded as a gift in fraud of his creditors.</p> <p>3. Plaintiff erected a house for defendant’s husband, upon his representation that he.was the owner of land upon which the house was erected, and at the request of the husband refrained from filing mechanic’s liens under the contract. Subsequently the husband died insolvent, and it was discovered that the title to the property was in the name of defendant, his wife. Plaintiff filed a bill in equity averring the knowledge of defendant of the facts surrounding the transaction, setting up a voluntary conveyance of the property by the husband to the wife, and praying that it be awarded the balance of the contract price out of the price received from the sale of the property. Held, the lower court did not err (1) in holding that plaintiff had not an adequate remedy at law, in view of the death of the husband insolvent, and that equity had jurisdiction, and (2) in entering a decree directing the assignment of a sufficient amount of a purchase-money mortgage, given by a subsequent purchaser of the house, to the defendant, to cover plaintiff’s claim.</p>