Merrick v. Pattison

Citations

• 85 Wash. 240

Syllabus

<p>Fraudulent Conveyances — Actions—Evidence—Sufficiency. In an action by a trustee in bankruptcy for an insolvent corporation seeking to be decreed the owner of certain realty, on the assumption it had been held in trust for the bankrupt by one of its officers and subsequently conveyed away by the latter, a finding that the defendants had acquired the property in good faith is sustained by evidence that the property was worth $2,000 or less; that the defendants gave in consideration therefor $2,170 by cancelling a past due note, which with interest amounted to $1,050, and assuming a mortgage and taxes on the property aggregating an additional $1,120, that there was nothing of record suggesting that the bankrupt had an interest in the property, that the defendants had no actual notice of any such interest, nor any knowledge that would have put them on inquiry.</p> <p>Lis Pendens — Filing of Notice — Effect—Subsequent Record of Instruments. Under Rem. & Bal. Code, § 243, which provides that a Us pendens notice shall, from the time of the filing only, “be constructive notice to a purchaser or encumbrancer of the property affected thereby, and every person whose conveyance or encumbrance is subsequently executed or subsequently recorded shall be deemed a subsequent purchaser or encumbrancer, and shall be bound by all proceedings taken after the filing of such notice to the same extent as if he were a party to the action,” delay in recording a conveyance until after the filing of a Us pendens notice would not affect the substantive rights of the parties in the property in controversy; since the statute is merely a law of procedure, and goes no further than to make the decree, if ultimately rendered in favor of the plaintiff, effective against one whose conveyance is recorded after the filing of the Us pendens, “to the same extent as if he were a party to the action.”</p> <p>Fraudulent Conveyances — Bona Fide Purchaser — Consideration. One is a purchaser of real estate i