Shaver v. Mowry

Citations

• 262 Pa. 381
• 105 A. 505
• 1918 Pa. LEXIS 655

Syllabus

<p>Bankruptcy — Fraudulent conveyances — Avoidance by trustee in bankruptcy — Date of commission of fraud.</p> <p>1. A trustee in bankruptcy may recover in ejectment land paid for by the bankrupt the title to which was taken in the names of the bankrupt and his wife as tenants by entireties, without proof of actual fraud, and the fact that subsequent creditors may be benefited by the recovery because entitled to participate in the distribution of the whole estate in no way affects the right of the trustee to maintain the action.</p> <p>2. In determining whether payments, made by a husband under an installment contract for the purchase of land to which title was taken in the names of the husband and wife as tenants by entireties, were constructively fraudulent as to his creditors, the jury may consider the disproportion between his assets and debts on the date of the final payment and need not confine their investigation as of the date of the contract or the date of the taking of title, especially' where it appears that the final payment comprised a large part of the purchase-money.</p> <p>3. A wife taking title to real estate bought with the husband’s money at a time when he was heavily indebted, has, in a contest by her husband’s creditors seeking to avoid the conveyance as fraudulent, the burden of showing that the husband’s debts were not out of proportion to his assets at the time of the conveyance.</p>