221 A.D. 838 | N.Y. App. Div. | 1927
It is clear that the principle of law applicable to this case is that stated in Smith v. Reid (134 N. Y. 568, 575), where it is said: “The rule is well settled that a voluntary conveyance by one indebted at the time is presumptively fraudulent,” and that the property must be held subject to the payment of the debts. The balance, therefore, after paying the debts, belongs to the defendant Jenkins. As Mr. Justice Story put it: “ Satisfy the creditors and the conveyance stands.” (Story Eq. Juris. [5th ed.] § 361.) The judgment appealed from should, therefore, be modified and judgment granted to the plaintiff