38 N.H. 199 | N.H. | 1859
Upon the disclosure of Morrill, he must be discharged. In the receipt of the four hundred dollars, and in the transactions which resulted in the payment of that sum to the town, he was acting only as the town’s agent. If, at any time, he had the money under such circumstances that it could be attached in his hands, at the suit of Hill’s creditors, it must have been, if at all, before it had been passed to the credit of the town, and thus made their money. This was in fact done before the service of the writ upon him. He had then, in effect, delivered over the money to the town, in accordance with the agreement under which he received it, by entering it upon his account with the town, to their credit. This was the only way in which it could be paid over by him, as the receiving and disbursing agent of the town. When he had thus credited it, he stood in no other relation to it than as the depositary of the town’s money, and he could in no view be regarded as the trustee of Hill.
As to the liability of the town, the first question to be considered is, whether the four hundred dollars was paid upon a consideration in whole or in part illegal, because against public policy. Whether the illegality extends to the whole or only a part of the consideration, is immaterial. The contract was entire, and in such ease the whole is void, if tainted with illegality in any part. Carlton v. Whitcher, 5 N. H. 196; Hinds v. Chamberlain, 6 N. H. 225; Clark v. Ricker, 14 N. H. 44.
The agreement disclosed between Morrill, acting in behalf of the town, and the principal defendant, Hill, is in substance that the town, having an interest in the question of divorce, as incidentally affecting their liability to support the wife, agree to refrain from making opposition to the libel, if Hill would deposit the four hundred dollars with Gale, under the stipulation that it was to be paid over to the town if the divorce was obtained, and to be applied to the payment of the expenses already incurred in the sup
But, though the contract was void, Hill cannot recover back the money paid under it, in a suit against the town. Hanson v. Hancock, 8 T. R. 575. The parties being in pari delicto, are left by the law where, by the contract and their proceedings under it, they have left themselves. Bui. Nisi Prius 131; Tennant v. Elliot, 1 B. & P. 3; Farmer v. Russell, 1 B. & P. 278. The legal maxim, potior est conditio possidentis, applies in such case. One who has freely paid his money upon an illegal contract is particeps criminis, and no cause of action arises in his favor upon an implied promise to repay if. But when an insolvent debtor, or one in embarrassed circumstances, pajs his money upon such illegal consideration, he stands in relation to his creditors in the same position as if he had made a voluntary conveyance of his property. In contemplation of law, he has in fact parted with his money for no consideration; 1 Story Eq., secs. 353, 354; Clark v. Gibson, 12 N. H. 386; because it is no consideration which can be set up in a court of law. No one, however, but a bona fide creditor at the time of his thus parting with it, has the right to interfere unless the conveyance was fraudulent in fact, as made with the intent to defraud creditors, and then subsequent creditors may also interpose. Here there is no pretence of an intention to defraud, and there is nothing to show that the plaintiff was a creditor at the time the . money was agreed to be paid, nor indeed at any subsequent time; nor that Hill was insolvent, or in embarrassed circumstances. But as the disclosure, by agreement 'of the parties, is to be opened for further proceedings, if the question as to