King v. King

DRAPEAU, J.

Preshaw Duke King and Grace Haynes King, husband and wife, acquired a home as joint tenants using community funds for its payment. About the same time, husband borrowed $5,000 on his personal note from his sister, Aura King. Then husband died and his wife qualified

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as executrix of Ms estate, the assets of which were less than the amount, of the note. Aura King presented her claim in the estate and it was disallowed by executrix.

By this action said sister sought a judgment against the estate for the amount of the note, plus interest and attorney’s fees; and also “that the property held in joint tenancy by Preshaw Duke King and Grace Haynes King ... be declared community property and the executrix be required to inventory same.”

Plaintiff Aura King testified that she lent her brother the $5,000 represented by the promissory note here sued upon because he had bought a house and needed it.

Defendant testified that the price of the joint tenancy property acquired on August 30, 1946, was $27,000 of which $21,000 was paid in cash taken from a joint safe deposit box; that this money was earned by her husband who had “worked for it over the years. That was his way of saving money for our home.” The $6,000 balance of the purchase price was borrowed from a bank and secured by a trust deed.

The complaint alleged on information and belief that this $6,000 loan was paid off on December 5, .1946, and that the $5,000 borrowed from plaintiff sister was used for that purpose. Further “that the payment of this money to extinguish a lien on the jointly owned property above described was a planned method of hindering plaintiff in the collection of the amount represented by said note. That said act was fraudulent in intent and that Grace Haynes King was an informed party to said plan.”

It was found that except for $4,500, no other funds of any kind or nature were contributed by defendant wife to either the joint account of herself and husband or the purchase price of the joint tenancy property, and that deposits in the said account and the money paid for the home were entirely community funds.