Opinion
April 19, 1943.
In an action to set aside the fraudulent conveyance of four buses, resettled judgment dismissing complaint, insofar as appealed from, reversed on the law and facts, with costs. Since the record shows that the acts of the defendants may have made mere cancellation of the transfer an ineffective form of relief, this proceeding is remitted to Special Term with instructions to award damages in the event that the reconveyance of the buses has been made impossible or will not provide the plaintiffs with suitable relief. ( Murtha v. Curley, 90 N.Y. 372, 378; Baily v. Hornthal, 154 N.Y. 648; Fox v. Erbe, 100 App. Div. 343, 349, affd. 184 N.Y. 542; Halsey v. Winant, 233 App. Div. 103, reversed on another point, 258 N.Y. 512; Brod v. Supreme Dress Co., Inc., 243 App. Div. 622; Serviss v. Torino, 263 App. Div. 722, 723.) The trial court properly found the conveyances to have been made in fraud of creditors. But in this action, in which a judgment creditor named Rothmiller was not a party, the court improperly held that Rothmiller had an "equitable" lien which had priority over the plaintiffs' claims. The evidence shows that, although Rothmiller issued an execution to a marshal who attempted to levy upon one of the buses, one of the defendants filed an affidavit claiming title to the buses, as a result of which the marshal returned the execution unsatisfied. Upon such return, any lien Rothmiller may have had upon that bus expired. ( Hathaway v. Howell, 54 N.Y. 97, 109; Walker v. Henry, 85 N.Y. 130, 135.) Close, P.J., Carswell, Johnston, Adel and Lewis, JJ., concur.