In May 1869, Emily petitioned the court for a change of trustee. In summary, Halcyon had not been performing his duties as trustee of her funds. Specifically, Emily stated that:

• ...she is the wife of Halcyon G. Bailey
• ...she is owner in her own right of a large amount of Real and Personal estate and property, which is her separate property and of the income of which her said husband Halcyon G. Bailey is by law Trustee; 
• ...Halcyon G Bailey as such Trustee has wholly neglected and refused to perform the duties incumbent upon him as such Trustee, and has failed to apply the proceeds and income of said separate estate to the support and maintenance of [Emily and Annie].
• ...her husband claims as his own large portions of her separate real and personal estate...
• that when her said property was attached as and for his debts, on suits against him the said Halcyon G. Bailey ...has wholly refused and neglected to have the same replied, or in any way restored to his said wife or to assist her in the restoration of the same; 
• That when suit was brought for taking the title of a large portion of the Real Estate now standing in her name, and deeded to her the said Emily K. Bailey and putting the title in the said Halcyon G. Bailey, the said Halcyon G. Bailey wholly neglected and refused to defend the rights and interests of his said wife, the petitioner, in said suit that when her earnings and the part of her personal service and the crops gathered from her said separate Real Estate were attached as his property unlawfully yet the said Halcyon G. Bailey: did not protect and defend the same, or institute proceedings to recover the same --- but directed them to be attached as his property.
• ...on or about the 24th day of October 1864 ...said Halcyon G. Bailey [borrowed from] Jordan L. Bailey of the City County and State of New York of the value of one thousand dollars, and to secure the payment of the same and other debts did afterwards on or about the 16th day of February 1869 executed to said Jordan L. Bailey a deed [for Sherwood Farm]
•  ...refused to defend against an action of foreclosure brought by the said Jordan L. Bailey against the said Halcyon G now pending in the Supreme Court for Fairfield County.

The petition was granted on May 31st, 1869. The court appointed James E. Hayt as the trustee of her property instead. This is the same James Hayt that later represented Emily in the trial against Jonah Parks, Hayt vs Parks.

The same day the petition was granted, Halcyon published a notice in the Danbury Times alerting potential creditors that he would not be responsible for any future debts acrued by his wife.

Notice.
Ridgefield, May 31, 1869.
All persons are herby forbid trusting my wife, Emily K. Bailey, on my account, as I shall pay no debts of her contracting after this date.
Halcyon G. Bailey,
of Ridgebury Parish, Crow Hill, CT