Richey v. Creel
Richey v. Creel
Opinion
This is an action to cancel a vendor's lien deed.
The instant appeal stems from a vendor's lien deed, dated June 23, 1976 and signed by Mary Richey as grantor in favor of James H. Creel and his wife as grantees. The case was instituted with a complaint filed by Creel in which he claimed that Mrs. Richey had failed to cancel the vendor's lien after payment of the purchase price and proper notice. Creel sought the imposition of a penalty under §
The first issue raised by Mrs. Richey in her brief concerns the trial court's denial of her jury trial demand. She asserts that her demand was timely made under rule 38 (b), Alabama Rules of Civil Procedure, and takes the position that the merger of law and equity under rule 2, A.R.Civ.P., gives her the right to a trial by jury on the issue of fraud. In response to these arguments, Creel contends that Mrs. Richey's demand for a jury trial was properly denied since her claim for relief involved equitable, rather than legal, issues.
We must reject Mrs. Richey's claim that the merger of law and equity under rule 2, A.R.Civ.P., enlarged the right to jury trial. The supreme court in Ex parte Collins,
"The Constitution and the Rules of Civil Procedure preserve to all litigants the right of trial by jury as it existed under prior procedure, and the Rules cannot be construed to restrict such right. However, they should not be construed to permit a jury trial on issues which were never triable by jury before the adoption of the Rules, unless such issues are merged with issues which were."
The first part of our analysis begins with Mrs. Richey's pleadings to determine the true nature of the relief sought.See Moseley v. Monteabaro,
The trial court, we believe, properly concluded, based on the allegations in the counterclaim, that Mrs. Richey was seeking a reformation of the deed she gave to appellees as authorized by section
Mrs. Richey next argues that the notarization of the vendor's lien deed was improper. She claims that the notary public was under a duty to explain to her that she was signing a deed and that his failure to do so was negligent. Creel controverts these arguments by pointing out that the burden of proof is on the party attacking the notarization to show some irregularity in the process. He asserts that Mrs. Richey has failed to meet her burden of proof and that the record contains ample evidence to indicate that she had been informed of the nature of the instrument she had signed.
The notary's acknowledgment in the instant action shows that Mrs. Richey was informed of the contents of the vendor's lien deed. Mrs. Richey argues that she was never informed that she was signing a deed and that she thought that she was signing a note. We agree with Creel that the burden of overcoming the presumption of correctness in connection with a notarization falls on the party challenging it. Carroll v. Carroll,
Mrs. Richey finally argues that the transaction between Creel and herself was infected with fraud and undue influence and that it should be set aside on these grounds. This argument, she states, is strengthened by her inability to read and write and Creel's superior knowledge of business. Mrs. Richey urges us to find that the burden of proof that the transaction was fair rested on Creel and that he has failed to meet this burden.
The basic rule concerning the setting aside of a transaction on grounds of fraud and undue influence was stated in Verner v.Mosely,
"The rules of administrative procedure in cases involving transactions inter vivos, where one party stands in relation of trust and confidence to the other, such as is here involved, attorney and client, trustee and cestui que trust, where the dominant party — and in this relation the attorney or trustee is regarded as the dominant party — receives or derives a benefit or advantage from a transaction during the existence of such relation, the party reposing the confidence, on seasonable application to a court of equity, may obtain relief from the burden of such transaction, by showing the transaction and the confidential relations. . . ."
Thus, under this decision two factors must be present before the burden of proving the fairness of a transaction shifts to the beneficiary. First, the complainant must show the existence of the transaction; and, *Page 557
second, he must show that a confidential relationship existed.See Jones v. Boothe,
We must reject Mrs. Richey's argument that the transaction should be set aside on grounds of fraud and undue influence because she has failed to show the existence of a confidential relationship. There is evidence in the record indicating that the property sale was prompted by a comment from Mrs. Richey to Creel that she needed money to pay some debts. Creel told her that he could not lend her the money but that he was interested in buying property from her and they arrived at a mutually satisfactory price for the sale of the property to Creel. Such comments as these indicate that Mrs. Richey and Creel were bargaining with one another at arm's length and do not show a confidential relationship in terms of Verner v. Mosely, supra and Jones v. Boothe, supra.
For the foregoing reasons the trial court's judgment is affirmed.
AFFIRMED.
WRIGHT, P.J., and HOLMES, J., concur.
Reference
- Full Case Name
- Mary Richey v. James H. Creel, Patricia F. Creel, Robert Buchannon, Carrie Kirksey Buchannon, and Raymond A.L. Buchannon.
- Cited By
- 3 cases
- Status
- Published