Alexander v. Wade
Alexander v. Wade
Opinion
Ray Alexander ("Alexander") appeals from a judgment voiding, pursuant to *Page 1217
§
J.L. Wade and Mrs. Wade were the parents of Betty Wade Alexander, Alexander's now deceased wife, and Mrs. Wade is therefore Alexander's former mother-in-law. In December 1993, Mrs. Wade filed this action in the Etowah County Circuit Court, seeking to void a deed to approximately 65 1/2 acres of land in Etowah County. The deed at issue was prepared by a Gadsden attorney, and was executed by Mrs. Wade and J.L. Wade on March 7, 1977. In pertinent part, the form deed provides as follows (emphasis added to indicate completion of blanks in the form):
"This indenture, made the 7th day of March, 1977 between J. L. WADE AND WIFE, BERTHA MAURINE WADE, hereinafter referred to as the party of the first part, and RAY ALEXANDER AND WIFE, BETTY ALEXANDER, hereinafter referred to as the party of the second part.
"WITNESSETH, That the party of the first part, in consideration of the sum of TEN AND NO/100 — DOLLARS and love and affection to us paid by party of the second part, the receipt whereof is hereby acknowledged, does hereby grant, bargain, sell and convey unto the said RAY ALEXANDER — and wife, BETTY ALEXANDER —, as joint tenants, with right of survivorship, the following described real estate, to wit [legal description omitted].
"The GRANTORS reserve herein a life estate in both or either of said GRANTORS in the above described property."
In her complaint, Mrs. Wade contended that a material portion of the consideration for the conveyance of the real property described in the deed was the Alexanders' agreement to support the Wades during the Wades' lifetimes. Later, Mrs. Wade amended her complaint to seek damages from Alexander for his allegedly unlawful cutting of trees from the real property at issue and to seek repayment of a 1975 loan that Mrs. Wade allegedly had made to the Alexanders. Each party filed a motion for a summary judgment in his or her favor; however, the trial court did not rule upon those motions.
After an ore tenus proceeding in April 1995, the case remained under submission until June 1998, when the trial court entered a judgment wherein it concluded that "a material part of the consideration of the deed was the agreement of [Alexander] to support the grantors during their lives and, therefore, said conveyance is voidable at the option of a grantor" (emphasis added). The trial court declared the deed void and divested Alexander of all rights in the real property described therein; it denied all of the other relief sought by Mrs. Wade. Alexander's subsequent post-judgment motion was denied pursuant to Rule 59.1, Ala.R.Civ.P., 90 days after it was filed.
Alexander appealed to the Alabama Supreme Court. That court transferred his appeal to this court, pursuant to §
On appeal, Alexander raises three issues, one of which is an issue of first impression. In addition to challenging the trial court's admission of parol evidence concerning the consideration for the deed *Page 1218
at issue, and questioning the sufficiency of the evidence to support the trial court's judgment, he contends that because J.L. Wade, Mrs. Wade's co-grantor, is deceased, and because he did not initiate proceedings pursuant to §
Section
"Any conveyance of realty wherein a material part of the consideration is the agreement of the grantee to support the grantor during life is void at the option of the grantor, except as to bona fide purchasers for value, lienees, and mortgagees without notice, if, during the life of the grantor, he takes proceedings to annul such conveyance."
This section first appeared in the 1923 Code, and has been interpreted by the appellate courts of this state on a number of occasions. Notably, in Heartsill v. Thompson,
The trial court could properly have determined that the conveyance at issue was made in exchange for a promise of support. Testimony from several witnesses indicated (1) that both Alexander and his wife knew, at the time the deed was prepared and executed, that they were to care for the Wades if they grew old, and that if anything happened to J.L. or Mrs. Wade, it would be up to the Alexanders to care for the survivor; (2) that Alexander acknowledged this responsibility in the presence of the attorney who prepared the deed, by saying that the Wades "would always have him" and his wife to care for them; (3) that the attorney who prepared the deed had informed the Wades that the term "love and affection" meant the same thing as an agreement to take care of the Wades; (4) that the Alexanders had told their son that they had to take care of the Wades in order to receive the land described in the deed; and (5) that Alexander had, on occasion, done work on behalf of the Wades. While this testimony constitutes parol evidence of consideration, §
Having determined that the trial court properly found a "material part" of the consideration for the Wades' conveyance to have been an agreement to support them during their lifetimes, we now consider whether the trial court properly canceled the deed.
The right to revoke a conveyance pursuant to §
However, Mrs. Wade occupies the position of not only a surviving spouse, but also a co-grantor. Our research has disclosed only one case involving a co-grantor who has sought to void a joint conveyance after the death of another co-grantor. InFaulkner, supra, a wife who had joined her husband in conveying their homeplace to two grantees brought an action, after the death of her husband, to have a conveyance declared void as to her
pursuant to §
Faulkner, then, stands for the proposition that Mrs. Wade can void the conveyance as to her own interest in the property under §
Even though this precise question has not been definitively answered by the Alabama Supreme Court, we are not without guidance in this area. In McAdory, supra, the Alabama Supreme Court concluded that the enactment of §
McAdory,"[T]he principle of those cases [predating §
8-9-12 ] was superseded by [§8-9-12 ]. In enacting [§8-9-12 ] the legislature was taking care of the grantor in a deed where a material part of the consideration was a promise to support him for life and under its terms it is immaterial whether that promise has been kept or not. There were two results, we think, which were fixed by that statute. One was that the grantor was given the privilege or option at any time during his life to have the deed vacated by taking proceedings in court, although there was no intent to defraud and although the grantee may have been performing his duty under his obligation to support. The other result fixed by the enactment was to confine that right to the grantor and limit it to his lifetime. That limitation is not confined by the statute to a situation where the grantee is complying with his covenant and entered into it without fraud, but the statute extended the limitation to a situation where the grantee entered into the obligation with the intent of defrauding the grantor and the grantee has refused to comply with his obligation, and also extended the limitation to all rights existing in that connection before it was enacted. The statute is all embracive, so that in any such situation the grantor has the privilege of instituting proceedings in court during his lifetime to annul the conveyance and that right is limited to him by the statute."
However, drawing upon the principles of equity that had existed before the enactment of the statute now codified as §
"[I]t has been held by this court, in accord with authority elsewhere and on sound principle, that the obligation on the part of the grantee to support the grantor is peculiarly personal to the grantor and if the grantor is satisfied, conclusively evidenced by his failure to take steps in equity to have the deed vacated, no one else during his life or after his death can do so for the failure to discharge such a peculiarly personal benefit."
It is well settled that "[a] statute in modification or derogation of the common law will not be presumed to alter it further than is expressly declared, and that a statute which is an innovation upon the common law will not be extended further than is required by the letter of the statute." Macon v. HuntsvilleUtils.,
However, this conclusion does not wholly resolve the issue whether J.L. Wade's conveyance should be canceled. AsFaulkner indicates, a co-grantor may utilize other recognized equitable grounds for cancellation of instruments in order to void a conveyance as to a deceased co-grantor. Mrs. Wade asserts that J.L. Wade's conveyance of his interest in the real property at issue to the Alexanders was properly declared void on the basis of a failure of consideration because, she says, Alexander breached his promise to support her after J.L. Wade's death. Although the parties presented some evidence pertaining to this issue, neither the trial court's comments during the ore tenus proceeding nor its judgment indicates that this ground for relief was addressed.
In cases involving conveyances made before the effective date of the statutory provisions now codified at §
As to J.L. Wade's conveyance of his interest in the real property, there is evidence in the record from which the trial court could conclude that Mrs. Wade was an intended third-party beneficiary of an agreement on the part of the Alexanders to support her after J.L. Wade's death. "When a stipulation for the benefit of a third person is inserted in a contract . . . and this forms a part of the consideration of the contract, the promise inures to his benefit, if he elects to accept it; and he may manifest his acceptance, by resorting to any appropriate remedy,legal or equitable, for its enforcement." Planters' Warehouse Comm'n Co. v. Barnes,
The trial court correctly concluded that Mrs. Wade was entitled to void the deed conveying her interest in the subject real property pursuant to §
AFFIRMED IN PART; REVERSED IN PART; AND REMANDED.
Yates, Monroe, and Crawley, JJ., concur.
Thompson, J., concurs in the result.
Reference
- Full Case Name
- Ray Alexander v. Bertha Maurine Wade.
- Cited By
- 4 cases
- Status
- Published