Gabbett v. Knight
Gabbett v. Knight
Opinion of the Court
The land involved was school land, and the sale thereof was made by the trustees, under article 2, c. 100, of the Code of 1896. The land was first sold and bid in by the cross-respondent Knight. He gave his notes, with sureties, to the trustees, and received a certificate of purchase from them, under section 3647. Section 3648 declares the effect of the certificate, and provides that the purchaser, his heirs or assigns, acquire thereunder a conditional estate in fee, to become absolute on the payment of the purchase money and interest, and to revert to the state for the uses originally granted in the following cases: “(1) When all notes have become due, and the makers have left the state, or died insolvent. (2) When a recovery on such notes is defeated by any defense avoiding the contract of sale. (3) When a recovery is had against all the
Section 3647 provides for a resale of the land only in case the purchaser fails to make the payment or give his notes with approved sureties as required. This section applies only to cases where the purchaser fails to do things which would entitle him to a certificate, such as make the payment or give the proper notes, and does not authorize the trustees to set aside the sale, after the notes have been accepted and a certificate is issued and delivered. If the notes were not satisfactory, they should have rejected them and resold the land before issuing the certificate, and not arbitarily set their certificate aside and resell the land. The issuance of the certificate by them cut off all authority given them under the statute to resell the land under the existing proceedings. If the purchaser paid the notes, he acquired an absolute title; if he failed to do so, the title would be revested in the state under the terms of sections 3647, 3648. If there was a loss in the transaction, in case the state got the land back, because of the insolvency of the purchasers or the sureties, it was the fault of the trustees, who should have learned of their insolvency before issuing the certificate.
It is urged that the purchaser practiced a fraud on the trustees, and that the certificate was issued condi
■ The decree of the chancery court is affirmed.
Affirmed.
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