Mortimer v. Hannah
Mortimer v. Hannah
Opinion of the Court
delivered the opinion of the court.
Appellee, on the 9th of Eebruary, 1903, filed his bill of com
The sole question presented by this record is, Is the appellee entitled to a rescission of this contract under the facts stated? It will be noted that the only breach assigned is that the appellants have not put the land in cultivation “at the rate of fifty acres per annum.” No breach is averred as to the “deadening” of the land or the building óf the houses, and none could be; for under the terms of the contract these could be performed at any time before the termination of the contract. We have given the matter the careful consideration which the importance of the legal principle involved demands, and after an exhaustive review of all authorities at our command, we formulate and announce as the true rule governing the class of contracts herq under discussion the following, viz.: A party to an equitable mutual contract in reference to realty, fairly entered into, has the right to rescind such contract for the following causes: First. When the other party has evinced his intention to abandon or repudiate the contract entirely; and this intention may be shown by express declaration, or by such acts and conduct in reference to the subject-matter of the contract as would prove such intention. Second. When the other party has breached the contract in a matter vital to its existence, or made of the essence of the contract by the terms of the contract itself, or by the evident intention of the contracting parties. Third. When the other party has been guilty of a partial breach of performance, which has inflicted damage upon the one with whom he has contracted, for which no adequate redress can be had, or
This statement of the rule is in absolute harmony with all previous deliverances of our own court upon the subject, and is supported by the great weight of the most approved authorities and numerous decisions of other states. In Moak v. Bryant, 51 Miss., 560, the court says: “The vendee must repudiate the contract under which he entered, or fail to comply with its terms,” meaning, of course, in some substantial part of the contract. In Gullich v. Alford, 61 Miss., 224, the rule is recognized that the breach must be in some matter which is “of the essence of the contract.” And in Light Co. v. Jackson, 73 Miss., 642, 19 South., 774, it was held'that, while courts were reluctant to grant rescission, still it might be had when adequate damages for breach could not be had at law, or when a partial breach might result in irreparable injury, but that generally rescission would not be decreed unless the breach was one “going to the very substance of the contract.” See, also, Waterman's Specific Performance, sec. 456; Pomeroy's Equity Jurisprudence (2d ed.), see. 1408; Reid v. Mix, 63 Kan., 745, 66 Pac., 1021, 55 L. R. A., 706; Keenan v. Brown, 21 Vt., 86; Rhymny Ry. v. B. & M. T. J. Ry., 69 L. J. Ch., 813; Mixer v. Williams, 17 Vt., 457; Md. Fertilizing & Mfg. Co. v. Lorentz, 44 Md., 218. See, especially, Worthington et al. v. Gwin (Ala.), 24 South., 739, 43 L. R. A., 382, and citations.
Viewed in the light of the foregoing statement of the rule, does the case at bar fall within any of its terms? As to the first, it cannot be contended that the defendants (appellants here) have expressly repudiated the contract, or by act or deed shown any intention of abandoning it; on the contrary, the bill of complaint shows that they were still in possession under the terms of that contract, and it nowhere appears that they wére not then engaged in carrying out its provisions. Nor, in thé second place, has the contract been breached in a matter vital
The judgment in the court below is reversed, and the cause remanded for further proceedings in accordance with this opinion.
Reversed and remanded.
Reference
- Full Case Name
- James E. Mortimer v. Andrew J. Hannah
- Cited By
- 3 cases
- Status
- Published
- Syllabus
- Lands. Contracts. Construction. Rescission. A party to an equitable mutual contract in reference to land, fairly entered into, lias the right to rescind the contract: (а) When the other party has evinced his intention to abandon or repudiate the contract entirely; or (б) When the other party has breached the contract in a matter which is vital to its existence, or is of its essence by the terms of the contract or the evident intention of the parties; or (c) When the other party has been guilty of a partial breach of performance, which has inflicted damage upon the complainant for which no adequate redress can be had, or which inflicta irreparable injury, or which renders a final completion of the contract, according to its terms, impossible.