Baker v. Bailey
Baker v. Bailey
Opinion of the Court
Opinion by
Appellants’ claim in the present suit is upon an equitable title growing out of the agreement made concurrently with the conveyance by Mrs. Patterson to Bailey and Fawcett in June, 1880. By the conveyances and proceedings set out in appellants’ abstract the legal title is admitted to be in appellees and no other equity is asserted against it but that arising from the agreement.
. Turning now to the ejectment by Bailey and Fawcett in 1885 against Peter Baker, it is olearas held by the learned judge below, that the title involved there was the same as that involved here.
The judgment of the court below was also correct on the other ground. It is admitted that Bailey and Fawcett, under the agreement took title as security for the repayment of money advanced by them for the assistance of Baker. They claimed that it was a mere parol mortgage, but Baker claimed and the jury have now found that the agreement was in writing. It was therefore a mortgage to secure advances but with no time of repayment agreed. They were not bound to wait indefinitely, but could have filed a bill calling upon Baker to redeem within such time as equity should decree, or to permit a sale and liquidation. A decree in either form would have ended the trust. Instead of pursuing this course, however, they chose to proceed upon a subsequently acquired legal title. The agreement was made in June, 1880, at which date they gave their mortgage to Mrs. Patterson. In 1882, Mrs. Patterson sued out her mortgage and
Judgment affirmed.
Reference
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- Syllabus
- Ejectment—Equitable ejectment—Res adjudicate. An equitable ejectment against the holders of a legal title based upon an agreement alleged to have created a trust to the plaintiff, is res adjudicata by a prior ejectment by the holders of the legal title against the plaintiff, in which the defense was based upon the same alleged trust relied upon by the plaintiff in the second ejectment. Mortgage—Trust—Redemption—Purchase of paramount title. Where a written mortgage is made to secure future advances, bui no time of repayment is mentioned, the holders of the mortgage are not bound to wait indefinitely, but they may file a bill calling upon the mortgagor to redeem within such time as equity shall decree, or to permit a sale and liquidation. They may also purchase the legal title at a sheriff’s sale under a paramount incumbrance, and if they do so, and the mortgagor makes no counter move for fourteen years, he is without remedy.