Gira v. Harris
Gira v. Harris
Opinion of the Court
This is an action by the plaintiffs to enforce the specific performance of a contract entered into by the defendant with Charles Rhodes, one of the plaintiffs, in which it is claimed said Rhodes was acting for and in behalf of all the plaintiffs. Findings and j'udgméñt were in favor óf the plaintiffs, and the defendant appeals.
It is contended on the part of the appellant that the court erred in construing the contract to constitute a purchase of the property, and that the contract is not a contract of purchase for want of mutual covenants, but is simply an option or unilateral contract, enforceable by one and not by the other, there being no agreement on the part of the plaintiffs to purchase, but only an agreement on the part of the defendant to sell for a specified amount within a speci fied time. Undoubtedly the appellant is correct in his contention that the contract set up is not one of sale and purchase, but simply an option to purchase within a specified time, and for a given price. But. assuming this to be the true construction of the contract, we fail to see in what respect the defendant will be benefitted. Section 3617, Comp. Laws, provides: “No agreement for the sale of real property, or of an interest therein, is valid unless the same, or some note or memorandum thereof, be in writing and subscribed by the
It is found by the court, and clearly sustained by the evidence, that $200 of the amount specified in the contract was paid to and accepted by the defendant; and it also clearly appears from the memorandum receipt of May 26th that the time was extended for the payment of the balance until June 7th. On June 7th the plaintiffs offered to pay the further sum of $90, and to pay the balance within a few days, but this proposition was declined by the defendant. But the court finds, and we think the evidence supports the finding, that the defendant did agree to give the plaintiffs until the following morning to make up the amount, and that the plaintiffs did on the following morning offer to pay the balance due on the contract. Under these findings we are of the opinion that the court was clearly right in holding that there was a substantial compliance with the contract by the plaintiffs within the extended time. The defendant, after giving plaintiffs to understand that he would accept the money in the morning, cannot in justice and equity, be permitted to now say that the full amount was not tendered on the 7th, for the presumption may be reasonably indulged in that, had not the plaintiffs
It is further contended on the part of the appellant that there was no consideration'for the extension of time to the 7th of June made on the 26th of May. But, as the agreement was in writing, a consideration is presumed, under the provisions of our statute. Section 3538, subd. 2, Comp. Laws, provides: “A written instrument is presumptive evidence of a consideration.” Subdivision 3 provides : “The burden of showing a want of consideration sufficient to support an instrument lies with the party seeking to invalidate or avoid it.” There being no evidence upon this subject, the presumption of consideration must prevail.
It is further contended on the part of the appellant that the court erred in holding that the value of the use and occupation of the premises should be set off against the $100 balance due. But we are of the opinion that the court was right in so holding. There would seem to be no impropriety in settling the controversy as to the use and occupation of the premises in this action, and allowing plaintiffs the benefit of the same to the extent of the amount due.
Svereal errors have been assigned upon the admission and rejection of evidence, but after a careful examination of the same, we are of the opinion that there was no error committed on the part of the court, if any, of sufficient importance to require a reversal of this case. Finding no error in the record, the judgment of the court below is affirmed.
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- 1. A written contract, signed by the defendant only, in which he agrees to convey certain real estate to plaintiff on the payment of a certain sum by a certain date, creates an option, and is not a contract of sale and purchase. 2. Under Comp. Laws § 3617, providing that no agreement for the sale of real estate shall be valid unless in writing, subscribed by the party to be charged, and Section 4630, authorizing the specific performance of a written contract, though only signed by the person against whom it is sought to be enforced, if the other party has performed or offers to perform, specific performance of a written contract to sell land for a certain price within a- certain time may be enforced against the landowner when the purchaser has offered to perform his part, though the contract is only signed by the owner. 3. Where a landowner contracts to convey land on a payment of a certain sum by a certain time, and the purchaser does not pay the full price at the agreed time, but the owner extends the time till the following morning, an offer then to pay the balance due is a substantial performance which will entitle the purchaser to a specific performance of the contract. 4. Under Comp. Laws, § 3538, subds, 2, 3, providing that a written instrument is presumptive evidence of consideration, and placing the burder of showing want of consideration on the person attaching its validity, a written extension of a contract giving an option to purchase real estate is valid, in the absence of evidence showing want of consideration, though no consideration is expressed. 5. Where a vendor refuses to convey land according to a contract giving the vendee an option to purchase, damages for use and occupation may be set off against the contract price of the land in a suit by the vendee for specific performence.