Williams v. Whitworth
Williams v. Whitworth
Opinion of the Court
On the 10th day of June, 1859, the defendant E. C. K. Martin bought, at a public sale made by Dr. D. T. McGavock, the intestate of defendant Whitworth, a lot of ground, for the purchase-money of which he executed his three notes of that date, at one, two and three years, payable to and endorsed by complainant as accommodation endorser. The sale was made under a published advertisement in which it was stated that the terms of sale were: “A credit of one, two, and three years for notes, payable in bank, satisfactorily secured, bearing interest, and a lien retained.” The complainant endorsed the notes at the request of defendant Martin, without, so far as the proof shows, having been present at the sale, seen the advertisement, or had an interview with McGavock. The deed to the land thus bought was, at the request of Martin, made to E. C. McNairy & Co., who are not parties to the suit, in satisfaction of the indebtedness of Martin to that firm. This deed bears date the said 10th day of June, 1859, and was duly proved and registered. It recites on its face that the purchase-money was paid by the three notes as aforesaid, but does not retain a lien for their payment. Martin paid the first two of these notes and part of the third. McGavock died, and Whitworth as his administrator sued Martin and
The ground of equity relied on for relief by the bill is that the complainant was only an accommodation endorser on said notes, which fact was known to McGavock and Martin, and that “it was furthermore understood and agreed between all of them (McGavock, Martin and complainant) that the first note was to be paid by accounts due defendant Martin from said McGavock for medical attention, * * that the two remaining notes should be secured by the retention of a lien on the face of the deed,” and “ that the deed was to be made directly to Martin.’-’ That McGavock had no authority from complainant to release this lien, and that his conveyance of the land to R. C. McNairy & Co., without retaining a lien for the payment of said notes, operated as a release to complainant, and was a fraud upon his rights.
To obviate the objection that he could not come into equity after failing to defend at law, the complainant says : “He employed an attorney who plead for him, and after issue had been joined therein your orator was promised by said Whitworth’s attorney that he should have time to defend ” until the next term, and was surprised by the rendition of the judgment. No evidence has been introduced to sustain this allegation of the bill, and it is abandoned by the complainant’s counsel. It is insisted, however, that the defense relied on is purely of equitable cognizance, and such as may be made in this court either before or after judgment.
But the able counsel for the complainant has changed his base from the case as made by the bill, and insists that the contract of purchase between McGavock and Martin must be considered as made according to the printed terms of the advertisement, which, as we have seen, stipulated for the retention of a lien on the land for the security of the notes, and that the complainant was entitled to the benefit of this lien, and that the subsequent act of McGavock in making the deed without retaining the lien operated as a release to him, or as a fraud upon him for which equity would relieve. Conceding for the purpose of argument that the complainant can go outside of his bill, it is obvious that the defense relied on turns entirely upon the fact that there was a valid contract upon the terms of the advertisement as soon as the land was struck off to Martin, and that this was the contract under which the notes were taken. To constitute such a
This conclusion upon the merits renders it unnecessary to consider other questions. The bill must be dismissed with costs.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.