Buckley v. Runge
Buckley v. Runge
Opinion of the Court
This is a suit in trespass to try title by L. H. Runge and others against Ed. McCarthy, administrator of D. G. Kelly, deceased, the unknown heirs of said Kelly, W. C. Morris, D. J. Buckley, Thomas Buckley, and John Buckley to recover certain lots in the city of Galveston. The case was tried with a jury, and the trial resulted in a verdict and judgment in favor of plaintiffs, from which judgment defendants appeal.
Defendants McCarthy, administrator, and the unknown heirs’of D. G. Kelly have filed no assignment of errors, and as to them the judgment will be affirmed without further consideration, which disposes of all the property sued for except lots 10, 11, 12, 13, and 14, and the west one-fourth of lot 9 in the northeast block of outlot 70, which are claimed by the other defendants, and as to which this appeal is properly prosecuted by them.
This is the second appeal. Upon the former trial the court instructed a verdict for plaintiffs, and the judgment was reversed, and the cause remanded by this court, on the ground that the issues as to the payment of the notes executed by Kelly for the land, and of innocent purchaser without notice interposed by Morris and John Buckley, should have been submitted to the jury. Buckley v. Runge, 122 S. W. 597. Upon this trial these issues were submitted to the jury, which found in favor of plaintiffs on both *535 issues. Our conclusions of fact are as follows:
Henry Bunge, ancestor of appellees, was tire owner of tlie property in controversy; Ms title being properly of record at Ms death. Henry Bunge died leaving a will naming independent executors, which was duly probated, and acting under the powers conferred, in 1874, the executors sold and-conveyed to D. G. Kelly the property in controversy. This deed was never recorded. Kelly was drowned in the storm of 1900, which also destroyed his home and all of Ms papers. The sale to Kelly was on credit; he executing notes for the purchase money. Among the notes so executed were two notes for $1,200, each dated “Galveston, October' 12, 1874,” and due respectively in one and two' years from date, payable “to the order of myself,” signed “Daniel G. .Kelly,” and indorsed “Daniel G. Kelly.” The first due of said notes shows a payment of $250 on the day of its date, also interest paid to October 12, 187S. The second -due of the notes shows interest paid to October 12, 1878. Each of the notes contained the following recital on its face: “Secured by S. E. and S. W. quarter of N. E. Bl. of out-lot 70” — which includes the property in controversy. These notes have never been paid. They were inventoried as part of the assets of the estate of Henry Bunge, and after-wards as assets of the estate of Ms children, appellees herein, by their guardian. Efforts were made to collect them from D. G. Kelly up to the time of his death; but he was never able to pay. Efforts were also made to collect them from the appellants Buckley after Kelly’s death. They have always remained in the hands of Bunge’s executors and those claiming as heirs of Bunge, and the evidence is amply sufficient to rebut whatever presumption of payment may arise from lapse of time. The notes are now the property of the appellees.
Henry Bunge, one of the heirs, conveyed to L. H. Bunge, another of the heirs and one of the plaintiffs, all of his-right, title, and interest in and to the property in controversy. As before stated, the deed from the executors of Henry Bunge to D. G. Kelly has been lost — supposed to have been lost — with all of his other papers in the 1900 storm. The evidence authorizes the conclusion that Kelly did not consider that the property belonged to him until he paid these notes, and for that reason never recorded the deed. The recital in the notes above referred to was intended to evidence the fact that the notes, having been given for the purchase money of these lots, were secured by an express vendor’s lien thereon. What reservation of lien there was in the executor’s deed, if any, could not be shown.
At the time of the conveyance to Kelly he was a married man; his wife being the mother of appellants Buckley by a former marriage. After Kelly’s death his estate was administered upon by appellant Ed. McCarthy, and in the probate court, upon partition between his estate and the heirs of Mrs. Kelly, the appellants Buckley, the property in controversy was set apart to D. J., Thomas, and John Buckley on September 22, 1904. D. J. Buckley sold and conveyed to John Buckley his interest in the lots in controversy, and on the Sth of February, 1904, Thomas Buckley sold and conveyed to W. O. Morris his one-third interest. The consideration of this deed was $150, which was paid in cash. The consideration of the deed from D. J. Buckley to John Buckley was an existing indebtedness from the grantor to the grantee of $150. The jury found that both Morris and John Buckley had notice at the time of the purchase and conveyance to them respectively of the facts that these notes had not been paid. At that time the records showed title down to Henry Bunge, and no conveyance out of him.
Under their first, fourth, fifth, sixth, and eighteenth assignments of error appellants submit the general proposition, germane to each of said assignments, that the recitals in the notes “secured by southeast and southwest one-fourth of,northeast block of outlot 70” did not retain the superior title in plaintiffs’ ancestor, nor create an express vendor’s lien.” To support the proposition appellants cite Baker v. Compton, 52 Tex. 252; Ransom v. Brown, 63 Tex. 188; and Carson v. Sweatt, 57 Tex. 380.
Probably the most strenuously contested issue in the case is that of whether Morris is entitled to be protected as an innocent purchaser for value without notice. This contention rests upon two grounds: First, that Morris (or Minor Stewart, who made the purchase for himself merely in Morris’ name) had no notice, when he bought and paid value, of the existence of the express vendor’s lien; and, second, that he did not know that the notes were unpaid. As to the first, it was shown that Minor Stewart saw these notes in the hands of appellees’ attorney, who held them for collection, and was apprised of their contents. Whether this was before or after he bought is left in doubt from, his testimony, who, it was shown, bought the lots for himself, taking the deed in Morris’ name, for his own convenience. This witness stated that he thought this was after he had bought, and that he was satisfied that it was after; but he testified that he had a very poor memory as to time, and that he was not willing to swear that he had not seen the notes before he took the deed to the land, that he was quite positive about the matter, but might be mistaken as to the fact whether he had seen the notes , before he bought. He testified that he did not remember whether, at the time he took the deed to Morris, he had any knowledge of the recitals in the notes, that he did not, think that before he took the deed he visited at the office of Mr. Stubbs, appellants’ attorney, and discussed the matter with him, but that he was not ready to swear that he did not do so. He was a party to the suit and an interested witness, and, taking his entire testimony, if there was nothing else to show notice to him before he bought, both of the contents of the notes and that they were unpaid, we think it presented an issue for the jury. That he had such notice at some time, either immediately before or immediately after he took the deed from Buckley, is clear from his' own testimony, and, although in some of his statements he testifies in positive terms that this notice was conveyed to him after he took the deed, other statements made by him throw doubt on this fact. The probate records showed the claim of the appellants, that the notes were unpaid, and it is a reasonable inference from Stewart’s testimony that he was acquainted with these records. He owned and kept in his office an abstract of land titles of Galveston county, which contained a complete abstract of probate proceedings as well as conveyances of land. We think the evidence, only a summary of part of which is here shown, was sufficient to show either actual notice to Stewart or knowledge of such facts as would have put a reasonably prudent man on inquiry as to the existence of the facts; that is, of the contents of the notes, and that they were not paid. It is clear that the slightest inquiry would have resulted in full knowledge.
The seventh and eighth assignments of error are overruled. This disposes also of the ninth and tenth and seventeenth assignments of error, which present substantially the same questions.
*537 By assignments of error from 11 to 16, appellant Morris complains that the court erred in that part of its charge which required the jury to find for plaintiffs as against Morris if the jury found that he had notice at or before his purchase from Buckley that the Kelly notes were unpaid. Appellant’s contention is that the charge was erroneous in that Morris was entitled to the land unless he had notice not only that the notes were not paid, but also that the unpaid notes contained the recitals which we have held to be sufficient as an express reservation of the vendor’s lien. The charge was not error, as upon the authority of Gilbough v. Bunge, supra, Morris was required to take notice of these recitals, as we have undertaken to show in the discussion of the pre vious assignments. This affected him with notice as a matter of law of this fact. In our opinion on the former appeal we held otherwise; but that ease was decided without consideration of Gilbough v. Bunge, which leads us to a different conclusion on this appeal.
There is no merit in the twenty-first assignment of error. The probate court, in the administration of the estate of D. G. Kelly, had no power to adjudicate the questions involved in this case.
The thirtieth assignment has no merit and is overruled.
Reformed and affirmed.
Reference
- Full Case Name
- BUCKLEY Et Al. v. RUNGE Et Al.
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- 13 cases
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- Published