Chisholm v. Cissell
Chisholm v. Cissell
Opinion of the Court
delivered the opinion of the Court:
From the foregoing statement of the case, it is very evident that the determination of the controversy between the parties depends mainly upon the construction to be given to the paper of June 6, 1890, executed by Mary F. Crown and Joseph H. Crown, the younger.
But we may a'ssume, as the testimony would indicate, that the obligee Cissell really looked to the sale of the real estate for the satisfaction of his claim. And here the same inconsistency appears. The property was liable to be sold at any time for the payment of debts. The proceeding under which it was actually sold and under which the appellants purchased, was in part a proceeding for the payment of debts, and in part a suit for sale for the purpose of partition; and yet the paper in question would have operated to postpone these for three years. But these are minor considerations, the only
Assuming, however, that there was a valid and effective lien given by the paper of June 6, 1890, upon the individual and respective shares of the obligors therein in the estate of Joseph H. Crown, deceased, and that the appellants were charged by the record with due notice thereof, although the notice was constructive and not actual, the question arises, which is the important question in the case, as to the extent of that lien and of the rights and interests affected by it.
The proceeding is one to charge third parties, under a claim of constructive notice, with liability for equities subsisting between the complainant in the suit and two of the persons interested in the estate of Joseph H. Crown. Now, it may well be, that in a proceeding between Cissell and those two persons for the enforcement of his equitable rights as claimed by him, a court of equity might go to very great lengths in his favor, might even reform his contract, if it needed reformation, in order to give effect to the true intention of the parties to it, and might take hold of any interest of any kind that the two indebted parties had in the estate of the deceased, Joseph H. Crown. But it is a most erroneous assumption to suppose that what would be proper between the immedate parties would be equally proper as between them, or any of them, and third parties. Such an assumption, of course, is not in accordance with law, or with the essential principles of justice; and i't does not diminish the unsoundness of the proposition to say that such third parties are affected with notice. Of what did the record in the present case give notice to the appellants? Very plainly, only of the fact that the distributive shares of the obligors in the writing were subject to a lien in favor of the appellee—not of any other equity or right. And it is no answer to this to say that, if the appellants had made inquiry, they might
The appellants, then, had notice that Mary F. Crown and Joseph H. Crown, junior, had pledged their shares of the estate of Joseph H. Crown, deceased, by giving a lien thereon to the appellee. It has been developed that Mary F. Crown was entitled to no share whatever in that estate, and that the share of Joseph H. Crown, junior, amounts to less than $70. Thereupon it is claimed on behalf of the appellee that the parties to the paper did not mean merely to pledge the shares of the estate to which they were, or supposed themselves to be, entitled, but any and all interests which they had, either as widow and heir, or as distributees, or as creditors, or otherwise. But there is no proof what
The argument on behalf of the appellee, therefore, is compelled to be rested upon the theory of giving a forced, unnatural, and unusual meaning to the word “ shares” used in the writing of June 6, 1890. The ordinary significance of that term is not doubtful. It is, in this connection, taken to mean the part or portion of the estate of a deceased person allotted by law by the way of dower, or to the heirs-at-law under the statute to direct descents, or, in the case of personalty, to the next of kin under the statute of distributions. Or, but somewhat improperly, however, the term is sometimes used to designate such portions of an estate as have been left by a testator by a will. But it has never yet been heard of in any adjudicated case, and it is not in accordance with common acceptance or common understanding, that the term should be taken to mean or to include the right of a creditor against the estate of a deceased person. Such a right is not in any proper sense of the word a share in the estate; it is at the utmost merely a right to charge the estate through the intervention of a court of equity.
As we have said, if this were a proceeding between the appellee and Mary F. Crown, there might be possible room for a different interpretation, upon satisfactory proof that the parties intended a different interpretation, or used the word in a different sense, as there might be room for correction, reformation, cancellation, or rescission. But this is not such a proceeding. The rights of third persons have intervened. As to such rights, we may not go beyond the record as it stands. We may not correct that record, if
But plainly the appellants were under no obligation to inquire what the parties meant by the terms which they used, when those terms were clear and unambiguous and had a well defined meaning both in law and in common acceptation. Nor is it certain that the parties would have agreed as to what they had intended. From the circumstances to which we have heretofore adverted, it may be questioned whether they had themselves any definite idea of what they intended; and this is all the greater reason why, as to third persons, not privy in estate or right with them, they should now be held to the ordinary significance of what they actually said and did, and put upon record as their solemn act and covenant.
The claim of Mary F. Crown against the estate of her deceased husband, it may further be remarked, was in the shape of a promissory note. The claim was assignable in any event; as a piece of negotiable paper, it had even
It is our conclusion that the paper-writing in question did not purport to give, and did not have the legal effect of giving, to the appellee Cissell, as against the appellants in this cause, a lien upon the interest of the defendant, Mary F. Crown, as a creditor of the estate of her deceased husband, so far as to charge the real estate in the hands of the appellants with the amount of the appellee’s claim as an equitable lien. The lien declared was only such as could affect her right as the widow of the deceased; and inasmuch as she took nothing as widow, either in the realty or the personalty, there was nothing upon which the lien could attach, and it proved to be wholly inoperative.
It follows that the decree of the Supreme Court of the District of Columbia, rendered in this cause, must be reversed, with costs. But inasmuch as there is, or seems to be, a small balance of about $70 or $80 due to Joseph H. Crown, the younger, who has been made a defendant in the cause, out of the proceeds of sale, and which balance seems to be justly applicable to the claim of the appellee; and inasmuch as the appellants, or one of them, in respect of this balance, has made a tender to the appellee of the sum of $80, it seems proper that this amount should in some way, be secured or paid to the appellee. The cause, therefore, will be remanded to the Supreme Court of the District of Columbia, with directions to vacate its decree and to enter a decree therein in accordance with this opinion, and with such provision therein in respect of said balance as may be right and proper. And it is so ordered.
Reference
- Full Case Name
- CHISHOLM v. CISSELL
- Status
- Published
- Syllabus
- Notice; Contracts. 1. A party charged with constructive notice of the contents of a recorded instrument is bound only by what is contained in the record and is not required to go outside of the record to determine whether the rights of the parties to the instrument are greater or less than those expressed in the instrument itself. 2. Where a recorded instrument seeks to charge the “shares” of the obligors in a decedent’s estate with a lien for the payment of a promissory note given by them, the word “shares” will not be held to include the interest which the obligors have as creditors of the estate, at least where the rights of third parties have intervened.