Anderson v. Nagle
Anderson v. Nagle
Opinion of the Court
delivered the opinion of the Court:
The first question presented is: was the lot of ground sold and conveyed by A. L. Peadro to Julia H. Nagle, subject
“Sec. 4. Any contract in writing made, in respect to real estate or goods and chattels, in consideration of marriage, or made for the conveyance or sale of real estate, or a term therein for more than five years, shall, from the time it is duly admitted to record, be as against creditors and purchasers as valid, as if the contract was a deed conveying the estate or interest, embraced in the contract.”
“Sec. 5. Every such contract, every deed conveying any such estate or term, and every deed of gift, or deed of trust or mortgage, conveying real estate, or goods and chattels, shall be void as to creditors and subsequent purchasers for valuable consideration without notice, until and except from the time that it is duly admitted to record in the county, wherein the property embraced in such contract or deed may be.”
Section 7 of chapter 139 of the Code, provides that: “No judgment shall be a lien on real estate as against a purchaser thereof for valuable consideration without notice, unless it be docketed according to the third and fourth sections of this chapter in the county wherein such real estate is, either within ninety days next after*104 the date of the judgment, or before a deed therefor to such purchaser is delivered for record to the recorder.”
In the case of McLure v. Thistle’s exo’rs, 2 Gratt. 182, it is stated, that David Agnew being the owner .of a lot of ground in the city of Wheeling, he and his wife, by deed bearing date the 23d of December 1835, conveyed the same to John MeLure, and put him in posession thereof; the privy examination of Mrs. Agnew was regularly taken on the day the deed was executed, but it was not admitted to record until the 21st of May 1842. After the execution of the deed, and when MeLure was in possession of the lot, but before the deed was recorded, judgments were recovered against Agnew by several of his creditors, among others by Benjamin T. Thistle * * *. In 1843 Thistle instituted his suit in the circuit superior court of law and chancery for the county of Ohio against MeLure, Agnew, and the judgment creditors of Agnew, and in his bill claimed that as the deed to MeLure had not been admitted to record, until after his judgment as well as those of the other creditors, whom he named, had been obtained, and Agnew had been discharged as an insolvent debtor on his execution, they were entitled to have the lot then held by MeLure applied to the satisfaction of their judgments; he therefore prayed, that the court would fix the priorities among the creditors, and that the lot might be sold, and the proceeds thereof applied to the satisfaction of their claims.
MeLure answered, stating Ms purchase and payment of the whole pur chase money and the execution of the deed and his possession under it.
The cause coming on to be heard, the court expressed the opinion, that the lot was subject to the liens of the judgments and directed a commissioner to ascertain the judgments which were liens upon it, their amount and priorities; and upon the coming in of the report, made a decree for the sale of the lot and the distribution of the proceeds among the creditors. Thistle having died during the pendency of the suit, it was revived in the name
From this decree McLure appealed and the court without delivering any opinion in the cause affirmed the decree. In the argument of the cause for the appellee, according to the report, William Smith, ap-pellee’s counsel, in his second point said : “It is said however, that although the deed is void, McLure’s equitable title to the lot is good against creditors. I submit that his equitable title was merged in his legal title on the execution of the deed to him, and that in no case, decided under this statute, is any countenance given to the idea that the legal and equitable title may be separated, and whilst the first is void, the latter may be valid against creditors. ” This precise question arose in the next case involving the construction of the statute, Withers v. Carter et al. 4 Gratt. 407, relied upon by appellant’s counsel in this case. The facts of the case were, that in 1834 William H. Triplett, by a contract under seal, sold to Jonathan Carter a tract of land in the county of Loudon containing about one hundred and sixty six acres at $18.00 per acre and put him in possession thereof. The terms of the sale were: that Carter should pay $600.00 on the first of June following, when Triplett was to convey the land by deed with general warranty; $600.00 was to be paid on the 1st of January 1835, and the balance, on the 1st of January 1837 ; the deferred payments to be secured by deed of trust on the land. The first two payments were made by Carter and on the 15th day of January 1835, he executed his bond for the last. On the 25th of January, Triplett and wife executed a deed to Carter for the land, and acknowledged it before two justices. This deed was delivered to a son of Carter, to be delivered to the clerk of the county court of Loudon county for record, and was by him lost, and never found.
By the decree, Withers and Grubb’s administrator, were enjoined from proceeding to enforce their said claims against the land purchased by Carter of Triplett.
.From this decree, John and James Withers appealed. Judge Baldwin, in delivering the opinion of the court said : “It cannot be doubted that a fair purchaser of the equitable estate, has a right to hold it against creditors of the vendee, who have not previously recovered judgments. He cannot do so, it is true, at law, which only notices the legal title, but he can in equity, which notices protects and enforces the equitable title. * * . .* No one supposes that our registry law requires, in relation to bargains, sales, and other conveyances of lands, tenements or hereditaments, the recordation of the exe-cutory contract. By an amendment introduced at the revisal of 1819, (1 Rev. Code p. 365, § 13), authority is given to have title bonds and other written contracts in relation to lands admitted to record in like manner as, deeds for the.conveyance of land, and when so admitted, they are notice to subsequent purchasers of the existence of such bond or contract, but that is the only effect of the provision, which does not avoid them, either as to purchasers or creditors, if not admitted to record. It is the deed of conveyance therefore, and that only, which the law avoids for want of recordation, and the executo-ry contract is left untouched by the statute in the slightest degree. No deed of conveyance is necessary to confirm its validity, and how an abortive attempt to obtain a valid conveyance, can destroy the pre-existing equitable title is beyond my comprehension; nor can I conceive what merger there can be in regard to creditors, of the equitable estate in the legal title, by force of a deed which as to creditors is a blank piece of paper.”
He further says: “ But we are told, that every consideration prompting the reasons to require the recordation of deeds and title bonds, applies more strongly to mere verbal agreements for the sale of lands. A little reflection will, I think, show that this is not true, certainly not to the extent asserted in the argument. 'When the vendee has a deed, or other written evidence of his purchase, there is no hardship in requiring him to place it upon the record. It is gross laches not to do so, which the Legislature might well declare good ground of for
“ He is often deprived of one or both, by the fraud of the vendor, or by his death, or sickness, or by some controversy in regard to the precise terms of the contract, and at last, not unirequently, he is compelled to resort to a court of equity for redress. Such cases are constantly occurring in every community. The books abound with them. To require that such contract shall be recorded, is simply to require an impossibility. * * *
“ It may be conceded, that when the parol agreement is connected with the deed, and is contemporaneous with it, it must be regarded as forming part of the same transaction. In such case possession would perhaps be considered as taken under the deed and reierable to it. But where there is a parol agreement under which the purchaser takes possession, and which, of course, is valid Avithout deed, no good reason is perceived, why the subsequent execution of a deed should either invalidate the title thus acquired, or preclude proof of it in a proper case.-”
In reference to the case of Withers v. Carter, the judge says: “ Before closing this opinion it is proper to add a few words in reference to the case of Withers v. Carter. It is impossible to deny that much, of what is said in that case, is equally applicable to the case before us. The reasoning, which tends to show, that under the laws in force prior to 1849, the unrecorded deed being a nullity, a written executory agreement was nevertheless valid, because not affected by these laws, will equally show that a valid parol contract is now good against creditors, although never recorded, because it is not affected by the amendment now incorporated in the statute. See 2 Minor’s Inst. 1027.”
.The court below held the land subject to the judgment; and the Court of Appeals reversed the decree. We have cited this case, not to approve it, nor to express any opinion in relation to it, but to show, that even under
Even if the amendment of 1849 had never been made, the principles of Withers v. Carter would hold the lot subject to the leins of the judgments, because there is a general replication to the answer, and not a particle of proof in the record to show defendant ever had possession at all. But it is claimed in argument here, that there is a claim for affirmative relief in the answer, and the plaintiff not controverting the relief prayed for by a reply in writing, denying such allegations of the answer as he does not admit to be true, that according to the 36th section of chapter'125 of the Code, every material allegation of such new matter constituting a claim to affirmative relief * * * * * shall for the purpose of the suit, be taken as true, and no proof thereof should be required. It cannot be said that there is any claim for affirmative relief. The matters relied on in the answer are of defense to the suit; there is no prayer for affirmative relief; the only prayer is that ihe bill be dismissed, and that she have her costs. But since the amendment of 1849, the principles of both Withers v.
It is further objected for appellant, “ that the decree for sale should not have been made before referring the cause to a commissioner, to ascertain the amount and priorities of liens, and of what property the said Peadro was possessed, and upon which the said judgments were liens.” It certainly was not necessary to refer the cause to a commissioner to ascertain of what property the said Peadro was possessed, and upon which said judgments, were liens, in view of the fact that the bill alleges, that
The decree declares, that both judgments are liens on
The decree of the circuit court of Wood county, renderedin this cause on the 23d day of June 1876, is reversed, with costs to the appellant against the appellee, G. W. Anderson ; and this Court proceeding to render such decree as the circuit court ought to have rendered, it is adjudged, ordered and decreed, that the judgments of the plaintiff and the First National Bank of Parkers-burg are subsisting liens upon the lot of ground in the bill and proceedings mentioned; and that the judgment
Decree Reversed.
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- 1. A contract in writing was executed for the Sale of land, before judgments were obtained against the vendor, and the deed executed in pursuance of said contract was not recorded until after the said judgments were duly docketed and the contract was never recorded. Such contract, and deed are void as to such creditors; and the land so contracted to be sold, and so conveyed is subject to the satisfaction of the judgments. 2. An authenticated copy from the recorder’s docket of an official abstract of a judgment, docketed under the provisions of the 3d and 4th sections of chapter 139 of the Code, is evidence that such abstract was docketed, and when, and of notice to purchasers of land upon which the alleged judgment is claimed as a lien, when the existence of such judgment is properly proved; hut where the existence of the judgment is put in issue by a distinct denial in the answer, an authenticated copy of such abstract, as docketed by the recorder, will not be received as proof of the judgment, and dispense with the necessity of producing an authenticated copy of such judgment. 3. But when the bill exhibits such authenticated copies from the recorder’s docket of official abstracts of judgments so docketed, and distinctly alleges the recovery of such judgments in a court of competent jurisdiction within the State, and these facts are not controverted by the answer, they are to be taken as true for the purpose of the suit, and no proof is required to show the same. 4. Where two judgments are recovered, one in 1868 and the other in 1869, and the one last recovered is docketed in 1870, while the one first obtained is docketed in 1871; but both are docketed before a contract in writing or deed to a purchaser for valuable consideration without notice is recorded, the judgment first recovered though last docketed has priority. 5. It is error in a decree, for which it will be reversed, to order the sale of real property without fixing the amount and priorities of the liens charged upon it. 6. It is wholly unnecessary to refer a cause, in which it appears there are but two judgment liens, to a commissioner to ascertain the amount and priorities of liens, where the pleadings and proof show clearly what they are. 7. And where the court below has failed upon such pleadings and proof to ascertain the amounts and priorities of the liens under such circumstances, while the Appellate Court will reverse the decree, it may enter such a decree as the court below should have entered. 8. Where a suit in chancery is instituted to enforce a judgment lien, and the bill alleges that there is but one other judgment lien on the real estate sought to be held liable to the satisfaction of the judgment, and 'sets it up also as a lien on the land, tne decree should provide for the payment of both judgments, if the land is subject thereto.