State v. Duncan
2011 ND 85
| N.D. | 2011Background
- David Locken and Virgil Locken bought land in Dickey County by contract for deed (1973) from Wanda Johnson and Ardys Sand with a $12,000 down payment and $4,000 annual installments; final payment scheduled March 1, 1998 for $46,500 plus interest.
- The contract was recorded on March 7, 1973 and sellers were to convey a warranty deed upon full performance; deed recorded 1978 after subsequent conveyances.
- In 1977–1981, Virgil Locken gifted the land to his children, with those interests reconveyed to the Virgil and Marjorie Locken Family Trust in 2002.
- Marjorie Locken and Virgil Locken both died (2001 and 2006 respectively), and both wills devised all land interests to David Locken.
- In 2007 the trust claimed possession and then conveyed the land through intermediaries; in January 2008 David Locken filed suit asserting a one-fourth interest under his mother’s will and his 1974 assignment of a contract interest, naming numerous claimants.
- The district court granted summary judgment holding Locken’s claim barred by the Marketable Record Title Act and by the statute of limitations for contract-for-deed actions; the court held the “due date of the last payment” occurred when the deed was recorded in 1978, before suit.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether MRTA §47-19.1-11(1)(c) protects title despite later contract-for-deed actions. | Locken relies on MRTA exception for contracts not barred by limitations. | Defense argues MRTA excludes such claims if limitations apply. | No; MRTA exception does not save the claim. |
| What constitutes the “due date” under NDCC 28-01-42 for a contract for deed. | Locken says due date is March 1, 1998 (last payment due). | Defendants say due date is when last payment was actually made and deed satisfied (1978). | Due date means the date the contract was satisfied (last payment made/recorded). |
Key Cases Cited
- Harrington v. Security State Bank, 452 N.W.2d 72 (N.D. 1990) (clarifies 20-year window with exceptions under 28-01-42)
- Langer v. Gray, 73 N.D. 437, 15 N.W.2d 732 (N.D. 1944) (“due date” interpretation context, not controlling here)
- Ramiller v. Ramiller, 18 N.W.2d 622 (Iowa 1945) (origin of title-clearing purposes of 11028-like provisions)
- Jennings v. Schmitz, 20 N.W.2d 897 (Iowa 1945) (tolling considerations for nonresidents under similar statutes)
- Monast v. Manley, 293 N.W.12 (Iowa 1940) (treatment of mortgage/debt and contract interplay under limitations)