delivered the opinion of the Court.
The appellant, N. Meyer Baker, as assignee of Leonard Auerbach, brought suit in the Circuit Court for Montgomery County against the appellees, William V. Dawson and Virginia M. Dawson, his wife, for specific performance of a contract for the sale by the Dawsons to Auerbach of an eighty-acre tract of land in that County. The Circuit Court dismissed the bill on the ground that some of the provisions of the contract were so indefinite as to prevent specific performance. Baker appeals.
Several other questions were raised by the defendants in the trial court and in this court, which were resolved by the Chancellor in favor of the appellant. They will be stated and considered below.
The Dawsons owned a farm consisting of three lots, Nos. 87, 88 and 89, in a subdivision designated as “Subdivision of the farm owned by Mrs. Mary J. Boland” on a plat thereof duly recorded among the land records of Montgomery County. These lots fronted on the road now known as “Old Route 240”, and had a total frontage on that road of 1066.5 feet. The aggregate area of the three lots had been 92.72 acres. Some of the land at the rear of the tract — about three or four acres — had been taken by the State Roads Commission and, in addition, some two acres had been cut off or isolated from the rest of the tract, leaving about 86 or perhaps 87 acres between the new road and Old Route 240.
A licensed real estate agent, a Mr. Measell, who was associated with a licensed broker, a Mr. Sigler, obtained Mr. Dawson’s assent to listing 80 acres of the Dawson tract for sale at a price which would net $500 an acre to the Dawsons, or $40,000 in all. The Dawsons wished to retain the dwelling
To meet the Dawsons’ objections, Sigler proceeded to amend the agreement by pen and ink. He changed the area from 85 to 80 acres, more or less, the total purchase price from $35,000 to $42,000, and the aggregate deferred payments from $22,000 to $29,000; and he added this provision in the body of the contract: “The Seller agrees to deliver eighty (80) acres of land with 4 room tenant house such land having a frontage of 866.5 feet on Old Route 240.” The agreement incorporated by reference a release and reservation clause designated as “Schedule A”, which was on the reverse side of the document. The first paragraph of Schedule A was not changed. It reads as follows: “Seller agrees to release any of the acreage fronting on Old Route 240, beginning at the northeast corner of said property, upon the payment to Seller by purchaser of $1000.00 per acre, each acre to have a frontage on Old Route 240 of not less than 200 feet; and $500.00 per acre for each acre not fronting on the road. All acres released shall be contiguous.” The second paragraph originally provided for exclusion from the contract of the residence and outbuildings presently occupied by the sellers and situated on a parcel of land with a frontage of 300 feet, on Old Route 240 and a depth of 400 feet, which would, amount to a little less than three acres. This was changed to “a frontage of 200 feet on Old Route 240 and a depth sufficient to take care of remaining acreage in excess of the eighty (80) acres covered by this contract.”
Sigler took the signed copies with him and submitted them a few days later to Baker, who was then acting as counsel for Auerbach. Auerbach approved the contract as amended and, in the presence of Baker, initialed the changes. This, according to Sigler’s testimony, took place on June 18th. Sigler then notified the Dawsons that the farm was sold. He also said to Mr. Dawson that he would have the documents redrafted and would submit them to the Dawsons as soon as this was done. He accordingly had them copied by typewriter on the same type of printed form as that originally used (which was his customary form). All of the changes made in ink on June 13th were incorporated therein verbatim and no other changes were made in the text. Auerbach signed copies of the rewritten agreement and Sigler took them out to the Dawsons, who then signed them on June 19th, 1955, which was a Sunday. All signatures on the final form ■of contract were dated June 19th. Auerbach’s signatures ■on the original form both on the face thereof and at the foot ■of Schedule A were dated June 13th; the Dawsons’ signatures on the face thereof were also dated June 13th. Their signatures to Schedule A were not dated, but were actually affixed on June 13th. Auerbach paid to Sigler a deposit of $1,000 in accordance with the agreement.
Auerbach assigned all of his rights in the contract to Baker on August 13, 1955.
Other facts and other provisions of the contract will be' referred to in connection with the particular questions to which they pertain.
Date When Contract Was Made.
The Chancellor held, correctly, we think, that a valid contract was entered into between the Dawsons and Auerbach between June 13th and June 18th. When the Dawsons .adopted the amendments to the form of contract submitted by
In this situation we think the rule stated in 1
Williston,
Contracts, Sec. 72, page 237, is applicable, that “if there has once been unequivocal acceptance, the contract is complete and its binding force cannot be affected by subsequent communications unless they amount to a mutual agreement to rescind or abandon the contract.” See
Painter v. Brainard-Cedar Realty Co., 29
Ohio App. 123,
It is unnecessary for us, as it was unnecessary for the Chancellor, to determine whether or not a contract for the sale of real estate is void because made on a Sunday.
Plaintiffs Standing as Assignee to Maintain Suit.
The defendants contend that the plaintiff, as assignee of Auerbach, cannot maintain this suit for specific performance, at least in the absence of Auerbach as an obligor or guarantor under the deed of trust to be executed to secure the deferred payments of the purchase price. The defendants point out that Auerbach is not a party to the suit and that he is not a resident of Maryland and urge that he is hence not amenable to the jurisdiction of the Circuit Court.
The defendants assert that this rule is inapplicable to the present case because they are entitled to the personal obligation of Auerbach under the deed of trust. The plaintiff points out that the contract does not provide for notes to be signed by the purchaser, but only for the giving of a deed of trust secured by the land. The similarity between deeds of trust, which are in common use in Montgomery and Prince George’s Counties, and mortgages has previously been noted by this Court.
LeBrun v. Prosise,
Even if the contract of sale should be interpreted as requiring that Auerbach join in the execution of the deed of trust and of any notes which might be secured thereby, Baker has offered to procure Auerbach’s joinder. It is true that Auerbach was not joined as a party to this suit, but there seems to be no reason why he should have been made a party • initially. The Dawsons’ objections to consummating the sale were based primarily (if not wholly) upon a controversy
A further ground for rejecting the defendants’ contention on this point is that under the contract, which provided for payment of the balance of the purchase price “on or before” eleven years from the date of settlement and payments of $2,000 or more per year until payment in full should be made, there is no reason why the plaintiff should not be entitled to a decree for specific performance, if he so elected, conditioned upon the payment of the entire balance of the purchase price in cash upon a conveyance being made.
Trotter v. Lewis,
As is stated in 138 A. R. R. 219: “Even though the contract calls for the vendee’s personal obligation or signature, the' assignee, by providing the same or, in some circumstances, a cash equivalent, may become entitled to a decree of specific performance.”
In view of Baker’s offer to procure Auerbach’s joinder in whatever documents his joinder might be necessary and in view of the fact that the contract could have been satisfied by payment of the entire purchase price in cash, we think that Baker is not precluded, by reason of his failure to join Auerbach as a party or to make a tender in the bill of Auerbach’s joinder in the execution of any necessary documents, from maintaining this suit for specific performance conditioned
The Alleged Uncertainties of the Contract.
The Chancellor held that the contract was so uncertain in the following respects as to bar enforcement by specific performance: first, and most important, with regard to the location of the land to be retained by the sellers and hence the exact description of the land to be sold to the purchaser; second, as to who was to pay the cost of the survey; and third, with regard to the terms of the deed of trust.
Description of the La-nd. The basis of the Chancellor’s finding that the contract was indefinite as to the description of the land was that there was “no specification and no testimony as to where the beginning line was to be drawn in order to omit from the entire farm the acreage which was to he retained by the sellers under the terms of the contract.” We do not agree with this view of the evidence.
The property sold is described in the first paragraph of the contract as the “Dawson Farm containing 80 acres more or less, also known as Mary J. Boland Farm in Montgomery County in the State of Maryland.” The second paragraph incorporates “Schedule A” on the reverse side as a part of the contract and contains the covenant of the sellers (previously quoted) to “deliver eighty (80) acres of land with 4 room tenant house [,] such land having a frontage of 866.5 feet on Old Route 240.” The provisions of Schedule A providing for the release of acreage have already been quoted. As will be recalled, the first paragraph of that Schedule called for the release of acreage fronting on Old Route 240 “beginning at the northeast corner of said prop
The evidence showed that Mr. Dawson in May, 1955, had furnished to Mr. Measell a copy of a recorded plat of the three lots which the Dawsons had acquired and which had been part of the Boland farm. A copy of this plat is in evidence. The easterly boundary of the three lots is a straight line bounding on Old Route 240, with a total length of 1066.5 feet. The northerly boundary runs in a more or less westerly direction from that road by three different courses, the first of which is roughly at a right angle to Old Route 240 and extends for 872 feet. The southerly boundary of the tract runs westerly from Old Route 240, also almost at a right angle thereto (though not quite parallel with the beginning of the northern boundary) and extends for a distance of 3029.5 feet. The buildings reserved to the sellers are all located within the tract reserved to them if the southernmost 200 feet of the frontage on Old Route 240 constitute the easterly line of that tract.
Reading Schedule A and other parts of the contract together (and Schedule A is a part of the contract), it is clear that the northeastern corner of the tract is included in the land to be sold; and bearing in mind that all lots to be released must be contiguous, it also seems clear that the area to be sold was intended to be a single, unbroken tract fronting on Old Route 240 and extending 866.5 feet southwards from the beginning point at the northeastern corner. That leaves the southernmost 200 feet of frontage on that road as the portion reserved to the sellers. The evidence indicates that the location of the land taken by the State Roads Commission (and of the ¡úece of land cut off by the parcel so taken
Starting with the premise that the 200-foot frontage on Old Route 240 is the eastern line of the tract to be retained by the sellers, we have assumed above that the southern line of that tract would be the southern boundary of their entire tract. Any other supposition would seem to us to border on the absurd, to borrow a phrase employed in
Moran v. Fifteenth Ward B. & L. Assn.,
131 N. J. Eq. 361,
It has been held in a number of cases in other jurisdictions that in the absence of wording to the contrary, boundary lines of conveyed property are to run straight and be parallel to their opposite numbers.
Collins v. Dresslar,
We think that this phase of the case is covered by what was said in
Neuland v. Millison,
Cost of a Survey.
Both parties proceeded during the summer and at least a part of the fall of 1955 on the assumption that a survey of the property was necessary. On August 4th Mr. Dawson wrote to Mr. Sigler asking that the deposit of $1,000 which had been made by the purchaser with Mr. Sigler be turned over to Mr. Dawson because he needed it “very badly” to finish this house “and get this land surveyed.” The title company handling the matter reported that it found the title satisfactory and was prepared to put through the settlement as soon as a survey was made and a proper description of the land based thereon was furnished. Difficul
Our study of the case leads us to think that the appellant is-correct in taking the position stated in his brief that a survey would be desirable but not necessary.
If a survey was necessary to an effective conveyance, the purchaser, or his assignee, we think, should have furnished it, in the absence of any contrary agreement, because of his undertaking to pay the costs of conveyancing. However, its absence does not bar the appellant from specific performance. The contract did not make time of the essence, the appellant was justified in expecting that the appellees would have the survey made at least up to a few days before the settlement date provided for by the contract, and after it became evident that the appellees would not do so, the appellant sought to-have the survey made at his own expense. We think he was not too late, since time was not of the essence. See
Chapman v.
Thomas,
Indefiniteness as to the Terms of the Deed of Trust. The absence from the contract of many usual terms found in deeds of trust or mortgages, such as covenants to pay taxes or insurance (the latter of which appears of trifling importance in this case) and provisions with regard to foreclosure is not fatal.
The Code (1957 Ed.), Article 21, Sec. 68, states that the “following forms shall be sufficient to convey real or personal property”. Then follow several sections setting forth forms of deeds and other instruments. Among them is Section 71, which is captioned “Form of Deed of Trust to Secure Debts, Indemnify Securities, or Other Purposes” and reads as follows :
“71. This deed, made this .... day of ........, in the year....., by me, ............, witnesseth, that whereas (here insert the consideration for making the deed,) I, said ............, do grant unto ............, as trustee, the following property, (here describe the property,) in trust for the following purposes, (here insert the purposes of the trust, and any covenant that may be agreed upon).
“Witness my hand and seal.
“Test:
A. B. [SEAL.]”
In many respects a deed of trust is a mortgage
(Manor Coal Co. v. Beckman,
Some terms of the deed of trust are spelled out. It is to be on the premises sold and is to secure an aggregate of $29,000, payable “on or before” eleven years from date of settlement, with interest at the rate of 5% per annum, and “payable $2,000 or more each year, plus interest.” In addition, there are the release provisions set forth in Schedule A, and any amounts paid pursuant to those provisions are, we think, to be in addition to the minimum payments of $2,000 a year. Any balance remaining unpaid at the end of eleven years is then due. All of these provisions can readily be covered by the deed of trust, and we find no inconsistency between them. This case falls under the second decision (based upon an amended declaration) in
Applestein v. Royal Realty Corporation,
Another term of the contract relating to the deed of trust can readily be met — that the trustees shall be named by the
We should have no doubt that if the question presented was whether or not a deed of trust in some particular form was in conformity with the contract, it would be found to be so if it were in any form in general use in Montgomery County. That, however, is not the precise question before us, and no actual form of deed of trust has been tendered by the purchaser or offered in evidence. Doubtless such a form could readily be procured, and the appellant has expressed a willingness to execute any such form in use by the title company handling the settlement. The appellees, however, have rejected any such offer and stand on their contention that the contract as drawn is too indefinite to be specifically enforced and say that there is no proof of any customary form. A consequence of this position may be that they will wind up-with a less desirable instrument than they could easily have-had for their own protection. If they should find themselves in that position, it would seem that they would simply have to-take what the contract calls for.
Hartsock v. Mort, 76
Md. 281, 291,
They point out the absence of any foreclosure provisions, and it is certainly true that no default clauses with a power of sale exercisable upon default are spelled out. It may. also be quite true, as they contend, that there is no one standard or customary form of deed of trust in general use in Montgomery County dealing with such matters. However, we think that there is no serious difficulty in inferring from the terms of the contract a right of foreclosure which the beneficiaries of the trust may enforce in the event of default in the payment when due of any of the sums, principal or interest, specified in the contract. In
Manor Coal Co. v. Beck-man, supra,
there was a deed of trust in the nature of a mortgage which had been executed to secure bonds issued by a coal company. The holders of a majority of these bonds exchanged them for bonds of another coal company. The holders of a minority of the bonds called upon the trustee under the deed to exercise the power of sale conferred there
The appellees’ claim of vagueness based upon the absence of any provision as to who should procure and pay for a survey in connection with a release is without force. The contract does not obligate them to do so; and if the purchaser wants a release and needs a survey to obtain it, he must undertake to get it and pay for it.
We think that the contract contemplates the payment of interest annually, except that if a release is sought, interest must be paid on the principal sum paid for the release up to the date of the release.
The absence of a defeasance clause is likewise of no significance. The deed of trust is to secure payment of the purchase price. When it is paid, the purchaser is entitled to a release. That is implicit in the contract and could be made explicit in the deed of trust.
Delay
What we have said above in considering the matter of a survey disposes of any defense advanced by the sellers based upon delay in settlement.
Conclusions
We hold that Baker, as assignee of the purchaser, Auerbach, is entitled to a decree of specific performance against
Several matters are left open which may require further consideration in the Circuit Court. Therefore, in reversing the decree in accordance with the views above expressed, we deem it appropriate to remand the case to the Circuit Court for further proceedings not inconsistent with this opinion and, following a determination of such matters left open as may require decision, for the passage of a decree for specific performance likewise not inconsistent herewith.
Decree reversed and case remanded for further proceedings and the passage of a decree for specific performance, not inconsistent with this opinion; the costs of this appeal to be paid by the appellees.
Notes
. No such contention having been made, it would not be properly before this Court. Rule 885, Maryland Rules. A contention might conceivably have been made that a change was effected in the settlement date which was normally to be computed from the date of the sellers’ “acceptance.” Perhaps it was not made because it seems obvious that it would have availed the defendants nothing for the reason that if the agreement dated June 19th were void because made on Sunday, it would be wholly without effect as a modification of the valid agreement previously made.
