33 W. Va. 738 | W. Va. | 1890
In June, 1887, Frank Barrett brought this suit in the Circuit Court of Pocahontas county against William McAllister and others, alleging in. his bill that on April 8,1887, William McAllister, Samuel C. Tardy, and Samuel C. Tardy, Jr., owned a tract of land in Pocahontas county containing 4,711 acres, composed of several contiguous parcels conveyed by a deed exhibited with the bill; that on April 8, 1887, he entered into negotiations with said McAllister and Tardys, through McAllister, acting for himself and said Tardys, for the purchase of 2,500 acres, part of said 4,711 acres, and said defendants made a verbal agreement to sell him the 2,500 acres for $L25 per acre, half to be paid in cash, the balance in twelve months; that McAllister furnished Barrett with a plat of the 4,711 acres, showing the parcels composing it, aud designated the 2,500 acres embraced in the verbal contract as made up of lots 8, 9 10, and 11’on the plat, containing, respectively, 440, 415, 530, and 547 acres, and so much of lots Nos. 6 and 7 on said plat as would make up the 2,500 acres, by running a line from the most southerly corner of lot 6 to the eastern side of lot No. 7, taking that part of lots Nos. 6 and 7 on the west of said line. The bill further alleged that Barrett asked that the contract be reduced to writing; that on the 25th of May, 1887, said McAllister, for himself and co-owners, made a proposition in writing, signed by McAllister, to sell to Barrett 2,500 acres of timbered land in Pocahontas county, meaning the 2,500 acres above described, and about which said verbal negotiations had previously taken place, for $1.25 per acre cash, if paid within fifteen days after the 25th day of May, 1887; that after the making of this proposition, and before its acceptance by the plaintiff, to wit, on June 6, 1887, McAllister went with plaintiff on the land, and pointed out the 2,500 acres, and pointed out on a plat said 2,500 acres as embraced within lots Nos. 8, 9, 10, and 11, containing 440, 415, 530, and 547 acres, respectively, laid down on said plat, and so much of lots Nos. 6 and 7 thereon adjoining lots 8 and 9 as would be required to make up the 2,500 acres
The bill further alleges that when Hile began negotiations for such purchase he had notice of the contract between plaintiff'and McAllister and Tardys, and that they conspired fraudulently to cheat and defraud the plaintiff'out of the land; that the plaintiff was still ready and willing to comply with his conti’act, and pay the purchase-money, upon the execution of a proper deed, and he demanded the same, and prayed that McAllister and Samuel C. Tardy and Samuel C. Tardy, Jr., be compelled to make him a deed for the 2,500 aci’es of land upon his payment of the pui’chase-money, and that defendants I). W. Hile, Anthony Bloom, and Eli Bloom be compelled to join in the deed, or, if such specific perfonnance could not be had, that the court would adjudicate that the sale to Hile and Bloom was a sale for the use and benefit of the plaintiff, and that he be decreed $2,500.00 of the purchase-money which Hile and Bloom were to pay for the land, that being the excess which they paid over what
The answer of McAllister denies the allegation of the bill that on April 8, 1887, he entered into negotiations with Barrett for the sale of 2,500 acres of land, or that he then made any agreement to sell plaintiff any of said land at any price, or that he furnished a plat to the plaintiff showing said 2,500 acres, or designated the part -which would go to make up the 2,500 acres, or that any line was agreed on to designate any certain part which he was willing to sell. He denies that he was ever required to put the alleged verbal contract in writing, and says that, on the contrary, all that was ever said by plaintiff \$as contained in a letter of May 11, 1887, in this language; “I do not want an option, but simply write me that you will sell to me at $1.25 per acre, if I come before sold, and that you will hold it open fifteen days for mo.” He admits that he wrote the letter filed with the bill, but says that no body of said land had been or was afterwards designated as said 2,500 acres. He says that -when he went with plaintiff on the land on June 6, 1887, he told the plaintiff that any sale would have to embrace lots Nos. 8, 9, 10, and 11, but that no parts of lots Nos. 6 and 7 were specially designated, and no line through them was agreed upon. He denied that Barrett, on June 7, 1887, accepted the proposition contained in said letter, and was then, or on the 8th or 9th of June, 1887, ready to pay, and offered to pay, the purchase-money, but, on the contrary, made no tender of any money, but that he (McAllis-ter) said to Barrett that if he would tender the money in cash that he and his co-owners would make him a deed before taking possession of the money, and that Barrett might in the mean time deposit the money in any hand he saw fit. This answer admits that on June 10th, 1887, McAllister and his co-owners sold to Hile and Bloom 2,514 acres of the 4,711 acres at $2.25 per acre, but denied that negotiations for this sale were commenced on June 8th, or that any negotiations or sale were made until the 10th of June: and denied that this sale was the reason why he did not sell to plaintiff. Samuel C. Tardy and Samuel C. Tardy,
Though D. "W". Hile, Anthony Bloom, and Eli Bloom were not served with process, and did not appear, but were proceeded against as non-residents, the decree recites that the cause was heard on the bill taken for confessed against them. This decree was that the plaintiff, Barrett, recover of the defendants $2,500, with interest from June 10, 1887, and costs, said sum being the excess of the sale made to Hile and Bloom over the sale to Barrett; and the decree provided that, on failure of payment, the land be sold. Prom this decree McAllister and Samuel 0. Tardy and Samuel C. Tardy, Jr., took an appeal; and since it was granted D. W. Hile, Anthony Bloom and Eli Bloom have appeared in this court, and joined the original appellants in complaining of said decree, and adopt the petition filed by said original appellants, assigning errors as their own.
I here insert the letter written by McAllister to Barrett, on which this suit is based : “Warm Springs, Va., May 25, ’89. Prank Barrett, Esq. — My Dear Sir : Yours of the 22d instant, mailed on the 23d, just to hand. I have heard from my parties, and they authorize me to say that we will take one dollar and twenty five cents per acre cash for 2,500 acres of timbered land in Pocahontas county, West Ya., if paid within fifteen days. That will run us to the 9th June proxi-mo ; so let your parties know, and come on at once. My parties are not anxious to sell, but, under my advice, they have consented to do so at the price named. There will be no time to lose. Write me at once what day to look for you, as I wish to have my men join us, and they reside in Lynch-burg. Yours, very truly, William McAllister.”
A vital question is whether the proposal contained in the letter was, within the 15 days limited by it, accepted by Barrett, and his acceptance make known to McAllister; for if it was not both accepted, and the acceptance communicated to McAllister, the option is at an end. Weaver v. Burr,
Just here let us note that both McAllister and Barrett concur that at Huntersville, on June 9th, after they had inspected'the land, they talked about the execution of a deed, and how long it would take to get it from Lynchburg, and about going to Warm Springs to wait until a deed could be prepared and executed. Why talk about the execution of a deed, if the land was not satisfactory ? Why talk about a deed, if Barrett had not accepted the option ? The fact that they so talked about a deed proves that Barrett had accepted the option and informed McAllister of it; indeed, this conversation about a deed is of itself acceptance. Furthermore, McAllister says that Barrett offered a check or checks in payment. Why talk about checks as payment had there been no acceptance ? Does not this confirm Barrett when he says he told McAllister that the land was satisfactory, and he would take it and pay for it ? McAllister does deny that Barrett informed him on the 6th or 7th of June of his acceptance, but he does not deny that in this conversation at Huntersville, on the 9th, Barrett stated to him that he had informed him of his acceptance two days before, or that on that day he told him he would take the land. McAllister himself states that in this Huutersville conversation, on June 9th, the contention between him and Barrett consisted in this: that McAllister asked money and refused checks, whereas Barrett demanded a deed before payment. This presupposes an acceptance of the proposal by Barrett, and a knowledge of it by McAllister. Barrett and Walker, on the 9fh of June, went to Warm Springs, reaching there the same day, and McAllister, Hile, add Tardy started for that point together, but stopped over night at Mountain Grove.
How comes another important .question in the cause, namely, whether, though Barrett did, within the period limited, accept the option, such acceptance was unavailing, because he did not within such period pay’ or tender the purchase-money for the land when the vendors were not ready to deliver a deed. It is clear that he neither tendered nor paid money. In Weaver v. Burr, supra, 31 W. Va. 736, (8 S. E. Rep. 743) there was a difference of opinion in this Court upon the question whether, in such an option, both acceptance and payment or tender of purchase-money must occur within the period limited in the option — three of the judges holding that there must, within that period, be acceptance, notice thereof, and payment, or at lest tender, of the purchase-money; while Judge Snyder was of opinion that, when acceptance and notice occur within the period, the option becomes thereby an ordinary executory contract, and the period limited is unimportant; at least, the right to execution does not alone depend on that period. In the present case it is clear that Barrett had no actual money with which to make the payment, but it is reasonably certain that Barrett could and would have paid the money by checks which would have been honored; but it is also clear that McAllister refused checks, and demanded actual money, or a tender of actual money. Walker says that he bargained with Barrett to buy three fifths of the land, at $2.25 per acre,
It is proven by the cashier of the Clearfield National Bank of Clearfield, Pa., that at that time Walker’s check would have been good for $3,375.00, which would have more than paid McAllister. The cashier states that Walker’s check had always been, up to the date of his deposition, good for any amount for which he would draw. Barrett asked Mc-Allister to telegraph, at Barrett’s expense, to said bank to learn whether Walker’s check would be good, which he declined to do. Barrett says he named J. B. Walker in his request to McAllister to so telegraph, while McAllister and another witness, while admitting that such request to telegraph was made, say that Walker’s name was not mentioned. It would be reasonably expected that Barrett would name the person as to whose credit it was proposed to telegraph, but, if he tailed in naming the person, of course that would have been made known when the telegram should be drawn, had McAllister assented to the proposition to telegraph. On June 9th, Barrett telegraphed said bank, asking whether Walker’s check would be good for $3,500.00, and under date of June 10th received reply from the bank that it would be good. Barrett had Clarence L. Barrett’s check for $2,-500.00. There is some evidence tending to show that Barrett had told McAllister that this check was not to be used ; but Clarence L. Barrett was a brother of Prank’s, and was in close relations to him in business, and he was interested in this transaction, and had agreed to take a fifth share, and, had there been need of the check, it is fair to say that it could have been used. And Hile went there to buy and pay for a share, and, had not a negotiation sprung up between him and McAllister resulting in a sale to Hile, it is reasonable to say, as Hile was anxious to have a share as shown by Bloom’s evidence and the fact that he did buy of McAllister, and indeed his own deposition, Hile would have furnished a considerable part of the money. Barrett had told McAllister before this that the men whom he would bring to see the land were the men who would furnish the money. Barrett in his evidence says he expected Walker’s cheek to go direct to McAllister, and, in speaking of his further resources to pay for the land, said :
*748 “I had an arrangement with J. S. Blackaller, cashier of First National Bank, Gallipolis, Ohio, who is and has been a partner with me in real estate transactions, who has and does furnish me with money to carry on my real estate transactions. Mr. Blackaller is a silent partner. I had no specific arrangement with him to furnish money in this particular instance, but he is interested with me in this matter. lie has always honored my checks whenever I have written or telegraphed him to de so. I aiso have a gentleman worth $25,000.00, who always indorsed my note whenever I ask him. I also had a telegram from the Clear-field Bank that Mr. Walker’s check was good for $3,500.00. From these sources I knew I could get the money.”
No showing is made that these reasons to sustain Barrett’s ability to pay were groundless. And, in connection with the subject of Barrett’s ability to pay, it is to be added that McAllister, before this transaction, handled two of Barrett’s checks, one for $600.00, and one for $20.00, which were duly honored.' Thus I think it entirely safe to say that Barrett was able to obtain means to pay for the land, and that McAllister had reasons to believe and know that checks could be given him, if he was willing to take them, which would realize the money; or, if he chose not to receive them, that he knew Barrett could and would have the actual money there by the time a deed could be prepared and executed by him and his wife, and then sent to Lynchburg to be executed by Samuel C. Tardy and wife, and returned to Warm Springs. Barrett was willing and anxious to pay by checks, but McAllister refused this mode of payment, and demanded actual money, or at least tender of it.
Was Barrett bound to pay or tender within the fifteen days? It is beyond question that, had Barrett tendered money on any day within the fifteen days, no delivery of a deed to him could have been made, for not the mark of a pen in the preparation of the deed had been made. The land was owned equally by McAllister and the two Tardys. When at Warm Springs, about to go to inspect the land, Barrett told McAllister that, if the land suited the parties, they would pay "for it, and would want the deed to take home with them; and McAllister said they would have to
Could he demand the money when he had no deed on his part to deliver? He certainly could not claim that the money should be paid to him before the delivery of a deed; for that would put Barrett to the hazard of some of the parties failing to execute the deed, or of its being defective in form or effect, aud of the inability or refusal of McAllis-ter to refund. Could he demand, if not actual payment of money, a tender ? It would seem that it would be doing a useless thing to make a tender which could not be consummated by payment, seeing that the vendor could not deliver a deed. A tender was not needed to show willingness to pay, for acceptance had shown that. It would show ability to pay, it is true, so that the vendor, after a tender, could not fear that it was useless to go on and prepare the conveyance. It would only show ability to pay, aud this, for reasons above given, we think is shown to a reasonable certainty. So that, practically, in this case, all which a mere tender would show was shown by the fact that Barrett could give solvent checks, which would have been honored by the time the
It may be said that the vendee in his action at law against the vendor for failure to perform his contract must make hi.¡ part of the contract a condition precedent, as well as must the vendor in his action against the vendee for failure to perform bis part of the contract, and each must aver performance of his part of the contract, ortender of performance. It seems that in formal actions at law for damages for breach of the contract such is the rule of pleading. 2 Lomax, Dig. p. 48, § 8; 3 Rob. Pr. (New) 572, 573. But as Judge TuckeR said in Jackson v. Ligon, 3 Leigh, 186, while in every case of dependent covenants time is, at law of the essence of the contract, it is in equity on general principles otherwise ; and it is the boast of equity that it looks at the substance of things, regardless of forms, and relieves against forfeitures and penalties incommensurate to the injury which the party has done,
This admits that there may be an excuse for non-payment within the time. Even where the option makes payment within a period the act or evidence of acceptance, and strict as would be the rule against the vendee where the vendor
Barrett swears: “On the evening of June 7th I went up stairs to my room. I had a pair of moccasins on, my room being in front of Walker’s, McAllister’s and Nile’s room. I saw Hile and McAllister standing close together, their faces almost touching, talking in a whisper, and as I entered the room they immediately stopped, and walked down stairs. On the morning of the 8th, after McAllister
Hile says, in his cross-examination by Barrett: “There was no contract signed that night. There was a contract draughted that night at Mr. Hickey’s house, at Mountain Grove, which provided I was to have the land, if Barrett did not come up to time. This was Thursday, June 9th. There was no price fixed. There was another contract. I was to go so and so, in case Barrett did not come to time.” He also says: “There was no arrangement made at Mountain Grove for the purchase of .this land of McAllister. If Barrett did not take it, McAllister said he would negotiate with me, but would not do so until he would see if Barrett would come to time. No price was fixed there for the land. I told McAllister that I had to leave the next day, and was going home the next week, and to do so I had to make the train at Millboro at 3 o’clock that day. I had nothing to do with the drawing of that paper that was drawn there. I went to bed that night, the 9th, and McAllister drew up the contract, and I did not see him draw the contract, but suppose he drew it. I told McAllister we would have but a limited time-the next day at Warm Springs. This was the only object that I know of in his drawing the contract that night — to save time. The next day we entered into the
In a re-cross-examination he says: “ That night at Mountain Grove, I wanted to make the train, and wanted to have the outlines of the contract so I could get away, and we talked the matter over, and I went away to bed. McAllister drew the paper. I can’t say whether the same party filled in the blanks in the contract next day. I can’t say whether it was the same contract drawn the day before at Mountain Grove.”
The next morning, June 10th, McAllister sent for Barrett to come to his office, and then said to him that he had received the written notice léft at his residence, and that he supposed if he had the money the day before he still had it, and he was ready to receive it, and would not touch a dollar of it until the deed was ready, and he could place it in the hands of any one; but Barrett paid or tendered no money, but offered to pay in checks, demanded a deed, and stated that he would be ready to pay when the deed was ready, and delivered McAllister the following writing:
“I say to W. M. McAllister that I will pay him $3,125.00 in currency at any time that the deed is made. I am here at Warm Springs, ready to pay the money whenever the deed is made. I further say that, if Mr. McAllister has any doubts about the money being ready, he can telegraph to the county National Bank of Clearfield, Pa., and see if the money is in bank, and whether it will be paid on cheek or not, I was here at Warm Springs on the 9th of June, 1887, and served notice on McAllister to that effect. Frank Barrett.”
MoAllister called attention of bystanders to the fact that Barrett had no money, and said to Hile, who was on the office porch, as Barrett swears: “Come on and we will finish up cur agreement.” But McAllister denies this, and says that he said to Hile: “Now, Mr. Hile, I am ready to talk with you which shows that he had had a previous talk; and he sold the land to Hile at $2.25 per acre that same day. What other conclusion can we reach than that McAllister formed the opinion, or had the knowledge, that he could sell to Hile for a greater price than Barrett was to give, and that
Another point made by appellant is that the contract is so indefinite in the description of the land as to be incapable of specific performance. The letter of proposal does not describe the land further than as- “2,500 acres of timbered land in Pocahontas county,” evidently referring to a previous negotiation. This letter called for timbered land, and it does not appear that McAllister and his co-owners owned any other timbered land. And, again, the agreement by which McAllister and his co-owners sold the land to Hile defines the land, and the bill charges that it is the same land which McAllister and his co-owners sold to Barrett, and the answer does not deny it, aud Hile says : “The lands we bought were the same lands we were looking over and examining.” Barrett’s evidence is that by a verbal contract in April, 1887, McAllister described the 2,500 acres as lying-on Gauley mountain and head-waters of Gauley and Elk rivers, and that they went over the land, and McAllister pointed out the land he was selling as lots designated on said plat as lots numbered 8, 9, 10, and 11, containing 440, 415, 530, and 547 acres, respectively, and a sufficient quantity of lots 6 and 7 to make in the aggregate 2,500, by running a line from the most southerly corner of lot 6 to the eastern side of lot 7. Walker says the land in question on the plat was lots 8, 9, 10, and 11, and parts of 6 and 7; and that McAllis-ter, while they were at Gibson’s ougaged in inspecting the land, laid this plat down on the porch, and pointed out these lots, and marked them. Hile says he ' saw the plat spread on the porch, at Gibson’s several times, but can’t say whether the land was pointed out or not, and that they had it and inspected it on the land. So do the guides say. Hile says he has no recollection of lots 2 and 5 being mentioned, but that McAllister was to sell lots 8, 9, 10, and 11, and enough of lots 6 and 7, to make 2,500 acres. Gibson says
In Preston v. Preston, 95 U. S. 200, Mr. Justice Field says that it is a familiar rule that a contract whieh a court of equity will specifically enforce must be certain, and “the certainty required has reference both to the description of the property and the estate to be conveyed. Uncertainty as to either, not capable of being removed by extrinsic evidence, is fatal to any suit for a specific performance.”
In Creigh v. Boggs, 19 W. Va. 240, a mistake was made, not in reducing the contract to writing, but in the supposition that the boundary would include a mill-site, and upon the discovery that it did not include it the parties agreed verbally to so change the boundary as to include it, and a plat was made by a surveyor of the boundary including the mill-site, and the defendant admitting the mistake and its correction orally, yet raised the statute of frauds against a bill filed by the purchaser to enforce the contract with the verbal alteration; and this Court held that specific performance should be decreed.
In Mathews v. Jarrett, 20 W. Va. 415, in delivering the opinion, Judge SNYDER says: “Extrinsic evidence, however, is only admissible to a very limited extent, and for purposes well defined and limited. It can not be used to supply any defect or omission in the terms of the written contract. It is strictly confined, in cases where no fraud, mistake, or other equitable incident of a similar character is alleged, to the function of explanation, and of exhibiting the surround
See cases there cited. See, also, Woollam v Hearn, 2 Lead. Cas. Eq. 1029. Though the fact of a sale is proven by a writing, lam not disposed to go very far in admitting oral evidence to define the land sold, where the writing does not define it; and, had the statute of frauds been pointedly pleaded, I would think this evidence not admissible. The answer does not set up the statute of frauds as a defence'. It does not say there was no such contract as that pleaded in the bill, but, on the contrary, it admits the letter, and says that, while inspecting the land under the offer contained in this letter, McAllister said to Barrett “that any sale he would make would have to embrace lots Nos. 8, 9, 10, and 11, but no part of lots 6 and 7 was specially designated, and no line through them agreed upon;” thus admitting the oral agreement identifying the land, except as to the line through lots 6 and 7. The whole body of the agreement, except in this respect, is admitted. It is argued here that the answer is such a. denial as requires the plaintiff to prove a contract valid under the statute — that is', by writing — without the answer's raising that defence; and we are cited to Kay v. Curd, 6 B. Mon. 100; Bank v. Root, 3 Paige, 478; Wynn v. Garland, 19 Ark. 23; Small v. Owings, 1 Md. Ch. 363; and other cases. An examination of these cases shows that in most of them the answer wholly denied any contract as alleged in the bill. Kay v. Curd is a case where the statute was pleaded. Others were cases where there was a material and essential difference between the contract alleged in the bill and that admitted in the answer. Where such is the case, the case is as though the answer had wholly denied the making of the contract. It must be a difference essentially affecting the contract. Harris v. Knickerbacker, 5 Wend. 638. Here, then, is, to repeat, an admission of an agreement to sell wholly four lots, and parts of 6 and 7, and only the particular line through these two lots is controverted. It is settled law that if the defendant admits the agreement, but relies on the statute as a defence in his pleadings, he can protect himself from a decree of specific performance, not
Another consideration not without weight, touching the matter of certainty of description, is this, that the bill prays relief in the alternative, that is, either for a conveyance of the land, or, if that could not be had, that the court would decree that the sale made by McAllister and the Tardys to Hile and Bloom was for his' use and benefit, and that he be decreed $2,500.00, the excess of purchase-money which Hile and-Bloom paid over what Barrett was to pay, and so the court decreed. This is entirely consistent with equity practice. On the execution of a contract of sale of real estate, the vendor becomes trustee for vendee, and, if he sells subsequently to a third person, the proceeds will be affected with the trust, and the vendee is entitled to require that they shall be paid over to him in lieu of the estate which had been placed beyond his reach,. Such relief is based on the well-settled and reasonable rule that one person whose property is wrongfully converted into money may waive the tort, and will then be as much bound by and entitled under the contract as if made with his consent. Seton v. Slade, 2 Lead. Cas. Eq. 1154; and on page 477 of 25 W. Va., in opinion in Ballard v. Ballard; 2 Pom. Eq. Jur. § 591. It is clear that when Hile and Bloom purchased of McAllister and Tardys, Hile, who acted for himself and Bloom in purchasing, had full notice of Barrett’s equity, and notice to him was notice to Bloom, as he acted as their agent. Perry, Trusts, § 222; Bump. Fraud. Conv. 495. Eli Bloom says he knew of Barrett’s rights, and expected a law suit.
Walker is not a party. It is complained of as an error. A month after Barrett’s acceptance, in July, 1887, he purchased of Hile a fourth interest in the land, as shown in evidence.
The decree is reversed, with costs to appellants, and the cause is remanded- for further proceedings, as indicated in this opinion, and, further, according to the principles and practice governing courts of equity.
Reversed. Remanded.