19 Iowa 544 | Iowa | 1865
The general rule is, that whatever puts a party upon inquiry amounts, in judgment of law, to a notice of all such facts, as by the exercise of ordinary duty and diligence, would be developed by the inquiry. Again, it is stated as a general doctrine, that if a person purchases real estate which he knows to be in the occupation of another than the vendor, he is bound by all the equities which the party in such occupation may have in the land. These rules are frequently used in the books as synonymous, and are, by our best legal writers, interchangeably employed in relation to the same subject matter. But it is evident that if whatever is sufficient to put a party upon inquiry is held to be good notice to bind him that he may be charged with notice of and bound by equities other than those which pertain to the party in occupation; since an inquiry of such party would almost necessarily develop the title of the party under whom he claimed. The rule first stated seems, therefore, to have a broader scope than the latter. To-give effect to this broader rule, will recognize the correctness of and give force to the other; while to limit ourselves-to the latter, will amount to a repudiation of a portion of the former.
But the- adjudications upon the question are more irreconcilable than the elementary rules just stated. In Flagg v. Mann, 2 Sumn., 486, and in Beattie v. Butler, 21 Mo., 313, it was expressly held, that the possession of the tenant was not notice of the lessor’s title, but only of the equities of the tenant. The opinion in the case of Flagg v. Mann was delivered by Judge Story, and evinces his characteristic research. So far as authority is concerned, it is based alone upon the text in 2 Sug/
On the other hand, it has been repeatedly held, after thorough examination, by the Supreme Court of Pennsylvania, that the possession of a tenant operates as notice, not only of his own title but of that of the landlord under whom he claims. Vide Sailor v. Hertzog, 4 Whart., 259; Hood v. Fahnestock, 1 Penn., 470; Kerr v. Doy, 14 Id., 112 ; 117, and authorities cited, and Wright v. Wood, 23 Id., 120, 130; see, also, Boggs v. Vanney, 6 Watts & Serg., 474. The same doctrine was expressly held in Pittman v. Gaty et al, 5 Gilm., 186; but, although it was the pivotal point in the case, it does not appear to have received a careful or thorough examination, but rather to have been taken for granted as a well settled rule. In the case of Morrison v. March, 4 Minn., 422, the doctrine underwent a reasonably thorough examination, and, upon a review of the adjudications and elementary authorities, it was held, that it is no more than reasonable to require a purchaser, when he buys land or takes an incumbrance on it, when it is in the actual possession of some one other than the vendor, to communicate with the tenants or other occupants, and find- out the particulars of their claims or interests, and also from whom they hold.'
In the case of the Bank of Orleans v. Flagg, 3 Barb. Ch. 317, it was expressly held, per Walworth, Chancellor, that the possession of the tenant, was, in equity, constructive notice of the rights of the landlord. And in Buck v.
Upon principle, it appears to us, that the adjudications of the courts of Pennsylvania, New York, Illinois, Ken* tucky and Minnesota cited supra, hold the better doctrine. Mr. Justice Story in his treatise on Equity Jurisprudence, vol. 1, § 400, says: “If a person should purchase an estate from the owner, knowing it to be in the possession of tenants, he is bound to inquire into the estate which these tenants have, and therefore he is affected with all the facts as to their estate.” This is the general doctrine, as laid down by all elementary writers, and illustrated by numberless decisions. A person who purchases an estate, in the possession of another than his vendor is, in equity, that is, in good faith, bound to inquire of such possessor what right he has in the estate. If he fails to make such inquiry, which ordinary good faith requires of him, equity charges him with notice of all the facts that such inquiry would disclose. Suppose the possessor is a tenant holding under a lease, an inquiry of such tenant would advise the purchaser, not only of the length of time and terms of tenancy, but also of the landlord, and hence, that some other person than his proposed vendor, claimed a right to the estate and was holding possession thereof by his tenant. Being thus advised, equity in vindication of ordinary good faith, requires him to ascertain the extent of right of such landlord in the estate.
Notice of a lease, it is said by Judge Story, will be notice of its contents. 1 Story’s Eq. Juris., § 400. Now, possession by tenant is notice to a purchaser of his lease, and hence of its contents, but being notified of its contents he is thereby notified that another than his proposed ven*
The possession of the land being in another than the vendor, is notice to the purchaser that his vendor has not a perfect title. Such purchaser is, therefore, put upon inquiry as to the defect in his vendor’s title. There is no particular merit in the possessor whereby the law or equity would sanctify his title, but his possession becomes a notice to the purchaser of a defect in his vendor’s title, whereby his is vitiated or tainted, and such notice inures to the benefit of the possessor and his landlord. By reason of the wrongs perpetrated under such sales, the statutes of some of the States declare the sale and conveyance of land in the adverse possession of another, absolutely void. Griffith v. Dicken, 4 Dana, 563; Whitesides v. Martin, 7 Yerg., 384; Allen v. Smith, 1 Leigh, 248; Swett v. Poor, 11 Mass., 549; Wolcot v. Knight, 6 Id., 418; Williams v. Jackson, 4 Johns., 489; Sherwood v. Burr, 4 Day (Conn.), 244.
Indeed, these statutes against sal^s of land in adverse-possession, upon which the several decisions just cited were had, are said to be but declarative of a maxim of the common law, that nothing in action, entry or reentry can be
We unite, therefore, in the opinion that the possession of the one lot by Dickey’s tenant was notice to Turner of Dickey’s title thereto, and that Turner holds his apparent legal title for the benefit of Dickey, and must convey the same to him.
But, in the view of the writer of this opinion, there arises, as to the other lot, upon which there was no improvement, in fact, a still more difficult question than as to the first lot. While I am not without much doubt as to the rule applicable to the peculiar circumstances of this case, which is without analogy in any of the adjudicated cases within the scope of my examination, I am inclined to hold that the plaintiff’s equities should prevail over the defendant’s legal title.
So far as the judgment of the District Court directs the conveyance to and quieting of the title in the plaintiff, to the lot whereon the house stands, it is affirmed; but as to the second lot, the judgment of the District Court is reversed, and decree will be entered in this court accordingly.
Eeversed.