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Holland v. W. C. Belcher Land Mortgage Co.Holland v. W. C. Belcher Land Mortgage Co.

Court of Appeals of Texas
Dec 16, 1922
No. 10079. [fn*]
Versions:248 S.W. 803

Tes.) vendee, ing gages.” tfc.c-.reof, chattels, purchasers, against pealed. named utes ed, Fields, “All Article such sale to be however, judgment shall, seizure and sale judgment 1914, provides reservation be void registered or S. M. defendants, shall be held an execution when 5654, unless such defendants security that no so as as to creditors possession Vernon’s HOLLAND C. W. Fields. rendered. of the applied is in favor as required recovery and order reservations be thereof, O. follows: title be plaintiffs toward Sayles’ B. is delivered chattel *1 y. Rodgers, of chattel should be and bona fide or of said last- the so much Civil Stat- property in proceeds gage, sale adjudg- in writ- BELCHER M. M. money mort- (248 i.W.) for ap- case was upon no to be the settled law of this state. ment should be manded for another dered. should be Reversed and remanded. HOLLAND v. actual LAND MORTGAGE CO. present As there it is not made in such cases as the MORTGAGE CO. fully developed, knowledge reversed, purchasers. ease, was no such reversed and the but in view of the fact apparent judgment of an unrecorded mort- trial, BELCHER Such (No. 10079.)* we think the present proof to us that holding appealed it is so case, cause re LAND made in seems judg from or (Court Appeals of Civil Ft. Texas. Worth. Rehearing Dec. 1922. On Motion for provided, is 5655 it article And 20, 1923.) Jan. chattels, every mortgage remain which Mortgages mortgagor, <&wkey;280(3)—Verbalpromise be void 1. possession shall is assume valid. subsequent purchasers and mort- A good verbal faith, unless to assume gagees or lienholders equity, valid and enforceable in copy thereof, same, shall be true or only by grantor the holder of the county office filed forthwith mortgage, parol agreement but such be must property county shall clerk shown clear evidence. pro- it And article be situated. Mortgages <&wkey;280(3)—Agreement 2. present- of as- copy be of such vided, sumption may incorporated in deed be or origi- filing, instead to the clerk ed conveyance. outside orig- nal, unless the not file the same he shall agreement assumption may An be in- subscribing by two witnessed inal corporated conveyance, deed, may it be outside the proven acknowledged for rec- witnesses ord and wholly parol, may it rest certified, required in case oth- implied. purpose re- er instruments <&wkey;>42(l)—Deed 3. Covenants not to corded. special warranty against mortgage. tain a stated, is shown before [1] As grantors lawfully Deed in which covenanted acknowledged or wit neither delivery possess- seized and copy law, required nessed ed of absolute estate in that it original; might in lieu be filed thereof and clear from all free incumbrances ex- filed, original and that a was never cept mortgage, “they a named copy Under filed. thereof same, warrant forever defend the title” to the copy filing was not circumstances held not to warrant title the nam- of the existence the ed debt. notice constructive and, O. B. if it shown mortgage, Rodgers Mortgages <&wkey;292(5)—In action on note se- purchased the automobile without grantor cured subsequent grantee neither nor of such mort of the existence actual notice necessary parties. gage, of the defend favor pay- In action a note and also affirmed, and should should be ants ment of which was to have been as- Mm, shown that neither defendant on be affirmed sumed transfer land to prior grantor knowledge nor the neither the mort had actual Fields payee grantee sary party; or the neces- Rodg they purchased gage at thé time being on the'action defendant’s ers. promise by amount of the notes secured however, proof, that O. was no [2] There only personal judgment Fields; Rodgers, M. or S. M. Fields M. B. sought. notice of the existence had no actual mortgage <&wkey;44(4),—Parolobliga- statute of 5. Frauds* pur the time of their several grantee tion of violation be incumbrance not in In Bowen Lan chases of automobile. agreements as to Works, sing Wagon 385, 43 S. year. within one College Armstrong 872, Oak Cliff obligation of in Vickers v. pay an incumbrance thereon is not App. Carnahan, 4 Tex. Civ. 23 S. W. frauds, section 5 violation of statute of 339, it held that the burden to show inhibiting an action on an purchasers mortgaged property year. within not to be eases see same in all @s>Kor KEY-NUMBER and Indexes jurisdiction for want of * writ of error dismissed March *2 248 SOUTHWESTERN twenty-five ceipt dollars, ($2,500.00) hundred the re- <&wkey;>l29(2) Frauds, —Rule hereby give, acknowledged, which is do with- to he side contract grant, party convey bargain, sell said and unto the year stated. in one is part, heirs, and as- the second his per- to be is side of contract Where one signs, following all of the described tract of real year performed, the is con- within a and formed estate, Bryan county, Okl., situated in to wit. statute, though oth- the tract is within the * * * To have and to the the hold same unto per- incapable of er be in nature side its party part, said and second heirs formance. assigns, together singular all with and ten- the Rehearing. for On Motion ements, appurtenances hereditaments and there- unto', belonging, simple in fee forever. sufficiently Mortgages <&wkey;292(6)—Petition parties part “And said for the first pay alleged promise to note. defendant’s heirs, themselves and their and ad- executors in of note and action on hereby ministrators, do covenant with the part defendant, which was party delivery of the second that at the price purchase land, and the presents they lawfully these and are seized petition pay indebtedness, promised to the possessed of an absolute estate and indefeasible defendant, allege express to an simple of inheritance in fee and to the said pay mortgagor, amount the to the to real and that the same is and clear estate free mortgage the holder and owner of note the to except incumbrances whatsoever save and all promise. at the the and-note date mortgages Company to the Southern Trust for $1,700.00 and $170.00 and that war- Court, Tarrant Appeal District from rant against forever defend title to the the County. persons whatsoever.” Mortgage Land Belcher the W. C. Action It cannot said that -the deed the ven- against Company Holland. M. I. specifically dee notes, assumed the appeals. judgment defendant for mortgages, secured nor is Affirmed. by appellee. so contended The reliance is appellant. Worth, Wright, for A. Fort placed parol assumption alleged on the appellee. Worth, Fort given. O. S. have been Howard this testified matter as follows: BUCH, filed This Is a suit J. “I am asked to state what occurred at the appellee, appellant by and holder time I sold this land tract of Holland. Mr. mortgage promissory note owner of At time I sold this land to Mr. I by George wife to- sold 630 acres of and the total consid- eration, think, Company. $14,100, I and I The think the Trust Southern acre, consideration on this as I 26, 1916, $27 an mortgage June were executed figured remember. We the entire given secure and to ' to, paid amount that the land came alleged that It was interest. of George mortgages the amount over and cash. above subsequently sold wife Howard and given, upon “Q. regard What was he do in to the mort- deal, in said I. to M. a gage? mortgages. A. was to He consideration, Holland assumed object “Mr. Conner: We because indebtedness; promised this a conclusion that he was the mort- gages. subsequently, paying “The Court: What did he about assigned transferred pay, not whether' he was to through here; and without mistake by you and him what was said with reference Trust ex- Southern sideration any particular mortgage one? A. lien; release of this ecuted a My understanding was— involved, being sold the land later Holland your understanding; “The Court: Not Okl., county, Bryan to one 100 acres what was said and done. paid Q. Repeat, you can, consideration appears the entire “Mr. as near who Arnold: the conversation had. said Holland. therefor conversation, The “The Court: plaintiff suit at the defendant time of the on, derstanding; pass court for the resided in coum below Tarrant understanding. whether A. As there sought judgment ty, Plaintiff remember, agreed assume— alleged parol assump- defendant tion mortgages on the land. the incumbrance defendant of Anything “The further? Court: made at the time pay all mort- “Mr. He Arnold: land, including Holland from Howard and gages wife. oh way court, particular was tried before tract? A. That The cause plaintiff amount (cid:127) August, I was con- “On the 29th for, appealed. sued Company.. At Southern nected with the from Howard and wife deed to Hol- prior to that Southern Com- as follows: land is pany mortgage. 1917, the amount of had never been “Witnesseth, parties August, At or to the 29th of had sold for and consideration of sum Southern Trust in all Indexes see same and KEY-NUMBER eases ©soFor Tex.) C. BELCHER HOLLAND W. LAND MORTGAGE CO. s.w.) (248 ' my conveyed understanding tlie here- tlie he would the mort- —that gage against evidence to W. C. tofore introduced in land. Company. “Q. any Do hearing recollection of assignment in blank him there was mortgage make absolute as to that? *3 way sold; you my I understanding it that A. when was told of the matter sign always sell; pay was mortgages we the note we sell that he towas all the on the assignment properly I blank. have land. in experience good Q. you in the land mort- “The had a deal of Court: Did hear him make that gage statement, in the of Oklahoma. it, business state that he would do not derstanding; T know you the time that Mr. say “I that specifically; did hear him pay in $1,700 note and mortgage’? Holland assumed the that A. I don’t mortgage. question I know at paid say just interest on he that I him heard it in those words; the (fad time, this settle- ago, when made the transaction was some time some my looked at ment. I think there was—I it; best I can state is remembrance had; agreed on whole was a credit mortgages books I there on the $9,050 amount; mortgages piece words, in conversation, there land. As to the exact that would my memory great tract of on the entire tax my deal. It is not re- call what we of land is described membrance of the transaction that he tract, buy subject and there was Emma Gilmore to the debt.” mortgage, him credits and I allowed apply price on a com- of $31.17 Hollands testified: July, due the 1st of note that was mission bought “At I time Gilmore Emma coupon apply the interest $42.50 land from Mr. Howard with the mort- it, paid in- notes, and, terest I remember he as gage against it, which introduced follow- were due the and all items that jis evidence, to whether I assumed to purchased July; latter ing land in the he that note and I will May;' thought paid the interest cou- I no, having any state conversation. I I don’t remember of such pur- sure, pons; to be the book I look at didn’t bought the land for the delinquent. nothing there I am but I was certain pose trading it. charge of the business thereafter “I am done, asked to state what was said and September, Company until the Southern remember, far as I with reference to the paid never to Mr. Holland 1919. mortgage buying paid the consideration to be Trust Com- the Southern disposition to made of *4 must shown clear evidence. on be Jones particular conversation I do not 142, 740a; Mortgages, Ashford, 2, p. v. vol. Keller § told, surprised you at were me that in which 610, Sup. 494, 133 U. S. 10 Ct. 33 man, young land, taking a this L. Ed. 667. par- that $9,050. I don’t remember Dobbin, 299, In Beitel v. 44 writ of S. W. conversation; that I remember ticular denied, the Antonio you.” error Appeals, says: San Court of Civil met had ever time that I first eNeill, through speaking Mr. Justic testi- witness a O. S. fied: purchase subject “When makes a a promises, as a of con Mr. Howard that went “I want sideration, described and retains lands to the of the sale to consummate purchase price, the amount due on it of out office of petition Mr. Holland of in the by Okh, mortgagee, upon Durant, he liable in action Eerguson & Hatchett that time the principle person prom awhen makes a to me that he stated person, ise to another benefit a third payment had assumed person may such third maintain an action question.” thereon, promise, though verbal, and such not within the statute 'frauds. Association cross-examination, hie testified: Upon Attebery (Tex. 571; App.) v. Civ. 42 S. W. or assumed Jones, Mortg. 750, never 751; Gaines, Buchanan, “This defendant §§ Morris v. 82 writing. anything He by 255, pay stated sumed 538; Tex. 27 17 that S. W. Monroe v. things had he among 241; Riviere, 640; Tex. Muller v. incumbrance; great deal of Pickett v. Jackson 42 W. S. up amounted made were held, judgment may Ponce v. within the year, ance. Dec. to ard executing hibits agreement ation in violation thereof.” frauds judgment, cured effort to suit. necessary party signee W. 922. tee. or 107; Delano inson v. ranty been followed cisions. Morris Hesse (Tex. Texas unmistakably rule that show an cumbrance, S. W. All McDonnell, [5, [4] TVe do Holland 688; 6] Nor do we contract and Bone v. grantor, assignments Civ. Miller an action in the deed. Johnson 710; space of the notes and *5 Supreme Court, Holland (Rev. the Southern (Tex. writ denied. McWhorter, to assumption by foreclose Clymer (Tex. Castleman v. its nature App.) statute, although affirmed. conveyance even as Manton v. of section performed, Civ. merely an action on Holland’s Stat. Holland was in not think either conveyance. Smith by and is to Marshall, parol promise sought his Roberts, to the amount v. to is not to one 207 S. our evidence App.) positively 1911, 39G5), are overruled and year (Tex. Trust courts incapable or the encumbrance was Civ. City performed1 5 of the suit. 189 and Sherry, brought “upon but nevertheless the contract 18 Tex. of the contract controversy. (Tex. § 18 S. W. 491. had. from the Howard and wife is admissible to obligation Company, Where one side App.) performed in numerous de 951: a the other side lays There was no v. Elmen has Civ. general war San Howard, as lien Showalter 170 S. which 972; Delano v. down the within a App.) 210 perform consider notes, Tex. personal to have either Antonio 67 making pany, 'is in this was a as as How with gran Am. Rob the ing to its 59; in se in- pay part with interest as in said note this note and lease. leases when scribed land to the sumption by was Arnold, county, Old., the said defendant in of the vice lease was a clerical tomary former note for said was that Holland had executed a note for larity could account for the release thought and dent and release was of the vice either of the vice vice and did so without his Mortgage Company never authorized the ex- that execute time of ecution of such release. Howard testified ern “That on the 25th consideration of his blank, release plaintiff, secretary, and executed; Trust president; Appellee the Southern Trust to his to, while wife, party anything and a secretary to have in the office releases the release for his use and tenor and two vice presidents; said release sold the said Geo. O. executed as the owner and holder of said needed; two presidents, testifying, knowledge, thereby could execute a release. This pleaded: and on account of the “simi- releasing Holland under' such interest and defendant, names,” presidents, hereinbefore day May, 1917, Bryan secretary, the amount of said note presidents, effect, the Southern expressly promised error; became conveyed executed the amount, knowledge company that the knew the in substitution concerning thereon. would execute re- E. L. the Belcher Land money the second release only way and did thereafter M.I. specified, that it was cus- bound when Howard, joined in the absence being circumstances. supposed described, the above-de- Wakeman, and that he president'or and Trust Com- that at the .second re- being asked joined by to executed this re- did not release; witness accord- benefit, of presi- aof and and one to 248 SOUTHWESTERN December, 1917, day of “That on the 17th wife, joined.by defendant, I. M. MACAW v. PECOS ALFALFA VALLEY conveyed to above-described sold and (No. 1381.) LAND & OIL CO. entire who 'J. F. (Court who, Appeals defendant, of Civil of Texas. El Paso. said therefor sideration Rehearing Feb. notwithstanding 1923. Denied fact 8, 1923.) March and interest of said sum Company, and Trust order of Southern <&wkey;35(t)Unliqui- Set-off and counterclaim amount, together — knowing well liqui- dated demands lie set off property thereon, be- interest demands, arising dated from same cause. Company, its longed or Southern 1329, providing Under Rev. art. order, converted St. said sum received benefit, refuses, liquidated demand, has ever suit be founded certain own use same to his refused, unliquidated the defendant shall not set now off or since same, thereof, plaintiff damages any part defense, verified, certain where a of said Southern itemized account transferee for labor under a liquidated the court further shows contract has been by plaintiff filed as a demand wholly unpaid, past due and is precluded said note is not having although prom- defendant, pleading unliquidated arising the said claims out although note, contract, provides ised and since article 1330 de- do, requested failed frequently may plead any arising fendant cause action refuses, pay the refused, fails and and still plain- out of or incident connected damage thereof, plaintiff’s any part same, tiff’s cause of actiou. attorney’s interest, fees in principal, <&wkey;292 Pleading requiring verified —Statute $2,150.” sum of denial of evidence under oath accounts held but rule of applicable open accounts. allegations are judgment, suffi providing our Rev. St. art. express allege open sup- action is founded on an account cient of pay the ported by plaintiff’s affidavit that it is made to Holland *6 true, prima Mort same sball Band facie evidence note amount gage thereof, unless defendant shall a written file Company, and owner holder oath, denial under and when he fails to file such promise, date at the permitted deny denial shall not for the account, evidence, is but a rule of and its terms Also, think the appellee. benefit of evidence applicable open are accounts. allegation. sustain sufficient <&wkey;292 Pleading “open —Held not account” in con conclusion do not We within statute. Wills, Bledsoe flict Phœnix aggregation An account made of an Works, Water Houston Co. v. Lbr. special items per- based contract for labor ap relied ¡held 94 Tex. pellant. open account, formed within the meaning 3712, requiring of Rev. St. disturbing justified deny open not feel oath doWe under accounts verified opiinion plaintiff. original in our reached conclusions finally testified Arnold that the verbal definitions, [Ed. Howard Note.—For other see Words was made Phrases, Open Series, First Second true that $1,700 It is note. Account.] to assume is dated to Holland Howard the deed that ac- Appeal Court, testified May 25th, Arnold from District Reeves Coun- Gibbs, conversation ty; Judge. cording his remembrance Chas. dealings took Holland business Suit G.U. Macaw the Pecos May 30, Day, place Decoration Valley Alfalfa, Company. &Land Oil But this. before met Holland never he had defendant, plaintiff appeals. present was not if Arnold even Affirmed. promised to assume Holland $1,700 Pecos, Howard, Jno. B. Cal- testify and Clem he did houn, appellant. Paso, El he was him that stated Holland Palmer, H. Ben G. Russell and bought. 630 acres indebtedness Pecos, appellee. rate, was, of How- corroborative This agreed to that Holland statement ard’s assume can be WALTHALL, brought U. G. Macaw do not think J. note. We Valley note this Pecos reasonably suit Alfalfa that the indebtedness, Lynch, Land & Oil R. Mrs. Sue addition

inwas imputed Lynch, and J. B. the last-named in deference feel but we finding court, acting reason under and declara three trial Valley testimony of Pecos Howard and we tion in trust- the name Company. & Oil there was total indebt- Alfalfa Land conclude must edness of January, 1921, $9,050. On 15th 'the Valley rehearing Alfalfa & Oil is overruled. The motion Pecos Indexes other oases see KEY-NUMBER in <®=»For notes pany. mortgages. attorneys and figuring part attended to the Com- from the Southern Trust transfer “The me, I and was not in there but pany very day, day little that the transaction involved this suft note and the exactly was made. I don’t remember what the blank; words, assignment in in other was the name signed price was, something of this land $22 party it whom per something that; $25 like I don’t re- acre— us that to leave custom was—it price was; member what the exact it could, has been they they blank, it to sell fill wished long Ferguson, time. Messrs. Hatchett & they party to whom sold name attorneys, represented me and * * also Mr. * How- it. ard, they up, drew of this all business M. I. Holland was con- with Mr. “This trade up; fixed all of this business I was in and him in the office Messrs. summated my attorneys out of I left there. it to fix Durant, Judge Eerguson Okl.; & Hatchett up, attorney. and also to Mr. Howard’s I par.t Ferguson and Mr. Holland were there represented believe he both of us—that is the day. there Whether he was way represented I understood it—that he I don’t I know. whether don’t remember us, so he went and fixed this ahead busi- in blank and the check left it with up; ness I in and out of there. Eerguson Judge Mr. Holland time filled out. Mr. “Q. you any specific Do remember conversa- Ferguson, Arnold Mr. were Mr. there. tion at that time with reference whether was there considerable you note, were of this day. Whether remained there merely taking subject to the note? ** * afternoon, I don’t entire remember. Well, merely subject taking A. to it. was there at the Mr. Holland time the trade “Q. you any Do remember conversation with made, closing but it—of the point? No; to that reference I A. don’t re- say. details—I couldn’t You see we made the any member conversation.” days up, trade several before we closed it deed, etc. On cross-examination lie said: and, “I the deed to Mr. delivered remember, paid I Holland did tract the deed which I delivered to Mr. “As to whether I ever I will not this Emma include Gilmore that I have state no check paid to show that I too, it, impression and several other tracts but there Ibut was under the when I traded deed, it, my I remember for each allot- this land paid. father that this had been to. portion paid ment or of allotment that was trans- I never it. I no have check to show where distinctly paid “Q. ferred to Mr. I Holland. remember I discussing you of the Southern with Mr. 'Holland the due Do remembrance of ever having paid Well, on the Emma Gil- that? A. I don’t remember. together tract, “Q. more with all of you You couldn’t state now that ever tracts; No; we discussed them. it? A. I don’t remember. “Q. you you Can swear about this is a “It fact that [Mr. Arnold] and Mr. promised you Ferguson Ferguson's office, consideration there Mr. you figuring he would off the day, note? A. did the That was (Tes. SOUTHWESTERN promise any, myself. assumption, yet in defer- you don’t to Mr. talked figuring you finding item ence to the evident the trial court remember about the three you on, made, pieces remember but I and so such a because figuring. greater did the finally, swore, Howard and Arnold both you having there told' “I remember do not made, it was it was we must conclude that taking on a Eergüson’s that was office in Mr. big made. A to assume and verbal assuming $9,050. I do load, that was a equity, enforced valid and you having that. [Mr. told Arnold! remember only by grantor, didn’t; but say Xdid whether Xwouldn’t parol agree- -ago. holder of the long time has been you ment, first time “I that was believe you conveyance estate, met. I taking had ever that to real deed good friends. and Bud told me

Notes

notes list of has whole to 568. It even in the absence had assumed purchaser he pay, that when the holds of notes payment purchase money list out of the the amount on due it, made, as I recall prior mortgage upon property conveyed, statement and that Messrs. Day, office of on Decoration will be he cured held to have assumed the.debt se Durant, Eerguson, Okl. by Hatchett & it.” Day said that 1917. He Decoration on made we closed on assumed he had agreement assumption may [2] An 25th, deeds. The deed incorporated deed; may outside oral state- These date. on delivered conveyance; may by wholly parol, him at the rest he made ments that the transac- time; implied, and is not within the stat specifically the note mention Cyc. p. 1344, He did notes; tion. ute of frauds. 27 19 pay- on; had assumed the he he sued 381, 152; p. Mortgages, R. L. Jones on § § notes—mortgages. As to wheth- those ment 148, p. 142; Poole, App. Van-Meter v. 130 Mo. the notes and had assumed he er 433, Bldg. Mitchell & Loan deed, get Association, 624, 49 S. W. this court. $9,- payment of he said he state urges Appellant warranty

[3] con land, this on this on 050 worth specifically bought. tained in the deed warranted the As I recall the acres 630 versation him awhile his brother something particular now, debt, like I asked title it was this father and ago; known his I had circumstances under such reliance could not years, number agreement prior parol a' be had to as him, had met that I was the mortgage debt. He cites sume the such au land, taking this commenting on his Page Contracts, 2197, p. § thorities ‘Yes,’ said, acres 630 agreement urges that where oral He big taking man, young and he awas assume contradicts a covenant burden mortgages general warranty, such oral my listed; recollection that is support excluded, and cites later than there date was not must be That “The Court: July? Rooney Koenig, 483, than the later 31st A. Not Minn. 80 83 W. 25th N. the of please.” 1917, May, honor Supreme Court Minnesota. written, and, the deed as not construe doWe special' by appellant, contains Howard and Holland were as claimed [1]While warranty the incumbrances men and uncertain indefinite somewhat exact general wording there is most nature of the verbal tioned. At even held the brance. tions. He notes apparently Minnesota, is ranty. agreed 845. In discusses the the contrary Minnesota the subsequent standing superior title, and the court Supreme Tex.) warranty admissible, instant case. various benefit of Johnson v. Court subsequently acquired title inured assume the of title. Some of us show 52 R. A. case holdings question under L. opinion the sale HOLLAND conclusions can be In that a deed Elmen, grantee. and other in different Chief very fully, Massachusetts, distinguished from acquired case the vendor 86 Am. St. v. TV.C. reached Justice But general states, the incum- and cites by parol our own jurisdic evidence BELCHER merely Gaines war Rep. hold out (248 3.W.) the note and and wife on vice tiff in tween such of time which it or about assigned by executed was dated ditional A. B. Richardson testified that he was the Howard and wife June LAND MORTGAGE CO. president release did not affect the response parol assumption by this case on findings, On Motion for purported May 25, and that the said August 29, August 29.1917, the trust mortgage- the Southern Trust of the Belcher Land appellant’s request we find that to release was executed here of the land July 3, company 1917. The Rehearing. 26, 1916, appellant at the when the South- company 1916. As be- binding the release appellee, and was him on for ad- owned plain- force

Case Details

Case Name: Holland v. W. C. Belcher Land Mortgage Co.
Court Name: Court of Appeals of Texas
Date Published: Dec 16, 1922
Citations: 248 S.W. 803; No. 10079. [fn*]
Docket Number: No. 10079. [fn*]
Court Abbreviation: Tex. App.
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