281 P. 879 | Kan. | 1929
Lead Opinion
These appeals were separate actions in foreclosure of mortgages on Linn county farms. The question of present concern is whether the trial court erred in limiting the redemption period to six months.
The controlling facts were these: One George Kuhns determined to acquire a number of Linn county farms on a minimum outlay of cash. Accordingly he entered into contracts with the owners of three farms, one of whom was James T. Martin. The deal he made with Martin will illustrate his method in the three cases. Kuhns agreed to buy the Martin farm for $10,500 and to pay $3,000 of that sum in cash. Martin agreed to borrow $7,500 from the Liberty Joint Stock Land Bank of Salina and to give a mortgage on the farm therefor, and to retain the amount thus borrowed, thereby obtaining the entire agreed price of his farm, and Kuhns agreed to accept a deed to the farm with the usual covenants of warranty “except a mortgage to the Liberty Joint Stock Land Bank for $7,500, which the grantee assumes and agrees to pay.” This arrangement was carried out in detail. Later the appellant, A. F. Wilson, derived title from Kuhns. The $7,500 note and mortgage came into the possession of plaintiff, and default thereon brought foreclosure. The trial court held that the $7,500 mortgage was essentially a purchase-money lien, and as less than one-third of the agreed purchase price of the farm had been paid by the purchaser or by anybody claiming under him, the period of redemption should be six months from the date of the foreclosure sale. From a judgment to that effect this appeal is prosecuted.
The pertinent statute, in part, reads:
“Whenever a lien shall be given for the purchase price of any real estate, and default shall be made in the conditions of the mortgage or instrument giving such lien before one-third of the purchase price of such real estate shall have been paid by the purchaser thereof, such purchase-money lien may be foreclosed by the legal holder thereof in the manner now provided by law for the foreclosure of other mortgages, and such real estate may be sold under a judgment of foreclosure, as now provided by law: Provided, That whenever any such real estate shall be so sold, and the same shall not be redeemed from the judgment by the payment of all principal and interest due upon such lien and costs of such foreclosure, within six months from the date of such sale, such sale shall become absolute, . . (R. S. 60-3466.)
■ Appellant contends that the $7,500 mortgage which is foreclosed
It is also contended that the fact that the loan was for so' large
The companion cases 28,970 and 28,971 are governed by what has been said above and require no separate discussion.
The judgments are affirmed.
Concurrence Opinion
(concurring specially): I concur in the conclusion reached, but prefer to state my reasons as follows: In these cases we are not dealing with a purchase-money mortgage as that term is defined in R. S. 67-305 and as it is usually used in the books. (41 C. J. 528; 19 R. C. L. 416.) Under the definitions there given the mortgage should be made by the purchaser of the property. But our redemption statute, which controls the cases before us and which is set out in the opinion (R. S. 60-3466) applies to a mortgage “given for the purchase price of any real estate.” It is not limited to a mortgage “given by the purchaser,” as is R. S. 67-305. Therefore, in determining the period of redemption under our redemption statute it is not material whether the mortgage was in fact executed by the vendor or by the purchaser. The only statutory requirement is that it be a mortgage “given for the purchase price” of the real property. The evidence here clearly brings the cases within this statute.