14 Johns. 15 | Court for the Trial of Impeachments and Correction of Errors | 1816
It was not pretended upon the argument, that this was a case coming within the statute of frauds, or that any note, or memorandum in writing, was necessary for the purpose of making out a valid and binding contract between the parties. The appellants, in the court of chancery, bottomed their claim to relief upon a part performance of an agreement alleged, by them, to have been made with the respondent, in relation to the lands in question. If any authority was necessary to show that such cases are not within the statute of frauds, we have it in the case of Brodie v. St. Paul. (1 Ves. jun. 333.,) where Buller, J., sitting for the lord chancellor, lays it down as a settled rule in equity, that part performance of a parol agreement takes it out of the statute of frauds. The object of the bill, in the case now before us, was a specific performance of an agreement. This necessarily presupposes the existence of such agreement, and the bill, therefore, as it must, in all cases of this description, sets out what that agreement was. It, accordingly, became necessary for the appellants to prove the agreement with all requisite certainty, or to furnish such evidence as to warrant the court in presuming the agreement which they claimed to be in force. In Forster v. Hale, (3 Ves. jun., 712.,) the lord chancellor observed, that he thought courts had gone too far in admitting part performance, and other circumstances, to take cases out of the statute of frauds. Part performance, said he, might be evidence of some agreement, but of what, must be left to parol proof. It would, he thought, have been better, in such cases, to have the money laid out, or repaid, than to consider part performance evi
I agree fully with the reasoning of the chancellor upon the insufficiency of the memorandum of April 179?, to ascertain and define the terms and nature of any contract. It is too vague and indefinite for that purpose ; nor, according to my understanding of it, was it ever intended for any such purpose. There is nothing in it which looks like fixing, or defining, a bargain as to the purchase or leasing of the lands. It purports only to give permission to the appellants to possess the lands subject to some future arrangement, as to the purchasing or leasing the same ; they, however, by such possession, gaining a preference, or what is usually called a refusal, of such bargain. If the appellant’s claim, therefore, rested upon this memorandum alone, as the evidence of the contract, I should have no hesitation in saying it could not be supported.
Nor is it to be disputed, that where it is necessary to make out a contract in writing, no parol evidence can be admitted to supply any defects in the writing. It is a sound and salutary rule, that a contract cannot rest partly in writing and partly in parol; but the case before us is not one falling within either of these rules. It was not necessary that the contract should be in writing; nor does it require that the memorandum in writing should be connected with the parol proof, for the purpose of making out the contract. If my construction of the memorandum is right, it does not profess to make any part of the agreement for the purchase or leasing of the premises. The principal object was, to show that the possession was taken with the assent of the owner of the land, and that the appellants were not intruders. That is all the purpose for which it is necessary to use this memorandum ; and if this permission had been given by parol, it would have been of equal force with the written memorandum. But if this memorandum is nugatory and void, for uncertainty, we may surely reject it altogether, and rest en
The case of Allen v. Bower, (3 Bro. Ch. 149,) is directly in point on this question. That was a bill for specific perform.ance, and the evidence to establish the agreement was partly written and partly oral. The written promise of a lease was imperfect, and parol evidence was admitted, by direction of Lord Thurlow, (after it had been rejected by a master,) to supply the defects in the writing. Lord Redesdale, in commenting upon this case, and particularly upon the question, whether a defective writing can be supplied by parol, observes, that this cannot be done, when the writing is set up as the sole foundation of the agreement, nor unless it be a case of part performance. (1 Sch. & Lef. 37.) It is fairly tobe collected from his opinion, that in such cases, parol and written evidence may be let in, to make out the contract.
But laying aside the written memorandum altogether, let us examine the proofs in the case, and sec whether an agreement for a deed or a durable lease is not satisfactorily made out : and it ought here to be noticed, that the bill in chancery seems to be framed upon an agreement distinct and independent of the memorandum. We have not the bill set out at large in the case, but according to the statement given, it appears, that after setting out the memorandum, the bill alleges, that afterwards, that is, after the giving of the memorandum, the respondent, for the further security of the appellants, and to induce them to make permanent improvements, agreed, that in case of the sale of the land, under such agreement, (referring to the memorandum,) the price should be the actual value at the time of the agreement, superadding interest up to the time of the conveyance 5 and, in case of a lease, the same should be durable, or, in other words, a lease in fee, at the usual and customary rents of the country. This agreement, or any other than what is contained in the memorandum, the respondent denied in his answer in chancery. A recurrence to the evidence becomes necessary, then, to see how far it" will support the alleged agree- '
Such being the leading facts with respect to the agreement,, and the circumstances under which the appellants have contina- „ ed to occupy the lands from the year 1794, and the encouragement held out to them, from time to time, to make improvements ; let us apply the law to this case, and see the light in which such cases have been viewed by courts of equity.
I do not think it necessary to take up the time of the court in travelling through the numerous reported cases on the subject. The substance of them, so far as is necessary to be noticed on the present occasion, is summed up, by Mr. Roberts, in his valuable Treatise on Frauds. “ the relief,’’ says he, (p. 131.,) “ against the statute, in these cases, of part performance, was originally founded on the fraud and deceit, usually characterising the circumstances. There is no satisfactory foundation for the doctrine of .part performance, without the intermixture of fraud ; (p. 132. ;) and, upon this" ground, where an owner of land has encouraged another to go on with his improvements upon the estate, under a false expectation of a conveyance, or a lease, and this expectation raised in him by the assurances of ' such owner, it is agreeable to the general course of equitable relief, to disappoint the contrivance, by compelling the deceiver
These are rules and principles flowing from the soundest morality, and sanctioned by the most weighty considerations of justice and equity, and are directly in point to the case before us. The testimony is strong and irresistible, to show that the respondent, from time to time, encouraged the appellants to go on and make improvements, not only under an expectation, but reiterated promises, that when he had made a division with, or obtained a release from, the heirs of Clark, he would give them a deed, or durable lease.
The decree, in the court of chancery admits, .that the appellants are entitled to relief, but that compensation for their improvements would be more fit and proper than a specific performance. Lord Redesdale, who thinks (2 Sch. & Lef., 552.) courts of equity have gone far enough, if not too far, in decreeing specific performance of agreements, says, the original foundation of such decrees was, that damages at law would not give ' the party the compensation to which he was entitled; that is, would not put him in a situation as beneficial to him as if the agreement was specifically performed. And, on this ground, he says, the court of chancery, in a variety of cases, has refused to interfere, where, from the nature of the case, the damages must, necessarily, be commensurate to the injury sustained; but the cases, (Davis v. Thorne, 2 Sch. Lefroy, 347.,) in which the court decrees specific performance of contracts are generally
No reasonable objection can be made to a specific execution, on account of any uncertainty in the agreement. The proof makes out a parol contract with all requisite certainty; to wit, either to sell the land as wild land was selling in that part of the country, in the year 1797, together with the interest, or to give a durable lease in fee, at the customary rent at that time, at the election of the appellants. In the case of Shannon v. Bradstreet, (1 Sch. Lefroy, 73.) Lord Redesdale, in answer to an objection as to the uncertainty of rent to be reserved, pursuant to an agreement, said he did not think it uncertain, for it was capable of being reduced to certainty. Every executory contract must contain this species of uncertainty; but if it contains all that leads to future certainty it is sufficient. If this rule be sound, the price or rent of the land can be easily ascertained by a reference to a master. I am, accordingly, of opinion, that this is a fit and proper case for a specific performance, and that the decree of the court of Chancery ought to be reversed,
Yates, J., and Platt, J., were absent.
Van Ness, J., was of opinion that the decree of the court of chancery ought to be affirmed.
Bates, Bicknell, Bloom, Clark, Crosby, Dayton, Elmendorf, Hager, Loomis, Keyes, Livingston, Ross, Stranahan, Swift, and Ver B'ryck, Senators, concurred in the opinion delivered by the chief justice.
Van Vechten, Senator. The appellants have filed their bill in the court of chancery, to obtain a specific performance of an agreement for the title to land in the Orislcany Patent, which belongs to the respondent.
The respondent, by his answer, denies the agreement', and insists upon the statute of frauds, against any parol agreement which might be proved.
From the bill, as well as the testimony in the cause, it appears that the appellants rely partly on an agreement by parol, and partly in writing. „
(Here he stated the memorandum, and the evidence of the witnesses.)
I shall consider the case as it stands-—1. Upon the written instrument ; and, 2. Upon the parol evidence.
1. What does the written instrument import ? Does it amount to a final bargain for the land in question upon any specific terms, of which this court can decree the performance 1
According to my understanding of its plain language, it is a mere permission for the appellants to occupy the land, \vith a promise to give them ¿he first offer to purchase or take a lease of it, when the respondent’s title in severalty should be perfected ; but it does not profess to fix either the terms of sale, or of the lease. Can this court execute such an instrument specifically. by decreeing either a conveyance in fee, or a lease 1 I presume not» A decree for a specific performance must operate upon, and according to, the terms of the agreement; and, therefore, if the instrument, f.oaiams no specific terms it is not susceptible of specific execution The office of enforcing performance can not be exercised when the matters to be per-
Suppose the court decrees a conveyance, what price, according to the instrument, are the appellants to pay ? From what time are the payments to commence ? Ar'e they to be with or without interest ? or is the consideration to be paid at the delivery of the deed ; and in that case, what is the respondent to receive for the use and occupation of the land since 1794, when the appellants took possession ? or is he to receive no remuneration for upwards of twenty years’ enjoyment of his land, and to be compelled to part with the title at the present appraised value thereof, considering it as in a wild state ? Have the parties agreed, by the instrument before us, to this mode of fixing the price, and by whom it is to be done ? The instrument is totally silent upon all these points. Let me, ask, then, what are to be the terms of a decree for a deed, according to the stipulations of the parties as expressed in their written agreement ?
Again; should the court decree a lease, for what term is it to be; what is to be the annual rent; how, and when payable, and from what time is it to commence ? What covenants and conditions are to be inserted in it? for the written instrument is silent as to all these particulars. Will a decree, bottomed upon this instrument, either for a conveyance in fee, or a lease upon such terms as the court shall direct, comport with the legal meaning of a specific execution of an agreement made and settled between the parlies? In my opinion it will be repugnant to all established principles, (Roberts on Frauds, 135, 136.,) relative to specific performance; and that, in order to make such a decree, the court must first assume the office of bargainors for the parties, to lay the foundation for it.
It can hardly be necessary for me to detain the court by citing authorities on this point. I shall, therefore, mention only a few of the numerous cases to be found in the books in support of my positions.
In Blagden v. Bradbear, (12 Ves. jun. 466.,) the master of the rolls held, that to sustain a bill for specific performance of an agreement for the purchase of land, the agreement must express the price, or, by reference to something else, must show what it was. In Clinan v. Cooke, (1 Sch. & Lefroy, 22.,) the lord chancellor held that a bill for specific performance of a
2. Is the parol evidence competent to explain and supply the defects of the written instrument ?
By the statute of frauds, all contracts concerning the title to lands, which are not reduced to writing, and signed by the parties, are declared to be invalid. The wise provisions of this statute would be wholly defeated, if parol evidence was admissible to enlarge and support a defective written agreement. But I need not dwell upon this point here. This court has recently decided, that in the case (Mann v. Mann,
But admitting,"for argument’s sake, that the parol evidence is competent, what does it prove ? According to my understanding, nothing more than that the respondent, in conversing about his Oriskany land, has repeatedly declared that it was his intention, when his title was completed, to sell, or lease it not only . to the appellants but to all the occupants thereof, as wild lands were going; and that he would take no advantage of their labour by enhancing his terms. I cannot collect from this evidence, that he intended, by such conversations, to make a final bargain relative to the terms of sale, or the conditions of a lease, or to give any assurance with respect to those terms or conditions, except that be did not mean to avail himself of the occupant’s labour. How then does the parol evidence ascertain the price to be paid for the land, or the terms of payment yi case of a sale, or the terms and condition of the lease if he should conclude to let it ? Indeed, the appellant’s principal witnesses, Lawrence and S. Parkhurst, differ essentially as to the price spoken of The former says, it was as wild land was going, when the responden' LkuAd he enabled to give a good title ; “ivj latter testifies tfi'cí í'i he price at which the land tea's
There is, however, another decisive objection to this evidence. The conversations to which it relates were prior to, or at the time when the written permission of 1793 to Lawrence was surrendered by S. Parkhurst, and he accepted the instrument of April, 1797, in lieu of it. The surrender was made, as Parkhurst deposes, to obtain a new contract. Why ? Can any other reason be imagined, except that he wanted a fuller and more satisfactory engagement from the respondent ? Did he receive such an one? No-?—why ? Because the'respondent declined to give it. Was there any deception used to impose the instrument of 1797 upon S. Parkhurst ? He does not allege that there was. Does he pretend that he did not understand its im? port ? No-—for he had, in the fall of 1794, informed the respondents that the appellants wished for better security than the instrument of 1793, which was of the same tenor. What then is the fair inference from this transaction ? Is it not, that the instrument of 1797 was the fullest which the respondent would give, and that the appellants’ agent accepted it understand? ingly ? I, therefore, consider all the previous parol conversations, testified to by the appellants’ witnesses, as merged in this instrument, And if they are, it results, conclusively, that the parol evidence can not aid the appellants.
If I understood the appellants’ counsel correctly, he disclaim? ed to rely upon part performance as ground for their relief in this case. It cannot, therefore, be necessary to consider that point; but if it was, the objection of total uncertainty in the alleged agreement would be decisive against the appellants. For, though part performance will, in certain cases, induce a court of equity to enforce a parol agreement for the purchase of land, it cannot make an agreement susceptible of specific execution, when its terms are not specifically ascertained nor ascertainable.
But it was strongly urged, in argument, that the appellants ar§ entitled to relief on the ground of fraud, because they were led on by the false verbal assurances of the respondent to make valuable permanent improvements on the land. In order .to try the strength, of this position, it must be examined with reference to the appellants’ bill, and the facts jn the case,
This point has been determined by this court in M'Kernon v. James, (6 Johns. Rep. 560, 561. 564, 565.) in which the present chancellor and Mr. Justice Spencer delivered the opinion of the court. The same rule is laid down in the English books. (Mitf. Pl. 19. 255. Gilb. For. Romanum, 218. Clarke v. Turton, 11 Ves. jun., 240. Johnson v. Child, 1 Bro. C. C. 94.)
Again; should this be considered a case of fraud, it may be asked, what relief are the appellants to have ? Will this court decree the land to them without price ? Would not such a decree go beyond their claim, and travel out of the case presented by their bill ? Or will the court undertake to establish the price and the terms of payment, or the terms and conditions of a lease to be given by the respondent ? If it will, it must do so arbitrarily, and without a guide, or it must recur to the agreement set up by the appellants. The. first would violate all the settled principles of justice and equity, and the latter brings us back to the question, whether the agreement stated by the appellants has been duly proved, and can be specifically executed here.
I am aware that there are cases in the books in which it is.' laid down that a party’s right shall be concluded by his fraudulent acts. But those are cases widely different from the present. For the purpose of illustration, I will mention a few of them, and state the principles on which they are decided.
Where a man who has a title to land, and knows of it, stands by, and either encourages, or does not forbid, the purchase from another, he, and all claiming under him, shall be bound by such purchase. (1 Fonbl.Eq. 161. Rob. on Frauds, 130.) For he imposed a false apprehension upon the purchaser by his si
Again; in the same case, when speaking of a purchaser taking possession, and making improvements under the circumstances above mentioned, his honour says that, to make those acts available to him, they must be done as owner of the estate, and which he would not have done had he not considered himself in that light.
Hence it will be seen, that the class of cases in which fraud will devest, or suspend, a man’s title, differ totally from the case now before us. Here the appellants avow that they entered and made their improvements upon the faith of an agreement, by which they acknowledge the title to the land to be in the respondent. There has, therefore, been no fraudulent concealment in the case. The appellants have not been treacherously led to purchase the title from another, nor to enter upon and improve the land, considering it as their own; for their bill furnishes conclusive evidence to the contrary.
But after all, what evidence have we to support any allegation of fraud against the respondent ? It is said, that he induced the appellants to expend their labour and money to improve his land, by false assurances that he would give them a good title for it. Is this true ? To answer the question correctly we must again look at the testimony.
In July, 1793, the appellants obtained an assignment of a written permission given by the respondent to Lawrence, to enter upon, and hold the land until further orders ; they to have the preference either to purchase or lease, whenever his title should be perfected. By virtue of that assignment, they took possession in the spring of 1794, and occupied the land until April, 1797, when they surrendered the written license of 1793, and by their agent, S. Parkhurst, requested what he calls a new con
Again : when the lease expired in the spring of 1806, G. W. F. Parkhurst, for himself and the other appellants, addressed a letter |o the respondent, which unequivocally admits, that he has the absolute disposal of the land, and explicitly negatives every pretence of any agreement with them, either for a deed or a lease upon any terms. What then is the evidence of fraud and deception in this case ? It is obvious that the appellants were
In every point of view in which I have considered this case, I am fully satisfied that the appeal cannot be sustained. I am, therefore, constrained, notwithstanding it may appear hard against the appellants, to concur in the decree made by his honour the chancellor. For, to use the strong language of Mr. J. Thompson, in the case of Jackson v. Sill, (11 Johns. Rep. 220.,) “ it is better to preserve consistency in legal principles, although it may not always suit the equity of the individual case, than to make those principles bend to what may be thought the substantial justice of each particular case.”
Allen, Barker, Cochran, Frey, Hascal, Radcliff, Seymour, Stewart, Tibbits, and Wendell, Senators, were of the same opinion.
A majority of the court
Decree reversed.
Ante. p.1.
For revwing, 17: for affirming, 12.
6 Ves. 470.
2 Sch. & Lefroy, 8.