13 Colo. 143 | Colo. | 1889
A suit in equity. Complaint filed by the appellee, Estefana Hicklin, plaintiff below, against the appellant, George Sears, defendant, to cancel and set aside a conveyance of some one thousand two hundred acres of land in the county of Pueblo, conveyed by plaintiff to the defendant on the 8th day of September, 1882; the said one thousand two hundred acres of land being a part of a larger tract containing five thousand one hundred and eighteen and seventy-two one-hundredths acres, •awarded, confirmed and patented to plaintiff by the government of the United States under an act approved February, 1867, entitled “An act to amend an act entitled ‘An act to confirm certain private land claims in the territory of New Mexico,* **
A demurrer was filed to the complaint, which was overruled. Defendant answered, denying all the important allegations in the complaint, and for further answer set up various supposed defenses that we do not deem it necessary to consider in detail in determining this suit. The matter was referred to a referee to take and report the testimony. The evidence taken was very voluminous, the report being nearly one thousand four hundred manuscript pages. On the 6th day of May, 1885, a decree was entered declaring the deed executed by the plaintiff to defendant to have been fraudulently obtained, ordering it canceled, and that the credit of $925 given by defendant to plaintiff, and indorsed on the plaintiff’s note, be annulled. Defendant prayed and perfected an appeal to this court.
The case appears to have been very ably and carefully tried, and this court in arriving at a decision is aided and assisted by able and carefully prepared briefs and arguments by respective counsel.
It is objected on the part of appellant, and assigned for error — First, that the court erred in overruling the demurrer on the first point, viz., that several causes of action had been improperly united in the complaint; second, that the complaint was ambiguous, unintelligible and uncertain; third, that the complaint did not state facts sufficient to constitute a cause of action.
The first two were waived by the answer. This objec
The proper determination of the suit depends upon the findings on the two primary and fundamental questions or propositions: First. Were the business, social and general relations of plaintiff and defendant such as to cause the plaintiff to trust too implicitly in the statements and representations of defendant, and in his friendship, honesty and integrity, and did he knowingly and intentionally take advantage of the relations existing, and of her ignorance and confidence, and overreach and defraud her?
Second. Did the plaintiff by laches and culpable negligence, after being informed of all material facts, preclude herself from obtaining equitable relief in the premises?
To determine these questions requires an extended examination and analysis of the testimony. It must be conceded from the evidence that the relations had been for some years friendly and confidential. He had rented from her; carried on business on her premises; dealt with her quite extensively; had, as he admits, been consulted by her regarding her business affairs with others. Before her title to the land had been perfected, he interested himself in her behalf,— whether as friend or paid agent is not disclosed. As shown by his own letters, he, while at the national capital, assisted her, or claimed to have done so, by his influence and attention in securing a proper determination of her affairs, and the issuing of a patent to the entire grant. That she had visited him and he her in cases of sickness, and that he had for a long time visited her house on other occasions. That this condition of affairs might have existed without warranting a presumption of dependence or subserviency on
. When we see the character and tenor of these letters, wherein he dictates a course of action, and forbids her conferring with her own lawyer, we are not left in doubt of what he supposed their relations to be, and the results, we think, warrant his assumption at that time. The principle on which a court of equity acts in relieving against transactions on the ground of inequality of footing between the parties is not confined to cases where a fiduciary relation is shown to exist, but extends to all the varieties of relations in which dominion may be exercised by one over another,- and applies to every case where influence is acquired and abused, or where confidence is reposed and betrayed. Kerr, Fraud & M. 183; Huguenin v. Baseley, 14 Ves. 273; Cooke v. Lamotte, 15 Beav. 234; Williams v. Bayley, L. R. 1 Ch. App. Cas. 200. No general rule has been laid down as to what shall
A great tleal of contradictory and conflicting testimony was taken in regard to the ability of the plaintiff to speak, read and understand the English language; her intellectual and business capability; her disposition, whether confiding or suspicious; and in regard to her knowledge of the land by surveyed lines and legal subdivisions. It is evident that her knowledge of English was limited,— from nationality, habits and place of residence, it must have been; and it cannot, from her short life history as given, be presumed that she was a person of great mental ability, acamen or business capacitjr; and the testimony shows her to have been rather below than above the average of her sex in the same sphere of life. Experience teaches us that a want of proper information, worldly knowledge and knowledge of the English language would make a woman in her situation both overconfiding and oversuspicious, according to circumstances,— overconfiding in supposed friendship, and unduly suspicious of those against whom her friends advised her. And when, as is shown in this case, supposed, friends, for their own purposes, intentionally added to her suspicion of others, the two supposed contradictory mental conditions can be understood. That she was with her supposed friends too confiding was demonstrated in the case of Dotson; and her supposed great business ability is negatived by that transaction, as well as by almost every phase of the transaction in this case. As to her knowledge of the surveyed lines, descriptions of legal subdivisions, and corners of the large tract of over five thousand acres, every presumption is against it. It requires a womau to have greater knowledge than could have been had by an active, intelligent business man, without surveys and personal inspection of every part of the ground. The defendant testified that she was familiar
Taking into consideration all the testimony and attendant circumstances, we are forced to believe she was not informed and had no definite knowledge of what she was conveying; and whether or not the tracts and boundaries pointed out in an indefinite manner from the door corresponded with those in the deed we have no means of knowing. If they did, we are forced to conclude that they were too general, vague and indefinite for the full understanding and comprehension of the plaintiff.
The defendant testified that he had been in the neighborhood since 1872. From that date to 1875 he had resided on the land of plaintiff at the crossing, and sold goods. He then removed two and a half miles south, where he had continued to reside. During ail these years he must have been familiar with the land of the plaintiff (he testified that he was); and having been connected with obtaining patents to it, been counseled by plaintiff in regard to lands sold by her to others, and having carefully examined the land preparatory to making his own purchase, and being capable, as he assumed to be, of pointing out to plaintiff lines and corners, we must conclude, from his own testimony, that he intentionally and fraudulently misrepresented the lines and boundaries of the southwest quarter of section 21, and obtained land that he admits was to be excluded by the contract — the grave-yard and the creek crossing. The grave-yard where her husband and perhaps other members of the family have been buried was to her sacred ground,— land she could not be induced to sell; while the crossing she wished to retain on account of its supposed value. He is compelled to admit that he informed her that they were not upon the tract he was purchasing. The proof was that the tract included both, and
The inquiry is not whether the party making the statement knew it to be false, but whether the statement made as true was believed to be true, and deceived the party to whom it was made. Joyce v. Taylor, 6 Gill & J. 54; Lockbridge v. Foster, 4 Scam. 569; Hazard v. Irwin, 18 Pick. 95; McFerran v. Taylor, 3 Cranch, 270.
Where there has been a misrepresentation, whether made fraudulently or mistakenly, it is no defense that either party by diligence might have learned of its falsity. The well-settled rule is that the party must sho'w, not only that the other might have known, but actually did know, the statement to be untrue, and must establish
After careful examination of the testimony, and consideration of the facts and circumstances of the case, we think the learned judge was warranted in finding that the conveyance was fraudulently obtained, and should be canceled. It is true that the testimony is conflicting, but we think the weight of evidence is clearly in support of the finding. “Fraud, in the sense of a court of equity, properly includes all acts, omissions and concealments which involve a breach of legal or equitable duty, trust or confidence justly reposed, and are injurious to another, or by which an undue and unconscientious advantage is taken of another.” 1 Story, Eq. Jur. p. 186; Chesterfield v. Janssen, 2 Ves. Sr. 155.
Courts of equity do not require positive and express proofs of fraud, but deduce them from circumstances affording strong presumptions. In this case the proof on some points is positive and express. If it were not, the attendant circumstances were such as not only to allow fraud to be presumed, but were such as to warrant the belief that there was a long-entertained intention on the part of the defendant, and a studied policy followed leading up to its accomplishment. The relation of the parties was such, and the great disparity in business ability such, that had the defendant -wished to deal with her honestly and fairly, to avoid all imputation of unfairness, he should not have allowed the transaction to have been consummated quietly, hastily and secretly, only in the presence of his own friends. He should have dealt at arms-length, not only allowing • but requiring her to have her friends and legal advisers present.
Plaving found that the deed was obtained by fraud, it is unnecessary to consider whether the second fraud was perpetrated in the amount of the consideration paid.
Plaintiff’s deed of conveyance was made September 8, 1882. The complaint was filed January 29, 1884. Some sixteen months elapsed from the time of making the deed to the bringing of suit, but neglect or delay in bringing suit to avoid a fraudulent transaction can only be imputed from the time the party had knowledge of the fraud. The rule of equity is that a man who seeks the aid of the court must assert his claim with reasonable diligence. Piatt v. Vattier, 9 Pet. 405; Wade v. Pettibone, 11 Ohio, 57.
What is reasonable diligence is not and cannot be defined by any general rule. Ho precise or definite limit of time can be stated within which the interposition of the court must be sought. What is reasonable time must in a great measure depend upon the exercise of the sound discretion of the court, under the circumstances of each particular case. Hawley v. Cramer, 4 Cow. 717; Hallett v. Collins, 10 How. 174. On examining the authorities, no like case is found where relief was refused, unless a much greater time had elapsed. The time in which the courts have treated demands as stale varies from four to twenty years, depending upon the character of the case. We are not definitely informed when plaintiff first had knowledge of the fraud, but if known imme
Richmond and Pattison, 00., concur.
For the reasons stated in the foregoing-opinion the judgment is affirmed.
Affirmed.