35 Ky. 141 | Ky. Ct. App. | 1837
delivered the Opinion of the Court.
In May, 1803, the County Court of Madison granted to James Hare, a certificate for four hundred acres of land, under the act of assembly for settling and improving the vacant lands of the Commonwealth, located to begin at a designated point on a certain fork of Goose creek, and “running down said fork on both sides for quantity, so as to be in a square, and to include the creek in the middle of the upper and lower lines.”
On the 9th of April, 1814, a survey was executed on this certificate, by which the four hundred acres was run off in a rectangular parallelogram, having its greatest length across the creek, and including only two hundred and twenty-six acres of the land described in the certificate.
On th 13th of May, 1814, a second survey was executed, on the same certificate, laying off the four hundred acres in a square, and conforming to the calls of the cer
On the 19th day of December, 1821, a patent issued to Martin D. and Mark Hardin, for four hundred acres, according to the first of these surveys—the Hardins having become the purchasers of Hare’s claim, at the register’s sales thereof, for the non-payment of the state price; at the first of which, in 1813, Martin D. Hardin purchased the land, and at the second, in 1814, it was purchased by Mark Hardin, who afterwards admitted Martin D. to an interest of two thirds, in which proportion it was granted to them by the patent.
The two surveys were made under the immediate direction of John Bates, the agent of M. D. Hardin.
In December, 1820, Alexander White and John Wilkerson entered into a contract with the Hardins; in which, after a recital that the Hardins hold four hundred acres of land granted by the Madison County Court to James Hare, in 1803, and that White and Wilkerson wish to make an experiment thereon for salt water &c. the Hardins bind themselves to convey the land to them, on the receipt of two thousand five hundred dollars, in five annual instalments, with interest from the date of their erecting a furnace for making salt on the land. But a right is reserved to the said White &C. after making the experiment, to abandon the purchase, or to elect to pay the money and take the land; or, without paying any thing for the land, to admit the Hardins into partnership, and become joint owners of the land and salt works, and joint contributors to the future expenses of the business. The experiment to be made before the first day of January, 1826.
On the 25th day of May, 1824, White &c. by their attorney, notified the Hardins that they elected to take a conveyance of the land on the terms of the agreement of December, 1820: whereby they became bound to pay the sum of two thousand five hundred dollars, in five equal annual instalments, with interest from that date.
After all of the instalments had become due, and there had been some fruitless negotiation between the parties, in regard to alleged difficulties in the title, judg
The ability of the Hardins to convey, according to their contract, is questioned on two grounds: the first o: which is, that notwithstanding their purchases at the sales for non-payment of the state price, and the grant of the land to them by patent, the heirs of James Hare, or others claiming under them, are entitled in equity to at least two thirds of the land; and those heirs set up claim accordingly, in their answer and cross bill. On this branch of the subject it is alleged.
First—that James Hare was dead before any of the sales for the state price, and therefore the sale of his right was void. But the fact alleged is denied; and it is not proved that Hare died before the first sale. To whatever effect his death before the first sale, might have been entitled — and this it is not necessary to decide— it seems to us that, as by that sale, supposing it to have been valid, the purchaser stood as the proprietor of the certificate, and liable for the state price, the death of the original proprietor occurring between that and any sub-sequent sale, while the land was unredeemed, could have no effect upon the subsequent sale.
Second. It is further alleged that, the second instalment for which the land was first sold, was not due; that the first instalment was paid by Hare himself, as evidenced by the register’s receipt for the first instalment, dated the 14th day of May, 1808; and that a sum more than equal to one instalment had been previously paid by Martin D. Hardin, for Hare, and had not been cred
From these it appears that, about the time the certifi
It is contended, however, that, in consequence of the relation existing between Hardin and Hare, with respect to the land, the purchase by Hardin at the first register’s sale, did not extinguish the right of Hare, but that a Court of Chancery would follow and protect it in Hardin’s hands; and that, as after .the second sale, Hardin again acquired an interest, that interest should, on the same principle, be held subject to Hare’s right. If the first sale had been caused by the failure of Hardin to pay his proportion of the price, according to his obligation to Hare, his purchase at that sale might have been regarded in equity as enuring to the joint benefit, and is in effect placing the parties as they were before, in regard to the title to the land. And if Hardin had been bound still to make further payment for the joint benefit, and the second sale was a consequence of his breach of that obligation, his subsequently acquired interest from Mark Hardin, the purchaser at the second sale, might have been held subject to the equity of Hare; and especially if the second sale had been, as charged, a contrivance betwen the Hardins, to injure Hare. But as the first sale was caused by a breach of duty, not on the part of Hardin, but of Hare, and as there is no proof or pre
In the view taken of this branch of the case, we have not noticed any question as to the right of redemption under the statutes directing the sale of land for non-payment of the price, because no attempt has been made to redeem. The equity of Hare is not placed on that ground; and, even in this case, no offer has been made, either by the original complainants, or by the heirs of Hare, in their cross bill, to reimburse any portion of the money paid by the Hardins, or either of them, for the land. It is farther to be remarked that, from the exhibits accompanying the answer of Mark Hardin, which, although not proved, are corroborated by several circumstances in the cause, it seems highly probable that, long before either of the sales by the register, Hare had bound himself to convey the whole of his interest—two thirds to Martin D. Hardin, and one third to James Kincaid. This, if it be so, certainly forms a sufficient answer to any claim by the heirs of Hare. But, without resorting
The second ground on which the ability of the Hardins to convey according to contract, is denied, is that the patent covers but a part of the land included in Hare’s certificate and purchased by the complainants; and that for the part not included in the patent, the Hardins have no title. As to the matter of fact on which this objection rests, it is made entirely clear in the cause, that the patent, though including four hundred acres within its boundary, covers only about two hundred and twenty-six acres of the land included within the location, as stated in the certificate. And it is equally clear that, for the land outside of the patent, the Hardins have no title whatever, under the certificate. It is also obvious, from the recitals of the original contract, that its subject was the four hundred acres of land granted to Hare. And as the purchasers are willing to take a Conveyance of so much of the land described in the certificate, as the vendors can convey, they are, upon well settled principles, entitled to remuneration in damages, or a discount in the price, for the proportional value of so much of the same land as the vendors are unable to convey, unless by a change of contract, or otherwise, they have waived or lost this right.
The agreement of December, 1820, did not take effect as an absolute contract of sale and purchase, until it was made so by the election of the purchasers, in May, 1824. Before that time, the patent had issued to the Hardins, on the survey of April, 1814. It is contended
The other facts proved, do not authorize the presumption that the purchasers knew that the patent varied from the certificate, when they elected to take the land. There is no evidence that they had any information as to the description actually contained in the patent. If they must be presumed to have known the boundaries of the survey of April, 1814, which varied from the certificate, they must, for the same reasons be presumed to have known the boundaries of the second survey, made in May, 1814, in consequence of M. D. Hardin’s dissatis
It is further contended that, by taking and retaining possession of the four hundred acres included in the patent boundary, the purchasers have adopted that land, and have waived or lost their right to any remuneration or deduction for land not within the patent. But, although the possession taken within the boundary common to the certificate and the patent, might, if so intended, have given possession to the extent of the patent boundary, there is no proof that any such effect was intended, or that the purchasers ever designedly took possession of any land not embraced in the certificate, for the purpose of holding it under their contracts. The occasional cutting of wood upon the patented land not embraced in the certificate, (and for which compensation is allowed by the decree of the Circuit Court,)
It seems, however, that about the year 1830, by means of their contract with the Hardins, and under color Of their supposed title under that contract, they obtained possession of thirty-four acres and half of the land embraced in Hare’s certificate, but not covered by the patent; which possession they still retained at the hearing of the cause, and were then decreed to surrender to the Hardins. The thirty-four and a half acres thus obtained, is one half of the interference between the survey of Richard Nicholson, and that part of Hare’s certificate which is not included in the patent; The compromise by which it was obtained, was made by the purchasers with the assent of the vendors, with John Bates, already named as the agent who directed the surveys of Hare’s claim, and who appears to have been the equitable owner of an undivided interest of more than one half bf Nicholson’s claim, at the time when the surveys were made, as well as at the date of the compromise. A division line was agreed on and run, and the possession of the upper half of the interference surrendered to White &c. the residue being left in possession of Bates. The agreement, which was in writing, is not produced; and it does not appear whether there was any obligation on either part, as to a conveyance of title. Its sole consideration seems to have been, the supposition that there was a conflict between the titles of Hardin and Nicholson, and its only object to settle that conflict. The Hardins set up this compromise in their answers; and rely upon it as showing that to the extent of the thirty-four acres and a half obtained by it; their vendees have got the full benefit of the contract; and are, therefore, not entitled to a rescission as to that part of the land sold, nor to any allowance or deduction
But this they have not done. They have not brought Bates and the heirs of Nicholson before the Court; they have filed no cross bill, even against the complainants, and they have not shown that their vendees are secured in the land by means of the compromise, The proof in
First. The deposition of Bates proves that there was no intentional fraud in making the first survey variant from the certificate, and that it was intended for the benefit, and not for the injury, of the proprietors; and by the immediate reparation of the error, it was, so far as appears put in their power, to have the patent conformable to the certificate. Second. Bates swears that he did not know until after he made the compromise, that the patent had issued upon the first survey. And, as the fact of the compromise implies the idea of mutual and interfering claims, it may be assumed that this compromise was based upon the mistaken supposition, on the part of Bates at least, that the patent of the Hardins conformed to the second survey, and covered the sixty nine acres which was the subject of the compromise. Third. It does not appear that the compromise extended any farther than to fixing a division line, and surrendering the possession accordingly. Fourth. The title of Nicholson is not exhibited, nor any written evidence of Bates’ equity in it.
Under these circumstances, it being at least doubtful whether any title can be coerced from, or through Bates, it would be inequitable to compel the vendees to take this compromise, instead of a legal title to be conveyed by the Hardins. And as the Hardins, if they have any equity against Bates, which might form a consideration for the compromise, and give it validity, have not asserted it in any available form against Bates or Nicholson’s heirs—there can be no propriety in sending the case, back for a litigation, now to be commenced, between those parties. Bates and the heirs of Nicholson were not necessary parties to the contest between the Hardins and their vendees, unless the Hardins had made them so, or had shown such facts as rendered it the duty of the complainants to make them parties. This not having been done, there is no defect in the form of the suit, and it is ,to be decided on the record as it now stands.
The vendees not being bound to hold as apart of their purchase, the compromised land to which the vendors had no title, and which does not appear to have beep
The ultimate question of right between the Hardins and Bates, is, of course, not decided; nor intended to be affected by this opinion; but must be left to be settled or litigated between them. It is intended only to decide between the present parties, and on the proof taken in this contest, that the vendees cannot be compelled to look to Bates for title, and that, as they rescind the contract, and obtain remuneration, or a credit, for the value of this portion of the land, they have no right also to re
There being then nothing in this case to rebut the equitable right of the complainants to rescind the contract so far as the Hardins are unable to convey—or their right to an allowance for the proportionable value of the land which, being included in the purchase, cannot be conveyed, it remains to inquire what is the proper criterion of that value.
Considering the land merely with a view to its adaptation to tillage, or to any other use of its surface, independently of the salt water procured or to be procured upon it, it is proved to be worth less than one dollar per acre; and the one hundred and seventy four acres which cannot be conveyed, is worth about as much per acre as the residue of the four hundred. But the contract was made with a view to the procurement of salt water; which was rendered probable by its having been procured upon the same fork of Goose Creek, both above and below Hare’s four hundred acres. And it was not until it had been actually procured upon this tract, and of a quality such as to justify the erection of a furnace for making salt, that the purchasers agreed to give two thousand five hundred dollars for the whole. What would have been given for the land before the experiment had been actually made, and salt water found upon it, cannot be told; but certainly, more than if no salt water had been previously obtained on the creek which runs through it. It must be considered equally certain that the procurement of salt water on this tract, increased the value of the whole tract, not only by the actual value of the salt water itself, but also by the additional uses which the making of salt upon the land would create for the wood and other products of the soil, and by the increased probability that salt water might be procured at other places within the tract, on the same . creek. And we are bound to conclude that all of these elements of value were taken into view in fixing the price of twenty five hundred dollars upon the whole tract. The difference between $2500, the agreed value of the whole 400 acres, and $300, which might have been its
On the whole case, we perceive no error which can avail the complainants, on their appeal; and none to the prejudice of the Hardins, except in the failure to decree the transfer, or relinquishment, to them, of all right and interest acquired by the compromise. The decree, therefore, is affirmed in all other respects, and, as to this point, is reversed on the writ of error of the Hardins, and the cause is remanded, with directions so to amend the decree as to direct the complainants to transfer to the Hardins, without recourse, all their right and interest in the thirty four and a half acres of land above mentioned, derived or held by them, under the articles of compromise with Bates, above referred to. The Hardins are entitled to be paid their costs on the appeal, and, the decree being partially affirmed, and partially reversed, on the writ of error in which they are plaintiffs, the costs on the writ of error must be divided.