American Securities Co. v. Goldsberry

69 Fla. 104
CourtSupreme Court of Florida
DecidedFebruary 3, 1915
StatusPublished
Cited by20 cases

This text of 69 Fla. 104 (American Securities Co. v. Goldsberry) is published on Counsel Stack Legal Research, covering Supreme Court of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Securities Co. v. Goldsberry, 69 Fla. 104 (Fla. 1915).

Opinion

Ellis, J.

(After stating the facts.) — Under the first assignment the appellant contends, that the averments in the answer in respect to the alleged agreement of the [115]*115complainant, Samuel S. Goldsberry, with the mortgagor to extend the time of payment of the note for one year should have been accepted by the Chancellor as true and the bill dismissed. The answer does not deny the execution of the note by Charles D. Mills, the delivery of it to the complainant, the execution and delivery of the mortgage by Mills and wife to the complainant to secure the payment of the note, nor the assumption by the American Securities Company of the mortgage indebtedness, described in the bill, but avers upon information and belief, that at the time of making the contract of purchase for a part of the mortgaged premises, “between the said Mills, the mortgagor in said mortgage, and the assignors of this defendant, to-wit: February 12, 1913, prior to the maturity of said note, the mortgagee, Samuel S. Goldsberry, agreed with the mortgagor to extend the time of payment of said note for one year and which said promise was communicated to said Holloman and McMillan by said mortgagor Charles D. Mills, and relying thereon said Holloman and McMillan assumed the payment of said note and mortgage, and in turn said promise and agreement was communicated to this1 defendant and relying thereon it assumed the payment of said note and. mortgage.” It is perfectly clear that the principal faer in the quoted part of the answer is the alleged agreement between Goldsberry, the mortgagee, and Mills, the mort gagor and maker of the note, whereby Goldsberry agreed to extend the.time of payment of said note for one year. If the agreement was not made, it would be of no importance that Mills made such representation to Holloman and McMillan and that such representation was made to the American Securities Company. The answer does not allege that Goldsberry told Holloman and McMillan or the American Securities Company that he had made such [116]*116agreement with Mills, although Goldsberry is the man against whom the agreement is invoked.

There is no doubt that an agreement between the complainant Goldsberry and the defendant Mills for an extension of the time for the payment of the indebtedness based upon a good consideration would be valid and a good defense. But such an allegation would be an affirmative one of new matter and not responsive to the bill and the burden would have rested upon the defendant to establish it by a preponderance of the testimony, Pinney v. Pinney, 46 Fla. 559, 35 South. Rep. 95; Tyler v. Toph, 51 Fla. 597, 40 South. Rep. 624; Parsons v. Ramsey, 53 Fla. 1055, 43 South. Rep. 503; Griffith v. Henderson, 55 Fla. 625, 45 South. Rep. 1003.

If the complainant had told Holloman and McMillan or the American Securities Company at the time the indebtedness was assumed that there was such an agreement between Goldsberry and Mills, that would have been a good defense upon the principle of estoppel. Such an allegation would have been responsive to the bill, it would have set up matter which discharged the defendant, and would have shown that the matter charging him and discharging him grew out of the same transaction, and would have been evidence in favor of the defendant. Maxwell v. Jacksonville Loan & Imp. Co., 45 Fla. 425, 34 South. Rep. 255. But the rule making an answer evidence in favor of the defendant where a case is heard on bill, answer and replication, requires that it should not only be responsive, but direct, positive and unequivocal. Southern Lumber & Supply Co. v. Verdier, 51 Fla. 570. 40 South. Rep. 676; Kellogg v. Singer Manuf’g Co., 35 Fla. 99, 17 South. Rep. 68. The averments of the answer in this regard were neither direct, positive nor unequivo[117]*117cal. The averments are that Mills told Holloman and McMillan of such an agreement and that “in turn said promise and agreement was communicated to this defendant,” etc. By whom it was communicated to defendant, the answer does not state. • It is not permissible to infer that it was communicated to it by Goldsberry. The averment that Mills told Holloman and McMillan of the agreement, is immaterial and not responsive to the bill. Goldsberry was not bound by any statement made to Holloman and McMillan or the American Securities Company by Mills, in the absence of any shewing in the answer that Mills acted with authority from Goldsberry.

The cause was heard on Bill, Answer and Replication, the allegations of the bill necessary to entitle the complainant to relief were admitted by the answer. The averment of'the answer as to the alleged agreement between Goldsberry and Mills concerning an extension of time for the payment of the indebtedness evidenced by the note, not being responsive to the bill, and being an affirmative allegation of new matter set up by way of defense upon information and belief, was not evidence for the defendant, and the Chancellor rightfully declined to accept it as true. Neither was the averment in the answer as to the communication of such an alleged agreement to Holloman and McMillan by Mills, or the communication of such information to the defendant, evidence for the defendant. Simpson v. Barnard, 5 Fla. 528; 1 Ency. Pl. & Pr. 920.

Under the second subdivision of the first assignment of error, the appellant urges that inasmuch as the bill alleges that the American Securities Company had,entered into a contract of purchase of the property de[118]*118scribed in the bill from Charles D. Mills and his wife, and had been let into possession of the premises and claims some interest in the premises and had assumed to pay the note and mortgage, and i¡hat the answer set up a contract of purchase of a part of the premises from Mills, and an assignment of the contract to the1 American Securities Company and an assumption of the indebtedness by the company, that the complainant should have submitted evidence as to the contract alleged in the bill, and that without such evidence the decree was erroneous in view of the averments in the answer.

We do not agree with appellant’s solicitors on this point. The assumption of the indebtedness by the appellant placed it in the same situation with reference to the property purchased as the defendant Mills occupied with reference to it. The lien of the mortgage existed upon all of the property without any right of the appellant to insist that one part of the premises or the other should be sold first. The American Securities Company assumed the indebtedness, the debt thereupon became its debt, so far as the mortgagor Mills was concerned, and it was the failure of the American Securities Company to pay it when it became due that brought about the foreclosure. Mills might have complained Avith some reason, but we think that appellant had no equity as to this feature of the case.

Under the second assignment of error several questions are discussed by appellant’s solicitors, relating to the decree of April 3, 1914. It is urged that the appellant’s exceptions to the Master’s report based upon the allowance of Eight Dollars and sixty cents for an abstract of the property, and Eight Hundred Dollars for solicitors’ fees should not have been overruled, but that the excep[119]*119tions on tlie contrary should have been sustained and the items disallowed.

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Bluebook (online)
69 Fla. 104, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-securities-co-v-goldsberry-fla-1915.