Born v. Hammond

146 A.2d 44, 218 Md. 184, 1958 Md. LEXIS 515
CourtCourt of Appeals of Maryland
DecidedNovember 17, 1958
Docket[No. 33, September Term, 1958.]
StatusPublished
Cited by18 cases

This text of 146 A.2d 44 (Born v. Hammond) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Born v. Hammond, 146 A.2d 44, 218 Md. 184, 1958 Md. LEXIS 515 (Md. 1958).

Opinion

Bruñe, C. J.,

delivered the opinion of the Court.

This is a suit by a real estate broker, Frank R. Hammond, the appellee, against Louis M. Born and Margaret M. Born, his wife, the appellants, for commissions on the sale of real *186 estate owned by the Borns. The trial resulted in a judgment for the broker, and the owners appeal.

Another phase of the transactions giving rise to this suit was before this court in Born v. Stancills, Inc., 214 Md. 443, 135 A. 2d 843. That was a suit for specific performance brought by Stancills, Inc., to enforce the contract of sale which resulted from the efforts of the broker, Hammond, and his sales representative, a Mrs. Rollins. We reversed a decree in favor of the purchaser primarily because the purchaser failed to show that it was ready and able to perform the contract at the appointed time, and time was expressly made of the essence of the agreement.

On May 12, 1955, the Borns entered into an agreement with Hammond by which they agreed to pay to the latter a commission of 5% on the sale of land and improvements thereon owned by the Borns at a price of $140,000. They also entered into two agreements with Stancills, Inc. (Stancills) dated May 12th, 1955, both of which were prepared by the Borns’ then counsel. The first agreement permitted Stancills, which was in the sand and gravel business, to make certain test borings on the Borns’ property. The second granted Stancills an option for a period of six months to purchase the property for $140,000, payable as follows: $80,000 as a down payment and $15,000 a year for each of the next four years, with interest at 4% on unpaid balances. The option agreement also contained provisions with regard to the Borns being permitted to occupy the house on the property rent free and provisions stating what should be considered as fixtures and' what should not be so considered.

On November 10, 1955, two days prior to the expiration of the option, the Borns and Stancills entered into a contract of sale covering the property subject to the option. The total price remained at $140,000, but the terms of payment were changed. Under the November agreement $10,000 was payable at or before the signing of the contract (and this amount was paid), $70,000 was to be paid on January 12, 1956, and the balance of $60,000 was to be paid at the rate of $15,000 a year for four years, with interest at 4% payable semi-an *187 nually on successive unpaid balances. The agreement further provided (inter alia) :

“And upon payment of the sum of Seventy Thousand Dollars ($70,000) and the execution of a purchase money mortgage by the Buyer for the remaining sum of Sixty Thousand Dollars ($60,000), a deed for the property shall be executed at the Buyer’s expense by the Sellers, which shall convey the property by a good and merchantable title to the Buyer, free of liens and encumbrances except as specified herein; but subject, however, to all applicable restrictions, easements, laws, ordinances, regulations, charges, taxes and assessments, if any.
“And it is hereby understood and agreed that the Sellers shall reserve the right to occupy the dwellings and buildings on the premises rent free until the entire purchase price shall have been paid upon payment by the Sellers of all maintenance charges, taxes, and other public charges against the premises and the continuance of all present insurance on the premises.
* * *
“And it is hereby further agreed that the sale of the farm house and all other buildings shall include only those fixtures attached to said buildings and made a part thereof and shall not include the household furnishings and farm equipment. The only items to be construed as fixtures in the farm house are the furnace, hot water system, sink, kitchen cabinets and storm doors and windows. All other items are to be construed as household furnishings, including the kitchen range, refrigerator, and deep freeze units.”

The appellants’ first contention is that the contract of November 10, 1955, was not sufficiently definite to be an enforceable contract within the meaning of Section 17 of Article 2 of the Code (1957). This contention is directed at several provisions of the agreement which have been set forth above *188 and two others which may be thus summarized: one, a requirement that six months’ notice to vacate be given to the Borns if Stancills should elect to prepay the whole remaining unpaid balance of the purchase price; the other, that until the full purchase price should be paid Stancills should not carry on any of its business operations within 400 feet of the principal abutting highway or within a radius of 300' feet of the Borns’ house.

The argument based upon the restrictions last referred to-is that the Borns might not get what they expected during the last six months of occupancy to which they would be entitled if Stancills prepaid the balance and then excavated sand and gravel up to or almost up to the house. The Borns might then find living conditions “very disagreeable.” If the appellants’ construction of the contract is correct on this point,, it would seem that the difficulty does not arise from indefiniteness, and there is nothing to suggest that any fraud or deception was practiced upon the Borns. On the contrary, it appears that the contract was drawn by the Borns’ then counsel. We find no force in the appellants’ contention on this-point.

The appellants also contend that the clause stating the expenses which they would have to pay if they exercised their option to remain on the premises is vague and uncertain. They suggest a nearly fantastic construction of “maintenance charges” as possibly covering the cost of shoring up the house if Stancills’ excavating operations should undermine its foundations, and they ascribe to the words “other public charges”' which are coupled together with “taxes” a meaning of almost unlimited possible extent. These contentions, we think, go-far beyond the ordinary meaning of rather ordinary words and are not sustainable. In Gibbs v. Meredith, 187 Md. 566, 51 A. 2d 77, it was held that if a contract is susceptible of two constructions, one of which would produce an absurd' result and the other of which would carry out the purpose of the agreement, the latter construction should be adopted. Furthermore, as was said in Rocklin v. Eanet, 200 Md. 351, 357, 89 A. 2d 572: “* * * a contract is not rendered unenforceable merely because the parties do not supply every con *189 ceivable detail or anticipate every contingency that may arise.” To like effect see also Quillen v. Kelley, 216 Md. 396, 407, 140 A. 2d 517, where it was said: “* * * courts are reluctant to reject an agreement, regularly and fairly made, as unintelligible or insensible. The agreement will be sustained if the meaning of the parties can be ascertainedj either from the express terms of the instrument or by fair implication.

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Bluebook (online)
146 A.2d 44, 218 Md. 184, 1958 Md. LEXIS 515, Counsel Stack Legal Research, https://law.counselstack.com/opinion/born-v-hammond-md-1958.