Brittain Bros. v. Davis

161 S.E. 841, 174 Ga. 1, 1931 Ga. LEXIS 1
Supreme Court of Georgia·Decided December 17, 1931·No. No. 8626·Published·Cited by 6 cases

Opinion

Hines, J.

On March 18, 1927, William T. Davis filed against Brittain Brothers Company his petition in which he made these allegations: On March 23, 1926, petitioner purchased from defendant a described tract of land for the sum of $2,000. He paid $1,000 of the purchase-price, and executed his note for the balance. The defendant executed its bond for title, in which it agreed to make to him, on March 23, 1927, a good and sufficient title in fee simple to said land upon the payment of said note. The defendant was represented in this transaction by its treasurer, A. A. Chapman, who represented to petitioner that the defendant had a good and merchantable title to said land. Petitioner relied upon said representation as being true, and, acting thereon, bought said land from the defendant, believing that he was buying land to which the defendant had a good and merchantable title. He did not know that this representation was not true. About two weeks ago petitioner discovered that the defendant had title to only four sevenths undivided interest in said land. If he had known that defendant had only such interest instead of an absolute and perfect title to all of the land, he would not have bought it and would not have paid defendant $1,000 on the purchase-price. It will be impossible for the defendant to execute to him, on March 23, 1927, a good and valid title to said land in fee simple, for the reason aforesaid. Petitioner is entitled to and hereby elects to rescind said contract. The defendant is entitled to have deducted from the amount paid a fair and reasonable rental of its four sevenths interest in the land. Petitioner prays that the contract of sale be canceled, and that he have judgment for the $1,000 paid on the purchase-price of this land. The defendant, on June 10, 1927, filed its answer in which it denied the material allegations of the petition.

[3] On June 2, 1927, the petition was amended by the following allegations: About February, Í927, petitioner had made an abstract of the title to this land. He gave to Chapman, the agent and ' officer of defendant, a copy of 'this ■ abstract, and informed him that said abstract revealed that the 'defendant did not have a good title to said property. He tendered to the defendant the bond for title which it had executed, and informed Chapman that he then and .there was surrendering to defendant said premises, and that the same from that time on were subject to its orders. He demanded of the defendant, through its said agent, the return of said cash payment with interest. Chapman failed and refused to repay to petitioner said money, and failed and refused to accept said bond for title. Petitioner has not been in' possession of said premises since. On December 10, 1908, J. N. Clieney by warranty deed conveyed ■said land to J. "VY. and J. C. Davis. . J. W. Davis was the father of J. C. Davis and; petitioner. J. W. Davis died on February 24, 1920, without leaving a will. At the date of the death of J. W. Davis, he was seized and possessed-of a half undivided interest in said land. There has been no administration of his estate. His half interest in the land descended to his heirs. On February 3, 1926, J. C. Davis by warranty deed conveyed said land to the defendant, thus attempting to convey to it the interest of his deceased father therein. J. W. Davis left as his heirs his wife, Mary H. Davis, five named children, and petitioner. Each of said heirs owns one seventh undivided interest in the undivided half interest of said intestate. When petitioner bought the land from defendant he did not know that his mother and sisters owned said interests. He did not know that he himself owned an interest in the land. He believed that his father’s interest had been conveyed out of him. He believed and relied upon the representations of defendant’s agent, Chapman, and the recitals in its bond for title. Otherwise he would not have bought said land and paid the defendant $1,000 on the purchase-price.

The defendant demurred to the petition, upon the ground that it set forth no cause of action. The judge overruled this demurrer. This court affirmed that judgment. Brittain Bros. Co. v. Davis, 167 Ga. 159 (144 S. E. 904).

On January 29, 1929, the plaintiff again amended and made these allegations: At the time he bought said land from the de[4] fendant and received its bond for title, the defendant'had no title to said property, for the reason that J. C. Davis, on January 26, 1923, had conveyed the land by his deed to the National City Bank of Rome to secure a debt due by him to that bank. Chapman, who represented the defendant in said trade, and who represented to petitioner that the defendant owned the legal title to said land and that there were ho liens of any kind or nature against said property, knew, at the time of the trade with petitioner that J. C. Davis had conveyed all his title in said land to the bank, Chapman having witnessed the signature of J. O. Davis to said security deed. Said property has never been reconveyed to J. C. Davis nor conveyed to the defendant by the bank. Said deed from Davis to the bank has stood upon the records in Floyd superior court since January 26, 1923. Petitioner would not have bought said land and paid to the defendant the cash payment had he known that the title to said land was in said bank.

On January 29, 1929, the defendant amended its answer and prayed for judgment against the plaintiff upon his note for $1,000, with interest thereon from March 23, 1926. On the trial the judge directed a verdict in favor of the defendant. That judgment was reversed. Davis v. Brittain Bros. Co., 168 Ga. 718 (148 S. E. 917).

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Brittain Bros. v. Davis, 161 S.E. 841, 174 Ga. 1, 1931 Ga. LEXIS 1 (Ga. 1931).

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