Chene v. President of the Bank of Michigan

1 Walk. Ch. 511
Michigan Court of Chancery·Decided November 15, 1844·Published

Opinion

The Chancellor.

The act of Congress, under which the St. Jean farm was confirmed to Pierre Chene, makes the right of occupancy, or possession, the basis of confirmation. It provides that, to every person or persons in the actual possession, occupancy, and improvement of any tract or parcel of land, in his, her, or their own right, at the time of passing the act, and which tract or parcel of land was settled, occupied, and improved, by him, her, or them, prior to and on the first day of July, 1796, or by some other person or persons, under whom he, she, or they, hold or claim the right to the occupancy or possession thereof, and which occupancy or possession has been continued to the time of passing the act, the tract or parcel of land, thus possessed, occupied, and improved, shall be granted, and such occupant or occupants shall be confirmed in the title to the same, as an estate of inheritance in fee simple. Act of March 3d, 1807, Sec. 2.

Possession or occupancy was a good title against all the world, except the government, which held the fee simple. Government recognised this right of possession, and made it the consideration of granting the fee. And, if Pierre Chene, when he obtained a confirmation to himself of the St. Jean farm, held the occupancy or possession of the whole, or any part of it, under the deed from St. Jean, in trust for his brothers Toussaint and Gabriel, he, in equity, continued to hold the title in trust for them after the confirmation. For no principle is better settled, than that a trustee shall not be allowed to make any advantage to [514] himself from an abuse of his trust. The law will not even allow him to renew a lease for his own benefit, where the lessor has refused to renew it for the benefit of the cestui que trust. Keech v. Sandford, 3 Eq. Ca. Ab. 741.

There is nothing in the act of Congress, under which the title was confirmed to Pierre Chene, to prevent the operation of this equitable principle. Great injustice might be done, if courts of equity were precluded from the exercise of their ordinary jurisdiction in such a case; and the act of Congress itself be made the means of vesting a title in a person for whom it was not intended.

It is not rejudging what the commissioners have done,' as in the case of adverse claimants. If Pierre held the right of possession under the deed from St. Jean, in trust for Toussaint and Gabriel, his possessory title was their title; and a confirmation of such title, by the commissioners, a confirmation of their title. The two were consistent ; and not inconsistent, as is the case with adverse titles which, being inconsistent, destroy each other.

Nor is there any thing in the nature of the conveyance from the government, it being a patent, to shut out the inquiry. Equity does not question the legal title in such cases, but lays hold of it for the cestui que trust, to prevent injustice. It is a well settled principle of law, that, where a deed is taken in the name of A., and the consideration is paid by B., a trust results in favor of the latter. Suppose the grantor to be the government, will that alter the case ? Certainly not; for it is immaterial who the grantor is, whether he be an individual or the government, and whether the conveyance be a patent or the deed in common use.

This brings us to the question whether there was a resulting trust in favor of Toussaint and Gabriel, as to the possession under the deed from St. Jean to Pierre Chene. [515] On this complainants rest their claim to the premises in question.

The bill states, that Charles Chene, the father of the three brothers, died about the year 1806, in possession of, and having a certain equitable title to the front part of what is now called the De Garmo Jones farm; and that, upon his decease, such title passed and belonged to his male children, the said Pierre, Toussaint, and Gabriel. By a certain equitable title, is meant the possession or occupancy of the land. But how, or in what way, this title, on the death of Charles Chene, passed and belonged to his male children, the bill does not state, but leaves us in the dark. It is certain, however, the brothers, after their father’s death, did not claim the Jones farm by descent; for they had a sister then living, and, by the ordinance of 1787, she would have been entitled to an equal share with them, as tenants in common; yet there is no mention made of her interest, and she did not join in the deed to La Selle. Moreover, this deed, signed by the brothers and La Selle, shows the Jones farm came to the Chene family from one Tetard; alias Forville ; and that the brothers claimed it under a substitution, as it is called in the deed, or kind of entailment. The part of the deed to which we refer more particularly, is in these words :

“And the said Pierre Chene, Toussaint Chene, and Gabriel Chene, warrant unto the said Antoine La Selle, his heirs and assigns hereafter, the said premises as aforesaid, against all gifts, dowers, debts, mortgages, evictions, alienations, substitutions, and of all hindrances, of all incumbrances whatsoever. And, as a security for the said warranty, they mortgage unto the said Antoine La Selle, his heirs and assigns hereafter, all their present and forthcoming property, and more particularly the farm or plantation which Pierre Chene recently purchased from Joseph [516] Serre, surnamed St. Jean, lying and situate at the Grand Marais, in the district of Detroit, containing five arpents in front, by forty in depth, together with the buildings thereon erected. Also the orchard, fences, and dependencies thereunto attached. This additional guarantee is to secure the said Antoine La Selle, his heirs and assigns hereafter, against all claims of the aforesaid Chenes, and of their heirs hereafter, by virtue of a substitution said to have been made by Tetard, alias Forville, of the said land as above sold, to the eldest of the male children of the family of the said Mess. Chene: and also against an annual unredeemable rent of two pounds, New York currency, for which the said land stands charged. The said Pierre Chene and his said brothers, declaring by these presents that they intend transferring said substitution, and the said rent chargeable on said land that the said Pierre Chene has lately purchased of the said Joseph Serre, surnamed St. Jean, situate at Grand Marais as above mentioned

Here then we have the substitution, under which the brothers claimed the Jones farm, transferred by them to the St. Jean farm, purchased in the name of Pierre. We say purchased in the name of Pierre, as we are satisfied from the evidence the St. Jean farm was purchased with the proceeds of the sale of the Jones farm to La Selle.

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Chene v. President of the Bank of Michigan, 1 Walk. Ch. 511 (Mich. Ct. App. 1844).

1 Walk. Ch. 511 (Chene v. President of the Bank of Michigan) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.