Colburn v. Gilcrest

151 P. 909, 60 Colo. 92, 1915 Colo. LEXIS 296
CourtSupreme Court of Colorado
DecidedJune 7, 1915
DocketNo. 8141
StatusPublished
Cited by11 cases

This text of 151 P. 909 (Colburn v. Gilcrest) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Colburn v. Gilcrest, 151 P. 909, 60 Colo. 92, 1915 Colo. LEXIS 296 (Colo. 1915).

Opinion

Scott, J.,

delivered the opinion of the court.

Action to quiet title. On the 19th day of October, 1907, Frank J. McCarthy, who was the owner of Lot 15, Block 21, in the Town of Gilcrest, Weld County, Colorado, sold said premises to W. K. Gilcrest for a- sufficient and valuable consideration, and executed and delivered to said Gilcrest his deed of conveyance, intending to thereby convey said premises. This deed was duly and promptly recorded.

The deed, however, by mistake, purported to convey Lot 15 in Block 22, instead of Block 21. McCarthy did not at the time own property in Block 22.

On December 15th, 1908, the First National Bank of Denver, caused to be filed a certified transcript of judgment against the said McCarthy, for record with the county clerk and recorder of Weld County, and on the same day caused an execution to issue on .the judgment, and a levy to be made on the premises.

December 18th, 1908, a correction deed for the premises sold by McCarthy to Gilcrest, dated Dec. 5th, 1908, was duly filed for record.

[94]*94The premises were sold under the execution and levy on April 1st, 1909, to the plaintiff in error, E. A. Colburn, who afterward, and on the 16th day of May, 1913, received a sheriff’s deed therefor. Colburn was the real owner of the judgment which was assigned by the bank to him on June 12th, 1913.

The sole question at issue is as to the sufficiency of notice to Colburn at the time of the levy. It is conceded that by reason of the error in description, the original deed from McCarthy to Gilcrest did not constitute constructive notice of the sale to Gilcrest, so that in this case Gilcrest must rely upon possession as constituting sufficient notice.

The general rule as to the character of possession sufficient, in such case, to put an interested person on his inquiry, was announced by this court in Yates v. Hurd, 8 Colo. 343, 8 Pac. 575, to be, “ ‘that open, notorious and exclusive possession of real estate, under an apparent claim of ownership, is notice to those who subsequently deal with the title of whatever interest the one in possession has in the fee, whether such interest be legal or equitable in its nature.’ Wade, Notice, Sec. 273, and cases cited. But the theory upon which the foregoing doctrine rests is that such possession is sufficient to put the purchaser upon inquiry, and thus lead to a disclosure of the true state of the title.”

Knowledge of circumstances may be equivalent to actual notice. Riethmann v. Godsman, 23 Colo. 208, 46 Pac. 684.

Whatever is notice sufficient to put an interested party upon inquiry, is generally regarded as good notice of all those matters which an inquiry prosecuted with reasonable diligence, would have disclosed.

There is no testimony in this case to indicate that the plaintiff in error, either in person or by agent or attorney, máde any inquiry whatsoever, or that he saw or visited the premises, at any time prior to the filing of the certified transcript of judgment, the issuance of the execution, or making of the levy.

[95]*95Indeed, this suggestion seems to be negatived by a showing that the attorney of Colburn did visit the premises on the same day, but after the levy was made, to examine the same and to ascertain the probable value thereof.

The property consists of the lot on which there was a large frame store building, used for mercantile purposes alone, and never occupied as a dwelling. The testimony shows that immediately after receiving the deed, Gilcrest took possession, took out an insurance policy, placed a new roof on the building, built a chimney, painted out a sign on the front and side Of the building, paid the taxes for the year 1907, — being the year of the purchase, and for each succeeding year, — collected the rents, and in every respect treated the property as his own. The building had been rented by Gilcrest practically all the time since his purchase, though several of his tenants had occupied it during that period, and there had been vacancies between tenancies, extending from a week to a month. The building was without a tenant on the day of the levy, and had been for a month or two, but was soon thereafter leased by Gilcrest to another tenant.

There was no concealment of any one of all these acts of ownership and possession, continuing for the full period from the date of the purchase on October 19th, 1907, to the date of the levy on December 15th, 1908. Nor did Gilcrest fail to record what he believed to be his valid deed immediately after receiving it.

His every act in this respect was in the open , was notorious, and was undisputed.

Not only does the plaintiff in error fail to show that he made any inquiry concerning the claim and exercise of ownership by Gilcrest, but fails to show that he or his agent was not possessed of such knowledge.

While such latter showing may not be essential to the establishment of his claim of innocent purchaser, yet under [96]*96the circumstances of this case it would have added to the legal presumption of good faith. The testimony is sufficient to justify the assumption that if the plaintiff in error or his attorney, had made inquiry of Gilcrest, or of any resident of the little town, prior to making the levy, he could have ascertained the fact of these acts affecting possession. But this was not done, and the attorney first caused the levy to be made, and afterward, and on the same day called upon Gil-crest to point out the property, and asked him as to the value of it. He then told Gilcrest that he had levied on the property.

Counsel' now complains that at the time, Gilcrest did not state that he was the owner or in possession of the property.

This may have been important if this conversation had occurred prior to the making of the levy. But certainly it could have no bearing after the plaintiff in error had made the levy. The attorney did not ask Gilcrest as to whether or not he was in possession, or claimed ownership, as was his duty if the information was important or desired, and we cannot see why the plaintiff was obligated to volunteer such information after his title had been so attacked in a legal proceeding.

It is natural that in this class of cases, and as it may be related to the question of notice, each case must be governed by its own peculiar circumstances, and be determined by the rule that if the purchaser or claimant, as against an unrecorded deed, had actual knowledge, or actual notice of such facts and circumstances, as by the exercise of due diligence would have led him to knowledge of the rights of an adverse claimant, if, under such circumstances he fails to make inquiry, then the ignorance of such purchaser is the result of such gross and culpable negligence as will hold him to have had knowledge.

As to the character of possession which is sufficient to [97]*97constitute such notice as will put a subsequent purchaser upon inquiry, it was said in the leading case of Simmons Creek Coal Co. v. Doran, 142 U. S. 417, 35 L. Ed. 1063, 12 Sup. Ct. 239:

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Cite This Page — Counsel Stack

Bluebook (online)
151 P. 909, 60 Colo. 92, 1915 Colo. LEXIS 296, Counsel Stack Legal Research, https://law.counselstack.com/opinion/colburn-v-gilcrest-colo-1915.