Cowart v. Singletary

79 S.E. 196, 140 Ga. 435, 1913 Ga. LEXIS 153
Supreme Court of Georgia·Decided July 21, 1913·Published·Cited by 30 cases

Opinions

Lumpkin, J.

(After stating the foregoing facts.)

1-3. The members of this court are agreed as to all matters involved in this case, except one. The issues of fact were found in favor of Singletary by a jury on a former trial, and by the auditor when the case was referred to him. The presiding judge has approved that finding, and the evidence was sufficient to authorize him to do so. There was no error in overruling the motion for a rereference. The report of the auditor, while somewhat meagre, was sufficiently, full to withstand the attack made upon it in the motion for a rereference, and a reversal is not required. This disposes of the contentions that the deed made by Caroline Cowart to Singletary was procured by fraud; that the transaction was not in fact a sale with an option to repurchase, but was the securing of an indebtedness; that this debt was infected with usury and included a debt of her husband; that there was such mental disparity between the parties and such inadequacy of consideration as to amount to fraud; and all others depending on questions of fact. Under the evidence the decision in Baggett v. Trulock, 77 Ga. 369 (3 S. E. 162), is not controlling. See, in this connection, Felton v. Grier, 109 Ga. 320 (35 S. E. 175); McElmurray v. Blodgett, 120 Ga. 9 (47 S. E. 531); Brown v. Bonds, 125 Ga. 833, 838 (54 S. E. 933). We were requested to review and overrule the decision in Felton v. Grier, supra. Its special application to this case is the ruling, that, it being legally possible for the owner of real estate to sell it to another at an agreed price, and at the same time secure the right to repurchase, the law will enforce such a transaction when actually made. Whether any criticism can be made upon anything that was said in the opinion is immaterial. The principle announced is correct, and we decline to reverse it.

4. It was urged, that Singletary did not bind himself in writing to Caroline Cowart to pay the purchase-money notes which were given by her to Mrs. Holmes; that if there was any promise to that effect, it was in parol; and that such a promise was obnoxious to the statute of frauds. In the deed to Singletary it -was recited that Caroline Cowart had given her notes for the purchase-money of the land to Mrs. Holmes, and that “Singletary bonds [binds] himself to see that said bond is complied with.” The acceptance of this conveyance by Singletary bound him to carry out such covenant. Kytle v. Kytle, 128 Ga. 387 (57 S. E. 748). As between him and [440] his grantor such an agreement to pay purchase-money was not within the statute of frauds. Ford v. Finney, 35 Ga. 258; Gorman v. Wood, 73 Ga. 370, 374; Coldwell v. Cowart, 138 Ga. 233, 243 (75 S. E. 425).

5. We now come to the only point of difference between the members of this court. The bond for title which was given by Mrs. Holmes to Caroline Cowart, after describing the terms of the sale and the notes given for the purchase-money, and binding Mrs. Holmes "to make or cause to be made” good and sufficient title in fee simple to the land upon payment of the notes, contained the following: "It is hereby understood and agreed that time is of the essence of this contract; and should the party of the second part fail to pay said notes as'they'become due, then this bond to become null and void, and whatever money paid shall be treated as rent at the rate of $150 per annum. And it is further stipulated that this bond is not transferable to any one.” Under the facts of the case, the majority of the court are of the opinion that neither of the two clauses above quoted prevented Singletary from having equitable relief. The first clause declares time to be of the essence of the contract, and provides for a forfeiture in case of non-payment of the purchase-money. This clause does not undertake to put any restriction upon the transfer of the bond or the alienation of the property by the purchaser. There was no evidence to show that Mrs. Holmes ever claimed any forfeiture or breach of the bond 'arising from non-payment. On the contrary she received payment from Singletary of fifteen of the notes substantially, if not exactly, as they fell due, and received a large part of the purchase-money from Grimsley in discharge of the remaining notes before they were due. She could not, of course, claim a forfeiture and at the same time receive the purchase-money. So that any contention that there was a forfeiture and a resale without regard to the original contract finds no support whatever in the evidence. Indeed such is not the contention, but this clause is used in support of the position that there was a limited restriction on alienation, as will appear below.

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Cowart v. Singletary, 79 S.E. 196, 140 Ga. 435, 1913 Ga. LEXIS 153 (Ga. 1913).

79 S.E. 196 (Cowart v. Singletary) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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