Dady v. Condit

70 N.E. 1088, 209 Ill. 488
CourtIllinois Supreme Court
DecidedApril 20, 1904
StatusPublished
Cited by18 cases

This text of 70 N.E. 1088 (Dady v. Condit) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dady v. Condit, 70 N.E. 1088, 209 Ill. 488 (Ill. 1904).

Opinion

Mr. Justice Ricks

delivered the opinion of the court:

Appellant first insists that there was error in the trial of this case by “allowing incompetent evidence to be introduced by the appellee as to the value of the land for speculative purposes and future uses under altered conditions, which might or might not arise.” We have examined the evidence referred to, and, under the circumstances of this case, are of the opinion that its admission was proper. The land in question was in the vicinity of Waukegan. At the time of the execution of the contract out of which this litigation arises, and for several years thereafter and until the depression of 1893, Waukegan and the surrounding district was experiencing a boom occasioned by rumors that the Washburn & Moen Manufacturing Company, and other concerns, were about to establish factories there, and the above mentioned factory, and many others, were, in fact, so established, and as a result the population of Waukegan was greatly increased, and from the early part of 1891 until the panic of 1893 there was great activity in the sale of real estate in said district. As a result of these conditions the evidence clearly shows there was a great demand for land adjacent to and surrounding Waukegan for subdivision and lot purposes, and the cash market value of said lands was greatly enhanced in price. The lands in question here were farm lands, and for such use, it is contended, were worth but about $50 or $60 per acre, but numerous witnesses offered by appellee testified that by reason of the existence of the conditions above mentioned the lands in question, on August 1,1891, had a fair cash market value of from $300 to $500 per acre. The plaintiff had a right tó show that at the time of the breach of the contract the lands had a cash market value for subdivision purposes, and numerous witnesses testified to this fact. • The evidence of these witnesses was supplemented by an actual view of the premises by the jury. The testimony of numerous witnesses for appellee was to the effect that by reason of the developments at that time taking place and expected to take place in Waukegan, there was a greatly increased demand for all property in that vicinity. This testimony was proper for the purpose of showing the cash market value of the land in question on August 1, 1891. South Park Comrs. v. Dunlevy, 91 Ill. 49.

Counsel for appellant seem, however, to insist that this testimony related solely to speculative and prospective valuation and of an imaginative character, which has never, in fact, materialized, and was therefore incompetent. Appellant relies upon that class of cases which hold that in estimating the value of lands, remote, uncertain, imaginary and speculative uses cannot be shown. We do not, however, regard those cases as in point here. The rule established by such cases is well recognized and not to be disturbed, but there is a broad distinction, which appellant’s argument does not seem to recognize, between the value which the expectation of changes or improvements. may give to land and the value which changes or improvements, when actually made, may add to land. The cases relied upon by appellant do not hold that if the expectation of changes or improvements does actually affect the cash market value of land sold in the open market, such value is not a proper basis for the estimation of damages.

The theory on which this case was tried was that appellant was under contract to convey to appellee land on August 1, 1891; that he broke his contract and was liable to appellee for the excess, if any, above the contract price which appellee could have obtained for such land in the open market, when sold for cash, on the day of such breach. It is conceded that the said land on said day, if used only for farm purposes, was not worth more than' or scarcely half of the contract price. But appellee, if the lands were conveyed to him according to the contract, was under no obligation to continue their use for farm purposes. It was his privilege to buy and sell and derive a profit on his contract, if he could. The testimony offered was to the effect that appellee, had he been permitted to sell in the open market, for cash, could have, on said August 1, 1891, derived a certain profit, thus giving the jury a basis on which to estimate his damages. It is not uncommon for the price which real estate will bring in the open market to be affected, more or less, by the expectation of changed conditions in the neighborhood of the property, and in this case, so far as the cash market value of the land was affected by such expected change, the appellee was entitled to show by the evidence and have the benefit thereof. Cobb v. Boston, 112 Mass. 181; Moulton v. Newburyport Water Co. 137 Mass. 163; Sanitary District v. Loughran, 160 Ill. 362.

Appellant next assigns as error that appellee was permitted to introduce, as claimed, incompetent evidence “of alleged sales of other lands which were not actual sales for cash, but were on time, some of which completely failed,” and also introduced “evidence of sales of dissimilar property, with better locations and more desirable.” In those sales which are said to have been on time, part, only, of the purchase price was deferred, and such deferred payments bore six per cent interest, and while the point to be arrived at by the jury was the actual cash value of the land in controversy at a certain time, we think that evidence of other sales of the character testified to might furnish some criterion valuable to the jury in fixing such cash value; and such evidence would also furnish a means of testing the value and weight to be given the testimony of appellee’s witnesses who swore as to the actual cash value of the land. If evidence were to be excluded of all sales every cent of which was not cash, the door would practically be closed as to the evidence of other sales, and such evidence, when of similar land in the same community, has always been regarded as the most satisfactory. We think the evidence as to the other sales was clearly competent, but, of course, the value of such evidence was for the jury, and appellant had the right, by cross-examination, to elicit all the unfavorable facts connected with such sales, and thus minimize, as much as he could, the weight of such evidence.

The contention of appellant that such sales, or some of them, failed, is based on the fact that the purchasers did not in all cases pay the actual amount agreed upon, and a number of years after the transaction the vendors disposed of their mortgages at a discount. We concede this might be shown so as to militate against the weight properly to be accorded such evidence, but it can hardly be said that the sales failed. There is nothing very peculiar or strange in the fact that the holder of a mortgage disposes of it at a discount. But however this may be regarded, it is disclosed by the evidence in this case that, taking into consideration the discount testified to, still the vendors in the sales testified about received more, without including the interest, than was the evident valuation placed by the jury on the land here in question.

It is objected, however, that the sales testified to were of lands dissimilar in quality and location to the land involved in the contract. We do not think the evidence shows such dissimilarity as to support this objection. The lands were all in the vicinity of Waukeg'an. As a matter of fact, the location and quality of all could not be precisely the same.

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Bluebook (online)
70 N.E. 1088, 209 Ill. 488, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dady-v-condit-ill-1904.