Dennis v. Kelley

1921 OK 90, 197 P. 442, 81 Okla. 155, 1921 Okla. LEXIS 114
CourtSupreme Court of Oklahoma
DecidedMarch 15, 1921
Docket11709
StatusPublished
Cited by16 cases

This text of 1921 OK 90 (Dennis v. Kelley) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dennis v. Kelley, 1921 OK 90, 197 P. 442, 81 Okla. 155, 1921 Okla. LEXIS 114 (Okla. 1921).

Opinion

McNEILL, J.

This action was commenced by Thomas. J. Kelly and Caroline B. Kelly, his wif., against Fred G. Dennis. State Bank Commissioner of the state of Oklahoma, and numerous other parties to recover possession of the northwest quarter óf section twelve (12), township twelve (12) north, range one (1) east of the Indian meridian, Oklahoma county, to set aside a deed executed by plaintiffs on December 10, 1909, to J. T. Beam and further to cancel numerous mortgages executed by Beam and other parties upon said premises, and to declare a sheriff’s deed executed to Dennis void and to quiet title in the plaintiffs. The defendant Fred G. Dennis, State Bank Commissioner, filed a general demurrer, and specially raised the question of the statute of limitations; the demurrer was overruled, and an answer was filed pleading the statute of limitations, and the further definse that the ease had been res adjudicata, in a former action in the district court of Oklahoma county, entitled Night and Day Bank v. J. T. Beam and Nancy E. Beam, Thomas J. Kelley, and Nick M. Ellis, being case No. 9778, and attached a copy of the judgment in the former action to the answer. The material facts necessary to a decision in this case may be stated as follows:

On December 10, 1909, the plaintiffs herein executed a deed to the above described property to J. T. Beam. It is contended that this deed was obtained by fraud and without consideration. On January 25, 1910, Beam executed a mortgage upon tl.e land to Union Central Life Insurance Company for $4.000. Thereafter Beam transferred the land to Ortho J. Dickson, the deed never being recorded, and Dickson, on the 3rd day of February, 1910, executed a mortgage to J. T. Beam for $3,000, which was assigned to Nick M. Ellis, who in turn assigned the same to the Night and Day Bank. Dickson conveyed the property to Nancy E. Beam, wife of J. T. Beam. On November 19, 1910, the Night and Day Bank, alleging it was the owner of the note and mortgage executed by Dickson to Beam, brought suit in the district court of Oklahoma county against O. J. Dickson, J. T. Beam, Nancy E. Beam, Thomas J. Kelley, and Nick M. Ellis to foreclose said mortgage, the case being case No. 9778.

The plaintiff herein, Thomas J. Kelley, filed his answer in case No. 9778, pleading that the deed executed by himself to Beam was obtained by fraud and without consideration, and that the note executed by Dickson to Beam and transferred to the Night and Day Bank was without consideration and void, and asked to have the deed to Beam set aside and the mortgage canceled, and said conveances be adjudged fraudulent and void.

On the 10th day of February, 1911, Van Evera and Robinson intervened in cause No. 9778 and filed a plea of intervention alleging that they were the owners of a mortgage executed by J..T. Beam upon said premises, and the same was superior to the mortgage of the Night and Day Bank, and asked that the mortgage be foreclosed and the premises be sold to satisfy their mortgage. The plaintiff T. J. Kelley answered the petition of the Night and Day Bank, then filed his answer to the petition of Van Evera and Robinson, and again pleaded that the deed to Beam was obtained by fraud and void and that all the mortgages were without consideration and void.

On the 11th day of April, 1911, after the issues were joined in said cause No. 9778 the attorneys for interveners, Van Evera and Robinson, filed a motion for judgment on the pleadings. The motion came on for hearing before the court on April 20, 1920, for judgment upon the petition of the interveners and answer of defendants, which was sustained by the court. The court thereupon rendered judgment finding that the Union Central Life Insurance Company hád a first mortgage upon the premises in the sum of $4,000, and that Van Evera and Robinson 'had a second mortgage upon. the premises in the sum of $1,040, which was ordered foreclosed and the property sold, subject to mortgage of Union Central Life Insurance Company, to satisfy said mortgage of Van Evera and Robinson; and the court further found that the Night and Day Bank had a mortgage upon said premises in the sum of $3,500 which was a third mortgage upon said premises. The *157 court decreed that on foreclosure sale the property be sold subject to the mortgage of Union Central Life Insurance Company and the money be applied, first, to payment of costs; second, to payment of taxes; third, to judgment lien of Van Evera and Robinson; and, fourth, to the mortgage of the Night and Day Bank; and, fifth, the balance to be paid into court.

The court further ordered and decreed that from and after said sale O. J. Dickson, T. J. Beam, Nancy E. Beam, T. J. Kelley, and Nick M. Ellis, and the plaintiff in that action, to wit, tlie Night and Day Bank, and all parties claiming under them subsequent to filing of petition be barred and foreclosed of all right, title, and interest in said premises. The journal entry of judgment was approved by the attorneys for all parties to said action, including attorneys Wilson and Wilson, who were attorneys of record of Thomas J. Kelley. the plaintiff herein. No appeal was ever taken from said judgment by Thomas J. Kdley or any other partv thereto, nor any exception saved to the judgment of the court.

Thereafter a stipulation was filed in said cause signed by attorneys for interpleader, and the Night and Day Bank, and J. T. Beam, and Nancy E. Beam, the owner of the land, stipulating that the order of sale might be issued forthwith, and the property sold without appraisement, and it was further stipulated the Beam's misrht retain p'^se'-s’on of said premises until January 1, 1912, and retain the crops growing on said premises.

On July 27, 1911, an order of sale was issued and the property was advertised for sale, and on the Sth day of September, 1911, Fred G. Dennis bid in said property for the sum of $1,575 cash, and on the 16th d>y of September, 1911, the sale was confirmed and the sheriff ordered to execute a deed to Fred G. Dennis. Fred O. Dennis was secretary of the State Banking Board and bought the property for the use of the guarantee fund of Oklahoma, and on the 29th day of November, 1912, executed a quitclaim deed to J. D. Lankford, Bank Commissioner. The Night and Day Bank, on the 7th day of June, 1911, was tak"n over by the State Bank Commissioner, and he as such became the owner of the judgment in favor of the Night and Day Bank on said premises.

This action was commenced the 11th day off January, 1919. The court found that the deed from the plaintiffs to Beam was fraudulent and without consideration. The court found that the different mortgages heretofore referred to were executed by the parties 'as stated heretofore. The court further found that the proceedings had in case No. 9778 were in accord with the statement heretofore made. The court made findings of fact and conclusions of law and rendered judgment in favor of plaintiffs and against the defend, ants. From said judgment the defendant Fred G. Dennis, Bank Commissioner of the State of Oklahoma, has appealed and for reversal has specified and argued numerous assignments of error.

We will first consider the third conclusion of law of the court, which is as follows:

“The judgment rendered in cause 9778 in favor of Van Evera and Robinson upon the motion for judgment upon the pleadings, while erroneous, was a final judgment, and has b.en fully satisfied by application of the fpnds paid to the sheriff by Mr. Dennis, the successful bidder at the sale on September! 8, 1911.”

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Bluebook (online)
1921 OK 90, 197 P. 442, 81 Okla. 155, 1921 Okla. LEXIS 114, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dennis-v-kelley-okla-1921.