Di Cristina v. Weiser

42 So. 2d 868, 215 La. 1115, 1949 La. LEXIS 1021
CourtSupreme Court of Louisiana
DecidedJune 30, 1949
DocketNo. 39018.
StatusPublished
Cited by50 cases

This text of 42 So. 2d 868 (Di Cristina v. Weiser) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Di Cristina v. Weiser, 42 So. 2d 868, 215 La. 1115, 1949 La. LEXIS 1021 (La. 1949).

Opinion

McCALEB, Justice.

This is a suit for specific performance of a contract to sell and purchase real estate. On February 6, 1946, plaintiff of *1117 fered to purchase the premises 2231-33 Canal Street in the city of New Orleans for $40,000 cash, contingent upon his ability to borrow $30,000 from a homestead or other source at a rate of interest not to exceed 5% and for a period of not less than fifteen years. The offer was executed on a standard form provided by the Real Estate Board of New Orleans and was addressed to C. E. Stauss, agent for the defendant, Mrs. Norma Conlon Weiser. It provided, among other things, that a formal act of sale was to be passed on or prior to April 2, 1946, at purchaser’s expense, before a Notary Public of his choice and that, upon acceptance of the offer, he would deposit with the realtor the sum of $4000 in cash. It also stipulated:

“In the event that purchaser fails to comply with this agreement within the time specified, the vendor shall have the right, either to declare the deposit, ipso facto, forfeited, without formality and without placing purchaser in default, time being of the essence of this contract; or the vendor may demand specific performance. * * * In the event that the vendor does not comply with this agreement to sell within the time specified, the purchaser shall have the right either to demand the return of double' the deposit, or specific performance.”

Upon obtaining plaintiff’s signature, the real estate agent contacted the defendant and endeavored to have her accept the offer. She informed him that she would not sign until the contract was approved by her attorney, Mr. Warren V. Miller (now deceased). The realtor thereupon communicated with Mr. Miller, who was ill at home and unable to transact business. Mr. Miller advised the realtor to consult his office associate, Mr. John H. Hammell, Jr., who was attending to his affairs during his absence. Accordingly, Mr. Stauss repaired to Mr. Hammell’s office where the latter read the contract and approved it as to form with the exception of the phrase “time being of the essence of this contract” which he deleted in ink because (according to his testimony) he knew that Mr. Miller had a “fetish” against that provision. After obtaining Mr. Hammell’s approval (except as above stated), Mr. Stauss brought the offer to Mrs. Weiser; it was accepted in writing by her and the deletion of the phrase “time being of the essence of this contract” was “o. k’d” by both parties.

Subsequently, plaintiff applied to the Whitney National Bank for a $30,000 loan and, on February 15th, it agreed to lend that amount provided it be secured by a mortgage not ' only on the Canal Street property (the subject of the contract) but also on other properties situated on Nashville and St. Charles Avenues standing in plaintiff’s name. The bank also requested that it be furnished with the deed of Mrs. Weiser. On March 12th, Mr. Stauss obtained the deed from Mr. Miller and delivered it to the bank on the following day. Nothing further was done toward the *1119 consummation of a sale on or before April 2nd, as stipulated in the contract, and that date passed apparently without notice.

Later, on May 6, 1946, the attorney for the bank rejected defendant’s title on the ground that it was suggestive of serious litigation. Thereafter, the matter remained dormant until July 11th, when Mr. Miller, in answer to the letter of May 6th of the bank’s attorney, wrote to plaintiff disputing the title defects complained of therein and requested that plaintiff notify him whether or not he intended to take title to the property. On July 17th, plaintiff’s attorney answered Mr. Miller’s letter stating that plaintiff wanted to consummate the transaction and that he would be willing to do so on August 1st provided certain defects in the title were corrected. Thereafter, a series of discussions and negotiations were had. between plaintiff’s counsel and Mr. Miller, having in view a reparation of the alleged defects in the title. Finally, after certain curative work, it was agreed between them that the act of sale would be passed on October 1st. Defendant was notified to this effect during the latter part of September by Mr. Miller’s wife (as he was then too ill to contact her himself). Defendant testifies that she was surprised by Mrs. Miller’s message as she was without knowledge of Mr. Miller’s conferences and agreements and that she had long since assumed (after April 2nd) that the contract was at an end. Becoming alarmed by the sudden turn of events, she consulted her present counsel respecting her rights and was advised by them that she was not obliged to convey the property.

Upon defendant’s failure to appear and execute the deed on October 1, 1946, plaintiff placed her formally in default and thereafter brought this suit for a specific performance coupled with a demand for damages and attorneys’ fees.

In the lower court, there was judgment ordering a specific performance and plaintiff was awarded $1,117.50 for costs and attorneys’ fees. Wherefore this appeal.

Defendant’s main ground of resistance is, as suggested above, that plaintiff defaulted under the agreement in failing to take title on or before April 2, 1946 and that, therefore, he is not in a position to demand specific performance.

In view of the stipulation that the purchaser is in default without formality upon his failure to take title to the property on or before April 2, 1946, it would appear that defendant’s plea is well founded as the language contained in the form of contract used by the parties is very clear and explicit.

But plaintiff maintains that a noncompliance with the provision did not have the effect of placing him, ipso facto, in default because time is not of the essence of the contract. And, as proof of the validity of this argument, plaintiff’s counsel points to the deletion by the parties of the phrase “time being of the essence of this con *1121 tract” which is contained in the printed form used in the confection of the agreement.

The contention'cannot be sustained. In the first place, the deletion of the phrase “time being of the essence of this contract” did not affect the clarity of the language which remained and, therefore, strictly speaking, there is no room for interpretation — for the condition reads “in the event that purchaser fails to comply with this agreement within the time specified, the vendor shall have the right, either to declare the deposit, ipso facto, forfeited, without formality and without placing purchaser in default or the vendor may demand specific performance”.

Article 1945 of the Civil Code provides that legal agreements have the effect of law upon the parties and “none but the parties can abrogate or modify them”; that the courts are bound to give legal effect to all contracts according to the true intent of the parties and that the intent “is to be determined by the words of the contract, when these are clear and explicit and lead to no absurd consequences”.

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Bluebook (online)
42 So. 2d 868, 215 La. 1115, 1949 La. LEXIS 1021, Counsel Stack Legal Research, https://law.counselstack.com/opinion/di-cristina-v-weiser-la-1949.