Dowse v. Doris Trust Co.

208 P.2d 956, 116 Utah 106, 1949 Utah LEXIS 173
CourtUtah Supreme Court
DecidedJuly 28, 1949
DocketNo. 7220.
StatusPublished
Cited by24 cases

This text of 208 P.2d 956 (Dowse v. Doris Trust Co.) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dowse v. Doris Trust Co., 208 P.2d 956, 116 Utah 106, 1949 Utah LEXIS 173 (Utah 1949).

Opinion

WADE, Justice.

This is an appeal by the defendant, Doris Trust Company, from a judgment awarding special and exemplary damages in a suit for slander of title.

Plaintiff below and respondent herein, had alleged in his complaint that he was the owner of certain real property and that defendant, the appellant herein, had

“falsely and maliciously and with intent to encumber and cloud plaintiff’s title to said lands, and to harass and vex plaintiff in the quiet enjoyment thereof, caused to he recorded in the office of the County Recorder of Salt Lake County, State of Utah, the following:
“1008121
“Doris Trust Company
“1430 South Main Street
“Salt Lake City, Utah, Aug. 9, 1945
“NOTICE
“To whom it may concern: — That certain property described as: All of Lots one to eleven in Fox’s subdivision, an addition to Salt Lake City, Utah — was purchased for Doris Trust Company by S. W. Dowse, as their agent. That One Thousand Dollars has been paid toward the purchase price and that the balance, plus a reasonable commission will be paid on demand on delivery of deed.
“(signed) Addison Cain
“President Doris Trust Co.
“State of Utah County of Salt Lake
“Addison Cain being first duly sworn, did say that he is President of Doris Trust Company — has full knowledge of the within statement and that same is true of his own knowledge.
“(signed) L. B. Cardón
“Notary Public
“(Seal) My commission expires May 26, 1948.
“Recorded at request of Addison Cain, Aug. 9, 1945, at 2.50 M fee paid $.50
“Cornelia S. Lund, Recorder, Salt Lake County, Utah
“(signed) Cornelia S. Lund”

*109 Plaintiff further pleaded that the claim set forth in the above instrument was false and that defendant had no interest whatever in the premises and that the recording of that instrument cast a cloud upon and a slander on his title to said property, thereby decreasing its value and making it unmarketable and that he, therefore, was unable to sell it or offer it for sale and was compelled to commence a suit to remove the cloud from his title and to employ counsel to do so at a cost of $250.00. Plaintiff then prayed for special damages in the sum of $250.00 and punitive damages in the sum of $5000.00.

Defendant filed general and special demurrers to the complaint which were overruled by the court. We shall hereafter refer to the parties herein as plaintiff and defendant as they were in the lower court.

The evidence disclosed that on July 17, 1945, plaintiff became the owner of the property involved in this suit and recorded the deed on July 18, 1945. On July 31, 1945, defendant gave plaintiff a check for $1000.00 to be applied on the purchase price of this property. Subsequently a disagreement developed between them as to the amount of the purchase price. There had been no written memorandum of the transaction and defendant had never obtained possession. Plaintiff refused to let defendant have the property at his own price whereupon the defendant caused the instrument complained of to be recorded. Defendant admitted that plaintiff was not his agent for the purpose of purchasing the property but explained that he recorded it to protect the $1000.00 which he had paid plaintiff to be applied on the purchase price, knowing that it would affect its vendibility some even though there were tax sales and a tax deed which would also affect the sale of it. It could not be doubted from defendant’s own testimony that he placed the notice on record so that it would be difficult for plaintiff to sell or mortgage the property.

At the conclusion of the testimony both defendant and plaintiff moved for directed verdicts. The court denied the *110 defendant’s motion and granted plaintiff’s motion in so far as it referred to special damages but submitted the question of general damages to the jury.

It is defendant’s contention that the court erred first when it overruled its demurrers and secondly when at the conclusion of the trial it denied its motion for a directed verdict because the plaintiff had failed to allege or prove falsity of the words published, malice, and special damages.

As we have shown above plaintiff had pleaded that the claim set forth in the instrument recorded by defendant was false. That was a sufficient averment of falsity. The instrument claimed that the land apparently owned by plaintiff in reality belonged to defendant because it had been purchased by plaintiff as agent for defendant. This claim was false. It is not necessary, as argued by defendant, that all the words be false, it is sufficient if the statement which disparages the plaintiff’s interest in his property is false.

In the Restatement of the Law on Torts, Vol. Ill, Sec. 624, page 325, the general rule as to what acts will make one liable for slander of title is stated as follows:

“One who, without privilege to do so, publishes matter which is untrue and disparaging to another’s property in land, chattels or intangible things under such circumstances as would lead a reasonable man to foresee that the conduct of a third person as purchaser or lessee thereof might be determined thereby is liable for pecuniary loss resulting to the other from the impairment of vendibility thus caused.”

On page 326 it is further stated:

“Special Note: The idea expressed in the Restatement by the phrase 'without a privilege to do so’ is in common legal speech often expressed by the statement that the disparaging matter was published maliciously. The word ‘malice’ is used throughout the Restatement to denote ill will or desire to do harm for the satisfaction of doing it. The fact that an act will necessarily result in harm to another and is not done for a purpose of sufficient importance to give the actor *111 a privilege to do it is expressed in the Restatement by saying that the act is done without a privilege to do it.”

Defendant’s president is a real estate broker with more than 40 years of experience in the business. At the time he filed the instrument he knew that he had no rights or interest in the property, and did so either to force plaintiff to sell to him or make it difficult to sell to any one else, under such a state of facts his filing was malicious. See Kelly v. First State Bank of Rothsay et al., 145 Minn. 331, 177 N. W. 347, 9 A. L. R. 929 and annotation on page 931. In the Kelly case the court held that the malicious filing for record of an instrument known to be inoperative is regarded as slander of title, but that if the person records an instrument he has a right to record, it is, of course, not slander of title.

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Bluebook (online)
208 P.2d 956, 116 Utah 106, 1949 Utah LEXIS 173, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dowse-v-doris-trust-co-utah-1949.