First National Bank of Webster Springs v. McGraw

101 S.E. 474, 85 W. Va. 298, 1919 W. Va. LEXIS 143
CourtWest Virginia Supreme Court
DecidedDecember 5, 1919
StatusPublished
Cited by15 cases

This text of 101 S.E. 474 (First National Bank of Webster Springs v. McGraw) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
First National Bank of Webster Springs v. McGraw, 101 S.E. 474, 85 W. Va. 298, 1919 W. Va. LEXIS 143 (W. Va. 1919).

Opinion

Poffenbarger, Judge:

The sole appellant in these three suits brought in three different counties of the state for the enforcement of numerous judgment liens, and afterwards consolidated, is the judgment debtor. The properties proceeded against are numerous, varied in character, valuable and widely scattered through several counties, and the liens adjudicated and fixed by the decree complained of, amount in the aggregate to a sum not far from $1,000,000.00, it is said. One of the three suits was instituted in Webster County, one in Taylor and the third in Jefferson, and the last two were transferred to Webster County, and then consolidated with the suit pending in that county. Some of the appellant’s [305]*305twenty-six assignments of error may be susceptible of group treatment, since they depend upon the same principles.

The first assignment of error, assailing the decree on the ground of lack of necessary parties, if found to have been well taken, will be fatal, for jurisdiction of all necessary parties is essential to the validity of a decree in any cause.

Leoppld E. Mambourg was not a necessary party, though he might have been a proper party, if the plaintiff had brought him into the cause. The record shows nothing concerning him, except that he conveyed to the judgment debtor a certain piece of property subject to a vendor’s lien in favor of his grantor, which appears by the deed to have been assumed by the grantee therein, the judgment debtor in these causes. That lien was reserved by one Linnie Jarrett against whom there is no decree, although the property is decreed to be sold as that of the judgment debtor. Of course, Mambourg was interested in the payment of his outstanding note in favor of Linnie Jarrett, but he had no interest in the property nor any lien upon it, and his absence as a party does not in any manner affect its status.

From the testimony of a witness, it appears that the board of education of some district in Pocahontas County has a deed for certain lots in the town of Durbin and has erected a school building on them, but it does not appear at what date the lots wei'e purchased or conveyed to it. The same witness testifies that the M. E. Church has built its parsonage on a lot in said town of Durbin, reported by the commissioner to be the property of the judgment debtor and decreed to be sold. This evidence is insufficient to prove necessity for making the church and board of education parties. It does not give the time or circumstances of the purchase or the prices, nor show payment of any purchase money. For all that appears, they may be pendente lite purchasers whom it was not necessary to bring in as parties. Harmon v. Byram, 11 W. Va. 511; Lynch v. Andrews, 25 W. Va. 751; Wick v. Dawson, 48 W. Va. 469; Goddin v. Vaughan, 14 Gratt. 102; Price v. Thrash, 30 Gratt. 515.

Bose McGraw, holding an assignment of the rents and profits arising from a mining lease on one of the tracts of land, executed ajfter certain judgments asserted in the suits had been docketed in the county in which the land lies, by virtue of a [306]*306written contract, should have been made a party. The liens of those judgments are superior to the right conferred by the lease' on which her right rests, and enforcement thereof would extinguish both of these rights. Hence, she is interested in the litigation, and entitled to be heard. If she can show those particular liens have been satisfied, or save her rents by causing other lands to he first sold, she has clear right to do so. It suffices that she has the direct interest here noted, whether she can save her rents or not.

As to Henna Bexroad, purchaser of certain lots in the Town of Durbin, Pocahontas County, from the judgment debtor, after it had become subject to some of the liens, by verbal contract partly performed in such manner and to such an extent as to .make it enforcible, notwithstanding the statute of frauds, the assignment is technically good. He brought his interest to the attention of the court by a petition filed in the cause, and it was remanded to rules for process. But the hill was not amended, wherefore he was not strictly a party, although the decree charged his lots only with judgments docketed at the date of his purchase. Freeman v. Egnor, 72 W. Va., 830. His lots were charged with such liens thereon as were docketed at the date of the purchase and included in the decree of sale. N.'B. Arbogast and Howard Bird occupied like positions, except in one respect. Their lots were purchased before any of the liens attached to them. The former filed a petition setting up his claim and praying to be made a party to the suit, but the bill was not amended as to him and his lots were not reported by the commissioner, as being liable to sale, nor included in the decree. Bird filed no petition, and his lot was included in the commissioner’s report and the decree of sale, although his apparent purchase and equitable title were disclosed by a deposition. They were both necessary parties. Preston v Ashton’s Adm’r. 85 Va., 104. In Arbogast’s case, there was a decision against McGraw, and, in the other, one in his favor, founded upon no proper pleadings in' the cause. The bill should have made both Arbogast and Bird parties, if there was purpose to proceed against their lots, and then there might have been cross-pleadings between them and McGraw. Arbogast filed his petition, but the bill was not amended so as to make him a party. [307]*307So far as the record discloses Bird’s lot was decreed to sale without notice. He was not personally brought in either regularly or irregularly. As will be shown, none of these parties were pendente lite purchasers.

Although John T. McGraw is the equitable owner of seven-eighths of Lots Nos. 3 and 4 of the Bennett Addition, which are decreed to be sold, the legal title thereto sthnds in the ñame of Jake Fisher, Trustee, who was not made a party to the suit. Fisher was made a party in his individual capacity, but not as trustee. His presence as trustee was necessary. Turk v. Skyles, 38 W. Va., 404. Whether, in the absence of other errors, the decree could be modified or corrected in some way, so as to avoid reversal for these defects, it is unnecessary to inquire, for it contains a more damaging and fatal one of the same kind.

Certain areas of coal containing in the aggregate 4,469.9' acres constitute part of the property decreed to 'be sold, on the theory of equitable title thereto in McGraw, notwithstanding his conveyance thereof to the West Virginia Midland Railroad Co., by a deed dated, Aug. 14, 1908. It is urged, on behalf of the appellant, that the legal title to these tracts of coal passed to the Morton Trust Company of' New York, a foreign corporation, by virtue of a. deed of trust or mortgage executed to it by the West Virginia Midland Railroad'Company, April 2, 1906, conveying all of the property thereafter to be acquired by it, to the Morton Trust Company, Trustee, to be held by it in trust, to secure bonds of the Railroad Company, amounting to $1,000,-000,00.

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Bluebook (online)
101 S.E. 474, 85 W. Va. 298, 1919 W. Va. LEXIS 143, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-national-bank-of-webster-springs-v-mcgraw-wva-1919.