Fresno Canal & Irrigation Co. v. Dunbar

22 P. 275, 80 Cal. 530, 1889 Cal. LEXIS 952
CourtCalifornia Supreme Court
DecidedSeptember 16, 1889
DocketNo. 12730
StatusPublished
Cited by19 cases

This text of 22 P. 275 (Fresno Canal & Irrigation Co. v. Dunbar) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fresno Canal & Irrigation Co. v. Dunbar, 22 P. 275, 80 Cal. 530, 1889 Cal. LEXIS 952 (Cal. 1889).

Opinions

Works, J.

The respondent, the plaintiff in the court below, being a corporation engaged in diverting and supplying water for irrigation, entered into a contract with one Roeding, who was then the owner of a certain tract of land, by which the respondent sold to said Roeding, for the sum of twelve hundred dollars, a water right for said real estate, and in and by said contract “ grants, bargains, sells, and conveys to the party of the second part, from the main canal of the'party of the first part, or from a branch thereof, all the water that may be required, not exceeding at any time four cubic feet per second, for the purpose of irrigating said lands”; and [533]*533agreed to place a suitable box or gate in the bank of its main canal, or a branch thereof, at the moat convenient point for the conveyance of the water to said land. And the party of the second part, said Roeding, agreed to construct a ditch from said box or gate to said land at his own risk, cost, and expense, and that the ditch so constructed should be a branch ditch of said company, and under its control. The contract contained the following further convenants, material to the question presented on this appeal: “It is understood and agreed that the water to be furnished under this agreement is intended to form a part of the appurtenances to said section of land, and the right thereto shall be transferable only with and run with said land, and that the party of the first part is bound by this instrument to all subsequent owners of said land, but to no other person. The party of the second part, for himself, his heirs, and assigns, covenants and agrees that he and his successors in interest and estate in said land will pay annually to the party of the first part, at their office, in gold coin of the United States, on the first Monday in September of each year, after the water shall first be brought to the said land, until the year 1920, and during the existence of said corporation, the sum of four hundred dollars, and in case of default of such payment in any one year for the space of thirty days after it shall become due, this agreement shall terminate and become thenceforth null and void and of no effect, at the option of the party of the first part, their successors, and assigns.....It is covenanted that this agreement and the covenants therein contained, on the part of the party of the second part, run with and bind the land.” The contract was to run and be in force from the eighth day of December, 1881, until the sixteenth day of February, 1921, and during the existence of said corporation. Roeding sold and conveyed the lands described in the agreement to the appellant. This action was bought against the appellant, alleging [534]*534the making of the contract, and that the respondent had complied with the terms and conditions thereof; that the land had been conveyed to the appellant; that the contract was duly acknowledged and recorded before his purchase of the property, and that certain installments of the amount agreed to be paid by Roeding had become due and were unpaid. There' was a demurrer to the complaint, on the ground that the same did not state facts sufficient to constitute a cause of action, which was overruled. The defendant answered, denying the material allegations of the complaint, and by way of cross-complaint set up that the ditch of the plaintiff had been so negligently and improperly constructed as to cause the overflow of the defendant's lands, by which he had been damaged in the sum of one thousand dollars. A demurrer to the cross-complaint was sustained. The cause Was tried by the court, and findings made in favor of the plaintiff, and a personal judgment rendered against the defendant, and also a decree enforcing a lien for the amount due, and ordering the sale of the property for its satisfaction.

The appellant contends that the complaint was insufficient, and that the demurrer thereto should have been sustained, on the ground that the contract sued upon created no lien upon the land, and was not personally binding upon the purchasers from Roeding. This is placed on the ground that at common law and under the provisions of the code of this state a Covenant cannot be made to run with the land, except where such covenant is made in connection with and as a part of the conveyance or transfer of the land itself, and that the clause in the contract attempting to extend the liability beyond the person contracting was nothing more than an attempt to create and enforce a covenant running with the land. We are inclined to the opinion that counsel are right,—that this was not such a covenant aS would run with the land. (Civ. Code, secs. 1460-1466; [535]*535Cole v. Hughes, 54 N. Y. 444; 13 Am. Rep. 611; Bloch v. Isham, 28 Ind. 37; 92 Am. Dec. 287; Scott v. McMillan, 76 N. Y. 144.) But there is something more in the contract than the attempt to extend the liability to subsequent purchasers or assignees of the party contracting. There is an express agreement that it shall bind the land itself; therefore, it does not depend upon the question whether a covenant on the part of the then owner of the property would run with the land or not. The question is, whether the provision in the contract was such as to create a lien upon the land. We think it perfectly clear from the language used that this was the intention of the parties. It Was provided that the right to the water to be furnished by the respondent should be and become appurtenant to the land, and this was followed by an express agreement that the contract to pay the money therefor should bind the land. This, we think, created a lien upon the land, and as the complaint alleges that the contract was acknowledged and recorded, it was notice to the appellant of the existence of such lien. Under such a covenant the land is liable in the hands of a subsequent purchaser. (Scott v. McMillan, 76 N. Y. 144.) But it does .not follow that by reason of such covenant in the contract, and the subsequent purchase by the appellant, he became personally liable for the payment of the amount to become due, although the contract inured to his benefit so long as he continued to be the owner of the land; and so far as the judgment is personal against him, it is erroneous. He purchased and held the real estate subject to the lien, but - did not become personally liable to pay the debt. We think for these reasons that the demurrer to the complaint • was properly overruled, as' it stated a cause of action for the foreclosure of the lien.

At the trial the plaintiff offered in evidence a contract shown to have been signed by Roeding, similar to, if not the same as, the one sued upon in the action, except that it was not acknowledged; and there was evidence in [536]*536connection with its offer that it was the custom of the respondent to take these contracts in duplicate. The contract was objected to by the defendant, on the ground that it was not the one sued upon, and it was alleged to have been duly acknowledged, and the acknowledgment was set out in full in the complaint. The court overruled the objection, and the contract was read in evidence. The plaintiff then offered in evidence the record of the same contract, with the acknowledgment added, as recorded in the recorder’s office. To this the defendant objected, on the ground that the record was incompetent. The court also overruled this objection, and allowed the record of the contract to be read.

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Bluebook (online)
22 P. 275, 80 Cal. 530, 1889 Cal. LEXIS 952, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fresno-canal-irrigation-co-v-dunbar-cal-1889.