Gaines v. Molen

41 Ark. 232
CourtSupreme Court of Arkansas
DecidedNovember 15, 1883
StatusPublished
Cited by1 cases

This text of 41 Ark. 232 (Gaines v. Molen) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gaines v. Molen, 41 Ark. 232 (Ark. 1883).

Opinion

Eakin, J.

By written agreement bearing date the first •of January, 1876, Joseph Molen, for the express consideration of two hundred dollars, bound himself, within thirty days after he might acquire from the United States, a '.patent or title thereto, to convey to Wm. H. Gaines an undivided half interest in two lots in the town of Hot •Springs, Garland county. They are described as lots numbered fifty-nine and sixty, iu Smith Scogins’’ survey of •Gaines’ Addition to said town; and it is recited that said •Gaines had, that day, sold and quit-claimed them to said .Molen.

To enforce a specific performance of this agreement, this bill was filed on the sixth day of July, 1880, by Gaines and wife, alleging that about the first day of January, 1876, ■they were the owners of said land, and in effect, that they were in position to have been entitled to purchase and .secure title to the same from the Federal Government under the provisions of the subsequent congressional act of March .3, 1877, iu pursuance of which a new survey and plat of the lands had been made by the commissioners, so that .the •■same property is now described as lot No. 4 in block No. "79. That being so entitled, complainant, Wm. H. Gaines, •sold his interest in the property to Molen for the nominal consideration of four hundred dollars ; the real consideration being the said written agreement; and that subsequently, on the first day of December, 1880, Molen had, by virtue of said conveyance, obtained from the Hot Springs commissioners the right to purchase said land, and had ■afterwards refused to comply with his agreement: but to avoid performance, had, on the twenty-fourth of May, 1880, conveyed the property to his wife, Louisa Molen, for the pretended consideration of two hundred dollars. There is a prayer for cancellation of this deed, and for general relief.

The deed from Gaines to Molen is exhibited with the agreement. The allegations concerning the deed of Molen to his wife, were evidently erroneous, and need,not be further noticed.

Defendants answered, and denied that complainants were owners on the first of January, 1876, or entitled to purchase, under the act of congress ; or that the consideration of the deed from Gaines was the written agreement to reconvey one-half ; or that Molen, by such conveyance, secured the-right to purchase from the commissioners, claiming that, he secured this right by virtue of his own .improvements. They say the only pretence of right which Gaines ever had. to the land, was as agent of the heirs of Ludovicus Belden,. under a certificate of entry of the quarter section upon which- it is situated, which had been held by the courts to. be void. That, having that, he had verbally agreed in the-latter part of the year 1875, that defendant Joseph Molen. might take possession of it and make improvements and have all the resultant rights therefrom, and that he, the defendant Molen, did proceed to make improvements, and built a house. He says further, that in May, 1876, when efforts-were being made at Hot Springs to procure the passage by congress, of a law authorizing those having improvements-on lands iu Hot Springs, to purchase the same, Gaines notified him of the anticipated enactment, and advised him to reside upon the land, which he did. He says that Gaines-proposed to him, that if he would thus reside upon the land to strengthen his claim, and apply to purchase under the anticipated law, and acquire title, and would then convey to Gaines a half interest, he would on his part assist Molen with evidence iu establishing such, his right — suggesting thei propriety meanwhile of keeping the agreement secret, lest a knowledge of it might prejudice Molen’s chance of acquiring permission to purchase. To this said defendant agreed, ■and he says that on the fifteenth of May, 1876, Gaines ■executed to him the deed exhibited with the complaint, antedating it to January 1st in order to give it the appearance of having been executed before the twenty-fourth day ■of April, 1876, at which time the claim of the complainant to the whole of the lands claimed under said certificate had, in a direct proceeding, been held void by a decision of the ■supreme court of the United States. He says his agreement to convey half was executed at the same time. He says that when Gaines previously gave him permission to improve the land, he spoke of a like arrangement, and when the writings were made insisted that such had been the original arrangement. He insists that the purpose of Gaines in making the conveyance to him, and in keeping secret the written obligation of defendant to reconvey half, was to evade the policy of the law, and to make his own evidence more ■efficient in establishing the claim in defendant; and that therefore the written obligation was not filed for record until the right of defendant to purchase had been adjudicated by the commissioners. He says he filed his application to purchase in 1877, based on his improvements, which application was supported by the testimony of Gaines before the commissioners. He denies that there was any other consideration.

Further, defendant says that although he has obtained the ■certificate of the commissioners, fixing his right to purchase said lands from the United States, yet that he has not done ■so ; and that the United States has never issued a patent, nor been paid for the same.

By an amended answer he says further, that complainant made no application to purchase said land from the commissioners within the time prescribed by the act, and is therefore bai’red.

Also that complainants made application to purchase-adjoining and surrounding lots, as agents and attorneys of Belden, and denies that' Gaines individually had any such interest in the lot in controversy, as he might lawfully convey to defendant as the basis of the written agreement relied on. There is also a claim of homestead set up by defendant.

With regard to the first and third of these additional defences, it may be well to say at once, that they amount to nothing. If the circumstances under which defendant obtained his right to purchase were such as to raise a trust that he should hold his title thus acquired, as to a half, for the-benefit of complainants, there was no necessity for an application by Gaines. Such an application would have conflicted with that of defendant, and have been in bad faith. Nor in such case could the claim of homestead have been made available. As to the second, setting up Gaines, fiduciary character, it could only be important in connection with the proof, in determining whether or not the heirs of Belden should be made parties, or entitled to enjoy the benefits of any trusts which might be decreed.

The first question which arises is, has the defendant any such interest in the subject matter; any such estate legaj or equitable, in the lots, as can be made the subject of specific performance? In other words, can- he perform in any of the modes which a court of chancery will coerce?' If not, the whole enquiry as to the rights of complainant,, is useless.

We think it could not be doubted on principle, that the-courts of the state may, without conflict with the act of congress, impose upon legal titles derived through it, any trusts which, according to equity principles they might, impose upon estates or interests derived from other sources. When the commissioners have adjudicated the right to purchase, and j;he sale has been perfected, the whole scope and policy of congress with regard to these lands will have been' fulfilled.

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Bluebook (online)
41 Ark. 232, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gaines-v-molen-ark-1883.