Galbraith v. Payne

96 N.W. 258, 12 N.D. 164, 1903 N.D. LEXIS 21
CourtNorth Dakota Supreme Court
DecidedJuly 1, 1903
StatusPublished
Cited by32 cases

This text of 96 N.W. 258 (Galbraith v. Payne) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Galbraith v. Payne, 96 N.W. 258, 12 N.D. 164, 1903 N.D. LEXIS 21 (N.D. 1903).

Opinion

Young, C. J.

This is an action to determine adverse claims to 160 acres of land situated in Nelson county, and to recover possession. The plaintiff deraigns his title as follows: (1) A patent from the United States government to Frank A. Willson, dated March 26, 1886; (2) a quitclaim deed from said Frank A. Willson to the St. Paul Harvester Company, a corporation, executed and delivered on May 8, 1900; (3) a quitclaim deed from the St. Paul Harvester [168]*168Company to the plaintiff, dated April 25, 1901. All of said deeds were recorded at or about the time of their execution. The defendant Paine claims title under two tax deeds executed by the county auditor of Nelson county — one in 1894, upon a sale of the premises for the tax of 1889; the other executed in 1895 upon a sale for the tax of 1890. He also claims liens under six tax certificates issued upon tax sales for the taxes of 1891, 1892, 1895, 1896, 1897, and 1898, and also for taxes paid for the years 1893,1894,1899, and 1900. Paine took possession of the premises on May 7, 1898, and leased the same to the defendant Turcotte upon shares. His possession has continued since, and during the. years 1898, 1899, and 1900 he received the rents from his tenant, and at all .times held possession and claimed title to said premises under his tax deeds. The trial court found that the plaintiff was the owner of the premises, and entitled to possession thereof; that both of defendant Paine’s tax deeds were void; that all of his tax certificates were void, except the one issued in 1897 upon the tax of 1896; and, further, that the taxes paid by the defendant were voluntarily paid, and do not constitute liens. Judgment was entered canceling and discharging of record all claims and demands of the defendant Paine by virtue of his tax .deeds, tax certificates, and payment of taxes, except as to the tax certificate for the tax of 1896, and awarding possession'of the premises to the plaintiff. The defendant Paine appeals from the judgment and asks a review under section 5630, Rev. Codes.

The case involves no disputed facts. The first question presented relates to plaintiff’s title. Counsel for appellant contend that plaintiff has failed to establish his title. Their contention is that Willson’s deed to the St. Paul Harvester Company and the latter’s deed to the plaintiff are void as to the defendant, and that, plaintiff having failed to establish his title and right of possession in the premises, the action should, therefore, be dismissed. This contention must be sustained. It is agreed that neither Willson nor the St. Paul Harvester Company were in possession of the premises, or took the rents and profits thereof, during the year preceding the execution of their deeds. In fact, the St. Paul Harvester Company, the plaintiff’s grantor, never was in possession. On the other hand, the defendant Paine was in possession three years before the deed to plaintiff was executed and two years before the Willson deed was executed, claiming title under his tax deeds. Further, he received the rents and profits of the premises during all of that period. Upon this state of facts, under [169]*169the law of this state, both deeds must be held void as to the defendant. The common-law doctrine, which condemns as void conveyances of real estate when title is in suit, or when the vendor has not been in possession or taken rents for the space of a year prior to the conveyance, as acts of champerty and maintenance, has not been abolished in this state, but, on the contrary, is perpetuated by. express statute. Section 7001, Rev. Codes, makes it a misdemeanor for any person to take a conveyance of lands, or of any interest or estate therein, from any person not in possession, where such lands are the subject of controversy in court, knowing the pendency of the .suit and that the grantor was not in possession. Section 7002, Rev. Codes, provides that: “Every person who buys or sells or in any manner procures, or makes or takes any promise or covenant to convey any pretended right or title to any lands or tenements, unless the grantor thereof or the person making such promise or covenant has been in possession, or he and those by whom he claims have been in possession of the same, or of the reversion and remainder thereof, or have taken the rents and profits thereof for the space of one year before such grant, conveyance, sale, promise or covenant made, is guilty of a misdemeanor.” The sweeping condemnation of the'above sections is modified by section 7003, which reads as follows: “The last two sections shall not be construed to prevent any person having a just title to lands, upon which there shall be an adverse possession, from executing a mortgage upon such lands.” The fact that mortgages are thus excepted strongly emphasizes the legislative purpose to condemn as void all conveyances not thus excepted. Section 4708 of the Civil Code repeats the exception of mortgages from the condemnation of the foregoing provisions of the Penal Code. That section provides that: “A mortgage may he created upon property held adversely to the mortgagor. A mortgage of property held adversely to the mortgagor takes effect from the time at which he or one claiming under him obtains possession of the property, but has precedence over every lien upon the mortgagor’s interest in the property, created subsequently to the recording of the mortgage.” The right to mortgage is saved, but it will be noted that by the very terms of the statute a mortgage given upon property adversely held does not take effect until the mortgagor, or his successors, obtains possession of the property. The facts of this case bring both the Willson deed and the St. Paul Harvester Company deed under the [170]*170direct condemnation of section 7002, supra. The grantors had not been in possession of the premises or received the rents thereof for the space of a year prior to the execution of the deeds. The title attempted to be conveyed was a “pretended title/’ according to the-meaning of that phrase as it is used in the statute. The words of the statute are that no person shall buy or sell any pretended right or title, or make or take any promise, grant or covenant to have any right or title of any person to any lands, etc. Under this statute it is well settled that it is immaterial whether the right or title purchased or sold be good or bad; for, if it be ever so good, if the vendor is not in possession, nothing passes by the deed, and the case: comes within the statute. Tomb v. Sherwood, 13 Johns. 288.

Chancellor Kent, in reviewing the common-law doctrine upon which the New York statute just quoted is based, in 4 Kent’s Comm.. 466, said: “There is one check to the power of alienation of a right or interest in land, taken from the statute of 32 Hen. VIII, c. 9,. against selling pretended titles; and a pretended title, within the-purview, of the common law, is where one person lays claim to land ¡of- which another is in possession, holding adversely to the claim. Every grant of land, except as a release, is void as an act of maintenance, if, at the time, the lands are in actual possession of another person, claiming under a title adverse to that of the grantor. This, principle has always been received as settled law in New York, and it has been incorporated into the Revised Statutes. But even in such a case the claimant is allowed by the statute to execute a valid mortgage of the lands, which has preference, from the time of recordingit, over subsequent judgments and mortgages, and binds the lands from the time of recovering possession.

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Bluebook (online)
96 N.W. 258, 12 N.D. 164, 1903 N.D. LEXIS 21, Counsel Stack Legal Research, https://law.counselstack.com/opinion/galbraith-v-payne-nd-1903.