Gibson v. West Memphis Realty Company

146 S.W.2d 683, 201 Ark. 569, 1940 Ark. LEXIS 391
CourtSupreme Court of Arkansas
DecidedDecember 16, 1940
Docket4-6127
StatusPublished

This text of 146 S.W.2d 683 (Gibson v. West Memphis Realty Company) 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
Gibson v. West Memphis Realty Company, 146 S.W.2d 683, 201 Ark. 569, 1940 Ark. LEXIS 391 (Ark. 1940).

Opinion

Holt, J.

March 16, 1931, the Lyndonville Savings Bank & Trust Company of Vermont, through foreclosure, obtained a deficiency judgment of $15,000 against Z. T. Bragg and wife. A deficiency judgment of $16,600 in another foreclosure suit was obtained on the same date by the Ottauquechee Savings Bank against Bragg and wife. These judgment liens remained in force for the statutory period of three years and were" revived for a further period of three years from March 16, 1934.

March 1, 1932, the Lyndonville Bank assigned its judgment lien to C. A. Gibson. In October, 1936, the Lyndonville Bank and C. A. Gibson caused execution to issue on their judgment against certain pieces of land on which the Lyndonville Bank claimed a prior lien by virtue of it's judgment of March 16, 1931.

October 3, 1936, Howard Carlin, sheriff of Critten-den connty, gave notice that he had levied execution against these lands and that they would he sold on October 28, 1936, for the satisfaction of the deficiency judgment of the bank and Gibson.

October 19, 1936, appellees, West Memphis Realty Company and Eunice Band Mill Company, filed suit in the Crittenden chancery court seeking to enjoin the bank and Gibson in their attempt to subject the lands to the satisfaction of their liens. They allege that the West Memphis Realty Company is the owner of certain lands thereinafter described by virtue of a warranty deed executed by Z. T. Bragg and wife to it under date of March 5, 1931, and recorded April 25, 1931; that this deed was delivered to West Memphis Realty Company by Bragg and wife on March 5, 1931, and further that among the lands described and alleged to have been conveyed by said deed are the lands covered by defendants’ writ and levy of execution above set out.

It is further alleged that on March 5, 1931, the West Memphis Realty Company gave Lowell W. Taylor, trustee for Eunice Band Mill Company, a deed of trust covering the lands described to secure a certain indebtedness, and that this deed of trust was recorded April 25, 1931, the same date the Bragg deed was recorded.

The complaint further alleges that all of the lands levied upon and described in said notice of sale are a part of the lands belonging to West Memphis Realty Company and mortgaged by it to Eunice Band Mill Company; that Gibson and Lyndonville Bank have no legal or equitable interest or claim in or lien against the lands levied upon or any right to subject these lands to their lien for the reason that said judgment was not rendered until after the West Memphis Realty Company had acquired title to all of said lands under its warranty deed dated March 5, 1931, from Bragg and wife; and that Bragg and wife had no legal or equitable interest in the lands which would be subject to any lien which might have been created in favor of the bank or Gibson by virtue of the judgment rendered on March 16, 1931.

Appellees also sought injunctive relief against the other bank and Gibson, assignee. This relief was sought against the Ottauquechee Bank in anticipation that it would attempt to subject the same lands to the payment of its judgment lien obtained on March 16, 19.31. The latter bank, however, was not a party to the execution which appellees seek to enjoin.

October 19, 1936, upon the presentation to the court of appellees’ petition for an injunction, on ex .parte showing, the court granted a temporary restraining order. Thereafter appellants answered and, upon final hearing, the court permanently restrained and enjoined the Lyndonville Bank, C. A. Gibson, and Sheriff Curlin, and the other defendants, from proceeding with the execution sale of the lands in question. From this decree, the Lyndonville Bank and C. A. Gibson have appealed, and appellees have cross-appealed.

The sole question for review here is the one of fact and is stated by appellees in their brief in the following language: “It is a matter of record that these judgments were rendered on March 16th, 1931, and the only issue presented in this lawsuit is whether the deed from Z. T. Bragg and his wife was executed and delivered prior to March 16th, 1931, the day on which the judgments now held by the banks were rendered. The problem to be determined is one of fact and not of law.”

At the outset it may be said that appellants concede that if this deed were executed and delivered prior to the rendition of their judgments, the title of the grantee under such deed would be superior to appellants’ judgment liens even though the deed may not have been recorded until after the rendition of these judgments. This is the rule laid down in the case of Snow Bros. Hardware Co. v. Ellis, 180 Ark. 238, 21 S. W. 2d 162.

The case comes to us for trial de novo.

It is earnestly contended by appellants here that the findings of the chancellor upon which he based his decree are not supported by a preponderance of the testimony. We proceed, therefore, to look to the testimony in an effort to determine this issue.

It appears from the record that Z. T. Bragg owed large sums of money, was in financial straits, and was making a desperate effort to satisfy his creditors. At the time of the execution and delivery of the deed in question, he and his wife were having marital troubles. She had left him, moved to Mississippi, and they were ultimately divorced. They are not parties to this lawsuit.

It is the insistence' of appellants that the deed in question executed by Bragg' and wife was not actually delivered until after March 20, 1931, although it appears to have been executed by Bragg on March 5, 1931. Ap-pellees insist that the deed was actually executed on March 5, 1931, by Bragg and wife, and delivered to ap-pellee, West Memphis Realty Company, on March 9, 1931.

Z. T. Bragg, on behalf of appellants, testified that in February, 1931, he carried the deed in question to his wife in Mississippi to secure her signature, but that when he presented it “. . . she would not sign it, and I brought it back. And then I had instructions from Mr. Sweet, or Mr. Taylor, or maybe all of them, to go and get it signed. And I carried it back down there on that day that is there. ££Q. What date? A. That is the 5th. Q. 5th of March, 1931 ? A. I believe it was on Thursday. Now, I carried it to her to get her to sign it, and she wouldn’t sign it, but she would not say she would not sign it. She just would not say anything about it. The notary public which handled all of the papers which we had signed — there was a lot of them, I was there two or three days — I went before him in the afternoon and signed it and left it there with instructions that maybe she would be up later that evening and sign it if I could ever convince her. Well, she didn’t do it, and I came home. I was in the habit of going down there and staying a day or two and then coming back to work.

££Q. Tour family and home was Utica, Mississippi, at this-time? A. Yes, sir. I came borne and went back the following week-end, and I pleaded with her to get her to sign it, telling her that I thought there was going to be a decree issued against me at the next term of court, which was on the 16th, hut we might be able to save money out of it if she would sign, we might hedge it and cut Cecil off over here. Q. You refer to Mr. Gibson, the agent for the bank? A. Yes.

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Related

Snow Bros. Hardware Co. v. Ellis
21 S.W.2d 162 (Supreme Court of Arkansas, 1929)

Cite This Page — Counsel Stack

Bluebook (online)
146 S.W.2d 683, 201 Ark. 569, 1940 Ark. LEXIS 391, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gibson-v-west-memphis-realty-company-ark-1940.