God v. Hurt

241 S.E.2d 800, 218 Va. 909, 1978 Va. LEXIS 245
CourtSupreme Court of Virginia
DecidedMarch 3, 1978
DocketRecord 761253
StatusPublished
Cited by5 cases

This text of 241 S.E.2d 800 (God v. Hurt) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
God v. Hurt, 241 S.E.2d 800, 218 Va. 909, 1978 Va. LEXIS 245 (Va. 1978).

Opinion

*910 Compton, J.,

delivered the opinion of the Court.

In this chancery proceeding, we consider whether the purchasers under a contract by a married woman for the sale of real estate are entitled to specific performance of that contract, with an abatement in the purchase price due to the inchoate curtesy interest of the seller’s husband.

The facts are substantially not disputed. In April of 1969, appellees David A. Hurt and Eva Moore Hurt, his wife, became interested in the purchase of a newly constructed townhouse in Alexandria owned by General Properties Corporation, of which appellant Mary Green God was an officer and principal stockholder. During August of that year, as the result of negotiations with Mrs. God, the Hurts entered into a written contract to purchase the property, Mrs. God executing the agreement on behalf of the corporation. The purchase price was $50,950 and the conveyance was to be by general warranty deed.

The Hurts were unable to arrange the necessary financing, upon which the contract was contingent. Because of her “interest fin] selling the house to” the Hurts, Mrs. God then “spent months trying to find financing for them.” Finally, a lender became willing to make the loan, but only to Mrs. God personally. To accomplish this, the corporation conveyed the1 property in October of 1969 to Mrs. God, the deed reciting “as and for her sole and separate equitable estate”. The loan was then made to her and evidenced by a note secured by a first deed of trust on the property, both of which were executed by Mrs. God and Andrew God, her husband. At the same time, the Hurts agreed to make the required monthly payments under the deed of trust and to eventually assume its obligations. They also, at that time, executed a promissory note payable to Mrs. God due in five years, and a second deed of trust (never recorded) on the property to secure the advance of an additional sum of $10,500, which was necessary to make up the difference between the contract price and the sum of the permanent financing ($37,500) plus the cash ($2,950) the Hurts were able to pay at the time.

These “interim” arrangements, described by Mrs. God as a “holding transaction”, were the subject of an October 30, 1969 written modification to the August sales contract. The modified agreement, signed by Mrs. God, as “Seller”, and the Hurts, recited that the Hurts desired to obtain immediate possession of *911 the premises with the right to make a complete settlement of the purchase when their financial condition improved sufficiently for them to fund the transaction on their own. At the time, the Hurts had not retained their own attorney but were dealing through counsel selected by Mrs. God.

No attempt was made in October to pass title to the Hurts, but in December of 1969 a deed was executed in which title was purportedly conveyed from Mrs. God to the Hurts. This deed was never delivered to the Hurts or recorded.

Almost five years later, in July of 1974, the Hurts, who had been in possession of the premises and had made the payments under the two deeds of trust, prepared for final settlement under the modified agreement. They sought the advice of independent counsel who then determined that the language of the 1969 deed from the corporation to Mrs. God was insufficient to enable her individually to convey title to the property free and clear of the curtesy rights of her husband. See Code § 64.1-21. When Mrs. God tendered a deed in September of 1974, the Hurts, on the advice of counsel, refused to accept it, insisting on the joinder of her husband. Although there was a conflict in the evidence on this point, the trial court found as a fact that the husband refused to sign the deed. Apparently, the Hurts had complained about defects resulting from artless construction of the dwelling, and Andrew God declined to join in the deed because the Hurts would not sign a release absolving the corporation and the Gods from all liability surrounding the sale of the property.

This suit followed in October of 1974. Naming Mrs. God and her husband parties defendant, the Hurts alleged they were ready, willing and able to comply with the terms of the August 1969 sales contract, as modified, and were ready to pay the remainder of the purchase money. They prayed that both defendants be required specifically to perform the agreement by executing and delivering a “good and sufficient” general warranty deed of the property.

Subsequently, Andrew God filed a demurrer to the bill on the ground that he had no privity of contract with the Hurts because he was not a party to the sales contract or to the agreement modifying it. Thereafter, he was dismissed as a party defendant by consent of the parties.

Following a June 1975 ore tenus hearing, the trial court, in a letter opinion, decided that the Hurts should have the option of *912 either: (1) taking title to the property, subject to Mr. God’s curtesy interest, with an appropriate abatement in the purchase price for the commutated value of that interest, as determined by Code § 55-269.1, or (2) “abandon[ing]” the contract and recovering from Mrs. God all sums paid to her on the purchase price of the property, less a reasonable sum for the use and occupancy of the property while they had been in possession. The Hurts chose the first option and, after another hearing, the court below, in a May 1976 decree, determined the value of the husband’s curtesy interest to be $1,597.25 and ordered Mrs. God to deliver a general warranty deed conveying her interest in the property to the Hurts. From this decree, we granted Mrs. God an appeal, limited to the consideration of the foregoing issue, and one other which Mrs. God did not address upon oral argument.

Relying principally on Haden v. Falls, 115 Va. 779, 80 S.E. 576 (1914), Mrs. God argues that in the absence of any allegation of fraud, a court of equity will not, at the instance of the purchaser, decree specific performance of a wife’s contract to sell her land, in which the husband has a contingent right of curtesy, which he refuses to release, when the purchaser demands an abatement of the purchase price by reason of such refusal. Accordingly, she says, the trial court erred in granting specific performance under these circumstances.

The Hurts, in the trial court, urged the chancellor to require Mrs. God to secure from the corporation, which they allege she controlled, a corrected deed with language sufficient to convey title to the property to her as and for her sole and separate equitable estate, with full power to alienate without the joinder of her husband. This request was denied, the trial court ruling that since neither the corporation nor Andrew God were parties to the suit, no decree could be made affecting them or their property rights. The correctness of this ruling is not an issue here. The Hurts asserted alternatively in the trial court the position they now maintain on appeal. Citing Robinson v. Shepherd, 137 Va. 687, 120 S.E.

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Cite This Page — Counsel Stack

Bluebook (online)
241 S.E.2d 800, 218 Va. 909, 1978 Va. LEXIS 245, Counsel Stack Legal Research, https://law.counselstack.com/opinion/god-v-hurt-va-1978.