Hambey v. Wise

184 P. 9, 181 Cal. 286, 1919 Cal. LEXIS 350
California Supreme Court·Decided September 24, 1919·No. S. F. No. 8299.·Published·Cited by 16 cases

Opinions

LENNON, J.

The facts upon which this appeal is based are stated as follows in the opinion prepared by Mr. Justice Beasly, sitting pro tempore as a member of the district court of appeal for the first appellate district:

“This action was brought to obtain a decree of specific performance of an oral contract for the conveyance of real property. The record consists of the judgment-roll alone. From the findings it appears that on March 12, 1916, plaintiff entered into an oral agreement with defendant Wise for the purchase of the property in question for the sum of one thousand dollars, and that said defendant authorized and directed the plaintiff to take possession of the property, which was distant about one hundred miles from the place where the-agreement was made. Prior to, and at the time of the making of this agreement, the property was in the possession of one Webster Wood, who is also a defendant in the action. Wood occupied the land from the fall of 1913 to the fall of 1915 as a tenant of defendant Wise, the owner. Wise had refused to make a further lease of the premises to Wood, but entered into an oral agreement with him, by the terms of which it was stipulated that Wood might buy the land for the sum of one thousand four hundred dollars, and pay for it later out of the proceeds of the sale of a crop of grain that he then had on hand, and in the meantime he might retain possession of the land. Wood sold the grain, but did not avail himself of the option of purchase up to the time of plaintiff’s agreement. He entered into the possession of the land, however, and began the cultivation thereof, and in the fall of 1915, or in the spring of 1916, but prior to March 12, 1916, when the agreement here involved was entered into, he seeded about fifty acres to barley, which was growing upon the lands at the time plaintiff and defendant Wise entered into their oral agreement of sale, and plaintiff was familiar with this fact. Five days after this oral agreement, and on March 17, 1916, the plaintiff told defendant Wood that he had purchased the real property, and that he had a deed thereto which was of record. The statement, in so far as it related *288 to the deed, was false. The same day plaintiff and defendant Wood entered into a written agreement by the terms of which defendant Wood leased from plaintiff the land in question, together with 820 acres of other land all in one body, from March 17, 1916, to November 1, 1916. Thereafter, on March 25, 1916, while negotiating with Wise relative to the purchase of said land, defendant Wood received notice of all the terms of the agreement between plaintiff and Wise. Upon learning that the agreement of sale was an oral one, and that it had not been concluded, Wood induced Wise to convey him the property for a consideration of one thousand four hundred dollars, the deed conveying the same being immediately recorded by Wood. Thereafter plaintiff tendered Wise the sum of one thousand dollars, his purchase price, and upon Wise’s refusing to convey, this action was brought.”

It further appears, as found by the trial court, “That the defendant, Wood, during the period from March 17, 1916, until the conveyance of said real property by defendant, Wise, to defendant, Wood, continued to remain in possession of said premises as follows: By continuing to exercise dominion over said premises and to have growing thereon the crop of grain referred to, but during said time did not make any physical entry upon or into said premises.”

“In its conclusion of law the trial court holds that the plaintiff never took actual possession of the premises agreed to -be conveyed, and that there was no part performance of the agreement sufficient to take the agreement out of the statute of frauds or to enable plaintiff to specifically enforce the same. This conclusion is based upon the finding ‘that the plaintiff did not go physically upon the said described real property, and did not take any possession thereof other than by the execution of said lease to the defendant Wood.’ ”

Even if it be conceded that on March 17, 1916, Wood was a tenant at will holding under Wise, and that, by the written agreement entered into on that date between Wood and Hambey, Wood terminated the tenancy at will and became the tenant of Hambey for a term certain, nevertheless Wood was not precluded from acquiring title to the property from Wise, nor is he precluded from setting up in this action any title he may have so acquired, inasmuch as Hambey is not seeking to recover for the use and occupation of the land under the lease, but has put the title itself in issue. (Jochen v. Tibbells, 50 Mich. 33, [14 N. W. 690]; McKie v. Anderson, *289 78 Tex. 207, [14 S. W. 576].) It follows that Hambey is entitled to compel a conveyance from Wood only in event the latter acquired title under circumstances rendering it unconscionable for him to keep • the land. In other words, the single question presented upon this appeal is whether or not Wood purchased the land in good faith, it not being denied that he paid value.

It is well settled that the fact that a purchaser of land took it with notice of a prior contract of sale, voidable under the statute of frauds, does not affect his title thereto, unless the case falls within some exception which equity recognizes. (39 Cyc. 1772, and eases cited.) It is necessary, therefore, for us to determine whether or not the facts of the case disclose any circumstance serving to lift Hambey's oral contract of purchase out of the statute of frauds on or before the date of the conveyance to Wood.

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Hambey v. Wise, 184 P. 9, 181 Cal. 286, 1919 Cal. LEXIS 350 (Cal. 1919).

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