House v. Montgomery

19 Mo. App. 170, 1885 Mo. App. LEXIS 202
CourtMissouri Court of Appeals
DecidedNovember 9, 1885
StatusPublished
Cited by18 cases

This text of 19 Mo. App. 170 (House v. Montgomery) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
House v. Montgomery, 19 Mo. App. 170, 1885 Mo. App. LEXIS 202 (Mo. Ct. App. 1885).

Opinion

Ellison, J.

The evidence is undisputed that defendant was licensed to go over plaintiff’s land if he would build a quarter of a mile of fence along one side of the way and thereby also enclose plaintiff’s field. That with this understanding defendant did build the fence and afterwards with plaintiff ’ s consent and-undoubtedly because of his having the use of the way, he plants a hedge fence and cultivates it for some years. Defendant’s evidence shows that he used the way for more tba.n ten years continuously.

The case then involves the question of license and the power to revoke on the part of the licensor, as well as, incidentally, the question of estoppel and easement.

A license to occupy or use the land of another is revocable at the pleasure of the licensor. This is a principle well understood and often repeated in the adjudicated oases, as well as by the different authors.

There is more in this case, however, than a mere license; there is action on the part of the licensee, upon the faith of the license and under the eye of the licensor.

He expends labor and money by reason of, and in consideration of having been given the license. In such case the better rule is, though it is not universally so held, that there is an equitable estoppel against the licensor. Swartz v. Swartz, 4 Barr. 353; Cumberland Ry. Co. v. McClanahan, 59 Pa. St. 23; Sheffield v. Collier, 3 Kelly 82; Cook v. Pridgen, 45 Ga. 331; Same v. Miller, 27 Ind. 534; Russell v. Hubbard, 59 Ill. 355; Moses v. Sanford, 2 Lea (Tenn.) 655.

In Russell v. Hubbard, supra, a party was about to begin the erection of a frame building on a lot adjoining a brick building. He was told by the adjoining owner that if he would put *up a brick house he might use the brick wall of the house already up for the purpose of attaching his building. The proposition was accepted. [176]*176The court says that though the license to use the wall might be revoked prior to its execution it could not afterwards. “Money had been expended on the faith of the license, and a different and more expensive building erected. While ordinarily, it might be true that a parol license of this character is not transmissible, may be revoked at pleasure, and extinguished by alienation of the land, yet where moneyor labor has been expended, the law will interpose and protect the license. The revocation under such circumstances would be fraudulent, and compensation in damages would afford no adequate redress. In such case the execution of the parol permission would supply the place of writing, and take the case out of the statute of frauds. It would be the boldest fraud to allow this permission to be revoked.”

In the case of Swartz v. Swartz (4 Barr. 353), Chief Justice Gibson, in speaking of an argument of similar import to the one made here, says: “One fallacy of the argument, is the assumption of the right to treat the agreement as a parol conveyance of an interest or estate in the land, instead of a license to use it in a particular way without disturbing the title of the owner as a trustee. That such a license is binding, without part execution by delivery of possession, is shown by Renick v. Kern (14 Serg. & Rawle 267), on which a parol license to divert water from its ancient course for the use of a saw mill, was held to be irrevocable after the expenditure of money or labor on the basis of it. The principle of the case is, that the revocation would be a fraud, and that to prevent it a chancellor will turn the owner of the soil into a trustee ex maleficio.”

Where acts have been done by one party, upon the faith of a license given by another, the latter will be estopped from revoking it, even if the exercise of the right given by the license is of a nature to amount to the enjoyment of an easement or other incorporeal hereditament. Sheffield v. Collier, 3 Kelly (Ga.) 87.

The case of Renick v. Kern, (14 Serg. & Rawle 267), Is cited with approval in Baker v. Ry. Co. (57 Mo. 265). [177]*177In that case, several years before the suit, Kern, the plaintiff in the trial court, being about to erect a sawmill on a stream which was designated as the right hand stream, a better seat for a mill was found by his millwiglit, on what was termed the left hand stream. Kern thereupon applied to Renick for permission to turn the water into the left hand stream, which was granted. In consequence of this permission, he built the saw mill on the left hand stream. Without the aid of the right hand stream, the water of the left hand stream would have been wholly insufficient, but the right hand stream alone would have served the purposes of the mill three or four months during the year. By the union of the two streams the mill was rendered a third more valuable than it would have been with the right hand stream alone. No deed was executed, nor was any consideration given, but Kern in consequence of the permission given by Renick, built a good mill, which did a great deal of business, and which he would not have built on the left hand stream if permission had not been given. Renick diverted the water course, in consequence of which, Kern lost the benefit of his mill; whereupon he brought a special action on the case for damages, and the court held that if a parol license be given without consideration, to use the water of a stream for a saw mill, in consequence of which the licensee goes to the expense of erecting a mill, • the license cannot be revoked at the pleasure of the grantor. The court says: “The defence in this case is put on the ground that a mere license is revocable, under all circumstances and at any time. But a license may become an "agreement upon a valuable consideration, as when the enjoyment of it must necessarily be preceded by the expenditure of money, and when the grantee has made improvements or invested capital in consequence of it, he has become a purchaser for a valuable consideration. Such a grant is a direct encouragement to expend money, and it would be against all conscience to annul it, as soon as the benefit expected from the expenditure [178]*178is beginning to be perceived.” 3 Kent’s Commentaries, 452-3, support the same principle. He also says that a parol license to enjoy a beneficial privilege, is not an interest in land, within the statute of frauds.

We think the decisions in this state will be found in substantiahharmony with the doctrine as above set forth.

In Furhn v. Dean (26 Mo. 116), it is said, “ a mere license may exist by parol, and ordinairly is not assignable, and is revocable, unless it has been executed and the party has incurred expense on the faith of it, so that he would be injured by the revocation. * * * It may be, however, that when acts have been performed upon the faith of a license, the party may be equitably estopped from revoking it to the injury of the other party, but the estoppel will be limited by the injury it is invoked to prevent.”

So in Baker v. Ry. Co. (57 Mo. 265), the court says “but the doctrine that a power may be recalled at the pleasure or discretion of the donor, ceases to apply when the power is coupled with an interest, or is necessary to possession or enjoyment of a right or title, arising from the act or contract of the person who creates the power.”

Messrs.

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Bluebook (online)
19 Mo. App. 170, 1885 Mo. App. LEXIS 202, Counsel Stack Legal Research, https://law.counselstack.com/opinion/house-v-montgomery-moctapp-1885.