Hunt v. Lake

48 Misc. 570, 97 N.Y.S. 298
CourtNew York Supreme Court
DecidedNovember 15, 1905
StatusPublished

This text of 48 Misc. 570 (Hunt v. Lake) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hunt v. Lake, 48 Misc. 570, 97 N.Y.S. 298 (N.Y. Super. Ct. 1905).

Opinion

Wright, J.

This action is brought by the executors of William Hunt deceased, to foreclose an equitable lien for the purchase money under a contract for the sale of lands and for a deficiency judgment against the defendant Elmer Lake. Said contract was made by the plaintiffs’ testator as vendor, and one Wolsey Glasby since deceased and Elmer Lake defendant herein, as vendees, on March 29, 1900. The purchase price was $1,000 payable on or before one year from the date of the said contract with interest. The deed was to be delivered under the contract on payment of the contract price and interest. By its terms the contract bound the executors of the respective parties. Two payments appear to have been made on the purchase price: The one on July 2, 1900, of $215; the other on July 16, 1903, of $150, leaving $877.56 past due and payable.

The defendants demur to the complaint on the ground that it fails to allege a tender of a deed of land made before action brought, or an offer to- convey, and also that it fails to allege that the plaintiffs have title to the land and are ready, able, and willing to convey. The plaintiff urges that since the contract of sale reads: “ On payment of the contract price and interest he (vendor) would execute and deliver a warranty deed of the said premises ”, the payment of the money was a condition precedent to the delivery of the deed, and that said obligations are independent, and therefore the allegations of tender or offer to convey are unnecessary.

I think the conditions in the contract are concurrent as to time and dependent; and that an offer to convey should have been alleged in the complaint.

The payment of the purchase money and the delivery of the deed were intended by the parties to take place at the same time. This, according to common knowledge, is the universal practice in such business transactions, and doubtless was so intended by the parties.

The determination of the question what are and what are not dependent covenants is not one free from difficulty, and many of the cases are so irreconcilable that they are studied with little profit or assistance to the judgment. Each case must be determined by the cardinal rule of interpreting all [572]*572contracts, viz., to ascertain the intention of the parties to the agreement.” Brown, J., in Eddy v. Davis, 116 N. Y. 247.

“Although many nice distinctions are to be found in the books upon the question, whether the covenants or promises of the respective parties to the contract, are to be considered independent or dependent; yet it is evident, the inclination of courts has strongly favored the latter construction, as being obviously the most just. The seller ought not to be compelled to part with his property, without receiving the consideration; nor the purchaser to part with his money, without an equivalent in return.” Bank of Columbia v. Hagner, 7 U. S. (Law. ed.) 219; 1 Pet. 455.

The words “ on payment ” and kindred expressions are held to indicate concurrent conditions in the following cases: Culver v. Burgher, 21 Barb. 324, was an action upon a note due immediately, given for the purchase price of land upon foreclosure, under an agreement that “ on payment ” of said, no.te the maker was to have the title to the land. The court said: “ The promises or undertakings were mutual and dependent, and the title to the land, and the payment of the money were to be simultaneous acts. The plaintiff should have caused the proper papers to be prepared for perfecting the title in him, and should have tendered them to the defendant before bringing his action upon the note. * * * When the deed is to be given on or upon the payment of the consideration, the acts of paying and conveying are concurrent acts.”

In Courtright v. Deeds, 37 Iowa 503, 508, it was held in a contract of subscription the words: “ Provided that upon such payment there shall be delivered a certificate of stock ”, etc., indicated a state of dependence; a tender of the stock would be prerequisite to a suit for the subscription.

In Hill v. Grigsby, 35 Cal. 658, the instrument provided that the plaintiff should convey “ as soon as ” the purchase money was paid. In Bohall v. Diller, 41 Cal. 532, the terms of the contract were that the plaintiff “ upon the payment of the purchase money was to convey ”. These stipulations were held to be dependent covenants and that neither party could sue without performing, or an offer to perform on its part. [573]*573These cases were approved by the United States Supreme Court in Loud v. Pomona Land & Water Co., 153 U. S. 564.

Where the whole of the purchase money or an installment thereof has become due and the conveyance of the land is to be made on its payment, the payment of the money and the conveyance of the land are held to be dependent acts. The following cases are illustrative of this principle. In Johnson v. Wygant, 11 Wend. 48, where the consideration money, payable in installments, was due before the bringing of the action the court say: The defendant covenanted to pay the plaintiff for the land, $155 in three equal annual payments from date, with interest annually on the whole sum, until paid; ‘ and upon the payment thereof, (the covenant proceeds) I am to receive from said Johnson a good warranty deed of said land’. The payment of the last installment, on the whole consideration money, and the giving of the deed, were to be concurrent acts. Upon the payment of the money the deed was to be given.” See also Parker v. Parmele, 20 Johns. 130; Glenn v. Rossler, 156 N. Y. 161. In Beecher v. Conradt, 13 N. Y. 108, the contract was to pay in five payments, and upon the express condition of the payments, the deed to the land was to be executed and delivered. No installment having been paid, an action was brought for the whole purchase money. There was no averment or proof of a tender of a conveyance, or of a readiness or willingness to convey. The court held that while the covenants to pay each installment were originally independent and the plaintiff had a right to sue for each installment as they severally became payable, yet when the last installment became due the payment of the whole of the unpaid purchase money and the conveyance of the land became dependent acts and that the plaintiff was not entitled to recover without proving an offer before suit brought to convey the land to the' defendant on receiving the purchase price.

Ewing v. Wightman, 167 N. Y. 107, was an action to recover on notes given to represent deferred payments for cer tain lands, which by contract were to be conveyed “ on payment in full of the purchase money at the time and in the [574]*574manner hereinbefore set forth.” It was held that the agreement to convey and the agreement to pay the purchase money were concurrent in time and dependent. That no action on the notes could be maintained because no tender of conveyance had been made. In Eddy v. Davis, 116 N. Y. 247, the vendee covenanted to pay the purchase money in installments, and the contract provided that upon receiving a part of the consideration named, the vendor should execute and deliver a deed. It was held that the covenants for payments which were due before the time of the conveyance were independent, but that after the time of conveyance the payment and conveyance became dependent and concurrent acts and that an action was not maintainable to recover a part of the purchase price without proof of a tender of a conveyance before suit brought. The court say: “

Free access — add to your briefcase to read the full text and ask questions with AI

Related

President of the Bank of Columbia v. Hagner
26 U.S. 455 (Supreme Court, 1828)
Loud v. Pomona Land & Water Co.
153 U.S. 564 (Supreme Court, 1894)
Eddy v. . Davis
22 N.E. 362 (New York Court of Appeals, 1889)
Freeson v. . Bissell
63 N.Y. 168 (New York Court of Appeals, 1875)
Ewing v. . Wightman
60 N.E. 322 (New York Court of Appeals, 1901)
Beecher v. . Conradt
13 N.Y. 108 (New York Court of Appeals, 1855)
Glenn v. . Rossler
50 N.E. 785 (New York Court of Appeals, 1898)
Bohall v. Diller
41 Cal. 532 (California Supreme Court, 1871)
Culver v. Burgher
21 Barb. 324 (New York Supreme Court, 1856)
Frey v. Johnson
22 How. Pr. 316 (New York Supreme Court, 1861)
Parker v. Parmele
20 Johns. 130 (New York Supreme Court, 1822)
Courtright v. Deeds
37 Iowa 503 (Supreme Court of Iowa, 1873)

Cite This Page — Counsel Stack

Bluebook (online)
48 Misc. 570, 97 N.Y.S. 298, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hunt-v-lake-nysupct-1905.