Inskoe v. Proctor

22 Ky. 311, 6 T.B. Mon. 311, 1827 Ky. LEXIS 285
CourtCourt of Appeals of Kentucky
DecidedDecember 14, 1827
StatusPublished

This text of 22 Ky. 311 (Inskoe v. Proctor) is published on Counsel Stack Legal Research, covering Court of Appeals of Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Inskoe v. Proctor, 22 Ky. 311, 6 T.B. Mon. 311, 1827 Ky. LEXIS 285 (Ky. Ct. App. 1827).

Opinion

Chief Justice Bibb

delivered the Opinion of the Court.

This writ of error is prosecuted to a decree of the circuit court, which gave relief to the complainant, by rectifying a mistake, committed by the person applied to for the purpose of drawing the writings upon a sale of land, by which the notes for the purchase money, omitted to state they were payable in the paper currency of the State, under an impression by the writer, that as the notes only called for dollars, and not for lawful money, they would conform to the contract and intention of the parties.

The bill charges that the contract was for the sale and purchase of one hundred and nine acres of land, (excepting a burying ground,) for the price of six hundred dollars, payable in the paper of the Bank of the Commonwealth, then greatly depreciated, to nearly two dollars of paper for one of silver; that at the time of the contract, this paper was the common, and indeed, almost the only circulating medium in the State; that Mr. Lerty was called upon to draw the writings, and by mistake, or accident, or not knowing that it was necessary to insert in the notes that they were payable in paper of the Bank of the Commonwealth, he drew them for dollars, omitting to say what kind of money; that the contract was explicitly for the payment in that paper; that the notes were dated all on the 28th of January, 1822, four in number, payable at different periods, amounting together to sixjhundred dollars; that afterwards, in July 1822, the complainant Proctor, paid one hundred dollars in paper, which the defendant then received without difficulty, and promised'to credit the amount on the note then due, which he had not with him, but has credited the amount as of the 16th July, but omitting the year; since which time, the defendant has refused to receive paper, and fraudulently taking advantage of the mistake and error, has obtained judgments at [312]*312law, and is endeavoring to coerce the full amount in silver. &c.

Answer, denying the alleged mistake. Case of Baugh and Ramsey, 4th Monroe, dobs not decide there can be no relief against a mistake in drawing a covenant for dollars instead of Bank notes. Cases for the jurisdiction for relief against the mistake. Parol evidence admissible to prove the mistake.

The answer does not deny that the paper was the common circulating medium of the'country at the date of the contract; omits to respond as to the payment in July 1822, but denies mistake, want of skill in the draftsman, fraud in himself, or that the contract was for payment in Commonwealth’s paper, “or in any thing but current money, or that the contract was for any thing less than six hundred dollars in specie;” the answer does not deny the depreciation of the currency at the time of the contract.

It is supposed that there can be no relief in equity, by parol proof of a mistake, in opposition to the language of the writing and against the positive denial of the answer, and the case of Baugh vs. Ramsey is relied on. That case is misunderstood by the gentlemen of the profession, if they suppose there is any such principle to be extracted from it. That case requires strong and satisfactory proof against the writing and tiie answer; it gives to both clue weight, according to the uniform language of the chancellors upon the subject, and it decided that the proof in that case did not come up to that degree of satisfactory proof which is requisite.

The case of Lyman vs. the United States’ Ins. co. (2 John. ch. cases, p. 632) was decided against the relief sought, for want ofthe requisite evidence of any agreement of the parties different from that contained in the written policy of insurance. Chancellor Kent, in that case, affirms the power of the court to relieve outhe ground of mistake, but denied the relief, because the mistake was not made out in a clear and decided manner, and to the entire satisfaction of the court. But in a previous case of Gillespie and wife vs. Moone, (2 John. ch. cas. p. 593,) after full and able discussion by the bar, chancellor Kent, with his usual ability and research, examines the question upon principle and precedents, and places the power of the court beyond doubt, by reason and precedents in number both ancient and modern. He says, “I have looked into most, if not all of the cases on this branch of equity ju[313]*313risdiction, and it appears to me to be established, and on great and essential grounds of justice, that relief can be had against any deed or contract in writing founded in mistake, or fraud. The mistake may be shown by parol proof, and the relief granted to the injured party, whether he sets up the mistake, affirmatively by bill, or as a de-fence.”

Casds in England before ’T6 and since. Cases in Eng. land stated.

The cases are very numerous, before, and since 1776, in England, and in the United States, where, upon bills for specific performance, the defendants have been permitted to destroy the equity of the bill by parol proofs, and also where relief has been granted affirmatively, on behalf of complainants upon parol proof, of mistakes in bonds, articles of agreement, policies, mortgages, bargains and sales, deeds and other writings, and where the principle that parol proof was competent to show the mistake , and set up an agreement contrary to the writing, has been admitted, ahhough the relief has been denied, because the parol proof was not sufficiently satisfactory, or the transaction was stale. The cases are arranged under these respective heads by chancellor Kent, in greater number than is altogether allowable 10 this court, under the statute against citation of cases decided in Great Britain since 1775, all of which will be found in the case of Gillespie vs. Moone.

In Bingham vs. Bingham, (1 Vez. senr. case 74 p. 137,) a decree was founded on a plain mistake, although no fraud appeared.

In Joynes vs. Stethan, (3 Atk. case 129 p. 329) lord Hardwicke permitted evidence of a mistake in omitting in the writing a part of the agreement, that the tenant should pay the rent clear of taxes, and upon the parol proof so admitted the bill was dismissed. The chancellor said he was very clear the proof ought to be read.

In Legal vs. Miller, Vern. case, 99, p. 299,) Sir John Strange, master of the rolls, dismissed a bill on parol proof of an agreement different from the written agreement. He declared such evidence was [314]*314frequently admitted to be read, especially to rebut an equity.

In Pitcairne vs. Pitcairne, (2 Vez. senr. case 122, p. 376,) parol evidence was admitted to show that although the written agreement was for an annuity of £150, yet the true agreement was for but £100; the relief however was denied, because there was no mistake, but a secret underhand-agreement, to draw in another party, to do more than otherwise he would, was the cause of inserting the £150 instead of the £100, as the annuity. In this is cited the case of—

South Sea Company vs. D. Oliff, where six months were inserted in place of two, the instrument was drawn and executed in a hurry; upon discovery of the mistake, the party injured, brought his hill to rectify the mistake, and have two inserted, according to the true agreement, and lord chancellor King decreed accordingly, upon parol evidence.

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22 Ky. 311, 6 T.B. Mon. 311, 1827 Ky. LEXIS 285, Counsel Stack Legal Research, https://law.counselstack.com/opinion/inskoe-v-proctor-kyctapp-1827.