Johnston v. Rothenberg

118 So. 2d 744, 270 Ala. 304, 1960 Ala. LEXIS 306
CourtSupreme Court of Alabama
DecidedMarch 10, 1960
Docket1 Div. 854
StatusPublished
Cited by2 cases

This text of 118 So. 2d 744 (Johnston v. Rothenberg) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Johnston v. Rothenberg, 118 So. 2d 744, 270 Ala. 304, 1960 Ala. LEXIS 306 (Ala. 1960).

Opinion

MERRILL, Justice.

Appeal from a final decree in equity denying the relief of specific performance of an alleged contract to convey lands which was sought by complainants.

At one time, the 633-acre tract of land in question, which is located in the Cottage 1-Iill area in Mobile, but then was farm land outside the city limits of Mobile, was owned by W. M. Weatherby of Mobile, John A. Carroll of Birmingham and Leo Kahn and H. M. Rhodes of Memphis, Tennessee. Each owned a one-fourth interest and did not sell during his lifetime.

Kahn died in 1934 and willed his interest to his widow, Mildred Kahn, the appellee, who is now Mildred Kahn Rothenberg. The will was probated in Tennessee, and was sufficient to pass title in Alabama. On advice of counsel, the will was not probated in Alabama for lack of need under our statute, Tit. 61, § 46, Code 1940, prior to amendment in 1951.

Another owner, Rhodes, died in 1941. His property passed to his widow and upon her death to their three adult daughters, the appellants, who are sometimes referred to in correspondence as “the girls.” The business affairs of the Rhodes family were handled by their accountant, S. G. Carkeet, who had full authority to act for them.

Carroll died and his interest passed to his widow, and at Weatherby’s death, his interest passed to his heirs, some eighteen in number, but the Weatherby interest is of little concern in the instant case.

Appellee, Mrs. Rothenberg, who lived in California, was not as wealthy as appellants and had been wanting to sell her interest in the lands. She came to Mobile in 1950 to try to sell the lands and while there met Mr. Jere Austill, Sr. of the Mobile Bar, and he was subsequently employed by appellee as her attorney, and there is no question but that his actions as her attorney were authorized or ratified by her.

Appellee wanted $10,000 for her one-fourth interest in the lands. There was correspondence between appellee, Carkeet and Austill until there was an apparent meeting of their minds at an agreed price of $7,525, provided appellee could convey good title approved by Title Insurance Company of Mobile. The contract on which appellants base their suit, and which appellee denies, grew out of correspondence between the three between April 25 and May 2, 1953.

In preparing the abstract of title, it was discovered that the statute, Tit. 61, § 46, Code 1940, had been amended in 1951 to provide that “no such will (a foreign will) shall be probated within this state unless presented for probate within five years from the date of the death of the testator.” That, for the first time, put the same time limitation on the presentation of a foreign will for probate as required for a domestic will. Tit. 61, § 34, as amended. Since [307]*307Kahn’s will had never been probated in Alabama, and his death had occurred in 1934, the position was taken by the Title Company, Austill and the probate judge that the statute prohibited the probation of the will and there was, therefore, no record of the passage of title from Kahn to his wife.

Much more correspondence passed between the three, and Austill sought to secure a quitclaim deed from Kahn’s brother, Henry, and Mrs. Scott, a sister, to appellee. When it appeared that this could be accomplished, Henry Kahn died and it then became impossible to secure a deed from all of Henry Kahn’s heirs and legatees; and Mrs. Scott, who had signed an incorrect deed, would not agree to sign one carrying the correct description of the property. Correspondence continued until December, 1953, when two letters were written which appellee contends show the contract, if there was one, was abandoned. There was no further correspondence between Austill and Carkeet until March, 1956.

In February, 1956, appellants learned that appellee had made a contract with one Morrill, who lived in Mobile, to sell her interest in the lands to him for $10,000 and Morrill’s agreement to “exercise his best efforts to secure the passage of” a bill in the Legislature (then in session) permitting the “legal probate” of the will of Leo Kahn, and he was to have two additional “regular terms” in which to get the bill passed. As a result of this information, appellants retained counsel and the bill for specific performance was filed on June 8, 1956, praying that appellee be required to convey such title as she had before her contract with Morrill, and that her contract with him be cancelled. Morrill was made a party to the bill. When the evidence was closed, it was announced to the court that Morrill was no longer defending against the suit since he and appellee had made a side agreement to share equally in appellee’s interest in the event she was successful in this suit.

After demurrers were overruled and answers filed, the cause was heard on October 1-4, 1958. The case was tried on the issue of whether there was a contract, abandonment of the contract, estoppel by inaction to insist upon a conveyance by respondent of whatever title she had, and permitting a “great period of time” to' elapse without insisting on performance by respondent to the extent she was able to convey a title. Appellee also presented evidence of the great increase in the price of the land.

The contract price in 1953 was approximately $50 per acre. One of the appellants testified that they had refused $1,200 per acre in 1957, and a Mobile realtor placed the value at $1,500 — $1,600 per acre at the time of trial, October, 1958. This last value was not disputed in the evidence.

The trial court denied the relief sought by the bill. After citing Carlisle v. Car-lisle, 77 Ala. 339, the court stated:

“Taking all of the testimony and exhibits as offered on the hearing hereof into consideration, and conceding without deciding that there was made a binding contract of purchase and sale between the Complainants and the Respondent Rothenberg, the Court is not satisfied that the Complainants have met that degree of proof in this case which would entitle them to relief in a Court of Equity by way of specific performance of a contract to convey lands in the exercise of a judicial discretion.
“It is therefore, considered, ordered, adjudged and decreed by the Court that the relief prayed in the bill of complaint be and the same is hereby denied and said bill is hereby dismissed.”

The principles stated in Carlisle v. Carlisle, 77 Ala. 339, are:

“The equitable remedy of specific performance of agreements for the sale of lands rests largely in judicial discretion, directed and regulated by [308]*308defined rules. Well settled elements and incidents are requisite to granting relief; but whether relief shall be granted depends upon an equitable consideration of the particular circumstances of each case. The contract must be just, fair, and reasonable; must not have originated in mistake, or surprise, or violation of confidence, or breach of trust, or advantage of condition, nor been obtained by any unconscientious or unfair methods; must be reasonably certain in respect to the subject-matter, the terms, and stipulations; must be founded on a valuable consideration, and its performance not work hardship or injustice.”

Similar statements of principles governing specific performance appear in Tombigbee Valley R. Co. v. Fairford Lumber Co., 155 Ala. 575, 47 So. 88.

Much argument is made in brief as to whether there was a contract.

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Related

Bell v. Coots
451 So. 2d 268 (Supreme Court of Alabama, 1984)
Lee v. Crane
120 So. 2d 702 (Supreme Court of Alabama, 1960)

Cite This Page — Counsel Stack

Bluebook (online)
118 So. 2d 744, 270 Ala. 304, 1960 Ala. LEXIS 306, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johnston-v-rothenberg-ala-1960.