Lee v. Silva

240 P. 1015, 197 Cal. 364, 1925 Cal. LEXIS 246
California Supreme Court·Decided October 30, 1925·No. Docket No. S.F. 10849.·Published·Cited by 31 cases

Opinion

LENNON, J.

This action was instituted by the plaintiff to quiet her title to a certain lot of land, situate in the city of Oakland, of which she claimed to be the owner in fee and which the appealing defendants claim under a sheriff’s deed, made pursuant to a judgment foreclosing a lien of a street assessment levied upon the property. Appellants, answering the plaintiff’s complaint, denied plaintiff’s ownership and affirmatively alleged that defendants Jack M. Silva and Ellen J. Silva, his wife, were the *367 owners of the land and that defendants R. D. Beals and Anson S. Bilger were the owners and holders of a deed of trust covering said land which secured the payment of certain indebtedness of said Silva and his wife to defendant, Oakland Paving Company. The facts of the case are conceded to be these:

On August 11, 1908, while the legal title to the land in controversy was vested in Mrs. M. A. Cornelius, she entered into a conditional contract of sale and purchase with G. H. and C. P. Lee whereby she agreed to convey to them the land in suit for a specified purchase price, which was to be paid in stipulated monthly installments. This contract was recorded on November 20, 1911. Subsequent thereto, on May 1, 1912, proceedings were duly instituted under the Improvement Act of 1911 (Stats. 1911, p. 730) for the improvement of the street fronting on the land in suit. The said land was assessed in the sum of $21.52 for the making of said improvements. On October 3,1914, Mrs. M. A. Cornelius died, testate, and one A. W. Cornelius was duly appointed executor of her last will and testament. Subsequently, on April 15, 1915, the Oakland Paving Company commenced an action to foreclose its lien for said street assessment but did not join either G. H. or C. P. Lee therein, nor did they appear in the action. At the time said foreclosure action was commenced, notice of the pendency thereof was duly recorded. Thereafter C. P. Lee assigned all his interest in the contract for the sale of said land to said G. H. Lee and this contract was duly reported October 21, 1915. A. W. Cornelius, as executor, on July 1, 1916, conveyed said land to said G. H. Lee by a deed executed and delivered by virtue of and pursuant to the terms of the pre-existing conditional contract of sale. This deed was recorded July 3, 1916. In March, 1917, said G. H. Lee conveyed to the plaintiff herein, Nancy B. Lee, said land. Subsequent to this conveyance, but before the recordation thereof, judgment was entered in the foreclosure suit in favor of the Paving Company and against the defendants named in that action. Pursuant to said judgment the sheriff conveyed said land to the Paving Company by deed dated August 29, 1919. Thereafter the Paving Company conveyed the land to the Silvas, who executed their deed of trust, covering the prop *368 erty in suit, as security for their promissory note to said company for a loan of $2,000, which debt remains unpaid. The Paving Company and the trustees under this deed of trust, E. D. Beals and Anson S. Bilger, are the appellants herein.

Upon the foregoing facts the trial court entered judgment in favor of the plaintiff, quieting her title to the land against all of the defendants to the action.

In support of the appeal the principal point urged by the appellants is that the action foreclosing the assessment lien was a proceeding in rem and that since the provisions of the Improvement Act of 1911, sections 27 and 79 (Stats. 1911, pp. 746 and 766), require only the legal owner to be made a party to the foreclosure action, the rights and interests of all other persons in the property were necessarily adjudicated and concluded by the judgment in that proceeding and that, therefore, the plaintiff’s predecessor in interest, Gr. H. Lee, even though he was not joined in the action and did not appear therein, was bound by the judgment and that the plaintiff is in no better position than he is. Eespondent, on the other hand, in support of the judgment contends that the action to foreclose the street assessment lien was not strictly a proceeding in rem and that, therefore, her predecessor in interest was, in order to be bound by the judgment, a necessary party to the foreclosure action, which gave birth to the sheriff’s deed, under which appellants claim title to the lot in suit, and not having been made a party to the action and not appearing therein was not bound by the judgment.

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Lee v. Silva, 240 P. 1015, 197 Cal. 364, 1925 Cal. LEXIS 246 (Cal. 1925).

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