Maginnis v. Knickerbocker Ice Co.

69 L.R.A. 833, 88 N.W. 300, 112 Wis. 385, 1901 Wisc. LEXIS 133
CourtWisconsin Supreme Court
DecidedDecember 17, 1901
StatusPublished
Cited by31 cases

This text of 69 L.R.A. 833 (Maginnis v. Knickerbocker Ice Co.) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Maginnis v. Knickerbocker Ice Co., 69 L.R.A. 833, 88 N.W. 300, 112 Wis. 385, 1901 Wisc. LEXIS 133 (Wis. 1901).

Opinion

Marshall, J.

The statement of facts shows that, though there was no controversy but 'that Uhen conveyed the land to Boyle upon conditions subsequent which were breached, and reclaimed the property by a distinct assertion of his rights — so far as a reclaimer thereof was possible under the circumstances — before the conveyance to appellant, it was held that his first grantee was the owner of the property and entitled to recover costs of the appellant. That conclusion vtas reached upon several grounds which we will consider.

The principal reason suggested, why it was supposed appellant was not entitled to recover, is that a court of equity will not exercise its jurisdiction to declare or aid a forfeiture, but leave the parties to their remedy at law. We are unable to perceive how that principle applies to this case. Appellant did not seek by her suit to reclaim the property in controversy. Her complaint and the evidence in support of it, at every point, repel any such idea. The pleading distinctly declared that plaintiff was the absolute owner of the property in dispute and in possession thereof. To establish the truth thereof, proof was made that her grantor, under whom all parties to the suit claimed title, sold the.property upon conditions subsequent to the grantor of the ice company; that such conditions were breached; and that such grantor made re-entry for the purpose of enforcing a forfeiture of the property to him, and then made a conveyance thereof to appellant. There can be no question but that such circumstances caused the title conveyed to Boyle to revert to [393]*393Uhen if his entry was rightful. Gilchrist v. Foxen, 95 Wis. 428. The learned circuit judge seems to have supposed, and' counsel for respondents now maintain, that the evi-dentiary facts showing title in appellant, notwithstanding the paper title in the ice company, should have been pleaded. Manifestly, that is a mistake. If one sells and conveys real estate upon condition subsequent, and the title thereto thereafter reverts to him, he may then invoke judicial remedies in respect thereto, pleading his title in general terms the same as if that title were dependent upon any other circumstances. It follows that the judgment appealed from cannot be sustained upon the theory that the action was brought for the purpose of forfeiting the title to the property for nonperformance of the conditions subsequent. It was instituted upon the theory that the title had been already reclaimed and was vested in appellant, and the respondents must stand or fall on the facts in that regard. The court further grounded the judgment on the doctrine that equity will, in some cases, intervene where there has been a failure to perform a condition subsequent, and prevent a forfeiture. Here there was failure again to perceive, as it seems, that the rule mentioned is one invoked to prevent, not to defeat a forfeiture after it has occured. Unless one keeps in mind the peculiar doctrine of equity in respect to this matter he may be misled by the expressions of courts and text-writers as well. In Donnelly v. Eastes, 94 Wis. 390, 396 this language was used:

“ If there were a rightful entry for condition broken, so that the estate revested under the terms of the deed, or even if the title revested under the terms of the deed without a re-entry, the court is yet not powerless to relieve the defendant from the consequences thereof.”

That was said having in mind that, regardless of the express intent of the parties, or the intention inferable from the language used by them, applying strict legal principles thereto, which would effect a reversion of the title, a court [394]*394of equity may, in some circumstances, bold the real contractual intent not to be according to the literal meaning of such language or within the reasonable scope thereof according to the ordinary rules for the construction of contracts, but that the .condition was created as a mere security for the performance of an obligation resting upon the grantee, and give effect. thereto in opposition to the expressed intent of the parties. By such arbitrary rule of construction the title which would be in the grantor at law is held to be still in the conditional grantee, and so subject to control in equity that the conditional grantor may be compelled to accept compensation in money for the damages suffered by nonperformance of the condition in lieu of an enforcement of his legal rights, the theory being all the way through that there has been no real violation of the contractual intent of the parties. The rule followed in such a case is the one which is supposed to justify courts in saying that parties, in stipulating for the payment of a specific sum as damages for breach of a contract, did not mean what they said, but intended the sum named to stand as security against loss from such breach, and the recoverable damages therefor to be. limited to enough to adequately measure such loss. 2 Story, Eq. Jur. (13th ed.), §§ 1314, 1315. The process by which courts thus turn a contract which parties say they made into what the law says on the subject was treated at considerable length in Seeman v. Biemann, 108 Wis. 365. An eminent text-writer is there quoted, in effect, thus: c Parties may contract for stipulated damages at their pleasure, but such damages only as the law says are liquidated, according to the artificial rules which have been adopted to justify courts in saying what parties intended, are in fact to be regarded as such damages.’ So, as regards a condition subsequent in a deed, regardless of the intention of the parties as indicated by the fair meaning of their language, in certain cases, to prevent the great hardship which would [395]*395flow from giving effect to the strict legal contractual intent, the court will, by construction dependent upon no reason which can be easily assigned, other than a long line of precedents grounded wholly upon the arbitrary power of the court, say that they intended something else, and by that means, in theory, not take title from the grantor upon condition after it has reverted to him by breach of condition and assertion of his right, but hold' that the title still remains in the conditional grantee in harmony with the judicial intention, we may call it, and in that way save his adversary from the consequences of his fault, preserving the title to the property in him notwithstanding such fault, giving the grantor a money consideration for his damages. While, viewing the situation from the legal rights of the parties, relief is granted after forfeiture if at all, as said in Donnelly v. Eastes, 94 Wis. 390, the absurdity is avoided by the arbitrary holding that no such forfeiture has Occurred because the parties intended otherwise, regardless of what they said on the subject. The origin of such arbitrary dealing with contracts in violation of the general rule that courts cannot make contracts for parties — can only interpret them so far as to determine what the parties intended, and enforce such intent, not going for their purpose outside the reasonable scope of the language they saw fit to use to express it — is involved in much obscurity, but it is one of the oldest doctrines of equity jurisprudence, and, although the reason for it is difficult to discover in the light of what judicial remedies are ordinarily supposed to stand for, it has many vigorous defenders. Judge Story, in his work on Equity Jurisprudence (vol. 2, § 1316), says:

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

Related

St. Clara College v. City of Madison
27 N.W.2d 745 (Wisconsin Supreme Court, 1947)
City of Lafayette v. Keen
48 N.E.2d 63 (Indiana Court of Appeals, 1943)
New York Central Rd. v. City of Bucyrus
186 N.E. 450 (Ohio Supreme Court, 1933)
Vincent v. Gurley
27 S.W.2d 260 (Court of Appeals of Texas, 1930)
Illinois Merchants Trust Co. v. Harvey
167 N.E. 69 (Illinois Supreme Court, 1929)
Cesar v. Virgin
92 So. 406 (Supreme Court of Alabama, 1921)
Couch v. Scandinavian-American Bank
197 P. 284 (Oregon Supreme Court, 1921)
Hubbell v. Ohler
181 N.W. 981 (Michigan Supreme Court, 1921)
Mercer-Lincoln Pine Knob Oil Co. v. Pruitt
229 S.W. 374 (Court of Appeals of Kentucky, 1921)
Terry v. Taylor
220 S.W. 42 (Supreme Court of Arkansas, 1920)
Faringer v. Van De Hoef
188 Iowa 323 (Supreme Court of Iowa, 1920)
Scholl v. Muscovitz
174 N.W. 463 (Wisconsin Supreme Court, 1919)
Rembarger v. Losch
118 N.E. 831 (Indiana Court of Appeals, 1918)
Waco Development Co. v. McNeese
209 S.W. 464 (Court of Appeals of Texas, 1918)
Danielson v. Danielson
161 N.W. 787 (Wisconsin Supreme Court, 1917)
Ross v. Sanderson
1917 OK 57 (Supreme Court of Oklahoma, 1917)
Huntley v. . McBrayer
90 S.E. 754 (Supreme Court of North Carolina, 1916)
Ross Tin Mine v. Cherokee Tin Mining Co.
88 S.E. 8 (Supreme Court of South Carolina, 1916)
Bay City Land Co. v. Craig
143 P. 911 (Oregon Supreme Court, 1914)

Cite This Page — Counsel Stack

Bluebook (online)
69 L.R.A. 833, 88 N.W. 300, 112 Wis. 385, 1901 Wisc. LEXIS 133, Counsel Stack Legal Research, https://law.counselstack.com/opinion/maginnis-v-knickerbocker-ice-co-wis-1901.