Mahood v. Bessemer Properties Incorporated

18 So. 2d 775, 154 Fla. 710, 153 A.L.R. 1199, 1944 Fla. LEXIS 802
CourtSupreme Court of Florida
DecidedJuly 14, 1944
StatusPublished
Cited by31 cases

This text of 18 So. 2d 775 (Mahood v. Bessemer Properties Incorporated) is published on Counsel Stack Legal Research, covering Supreme Court of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mahood v. Bessemer Properties Incorporated, 18 So. 2d 775, 154 Fla. 710, 153 A.L.R. 1199, 1944 Fla. LEXIS 802 (Fla. 1944).

Opinions

CHAPMAN, J.:

John A. Mahood, on August 16, 1943, by a written instrument agreed to purchase a piece of real estate owned by Bessemer Properties Incorporated situated in Dade County, Florida. The contract provided for the payment of the purchase price of the described property upon the delivery of a deed conveying a merchantable title. Bessemer Properties Incorporated tendered a deed to Mahood, which it contended conveyed a marketable title, but the conveyance was refused by Mahood because of an alleged cloud on the title then, of record in Dade County in the form of an agreement to sell the same real estate, dated January 9, 1925, by Miami Shores Company, a former owner, to John S. Benz. The Bessemer Properties Incorporated became the successor in interest of Miami Shores Company.

Some of the esential features of the 1925 purchase and sale agreement duly recorded in Dade County, Florida, are viz: (1) the purchase price was fixed at $2,350.00; (2) the sum of $587.50 was paid by Benz at the signing of the contract of sale; (3) the sum of $293.75 became due and payable each six months for thirty-six months; (4) the deferred payments were each evidenced by promissory notes of Benz payable to Miami Shores Company; (5) after payment of the *713 six notes Benz was to receive a warranty deed to the property; (6) numerous building restrictions attached to the property under the contract; (7) “It Is Mutually Agreed by and between the parties hereto that the time of payment shall be an essential part of this contract, and that all covenants and agreements herein contained shall extend to and be obligatory upon the heirs, executors, administrators, successors and assigns of the respective parties.

“The party of the second part shall pay all and singular the costs, charges and expenses, including attorney’s fees and cost of examination of title, reasonably incurred or paid at any time by the party of the first part because of the failure of the party of the second part to perform, comply with and abide by each and every the stipulations, agreements, conditions and covenants herein contained, and every such payment shall bear interest from date at the rate of eight per cent, per annum.

“If any of the said sums of money herein referred to be not promptly and fully paid within thirty days after the same severally become due and payable, or if each and every of the stipulations, agreements, conditions and covenants of this contract aré not fully complied with and abided by, the said aggregate sum then remaining unpaid shall become due and payable forthwith or thereafter, at the option of the party of the first part. ...”

Counsel for plaintiff below and appellee here point out that the 1925 purchase and sale agreement, supra, is simply an unperformed contract of record which was cancelled by the several provisions of Chapter 20235, Acts of 1941, Laws of Florida; that the terms of the Act cancelled the 1925 purchase and sale agreement and thereby removed the cloud from the title of the described land and it is now the lawful duty of the defendant below and appellant here to accept the tendered deed and otherwise perform the several terms and conditions of his 1943 contract of purchase. Counsel for the appellee admit the enactment of Chapter 20235, supra, and that the 1925 purchase and sale agreement of record is now the only cloud against the title, but that it continues to exist as a cloud because Chapter 20235, supra, is void and uncon *714 stitutional. The lower court decreed specific performance and the defendant appealed.

It is a matter of common knowledge that during the Florida land boom numerous contracts affecting the purchase and sale of land, similar to the one here presented, were made and entered into by those speculating in lands during the 1925 Florida land boom. Some of the contracts were placed of record while others were not. This Court takes judicial notice of the boom, its disastrous collapse and the subsequent deflation in Florida of real estate values. See Harbeson v. Mering, 147 Fla. 174, 2 So. (2nd) 886; Smith v. Massachusetts Mut. Life Ins., 116 Fla. 390, 156 So. 498, 95 A.L.R. 508.

Prior to the enactment of Chapter 20235, supra, this Court heard, considered and ruled upon similar contracts as here involved as constituting a cloud upon titles. The case of Rosenthal v. Largo Land Co., 146 Fla. 81, 200 So. 233, involved a contract of sale dated May 28, 1924. The sum of $7000.00 in cash was paid. The additional sum of $5,000.00 was to be paid in fifteen days and $22,000.00 more was to be paid within sixty days on the delivery of a deed conveying a merchantable title. Payments were not made nor the terms and conditions of the contract observed by the parties. Suit to quiet title was instituted in 1939, when Etta Rosenthal, a party, by apropriate' pleadings requested the court to decree a return to her of the $7,000.00 previously paid under the terms of the contract and to decree an equitable lien therefor. W_e held that approximately 15 years had intervened since payment of the $7,000.00 without a bona fide effort of performing the contract and the vendor could treat the contract as abandoned and therefore was entitled to a decree quieting the title against the contract. This holding is but a re-affirmance of our ruling in Realty Securities Corp. v. Johnson 93 Fla. 46, 111 So. 532; Chubb v. Chadwick, 93 Fla. 114, 111 So. 538; Wilson v. Daniel, 94 Fla. 1140, 115 So. 527; Skipper v. Handley, 98 Fla. 1253, 121 So. 792. These and similar cases have been decided since the Florda land boom.

The contention is made that the title to Chapter 20235 is not broad enought to cover the body of the Act and therefore offends Section 16 of Article III of the Florida Constitution. *715 The answer thereto, arguendo, is that the defects, if any, were cured by the enactment of Chapter 20719, Acts of 1941, and Chapter 22000, Acts of 1943, Laws of Florida, being an Act to adopt and re-enact the Florida Statutes of 1941, including the General Acts of 1941 Regular Session of the Florida Legislature.

It is next contended that Chapter 20235, supra, is unconstitutional and void because it offends Section 33 of Article III of the Florida Constitution which provides that “no statute shall be passed lessening the time within which a civil action may be commenced on any cause of action existing at the time of its passage.” In the case at bar it affirmatively appears that the plaintiff, Bessemer Properties Incorporated, succeeded to all the interest of Miami Shores Company, a party to the contract and owner of the described property. It follows that John S. Benz, if living, or if dead, his heirs or legal representatives, or assigns, are the only persons whose property rights, if any, are cancelled by the terms of Chapter 20235, supra. It appears from the record that neither John S. Benz, nor any person claiming by, through or under him, took or performed the steps necessary to bring themselves within the enumerated provisions of the Act, inclusive of the institution of suit within six months after April 26, 1941, for the enforcement of right acquired under the contract.

In the case of Realty Securities Corp. v. Johnson, supra,

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Bluebook (online)
18 So. 2d 775, 154 Fla. 710, 153 A.L.R. 1199, 1944 Fla. LEXIS 802, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mahood-v-bessemer-properties-incorporated-fla-1944.