Massell Realty Co. v. Hanbury

141 S.E. 653, 165 Ga. 534, 1927 Ga. LEXIS 423
CourtSupreme Court of Georgia
DecidedNovember 16, 1927
DocketNo. 5945
StatusPublished
Cited by26 cases

This text of 141 S.E. 653 (Massell Realty Co. v. Hanbury) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Massell Realty Co. v. Hanbury, 141 S.E. 653, 165 Ga. 534, 1927 Ga. LEXIS 423 (Ga. 1927).

Opinions

I-Iinrs, J.

(After stating the- foregoing facts.)

The first question for our decision is whether or not the contract of sale is sufficiently certain and definite as to be capable of being enforced by decree for specific performance. Under our statute of frauds, all contracts for the sale of land or any interest therein must be in writing, signed bjr the party to be charged therewith, or some person by him lawfully authorized. Civil Code (1910), § 3222, par. 4. Every essential element of a sale must be expressed in writing to meet the requirements of the statute. Tippins v. Phillips, 123 Ga. 415, 417 (51 S. E. 410). In other words, all the essential terms of a contract of sale must be embodied in the writing. The writing in this case embodies the name of the purchaser and the names of the sellers. It sufficiently describes the land bought. It states the gross purchase-price to be paid, which is $10,000. Of this sum $2,000 was to be paid in cash on or before November 1, 1923. No question is made as to the sufficiency of the statement of these terms in the writing. The purchaser agrees to “assume loan of approximately $900.00 now outstanding against said property, which loan bears eight per cent, interest, matures in about eighteen months, and can be taken up at any time prior to maturity by paying interest to date f and to give two notes for the balance of the purchase-price, maturing on or before twelve -months, and bearing seven per cent, interest. It is insisted that the terms of the writing, touching the loan to be assumed by the purchaser, and the two notes to be given by the purchaser for the balance of the purchase-price, are so vague, uncertain, and indefinite as not to comply with the statute of frauds. Does the writing sufficiently describe the loan to be assumed by the purchaser? The contract describes the loan to be assumed by the purchaser as one outstanding against the property at the date of the contract, and of the approximate amount of $900, bearing eight per cent, interest from date, maturing in about eighteen months, which could be retired before maturity by paying interest to date of its retirement. The description of the [545]*545amount of the loan and the date of its maturity is indefinite. The exact amount of the loan and the exact date of its maturity are not stated. But the loan assumed is one outstanding against the property. To he outstanding against the property it must be one in writing, and secured by mortgage, deed, or other instrument. The writing evidencing the loan and the instrument securing it would furnish an accurate description of the loan assumed by the purchaser. The contract thus furnishes a means or key by which the description of the loan may be made certain and definite. The loan assumed by the purchaser can thus be made certain without resort to parol evidence. This court has held that the maxim, id certum est quod certum reddi potest, applies to the description of land in a deed. Swint v. Swint, 147 Ga. 467 (94 S. E. 571). It follows that this maxim is equally applicable in contracts for the sale of land. So as the mortgage, the payment of which is assumed by the purchaser, is one outstanding against the property, the exact amount thereof can be ascertained either by an inspection of the instrument or from its record.

In Trust Company of Georgia v. Neal, 161 Ga. 965 (132 S. E. 385), which is relied upon by the plaintiffs in error, the language in the contract of purchase, “assumption of loan $9500.00,” was held by the majority of the court to be too indefinite to identify any particular loan, and for this reason it was held the writing did not meet the requirements of the statute of frauds, for which reason it was void. The Chief Justice and the writer dissented. The instant case, however, does no.t fall within the ruling announced in that case. The loan assumed in this case was one of approximately $900, and was one outstanding against the property purchased at the date of the purchase. Furthermore, the loan was described as bearing interest at eight per cent., and was one which could be taken up at any time prior to maturity by paying interest to date. Being a loan outstanding against 'the property, it necessarily was an encumbrance then upon the property, the exact amount and the exact date of maturity of which could be easily ascertained from the instrument itself which created the encumbrance upon the property sold, or from its record. So the ease at bar does not come within the ruling made by the majority in the ease cited. Furthermore, a promise by the purchaser of lands that are subject to a mortgage or other encumbrance, to [546]*546assume and pay off the same as a part of the consideration or price, is not required to be in writing, because it is not a promise to pay the debt of another, but it is a promise to pay to a third party a debt which the purchaser owes to the seller. The fact that in thus paying his own debt the purchaser incidentally discharges a debt of his grantor does not bring the promise within the statute of frauds. 20 Cyc. 174, C-2; Ford v. Finney, 35 Ga. 258; Martin v. Copeland, 77 Ga. 374 (3 S. E. 256); Cowart v. Singletary, 140 Ga. 435 (4) (79 S. E. 196, 47 L. R. A. (N. S.) 621, Ann. Cas. 1915A, 1116); Herrin v. Abbe, 55 Fla. 769 (46 So. 183, 18 L. R. A. (N S.) 907); Tuttle v. Armstead, 53 Conn. 175 (22 Atl. 677); 29 Am. & Eng. Enc. Law (2d ed.), 916, note 1; 27 C. J. 163 (§ 56), 3, and cases cited in note 74.

As the promise of a purchaser of land to pay from the purchase-price a debt of the seller represented by a mortgage thereon is not one required to be in writing under the statute of frauds, such promise or undertaking can be proVed either by parol or writing; and where the parties do undertake to reduce the terms of the promise to writing, any ambiguity or indefiniteness therein can be explained by oral proof, if such proof does not vary or contradict the terms of the writing. The above principle, which has been recognized by the decisions of this court and by numerous decisions in other jurisdictions, was not considered in Trust Co. v. Neal, supra. So we are of the opinion that the contract of sale was not void because it did not meet the requirements of the statute of frauds in describing the mortgage which the purchaser assumed and undertook to pay from the purchase-money of the land bargained for.

Furthermore, the contract of purchase was not void because of insufficient description of the two notes which the purchaser was to give. The purchaser was to pay for this property $10,000. , Of this amount $2,000 was to be paid in cash on or before November 1, 1923. The purchaser was to pay the outstanding loan of approximately $900 on the property, with the interest due thereon, and then was to give two notes to the sellers for the balance of the purchase-money, to mature on or before twelve months, with seven per cent, interest. There were two joint sellers, who each owned an undivided half interest in the land sold. They were jointly and equally entitled to this balance of purchase-money. [547]*547This being so, the evident purpose of giving two notes was to have the amount of the balance of the purchase-money going to each seller represented thereby. Whatever balance of purchase-money was due to the sellers, after deducting the cash payment and the loan upon the property, would be payable in equal amounts to the two sellers, if the loan on the property was their joint loan.

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141 S.E. 653, 165 Ga. 534, 1927 Ga. LEXIS 423, Counsel Stack Legal Research, https://law.counselstack.com/opinion/massell-realty-co-v-hanbury-ga-1927.