Mellon v. Webster

5 Mo. App. 449, 1878 Mo. App. LEXIS 53
CourtMissouri Court of Appeals
DecidedApril 2, 1878
StatusPublished

This text of 5 Mo. App. 449 (Mellon v. Webster) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mellon v. Webster, 5 Mo. App. 449, 1878 Mo. App. LEXIS 53 (Mo. Ct. App. 1878).

Opinion

Bakewell, J.,

delivered the opinion of the court.

This was a proceeding in equity to enforce the specific performance of a contract to convey lands. It appears that plaintiffs and defendants were in the real-estate business in St. Louis, and, at a time when plaintiffs were copartners and defendants were copartners, owing to some business transaction, the nature of which does not appear, they became interested together in a tract of land fronting fifty feet on Lafayette Avenue, in St. Louis, on which certain buildings were erected, and which was encumbered by a deed of trust for $6,000. The land was conveyed to defendants, who held the legal title to it, and on the 11th of July, 1874, as a settlement and compromise of a contro[451]*451versy which had arisen regarding the respective interests of plaintiffs and defendants in the property, and in settlement of all claims that one party might have against the other, in regard either to that land or certain other land in Illinois for which it had been exchanged, they entered into a written agreement, by which Webster and Flanagan undertook to convey to Mellon and Tippett the property in question, subject to the deed of trust for $6,000, due 18th of December, 1876, and to an interest-note for $270, due 18th of June, 1874, in consideration of $930, to be paid to them by Mellon and Tippett on 20th of July, 1874. Accordingly, Webster and Flanagan executed a deed to plaintiffs for the land in question, which they deposited in bank, to be delivered on payment of this money. This deed stated the consideration at $7,500 ; used the words “grant and quitclaim;” contained covenant of warranty only against the acts of the grantors ; stated that the grantees assumed the payment of the principal note of $6,000, and of the interest-note of $270 ; and that the conveyance was subject to taxes for 1874. Respondents went to the bank on the day named with the money, according to agreement, but refused to receive the deed, on the ground that it was not according to agreement, and on the ground-also that there was a two years’ lease of the premises. On 15th of September, 1874, this suit was brought for specific performance. A few days after the suit was begun, defendants conveyed the equity of redemption to one Allen, for the nominal consideration of $10,000. The real consideration was certain property in Carthage, Jasper County, subject to a small encumbrance. This deed was dated 14th of September, but was not acknowledged and delivered until the day after defendants were served with summons in this suit. The week preceding the trial, defendants obtained from Tippett, who was the son-in-law of his co-plaintiff, Mellon, a release, under his seal, of all claims under the contract, to enforce which the suit was brought. It is claimed by plaintiffs that this release is [452]*452void for fraud. On the trial, some evidence was Introduced as to the value of the land. But the court declined to receive further testimony on that point, stating that if the issues were found for plaintiffs, the question of damages would be referred. The court found for plaintiffs. The referee took testimony as to the value of the property, and fixed the damages at $1,218.24. The report was confirmed, against the exceptions of both parties. Judgment was for the amount found by the referee; and defendants appeal.

1. It is claimed by defendants that the deed tendered to plaintiffs was a compliance with the agreement. It is manifest, however, that it was not. The agreement was that respondents should take the land subject to the encumbrance, not that they should assume the. encumbrance. If respondents had accepted the deed as executed, they might, in case of depreciation of the property by fire or otherwise, have been liable, after losing the property, for a balance due upon the notes at the suit of the holder. Fitzgerald v. Barker, 4 Mo. App. 105. This was not their agreement. It is unnecessary to say in what other respects the deed may not have been such as they were entitled to under the agreement to convey.

2. It is claimed that the release by Tippett was a full discharge. The consideration named in the release is five dollars. The consideration agreed upon between the parties was that Flanagan should remit an indebtedness of $50 due by Tippett to Webster and Flanagan, and for which they held a conveyance of certain lands in Illinois, and that they should reconvey this land to Tippett. At the time of the trial no money had been paid Tippett, the land had not been conveyed, and nothing had been done to release him from his debt. Flanagan and Webster are lawyers. Webster certifies that he makes a specialty of real-estate law. He understood that the effect of the release from Tippett would be to release also all right of action ón the part of his coobligee, Mellon. Tippett [453]*453swears that he had no idea that the release could have any such effect. He also swears that he expressly and repeatedly stated to Flanagan that he would do nothing to affect the claims of Mellon in any way; and that Flanagan, with whom he arranged the terms of the release, replied, “You can do what you please with your own;” and, without expressly saying so, led him to believe that the release could not affect Mellon in anyway. Tippett is contradicted by Flanagan in this: that Flanagan swears Tippett said nothing about Mellon’s interest, and did not mention Mellon, except that he said, when the agreement was made, referring to Mellon, “The old man will raise hell about this.” Tippett admits that he said this, but reiterates that he expressly and repeatedly declared that he would do nothing to impair the right of Mellon, and that he was relinquishing his interest. Perhaps the trial court believed Tippett rather than Flanagan. Assuming, as we shall, that Tippett swore to the truth, we have then the case of a lawyer dealing with one ignorant of law, and inducing him to execute a written instrument which, on its face and by its tenor, purports to effect precisely what the layman intended to effect, but which in legal effect, as the lawyer knows, does more than this, and has a force quite contrary to that which the layman, intended it should have. The lawyer admits that he designed this result in preparing the instrument; that he desired, by the release signed by one, to obtain a release from his obligation to both. He does not pretend that the layman, in signing, had any intention of affecting the interest of his coobligee. He now seeks advantage from this instrument, and from the mistake of law into which, by his silence at least, he has helped to betray the layman ; and it appears that he has parted with no consideration whatever to obtain the instrument. Under these circumstances, we think that the trial .court committed no error in disregarding this release. It is said, Ignorantia legis neminem excusat.. That is axiomatic, and a maxim [454]*454both in law and equity. Ignorance of law furnishes no excuse for a breach or omission of duty ; it shall not affect agreements, nor excuse from the legal consequence of particular acts. The ground of the rule is, that otherwise there is no saying to what extent the excuse of ignorance might not be carried. Agreements made in good faith, but under a mistake of law, are generally held to be valid. Thus, if the obligee releases one of two bound on a bond, both are released, though he did not intend it; because the one obligee may, of course, avail himself of the release, and there is nothing inequitable in the other insisting upon his release if they have both acted in good faith.

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Fitzgerald v. Barker
4 Mo. App. 105 (Missouri Court of Appeals, 1877)

Cite This Page — Counsel Stack

Bluebook (online)
5 Mo. App. 449, 1878 Mo. App. LEXIS 53, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mellon-v-webster-moctapp-1878.