Miller v. Empire Rice Mills, Inc.

312 S.W.2d 925, 228 Ark. 1161, 1958 Ark. LEXIS 694
CourtSupreme Court of Arkansas
DecidedMay 5, 1958
Docket5-1554
StatusPublished
Cited by4 cases

This text of 312 S.W.2d 925 (Miller v. Empire Rice Mills, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miller v. Empire Rice Mills, Inc., 312 S.W.2d 925, 228 Ark. 1161, 1958 Ark. LEXIS 694 (Ark. 1958).

Opinions

Paul Ward, Associate Justice.

The principal issue, on this appeal relates to election of remedies. The record contains numerous pleadings and considerable testimony bnt, because of the conclusions hereafter reached,, a brief resume of each is deemed adequate.

On June 15, 1892 Charles M. Daggett and Leonard 5. Briggs (their wives joining) executed a deed to the St. Louis Southwestern Railway Company conveying a strip of land (part of wMeh is the subject of this litigation) 3,000 feet long north and south (or nearly so) and 350 feet wide. This strip of land is on the east side of and adjacent to the right-of-way of the Railway Company and a portion thereof lies within the corporate limits of the town of Fair Oaks in Cross County. Following the description, the deed contains these words: . . . “to be used exclusively for Eail Road yards and other Rail Road purposes.”

The seeds of this litigation were sown in 1948 when the Railway Company deeded a portion of the land to a company (or corporation) for the erection of a rice mill. This company was known by different names at different times, which is immaterial for this opinion, hut it is now known as the Empire Rice Mills, Inc. We shall hereafter refer to it as Rice Mills. On June 4, 1948 the first deed was executed to Rice Mills, conveying what we shall call Parcel No. 1. This parcel described in the deed by metes and bounds, is in the shape of a parallelogram, 450 feet north and south and 312 feet 8 inches east and west, consisting of 3.23 acres. It lies along the Railway Company’s right-of-way (in fact, includes a few feet of the said right-of-way) and extends east to within 60 feet of the east boundary line of the 3,000 foot strip first mentioned.

It seems that Rice Mills began construction of its plant on Parcel No. 1 a short while before it received its deed, and that soon after the deed was received its attorney discovered the restrictive language in the deed to the Railway Company. At any rate Rice Mills evidently thought it had not received a fee title to Parcel No. 1, and that the heirs of Charles M. Daggett owned a one-half interest in said parcel by virtue of said restrictive language in the deed to the Railway Company. It must be stated here that the Railway Company had by this time obtained quitclaim deeds from all the heirs of Leonard S. Briggs.

After the above situation became known, the Railway Company, on June 10,1949, executed its deed to Rice Mills reconveying Parcel No. 1 and also conveying Parcel No. 2. Parcel No. 2 liad exactly the same corresponding dimensions as Parcel No. 1 and adjoined it on the north side. In other words, the south boundary line of Parcel No. 2 coincided with the north boundary line of Parcel No. 1. According to the Daggett heirs, appellants herein, the last deed was a part of a plan by appel-lees to deprive them of their undivided one-half interest in the two parcels. Presumably appellants believe the “plan” was to force them to accept Parcel No. 2 in lieu of an undivided one-half interest in the value of both parcels, upon a partition suit. The record reveals that Rice Mills has placed improvements on Parcel No. 1 of a value approximating $250,000.

Pleadings and procedure. On August 25, 1949 Rice Mills instituted a partition suit against appellants involving Parcels No. 1 and No. 2. It was alleged that each party owned an undivided one-half interest in the two parcels consisting of 5.89462 acres. (The deed to Rice Mills described 6.46 acres, but allowance was made for the part overlapping the right-of-way). It was further stated that it would be for the best interest of all to divide the land in kind. The prayer was that appellants be given Parcel No. 2 and the Rice Mills be given Parcel No. 1 where the rice mill was located.

On September 26, 1949 appellants filed a general denial and Cross-Oomplaint, and also asked. that the Railway Company be made a party to the litigation. The Cross-Complaint sets out the deeds to the Railway Company with the restrictions and also the deeds from the Railway Company to Rice Mills; that the Railway Company used all the land for railroad purposes until it made the deeds to Rice Mills; that thereby it forfeited all its right to the entire strip of land; that the execution of the deeds by the Railway Company to Rice Mills was a scheme to deprive them of their rights. The prayer was that appellants be awarded a one-half interest in value in Parcels No. 1 and No. 2, and the same interest in the rest of the 3,000 foot strip of land. The Railway Company answered, admitting the execution of the deeds in question, but denying they had forfeited their right to the rest of the large strip or that they had planned to deprive appellants of any rights. The prayer was that appellants take nothing.

On July 26, 1955, Rice Mills answered appellants’ Cross-Complaint, admitting appellants’ interest in Parcels No. 1 and No. 2, hut stating it had made valuable improvements on Parcel No. 1 and that Parcel No. 2, not counting improvements, was equal in value to Parcel No. 1. The prayer was that Parcel No. 1 be given to Rice Mills and Parcel No. 2 be given to appellants.

A great deal of testimony was introduced at the trial on the above pleadings, and the cause was submitted to the court for its decision on July 27, 1955. Before the court announced its decision, and on January 5, 1956, Rice Mills filed a Motion in which it was stated that the appellants had refused to take Parcel No. 2 but wanted one-half in value of both parcels; and that the Railway Company paid value for the large strip of ground, which brought the case under consideration squarely within the holding in Davis v. St. Joe School District of Searcy County, 225 Ark. 700, 284 S. W. 2d 635. The prayer was that Rice Mills be given “. . . the permission of the court for the withdrawal of the submission of the above case on partition and permission to re-draft its pleadings in the light . . .’’of the above mentioned decision, and ask simply to have its title quieted against the Daggett heirs.

Over the strenuous objections of appellants, the court granted the above motion and permitted Rice Mills to file new pleadings in which it sought, to quiet title to Parcels No. 1 and No. 2. The basis of this new suit was the contention that the restrictive language in the deed to the Railway Company merely amounted to a covenant, for a breach of which an action for damages might lie if violated, and not to a defeasible conveyance which would revert to the grantors (the Daggett heirs in this instance) in the event the land was not used for railroad purposes.

The position taken at all times by appellants was that Rice Mills and the Railway Company had, by their first pleadings, elected their remedy by treating the deed to the Railway Company as a defeasible conveyance and by admitting appellants held a one-half interest npon breach of the condition therein, and that the conrt had no right to permit them to choose another remedy.

Without further testimony the trial court, on June 5,1957 (almost eight years after the filing of Rice Mills’ first complaint), (a) quieted title in Rice Mills to Parcels No. 1 and No. 2 against all claims of appellants, and (b) quieted title in Railway Company to the rest of the 3,000 foot strip of land. It is our conclusion that the trial court erred in both instances.

As to Rice■ Mills.

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Bluebook (online)
312 S.W.2d 925, 228 Ark. 1161, 1958 Ark. LEXIS 694, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-empire-rice-mills-inc-ark-1958.