Moody v. Kahn

298 S.W. 353, 174 Ark. 1072, 1927 Ark. LEXIS 584
CourtSupreme Court of Arkansas
DecidedOctober 10, 1927
StatusPublished
Cited by4 cases

This text of 298 S.W. 353 (Moody v. Kahn) 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
Moody v. Kahn, 298 S.W. 353, 174 Ark. 1072, 1927 Ark. LEXIS 584 (Ark. 1927).

Opinion

Kirby, J.

This appeal is from the decree compelling specific performance of the contract of sale of a certain plot No. 41 in Prospect Terrace Addition to the city of Little Rock, with a two-story brick veneer tile-roof residence, etc., thereon, by appellant.

Appellee brought suit upon the written contract of sale, which provides:

“February 16, 1926.
“Mr. W. F. Moody,
613 A. O. U. W. Bldg., City.
“Dear Mr. Moody: This is to advise that, in the event you purchase from the writer plot No. 41 Prospect Terrace Addition to the city of Little Rock, together with the house erected thereon, for tlie sum of $1.4,750, on terms hereinafter mentioned, I agree to do the following: (1). I will erect two-story brick veneer two-ear garage, with servants’ room, together with appropriate driveway from Edgewood Road. (2). I will install servants’ toilet and washstand and bath in or adjacent to said servants’ room. (3). I will repair all cracks in said house and re-tint the walls, where necessary. (4). A regular Prospect Terrace deed is to be given to you, retaining vendor’s lien for unpaid purchase price, and the agreement is that you are to pay the writer the sum of $4,750, $2,500 in cash and $'2,250 in vendor’s lien notes indorsed by you; balance of purchase price of $10,000 is to be secured by vendor’s lien on said plot No. 41, Prospect Terrace, payable $1,000 per annum, one,.two, three ¡and four years from date, and the balance of $6,000 due five years from date; interest on all the said deferred payments to be paid semi-annually at the rale-of six'per cent, per annum.
“Tours very truly,
(■Signed) “S. L. Kahn.”
“The above conditions are satisfactory, and I here' with accept same, and hand yon my check for the sum of $500 to bind the agreement. .
(Signed) “W. F. Moody.”

The complaint also alleged:

“* * * That, after the execution of said contract, the same was modified, by agreement between the parties, that the plaintiff would place a tile roof on said garage and would be relieved from constructing an entirely brick veneer building, but would make it partially stucco instead of brick, and, in reliance on said agreement, plaintiff did so construct said building. « # # y>

Alleged the full performance of the contract as modified by appellee, the refusal of appellant to comply with its terms, the readiness of appellee to make the conveyance, and tendered a warranty deed and possession, etc.

The appellant filed an answer and cross-complaint; admitted the execution of the written contract exhibited with the complaint, denied any modification thereof, and alleged: “ * * * That, under the terms of the aforesaid contract for the purchase of said plot 41, and before the acceptance of said premises by the defendant, the plaintiff, among other improvements to be made thereon, was to erect a two-story brick veneer building to be used as a two-car garage and servants’ house. That it was the agreement and understanding of the parties that said building was to conform in material, style, and appearance to the said residence on said plot; * * * should be a two-story brick veneer with tile roof, in conformity to the residence erected on said plot of ground. That said building as constructed is materially different from that called for under the contract, and does not conform in material, style, value' or appearance to the residence on the said plot. That said building is in striking contrast in appearance to that of the residence, and destroys the contemplated effect to be produced by a building as contemplated under the terms of the contract.”

Denied that appellant had complied with the terms of the contract or was entitled to specific performance thereof.

The cross-complaint alleged appellants’ purchase of the premises under the written contract, the hind of garage and servants’ house agreed to he erected thereunder, the deposit of $500 with ¡appellant upon the execution of the contract, to he applied on the purchase price upon the completion of the improvement provided for under the contract and acceptance of the premises by appellant. Alleged a breach of the contract by appellant’s refusal to construct the building (garage and servants’ house) as prescribed in the contract; the construction of a building materially different from that contracted for, and constituting a great depreciation in appearance and Value to said premises as contemplated under the terms of said contract, and his refusal to accept the premises and perform the contract because of appellee’s said breach thereof, and for which he Was entitled to the return of his deposit of said $500, and prayed judgment therefor.

It appears from the testimony that, after the parties had reached an agreement, appellee attempted to reduce it to writing* in the form of a letter providing for the erection of a one-story garage with composition roof, which, upon presentation to appellant, he refused to agree to, and required the insertion of the clause providing for the construction of a two-story brick veneer garage, as appears in the written contract, before signing it.

Appellee testified that, 'after the contract was executed, the parties agreed that the garage and servants’ house could be constructed of brick and stucco, with a tile roof, instead of all brick veneer, as specified in the contract, and that it was constructed accordingly. He* also said that appellant, the day after the execution of the contract., asked to be released from it because of an unexpected development in his financial affairs, making him fearful of his ability to perform it, but that he declined to release him under the conditions existing.

Appellant testified that, during the negotiations for sale of the property, appellee talked of constructing a one-story garage with a composition roof, and suggested that he inspect certain garages already constructed with a view to approving one of that kind for these premises; that he made such examination, and, upon presentation of the letter supposed to embody the contract, he told appellee that he must have a two-story brick veneer garage, and, it being estimated that it would cost about $500 more than the one appellee had intended to build, he agreed to pay therefor one-half the additional cost, and the memorandum .of the contract for the purchase price was accordingly changed from $14,500 to $14,750 before signature thereof.

He denied that there was ever any modification whatever of the contract for the construction of the garage; admitted that he had gone to appellee the day following thé signing of the contract, because of some unexpected development in his financial condition, and asked to be released from it, and appellee refused to release him, giving as one reason therefor that he had already ordered by wire the special tile for the roof of the garage. • He exhibited a letter from appellee, dated the 20th of July, in which he stated:

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Bluebook (online)
298 S.W. 353, 174 Ark. 1072, 1927 Ark. LEXIS 584, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moody-v-kahn-ark-1927.