Norman v. Gunton

127 F. 871, 1904 U.S. App. LEXIS 4644
CourtU.S. Circuit Court for the District of Montana
DecidedFebruary 11, 1904
DocketNo. 672
StatusPublished
Cited by1 cases

This text of 127 F. 871 (Norman v. Gunton) is published on Counsel Stack Legal Research, covering U.S. Circuit Court for the District of Montana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Norman v. Gunton, 127 F. 871, 1904 U.S. App. LEXIS 4644 (circtdmt 1904).

Opinion

KNOWLES, District Judge.

This is a suit to redeem from a sheriff’s sale. The defendant, Matthew Gunton,' commenced an action in one of the district courts of the state of Montana to foreclose a certain mortgage which he then held against certain real property belonging to the complainant. Said action was commenced August 21, 1897; the defendant in said action, who is the complainant herein, volun[872]*872tarily appeared in said foreclosure suit and filed a demurrer to the complaint; it was overruled on August 28, 1897; failing or refusing to plead further, a default was taken against him and a decree of foreclosure was entered on said day for the sum of $2,369.75; the usuál order of sale was issued on the 30th day of said month, and under it the property was sold on September 23, 1897, to the defendant herein, for $2,443.29, and the usual certificate of sale was given him by the sheriff, who, on August II, 1898, made the usual deed to the .purchaser therefor.

In this suit the complainant alleges that on or about April 1, 1897, .the defendant herein entered into an agreement with him by which it was stipulated that the defendant was to proceed to foreclose his said mortgage, get judgment, and bid in the property named therein, and complainant would make no opposition thereto or redeem the property from the sale, but defendant would cause said property to be sold and obtain the sheriff’s deed therefor, and would hold said decree of foreclosure, the sheriff’s certificate of sale, when issued, and the sheriff’s deed, when issued, as a security for the payment of the amount that was then actually due and owing the said defendant from your orator, together, with legal interest and costs, and that, while the said sheriff’s, deed would purport to convey to said defendant the legal title to said • property, it was in truth and in fact to be held only as a security; and it was further agreed by and between complainant and defendant that' the said defendant might and would collect the rents from said premises, and that he Would keep an accurate account thereof, and credit and apply the same in satisfaction of said indebtedness then due and owing to the defendant from the complainant, and that whenever the amount of said rents received and collected would be sufficient to satisfy said indebtedness, or when said indebtedness would be otherwise paid or satisfied, the said sheriff’s deed should be canceled and said premises reconveyed to complainant by the defendant. The bill prays that there be an- accounting as to these rents, issues, and profits, and a reconveyance of the premises described in the bill to the complainant.

In Howland v. Blake, 97 U. S. 626, 24 L. Ed. 1027, a rule as to . the sufficiency of the proofs necessary to sustain a bill of this kind is ' expressed. That was also a case to redeem from a sheriff’s sale under . a foreclosure, and the court says:

• “Where a written instrument is sought to be reformed upon the ground that by mistake it does not correctly set forth the intention of the parties; or where the declaration of the mortgagor, at the time he executed the mortgage, that the equity of redemption should pass to the mortgagee; or where it is insisted that a mortgagor, by a subsequent parol agreement, surrendered his rights — -these and the case we are considering are governed by the same principle. In each case the burden rests upon the moving party of overcoming the strong presumption arising from the terms of a written instrument. If the proofs are doubtful and unsatisfactory, if there is a failure to overcome this •presumption by testimony entirely plain and convincing beyond reasonable controversy, the writing will be held to express correctly the intention of the parties. A judgment of the court, a deliberate deed or writing, are of too much solemnity to be brushed away by loose and inconclusive evidence.”

In that case -R. W. Howland, a brother of the mortgagor, was the principal witness. It was said that he occupied very nearly the position [873]*873of a party, and the rule is laid down that, upon the unsupported testimony of a party, a decree such as is sought here cannot be obtained.

In the case at bar it is sought by the testimony of the complainant alone, as I hold, to sustain the alleged contract set out in the bill. He states that:

“About: April 1, 1897, the defendant, Gunton, was in town [Lewistown], and I had a talk with him, and he told me that he thought some of going away-leaving Montana — and he wanted to get his business in good shape, and he said that he wasn’t just satisfied over the security he, had for this note, and he stated that he would like to fix it up in some way where he could feel more secure; and we talked the matter over, and he stated that my title he didn’t, think was just what it should be, and there was a second mortgage that he didn’t feel jusl right over, and he suggested that he foreclose his mortgage, and it would clear up the title, and he would hold the sheriff’s deed, and that if I wanted the property at any time I could have it by paying up what he was out with the costs and interest on his claim. Q. I will ask you where this conversation took place? A. I think the talk was in the — what is known as the •Silver Dollar Saloon.’ He was there some few days.”

Again:

“We agreed that he should go ahead and foreclose the mortgage, and he should hold the property until such time as he received Ms money back, with interest; and 1 agreed to allow the foreclosure proceedings.”

When the defendant was upon the witness stand he was asked as to this agreement, and the attorney said:

“Now, yon heard this testimony here day before yesterday, did you not, and yesterday, in relation to a conversation which he (complainant) states he had with you the 1st of April, in 1897, in Lewistown; did you hear that? A. Yes, sir. Q. What have you to say about it? A. 1 wasn’t there at all. Q. Did you ever have any conversation with him about it? A. No, sir. No, sir! Q. Well, you say you weren’t here at the time? A. Wasn’t in Lewistown that spring. Q. That spring? Well, when did you come to Lewistown in 1897? A. I came here on the 2d day of July, that year; fetched a Miss Glancy; she was over with me from our school.”

The testimony also shows that at the time it is admitted that Gunton was in Lewistown, to wit, July 2, 1897, he did not see the complainant at all. Complainant was at that time absent from Lewistown. The witness stated that he invariably stopped, when he came to Lewistown, at the Day House, and that when he stopped there he registered there, and that he had examined the register of that hotel, and his name did not appear thereon in that year until the 2d .day of July, 1897. The whole of Norman’s statement as to the contract alleged to have been made about April 1, 1897, was stated to Mr. Gunton, the defendant, and he stated positively that he had never had any such conversation at any time with the complainant. Complainant was called in rebuttal', and was asked:

“Q. You heard Mr. Gunton’s testimony that he didn’t come into Lewistown on horseback anywhere about March or April, 1897, did you, Mr. Norman? A. Yes, sir. Q. You remember the circumstances of his visit? A. Well, I remember that he came in here. It was a stormy day — rather stormy.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Neely v. Boyd
145 F. 172 (Eighth Circuit, 1906)

Cite This Page — Counsel Stack

Bluebook (online)
127 F. 871, 1904 U.S. App. LEXIS 4644, Counsel Stack Legal Research, https://law.counselstack.com/opinion/norman-v-gunton-circtdmt-1904.