Obermeier v. Mortgage Co. Holland-America

224 P. 1089, 111 Or. 14, 1924 Ore. LEXIS 105
CourtOregon Supreme Court
DecidedApril 8, 1924
StatusPublished
Cited by19 cases

This text of 224 P. 1089 (Obermeier v. Mortgage Co. Holland-America) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Obermeier v. Mortgage Co. Holland-America, 224 P. 1089, 111 Or. 14, 1924 Ore. LEXIS 105 (Or. 1924).

Opinion

BEAN, J.

The facts of the case necessary to state here are as follows: On the 13th of November, 1917, the defendant John Van Zante executed and delivered to plaintiff Joe Obermeier a lease of a farm known as the Johnson Farm for the term of three years, commencing November 30, 1917, and ending on November 30, 1920. The lessee covenanted and agreed to pay the lessor as rental therefor $1,500 upon the signing of the lease, $500 on or before November 5, 1918, and $900 on or before November 15, 1919. Obermeier paid the $1,500 as agreed.

At the time of the execution of the lease the defendant John Van Zante held title to the land as the agent and trustee of the defendant Mortgage Company, having purchased the same at a foreclosure sale by the Mortgage Company under a mortgage on the real estate executed by W. O. Johnson and wife to the Mortgage Company. At the date of the lease the time for redemption from the sale by ~W. O. Johnson had not expired, and Johnson was instrumental in [16]*16procuring the lease to be made, and by a writing appended thereto, consented to the lease. On the twenty-eighth day of November, 1917, a deal was consummated by the interested parties whereby W. O. Johnson conveyed his equity in the premises to his daughter, defendant Esther Mattison, and defendant John Van Zante, as the agent and trustee of the Mortgage Company conveyed the premises to Esther Mattison, subject to the right of redemption of Johnson, in consideration of the amount due upon the Johnson mortgage, including costs of foreclosure and expenses of sale. In making the transfer to defendant Esther Mattison by Van Zante with the approval and assistance of the Mortgage Company, the $1,500 collected of plaintiff in advance as rental was taken in consideration and credited to Esther Mattison, thereby reducing the consideration of the sale, which was about $13,000 to $11,500.

When plaintiff Obermeier attempted to move on to the leased premises, about the 30th of November, 1917, he found them occupied by a former tenant and was unable to obtain possession, of which he notified the defendants. It appears that it was expected that the premises would be vacated in two or three days. On January 11, 1918, there was a conference between plaintiff and defendant Van Zante, and the defendant Esther Mattison and the defendant the Mortgage Company Holland-America, by and through its representative John Van Zante, when it was mutually agreed and understood between all of the parties thereto that plaintiff should receive the sum of $100 in liquidation of all damages suffered by him on account of not having been placed in possession of the premises by the defendants; and a modification of the lease was entered into between the plaintiff and de[17]*17fendant Esther Mattison, which instrument is set out in full in the record and marked Exhibit “B.” This instrument contained a paragraph which reads as follows:

“It is further understood and agreed that as a full and complete settlement of any delay in obtaining possession of said premises and as a full settlement of any controversy that might grow out of said matters between Joe Obermeier, the lessee, and John Van Zante or the lessor, named herein, that said lessee accepts the sum of one hundred ($100) dollars cash upon the signing of this modification of the lease, the receipt whereof is hereby acknowledged.”

It is alleged and contended by plaintiff that the above-quoted paragraph of the agreement of January 11, 1918, denominated in the record as Exhibit “B” was based upon the representation and understanding that he “could at once enter upon the possession thereof” meaning the leased premises.

After the cause was remanded and before the second trial the plaintiff amended paragraph VIII of the complaint so as to allege fraud and to read as follows:

“This plaintiff further alleges that the said statements made by these defendants in which they stated that the said premises were unoccupied excepting by themselves, and that the plaintiff herein could at once enter upon the possession thereof, were false and untrue and that these defendants knew the same to be false and untrue at the time they made them, or they were made recklessly by them as of their own knowledge without knowing whether or not they were true, and that they were made for the purpose and with the intent to defraud plaintiff herein and to induce him to sign the said instrument attached hereto and marked Exhibit ‘B’ and that the plaintiff believed the said statements and relying upon them executed the said instrument marked Exhibit ‘B’; that the [18]*18said premises at the date of the execution of the said exhibit marked Exhibit 'B’ and attached hereto, were not free from the possession of any and all persons excepting these defendants, but that the said premises were at that time occupied by other persons and that this plaintiff has made several attempts to take possession of the said premises but has not been able to do so on account of the said premises and the buildings thereon being occupied by other persons, and that it is impossible for this plaintiff to take possession of the said premises, and has been at all times since the said 12th day of January, 1918, and that the defendant Esther Mattison, has begun an action in forcible entry and detainer in the Circuit Court of the State of Oregon for Washington County against Helma Roe, Jones Arthur Roe and Herbert Roe, who are in possession of the said premises claiming to hold under a prior leasehold, and that the said action is pending in said Court undetermined.”

Within two or three days after the execution of Exhibit "B" the plaintiff attempted to take possession of the leased premises, but found Mrs. Helma Roe and her family in possession of the premises with livestock thereon. Of this the plaintiff informed defendant Van Zante. Van Zante told the plaintiff that any legal steps necessary to obtain possession from the Roes would have to be taken by Mrs. Mattison. Thereafter, on January 24, 1918, Mrs. Mattison instituted an action of forcible entry and detainer against the Roes to obtain possession of the premises, in which judgment was rendered in favor of the plaintiff and against the Roes on February 23, 1918. Hntil that time the defendants had wholly failed to place plaintiffs in possession of the farm. Prior to the latter date the plaintiff, claiming that he had been deprived of the privilege of obtaining possession of and preparing the land for cultivation, instituted this action for damages for a breach of the lease. The [19]*19alleged breach of the implied covenant of the lease occurred after the transfer of the reversion by the original lessor to Mrs. Mattison.

Upon the trial of the cause as between plaintiff and defendant Van Zante and the Mortgage Company the controversy seems to have waged in regard to the validity of Exhibit “B.” Plaintiff testified in substance that at the time of the execution of the agreement, Exhibit “B,” he was told by defendant that he could obtain possession of the premises at once, and he understood they were then vacant. The defendants’ claim is to the effect that they informed the plaintiff that the Roes promised to move off the farm in two or three days; and on behalf of Mrs. Mattison he was told that if Mrs. Roe did not vacate, an action would be commenced against her and possession would be obtained without cost to plaintiff at once, or within two or three days.

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Cite This Page — Counsel Stack

Bluebook (online)
224 P. 1089, 111 Or. 14, 1924 Ore. LEXIS 105, Counsel Stack Legal Research, https://law.counselstack.com/opinion/obermeier-v-mortgage-co-holland-america-or-1924.