Owen v. Owen

325 So. 2d 283
CourtLouisiana Court of Appeal
DecidedFebruary 13, 1976
Docket12775
StatusPublished
Cited by4 cases

This text of 325 So. 2d 283 (Owen v. Owen) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Owen v. Owen, 325 So. 2d 283 (La. Ct. App. 1976).

Opinion

325 So.2d 283 (1975)

J. B. OWEN et al.
v.
W. H. OWEN et al.

No. 12775.

Court of Appeal of Louisiana, Second Circuit.

December 10, 1975.
Rehearing Denied January 6, 1976.
Writ Granted February 13, 1976.

*284 Holloway, Baker, Culpepper & Brunson by Donnie G. Brunson, Jonesboro, for defendants-appellants.

Emmons, Henry & Reeves by Joseph A. Reeves, Jr., Jonesboro, for plaintiffs-appellees.

Before PRICE, MARVIN and GLADNEY, JJ.

En Banc. Rehearing Denied January 6, 1976.

MARVIN, Judge.

Defendants, W. H. Owen, Charles Wayne Bush, and Wayne S. Bush, appeal from a judgment which set aside sales by parents to children, holding the sales to be disguised donations and donations omnium bonorum. The judgment named and declared the forced heirs of the parents to be owners of an undivided one-seventh interest in the land in question. We affirm.

On October 12, 1957, I. M. Owen died intestate. His wife, Henrietta Owen, died intestate in 1970. On March 22, 1957, I. M. Owen and his wife executed three instruments purporting to be cash sales by authentic act to two sons:

TRACT ONE:

To W. H. Owen, the Northeast Quarter of the Northwest Quarter of Section 24, Township 17 North, Range 2 West, containing 40 acres, more or less, for a recited $100.00 consideration;

TRACT TWO:

To J. B. Owen, the Northwest Quarter of the Northwest Quarter of Section 24, Township 17 North, Range 2 West, containing 40 acres, more or less, except four acres in the northeast corner previously acquired by the vendee, for a recited $720.00 consideration;

TRACT THREE:

To W. H. Owen and J. B. Owen, the north fifteen acres of the Southeast Quarter of the Northwest Quarter of *285 Section 24, Township 17 North, Range 2 West, for a recited $300.00 consideration.

In 1972, J. B. Owen transferred his onehalf interest in tract three above to his brother, W. H. Owen, for $1,500.00, after a partition suit was filed. On January 29, 1973, defendant, W. H. Owen, executed two credit sales conveying in separate parts all of tracts one and three above to defendants, Wayne S. Bush and Charles Wayne Bush. Wayne S. Bush and, by stipulation that his testimony would be the same, Charles Wayne Bush admitted that W. H. Owen stated he had acquired the property from his father and that there was a question as to whether he could give a "clear deed" to the property before the credit deeds were executed to Messrs. Bush in 1973.

J. B. Owen, Berta Lee Owen Green, Carene Elizabeth Owen Walker, Mary Alma Owen Richardson, Grady Hopson Owen, and Lora Ella Owen Brewster, alleging themselves to be six of seven forced heirs of Mr. and Mrs. I. M. Owen, attacked these sales as donations in disguise and in contravention of La.C.C. Art. 1497 in this suit filed October 31, 1973.

Louisiana Civil Code Article 2444 provides:

"The sales of immovable property made by parents to their children, may be attacked by the forced heirs, as containing a donation in disguise, if the latter can prove that no price has been paid, or that the price was below one-fourth of the real value of the immovable sold, at the time of sale."

J. B. Owen judicially confessed that he paid no consideration to his parents for property deeded him on March 22, 1957. See La.C.C. 2291. W. H. Owen contended that he had given consideration for property deeded him, but produced no receipts or other supporting evidence. The trial court found that no price was paid by either son for any of the property deeded by the parents. Giving great weight to the trial judge's finding of fact as required by Canter v. Koehring, 283 So.2d 716 (La. 1973), we find no manifest error in the lower court's factual findings. The cash sales of March 22, 1957, to W. H. Owen and J. B. Owen, were correctly held to be disguised donations under La.C.C. Art. 2444.

To these disguised donations, the rules pertaining to donations inter vivos are therefore applicable, particularly La.C.C. Art. 1497:

"The donation inter vivos shall in no case divest the donor of all his property; he must reserve to himself enough for subsistence; if he does not do it, the donation is null for the whole." (Emphasis supplied).

The trial judge found that Mr. and Mrs. I. M. Owen divested themselves of all property without reservation of an amount sufficient for subsistence. The record establishes that the donors owned no immovable property other than the tracts they attempted to transfer on March 22, 1957. The record also indicates that Mr. and Mrs. Owen's income was monthly welfare and social security checks, and that there was no other property owned by them when the disguised donations were made. We find no manifest error in the lower court's holding that the purported cash deeds of March 22, 1957, from Mr. and Mrs. I. M. Owen to their sons, W. H. Owen and J. B. Owen, are donations omnium bonorum.

The jurisprudence under La.C.C. Art. 1497 clearly establishes that a donation in contravention of this article is an absolute nullity. See Litton v. Stephens, 187 La. 918, 175 So. 619 (1937), and Givens v. Givens, 273 So.2d 863 (La.App. 2d Cir. 1973), and cases cited therein. In Litton, Justice Land as the organ of the court, stated:

"A contract whereby one gives away his property, without reserving enough for *286 his own subsistence, . . . is void ab initio, as contravening a prohibitory law. . ."

Since La.C.C. Art. 1497 is a prohibitory law, whatever is done in contravention of it is absolutely void ab initio. See also La.C.C. Art. 12; 6 S. Litvinoff, Louisiana Civil Law Treatise § 103 (1969). In Givens, supra, we said:

". . . a donation omnium bonorum as defined by LSA-C.C. Article 1497, supra, is a nullity and . . . a suit to set aside such a transaction is imprescriptible and can be brought at any time. Lagrange v. Barre, 11 Rob. 302 (La.1845); Kirby v. Kirby, 176 La. 1037, 147 So. 70 (1933); Welch v. Forest Lumber Co., 151 La. 960, 92 So. 400 (1922); Magee v. Stacey, 223 So.2d 194 (La.App. 3d Cir. 1969)." Givens, 273 So.2d 865.

In stating the effect of the nullity imposed by the article, some cases have employed broader language than perhaps was necessary to the decision, resulting in ostensible conflicts or confusion in the jurisprudence.[1] This statement for instance was made in Dugas v. Talley, 109 So.2d 300, 304 (La.App. 1st Cir. 1959).

"It is the settled jurisprudence that when an instrument is in the form of an act of sale and the property has passed into the hands of a third party purchasing on the face of the public records, that Article 2464 (relating to the adequacy of the consideration); . . . and Article 1497 (relating to donations omnium bonorum), do not apply." 109 So.2d 304.

In Hearon v. Davis, 8 So.2d 787, 793 (La.App. 2d Cir. 1942), it was said:

"Whether or not a donor reserves to himself sufficient property to provide him with subsistence is a question of fact, which, of course, the public records do not disclose. However, a purchaser from the donee assumes the risk of losing the property to the donor if the facts warrant application of the rule laid down in Article 1497 of the Civil Code."

In Dugas and Hearon,

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325 So. 2d 283, Counsel Stack Legal Research, https://law.counselstack.com/opinion/owen-v-owen-lactapp-1976.