Peterson v. Hultz

147 N.W. 1126, 96 Neb. 406, 1914 Neb. LEXIS 69
CourtNebraska Supreme Court
DecidedJune 23, 1914
DocketNo. 17,762
StatusPublished

This text of 147 N.W. 1126 (Peterson v. Hultz) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Peterson v. Hultz, 147 N.W. 1126, 96 Neb. 406, 1914 Neb. LEXIS 69 (Neb. 1914).

Opinion

Letton, J.

This is an action to rescind an executed contract for the purchase of certain land and to recover the purchase money. The district court dismissed the action, and plaintiff appeals.

The petition alleges that on the 29th day of March, 1910, the defendant Hultz and plaintiff entered into a written contract whereby Hultz agreed to convey by a good and sufficient warranty deed clear of all incumbrance, a tract of land in Keith county for the sum of $3,200, $500 in cash, $500 within ten days, and the balance in two annual payments of $1,100 each; that Hultz further agreed to fur[407]*407nish a good and sufficient abstract of title; that conveyances were executed by defendants to plaintiff on March 30, 1910, and filed for record by Hultz in the office of the' county clerk of Keith county; that on the 11th of April plaintiff executed and delivered to Hultz his two notes for-$1,100 each, having paid the $1,000 specified in cash, and executed a mortgage on the land to secure the notes; that on April 7 plaintiff discovered that the abstract showed a defective title to a portion of the premises, and that he refused to further carry out the agreement, and a new agreement was entered into that day between plaintiff and defendants ; that by this contract defendants agreed to convey the land to plaintiff; that they would furnish a good and sufficient abstract of title on or before the 29th day of October, 1910; and that upon failure to do so they would return all money paid and would cancel all notes of plaintiff. It is also alleged that plaintiff paid the money and executed the notes and mortgage under the conditions of the latter contract only, and that • defendants failed to furnish the abstract or to make and deliver a good title. Plaintiff then pleads that he demanded the return of the money and notes, and offered to return the premises to defendants. The prayer is for judgment for $3,200, with interest.

The answers, in substance; admit the making of the contracts, and the payment of the money and delivery of the notes; plead that a perfect and marketable title was conveyed to plaintiff. As to the contract dated April 7, it is alleged that after the deeds were delivered plaintiff and his attorney, H. A. Dano, stated a cloud upon the title was caused by the recording of a deed to one Radcliffe, and that, while defendants maintained there was no defect in the title, to accommodate and satisfy plaintiff, defendants agreed to pay the expense of bringing an action to quiet the title, plaintiff having stated he would be entirely satisfied if such suit was brought; that the second contract was executed without consideration in order to allow time to prosecute this suit to a final judgment; that action was brought and the title quieted, as agreed upon;, [408]*408that a conveyance of the interest of the heirs of Eadcliffe was also made to plaintiff, and that he has a good and perfect title; that the delay in quieting the title was caused by the plaintiff and his attorney, Dano, and that time was not of the essence of the contract; that the date October 29 was fixed in the second contract as allowing sufficient time for the next term of the district court for Keith county to be held and the decree procured, and was put in the «ontract upon the express representations of Dano; that on the 29th of October a decree was rendered in the action, and the abstract soon afterwards extended, and that plaintiff has a perfect and indefeasible title to the premises.

The district court made extensive findings, and, after stating the facts as to the execution of the contract of March 29,1910, and the recording of the deeds on March 30, says: “On April 7, the defendant Hultz went to plaintiff Peterson’s house to have their deal closed up, and together they went to the office of H. A. Dano, attorney. The defendant Searle was there, or came in soon after the arrival of Peterson and Hultz. The abstract of title was at Dano’s office. By whom the abstract of title was obtained and taken to Dano’s office the evidence fails to show. On examination of the abstract by all parties, Mr. Dano pointed out on the abstract the entry showing a conveyance on September 26, 1904, by quitclaim deed to P. P. Eadcliffe, of the W. y2 of SE. % of section 22, town 14 north, of range 39 west, recorded March 10,1905, and stated that the same was a cloud upon the title, but that it could be easily removed by an action to quiet title. Some talk was then had as to when the next term of court would be held, and it was agreed that the next term was fixed for October 24, 1910. Mr. Dano was then asked if he would take the «ase and procure judgment at that term, on or before ■October 29, 1910, and Mr. Dano replying that it could be done, and that he would do so, the defendant Searle authorized Mr. Dano to proceed with the case and procure judgment, quieting title against said deed, agreeing to pay Mr. Dano for his services, and also to pay for the costs of [409]*409such action, which payments the defendant Searle has made.

“On the discovery of this defect, the plaintiff Peterson declined completing the deal between himself and defendant Hultz until the defect complained of was removed, or he had something showing that the defendant Hultz would clear the title of the defect complained of. Thereupon a new agreement for warranty deed was made.

“On the signing of said last contract, the plaintiff executed and delivered the two notes of $1,100 each, and the mortgage provided to be given by the first contract, and paid the $500 cash agreed to be paid. Plaintiff then took and went into possession of the lands. During the month of June, 1910, plaintiff paid to the county clerk the fees for recording of the two deeds conveying the land to him. Mr. Daño, as attorney for the defendant Searle, obtained a decree quieting title against the said quitclaim deed of Beardsley to Radcliffe in the district court for Keith county, Nebraska, on October 29, 1910. The abstract of title was not extended showing the title cleared of such defect, nor was there any abstract of any character furnished plaintiff on or before October 29,1910, nor since that date,, until during the progress of the trial of this cause, when defendant tendered abstract. Defendants’ exhibit B.

“On October 29, 1910, plaintiff wrote a letter to the defendant Hultz, saying: £As you have failed to deliver abstract of title of the S. % of the NE. % and the NE. % of the SE. % °f section 22, town. 14, range 39, I demand that you return all money paid by me to you on said land, and that you return notes at once.

“On January 3, 1911, the plaintiff began this action.”

During the trial the plaintiff tendered a quitclaim deed conveying the land to defendant Hultz.

Plaintiff maintains that time was of the essence of the contract, and that upon the failure to furnish the abstract upon October 29, 1910, he was immediately entitled to the return of the purchase price. He further contends that the abstract tendered does not even now show a perfect title, and that he is entitled to rescind for that reason. [410]*410We are unable to take the view that time is of the essence of this contract. It is true that time may be the essence of a contract even without the use of an express stipulation to that effect. White v. Atlas Lumber Co., 49 Neb. 82.

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Related

Beck v. Simmons
7 Ala. 71 (Supreme Court of Alabama, 1844)
White v. Atlas Lumber Co.
68 N.W. 359 (Nebraska Supreme Court, 1896)

Cite This Page — Counsel Stack

Bluebook (online)
147 N.W. 1126, 96 Neb. 406, 1914 Neb. LEXIS 69, Counsel Stack Legal Research, https://law.counselstack.com/opinion/peterson-v-hultz-neb-1914.