Pickett v. Ferguson

8 S.W. 386, 86 Tenn. 642
CourtTennessee Supreme Court
DecidedMay 19, 1888
StatusPublished
Cited by1 cases

This text of 8 S.W. 386 (Pickett v. Ferguson) is published on Counsel Stack Legal Research, covering Tennessee Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pickett v. Ferguson, 8 S.W. 386, 86 Tenn. 642 (Tenn. 1888).

Opinion

B. M. Estes, Sp. J.

This case was heard at the last term by the Court as now constituted, the writer of this opinion sitting, without commission, at the request and by consent of parties, in the place of Judge Eolkes, who was incompetent, when a decree was pronounced in favor of the defendants upon the leading questions involved.

Upon a petition of great force and power a rehearing was ordered, and at the present term the case has been re-argued . by counsel, who, with much research and learning, have afforded the Court the aid that the importance of the questions involved demanded.

The litigation grew out of a lease of lands [644]*644situated in Mississippi County, Ark., for the term of five years from the 1st day of January, 1878, made by the complainant • to the Defendants Ferguson and Iiampson. At the date of the lease there was a suit pending in the Supreme Court of Arkansas, on appeal from the Circuit Court of Mississippi County, in which the land thus leased was sought to be subjected to the payment of large incumbrances thereon. The lessees were fully aware of the pciidency of this suit. They took the lease, went into possession, and were thus in possession when a decree for the sale of the land, to satisfy the incumbrances, was rendered by the Supreme Court of Arkansas, and when it was sold under the decree, on the 28th of February, 1879. At this sale the Defendant Hanauer, became the purchaser, hut both the Chancellor and Commission of Referees have found the fact to be that the purchase was- for the benefit of Ferguson and Iiampson, and, in fact, their purchase.

In this conclusion we think they were justified by the evidence. After the purchase under the decree, Hanauer conveyed the land to Ferguson and. Iiampson, and they remained in possession as before; and were thus in possession when this hill was filed in the Chancery Court of Shelby County, on the 18th day of February, 1881, claiming that under the facts alleged, and especially by reason of the fiduciary relation of landlord and tenant subsisting between the complainant and the Defendants Ferguson and Iiampson at the date of [645]*645tlieir purchase of the land, the complainant was the equitable owner thereof, and that the said de-fexxdants held the legal title as trustees for her under the equitable doctrine of constructive trusts.

The complainant sought by the. bill to establish the trust, to redeem the land, and prayed that the defendants be required to convey it to her. Process was duly served upon the Defendants Hanauer and Hampson, but no service was ever had on Defendant Eerguson, and he has never entered an appearance. After the fact of his non-residence, or of his being beyond the reach of the process of the Court, was developed, publication to him as a nonresident was duly made, and an order pro eonfesso taken against him. He has steadfastly held himself aloof from the case, and one of the chief contentions in argument has been whether a valid decree could be pronounced against him based upon this publication and order pro eonfesso.

At the threshold the Defendants Hanauer and Hampson filed a plea to the jurisdiction of the Court, alleging the ground that the subject-matter of the litigation was land situated in another State; and also that Eerguson was not befox-e the Court under the pxxblication to him. The Chancellor held the plea insufficient, and ovei’ruled it.

The supplomeixtal bill afterward filed, and the proceedings thereon, need not be considered, inasmuch as it was dismissed by the complainant herself. Subsequently, on bill, answer, and volixminous evidence, the case was heard before Special Chancel[646]*646lor Bllett, who pronounced an able and learned opinion, in which he held that, by reason of the fiduciary relation of landlord and tenant existing between complainant and Ferguson and llampson, the conduct of .the latter in purchasing the land at the judicial sale made them trustees under a constructive trust, and that complainant was entitled to redeem the land.

After the hearing by the Chancellor, but before the decree was pronounced, the complainant filed her bill in the Circuit Court of Mississippi County, Arkansas, in which she repeated in substance the statements and allegations'’ of her hill in this case, and prayed that, “in the -event of a failure of jurisdiction in the Tennessee Court, in whole or in part, she might, to that extent, he allowed to prosecute this bill as an independent, original hill, upon the facts and equities therein averred; hut if the jurisdiction of the Tennessee Court should he sustained, and the cause determined in that Court upon its merits and in complainant’s favor, this hill might be treated as auxiliary to that, and that complainant might he permitted, upon supplemental proceedings, to enforce such decree as she might thus obtain.”

To this bill, in the Arkansas Court, all the defendants, including Ferguson, 'promptly filed an answer and cross-bill. In their cross-hill they set up their title to the land, claiming that the Tennessee Court had no jurisdiction of the case; asked that Mrs. Pickett’s claim of title be removed as a [647]*647cloud on tlieir title, and that she and lier solicitors he enjoined from prosecuting her suit in Tennessee.

In obedience to the prayer of the cross-bill an injunction was granted against the complainant and her solicitors, and its purport made known,to them in Tennessee. Notwithstanding this injunction, the complainant, by her solicitors, prepared and caused to be entered the decree which the Chancellor had ordered in her favor, and subsequently obtained from the Chancellor an injunction against the defendants and their solicitors, prohibiting them from the further prosecution of their suit in Arkansas.

In disobedience of this writ, the defendants still prosecuted their cross-bill in the courts of Arkansas, and the record in this case embraces contempt proceedings against them for breach of the injunction. The complainant and her counsel were duly adjudged guilty of contempt by the Circuit Court of Mississippi County, Arkansas, and, as a penalty for their contumacy, that Court ordered that, unless the complainant purged herself of the contempt, by setting aside the decree entered in her favor in the Tennessee Court, she would not be allowed to prosecute her bill in that Court.

The complainant, refusing to comply with the order of the Court, made sundry ineffectual efforts to plead to and defend the cross-bill. The defendants filed all the. evidence taken on both sides in ■the Chancery Court of Shelby County; and on this they went to trial.

[648]*648The Court, still iefusing to hear the complainant in the suit, pronounced a decree dismissing her bill for want of " equity, and perpetuating the temporary injunction C granted on the cross - bill. The case was carried; to the Supreme Court of Arkansas, and there Mrs. Pickett appeared by her counsel, and the case' was fully argued on both sides. That Court, in ;1885, affirmed the decree of the lower Court, and, in an opinion reported in the forty-fifth volume of Arkansas Reports, held that the relation of laiidlord and tenant between Mrs. Pickett and Ferguson and Ilampson did not forbid the purchase of the land by the latter, that there was no constructive trust, and that Mrs. Pickett was not the equitable owner of the land.

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Bluebook (online)
8 S.W. 386, 86 Tenn. 642, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pickett-v-ferguson-tenn-1888.