Richardson v. Suiter

169 P.2d 252, 74 Cal. App. 2d 682, 1946 Cal. App. LEXIS 1015
CourtCalifornia Court of Appeal
DecidedMay 27, 1946
DocketCiv. 15188
StatusPublished
Cited by5 cases

This text of 169 P.2d 252 (Richardson v. Suiter) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Richardson v. Suiter, 169 P.2d 252, 74 Cal. App. 2d 682, 1946 Cal. App. LEXIS 1015 (Cal. Ct. App. 1946).

Opinion

WILSON, J.

This is an action to recover money alleged to have been obtained from an aged and infirm couple through the fraud of defendant, Charles H. Suiter. For the sake of brevity, since he was the actual perpetrator of the fraud, he will be referred to herein as defendant. His wife, Anna I. Suiter, is made a defendant by reason of the fact that the deed hereinafter discussed named her as one of the grantees and presumably she shared in the fruits of the fraud. Defendants have appealed from the judgment rendered against them.

Frank M. Compton and Mary E. Compton, husband and wife, on and prior to August 13, 1943, owned a farm in Missouri. He was 96 years of age, blind, and bedridden; she was 83 years of age, an invalid, and partly blind. They were incapable of attending to their business or of managing their property. They desired to sell the farm and so advised defendant, who was and had been their confidential agent and adviser, whom they trusted and upon whom they relied. He undertook to negotiate the sale of the farm and to attend to the details of consummating the transaction. He told them that it would be necessary that they convey title to the farm to him and to assign their claim for unpaid rent thereon in order to facilitate his collection of rent from the tenants and his bargaining with prospective purchasers and consummating the sale. He also stated that if they would convey the farm to him he would sell it at a high price and collect the unpaid rent for them. Relying upon said statements Mr. and Mrs. Compton conveyed the legal title about August 13, 1943, *684 to defendant and Ms wife. On the same day the Suiters executed a mortgage on the property to Mr. and Mrs. Compton and Jennie B. Heflin, the latter being Mrs. Compton’s sister, as joint tenants, for the sum of $10,000. The deed and the mortgage were prepared by an attorney at the request of and under instructions from defendant.

Mr. Compton died on September 22, 1943, still believing defendant’s representations to be true. Thereafter Mrs. Compton executed an assignment to him of her claim for rent of the farm. About October 30, 1943, defendant went to Missouri and sold the farm for $17,000 and in January, 1944, he collected rent in the sum of $952.55. In November, 1943, defendant paid the sum of $10,000 to Mrs. Compton and retained the balance of the purchase price and all of the rent. Mrs. Compton died December 12,1943. This action is brought by the executor of her estate to recover the balance of the sale price and the rents collected by defendant.

As grounds for reversal of the judgment it is asserted that certain findings are not supported by the evidence and that plaintiff is estopped to deny that a bona fide sale of the property was made to defendant.

1. The finding that an alteration was made in the mortgage after its execution: The court found that after the execution of the mortgage defendants caused to be typed thereon the words “This is a purchase money mortgage.” The attorney who dictated the instrument produced his office copy which did not bear the words in question. He testified that he directed his secretary, Mrs. Stratton, to type the words on the mortgage and according to his best recollection he gave her that direction because defendant told him that he was buying the farm from Mr. and Mrs. Compton and might have said something to him about adding those words. The attorney further testified that he did not tell the Comptons that he was preparing the documents; that the Comptons and the Suiters had all been his clients previously but at that time the Suiters only were his clients, his professional relationship with the Comptons having ceased. More definite evidence concerning the addition of said words to the mortgage than that of the attorney was that of Mrs. Stratton, who testified that the words were typed at her employer’s direction immediately after the preparation of the mortgage and before its execution. In view of - all. the circumstances the court was *685 not required to believe her testimony but was justified in drawing contrary inferences from the entire evidence, written and oral. Since the court observed the witnesses and their manner of testifying and evaluated their evidence, the finding will not be disturbed.

Whatever may be the truth, the finding is immaterial. In fact, a finding that the words were placed on the mortgage at the time it was prepared would not influence the result of the appeal for the reasons (1) that the Comptons never saw the mortgage and knew nothing of its contents, it having been mailed to the county recorder by Mrs. Stratton immediately after it was executed by the Suiters, and (2) that the judgment would not be affected by a finding either way on the subject inasmuch as there are other findings that fully support it.

2. The finding that the mortgage was not delivered to the mortgagees. The court found that the mortgage was never delivered to or came into the possession of the Comptons or either of them. The evidence fully supports the finding. Both the deed and the mortgage were prepared by said attorney at the request of defendant and the latter paid the fee therefor. The Suiters were his clients and the Comptons were not. . The attorney did not consult with the Comptons at any time concerning the transaction or concerning the deed or the mortgage.

After having been typewritten the documents were placed in the possession of Mrs. Stratton. Accompanied by defendant she went to the Comptons’ home and procured their signatures to and their acknowledgment of the execution of the deed. Mrs. Heflin, Mrs. Compton’s sister, was in the room during all the time they were present. She testified that she thought defendant had another paper in his pocket but did not know what it was. Neither defendant nor Mrs. Stratton said anything about a note or mortgage. After the deed had been signed Mrs. Stratton went to defendant’s home where he and his wife signed and acknowledged the mortgage. Mrs. Stratton immediately mailed both papers to the county recorder in Missouri. When recorded they were returned by mail to her employer, defendant’s attorney.

That the Comptons had no knowledge of the existence of the mortgage is uncontradicted. The possession of the mortgage by Mrs. Stratton and the mailing of the same to *686 the recorder did not constitute a delivery to the Comptons since she was not authorized to represent them and her employer was the attorney for the adverse party.

3. The finding that defendant was guilty of fraud. The court found that defendant undertook and agreed to negotiate a sale of the farm and to attend to the details of consummating the sale, and for the purpose of deceiving and defrauding the Comptons falsely and fraudulently represented to them that it would be necessary for them to convey title to the farm to him and to assign to him their claim for rent in order to facilitate a settlement with the tenants and a sale to prospective purchasers; that if they would convey title to him he would sell the farm at a high price and collect the rent for them; relying upon said representations and upon his further assurance that the deed was fictitious or “phony” the Comp-tons conveyed title to defendant, who was then their confidential agent and trustee, and later Mrs. Compton executed an assignment of the rent to him.

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Bluebook (online)
169 P.2d 252, 74 Cal. App. 2d 682, 1946 Cal. App. LEXIS 1015, Counsel Stack Legal Research, https://law.counselstack.com/opinion/richardson-v-suiter-calctapp-1946.