Rucabado v. Longpré

239 F. 291, 152 C.C.A. 279, 1916 U.S. App. LEXIS 2572
CourtCourt of Appeals for the First Circuit
DecidedDecember 6, 1916
DocketNos. 1174, 1175
StatusPublished
Cited by6 cases

This text of 239 F. 291 (Rucabado v. Longpré) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rucabado v. Longpré, 239 F. 291, 152 C.C.A. 279, 1916 U.S. App. LEXIS 2572 (1st Cir. 1916).

Opinion

BINGHAM, Circuit Judge.

These cases are appeals by Mateo Rucabado, Ramón Wolff Aboy, and Diaz & Aboy from a judgment of the Supreme Court of Porto Rico.

August 19, 1899, Ramón Wolff Aboy sold to the plaintiffs (appellees), doing business as the Central “Puerto Real,” certain real estate in the Island of Vieques, Porto Rico, for the sum of $28,750. The plaintiffs paid $8,750 at the time of the sale, and executed a mortgage to Wolff Aboy for the balance ($20,000), which they obligated themselves to pay on June 30, 1917. At the time of the sale the property was leased to Diaz & Aboy for the period of 10 years, from December 1, 1907, to June 30, 1917, on a monthly rental of $112, which lease the plaintiffs agreed to respect. In lieu of interest on the $20,000, Wolff Aboy was to receive the monthly rentals of $112 from Diaz & Aboy. Subsequent to the execution of the mortgage, the plaintiffs paid Wolff Aboy various sums of money on account of the mortgage, which, on June 15, 1911, amounted to more than the sum due on the mortgage, and Wolff Aboy promised to execute a deed canceling the mortgage, but failed to do so. July 31, 1911, Rucabado, one of the appellants, brought an action of debt against Wolff Aboy on a note given him by the latter for $12,000, and attached the mortgage credit of $20,000 appearing in Wolff Aboy’s favor in the registry of property. November 9, 1911, the plaintiffs, mortgagors,, filed a complaint in the district court of San Juan to cancel the mortgage. This proceeding was brought against the mortgagee, Wolff Aboy, and Diaz & Aboy; the latter being made defendants to compel them to pay the plaintiffs the monthly rentals of $112, instead of paying them to Wolff Aboy, he having been paid the amount of his mortgage and having no further interest in the property. November 29, 1911, Rucabado was allowed to intervene in the suit for cancellation to protect his attachment of the mortgage credit. Judgment by default was entered against Wolff Aboy. Diaz & Aboy answered the complaint, but did not appear at the trial. In the district court of San Juan judgment was entered against the plaintiffs, and they appealed to the Supreme Court of Porto Rico. The Supreme Court reversed the judgment of [293]*293the district court, and ordered a cancellation of the mortgage on the ground that it had been paid, and that Diaz & Aboy should pay plaintiffs the monthly rentals of $112 from the date of the judgment. From this judgment Rucabado and Diaz & Aboy have prosecuted this appeal.

In the district court the fact of payment in full of the mortgage indebtedness and the time when it was paid were based upon oral evidence, notes of Wolff Aboy indorsed and paid by the plaintiffs, checks paid Wolff Aboy, letters signed by him acknowledging payments upon the mortgage indebtedness, and the admission of the attorney for Rucabado that the papers were authentic and that the payments were made on the dates therein stated. In both courts it was found that the mortgagors had paid the mortgage indebtedness before Rucabado’s attachment of the mortgage credit, and that there was no collusion between Wolff Aboy and the plaintiffs. In the district court it was held that Rucabado, by his cautionary notice of attachment in the registry of property, acquired, under the mortgage law of Porto Rico, only a preference “over other creditors whose claims against the same debtor were contracted subsequently to the entry of such cautionary notice; * * * that the intervener, Rucabado, has neither acquired a real right in the attached property, nor can be considered as a third party within the provisions of the mortgage law,” but that, under the provisions of the Civil Code, “Rucabado is a third party whose rights cannot be questioned except by virtue of the evidence required by law for avoiding fraud and simulation”; that under section 1195 of the Civil Code the date of a private instrument can “be considered, with regard to third persons, only from, the date on which it may have been filed or entered in the public registry, from the death of any of those who signed it, or from the date on which it may have been delivered to a public official by virtue of his office”; and that because of this the letters, notes, checks, and oral evidence offered in this' case could not be used against Rucabado, a third party, to establish a date of payment prior to the attachment.

In the Supreme Court it was held that, inasmuch as the full amount of the mortgage had been paid in good faith, the payments were validly made within the provisions of sections 1132 and 1133 of the Civil Code, the debt was extinguished (.section 1124), and the plaintiffs were released from the obligation with relation to the defendant Wolff Aboy; that, therefore, the debtor had the right to a cancellation of the mortgage, which right was not disturbed by the entry in the registry of the cautionary notice of attachment of the mortgage credit, which had no effect other than to record a preference to the creditor who had secured the attachment over other creditors whose claims against the same debtor were contracted subsequently to the entry of the cautionary notice; 'that the plaintiffs are not creditors (within the meaning of article 44 of the Mortgage Law), but debtors, of Wolff Aboy; and that Rucabado is not a third party within the provisions of Mortgage Law, articles 23, 25, and 27.

It was, however, held that Rucabado was a third party “according to the provisions of the Civil Code, and that as such the provisions of [294]*294section 1195 of the Civil Code are applicable to- him”; that “if Wolff Aboy had given the plaintiffs one or more receipts for the partial payments of the amount due, and there were no other evidence of such payments than the said receipts, and Rucabado- had denied their dates, then Rucabado would be entitled to invoke the said section in his defense”; that, instead of taking this position, he load admitted the payments, and dates of payments, shown in the letters, notes, and checks, and only questioned their scope and validity by “claiming that under the provisions of section 1195 of the'Civil Code the dates are not valid as against him”; that this he could not do; that “section 1195 of the Civil Code is strictly applicable when there is no other evidence of an act or contract than a private document”; that it “only contains the presumption that the date of a private contract, in the absence of proof to the contrary, is, as regards a third person, the date on which it was filed or entered in a public registry, or of the death of any of the persons who signed it, or on which it was delivered to a public official by virtue of his office.”

The assignments of error relied on in this appeal present the following questions:

(1) Whether Rucabado is a third person entitled to the benefit of the provisions of section 1195 of the Civil Code of Porto Rico; and

■ (2) If he is a third person entitled to the benefits of its provisions, whether the section states a -rule of evidence which renders a private document inadmissible as the sole proof of the date of its execution, or’states a rule of substantive law, rendering a transaction agreed upron in a private instrument wholly void as against third persons, though v>alid as between the parties.

[ 1 ] The appellants’ contention is that Rucabado is a third person entitled to the provisions of the section, and that it is a rule of substantive law_ rendering an agreement embodied in a private instrument void as against third persons, though valid as between the parties to the agreement.

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Cite This Page — Counsel Stack

Bluebook (online)
239 F. 291, 152 C.C.A. 279, 1916 U.S. App. LEXIS 2572, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rucabado-v-longpre-ca1-1916.