Shook v. Proctor

27 Mich. 349, 1873 Mich. LEXIS 122
Michigan Supreme Court·Decided July 11, 1873·Published·Cited by 2 cases

Opinion

Ci-iristiancy, Ch. J.

This was a bill filed in the circuit court for the county of Branch in chancery, to set aside a deed of certain property in Branch county, executed by the complainants to the defendants, fm. H. Proctor and Edwin D. Lyon, on the ground that it was obtained by fraud and without consideration.

[350]*350The bill sets forth, in substance, that on the 22d day ■of February, 1869, complainants, being the owners of said land in the county of Branch, with a saw-mill thereon, were induced by the defendants, ¥m. H. Proctor and Edwin D. Lyon, to trade the same for certain lands in Yan Burén county, in the state of Iowa, of which they represented ¥m. II. Proctor to be the owner (describing them); that, to induce said complainants to make such trade, said Proctor and Lyon represented to them that said Proctor had a good title to said Iowa lands, and owned them in fee; and, to win their confidence and induce them to rely upon said representations, and not to examine into the state of the title, they produced and showed a paper purporting to be a certificate of some officer who had charge of the record evidences of title in Yan Burén county, Iowa, going to show that the title was good and all right; that at that time neither of complainants had any knowledge or information in regard to said title, but depended wholly upon •said Proctor and Lyon’s representations, as they well knew; that by such means they won the confidence of the complainants, and induced them to believe the title was good, ■and that, relying upon these acts and representations, complainants made the trade, and to carry out the same exe•cuted and delivered to them their warranty deed, dated February 22d, 1869, conveying to them jointly said lands -in Branch county; that said ¥m. H. Proctor, with his wife, executed, at the same time, to complainants, a deed purporting to convey to complainants the said Iowa lands, the ■consideration for which was, in fact, the conveyance by complainants, above mentioned, of the said Branch county lands; that it was distinctly understood and agreed between ■the parties that the deed of said Iowa lands was to be a ■full warranty against every thing and every body, and complainants supposed at the time they had received such a •deed; that they did not do the business themselves personally, but trusted to others to fill up the deed, etc.; that it was not read to them, and they were ignorant of its con[351]*351tents, but supposed and believed, as it was a printed form, it was all right, and did not discover that it was a special warranty against such persons only as should claim the premises by, through or under said Proctor, until about a month after; that they would not have accepted the deed had they known what it was, and that said Proctor and Lyon knew this; that ■ when complainant (Robert Shook) discovered that it was only a special warranty, he called upon the attorney of Proctor and Lyon, who seemed to act for them in making the papers, and claimed another deed, as this was not right; but that their attorney assured him, and finally made him believe, that the deed was all right as it was, and as good as any, and he went away satisfied for the time; that complainants supposed and believed that they got a good and perfect title at the time they got the deed to the Iowa lands; that, upon receiving the deed of complainants, said Proctor and Lyon took possession of said Branch county lands so conveyed to them, and they, and those claiming under them, have had the use and profits of it since.

Complainants further allege that they have since discovered that said Wm. H. Proctor had no title whatever to the said Iowa lands, so pretended to have been conveyed to complainants, and that complainants got no title thereby.

They charge that said pretended certificate of title, was, as they believe, a paper manufactured expressly to deceive people and to cheat them of their property ; that said Proctor and Lyon knew that said William H. Proctor could not, and did not convey to them any title; that each of said representations so made by them on said trade, about said title, were false.

Complainants then allege that on the 27th of May, 1869, said Wm. H. Proctor (and wife) and Edwin D. Lyon (and wife), by deed pretended to convey an undivided one half of said Branch county property to Alonzo W. Eaton, for the nominal consideration of one thousand and five hundred dollars; but that no consideration was, in fact, paid; or, if [352]*352any was paid, it was but a small sum merely to give color to the transaction, and entirely inadequate; that at the same time, they took back a mortgage purporting to secure one thousand and seventeen dollars of the purchase money, said amount becoming due in three yearly payments with interest, said mortgage being given, however, to said Lyon and to Mary A. Proctor, instead of her husband (Wm. H. Proctor), who was the real party in interest; that February 2,1870, said Wm. H. Proctor by deed of that date pretended to convey an undivided one-fourth of said Branch county property to one J. N. Proctor of the state of Vermont, for the pretended consideration named in the deed, of eight hundred dollars, but in fact nothing whatever was paid, said J. N. Proctor being a relation of Wm. IL Proctor and in the ring with them; and they charge that neither said Eaton nor said J. N. Proctor are Iona fide purchasers, but that each is chargeable with notice of the fraud so practiced upon the complainants by said Lyon and Wm. H. Proctor, and of all the equities of complainants; that said Wm. H. Proctor and Edwin D. Lyon, recently hearing that proceedings were to be instituted to set aside said trade, in order to cover up and complicate matters, made a pretended assignment of an undivided half interest in said Eaton mortgage to the defendant Newton T. Lyon, a brother of said Edwin D. Lyon; that this assignment was made without consideration, and without the knowledge or procurement of said Newton T., who is not a Iona fide assignee for value, but holds the same for the use of said Edwin D.; that the assignment was never delivered to said Newton T.; that on the 23d July, 1870, there was filed in the register’s office a paper purporting to be an assignment from, and to be executed by, said Mary A. Proctor, of an undivided half of said Eaton mortgage, to Newton Lyon, being the same person who is called Newton T. Lyon, but the assignor not knowing his full name, and the assignee being busy at his work and absent, the middle initial was not inserted; that this was never delivered to said Newton T.; charges that he [353]*353paid no consideration for this, and that it was made without his procurement, and for-the purpose of putting the same beyond the reach of complainants, and to embarrass them in obtaining a remedy.

The bill prays that complainants’ deed of the Branch county property to said ¥m. H. Proctor and Edwin D. Lyon, and the deed from said ¥m. H. Proctor and Lyon and their wives, to Eaton, and the pretended mortgage from-him to Lyon and Mary A. Proctor, the deed of said ¥m. H. to J. N. Proctor, and the said pretended assignments of the mortgage to Newton T. Lyon, may each and all of them be declared and decreed fraudulent and void, as against complainants, and may be cancelled; and that complainants be decreed to be the owners of said Branch county property, and their record title thereto perfected; prays an account of rents and profits, complainants offering to reconvey to said ¥m. H. Proctor any interest it may be claimed they have acquired to the Iowa lands.

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Shook v. Proctor, 27 Mich. 349, 1873 Mich. LEXIS 122 (Mich. 1873).

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