Sixto v. Diaz

3 P.R. Fed. 208
CourtDistrict Court, D. Puerto Rico
DecidedNovember 8, 1907
DocketNo. 314
StatusPublished

This text of 3 P.R. Fed. 208 (Sixto v. Diaz) is published on Counsel Stack Legal Research, covering District Court, D. Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sixto v. Diaz, 3 P.R. Fed. 208 (prd 1907).

Opinion

Rodey, Judge,

delivered tbe following opinion:

This is a bill in equity to foreclose an alleged mortgage lien upon a piece of property or plantation known as “Monte Santo,” containing some 430 cuerdas of land, situated in the island of Vieques, in Porto Rico. It is another phase of a now somewhat famous case in this and the insular courts, which has, at various times, occupied the attention of such tribunals for more than fifteen years last past, — one branch of it having been carried to the Supreme Court of the United States (Sixto v. Sarria, 196 U. S. 175, 49 L. ed. 436, 25 Sup. Ct. Rep. 186), where Mr. Justice Day, of that court, has set out in the opinion a statement of the essential parts of the controversy. We had occasion to consider another portion of it between this same complainant and Maria Melendez Maldonado, the mother of his half sister (Equity, No. 159), wherein we filed a somewhat extensive statement of facts and made various findings of law. (See opinion in files.)

Manuel Sixto died in November, 1892, at said Vieques, leaving, as it transpired, as his only heirs at law, two natural [210]*210children by different mothers, — the complainant and his half sister, Maria Belen Sixto.

Some six months before his death, said Manuel Sixto had sold this “Monte Santo” ranch or plantation to one Laureano' Sarria for 16,000 pesos, Porto Bican currency, payable with interest in instalments of 4,000 pesos per annum, running through 1893, 1894, 1895, 1896, inclusive. It seems that there-was little or nothing paid of the purchase price by Sarria Rt the time of the making of the deed, and he therefore gave a mortgage back to the said Manuel Sixto to secure the same in payments as aforesaid, both of which instruments, or perhaps the single instrument, embracing both contracts, whichever it may have been, was thereafter duly recorded. This particular debt,, the mortgage, and the land included therein, are the matters in controversy in this particular phase of the litigation between these parties.

Although she knew all about the existence of this half brother of hers, the daughter, Maria Belen Sixto, shortly after the-father’s death, went into the local courts and had herself declared heir ab intestato of her said father; but the court in the-, order made the declaration specifically, “without prejudice to> third parties.” This complainant shortly thereafter proceeded in the same court in an effort to have himself declared, jointly with her, heir ab intestato of his said father. His application was denied on the ground that he must bring a contentious suit, directly against his said half sister. He appealed from this, denial, but afterwards abandoned it, and shortly thereafter, in April, 1894, filed the contentious suit suggested by the court. This half sister, on April 26, 1904, at a time when she was properly in possession of her father’s estate and empowered to col-[211]*211leet its debts (see Sixto v. Sarria, supra), collected and canceled of record one balf of tbis Sarria mortgage debt.

In June, 1891, the complainant here caused a cautionary notice under the mortgage law of Porto Rico to be entered in the proper registry of property to protect his rights in this particular “Monte Santo” ranch or plantation. It appears that the complainant lost his suit in the court of original jurisdiction, and, on motion made therein by his said half sister, an order was issued to the registrar of property, canceling the cautionary notice theretofore filed against the property in question. Complainant immediately, or practically so, took an appeal from the action of the court as to his application to be declared an heir, and as to the action of the court in canceling the cautionary notice, but unfortunately omitted to cause any notice of this appeal to be noted in the registry of property at any time thereafter up to the present time. It is not claimed, nor was it shown in the cause, that this respondent, who claims to be an innocent purchaser for value, without notice of complainant’s alleged rights, ever had any actual knowledge of the appeal; on the contrary, the contention being that he is in law charged with constructive notice thereof from the mere fact that the cautionary notice showed the commencement of a suit, and that the cancelation thereof did not necessarily indicate that the suit was ended, and that respondent was put upon inquiry as to what became of the suit thereafter, and bought the property at his peril.

In September, 1893, the half sister sold and duly assigned the remaining two payments due upon this mortgage, amounting to some 8,000 pesos and interest, to one Antonio Eoig, and the latter promptly notified Sarria, the maker, of his purchase of the same, and afterwards sued him for one of the payments. [212]*212It appears further that Sarria thereafter paid both these remaining payments to Boig, and secured, in May, 1896, from him as the assignee thereof, a complete acknowledgment of payment, and, it is claimed, consequent cancelation of the mortgage, all of which was duly entered of record in.said registry office, and this apparently left the property standing free in Sarria’s name.

Several years thereafter, in September, 1899, the higher Spanish court in Porto Rico reversed the lower court as to its refusal to declare complainant an heir ab intestato to his father’s estate equally with his sister, and also reversed it as to its action in canceling the cautionary notice referred to. Complainant, however, so far as appears, never caused this fact to be noted of record in the registry, or, so far as the evidence shows, caused any notice of it to be brought to the respondent. Some four years thereafter, in 1903, Sarria and wife, being apparently, and according to the records during all that time, the owners of the property in question, free from all encumbrances, sold the same with other property to this respondent for the sum of $30,000, American gold.

This suit was filed in June, 1905, more than two years after this latter transfer. The respondent in his answer sets up the fact that he is an innocent purchaser for value, without notice of any of the equities of the complainant, if any exist, and sets out a memorandum of the entries in the registry showing the several deeds, mortgages, assignments, cautionary notice, and the cancelation thereof, which latter is absolute in form and gives no intimation of any appeal. The result of these entries is to apparently vest the complete fee-simple title in Sarria immediately upon the payment of the balance due on the mortgage to Eoig in May, 1896, some seven years before respondent purchased it.

[213]*213On tbe trial, records and deeds were introduced by both sides, which fully prove the allegations as to these several transfers and the statements herein made, but no evidence was introduced in the cause to show any actual notice on the part of the respondent of this appeal or of the heirship or even the existence of the complainant. It will be noticed that the deed by which this respondent purchased the land in question is dated in 1903, nearly ten years after the date upon which his said half sister was declared an heir db intestato of their father, and nearly double the. time (five years) which the Supreme Court of the United States in Sixto v. Sarria, 196 U. S. 175, 49 L. ed. 436, 25 Sup. Ct. Rep.

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Related

Tilton v. Cofield
93 U.S. 163 (Supreme Court, 1876)
Sixto v. Sarria
196 U.S. 175 (Supreme Court, 1905)
Romeu v. Todd
206 U.S. 358 (Supreme Court, 1907)

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Bluebook (online)
3 P.R. Fed. 208, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sixto-v-diaz-prd-1907.