Smith v. Dow

51 Me. 21
CourtSupreme Judicial Court of Maine
DecidedJuly 1, 1862
StatusPublished

This text of 51 Me. 21 (Smith v. Dow) is published on Counsel Stack Legal Research, covering Supreme Judicial Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. Dow, 51 Me. 21 (Me. 1862).

Opinions

The opinion of the Court was drawn up by

Appleton, C. J.

The complainant,' on Jan. 23, 1841, purchased at public vendue two equities of redemption of James Smith, to redeem two mortgages given by him embracing in part the same premises, which were-sold on execution against said Smith, for the gross sum of $246,09. Having this title, he brings this bill against one of the mortgagees and his assigns to redeem the mortgaged premises.

It is urged in defence, that he has no such title as enables him to redeem or as requires these defendants to answer, because it appears by the bill that two equities of redemption were sold for an entire sum — and because such sale is illegal and void.

In Stone v. Bartlett, 46 Maine, 439, the complainant derived his title from a sale of two equities for one entire sum. In reference to such a title, the Court say : —" but the statute regards an equity as an entirety and does not authorize the.sales of numerous equities for one sum. The equities are several, and the sales must be several.” So in Fletcher [23]*23v. Stone, 3 Pick., 250, it was held that two rights in equity of redeeming several parcels of land from several mortgages, when sold on one execution, ought to be sold separately and not for a gross sum, for the debtor has a right to redeem one equity sold and not the other.

While the necessity of several sales as against the debtor is conceded, it is insisted that a joint sale, even if void, as against the debtor, cannot be avoided by strangers — that the mortgagees, and those claiming under them, are such strangers ■— and that they cannot interpose this defect in the complainants to defeat his bill. To support this proposition, reliance is placed upon Fletcher v. Stone, before cited, where it was decided that a joint sale could not be avoided by a stranger.

It is obvious there can be but one equity of redemption of one and the same mortgage, and the person having such equity alone can maintain a bill to redeem — and to him alone is the mortgagee to render his account and release his title. It would seem, therefore, if a sale on execution of two equities for an entire sum was void as against the debtor, he might most assuredly bring his bill against the mortgagee to redeem. If, in such case, the mortgagee could not contest the title of the purchaser, then he may bring his bill ■— and thus the mortgagee might bo liable to two several bills, at the suit of the debtor whose equities were illegally sold, and at that of the individual by whom they were purchased. In other words, this doctrine would sustain two equities of one and the same mortgage, one of which must obviously be null, yet the good and the bad title alike receive the protection of the law. Such a result is.manifestly absurd, yet it is difficult to perceive how the complainant can maintain his bill without coming to this conclusion.

If the sale in gross is inoperative against the debtor, his title is unaffected thereby, and remains in him unimpaired. The sale has not disturbed his rights. If so, he can convey it, and his creditor may seize and sell the same on execution. In such case, the question is, had the judgment [24]*24debtor a title? If it be not so, then the result is, that the debtor may have a title perfect in himself, which he cannot convey, and which his creditor cannot reach, which would be absurd.

In the case of Fletcher v. Stone, the Court say, and correctly, that "there is no clause (in the statute) authorizing or prohibiting the joint sale of two or more equities.” But the right to sell an equity on execution, exists only by statute. If there be no statute authorizing the joint sale of two or more equities, there is no authority for such sale. They are invalid without statutory authority. There is no need of a prohibitory statute to render them so.

In support of the position that a joint sale of several equities for a gross sum is invalid, the Court, in Fletcher v. Stone, say: — "on this point, we are of opinion that the debt- or has a right, by a fair construction of the statute, to redeem one • equity, without redeeming the others, when several equities are sold on the same execution. This construction best agrees with the language of the statute, and generally the right of redemption is to be favorably considered. We think, also, that this right must necessarily be impaired, if not destroyed-, should a joint sale be allowed to be valid as against the debtor. The principle of apportioning the relative value of property, which depends on opinion and is not founded on the basis of certainty, ought not to be resorted to except in cases of necessity.”

The statute of this State, R. S., 1821, c. 60, §§ 17, 18, 19, under which the sale was made, is identical in language with that of Massachusetts, upon which the decision of Fletcher v. Stone was based. In the correctness of the views above cited we entirely concur. To sanction joint sales of numerous equities for one sum would defeat the debtor’s conceded right of redeeming each equity at its own specific price as sold on execution.

It will thus be perceived that, nearly forty years ago, a joint sale of numerous equities for an entire sum was held to be void as against the judgment debtor. But, if void as [25]*25against him, how can it be valid as against any one? The rights of the purchaser depend upon a strict compliance with the provisions of the'statute. The statute gives authority to sell several equities jointly and for a gross sum, or it does not.' If it does not, then no title whatever can bo acquired by proceedings unauthorized by law. If it does, then the debtor cannot defeat the title thus conveyed. The sale is not invalid as to the debtor and valid as to every body else. The officer can, or he cannot, legally sell numerous equities for a gross sum. If ho can, how can the debtor avoid the sale? If he can avoid it, it must be for defects in his procedure — that is, because the several equities should have been sold for distinct sums ; — and, if so, the right of avoidance is equally with his grantee or his judgment creditors. The sale of numerous equities on execution for an entire sum, if unauthorized by statute, is as invalid as would be that of the fee at auction. The consent of the debtor can no more confer authority upon an officer to sell than it can jurisdiction upon the Court to decide.

The sale cannot be both valid and invalid — valid when the debtor chooses so to consider it — invalid when he declines to give his assent. The statute gives authority to sell, as in the present case, or it does not. If it does, neither the debtor nor any one else can treat the sale as null. If it does not, all may. The debtor can avoid only because it is a nullity. If null as to him, all others may with equal success contest its validity.

The Court say truly, in Fletcher v. Stone, that, as against the debtor, the authorizing a joint sale of equities would deprive the debtor of his right of redeeming a particular mortgage, from the impossibility of determining the precise sum for which it was sold, and which should be tendered for its redemption. Hence, it was decided, that the sale should not be in that mode — or, if so made, that as to the debtor, he might avoid them. If he can, it has been seen that the right of contesting their validity cannot be limited to bim alone.

Further, it is obvious that where numerous equities are [26]

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51 Me. 21, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-dow-me-1862.