Southern Railway Co. v. Gregg

43 S.E. 570, 101 Va. 308, 1903 Va. LEXIS 35
CourtSupreme Court of Virginia
DecidedMarch 12, 1903
StatusPublished
Cited by11 cases

This text of 43 S.E. 570 (Southern Railway Co. v. Gregg) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Southern Railway Co. v. Gregg, 43 S.E. 570, 101 Va. 308, 1903 Va. LEXIS 35 (Va. 1903).

Opinion

Whittle, J.,

delivered the opinion of the court.

There is practically no controversy in respect to the facts involved in this appeal. It appears that in the year 1869 the Alexandria, Loudoun & Hampshire Railroad Company instituted proceedings in the County Court of Loudoun county to condemn certain lands situated therein upon which its proposed road was to be located. In September, 1870, the commissioners appointed for that purpose reported that .the lands of appellee, Gregg, proposed to be taken by the company foi its purposes contained three acres, three roods and seven poles, [310]*310and ascertained that $296.09 would be a just compensation therefor. The report was confirmed February 14, 1871, on motion of the Washington & Ohio Railroad Company, the successor of the Alexandria, Loudoun & Hampshire Railroad Company, but was not recorded in the clerk’s office until February 11, 1895. The new company succeeded to all the rights of the original company, and, in the year 1874, without having paid the compensation allowed by the commissioners either to appellee or into court, entered upon the land in controversy and proceeded to construct its road thereon. The company took possession of the land without asking or obtaining the permission of appellee; but he interposed no objection to the entry.

It further appears that appellee has never received any compensation for the property taken by the company, and did not intend to waive his rights by tacitly permitting it to take possession of his land. On the contrary, he from time to time made demand upon the superintendents of the various companies for payment of the amount which had been allowed him. These officials admitted that the claim was justly due, and promised to settle it, but never did so. The last demand was made on the superintendent of the Southern Railway Company, only a year Or two before the commencement of this suit, but it does not appear that he acknowledged liability on the part of that company.

While the authority of these officers to bind their respective companies was not proved, they nevertheless promised to pay the damages, and that circumstance at least shows that appellee did not intend to waive his rights.

Appellee was in the employment of the Washington & Ohio Railroad Company and its successors, as depot agent, from the time the company first commenced to'do business until Hovember, 1899. He had a small family dependent on him for support, and was in easy circumstances, while the company, on the contrary, was in great financial stress. About the year 1877 a [311]*311lien creditors’ suit was instituted against it, and the road was subsequently sold and reorganized under the name of the Washington & Western Eailroad. The last-named company having made default in the payment of the purchase money, the property was again sold, and the company reorganized as the Washington, Ohio & Western Eailroad. That company mortgaged the road, and operated it until the year 1894, when the property was conveyed to appellant, the Southern Eailwav Company.

Appellee was not made a party to the lien creditors’ suit, and was not called on to report his claim therein. He did-not even know in what court the suit was pending, but heard or read hi a newspaper that the road had been decreed to be sold.

In the year 1900 appellee filed a bill in equity in the Circuit Court of Loudoun county against appellant and others to subject the land in controversy to sale for - the satisfaction of the compensation allowed him by the commissioners in the condemnation proceedings, to-wit, the sum of $296.09, with interest thereon from July 1, 1874.

There was a demurrer to the bill, and also two pleas of the? statute of limitations, the one setting up a limitation of three? years, and the other a limitation of five years in bar-of a recovery.

• In its answer the Southern Eailway Company avers that it is not advised whether the amount claimed by appellee was ever paid; but insists that, at the date of its purchase, it found those under whom it claims in possession of the land, and presumed, and had a right to presume, that the law had been complied with, and that possession had been transferred from appellee to them by virtue of payment of the compensation allowed. But that if said damages have not been paid, appellee has waived his right to the same against appellant, a-purchaser for value and without notice.

It further denies that appellee has a vendor’s lien, or a lien in-the nature of a vendor’s lien, on the land for the amount of [312]*312Lis demánd. And it insists that if all the allegations of the bill are true, appellee’s claim amounts to a mere personal right of action against the Washington & Ohio Kailroad Company.

The answer also relies on the presumption of payment from lapse of time, and laches. The deposition of appellee was taken, and at the hearing the Circuit Court overruled the demurrer and the two pleas of the statutes of limitations, and established the demand of appellee as a lien on the land in controversy. The last decree in the case provides for a sale of the land, unless the lien, with interest and costs, is paid within sixty days. To these decrees an appeal was allowed by one of the judges of this court.

It is conceded that the statute of limitations has no application to appellee’s demand, and that there was no error in the action of the court in overruling the pleas which interposed that defence.

On the demurrer the contention is that appellee has no lien on the land in controversy, and for that reason a court of equity is without jurisdiction in the premises, and the demurrer ought to have been sustained. The soundness of that contention will be considered .in connection with the merits of the case.

In the condemnation proceedings the appellee bore the relation of an enforced vendor to appellant’s predecessor in title, the Washington & Ohio Kailroad Company, and their respective rights in regard to the property must be determined in the light of the acknowledged principle of universal law, that private property cannot be taken for public use without just compensation (2 Kent’s Oom. 339), and of the statutory enactment, regulating-such proceedings, found in section 1019 of the present Code, that “The sum so ascertained to be a just compensation may be paid to the person entitled thereto, or in court.

“Upon such payment the title to the part of the land for which such compensation is allowed shall be absolutely vested in the company ... in fee simple.” The essential ele[313]*313ment of this extraordinary mode of acquiring title to real estate is the payment of the sum ascertained to be a just compensation. That requirement is a condition precedent, and as indispensable to divest the title of the owner as is a conveyance between an ordinary vendor and vendee. Until that condition is complied with he remains as completely invested with title and occupies as high a plane in respect to the property as does an ordinary vendor who has retained title as security for the purchase money. That being the inevitable result of the principle adverted to and the statutory provision, the rules appli- . cable to this case and to the case of an ordinary vendor and vendee are analogous, if not identical.

These principles are well settled and familiar to the profession.

Mr.

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Bluebook (online)
43 S.E. 570, 101 Va. 308, 1903 Va. LEXIS 35, Counsel Stack Legal Research, https://law.counselstack.com/opinion/southern-railway-co-v-gregg-va-1903.