State Exchange Bank v. Iblings

190 Iowa 1045
CourtSupreme Court of Iowa
DecidedFebruary 9, 1921
StatusPublished
Cited by6 cases

This text of 190 Iowa 1045 (State Exchange Bank v. Iblings) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Exchange Bank v. Iblings, 190 Iowa 1045 (iowa 1921).

Opinion

De G-raee, J.

— Originally plaintiff instituted an action at law against the defendants on a promissory note for $822.55, with interest, and subsequently an amended and substituted petition in equity was filed, in which judgment was asked for the amount due on said note, and for the foreclosure of a lien which plaintiff claimed to have upon the real estate of which defendants were dispossessed.

Defendants filed an amended and substituted answer and counterclaim in eight different counts, some of which were later withdrawn by the defendants, and some were eliminated by the rulings of the court.

Count IV of defendants’ counterclaim presented the issue whether the plaintiff bank, in the redemption of the sheriff’s certificate of sale of the land in question, charged the defendants $1,333.87, or the sum of $1,200. Count V, as amended, presented the issue whether the plaintiff bank, acting as the agent of the defendants to make redemption from the sheriff’s sale, made such redemption with the intent to defraud defendants, and thereby caused damages to said defendants. Upon the trial of this cause, plaintiff bank confessed liability in favor of defendants in the amount of $133.87, with interest, without admitting any of the allegations contained in Count IV of defendants’ counterclaim.

The jury, in answer to special interrogatories submitted, found that the reasonable rental value of the premises for the time in question was $81.67, and that the reasonable value of the crops and vegetables growing on said premises was $300, and [1047]*1047assessed exemplary damages in the sum of $3,750. Through error in computation, the jury, in answer to Special Interrogatory 3, allowed actual damages on certain claims in the sum of $850. The trial court required the defendants to remit this sum (which was done), and judgment was entered against plaintiff bank in the sum of $4,278.94.

Briefly stated, the material facts of this case are as follows:

• The defendants were the owners of an 8-acre tract of land near the town of Parkersburg, Iowa, and for a long time had been clients of the plaintiff bank. On the 26th day of November, 1915, the 8-acre tract was sold to one Ralph B. Slippy, for the sum of $1,301.87, on a general execution, and a sheriff’s certificate of sale issued accordingly. On March 1, 1916, the defendants moved onto this land, and made it their home. About this time, C. C. Wolf, cashier of the plaintiff bank, learned of the embarrassing financial condition of the defendants and of the existence of the sheriff’s certificate of sale. After some conversation between Wolf and the defendant O. A. Iblings, arrangements were consummated whereby the certificate of sale held by Slippy should be purchased and the claim satisfied, and for this purpose the bank was authorized to use the funds of the defendants then on deposit in plaintiff bank, which amounted to $3,228. It further appears that, pursuant to this agreement, on March 15, 1916, the bank paid Slippy $1,200 from the defendants’ funds, and took an assignment in blank of the certificate of sale, charging the account of defendants in the sum of $1,333.87.

Subsequently, and without authority from defendants, Cashier Wolf inserted the name of the plaintiff bank in the assignment, and, on July 10, 1917, presented this certificate of sale to the sheriff, who issued a sheriff’s deed to the plaintiff. On the 4th of August, 1917, the plaintiff, by an action of forcible entry and detainer, obtained judgment of ouster against these defendants, and four days later, the defendants were, in fact, ousted from the possession of the premises by the constable of the justice court issuing the writ. Thereupon, plaintiff leased the land to one Knipp, at which time there was on the premises a crop consisting mostly of corn, garden truck, and vegetables. On August 8, 1917, defendants made a written demand on the plaintiff bank [1048]*1048for a return and a reconveyance of the tract of land, which was refused by the plaintiff.

Prior to the trial of this cause, plaintiff filed its substituted petition in equity, alleging that it held the premises in question “as security” for the payment of the obligations of the defendants to the bank, represented by the promissory note upon which the plaintiff originally sued. The defendants then amended Count Y of their counterclaim, and asked for actual and exemplary damages, in that “the plaintiff wrongfully and maliciously dispossessed the defendants from said premises.”

Plaintiff bank offers as its excuse and justification for the appropriation of the defendants’ real estate in the manner in which it was done, that the defendant C. A. Iblings had previously told Cashier Wolf that he might want to borrow money from the bank, and that, if he did, the bank could hold the certificate of sale as security; that, on the strength of this oral arrangement, the bank had loaned the defendants $882 on their promissory note. It is admitted, however, and the record so shows, that no such arrangement or agreement was ever had with defendant Mattie Iblings, who at that time held the title to the homestead. Furthermore, the husband denies that there ever was such an arrangement or agreement.

The primary contentions relied upon by appellant for reversal are: (1) That the judgment of ouster in the forcible entry and detainer action constituted an adjudication as to the right of possession of the real estate. (2) That the defendants are estopped, by reason of their acts and conduct, from claiming damages. (3) That the defendants’ counsel were guilty of misconduct in argument to the jury. (4) That the exemplary damages awarded by the jury are unwarranted.

These contentions necessarily involve the correctness of the rulings of the trial court in the admission and exclusion of testimony and the instructions given and refused by the court.

i forcible SSker-A defeat judgment. I. Does a judgment by default in an action of forcible entry and detainer constitute a bar to a claim for damages, when the ouster is predicated on the fraud of vlo^ntif in securing his apparent right to mstitute the action?

Plaintiff’s claim on the error assigned is that “defendants [1049]*1049pleaded a cause of action barred and estopped by the judgment of the justice court, wherein the plaintiff was adjudicated to have the right of possession of the property in question, and under whose order it was placed in possession thereof, and that, rightful possession of said property by the plaintiff having been determined and adjudicated by a court having jurisdiction of the parties and of the subject-matter, such possession could not, therefore, be made a basis of a claim for damages on the theory of wrongful possession.”

The fallacy of this claim is in the line that “the plaintiff was adjudicated to have the right of possession of the property in question.” The action of forcible entry and detainer is a summary proceeding, and the only question involved is the fact of possession. This action cannot be made a substitute for an .action of right. Herkimer v. Keeler, 109 Iowa 680. The right of possession cannot be determined in an action of forcible entry and detainer. The question involved is the fact of possession, not the right. Cagwin v. Chicago & N. W. R. Co., 114 Iowa 129; Delmonica Hotel Co. v. Smith, 112 Iowa 659; Denecke v. Miller, 142 Iowa 486.

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Bluebook (online)
190 Iowa 1045, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-exchange-bank-v-iblings-iowa-1921.