Swift & Co. v. First National Bank

132 S.E. 99, 161 Ga. 543, 1926 Ga. LEXIS 296
CourtSupreme Court of Georgia
DecidedJanuary 13, 1926
DocketNo. 5087
StatusPublished
Cited by6 cases

This text of 132 S.E. 99 (Swift & Co. v. First National Bank) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swift & Co. v. First National Bank, 132 S.E. 99, 161 Ga. 543, 1926 Ga. LEXIS 296 (Ga. 1926).

Opinion

Hines, J.

John M. Sims by his will devised and bequeathed his real and personal property-to his wife for life or widowhood, and, in the event she should marry, then and in that event all his property should be divided between his living children or those children and his wife, share and share alike. The wife conveyed the lands so devised to the First National Bank of Barnesville, the Barnesville Bank, and W. C. Jordan, to secure debts due by her to these parties; and in these conveyances she dealt with these lands as if she were their owner in fee simple. To the March term, 1934, of Lamar superior court she and her children brought their equitable petition against the grantees in said conveyances, to set aside and cancel the wife’s conveyances to them of these lands. In their answers, and by way of cross-actions, the above parties set up their claims and liens under the wife’s conveyances to them, and prayed that they be declared liens on her interest therein according to their priority. At the hearing at the March term, 1935, a verdict and [545]*545judgment were rendered in favor of these parties, in which liens in their favor were set up and decreed to be binding upon the life-estate of the wife in these lands, except as to a tract of ninety acres which had been set aside as a year’s support for the widow and minor children, which was subjected in full to the claims of these parties according to the respective priorities fixed in the decree. After the rendition of said decree, the widow of the testator remarried, and by this fact her life-estate in said lands ceased and determined; and she became entitled to an absolute one-seventh undivided interest in said lands. On August 1,1925, Swift & Company had levied a common-law fi. fa., junior in date and priority to the above conveyances and to the claims of the grantees therein and thereby secured, upon the one-seventh undivided interest of the wife of testator in one tract of said lands, and were advertising the same for sale. The First National Bank of Barnesville, the Barnesville Bank, and W. C. Jordan filed their petition against Swift & Co., the sheriff, and wife and children of the testator, in which they alleged the foregoing facts, and prayed: (1) that Swift & Co. and the sheriff be enjoined from selling said lands under said levy; (2) that the decree aforesaid in their favor be so amended that their several liens and judgments be decreed to be enforced against the one-seventh • undivided interest of the widow of the testator in said lands; (3) that the enforcement of the decree proceed against the widow in her present name; (4) that process issue; and (5) that they have such relief as may seem right and equitable between the parties. To this petition Swift & Co. demurred on the grounds: (1) that it set forth no cause of action; (2) that the plaintiffs were not entitled to the equitable relief prayed; (3) that Swift & Co. were improperly joined as a defendant in this case; and (4) that plaintiffs do not allege any diligence in discovering, and including in the original decree, the provision of the will that title to a one-seventh undivided interest would vest in the widow of the testator upon her marriage, it not being alleged that plaintiffs did not know of this provision at the time said decree was rendered. These defendants further demurred to the paragraph of the petition referring to this decree, on the ground that a copy of the decree was not attached thereto. The trial court overruled the demurrer, and to this judgment the defendants excepted.

[546]*546The defendants in their answer, when taken in connection with the pleadings in this case and the record in the former equitable proceeding, raised no issue of fact. Afterwards, but on the same day on which the demurrer was overruled, the court passed an order' amending the decree in the former equitable petition, as prayed, which order was made without the introduction of any evidence, without the intervention of a jury, and without the agreement and consent of counsel for Swift & Co. To this order amending said decree Swift & Co. excepted on the ground that the same was contrary to law, and that the judge should have refused to amend the decree in the former case, as prayed.

Does the petition set forth a cause of action? The widow conveyed to the plaintiifs absolute estates in the lands involved in this litigation, to secure debts due by her to them. Between her and the plaintiifs these conveyances created liens upon absolute estates. But at the date of these conveyances she did not own absolute estates in this realty. Under her husband’s will she only had estates for life therein, subject to be defeated by her remarriage, 'in which event she would become entitled to a one-seventh undivided interest in fee simple in this property. In this situation she and her six children filed her equitable petition to have set aside and canceled her convejranees of these lands to the plaintiffs. In answer to this proceeding, and by way of cross-action, the plaintiffs set up their claims and liens under the above conveyances by the widow to them, and prayed that these claims might be decreed to be liens upon whatever interests or estates she had therein. The plaintiffs prevailed, and a decree tras rendered in their favor, declaring that they had liens under their conveyances upon the life-estate of the widow in these lands. Thereafter the widow married. Ipso facto she became divested of her life-estate in this realty; and the liens of the plaintiffs under said decree on her life estate became inoperative. But did not the plaintiffs still have, under their conveyances, liens upon her one-seventh undivided interest therein, of which she became seized in lieu of her life-estate by reason of her marriage? Her conveyances were broad enough to convey this interest. When her life-estate fell in and she became entitled to an absolute estate in these lands, her title to the latter inured to the benefit of her grantees.

Where one who owns only a life estate in lands mortgages or [547]*547conveys the absolute estate therein to secure debt, and afterwards acquires an estate in fee in such lands, the mortgage can be foreclosed against his absolute estate therein. After-acquired title by the mortgagor inures to the benefit of the mortgagee, and the mortgage lien attaches against the mortgagor the moment the mortgagor’s title is acquired or'becomes vested. Hill v. O’Bryan, 104 Ga. 137 (30 S. E. 996); Wood v. Dozier, 142 Ga. 538, 540 (83 S. E. 133). If the plaintiffs had not obtained a decree foreclosing their liens upon her life-estate in these lands, we think no one would question their right to foreclose their liens upon her one-seventh undivided interest in fee in this property. Does the former decree of foreclosure bar the plaintiffs from foreclosing their liens against this interest?

It is urged by counsel for the plaintiffs in error that the original decree of foreclosure exhausted the right of foreclosure; and that that decree can not now be amended or changed so as to fix these liens upon this undivided one-seventh interest of the testator’s widow in these lands. In support of this position counsel cite Strickland v. Lowry National Bank, 140 Ga. 653 (79 S. E.

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Bluebook (online)
132 S.E. 99, 161 Ga. 543, 1926 Ga. LEXIS 296, Counsel Stack Legal Research, https://law.counselstack.com/opinion/swift-co-v-first-national-bank-ga-1926.