Union Mutual Life Insurance v. Slee

123 Ill. 57
CourtIllinois Supreme Court
DecidedJune 17, 1887
StatusPublished
Cited by16 cases

This text of 123 Ill. 57 (Union Mutual Life Insurance v. Slee) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Union Mutual Life Insurance v. Slee, 123 Ill. 57 (Ill. 1887).

Opinion

Mr. Justice Scholfield

delivered the opinion of the Court:

We think that the evidence in the present record, in respect of Slee’s right to redeem from the insurance company, is not so materially different from that in the record when the case was here before, (Union Mutual Life Ins. Co. v. Slee, 110 Ill. 35,) as to call for a different conclusion from that then reached, and there is, in our opinion, too little ground for controversy in this respect to require a recitation or discussion of the evidence.

The question then occurs, is Slee barred of this right by the conveyances by the insurance company to Averill, by Averill to Thomas, and by Thomas to the railroad company ? It is not claimed that Slee has, since the trustee’s sale, conveyed his equity of redemption, but it is claimed that Averill is a purchaser in good faith, without notice of Slee’s equity.

The deed of the insurance company to Averill was acknowledged on the 20th of April, 1880, but previously, on the 4th of June, 1879, Slee had executed, acknowledged and placed on record a deed declaring that the title of the insurance com,'pany to this property was in trust for himself. Averill was, in 'fact, as was also Thomas, an agent for the railroad company, and he negotiated with Warfield, an agent of the insurance company, for the purchase of the property. Slee testified that he notified Averill several times before the negotiations were concluded, that the property belonged to Slee, and that he was the proper party with whom to negotiate. Other evidence shows that Slee’s declaration of trust was brought to the attention of Averill, and other agents of the railroad company interested, before the negotiations were concluded, and we think the fact fully established by the evidence that the purchase was made by the railroad company, and that the deed of the insurance company was executed and accepted, with full knowledge in the railroad company that Slee claimed the right to redeem, and that the interest of the insurance company in the property was only that of mortgagee.

But it is contended on behalf of the railroad company, first, that the insurance company, in negotiating this sale and in conveying the property to Averill, acted under authority from Slee, and with his consent,—that the price at which the# property was sold was fixed by Slee, and the sale was made to reduce his indebtedness to the insurance company, and that Slee is therefore estopped to claim a right to redeem; second, that by the proceedings in the;, original cause Slee has affirmed the sale to the railroad company, and its title under the conveyance ; and third, the agreement between Slee and the insurance company was not a mortgage, but an agreement to reconvey. In our opinion neither of these positions is tenable.

First—Counsel for Slee deny, in the first place; that Slee, in fact, ever promised that he would convey to Averill, or that he authorized or consented to the sale to him, and Slee himself so testified. But Warfield and Gallery testify that he gave his consent that the property might be sold if it could be sold for the price which Averill paid for it, and it is perhaps proper to say that the preponderance is that way. Assuming that view to be maintained, counsel for Slee then insist upon the Statute of Frauds, as they did in the court below, as being a complete defence to this contention of the railroad company,—Slee having given no authority nor made any promise in writing in regard to the sale or conveyance of the property. Counsel for the railroad company, however, reply to this, that Slee is equitably estopped to deny the sale, and this, therefore, is the only inquiry to which our attention need be directed on this point.

The rule quoted by counsel from Smith v. Newton, 38 Ill. 235, and International Bank v. Bowen, 80 id. 545, we accept as sufficiently accurate for the present question. It is: “Whenever an act is done or a statement made by a party which can not be contradicted or contravened without fraud on his part and injury to others whose conduct has been influenced by the act or admission, the character of an estoppel will attach to what would otherwise be mere matter of evidence.” This, it will be observed, requires that the act done or statement made shall have induced action which would not otherwise have been taken, and that the party so acting shall be injured by a repudiation of the act done or statement made. The evidence here, in our opinion, does not bring this case within these requirements.

It has been seen that the negotiations on the part of the insurance company were conducted by Warfield. He testified that Averill made application to him to buy the property, and inquired the price; that witness replied that the price was $3500; that Averill then said he would give $300 for the refusal of that price for a stated time; that Warfield communicated this offer to Slee, and Slee was not satisfied with the price; that Slee then said, if Warfield could get a sufficient amount for the property to reduce his indebtedness to the insurance company to $3000, he would approve the sale and give a quitclaim deed. As the insurance company figured up the indebtedness of Slee at $1680, this would require the property to be sold for $4680. Warfield then notified Averill that he could have the property for $4680, and, with the insurance company’s deed, a quitclaim also from Slee. Averill accepted the offer. The insurance company executed a quitclaim to Averill, but Slee refused to do so. Then, before any deed was delivered or payment made, an agreement in writing was entered into, which is hereafter set out. Warfield, among other things, said: “The contract was executed at the suggestion of Averill, as we did not have a quitclaim from Mr. Slee.” And Crawford, agent for the railroad company, testified, speaking of Slee’s claim to the property and his refusal to quitclaim: “I thought, from the statement and the looks of it, that the insurance company’s title was good, but took this precaution of the agreement in case anything should develop in any litigation that might come up as between them,” (i. e., the insurance company and Slee,) “and at the time decided to go on with the condemnation proceeding.” And again he said: “When this contract was executed by the insurance company I authorized the sale, and it was closed by the delivery of the papers to Averill, and his payment of the money.” The agreement reads as follows:

“Memorandum of Agreement

Made this 24th day of March, A. D. 1880, between the Union Mutual Life Insurance Company and Albert J. Averill:

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Bluebook (online)
123 Ill. 57, Counsel Stack Legal Research, https://law.counselstack.com/opinion/union-mutual-life-insurance-v-slee-ill-1887.