Wagner v. Stroh

294 N.W. 195, 70 N.D. 323, 1940 N.D. LEXIS 176
CourtNorth Dakota Supreme Court
DecidedSeptember 30, 1940
DocketFile No. 6682.
StatusPublished
Cited by7 cases

This text of 294 N.W. 195 (Wagner v. Stroh) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wagner v. Stroh, 294 N.W. 195, 70 N.D. 323, 1940 N.D. LEXIS 176 (N.D. 1940).

Opinion

*325 Burr, J.

Plaintiff brings this action to quiet title to the north half of section 22, township 140, range 60 in Barnes county, claiming to be the owner of this half section; alleging the defendant claims interests, liens, and encumbrances upon the land, among which is “a purported ‘vendor’s lien,’ filed for record in the office of the Begister of Deeds of Barnes county.” lie alleges defendant has no claim or lien or interest in this land, and asks judgment “that the title to said premises be quieted as to all of said claims, and that the, defendant be forever barred and enjoined from asserting the same.”

The answer alleges that the defendant sold this real estate to the plaintiff, and that “there is due and as a part of the purchase price of said real estate the sum of One Thousand Eive Hundred and no/100 ($1,500.00) Dollars, payable at the rate of One Hundred Fifty and no/100 ($150.00) Dollars per year commencing on September 30, 1937; and that the plaintiff here has,wholly failed to pay any part of said One Thousand Five Hundred and no/100 ($1,500.00) Dollars and that there is due the said defendant the sum of Three Hundred and no/100 ($300.00) Dollars for such unpaid purchase price.”

The defendant further claims a vendor’s lien for the unpaid purchase price; and, as a counterclaim, realleges the amount due on the purchase price, alleges that the payments for 1937 and 1938 are due in the sum of $300, and prays judgment for that amount, but does not ask that the lien be established.

The plaintiff denies the allegations in the answer and counterclaim; *326 and in his reply alleges: “The said plaintiff and the said defendant entered into an agreement in words and form as follows :

“ ‘Sanborn, N. Dak.

“‘Sept. 30, 1932.

“ ‘To whomsoever this may concern.

“‘ ‘Know ye that this agreement has been entered into between Leo J. Wagner as party of first part and Mrs. Pions Stroh as party of second part, that party of first part agrees to pay party of second part the sum of Fifteen Hundred dollars (1500.00) in ten equal installments of (150.00) per year for 10 years beginning 5 years from this date with int. at 5% on all past due payments. Providing national conditions warrant between now and that time. That to be decided on by party of first part and party of second part.

“ ‘Leo J. Wagner

“ ‘Witness

“ ‘P. S. Stroh Alice D. Wagner, witness.’ ”

This is reduced to writing and. is known as Exhibit B.

Plaintiff further alleges: “That according to said agreement no payments thereunder were to be made unless national conditions warranted said payments between September 30, 1932, and September 30, 1937, and whether national conditions warranted said payments was to be decided by both this plaintiff and defendant. That at no time since the date of said agreement have national conditions warranted said payments, or any of them, nor have both this plaintiff and defendant so decided. That said agreement was wholly lacking in consideration, it is inoperative, of no force and effect, is not binding on said plaintiff, and there is nothing due and owing said defendant thereunder.”

The trial court made findings of fact and conclusions of law favorable to the defendant, holding that the plaintiff was not entitled to have this vendor’s lien cancelled from the record; that it “is in truth and fact a valid lien for the unpaid purchase price . . . and that the same is in full force and effect and is lien on the above mentioned real estate. . . .

“That said instrument for payment of $1,500 is a valid and binding-obligation against the plaintiff.

*327 “That the defendant is entitled to a judgment for the sum of $300 with interest. . . .

“That the defendant is entitled to a dismissal of the plaintiff’s action, with prejudice. . . .”

Judgment was entered accordingly, and the plaintiff appeals.

In the first specification of error the appellant demands a review of the entire case in this court. Two specifications deal with alleged errors of the court in the introduction of testimony; nine with alleged errors in the findings of fact; four with alleged errors in conclusions of law; and two allege as errors the order for judgment and the entering of judgment for the defendant.

There is little dispute as to the essential facts. The issues center around the negotiations culminating in and the interpretation to be given to the instrument set forth in the plaintiff’s reply, Exhibit B, and we need not discuss the specifications of error seriatim.

Appellant sets forth the facts as he alleges them to be. There is not full agreement as to these, but we summarize his statements as follows:

At one time the defendant owned the land involved. At that time the land was encumbered by a mortgage for $5,000; plaintiff purchased the land in August, 1931, and at that time there was due on the mortgage about $5,500 and delinquent taxes amounting to about $250; the land was deeded to the plaintiff, who assumed this indebtedness and gave the defendant a second mortgage on the land for $2,000; the plaintiff was unable to pay the mortgage, foreclosure was threatened, and plaintiff took steps to refinance the loan. To assist in refinancing, the defendant released her mortgage for $2,000; at the same time, there were negotiations relative to and affecting the debt secured by the mortgage the defendant released; the plaintiff and defendant entered into an agreement whereby plaintiff gave defendant a note for $500, afterwards paid, and the writing known as plaintiff’s Exhibit B; and thereafter the plaintiff made two loans on the land, amounting to $6,300, the proceeds of which were used to pay off the first mortgage and the taxes and to make improvements on the land. Later the plaintiff executed a third mortgage on the land to his brother-in-law; and thereafter the defendant executed an instrument which was denomi *328 nated-a “vendor’s lien,”, and filed tbe same for record in tbe office of tbe Register of Deeds. Thereupon the plaintiff commenced this action.

.There is some dispute in the evidence regarding the circumstances surrounding the execution of Exhibit B. It is clear from the evidence that the release of the mortgage and the surrender of the note secured by the mortgage, together with these negotiations which culminated in Exhibit B, were all parts of one transaction, even though they may have covered some appreciable length of time. The defendant surrendered her mortgage interest and cancelled the note, depending upon the promise made her by the plaintiff when he had Exhibit B drawn up, and thus assisted him in refinancing the indebtedness against the land which he owned. He gave a note for $500 and made an oral agreement with her regarding the remaining $1,500.

When the defendant attempted to testify as to what was said at the time Exhibit B was drawn, plaintiff objected on the ground that it tended to vary the terms of a written instrument, and invoked the rules set forth in §§ 5889 and 5899, Compiled Laws of North Dakota 1913, •to the effect that:

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Bluebook (online)
294 N.W. 195, 70 N.D. 323, 1940 N.D. LEXIS 176, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wagner-v-stroh-nd-1940.