Weber v. Eisentrager

490 N.W.2d 131, 1992 Minn. App. LEXIS 904, 1992 WL 202577
CourtCourt of Appeals of Minnesota
DecidedAugust 25, 1992
DocketNo. C7-92-373
StatusPublished
Cited by1 cases

This text of 490 N.W.2d 131 (Weber v. Eisentrager) is published on Counsel Stack Legal Research, covering Court of Appeals of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Weber v. Eisentrager, 490 N.W.2d 131, 1992 Minn. App. LEXIS 904, 1992 WL 202577 (Mich. Ct. App. 1992).

Opinions

OPINION

HARTEN, Judge.

Appellants Grace E. Weber and Mary E. Peters challenge a trial court’s award of title to real estate to respondent Roy Eisen-trager. The trial court ruled that the Marketable Title Act extinguished appellants’ claim to the property. We affirm.

FACTS

In 1933, appellants’ father, sole owner of the realty at issue, died intestate. The probate court awarded appellants’ mother a life estate in the property and appellants ■ the remainder. Appellants were unaware of their interest in the property. The record does not reveal the reason for appellants’ lack of knowledge; while bad faith was argued to the trial court, it is not argued on appeal.

Appellants’ mother married respondent and the couple lived on the property. In 1949, appellants’ mother and respondent executed a warranty deed conveying the property to a strawman who immediately quitclaimed the property back to appellants’ mother and respondent as joint tenants. A year later, the deeds were recorded.

In 1980, while placing their mother in a nursing home, appellants learned that they had a remainder interest in the property. Appellants consulted with “several attorneys” about their interest and at one time attempted to insure the property separately from respondent. Appellants did not, however, record any document regarding their claim to the property and respondent continued to live on the property after appellants’ mother entered a nursing home.

In June 1991, appellants’ mother died. Appellants wanted to sell the property. They served respondent with a notice to vacate. When respondent failed to vacate, appellants sued, alleging that based upon their remainder interests, they were entitled to the property. Respondent counter[133]*133claimed alleging entitlement to the property as the surviving joint tenant. Upon agreed facts, both parties moved for summary judgment. After a hearing, the trial court ruled that because appellants did not file a notice of their claim within 40 years of the straw transaction, and because appellants were not in possession of the property, they were conclusively presumed to have abandoned their claim to the property under the Marketable Title Act.

ISSUE

Did the trial court err in granting respondent summary judgment on the ground appellants’ claim was barred by the Marketable Title Act?

ANALYSIS

On appeal from summary judgment, this court asks “whether there are any genuine issues of material fact” and “whether the trial court erred in its application of the law.” Offerdahl v. University of Minn. Hosps. & Clinics, 426 N.W.2d 425, 427 (Minn.1988). We look at the evidence in a light most favorable to the party against whom summary judgment was entered. Id. Because the facts in this case are not disputed, the questions appealed are legal and we are not bound by the trial court’s legal conclusions. A.J. Chromy Constr. Co. v. Commercial Mechanical Servs., 260 N.W.2d 579, 582 (Minn.1977).

The Marketable Title Act (MTA) states: As against a claim of title based upon a source of title, which source has then been of record at least 40 years, no action affecting the possession or title of any real estate shall be commenced * * * to enforce any [claim] founded upon any [event] which [occurred] more than 40 years prior to the commencement of such action, unless within 40 years after such [event] there has been recorded * * * a notice sworn to by the claimant or the claimant’s agent or attorney setting forth the name of the claimant, a description of the real estate affected and of the [event] on which such claim is founded, and stating whether the [claim] is mature or immature.

Minn.Stat. § 541.023, subd. 1 (1990). Here, appellants knew of their interest in the property at least 10 years before expiration of the statutory 40 year period, and consulted counsel about it, but did not record notice of their claim.

There are two basic requirements necessary to extinguish an interest in land under the MTA:
“First, the party desiring to invoke the statute for his own benefit must have a requisite ‘claim of title based upon a source of title, which source has then been of record at least 40 years,’ (i.e. a recorded fee simple title). Secondly, the person against whom the act is invoked must be one who is ‘conclusively presumed to have abandoned all right, claim, [and] interest * * * in the property [under Minn.Stat. § 541.023, subd. 5].’ ”

Padrnos v. City of Nisswa, 409 N.W.2d 36, 38 (Minn.App.1987), pet. for rev. denied (Minn. Sept. 23, 1987) (quoting Wichelman v. Messner, 250 Minn. 88, 112, 83 N.W.2d 800, 819 (1957)). Appellants allege there is no “source of title” in this case because the warranty deed was executed by a life tenant. Appellants also argue that they did not abandon their claim to the property.

1. Source of Title. The trial court stated, “[Respondent] has had a source of title in the property for forty years through the quitclaim deed from the straw person.” The trial court noted that respondent argued that the strawman conveyances should have put appellants on notice of his claim. The trial court continued:

This concept, seemingly violative of black letter law, vests fee simple title with [respondent] under the MTA. * * * The title from the straw person is the new source of title. Forty years passed since the deed was recorded and no notice was filed, even though [appellants] had contacted attorneys about their property interest.

Critical to the trial court’s ruling is the assumption that the quitclaim deed can function as the “source of title” required by the MTA.

[134]*134Appellants cite Minn.Stat. § 507.19 (1945). It provides that a life tenant cannot transfer an interest in property greater than that possessed by the life tenant. Id. Appellants argue that “respondent’s title is no better than if acquired by a stray deed.” To support this argument, appellants refer to Wichelman, which states that the MTA “does not operate to provide a foundation for a new title.” 250 Minn, at 112, 83 N.W.2d at 819. Although inviting, upon analysis of statutory and case law, we conclude that appellants’ argument cannot prevail.

Noting that life estate holders lack the “estate of inheritance which would permit [them] to invoke the protection of the act,” Wichelman specifically indicates that holders of remainder interests need not file statutory notice to retain their interests. 250 Minn, at 105-06, 83 N.W.2d at 815-16. As one commentator observes, however:

The question [of] whether [remainder interests] might be lost by conveyance in fee by the life tenant * * * and passage of more than 40 years was not discussed [in Wichelman ].

Lewis M. Simes and Clarence B. Taylor, Improvement of Conveyancing by Legislation 339 (1960).

Also, after Wichelman, the MTA was amended to define “source of title” as “any instrument”

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Related

Weber v. Eisentrager
498 N.W.2d 460 (Supreme Court of Minnesota, 1993)

Cite This Page — Counsel Stack

Bluebook (online)
490 N.W.2d 131, 1992 Minn. App. LEXIS 904, 1992 WL 202577, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weber-v-eisentrager-minnctapp-1992.