Weil v. Howard

4 Nev. 384
CourtNevada Supreme Court
DecidedJuly 1, 1868
StatusPublished
Cited by4 cases

This text of 4 Nev. 384 (Weil v. Howard) is published on Counsel Stack Legal Research, covering Nevada Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Weil v. Howard, 4 Nev. 384 (Neb. 1868).

Opinion

By the Court,

Beatty, C. J.

Some time prior to the year 1865, one Richard Gaines executed two mortgages on the same property, one to Thomas B. and Mary J. Howard, and the other to Stern & Weil. Thomas B. and Mary J. Howard commenced suit in the District Court of the first Judicial District, Storey County, to foreclose their mortgage, making Stern & Weil, the junior mortgagees, parties defendant. Stern & Weil filed their answer in the nature of a cross bill, asking a foreclosure of their junior mortgage. In due time a judgment and decree were rendered in the case — a judgment in favor of Howard and wife, and also a judgment in favor of Stern & Weil against the defendant for the respective amounts found due to each. Then follows a decree in equity, directing the sale of the mortgaged property and the application of the proceeds, followed by an order to the Sheriff to report any deficiency of the proceeds of sale to satisfy either or both judgments. This double judgment and decree were rendered June 9th, 1865, and on the same day the Clerk docketed the judgment in favor of Stern & Weil. In due time the order of sale was issued, and on the 20th of July, 1865, T. B. Howard became 'the purchaser of the mortgaged property at the amount of the mortgage debt and and costs due to himself and wife, thus exhausting the property without leaving anything to be credited on the debt due to Stern & Weil. The date of the return of the Sheriff is not given, but this was probably soon after the sale was made, say about the latter part of July, 1865. In November, 1865, the defendant Gaines deeded to T. B. Howard a piece of real estate in Storey County which had not been included in the mortgage. In December of the same year, Stern & Weil caused an execution to be issued on their judgment, and levied on the same [389]*389.real estate which had been deeded the previous month to T. B. Howard. The sale was made under the Stern & Weil execution, and Weil became the purchaser. In due time he got his deed, and this suit was brought against Miller, the tenant of Howard, to obtain the possession of the land.

Both parties deraign title from Richard Gaines — one by voluntary deed, and the other by the Sheriff’s deed. The main question in the case is whether under the circumstances Stern & Weil had a judgment lien on this property in November and December, 1865. It may be observed that the judgment of Stern & Weil was for gold coin, and that it is claimed by appellant that this rendered it utterly void and prevented any lien attaching.

We borrowed our Practice Act almost exclusively from that of the State of California, hence the propriety of looking to the decisions of that State upon matters of practice. As the law of California stood prior to 1860, it was the general practice of Courts there to enter a sort of double judgment in foreclosure suits. The first part thereof being in the form of a common law judgment, and this followed by a formal decree in equity for the sale of the mortgaged property, and winding up with an order, in the event the debt was not satisfied by the sale under the equity decree, that an execution should issue for the unpaid balance. When this practice was adopted the 216th section of the Practice read as follows: “ In an action for the foreclosure or satisfaction of a mortgage of real property, or the satisfaction of a lien or incumbrance upon property, real or personal, the Court shall have power by its judgment to direct a sale of the property, or any part of it; the application of the proceeds to the payment of the amount due on the mortgage, lien or incumbrance, with costs, and execution for the balance.”

This practice of thus entering up a double judgment was approved by the. Supreme Court of the State in a number of cases. (See Chapin v. Broder, 16 Cal. 422, and cases there cited.) It was also held that under the law as it then stood, when such personal judgment was docketed it became a lien on other property than that mortgaged. (See England v. Lewis, 25 Cal. 357-8.) In 1860 and 1861 the 246th section of the Practice Act was amended in California so as to read as follows :

[390]*390“ There shall be but one action for the recovery of any debt, or the enforcement of any right, secured by mortgage or lien upon real estate or personal property, which action shall be in accordance with the provisions of this chapter. In such action the Court shall have power, by its decree or judgment, to direct a sale of the incumbered property (or such part thereof as shall be necessary) and the application of the proceeds of the sale to the payment of the costs and expenses of the sale, the costs of the suit, and the amount due to the plaintiff. If it shall appear from the Sheriff’s return that there is a deficiency of such proceeds and a balance still due to the plaintiff, the judgment shall then be docketed for such balance against the defendant, or defendants, personally liable for the debt, and shall, from the time of such docketing, be a lien upon the real estate of the judgment debtor, and an execution may thereupon be issued by the Clerk of the Court in like manner and form as upon other judgments to collect such balance or deficiency from the property of the judgment debtor.”

The 246th section of our Practice Act is very similar in language to the amended section of the California Act.

After the final amendment to this section in 1861, the question came up in California whether the old practice of entering a personal judgment in a foreclosure suit was a proper practice. The Supreme Court of that State, in the case of Cormerais et al. v. Genella, (22 Cal., pages 126-6-7) held that the amendment of the Practice Act in 1860-61 did not deprive -the Court of the power to enter the old-fashioned common law personal judgment, but did prohibit the docketing of that judgment — the creation of a lien or the issuance of an execution therepn until the deficiency, if any, was ascertained by the sale of the mortgaged property under the equitable decree, and the return of the Sheriff, showing the exact amount of such deficiency. The question whether under the amended law the rendition of a personal judgment in a foreclosure suit and the docketing of that judgment could create a lien on real estate not included in the mortgage, before there had been a sale of the mortgaged premises, and a return of the Sheriff showing the deficiency, came directly before the Supreme Court of California, in the case of Culver v. Rogers, (28 Cal. 520). The Court then held that no lien arose until the deficiency was reported.

[391]*391The respondent, however, contends that the decisions in cases of Cormerais et al. v. Genella, (22 Cal.) and Culver v. Rogers, (28 Cal.) are irreconcilable with the views expressed by the same Court, in England v. Lewis, (25 Cal.) and that the latter case is the better authority, and should prevail. We are free to admit that we cannot reconcile the three cases, or at least the reasoning in the case of England v Lewis with the decisions in 22 and 28 Cal. That portion of their opinion in England v. Lewis which asserts that “ a judgment which cannot be enforced is no judgment at all,” is certainly calculated to mislead. There may be a perfectly good judgment which for the time being at least cannot be enforced.

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Bluebook (online)
4 Nev. 384, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weil-v-howard-nev-1868.