Williams v. Smith

57 S.E. 801, 128 Ga. 306, 1907 Ga. LEXIS 91
CourtSupreme Court of Georgia
DecidedMay 16, 1907
StatusPublished
Cited by34 cases

This text of 57 S.E. 801 (Williams v. Smith) 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
Williams v. Smith, 57 S.E. 801, 128 Ga. 306, 1907 Ga. LEXIS 91 (Ga. 1907).

Opinions

Atkinson, J.

(After stating the foregoing facts.)

1. From the statement of facts it is seen that Eaines executed two deeds to the premises in dispute. Under the older of the two the defendant claims. In support of an effort to avoid the effect of the older deed, the plaintiff introduced undisputed evidence1 to the effect that the sole consideration which moved Eaines to execute the older deed to W. E. Walker was the conveyance to Eaines of certain property belonging to Walker’s wife, Euth D. Walker, and her minor children, Eitie Anna Walker and Lena A. Walker, their respective interests therein being a life-estate to Euth D. Walker and a remainder interest to the children, one of whom is the plaintiff in the present case. Under these conditions, when Walker took the legal title in his own name, the property immediately became impressed with an implied trust in favor of the wife and children, according to their several interests, as already stated-See, in this connection, Civil Code, §§3160, 3196; Adams Jones, 39 Ga. 479; Brown v. Doane, 86 Ga. 32; Hurst v. Commissioners, 110 Ga. 33; McKinney v. Burns, 31 Ga. 295; Holmes v. Holmes, 106 Ga. 858. The wife and children could assert their equitable title against the husband, W. E. Walker, and against any one claiming under him with notice. Civil Code, §3932.

But it was claimed by the defendant, Williams, that he was a bona fide purchaser for value, without notice of the plaintiff’s, equitable title. If he were such, he would be protected, and the plaintiff could not recover. Civil Code, §3934. The facts, therefore, lead to the inquiry, was Williams such a purchaser? The evidence is undisputed that he paid value. There is no evidence that the amount was not full value. Proof of such pajonent, in the absence of proof of notice, or of -any fact sufficient in law to charge notice, or sufficient to put the purchaser upon inquiry, will raise the presumption that his purchase was without notice, and the onus will be upon the one asserting an equity in the property to prove notice thereof to such purchaser. See, in this connection, Johnson v. Neal, 67 Ga. 528, where it is said: “Proof that a purchaser bought for value from the defendant in fi. fa. raises a presumption of good faith; and if it is desired to rebut this presumption by proof of actual notice of the judgment, the onus of [311]*311proving such fact is on him who asserts it.” In Barton v. Barton, 75 Ala. 400 (cited in 23 Am. & E. Ene. L. 523), it was held that “the rule as to proof of bona fide purchase is, that the party pleading it must first make satisfactory proof of purchase and payment, it being affirmative defensive matter, in the nature of confession and avoidance; but this done, he need not go further, and prove that he made such purchase and payment without notice. The burden here shifts, and if it be desired to avoid the effect of such purchase and payment, it must be met by counter proof that before the payment the purchaser had actual or constructive notice of the equity or lien asserted, or of some. fact or circumstance, which was sufficient to put him on inquiry, and which, if followed up, would have discovered the equity or incumbrance.”. In Morimura v. Samaha, 25 App. D. C. 189, cited in 6 Cur. Law, 814, n. 69, it is said: “Where creditors attack a conveyance by their debtor as fraudulent, the grantee must show the payment of consideration, and then the burden is on the creditors to show that the vendee had notice of his grantor’s fraud.”

In order to prove that Williams at the time of his purchase had notice of the plaintiff’s equity, the plaintiff offered the testimony of several witnesses to the effect that they had informed Williams of certain “rumors” concerning the title; but in no instance does it appear that the alleged rumors bore any relation to the claim which is now asserted by the plaintiff. In that respect the record is silent. With the exception of one instance, it is not clear from the testimony of any witness that the rumors alluded to were communicated to Williams prior to the time of his purchase. In. one instance, however (see testimony of A. A. Walker), it does, affirmatively appear that Williams was told before he purchased that “the title was bad.” Further than this, the record of this witness’s testimony is likewise silent, and does not connect the criticism of Walker’s title with the claim asserted by the plaintiff. In the absence of further statements to Williams upon this subject calling attention more specifically to the title which is now asserted by the plaintiff, the mere general statement that the title was; bad was not sufficient to charge Williams with notice of the plaintiff’s equitable title. The title may have been bad in some other respect. If so, that would be of no concern' to the plaintiff in this case. The question is not whether Williams knew of some.[312]*312other defect, but whether he. knew of the outstanding, adverse equity which this plaintiff now asserts. Williams may have known of numerous other defects, and at the same time have been ignorant of the claim asserted, by the plaintiff. In that event the knowledge of the other defects ought not to destroy the bona ffdes of his purchase, in respect to the claim of which he was ignorant. In Black v. Thornton, 31 Ga. 659, the trial court charged the jury: “A mere rumor brought to the knowledge of Eeuben Thornton at or before the sale, or general report, that there was an outstanding claim or conveyance, without defining what sort of claim or conveyance, to whom or by whom, etc., is not notice to Eeuben Thornton.” Upon review of that charge in this court it was said, Jen-' kins, J., delivering the opinion: “The law is here correctly stated. The proposition is a simple truism.” See also, in this connection, Ratteree v. Conley, 74 Ga. 153 (a). See also 37 Am. Digest (Century ed.), 1470, §5.; Raymond v. Flavel, 40 Pacific, 148. The testimony of the witnesses as disclosed by the present record does not go far enough to show actual notice of the plaintiff’s claim, or. of any fact connected therewith sufficient to have put Williams upon inquiry. Such testimony fails, therefore, either to show notice, or to render applicable the provisions of the Civil Code, §3933, with regard to charging notice where a person has knowledge of facts sufficient to put him upon inquiry.

. If the testimony of the witnesses was not sufficient to affect Williams with notice, what else does the record disclose tending to suclr a conclusion? It appears that the junior-deed which Eaines executed, to wit, the deed from Eaines to Euth D. Walker and Eitie Anna Walker and Lena A. Walker, and under which the plaintiff claims, recites the substance of a certain petition to the , superior court by W. E'. Walker and the judgment entered thereon, bóíh of which were duly filed in the office of the clerk of the superior court. The petition and order' clearly and fully set forth the: plaintiff’s interest in the'property, and the recitals of the petition in the deed referred’ to, if Williams knew of that deed, were sufficient, to impart notice' of the plaintiff’s equitable title. This tleéd was' executéd' in"1.893, before Williams'purchased in 1901. Ifi,Williams had notice-'either of this deed or of the proceedings ini théi superior' court, such notice'would be sufficient to charge him withriaotice'of the plaintiff’s equitable'title. There is no evidence, [313]

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Bluebook (online)
57 S.E. 801, 128 Ga. 306, 1907 Ga. LEXIS 91, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-smith-ga-1907.