Yerger v. Simmons

67 So. 3, 136 La. 280, 1914 La. LEXIS 1941
CourtSupreme Court of Louisiana
DecidedDecember 14, 1914
DocketNo. 20609
StatusPublished
Cited by5 cases

This text of 67 So. 3 (Yerger v. Simmons) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Yerger v. Simmons, 67 So. 3, 136 La. 280, 1914 La. LEXIS 1941 (La. 1914).

Opinions

SOMMERVILLE, J.

The property involved in this case is known as the Hester plantation or tract, in Madison parish, which passed into the possession of Dr. H. Frizell, of Mississippi, burdened with a vendor’s lien represented by a note for $20,000. Dr. Frizell sold to G. W. Simmons, of Memphis, Tenn., with full warranty, for about $35,000, represented by notes bearing upon the property as a second mortgage. Simmons sold to J. J. Gehlhausen, of Madison parish, with full warranty, and the latter assumed the payment of the $35,000 of notes given by Simmons, his vendor, as the purchase price. Gehlhausen is one of the defendants in the first of these consolidated cases.

While Simmons' was owner, he placed a small mortgage on the property, evidenced by a note held by R. H. Fitzgerald, who is the real defendant in these cases.

Joel F. Johnson, of Mississippi, is the real plaintiff, although the first suit was brought in -the name of Geo. S. Xerger, of Madison parish.

Prior to the filing of these consolidated suits, Johnson became the owner of the note for $20,000, reduced to about $9,000, which was secured by vendor’s lien on the property, and he caused executory process to issue thereon in the name of his son, Joel F. Johnson, Jr., July 11, 1911.

This note was taken up by defendant Fitzgerald, the junior mortgage creditor, and execution thereon was stayed.

Johnson subsequently bought from Dr. Friz-ell the notes for $35,000, which the latter had received from Simmons as the purchase price of the plantation or tract.

The first of these consolidated suits is by Johnson, the second mortgage creditor, who sues via ordinaria Simmons and Gehlhausen, the two last successive owners of the property, on the notes issued by Simmons to Dr. Frizell in payment when he bought the property, and which were assumed by Gehlhausen when he bought from Simmons, and plaintiff asks for judgment against these two defendants for the amount of the notes, and for recognition of the vendor’s lién and privilege.

Since the institution of the first suit now before the court, Johnson became the owner and possessor of the first mortgage or vendor’s lien and note for the second time, and he again caused executory process to issue thereon. He was the purchaser at the sale, and he is now the owner of the plantation, without certain standing timber thereon. (This timber had been sold by Simmons to Fitzgerald, and the latter had enjoined the sale of the timber by Johnson in this last ex-ecutory proceeding.)

Gehlhausen’s defense is that he bought the property with full warranty of title from Simmons, his eodefendant, who in turn bought with warranty from Dr. H. Frizell, and that Dr. Frizell was the holder and transferrer of the second mortgage notes sued upon by Johnson.

It is only to be observed in connection with these transfers of the property that title passed with full warranty from these successive owners, without declaring, at the time of the sales, the existence of a prior vendor’s lien, and it follows that the present owner of the property, Johnson, who purchased at a sale under that prior lien and mortgage which was warranted against, cannot collect from the last vendee, Gehlhausen, the price which the latter agreed to pay for the property. Johnson cannot take the property and the price too. When Simmons bought with full warranty of title, and gave [283]*283his notes for the purchase price to Dr. Friz-ell, and the property was subsequently taken from him by the holder of a first mortgage, he does not owe the price to his vendor, Dr. Frizell; and Johnson, who acquired the notes sued upon from Frizell, the vendor who sold to Simmons, only acquired the rights which Frizell held. Frizell could not recover from Simmons on these notes; neither can his vendee, Johnson, do so. And the lien, privilege, and mortgage securing these notes fall with them, and execution on them as to the timber will remain suspended until the end of the year 1916, unless a certain timber contract, which will be noticed later in this opinion, is sooner set aside.

The suit against Simmons appears to have been correctly disposed of by the trial judge, who did not render judgment against him, and-Johnson has acquiesced in the judgment, for he has not appealed.

But Gehlhausen, codefendant with Simmons, who' purchased the plantation from Simmons and assumed payment of the notes issued by Simmons for the purchase price, and who stands in the shoes of Simmons as to these notes, has been condemned to pay said notes, although he has been deprived of the property for which they were given. He (Gehlhausen) did not sell the Simmons’ notes to Johnson, or receive any of the selling price thereof. The judgment against Gehlhausen will be reversed.

While Simmons was owner of the property he sold the standing cottonwood timber on certain parts thereof to R. H. Fitzgerald, of West Carroll parish, September 8,1911. This contract provided that Simmons, the vendor, should build a sawmill for the use of Fitzgerald; but this stipulation was formally waived by a subsequent contract, and Fitzgerald built the mill. It was agreed “that, this contract shall continue in force for one year from the date operation of the mill is commenced.” The mill began to be operated March 16, 1912, and the contract- covering cottonwood timber was to have expired on March 16,1913, after this suit was filed. The price of the timber was fixed, and $500 were paid by Fitzgerald to Simmons on the price of the timber. The balance, at the rate of $2.50 per thousand log scale, was “to be paid on all cottonwood as logs pass through mill; payments to be made every thirty days after operation is commenced. All balance due under grades and prices above specified, if any, to be paid when lumber is loaded on cars, * * and in any event (Simmons was) to receive a minimum price of not less than $2.50 per thousand feet on all logs. The cash payment hereunder is to be considered as. a credit on said logs at the rate specified until consumed.”

The contract also contained an option given to Fitzgerald to purchase certain merchantable ash, oak, gum, and elm timber standing on the place at prices therein fixed, which timber was to be cut by April 1, 1916, and removed within nine months thereafter. This option was accepted June 1, 1912.

It was further stipulated “that one-half of all moneys coming to the said Simmons under this agreement shall be paid over to Dr. Horton Frizell, or to the legal holder or holders of the mortgage notes described in, and secured by,” the act of sale from Frizell to Simmons. And the “agreement was conditioned upon the ratification by the said Frizell, or other holders of said notes, and of Mrs. M. O. Ludeling, or the legal holder of that certain mortgage note for $20,000” hereinbefore referred to.

Dr. Frizell, vendor and holder of the second mortgage notes, ratified the contract on September 16, 1911, and the notes held by him were paraphed to identify them with the timber contract of sale. Mrs. Ludeling did not ratify it, and the parties to the contract waived that provision with reference to ratification by her. Dr. Frizell September 26, [285]*2851911, guaranteed Fitzgerald against loss and damage from any interference by Mrs. Ludeling.

In the act of ratification Dr.

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Bluebook (online)
67 So. 3, 136 La. 280, 1914 La. LEXIS 1941, Counsel Stack Legal Research, https://law.counselstack.com/opinion/yerger-v-simmons-la-1914.