Davies v. Blasingame
| Decision Date | 08 August 1933 |
| Docket Number | 9180. |
| Citation | 170 S.E. 477,177 Ga. 450 |
| Parties | DAVIES et al. v. BLASINGAME et al. |
| Court | Georgia Supreme Court |
Syllabus by Editorial Staff.
Where parties to sale of land know of specified defects in vendor's title and, contemporaneously with deed containing general warranty of title, written statement is delivered to grantee that defects in title are to be cleared at grantor's expense, as between parties, statement should be construed as special covenant of grantor to clear defects at his own expense.
In grantor's action upon purchase-money notes, grantee could recoup damages for breach of covenant to clear defects in title.
Where grantee leased land conveyed by absolute title and took crop lien from tenant, which he transferred, transferee's rights held unaffected by any claim of interest in crops asserted by holder of security deed from grantee providing that holder could enter upon land and collect rents and profits thereof upon breach of certain covenants.
Attorney's opinion that title was good held incompetent question being for court.
Ground relating to rejection of evidence could not be considered where failing to set forth enough of evidence with sufficient clearness to enable court to determine its materiality and relevancy.
Ground not understandable without resort to other portions of record held insufficient to raise any question.
Error from Superior Court, De Kalb County; John B. Hutcheson Judge.
Suit by W. E. Blasingame against R. L. Davies and another, wherein the Bank of Monroe filed an intervention as a party defendant. Judgment for plaintiff, motion for a new trial was overruled, and named defendant and intervener bring error.
Reversed.
R. L. Davies, owner of an improved city lot incumbered by first and second outstanding loan deeds, entered into negotiations to exchange the lot unincumbered with W. E. Blasingame and his wife for certain unincumbered farm lands and $1,000 in cash. In order to remove the incumbrance on the city lot so that the exchange might be consummated, Davies applied to a loan company for a loan on the farm property. The application was approved, subject to approval of the title by a named attorney for the company. After investigation, the attorney reported adversely on account of defective execution of certain deeds under which the Blasingames claimed title, and the company declined to make the loan until the defects should be cured. In these circumstances the parties, desiring to complete the exchange of properties without further delay, entered into a supplemental contract dated September 13, 1928, whereby deeds should be exchanged and the Blasingames should assume the outstanding loans on the city property and accept from Davies notes payable at monthly and semiannual intervals, secured by deed to the land for the amount of the outstanding loans on the city property, less $1,000, there being a provision in the contract that title "was to be satisfactory" to the attorney, and "if title is not clear, Mr. W. E. Blasingame is to pay rent of $50 a month on [from] September 1, 1928." The defects in the title were not removed, but on October 13, following the above supplemental agreement, the exchange of properties was made, the Blasingames executing deeds to the farm land, with a contemporaneous writing in the form of an affidavit signed by both the Blasingames, "that the defects in title" to the farm land are "to be cleared, and any expense to same is to be paid by W. E. Blasingame," and Davies executing a deed conveying the city property, and notes mentioned above payable to W. E. Blasingame, secured by deed conveying the farm lands. The security deed contained a clause conferring upon the grantee the right of election to accelerate maturity of the entire debt if the grantor should breach specified covenants, and providing further: "That in the event the debt secured hereby shall not be paid when it becomes due by maturity in due course, or by reason of a default as hereinabove provided, the said party of the second part, or assignee, may enter upon said premises and collect the rents and profits thereof." The security deed was duly recorded.
The parties took possession under their respective deeds. Davies rented the farm lands to M. W. Kilgore for the year 1929, for part of the crops, and received from him a written landlord's lien for supplies to make the crops. The lien was transferred by Davies to the Bank of Monroe, which furnished the supplies. After monthly payment of the notes for about a year, the defects in the title not having been removed, Davies refused further payment, and allowed one of the notes to stand in default on its maturity. In pursuance of the accelerating clause in the security deed, W. E Blasingame elected to declare the entire debt due, and on November 20, 1929, instituted an action against Davies and Kilgore for judgment against Davies for the amount of the notes, to be declared a special lien on the land and his interest in the crops; also for the appointment of a receiver to harvest and market the crops. A temporary receiver was appointed, who proceeded to exercise the powers conferred on him, and made two reports to the court. Davies filed his answer, which was subsequently amended. The Bank of Monroe filed an intervention as a party defendant. In his answer Davies sought to recoup damages to the extent of all that he had paid on the farm land, the right to such damages being predicated on breach by the Blasingames of a covenant to remedy the defects and furnish a merchantable title. At interlocutory hearing a permanent receiver was refused, and the temporary receiver was discharged and ordered to...
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