Woods v. Kellerman

Action to Quiet Title—Execution Sales—Inverse Order op Liens— Bedemption Under First Sale—Subordination op Title.—Where the plaintiff in an action to quiet title became the purchaser under execution sales made upon liens in the inverse order of their priority, and acquired title under all sales except the one first made on the latest lien, under which defendant made redemption and acquired a redemptioner’s deed, such deed merely passed the interest of the judgment debtor as of the date of the judgment lien under which it was acquired, which was subject to all prior liens then existing; and defendants’ title so acquired was subordinate to the title acquired by the plaintiff under the subsequent sales.

Id.—Beceipt op Bedemption Money by Plaintipp not an Estoppel. The plaintiff was not estopped, by the receipt and retention of the redemption money paid by defendant to redeem from the first sale, to deny, the validity of the redemption, or its sufficiency to pass a complete title to the property as against the plaintiff. The redemption being valid, since plaintiff held no liens prior to that on which the first sale was made, and before the redemption all prior liens had been satisfied by subsequent sales, there is no necessity of invoking the doctrine of estoppel to sustain it.

Id.—Eppect op First Sale Under Junior Execution.—Although, in some states, where there are several executions in the hands of the sheriff, any sale made under a junior execution is in effect a sale under all the executions, and the money is to be credited on the several liens in the order of their priority; yet according to the better opinion, in the majority, the senior liens, whether existing by judgment or otherwise, are not impaired by the sale, and the majority rule obtains in this state.

Id.—Agreement por Sales Subject to Encumbrances.—Where it is understood and agreed between the parties in interest and the purchaser that he will take the property subject to prior encumbrances, the prior lienholders will retain their liens against the property; and one who redeems with full notice of such arrangement cannot by his redemption acquire any additional rights.

Id.—Agreement por Several Sales and Distribution op Fund— Single Transaction.-—Where the several sales were made under an arrangement between the several judgment creditors for the distribution of the fund to be produced by such sales between them, they should be viewed as one transaction.

Id.—Mistake of Law by Defendant—Condition of Relief to Plaintiff—Return of Redemption Money.—Where, independently of the arrangement made between plaintiff as purchaser and the several judgment creditors, the title first sold under the junior lien and acquired by defendant was of no value, and he would not have made the redemption but for the mistaken view of the law that he was acquiring a paramount title, under the circumstances of the case, the plaintiff should not have taken advantage of his mistake of law, and have taken the redemption money from the sheriff; and he should be required, as a condition of relief, to repay to defendant the amount paid for redemption, with interest.