Hearst v. Pujol

California Supreme Court Jul 1, 1872 No. No. 2,656Published

Before: Belcher

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Holding. The court held that the plaintiff is entitled to a conveyance of the land identified in the 'Cot survey,' less the 160 acres reserved by the original grantors, because the original grantors' subsequent acceptance of a different conveyance from the defendant was in disregard of the plaintiff's rights. Furthermore, the court determined that the agreement created an express trust, meaning the Statute of Limitations did not bar the action as the trustee had not repudiated the trust.

Issues

Is the plaintiff entitled to a conveyance of the land embraced in the 'Cot survey' less the 160 acres reserved by the Estradas?
If not, can the plaintiff make a new selection of the 1500 acres?
Does the Statute of Limitations bar the enforcement of the trust against the defendant?

Disposition. reversed and remanded

Quotations verified verbatim against the opinion

“Time was not of the essence of the contract to reconvey, and while their right to the reconveyance continued they might at any time make the selection and demand a reconveyance of the land selected.”

“We, therefore, hold that the plaintiff is entitled to a conveyance from Pujol of the land embraced in the “ Cot survey,” less the one hundred and sixty acres reserved by the Estradas.”

“If A. conveys land to B., which, by the terms of the conveyance is to be held in trust and reconveyed to himself, or another, he thereby creates an express trust.”

Synopsis

When Time is not of the Essence of a Contract.—When a deed contained a provision that the grantee, within one year from its date, should reconvey to the grantor a specified quantity of the land conveyed, to be selected by the grantor, the right to select the land to be reconveyed, and to a reconveyance, is not lost to the grantor by his failure to exercise the right within one year.

Contract to Bedeed Part of Land Conveyed.—When a deed contains a clause that the grantee shall reconvey a portion of the premises to the grantor within one year, to be selected by the grantor, and the grantor then conveys to a third party his interest in the land, the right of the grantor to make the selection and to receive the deed is gone, and passes to the purchaser from him.

Construction of Contract to Convey Land.—A contract to convey a tract of land to be so surveyed as to include the dwelling house of the party who is to receive the conveyance, and “ also the fields and fenced lands in front of and about said house,” does not by its terms include a “ corral” on the land out of which the survey is to he made.

Estoppel in Case of Contract to Convey Land.—Where a party contracts to convey to another a specified quantity of land within one year, to be selected in a square form by the person to whom the conveyance is to be made, and the person who is to make the selection fails within the year to do so, and the other then makes the selection and offers to make the conveyance, which offer is neither accepted nor rejected at the time, but the offer is afterwards accepted and a conveyance demanded, the one who is to make the conveyance cannot object because the selection was not in a square form, or made within one year, or for any other reason.

Equity will Believe against Mistake.—A Court of equity will set aside a deed made under a mistake as to the rights of the parties.

Express Trust.—If A. conveys to B. a tract of land, to be by B. afterwards reconveyed to himself, he thereby creates an express trust, which B. may accept by accepting the deed.

Limitation of Action in Case of Trust.—If A. conveys land to B., with a provision in the deed that B. shall reconvey to him, B. holds the land in trust for A., and the Statute of Limitations does not commence running on A.’s right to a reconveyance until B. repudiates the trust and such repudiation is brought to the knowledge of A.

Opinion — Belcher

By the Court, Belcher, J.: On the 17th of May, 1862, Estrada and wife conveyed to Pujol a tract of land, in San Luis Obispo County, containing three square leagues, and known as the Rancho Santa Rosa. In the conveyance they inserted a proviso in the words:

“Provided always, and these presents are upon this express condition, that within one year from the date hereof, the said party of the second part shall convey to the said parties of the first part, by a good and absolute warranty deed, a portion of the land herein granted, including the site of the present dwelling house of the said parties of the first part and the adjacent grounds; the said portion of land to be of the extent of fifteen hundred acres; to be in square form, to be selected by the said parties of the first part, and to be surveyed under their direction by the .County Surveyor of this county, or by some other competent surveyor; and it is hereby declared to be the true intent and meaning of these presents that the conveyance herein last above stipulated is a part and parcel of the consideration of this conveyance.”

[232]Ho reconveyance having been made, on the 14th of April, 1865, Estrada and wife conveyed to the plaintiff all their interest in the rancho, excepting out of and from the conveyance “that part and parcel of said rancho containing one hundred and sixty acres of land in a square form, so laid out as to include the dwelling house and the adjacent buildings on said rancho, and including also the fields and fenced lands in front of and about said house.”

The Estradas never selected or caused to be surveyed the lands to be reconveyed to them in pursuance of the proviso contained in their deed to Pujol, nor did they ever select the one hundred and sixty acres reserved in their deed to the plaintiff. At some time, however, prior to the execution of the last named deed, Pujol caused a survey to be made by one Got of a tract of land containing fifteen hundred acres within the boundaries of the Rancho Santa Rosa, and offered to reconvey the land so surveyed to the Estradas, but they neither accepted or rejected this offer. This survey included the site of the dwelling house occupied by the Estradas in May, 1862, and the adjacent buildings on said rancho, and also all the fields and fenced lands in front of and about said house, except a corral. It was not, however, in precisely a square form, but is found by the Gourt to have been “ as correct mathematically and practically, as such surveys are usually made by competent and professional civil engineers and surveyors.”

Hearst v. Pujol

AI Brief

Synopsis

Opinion — Belcher

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