Majority
Headnote
Eminent Domain—Money in Court—Settlement of Interests—Protection of Unborn Grandchildren.—In this proceeding in eminent domain it is held that the court properly settled the rights of conflicting claimants to the property out of the money paid into court, and subjected the rights of the appellants to the rights of unborn grandchildren to an alternative contingent remainder in the property.This is a proceeding in eminent domain brought by the county of Los Angeles to acquire lands upon which to construct a hall of records. Interlocutory decree and final order or judgment of condemnation were entered in favor of plaintiff. By the former the court, besides finding the value of the premises condemned, ascertained and adjudged the rights of the respective defendants in the property and apportioned among them the sum, decreed to represent the value of the property condemned.
Separate appeals were taken by each of the appellants Winans, Cole, Anderson and Joyce from the final judgment,. from the interlocutory judgment, and from the orders denying their respective motions to vacate and set aside certain findings, and their motions for a new trial. No objection is made to the value of the property fixed by the court, but its apportionment among the various defendants is questioned.
On June 27, 1881, J. E. Hollenbeck, who was the owner in fee simple of all the lands affected by this proceeding,
The defendants who are appellants here claim to have succeeded to the title to various portions of said premises, together including the entire property, by sales thereof made in various proceedings to foreclose street assessments, mechanics’ liens, etc., had in the superior court of Los Angeles county, and by virtue of certain decrees quieting their titles so acquired, made by the same court. The portions claimed by the appellants are respectively designated as follows: That of Winans as lot 4; that of Cole as lot 5; and that of Joyce as lot 6, all of the “Court House Block” in the city of Los Angeles. Lot 4 comprises the east half of the condemned lands; lot 5 the southwest quarter, and lot 6 the northwest quarter thereof.
The trial court found, in effect, as to each of the said appellants Winans, Cole and T. F. Joyce that he had acquired
' The appellants attack these findings (other than the last) and the conclusions of law drawn therefrom and the directions of the court as to the disposition of the funds in accordance therewith, and contend: (1) That the remainder created by the deed of J. E. Hollenbeck vested at once in the children of Emma Means, under the provisions of section 694 of the Civil Code; (2) That whether such remainder be regarded as vested or contingent, service of process upon and the appearance in the various proceedings by Mrs. Means, her children with the guardian of the latter, by application of the principle of virtual representation, operated to bind the interests of the grandchildren yet unborn; and (3) that certain of the proceedings were in rem and jurisdiction of the interests of the grandchildren was obtained by following the statutory method of bringing the property into court.
The proceedings in which it is claimed jurisdiction of the interests of the unborn grandchildren was thus acquired so as to estop or bar them from now claiming any interest in
In support of the contention of appellants Joyce (T. F. and S. A.) that the interests of the grandchildren in lot 6 were acquired by them, the following additional proceedings and matters are relied upon: The judgment-rolls in (f) a consolidated action to foreclose certain mechanics’ liens on the building constructed by Rogers, lessee, under the lease above mentioned, No. 12,444, against Rogers, Mrs. Means, her husband and children; and (g) in an action to quiet title, No. 19,205, brought by Horace Hiller, who purchased the property at the sale under the decree foreclosing the mechanics’ liens, against Mrs. Means, her husband individually and as guardian of the children, the five children and others whose names are not material here.
Under the code of this state the remainder granted to the heirs of the body of Emma Means by the deed of J. E. Hollenbeck was an interest which the remaindermen took by purchase, and not by inheritance (Civ. Code, sec. 779). It was a contingent interest, since it was future in character, and the person in whom, and the time of the happening of the event upon which it was limited to take effect, were both uncertain at the time of its creation. ' These uncertainties both continued to exist until after the various proceedings were had upon which appellants base their respective titles (see. 695). It did not .and could not become vested until the death of the life tenant, since she could have no “heirs” until her decease. In the interval all of her children might die, leaving the entire estate to the second generation, or the grandchildren. The interests of the latter are not void because of the improbability of the contingency on which they are limited to take effect (see. 697). Neither can their interests be regarded as mere possibilities, such as the expectancy of an heir apparent (sec. 700), as they do not depend upon the law of succession to determine whether or not they will take effect, and they cannot be defeated by the testamentary or other act of the ancestor. It is also apparent that section 694 has no application here. ' That section is, in effect, the enactment into a statute of the rule laid down in Fearne on Contingent Remainders and Executory Devises:
In Williamson v. Williamson, 57 Ky. 329 , 368, it was said of the rule distinguishing a contingent from a vested remainder, first above quoted from Fearne: “This principle, however general and universal it may be, has no application in a case like this, where the event which renders the possession vacant also resolves the contingency upon which the limitation depends, and makes that certain which was before uncertain. The possession becomes vacant by the death of the ancestor, and by the same event the persons who properly sustain the character of ‘heirs’ are ascertained and rendered certain. This rule, therefore, cannot operate as a test in a case like this, where the estate in remainder is given to the heirs of the same person who is devisee for life.”
The remainder which we are considering is- a future interest which will vest in those grandchildren of Mrs. Means whose father or mother, child of Mrs. Means, fails to survive the grandmother, and is an alternative contingent remainder under section 696 of the Civil Code. In some of its characteristics it resembles the “contingent remainder,
The conclusion that the interests in remainder of the defendant grandchildren were and are contingent instead of vested does not preclude the application to them of the principle of virtual representation, if the proceedings in which such "representation was exercised were such as to otherwise justify it. The rule as to virtual representation is stated broadly by the supreme court of the United States in Miller v. Texas & Pacific R. R. Co., 132 U. S. 672 , [ 10 Sup. Ct. Rep. 206 ], by recognizing the holding of Lord Redesdale in Giffard v. Hort, 1 Schoale & L. 386, as follows: “Where all the parties are brought before the court that can be brought before it, and the court acts on the property according to the rights that appear, without fraud, its decision must of necessity be final and conclusive. It has been repeatedly determined that if there be tenant for life, remainder to his first son in tail, remainder over, and he is brought before
The rule and its reason are declared in Sweet v. Parker, 22 N. J. Eq. 455 , as,follows: “Many exceptions exist to the general rule that in equity all must be parties who have an interest in the object of the suit. The reason or principle oi such exceptions is stated as follows in Calvert on Parties, section 2, page 20: ‘If they are required to be parties merely as the owners and protectors of a certain interest, then the proceedings may take place with an equal prospect of justice if that interest receives an effective protection from others. It
The better reasoned of the later cases hold that it can be relied upon in support of a judgment only as a matter of necessity and never merely as a matter of convenience. The form of the action is not controlling, but is, of course, to be considered in connection with the circumstances of the case. The necessity for relying upon some such principle to acquire jurisdiction of the interest in real property of persons unborn is apparent, “where the estate is sold under a regular and valid judgment, and the proceeds of sale take its place and are secured in some way for such persons” (Kent v. Church of St. Michael, 136 N. Y. 10 , [ 32 Am. St. Rep. 693 , 32 N. E. 704 ]), since this includes the caring for and preserving of the rights of the persons so represented; it is also readily apparent where the purpose of the suit in which such persons are said to be so represented is for the administration of a trust estate by a court of equity so as to protect the interests of the unborn, as well as those who are in being, against the danger of destruction by tax and other liens which affect the entire title (Ruggles v. Tyson, 104 Wis. 500 , [ 79 N. W. 766 , 81 N. W. 367 ]); or in a ease such as the one at bar where the property is necessary for a public use and the court can by decree protect the interests of the party said to be so represented. So where a trust is created
Considering the effect of this doctrine upon the various judgment-rolls and documents hereinabove mentioned, we are of opinion that the proceedings under the street improvement act of 1885, as the statute read at the time when the foreclosures in actions Nos. 10,983 and 14,109 were decreed, were intended to subject to the lien created by the law the entire title of the property affected thereby. As was said in Gillis v. Cleveland, 87 Cal. 217 , [ 25 Pac. 351 ] : “Thus it appears that the expense of the improvement is a charge upon the property benefited, and not a charge against the owner personally, in furtherance of this end, the identity of the lot assessed, and not the person who may be the owner, is made the essential requirement of the statute; the first must be specifically described, while the latter may be designated as ‘unknown,’ as in the present case. Nowhere in the statute does any intention appear to charge the owner personally.” But section 12 of the act also provides that the contractor may sue “the owner of the land, lots or portions of lots”; that the suit must be brought in the superior court within whose jurisdiction the work was done, service in such actions to be had in such manner as is prescribed in the codes and laws of this state; and that, “The court in which said suit shall be commenced shall have power to adjudge and decree a lien against the premises assessed, and to order such premises to be sold on execution, as in other cases of the sale of real estate by the process of said courts.” (Stats. 1889, p. 168.) It was also said in Page v. Chase, 145 Cal. 578 , 583, [ 79 Pac. 278 ] : “In this state the legislature has authorized its enforcement by means of a suit in equity against the ‘owner’ of the land; and in section 16 of the Street Improvement Act (Stats. 1885, p. 159), the ‘owner’ is defined to be, for the purposes of that act, ‘the person owning the fee, or in whom appears the legal title to the land by deeds duly recorded in the county recorder’s office of the county.’ There
If the view expressed in Page v. Chase, 145 Cal. 578 , 583, [ 79 Pac. 278 ], that a judgment for the sale of the property in such a proceeding will not bind the entire world, or affect the interests in the property of any owner not made a party defendant to the action, be accepted, this does not prevent the application of the rule of virtual representation. If the proceeding were strictly in rem, there would be no necessity to invoke any principle of representation except the one that the property in court represents all its owners and claimants. It is not necessary that a suit in equity be strictly in rem to subject the entire property to the payment of the debt. All interests in the property are constructively or virtually before the court when the service is made in accordance with the statute, whether this be upon the person or the thing. A decree in equity may be made effective as to all persons interested in the property to the value thereof in the same manner that the law makes a judgment against an estate a judgment in personam against the administrator, which is enforceable only to the extent or value of the estate held by him. Decrees in equity are frequently made effective in this way and the property is as effectually bound as if it were attached or seized or made the defendant in the
The acquiring of jurisdiction of the interests of the grandchildren by these proceedings did not effectually vest these interests in the purchasers at the sales made under the respective decrees, because of the respective agreements made by them with Mrs. Means and with each other, and which became merged in and were succeeded by the declaration of trust by R. W. Abbott for the benefit of Emma R. Means and the heirs of her body. None of the subsequent proceedings or steps taken released the successors in title of Abbott from the trust obligation to hold for the benefit of the unborn remaindermen. The action to quiet title by Abbott (No. 18,501) resulted in the making of the declaration of trust by him for the benefit of Mrs. Means and “the heirs of her body.” The mortgage of Abbott to Winans was executed by the former under and by virtue of a contract with Mrs. Means and was to secure obligations primarily imposed upon her as life tenant of the property. The most favorable view for appellants that can be taken of this transaction is that the amount named in the mortgage was the sum found necessary to prevent the sale of the entire property under the street foreclosure proceedings, and, the transaction being for the preservation of their estate, the interests of the unborn remaindermen were bound by the decree in the action (No. 21,002) to foreclose the mortgage. While of opinion that the case before us is to be distinguished from those cited by appellants in thil connection (Sweet v. Parker, 22 N. J. Eq. 455 ; Nodine v. Greenfield, 7 Paige, 544, [ 34 Am. Dec. 363 ], and English cases), we regard this as unnecessary, because, as in the ease of the street assessments, the purchaser at the sale (M. McCollum) entered into an agreement whereby he became only the legal holder of the title with the equitable rights of the remaindermen in the property fully acknowledged. He, like the previous purchasers of the property, was bound to know that he was dealing with the life tenant, who might be protecting her own holding at the expense of the remaindermen, and yet whose efforts to protect the property, and all agreements made by her having this effect, must redound to the advantage of the remaindermen.
Without applying the principle of virtual representation, we know of no theory upon which the court can be said to have acquired jurisdiction of the interests of the grandchildren, who were not parties thereto, in these actions to quiet title. The proceeding authorized by section 738 of the Code of Civil Procedure may be broader in some respects than the suit in equity called by the same name, but it does not authorize the adjudication of the right, claim, interest, or title of anyone not before the court. In terms it says: “An action may be brought by any person against mother who claims
An examination of proceeding No. 8616, relied upon by appellant Joyce, is important on this appeal only for the purpose of determining whether the interests of the unborn contingent remaindermen were so connected with the lease of Rogers as to be affected by the judgment foreclosing the mechanic’s lien in suit No. 12,444. The duty of paying the taxes and street assessments (actions Nos. 10,983 and 14,109 above), by reason of the nonpayment of which the.property was about to be lost, rested primarily upon the life tenant, Mrs. Means. She was entitled to the possession and might lease the property at her pleasure for any term, subject only to the limitations of her own estate, but there were no grounds upon which she could ask a court of equity to preserve her estate at the expense of that of the remaindermen. So far as she was concerned, this was the only purpose served by proceeding No. 8616. As the application of Mrs. Emma Means, life tenant, it failed to set forth any cause for relief, and in her capacity of mother Mrs. Means was not authorized to sue, as her husband J. W. Means was the regularly appointed general guardian of the children who were living. The husband was the appointee of the probate court (No. 5874), and if the authority or consent of any court were necessary in order that he might make a lease of his wards’ property, application should have been made to the court to which he owed his appointment. He could not go into a court of equity
The language of the judgment, however, does not comprehend by name or description among those whose claims to the property and equity of redemption are barred and foreclosed any of the grandchildren contingent remaindermen. Neither do we think, under the principle of virtual representation hereinabove applied in the proceedings to foreclose street assessment liens, they were brought within the jurisdiction of the court in proceeding No. 12,444. It does not appear upon the face of the judgment-roll in that action that the interests of the persons appearing and contesting the lien were identical with that of the unborn remaindermen. Indeed, it appears from the findings in the case, including those last above considered, that the liens foreclosed were created by the act of the lessee of the life tenant under a contract with her, and that her interest alone was chargeable. The minors who were before the court were not held bound because they were owners who failed to give the notice under section 1192,. but because of their consent to the judgment against them. They could not bind the grandchildren in this way. Accepting the rule laid down in the decision of Justice Matthews of the United States supreme court in Heidritter v. Elisabeth Oil-Cloth Co., 122 U. S. 294 , 301, [ 5 Sup. Ct. Rep. 135 ], that the proceeding to foreclose a mechanic’s lien is “in its essential nature” in rem, we find nothing therein to warrant us in holding that any transfer of the title of the unborn remaindermen was made to Hiller by virtue of the deed to him as purchaser at the sale made in execution of the judgment. This was not a proceeding whereby the property alone is made defendant in the action and the world foreclosed. The owner must be made a party to such an action if his property is to be made chargeable with the claim for which the lien is given.
When action No. 19,205 to quiet title was brought by Hiller against Mrs. Means, her husband and children, and others, he had already acquired the interests of Mrs. Means and her children in the property the title of which he sought' to quiet, and these persons could not be brought into court solely to represent the interests of the grandchildren. The issue raised by the answer of f the children who appeared in the action
The claim of title of S. A. Joyce to lot 6, the same property claimed by T. F. Joyce, is based upon a sale pursuant to the foreclosure of a street sewer assessment and a deed to her from the board of public works of the city of Los Angeles, dated July 1, 1908. This sale the court found to be a collusive effort of T. F. Joyce to cure the defect in Ms title by refusing to meet his obligations, as successor of the life tenant and as a coremainderman, and to thus initiate an adverse holding in the lot by causing the same to be brought in by his wife S. A. Joyce. The question here was one of fact, and we are of opinion that there is evidence to sustain the finding of the court.
We do not think it necessary to consider the question of which appeal properly presents the matter to the court. Suffice it that the cause is before us on its merits in either view.
The findings of the court holding that the contingent interests of the grandchildren of Mrs. Means acquired by the Hollenbeck deed did not pass to appellants find support in the evidence, and the disposition of'the proceeds of the judgment made in accordance therewith properly apply the law, and, therefore, the judgment and orders appealed from are affirmed.
Allen, P. J., and Shaw, J., concurred.
A petition to have the cause heard in the supreme court, after judgment in the district court of appeal, was denied by the supreme court on June 13, 1910.
Cases cited
- Kent v. Church of St. Michael 136 N. Y. 10 p. 245, p. 247
- Page v. W. W. Chase Co. 145 Cal. 578 at 583 p. 249, p. 250
- Richards v. Blaisdell 12 Cal. App. 101 p. 251
- Stacy v. Thrasher ex rel. Sellers 6 How. 44 at 61 p. 251
- Heidritter v. Elizabeth Oil-Cloth Co. 112 U. S. 294 p. 251
- Guy v. Dü Uprey 16 Cal. 195 p. 254
- Morse v. Hinckley 124 Cal. 154 p. 254
- Jones v. Mcgarvey 56 Pac. 896 p. 254
- Fish v. McCarthy 96 Cal. 484 p. 254
- Angevine v. Knox-Goodrich 31 Pac. 529 p. 254
- San Francisco Paving Co. v. Fairfield 134 Cal. 220 at 224 p. 254
- Collins v. O'Laverty 136 Cal. 31 p. 255