Majority
Headnote
Vendor and Purchaser—Consideration—Statute of Frauds.The plaintiff sued upon a check given him by the defendant as earnest upon, and partial consideration for, an agreement by the former to sell or assign to the latter a contract held by him for the purchase of certain real estate, the defendant having stopped payment of the check, and having refused to complete the transaction. . basing his refusal upon alleged misrepresentations, as to the state of the property, made by the plaintiff at the time when the agreement was entered into and the check delivered. Ample evidence was given for the plaintiff to rebut the defendant’s proofs touching the alleged fraud, and the record most fully supports the recovery upon every essential point. From the receipt given by the plaintiff to the defendant when the check was delivered, it appears that-the agreement was not, as now claimed by defendant, that the plaintiff should make a contract of sale in his own name, but actually looked to the transfer to defendant of plaintiff’s interest in an existing contract held by him as prospective purchaser; and the sum represented by the check was a partial consideration, at least, for the executory agreement to make this transfer, and was intended to serve as a deposit to secure the defendant’s performance. The plaintiff’s evidence shows
In Rhodes v. Storr, 7 Ala. 346 , it was held that the vendee’s defense to the vendor’s action upon a promissory note, given for the purchase money under a verbal contract for the sale of lands, could not be sustained where the vendor was not in default, the reasoning adopted being principally, that the requirements of the statute did not affect the fact that there was an actual consideration furnished by the vendor (the plaintiff) in his holding himself ready to perform. So, too, in Gillespie v. Battle, 15 Ala. 282 , under the same state of facts, the court adopted the ground that the defense “that the note was given under a verbal contract,” etc., did not present any question of the validity of the contract under the statute of frauds, but went, at most, to the consideration for the note, and that this point was met by proof of the plaintiff’s willingness and ability to perform as vendor. In McGowen
Judgment affirmed, with costs. All concur.
Cases cited
- Allis v. Read 45 N. Y. 142 p. 414
- Harris v. Frink 49 N. Y. 24 p. 414
- Raubitschek v. Blank 80 N. Y. 478 p. 415