CAROLINA PORTLAND CEMENT COMPANY, A CORPORATION EXISTING UNDER THE LAWS OF SOUTH CAROLINA, APPELLANT,
v.
R. B. F. ROPER AND M. LEIDERSDORF, APPELLEES
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Carolina Portland Cement Company obtained a judgment against J. P. Turner on July 6, 1908, and seeks to enforce it as a lien against land that Turner had conveyed on June 5, 1908 (but not recorded until September 25, 1908). The Florida Supreme Court reversed the lower court's decree that the judgment was not a lien, holding that the grantee's possession before judgment—limited to surveying, digging test holes, and showing prospective buyers—was insufficient constructive notice to protect against the judgment lien.
The Court held that the acts of possession (surveying, test holes, and showing prospective buyers) were insufficient to constitute actual possession or provide constructive notice of the grantee's claim of ownership. Therefore, the judgment obtained July 6, 1908, creates a valid lien on the land despite the unrecorded June 5, 1908 deed, and the lower court's decree holding the judgment not to be a lien cannot be sustained.
“An execution creditor, equally with a subsequent purchaser, is protected under the statute against unrecorded deeds, and in order to deprive such judgment creditor of the protection of the recording statute it must be shown that he had notice in some recognized way of the rights of the party claiming under the unrecorded deed at the time of the rendition of his judgment.”
Establishes the principle that judgment creditors receive the same protection as subsequent purchasers under recording statutes and must have had notice of an unrecorded deed to be deprived of that protection.
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Join FLexlaw to unlock all legal intelligenceIn 1907, J. P. Turner executed a trust deed to the State Bank of New Smyrna to secure a loan. On June 5, 1908, Turner and his wife conveyed the land t…
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Whitfield, J.
This appeal is from a decree declaring a certain judgment not to be a lien upon stated real estate. It appears that in 1907, J. P. Turner and wife, to secure a loan, executed a trust deed upon the land to the State Bank of New Smyrna, which deed was recorded, and that on June 5th, 1908, J. P. Turner and wife executed a deed of conveyance of the land to John T. Hammond, who, joined by his wife, on April 17th, 1911, conveyed the land to appellees; that the deed from Turner and wife to Hammond was not recorded till September 25th, 1908, and that on July 6th, 1908, the Carolina Portland Cement Com pany obtained a judgment at law in the Circuit Court for Yolusia County, in which the land was located, against J. P. Turner. The appellees who received title by conveyance from the grantees of J. P. Turner contend that the decree appealed from is erroneous in holding that the judgment obtained July 6th, 1908, by the complainant company against J. P. Turner, is not a lien upon the land conveyed by Turner on June 5th, 1908, even though the deed of conveyance was not recorded till September 25th, 1908, after the judgment was rendered by the Circuit Court.
In support of the decree appealed from it is argued that the grantees, upon acquiring title from Turner-on June 5th, 1908, at once went into possession of the land and remained in actual possession thereby giving notice to the world that they claimed and held an interest in the land, which rendered the holder of the judgment obtained on July 6th, 1908, not a creditor for value and without notice Avithin the meaning of the recording statutes. The trust deed executed and recorded in 1907 does not appear to have any material bearing upon this controversy. It is not contended that the judgment creditor had notice of the execution by Turner of the unrecorded deed when the judgment was obtained.
Every judgment entered by the Circuit Court shall create a lien and be binding upon the real estate of the defendant in the county Avhere rendered. Sec. 1600, Gen. Stats. 1906. No conveyance, transfer or mortgage of real property shall be good and effectual in law or equity against creditors or subsequent purchasers for a valuable consideration and without notice, unless the same be recorded according to law. Sec. 248, Gen. Stats. 1906. The creditors referred to in the above statute are creditors who “had obtained liens on the recovery of judgments.” Rogers v. Munnerlyn, 36 Fla. 591, 18 South. Rep. 669.
The law is Avell settled that under our recording laws subsequent purchasers and creditors acquiring subsequent liens by judgment or otherwise without notice of a prior unrecorded deed will be protected against such unrecorded conveyance, unless the party claiming thereunder can shoAV that such subsequent purchaser or lien creditor acquired his title or lien with notice of such unrecorded conveyance; and the burden of showing such notice is upon the party claiming under such unrecorded conveyance. All of the presumptions in such a case are in favor of the bona fides of such subsequent purchaser or lien creditor, and that they acquired their subsequent title or lien in good faith and Avithout notice of the unrecorded prior conveyance.
An execution creditor, equally with a subsequent purchaser, is protected under the statute against unrecorded deeds, and in order to deprive such judgment creditor of the protection of the recording statute at must be shown that he had notice in some recognized way of the rights of the party claiming under the unrecorded deed at the time of the rendition of Ms judgment. Feinberg v. Stearns, 56 Fla. 279, 47 South. Rep. 797.
Actual possession of land is such notice to all the world or to any one having knowledge of such possession as will put upon inquiry those acquiring title to or a lien on the land, to ascertain the nature of the rights the occupant really has in the premises. One who acquires title to or a judgment lien on land with constructive notice of the actual possession and occupancy of the land by one other than the vendor or judgment debtor, takes subject to such rights as the proper inquiry will disclose the occupant of the land actually has therein. Possession, in order to be constructive notice of a claim of title to the land occupied, must be open, visible and exclusive; and such occupancy may be shown by any use of the land that indicates an intention to appropriate it for the benefit of the possessor. Such use may be any to which the land is adapted, and is calculated to apprise the world that the property is occupied under a claim of right therein. See Tate v. Pensacola, Gulf, Land & Development Co., 37 Fla. 439, 20 South. Rep. 543; Massey v. Hubbard, 18 Fla. 688; McAdow v. Wachob, 45 Fla. 482, 33 South. Rep. 702.
The important question for determination here on the pleadings and evidence is whether the possession shown of the land before and at the time the judgment was rendered, if of such a nature as to put the world in general, or the defendant company in particular, upon inquiry to ascertain the nature of the rights of those having possession or occupancy.
The complainants’ testimony is that in April, 1908, un der a contract to buy the land, which was not cultivated or occupied, the complainants’ grantor, Hammond, went into actual possession of the land by having it surveyed and having holes dug in the land to test its quality, and by taking prospective purchasers on the land to examine it. These acts were not sufficient indicia of ownership to put the world, including the defendant foreign corporation, upon inquiry as to the rights of the complainants in the land. They did not constitute actual possession. Such acts might well have been performed by the agent of the former owner, or by a casual trespass. The acts asserted as constituting possession and occupancy being insufficient to indicate a claim of ownership of which the world should reasonably have taken notice, the decree that the judgment is not a lien upon the land cannot be sustained. See Feinberg v. Stearns, 56 Fla. 279, 47 South. Rep. 797; West Coast Lumber Co. v. Griffin, 56 Fla. 878, 48 South. Rep. 36; Hopkins v. O’Brien, 57 Fla. 444, 49 South. Rep. 936; Lusk v. Reel, 36 Fla. 418, 18 South. Rep. 582, 51 Am. St. Rep. 32; Doyle v. Wade, 23 Fla. 90, 1 South. Rep. 516, 11 Am. St. Rep. 334.
The acts of possession here asserted are wholly different from those shown in McAdow v. Wachob, 45 Fla. 482, 33 South. Rep. 702. In Mansfield v. Johnson, 51 Fla. 239, 40 South. Rep. 196, and Jacobs v. Scheurer, 62 Fla. 216, 57 South. Rep. 356, the question was the sufficiency of the record of the conveyances to protect the real owner of the land from the lien of a judgment obtained against the apparent owner of the record title. In this case the question is the sufficiency of the possession of the grantee under an unrecorded deed to protect him and his successors in title from the lien of a judgment obtained by a third person against a former grantor after'the conveyance by him was executed, but before it was recorded. In Mansfield v. Johnson, supra, the deed of conveyance, as recorded, gave no indication of the right of the real owner of an interest in the land and the credit leading to the judgment lien may have been given with reference to the title shown by the record. In Jacobs v .Scheurer, supra, the deed of conveyance was incorrectly recorded before judgment was obtained against the grantor, and a subsequent correct record of the deed of conveyance had relation to the original filing for record, which filing was before the indebtedness was incurred on which the judgment was obtained. See Hunter v. State Bank of Florida, 65 Fla. 202, 61 South. Rep. 497; Ray v. Hocker, 65 Fla. 265, 61 South. Rep. 500.
The decree is reversed.
Shackleford, C. J., and Taylor, Cockrell and Hocker, J. J., concur.
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Cited By (21 total)
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William E. Sapp and his wife v. Warner, 105 Fla. 245 (Fla. 1932)…good and effectual in law or equity against creditors or subsequent purchasers for a valuable consideration, mid without notice. Such has been the constructioh consistently put upon the statute by this Court. Carolina Portland Cement Co. vs. Roper, 68 Fla. 299, 67 Sou. Rep. 115; People’s Bank of Jacksonville v. Arbuckle, 82 Fla. 479, 90 Sou. Rep. 458; Rambo v. Dickenson, 92 Fla. 758, 110 Sou. Rep. 353. But the statute also expressly recognizes that “notice” of an unrecorded instrument may take creditors…
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United Contractors, Inc. v. United Constr. Corp., 187 So. 2d 695 (Fla. 2d DCA 1966)…eans of knowledge which it was his duty to use,. Rinehart v. Phelps, 1942, 150 Fla. 382, 7 So. 2d 783, but such possession to be notice of claim of title, must be open, visible and exclusive, Carolina Portland Cement Co. v. Roper, 1914, 68 Fla. 299, 67 So. 115. Actual possession is notice to all the world of whatever right the holder has in the property and such possession, when open, visible and exclusive, will put upon inquiry those having or acquiring any title to or lien upon the property to ascertain…
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Smith v. W. A. Pattishall under the last will and testament of Mary O. Beeman, 129 Fla. 498 (Fla. 1937)…according to the decisions in those States, the creditors referred to in the statutes did not mean creditors at large, but such as had obtained liens on the recovery of judgments.” [*518] See also Carolina Portland Cement Co. v. Roper, 68 Fla. 299, 67 So. 115. For the reasons above pointed out, our former opinion, except as hereinabove slightly modified and explained with reference to the nature of the “vested rights” acquired by the attaching of appellant’s judgment lien to the land here involved, is a…
Previewing 3 of 21 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited (13 total)
- Tate v. Pensacola, 37 Fla. 439 (Fla. 1896)
- Doyle v. Matilda Wade, 23 Fla. 90 (Fla. 1887)
- Feinberg v. Stearns, 56 Fla. 279 (Fla. 1908)
- Hunter v. State Bank of Fla., 65 Fla. 202 (Fla. 1913)
- Jambs F. Mansfield and Joseph J. Bishop v. Johnson, 51 Fla. 239 (Fla. 1906)
- Massey v. Hubbard, 18 Fla. 688 (Fla. 1882)
- C. B. Rogers & Co. v. Munnerlyn, 36 Fla. 591 (Fla. 1895)
- Ray v. Hocker, 65 Fla. 265 (Fla. 1913)
- Hopkins v. O'Brien, 57 Fla. 444 (Fla. 1909)
- Jacobs v. Scheurer, 62 Fla. 216 (Fla. 1911)