Opinion ID: 1219556
Heading Depth: 1
Heading Rank: 4

Heading: valuation of the property

Text: Malnar contends that the trial court erred in finding the value of the property to be $180,000 in February 1984 when the default occurred. She first asserts that the date of valuation should be March 7, 1985, because Elder's assignees refused to acquiesce in the forfeiture and claimed ownership in the property until that date. The trial court properly concluded as a matter of law that fair market value should be determined as of the time of breach, which was February 3, 1984. This is the general rule in real estate contracts. See Webster v. DiTrapano, 114 A.D.2d 698, 494 N.Y.S.2d 550 (1985); Quigley v. Jones, 174 Ga. App. 787, 332 S.E.2d 7, aff'd, 255 Ga. 33, 334 S.E.2d 664 (1985); Lake Shore Investors v. Rite Aid Corp., 55 Md.App. 171, 461 A.2d 725, aff'd, 298 Md. 611, 471 A.2d 735 (1983); American Mechanical Corp. v. Union Mach. Co. of Lynn, Inc., 21 Mass. App. 97, 485 N.E.2d 680 (1985). As the trial judge stated from the bench, Malnar's assertion appears to be a claim for interference with marketable title, which would have to be affirmatively pleaded. No such pleading was made, and the trial judge correctly confined his valuation to the time of default when Malnar exercised her option to retake the property. In addition, Malnar testified that between the time of retaking the property and obtaining a stipulation removing the cloud on the title, she made no attempt to resell the property or to list it with a real estate broker. Thus Malnar was not prevented from selling the property by any action of Elder or his assignees. Malnar further asserts that the trial court's factual finding valuing the property at $180,000 is error. An expert witness for plaintiffs testified that the land was worth $180,000. Malnar's appraiser affixed a lesser value to the land in 1985 but was unable to give an opinion on the value of the property in 1984. The valuation finding is therefore not clearly erroneous.