Court Opinion

ID: 9854827
Source: CourtListenerOpinion
Date Created: 2023-09-24 06:14:49.182062+00
Date Added: 2024-06-11T09:23:28.063434
License: Public Domain

BERRY, Justice
(dissenting).
I regret my total disagreement with the majority, but am unable to find any substantial basis in the record to support the judgment rendered, or the conclusion that such judgment need not be reversed because there is no showing of substantial prejudice. The importance of the questions involved, when weighed by past expressions dealing with rights of co-tenancy and application of settled rules governing partition of property, is far greater than mere affirmance of a trial court’s judgment upon the ground it is not against the clear weight of the evidence.
Analysis of the matters advanced in support of this judgment reflects the reasoning as based upon these matters: Partition is a statutory remedy, but in such action the trial court has power to settle all equities between the parties. Concededly, both statements are correct, by statute and precedent. However, such thesis cannot support the conclusion that a judgment in a partition action will not be disturbed on appeal in the absence of a showing of substantial prejudice. Authority cited for the conclusion is Hassell v. Workman, Okl., 260 P.2d 1081.
It must be pointed out that the rule in I-Iassell, supra, was based upon the earlier case of Wolfe v. Stanford, 179 Okl. 27, 64 P.2d 335. In that case the basis of the rule was that nothing in the statutes permitting partition which makes the right of partition absolute; and, since there is no statutory inhibition against denial of relief by partition, a court may apply equitable principles to prevent partition from becoming a vehicle of fraud or oppression. The rule in Wolfe was applied to a specific class of property, to wit: mineral interests under property in an undeveloped area, and we held such property subject to partition.
The rale in Hassell, supra, evolved from an action brought by one co-tenant, who sought partition of a profitable business property upon the sole ground the statutes granted him an absolute right thereto. The court stated that there are equitable exceptions to the rule that hardship constitutes no defense to a co-tenant’s partition suit. But, the judgment denying partition where the decree reserved the future right to seek partition upon showing of changed *947conditions was held not clearly against the weight of the evidence nor prejudicial, where partition was based upon the asserted absolute right. The court found that partition would serve as an instrument for oppression of the co-tenant.
This decision (nor the Wolfe case) is not authority for a rule that a “substantial prejudice” must be shown by the co-tenant to result from a trial court’s partition judgment.
The opinion avoids the settled rule governing partition expressed in Airington v. Airington, 79 Okl. 243, 192 P. 687, 27 A.L.R. 182, by attempting to apply the rule in Kelly v. Dierks, 131 Okl. 217, 268 P. 193. The Airington case applies the rule that a tenant in possession is entitled to deduct expenditures for taxes and necessary improvements, and is accountable only for the proportionate share of rents actually received from third persons. The majority opinion quotes from the body of the Dierks case to support the conclusion that, even though no rents were collected, the co-tenant was liable for the proportionate share of the rental value. The rule expressed in syllabus 1 of Dierks enumerates five elements which must combine to amount to ouster of a co-tenant. Casual reference to the syllabi in Dierks will reflect the failure of the record in this case to support the conclusion of the majority opinion as to ouster, which is predicated solely upon the fact that after Fred Mauch’s death plaintiff admittedly said defendant was not to come back out there, as he didn’t want her on the place.
The majority approves the trial court’s construction of the evidence as an exclusion, or ouster, of defendant without regard to settled law that possession of one co-tenant is a holding for all, and in order to constitute ouster there must be actual repudiation of another co-tenant’s rights. Ludey v. Pure Oil Co., 157 Okl. 1, 11 P.2d 102; Keeler v. McNeir et al., 184 Okl. 244, 86 P.2d 1004; Records v. Miles, 200 Okl. 62, 191 P.2d 918. The trial court found defendant had been excluded from the premises, which necessarily imparts defendant’s ouster from possession. Such holding directly contravenes all prior decisions of this Court concerning what is necessary to constitute ouster. If the rule of the majority is to be the law we should overrule specifically our former decisions dealing with the subj ect.
Parenthetically, it is observed that the trial court accepted defendant’s evidence of annual rental value of the farm and then charged plaintiff with one-half of that rental value. The pretended ouster occurred late in June, 1963, leaving less than half the year’s rental value to be considered. In no event could plaintiff be charged with more than half of the annual rental for the,remainder (5 months and thirteen days) of the year.
The vice which inheres in affirmance of this judgment lies not only in acceptance of the trial court’s finding of exclusion and ouster, but accepts such finding as the basis for the refusal to enforce any eqrtities arising in plaintiff’s favor from 1957-1963. It is axiomatic that equity follows the law. 30 C.J.S. Equity § 103. Burns v. Woodson, Okl., 363 P.2d 233. And, this maxim is strictly applicable where the rights of the parties are clearly defined and established by law; which rule we recognized in York v. Trigg, 87 Okl. 214, 209 P. 417, where syllabus 7 states:
“Where the rights of parties to an action are clearly defined and established by law, equity has no power to change or unsettle such rights. The maxims of equity may be invoked to protect an existing right, but are unavailable to create a right where none exist. Equity follows the law.”
The rule particularly applies where rights are fixed by statutory provisions. Our own statute, 41 O.S.1961, § 20, provides:
“If a joint tenant, or tenant in common, or tenant in coparcenary, have, by consent, management of the estate, and make repairs and improvements with the knowledge, and without objection, of his co-tenant or coparcener, such cotenant or *948coparcener shall contribute ratably thereto.”
That this statute, which should have been given controlling effect, was not considered by the trial court is abundantly clear.
However, absent statutory authority, the rule in equity has been stated:
“Although at common law, independent of statute, one cotenant cannot charge another with the value of improvements made by him upon the premises, unless they are made with the latter’s consent, yet in equity a different rule is applied, and the court, acting upon the maxim ‘he who seeks equity must do equity,’ will decree an account and suitable compensation and take them into consideration in decreeing a partition of the premises, even though such improvements have been made without consent, or a promise of contribution, * * * when made bona fide, provided they are necessary, useful, substantial, and permanent, enhancing the value of the estate * * 29 L.R.A. 449, p. 4S2, and footnote annotations.
This has been the rule in common law states, prior to adoption of statutes, applied consistently from the case of Town v. Needham (1932) U.S., 3 L.Ed. 268.
In a partition sale the purchase money should be apportioned so party making improvements should have the increased value in addition to pro rata interest. Dean v. O’Meara (1868) 47 Ill. 120. The court will require payment of a ratable portion of the improvements or add the proportion to the share allotted the tenant in possession. Hitchcock v. Skinner, 1 Hoff. Ch., N.Y., 21 (1839). For permanent improvements which constitute an addition to value allowances will be made. Curtis v. Poland (1886) 66 Tex. 511, 2 S.W. 39. The court should deduct a proportionate amount for necessary and proper improvements by cotenant in possession. Scantlin v. Allison, 32 Kan. 376, 4 P. 618; Sarbach v. Newell (1883) 30 Kan. 102, 1 P. 30; Dawson v. Dawson, 136 Kan. 471, 16 P.2d 946. The same rule applies to taxes. Scantlin v. Allison, supra. And see Emery v. Goff, 203 Okl. 618, 225 P.2d 164, acknowledging that our partition statutes were adopted from Kansas, came to us already construed, and thus are presumed to have been adopted as construed.
The proposition that a cotenant who makes valuable improvements is entitled to the enhancement of the value from such improvements is supported by text authority and multiplied dozens of decided cases from practically every state. 68 C.J.S. Partition § 139; American Law of Real Property, Ch. VII § 6.18; Powell on Real Property, V. 4, § 604; Thompson on Real Property, V. 4 § 1803, et seq.; 1 A.L.R. 1189; 27 A.L.R. 182; 98 A.L.R. 852.
No special attention is directed to the obvious error which inhered in the trial court’s refusal to allow plaintiff reimbursement for taxes paid. This question is clearly settled under Airington v. Airington, supra; Rodesney v. Hall, Okl., 307 P.2d 131; Manor v. Liles, Okl., 319 P.2d 310. The majority opinion seeks to avoid this rule by asserting that where a cotenant is excluded from possession, Kelly v. Dierks, supra, the tenant in possession is liable for the fair rental value. Assuming that the finding of “exclusion” relied upon as bringing this rule into effect is correct, the application to the present case clearly is erroneous. The “presumed” exclusion of defendant did not occur until June, 1963, hence the rule cannot be applied against plaintiff’s claim for taxes paid prior to the claimed exclusion. Unless this be accepted as correct this Court should overrule the cases just cited.
One further consideration discloses the inequity resulting from affirmance of this judgment. The general rule as to contribution for improvements made by a cotenant is that equity will compensate the cotenant for improvements made in good faith, when of a necessary and substantial nature materially enhancing the value of the common property. 68 C.J.S. Partition § 139. The rule as to the extent of compensation to a cotenant making improvements *949requires allowance of the amount by which the value of the property is enhanced. The text states the rule in § 139(d), supra, and the decision in Manor v. Liles, supra, appears in the annotations showing this Court’s adoption of the rule. And, the Manor case states that in absence of a demand to be let into possession, or an attempt to enter, the cotenants out of possession could not claim they had been excluded, or had been denied the right of possession. Defendant made no claim or demand in the present case, but the majority affirms the trial court’s finding that defendant was excluded from the premises. This despite the elements required for exclusion as enumerated in Kelly v. Dierks, supra.
The equitable basis for the rule allowing a cotenant compensation for improvements is that other cotenants may not be unjustly enriched by receiving advantage from the enhancement of value, to which they contributed nothing. In Dalgarno v. Baum, 182 Va. 806, 30 S.E.2d 559, that court applied the equitable doctrine in favor of the cotenant who made the improvements, without regard to whether other cotenants assented to the improvements.
The first principle and the final object of equity is to do right and justice, and thus will not permit one party to enrich himself unjustly at the expense of another. It is undeniable that the trial court’s judgment was contrary to both law and equity, and provided a vehicle for defendant to be unjustly enriched at plaintiff’s expense. This Court does not hesitate to reverse judgments based upon jury’s verdicts. J. C. Penney Co. v. Swartz, Okl. 364 P.2d 111; Transport Ind. Co. v. Page, Okl., 406 P.2d 980. I find no reason for holding this trial court’s findings and judgment of greater potency than the findings of a properly instructed jury. This Court’s power to set aside an erroneous judgment is unquestioned when justice requires this be done. Our action in controlling inferior courts embraces this power. Our right to exist and function as a court ultimately must rest upon our power to dispense fundamental justice. In our form of government this is imperative. The record and the judgment in this case unmistakably reflects misapplication of law and equity, and results in complete defeat of ultimate justice.
I dissent.