Bryan v. Councilman

Rogers. J., delivered the opinion of the Court. This is an appeal from the Circuit Court for Baltimore County in equity. On September 24th, 1902, Sadie C. Councilman filed her bill of complaint in the Circuit Court for Baltimore County against her husband James B. Councilman, his brothers and sisters and the Safe Deposit and Trust Company.

In this bill she alleged that her husband took, under the last will of his late uncle James B. Councilman, of Baltimore County, a large and valuable estate known as Woodhome. The bill further alleges that after her marriage Mrs. Councilman advanced to her husband large sums of money to be used in the improvements of Woodhome, in the belief that her husband possessed that property in fee simple; that these ³⁸¹ sums were expended on Woodhome; and that thereby the vendible value of that estate was very greatly increased— among other improvements a number of cottages and other buildings having been erected on that estate. Subsequently to these advances and improvements differences arose between Mrs. Councilman and her husband, and at the time of the filing of the bill they were living separate and apart from each other. The bill then alleges that since the expenditure of these sums of money on Woodhome by her, on the theory and belief that the same was owned in fee simple by her husband, and under the promise by him to secure her for such advances, by a lien on this estate, she has learned that there is a doubt as to whether under the proper construction of the will of the late James B. Councilman, Woodhome belongs absolutely to her husband, or whether there is a contingent or expectant interest in Woodhome possessed by the heirs apparent of her husband — these heirs apparent being his brothers and sisters.

The bill then states that on October ist, 1900, her husband executed and delivered to her a mortgage of all his interest in Woodhome and all the live stock and crops upon it, to secure the sum of $72,500. This mortgage recites as follows: “Whereas, Sadie C. Councilman, wife of the said James B. Councilman, did heretofore advance and pay out large sums of her own money for the purpose of and in making, erecting, rebuilding and repairing certain buildings, cottages and other improvements on certain real estate belonging to or in which the aforesaid James B. Councilman had a life estate or certain other interests, and especially on that tract of land known as ‘Woodhome Farm,’ situated in the Third Election District of Baltimore County; and “Whereas, it was agreed by the parties hereto at and prior to the time the said money was so advanced or paid out, that the repayment of the same to the said Sadie C. Councilman should be secured by a lien on or a deed for the property on which said buildings, cottages and improvements were made, ³⁸² erected or repaired, and the sum so paid out and advanced by the said Sadie C. Councilman did, on the 2nd day of October, 1899, amount with interest to the sum of seventy-two thousand five hundred dollars, and the said James B. Councilman did, on the 2nd day of October, 1899, make and deliver to the said Sadie C. Councilman his promissory note for the said sum payable on demand, and the said note so delivered did contain an agreement on the part of the said James B. Councilman to transfer to the said Sadie C. Councilman, as security for the payment of said note, all right and interest the said James B. Councilman should own or hold in and to any real or personal property, whenever the said Sadie C. Councilman should demand the same, and the said Sadie C. Councilman has prior hereto demanded that the said James B. Councilman perform the agreement set forth in said note and make the transfer therein provided for.” The record shows that on April 30th, 1902, Mr. Councilman obtained a further loan of his wife for $ 13,000. The record further shows that Mr. Councilman left the estate owing a number of debts. The bill then prays for the appointment of a receiver, that she may be decreed to have a lien for betterments on the estate of Woodhome, that the estate be sold to satisfy her lien for betterments and her mortgage debt and for general relief.

A copy of the note of October. 2nd, 1899, is as follows: Mt. Wilson, Oct. 2, 1899. “In consideration of my wife, Sadie C. Councilman, having expended her own money in erecting five houses, two stables, water tower, waterworks, gas machines, digging artesian well, rebuilding and repapering and refurnishing the main dwelling and overseer’s house and erecting an ice house on my property known as Woodhome Farm, Mt. Wilson, Md., in which I have life estate, and wishing to protect her in this large expenditure of her money, as it was .agreed on my part between her and others that I should do so, I hereby, on this 2nd day of October, 1899, do promise to pay to the said Sadie C. Councilman, on demand, the sum of seventy-two thousand ³⁸³ five hundred ($72,500) dollars, for value received, with interest, and hereby also promise to transfer to her all right and title to any real, personal or mixed property that I may own or hold whenever she should so demand it as an additional security. Witness .

J. B. Councilman.” W. B. Schwartz. The Circuit Court passed an order appointing the Safe Deposit and Trust Company receiver. Mrs. Councilman died in May, 1906, and Mr. Wm. S. Bryan, Jr., as her executor, was made party plaintiff in her stead.

On March 18th, 1907, the Court below passed the following decretal order: This case coming on to be heard and the counsel for all the parties in interest having been heard, and the proceedings having been read and considered, and the counsel for the plaintiff having asked the Court to decree a lien by way of betterments and upon the property mentioned in these proceedings, it is, thereupon, on this 18th day of March, 1907, by the Court here ordered, adjudged and decreed that William S. Bryan, Jr., executor of the late Sadie C. Councilman, has under proof of this case no lien by way of betterments binding upon the fee simple interest in the property mentioned in these proceedings. The determination of the rights of the executor of the late Sadie C. Councilman under the mortgage executed by James B. Councilman to Sadie C. Councilman and filed in these proceedings is reserved for the future action of the Court.” And from this decretal order the appeal in this case is taken. Let us examine the record in this case and find out from it the true position of this complainant. On page 176. 7th Ques. & Ans.

It was my home and I put my money there with that intention. I put the money there when I was married and the whole time ten years; everything he wanted, I let him use my money just the same as if it belonged to him. 14th Ques. And the money was put there when? ³⁸⁴ Ans/ All along, when I first went there' $18,000 in' house and $20,000 in other houses beside the other improvements. 15th Ques. And you put this money there when?

Ans. When I was first married to him ten years before. 18th Ques. Can you tell us whether or not you would-have put your money in the improvement in that place or have permitted it to be put in the improvement if you had riot believed it would be yours and your children? Ans.

I never thought of any' lien and never thought other than that it was' his and had. that impression when I married him and supposed his uncle left it to him absolutely. That was what I understood. 25th Ques. What I want to get at is not what was said by his brother or anybody else at the time of the Milk Prodricers but what Mr. Councilman said at or before the time when the money was put in, to induce you to put money in? - Ans. Of course all through iriy married life; it was natural, for me to say to him that there was a great deal of money ' being-spent on the property and he said you derive the benefit of it; it, is very valuable and will come to you and that satisfied mé, and as I said, it was my home, was. to be my home all my life as I thought. - • 26.

And when I put my money there I thought it was for my benefit and my children.and that is all I can say. Mr. J. W. Marshall. 23. James B. Councilman said that his wife knew to the-contrary that is my recollection. 34. He, Councilman, told me that he had told his wife that he only had a life interest in her. presence, but she denied it. 12.

When improvements were made at Woodhome, Mrs. Councilman ' before we were married, came up there a great deal driving with her aunt during-.-the summer and fall, and she would drive up to Woodhome and looked over the house and wanted to make a great many improvements, I told her I had not-the money, and it was a first rate house and substantially built and no reason why it should be improved, the only thing it needed was a new . roof, which I intended to put ³⁸⁵ on; she said her grandfather’s estate had been settled up and this was to be her home and a home for her children and she wanted to spend the money herself, and she would not live in there the way it was and she insisted and put it in such a way that I allowed her to spend the money and saw Mr. Cowan and he agreed to make the improvements for $5,600 and the plans were satisfactory to her and I submitted them to her at her house 1733 Linden avenue. 13th Ques. Before you were married? Ans. Yes. 14th Ques.

Long before you were