THE FIDELITY & CASUALTY COMPANY OF NEW YORK, A CORPORATION ORGANIZED UNDER THE LAWS OF THE STATE OF NEW YORK, APPELLANT,
v.
R. H. MAGWOOD AND SUSIE V. MAGWOOD, HIS WIFE, ET AL., APPELLEES

Fla. | 1932-11-09
Whitfield, Ellis, Terrell and Davis, J.J., concur., Brown, J., dissents., Buford, O.J., concurs.
107 Fla. 208 Florida Supreme Court (1932) Positive Treatment
Also reported at: 145 So. 67
Cited by 19 cases

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Synopsis

Fidelity & Casualty Company obtained a judgment against R. H. Magwood and assigned it to pursue a creditors' bill that resulted in the sale of Magwood's homestead property, which had been conveyed to trustees for their minor children. The Florida Supreme Court reversed, holding that while most issues were res adjudicata, the homestead exemption claim could still be raised and the case should be remanded for consideration of whether the property qualified for homestead protection.


Holding

The Court held that most issues raised were res adjudicata and could not be relitigated; however, the homestead exemption claim was not precluded because the homestead right, once acquired, continues until terminated by law and may be asserted even if not raised in the prior proceeding, and the case should be remanded to determine whether the property was homestead and what rights the minor beneficiaries retained.


Key Quotes

“As the right of homestead once acquired continues until terminated in the manner provided by law, the protection of the right may be exercised by one entitled thereto so long as the homestead character and attributes of the property exist.”

Establishes that homestead rights are perpetual and may be asserted even if not raised earlier, distinguishing them from other defenses barred by res adjudicata

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Facts & Procedural History

Fidelity & Casualty and R. H. Magwood were liable on a bond. An obligee sued both and obtained judgment. Fidelity & Casualty then assigned the judgmen…

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Opinion of the Court
Buford, C. J.

Buford, C. J.

Appellees filed bill of complaint in the Circuit Court in and for Dade County which was termed by the complainants therein as a bill in the nature of a bill of review. The bill alleged in effect that the appellant in this case and the appellee R. H. Magwood executed a certain bond upon which they became liable. That the obligee-in the bond sued Fidelity & Casualty Company of New York, the appellant here, and R. H. Magwood, and procured judgment; and that thereafter the appellant procured an assignment of such judgment and, having procured such assignment of such judgment, filed a creditors bill to have declared null and void a certain pretended conveyance whereby R. H. Magwood and his wife Susie V. Magwood, had attempted to convey to themselves as Trustee for their minor children who were the other complainants in this suit, and the other appellees here, certain described land.

Attached to the bill of complaint, with reference made thereto, was copy of the creditors bill.

The bill of complaint in this case further alleged that decree pro confesso was taken on the creditors bill against Magwood and wife, and that the minor heirs, the children of Magwood and wife, were represented by a Guardian ad litem. That final decree was entered cancelling the pretended conveyance from Magwood and wife to themselves as Trustees for their minor children, and the lands described were ordered sold to satisfy the judgment referred to in the creditors bill.

The bill of complaint contains allegations of conclusions attempting to charge fraud by the Guardian ad litem in *210his failure to properly represent the minor defendants and against the appellant here in procuring the assignment of the judgment and further alleges that the property sought to be subjected to and which was ordered sold to satisfy the judgment was and is the homestead of R. H. Magwood, the head of a family residing in this State.

There was demurrer to the bill on general and special grounds. The demurrer was overruled.

The bill of complaint shows on its face that all questions attempted to be presented to the Court thereby, except that presented by the allegation that the property involved was, and is, the homestead of the appellee R. H. Magwood and is, therefore, exempt from forced sale, became res adjudicata by the rendition of the decree in the suit by way of creditors bill, which decree was later affirmed by this Court and that the complainants in this suit, having had their day in court in that suit and having had the opportunity there to plead every contention and every material fact which they rely on here for relief, and having failed to avail themselves of that right, they are now precluded from again litigating issues which were properly incident to that suit. See Mattair et al. vs. Card, 19 Fla. 455.

It is true that the appellee here could have interposed his claim of homestead exemption in that suit, but, having failed to interpose it there, he is not precluded from exercising his constitutional right to contest his ouster from his homestead. Where a homestead had been acquired it can be waived only by abandonment or by alienation in the manner provided by law. See Clark vs. Cox, 80 Fla. 63, 85 Sou. 173; Carter vs. Carter, 20 Fla. 558, 51 Am. Rep. 618. As the right of homestead once acquired continues until terminated in the manner provided by law, the protection of the right may be exercised by one entitled thereto so long as the homestead character and attributes of the property exist. This right may even pass to a purchaser *211and vendee of the homesteader. See Hutchinson Shoe Co. vs. Turner, 100 Fla. 1120, 130 Sou. 623.

The hill of complaint was, therefore, not without equity but, as heretofore stated, it was so framed as to present several issues which had already been adjudicated between the parties and, therefore, the demurrer should have, been sustained with leave to the complainant to amend his bill of complaint so as to present the questions as to whether or no't the property involved constituted the homestead of R. H. Magwood and was, and is, therefore, exempt from forced sale. And what are the rights of the minor children under the trust deed for their benefit covering the alleged homestead property.

The order appealed from is reversed with directions that order be entered not inconsistent with this opinion.

Reversed.

Whitfield, Ellis, Terrell and Davis, J.J., concur.

Brown, J., dissents.

Davis, J.,

Concurring. — A decree of subjection of property under a creditor’s bill can confer no right on the creditor complainant greater than he had under .his judgment at law had a creditor’s bill not been made necessary to render the judgment collectable. Therefore the decree in the creditor’s bill case cannot be res adjudicata on the question of homestead at least where the question of homestead exemption was never expressly and directly presented and decided in such ease. The creditor’s bill was merely in aid of the judgment at law.

Buford, O.J., concurs.

Concurrence
Davis, J.,

Davis, J.,

Concurring. — A decree of subjection of property under a creditor’s bill can confer no right on the creditor complainant greater than he had under .his judgment at law had a creditor’s bill not been made necessary to render the judgment collectable. Therefore the decree in the creditor’s bill case cannot be res adjudicata on the question of homestead at least where the question of homestead exemption was never expressly and directly presented and decided in such ease. The creditor’s bill was merely in aid of the judgment at law.

Buford, O.J., concurs.


Cases With Similar Vibessemantic neighbors from the corpus


Citator

Cited By

  • Lucius Knabb v. Duner, 143 Fla. 92 (Fla. 1940)
    …and 139 Sou. 142; Sauls v. Freeman, 24 Fla. 209, 4 Sou. 525, 12 Am. St. Rep. 190; Hay v. Salisbury, 92 Fla. 446, 109 Sou. 617; Peacock v. Feaster, 52 Fla. 565, 42 Sou. 889; Barse v. Whaley, 102 Fla. 404, 135 Sou. 879; Fidelity, etc., Co. v. Magwood, 107 Fla. 208, 145 Sou. 67; State v. Wright, 107 Fla. 178, 145 Sou. 598; Boca Raton v. Moore, 122 Fla. 350, 165 Sou. 579. See also McAdoo v. International Realty Associates, Inc., supra. There are no errors in the orders challenged. The same are affirmed. So or…
  • Sherbill v. Miller Mfg. Co., Inc., 89 So. 2d 28 (Fla. 1956)
    …ld have interposed the defense of homestead exemption in the respondent’s chancery suit, they were not required to do so and are not barred from doing so now. We feel that the holding of this Court in the case of Fidelity & Casualty Co. v. Magwood, 107 Fla. 208, 145 So. 67, is controlling here. Respondent contends that the petitioners can not claim the benefits of homestead exemption and that the decree in the chancery suit brought by respondent is res adjudicata on this issue. It bases this contention on…
  • Sneed v. Coma E. Davis, 135 Fla. 271 (Fla. 1938)
    …e property is exempt from sale by either process of law or in equity, the subject of which is its appropriation to the payment of debts.” See also Hutchison Shoe Co. v. Turner, 100 Fla. 1120, 130 Sou. 623; Fidelity Casualty Co. of N. Y. v. Magwood, 107 Fla. 208, 145 Sou. 67, and Bank of Greenwood v. Rawls, 117 Fla. 381, 158 Sou. 173. A case more in point than any other Florida case which we have found is that of Rigby v. Middlebrooks, 102 Fla. 148, 135, Sou. 563, in which we said: “This was a bill brough…

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