Colwell v. Fulton

Citations

• 117 F. 931
• 1902 U.S. App. LEXIS 5152

Syllabus

<p>1. Contract—Money—Installments.</p> <p>Where the payment of installments of money is provided for in an agreement, suit may be brought for them as they accrue during the currency of the agreement.</p> <p>3. Contract of Sale—Right to Terminate.</p> <p>O., in consideration of $193,000, agreed to convey to F. certain land, to transfer shares of stock in a company, and assign a mortgage of $340,-000 given by the company, an installment of $15,000 on the consideration to be paid when the deed was delivered and the stock transferred, and $500 a month thereafter to be paid for 10 years on account of interest on the balance of $178,000, F. having the right at any time within the 10 years to pay the $178,000, with interest, when all claim of C. should be relinquished, and it being provided that moneys received from sales or rents should be applied on the purchase price with a release of all claim by C. when the $178,000, with interest, was paid from any source. It was also provided that if F. had to foreclose the mortgage, and bought in the premises, he might execute a mortgage thereon to O. for the balance due, with interest, without personal liability, or end the matter by conveying the premises to C. There was a further provision that, if F. was in default for 30 days, C. could foreclose the mortgage, which was to be reassigned to him as collateral, or he might, on notice, sell it. Held, in an action for the monthly installments of interest, that the contract was not a terminable one, amounting to no more than an option, from which F. could retire at any time.</p>