Lohmeyer v. Bower

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Lohmeyer v. Bower
Court Kansas Supreme Court
Citation 227 P.2d 102
Date decided January 27, 1951

Facts

  • Dr. Lohmeyer = homebuyer in 1951 in Kansas
  • Bower = home seller
  • Bower agreed to provide a marketable title with a warranty deed
  • The house being sold had 2 problems
    • being too close to the neighboring house in violation of a city ordinance
    • being 1 story high which violated the sub-division restriction requiring houses to be 2 stories tall
  • Lohmeyer's attorney advised him that he could face litigations in the future
  • Bower was willing to buy a strip of land & convey it to Lohmeyer to resolve the encroachment issue in violation of the city ordinance
  • Lohmyer sought to rescind the contract & demanded his earnest money back
  • Bower & his escrow agent refused to return the deposit

Procedural History

  • Lohmeyer sued Bower in Lyon County district court in Kansas.
  • Bower counter-sued seeking Lohmeyer to complete the sale.
  • Lohmeyer lost in the trial court.

Issues

  1. Do zoning & sub-division restriction violations render a title un-marketable?
  2. May a buyer rescind a sale if the seller can't provide merchantable title?

Holding

  1. Yes. A violation of a land-use restriction constitutes an encumbrance rendering the title to the land un-marketable.
  2. Yes. The buyer has the right to cancel the sale if the seller can't provide a marketable title.

Judgment

Reversed

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