Green v. Higgins

535 P.2d 446 (1975)

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Nature of the Case

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Facts

Higgins (D) sold land to Brown and Gilman. At the time of the transaction, D agreed that Brown and Gilman would have a first right of refusal to purchase adjoining land from D. As part of that same transaction, McCulley obtained an agreement from D, which gave her the right to handle any subsequent sale of the adjoining tract if that sale occurred prior to June 1, 1971. In April 1971 D decided to sell the adjoining tract. Green (P) desired to purchase the land from D at the price of $30,000. A contract between P and D was executed on April 21, 1971. Prior to this execution, D advised P that McCulley would be entitled to a commission if the sale occurred before June 1, 1971. The contract was then dated June 2, 1971, to cheat McCulley. After the contract was signed D then advised P that the land was subject to a first right of refusal in Brown and Gilman. D then suggested that a fake contract be devised and delivered to Brown and Gilman to force them to exercise their option. That contract was priced at $40,000 in order to discourage them from buying. Brown and Gilman did not exercise their right. Thereafter, D decided he did not want to sell and so advised P. The only money that had changed hands at that point in time was $100 given by P to D. D offered to return the money. In January 1972 P tendered the balance of the purchase price and requested a warranty deed. D refused and P sued for specific performance. D counterclaimed for damages for P’s clouding his title. The district court found that the conduct of both parties had been willful, fraudulent, illegal, and unconscionable and that neither party had come to the court with clean hands and thus neither should be granted any relief by the court. P appealed.