Court: Supreme Court of Arkansas; November 23, 1964; Arkansas; State Supreme Court
George Rose Smith, J. outlines a case involving the appellants, W. T. Babers and Annie Lurane Christian, who were close friends for at least eighteen years. The case centers on a deed executed by Mrs. Christian on August 8, 1962, wherein she transferred 187 acres of land to the Babers in exchange for their promise to provide her with a home and support for life. Mrs. Christian retained a life estate in the property, which generated an annual income of approximately $800. Following the deed's execution, Mrs. Christian lived harmoniously with the Babers until an extended visit to relatives led her to permanently remain away from Arkansas.
In May 1963, Mrs. Christian’s niece, Myrna Hicks, became her guardian in Virginia and sought to nullify the deed, claiming undue influence and mental incapacity. The chancellor ruled in favor of canceling the deed after a lengthy trial. However, upon reviewing the case, the court found that the decision was against the weight of the evidence.
Mrs. Christian, aged 79 at the time of the deed, had experienced significant life events, including the deaths of her husband in 1937 and her son in 1945. She had previously lived independently, managing her own affairs and working as a bookkeeper and city treasurer until shortly before executing the deed. Although she moved back to the Babers’ home due to health issues before the deed was signed, the deed was prepared by her attorney, whose integrity was not challenged.
The court noted that the arrangement appeared to be beneficial for Mrs. Christian, as it provided her with a secure home and a stream of income from the land. The chancellor's opinion emphasized the misconception that she was responsible for her own medical expenses, a claim not substantiated in the contract. While the appellee presented evidence of Mrs. Christian's nervousness and weight loss, the court found no indication that her mental state significantly impaired her ability to manage her affairs, as she continued to drive, handle her business, and negotiate leases after the deed was signed.
Mrs. Hicks claimed her aunt, Mrs. Christian, was incompetent in August 1962, yet Mrs. Hicks renewed Mrs. Christian's Arkansas driver's license in February 1963 and executed a sale of the Ozan house under a power of attorney from Mrs. Christian in March. This raises doubts about Mrs. Christian's alleged incompetence when dealing with the Babers, as it seems inconsistent with her ability to grant power of attorney later. Medical evidence presented was mixed; two physicians opined Mrs. Christian lacked the mental capacity to execute a deed, while her own long-time doctor disagreed. Additionally, although Mrs. Christian had brief hospitalizations after her husband's death in 1937, there was no evidence of lasting mental impairment. During trial, she testified coherently, countering claims of undue influence by Mrs. Baber, which appeared implausible. Ultimately, the court determined that Mrs. Christian's dissatisfaction stemmed from a change of heart rather than invalidity of the contract. The chancellor's decree was reversed, affirming Mrs. Christian's right to reside with the appellants according to the agreement. Justice McFaddin did not participate in the decision.
