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Case Citation
Legal Case Name

Alderman v. Davidson Case Brief

Oregon Supreme Court1998Docket #319162
954 P.2d 779 326 Or. 508 Property Contracts Remedies

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Case Brief Summary & Legal Analysis

General Brief
4 min read

tl;dr: A seller who repeatedly accepted a buyer’s late installment payments on a land contract was held to have also waived the right to foreclose for the buyer’s separate failure to pay property taxes, because the seller had constructive knowledge of the tax default.

Legal Significance: A creditor’s waiver of one contract term (e.g., timely payment) can extend to another (e.g., tax payment) if the creditor’s conduct is inconsistent with enforcing the second term, especially with constructive knowledge of the second breach, thereby estopping foreclosure without proper notice.

Alderman v. Davidson Law School Study Guide

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Case Facts & Court Holding

Key Facts & Case Background

In 1989, a buyer purchased 120 acres from a seller under a note and trust agreement. The agreement required monthly installment payments and the timely payment of all property taxes. It included a “time is of the essence” clause and required the buyer to deliver tax payment receipts to the seller. From the beginning, the buyer consistently made late installment payments, which the seller accepted despite occasional complaints. The buyer also failed to pay property taxes for the years 1990, 1991, 1992, and 1993, and consequently never delivered any tax receipts to the seller. In January 1994, the seller sent a notice of default for both late payments and unpaid taxes, but the buyer never received it. The seller’s escrow agent continued to accept installment payments, bringing the account current by May 1994. Shortly thereafter, the seller filed for judicial foreclosure, alleging default for both non-payment of installments and non-payment of taxes. The seller had paid the back taxes herself just before and after filing the complaint.

Court Holding & Legal Precedent

Issue: Does a seller’s long-standing acceptance of a buyer’s late installment payments on a land sale contract also constitute a waiver of the right to foreclose based on the buyer’s separate, concurrent failure to pay property taxes, when the contract required the buyer to provide tax payment receipts to the seller?

Yes. The seller waived her right to foreclose based on the buyer’s Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaec

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IRAC Legal Analysis

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Legal Issue

Does a seller’s long-standing acceptance of a buyer’s late installment payments on a land sale contract also constitute a waiver of the right to foreclose based on the buyer’s separate, concurrent failure to pay property taxes, when the contract required the buyer to provide tax payment receipts to the seller?

Conclusion

This case establishes that in land sale contracts, a creditor's waiver of Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Exce

Legal Rule

A party's waiver of a right to enforce one provision of a Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, se

Legal Analysis

The Oregon Supreme Court determined that waiver is the intentional relinquishment of Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis

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Flash Summary

  • A seller’s long-term acceptance of late payments waives a “time is
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum do

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