Forrer v. Sather

MAUGHAN, Justice:

The sole issue on appeal is the measure of damages, in an action for breach of the covenant against encumbrances, as contained in a statutory warranty deed. 1 Under the specific facts of this case, the encumbrance, a mortgage, exceeded by a considerable sum, the purchase price plaintiffs,' the grantees, paid defendants, the grantors.

The trial court ruled the damages recoverable by plaintiffs were limited by the amount which was fairly and necessarily paid to extinguish the encumbrance, not to exceed, however, the amount of the purchase money paid by plaintiffs to defendants,…