Alexander v. Walker

239 S.W. 309, 1922 Tex. App. LEXIS 545
CourtCourt of Appeals of Texas
DecidedFebruary 8, 1922
DocketNo. 6672.
StatusPublished
Cited by24 cases

This text of 239 S.W. 309 (Alexander v. Walker) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alexander v. Walker, 239 S.W. 309, 1922 Tex. App. LEXIS 545 (Tex. Ct. App. 1922).

Opinion

COBBS, J.

Appellee filed this suit against appellants for the rescission of a sale of alleged diseased cattle amounting to 316 head, for which appellee paid the sum of $23,700, being induced to purchase the same upon the false and fraudulent representations that the cattle were sound and healthy at the time of sale, but in truth and in fact they were at the time of sale suffering from an infectious and contagious disease known as Texas or tick fever, which fact was well known to appellants at the time, but was not communicated to appellee, and, at the time of the purchase, appellee, relying upon the false representations so made to him, and believing the same to be true, that they were sound and healthy cattle, purchased and paid said sum of money in cash for them. That appellants intended to and did deceive the appel-lee, and induced him thereby to purchase said cattle, knowing such representations to be false and material, induced appellee to rely upon such representations in the purchase of said cattle.

That said purchase was made on or about *311 the 4th day of December, 1919, and on or about the 10th day of December, 1919, appel-lee discovered that a number of said cattle had died and others were sick and drooping. He secured the services of a veterinary surgeon to examine them, whereupon it was discovered they were not sound and healthy cattle, but were diseased and suffering from Texas or tick fever. Being so advised, appel-lee promptly notified appellants, rescinded the sale, and tendered to appellants the cattle so purchased, and demanded from them the return of the purchase money paid. The appellants refused to accept the return of the cattle, and refused to refund the purchase money. Upon the refusal to rescind the sale and receive the cattle and the refusal to return the purchase money so paid, appellee notified appellants that he would be compelled to and would handle said cattle for appellants’ account and hold appellants liable for all damages and losses that might be sustained by reason of appellants’ fraud and deceit in selling said cattle to him and refusing to take them back and refund the money paid for them.

Appellee alleged that 16 head of said cattle died from said disease and the remainder depreciating so in value on account of. said disease until they were not worth exceeding $70 per head, "for which price he sold the live ones about March 25, 1920, and delivered the same to the purchaser about April 15, 1920, and that such price was a reasonable price.

Appellee prayed for a rescission of the contract ; for the recovery of the purchase price of $23,700 paid appellants for said cattle, with interest from December 4, 1919, to date, less the sum of $18,482.17, the amount received by appellee for said cattle, less the cost and expense of pasturing, looking after the cattle from the date of the purchase until their sale, for whiph appellee received $20,-540.40 as the entire purchase price. The reasonable value of the expense of pasturing, labor, and caring for said cattle, including $750 to appellee for his time, was $2,023.23.

Appellee further prayed, because of appellants’ willful fraud, he was required to bring this suit and to employ an attorney at law at an additional expense of $500 for which he also prayed judgment.

Appellants filed their answer, containing exceptions, general and special, and by proper answer denied, traversed, and responded to every allegation of appellee’s pleading.

The court overruled all exceptions presented by appellants, which rulings were properly excepted to, and the objection preserved in the record. The case was tried with a jury upon a general charge of the court, but the court, in connection therewith, submitted one special instruction requested by appellee, and refused all special charges requested by appellants. A verdict was returned by the jury in favor of appellee for $6,120.56 against appellants, and for which amount the court entered its judgment in favor of appellee.

The first question raised and presented by appellants is that this suit was improperly brought and maintained, and that the court erred in not sustaining appellants’ exception to the petition, for the reason the suit for the rescission of the contract was not the proper remédy for one who has bought cattle and paid for them, >and disposed of said cattle, rendering it impossible for the parties to be-placed in statu quo, the proper remedy being a suit for damages with affirmance of the contract. This point is presented in various forins in a lengthy brief, as well as in a supplemental typewritten brief.

[1,2] If appellants’ contention be correct on the law, as contended for, then it would require a reversal of the judgment without proceeding further with this case. Undoubtedly, as a sound principle of equitable jurisprudence, no one would be permitted to retain the purchased property and at the same time sue to recover the full price paid. This would be unconscionable. The seller has the right to require the return of the sold property — the special property conveyed or its tender to him before he can be called upon to rescind. He has the right to see the property, if personal, and inspect for himself to the end that he may determine its present status or see there is no change, that he may decide what position he shall take in respect thereto. If the party seeking a rescission is acting fairly and honestly, it is then incumbent upon the seller to determine his course of action. Again, if the purchaser has placed himself or the property in such a position as not to be able to restore the status, he cannot secure a rescission, but his remedy is then entirely and alone upon the tort — an action for damages. This is clearly announced as the rule in that most excellent of books, where the whole subject is discussed, Black on Rescission and Cancellation, vol. 2, §§ 616-618, and many times approved by decisions in this and other jurisdictions.

[3] It is clear that appellee made an effort, offer, and unqualified tender of the cattle promptly to appellants as soon as he discovered they were diseased. When the tender and offer wore thus made to restore and deliver the sold property to appellants, they unqualifiedly refused to receive the cattle, and rejected them, thus placing it beyond the power of appellee to compel appellants to receive the same. Nothing further being left for appellee to do in this effort of the “res: titutio in integrum,” so essential as the precedent steps for the rescission of the contract for suit for the recovery of the price paid for the property, he notified appellants that he would handle said cattle for appellants’ account, and hold them liable for all *312 damages and losses lie might sustain by reason of their fraud and deceit in selling to him the cattle. Mr. Black on Rescission and Cancellation of Contracts, vol. 2, § 623, further says in such cases:

“The person with the property thus left in his possession, on the other’s refusal to receive it, in fact holds it in the character of a bailee, and he must use all reasonable care to make the other party’s loss as light as possible, and must not willfully allow the property to •deteriorate or be destroyed, although he has the right to do any acts in regard to the property reasonably necessary to protect his own interests, and at the same time maintain his claim to rescind.

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Bluebook (online)
239 S.W. 309, 1922 Tex. App. LEXIS 545, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alexander-v-walker-texapp-1922.