Associates Investment Company v. Lenz

288 S.W.2d 857, 1956 Tex. App. LEXIS 2162
CourtCourt of Appeals of Texas
DecidedMarch 7, 1956
Docket10355
StatusPublished
Cited by8 cases

This text of 288 S.W.2d 857 (Associates Investment Company v. Lenz) 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
Associates Investment Company v. Lenz, 288 S.W.2d 857, 1956 Tex. App. LEXIS 2162 (Tex. Ct. App. 1956).

Opinion

HUGHES, Justice.

Associates Investment Company, appellant, purchased a note secured by a chattel mortgage on a Mercury 1947 Club Coupe. The note in the sum of $911.25 and mortgage were both executed by appellee F. E. Lenz. After' some payments were made on the note default occurred and the car wás sold by appellant under circumstances later detailed. The proceeds of the sale were not sufficient to pay the balance due on the note and this suit was brought by appellant to recover a so-called deficiency judgment. Appellant’s motion for summary judgment was denied and appellee thereafter filed a cross action, alleging that his minor son, George, was the real purchaser of the car and that appellant in repossessing and selling the car has perpetrated a fraud upon his son in making false promises to him and in selling the car at a price considerably below its reasonable market value.

The jury found that appellant did not act in good faith in selling the car and that its reasonable market value at such time was $800.

Based on this verdict judgment was rendered that appellant take nothing by its suit and that appellee recover on his cross action the sum of $261.02 with interest from the date of judgment. This sum reconciles the balance due appellant on the note, interest and attorneys’ fees and insurance and other interest items with the $800 value placed on the Mercury coupe by the jury.

George Lenz was eighteen years of age in 1952 when, on May 10, the Mercury coupe was purchased from Eckert and Wynn, automobile dealers in San Antonio, for $1,-246.25, George paying in cash $335 and having his father execute a note for $911.25 for the balance. This note was payable in monthly installments of $60.75. Appellee’s only connection with this entire transaction was to sign the note and a chattel mortgage on the car to secure its payment.

Between May 10, 1952 and January 20, 1953, George made payments, usually late, on the note so as to reduce the balance as of that date to $546.75.

About a week prior to January 20, George, realizing that he could not pay for the car and anticipating leaving San Antonio to work in Georgia, went to appellant’s office and Conferred with its branch manager Mr. R. D. Maddox and this conversation occurred:

“A. I told him I couldn’t make the payments. He said that he would give —He would take the car in within thirty days. He could sell it, or I could make up the payments.
■ “Q. Within thirty days? A. Yes:
“Q. You say he said he would sell it. Did he say anything to you in regard to what price it would be sold for? A. He said he would sell it for the highest price he could get and what was left out of the money, he would give to me.
* * * * * *
“A. He said that he would get the highest or about the evenest price that *859 he could get’ for the car, he would try his best to settle for as much as he could get for it, and what was left over * * *
“Q. Did he indicate what that price would be? A. He said that he could get the price of the car, and what was left over * * *
“Q. Get the price of the car based on what, George? A. On what the equal market value of the car was, he would try to sell it for me.
“Q. He would sell it for the market value, what they were bringing? A. Yes, sir.
“Q. All right. And then what would happen to the money? A. It would cover what I owed them, and the rest he would credit to me.”

On January ZO, 1953, appellant sent a form letter addressed to appellee stating that the car would be sold unless payment of the note balance was made on or before January 30, 1953.

The car was sold January 29, 1953, for $350, the sale being made in this manner:

Appellant had about 130 cars which it desired to sell. Post cards were printed and sent out to about 200 dealers inviting them to see and buy the cars, separately or in lots. No specific description was given of any car. This car was sold by a Mr. Goldsmith, a “liquidating specialist” employed by appellant for this purpose. The car was sold to a person who bought only one car.

Within four or five days after January 20, George left San Antonio and was away about two and one half months. During his . absence appellant' wrote appellee demanding payment of the note balance. This letter was not shown to appellee but was kept by his wife and given to George upon his return to San Antonio. Shortly thereafter George made arrangements with appellant to pay the note balance in monthly installments of $10 but made only one payment. This suit was filed May 13, 1954.

■■Appellant’s first point is that the court erred in failing to grant it a new-trial because of newly discovered evidence.

The absent witness G. E. Hendricks, a former employee of appellant, would have testified, according to his affidavit, that he and not Mr. Maddox talked with George about this car and that all he ever promised was to obtain “the best price we could get” for the car and that his father would receive any surplus and would have to pay any deficiency. This witness was not under subpoena. Appellant informed the court immediately after the noon recess that it had arranged for the witness to be present at 2 p.m. on the day of trial, the customary time for the court to reconvene in the afternoon, but the court advised counsel for appellant “that inasmuch as the witness was not under subpoena, the court would resume trial of the case at 1:00 o’clock P.M. instead of 2:00 o’clock P.M. due to the condition of the calendar of the Court.” The witness could have been present at 2 p.m. Appellant did not plead surprise to any evidence and did not request any postponement or continuance.

Considering the nature of the proposed testimony of the witness and the circumstances just stated we believe appellant acquiesced in the court’s action and hence we are of the opinion that the court did not err in refusing to grant a new trial on this ground.

In any event there is no showing that appellant did not know before the trial what the evidence of Mr. Hendricks would ’be. ■■ It is presumed that it did know since he had been requested to testify. The evidence was not, in our judgment, “newly discovered.”

The other newly discovered evidence claim is not supported by affidavit or testimony and presents nothing for review.

Appellee’s counsel during his argument to the jury stated “Associates Investment Company had 'under the table’ dealings with the purchaser of the automobile.” Objec *860 tion' to- this árgument ' was sustained, 'the jury promptly and properly instructed by the ■ court not to consider such remark and appellee’s counsel withdrew his statement.

Motion for mistrial was made and denied and appellant, by its second point, contends this was error. '

The only case cited by appellant to support this point is Robbins v. Wynne, Tex.Com.App., 44 S.W.2d 946.

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Bluebook (online)
288 S.W.2d 857, 1956 Tex. App. LEXIS 2162, Counsel Stack Legal Research, https://law.counselstack.com/opinion/associates-investment-company-v-lenz-texapp-1956.