Bankers Life Co. v. John E. Quarles Co.

88 S.W.2d 613
CourtCourt of Appeals of Texas
DecidedNovember 2, 1935
DocketNo. 11755.
StatusPublished
Cited by4 cases

This text of 88 S.W.2d 613 (Bankers Life Co. v. John E. Quarles Co.) 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
Bankers Life Co. v. John E. Quarles Co., 88 S.W.2d 613 (Tex. Ct. App. 1935).

Opinion

JONES, Chief Justice.

In a suit in a district court of Dallas county, appellant sought recovery on promissory notes amounting to the principal sum of $6,400, with interest and attorney’s fee, and to foreclose a deed of trust lien on 85 acres of land situated in Dallas county, Tex.; the note obligations and the deed of trust were executed by Claude Stevenson, acting for himself and as representative of his deceased wife in their community estate.. Appellee, a corporation, was made a party defendant to the suit, on the allegation that it claimed some kind of interest in the real estate, on which the deed of trust existed. Judgment was entered in favor of appellee against Claude Stevenson, individually and as survivor of the community estate of himself and Bessie L. Stevenson, his deceased wife, in the sum of $8,728.45, being principal, interest, and attorney’s fee on the notes forming the basis of this suit, with interest at the rate of 10 per cent, per annum from date of the judgment, November 6, 1933. A foreclosure of the deed of trust lien was decreed on the real estate, but a four-room house situated thereon was excepted from the decree, and appellee was given a foreclosure on same, as against appellant and against Claude Stevenson and Ruby Stevenson, to satisfy a debt due by Claude Stevenson to appellant for material furnished for the building of said house, *614 as authorized by article 5459, R.S. Other parties were made defendants, but they are not necessary to this appeal. From the judgment in favor of appellee, awarding it foreclosure on the said four-room house, appellant and the Stevensons have prosecuted this appeal.

The term “appellant” will be applied to the Bankers Life Company, and appellants Claude Stevenson and Ruby Stevenson will be designated by their names. The term “appellee” will apply to the John E. Quarles Company, a corporation.

The four-room residence situated on the 85-acre tract of land was built by Claude Stevenson after appellant’s lien on the land had attached by virtue of the loan to Stevenson and the execution by Stevenson of the deed of trust.

Prior to the institution of this suit, appel-lee had instituted a suit in Tarrant county against Claude Stevenson, on a note executed by him to appellee for the indebtedness represented by the material furnished to Stevenson, for the building of said small dwelling, and for the foreclosure of the lien given by section 37 of article 16 of the Constitution. Appellant was not a party to this suit. A judgment was entered in favor of appellee in the'sum of $696 principal, interest, and attorney’s fee on,the balance then existing on the indebtedness incurred by Stevenson, when he purchased from appel-lee the building materials. A foreclosure was prayed for and given on the 85-acre tract of land, and an order of sale was directed to be issued. At the time of the institution of the instant suit, more than twelve months had elapsed, after the Tar-rant county judgment had been entered and no order of sale or execution had been issued on such judgment. It was therefore dormant at the time of the institution of the instant suit, and at the time the judgment was entered herein.

When appellee, impleaded as a defendant in the instant suit, answered, it disclaimed any interest in the 85 acres of land, but by cross-action claimed a prior lien on the four-room residence erected by Stevenson with the building materials purchased from it, and sought to establish such lien as superior to appellant’s deed of trust lien on the building only, and to foreclose such lien as against appellant and Claude and Ruby Stevenson. Appellee set up its judgment for $696 with interest, awarded by the district court of Tarrant county, and sought to recover the amount of such judgment against Claude Stevenson as a liquidated claim. Appellant answered appellee’s claim by a supplemental petition, first denying appel-lee’s claim of a constitutional lien against the house and, in an alternative plea, to the effect that, when appellee’s cause of action against Claude Stevenson matured, it had the right to pursue either of two remedies as to its lien, vis.: (1) To treat the four-room building as a part of the realty and enforce its lien against the realty under the provisions of article 5458, R.S., or (2) to elect to treat the building as personalty, and enforce its lien against such building under the terms of article 5459; that in its suit against Stevenson it chose the former remedy, asserted a lien against the real estate, treating the house as a part thereof, recovered its debt, and foreclosed its lien against the land; that having elected to treat the house as a part of the realty, this election was final and it could not, in the instant suit, seek foreclosure on the building as separate and distinct from the land on which it stood.

The Stevensons did not dispute the judgment obtained in the Tarrant county suit, nor the foreclosure of the lien on the realty, but did dispute, by appropriate allegations in their answer, the right of appellee to maintain a second and different suit in its cross-action against it, and to again subject it to additional court costs.

Under the findings of the jury, the primary question for review, as between appellant and appellee, is whether appellant’s action in the Tarrant county suit, to which appellant was not a party, in electing to treat the house as a part of the realty and to foreclose its lien on the realty against the Stevensons, would bar appellee from pursuing the remedy to treat the house as personalty and to assert its superior lien on same against the appellant, under the provisions of article 5459, R.S. The question for review as between appellee and the Steven-sons is: Can appellee, after having secured a judgment for its debt and forclosure on the land, of which the house was treated as a part, in the Tarrant county suit, again subject them to a suit of foreclosure on the house, as separated from the land? The pleadings of the parties clearly raise these questions.

There were some disputed issues of fact in the trial of the case, but these were resolved by the jury in favor of appellee, and they are adopted as the findings of this court. These issues warranted the judg- *615 ment entered by the court, in so far as the disputed issues are necessary to such judgment. These facts established that appel-lee is entitled to the constitutional lien it asserted, and also that the building in question could be removed from the land without physical injury to either the building or the land.

Article 5458, R.S., reads: “If this lien [materialman’s lien] is against land in a city, town or village, it shall extend to or into the lot or lots upon which such house, building or improvement is situated, or upon which such labor was performed; and, if the lien is against land in the country, it shall extend to and include fifty acres upon which such house, building or improvements are situated, or upon which such labor has been performed; and, if the lien is against a railroad company, it shall extend to and include all of its property.” This was the procedure followed by appellee in the Tar-rant county suit.

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Bluebook (online)
88 S.W.2d 613, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bankers-life-co-v-john-e-quarles-co-texapp-1935.