Baum v. Corsicana National Bank

75 S.W. 863, 32 Tex. Civ. App. 531, 1903 Tex. App. LEXIS 328
CourtCourt of Appeals of Texas
DecidedMay 27, 1903
StatusPublished
Cited by2 cases

This text of 75 S.W. 863 (Baum v. Corsicana National Bank) 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
Baum v. Corsicana National Bank, 75 S.W. 863, 32 Tex. Civ. App. 531, 1903 Tex. App. LEXIS 328 (Tex. Ct. App. 1903).

Opinion

STREETMAN, Associate Justice.

—The subject matter of this suit as it was finally tried was the sum of $2335, which was the proceeds of a certain stock of goods formerly belonging to the firm of N. Cahn. This firm was engaged in a mercantile business in Corsicana, and on October 24, 1896, being insolvent, executed to J. R. Goodman, as trustee, a deed of trust on their stock of merchandise. Certain indebtedness was preferred, namely: An attorney’s fee of $500; the debt of the First National Bank of Corsicana of $1000; rent to I. Baum, amounting to about $2600, and the expenses of executing the trust. Sanger Bros. *532 were also named in said deed of trust, but their claim was not preferred. The trustee accepted and took charge of the property, and shortly thereafter Sanger Bros., refusing to accept under the deed of trust, brought suit against Cahn for an indebtedness of about $7000, and levied an attachment on the stock of goods. The goods were sold under the order made in this suit, as perishable property, for the sum of $3325, and the proceeds were deposited in court.

Prior to this time Baum, the landlord, sued out a distress warrant, which was levied on the property already in the hands of the sheriff under the attachment,'and the writ being returned to the District Court, the two suits of Sanger and Baum against Cahn were consolidated.

On February 25, 1897, Sanger Bros, filed their first amended petition, complaining of I. Baum, William Croft, C. W. Croft, the First National Bank of Corsicana, the Corsicana National Bank, J. T. Sullivan & Co., and J. B. Goodman, alleging that said parties were setting up pretended liens on the proceeds of the sale of said stock of goods, and alleging that plaintiffs’ lien was the only valid lien thereon, and asking for citation, etc.

On March 9, 1897, Croft & Croft, the First National Bank of Corsicana, the Corsicana National Bank, J. T. Sullivan & Co. and J. B. Goodman answered in said suit, alleging that the property upon which they had a lien had been converted and destroyed by Sanger Bros., and that said defendants, beneficiaries under said deed of trust, did not claim any lien and had no legal right to claim any lien upon the proceeds of said goods or sale of said property, but that J. B. Goodman had sued the sheriff of Navarro County, J. M. Weaver, for the conversion of said property, and that a separate and distinct suit at law was being prosecuted against said J. M. Weaver, and that said defendants were not proper or necessary parties, and should be dismissed.

On March 31, 1897, said defendants were dismissed from said suit.

On January 9, 1897, the trustee, Goodman, had entered suit in the District Court of Navarro County, Texas, against J. M. Weaver, sheriff of said county, for damages for the wrongful conversion of said stock of goods; the conversion alleged being the levy of the writ of attachment issued in the suit of Sanger Bros. v. Cahn.

On October 14, 1897, the consolidated case of Sanger Bros. v. Cahn and Baum v. Cahn was tried. Judgment was rendered in favor of Sanger Bros, against N. and A. Cahn for their full demand with foreclosure of attachment lien as against I. Baum. Judgment was rendered in favor of Baum against Cahn for the full amount of Baum’s claim, but finding that the same was not for rent and did not constitute a lien upon the. goods or the proceeds thereof, and by said judgment the clerk was ordered to pay over to Sanger Bros, the proceeds of said stock of goods then in court.

Baum appealed from this judgment, and the case was reversed and is reported in 49 S. W. Rep., 650.

*533 In March/189.8, J. R Goodman recovered a judgment against Weaver and his bondsmen, from which Weaver appealed, and judgment was reversed. 51 S. W. Rep., 860. Both of said causes having thus been reversed, on October 16, 1899, upon motion of Sanger Bros, all of said causes were consolidated.

On October 12, 1899, the Corsicana National Bank filed its first original petition of intervention in the suit of J. B. Goodman v. J. M. Weaver, alleging that N- Cahn had executed notes for $500 and $2650 respectively, dated August 17, 1895, and January 4, 1896, the first note payable on demand, and the second on May 1, 1896. It further alleged the execution of the deed of trust by Cahn to Goodman to secure said notes, among other indebtedness, and alleged the institution of the suit by Sanger Bros., the sale of the property under attachment, and the deposit of the proceeds in court.

- It is contended by appellant that the bank did not in this pleading assert any lien upon or interest in the proceeds of said goods. With this contention, however, we are unable to concur. After setting out all of the facts which would entitle the bank to a lien upon the proceeds of said goods, the petition concludes as follows: •

“That the said goods levied on under the writ of attachment aforesaid have been sold under the order of this court, and the proceeds thereof paid into the hands of the honorable court, subject to the final result, and intervener prays that on final hearing it have judgment for its debt, interest and costs of suit, and that the proceeds of any judgment that may be recovered against Weaver and Sanger Bros, be applied, to the extent of such money, as a credit on the judgment herein to be rendered against the defendant N. Cahn, composing the firm of N. Cahn, together with a foreclosure of its mortgage lien thereon, and execution against the said N. Cahn and A. Cahn, individually, for the balance, if any, for costs of suit, and for all such other general relief as may be demanded in the premises.”

The case thus consolidated was tried on December 8, 1899, and judgment was rendered in favor of I. Baum for the full amount of his claim against N. Cahn, with foreclosure of his landlord's lien upon the proceeds of said goods as against Sanger Bros, and for personal judgment against Sanger Bros, for the value of said goods. Judgment was further rendered that J. B. Goodman and the Corsicana National Bank take nothing in cause No. 4737, as against J. M. Weaver and Sanger Bros, upon their claim for damages. Dpon appeal by the Corsicana National Bank, the judgment was reversed as between I. Baum and the Corsicana National Bank, and was remanded for the purpose of trying the issue between said parties, as to which was entitled to the-proceeds of said stock of goods. 62 S. W. Rep., 812.

On October 30, 1901, after the case had been reversed, the Corsicana National Bank filed its first amended original petition, again alleging the execution of said notes and of the deed of trust, and reciting all of *534 the proceedings hereinbefore set out, and particularly alleging that the claim of I. Baum for rent was fraudulent, and asking for judgment foreclosing its mortgage lien upon the money then in court.

Baum filed certain exceptions to this pleading, which were overruled, and upon a trial of the case judgment was rendered in favor of the Corsicana National Bank foreclosing its lien upon the proceeds of said stock of goods. The judgment further proceeded to order Sanger Bros, to return to court said sum of money which had been paid to them under the original order in their suit against Cahn; and it further directed that if Sanger Bros, had paid said money to I.

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Bluebook (online)
75 S.W. 863, 32 Tex. Civ. App. 531, 1903 Tex. App. LEXIS 328, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baum-v-corsicana-national-bank-texapp-1903.