Bell v. Safeco Title Insurance Co.

830 S.W.2d 157, 1992 Tex. App. LEXIS 1008, 1992 WL 82795
CourtCourt of Appeals of Texas
DecidedFebruary 13, 1992
Docket05-91-00255-CV
StatusPublished
Cited by18 cases

This text of 830 S.W.2d 157 (Bell v. Safeco Title Insurance 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
Bell v. Safeco Title Insurance Co., 830 S.W.2d 157, 1992 Tex. App. LEXIS 1008, 1992 WL 82795 (Tex. Ct. App. 1992).

Opinion

OPINION

KINKEADE, Justice.

Claude D. Bell, Jr., independent administrator of the Claude Bell, Sr., estate, appeals the probate court’s summary judgment in favor of Safeco Title Insurance Company, Metro County Title Company, Safeco Land Title of Dallas, and Norma Beasley. In five points of error, Bell, Jr., argues that the probate court erred in (1) granting summary judgment in appellees’ favor and (2) denying his motion for summary judgment. He also argues that ap-pellees failed to prove that (3) they did not participate in fraudulent conduct or a conspiracy against Bell, Sr., (4) they did not owe a duty or breach a duty to Bell, Sr., and (5) an agency relationship existed between Safeco Title Insurance Company and Safeco Land Company (collectively referred to as Safeco) and Metro County Insurance Company (Metro). Because the probate court did not err in granting appellees’ motions for summary judgment and Metro did not breach its duty to Bell, Sr., we affirm the probate court’s judgment.

FACTUAL AND PROCEDURAL HISTORY

Claude Bell, Sr., an attorney, owned thirty-three acres of land near the intersection of Belt Line and Preston Road. After several prospective buyers approached him about selling his land, Bell, Sr., entered into a contract to sell the land to Jeff Noebel, a friend and a realtor. Bell, Sr., later terminated the contract with Noebel and entered into a contract of sale with Quantum Equities, Inc., who later assigned the contract to Bellbrook. Noebel was one of the principals of Bellbrook Joint Venture (Bellbrook). Metro, an independent title company, received notice of the original contract of sale.

Approximately one year later, Sunbelt Service Corporation, Bellbrook’s financier, contacted Metro and requested a mortgage title policy in connection with the pending sale. The contract of sale called for two million dollars to be delivered to Bell, Sr., at the time of the closing. Metro handled the property’s closing, and Pam McFerrin, *159 a vice president at Metro, served as the escrow agent for the closing.

Because Bell, Sr., wanted to deposit the property’s sale proceeds immediately after the closing, he requested that the closing take place at the bank. Bell, Sr., brought the deed he had drafted, which contained several restrictive covenants concerning residential buildings with him to the closing sale. The deed gave only the grantee (Bell-brook) the right to enforce the deed restrictions. Bell, Sr., intended the deed restrictions to remain in place after the sale of the property. Sunbelt, however, wanted Bell, Sr., to terminate or to subordinate the deed restrictions. Before the closing; McFerrin spoke to Sunbelt’s attorney and told him that any additional documents relative to the subordination agreement would have to be signed by the seller, Bell, Sr.

After examining the deed at the closing, McFerrin went into another office and called Norma Beasley, an executive at Metro. Beasley suggested that McFerrin insert “Bellbrook JV” after the word “grantee” to make the deed more precise. After McFerrin made the interlineations, Noebel asked her to explain the escrow agreement to Bell, Sr. Bell, Sr., requested that the escrow agreement be typed. After the agreement was typed, McFerrin signed and read the agreement to Bell, Sr. The agreement provided for Metro to receive and to record loan papers of the sale, to disburse funds to the seller, and to issue a mortgagor’s title policy to the lender.

Afterward, the parties waited for the lender’s attorneys to deliver a packet of corrections to the deed for each party to sign. When the corrections arrived, McFerrin read the corrected page to the lender’s attorney. While Noebel discussed the subordination agreement with Bell, Sr., McFerrin called Beasley about the interlin-eations. Beasley told McFerrin to read the deed corrections to Bell, Sr. McFerrin read the interlineations to Bell, Sr., and asked him to initial the handwritten interlineation on pages one and seven of the deed and to sign the new page twelve of the deed. Immediately following the closing, Bell, Sr., placed the proceeds of the sale into an interest bearing account at the bank.

Four months later, Bellbrook sold the land to a development corporation for five million dollars. Fourteen months after the sale, Bell, Sr., became incompetent. Because the interlineations made the deed restrictions unenforceable by Bell, Sr., Bell, Jr., filed suit on behalf of his father’s estate against Safeco, Metro, and Beasley. He alleged fraudulent conduct, breach of a fiduciary duty, and civil conspiracy. Bell, Jr., sued Safeco because Metro and Safeco had an agreement for Metro to issue title insurance on Safeco’s behalf. Sometime after April 1986, Bell, Sr. died. Safeco, Metro, and Beasley filed motions for summary judgment. After reviewing Bell, Jr.’s response to the motions for summary judgment, the probate court granted appel-lees’ motions.

SUMMARY JUDGMENT

In Bell, Jr.’s first point of error, he contends that the trial court erred in granting summary judgment in favor of appellees. Bell, Jr., argues that the probate court erroneously relied upon the affidavits of interested parties and that the affidavits are not readily controvertible due to the death of Bell, Sr.

Summary judgment may be rendered only if the pleadings, depositions, admissions and affidavits show (1) that there is no genuine issue as to any material fact and (2) that the moving party is entitled to judgment as a matter of law. Tex. R.Civ.P. 166a(c); Rodriguez v. Naylor Indus., Inc., 763 S.W.2d 411, 413 (Tex.1989). A summary judgment seeks to eliminate patently unmeritorious claims and untenable defenses, not to deny a party its right to a full hearing on the merits of any real issue of fact. Gulbenkian v. Penn, 151 Tex. 412, 416, 252 S.W.2d 929, 931 (1952).

Under rule 166a, both the plaintiff and the defendant may simultaneously move for summary judgment. When both parties move for summary judgment, each party must carry its own burden, and neither can prevail because of the failure of *160 the other to discharge its burden. Cove Inv., Inc. v. Manges, 602 S.W.2d 612, 514 (Tex.1980). To prevail on a summary judgment, a plaintiff must conclusively prove all of the elements of the cause of action as a matter of law. Swilley v. Hughes, 488 S.W.2d 64, 67 (Tex.1972); Tex.R.Civ.P. 166a. In contrast, a defendant as movant must either (1) disprove at least one element of each of the plaintiffs theories of recovery or (2) plead and conclusively establish each essential element of an affirmative defense, thereby rebutting the plaintiffs cause of action. City of Houston v. Clear Creek Basin Auth., 589 S.W.2d 671, 679 (Tex.1979). Since both parties moved for summary judgment, this Court considers all evidence accompanying both motions. Edinburg Consol. I.S.D. v. St. Paul Ins. Co., 783 S.W.2d 610

Free access — add to your briefcase to read the full text and ask questions with AI

Related

NAMA Holdings, LLC v. Related WMC LLC
Court of Chancery of Delaware, 2014
Flagstar Bank, FSB v. Mark Walker
451 S.W.3d 490 (Court of Appeals of Texas, 2014)
KLN Steel Products Co. v. CNA Insurance Companies
278 S.W.3d 429 (Court of Appeals of Texas, 2008)
Trahan v. Lone Star Title Co. of El Paso
247 S.W.3d 269 (Court of Appeals of Texas, 2007)
Jones v. Blume
196 S.W.3d 440 (Court of Appeals of Texas, 2006)
Holder-McDonald v. Chicago Title Insurance Co.
188 S.W.3d 244 (Court of Appeals of Texas, 2006)
Black v. Metro Title, Inc.
2006 WI App 52 (Court of Appeals of Wisconsin, 2006)
Gonzales v. American Title Co. of Houston
104 S.W.3d 588 (Court of Appeals of Texas, 2003)
Chapman Children's Trust v. Porter & Hedges, L.L.P.
32 S.W.3d 429 (Court of Appeals of Texas, 2000)

Cite This Page — Counsel Stack

Bluebook (online)
830 S.W.2d 157, 1992 Tex. App. LEXIS 1008, 1992 WL 82795, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bell-v-safeco-title-insurance-co-texapp-1992.