Binge v. Gulf Coast Orchards Co.

93 S.W.2d 813, 1936 Tex. App. LEXIS 393
CourtCourt of Appeals of Texas
DecidedApril 8, 1936
DocketNo. 9744.
StatusPublished
Cited by10 cases

This text of 93 S.W.2d 813 (Binge v. Gulf Coast Orchards 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
Binge v. Gulf Coast Orchards Co., 93 S.W.2d 813, 1936 Tex. App. LEXIS 393 (Tex. Ct. App. 1936).

Opinion

MURRAY, Justice.

This is the second appeal of this case. See Binge v. Gulf Coast Orchards Company (Tex.Civ.App.) 67 S.W.(2d) 1045. On the former appeal the trial judge had held that Binge’s petition was subject to a general demurrer and entered judgment dismissing the cause. This court held that Binge’s petition did state a cause of action, and remanded the cause for a trial upon the merits.

The appeal is again by Binge, from an adverse judgment in the trial court. This suit was originally instituted in the 93d district court of Hidalgo county by appellant, H. Binge, against the appellees, Gulf Coast Orchards Company and D. E. Kir-gan, seeking to recover the sum of $500 paid by Binge to appellees upon an indebtedness owed by the Templeman Brothers; Binge contending that appellees had promised to return to him said $500 in the event they took over the property of Templeman Brothers, a lien against which was in existence to secure the Templemans’ indebtedness. Interest at the rate of 6 per cent, was also prayed for by Binge. It was alleged that the property had been taken over and that Binge was entitled to recover the $500 with interest.

After the cause was remanded on the former appeal, Binge dismissed his cause in the 93d district court and refiled it in the 92d district court of Hidalgo county. A trial was then had on the merits. The cause was submitted to the jury upon two special issues, as follows:

1. “Did D. E. Kirgan orally promise plaintiff that the Gulf Coast Orchards Company would repay the $500.00 advanced by plaintiff, for the Templemans?” To which the jury answered: “Yes.”

2. “Was the promise of repayment of the $500.00 to plaintiff made on February 12th, 1930?” To which issue the jury answered: “Yes.”

Notwithstanding this verdict of the jury, the trial judge entered judgment for appel-lees and that appellant, Binge, take nothing by reason of his suit. This action of the trial court seems to have been based upon the theory that Binge’s cause of action was barred by the two years’ statute of limita *814 tion, and that certain letters introduced in evidence were not sufficient-in law to constitute a renewal of the cause of action or an acknowledgment of its justness and a promise to pay the money. From the judgment rendered, Binge has prosecuted this appeal.

It is clear that at the time appellant filed his suit in the 92d district court more than two years had elapsed since the accrual of his cause of action. Appellant attempts to defeat limitation on the theory that the running of limitation had been tolled during the period his cause of action was pending in the 93d district court; his exact contention being that the 93d district court did not have jurisdiction of his cause of action, and that under the provisions of article 5539a, Vernon’s Ann.Civ.St. (Acts 1931, 42d Leg., p. 124, ch. 81, §1), the period between the. date of filing this cause in the 93d district court and the date of filing in the 92d district court should not be counted as a part of the period of limitation.

This brings us to the question of whether the 93d district court had jurisdiction of appellant’s cause of action. We conclude that it did. The suit was for exactly $500, plus interest; not interest such as is contracted for in a note, or provided for by statute on written contracts and open accounts, but interest as damages for the loss of the use of money. The interest to be excluded in determining the jurisdiction of a court is interest eo nomine, and does not include interest asked for as damages or compensation.

As was said in McNeill v. Casey (Tex.Civ.App.) 135 S.W. 1130, 1131: “The settled rule in this state * * * seems to be that when interest is sought eo nomine, as flowing from and incident to the contract in writing sued upon, it will not be taken into account in determining the jurisdiction of the court; but the contrary is true where the same is sued for as an element of damages arising from the breach of the contract, and where .the same is not specially recoverable as due under the contract itself.”

In Baker v. Smelser, 88 Tex. 26, 29 S.W. 377, 378, 33 L.R.A. 163, the court said: “Where the statute does not expressly provide for the recovery of interest, it is allowed, not eo nomine — that is, riot as interest, — but merely as damages. It would probably be more correct to say that that rate of interest is resorted to in order to measure the damages accruing from the loss of the use of the money.”

Clearly the amount in controversy in this suit was in excess of $500. Therefore, the 93d district court had jurisdiction and said article 5539a does not apply. It follows that the claim for $500 as a result of the oral promise to return the money was barred by the two years’ statute of limitation, unless the letters offered in evidence were sufficient to overcome the bar of limitation.

Kirgan’s letters were in response to letters written to him by Binge. The letters will be here copied.

On December 15, 1930, Binge wrote the following letter to D. E. Kirgan:

“My dear Mr. Kirgan:
“Owing to some notes becoming due on Dec. 22, I would be very glad if you would let me have $200.00 of the $500.00 left with you last spring.
“■Hoping you will be able to do this, I remain with best wishes,
“Yours very truly, H. Binge
“Edinburg, Texas, Rt. 1.”

On December 27, 1930, Kirgan replied to the above letter as follows (on letterhead of Gulf Coast Orchards Company) ;

“Mr. Herman Binge,
“Edinburg, Texas
“Dear Herman:
“Have your letter of December 15th, and owing to the fact that we have not sold any part of Lot no. 16, Section No. 256, but have gone to the extra expense of taking up the outstanding notes on this property and set-over twenty acres of it to trees, this has been, as you will realize, considerable expense to us up to this time.
“We hope within the month of January to dispose of at least part of this property, and, just as soon as some cash is received on it, we will be happy to grant your request in the above letter.
“Business has been extremely slow and the expense of an organization must be met, and this has drained our resources to the straining point.
“Thanking you for all past courtesies, beg to remain
“Sincerely yours,
“DEK/C D. E Kirgan, President.”

On April 29, 1931, Binge again wrote Kirgan, as follows:

“Mr. D. E. Kirgan
“Weslaco, Texas
“My dear Mr. Kirgan:
“While passing former Tempi emans’ place, I noticed that groves put on there were sold. You and Mr. Graham probably *815 overlooked promise made me by yourself and Mr. Graham in your office in Weslaco, that you would give me back $500.00 turned over to you on February 12, 1930.

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

Related

Oram v. General American Oil Company of Texas
503 S.W.2d 607 (Court of Appeals of Texas, 1973)
Watson v. General Motors Corp.
479 S.W.2d 104 (Court of Appeals of Texas, 1972)
Friedman v. Worthy Fabrics
347 S.W.2d 639 (Court of Appeals of Texas, 1960)
Renault v. L. N. Renault & Sons, Inc.
90 F. Supp. 630 (E.D. Pennsylvania, 1950)
Burford v. Sun Oil Co.
186 S.W.2d 306 (Court of Appeals of Texas, 1944)
Garrett v. Hartford Accident & Indemnity Co.
107 S.W.2d 726 (Court of Appeals of Texas, 1937)
Chalmers v. American Nat. Ins. Co.
103 S.W.2d 228 (Court of Appeals of Texas, 1937)

Cite This Page — Counsel Stack

Bluebook (online)
93 S.W.2d 813, 1936 Tex. App. LEXIS 393, Counsel Stack Legal Research, https://law.counselstack.com/opinion/binge-v-gulf-coast-orchards-co-texapp-1936.