Broadway Plan v. Ravenstein

364 S.W.2d 741, 1963 Tex. App. LEXIS 1585
CourtCourt of Appeals of Texas
DecidedJanuary 25, 1963
Docket16398
StatusPublished
Cited by15 cases

This text of 364 S.W.2d 741 (Broadway Plan v. Ravenstein) 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
Broadway Plan v. Ravenstein, 364 S.W.2d 741, 1963 Tex. App. LEXIS 1585 (Tex. Ct. App. 1963).

Opinion

LANGDON, Justice.

The First Congregational Methodist Church of Fort Worth, hereinafter referred to as the Church, filed suit to cancel an $18,000.00 bond issue and to remove a cloud upon title to church property allegedly created by a forged resolution made by its former pastor to procure the bond issue. The Church further alleged that the bonds were sold without its authority and that its former pastor and not the Church received the proceeds of the sale. The suit alleged that Defendants W. L. Ravenstein, First National Bank of Fort Worth, J. S. Brace-well and Henry S. Deichert, were holders of said bonds. Alternatively the Church sought judgment over against the First National Bank of Handley in the event the defendant W. L. Ravenstein, appellee herein, obtained a judgment against the Church on his cross-action. The defendant Raven-stein in his answer and cross-action alleged he purchased $9,000.00 of said bonds. He prayed judgment against the Church and in the alternative against the First National Bank of Handley alleging that the checks he gave in payment for the bonds were paid by the bank on an unauthorized endorsement. Ravenstein also sought judgment against the Broadway Plan Church Finance, a partnership composed of J. S. Bracewell, Fentress Bracewell and Searcy Bracewell based upon (1) alleged misrepresentation inducing him to purchase the bonds and (2) certain negligent acts in issuing the bonds on request of the pastor of the Church.

The First National Bank of Handley, in its answer to the action of the Church and Ravenstein, sought judgment over against *743 the Church alleging that its pastor acting as agent for the Church committed various acts of negligence in obtaining the bond issue.

The case was tried by jury on 65 Special Issues. Judgment on the verdict was entered by the trial court on March 8, 1962, on behalf of the Church cancelling the bond issue and removing the cloud on title to church property. W. L. Ravenstein Was given judgment for $9,000.00, of which amount the sum of $8,794.00 was joint against the First National Bank of Handley and the appellants herein, J. S. Bracewell, Searcy Bracewell and Fentress Bracewell and Broadway Plan Church Finance. The sum of $206.00 representing the amount of the judgment in excess of $8,794.00 was against the appellants. Costs were taxed one-half each to First National Bank of Handley and appellants.

The case is before this Court without a statement of facts.

In their points 1 and 1A the appellants contend that the trial court erred in (1) overruling their motion to declare the judgment of W. L. Ravenstein against appellants to be moot, (2) to grant a new trial and in the same order to dismiss as against appellants and (3) because of the refusal of the trial court to require production of a contract of accord and satisfaction between W. L. Ravenstein and the First National Bank of Handley which they alleged would support the appellants’ contention that the judgment was moot as to them.

The appellants’ motion, which was overruled by the trial court, recites that after judgment was entered by the trial court an agreement was made by which the First National Bank of Handley waived its right of appeal, paid one-half of the costs assessed against it and paid to W. L. Raven-stein tlie sum of $4,397.06, representing one-half of the joint judgment of $8,794.00, plus interest. That W. L. Ravenstein had agreed to delay any attempt to collect the balance of the judgment against the bank until he had exhausted all efforts to collect against appellants. That if the case was reversed on appeal or he was' unable to collect against the appellants he would then be entitled to collect the balance of the judgment and costs from the Bank. The motion also-recited that appellants had tendered to W. L. Ravenstein the sum of $206.00 representing the amount above the joint judgment. That the agreement above recited was evidenced by a letter from an attorney for the Bank, to an attorney who originally represented the appellants. The letter referred to was attached to an affidavit filed with this Court pursuant to Rule 406, T.R.C.P. The agreement described in the letter is substantially the same as described in the appellants’ motion and therefore all pertinent information concerning the agreement was considered by the trial court. The letter contains no additional information which would involve the jurisdiction of this court.

Appellants contended that because of the agreement between the Bank and Raven-stein, the tender of the $206.00 and the solvency of the Bank, which will be able to satisfy the judgment, that Ravenstein has no justiciable interest in further prosecution of his suit against appellants. That Raven-stein will receive the same amount of money regardless of whether the case is reversed, affirmed or dismissed.

As a general rule, questions involved in an appeal become moot when the judgment is voluntarily satisfied or complied with by the complaining party and an appellate court will not retain jurisdiction to decide a case after the parties settle it, ordinarily the settlement must involve all of the parties litigant. 3 Tex.Jur.2d pp. 315, 317, secs. 51, 52.

It is undisputed that the complaining party, appellants herein, have not satisfied nor complied with the joint judgment'against it and the bank; that one-half thereof plus interest remains unpaid and that the partial settlement did not involve the appellants.

*744 The only amount paid by appellants is the sum of $206.00, representing the amount of the judgment against them which was over and above the joint judgment.

The judgment becomes extinguished where one of two or more defendants against whom there is a joint judgment pays the entire amount due thereon; however, the payment of a sum less than the amount due on the judgment does not release other judgment debtors or extinguish the judgment. 34 Tex.Jur.2d, p. 743, sec. 634; Kirby v. Fitzgerald, 126 Tex. 411, 89 S.W.2d 408. Undoubtedly, this rule would be applicable in a case on appeal where one of the parties against whom a joint judgment was rendered paid one-half of the judgment against him as well as the costs and waived his right of appeal.

Under the judgment of the trial court W. L. Ravenstein has the right to proceed against either the Bank or the appellants herein, or both, to collect the $9,000.00 plus interest awarded to him. It is undisputed that each is solvent.

The Bank voluntarily paid one-half of the judgment and thereby obviated the necessity of either it or Ravenstein undergoing the expense of appeal as between them or the additional expenses incident to efforts to collect under the judgment. Neither should be penalized for this action nor lose valuable rights because of a willingness to concede that a judgment is correct and to abide by it. Certainly it would be against public policy to condemn such action on the part of litigants. It would tend to encourage appeals on every occasion where it appeared that one of the solvent parties against whom judgment was rendered either had or very likely would pay a portion of the judgment rather than appeal. Public policy is better served by encouraging settlements in proper cases rather than to encourage continuing litigation in the courts.

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Cite This Page — Counsel Stack

Bluebook (online)
364 S.W.2d 741, 1963 Tex. App. LEXIS 1585, Counsel Stack Legal Research, https://law.counselstack.com/opinion/broadway-plan-v-ravenstein-texapp-1963.