Brownwood Ross Co. v. Maverick County

936 S.W.2d 42, 1996 WL 656466
CourtCourt of Appeals of Texas
DecidedNovember 26, 1996
Docket04-96-00059-CV
StatusPublished
Cited by28 cases

This text of 936 S.W.2d 42 (Brownwood Ross Co. v. Maverick County) 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
Brownwood Ross Co. v. Maverick County, 936 S.W.2d 42, 1996 WL 656466 (Tex. Ct. App. 1996).

Opinion

OPINION

STONE, Justice.

This appeal challenges a general summary judgment granted in favor of Maverick County. In four points of error, appellant Brown-wood Ross Company argues the trial court erred in granting summary judgment. We agree and reverse the judgment and remand this cause to the trial court for further proceedings.

Factual Background

On July 31, 1972, Maverick County and Ross Porta-Plant, Inc. (later renamed Brownwood Ross Company) entered into a twenty year lease agreement for a piece of land known as Tract 15 of the Maverick County Industrial Park. The land was leased for the construction and operation of a manufacturing plant. The lease agreement contained an extension provision which allowed the lease to be extended for a second twenty year term at Brownwood’s option.

On June 7, 1988, Brownwood sent to Maverick County written notification of its intention to exercise the extension provision. Despite its belief that the 1988 letter triggered the extension provision, Brownwood sent to Maverick County a second letter on May 1, 1992, restating its intention to extend the lease for the additional twenty years.

In response to Brownwood’s second letter, Maverick County notified Brownwood that the 1972 lease was void. Maverick County adopted the position that (1) the 1972 lease was void because it failed to comply with article 1577 of the Texas Civil Statutes 1 ;(2) Brownwood had forfeited all rights to the lease because it failed to operate a manufacturing plant as required by the lease;- and (3) the lease had not been extended by Brown-wood. Maverick County also notified Brown-wood that any occupancy on the land after July 31, 1992, would be treated as a trespass, and threatened to remove Brownwood from the premises.

Brownwood sought a temporary injunction to prevent its removal and also filed a lawsuit for breach of lease, tortious interference with contract, declaratory judgment, and injunc-tive relief. At the temporary injunction hearing held on October 26,1992, the temporary injunction was resolved when the parties entered into a “cooling off’ agreement in open court. The terms of the agreement are in dispute.

Brownwood claims the parties agreed to cease all litigation for a ninety-day period during which a new lease would be negotiated. If a new lease was negotiated during the ninety-day period, the 1972 lease would terminate. By contrast, Maverick County claims the parties agreed to terminate the 1972 lease regardless of whether a new lease was negotiated.

The parties did not enter into a new lease agreement and Brownwood initiated a second lawsuit asserting a breach of contract claim on the 1972 lease. Maverick County moved *44 for summary judgment on two grounds claiming: (1) the 1972 lease was void due to noneompliance with article 1677, thus barring Brownwood’s cause of action for breach of lease as a matter of law; and alternatively, (2) the Rule 11 agreement which the parties entered into on October 26, 1992, terminated the 1972 lease. Brownwood responded and argued: (1) the alleged noncompliance with article 1577 was excused by article 1577b 2 , which validates attempted sales or conveyances; (2) it never intended to terminate the 1972 lease without entering into a new lease; (3) Joe Luna, Brownwood’s attorney, did not have authority to enter into the settlement agreement; and (4) the settlement agreement was not supported by consideration. The trial court entered a general summary judgment for Maverick County.

Standard of Review

When the defendant is the movant in a summary judgment proceeding, summary judgment is proper only where the defendant proves the plaintiff cannot, as a matter of law, succeed upon any theory pleaded. Turner v. Richardson Indep. Sch. Dist., 885 S.W.2d 553, 558 (Tex.App. — Dallas 1994, writ denied). Thus, the defendant can prevail by disproving at least one necessary element of each of the plaintiffs theories of recovery or plead and conclusively establish each essential element of an affirmative defense. Peeler v. Hughes & Luce, 868 S.W.2d 823, 827 (Tex.App. — Dallas 1993), aff'd, 909 S.W.2d 494 (Tex.1995). In contrast, the plaintiff can defeat summary judgment by presenting evidence which creates a fact question on those elements of the plaintiffs ease under attack by defendant or on at least one element of each affirmative defense advanced by the defendant. Turner, 885 S.W.2d at 558.

The order granting the summary judgment is silent as to the reason for granting the motion; therefore, the summary judgment must be affirmed if one of the two theories advanced by Maverick County supports the summary judgment. State Farm Fire & Casualty Co. v. S.S. & G.W., 858 S.W.2d 374, 380 (Tex.1993).

Validity of Lease Agreement

Appellant’s first point of error, which addresses the first of Maverick County’s two grounds urged in its summary judgment motion, argues the summary judgment cannot stand on the basis of noncompliance with article 1577 since article 1577b excuses noncompliance with article 1577. Appellant contends its summary judgment evidence established or, in the alternative, raised a fact issue that the requirements of article 1577b had been met.

Article 1577 prescribes the manner in which a county must make conveyances. It provides in relevant part:

The Commissioners Court may, by an order to be entered on its minutes, appoint a Commissioner to sell and dispose of any real estate of the county at public auction, and notice of said public auction shall be advertised at least twenty (20) days before the day of sale ... once a week for three (3) consecutive weeks preceding such sale....

Maverick County contends that neither an order appointing a Commissioner to lease the land was entered into the Commissioners Court’s minutes, nor was the proposed conveyance advertised. Maverick County thus concludes that such noncompliance with article 1577 renders void the 1972 lease. See Jack v. State, 694 S.W.2d 391, 397 (Tex.App. — San Antonio 1985, writ refd n.r.e.) (holding that noncompliance with article 1577 voids conveyance and illegal conveyance cannot be ratified); Wilson v. County of Calhoun, 489 S.W.2d 393, 397 (Tex.Civ.App.— Corpus Christi 1972, writ refd n.r.e.) (stating that article 1577 is only method by which county can dispose of property and failure to comply with statute’s requirements voids conveyance).

Article 1577b provides a procedure by which attempted sales and conveyances can be validated in the event of noncompliance with article 1577.

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Cite This Page — Counsel Stack

Bluebook (online)
936 S.W.2d 42, 1996 WL 656466, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brownwood-ross-co-v-maverick-county-texapp-1996.