Cothrum Drilling Co. v. Partee

790 S.W.2d 796, 1990 Tex. App. LEXIS 1126, 1990 WL 70466
CourtCourt of Appeals of Texas
DecidedMay 17, 1990
Docket11-88-248-CV
StatusPublished
Cited by13 cases

This text of 790 S.W.2d 796 (Cothrum Drilling Co. v. Partee) 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
Cothrum Drilling Co. v. Partee, 790 S.W.2d 796, 1990 Tex. App. LEXIS 1126, 1990 WL 70466 (Tex. Ct. App. 1990).

Opinions

OPINION

DICKENSON, Justice.

This is a suit for conversion. The trial court rendered judgment on the jury’s verdict that plaintiff1 recover the sum of $250,000. Defendants2 appeal. We reverse and render as to the defendants who were not served until the statute of limitations had run on the claims against them.3 We modify the trial court’s judgment, giving the other defendants credit for $25,000 paid in settlement by a former defendant.4 As modified, the judgment of the trial court is affirmed as to the defendants who were served before the statute of limitations had run.

FACTUAL BACKGROUND

Gary Turner of Turner Properties ordered a mast and substructure (component parts of an oil and gas drilling rig) from Joe Austin Poe of Sweetwater Drilling Company, Inc., paying $278,500 for that equipment in October of 1981. Cothrum Drilling Company had also ordered two sets of masts and substructures from Poe of Sweetwater Drilling Company. All three sets were manufactured by Rig Structures and Supply Co., Inc. The three masts and substructures were completed at different times, and all three sets were shipped to Cothrum Drilling Company. S. Theis Rice of Cothrum Drilling Company testified that they became aware of the fact that they had received an extra mast and substructure. Rice said that Poe was not cooperating with them in connection with some other matters and that “[w]e retained the set as a bargaining tool.” The bills of lading show that the last shipment of equipment from Rig Structures to Coth-rum was on December 1, 1981. In late December, defendants’ drilling superintendent called Rice and told him that he thought they had enough pieces to rig up an additional mast and substructure.

Roger Brown of Turner Properties testified that he called Rice in the latter part of [798]*798January 1982 and said: “I think you have our mast and substructure.” Rice said that he would check on it. Brown testified that Rice called him back about ten days later, confirming that Cothrum had the equipment. The oil and gas drilling industry had become depressed after this equipment was ordered, and the mast and substructure which had cost $278,500 were subsequently sold for $25,000.

Defendants argue that they came into possession of plaintiffs equipment lawfully because of a mistake and that they offered to return the equipment to plaintiff after they figured out what had happened and satisfied themselves that the equipment belonged to plaintiff rather than Sweetwater Drilling Company.

JURY VERDICT

The jury’s verdict reads in pertinent part as shown:

QUESTION NO. 1
You are instructed that the term “converted” means the exercise of dominion over the personal property of another without consent of the owner and to the exclusion of the owner’s right of possession and use. Wrongful intent is not an element, and it makes no difference that possession may have originally been acquired by lawful means. The essence of conversion is not the acquisition of property by the wrongdoer, but a wrongful deprivation of it to the owner, although a temporary deprivation will be sufficient; and it is immaterial what subsequent application was made of converted property, or that Cothrum Drilling Company derived no benefit from the act. You are further instructed that where property has been converted, the owner is under no obligation to take it back upon a tender by the wrongdoer, and such a tender back of the property has no bearing on the action for damages arising out of a conversion. The owner does not lose his right of action for damages against the person committing the conversion merely by accepting the proceeds derived from sale of the personalty.
DO YOU FIND FROM A PREPONDERANCE OF THE EVIDENCE THAT COTHRUM DRILLING COMPANY, ACTING THROUGH THEIS RICE,5 CONVERTED, AS THAT TERM IS DEFINED HEREIN AND UNDER THE ABOVE INSTRUCTIONS, THE MAST AND SUBSTRUCTURE OF TURNER PROPERTIES?
ANSWER: We do
QUESTION NO. 2
Find from a preponderance of the evidence the month, day and year on which the conversion occurred.
ANSWER: 12-15-81
QUESTION NO. 3
WHAT DO YOU FIND FROM A PREPONDERANCE OF THE EVIDENCE WAS THE REASONABLE CASH MARKET VALUE, IF ANY, OF THE MAST AND SUBSTRUCTURE IN QUESTION, CONVERTED BY COTHRUM DRILLING COMPANY, IF YOU HAVE FOUND THAT IT DID CONVERT THE SAME, AT THE TIME OF CONVERSION IN GARVIN COUNTY, OKLAHOMA?
ANSWER: $250,000
QUESTION NO. 4
DO YOU FIND FROM A PREPONDERANCE OF THE EVIDENCE THAT COTHRUM DRILLING COMPANY ACTED WILLFULLY, MALICIOUSLY OR WITH GROSS NEGLIGENCE IN CONVERTING THE MAST AND SUBSTRUCTURE, IF YOU HAVE FOUND THAT IT DID CONVERT THE SAME?
By the term “Willfully and maliciously” is meant the intentional doing of a wrongful act without just cause or excuse; that is, if a wrongful act is intentionally done without just cause or excuse for believing it to be right or legal, or done with conscious disregard to the right of other, then such act is willfully [799]*799or maliciously done. Willfulness and intent may be inferred by the actions and conduct of the wrongdoer. “Gross negligence” means a reckless or wanton disregard of another’s rights.
ANSWER: We do not

The jury did not answer the exemplary damage question because of the negative answer to Question No. 4.

POINTS OF ERROR

Defendants have briefed six points of error, arguing that the trial court erred: (1) in its definition of the term “converted” in the court’s charge to the jury; (2) in failing to instruct the jury in accordance with defendants’ requested instruction on the law of conversion; (3) in its definition of the term “wrongful deprivation” in the court’s charge to the jury; (4) in rendering judgment against the individual members of the Cothrum Drilling Company partnership; (5) in rendering judgment against S. Theis Rice and S.E. Cothrum; and (6) in computation of the damages awarded. There is no challenge to the sufficiency of the evidence.

Plaintiff agrees that defendants are correct as to Point of Error No. 6 and agrees that they are entitled to credit for the $25,000 which was paid by Rig Structures & Supply Co., Inc.

INSTRUCTIONS TO JURY

Defendants’ first three points of error complain of the court’s instructions to the jury. Defendants argue that the trial court erroneously instructed the jury on “conversion” and “wrongful deprivation” in connection with Question No. 1, quoted in full supra. Defendants also argue that the trial court erred in refusing to give the following instruction to the jury on the question of conversion:

In connection with this Special Issue you are instructed that property is converted when an entity appropriates such property for its own use and enjoyment, or exercises wrongful dominion over such property, in repudiation of the owner’s rights, or inconsistent with such ownership rights.

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Cothrum Drilling Co. v. Partee
790 S.W.2d 796 (Court of Appeals of Texas, 1990)

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Bluebook (online)
790 S.W.2d 796, 1990 Tex. App. LEXIS 1126, 1990 WL 70466, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cothrum-drilling-co-v-partee-texapp-1990.