Dallas Joint Stock Land Bank of Dallas v. Magee

117 S.W.2d 473, 1938 Tex. App. LEXIS 1158
CourtCourt of Appeals of Texas
DecidedMay 19, 1938
DocketNo. 2000.
StatusPublished
Cited by5 cases

This text of 117 S.W.2d 473 (Dallas Joint Stock Land Bank of Dallas v. Magee) 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
Dallas Joint Stock Land Bank of Dallas v. Magee, 117 S.W.2d 473, 1938 Tex. App. LEXIS 1158 (Tex. Ct. App. 1938).

Opinion

ALEXANDER, Justice.

This suit was brought by D. E. Magee against Dallas Joint Stock Land Bank of Dallas to recover, a real estate broker’s commission ,for the sale of an oil and gas mining lease on certain land owned by the defendant in Titus county. Trial before a jury resulted in a verdict and judgment for plaintiff for the sum of $1462.50. The defendant appealed.

The plaintiff alleged that the defendant owned two certain tracts of land in Titus county, containing a total of 65.81 acres; that the defendant, through its agent Riley, employed plaintiff to find a purchaser for an oil and gas mining lease on said land, the purchaser to pay the price of $150.00 in cash and $300.00 in oil per acre for said lease and' certain other terms not necessary to here mention, and that the defendant agreed to pay the plaintiff for his services in finding a purchaser on the above terms‘the sum of five per cent of the purchase price as a commission. In the alternative, the plaintiff alleged that the defendant owned the 65.81 acres of land in question; that plaintiff informed the defendant, through its agent Riley, that he had a prospective purchaser for the lease on said land and expressed a desire to be allowed to negotiate for a sale of such lease to said purchasers; that said defendant, well knowing that plaintiff was attempting to negotiate a sale of said lease to said purchasers, “accepted his services in procuring the said Joe DeGrazier and Dan Hartsell as purchasers for said lease, and that on numerous ■ occasions during said time defendant’s agents negotiated with plaintiff and with Hartsell and De-Grazier * * * and that by accepting the services of said plaintiff, the defendant not only expressly, as hereinabove set out, but also by implication, in allowing and permitting him to negotiate for the sale of said lease, agreed and became obligated to pay' to said plaintiff for his services the reasonable and customary commission for similar services;” and that the reasonable value of his services was the sum of five per cent of the purchase price of said lease. It was further alleged that from time to time the plaintiff informed the defendant that he was expecting a commission from said sale and that the defendant, with knowledge of such facts, allowed him to continue his services in an attempt to bring about a sale of said lease; that he found a purchaser for said lease in the persons of Hartsell and DeGrazier who agreed to and were ready, able and willing to purchase said lease on the terms previously stipulated by the defendant, but that the defendant refused to carry out said agreement and declined to pay (he commission.

The appellant challenges the sufficiency of the evidence to support the judgment.

Among other things, the defendant testified that he had previously been employed by the land bank to sell land for it on a commission; that he talked to Mr. Riley, who was the land man for the land bank, and learned that said bank owned 159 acres in Titus county. He asked for permission to sell the oil and gas mining lease on said land and Riley finally agreed that if Ma-gee would find a purchaser for the lease on the 159 acres at $400.00 per acre, the bank' would pay him a commission of five per cent. Magee offered the entire tract to Hartsell and DeGrazier, who made a counter offer of $100.00 per acre cash and $250.00 in oil. This counter offer was communicated from Magee to Riley and from Riley to Ferguson, the president of the land bank, who rejected the same. Hartsell and DeGrazier then offered $400.-00 per acre, $150.00 per acre in cash and $250.00 per acre in oil, for the lease on two small tracts containing 65.81 acres off of the north side of the 159 acre tract. Magee then went to see Ferguson in person and told him of such offer. Ferguson replied: “Well, I won’t take $400.00 an acre for those two north tracts (the 65.81 acres.) I ought to have $500.00, but I will compromise with them on $450.00, $150.00 in cash, $300.00 in oil payable out of the ⅜⅛ of the %h.” Magee further testified: “And I told Mr. Ferguson that I hated to keep bothering them about that trade, but I wanted to make my commission, and Ferguson said, ‘Don’t keep trying to jew me down, try to get our price for it.’ * * * And I told him, T am going to do my best to get what you want for it, because I want to make my com *475 mission. * * * What I said about that, he didn’t blame me for making my commission, but try to get what they wanted for it.” Hartsell and DeGrazier finally agreed to buy the 65.81 acres on the terms stipulated by Ferguson. Magee communicated this fact to Ferguson, who told him, “Go to my lawyers’ office and they will prepare the contract.” While the lawyers were preparing the contract, someone asked who was to pay the broker’s commission and upon being informed that Magee expected the land bank to pay the commission, Ferguson called the deal off and refused to consummate same. Magee testified on cross-examination that he did not tell Ferguson that he was expecting a commission from the land bank for the sale of said lease. Ferguson 'testified that he did not employ Magee to sell the lease; that he did not agree to pay him a commission for the sale of the lease and did not know that he was expecting a commission from the land bank. He said he thought Magee was buying the lease for himself.

The jury, in answer to special issues,found as follows: That Riley, acting for the land bank, employed Magee to find a purchaser for an oil and gas mining lease on the 65.81 acres of land and agreed to pay him a commission of five per cent for his services; that Riley was acting within the scope of his' employment as an agent of the land bank in making said agreement; that Ferguson, president of the Dallas Joint Stock Land Bank, agreed to or concurred in such employment; that Magee procured a purchaser for said lease who was ready, able and willing to purchase same on terms satisfactory to the land bank; that Ferguson, as president of the land bank, “adopted and accepted the work and efforts of plaintiff Magee” in finding such purchaser; and “had knowledge that the plaintiff, D. E. Magee, was expecting a commission from the transaction involved herein;” and that “a truly authorized agent of the defendant, after receiving knowledge of the plaintiff’s expectations of a commission, accepted the services of the plaintiff, D. E. Magee.” The jury further found that five per cent was the usual and customary commission for such transactions.

We agree with appellant that the appellee was not' entitled to recover on the contract alleged to have been made by him with Riley, for regardless of whether Riley had authority to bind the bank in the making of such an agreement, the evidence shows that under said agreement, Magee was to find a buyer for the lease on the entire 159 acres of land and not on the 65.81 acres. He did not perform the contract alleged to have been made by him with Riley when he found a purchaser for only a part of the land covered by the alleged agreement. Colbert v. Dallas Joint Stock Land Bank, Tex.Sup., 102 S.W.2d 1031, 1034; 10 Tex.Jur. 410, 411; Shinn v. Boyd, 34 Tex.Civ.App. 151, 77 S.W. 1027; First National Bank of Houston v. Cardinell, Tex.Civ.App., 42 S.W.2d 145; Goodwin v. Gunter, 109 Tex. 56, 185 S.W. 295, 195 S.W. 848; 7 Tex.Jur. 447; Bentley v. Edwards, 125 Minn. 179, 146 N.W. 347, 51 L.R.A.,N.S., 254, and following annotation, Ann.Cas.1915C, 882.

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117 S.W.2d 473, 1938 Tex. App. LEXIS 1158, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dallas-joint-stock-land-bank-of-dallas-v-magee-texapp-1938.