Dilbeck v. Bill Gaynier, Inc.

368 S.W.2d 804, 1963 Tex. App. LEXIS 2422
CourtCourt of Appeals of Texas
DecidedMay 17, 1963
Docket16175
StatusPublished
Cited by14 cases

This text of 368 S.W.2d 804 (Dilbeck v. Bill Gaynier, Inc.) 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
Dilbeck v. Bill Gaynier, Inc., 368 S.W.2d 804, 1963 Tex. App. LEXIS 2422 (Tex. Ct. App. 1963).

Opinion

*806 BATEMAN, Justice.

This trespass to try title suit involves the construction of a provision in a deed which appellants contend is a condition subsequent or, in the alternative, a covenant. Alleging a breach of the provision, the appellants sue for a forfeiture of title as for breach of condition, and, in the alternative, for damages arising out of the breach of the covenant. Both parties moved for summary judgment; appellants’ motion was overruled and that of appellee sustained.

We have concluded that the provision in question did not create a condition subsequent. Considering, without deciding, that it may have been a covenant running with the land, we reverse the judgment and remand the case for trial.

Appellants owned approximately 29 acres of land abutting Preston Road, a heavily traveled thoroughfare extending in a northerly direction through and beyond the north limits of the City of Dallas. The land was subsequently annexed to the City of Dallas. On February 15, 1955 the appellants conveyed to Albert L. Greer, Trustee, 18 acres off of the east side of the tract, retaining title to the remaining 11 acres fronting on the east side of Preston Road. The deed is in the form of a general warranty deed but contains the following special provisions :

“It is agreed by and between the parties herein that Grantee anticipates that the property here conveyed will be subdivided into building lots, and it is agreed by Grantors herein that at the time of the making of said subdivision, that they will dedicate to public use a road or street 60 feet wide extending across property owned by them on the West of the property here conveyed ; said street to extend from Preston Road to the property here conveyed; and it is agreed by Grantee that such road to be dedicated by Grantors shall be located and situated at such place as Grantors may choose and direct, and it is further agreed that said 60 foot street shall be paved to the specifications as directed by the City of Dallas at the total expense of the Grantee herein.
“It is further agreed by and between the parties hereto that Grantors desire that the property owned by them adjoining on the West side of the property here conveyed be zoned for business or commercial use, and Grantee herein has no objection to the zoning of said property of Grantors for business or commercial use, it is therefore, made a condition for the conveyance of the property described above herein that Grantee, his heirs and assigns, zvill make no objection to any governing body against the zoning of said Grantors property for business or commercial use, however, it is hereby agreed that the above said commercial property that adjoins the property hereby conveyed shall be screened on the side adjoining said conveyed property according to the requirements of the City Engineer, and it is further agreed that the screening shall be done at the expense of Grantors herein.” (We have italicized the provision in question.)

The following facts appear to be undisputed :

By mesne conveyances, title to the said east 18 acres was acquired by appellee, a Texas Corporation. Appellants applied to the City Plan Commission of the City of Dallas for the rezoning of the west 11 acres retained by them for business or commercial uses. A written protest was filed by Bill Gaynier. Others also protested. Gaynier was an experienced real estate man and was familiar with zoning proceedings, knowing that the City Plan Commission made recommendations to the City Council and that his signed protest would be made a part of the record before the City Plan Commission. He acquired actual *807 knowledge of the provision in question in the Greer deed after he sent in his written protest but before the Plan Commission hearing, and did nothing to retract or withdraw the protest. The City Council followed the recommendation of the Commission and denied the application.

William Gaynier, sometimes called Bill Gaynier, was the sole shareholder, president and a director of appellee Bill Gaynier, Inc. The other two directors were his wife and his attorney. He testified by deposition that his protest against the change of zoning was on behalf of himself, not the corporation, although he owned no land in the vicinity and appellee’s land adjacent to that of appellants was the only land owned by it in the vicinity.

Before undertaking to construe the provision in question we should first set forth several well known rules of construction. The first of these is that we should ascertain and give effect to the intention of the parties as gathered from the entire instrument, together with the surrounding circumstances, unless that intention is in conflict with some unbending canon of construction or settled rule of property, or is repugnant to the terms of the grant. 14-B Tex.Jur. 574, § 125.

“Every part of the deed must be given effect if it can be done, and, when all of the parts are harmonized, the largest estate that its terms will permit of will be conferred upon the grantee.” Cartwright v. Trueblood, 90 Tex. 535, 39 S.W. 930, 931.

The courts will not declare a forfeiture unless compelled to do so by language that will admit of no other construction. Automobile Ins. Co. v. Teague, Tex.Com.App., 37 S.W.2d 151, 153.

The language of a deed is that of the grantor, and if there is any doubt as to its meaning, it should be resolved against him. Couch v. Southern Methodist University, Tex.Com.App., 10 S.W.2d 973; 14-B Tex.Jur. 580, § 133; 16 Am.Jur. 530, § 165.

The chief distinction between a covenant and a condition subsequent has to do with the remedy in the event of a breach. If a covenant, the remedy is an action for damages, but the breach of a condition subsequent' results in a forfeiture of the estate. The use of the technical word “condition” or “covenant” in the deed is not determinative of the character of the clause or provision to which it refers. 14 Am.Jur. 480-482, Sec. 3.

While the words “on condition” in a deed are apt words to create a condition, yet they do not necessarily do so; and while words of re-entry or forfeiture are important as evidence of an intention to impose a condition subsequent, they are not necessary or indispensable to do so. Texas Electric Ry. Co. v. Neale, 151 Tex. 526, 252 S.W.2d 451; Rooks Creek Evangelical Lutheran Church v. First Lutheran Church, 290 Ill. 133, 124 N.E. 793, 7 A.L.R. 1422; Los Angeles University v. Swarth, 9 Cir., 107 F. 798, 54 L.R.A. 262; 12 Tex.Jur. 131, Sec. 86.

Applying these principles to the undisputed facts presented here, we hold that the provision in question does not create a condition subsequent. We are of the opinion that the provision was intended by the parties to create personal obligations or covenants between them, which may or may not be binding upon their respective assigns.

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368 S.W.2d 804, 1963 Tex. App. LEXIS 2422, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dilbeck-v-bill-gaynier-inc-texapp-1963.