Donaldson v. Meyer

261 S.W. 369
CourtTexas Commission of Appeals
DecidedMay 7, 1924
DocketNo. 525-3991
StatusPublished
Cited by19 cases

This text of 261 S.W. 369 (Donaldson v. Meyer) is published on Counsel Stack Legal Research, covering Texas Commission of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Donaldson v. Meyer, 261 S.W. 369 (Tex. Super. Ct. 1924).

Opinion

CHAPMAN, J.

D. A. Meyer and wife, Louise Meyer, owned 14 acres of land near a negro section irt the city of San Antonio, upon which they lived, and which was community property and their homestead. D. A. Meyer and one L. Jones, a negro, reached an agreement that Meyer would sell the land to Jones, and that Jones would put the land [370]*370on the market as a negro addition in the town of San Antonio. L. Jones had no money, but Bleyer and his wife insisted that they must have some money in the transaction. D. A. Meyer and L. Jones, took upl with T. J. Murray the matter of one of Murray’s clients, one Donaldson, furnishing $6,000 of the purchase money. An agreement was reached among all the parties, and on November 4, 1918, D. A. Bleyer and wife conveyed ,the land to Henry B. Jones, a son of D. Jones, for a consideration of two vendor’s lien notes, one for $10,000 and one for $11,-000, with the provision in the deed that the lien retained to secure the payment of the $10,000 note should he paramount to the lien to secure the payment of the $11,000 note, and D. A. Bleyer, on the same date, executed in favor of John J. Donaldson a note for $5,000, which provided that it was secured by the $10,000 note given by Henry B. Jones to D. A. Meyer, and on the same date Henry B. Jones and wife executed to T. J. Murray a deed of trust authorizing said Murray to sell the Meyer land in the event of default of payment of the $10,000 note executed by Henry B. Jones in favor of D. A. Meyer, and on the same date, a rental contract was entered into between L. Jones and D. A. Meyer which provided that Meyer should remain in possession of the land and pay therefor a rental of $35 per month to be credited on the $11,000 note, said lease to remain in full force and effect until the said L. Jones paid the two notes that day given for the Meyer property, and providing further that, if D. Jones should sell the property at a price agreeable to D. A. Meyer and Louise Meyer, the lease should then be terminated by 30 days’- notice in writing. On November 10, 1918, D. A. Meyer transferred the $10,000 note to John J. Donaldson as collateral security for the payment of the $5,000 note. All of these transactions, except the transfer of the $10,000 note, occurred at the same time-and place and on the same day Henry B. Jones conveyed the land to his mother, Blary K. Jones, Meyer and his wife remained in possession of the property. Mrs. Louise Meyer claims that she knew nothing of the loan from John J. Donaldson.

A short time after default was made in the first semiannual payment of interest on the two vendor’s lien notes, D. A. Meyer by F. B. Meyer, next friend, and Louise Meyer brought suit to' cancel all the instruments above set out, and to declare the whole transaction of no force and effect, for the reason that the whole transaction was a simulated one for the purpose of placing a mortgage on their homestead, and for the further reason of the mental incapacity of D. A. Meyer at the time of the transaction. Defendant Donaldson denied the allegations of a simulated transaction and mental incapacity, and pleaded that the $5,000 furnished by him was used for necessaries for Meyer and his wife, and by way of cross-action pleaded for his debt evidenced by the notes that he held, and for a foreclosure of his lien. The case was submitted to the jury on special issues, and in answer to special issue No. 1 they found that the property was used and occupied by Meyer and wife as a home at the time of the conveyance by them to Henry B. Jones. In answer'to No. 2 they found that the conveyance from Meyer and wife to Jones was not a simulated and pretended sale for the purpose of creating a lien on the land, and in answer to No. 4 they found that D. A. Bleyer was of unsound mind at the time he made the deed, and in Nov 5 they found that D. A. Meyer did not have sufficient mental capacity to know and understand the nature and result of the transaction in executing the deed to Jones; to No. 6, that $2,800 of the money furnished by Donaldson was used by Meyer and wife for necessaries. It was agreed that Meyer and wife had $200 of the Donaldson money on hand at the time of the trial. The court gave judgment- canceling all the written instruments that in, any way affected the rights of D. A. Meyer and wife, and divested the title to the property out of all defendants and vested same in D. A. Meyer and wife. J. J. Donaldson was given a personal judgment against D. A. Meyer for the sum of $3,000 with 6 per cent, interest from November 4, 1918. Judgment of the trial court was affirmed by the court of Civil Appeals at San Antonio. 248 S. W. 777.

[1] Plaintiff in error John J. Donaldson in his first assignment takes the position that this transaction comes within the provisions of article 3593 of the Revised Civil Statutes, wherein it is provided that, where the wife or husband becomes insane, having no child or children, and no separate property, the common property passes to the survivor charged with the debts of the community, and no administration thereon, or guardianship of the estate of the insane wife or husband, shall be necessary. This article is a part of chapter 68 of the Acts of the Twenty-Third Legislature, and by referring to said chapter it can be ascertained what was meant by the Legislature in the use of the words.“or becomes insane.” The article referred to is article 2165 of said chapter 68, and in article 2166 of said chapter the identical words “or becomes insane” are used in the following way; Where the wife dies or becomes insane, leaving a surviving husband and child, * * * the husband shall have exclusive management, control; and disposition of the community property, etc. Article 2167 of said chapter provides that the husband shall, within four years after the death of the wife, or her being declared insane as provided by law, when there is a child or children, file a written application, etc., which clearly shows that the term “becomes insane” as used by the Legislature in this [371]*371chapter meant when the husband or wife was declared insane, as provided by law, and, no action in the courts having been taken as to the sanity of Meyer, this case does not come within the provisions of said article 3598.

[2] The third assignment of error raises the most serious question in the case, that is, whether the land should be subjected to sale to secure Donaldson in the payment to him of the $2,800 found by the jury to have been expended by Meyer and wife for necessaries, and the $200 found to be in possession of Meyer at the time of the trial.

In the case of Pearson v. Cox, 71 Tex. 246, 9 S. W. 124, 10 Am. St. Rep. 740, the question was as to whether, in a suit for rescission of a sale of property, a part of which was a homestead, on the ground of insanity of the husband, the homestead should be subjected to sale to secure the purchaser for purchase money, paid by him and spent by the family of the insane person for necessaries, and Justice Walker, in discussing that issue, used the following language:

“The widow, as such, as to the homestead, had nothing in law to complain of. She had duly acknowledged the deed for it; she had little equity, for she and her children had received the benefits of the sale. As legal representatives of the deceased, they were entitled to insist upon their right to reclaim the land.’ This right must be exercised subject to the equities of the transaction; yet it exists, regardless of the fairness of the sale or of the adequacy or inadequacy of the price received. The equities of the purchaser demand that compensation be made him as well for the homestead as for the other property.

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Bluebook (online)
261 S.W. 369, Counsel Stack Legal Research, https://law.counselstack.com/opinion/donaldson-v-meyer-texcommnapp-1924.