Ferguson v. Mansfield

215 S.W. 234, 1919 Tex. App. LEXIS 1028
CourtCourt of Appeals of Texas
DecidedJuly 3, 1919
DocketNo. 7671.
StatusPublished
Cited by2 cases

This text of 215 S.W. 234 (Ferguson v. Mansfield) 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
Ferguson v. Mansfield, 215 S.W. 234, 1919 Tex. App. LEXIS 1028 (Tex. Ct. App. 1919).

Opinion

PLEASANTS, C. J.

This suit was brought by H. P. Mansfield against the appellant James E. Ferguson and others to recover various sums of money, aggregating $13,883, and alleged to be plaintiff’s interest in the proceeds of the sale of lands jointly owned and sold by plaintiff and the said appellant.

The evidence shows that on and prior to January 14, 1910, appellant Ferguson' and appellee Mansfield held title to undivided interests or adverse claims in 3,200 acres of land, more or less, a part of leagues Nos. 6 and 9 of the Martinez 11-league, grant in Liberty county. On the date mentioned Mansfield conveyed his interest to Ferguson, and by an instrument of date January 20, 1919, it was agreed by the parties that, in lieu of the consideration recited in said (Jeed, Mansfield would accept an interest in a contract of sale of the land made by Fergusoh with the Dayton Lumber Company. This last-mentioned contract provided, in substance, that the Dayton Lumber Company would pay $48,000 for the land in six yearly installments of $8,000 each, evidenced by notes or bonds of the company, the last three of said notes to be held in escrow and not delivered to appellant Ferguson until certain specified adverse claims to the land had been settled by Ferguson by suit or otherwise.

*235 On May 4, 1912, Ferguson and Mansfield executed a contract which, after reciting the fact that they were jointly interested in the three notes for $8,000 each, executed by the Dayton Lumber Company as part consideration for the conveyance of said land and then held in escrow, contains the following agreement as to the ownership and disposition of the proceeds of said notes:

“There shall first be paid to the owner or holder of one certain note for the sum of twenty-five hundred dollars ($2,500.0.0), executed by the said James E. Ferguson and payable to the order of H. P. Mansfield, attorney; said note being given in payment for the interest of the Davis heirs in land purchased by' the said 'James E. Ferguson, 'and in turn sold to the Dayton Lumber Company.
“Second. There shall be paid to C. F. Stevens the sum of three thousand dollars ($3,000.00) in full settlement of his attorney’s foes and all his interest in said notes and the land for which the same were given in payment.
“After the payment of said twenty-five hundred dollar ($2,500.00) note to H. P. Mansfield, and the payment of said three thousand dollars ($3,000.00) to C. F. Stevens, it is agreed by and between the parties that the remaining balance of twenty-one thousand five hundred dollars ($21,500.00) and all accrued interest on said bonds which may be collected by said Temple State Bank shall be owned' by the following parties in the following proportion, that is to say:
James E. Ferguson as assignee and agent and attorney in fact for - . the Hardin heirs has an interest of.$4,625 00
H. P. Mansfield, individually, has an interest of....... .5,203 00
. James E. Ferguson has an interest of. 5,203 00
—leaving a remaining interest of thirty-four hundred sixty-eight and 76/ioo ($3,468.75) dollars, one-half of which amount the said Temple State Bank Shall be authorized and required to pay over to the said James E. Ferguson when collected; the remaining one-half inter'est in said sum of thirty-four hundred sixty-eight and 75/ioo ($3,468.75) dollars to remain on deposit in said Temple State Bank until the said James E. Ferguson shall be relieved from liability on a possible claim of what is known as the Stearns heirs by all statutes of limitation or otherwise. During which said time said sum shall remain on deposit in the Temple State Bank, said Temple State Bank shall pay interest thereon at the rate of four per cent, per annum, and the said James E. Ferguson agrees to pay in. addition interest at the rate of two per annum, and when the said James E. Ferguson shall be relieved from said possible claims of' said Stearns heirs by all statutes of limitation, the said Temple State Bank and said James E. Ferguson agree to pay the said Mansfield said amount, together with all interest accrued thereon.
“WheTeas, said three bonds, above described, mature at different periods; and whereas, the Dayton Lumber Company under certain options in said bonds will make partial payments on same — it is agreed" that the said Temple State Bank shall make proportionate disbursements of said funds as they are collected according to the several proportions above mentioned ; and should the said Dayton Lumber Company under said options pay the sum of two thousand dollars ($2,000.00) then said two thousand dollars ($2,000.00) shall be disbursed among the several parties owning an interest, therein in the above-named proportion.
“It is agreed in case said Dayton- Lumber Company shall fail to pay said twenty-four thousand dollars ($24,000.00) of bonds, under the terms of said escrow agreement in said Lumberman’s National Bank, that the land mentioned in said escrow agreement shall revert to, and be owned by, the parties mentioned herein in the respective proportions above mentioned.
“It is further understood and agreed that the said James E. Ferguson shall have and l'etain control of the litigation now pending in reference to the land sold to the said Dayton Lumber Company, which said litigation shall be prosecuted by the said James E. Ferguson with reasonable dispatch, and the said James E. Ferguson is hereby allowed to expend • as much as two hundred and fifty ($250.00) dollars at his. discretion in the management of said litigation for the joint account of the said James E. Ferguson and the said H. P. Mansfield, and ■if it should become necessary to make any expenditures exceeding two hundred and fifty ($250.00) dollars it shall not be done without the consent of said H. P.' Mansfield, one half of said sum so .expended to be paid by each party.”

This contract was agreed to and accepted by the Temple State Bank.

The petition in this suit, which is complex and voluminous, alleges the execution of the contracts and agreements above mentioned, all of which are attached as exhibits, and the payment by the Dayton Lumber Company to the Temple ‘State Bank of the principal and interest due upon the three notes for $8,000 each, except the sum of $6,700, which amount was due and unpaid by said Lumber Company, and that the said James E. Ferguson and the Temple State Bank had failed and refused to account and pay to the plaintiff his proportion of said money in accordance with their contract and agreement before set out. Recovery is asked on the $2,500 note, and for the. other amounts which the contract states the plaintiff is entitled to receive out, of the proceeds of said notes.

It is further alleged that at the time said contract was executed plaintiff and defendant James E. Ferguson had a settlement with each other of their respective interests in the first three of the notes of the Dayton Lumber Company for $8,000 each, which had theretofore been paid by said company, and that in making said settlement plaintiff was not informed that the Lumber Company had paid the sum of $1,318.67 interest on said notes, and said interest was not taken into account *236

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Related

Ferguson v. Mansfield
263 S.W. 894 (Texas Supreme Court, 1924)
Ferguson v. Mansfield
235 S.W. 524 (Texas Commission of Appeals, 1921)

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Bluebook (online)
215 S.W. 234, 1919 Tex. App. LEXIS 1028, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ferguson-v-mansfield-texapp-1919.