First State Bank of Garrison v. Commercial State Bank of Nacogdoches

34 S.W.2d 297
CourtCourt of Appeals of Texas
DecidedJanuary 14, 1931
DocketNo. 1985.
StatusPublished
Cited by9 cases

This text of 34 S.W.2d 297 (First State Bank of Garrison v. Commercial State Bank of Nacogdoches) 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
First State Bank of Garrison v. Commercial State Bank of Nacogdoches, 34 S.W.2d 297 (Tex. Ct. App. 1931).

Opinion

WALKER, J.

This was a suit by appellee against appellant on the following written contract:

‘Whereas, the contracting firm of Latimer & Pursifull under contract with the proper authorities, in the State of Louisiana, built certain roads in Vernon Parish, said State, being projects No. 145C and have completed the same and same has been accepted by the proper authorities of said State, And, whereas, certain, sums of money are due said Lati-mer & Pursifull from the Highway Department of said State for the completion of said work, the payment of a portion of which sum so due is held up and not paid by said Highway authorities because of claim made by John Thompson, against said Latimer & Pur-sifull for work done and material furnished in the building of said road of which claim amounting to $6,700.00, the said Highway department of the State of Louisiana has been duly notified.
“And, whereas, said John Thompson, is releasing the said Highway Department from any obligations or duty in paying said money to Latimer & Pursifull and is authorizing the payment to them so far as his rights are involved.
“And, whereas, the check or voucher to cover said amount will be sent to the First State Bank of Garrison, at Garrison, Texas, payable to Latimer & Pursifull from whom said Bank has authority to endorse the same to itself and collect.
“And, whereas, said John Thompson, has assigned his claim against the same amounting to $6,300.00 to the Commercial State Bank at Nacogdoches, Texas.
“Now, therefore, the First State Bank of Garrison, Texas, hereby binds itself and contracts and agrees with the said Commercial State Bank of Nacogdoches, Texas, to pay over to the said Commercial State Bank the sum of $6,300.00 as soon as same is collected, as above set out. Said amount of said fund being the property of the said Commercial State Bank, and said First State Bank of Garrison, Texas, will not authorize the said Highway Department to pay said money directly to Messrs. Latimer & Pursifull, or either of them, except through check sent t« said First State Bank as heretofore done in the work of said project.
*299 “[Signed] First State Bank, Garrison, Texas, J. W. Stalling, President.”

Tlie former appeal is reported, First State Bank v. Commercial State Bank (Tex. Civ. App.) 13 S.W.(2d) 714, where a full statement of the nature of the pleadings is given. On that appeal the judgment of the lower court was reversed on the ground that error was committed in sustaining exceptions to appellant’s answer to the effect that the contract was entered into on the false Statement that Latimer & Pursifull and Thompson had settled their differences and that Latimer & Pursifull were due Thompson $6,300. On this trial the issues raised by appellant’s answer against the validity of the contract sued upon were as follows: J. W. Stalling, as president, had no authority to execute the contract; Latimer & Pursifull in fact owed Thompson nothing on the date the contract was entered into; all funds due by.the Highway Department of Louisiana to Latimer & Pursifull had been assigned by them to appellant and were in fact owned by appellant.

The following were the only issues submitted to the jury, answered as indicated:

“Special Issue No. 1. Did John Thompson authorize Belton Lattimer to credit his estimates to H. R. Pursiful, to June 4th, 1926, in the sum of $5447.29?” To which the jury answered: “No.”
“Special Issue No. 2. Did Belton Latimer, and John Thompson come to an agreement that Thompson’s lien for $6300.00 would be released by Thompson and the money forwarded through the First State Bank of Garrison to the Commercial State Bank at Nacog-doches?” To which the jury answered: “Yes.”
“Special Issue No. 3. What amount of money, if any, did Pursiful & Lattimer owe John Thompson on the 4th day of June, 1926?” To which the jury answered: “$5447.29.”
“Special Issue No. 4. What amount, if any, was.Tom Baker authorized to pay Pursiful & Latimer for John Thompson?” To which the jury answered: “$84.00.”

Stalling’s authority to execute the contract was not submitted to the jury, nor did appellant ask that it be submitted. The issue is before us on the proposition advanced by appellant that under the undisputed evidence Stalling had no authority as president to execute the contract. The evidence raised the issues upon which the contract was based: That is: Latimer & Pursifull built certain roads in Yernon parish, La., for the highway department of Louisiana; on the date of the contract this work had been accepted by the highway department, and on the date of acceptance there was due Lati-mer & Pursifull on the work an amount in excess of the $6,300 named in the contract; John Thompson was a subcontractor under Latimer & Pursifull on the work, and, when the work was accepted by the highway department, there was due Thompson by Lati-mer & Pursifull on his subcontract an amount fixed by the jury at $5,447.29, which was unpaid on the date of the contract. Prior to the date of the contract Thompson notified the highway department of his claim against Latimer & Pursifull, and on receipt of this notice the highway department refused to pay Latimer & Pursifull the balance due for the road work pending a final settlement between them and Thompson. Prior to the date of the contract, Thompson met both Latimer & Pursifull once and Latimer personally a second time in the office of appellee in the city of Nacogdoches, and an agreement was reached between them fixing the amount due by Thompson and that the amount should be paid from the funds held by the highway department. T. E. Baker testified as follows as to the terms of this agreement:

“At this time I am president of the Commercial Bank. On April 12, 1927,1 was Vice-president of the Bank. I recollect having conversations with Mr. Latimer and Mr. Per-ciful about the money due Mr. Thompson that he was testifying about. I had two conversations with them. The conversations took place in the Commercial State Bank at Nacogdoches. If you want me to testify as to the date, give me the memorandum. It was about April, 1927. They discussed a road contract in Louisiana with Mr. Latimer, Mr. Perciful and Mr. Thompson. Mr. Perciful was not present at the second conversation ; he was present part of the time at the first one, not all of the time, if I remember correctly. I went over that settlement with them. They discussed the work done and the failure to get the money to pay for it. The money had been tied up in La. with the State Highway Department, both were anxious to get the money released. ,Mr. Latimer and Mr. Perciful said that there was in the neighborhood of $500.00 more than the $6300.-00 tied up in La. It was agreed that $6300.00 was the amount of money due Mr. Thompson. They wanted to get the money released so that Mr. Thompson and Mr. Latimer agreed for all the money to come to the bank at Garrison and they would authorize the bank of Garrison to pay the $6300.00 to Mr. Thompson and the balance to Mr. Perciful and Mr. Latimer. Mr.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Federal Deposit Insurance Corp. v. Texas Bank of Garland
783 S.W.2d 604 (Court of Appeals of Texas, 1989)
Insurance Co. of North America v. Fredonia State Bank
469 S.W.2d 248 (Court of Appeals of Texas, 1971)
Beck v. Lawler
422 S.W.2d 816 (Court of Appeals of Texas, 1967)
City of Texarkana v. Arkansas Louisiana Gas Co.
118 F.2d 289 (Fifth Circuit, 1940)
Donnell v. Talley
104 S.W.2d 920 (Court of Appeals of Texas, 1937)
Doniphan Oil & Gas Co. v. Lewis
95 S.W.2d 181 (Court of Appeals of Texas, 1936)
Judd v. Wyche
80 S.W.2d 808 (Court of Appeals of Texas, 1935)
Houston Ice & Brewing Co. v. Fields
81 S.W.2d 234 (Court of Appeals of Texas, 1935)
Holsomback v. Taylor
61 S.W.2d 544 (Court of Appeals of Texas, 1933)

Cite This Page — Counsel Stack

Bluebook (online)
34 S.W.2d 297, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-state-bank-of-garrison-v-commercial-state-bank-of-nacogdoches-texapp-1931.