Gregory v. Montgomery

56 S.W. 231, 23 Tex. Civ. App. 68, 1900 Tex. App. LEXIS 282
CourtCourt of Appeals of Texas
DecidedFebruary 9, 1900
StatusPublished
Cited by10 cases

This text of 56 S.W. 231 (Gregory v. Montgomery) 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
Gregory v. Montgomery, 56 S.W. 231, 23 Tex. Civ. App. 68, 1900 Tex. App. LEXIS 282 (Tex. Ct. App. 1900).

Opinion

PLEASANTS, Associate Justice.

This suit was brought by appellant in a justice court in Harris County to recover of appellee the sum of $121.12, claimed by appellant to have been left in the hands of appellee, to he by him expended in the prosecution of a suit in the United States Circuit Court of Appeals for the State of Nebraska, in which appellant and appellee were jointly interested. Appellant alleges in his* amended petition filed in said cause that while holding said money in trust for the purpose above stated, appellee converted same to his own use, and refused to pay same or any part thereof to appellant. Appellee is a resident of the State of Nebraska, and no service was had upon him, but writ of attachment was sued out and levied upon certain real property belonging to appellee situate in Harris County, Texas. Appellee filed plea to the jurisdiction of the court, and subject to said plea answered by general and special exceptions to plaintiffs petition and by general denial, and by special plea that the contract under which said money was alleged by appellant to have been left in the hands of the appellee, was illegal, against public policy, and void, and appellant could not recover for breach of same. The plea to the jurisdiction of the court and the exceptions to the petition are not shown by the record to have been passed upon by the court below, and must be considered as waived.

The material facts in the case upon which this opinion is based are succinctly stated as follows: Appellant, while a resident of the State of Nebraska, employed appellee to assist him in the collection of certain claims which had been placed in his hands for collection. Appellant was to receive for his success in collecting said claims one-half of the gross amount collected, and his agreement with appellee was that he would divide equally with him whatever was realized from their joint prosecution of said chiims, they to pay equally all costs incurred in their *70 efforts to collect same. In the prosecution of their joint undertaking to collect said claims appellant brought a suit in the United States District Court of Nebraska, the style of said suit being Kenney v. Cunningham, and pending a trial of said cause appellant moved to this State and has since resided here. When he left Nebraska he left all of said claims and said suit in the hands of appellee, to be prosecuted under the original agreement between him and appellant. Shortly after coming to Texas appellant received a letter written by appellee in which he stated that the suit of Kenney v. Cunningham had been decided by the District Court against the plaintiff; and that said judgment was in the opinion of the appellee erroneous and could be reversed on appeal, and appellee desired to lmow whether or not the appellant wanted the case appealed. To this letter appellant replied on January 20, 1896, and in reply to his letter received the following letter from appellee:

“January 24, 1896.
“John S. Gregory, Pepper Grove, Texas: Dear Sir.—Answering your favor of the 20th inst., we have to say that we agree with you entirely. The decision rendered by Judge Shiras is contrary to the several decisions of our own' State Supreme Court, which we think would be followed by the Circuit Court of Appeals. If we appeal this case and the Circuit Court of Appeals overruled Judge Shiras, of which we feel quite confident, the Circuit Court of Appeals would not stop there, but would decide the case upon its merits as to all points involved.
“In the matter of costs and expense we have to say that we received' $150 and $650 from another party on settlements. Of these amounts, aggregating $650, $325 was paid to the Kinneys, leaving $325 in our hands. Nearly $100 of this amount we have already paid out in costs and expenses, so that we have now in hand a balance of $231.54 as security for costs and expenses. This amount, however, is insufficient. There is a considerable sum of costs already accrued for which we are liable, and in addition to this the costs of an appeal to the Circuit Court of Appeals would be three or four hundred dollars, which we would have to advance, and which we would lose if the case went against us. The lowest estimate we can make of the sum required in addition to that which we have now is $300.
“We dislike very much to give up at this point, and we will not if you are willing to furnish the necessary funds to cover costs and expenses. We are perfectly willing to give our time and services. What do you say about it ? The matter should be determined promptly, because if we appeal we should, I think, put in a supersedeas bond, which, if given, should be filed within sixty days from date of the decree, and in such event the proper papers should be prepared and filed and an order allowing the appeal should be obtained within the same sixty days. Tours very truly,
(Signed) “Montgomery & Hall.”

*71 To this letter appellant replied proposing to let appellee use the money in his hands to pay cost of the appeal, on condition that he would furnish the legal service and advance whatever amount over and above the money in his hands might be necessary to pay the costs of appeal. On March 24, 1896, appellee wrote appellant that he had concluded to accept his proposition, that he had filed a supersedeas bond in the case, and in due time the case would be presented to the Circuit Court of Appeals. Hearing nothing further from appellee in the matter, appellant wrote him in the fall of 1897, asking him what had been done with the case, and in reply received the following letter:

“Omaha, 9/29/97.
‘Hear Gregory.—I found that the expense of printing record and brief was too great to justify the outlay on the chances; also, after looking up recent cases, I concluded the chances were largely against us in the H. S. C. C. of App. Also I concluded even if we succeeded in that it would take too much money to redeem the property to justify its redemption. Hence I dismissed the appeal and let the decree rendered by Shiras stand. Yours truly,
(Signed) “C. £>. Montgomery."

Shortly after the receipt of this letter appellant brought this suit. Upon these facts the court below rendered judgment in favor of appellee, and filed the following as his conclusion of the law of the case:

“As conclusions of law I find that no matter what may have been the status of the parties prior and up to March 24, 1896, the letter of Montgomery, dated January 24, 1896, and the reply thereto by Gregory making a counter-proposition and the acceptance of said' counter-proposition by Montgomery on March 24, 1896, constituted a new agreement and undertaking, and that under this agreement and undertaking Montgomery was authorized in his discretion to expend the money on hand belonging jointly to. the two for costs and expenses of litigation, and that before he could properly be subjected to suit for any amount he was entitled to the privilege of making an accounting and entitled that a demand should be made upon him for settlement:"

We think the facts proven in this case, prima facie, entitle appellant to a judgment for one-half of $231.54, the amount admitted by appellee to have been in his hands at the time he made the agreement with appellant to appeal the case of Kenney v.

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

Related

Jaresh v. Jaresh
179 S.W.2d 533 (Court of Appeals of Texas, 1944)
Davidson v. Atmar
243 S.W. 662 (Court of Appeals of Texas, 1922)
Pickrell v. Imperial Petroleum Co.
231 S.W. 412 (Court of Appeals of Texas, 1921)
Archenhold Co. v. Smith
218 S.W. 808 (Court of Appeals of Texas, 1920)
Mills v. Frost Nat. Bank
208 S.W. 698 (Court of Appeals of Texas, 1919)
Floyd v. Illinois Bankers' Life Ass'n of Monmouth
192 S.W. 607 (Court of Appeals of Texas, 1917)
First Nat. Bank of Mineola v. Mineola State Bank
155 S.W. 603 (Court of Appeals of Texas, 1913)

Cite This Page — Counsel Stack

Bluebook (online)
56 S.W. 231, 23 Tex. Civ. App. 68, 1900 Tex. App. LEXIS 282, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gregory-v-montgomery-texapp-1900.