Hoover v. Hamilton

14 S.W.2d 935
CourtCourt of Appeals of Texas
DecidedFebruary 5, 1929
DocketNo. 9161. [fn*]
StatusPublished
Cited by13 cases

This text of 14 S.W.2d 935 (Hoover v. Hamilton) 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
Hoover v. Hamilton, 14 S.W.2d 935 (Tex. Ct. App. 1929).

Opinion

PHEASANTS, C. J.

This suit was brought by appellee against appellant to recover upon a contract, the terms of which are alleged in plaintiff’s pleading to be, in substance: That, if plaintiff would assist defendant in carrying out a contract between him and Mr. Don Hall, a building contractor, for the pro *936 motion and construction of a sixteen-story office building in the city of Houston, to be known as the Houston Medical Arts Building, and to be specially equipped and adapted for offices for members of the medical profession, the defendant would pay to plaintiff one-half of all the commissions or profits which would accrue to him from the performance of his contract with Don Hall.

The petition alleges that, by the terms of the agreement between Don Hall and defendant, Hall was to advance the money necessary to purchase a suitable site for the location of the proposed building and all expenses necessary in carrying out the promotion plan, which included the organization of a Texas corporation to hold title to the property, all or substantially all of the capital stock of such corporation to be assigned to Hall in consideration of his conveyance to it of the property upon which the building would be built; and that 1-Iall would then enter into a' contract with the corporation to construct the building in accordance with plans and specifications, and for a price to be agreed upon by him and the corporation.

By the terms of this alleged contract between defendant and Hall, the defendant was to negotiate and arrange for the purchase of a suitable location for the building, and negotiate and procure a loan or loans of the money necessary to carry out the enterprise, to be secured by a lien upon the building and the land upon which it would be located, and that defendant would receive as compensation for his services such commissions as might be agreed upon by him and Hall. It is then alleged that: “An essential part of the carrying out of the enterprise was that it should be endorsed by the Harris County •Medical Society, and in order to procure this endorsement it was necessary that a suitable location for the building be determined on, a contract secured for the purchase of same and plans and specifications of the building made, all satisfactory to said Society.”

The petition further alleges that, in accordance with the contract and agreement between plaintiff and defendant, the plaintiff assisted the defendant in selecting a suitable site for the building and in procuring an option for its purchase from its owner for a consideration of $124,000, and in further performance of his agreement aided and assisted defendant in procuring the approval and in-dorsement of the Harris County Medical Association of the enterprise, and of the plans and specifications and location of the pro1 posed building, and in every way aided and assisted the defendant in, the performance of his part of the work necessary in the promotion and completion of the enterprise; the services so performed by plaintiff being set out in detail in the petition.

After alleging the final performance of defendant’s contract with Don Hall, and the completion of the building, the plaintiff claims various amounts, as due him under his contract with the defendant for one-half of the commissions and profits received by him under his contract with Don Hall; the amounts so claimed aggregating the sum of approximately $23,000.

The defendant answered by general demurrer and a general denial of the allegations of the plaintiff’s petition.

The trial of the cause in the court below with a jury resulted in a verdict and judgment in favor of plaintiff.

In answer to special issues submitted by the court, the jury found that the defendant made the contract with the plaintiff as alleged in plaintiffs’ petition; that defendant received, as part of his compensation for carrying out his contract with Don Hall, $2,000 as commissions paid him by the Adair Realty & Trust Company; that defendant received from Don Hall, as compensation for performing his part of the contract with Hall for promoting and carrying out the enterprise, •$10,000 in money and a note for $30,000; that Don Hall now holds $10,000 of the capital stock of the corporation before mentioned, which he admits -belongs to defendant or to the defendant and plaintiff, as a part of the commissions or profits accruing to defendant in carrying out the enterprise.

The jury further found that plaintiff’s agreement with defendant to use his influence to secure the indorsement of the enterprise by the' Harris County Medical Society did not include any agreement on the part of defendant to conceal from the medical society the fact that plaintiff was to receive compensation for his services in procuring the indorsement of the enterprise by the society.

In accordance with the verdict and the undisputed evidence, plaintiff recovered judgment against the defendant in the following amounts:

(1) For $647.05, being one-half of the commissions received by the defendant upon the sale of the said real estate after deducting the expenses incurred by defendant and the amount already paid by defendant to plaintiff.
(2) $5,000, being one-half of the two amounts of $5,000 each collected by defendant from Don 1-Iall.
(3) $1,000, being one-half of the $2,000 collected by the defendant from Adair Realty & Trust Company, with interest on said several sums from the dates when they were severally collected by the defendant.

Plaintiff also recovered an undivided one-half interest in the $30,000 note executed by Don Hall to defendant, and a one-half interest in 100 shares of stock of the Medical Arts Building Company at the par value of $100 each, held by said company (Don Hall) for the benefit of plaintiff and defendant.

The appellant has 'filed quite a lengthy brief, presenting a number of assignments and propositions upon which he urges a re *937 versal of the judgment. It would serve no useful purpose to set out or discuss the propositions in detail; all of them have been duly considered by us, and none can, in our opinion, be sustained.

The first and main contention in the brief is that the contract sued on is unenforceable, because obnoxious to public policy, in that it contains an agreement by plaintiff “to receive a secret profit to induce third persons having confidence in him and believing him to be financially disinterested to do some act. by which he would receive some financial profit,” and that such contract is unenforceable because it is a “contract for a reward to influence by apparently disinterested advice the conduct of a third person.” This contention is based upon the evidence of plaintiff to the effect that he did not tell any of the members of the Harris County Medical Society, when he advocated before the society and in personal interviews with its members the indorsement of the proposed Medical Arts Building to be constructed upon the plan offered by Mr. Hall and defendant, that he would receive a part of the promotor’s compensation accruing to defendant under his contract with Hall.

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Bluebook (online)
14 S.W.2d 935, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hoover-v-hamilton-texapp-1929.