Houston Oilers, Inc. v. Floyd

518 S.W.2d 836, 1975 Tex. App. LEXIS 2315
CourtCourt of Appeals of Texas
DecidedJanuary 16, 1975
Docket16415
StatusPublished
Cited by18 cases

This text of 518 S.W.2d 836 (Houston Oilers, Inc. v. Floyd) 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
Houston Oilers, Inc. v. Floyd, 518 S.W.2d 836, 1975 Tex. App. LEXIS 2315 (Tex. Ct. App. 1975).

Opinion

EVANS, Justice.

This action was brought by Donald Wayne Floyd, a professional football player, against Houston Oilers, Inc. to recover the sum of $14,240.00 which he asserted was the balance of his salary due under his player’s contract. Floyd alleged that he had suffered an injury to his right ankle on August 23, 1968 which prevented his performing further service as a football player under his contract; that after being examined by the team physician he was carried on the club’s injured reserve list until September 30, 1968, when he was returned to the active player list by the team trainer; that about two days later, October 2, 1968, he was notified that his contract was being terminated and that he would receive no further salary, and that such actions constituted a breach of his player’s contract. Houston Oilers, Inc. generally denied these allegations and specially alleged that Floyd had failed to comply with a contractual provision whereby he was to submit himself for examination to a physician of his choice within 72 hours after the decision of the club physician that he was physically able to return to the active player list, and also that he was barred from recovery by reason of a general release of liability which he and his attorney had signed in connection with the settlement of his claim for workman’s compensation.

In response to special issues, the jury found that as a result of the injury on August 23, 1968 Floyd was physically disabled from playing football from that date through December 16, 1968 (the end of the regular football season). The jury failed to find that Floyd had intended to release the Houston Oilers from their obligations arising out of their salary contract with him. The court found, among other facts, that Floyd had been restored to the active player roster on September 30, 1968 and terminated on October 2, 1968; that he had fully performed the terms of the salary contract and that the Houston Oilers had breached the contract in failing to pay his salary. The court further found that the contract called for a total salary of $19,000.00 payable at the end of the football season on December IS, 1968; that Floyd had been paid $6,178.00, and the Houston Oilers should be given credit for the $1400.00 workman’s compensation payment he had received. It awarded judgment to Floyd in the amount of $11,422.00 with interest at the legal rate from date of judgment.

In its first three points of error, the Houston Oilers assert that the trial court erred in allowing parol evidence of Floyd’s intent in signing the release, in submitting an issue to the jury on such matter, and in failing to enforce the release as a bar to Floyd’s cause of action.

The agreed judgment entered in Floyd’s prior action against the workman’s compensation carrier, Standard Insurance Company, awarded Floyd $1120.00 for his injuries and disability, including medical expenses to the date of judgment and $280.00 for medical aid, hospital services, nursing, chiropractic services, medicines, doctor bills and prosthetic appliance expenses which might be incurred by him in the future. The judgment clearly shows that Floyd’s suit was to recover workman’s compensation benefits for the injury sustained by him on August 23, 1968. The Houston Oilers were not a named party to the suit although they are named in the judgment as Floyd’s employer at the time of the injury. The day prior to the date of the judgment, Floyd and his attorney executed a general release whereby they acknowledged receipt of the payment of the *838 sum of $1400.00 and, reciting a consideration of the insurance company’s agreement to the entry of said judgment, released and discharged National Standard Insurance Company and Houston Oilers, Inc.

“of and from any and all claims, controversies, actions or causes of action of whatever nature arising out of and resulting from the alleged injury and accident of August 23, 1968 and of and from any and all claims, controversies, demands, actions, or causes of action for liability for medical aid, hospital services, nursing, chiropractic services and medical expenses, past, present and future.”

In order to ascertain and give effect to the true intention of the parties to the release, it is appropriate that we construe the release in the light of the facts and surrounding circumstances as shown by the record. Loy v. Kuykendall, 347 S.W.2d 726, 728 (Tex.Civ.App.—San Antonio 1961, writ ref., n. r. e.). When the language of the release is considered together with the recitations showing the nature of the settlement and the payments made under the agreed judgment in the workman’s compensation case, it is clear that the release was given to cover the subject matter of that litigation. The release purports only to release those claims and causes of action which Floyd might have had “arising out of and resulting from” his injury and accident of August 23, 1968. The fact that Floyd’s injury may have preceded and perhaps have influenced the Houston Oilers’ decision to terminate his services under the contract, does not require the conclusion that his claim for salary benefits under the contract is an integral part of his claim to workman’s compensation benefits due to his physical injury. The facts of this case present an entirely different situation than that evidenced in Rough v. Southwestern Bell Telephone Co., 426 S.W.2d 579 (Tex.Civ.App.—Dallas 1968, writ ref.). In that case the employee specifically released all claims and causes of action “arising out of his employment,” including claims for “employee benefits.” Also in that case, the settlement check contained an endorsement on the back which purported to release not only the employee’s claims on account of the injury but also “all causes of action whether or not they grew out of said alleged injury.”

We hold, as a matter of law, that the release does not constitute a bar to this action. We further hold that in the event there is any ambiguity in the terms of the release, that question has been determined against the Houston Oilers’ contention by the jury’s failure to find that Floyd intended to release the Oilers from their obligations arising out of the contract. Although the Houston Oilers argue that the issue was not submitted in proper form and failed to inquire as to the ultimate issue in the case, it failed to properly apprise the court of that objection. We overrule Houston Oilers’ first three points of error.

In its remaining four points of error, Houston Oilers, Inc. asserts that the trial court erred in entering judgment for Floyd because the record conclusively establishes that Floyd failed to comply with a condition precedent to his recovery as found in paragraph 14 of his player’s contract.

Paragraph 14 of the player’s contract with the club provides as follows:

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Bluebook (online)
518 S.W.2d 836, 1975 Tex. App. LEXIS 2315, Counsel Stack Legal Research, https://law.counselstack.com/opinion/houston-oilers-inc-v-floyd-texapp-1975.