Interstate Cattle Loan Co. v. Warren

222 P. 138, 115 Kan. 21, 1924 Kan. LEXIS 179
CourtSupreme Court of Kansas
DecidedJanuary 12, 1924
DocketNo. 24,806
StatusPublished
Cited by3 cases

This text of 222 P. 138 (Interstate Cattle Loan Co. v. Warren) is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Interstate Cattle Loan Co. v. Warren, 222 P. 138, 115 Kan. 21, 1924 Kan. LEXIS 179 (kan 1924).

Opinion

The opinion of the court was delivered by

Hopxins, J.:

The action was one of replevin by a mortgagee to recover certain cattle held under an agister’s lien. The defendant recovered and plaintiff appeals.

The controversy turns largely on whether a waiver of lien executed by the defendant in 1919 was effective in 1921 after the giving of successive notes and mortgages, and after the cattle had been taken from defendant’s pastures in Oklahoma, wintered in Texas, and later returned to defendant’s pastures in Oklahoma and Kansas.

The facts are substantially as follows: On March 28, 1919, Shults [22]*22and Hughs, partners, executed a series of notes and a mortgage to the plaintiff on 1,336 head of cattle to secure the sum of $137,809.50. The notes were due in August and September, 1919. It was agreed that the mortgagors would procure a waiver from the defendant of his agister’s lien. This waiver was prepared by the plaintiff and executed by the defendant. It reads:

“Maeci-i 28, 1919.
"The Interstate Cattle Loan Company, Kansas City, Mo.
“Gentlemen: I understand you are the holders of a mortgage for $137,-809.50, given by Homer Hughs and C. E. Shults, dated March 28th, 1919, and covering 1,336 head of three and four year old steers. Said steers are now being pastured on my land, and I hereby waive any liens I may now have, which would be prior to the mortgage above referred to, or which may accrue against said cattle by reason of their being on my pasture.
“Yours very truly, J. E. Warren.”

During the season of 1919, approximately 436 head of the cattle were sold and the proceeds applied upon the notes given by the mortgagors.

On November 13, 1919, Shults and Hughs executed notes in the sum of $103,144.94, due May 1, 1920, and a mortgage to the plaintiff upon the remaining 900 head of cattle. This mortgage provided that it should be construed under the laws of Texas. The others all provided for construction under the laws of Oklahoma. About the time of the execution of this mortgage the cattle were removed from the pastures of the defendant and shipped .to Texas for wintering, subsequent to the execution of this mortgage, and prior to May 1, 1920, the plaintiff procured additional security upon its obligation against Shults and Hughs by way of a mortgage on a ranch belonging to Shults, the partnership receiving a credit of $15,000 upon its obligation to the plaintiff, thereby reducing the indebtedness of the partnership to plaintiff to the amount of about $88,000.

In April, 1920, 626 head of the cattle were returned from Texas and placed in the pastures of the defendant under an arrangement then made between Shults and Hughs and the defendant.

On May 1, 1920, Shults and Hughs executed notes amounting to 88,293.30, due in September and November, 1920, and another mortgage in favor of plaintiff covering 900 head of cattle. During the season of 1920, 403 of the 626 head of cattle in defendant’s pasture were sold.

On December 10, 1920, Shults and Hughs executed notes amounting to $29,389.06, due June 8, 1921, and another mortgage to plain[23]*23tiff covering 332 head of cattle. The mortgage located some of the cattle in defendant’s pasture and some elsewhere. The notes secured by the mortgage of December 10, 1920, were renewed June 7, 1921, due in July and August, 1921. These renewal notes were in smaller amounts than the notes of December 10,1920. The notes of June 7, 1921, were renewed August 19,1921, by a note due October 19,1921. No other new mortgage was taken to secure the note of June 7,1921, nor of August 19,1921, but these notes specified that they were given “in renewal of a certain promissory note, dated December 10, 1920, which is secured by a mortgage and said -mortgage security is retained to this renewal note.” The notes dated December 10, 1920, and the notes of May 1, 1920, contained no such statement.

The action was filed September 23, 1921, and 223 head of cattle were replevined. The original petition and replevin affidavit were verified by R. M. Cook, vice president of plaintiff company. They alleged the execution and delivery of the notes and mortgages dated December 10, 1920. The claim of plaintiff at that time appears to have been based exclusively upon the mortgage of December 10, 1920. No claim was then made that the notes of December 10, 1920, were renewals of former notes and no claim that the plaintiff had any lien upon the cattle in controversy, other than that created by the mortgage of December 10, 1920.

On March 6,1922, plaintiff filed an amended petition in which it claimed a lien upon the cattle under and by virtue of the mortgage, dated March 28, 1919, and that all the notes and mortgages subsequent to that date were renewals. No amended affidavit of replevin was filed.

The plaintiff contends that the letter of March 28, 1919, signed by the defendant Warren, waiving his lien, was still in force and effect after the return of the cattle to the defendant’s pastures in April, 1920; that the letter was plain and without ambiguity in its terms; that its construction was for the court and not the jury, citing Dobbs v. Campbell, 66 Kan. 805, 72 Pac. 273, Rankin v. Fidelity Trust Co., 189 U. S. 242, 38 Cyc. 1522; Ryon v. Starr, 214 Pa. St. 310; Akin v. Davis, 11 Kan. 580; Bradish v. Grant, 119 Ill. 606; Dime Savings & Trust Co. v. Jacobson, 191 Ill. App. 275; that the defendant was estopped from asserting a lien on the cattle; and that the trial court erred in refusing to so instruct the jury.

The defendant admitted the execution of the waiver and that its construction was for the court, but contends that it applied only to [24]*24the conditions existing under the first contract with the owners of the cattle; that it did not apply and was not in force after the return of the cattle from Texas to be pastured under the subsequent contract.

The trial court, by refusing to submit the letter of waiver to the jury, held that it was not ambiguous; that its construction was a matter for the court and not for the jury; and that the defendant, by its terms, did not waive his lien on the cattle for pasturage after their return under the second contract with their owners.

The trial court was not in error. Written instruments speak for themselves. Their construction is a question of law for the court. (Brown v. Trust Co., 71 Kan. 134, 80 Pac. 307; Frazier v. Railway Co., 97 Kan. 285, 154 Pac. 1022; Hazelton v. Chaffin, 109 Kan. 175, 197 Pac. 870; Nichols & Shepard Co. v. Swisher, 110 Kan. 20, 202 Pac. 630.)

At the time of the execution of the contract of waiver the parties undoubtedly had in mind the conditions then existing. It will be noted that the language of the waiver refers to “steers now being pastured on my land,” and that “I hereby waive any liens I may now have . . . which may accrue against said cattle by reason of their being on my pasture.”

The cattle were first delivered to the defendant for pasturage in March or April, 1919. They were removed from his pastures and taken to Texas in November, 1919.

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Cite This Page — Counsel Stack

Bluebook (online)
222 P. 138, 115 Kan. 21, 1924 Kan. LEXIS 179, Counsel Stack Legal Research, https://law.counselstack.com/opinion/interstate-cattle-loan-co-v-warren-kan-1924.