J. B. Colt Co. v. McBurnett

1 S.W.2d 385
CourtCourt of Appeals of Texas
DecidedDecember 5, 1927
DocketNo. 7870.
StatusPublished
Cited by12 cases

This text of 1 S.W.2d 385 (J. B. Colt Co. v. McBurnett) 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
J. B. Colt Co. v. McBurnett, 1 S.W.2d 385 (Tex. Ct. App. 1927).

Opinion

COBBS, J.

J. B. Colt Company, a New Jersey corporation, having no permit to do business in Texas, filed this suit in the county court of Nueces county against W. B. McBur-' nett, based on a promissory note evidencing an obligation created by a contract in writing -consisting of an order in writing made by W. B. McBurnett, directed to the J. B. Colt Company at Kansas City, Mo., requesting shipment to him of an acetylene generator, together with equipment, which order by its terms became a contract on acceptance by an officer of the company. Said order was accepted by an officer of the J. B. Colt Company at Kansas City, Mo., and became a contract.

The contract'provided for shipment of the merchandise f. o. b. factory, and further provided that same would not be installed by the J. B. Colt Company. At the time of signing said order, W. B. McBurnett signed an instrument in writing, designated “Order to Installing Contractor,” wherein he appointed L. L. Roberts to select a contractor to install the plant for him, to whom he agreed to pay the sum of $46 for the installation work when completed. Said installment contract was to be complete when accepted by some person prepared to do the installing. By its provisions, the installer was to be selected by the agent named by McBurnett without reference to W. B. McBurnett and without any liability therefor to J. B. Colt Company. By that installment order, W. B. McBurnett assumed supervision of the installation, and J. B. Colt Company assumed no responsibility whatever therefor.

W. B. McBurnett defended, alleging total failure of consideration,-and that by fratid, accident, and mistake the contract did not represent the true agreement made, and on the further grounds that the transaction was intrastate, and, since J. B. Colt Company had no permit to do business in Texas, it had no right to maintain this suit in the courts of Texas.

On trial of the case, the note and contract between W. B. McBurnett and J. B. Colt Company and the installment contract between W. B. McBurnett and G. M. Roberts, who was the installing contractor, were^ offered in evidence. W. B. McBurnett testified that he did not hire G. M. Roberts, and that G. M. Roberts was sent to do the work of installation by the J. B. Colt Company and was never in his employ ; that G. M. Roberts took the note provided for in the contract and offered to discount it for him.

In rebuttal, the J. B. Colt Company showed that the generator and equipment met the warranty specified in the contract, and that same was shipped to W. B. McBurnett at Robstown, Tex., from Speedway, Ind., f. o. b.

The cause was submitted to the jury on special issues, in answer to which the jury found that J. -B. Colt Company was doing business in Texas and installed the generator and equipment, that by fraud, accident, and mistake the contract failed to contain the warranty, agreements, and conditions of the contract completed between the parties, and that the generator and equipment -appliances and supplies contracted for by W. B. McBur-nett and delivered to him by the J. B. Colt Company met the warranty made in the written contract.

The attorneys for both parties argued the case before this court orally. Appellant filed *386 a very full and complete written brief and argument. Tbe appellee filed no written brief or argument.

Tbe case presents but two material questions for decision; that is, Was tbe shipment interstate, requiring a written permit to do business in Texas because appellant was a foreign corporation? or, conversely, Was tbe shipment intrastate?

Tbe appellee received tbe goods, and, having retained and used the same, is in no position to set up any defense of reeission and thus avoid tbe payment of the note, for be, by his conduct and acts, has estopped himself to rescind, and is in no position to evade tbe payment of tbe note.

The contract introduced in evidence, styled “Order to Installing Contractor,” provided:

“(6) Install of lay piping, in building or underground outlet, in addition to tbe above, as be may be directed by the undersigned' before commencement of the work, upon payment by the undersigned for such work át the regular schedule of prices charged by the installing contractor for such character of work * * * and provided the necessary extra material' be supplied to the installing contractor by the undersigned in time so that the extra work may be performed without delay.

“The undersigned agrees to pay in cash to the installing contractor upon completion of above work $46.00, which said sum does not include the cost of any extra work specified in above paragraph numbered (6) and which extra work is to be paid by the undersigned as specified in said paragraph. The undersigned further agrees to furnish carbide generator, carbide, and all necessary material for the performance of the above work; to haul installing contractor and his workman, and all necessary material, from and to the railroad station; to board installing contractor and his workman during performance of work; to make excavation 7 to 9‘ inches deep and not less than 4 feet wide, for the generator to stand in, and to do all trenching and refilling.

“This order is delivered by the undersigned to It. L. Roberts., whom I authorize to unconditionally deliver the same, or cause to have it unconditionally delivered, to an installing contractor (to be selected without further reference to undersigned, and without any liability therefor to J. B. Colt Company, its agents or employees, for acceptance). This order shall become a contract between the installing contractor and the undersigned when accepted in writing by the installing contractor and the undersigned when accepted in writing by the installing contractor in the space below. * * * This order, when accepted, shall be a complete and independent contract between the undersigned and the installing contractor, which cannot be canceled, altered, or modified by either party hereto except by a further agreement in writing signed by both parties.

, “W. B. McBurnett.

“Accepted 11-18-1924. G. M. Roberts,'Installing Contractor."

The facts in this case show beyond controversy an interstate shipment and a valid contract. Such is the settled law in this state. St. Louis Expanded Metal Fire Proofing Co. v. Beilharz (Tex. Civ. App.) 88 S. W. 512; S. R. Smythe Co. v. Fort Worth Glass & Sand Co., 105 Tex. 8, 142 S. W. 1157.

The law seems settled that a sale of its products by a foreign corporation, though without a permit to do business in the designated state, and shipped by the seller to the buyer in the state, is interstate commerce, and the seller may maintain his suit in the courts of this state for the recovery of the price, so that the transaction retains its interstate character, provided the corporation exercises no dominion over the commodity in such manner as to create competition with citizens doing business in the state. The fact of installation of the product sold does not deprive the transaction of its interstate character unless the work done is not relevant to or immediately connected with the sale.

It is held in Southern Discount Co. v. Rose (Tex. Com. App.) 296 S. W. 482:

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

Related

Estey Corp. v. St. Mary's University of San Antonio, Inc.
470 S.W.2d 138 (Court of Appeals of Texas, 1971)
Creamery Package Mfg. Co. v. Cheyenne Ice Cream Co.
100 P.2d 116 (Wyoming Supreme Court, 1940)
Pope v. Mergenthaler Linotype Co.
131 S.W.2d 668 (Court of Appeals of Texas, 1939)
Kimball-Krough Pump Co. v. Judd
88 S.W.2d 579 (Court of Appeals of Texas, 1935)
Shary v. Helmick
90 S.W.2d 302 (Court of Appeals of Texas, 1935)
North v. Mergenthaler Linotype Co.
77 S.W.2d 580 (Court of Appeals of Texas, 1934)
American Soda Fountain Co. v. Hairston
69 S.W.2d 546 (Court of Appeals of Texas, 1934)
Roberts v. J. B. Colt Co.
31 S.W.2d 196 (Court of Appeals of Texas, 1930)

Cite This Page — Counsel Stack

Bluebook (online)
1 S.W.2d 385, Counsel Stack Legal Research, https://law.counselstack.com/opinion/j-b-colt-co-v-mcburnett-texapp-1927.