James v. Hicks

76 Mo. App. 108, 1898 Mo. App. LEXIS 163
CourtMissouri Court of Appeals
DecidedJune 13, 1898
StatusPublished

This text of 76 Mo. App. 108 (James v. Hicks) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James v. Hicks, 76 Mo. App. 108, 1898 Mo. App. LEXIS 163 (Mo. Ct. App. 1898).

Opinion

Smith, P. J.

[110]*110Petition. [109]*109-It is alleged in the petition of the plaintiff that one Hull was the owner of a certain lot in [110]*110Kansas City and that he was desirous of erecting certain buildings thereon, and for the pur- . . ' A pose of raising money therefor entered into an agreement with defendant whereby defendant was to loan said Hull $5,500 to be secured by a first deed of trust on said lot and that said Hull executed a. note to defendant for said sum and a deed of trust on said lot to secure the same. That it was agreed between the defendant and said Hull that said money should be paid out by said defendant as the buildings upon said lot progressed, upon orders or certificates of the contractor who was to do said work, and not otherwise; that afterward said Hull entered into a contract with one A. P. Johnson to erect certain improvements upon said lot; that on the — day of December, 1889, these plaintiffs entered into a negotiation with said Hull for the purchase of said property, the said buildings then being erected upon said lot being at that time in course of construction and incomplete, and the defendant at that time still having in his hands of said money the sum of $3,700. That the said defendant, in order to induce plaintiffs to buy said property and to assume and to agree to pay the aforesaid incumbrance of $5,500, represented to plaintiffs that he had in his hands of said money the said sum, of $3,700 aforesaid, and then and there, with the assent of said Hull, agreed with plaintiffs that if they would buy said property and assume said incumbrance he would apply said money in his hands in payment of work done upon and materials furnished for the completion of said improvements, and would pay the same out only upon bills O. K.’d by Doctor James, one of the plaintiffs and would take receipts for money so paid out and would keep said receipted bills so O. K.’d by plaintiff, Doctor James, in his desk as vouchers for said payments, and that before such bills would be paid by [111]*111him it would be required that the contractor should certify that such work had been done and materials furnished for said buildings, it being part of the agreement between said Hull and plaintiffs that said building should be completed with the money so in the hands of said defendant, of which agreement defendant was informed at the time, and to which he assented. That, relying upon defendant’s representations and agreement aforesaid, plaintiffs bought said propeity of said Hull, and by the deed executed and received by them did assume and agree to pay to said defendant the aforesaid incumbrance of $5,500.

That said defendant in violation of his said agreement, after plaintiffs had so taken and accepted said deed, failed, neglected and refused to pay out said money for work done upon and materials furnished for the completion of said house and improvements, and did not pay the same out only upon bills O. K.’d by plaintiff, Dr. James, and certified by said contractor as having been used in the completion of said improvements, but now claims that he paid the same out to said Hull, notwithstanding he had expressly agreed with plaintiffs as aforesaid to pay the same out solely for the purpose of completing said improvements. Plaintiffs allege that the cost of ¿completing said improvements was $2,499, which defendant failed and refused to pay; that plaintiffs were thereby compelled to pay on account of completing said improvements divers large sums of money, aggregating the sum of $2,499. That defendant, at the time said arrangement was made, had in his hands said sum of $3,700, which was sufficient, if it had been applied to the completion of said improvements, to have fully completed the same. Wherefore, plaintiffs say they have sustained damages in the sum of $2,499, for which, with costs, they pray judgment.

[112]*112ANSWJ~R. The answer of the defendant was a general denial, which was supplemented with certain allegations which were to the effect that said Hull was the owner of certain real estate in Kansas City, and for the purpose of erecting thereon three several houses borrowed of defendant $16,500; that each of said houses was'' to be alike and that said sum of money, less certain -commissions, etc., was, under an agreement contained in a certain bond executed by Hull to defendant, to be used in the construction of said houses; that said Hull made a contract with one Johnson, who was to furnish the materials and erect said houses in accordance with certain plans and specifications ; that for the purpose of protecting defendant and said Hull in payment of said loan, it was agreed in writing that the money should be paid out as the houses progressed to certain points in instalments; that when plaintiff purchased said house the same had been completed to certain points; that when plaintiffs purchased the same, they took the place of said Hull under the original contract and agreement for building the same; that plaintiffs had full knowledge of the terms and conditions of said contracts, plans and specifications and of the amount of money paid thereon at the time of their purchase; that said original contract made by said Hull and defendant and the contract for the erection of said houses, as made between said Hull and said Johnson, remained and continued in full force until on or about the first day of February, 1890, at which time it was agreed between plaintiffs and the owners of the other two buildings and defendant that the bondsman of said A. P. Johnson for the construction of said building, said’ John Porter, should continue the construction thereof until the work was completed in said houses, and the bills should be paid as promptly as the work was completed and the [113]*113material furnished for said houses, not to exceed, however, the amount that was to be paid, as said buildings reached the points according to said original contract, made by said defendant and Hull, and said sums of money were to .be paid; and this continued until the latter part of April or the early part of May, 1890, at which time the surety of said contractor failed to carry the buildings any further and it was agreed between plaintiffs and defendant and the other owners of said houses that the work of said houses should continue until the amount of money in the hands of the defendant for the construction thereof was exhausted, and that the bills for the labor and material, if any therein, were to be paid upon the approval of plaintiffs and the other owners of said houses.

The defendant further states that he fully complied on his part with all of the agreements heretofore made, and that every dollar of money he had in his hands for the construction of said buildings was used and expended thereon, in pursuance of said agreements, heretofore referred to as made by defendant and said Hull, and by plaintiffs and the other owners of said buildings and defendant, as made on or about the first day of May, 1890, by the owner of said houses and said defendant as long as each contract was in force. Defendant further states that all of the money he had in his hands originally due said Hull was used in the construction of the said building under the several contracts heretofore referred to.

The cause was tried by the court, a jury being dispensed with. There was a finding arid judgment for the plaintiffs and defendant has appealed. The plaintiffs requested no instructions, but the defendant requested nine, five of which were given.

[114]*114

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Bluebook (online)
76 Mo. App. 108, 1898 Mo. App. LEXIS 163, Counsel Stack Legal Research, https://law.counselstack.com/opinion/james-v-hicks-moctapp-1898.