Long v. Martin

234 S.W. 91, 1921 Tex. App. LEXIS 976
CourtCourt of Appeals of Texas
DecidedMay 25, 1921
DocketNo. 1762.
StatusPublished
Cited by26 cases

This text of 234 S.W. 91 (Long v. Martin) 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
Long v. Martin, 234 S.W. 91, 1921 Tex. App. LEXIS 976 (Tex. Ct. App. 1921).

Opinion

HUFF, C. J.

Defendant in error, Martin, sued plaintiffs in error H. A. Long, W. H. McCullough, and the City National Bank of Wichita Falls, in the district court of Wichita county, to recover liquidated damages for an alleged breach of a certain contract for the sale of an oil lease on 10 acres of land, alleged to be out of a 30-acre tract in survey No. 62 in that county. We shall refer to the parties on this appeal, plaintiff in error as plaintiff, and defendant in error as defendant. The plaintiffs answered by general and special exceptions, general denial, and specially answering, among other things, that the contract was induced by false and fraudulent representations and con-cealments, in that the agent of defendant, one C. C. Shumway, represented that there was no dry hole on the 30-acre tract, and no dry hole had been drilled in the vicinity of the 30-acre tract of land; that the representations were false and untrue. A dry hole had been drilled previous to the date of the contract, of which defendant was well aware. Relying upon such representations, plaintiffs executed the contract, and gave the first check for $7,000, but for such representations and plaintiffs’ reliance thereon they would not have executed the contract or check. It is also alleged, in effect, after paying the $7,000, plaintiffs acquired some information relative to a well having been drilled on the 30 acres; that they sought defendant and his agent for the correct information and to ascertain if a well had been drilled and if it was a dry hole; that if it was so they would not carry out the contract, but would demand a return of the $7,000 paid. The defendant and his agent admitted a well had been drilled, but represented it was not a dry hole, and informed plaintiff that the persons who had so informed them were unreliable, and, instead of being a dry hole, it was a good producing oil well, and that it had been “junked,” meaning thereby the flow of oil had been stopped for the purpose of deceiving the public; that the well had established that the land was in a proven territory, which plaintiffs believed and relied upon, and were induced thereby to deposit the second check for $7,000; that the representations were false, and that before the three checks provided for in the contract were deposited plaintiffs discovered that they had been imposed upon and the representations were wholly false, and they demanded the return of the two checks deposited, each for $7,000. They also alleged that they were unacquainted with the location of the well, and had never been upon the land at the time of executing the contract and checks. There are other pleadings, which at this time we will not set out, but will notice such of them as shall be necessary in disposing of-the various assignments. The case was tried before the trial court without a jury, and he filed findings of fact and conclusions of law. The contract declared upon is as follows:

*93 “State of Texas, County of Wichita.
“(1) This contract this day made and entered into by and between M. E. Martin of the county of Dallas, state of Texas, party of the first part, and H. A. Long and W. H. McCullough of the county of McLennan, state of Texas, party of the second part, witnesseth:
“(2) Party of the first part agrees to sell and party of the second part agrees to purchase, the oil and gas lease on the following described lands, situated in Wichita county, Texas, to wit:
“(3) Being the south ten acres out of thirty acres in the northeast corner of survey No. 62, Red River valley lands, in Wichita county, Texas, at and for the price and sum of $21,000 to be paid as follows:
“(4) $7,000 cash; to be deposited with this contract and to be held in escrow by the City National Bank of Wichita Palls, Texas; $7,-000 to be deposited ten days after date hereof and held in escrow; and the balance of $7,000 to be paid within twenty days from date hereof, provided the abstract of title shall be approved by the attorney of parties of the second part, showing a good and merchantable oil and gas lease on the above-described land.
“(5) Party of the first part agrees to furnish parties of the second part an abstract within ten days from date hereof, or sooner if same can be obtained from the owners of said lands. Parties of the second part shall, within five days after the delivery of said abstract, have same examined, and report any requirements made by the attorneys of parties of the second part, and any time required for completing the title according to said requirements shall not be deducted from the time above mentioned.
“(6) In case the title cannot be cured to show a good and merchantable title in the oil and' gas lease, or the said above-described lands, then the deposit as made by the parties of the second part shall be returned to the parties of the second part. Should parties of the second partí fail or refuse to carry out this part of this contract and fail and refuse to make payment as hereinabove specified, then the amount so held in escrow and all amounts paid under this contract shall be delivered to the party of the first part, and retained by him as liquidated damages.
“(7) Party of the first part shall within the time limit herein mentioned execute a good and valid assignment of the oil and gas lease on the property herein described and attach same to said contract in escrow and when all of the terms herein mentioned are complied with and the payments herein specified are made, the City National Bank of Wichita Falls is hereby instructed to deliver said assignment of oil and gas lease to the parties of the second part.
“Witness our signatures this the 10th day of February, A. D. 1919. .[Signed by the parties].”

We shall not at this time set out the facts necessary to a disposition of the assignments, but will, under each of the assignments considered by us, state sufficient of the facts as shown by the record as are relevant to the assignments.

[1,2] We will consider first the thirty-fourth assignment, assailing the action of the trial court in sustaining the defendant’s contest of the plaintiffs’ plea of privilege to bo sued in the county of their residence, McLennan county. The contract, we think, shows that it was to be performed in Wichita county. The City National Bank of Wichita Falls had its place of business in that county, and it was the holder of the funds in controversy. The checks were made payable to the order of the bank at Wichita Falls, and all the papers were held by it in escrow. The bank, we think, was a proper party. We agree with the trial court that the venue was properly in Wichita county, and we have recently so held in a case presenting this issue. Gambrell v. Tatum, 228 S. W. 287.

The first, second, and third assignments will be considered together. The first assails the court’s finding that Martin and his agent, Shumway, did not conceal from plaintiff the fact that a well had been drilled in the northeast corner of the 30-acre tract, out of which the 10 acres were sold.

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Bluebook (online)
234 S.W. 91, 1921 Tex. App. LEXIS 976, Counsel Stack Legal Research, https://law.counselstack.com/opinion/long-v-martin-texapp-1921.