Matthews v. First State Bank of Richland

250 S.W. 460, 1923 Tex. App. LEXIS 794
CourtCourt of Appeals of Texas
DecidedMarch 24, 1923
DocketNo. 8713.
StatusPublished
Cited by3 cases

This text of 250 S.W. 460 (Matthews v. First State Bank of Richland) 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
Matthews v. First State Bank of Richland, 250 S.W. 460, 1923 Tex. App. LEXIS 794 (Tex. Ct. App. 1923).

Opinion

HAMILTON, J.

[1] This is an appeal from a judgment against appellants, L. E. Burdette and Felix Matthews, jointly and severally. Appellee sued J. F. Matthews, L. E. Burdette, Pursley Gin Company, and Felix Matthews. The suit was based upon three certain promissory notes executed to appellee by J. F. Matthews and secured by mortgages upon all cotton grown upon certain farms in Navarro county during the year 1916, as well as upon other personal property.. The liability against appellants, Burdette and Felix Matthews, was predicated upon an allegation of conversion. Under this allegation, separate and distinct liability against them, jointly and severally, for the sum of $201.81 was fixed by the judgment. They alone have appealed.

J. F. Matthews was a tenant farmer in 1916, and on January 19, March 25, and May 9, respectively, of that year, he executed to appellee his certain promissory notes and also executed the different mortgages upon personal property, including cotton to be raised by him during the year, which mortgages, as above stated, were foreclosed by the judgment of the court. It seems that, as the cotton was ginned at Purdon, Tex., it was sold to Felix Matthews, a merchant in that place, and was later sold and delivered by Felix Matthews to appellant Burdette, a cotton buyer at Dawson, Tex.

J. F. Matthews cultivated about 25 acres of land during the year 1916 on what is designated as the Shores farm, and raised on it a little more than five bales of eottpn. The rental contract was made between J. F. Matthews and C. A. Kupper. Mr. August Shores, Kupper’s father-in-law, in whom the record title to the place was at that time, went to Colorado about the 8th of January, 1916, and returned in June of that year, and while he was gone Kupper had charge of and rented the 25 acres cultivated by J. F. Matthews during 1916, which Shores had “turned over” to Kupper and his wife and another of Shores’ daughters. Kupper swore that after Mr. Shores returned in June of that year he made a deed conveying jointly to Kupper and his wife and a sister of Kupper’s wife the 25-acre tract of land. Kupper testified *461 that the deed was made several months after Shores’ return, but the specific date of its execution is not approximated in the testimony.

Kupper. rented the farm originally to B. C. Biddle in the latter part of December, 1915. Thereafter, about the 1st of May, 1916, J. F. Matthews came to him and told him that Biddle was going to work a place near Richland which J. F. Matthews was working, and that he (Matthews) would cultivate the 25-acre tract. Kupper testified that he stated to Matthews that he did not care how the latter and Biddle traded just so Matthews took up the indebtedness which Biddle owed him. No specific agreement between him and Matthews beyond this is disclosed in the testimony. At that time Biddle had about 4 acres of the place planted, and Matthews planted and cultivated the balance of it. Matthews made 5 bales of cotton and a remnant. The checks for the purchase of the cotton were drawn by Felix Matthews and made payable to J. F. Matthews or bearer. These checks were cashed, and out of the proceeds one-half, which was the part belonging to the landlord, was taken, and also all the indebtedness incurred by Kupper by reason of charges made against him by Felix Matthews on account of J. F. Matthews was paid to Kupper, as well as that which had been charged to Kupper by Felix Matthews for supplies furnished Riddle before the exchange of places between him and J. F. Matthews.

The contract appearing to be one which constituted J. F. Matthews a “share cropper” or worker on the halves, the title to only one-half of the cotton raised, of course, was in J. F. Matthews. The indebtedness charged against Kupper for supplies to Riddle and Matthews amounted to as much as J. F. Matthews’ entire share of the cotton mortgaged by him to the bank to secure; the three notes executed by him to it. This being so, the proceeds of. all the cotton were thus completely consumed in the payment of rent and accounts charged to Kupper for supplies furnished Biddle and J. F. Matthews.

The indebtedness evidenced by the notes was valid and subsisting at the time the judgment of the trial court was entered. The mortgages executed to .secure them were likewise valid, and, having been duly recorded, at least constructive notice of their existence was to be charged to each of the appellants.

A trial was had in the court below before a jury, and at the conclusion of the evidence the court instructed a verdict for appellee.

The first proposition advanced by appellants is that the judgment of the court is erroneous because it appears from the evidence that appellee charged J. F. Matthews usury upon each of the three notes sued upon, and that therefore the judgment is excessive because, usury having been pleaded and proved, appellee could not recover more than the amount of the aggregate principal of the notes. Our attention is called to no evidence which we think is sufficient to disclose that usury was practiced by the bank in the transaction, and, for this reason, we consider the proposition to be without merit.

Various other propositions are presented in a more or less indefinite manner, the substance of all of which may be abridged into the statement that, as the landlord’s lien for supplies is superior to all other liens against the crop of a tenant, and since the evidence revealed that Kupper, as landlord, furnished supplies to Biddle and J. F. Matthews, which were paid for out of the proceeds of the cotton in the settlement made by Kupper with Felix Matthews on the Biddle and J. F. Matthews accounts, all of J. F. Matthews’ interest in the crop was consumed in the settlement of a debt preferred under the law over that due the bank. And, the money thus having been applied to the extinguishment of a superior lien, neither of the appellants converted any of the property, as all of the purchase price of the cotton was applied only to the payment of an indebtedness secured by a lien superior to that asserted by appellee. If the evidence is such that it conclusively established the facts to be that Kupper did not bear to J. F. Matthews and Biddle the relation of landlord in the transactions by which Kupper furnished them supplies, then, certainly, no landlord’s lien could be asserted. On the other hand, if the evidence under any reasonable view is such that it will support the conclusion that the relation of landlord and tenant existed between Kupper and Matthews, as well as between Kupper and Biddle, when the supplies furnished them were obtained and charged to Kupper, it would follow from such conclusion that the landlord’s lien existed against the cotton when it was sold, and such lien could have been discharged in only one of two ways, to wit, either by acts of Kupper constituting a waiver of it, or by extinguishment of the debt; and, if the landlord’s lien existed when the cotton was sold and the proceeds applied by Kupper to the payment of the debt due Felix Matthews (as Kupper did apply it), then, the application- in this manner of the money paid for the cotton being but the satisfaction of the lien, the purchase could not amount to conversion or illegality of any nature to be asserted by appellee.

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Bluebook (online)
250 S.W. 460, 1923 Tex. App. LEXIS 794, Counsel Stack Legal Research, https://law.counselstack.com/opinion/matthews-v-first-state-bank-of-richland-texapp-1923.