Mayflower Trust Company v. Nowell

413 S.W.2d 783, 1967 Tex. App. LEXIS 2882
CourtCourt of Appeals of Texas
DecidedMarch 16, 1967
Docket14999
StatusPublished
Cited by9 cases

This text of 413 S.W.2d 783 (Mayflower Trust Company v. Nowell) 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
Mayflower Trust Company v. Nowell, 413 S.W.2d 783, 1967 Tex. App. LEXIS 2882 (Tex. Ct. App. 1967).

Opinion

WERLEIN, Justice.

This is an appeal from an order of the trial court overruling the plea of privilege of appellant, The Mayflower Trust Company. The suit was brought by Lawrence A. Nowell, Individually and as Next Friend of his minor children, as contingent or future beneficiaries under the Ames Nowell Trust, an irrevocable trust created by Ames Nowell in 1924, against Ames Nowell Individually and as Trustee of said trust, Henry V. Broady, and The Mayflower Trust Company, Individually and as Trustee of said trust, to recover trust assets, for damages for conversion of the same, for removal of the alleged trustees and for the appointment of appellee, Lawrence A. No- *784 well and some suitable corporation as substitute trustees. The Mayflower Trust Company filed its plea of privilege stating that venue of this cause of action lies in Dallas County, Texas by virtue of the provisions of Article 7425b-24, subd. B and Article 1995, Subd. 30, Vernon’s Annotated Texas Civ.Statutes. Article 7425b-24, subd. B provides that where there are two or more trustees, venue shall lie in the county where the principal office of the trust is maintained. The plea of privilege admitted that the residence of appellant was in Harris County, Texas.

Appellees filed a controverting affidavit to said plea of privilege attaching thereto a copy of their first amended original petition which they adopted by reference and stated to be true and correct, denying that venue of this cause of action lies in Dallas County, and stating that the trial court had venue over the defendant, Henry V. Broa-dy, a resident of Harris County, Texas, who was a necessary and proper party to the suit; that the defendants in the suit committed fraud and conversion in Harris County, Texas, to the injury of plaintiffs, within the meaning of Article 1995, Sections 4, 7 and 9 thereof, V.A.T.S., and further specifically denying that the principal office of the Ames Nowell Trust is or was maintained at the commencement of this action in the City of Dallas, Texas, and stating that the principal office of said trust was and is in the City of Houston, Harris County, Texas.

At the request of appellant for findings of fact and conclusions of law, the trial court found that appellant was a resident of Harris County, Texas, and that the principal office of the Ames Nowell Trust was in Harris County. The court concluded that Article 7425b-24, subd. B, V.A.T.S., does not fix exclusive venue of appellee’s cause of action, and that the venue of the cause of action as against The Mayflower Trust Company, the party asserting its privilege, is properly laid in Harris County even if Article 7425b-24, subd. B, V.A.T.S., does apply to this action, since the principal office of the Ames Nowell Trust is in Harris County, Texas. Appellant asserts that the court erred in so finding and concluding because there was no evidence and insufficient evidence to support such finding and also because Article 7425b-24, subd. B, V.A. T.S., is mandatory.

The evidence is undisputed that appellant and one of the other defendants are residents of Harris County. Appellees alleged in their petition that if service could not be obtained on Ames Nowell in Dallas, he was amenable to service by serving the Secretary of the State of Texas, under Article 2031b, V.A.T.S., and that his last known address was “c/o John J. Dougherty, 29 Teresa Avenue, Yonkers, New York, 10704.” There is in evidence a letter which is dated July 27, 1966 from Ames Nowell to Fannin Bank in Houston, Texas, in which the. address of Ames Nowell is given as c/o Mr. John J. Dougherty, 29 Teresa Avenue, Yonkers, New York, 10704. Appellant although admitting that it was a resident of Harris County, Texas, contends that Harris County is not the principal place of business of the Ames Nowell Trust, and hence venue does not lie in Harris County.

The evidence shows that on or about May 2, 1966 the Ames Nowell Trust had approximately $2,500,000.00 in assets in the form of stocks and bonds, which were held by the Fannin Bank of Houston as corporate trustee of the Ames Nowell Trust. Mr. James Melton, Vice President and Trust Officer of the Fannin Bank, testified that for approximately four months the Fannin Bank was the corporate trustee of the Ames No-well Trust, having been appointed by Ames Nowell. The trust instrument states that Ames Nowell reserved the power to remove the original corporate trustee and at any time within his discretion appoint another corporate trustee. Mr. Melton testified that the tannin Bank was the corporate trustee of the trust from approximately the 18th day of January, 1966 until May 3, 1966. Mr. R. L. Collins testified that at such time he was President of The Mayflower Trust Company, and that the company had its of *785 fice at 2625 Richmond Avenue in Houston, Texas, with its name on the door; that the office records of The Mayflower Trust Company were kept at said address; and that Ames Nowell rented the space for said office and arranged for stationery and letterheads showing such address. He also testified that the defendant, Henry V. Broady, lived in Houston, Harris County, Texas.

There is evidence that on or about May 2, 1966, Ames Nowell removed Fannin Bank as trustee, and caused all the assets of the trust to be delivered to The Mayflower Trust Company as corporate trustee of said trust; that all of the stocks and bonds, including bearer bonds, were taken by Collins, Ames Nowell and others to Washington where an effort was made to sell the assets; that the brokerage house in Washington, D. C., refused to sell the same, so they were brought back to Houston and placed in a safe deposit box with Fidelity Bank & Trust Company of Houston; that Collins placed the assets of the trust in a safe deposit box in Houston in Fidelity Bank & Trust Company; that between May 2 and May 24, 1966, the assets of the trust were located in several places; that the bulk of the assets of the trust were in said lock box up to the day that Collins’ services terminated with The Mayflower Trust Company, and that he then turned the assets over to one Eugene Kinney; that Mr. Collins refused to turn the assets over to Mr. Kinney as requested by the defendant, Henry V. Broady, until Mr. Nowell gave him express instructions to do so.

The evidence also shows that Mr. Nowell had approximately $1,400,000.00 in trust assets delivered to Dittmar & Company of San Antonio for sale, and that the proceeds from the sale were used to buy Treasury notes which were purchased on June 8, 1966, and which were due and payable in cash on June 22, 1966. The evidence shows further that these Treasury notes were delivered to Mr. Ames Nowell in New York upon his instructions; that there is approximately $200,000.00 in trust assets in Houston, Texas, and that the only assets and office of the trust in the State of Texas are in Houston.

The evidence also shows that Ames No-well at one time was a resident of Dallas. Mr. Collins testified that Ames Nowell was a resident of Dallas County, and as far as he knew his residence was still in Dallas. He knew of no office in Dallas and did not know whether Ames Nowell was in Dallas County or whether any of the assets of the trust were in Dallas County. There was no proof that any assets of the trust were in Dallas County or that any office or any officers of appellant or the trust were in Dallas County. The last known definite address of Ames Nowell was in New York.

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413 S.W.2d 783, 1967 Tex. App. LEXIS 2882, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mayflower-trust-company-v-nowell-texapp-1967.