McKanna v. Edgar

380 S.W.2d 889, 1964 Tex. App. LEXIS 2670
CourtCourt of Appeals of Texas
DecidedJune 17, 1964
Docket11207
StatusPublished
Cited by10 cases

This text of 380 S.W.2d 889 (McKanna v. Edgar) 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
McKanna v. Edgar, 380 S.W.2d 889, 1964 Tex. App. LEXIS 2670 (Tex. Ct. App. 1964).

Opinion

PHILLIPS, Justice.

This case reaches us by Petition for Writ of Error filed by Eileen Ann McK.anna against Joe Edgar, Jr. seeking to set aside a default judgment against Petitioner. Arts. 2249, 2249a .and 2255, Vernon’s Ann. Civ.St.

Since petitioner’s mode of review is by way of Writ of Error constituting a direct attack upon the default judgment against her, the decisive question presented is whether there is error apparent on the face of the record which would vitiate the Trial Court’s order. Texaco, Inc. v. McEwen, Tex.Civ.App., 356 S.W.2d 809, error refused, n. r. e.

The plaintiff below, Edgar, filed a petition in the Trial Court alleging that the defendant, McKanna, resided in Orange County, California, had executed a note for $9,650 payable to the plaintiff in Austin, Texas, that the note was due and unpaid. The note had the usual provisions for interest and attorney’s fees and the plaintiff prayed that the court grant him judgment for the face value of note plus interest, attorney’s fees and costs.

The suit was filed in the District Court of Travis County, Texas in May of 1962.

In August of 1963, plaintiff had citation issue “To Eileen Ann McKanna, by serving Crawford C. Martin, Secretary of the State” and had the Secretary of State served, pursuant to the provisions of Article 2031b, V.C.S. A copy of the petition was mailed to the defendant by the Secretary of State of Texas by certified mail, and the return receipt indicates that same was delivered to her in California on August 17, 1963.

On September 9, 1963, plaintiff took a default judgment against defendant for the full amount of the note, plus interest, attorney’s fees and costs. Defendant had not filed an answer and did not appear at or participate in any way in the proceedings had on September 9.

The first appearance of any sort entered by defendant in the District Court of Travis County was on November 21, 1963, at which time she filed her Petition for Writ of Error as an appeal from the judgment of September 9, 1963.

Defendant below and appellant here is before us on four points of error. In her *891 first two points appellant contends that the judgment must he vacated and set aside because the record fails to show that jurisdiction of the person of appellant has been obtained; that the judgment must be vacated and set aside because the record fails to show the existence of the conditions which, under the statute (Art. 2031b, V.C.S.), would permit service on appellant by serving the Secretary of State.

Appellant’s point of error number three is that the judgment must be vacated and set aside because the record reflects that the judgment was entered without jurisdiction of the person of the appellant having been obtained, and the entry of such judgment therefore denies appellant due process of law. Point of error number four attacks the constitutionality of Art. 2031b under the facts and circumstances of the case before us.

In the past, the authority of every Court was restricted to the territorial limits of the State in which it is established. Further, that its process could not run into another State and require a person domiciled there to answer to proceedings entirely in personam. Pennoyer v. Neff, 95 U.S. 714, 24 L.Ed. 565; Hicks v. Sias, Tex.Civ.App., 102 S.W.2d 460, error refused.

Certain exceptions allowing substitute service have evolved from the general rules announced above and Art. 2031b is such an exception. While Art. 2031b applies to corporations, partnerships, joint stock companies and associations it also applies to natural persons who are nonresidents, such as appellant.

Art. 2031b applies to nonresident natural persons in four categories. The following three sections apply to natural persons and allow service through the Secretary of State as prescribed: Sec. 1 where the person is required by any statute of this State to designate or maintain one or more resident agents (or such person subject to Sec. 3 of this Act has not appointed or maintained a designated agent) and two unsuccessful attempts have been made on different days to serve same. Sec. 3 1 where the natural person engages in business in this State irrespective of any statute or law requiring an agent for service and does not maintain a regular place of business or designated agent upon whom service may be had. Section 6 where the natural person becomes a nonresident of Texas after a cause of action shall arise in this State but prior to the time the cause of action is mature by suit in a court of competent jurisdiction in this State when such person is not required to appoint a service agent in this State.

Section 2 of the act does not provide for service on the Secretary of State but states that when a natural person not required by any statute to designate or maintain an agent shall engage in business in this State, service may be had on whomever is in charge of the business in this State, provided that a copy of such process together with notice of such service upon such person in charge be sent to the defendant or to the defendant’s principal place of business.

*892 We hold that the pleadings in the case, the citation and return are sufficient to invoke the court’s jurisdiction over the appellant and we affirm the judgment of the Trial Court.

Section 3 of the act makes the Secretary of State agent for service in causes of action arising out of business in this State “irrespective of any Statute or law respecting designation or maintenance of resident agents.” This section proceeds to state negatively, “and does not maintain a place of regular business in this State or a designated agent upon whom service may be made upon causes of action arising out of such business done in this State. * * * ”

Giving full effect to this negative language, it is our opinion that a legitimate inference might be .drawn from the petition that appellee did not maintain a place of regular business in Texas or a designated agent for service. Kelley v. First National Bank of Fort Worth, Tex.Civ.App., 270 S.W.2d 644.

There is no allegation in the petition that the appellant maintained a place of regular business in Texas. It is not alleged that such note was executed in Texas. Even so, it would hardly require the maintenance of a place of regular business to execute a single note. The very nature of the business transacted by appellant excludes the inference that she maintained a place of regular business in Texas or that she was engaged in any regular business and a contrary inference is compelled.

There is no pleading that appellant had designated an agent for service in Texas and no facts are alleged under which she was required, legally, to have designated such an agent.

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Bluebook (online)
380 S.W.2d 889, 1964 Tex. App. LEXIS 2670, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mckanna-v-edgar-texapp-1964.