Montgomery Elevator Co. v. Tarrant County

604 S.W.2d 363, 1980 Tex. App. LEXIS 3756
CourtCourt of Appeals of Texas
DecidedJuly 17, 1980
DocketNo. 18285
StatusPublished
Cited by6 cases

This text of 604 S.W.2d 363 (Montgomery Elevator Co. v. Tarrant County) 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
Montgomery Elevator Co. v. Tarrant County, 604 S.W.2d 363, 1980 Tex. App. LEXIS 3756 (Tex. Ct. App. 1980).

Opinion

OPINION

MASSEY, Chief Justice.

By our disposition on appeal we reverse the judgment of the trial court with remand for new trial the suit of Montgomery Elevator Company; and we reverse the judgment awarding relief to Tarrant County and dismiss the Tarrant County suit for want of jurisdiction of the trial court to have entertained it.

This case involves two contracts; a maintenance contract and a subsequent contract to complete repairs of items disputably covered by the previous maintenance contract.

Tarrant County granted a maintenance contract to Montgomery Elevator Company. For a set annual fee Montgomery was to maintain the elevators in the Criminal Courts Building located in Fort Worth, Tar-rant County, Texas. The building houses several courtrooms as well as the Tarrant County jail.

[365]*365In the process of servicing the elevator generator, housed in a “penthouse” located on top of the Criminal Courts Building, Montgomery’s serviceman had observed on several occasions water (as high as ankle deep) on the floor surrounding the generator. The accumulation was apparently the result of a leaky roof. Tarrant County was subsequently notified about the roof’s condition and the danger involved to the generator. Specifically, Tarrant County was warned several times that the mixture of water and the high voltage produced by the generator could result in an explosion; and that the roof should be repaired as a preventive measure.

Within four months after first being notified the generator exploded. Nothing had been done by Tarrant County to repair the roof or remedy the accumulation of water.

Upon discovery of the breakdown Montgomery Elevator was summoned. Montgomery responded, noted the dismembered generator and contacted the purchasing agent for Tarrant County. Together they reached an estimation of the repair cost. By the county’s own admission it gave Montgomery every indication that it fully intended to pay for the repair. In fact, prior to completion of the installation work but subsequent to the purchase of the replacement generator, Montgomery submitted an invoice for $4,865.12 which was promptly paid by the county.

Upon completion of the job and receipt by the county of an invoice for $1,255.25 as final balance due, Tarrant County indicated for the first time its intention to not pay, contending the entire expense to have been covered by the Montgomery maintenance contract. The $1,255.25 was for services and materials alleged to have been necessary immediately following installation of the replacement generator and restoration of elevator service. This amount was supported by a “companion” contract executed simultaneously with the first “repair” contract (both contracts were entered into after the maintenance contract).

Montgomery brought suit in county court for the $1,255.25. Tarrant County denied liability, asserting that all parts and labor were covered by the pre-existing maintenance contract. Additionally, Tarrant County brought its suit by counterclaim for $5,931.62, a figure representing the amount it alleged to have been erroneously paid Montgomery for the replacement of the generator and accompanying expenses for work completed prior to the contract on which Montgomery now sues. No fraud was alleged in Tarrant County’s counterclaim; only payment by mistake was averred, plus claim of no liability for the $1,255.25 for which Montgomery sued on a contract theory.

Trial was to the court. Judgment was rendered that Montgomery take nothing; and that Tarrant County recover $4,865.12 on its’ counterclaim. From this judgment Montgomery has appealed.

ON THE SUIT OF TARRANT COUNTY

Montgomery objected below and contends on its appeal that Tarrant County’s counterclaim exceeded the jurisdictional limits of the county court. We agree. The cross action was for an amount without the county court’s jurisdiction. That court lacked the power to adjudicate Tarrant County’s claim and should have sustained the Montgomery motion to dismiss it. 15 Tex.Jur.2d p. 520, “Courts”, sec. 81 “Where defendant files claim in excess of jurisdiction” (1960); and 2 McDonald, Texas Civil Practice, p. 293, “Pleading: Answer”, sec. 7.51.2 “(Counterclaim. A. Normal Civil Action) — (b) Amount in Controversy Exceeding Jurisdictional Maximum” (1970 Rev.). Acting in the place and stead of the trial court, we dismiss Tarrant County’s suit and, simultaneously, reverse the judgment rendered on the erroneously entertained cause of action.

ON THE SUIT OF MONTGOMERY ELEVATOR COMPANY

As a defense to Montgomery’s action the County raised the pre-existing maintenance contract, asserting that all repairs fell within its boundaries. Montgomery countered that it had fulfilled all requirements of the [366]*366maintenance contract by repeatedly warning the county of the impending danger created by the leaking roof; that this action was upon a new and independent contract subsequently entered into by the parties.

With the County’s counterclaim dismissed the situation evolves to where only the Montgomery suit for $1,255.25 remains. As a result we need consider only the evidence by which Montgomery claims entitlement plus defenses presented thereto by the County of want or failure of consideration.

The defenses plead to the Montgomery claim are without merit. It was indisputably established on trial that the parties contracted for services and materials with payment to be related to provided consideration. Also established was that some services and materials were in fact subsequently provided by Montgomery, entitling it to recover something or some amount upon application of the contracted “yardstick” measure.

Tarrant County admits to the acceptance of both contracts by signature of its purchasing agent, one of which Montgomery asserts to provide support for its claim for $1,255.25. Despite this the county contends that its “agent” was unable to read the contracts prior to signing; that they were signed under duress due to the need to use the elevator to move prisoners and their meals; that finding another party to repair the generator would have required an excessive period of time due to formal bidding procedures which the county, by state law, is required to conform to prior to “letting” contracts; and, finally, that in any event the work contemplated by both parties fell under the pre-existing maintenance contract.

The documents admittedly signed by Tar-rant County’s purchasing agent (and allegedly unread) begin with the phrase: “WE PROPOSE”. Then follows a list of required labor, parts and cost. At the bottom of the page is a short paragraph, beginning: “It is expressly understood and agreed that all verbal agreements are void and that the acceptance of this proposal shall constitute the contract for the material and work specified above.” Above the signature of the county’s agent, in each contract, is the following sentence: “This proposal and contract is hereby accepted.”

It is somewhat difficult to believe that Tarrant County’s purchasing agent would fail to read a contract as short and specific as these prior to signing, particularly where an expenditure exceeding four thousand dollars was involved. Even so, it would not be the county’s subjective intent that mattered. In the formation of a contract objective intent is material and controlling; particularly so where in reliance the other party substantially has changed his position and delivered the required performance.

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Cite This Page — Counsel Stack

Bluebook (online)
604 S.W.2d 363, 1980 Tex. App. LEXIS 3756, Counsel Stack Legal Research, https://law.counselstack.com/opinion/montgomery-elevator-co-v-tarrant-county-texapp-1980.