National Cattle Loan Co. v. Ward

255 S.W. 160, 113 Tex. 312, 1923 Tex. LEXIS 163
CourtTexas Supreme Court
DecidedOctober 24, 1923
DocketNo. 3826.
StatusPublished
Cited by4 cases

This text of 255 S.W. 160 (National Cattle Loan Co. v. Ward) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Cattle Loan Co. v. Ward, 255 S.W. 160, 113 Tex. 312, 1923 Tex. LEXIS 163 (Tex. 1923).

Opinion

Mr. Presiding Judge GALLAGHER

delivered the opinion of the Commission of Appeals.

This ease is before us on a certificate from the Honorable Court of Civil Appeals for the First District.

The facts herein recited are taken from such certificate. The parties are designated as in that court.

Appellant National Cattle Loan Company sued appellee R. Q. Ward in the District Court of Harris County on a note executed to it *314 by him for the sum of $54,931.60. Appellant alleged that said note was secured by chattel mortgage on cattle, that said cattle had been turned over to it by appellee to be sold by it and the proceeds credited on said note, that the same had been done and that after allowing appellee all credits arising from the sale of said cattle there remained a balance of $20,000 on said note unpaid, for which sum it prayed judgment.

Appellee admitted the execution of the note and mortgage sued on by appellant, but alleged that the same had been fully paid off and discharged as shown in his cross bill. He also admitted that appellant had a good cause of action as set forth in its petition except in so far as the same might be defeated in whole or in part by the matters and facts alleged in his said cross bill.

Appellee in said cross bill alleged in substance that at the special instance and request of appellant he transferred and delivered all of the mortgaged cattle to it with the understanding and agreement that appellant would furnish said cattle the necessary water, feed, and pasturage and at the proper time sell the same for the best price obtainable and after paying the amount due on said note, would pay to him the balance of the proceeds of such sales; that in violation of its agreement with him it converted and appropriated all of said cattle to its own use and had accounted to him and credited said note with only a small part of the value thereof; that appellant was obligated to exercise its option to sell such cattle in good faith and for the best interest of defendant, but that appellant had exercised its right to sell the same in a fraudulent, wrongful, and arbitrary manner in violation of its duty and obligation to him and in utter disregard of his rights; that certain of said cattle were sold when poor and unfit for market at a sacrifice and loss to him of $10,260,00; that certain other cattle were sold for much less than their reasonable value; that appellant received a larger sum therefor than reported and credited by it on said note.

Appellee further alleged in said cross bill that he had delivered to appellant at least 1400 head of cattle and that it had accounted to him for 1060 head of cattle, the same being only a part of the cattle so delivered to it; that as a result of neglect and improper handling by appellant many of said cattle had died; that appellant claimed about 350 head, more or less, of said cattle had strayed out of its pasture and could not be found; that he did not know whether such claim was true or false nor what became of said cattle; that it was the duty of appellant' after taking possession of said cattle to safely keep them and give to him a strict, full, and faithful account of every animal so received and that it had not done so; that he believed that appellant had converted all of said 350 head of cattle to its own use and benefit and had disposed of the same, but to whom or for what price he did not know; that whether said cattle had been disposed of or *315 had strayed and been lost appellant under its agreement with him was liable for their value, which he alleged to be $21,000.00

Appellee further alleged that the value of all the cattle delivered to appellant was $120,000.00 and that after paying the full sum due on said note, there was due and owing to him from appellant the sum of $60,000.00 for which he prayed judgment.

Appellant by supplemental petition denied all of appellee’s charges of fraud and alleged that it had gathered, cared for, and disposed of said cattle with due care and to the best advantage and had given appellee credit for all the proceeds of the sale of said cattle received by it.

The contract under which said mortgaged cattle were delivered to appellant, omitting caption, attestation, and signatures, is as follows: “Know all men by these presents: That I, ft. Q. Ward of Harris County, Texas, in consideration of the covenants and promises hereinafter contained, do hereby agree to gather all of the cattle mortgaged by me to the National Cattle Loan Company, a corporation organized under the laws of the State of Delaware, with its principal place of business at National Stock Yards, Illinois, branded Me or Me or Me or / and all other cattle owned by me branded or V-L or G or U or GNor ± and various other brands, except 35 Hereford bulls branded now mortgaged to L. Ward, and I agree to deliver all of the above mentioned cattle together with all of my saddle horses and whatever other equipment such as wagons, saddles, and other similar equipment owned by me which may be deemed necessary by Agent of the National Cattle Loan Company in taking care of these cattle, on board cars at Liverpool or in the Horn Pasture in the extreme Southern end of Galveston Island at option of the National Cattle Loan Company.

“I further agree to give the National Cattle Loan Company a bill-of-sale to the livestock so that they may have full control of the handling and sale of same. I further agree that representatives of the National Cattle Loan Company may have the privilege of re-branding all of these cattle and of re-working my range and the adjoining open range with their own men in order that they may catch, re-brand, and deliver into pasture with above mentioned cattle, any cattle in any of the above mentioned brands owned by me which I fail to turn over to them in first delivery.

“In consideration of the faithful performance of the above covenant and agreement by R. Q. Ward, the National Cattle Loan Company does hereby agree to receive from R. Q. Ward the above mentioned cattle at one or the other of the above mentioned places,- giving him a written receipt for same, and they further agree to furnish additional expense money for payment of pasturage and whatever labor, feed and. watering facilities their representatives may deem necessary for taking proper care of said cattle.

*316 “The National Cattle Loan Company further agrees to care for said cattle, and sell out as they think proper any part or all of them. After sufficient proceeds are received from the sale of said cattle to . pay in full the note for $54,931.60 and all accrued interest, together with all expense incurred by them in receiving, pasturing, selling and delivering of said cattle, to turn over to R. Q. Ward any unsold balance of said cattle or any unused proceeds received from the sale of said cattle not needed in the payment of the above note, interest or expenses.

“The National Cattle Loan Company further agrees to furnish R. Q. Ward an itemized statement of all expenses incurred in the handling, sale and delivery of the above mentioned cattle on date of final settlement with him.”

The case was tried before a jury and submitted on special issues.

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Bluebook (online)
255 S.W. 160, 113 Tex. 312, 1923 Tex. LEXIS 163, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-cattle-loan-co-v-ward-tex-1923.