Nesbitt v. First Nat. Bank of San Angelo

108 S.W.2d 318, 1937 Tex. App. LEXIS 829
CourtCourt of Appeals of Texas
DecidedJuly 14, 1937
DocketNo. 8468.
StatusPublished
Cited by13 cases

This text of 108 S.W.2d 318 (Nesbitt v. First Nat. Bank of San Angelo) 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
Nesbitt v. First Nat. Bank of San Angelo, 108 S.W.2d 318, 1937 Tex. App. LEXIS 829 (Tex. Ct. App. 1937).

Opinion

McCLENDON, Chief Justice.

The bank (First National Bank of San Angelo, Tex.), acting in its dual capacity of independent executor and trustee under the will of Dr. Parsons (S. C. Parsons), deceased, and Mrs. Parsons (Nora H. Parsons), individually, sued Mrs. Nesbitt (Nettie Nesbitt) in trespass to try title to recover residence property in San Angelo. Mrs. Nesbitt, in addition to defensive pleas, filed a cross-action against the bank in both its said capacities and Mrs. Parsons, asserting title in herself under a deed to her from Dr. Parsons, which had been lost. From a judgment upon a directed verdict awarding title and possession of the property to plaintiffs, Mrs. Nesbitt has appealed.

The appeal presents two questions:

1. Whether under R. S. art. 3716, testimony of Mrs. Nesbitt detailing conversations and transactions with Dr. Parsons concerning the execution of the alleged deed was properly excluded as to the bank in its capacity as trustee and as to Mrs. Parsons.

2. Whether the evidence, independently of such excluded testimony, was sufficient to establish execution of the.deed.

Dr. Parsons was the agreed common source of title, Mrs. Parsons was his widow, but whether the property was separate or community the record is silent, otherwise than may be deduced from the above agreement regarding common source of title. Dr. Parsons died in 1930. His will was admitted to probate January 29, 1931; and the bank qualified as independent executor on the same day, and seasonably complied with other statutory requirements. The property in suit was listed in the inventory as an asset of the estate. .Under the terms of the will, the title to all the testator’s property was vested in the bank as trustee, to manage and control, and after payment of all debts and expenses of administration, to pay the income to Mrs. Parsons, during her life, and thereafter to his children, during their lives. After the death of all these beneficiaries, the entire estate was to vest in the Episcopal Bishop of North Texas for certain charitable purposes. No evidence whether the estate had been fully administered, or throwing any light whatever upon such administration, was proffered by either party-

Mrs. Nesbitt’s claim, as disclosed by her pleading and proffered but excluded testimony, was in substance: She went into possession of the property in 1926 under an agreement in writing whereby she was to purchase the property for $1,500, to be paid *320 in monthly installments of $60 without interest. She was also to pay the taxes and make necessary repairs upon the property. She complied fully with her agreement, and some time in 1930, a week or more before Dr. Parsons’ death, she went to his office, surrendered her copy of the contract of purchase, and he delivered to her a deed to the property. She thereupon handed the deed back to Dr. Parsons, requesting him to hold it for her, which he agreed to do. Her explanation for this redelivery to Dr. Parsons was that she wanted to conceal her ownership from her then husband, because, from her former experience, she and her children might be deprived of their home by him.

The following holdings are rested upon principles which may now be regarded as elementary:

1. The testimony was inadmissible against the bank in its capacity as independent executor. 14 Tex.Jur. p. 320, § 536.

2. It was admissible against the bank in its capacity as trustee, since its title in that regard was that of a devisee under the will. Newton v. Newton, 77 Tex. 508, 14 S.W. 157.

3. For the same reason it was admissible against Mrs. Parsons in her relation as beneficiary' under the trust provisions of the will.

4. If the property were community (of which there is no evidence), the evidence was admissible against Mrs. Parsons as community survivor, since her title, as such, was not deraigned as heir of Dr. Parsons, but existed by virtue of her interest in the community estate. Spencer v. Schell, 107 Tex. 44, 173 S.W. 867, 868.

5. If the property were community, it would be subject to Dr. Parsons’ debts, and to administration by his executor. Speer’s Marital Rights in Texas, p. 826, § 657.

6. If the estate of Dr. Parsons were fully administered, the executor, as such, would be a mere nominal party, and the evidence would be admissible generally. Stiles v. Hawkins (Tex.Com.App.) 207 S.W. 89.

7. If the estate were not fully administered, the evidence would not be admissible against either plaintiff in whatever capacity, unless the interest or title of the bank as executor was severable from that of the bank as trustee and that of Mrs. Parsons. Schell Case, supra.

Our statutes (articles 3602 and 3681) contemplate the winding up of administrations upon estates of decedents within one year after the grant of letters. See Cox v. Gaines (Tex.Civ.App.) 45 S.W. (2d) 444; Id. (Tex.Civ.App.) 75 S.W. (2d) 172. Ordinarily, therefore, in the absence of some showing to the contrary, it might be presumed, after the lapse of four and one-half years between the date letters were granted (January 29, 1931) and the date suit was filed (August 31, 1935), that the administration had been closed and the bank was holding the property of the estate in its capacity of trustee. Here, however, the executor sued in his capacity as such; there was no verified denial of its right to recover in the capacity in which it sued as required by R. S. art. 2010, subd. 3 [See Gulf, C. & S. F. Ry. Co. v. Houston (Tex.Civ.App.) 45 S.W. (2d) 771]; and Mrs. Nes-bitt herself in her cross-action prayed for judgment against the bank in its capacity as executor. Otherwise the record is wholly silent regarding the condition of the estate at any time up to the date of judgment. Under this state of the record, we think clearly it must be taken as established that the estate was still in course of administration by the bank as executor. Caulk v. Anderson, 120 Tex. 253, 37 S.W. (2d) 1008.

Upon the issue of severability of the cause of action of the executor predicated upon his title to or interest in the property, and that of the trustee under the will and that of Mrs. Parsons (whether as beneficiary under the will or as community survivor we think unimportant), the Schell Case, supra, is the leading authority. There Mrs. Schell sued in her dual capacity as community survivor (not, however, as a qualified community administratrix) and as sole heir at law of her deceased husband, upon a promissory note executed by Spencer to Schell. Spencer pleaded payment to Schell, which he offered to prove by his own testimony. This was excluded, and this ruling was affirmed in the following holding: “As a party plaintiff in her [Mrs. Schell’s] own right the testimony was admissible against her. As against her in the capacity of the heir of her husband, it was inadmissible under the statute. If the suit were one for the recovery of distinct and severable interests, so that the testimony could be limited and applied to the interest against which it was properly admissible, *321 as, for illustration, where one sues in his own right and is joined by heirs, each seeking the recovery o-f a separate interest, the question would not be one of difficulty. The rule announced in Harris v. Warlick (Tex.Civ.App.) 42 S.W. 356; Field v. Field, 39 Tex.Civ.App. 1, 87 S.W. 726; Evans v. Scott (Tex.Civ.App.) 97 S.W.

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108 S.W.2d 318, 1937 Tex. App. LEXIS 829, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nesbitt-v-first-nat-bank-of-san-angelo-texapp-1937.