Pollock Paper & Box Co. v. East Texas Motor Freight Lines, Inc.

201 S.W.2d 228, 145 Tex. 634, 1947 Tex. LEXIS 107
CourtTexas Supreme Court
DecidedApril 9, 1947
DocketNo. A-1117
StatusPublished
Cited by3 cases

This text of 201 S.W.2d 228 (Pollock Paper & Box Co. v. East Texas Motor Freight Lines, Inc.) 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
Pollock Paper & Box Co. v. East Texas Motor Freight Lines, Inc., 201 S.W.2d 228, 145 Tex. 634, 1947 Tex. LEXIS 107 (Tex. 1947).

Opinion

Mr. Justice Folley

delivered the opinion of the Court.

This is a suit for debt on a verified account brought by the petitioner, Pollock Paper & Box Company, against the respondent, East Texas Motor Freight Lines, Inc., for the printing of waybills under a written purchase order number 9411 dated March 6, 1944, made out on the printed form of the respondent and signed “East Texas Motor Freight Lines” by G. H. Jones, its agent. The order was addressed to petitioner and specified: “In accordance with instructions hereon, please enter our order for the following: 200 M Way Bills fan Fold for Great' Lakes, unit price 7.22 M To be No. consecutively beginning where 25000 order quits off.”

The respondent’s answer contained certain special exceptions, a verified denial of the account, and a plea of non est factum of the written purchase order. There was no plea in the trial court of ultra vires or illegality.

In a trial before the court petitioner recovered judgment for $1,344.18. The court of civil appeals found that the contract was ultra vires as a matter of law, and upon original hearing rendered judgment for respondent. On motion for rehearing, however, the cause was remanded to give petitioner an opportunity to offer additional proof upon another trial. 197 S. W. (2d) 883.

[636]*636In determining the issue of ultra vires the court of civil appeals proceeded upon the theory that the illegality of the transaction appeared from the allegations of the petitioner and from the evidence, and thus the burden was cast upon petitioner to show that the respondent corporation either dereived profits or contemplated some benefit from the alleged ultra vires transaction, which burden, it is claimed, petitioner failed to discharge.

The petitioner alleged that the respondent, through Jones, its purchasing agent, on March 6, 1944, executed and delivered its written purchase order No. 9411 on its printed form in which respondent ordered petitioner to furnish the 200000 waybills for Great Lakes at $7.22 per thousand, and to be numbered consecutively beginning where a previous order of 25,000 waybills from respondent ended; that upon receipt of the purchase order by petitioner it was accepted, and on March 7, 1944, a written acknowledgment thereof was addressed to the East Texas Motor Freight Lines at Dallas, Texas; that there was an established custom in the printing trade that the purchaser will accept what is commonly termed an over-run or under-run of such printed matter of ten to fifteen per cen of the total number of printed items requested in the order; that by reason of the order and the usage and custom petitioner did furnish and ship 220800 Waybills to Great Lakes and Texas Motor Transport at Cleveland, Ohio, at a total cost of $1,594.18; that $250.00 had been paid on such account, leaving a balance due in the sum of $1,344.18; that G. H. Jones was the duly authorized purchasing agent of the East Texas Motor Freight Lines; that he had been such purchasing agent for twenty-two years, and during all such period had been actively in charge of the- purchasing department and charged with the power and authority to buy parts, office supplies and printed matter for such company; and if in truth and in fact he was not actually acting within such authority as agent, that he was clothed with apparent and ostensible authority to enter into such transactions and that respondent was estopped to assert that he was not acting within the scope of his authority.

The trial court filed findings of fact which are amply supported by the evidence. The material portions of such findings are as follows: That sometime in 1943 the respondent acquired ICC Permit No". 20914 from a Mrs. Crawford, which extended into Ohio, Indiana, Michigan, Oklahoma, and other states, operating into Cleveland, Fort Wayne, Detroit, Indianapolis, and other cities, and that respondent maintained an office in Chi[637]*637cago; that G. H. Jones was the duly authorized purchasing agent of the respondent for the purchase of parts, office supplies, and printed matter such as the waybills involved in this case, and had been purchasing such supplies from the petitioner, the Pollock Paper & Box Company, constantly and in regular course of business; that on January 6, 1944, Jones called petitioner’s office and requested a sales representative to be sent to respondent’s office: that Jones executed purchase order number 8663, being the same purchase order form as the subsequent order number 9411, for 25,000 waybills to be printed under the name of Great Lakes; that Jones advised petitioner’s agent that respondent had commenced operations under the name of Great Lakes and Texas Motor Transport for which it desired the waybills set out in the order, which operation was under ICC Permit number 20914; that Jones took a freight bill form of the respondent and delivered such form or copy of the desired waybills, changing the name East Texas Motor Freight Lines to Great Lakes and Texas Motor Transport, and the territory covered to northern and mid-western states, which order was acknowledged in writing by petitioner and charged to the account of respondent; that on March 6, 1944, Jones executed and delivered to petitioner’s representative respondent’s printed form purchase order number 9411 which was headed East Texas Motor Freight Lines requesting petitioner to enter “our order” for the additional waybills to be numbered consecutively beginning where previous order of 25000 quits off, and having the printed name East Texas Motor Freight Lines as purchaser, by G. H. Jones; that on March 7, 1944, petitioner sent a written acknowledgment of such order to respondent which asknowledgment receipt of “your order” for the 200 M. waybills to be shipped to Great Lakes & Texas Motor Transport, Cleveland, Ohio; that such acknowledged receipt was received in due course of mail by respondent; that petitioner charged such account in the sum of $1.594.18 to respondent and sent invoice therefor, dated July 1, 1944, showing that the waybills had been sold to respondent in accordance with its order; that such invoice was duly received by respondent and that respondent’s agent Jones approved the same by writing “OK.J.” thereon and that Jones transmitted the same to the accounting department of respondent; that on July 28, 1944, petitioner also sent respondent a bill showing a balance of $1,594.18; that about August 15, 1944, respondent issued its check payable to petitioner for the amount of the bill which check was later voided by tearing the signatures from it; that respondent’s agent Jones returned the invoice and statement and requested petitioner to send the statement to Great Lakes and [638]*638Texas Motor Transport; and that petitioner complied with such request and received a payment of $250.00 from Great Lakes, leaving a balance due in the sum of $1,344.48.

From the above findings the trial court concluded that G. H.

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Bluebook (online)
201 S.W.2d 228, 145 Tex. 634, 1947 Tex. LEXIS 107, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pollock-paper-box-co-v-east-texas-motor-freight-lines-inc-tex-1947.