Reese v. Hamlett

223 S.W. 346, 1920 Tex. App. LEXIS 764
CourtCourt of Appeals of Texas
DecidedApril 14, 1920
DocketNo. 6137.
StatusPublished

This text of 223 S.W. 346 (Reese v. Hamlett) 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
Reese v. Hamlett, 223 S.W. 346, 1920 Tex. App. LEXIS 764 (Tex. Ct. App. 1920).

Opinions

Appellees concede the correctness of appellants' statement of the nature and result of this suit, which is as follows:

"This is a suit instituted by Mrs. Johnnie T. Hamlett against A. Reese and wife, Maggie L. Reese, upon one note for $500, dated October 30, 1913, and due three years from date, bearing interest at the rate of 10 per cent. per annum, and providing for 10 per cent. attorney's fees in certain contingencies.

"Plaintiff alleged the execution by defendants of the note sued upon, and that it was executed in part payment for labor and material for the construction of improvements upon a certain piece or parcel of land in Waco, McLennan county, Tex., and the execution of a certain mechanic's lien contract in favor of one H. P. Fulghum, and prayer for judgment establishing a lien and a foreclosure thereof.

"Plaintiff further alleged that on October 30, 1913, the said H. P. Fulghum transferred and assigned the note in question to D. M. Wilson, together with the mechanic's lien securing same, and that on January 17, 1914, the said D. M. Wilson transferred said note to plaintiff herein, and plaintiff also alleged that on June 26, 1915, A. Reese and wife, Maggie L. Reese, conveyed the premises in controversy to L. B. Reese, who assumed the payment of said note, and that thereafter the said L. B. Reese conveyed said premises to A. Reese, who again assumed and obligated himself to satisfy and pay off the note sued upon.

"Plaintiff further alleged that one T. B. Dockery and D. M. Wilson were asserting claims to said property, and they were made parties that they might assert any rights that they might have in the premises.

"Plaintiff further alleged that the defendants, A. Reese and Maggie L. Reese, were setting up and alleging that the note sued upon had been paid, and that there was some defect in the purported mechanic's lien which should defeat the enforcement of said lien.

"Plaintiff further alleged that she purchased said note and lien from the defendant D. M. Wilson before the maturity of said note in due course of trade and for full face value, and without notice of any defect or vice either in said note or in the lien securing same, and prayed in the alternative that in case the court should find that said note was not secured by a valid mechanic's lien upon the property in controversy, then they should have personal judgment against D. M. Wilson for the amount thereof.

"The defendants A. Reese and wife, Maggie L. Reese, answered by general demurrer and general denial. And for further answer they alleged that the property in controversy on October 30, 1913, and for a long time prior thereto, had been owned by these defendants and used and enjoyed by them as their homestead; that they, being desirous of placing upon said property certain improvements, to wit, a five-room house and a certain addition 10×18 feet to the storehouse then on said property and also a barn 10×30 feet, and also lay 80 feet of cement sidewalk upon said premises, did enter into a certain contract and agreement with one H. P. Fulghum for the construction of said improvements.

"Said defendants further alleged that the said H. P. Fulghum, being unable to place said improvements upon said property without the assistance of others, called into the negotiations with the defendant D. M. Wilson, and it was then and there agreed between the defendants A. Reese and wife, the said D. M. Wilson, the said H. P. Fulghum, that in consideration of the assistance which was to be loaned the said D. M. Wilson in the carrying out of said contract the said A. Reese and wife would make, execute, and deliver to the said H. P. Fulghum notes aggregating $1,600, which said notes would be secured by a pretended mechanic's lien, and included therein was to be the personal indebtedness of the said A. Reese to the said D. M. Wilson, which was alleged to be the sum of $273.96, and also a certain indebtedness of $137.50 due one Mrs. Mitchell.

"Defendants A. Reese and wife further alleged the execution of said notes, their delivery to H. P. Fulghum, the execution of the mechanic's lien, and that contemporaneously therewith the notes were transferred by the said H. P. Fulghum to the defendant D. M. Wilson.

"The defendants further alleged that the said H. P. Fulghum failed and refused to carry out the terms of said agreement, in that he failed, neglected, and refused to place upon said property the addition to said storehouse, the barn, and cement sidewalk, as he had agreed to do, and that by reason of said failure the mechanic's lien had failed and never became valid lien upon said property.

The defendant T. B. Dockery filed his answer and cross-bill, and alleged that on the 26th day of June, 1915, Maggie L. Reese and A. Reese conveyed the property in question to L. B. Reese, and that the said L. B. Reese, joined by A. Reese, executed a vendor's lien note due November 1, 1918, payable to Maggie L. Reese, bearing interest at the rate of 8 per cent., and containing the usual provision as to attorney's fees in case of failure to pay, and, further, that said Maggie L. Reese indorsed said note to the said defendant T. B. Dockery, and prayed for judgment thereon, together with a foreclosure of his lien. The defendant L. B. Reese answered by general demurrer and general denial and plea of minority at the time of the execution of the said note.

"The defendant D. M. Wilson answered by general demurrer and general denial as against the petition of plaintiff, Mrs. Johnnie T. Hamlett, seeking to recover against him in case she failed to establish a valid lien upon the property in question.

"Such defendant D. M. Wilson alleged further that he transferred said note without recourse, and that he gave no express or implied warranty, or that said note was a valid and binding obligation, or secured by a valid lien upon the property in question.

"Defendant Wilson further pleaded by way of estoppel that plaintiff investigated the property in question and knew the circumstances of its execution, the value of the property, etc., and various other grounds of defense not *Page 348 necessary for a consideration of the questions involved on this appeal.

"The defendants A. Reese and wife further answered, in reply to the cross-action of the defendant T. B. Dockery, that the conveyance from them of the property in question to L. B. Reese, their minor daughter, and the reconveyance by the said L. B. Reese, was for the purpose of borrowing money upon the homestead of these defendants, and that the arrangement was understood by the defendant T. B. Dockery, and did not, of course, create a valid vendor's lien against the property in question.

"Said defendants further prayed that the pretended lien in favor of the said T. B. Dockery, as well as the pretended mechanic's lien note sued upon, be canceled and held for naught as against said property. There was a verdict upon special issues upon which judgment was entered in behalf of plaintiff, to which exceptions were taken, and from which judgment the defendants A. Reese and wife, Maggie L. Reese, have appealed."

It is proper to add that the judgment was in favor of the plaintiff as against defendant A. Reese, for the amount of the note sued on, with foreclosure of a prior lien as against all defendants, and in favor of the defendant Dockery, as against defendant A. Reese, for the full amount of the note sued on in Dockery's cross-action against A. Reese, and foreclosure of a second lien in Dockery's favor. The appeal is from the entire judgment.

Opinion.
We sustain the sixth, seventh, and eighth assignments of error, which complain of the action of the trial court in permitting the defendant Dockery to ask the defendant A.

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Bluebook (online)
223 S.W. 346, 1920 Tex. App. LEXIS 764, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reese-v-hamlett-texapp-1920.