Reyes v. Kingman Texas Implement Co.

188 S.W. 450, 1916 Tex. App. LEXIS 901
CourtCourt of Appeals of Texas
DecidedJune 27, 1916
DocketNo. 5619. [fn*]
StatusPublished
Cited by13 cases

This text of 188 S.W. 450 (Reyes v. Kingman Texas Implement Co.) 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
Reyes v. Kingman Texas Implement Co., 188 S.W. 450, 1916 Tex. App. LEXIS 901 (Tex. Ct. App. 1916).

Opinion

SWEARINGEN, J.

On March 29, 1915, appellee filed its fourth amended original petition against appellants, showing substantially the following facts relevant to our disposition of the case: October 22, 1907, Stieren and DobrowlsM owned certain lots in San Antonio, Bexar county, Tex., and on that date they executed and delivered to A. Schawe a deed to the property, reserving in the deed a vendor’s lien to secure the payment of the purchase money, evidenced by two promissory notes for $500 each, payable to Stieren and DobrowlsM. The vendor’s lien provision in said deed is as follows:

“But it is expressly agreed and stipulated that the vendor’s lien is retained against the above-described property, premises and improvements until the above-described notes and all interest thereon are fully paid according to their face, tenor, effect and reading when this deed shall become absolute.” •

On May 27, 1908, Schawe conveyed the same property to W. F. Borders, who assumed and promised to pay the vendor’s lien indebtedness. A vendor’s lien was retained in the deed from Schawe to Borders, to secure the payment of the two notes of $500 each. On November 13,1908, appellee herein had an abstract of judgment in its favor against W. F. Borders, duly filed, recorded, and indexed in Bexar county, Tex. Thereafter, on November 17, 1908, Stieren and. DobrowlsM filed' suit against Schawe and Borders on the two vendor’s lien notes and to foreclose the vendor’s lien. The appellee, who was the owner of the judgment against Borders which was abstracted, was not a party to the Stieren and DobrowlsM foreclosure suit. On January 29, 190.9, judgment was rendered in the foreclosure suit, decreeing a foreclosure of the vendor’s lien as of October 22, 1907, and ordering a sale of the lots. The order of sale issued on February 4, 1909, and on March 2, 1909, the sheriff sold the property involved in the foreclosure suit to Stieren and Do-browlsM, plaintiffs. therein, for $710, which amount was credited on the notes, amounting at that time to about $932, as shown by the decree. Thereafter Stieren and DobrowlsM sold various lots to various persons, all parties to the suit at bar. Appellee prayed for foreclosure of the judgment lien claimed by it against the land, and prayed that the land be sold and the proceeds be applied first to pay the judgment lien balance to appellee, and made other alternative prayers for relief. Appellants made appropriate answers. The cause was submitted to a jury on special issues, upon the findings of which the court rendered judgment in favor of appellee, plaintiff below, against Borders for the debt; ordered the land sold, the proceeds from which to be applied: First, to pay the amount of the purchase-money notes owned by Stieren and DobrowlsM, amounting at date of judgment to $1,250.13; second, to pay the amount of the judgment lien of appellee and then the balance to appellants. It appears from the deed signed by Stieren and DobrowlsM to A. Schawe, introduced in evidence, that both the $500 notes were dated October 22, 1907, and were due and payable one year after their date, which was October 22, 1908. Ap-pellee has sold this cause of action pendente lite. Appellants’ motion for new trial was overruled.

[1] Appellants’ first assignment, asserting that the judgment is not final, is overruled. Trammell v. Rosen, 157 S. W. 1161.

The second assignment complains that the court erred in refusing to give the requested peremptory instruction in favor of defendants, who are appellants here. Appellee, plaintiff b.elow, claims a lien by virtue of an abstract of judgment duly filed and recorded November 13, 1908, against Borders and his real estate in Bexar county, Tex., and contends that it, appellee, and its judgment lien were not affected by the foreclosure suit, decree, and sale, obtained by the vendors, Stie-ren and DobrowlsM against Borders, because appellee’s lien was recorded and indexed November 13, 1908, and the Stieren-Borders suit was filed November 17, 1908, and appellee was not made a party to that suit, and did not exercise its privilege of intervening therein. McDonald v. Miller, 90 Tex. 309, 39 S. W. 89.

[2] It is, of course, obvious and well-settled law that a subsequent vendee or lienholder is not estopped or bound by the decree to which he was not a party, and equally as obvious and well settled that such a decree does not estop or conclude the vendor or superior lienholder as to the sublienholder not a party when the contract of sale foreclosed was executory. Gardener v. Griffith, 93 Tex. 358, 55 S. W. 314; Gamble v. Martin, 151 S. W. 329; McDonald v. Miller, 90 Tex. 309, 39 S. W. 89; Pierce v. Moreman, 84 Tex. 601, 20 S. W. 821.

*452 [3] In tlie case at bar Stieren and Dobrowlski owned the fee to the lots involved on October 22, 1907. On that day they executed an executory contract of sale (Simpkins on Equity, 387) to Schawe. The terms of that deed, or executory contract of sale, required the vendee to pay to the vendors $1,000 of the purchase money for the lots on a certain day, viz. one year after the date of the deed. The deed was dated October 22, 1907. After payment of the purchase money on the day named, the vendee had the right, under the deed, to have the absolute fee. The effect of this executory contract was to leave the superior title or fee in Stieren and Dobrowlski. Masterson v. Cohen, 46 Tex. 524; Baker v. Ramey, 27 Tex. 52; Simpkins on Equity, 387: Schawe, the vendee, conveyed to Borders by deed, vesting in him Schawe’s right. Borders acquired by the deed from Stieren et al. nothing more than the right to acquire title after paying the purchase money on the date fixed in the deed. Estes v. Browning, 11 Tex. 247, 60 Am. Dec. 238; O’Donnell v. Chambers, 163 S. W. 140.

[4] This is not, strictly speaking, an equity of redemption, but is, more properly speaking, a right to demand specific performance after complying with the condition named in the deed, namely, payment of the notes at maturity. Poster v. Powers, 64 Tex. 248. Borders defaulted in the payment on the date of maturity of the debt, October 22, 1908. Upon this default, Stieren et al., vendors holding the superior title, owned the fee free from condition. The vendors were then authorized by law to actually sell and convey absolute title to the lots without any suit. Tom v. Wollhoefer, 61 Tex. 277.

[5, 6) On November 17, 1908, the vendors, Stieren et al., sued Schawe and Borders for debt and to foreclose the lien. No answer of any kind was filed. In that foreclosure suit Borders could have tendered the purchase money and obtained the title because the vendors had elected to sue to foreclose the lien and recover the purchase price; but no such tender was made. This right to tender the money after default and to get the title was a right given to Borders by the suit to foreclose; but Borders did not avail himself of it. It must be borne in mind that ap-pellee claims that it was not a party to that suit; therefore not bound by it; wherefore it follows that appellee could claim no right given by that judgment. “Since the decree did not estop the subsequent vendee, it did not estop the vendor as to him.” Gardener v. Griffith, 93 Tex. 358, 55 S. W. 314. After default, Borders lost his right to tender the money and obtain specific performance.- Estes v. Browning, 11 Tex. 247, 60 Am. Dec. 238; O’Donnell v. Chambers, 163 S. W. 139.

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Bluebook (online)
188 S.W. 450, 1916 Tex. App. LEXIS 901, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reyes-v-kingman-texas-implement-co-texapp-1916.