Scott v. S. H. Kress & Co.

191 S.W. 714, 1917 Tex. App. LEXIS 48
CourtCourt of Appeals of Texas
DecidedJanuary 20, 1917
DocketNo. 8505.
StatusPublished
Cited by6 cases

This text of 191 S.W. 714 (Scott v. S. H. Kress & 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
Scott v. S. H. Kress & Co., 191 S.W. 714, 1917 Tex. App. LEXIS 48 (Tex. Ct. App. 1917).

Opinion

BUCK, J.

On December 15, 1910, appellant, O. F. Scott, after some negotiations with one West representing S. H. Kress & Co., a Texas and New York corporation, offered, in writing, to sell to said Kress & Co. for $12,800, clear of taxes, except for the year 1911, 50x96 feet of land situated in the southeast corner of block No. 3 in Gainesville, Tex. Among other things, said written offer contained the following:

“The purchaser agrees to erect not less than a two-story brick building on said property, and said building to be occupied by one of the Kress stores. Said building to cost about $20,000 (twenty thousand dollars).”

After considerable correspondence between Scott and Kress & Co., the latter represented .by their attorneys in New York, said Scott agreed to waive his insistence that this stipulation as to the erection of a building by Kress & Co., should be put in the deed from him to it, and on February 20, 1911, Scott, by general warranty deed, conveyed to Kress & Co. said lot for $12,800 cash consideration. On October 1, 1913, Scott brought this suit against Kress & Co., alleging that, in addition to the, consideration of $12,800 expressed in said, deed', Said', Kress & Co', agreed to *715 erect upon the land purchased the character of building heretofore described, and that the enhancement of other property in the same block owned by plaintiff was one of the considerations moving to him to make said sale, and that said Kress & Co. had failed to build and establish a store upon said lot, though a reasonable time had elapsed since said sale in which to comply with its alleged promise so to do, and that plaintiff had suffered damages in the sum of $10,000, by rea.son of the loss of the enhancement of the value of his remaining property, which would have accrued to him had said building been erected and store established. Defendant denied the making of such promise, with reference to the erection of any such building, as would bind it, and alleged that any statements made with reference to the erection of a building on said lot were merely expressive of its intention and purpose, and did not constitute a promise or obligation on its part. That it was still its intention to erect said building when conditions would justify it. The cause was tried before a jury on special issues submitted, and resulted in a verdict and judgment for defendant. Plaintiff appeals.

Appellant has filed, in this court a brief containing some 16 assignments of error; some attacking the findings of the jury upon certain special issues submitted, others complaining of alleged improper conduct on the part of appellee’s attorneys in their argument to the jury, sljll others complaining of the ruling of the court as to the admission of certain testimony, but after carefully considering -these assignments, and examining the authorities cited in support thereof, we have reached the conclusion that the trial court would have been justified, under the admitted facts, in peremptorily instructing a verdict for the defendant.

On January 23, 1911, Kress & Co. wired Scott, acknowledging the receipt of his written offer to sell his property, and stating that said offer was “accepted substantially as set forth in letter now writing.” In the letter referred to, which was received by Scott, Kress & Co., through their attorneys, Holm, Whitlock & Scarff, stated, in part, as follows:

“Accepting your contract in this qualified way, it was intended that it should be accepted upon the following conditions, viz.:
“1. By reference to this contract, you will note that it contains a clause whereby the purchaser agrees to erect not less than a two-story brick building, on said property, said building to be occupied by one of their Kress stores, and to cost about $20,000.00.
“S. H. Kress & Co. is buying this property for the purpose of erecting a building to be occupied by one of their stores, and if the property is purchased, the building will be completed as soon as they can reach your town and complete the building, and the store will thereupon be opened. We want it understood, however, that this is not to be deemed a covenant that will run with the land. We would not want this agreement turned up at some future time, should client desire to sell this property, and the objection made upon the title for that reason.
“Client is acting in good faith, but we do not want any clause of that kind that will affect the title. It may be that the business center of the town may change and it may be desirable to sell this property and buy another piece of property. A number of contingencies may arise, making it desirable to dispose of the property in question, or to have it occupied for other purposes, and therefore we want it understood that this is simply a naked purchase and unburdened by any conditions. We give you, however, the assurance that the present intention of client is, as above set forth.”

By letter of January 24, 1911, written to a third party who seems to have acted as an intermediary between the appellee and appellant, and which letter was submitted to Scott, Kress & Co. used the foliowing language:

“We inclose you herewith a copy of a letter this day mailed to seller. Please ask him to show you his copy of tbe contract, and that will make the objections we raise clearer. You doubtless appreciate the force of our objections. We do not want to be tied down absolutely to the conditions set forth in the contract, involving the erection and occupation by client of the building for one of its stores. Client is acting in utmost good faitb, is paying a high price for the property, and purposes to occupy same as set forth in the contract, but we do not want any clause of that kind running with the land in the nature of a cloud on the title as it may be in the future desirable that said property be disposed of or other changes made. The insertion of such a clause is extremely injudicious. Doubtless the seller will waive that point, and our acceptance of the contract is conditioned on such waiver. * * *
“New Agent. If this transaction goes through, we will require a new local agent to collect rents and represent us as an agent. Please recommend some good reliable real estate agent for that purpose. We usually pay five per cent, for the collection of rents.”

On January 31, 1911, a letter was written by said intermediary to Kress & Co.’s attorneys of New York, containing, among other things, the following language:

“We have had a talk with Mr. O. F. Scott, in reference to his contemplated sale to S. H. Kress & Co. Mr. Scott claims that he is selling the property for something less than it is worth, because he thinks the sale enhances the value of other property in the same vicinity. He says he will not insist on any provision going into the deed requiring S. H. Kress & Co. to build on the lot or to run one of its stores there, but he wants some assurance that they will build upon the lot and at least establish one of their stores there. The truth is, the whole neighborhood is very anxious for S. H. Kress & Co. to build and open a store there.”

On February 18th following, Kress & Co.’s attorneys replied:

“In reference to alley, client will waive that point.

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Bluebook (online)
191 S.W. 714, 1917 Tex. App. LEXIS 48, Counsel Stack Legal Research, https://law.counselstack.com/opinion/scott-v-s-h-kress-co-texapp-1917.