Smith v. Irwin

7 S.W.2d 926, 1928 Tex. App. LEXIS 614
CourtCourt of Appeals of Texas
DecidedMay 10, 1928
DocketNo. 659.
StatusPublished
Cited by6 cases

This text of 7 S.W.2d 926 (Smith v. Irwin) 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
Smith v. Irwin, 7 S.W.2d 926, 1928 Tex. App. LEXIS 614 (Tex. Ct. App. 1928).

Opinion

STANFORD, J.

This suit was filed by ap-pellees George W. Irwin and J. A. Craven, Jr., against appellant, Chesley Smith, to recover a commission of $1,669, alleged to he due them as real estate brokers in bringing together appellant and W. H. Gorham in a contract for the exchange of lands, which trade was thereafter' fully consummated. Appellees alleged further that, before the execution of said contract, appellant promised and agreed to pay them a commission of $1,-669. Appellant, in addition to a general de *927 murrer and general denial, specially alleged that, as a condition precedent to any trade, appellees were required to include about 50 head of live stock, farming implements, etc., in the trade, and that appellees failed to include said live stock in the trade, and by reason thereof appellees were not entitled to any commissions. Appellant alleged further that, by the terms of the written contract of exchange of lands between appellant and W. H. Gorham, appellant was required to pay the said Gorham a difference of $2,500 in cash; that appellant was to give Gorham vendor lien notes for said amount, and to procure said notes to be cashed, and thereby raise the $2,500, before the closing of said trade; that, upon the failure of appellant to raise the $2,500, Gorham should have the option of taking the said $2,500 in vendor lien notes in lieu of cash, or else Gorham could refuse to accept the notes, in which event the contract should become null and void. Appellant alleged further that he informed Gorham and appellee Irwin that he was unable to negotiate said notes for cash, whereupon appellee Irwin represented .to him that he (Irwin) had arranged to take care of the $2,500 cash payment, by himself cashing one-third of said amount, by Gorham carrying one-third, and appellant paying one-third thereof.

Appellant further alleged that he relied upon this representation of appellee Irwin, but that Gorham refused to carry one-third of the notes, and denied that he had so promised Irwin, and that Irwin undertook to have Gorham represent to appellant that he (Gor-ham) would carry one-third of said $2,500; that by these acts the said Irwin fraudulently misled appellant, and consequently appellant was forced to raise the $2,500 cash, according to the terms of the written contract, all by himself; and that, if the appellee was his agent, such agency ceased by reason of the aforementioned acts, and therefore ap-pellee was not entitled to any commissions. In a supplemental petition appellees denied that they undertook to sell or trade for appellant any live stock or farming implements, or anything else, except the real estate conveyed in this trade; that appellee Irwin did endeavor to help the appellant sell the $2,500 vendor lien notes mentioned — that he volunteered to help appellant negotiate said notes — but' all such efforts by him were without consideration, and for the purpose only of aiding appellant to perform his part of the contract, as he had agreed in the written contract with Gorham to do.

In response to special issues the jury found;

“(1) That, during the time the contract in evidence between Gorham and Smith was being prepared, the plaintiff Irwin did not agree with the defendant Smith not to charge Smith a commission if Smith would make a trade without including the live stock and implements therein.
“(2) At the time the defendant Smith agreed to pay Irwin $1,669, it was not understood between them that the live stock and implements were to be included with the land in the sale.”

On these findings, and such additional findings by the court as the record warranted, the court entered judgment for appellees for $1,669. Appellant has duly appealed, and presents the record here for review.

Under his first proposition, appellant contends the court erred in refusing to give his first specially requested issue, as follows:

“Did George W. Irwin, plaintiff herein, request W. H. Gorham to conceal from Ohesley Smith, the defendant, that he (Gorham) would not carry any part of the $2,560 mentioned in section 10 of the contract?”

—because said issue was raised by the pleading and evidence, and was material, in that there must be no misrepresentation, etc., in order for the agent to recover commissions. The record discloses that appellees were acting as middlemen in bringing the appellant and Gorham together in the exchange of lands. The contract for the exchange was in writing, and had been executed by appellant and Gorham, and provided that appellant should raise $2,500 cash as a difference in the trade, to be paid by him to Gorham. To this end appellant agreed to execute five notes to Gorham, secured by vendor’s lien upon the land he received from Gorham, and he (appellant) was to use his best endeavor to negotiate said notes, and thus raise the $2,500 in cash to be delivered to Gorham.

The contract provided that, in case appellant failed to negotiate the notes, then he would notify Gorham, and in such event Gorham should have an option for ten days to decide whether or not he would accept the $2,500 in notes in lieu of the cash, and, upon failure of appellant to negotiate said notes and the refusal of Gorham to accept said notes in lieu of the cash, the contract by its provisions should become null and void. There is evidence in the record that appellee Irwin told appellant, Smith, that he (Irwin) would carry one-third of said notes; that Gorham had agreed to carry one-third; and that he (appellant) could pay the other third. Gorham testified, in substance, that he refused to carry one-third of the -notes, and that Irwin either asked him to tell Smith that he would carry one-third, or, at least, to lead Smith to believe that he (Gorham) would do so. Appellant Irwin testified, in substance, that Gorham would not agree to carry one-third of the notes, and, in order to help appellant Smith perform his part of the contract and see the trade go through, that he undertook to take two-thirds of the notes and pay this amount out of the commissions due him from appellant, Smith, but Smith denied that he was to pay a commission, and Irwin could not, therefore, take up the notes, unless Smith paid him. By the *928 terms of tlie written contract of exchange, the duty of raising the $2,500 cash rested upon appellant. There is no contention that any duty rested upon appellee Irwin to do anything in reference to raising said money. Appellant, however, failed to raise the money, and, When he notified Irwin of his failure, Irwin, without any duty resting upon him to do so and without consideration for so doing, volunteered to assist appellant by undertaking to arrange the matter. Irwin, according to his evidence, which is not contradicted, was prepared and intended to use all of his commission from appellant in taking up two-thirds of the $2,500 in notes, and appellant would raise the cash for the other third.

The misrepresentation of which complaint is made is that Irwin represented that Gor-ham would carry one-third of said notes and Irwin one-third, but, when the deal was being closed, appellant learned that Gorham was not carrying one-third, and that Irwin was going to carry two-thirds. As we view the matter, it was immaterial to appellant whether Irwin carried a third and Gorham a third, or whether Irwin carried twó-thirds, so long as appellant was relieved of paying all except one-third of the $2,500.

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Bluebook (online)
7 S.W.2d 926, 1928 Tex. App. LEXIS 614, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-irwin-texapp-1928.