Smith v. Texas Co.

53 S.W.2d 774
CourtTexas Commission of Appeals
DecidedOctober 26, 1932
DocketNo. 1396-6015
StatusPublished
Cited by60 cases

This text of 53 S.W.2d 774 (Smith v. Texas Co.) is published on Counsel Stack Legal Research, covering Texas Commission of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. Texas Co., 53 S.W.2d 774 (Tex. Super. Ct. 1932).

Opinion

TEDDY, J.

9Jhe state of Texas, acting by and through its highway department, entered into a written contract with Allen Smith, by the terms of which the latter agreed to construct and improve, at his own cost and expense, certain portions of state highway No. 24 in Young county, Tex.

A portion of the work covered by this contract was'afterwards sublet by Smith to Paul Schriewer. The latter purchased from the defendant in error certain road materials necessary to carry out the aforesaid contract. This material was used in constructing the improvements for which the contractor was bound. Payment therefor was not made, and on August 1, 1929 before final settlement by the state with Allen Smith, in compliance with the provisions of Senate Bill 123, chapter 17, Acts 39th Legislature, articles 5472a and 5472b, Vernon’s Annotated Texas Civil Statutes, defendant in error filed with the state highway department written notice of its claim against said Paul Schriewer and Allen Smith in an effort to fix a lien on the money, due the contractor under said contract.

After the filing of this claim, the contractor, Allen Smith, in order to obtain payment from the state highway department of the balance due him under the terms of said contract, filed a bond executed by himself as principal, with the American Surety Company of New York as surety, in the sum of $46,849.16. This bond was executed for the benefit of the Texas Company and other claimants; its conditions being in conformity with the provisions of Senate Bill 153, chapter 78, 41st Legislature, Second Called Session (1929), which is now carried as article 5472b — 1, Vernon’s Annotated Texas Statutes. Upon the filing of this release bond, the state highway commission duly executed and delivered its voucher to Allen Smith, contractor, for $23,414.58, the amount remaining due and unpaid under said contract.

Defendant in error filed this suit against the original contractor, Allen Smith, the subcontractor, Paul Schriewer, and the American Surety Company, surety, in which it sought to recover against said parties for the amount due it for material furnished to the subcontractor, Paul Schriewer, together with reasonable attorney’s fees for the prosecution of the suit.

The case was tried before the court without the intervention of a jury. Judgment was rendered in favor of defendant in error, Texas Company, for the full amount of the claim against Paul Schriewer, the subcontractor, but it was denied a recovery against Allen Smith, principal, and the American Surety Company, surety, on the release bond.

Upon appeal, the Court of Civil Appeals reversed the judgment of the trial court and rendered judgment for the full amount claimed in favor of defendant in error against the principal and surety upon the bond aforesaid, and also awarded it the sum of $500 as reasonable attorney's fees.

Plaintiffs in error, Allen Smith and the American Surety Company challenge the correctness of the judgment of the Court of Civil Appeals awarding this recovery against them upon the-following grounds:

(1) That article 5472b, R. S. 1925, is in derogation of sovereignty and in effect a garnist ment statute and therefore should be strictly construed; that, when so construed, the lien therein provided does not inure to the benefit of one furnishing material to a subcontractor.

(2) That, even if said statute, properly construed, creates a lien in favor of one furnishing material to a subcontractor, the defendant-in error failed to establish such lien, because it did not file its claim before any payment had been made to the contractor; that no lien was fixed for the further reason that defendant in error failed to allege or prove, as required by the terms of said article, that its claim was filed with the official of the state whose duty it was to pay the amount due the contractor.

(3) That the Court of Civil Appeals was without authority to allow defendant in error $500 as attorney’s fees, because there was no evidence presented upon such issue in the trial court, nor was there any finding by such court as to what would constitute a reasonable attorney’s fee.

Plaintiffs in error’s contention that articles 5472a and 5472b should be strictly interpreted, because such legislation is, in effect, a garnishment statute and in derogation of sovereignty, is fully and completely answered by the provisions of article 10 of the Revised Statutes of 1925. This article prescribes the rule by which the courts of this state shall construe all of the revised statutes. It reads as follows: “The rule of the common law 'that statutes in derogation thereof shall be strictly construed shall have no application to the Revised Statutes; but the said statutes shall [776]*776constitute the law of this State respecting the subjects to which they relate; and the provisions thereof shall be liberally construed with a view to effect their objects and to promote justice.”

This statute is plain and emphatic in its terms. Its meaning is too clear to admit of any question. It furnishes the rule and guide by which the courts of this state, in interpreting any of the revised statutes, must arrive at the meaning and intention of the Legislature. In establishing this rule, the lawmak- . ing body made no exception as to statutes in derogation of sovereignty or those which provide for summary remedies. The courts have no authority to ingraft any exceptions upon this statute, but must comply with its plain direction that all of the statutes composing the Code shall be given a liberal interpretation with a view to effect their objects and to promote justice.

Plaintiffs in error quote from a number of decisions of the Supreme Court in which expressions have been used to the effect that 'statutes providing summary remedies, such as attachments, garnishments, etc., should be strictly construed. An examination of the cases cited discloses that they do not decide that statutes of this nature should be strictly interpreted when the court is endeavoring to arrive at the legislative purpose and intent in their enactment. The real holding in all of these cases is that those desiring to avail themselves of the benefits of such statutes should be required to comply strictly with their provisions.

Í A review of the cases relied on will show that the character of compliance with stat- : utes of this nature, by those seeking benefits thereunder, was what the court had before it when stating that such statutes should be strictly construed. In Scurlock et al. v. Gulf, C. & S. E. Ry. Co., 77 Tex. 478, 14 S. W. 148, the language of the court that a statute pro- ¡ viding for garnishment should be strictly construed is coupled with the statement: “That a party attempting to avail himself of the remedy must strictly follow the law.”

' In Gause v. Cone, 73 Tex. 239, 11 S. W. 162, 163, the proposition announced by the court, that the law must be strictly construed, is likewise coupled with the decláration “that the extent of the garnishee’s liability is measured and limited by the express provisions of statutory law.”

In Buerger v. Wells, 110 Tex. 666, 222 S. W. 151, it is made plain by Chief Justice Phillips that garnishment statutes' should be strictly followed. He says: “Garnishment is but a species of attachment. It is a summary proceeding. The statutes governing it should be followed with strictness.”

In Willis v. Lyman, 22 Tex.

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Bluebook (online)
53 S.W.2d 774, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-texas-co-texcommnapp-1932.