Thompson v. Cobb

65 S.W. 1090, 95 Tex. 140, 1902 Tex. LEXIS 138
CourtTexas Supreme Court
DecidedJanuary 9, 1902
DocketNo. 1066.
StatusPublished
Cited by15 cases

This text of 65 S.W. 1090 (Thompson v. Cobb) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thompson v. Cobb, 65 S.W. 1090, 95 Tex. 140, 1902 Tex. LEXIS 138 (Tex. 1902).

Opinion

WILLIAMS, Associate Justice.

This was an action of trespass

to try title brought by plaintiff in error, as executor of the estate of James Thompson, deceased, to recover of defendants in error the land in controversy. Judgment was rendered for the defendants in the District Court and affirmed in the Court of Civil Appeals. The plaintiff claimed through a deed of trust executed by W. P. Ellison to E. Li Irvine, trustee, September 20, 1886, to secure a note given by Ellison to James Thompson, and a deed from E. W. Angelí, substitute trustee thereunder, to plaintiff, as executor of the will of the beneficiary, executed in pursuance of a sale of the property, made Wednesday, June 1, 1898. The sale was held void by the court below and the judgment for the defendants resulted.

The objections to thg trustee’s sale are two: (1) That it was made , on Wednesday instead of the first Monday in the month; (2) that no such note as that described in the deed of trust was in existence at the time of sale, and hence there was no power of sale in the trustee.

The first objection is based, firstly, upon the language of the deed of trust requiring the sale to be made within “lawful hours,” the con-' tention being that, as there was then in force. no statute fixing the hours for sales of real estate, except that requiring sales under execution to be made within certain hours on the first Tuesday in the month, the deed had reference to that provision and only authorized a sale within those hours on that day; and secondly, upon the statute subsequently passed requiring sales under trust deeds to be made as sales under execution, the proposition here being that as the deed fixed no definite • time at which the sale should take place, the Legislature had power to prescribe one even after its execution.

The deed authorized the sale to be made “at any time” after default, “within lawful hours,” no reference being made to the law regulating execution sales nor to any particular day. The notice to be given and the place where the sale is to take place are carefully stated in the deed, and, if it had been the purpose of the parties to require the *147 sale to be made on a particular day, they would probably have specified it. If the words “'lawful hours” could be held to refer to such time of the day as was prescribed by a statute, not referred to, for sales of a different kind, it would not follow that those hours in a particular day' were meant. The sole limitation upon the power to sell at any time is the requirement that it be done within lawful hours; and if this were held to mean the hours between 10 and 4 prescribed by statute, a further one fixing a certain day could not be added by construction. But we are not prepared to hold that the parties had reference to the statute at all. They were providing by contract for a sale in accordance with a power defined in the deed itself, and expressed no intention that the statute in existence, regulating sales under legal process, should in any way affect the exercise of the power. The language employed means no more than that the sale should be made at an hour when it would be lawful to make such a sale as that provided for. A trustee, in executing such a power, could not, consistently with principles of equity, cause a sacrifice of the property by selling at an unusual and unreasonable hour; and it was against such injuries as this the provision was probably directed.

Nor can it be held that the subsequent statute restricted the power of the trustee and required the sale to be made on the first Tuesday in the month. The effect of the statute upon deeds of trust executed before its enactment was considered in the case of the International Building and Loan Association v. Hardy, 86 Texas, 610. The deed there in question required a notice differing from that prescribed by the subsequently enacted statute; and the question was whether or not the statute so applied as to require the notice prescribed by it to be given. It would seem that both the statute and the deed could have been complied with, but it was held in effect that it was not in the power of the Legislature to take away the right of the parties created by the contract to have the property sold upon the terms and conditions and in the manner which they had agreed upon.

The gist of that decision is that the parties, by their contract, had acquired the right to have the property sold by complying with the provisions of the deed; that this constituted a part of the obligation of the contract which could not be impaired by subsequent legislation, and that the imposition of additional conditions upon the exercise of the right would be such an impairment. The principles there laid down control this case. By omitting to fix a day upon which the sale should be made and empowering the trustee to sell at any time, the parties gave him, as their common agent, a discretion to select a day when, in his judgment, the sale could be made to the best advantage of all concerned. Hess v. Dean, 66 Texas, 668. It was their right to have this done in accordance with their contract “at any time” after default. The statute, if held to take away the power to make it at any other time than on the first Tuesday in the month, would *148 not only add an additional condition, but would restrict the power defined in the deed and the consequent rights of the parties to it.

The second objection to the trustee’s sale is the one which was sustained by the Court of Civil Appeals. It grows out of a misdescription in the deed of trust of the note secured by it. The description of the note therein was that it was No. 16, of even date with the deed, for the principal sum of $700, made by W. P. Ellison, payable to the order of James Thompson, at the First National Bank, Davenport, Iowa, two years after date, with interest at 12 per cent per annum, payable semi-annually on the 20th days of March and September (according to the terms of four interest coupons thereto annexed), with agreement for maturity of the whole at the option of the holder, upon default in payment of any installment. It was shown that at date of sale Thompson’s estate owned no note answering all of the particulars given in the deed, but plaintiff produced a note which corresponded with the deed in every respect, except that it bore date July 19, 1886, instead of September 20, 1886, the date of the deed, and was payable two years from its date instead of two years from the date of the deed, and the interest coupons were payable on the 19th days of January and July instead of the 20th days of September and March, as stated in the deed.

Plaintiff offered to show that this was the only note ever executed by Ellison to Thompson and was the one intended to be secured, and that the statement in the deed of the date and times of payment of the principal and coupons was due to a mistake of the draughtsman. This was excluded and the deed held insufficient to support the action of the trustee.

The view taken by the district judge and the Court of Civil Appeals was that, until the mistake had been corrected by proper proceeding in equity to reform, the trustee had no power to sell, and the note offered would not support plaintiff’s claim of title under the deed of trust. It may be that this would be true had there been in the deed of trust such a total misdescription of the note intended to be secured that it would afford no means of identifying that actually in existence.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Untitled Texas Attorney General Opinion
Texas Attorney General Reports, 2005
Opinion No.
Texas Attorney General Reports, 2005
McCook National Bank v. Myers
503 N.W.2d 200 (Nebraska Supreme Court, 1993)
J. K. Hughes Oil Co. v. Mayflower Inv. Co.
193 S.W.2d 971 (Court of Appeals of Texas, 1946)
Harrigan v. Blagg
77 S.W.2d 524 (Texas Supreme Court, 1934)
Langever v. Miller
76 S.W.2d 1025 (Texas Supreme Court, 1934)
Rogers v. Evans
31 P.2d 233 (California Court of Appeal, 1934)
Murphy v. Phillips
63 S.W.2d 404 (Court of Appeals of Texas, 1933)
Britton v. Fischer
61 S.W.2d 191 (Court of Appeals of Texas, 1933)
First State Bank of Jacksonville v. Smith
35 S.W.2d 760 (Court of Appeals of Texas, 1931)
Ætna Casualty & Surety Co. v. Woodward
31 S.W.2d 679 (Court of Appeals of Texas, 1930)
Farmers' Life Ins. Co. v. Wolters
10 S.W.2d 698 (Texas Commission of Appeals, 1928)
Frank v. State Bank & Trust Co.
263 S.W. 255 (Texas Commission of Appeals, 1924)
Chapin v. Frank
236 S.W. 1006 (Court of Appeals of Texas, 1921)
W. C. Belcher Land Mortgage Co. v. Taylor
212 S.W. 647 (Texas Commission of Appeals, 1919)

Cite This Page — Counsel Stack

Bluebook (online)
65 S.W. 1090, 95 Tex. 140, 1902 Tex. LEXIS 138, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thompson-v-cobb-tex-1902.