Walcott v. Hendrick

6 Tex. 406
CourtTexas Supreme Court
DecidedJuly 1, 1851
StatusPublished
Cited by20 cases

This text of 6 Tex. 406 (Walcott v. Hendrick) 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
Walcott v. Hendrick, 6 Tex. 406 (Tex. 1851).

Opinion

HemphiIjIi, Oh. J.

Tiie first question presented on the assignment is whether I lie motion to reject tiie plea in reeonvention should have been sustained. Tiie inquiry is one of no little difficulty, and, from the want of authorities in onr former system of jurisprudence, cannot he thoroughly investigated.

Tiie act of 1849, (Dig., p. 222.) allowing discounts and set-offs, attempts to confer and regulate tiie right of the defendant when sued for a debt clue by judgment, bond, bill, or otherwise, “to make all the discounts he can against such debts.” The second section requires tiie defendant to state particularly tiie nature and terms of such payment or set-off, or that it shall be plainly and particularly described ; and tiie fifth declares that if the suit be brought for uncertain or unliquidated damages founded on a tort or breach of covenant, the defendant shall not set off or discount any debt due him by the plaintiff; and if the suit! be founded on a certain demand the defendant shall not be permitted to set off uncertain or unliquidated, damages.

There is no distinct or specific description of the nature, origin, or character of the demands which may be offered in discount. It is not stated whether they shall be mutual debts only, or whether they may be mutual credits, or whether they shall arise on bond, bill, account; bargain, or otherwise. The defendant, is authorized to make all the discounts lie can against the demand, and liquidated and unliquidated damages are prohibited from being set off against eaeli other.

But the provision of the statute whieh requires our special attention in reference to the point under examination is found in the fourth section. This section, after proscribing the judgment which shall bo rendered in the event that tiie demand of the plaintiff shall he reduced by tiie discount of the defendant to a sum below tiie jurisdiction of tiie court, or when the set-off may exceed the claim of the plaintiff, or when his claim shall be reduced by payment, proceeds as follows: “When tiie defendant may have a claim against the plaintiff similar in its nature (but thev need not be of the same degree) to that of the [207]*207plaintiff, lie shall he permitted to file'in his answer a plea oi reconvontion sot-ting forth the amount doe him, and judgment shall he given in favor of that party who may establish the largest claim for the excess of his claim over that of his opponent, and for costs.” What may have been the exact scope and specific intention of (lie Legislature in (.his provision is matter of doubt. “Claims similar in their nature ” is a very comprehensive phrase, and would embrace all demands and credits, liquidated or unliquidated; lint what is Die import oE the qualification that they "need not be of the same degree? ” Can this apply to damages arising from’ tort, breach of covenant, &c. ? Is there any difference in the degrees of'snch damages? The common law recognizes, for various purposes, a distinction between debts on simple contracts and those by specialty or mortgage. But was that the distinction intended to be noticed by the provision? Was the design to declare that whether the claim be founded on note, or bond, or mortgage, or judgment, yet the defendant may plead it in rcconvention ?

This could certainly not have been tiie intention of tiie provision. ■ In a preceding section the defendant had been authorized to make all tiie discounts he could. This, in a suit on a note, would permit set-offs founded not only upon notes but on bonds or mortgages; and to further enact that such set-offs might be. pleaded in roconvenlioñ would bo superfluous and nugatory. Something further and distinct from previous provisions must have been intended.

The system of Spanish jurisprudence ivas about being abrogated and the common law, except pleading, was on tiie point of being introduced. A plea known to the, former system, having defined objects and limits, was retained by name; and we are justified in recurring to that system to ascertain its extent, its legitimate object, and the matters "which might be therein alleged. Tiie pica of compensation iu civil or Spanish law is in a great measure "equivalent to discount under the statute, if it be admitted that discounts are restricted to mutual liquidated debts. But reconvcntiou ivas more extensive; the demand set forth in such plea need not be liquidated. Under the code of practice in Louisiana it is essential only that the demand be necessarily connected with and incident to the main action. The damages must arise out of the same transaction which affords the grounds of suit. (7 N. S., 517; 6 Id., 71; 10 La. R.) Under the laws of Spain matters might be set up iu reconyention winch are not within its scope as defined in the code of practice.

But for tiie purposes of this suit it will not be necessary to consider the plea as having a wider range than is allowed in the Louisiana system of procedure. Under that code, as previously remarked, the plea embraced such demands as though different from the main action was necessarily connected with and incident to tiie same. Now, may not tiie plea under tiie statute be intended to embrace suoli matters as are comprehended in the above description ? This may not be tiie literal or most obvious construction of tiie provision, but the literal signification is preposterous. That would provide for wiiat had already under the name of discount been secured to tiie defendant. It would make set-off and rcconvention identical. We must presume that the law intended some benefit for the defendant, something distinct and additional to set-off or compensation. Otherwise the provision is without meaning and an excrescence on the law. But the distinction between compensation and reconvontion was well known to tiie framers of this law. Many of (.lie members of that Legislature hud been accustomed to plead both in compensation and reconvention ; and though the phraseology is lamentably deficient iu precision, yet if any weight be given to the act, it must be intended to comprehend such matters as had up to that instant been recognized as the legitimate subjects of tiie plea.

We must recollect that the plea in reconvontion was intended to effect some purpose beyond that of set-off. They had been distinct in the system we were abandoning. The plea of reconvention was unknown to this common law, but was introduced iu the same statute with that of discount, and surely not to effect the purposes which are the legitimate objects of set-off. Itecon-[208]*208vention being then allowed for a purpose beyond that of discount, (if there were any objects in view,) why should it not be applied to the purposes which it effected in the system from which it was derived? Why should not now, as well as before the introduction of the common law, all matters necessarily connected with and incident to the main cause of action be pleaded and adjudicated in one controversy?

But, waiving the statute, it seems to me that on principle and under our liberal system of procedure tine matter stated in the plea might be set up and determined in the same suit with the principal demand. The common-law .pleading, as a system, ms not introduced and has not been recognized in practice. We have no forms of action. The plaintiff, whether his demand be in assumpsit, covenant, or trespass, &c., is required to make a full statement of his cause of action, and the defendant of his grounds of defense. Under systems where causes of action must be prosecuted in a particular form it might be improper to permit the defendant to set up matters which could be brought alone to adjudication in a different form of action.

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Bluebook (online)
6 Tex. 406, Counsel Stack Legal Research, https://law.counselstack.com/opinion/walcott-v-hendrick-tex-1851.