Walker v. Stokes Bros. & Co.

262 S.W. 158, 1924 Tex. App. LEXIS 490
CourtCourt of Appeals of Texas
DecidedApril 16, 1924
DocketNo. 6757.
StatusPublished
Cited by7 cases

This text of 262 S.W. 158 (Walker v. Stokes Bros. & 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
Walker v. Stokes Bros. & Co., 262 S.W. 158, 1924 Tex. App. LEXIS 490 (Tex. Ct. App. 1924).

Opinion

McCLENDON, C. J.

The controlling question in this case is whether a minor, in order to exercise his election to avoid his contract of suretyship, must affirmatively disavow it in a reasonable time after attaining his majority.

The suit was by appellees against appellant and C. C. Walker, upon a joint note of the defendants, and to foreclose a chattel mortgage executed by defendant C. C. Walker, as security for the note. The trial was to the court without a jury, and the judgment was against both defendants for $400.58, and against C. C. Walker foreclosing the mortgage. S. V. Walker alone has-appealed.

The note was executed October 31, 1917, for the principal sum of $397.50, and became due September 1, 1918. S. V. Walker was then a minor and became of legal age May 12, 1920. The note was given to take up an old, past-due debt of C. C. Walker and to cover additional supplies to be furnished him by appellees. S. V. Walker was in no way connected with this old debt, and none of the advances were to be, or were in fact, made to him. He acquired no benefit whatever from the note, but merely signed it as accommodation surety for C. C. Walker, his brother. The circumstances surrounding the transaction are thus described by one of the appellees: ,

“He (O. O. Walker) did not want us to bring suit, and we asked if he could give us some more security. On October 31, 1917, he came into the office of Stokes Bros. & Oo. with his father, W. B. Walker, and his brother, S. V. Walker, and executed the note for $397.-50, on which this suit is based. We wanted his father, W. B. Walker, to sign the note with him, hut W. B. Walker refused and said that his son, S. V. Walker, would sign the note with O. O. Walker, and that he (W. B. Walker) would see the note paid. W B. Walker then told me that S. Y. Walker was not 21 years of age, hut that he attended to all of his (W. B. Walker’s) business and was running his own affairs. O’. O. Walker then signed the note, and S. V. Walker signed it with him. * * *
“I knew that S. V. Walker was a minor at this time, and I thought at that time that W. B. Walker would be bound on the note because of the statements he made to me about seeing the note paid. When the note became due, we wrote O. O. Walker and S. V. Walker about payment. W. B. Walker died about this time, and we threatened to sue the boys if something was not done about the note. S. V. Walker came in to see us about the matter, and I told him that his father’s estate was bound for the debt, as we believed that his father was liable because of the statements he made to me when the note was made. If S. V. Walker was under 21 years of age at this time, I did not know it. I did not ask him about his age. We did not get any action about. the note until suit was filed. S. V. Walker did not tell us that he disaffirmed the contract, and the first that I knew was that he filed his answer to this suit setting up his minority plea and disaffirming the contract. We sent letters properly addressed and stamped and deposited in the United States mails to S. V. Walker and O. O. Walker, and these letters were never returned to us.”

There is no conflict whatever in the testimony of this witness and S. V. Walker, who were the only witnesses in the case. The following is from S. Y. Walker’s evidence:

“I never got anything out of the note, and I have never made any payments on the note. In 1918, when the note, came due, Stokes Bros. & Oo, threatened to sue if my mother did not sign the note with us. My father had died, and Stokes told me that my father’s estate was bound for the note. I talked to a lawyer about this, and the lawyer told me different, so I never did have anything further to do with it. I was not 21 years of age at the time of seeing the lawyer. I have never had anything to do with it since becoming of age, as I have refused to recognize the note, for the lawyer told me that I was not bound on the note because I was a minor at the time I signed it. Since becoming of age I have not made any payment on the note or told any one that I was bound on the note. I have refused to recognize it as my debt, and I never received any benefit from the note. After I became of age, I heard nothing from Stokes *159 Bros. & Co., and no demand was ever made on me by Mr. Stokes or any one for him or for Stokes Bros. & Co. after I became of age. The first notice I had of demand being made on me was when the sheriff served me with papers in this case, on March 22, 1922. After I beeaihe 21 years of age I did not tell Stokes Bros. & Co. that. I would not recognize the debt as my debt. I never talked with them or' heal’d from them after I became of age.”

Contracts of minors were at one time divided into three general classes: Those which were valid, those which were absolutely void, and those which were voidable by the minor at his option after attaining his majority.

With the first class we are not here concerned.

The common-law distinction between void and voidable, as applied to contracts, is that the former have no binding effect upon either party and are incapable of ratification; while the latter are binding until set aside. The rule which invalidates contracts of minors is for their protection. Consequently, an early distinction was drawn between contracts which were or might be to the interest of the minor and those which were against his interest. The former were held voidable and the latter void. In this latter class a contract of suretyship would necessarily fall; and while cases in which the question was necessarily involved are rare, the earlier opinions by way of illustration cite surety-ship as an example of this class of contracts. Corpus Juris. (volume 31, p. 1090) cites only two cases in support of this holding: West v. Penny, 16 Ala. 186, and Maple v. Wightman, 4 Conn. 376, 10 Am. Dec. 149. The Alabama case has no bearing upon the subject, and the holding in the Connecticut case is rested upon a statute of that state.

The early classification of contracts of minors into those which are void and those which are voidable has gradually given way; and by the great weight of authority all contracts of minors are now treated as only voidable, on that account. Contracts of suretyship are not an exception to this rule.

The decisions in Texas have uniformly held all contracts of minors as voidable only.

Treating such contracts as voidable, at the instance of the minor after reaching his majority, and as binding upon the other party until so avoided, it is clear that in certain classes of contracts it would be manifestly unjust to the party so bound to hold open indefinitely this right of election; whereas, in other classes of contracts it would be equally unjust to the minor to require of him an express repudiation. It has been held that the distinguishing test between these two classes of contracts is whether the contract is executed or executory, and this test has been applied in this state. Clemmer v. Price (Tex. Civ. App.) 125 S. W. 604; Fletcher v. Koch (Tex. Civ. App.) 189 S. W. 501. The expressions, “executed” and “execu-tory,” when used in this connection, relate to the terms or obligations of,the contract, and not to the agreement itself, or the instrument by which it is evidenced. “Performed” would more nearly express the precise meaning intended to be conveyed.

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Cite This Page — Counsel Stack

Bluebook (online)
262 S.W. 158, 1924 Tex. App. LEXIS 490, Counsel Stack Legal Research, https://law.counselstack.com/opinion/walker-v-stokes-bros-co-texapp-1924.