Weekes, McCarthy & Co. v. Sunset Brick & Tile Co.

56 S.W. 243, 22 Tex. Civ. App. 556, 1900 Tex. App. LEXIS 57
CourtCourt of Appeals of Texas
DecidedFebruary 23, 1900
StatusPublished
Cited by4 cases

This text of 56 S.W. 243 (Weekes, McCarthy & Co. v. Sunset Brick & Tile 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
Weekes, McCarthy & Co. v. Sunset Brick & Tile Co., 56 S.W. 243, 22 Tex. Civ. App. 556, 1900 Tex. App. LEXIS 57 (Tex. Ct. App. 1900).

Opinion

GARRETT, Chief Justice.

—This action was brought Hay 14, 1896, by the Sunset Brick and Tile Company in the District Court óf De Witt *557 County against De Witt County; A. 0. Watson, a resident of Travis County; M. Clark & Co., a firm composed of M. Clark, Wright Cuney, and Joe Cuney; B. Blum & Co., a firm composed of B. Blum and Gustave Levy; Paul Shean, J. W. Byrnes, and R. B. Hawley, all of Galveston County, and the appellants, Weekes, McCarthy & Co., a firm composed of Nicholas Weekes and Ed. McCarthy, of Galveston County, and A. H. Pierce, of Wharton County, and Lawrence V. Elder, of Galveston County, for the recovery of the price of certain brick furnished by the appellee for the construction of the courthouse of De Witt County. Appellee recovered judgment against all of the defendants except De Witt County, which was discharged on demurrer. None of the defendants have appealed except Weekes, McCarthy & Co. The questions presented for the consideration of this court arise out of the assumption of the court below of jurisdiction over the persons of the appellants, and of the sufficiency of the petition and of the facts produced in evidence to show liability on the part of the appellants for the price of said brick.

In the year 1894 the county of De Witt entered into a contract with A. 0. Watson for the erection of a courthouse, for which Watson was to receive the sum of $70,000 in the bonds of said county, to be delivered, $60,000 as the work progressed and $10,000 upon its completion. There was a stipulation in the contract that Watson would promptly pay off all labor and material bills as the work progressed, and that he would deliver the entire building at its completion to De Witt County free from all liens whatsoever, and that he would save the county harmless from all damages and costs-by reason of liens or suits to establish liens. Watson gave a bond to secure the performance of the contract. With the consent of his sureties and of the county of De Witt, Watson sublet his contract to M. Clark & Co. for the sum of $64,000, to be paid in money as the bonds of the county were delivered to Watson. The defendants B. Blum & Co., Paul Shean, and J. W. Byrnes were the sureties for the performance of the contract of M. Clark & Co. Prior to the subletting of his contract Watson had negotiated with the appellee for the brick to be used in the construction of the building, and agreed- with it upon the price to be paid therefor, and afterwards, upon the representation of Watson that, as authorized by the-terms of-his contract, he would see that its bills for the brick were paid, appellee entered into a contract with M. Clark & Co. for the delivery free on board cars at Cuero of 800,000 bricks, more or less, at $7.75 a thousand. All brick received up to that time were to be paid for within twelve days after the delivery of each installment of bonds to Watson.

When the first installment of bonds was delivered, M. Clark & Co. had received brick to the amount of $1863.42, and Watson paid to them the entire amount due them under his contract with them, without reserving the amount due the appellee, and M. Clark & Co. failed to pay it as they-had agreed to do. Appellee notified M. Clark & Co. and. Watson that unless the money was paid according to -contract it would stop shipping brick ■ and take legal steps-to collect the amounts then due. So it was after--' *558 wards agreed that Clark & Co. would draw their order on Watson whenever an installment of bonds was delivered for such amount as might be ■due the appellee by them, and that Watson would pay it, and that the amount then due should be retained by him and paid out of the next installment of bonds. M. Clark & Co. drew an order on Watson for the $1863.42, and it was paid upon the collection of the second installment, but the amount due for brick between the first and second installments was not paid, and when the building was nearly ready for the thirdfinstallment of bonds the appellee held accepted orders on Watson for $3500 for brick previously delivered, and there was owing it for brick delivered and then in transit the further sum of $1328.25, all awaiting the payment of the third installment.

According to the contract for the construction of the building, twenty bonds for $1000 each were to be delivered to Watson when the third-story walls were finished ready for placing the ceiling beams, and balance of the ■contract price, to wit, ten bonds for the sum of $1000 each, were to be delivered upon the completion of the building and its acceptance by the •county. Out of the third installment M. Clark & Co. would be entitled to receive from Watson the sum of $18,000 in money, and if they completed the building according to contract, they would be entitled to the sum of $10,000. The building was to be completed by January 1, 1895. By reason of delays in the prosecution of the work the building was not ■completed within the time mentioned in the contract. Time was extended by the Commissioners Court, and it being estimated that the building would be ready for the payment of the third installment of bonds by June 1, 1895, an order was made by the court fixing that date for the issuance of said installment. But the contractors failed to have the building ready by that time, and afterwards delayed the work until some time in September they became insolvent and ceased to prosecute the work.

In the meantime 3VI. Clark & Co. had become indebted to Weekes, McCarthy & Co. in the sum of $11,500 for money loaned them, and for which the sureties upon the building bond of M. Clark & Co. and R. B. Hawley were indorsers. This loan was further secured by the acceptances ■of Watson to the amount of $7000. The sureties upon the bond of M. Clark & Co. and R. B. Hawley, in order to protect themselves from loss, procured for M. Clark & Co. an assignment of his contract to Lawrence Y. Elder as trustee for them to complete the building. The Commissioners Court were willing to recognize the assignment to Elder and extend the time for the completion of the building and deliver the bonds, if the sureties of Watson would consent, and they could be assured that the building would be completed. T. F. Harwood had also prior to this been urging the payment of his claim by Clark & Co., and had secured the acceptance of Watson for $3500. He went to see Clark several times in Houston, and once in Galveston, about payment. The sureties of M. Clark & Co., in order to obtain money to enable their trustee Elder to complete the building, proposed to borrow it from Weekes, McCarthy & Co., and desired that they should place it with Runge & Co., bankers at *559 Cuero, subject to the check of Paul Helwig, the superintendent of the building. Weekes, McCarthy & Co. agreed to lend them not exceeding $10,000, upon the terms and security shown by the following written obligation of the sureties and letter of guaranty of Weekes, McCarthy & Co. to H. Runge & Co.:

“Galveston, Texas, September 25, 1895.

“Messrs. Weekes, McCarthy & Co.:

“We, the undersigned, as bondsmen and indorsers on the paper of M.

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Bluebook (online)
56 S.W. 243, 22 Tex. Civ. App. 556, 1900 Tex. App. LEXIS 57, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weekes-mccarthy-co-v-sunset-brick-tile-co-texapp-1900.