Court Opinion

ID: 9858652
Source: CourtListenerOpinion
Date Created: 2023-09-24 16:34:24.728073+00
Date Added: 2024-06-11T09:55:23.564106
License: Public Domain

ON MOTION FOR REHEARING
McNEILL, Justice.
It is made to appear in appellees’■ motion for rehearing that after this cause was disposed of in the trial court, in the reorganization proceedings in the II. S. District Court mentioned in the original opinion, application was made by the trustees to reduce the principal amount of the due bills involved by 20 per cent. It is claimed that notice of this application was given to appellant but none to appellees, and the latter did not participate in such hearing; and that as a result of the hearing the U. S. District Court reduced the amount of the bills by said 20 per cent and appellees now assert that they are entitled to a reduction of liability in a similar amount. Appellees also argue since the Federal Court in its proceeding has disallowed interest on the obligations from the date the matter was placed in reorganization proceedings, that interest likewise should not be allowed in any judgment rendered against them. Appellant’s answer to this motion does not deny that a reduction was made by the Federal Court, but replies that since the matter took place after the trial below and it not being a part of the present record, no notice can be taken of it.
Appellant’s position is correct. It has been often held that matters presented for the first time in a motion for rehearing cannot be considered. 3 Tex.Jur.2d pp. 651, 652. As stated in the original opinion, this record is here on an agreed case and in the absence of mutuál mistake or fraud it is binding. 3 Tex.Jur.2d pp. 4 and 5.
No mention was made in the original opinion of the right to ownership by appel-lees of the due bills, in the event they discharged the judgment, as it was thought that such right necessarily followed. 10 C.J.S. Bills and Notes § 449, page 986. However, the motion prays that such right of subro-gation be provided for. It is therefore ordered that in the event appellees shall discharge the judgment in favor of appellant, they shall be subrogated to all rights of appellant in said due bills.
Motion for rehearing is overruled.
STEPHENSON, J., not sitting.