Court Opinion

ID: 9828149
Source: CourtListenerOpinion
Date Created: 2023-09-01 18:08:58.250073+00
Date Added: 2024-06-11T07:42:44.674198
License: Public Domain

On Motion for Rehearing.
It is contended that we erred in applying to this executory contract a rule applicable to executed contracts of sale. The case of Green v. Chandler, 25 Tex. 148, in which the principles applied by us were declared, was in reference to executory contracts.
In this case Thompson did not attempt to declare a rescission until September, 1908, before which time the title was relieved of the danger that originally existed. His answer alleged that he learned the facts on or about January 1, 1908, and in his testimony he gives the date of such discovery as about May 1, 1908. We conclude that he showed no right to damages on account of the title. But he had the other ground for damages, viz., false representations concerning the land, which, if they existed in fact and induced the contract, constituted ground for rescission and for damages.
In this case both plaintiff and defendant by their pleadings are proceeding upon the theory of rescission, and, in view of the pleadings, it is simply a question of evidence and the application of equitable principles to the facts as they may be found. Plaintiff brought the suit for the land, and defendant has not seen fit to defend under the contract and seek to hold the land. He, as he had the right to do, alleged the nullity of the contract for false representations, and asked for damages accordingly. Therefore, if it should be found that defendant was deceived into making the purchase, he would be' entitled to recover of plaintiff the sum he had paid and the value of his improvements as explained in the main opinion. On the other hand, if said issue should be found against defendant, then he would be entitled to recover neither his money paid, nor for his improvements. Moore v. Giesecke, 76 Tex. 551, 13 S. W. 290.
What we have said in the main opinion with regard to defendant not being in a position to complain of the issuance of the writ of sequestration, and of the retaking of pos--session by plaintiff under the writ, we now think was error.
If it should be determined that plaintiff was guilty of false representations concerning the land inducing the contract, we think plaintiff would have had no right to retake possession by summary process. We adopt what is said in Warvelle on Vendors, § 814: “A vendor will not be permitted to declare a forfeiture as for default where such default is directly attributable to his own bad faith or any fraudulent artifice practiced by him in inducing the sale. Thus, where a vendor falsely asserts and represents, * * * and the purchaser, relying on such representations, enters and makes payments and improvements on the land, before he learns of the incumbrances, and then refuses to make further payments on the purchase, * * * he cannot be held in default in making payment.”
In such case the writ, if illegally sued out, would permit of the recovery of damages, as in ordinary cases, where one. sues another in trespass to try title.
The question would arise: Would this be so if it should be found that plaintiff was guilty of no fraud that induced the purchase? It has been distinctly held that where a contract provides that, upon default of a mortgagor, the contract providing that in that event the mortgagor could resume possession of the property, a writ of sequestration' accomplished only what the parties had agreed should be dope, and there is no liability on account of the suing out of the writ. Nichols v. Paine, 113 S. W. 972, and cases there cited. But we have found no decision which extends the rule beyond cases where the contract expressly provides for taking possession upon default. Therefore we conclude that, although xfiaintiff could bring his suit in trespass to try title and for possession, and could sue out the writ of sequestration as permitted by statute to all plaintiffs in such case, he did so under the rules and responsibilities which ordinarily accompany such process. Hence we withdraw the conclusion that plaintiff and his sureties could not be liable for damages for the wrongful suing out of the writ in question.
We adhere to the conclusion that the sureties on the bond would not be liable for any abuse of the writ in its execution, not authorized by them.
We do not intend, by what was said in the main opinion, to limit defendant to representations concerning the productivity of the land. Representations which affected the capabilities of the land, and which in their nature were calculated to deceive a person of ordinary prudence, would be available in this respect.
Motion overruled.