Court Opinion

ID: 9830244
Source: CourtListenerOpinion
Date Created: 2023-09-01 20:01:02.369856+00
Date Added: 2024-06-11T07:43:16.684724
License: Public Domain

On Motion for Rehearing.
In response to appellant’s request for additional findings, we find that the release executed by the Southern Trust Company was dated August 29, 1917. The mortgage which it purported to release was executed by Howard and wife June 26, 1916, and was assigned by the trust company to the plaintiff in this case on July 3, 1916. As between the appellant here and the appellee, such release did not affect the binding force of the parol assumption by appellant at the time of the purchase of the land by him on or about May 25, 1917.
A. B. Richardson testified that he was the vice president of the Belcher Land Mortgage Company, and that the said company owned the note and mortgage- executed by Howard and wife on August 29.1917, when the Southern Trust Company executed the release; that to his knowledge, the Belcher Land Mortgage Company never authorized the execution of such release. Howard testified that the Southern Trust Company did not execute the release for his use and benefit, and did so without his knowledge that at the time of the release the company had a president and two vice presidents, he being one of the vice presidents; that the president'or either of the vice presidents, when joined by the secretary, could execute a release. This release was executed by E. L. Wakeman, a vice president; that the only way witness could account for the release being executed was that Holland had executed a note for $3,000 and a mortgage in substitution of a former note for said amount, and that he thought that in releasing the first $3,000 note and mortgage, and on account of the “similarity of the two names,” the second release was executed; that he knew the .second release was a clerical error; that it was customary to have in the office releases signed in blank, and the secretary, in the absence of the vice presidents, would execute releases when needed; that he supposed that the release of the $1,700 note and mortgage was executed under' such circumstances. Arnold, secretary of the Southern Trust Company, while testifying, was not asked by either party anything concerning this release.
[7] Appellee pleaded:
“That on the 25th day of May, 1917, in Bryan county, Old., the said Geo. O. Howard, joined by his wife, sold and conveyed the above-described land to the defendant, M. I. Holland, for a consideration of $800 in money and the assumption by said Holland of the payment of the note and mortgage hereinbefore described, and the said defendant expressly promised and agreed to, and thereby became bound to pay to this plaintiff, as the owner and holder of said note and mortgage, the amount of said note with interest as in said note specified, according to its tenor and effect, and did thereafter pay part of the interest thereon.
*808“That on the 17th day of December, 1917, the defendant, M. I. Holland, joined.by his wife, sold and conveyed the above-described land to one 'J. F. Marshall, who paid the entire consideration therefor to the said defendant, who, notwithstanding the fact that he had assumed the payment of said sum of $1,700 and interest to the order of Southern Trust Company, and well knowing that said amount, together with interest thereon, was the property of and belonged to said Southern Trust Company, or its order, received said sum and converted the same to his own use and benefit, and has ever since refused, and now refuses, to pay the same, or any part thereof, to this plaintiff as transferee of said Southern Trust Company, and plaintiff further shows to the court that said note is past due and is wholly unpaid, and that the said defendant, although having promised and agreed to pay said note, and although frequently requested so to do, has failed and refused, and still fails and refuses, to pay the same, or any part thereof, to plaintiff’s damage in principal, interest, and attorney’s fees in the sum of $2,150.”
In our judgment, the allegations are sufficient to allege an express promise on the part of Holland made to Howard to pay the amount of the note to the Belcher Band Mortgage Company, the holder and owner of the mortgage and note at the date of the promise, and that such promise was made for the benefit of the appellee. Also, we think the evidence sufficient to sustain this allegation. We do not think this conclusion is in conflict with Bledsoe v. Wills, 22 Tex. 650, and Phœnix Lbr. Co. v. Houston Water Works, 94 Tex. 456, 61 S. W. 709, relied on by appellant.
We do not feel justified in disturbing the conclusions reached in our original opiinion that Howard and Arnold finally testified that the verbal promise was made by appellant to assume the $1,700 note. It is true that the deed from Howard to Holland is dated May 25th, and that Arnold testified that according to his remembrance his conversation and business dealings with Holland took place on Decoration Day, May 30, 1917; that he had never met Holland before this. But even if Arnold was not present at the time Holland promised Howard to assume the $1,700 note and mortgage, he did testify that Holland stated to him that he was assuming $9,050 indebtedness on the 630 acres bought. This was, at any rate, corroborative of Howard’s statement that Holland had agreed to assume the $1,700 note. We do not think it can be reasonably held that the $1,700 note was in addition to the $9,050 in indebtedness, but we feel that, in deference to the imputed finding of the trial court, and by reason of the testimony of Howard and Arnold, we must conclude that there was a total indebtedness of $9,050.
The motion for rehearing is overruled.