Colonial Trust Co. v. Hill County, 1190-5529.

Decision Date30 April 1930
Docket NumberNo. 1190-5529.,1190-5529.
PartiesCOLONIAL TRUST CO. v. HILL COUNTY.
CourtTexas Supreme Court

The opinion written by Justice Stanford of the Court of Civil Appeals, herein adopted, is as follows:

Not being able to agree with my associates, I hereby file the following dissenting opinion:

This suit was filed by appellee to recover of appellant a debt evidenced by two time warrants in the sum of $1,192.50 each, executed by appellant, the one on April 1, 1919, and the other on April 4, 1919, both of said time warrants having been given payable to the order of the Avery Company in part settlement for two tractors purchased by appellant from said Avery Company on February 28, 1919; said time warrants having been transferred by indorsement without recourse before maturity by the Avery Company to appellee. Appellant defended upon the ground that said debt for said two tractors was created without any provision being made for the payment of same out of the current revenues of the county for the current fiscal year 1919, or out of any funds within the immediate control of the county, contrary to the provisions of section 7 of article 11 of the Constitution of Texas, by reason of which the debt sued upon was void. The case has heretofore been before this court and is reported in 288 S. W. 849, and also before our Supreme Court, reported in 294 S. W. 516. The case was tried before the court without a jury and judgment rendered for appellee, plaintiff below, for the amount of said two time warrants, from which judgment appellant has appealed.

By its first and fifth propositions, appellant contends, in effect, that the evidence established conclusively that the contract of purchase of said two tractors included an agreement that the purchase price thereof should be paid entirely out of taxes levied and collected for future years, and that no provision was made for payment therefor, by reason of which the debt and warrants sued upon, under section 7, article 11 of the Constitution, were void, and the trial court erred in not so holding. To show said contract of purchase, as shown by the order of the commissioners' court, did include such agreement, appellant, over proper objections by appellee, was permitted to introduce parol evidence. Based upon its cross-assignments and proper bills of exception, appellee contends that the court was in error in admitting said parol evidence, but contends, further, that with said parol evidence before the court it was still a question of fact for the court whether or not, under the contract of purchase of said tractors, the price therefor was to be paid out of funds available during the current fiscal year of 1919, the year same were purchased, and that the court was correct in resolving this question of fact in favor of appellee. As these questions are so closely related, it is thought they should be considered together. Appellee introduced and relied upon the following testimony to sustain a recovery:

The order of the commissioners' court as follows:

                "In the Matter of Receiving Bids for Tractors
                         Graders, Plow, etc
                "In Commissioners' Court, Hill County, Texas
                           February 28, 1919
                

"On this day came on to be examined the bids for tractors, graders, plows, etc., and it appearing upon investigation that the following were the lowest bids.

"The Avery Co. of Texas. Bid on 25-50 Tractor $3375.00. Bid on 40-80 Tractor $300.00.

"J. D. Adams & Co. bids, reclamation Ditcher 12 feet blade $1125.00, Giant King 10 foot blade $980.00; Scanfier attachment $85.00; Road Maintainer, $370.00; Ructer Tractor Plow, $44.75.

"It is therefore the order of the Court that the same be purchased from said companies and that the above acceptance means for two graders, and two Tractors; and that the same be paid out of the funds of precincts 1 and 2 of said Hill County, Texas."

The time warrant No. 8982 is as follows:

                "No. 8982.                     $1192.50
                  "No. 1740 Time Warrant Due 4—1—1922.
                "The Treasurer of the County of Hill, State
                     of Texas:
                

"Pay to the order of The Avery Co. of Texas the sum of One Thousand One Hundred Ninety-two and 50/100 Dollars out of the R. & B. Fund, being the amount allowed by the Commissioners' Court of said County on the 1st day of April, A. D. 1919.

                "For Gas Tractor.
                            Time warrant due April 1, 1922.
                

"Witness my hand and seal of said Court, at Hillsboro, this 1st day of April, 1919.

                                    "Jas. Q. Carmichall,
                    "Clerk County Court, Hill County, Texas.
                  "Countersigned:
                      "___________, County Auditor."
                

Indorsed:

"Pay to the order of Colonial Trust Co. without recourse.

                          "Avery Company of Texas,
                          "By F. M. Wedmayer, Treasurer."
                

Time warrant No. 9079 is as follows:

                "No. 9079                         $1192.50.
                          "No. 1741 Due 4—1—22
                "The Treasurer of the County of Hill, State
                    of Texas.
                

"Pay to the order of The Avery Co. of Texas the sum of Eleven Hundred Ninety-two and 50/100 Dollars out of the R. & B. Fund, being the amount allowed by the Commissioners' Court of said County on the 4th day of April, A. D. 1919.

"For Gas Tractor.

                            Time warrant due 4—1—1922.
                

"Witness my hand and seal of said Court, at Hillsboro, this 4th day of April, 1919.

                                  "Jas. Q. Carmichall,
                    "Clerk County Court, Hill County, Texas.
                  "Countersigned:
                     "__________, County Auditor."
                

Indorsed:

"Pay to the order of Colonial Trust Co. without recourse.

                          "Avery Company of Texas,
                          "By F. M. Wedmayer, Treasurer."
                

"It was agreed by counsel for both plaintiff and defendant that `R. & B. Fund' mentioned in the above warrants referred to the Road and Bridge Fund."

"It was agreed by counsel for plaintiff and defendant that the tax levy for 1919, Volume J, page 157, dated 7—14—19, was as follows:

                      General Fund.................... 22¾ cents
                      Jury Fund.......................  4  cents
                      Improvement Fund................  2  cents
                      Road and Bridge Fund............ 13  cents
                

"That the cash balance as shown in the Auditor's office on the 28th day of February, 1919, to the credit of the Road and Bridge Fund, Precinct No. 1, was $1,543.39.

"That in the General Fund of Hill County on the 28th day of February, 1919, the balance was $10,610.37.

"All of these amounts exclusive of bonded indebtedness.

"That the assessed valuation of property in Hill County for taxation for the year 1919 was $30,752,585."

The several accounts dated March 26, 1919, involved in the transaction in favor of the Avery Company of Texas and against Hill county, including the account sued on, were duly presented to the commissioners' court and time warrants issued therefor April 1, 1919.

The secretary-treasurer of appellee testified, in substance, that appellee was the county depository for Hill county in 1919 and handled practically all of the county funds; that on February 28, 1919, the books of said depository showed $35,133.97 to the credit of the county treasurer, and $317,737.80 to the account of the tax collector, making an aggregate of $352,871.77, not including special road district funds; that part of that money belonged to the state; the most of it belonged to Hill county; that the most of those funds arose from county taxes; that the Colonial Trust Company bought those warrants before maturity from the Avery Company of Texas and paid the money for them. "The warrants now belong to the Colonial Trust Company. The first objection made to the payment of these time warrants was when we presented the ones last maturing to the County Auditor to be signed, on April 1st, 1922. I was with the Colonial Trust Company at the time the earlier warrants were paid. I don't remember whether all of the members of the Commissioners' Court were the same at the time these warrants were paid as composed said court at the time the original transaction was had, but it was practically the same." The evidence is undisputed that appellant received said tractors soon after their purchase in 1919; that the market value of said tractors was $3,375 each; that they did good work, and there were no defects in said machinery; that they were operated on the Hill county roads about four years— until they were worn out and of no value.

Appellant, in defense to appellee's cause of action, over the objection of appellee, introduced the evidence of W. T. Green, R. T. Burns, and Ralph Boston. The evidence of Green was as follows:

"But the man who was then present, acting as agent for the Avery Company stated to the Commissioners' Court that we did not have to pay any money down, but could fix our own terms of payment. The Commissioners' Court then stated to the man representing the Avery Company that we would buy the Tractors, if said Company would accept payment in three equal installments to be evidenced by time warrants to run for three years. At that time we did not have any funds on hand with which to pay for the tractors. Hill County did not then have the right under the law to levy more than fifteen cents on the hundred dollar valuation tax for road and bridge purposes, and the money raised from that levy was divided between the different commissioners' precincts according to the tax valuation of the property in each precinct. The part of it that Dr. Ward and I would get by levy of said fifteen cents for 1919 would not be enough to pay for the ordinary and necessary expense that we knew we would have to incur during that year in our respective precincts, such as building bridges and paying for the grading of roads. He and I...

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5 cases
  • Powell v. Bond, 2413.
    • United States
    • Texas Court of Appeals
    • April 17, 1941
    ...v. State, 18 Tex.App. 378. "The commissioners' court is a court of record and speaks through its minutes." Colonial Trust Co. v. Hill County, Tex.Com.App., 27 S.W.2d 144, point 7, page 149. "Every court of this state, shall have respect for the judgment of the accredited authorities." Ex pa......
  • Henderson v. Odessa Bldg. & Finance Co.
    • United States
    • Texas Supreme Court
    • May 7, 1930
  • Brodhead v. City of Forney
    • United States
    • Texas Court of Appeals
    • July 8, 1976
    ...of the parol evidence rule. Citing Colonial Trust Co. v. Hill County, 294 S.W. 516 (Tex.Com.App., 1927), and Colonial Trust Co. v. Hill County, 27 S.W.2d 144 (Tex.Com.App., 1930), the plaintiffs argue that absent pleadings by the City of fraud, accident, or mistake, this parol proof was ina......
  • Tarrant County v. Roberts, 1
    • United States
    • Texas Court of Appeals
    • January 9, 1964
    ...evidence is not admissible to prove the intention of the court in adopting the order. 15 T.J. (2d) 271, Sec. 43; Colonial Trust Co. v. Hill County, Tex.Com.App., 27 S.W.2d 144; King v. Marion County, Tex.Civ.App., 202 S.W. Let us examine the order of November 15, 1951, to determine if such ......
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