O. F. Mossberg & Sons, Inc. v. Sullivan
Decision Date | 19 December 1979 |
Docket Number | No. 13079,13079 |
Citation | 591 S.W.2d 952 |
Parties | O. F. MOSSBERG & SONS, INC., Appellant, v. Lee A. SULLIVAN, Appellee. |
Court | Texas Court of Appeals |
G. Luke Ashley, Thompson & Knight, Dallas, for appellant.
Charles J. Winikates, Winikates & Curtis, Dallas, for appellee.
O'QUINN, Justice.
By this appeal O. F. Mossberg & Sons, Inc., a foreign corporation, admittedly having no agent, office, or representative in Texas, seeks to reverse judgment of the trial court sustaining special exception of plaintiff below to Mossberg's plea of privilege to be sued in Dallas County, the residence of plaintiff.
Lee A. Sullivan, a resident of Dallas County, brought this lawsuit in Travis County, naming four defendants, to recover actual and punitive damages for injuries resulting from a gunshot wound received while a guest on a ranch in Henderson County in September of 1978. Defendants sued were Inez Ray, owner of the ranch, whose grandson, Thomas Ray, a minor also named a defendant, was in possession of the firearm from which the shot was fired, and O. F. Mossberg & Sons, Inc., manufacturer of the rifle, shown to be a foreign corporation, organized pursuant to laws of the State of Connecticut; and also sued was Thomas Wendell Ray, father of Thomas Ray, the minor.
Mossberg was served with citation by service upon the Secretary of State, pursuant to statutory authority, and afterwards filed its plea of privilege. Sullivan filed a controverting plea, and thereafter, in May of 1979, filed a special exception to the plea of privilege on the ground that in its plea Mossberg failed to ". . . allege that it is or was at the times pertinent to said Plea of Privilege, a resident or inhabitant of any county in Texas other than Travis County and, as such, said Plea . . . is insufficient on its face . . ."
The trial court sustained Sullivan's special exception to the plea of privilege and ordered the plea stricken. Mossberg appeals from this action of the trial court and contends under two points of error that a venue privilege is accorded Mossberg, and venue properly lies in Dallas County, under Subdivision 27 of Article 1995, V.A.T.S. We will overrule the points of error and affirm judgment of the trial court.
Venue privilege in this state, since May 13, 1846, has been controlled by the same statutory precept now stated in Article 1995. The first legislature under statehood provided ". . . That no person who is an inhabitant of this State shall be sued out of the county where he has his domicile, except in the following cases, viz: . . ." Tex.Laws 1846, An Act to Regulate Proceedings in the District Courts, sec. 1, at 363; 2 Gammel, Laws of Texas 1669 (1846).
The statute was amended, without change in the venue privilege, save in the list of exceptions, in 1863. Acts 1863, 10th Leg., ch. 17, p. 10; 5 Gammel, Laws of Texas 664 (1863). Without change, through the Revised Statutes of 1879, 1895, 1911 and in 1925, the venue privilege remained the same. Article 1995 provides the identical basic privilege established in 1846: "No person who is an inhabitant of this State shall be sued out of the county in which he has his domicile except in the following cases: . . ." subject only to applicable exceptions thereafter stated.
It is obvious from the language of the statute that the venue privilege extends only to a ". . . person who is an inhabitant of this State . . ." Mossberg concedes that the corporation in effect has no domicile in Texas and is unable to claim any county in which it has a residence within the meaning of Article 1995. McDonald states the rule in these words:
"One having no residence in Texas, or a foreign entity without a registered office or place of business in the state, has no right to be sued in any particular county unless the venue of the action is controlled by some mandatory provision of the statute." 1 McDonald: Texas Civil Practice, sec. 4.03.2 (1965 rev.).
Mossberg claims no county to which it has ties amounting to domicile. Dallas County is claimed by Mossberg to be the proper county for suit only because it is the residence of plaintiff. In dealing with a similar situation in Dealer Service Plan, Inc. v. Chabarria, 543 S.W.2d 740 (Tex.Civ.App. El Paso 1976, no writ), the Court observed:
(543 S.W.2d 742) (Emphasis added).
Mossberg insists that the trial court's action in overruling its plea of privilege conflicts with the holding of the Supreme Court in Atchison, T. & S. F. Ry. v. Stevens, 109 Tex. 262, 206 S.W. 921 (1918), that a non-resident corporation has a venue privilege. Stevens is clearly distinguishable from the present case.
In Stevens, suit was brought in El Paso County where, plaintiff alleged, the Railway's subsidiary, a Texas corporation, had agents doing business. The Railway filed a plea of privilege denying agents in El Paso County but Admitting that it was doing business, and that venue would be proper, in Potter, Hemphill, Galveston, Johnson, and Cook Counties. The Supreme Court held that the agents of a subsidiary, doing business in El Paso County, could not be considered agents of the parent company for venue purposes. See: Anno. 18 A.L.R.2d 187, 198 (1951).
The Railway either answered, or judicially admitted, that it was a Texas resident by specifying that venue would be proper in one of the five counties named. For venue to have been proper in those counties, some authorization was necessary to do business, or conduct activity by agents, in those counties.
Mossberg specifically states that ". . . at the time of filing this Plea, Defendant had no agent, representative, or office in the State of Texas." Since Mossberg had no agent, representative or office in Texas, the rule of Stevens is not applicable to the facts of this case.
Stevens was distinguished in Kountze v. Smith, 97 S.W.2d 737 (Tex.Civ.App. Waco 1936, no writ). Citing cases in which the courts held that a proper plea of privilege by a foreign corporation must be sustained, the court pointed out that these (97 S.W.2d 740) (Emphasis added).
As used in determining venue, Domicile is synonymous with Residence. A domicile, within the meaning of Article 1995, requires:
Snyder v. Pitts, 150 Tex. 407, 241 S.W.2d 136, 140 (1951); Davenport v. Harry Payne Motors, Inc., 247 S.W.2d 452 (Tex.Civ.App. Austin 1952, no writ).
Mossberg does not attempt to come within this definition of domicile. It claims no place of abode in Texas, whether permanent or temporary, and alleges no residence to be occupied in the future. Since Mossberg has no domicile, there is no specific county in Texas to which the cause could be transferred at Mossberg's behest.
To maintain venue in a specific county in Texas, a foreign corporation must have an office and conduct its business in that county. ". . . (W)e do not mean to hold that even though a foreign corporation does not have a permit to do business in Texas, such fact will preclude it from urging a plea of privilege to be sued in the County where it maintains an office and conducts its business ; for This is the ultimate criterion of maintaining venue in a suit in this state by both a domestic and a foreign corporation." Mergenthaler Linotype Co. v. Herrmann, 211 S.W.2d 633, 635 (Tex.Civ.App. Fort Worth 1948, no writ). Stevens is distinguished on this point in McMullen v. Burton Auto Spring Corporation, 138 S.W.2d 823, 824 (Tex.Civ.App. Dallas 1940, no writ).
As a foreign corporation with no registered office or place where it is conducting business in Texas, Mossberg is not an "inhabitant" as that term is employed in Article 1995.
Mossberg was unable to state, and did not allege in its plea of privilege a county of residence, thereby failing to meet the requirement of Rule 86, Texas Rules of Civil Procedure, that "A plea of privilege to be sued in the county of one's residence . . . Shall state the county of his residence . . ." (Emphasis added). Mossberg's plea of privilege was fatally defective in having failed to meet this requirement, and due exception having been taken to the plea, the trial court was compelled to strike the plea.
In Aviation Credit Corp. of New York v. University Aerial Service Corp., 59 S.W.2d 870 (Tex.Civ.App. Eastland 1933, writ dism'd), appellee brought suit alleging a usurious contract. Appellant presented a plea of privilege which was excepted to and overruled by the trial court. The Eastland Court, in an opinion by Chief Justice Hickman, disposed of the issue in this language:
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