McFadin v. Haggard, 14429

Decision Date12 January 1966
Docket NumberNo. 14429,14429
Citation398 S.W.2d 638
PartiesNick McFADIN, Appellant, v. Walter HAGGARD, Appellee.
CourtTexas Court of Appeals

Edward W. Penshorn, San Antonio, for appellant.

Chapin, Narciso & Cameron, San Antonio, for appellee.

BARROW, Justice.

Appellee, Walter Haggard, filed this suit on May 12, 1964, against Jake Elliott, J & N Development Company and appellant, Nick McFadin, to recover for engineering services performed in subdividing a tract of land in Bexar County, Texas, pursuant to an oral agreement made with Elliott early in 1961. After a jury trial, 1 judgment was rendered that Haggard take nothing from Elliott and J & N Development Company, but that he recover the sum of $1,928.29, including attorney's fee of $864.00, from McFadin.

McFadin has perfected an appeal wherein he asserts that there is no evidence that he is personally liable for this debt and, in any event, same is barred by the two-year statute of limitations. Haggard did not perfect an appeal as to the take-nothing judgment rendered in favor of the other defendants. The primary question presented on this appeal is whether a letter dated September 19, 1962, to Haggard, which is signed by McFadin, is sufficient to bar the statute of limitations and support a judgment against McFadin individually.

On February 15, 1961, Elliott signed an earnest money contract to purchase 81 acres of land located in the eastern part of Bexar County, near the community of China Groves. Elliott planned to subdivide this land into one-half acre tracts and made an oral agreement with Haggard to survey and subdivide it. The City of China Groves would not approve a subdivision of one-half acre tracts, and Elliott was forced to provide for larger tracts. He needed financial help for this type subdivision and contacted McFadin for the purpose of borrowing the necessary funds. McFadin refused to make a loan, but offered to form a corporation with Elliott to develop the property and to lend the necessary money to the corporation. This was agreed upon and the corporation formed, with Elliott and McFadin each owning half of the stock, and the land was purchased in the name of the corporation. In the middle of 1963, McFadin acquired all the stock of the corporation.

All of McFadin's actions in this matter were taken through the corporation. There were no pleadings seeking to pierce the corporate veil; to the contrary, it was stipulated that the corporation is a legal and bona fide corporation which was incorporated on April 26, 1961. Monthly bills were submitted by Haggard and they went to Elliott individually until June 30, 1961, and thereafter they were addressed to Elliott and the corporation. On July 31, 1963, Haggard, for the first time, sent a bill addressed to McFadin and the corporation.

Under the uncontradicted evidence, the last services performed by Haggard under this contract with Elliott were on January 30, 1962. This was more than two years before the suit filed on this oral contract, and therefore same is barred by limitations under Art. 5526, § 4, Vernon's Ann.Civ.St. Haggard urges, however, that the suit was brought within two years from McFadin's letter of September 19, 1962, and limitations do not bar the claim against McFadin.

(1) Art. 5539, Vernon's Ann.Civ.St., provides in effect that when an action may appear to be barred by a law of limitation, a written acknowledgment of the justness of...

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3 cases
  • MIDSTATES RESOURCES v. FARMERS AERIAL SPRAYING SER., Civil A. No. 5:95-CV-043-C.
    • United States
    • U.S. District Court — Northern District of Texas
    • February 9, 1996
    ...of Natural Resources, 889 S.W.2d 838, 843 (Mo.Ct.App.1994); Williams v. Markt, 742 S.W.2d 577, 579 (Mo. Ct.App.1987); McFadin v. Haggard, 398 S.W.2d 638, 640 (Tex.Civ.App. — San Antonio, 1966, no writ); Friedman v. Worthy Fabrics, 347 S.W.2d 639, 640-41 (Tex.Civ.App. — El Paso 1960, no writ......
  • Travelers Ins. Co. v. Appell
    • United States
    • Texas Court of Appeals
    • May 1, 1974
    ...to pay it. State v. Williamson-Dickie Manufacturing Company, 399 S.W.2d 568 (Tex.Civ.App.--Ft. Worth 1966, writ ref'd n.r.e.); McFadin v. Haggard, 398 S.W.2d 638 (Tex.Civ.App.--San Antonio 1966, no writ); Luck v. Riggs Optical Company, 149 S.W.2d 204 (Tex.Civ.App.--Ft. Worth 1941, no We do ......
  • MMP, Ltd. v. Jones
    • United States
    • Texas Court of Appeals
    • March 29, 1985
    ...of [the limitations] statute." The sufficiency of the letter to bind appellant on the barred debt is a question of law. McFadin v. Haggard, 398 S.W.2d 638, 640 (Tex.Civ.App.--San Antonio 1966, no writ); Martindale Mortgage Co. v. Crow, 161 S.W.2d 866, 870 (Tex.Civ.App.--El Paso 1941, writ r......

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