Pelton v. McClaren Rubber Co., 2036.

Decision Date06 October 1938
Docket NumberNo. 2036.,2036.
Citation120 S.W.2d 516
PartiesPELTON v. McCLAREN RUBBER CO. et al.
CourtTexas Court of Appeals

Appeal from District Court, Dallas County; Claude M. McCallum, Judge.

Action by H. E. Pelton against the McClaren Rubber Company and others to recover compensation allegedly due under a contract between plaintiff and the named defendant. Judgment for defendants, and plaintiff appeals.

Affirmed.

Clark & Stegall, of Fort Worth, for appellant.

Ungerman & Ungerman and David M. Weinstein, all of Dallas, and Bonner, King & Dawson, of Wichita Falls, for appellees.

ALEXANDER, Justice.

H. E. Pelton brought this suit against McClaren Rubber Company, J. A. Cato and others to recover certain compensation alleged to be due him under a contract between himself and McClaren Rubber Company, by which the latter employed him to collect an indebtedness owing to McClaren Rubber Company by J. A. Cato. The trial court instructed a verdict for the defendants and the plaintiff appealed.

The material facts are these: J. A. Cato was indebted to McClaren Rubber Company of Charlotte, North Carolina, in a sum of approximately $5,000, evidenced by a promissory note. Ungerman & Ungerman, attorneys, had brought suit on the note for McClaren Rubber Company against Cato in a district court in Dallas county. Pelton, who was not a lawyer, was engaged in operating a regularly licensed collecting agency in the city of Fort Worth. He contacted Ungerman & Ungerman and undertook to induce them to employ him to assist in collecting the indebtedness but was unsuccessful. Shortly thereafter, on July 10, 1935, Pelton wrote McClaren Rubber Company at Charlotte, North Carolina, as follows:

"About three weeks ago your attorneys at Dallas filed suit against J. A. Cato this city, on a note in the amount of $4,723.73 plus costs, interest and attorneys fees.

"I have made two trips to see Ungerman & Ungerman in Dallas but apparently they are not interested in collecting this debt, therefore this letter.

"I have a few judgments against this man Cato and can collect yours also for a reasonable fee, but I'm no lawyer. In collecting this for you I can assure you there will be no costs to you such as garnishment fees, attachment or execution fees, if you will let me collect same. Your attorneys seem to think they are in a position to collect this money for you but like I told them they are lawyers and not collection men. I have uncovered some things on Cato that everyone does not know and am in a real position to collect for you also.

"I saw one Mr. Ungerman about 10 days ago and at that time he advised me to come back so yesterday I went back and he was not there but his brother talked to me and said he would not be interested in letting anyone help them. If you will give me a chance I can show you how to collect this money. I do not want a interest in your judgment or law suit merely if I'm successful in collecting same would like to have 25%. My time, trips and etc. amount up and I believe you will agree this fee would not be excessive. Kindly let me hear from you immediately."

At that time McClaren Rubber Company declined to place the account with Pelton, but after some further correspondence, on September 5, 1935, McClaren Rubber Company's auditor wrote Pelton authorizing him to handle the collection on a basis of thirty per cent for his services, said letter concluding as follows: "We recommend that you take this up with Attorneys Ungerman & Ungerman, Wilson Building, Dallas, Texas, so there will be no misunderstanding with them. Yours very truly, McClaren Rubber Company (Signed) E. L. Antonen, Auditor." On September 6th, Ungerman & Ungerman entered into a settlement agreement with Cato. On the same day, Pelton, without having first conferred with Ungerman & Ungerman and without knowledge of the settlement agreement, employed an attorney to intervene in a certain receivership proceeding then pending in Tarrant county for the purpose of collecting said claim and took other steps along the same line. McClaren Rubber Company refused to recognize any liability to Pelton under the contract.

We are of the opinion that the trial court correctly instructed a verdict for the defendants. The evidence shows without dispute that Pelton secured his...

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3 cases
  • Southern Traffic Bureau v. Thompson
    • United States
    • Texas Court of Appeals
    • 21 Junio 1950
    ...remedied by the Legislature. McCloskey v. San Antonio Public Service Company, Tex.Civ.App., 51 S.W.2d 1088. In Pelton v. McClaren Rubber Co., Tex.Civ.App., 120 S.W.2d 516, 517, wr. ref., Mr. Justice Alexander (later Chief Justice of the Supreme Court) made the following clear and unequivoca......
  • Turcotte v. Trevino
    • United States
    • Texas Court of Appeals
    • 29 Octubre 1976
    ...by personal solicitation in violation of the barratry statute is void as against public policy. Pelton v. McClaren Rubber Co., 120 S.W.2d 516 (Tex.Civ.App.--Waco 1938, writ ref'd). It is without dispute in the record that both Walker and Putegnat were heirs at law of Mrs. East and were bene......
  • Neese v. Lyon
    • United States
    • Texas Court of Appeals
    • 31 Julio 2015
    ...offense of barratry as defined in the penal code is a public remedy and not a private one."); cf. Pelton v. McClaren Rubber Co., 120 S.W.2d 516, 517 (Tex.Civ.App.–Waco 1938, writ ref'd) (allowing assertion of barratry as a defense and holding that claim-collector's contract secured by illeg......

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