Rice v. Pinney

• Decision Date: 20 March 2001
• Docket Number: No. 05-00-00126-CV,05-00-00126-CV
• Parties: (Tex.App.-Dallas 2001) STEPHEN G. RICE and SUE L. RICE, Appellants v. MARC E. PINNEY, Appellee
• Court: Texas Court of Appeals

Page 705

51 S.W.3d 705 (Tex.App.-Dallas 2001)

STEPHEN G. RICE and SUE L. RICE, Appellants v. MARC E. PINNEY, Appellee

No. 05-00-00126-CV

Court of Appeals Fifth District of Texas at Dallas

March 20, 2001

On Appeal from County Court at Law No. 4 Dallas County, Texas Trial Court Cause No. cc-99-11685-d Before Justices Lagarde, Kinkeade, and O'Neill

OPINION

Opinion by Justice Lagarde

This forcible detainer case presents two jurisdictional issues. In their sole point of error, appellants Stephen G. Rice ("Rice") and Sue L. Rice (collectively, the "Rices") assert that the county court at law lacked jurisdiction to issue a writ of possession because a wrongful foreclosure action between the same parties was pending in district court. Appellee Marc E. Pinney, by way of a cross- point, asserts that this Court lacks jurisdiction over this appeal because the property at issue was not used for residential purposes only. Because we overrule both jurisdictional challenges, we affirm.

FACTUAL AND PROCEDURAL BACKGROUND

For more than twenty years, the Rices were title owners of a residence in Richardson, Texas (the "property"). On March 4, 1999 National Mortgage Co. ("NMC") became the first lienholder. After a purported default on the note, NMC foreclosed on the property in September 1999. Pursuant to the deed of trust securing the note, NMC appointed a substitute trustee and the new trustee conducted a foreclosure sale. Pinney purchased the property at the foreclosure sale. Among its general provisions, the deed of trust stated:

If any of the property is sold under this Deed of Trust, Grantor shall immediately surrender possession to the purchaser. If Grantor fails to do so, Grantor shall become a tenant at sufferance of the purchaser, subject to an action for forcible detainer.

When the Rices refused to vacate the property, Pinney instituted this forcible detainer suit in a Dallas County justice court pursuant to the deed of trust. The justice court awarded possession to Pinney, and the Rices appealed to a county court at law in Dallas County.

In the statutory county court, Rice amended his pleading to assert lack of jurisdiction, stating, in relevant part:

The Defendant has filed suit against Plaintiff and National Mortgage Company in the 101st District Court, Dallas County, Texas Cause No. 99-9345, styled 'Stephen Rice and Sue Rice v. National Mortgage Company and Marc E. Pinney.' The Defendant seeks in that suit to set aside the foreclosure sale of the subject property on or about September 7, 1999.

After an off-the-record hearing on the day of trial, the county court at law concluded it had jurisdiction to decide the issue of immediate possession without adjudicating title to the property. The case proceeded to trial, and the county court at law rendered judgment that Pinney was entitled to possession. This appeal ensued.

JURISDICTION OVER THIS APPEAL

We first address the challenge to this Court's jurisdiction. In his cross-point, Pinney asserts section 24.007 of the Texas Property Code precludes this Court's review of the Rices' appeal. Section 24.007 states: "A final judgment of a county court in an eviction suit may not be appealed on the issue of possession unless the premises in question are being used for residential purposes only." Tex. Prop. Code Ann. § 24.007 (Vernon 2000) (emphasis supplied). At trial, Rice testified he is self-employed and his technology sales company, Set Com Co., operates out of the property and has no other business address. Pinney argues, therefore, that because the property was not "used for residential purposes only," we are precluded from reviewing the county court at law's judgment awarding possession.

We agree with Pinney that the property at issue was not "used for residential purposes only." However, in such a situation, the legislature did not preclude all appellate review but only limited review over the issue of possession. See id. Issues on appeal not dependent on the trial court's possession determination are reviewable on appeal. See, e.g., A.V.A. Servs., Inc. v. Parts Indus. Corp., 949 S.W.2d 852, 853 (Tex. App.-Beaumont 1997, no writ) (dismissing appeal of two points involving issue of possession and deciding merits of other points); Academy Corp. v. Sunwest N.O.P., Inc., 853 S.W.2d 833, 834 (Tex. App.-Houston [14th Dist.] 1993, writ denied) (indicating factual sufficiency of attorneys' fee award could have been appealed had appellant not couched argument as dependent upon award of possession). Here, the Rices have not asked us to re-examine the trial court's determination of the possession issue or any issue dependent on that determination. Rather, the Rices challenge the trial court's subject matter jurisdiction-its authority to decide this case regardless of how it resolved the possession issue. Section 24.007 does not preclude appellate review of a county court at law's subject matter jurisdiction. See Falcon v. Ensignia, 976 S.W.2d 336, 338-39 (Tex. App.-Corpus Christi 1998, no pet.) (addressing challenge to trial court's jurisdiction before dismissing appeal because merits of appeal went to issue of possession); see also Housing Auth., City of Edgewood v. Sanders, 693

S.W.2d 2, 3-4 (Tex. App.-Tyler 1985, writ ref'd n.r.e.) (per curiam) (op. on reh'g) (reviewing trial court's subject matter jurisdiction under predecessor of section 24.007 ); Meyer v. Young, 545 S.W.2d 37, 39 (Tex. Civ. App.-Austin 1976, no writ) (same). ¹ Accordingly, we hold that this Court has jurisdiction to determine if the county court at law had subject matter jurisdiction to enter the writ of possession. We overrule Pinney's cross-point.

COUNTY COURT AT LAW JURISDICTION OVER THE CASE

In their sole point of error, the Rices argue the county court at law lacked subject matter jurisdiction to adjudicate Pinney's forcible detainer suit because their action in district court put title to the property at issue. We conclude the title dispute pending in district court did not deprive the county court at law of subject matter jurisdiction.

Appellate Jurisdiction of County Court

Jurisdiction of forcible detainer actions is expressly given to the justice court of the precinct where the property is located and, on appeal, to county courts for a trial de novo. See Tex. Prop. Code Ann. § 24.004 (Vernon 2000); Tex. R. Civ. P. 749; Home Sav. Ass'n v. Ramirez, 600 S.W.2d 911, 913 (Tex. Civ. App.-Corpus Christi 1980, writ ref'd n.r.e.). Thus, the outcome of this case depends on the extent of the county court at law's appellate jurisdiction.

The appellate jurisdiction of a statutory county court is confined to the jurisdictional limits of the justice court, and the county court has no jurisdiction over an appeal unless the justice court had jurisdiction. Crumpton v. Stevens, 936 S.W.2d 473, 476 (Tex. App.-Fort Worth 1996, no writ); Goggins v. Leo, 849 S.W.2d 373, 375 (Tex. App.-Houston [14th Dist.] 1993, no writ); Standard Inv. Co. v. Dowdy, 122 S.W.2d 1107, 1109 (Tex. Civ. App.-Dallas 1938, writ dism'd). A justice court is expressly denied jurisdiction to determine or adjudicate title to land. Tex. Gov't Code Ann. § 27.031(b) (Vernon Supp. 2001); see Ramirez, 600 S.W.2d at 913; Slay v. Fugitt, 302 S.W.2d 698, 701 (Tex. Civ. App.-Dallas 1957, writ ref'd n.r.e.). Moreover, in an action for forcible detainer, "the merits of the title shall not be adjudicated." Tex. R. Civ. P. 746. Accordingly, notwithstanding its grant of general jurisdiction, ² a statutory county court has no jurisdiction to adjudicate title to real estate in a de novo trial following an appeal of a forcible detainer suit from justice court.

Nature of a Forcible Detainer Action

The procedure to determine the right to immediate possession of real property, if there was no unlawful entry, is the action of forcible detainer. Kennedy v. Highland Hills Apartments, 905 S.W.2d 325, 326 (Tex. App.-Dallas 1995, no writ). A forcible detainer action is a special proceeding governed by particular statutes and rules. Id. It was created to provide a speedy, simple, and inexpensive means for resolving the question of the right to possession of premises. Id. To preserve the simplicity and speedy nature of the remedy, the applicable rule of civil procedure provides that "the only issue shall be as to the right to actual possession; and the merits of the title shall not be adjudicated." Tex. R. Civ. P. 746 ; see Johnson v. Fellowship Baptist Church, 627 S.W.2d 203, 204 (Tex. App.-Corpus Christi 1981, no writ). Thus, the sole issue in a forcible detainer suit is who has the right to immediate possession of the premises. Fandey v. Lee, 880 S.W.2d 164, 168 (Tex. App.-El Paso 1994, writ denied); Cuellar v. Martinez, 625 S.W.2d 3, 5 (Tex. Civ. App.-San Antonio 1981, no writ); Johnson v. Highland Hills Drive Apartments , 552 S.W.2d 493, 495 (Tex. Civ. App.-Dallas 1977), writ ref'd n.r.e. per curiam, 568 S.W.2d 661 (Tex. 1978).

To prevail in a forcible detainer action, a plaintiff is not required to prove title, but is only required to show sufficient evidence of ownership to demonstrate a superior right to immediate possession. Goggins, 849 S.W.2d at 377. However, where the right to immediate possession necessarily requires resolution of a title dispute, the justice court has no jurisdiction to enter a judgment and may be enjoined from doing so. Haith v. Drake, 596 S.W.2d 194, 196 (Tex. Civ. App.-Houston [1st Dist.] 1980, writ ref'd n.r.e.) ; see also Rodriguez v. Sullivan, 484 S.W.2d 592, 593 (Tex. Civ. App.-El Paso 1972, no writ) (justice court judgment void when possession depended on whether defendant complied with contract for deed); Am. Spiritualist Ass'n v. Ravkind, 313 S.W.2d 121, 124 (Tex. Civ. App.-Dallas 1958, writ ref'd n.r.e.) (same). Because a forcible detainer action is not exclusive, but cumulative, of any other remedy that a party may have in the courts of this state, the displaced party is entitled to bring a separate suit...