La Roe v. Davis, 6921

Decision Date29 February 1960
Docket NumberNo. 6921,6921
Citation333 S.W.2d 222
PartiesT. W. LA ROE, Appellant, v. E. E. DAVIS, Appellee.
CourtTexas Court of Appeals

Harold D. Sanderson, Amarillo, for appellant.

Herbert C. Martin, Amarillo, for appellee.

DENTON, Chief Justice.

This is an appeal from a summary judgment. The appellee filed the case, seeking to recover $4,000 which he had placed in a depository bank as evidence of his good faith in carrying out a parol agreement to purchase land from appellant. It is admitted that the sales contract was never reduced to writing. Although the First State Bank of Happy, Texas, depository bank, and T. H. Campbell, the bank president, were originally made parties to the suit, they were subsequently permitted to tender the $4,000 into the registry of the trial court. The bank and Mr. Campbell are not parties to this appeal. The sole question to be determined here is whether or not the trial court erred in granting the summary judgment. Appellant brings forward eight points of error. All points of error complain of the granting of the summary judgment because of several genuine material issues of fact being raised by the pleadings and affidavits.

Although it is undisputed that the alleged contract of sale was not in writing, appellant contends the deposit of the escrow money itself does not come within the statute of frauds. We can not agree with this contention. If the contract of sale is within the statute of frauds, an escrow deposit or any other ancillary action under the contract would not be enforceable. An escrow agreement must be supported by a valid contract. Sutton v. Shanley, Tex.Civ.App., 192 S.W.2d 567 and other cases there cited. Here the sales agreement was admittedly oral. Appellee properly pleaded the statute of frauds. We therefore overrule appellant's fourth point of error.

All other appellant's points of error are concerned with various issues of fact he contends were raised by the pleadings and affidavit. It is his contention the fact issues raised are: whether or not appellee deposited the escrow money solely for the benefit of appellant; was the money to be paid to appellant in the event appellee failed to purchase the land; the control the appellee exercised over the escrow money; whether an oral agreement was actually entered into between the parties for the sale of the land; whether appellant was ready, willing and able to perform the oral agreement; whether appellee repudiated the oral contract; and whether the escrow money constituted a part of the consideration for the purchase of the land.

In examining appellant's pleadings and exhibits, we find different descriptions of the land alleged to have been the subject of the proposed sale, and also different terms of payment were alleged in the...

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2 cases
  • Alexander O&G, LLC v. Nomad Land & Energy Res., LLC
    • United States
    • U.S. District Court — Southern District of Texas
    • August 16, 2017
    ...528, 531 (Tex. Civ. App.— Beaumont 1926, no writ). There must be a valid underlying contract to support the escrow agreement. La Roe v. Davis, 333 S.W.2d 222, 224 (Tex. Civ. App.—Amarillo 1960, no writ). However, in the absence of a contract, a fiduciary relationship may still exist. Pippen......
  • Missionary Baptist Foundation of America, Inc., Matter of
    • United States
    • United States Courts of Appeals. United States Court of Appeals (5th Circuit)
    • June 20, 1986
    ...1921, no writ). In Texas, then, an escrow agreement is treated as a contract between the parties. Cowden, 114 S.W.2d at 1169; La Roe v. Davis, 333 S.W.2d 222 (Tex.Civ.App.--Amarillo 1960, no writ); Campbell v. Barber, 72 S.W.2d 750 (Tex.Civ.App.--Fort Worth 1954, writ ref'd n.r.e.). To asce......

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