Sherman v. Sipper

• Decision Date: 07 May 1941
• Docket Number: No. 7635.,7635.
• Citation: 152 S.W.2d 319
• Parties: SHERMAN et ux. v. SIPPER et al.
• Court: Texas Supreme Court

Page 319

152 S.W.2d 319

SHERMAN et ux. v. SIPPER et al.

No. 7635.

Supreme Court of Texas.

May 7, 1941.

Error to Court of Civil Appeals of Second Supreme Judicial District.

Suit by J. W. Sipper and wife against T. A. Sherman and others to rescind contract for the exchange of land between the plaintiffs and the named defendant and wife and to cancel deeds executed in consummation of the contract. To review a judgment of the Court of Civil Appeals, 129 S.W.2d 458, affirming a judgment in favor of plaintiff, the named defendant and wife bring error.

Judgments of trial court and of Court of Civil Appeals reversed, and judgment rendered for plaintiffs in error.

Norman, Stone & Norman, of Rusk, Shook & Shook, of Dallas, and Black, Graves & Stayton, of Austin, for plaintiffs in error.

Guinn & Guinn, of Rusk, for defendants in error.

SHARP, Justice.

This suit was filed in the district court by J. W. Sipper and wife to rescind a contract for the exchange of lands and to annul and cancel the deeds executed by virtue of such contract. Sipper and wife sued T. A. Sherman and wife, B. T. Williams, and Jewel W. Byrd to rescind a contract of exchange of lands, on the ground of fraud and misrepresentations by Sherman and wife. Williams and Byrd were named as defendants under allegations that they were claiming some interest in the lands which Sipper and wife sought to repossess, and they filed disclaimers. Based upon the answers of the jury to special issues submitted to them, the trial court entered judgment for the plaintiffs. The Court of Civil Appeals at Fort Worth affirmed the judgment of the trial court. 129 S.W.2d 458.

The opinion of the Court of Civil Appeals contains a detailed statement of the pleadings and facts involved in the case, and we refer to such statement contained in the opinion of that court.

Plaintiffs in error present many assignments complaining of the rulings of the Court of Civil Appeals on the questions involved in this case. In one of such assignments it is contended that under the undisputed facts in this case defendants in error's claim for a rescission of the contract and a cancellation of the deeds executed by virtue of such contract was barred by the four years' statute of limitation.

Sipper and wife alleged in their petition that they were formerly owners of 218.5 acres of land, a part of the Medford Survey, and that the Shermans represented themselves to be the owners of 49.75 acres of the Bartee League, all of said land being situated in Cherokee County Texas; that they owed approximately $1,350 on the 218.5 acres, and that they and the Shermans desired to exchange lands,—they to take the 49.75 acres in fee simple, free of encumbrances and reservations, and the Shermans to take the 218.5 acres, with good title except as to the indebtedness against same, and the Shermans to assume the payment of the $1,350, or so much thereof as should then be owing. The Sippers alleged in effect that the Shermans represented that they had a good and merchantable title to the 49.75 acres of land which they proposed to exchange, and that there were no liens or encumbrances against same that would affect the title thereto; that J. W. Sipper was a person of no education, being unable to read or write, and that he relied upon the representations made by T. A. Sherman as to the title, and but for said representations he would not have made the trade.

The answers of the jury in response to special issues submitted to them are substantially as follows: (1) That Sherman stated to Sipper, before the deeds were exchanged, that he had a clear title to the 49.75 acres of land; (2) that Sipper relied upon such representation; (3) that the minerals in the 49.75 acres had been reserved by Leon & H. Blum Land Company prior to November 25, 1931; (4) that the representations made by Sherman that he had a clear title to the 49.75 acres of land were false; (5) that Sherman stated to Mrs. Sipper, during the negotiations and before the deeds were executed, that he had a clear title to the 49.75 acres; (6) that Mrs. Sipper relied upon such statements; (7) that such representations made by Sherman to Mrs. Sipper that he had a clear title to the land were false; (8) that Sherman represented to Sipper that the minerals in the 49.75 acres were conveyed to him; (9) that Sipper relied upon such representations; (10) that such representations made by Sherman to Sipper that the minerals in the land would be conveyed to him were false; (11) that Sipper first learned in 1935 that the minerals in the land conveyed to him had been reserved by Leon & H. Blum Land Company.

The following facts are undisputed:

1. The exchange of lands was made by the parties, and each executed a warranty deed dated November 25, 1931.

2. During the year 1889 Leon & H. Blum Land Company, the then owner of the land, conveyed same to one Battle, and reserved in the deed the iron ore and all mineral rights in the land. Neither Sherman nor Sipper knew about the reservation of the mineral rights in the 49.75 acres by Leon & H. Blum Land Company. The deed from Leon & H. Blum Land Company to Battle was dated August 20, 1889, was recorded in Cherokee County on August 22, 1889, and was in the line of title under which the Sippers claimed.

3. The Sippers demanded an abstract, but Sherman refused to furnish one. When Sherman failed to furnish an abstract to the 49.75 acres of land, the Sippers had one made, upon Sherman's promise to pay half the cost of such abstract.

4. The Sippers told Sherman that they were going to have the abstract examined, and that they would rely upon their attorney's opinion as to the title.

5. The Sippers took the abstract to an attorney of their own selection, and it was only after he rendered an opinion that the title was good that the Sippers deeded their land to Sherman.

6. The attorney who examined the abstract for the Sippers testified that in making the land trade they relied upon Sherman's warranty of title and upon the fact that a certain loan company had made a loan on the land, which in the opinion of the Sippers proved the title was good at the time the loan was made.

7. This suit was filed on November 1, 1936.

If the undisputed facts in this case establish, as a matter of law, that the four years' statute of limitation applied to the cause of action alleged by defendants in error, then there is no necessity for considering or passing upon the other questions raised in this case. We shall examine the authorities in the light of the foregoing facts.

Statutes of limitation have long been a part of our laws. They are regarded with favor. They compel the complaining party to assert his claim within a reasonable time. This rule is based upon sound public policy. It prevents a party from asserting a claim after a certain period of time, when perhaps the evidence to rebut such claim would be...