Woodard v. Southwest States, Inc.

Decision Date02 December 1964
Docket NumberNo. A-10246,A-10246
Citation384 S.W.2d 674
PartiesJ. C. WOODARD, Individually and d/b/a Woodard and Lee Builders and d/b/a Woodard and Lee Homes and d/b/a Meridian Homes, and/or Trustee for Meridian Homes, Petitioner, v. SOUTHWEST STATES, INC., a/k/a KROD TV and KROD Radio Station, Respondent.
CourtTexas Supreme Court

Morgan & Boling, El Paso, for petitioner.

Scott, Hulse, Marshall & Feuille, Charles R. Jones with above firm, El Paso, for respondent.

CULVER, Justice.

Southwest States, Inc. brought this suit against J. C. Woodard, a home builder, described as doing business under certain assumed names and as trustee for Meridian Homes and also against James Svalberg, who conducted an advertising agency under the name of Ad Vent, Unlimited. The suit was predicated on a contract claimed to have been made with Southwest States, Inc. by Svalberg as agent for Woodard and in the alternative against Woodard on quantum meruit. On the other hand Woodard answered that a contract was made between Meridian Homes, a joint venture, composed of three corporations, Edgemere Development Company, Woodard Construction Company, and First Gold Medal Homes, and Svalberg, whereby Svalberg would for the sum of $11,500.00, conduct the promotional advertising for Meridian Homes and that Svalberg would be solely liable and responsible to the advertising media and suppliers that he might deal with for their charges; that Svalberg was not the agent for Woodard either individually or as trustee.

The jury found that Svalberg was an independent contractor at the time he placed the radio and television advertising with Southwest States, Inc., and that Woodard did not lead Southwest States, Inc., its agents and employees, to believe that Svalberg was his agent. The trial court entered judgment for Southwest States against Svalberg, but denied it any recovery against Woodard, individually or as trustee. Svalberg did not appeal.

The Court of Civil Appeals in reversing the judgment in favor of Woodard and remanding the cause for another trial, 1 held that the trial court erred in failing to submit to the jury the elements of quantum meruit because Southwest States furnished the advertising with Woodard knowledge and consent; Woodard received the benefits accruing therefrom and there remained an unpaid balance due for such services.

In this case all parties are agreed that a contract was made between Southwest States and Svalberg, the dispute being whether Svalberg was an independent contractor or an agent for the defendant in making the contract. Southwest States pleaded that Svalberg contracted and expressly agreed to pay to it the prices charged for the advertising time and services as set out in the attached exhibits, which charges were reasonable. In that situation the plea of quantum meruit is not available.

Recovery on an express contract and on quantum meruit are inconsistent. Where there exists a valid express contract covering the subject matter, there can be no implied contract. Gammage v. Alexander 14 Tex. 414; Dallas Electric Supply Co., Inc. v. Branum Co., 185 S.W.2d 423, Tex.Civ.App., affirmed 143 Tex. 366, 185 S.W.2d 427; Yingling v. Klotz, 193 S.W.2d 742, Tex.Civ.App., wr. ref. n. r. e.; Walker v. Dickey, 44 Tex.Civ.App. 110, 98 S.W. 658, er. ref.; Fordtran v. Stowers, 52 Tex.Civ.App. 226, 113 S.W. 631, 1908.

In the second place there can be no recovery by Southwest States against Woodard because its contract was made with Svalberg, an independent contractor, and can only look to Svalberg to carry out the terms of his contract. The contractee is not liable for the acts of an independent contractor. Siratt v. City of River Oaks, 305 S.W.2d 207, Tex.Civ.App., wr. ref.

The Court of Civil Appeals in holding that the facts in this...

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6 books & journal articles
  • Other Workplace Torts
    • United States
    • James Publishing Practical Law Books Archive Texas Employment Law. Volume 2 - 2014 Part VI. Workplace torts
    • August 16, 2014
    ...(hospital not liable on respondeat superior theory for actions of independent contractor physicians); Woodard v. Southwest States, Inc. , 384 S.W.2d 674, 676 (Tex. 1964) (holding that a radio station could not collect against a home builder’s association when the association’s advertising a......
  • Other Workplace Torts
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    • James Publishing Practical Law Books Archive Texas Employment Law. Volume 2 - 2017 Part VI. Workplace Torts
    • August 19, 2017
    ...(hospital not liable on respondeat superior theory for actions of independent contractor physicians); Woodard v. Southwest States, Inc. , 384 S.W.2d 674, 676 (Tex. 1964) (holding that a radio station could not collect against a home builder’s association when the association’s advertising a......
  • Other workplace torts
    • United States
    • James Publishing Practical Law Books Texas Employment Law. Volume 1 Part VI. Workplace torts
    • May 5, 2018
    ...(hospital not liable on respondeat superior theory for actions of independent contractor physicians); Woodard v. Southwest States, Inc. , 384 S.W.2d 674, 676 (Tex. 1964) (holding that a radio station could not collect against a home builder’s association when the association’s advertising a......
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    • James Publishing Practical Law Books Archive Texas Employment Law. Volume 2 - 2016 Part VI. Workplace Torts
    • July 27, 2016
    ...(hospital not liable on respondeat superior theory for actions of independent contractor physicians); Woodard v. Southwest States, Inc. , 384 S.W.2d 674, 676 (Tex. 1964) (holding that a radio station could not collect against a home builder’s association when the association’s advertising a......
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