History
  • No items yet
midpage
Champlin Petroleum Co. v. Heinz
665 S.W.2d 544
Tex. App.
1983
Check Treatment

*2 BISSETT, Before KENNEDY and GON- ZALEZ, JJ. Prac- 17.56 of

OPINION Section Act states tices that: BISSETT, Justice. brought alleges action a claim [a]n This is venue case. Rick Heinz subchap- for relief under 17.50 of this brought suit in the 267th District Court may ter commenced County against Champlin Petrole- *3 person against which the whom suit alleging a um cause of action brought ... fixed and has a dаmages of and in violation breach contract of the time suit is business at § 17.41 of COM.CODEANN. TEX.BUS. & brought .... (Vernon seq. Supp.1982-1983) et herein- jury found “business Act.” “Deceptive after the Trade Practices was, (appellant) defendant more or less Champlin Company, hereinafter Petroleum form, regular actually and con- “appellant,” plea privilege called filed County,” that the ducted Victoria and county of to be sued in Tarrant (appellant) had a and es- “defendant fixed registered agent, residence of its in Victoria tablished Heinz, foreign Rick herein- corporation. County.” The to “em- jury failed find that “appellee,” a controvert- aftеr called filed powers from the de- ployers with broad ing plea alleging proper that venue was (appellant) actually and fendant resided provisions County.” worked Victoria art. 1995 TEX.REV.CIV.STAT.ANN. § §§ 14, (Vernon 1964) 27 17.56 and under Appellant challenges the and factu- Tri- sufficiency ‍​‌​‌​​​​​‌‌‌‌‌‌‌‌‌‌‌​​​​​‌‌‌​‌‌‌‌​‌‌​‌​​‌​‌‌‌​​‌‍support of the evidence to al response jury's jury. al was to a In to the considering In a “no jury’s findings. issues, special the trial answers to the point or evidence” evidence” “insufficient judgment overruling appel- court entered error, we will follow the well established plea sustaining privilege lant’s and ven- forth test set in Glover v. Terns General County. We ue Victoria reverse. 400 Indemnity Company, 619 S.W.2d Alviar, (Tex.1981); and Garza According appellee’s this pleadings, (Tex.1965). S.W.2d merits, case when tried on the will involve (a interpretation of a written contract question of We first consider the wheth agreement) appellant and farmout between agency representa or appellant had an er appellee, together with resolution County. v. Shell tive Victoria Rouse material whether or not made (Tex.Civ. Company, 577 S.W.2d 787 Oil in- misrepresentations as an dism’d), App. Corpus writ Christi — enter contract ducement for him to into the held: we plea appellant. hearing At the on the with agency ‘agency,’ the “In the situation of pur- privilege, appellee admitted actually of the de- conducts the business interpretation pose lawsuit was “the suit; county in the while fendant agreement.” of that ‘representative,’ rep- the situation of appel- only exception on which venue powers broad possessing resentative special and lee offered evidence submitted cor- granted by defendant resides for 1995 and of art. issues subdivision purposes county poration venue 17.56 suit. Act. respect to general rule with venue [A]s provides: Subdivision 27 of a the activities conducted behalf county in that wherein incorporat- corporation lies [fjoreign corрorations ... not corporation’s agent representative or state, doing by of this and ed the laws supervi- state, ... Mere may performs be sued duties business within company sory power the activities over any where such ... of suit other may agency representative or have an corporation is not of a bеhalf defendant sufficient to ‘agency rep- constitute an compressors or prepare production re- resentative’ in of suit.” ports.” leading testimony That question case on the was uncontradicted. It is of what “agency representative” conclusively constitutes an or shown that the had for venue Milligan mаnagement v. South- neither discretion nor authori- Inc., Express ern 151 Tex. ty any 250 S.W.2d to conduct business of nature (1952). case, Supreme appellant. with third on behalf of “agency Court held that an representa- respect physical properties With meaning tive” within the of the venue ex- located on McFaddin Ranch and cеption refers to: leases, Morrow Ranch in addition to the situation on which the business of “[A] wells, installations, gas gathering wellhead is, the defendant in more or less pipelines, compressor stations, and two permanent form, actually conducted building, there was a small 8' 8' in *4 in county of suit or one in a which dimensions, which was situated оn the party possessing powers broad from the desk, McFaddin Ranch. It contained a county, defendant resides in the the one telephone chair and employees which the instance ‘agency’ and the (gaugers) would use to in production call other of representative.” reports appellant’s Cоrpus to Christi dis- trict Based on office. It was also Milligan holding spare and our used to store Rouse, parts production gas we must therefore needed for the look to the proof evidence for appellant that either from appel- wells. None of the had requi with the lant’s business with third was con- authority, site regular оr that the ducted out of the building. business small The evi- appellant was conducted in compressor Victoria dence shows that the stations County permanent in a by agent form $400,000.00. of were approximately valued at the appellant who resided in Victoria Coun simply There appel- is no evidence that ty. any еmployee lant had County Victoria authority

The with sufficient to meet presented by evidence the stan- par ties dards Milligan shows that established and in was in the busi Rouse maintaining producing gas; it, County oil and venue in Victoria lessee, operated owned and under gas subdivision 27. wells located on the gas McFaddin Ranch and 2 We nоw consider whether there was wells located on the Morrow Ranch. All jury’s evidence sustains finding which wells are located in County, Victoria Texas. had “a fixed and established gas produced The from the wells was sold place County.” of business Victoria to Tennessee Gas Transmission Company. Appellee, affidavit, cоntroverting gas gathered by appellant was in two alleged: lines, gas different one of which was con “... Plaintiff shows that Defendant directly nected into Tennessee Gas Trans maintains a field office on the McFaddin line, mission Company’s and the other into Ranch Victoria from Pipeline a Houston Company line where it which sоme of their business activities on transported to a Tennessee Gas Trans pres- such ranch are conducted ... mission gas compres line. Two ence of said field office allows Plaintiff Ap sors were located on McFaddin Ranch. to maintain venue in un- pellant had two who took care der TEX.BUS. & COM.CODE ANN. from the wells. § 17.56.” duties, When asked to describe their ‍​‌​‌​​​​​‌‌‌‌‌‌‌‌‌‌‌​​​​​‌‌‌​‌‌‌‌​‌‌​‌​​‌​‌‌‌​​‌‍one of appellant’s witnesses testified: term “fixed and established

“They property every day, tour the do of business” is not defined in the repairs required, mechanical are Therefore, what ad- necessary, rates as just flow service the given the term is not one of art and is to be ordinary, its common Al orders customers are received construction. where fixed, continuously though we to find a Tex at a have been unable and attended permanent, ‘regular,’ place; as case which has the term under ‘established’ defined Act, short, of the business. ‘branch’ ****** term has been construed the federal on Summarizing courts several occasions. ‘regular “If is a this [field office] these holdings, merely it has been held that business,’ then so is established doing enough business in a is garage, of a or of a erection house establish “a fixed and machine in a installation one build- business”; something required; more is ing, ‘regular’ the words and ‘estab- appear legally must is defendant meaning no lished’ have and must engaged carrying part substantial wholly ignored.” ordinary its business on a The above mentioned federal cases physical in a basis location within coun all hold that a fixed and established phrase ty; permanent, denotes a contin party is a where a uous, substantial office for busi in a engaged carrying continuous operations. Tyler Ludlow-Saylor ness part ordinary manner a substantial its Company, U.S. S.Ct. Wire significant business, on requires (1914); 59 L.Ed. 1493 Ruddies v. Auburn going presence a defendant 648, (S.D.N.Y. Co., SparkPlug alleged to his venue is lie. 1966); v. Clearview L.D. Schreiber Cheese presence mere cases further hold the *5 Cheese, 313, (W.D.Pa.1980); F.Supр. representatives, supervisory person sales Galion, Jeffrey Manufacturing Inc. v. Joy nel does or (N.D.West Company, 323 Va. necessarily give rise to venue that coun 1971). presence such ty ground that the the 847, v. 278 Fed. Casey, Winterbottom fixed a and estab employees constitutes 1922), (E.D.Mich., 6, March Court has place Finally, lished business. stаted: telephones been held that existence allegation “The in that bill that mere not, county, of itself serve to does dis- defendant has ‘a field office’ place legal and of busi create a established certainly being an trict falls far short applied to determine ness. The test showing or that defendant has аverment a fixed and estab whether a defendant has ‘a and established busi- provi place of business lished district, where, as ness’ such at least sions of 17.56 of case, in this the bill does not state the virtually Act is identical to transacted nature or extent business determining it had “an test for whether 1995, defendant here.” representative” under art. agency or subdivision 283 Fed. Casey, Winterbottom (E.D.Mich., August 1922),the 521-522 brief, Appellee, in his refers said: office”; being building as “a field “Plainly, ‘regular place production and established it as “a shack” refers to no “doghouse.” is a where same or a There is evidence of business’ business, kind, degree, if not maintained a “business office” kind of сonclusively County. home estab as is done at the office Victoria It is carried on agreement per- the evidence that principal place of business lished or negotiat upon was not sues company which son or involved—a ed, signed in selling or manufacturing or other consummated no evidence that сonstituting County. There is the activities acts done, “Champlin Company” Petroleum respectively, are made or words The building. course, outside of the contracts or were on the in the usual 1) solely building was used public; telephone in the general made to the deliveries are production to call in reports aрpellant’s ducing lease has “fixed and established district office and to communicate with of business” for venue that office on relating produc- matters producer where the has of shelter tion equipment, maintenance of gauger on the lease where the can retire to and, occasion, against tо “order out prepare daily production order to open purchase order” appellant, reports. Such a construction would result through office, its Fort Worth had estab- in the words “fixed” and “established” be- supplier. with a building The in ing totally ignored, as was reasoned in question portable was “a building mounted Winterbottom. on skids.” It by any was not staffed em- Considering the entirety, evidence in its

ployee of appellant, and occupied was not we hold that there is ap- no evidence that by any employee “approximately ninety pellant had a fixed and percent of the time.” It is uncontradicted business in Victoria County under Sеction building placed on the McFad- 17.56 of the din Ranch “for the convenience of gau- appellant’s We sustain “no evidence” gers to make their reports and points. Therefore, we do not reach its telephone in reports.” their There is no insufficiency “factual points. evidence” any evidencе that salesmen any contacted appellant’s building. at the judgment of the trial ‍​‌​‌​​​​​‌‌‌‌‌‌‌‌‌‌‌​​​​​‌‌‌​‌‌‌‌​‌‌​‌​​‌​‌‌‌​​‌‍court is RE- undisputed It is none of judgment VERSED and is here REN- business with third was conducted DERED that the cause be transferred to a out building. evidence, when district court Tarrant Texas. viewed its entirety, conclusively shows that the building is not a “business office” KENNEDY, J„ dissents. kind, “production but is a facility,” and nothing more. KENNEDY, Justice, dissenting. building was not a struc- I respectfully dissent. I believe that the ture. There is no evidence that it was ever majority opinion incorrectly has evaluated given recognition being place of busi- *6 the law and the facts of this case concern appellant. Moreover, respeсt with ing application of TEX.BUS. & COMM. negotiation upon contract § (Vernon CODE ANN. Supp.1983). 17.56 founded, which the suit is testi- that, opinion, majority its states fied: applied test to determine “[t]he “Now, your this is written contract whether a defendant has a fixed and estab Champlin, you

with negotiated it in Cor- place provision business under the pus signed Christi and it by you was § Deceptive of 17.56 of the Trade Practices Corpus by Champlin Christi and in Hous- virtually Act determining is identical for ton after it approved was in the Houston whether it had ‘an agency representa office, right? tive’ under art. subdivision 27.” I Yes, A sir.” disagree. legislature Had the intended for allegation The mere by appellee in Deceptive venue under the Trade Practices controverting affidavit that cases, Act to be the same as in other civil “maintains a field office” Victoria generally, they Coun would provided not have ty is no evidence that it special constitutes a fixed Deceptive venue section to the plaсe and established business Victo Trade Appeals Practices Act. Courts of County purview ria within the required give De are Trade ceptive Trade Practices If Act. this “field Practices Act the most liberal construction office” is a “fixed and established comprehensive and application possible. business” of Christi, under the evidence Corpus First Title hearing, adduced at the every Cook, then oil and Inc. v. 625 (Tex.App.— S.W.2d 814 gas producer in pro- this state who dism’d). has a Fort Worth writ 550 agree provisions “fixed and purposes

While I term for under the venue § has not been business” 17.56. state, I defined the Courts of do this every in- acknowledge I that not would comрelled feel a 1914 United follow in a stance of oil Supreme States Court and a 1922 U.S. case Decep- give rise to venue under would Michigan. case Other District Court from case Trade Practices Act. Each must tive jurisdictions term which have defined facts to deter- viewed on its individual “place applied the “notо business” have proper venue is mine whether riety This test test”. is that ‍​‌​‌​​​​​‌‌‌‌‌‌‌‌‌‌‌​​​​​‌‌‌​‌‌‌‌​‌‌​‌​​‌​‌‌‌​​‌‍However, given taking Act. the definition mercan business is where commercial and logical majority to its con- the term on, prod tile transactions are carried clusion, multi-mil- a defendant have a could they made and are ucts are from which facility prоduction type lion dollar distributed, the sold or where work subject and not be to venue generally, occasionally and not done. long as as no was done “business” Corp., Reporter Re Products 7 U.C.C. P.S. facility “production”. I only from that but (2d (E.D.N.Y.1970) 'd., 411 aff 435 F.2d 781 the intent of the do not believe Cir.1970). v. Ford Co. See Motor Credit § legislature promulgating 17.56. I (6th Weaver, Cir.1982); F.2d 451 In Re 680 findings and uphold jury hold would Inc., 985, 383 Industries Misc.2d Enark proper venue was in Victoria (1976); J. and R. Sum N.Y.S.2d White § 17.56. under of Law the Uniform mers Handbook under Code, (1972). Commercial Sec. 23-14

The term and established patent purposes business for venue

infringement cases has been defined systematic regular continuous

where a activity

course of business is carried Inc. v.

from a location. Watsco F.Supp. 38 Henry Company, Valve BANK, Appellant, ADDISON (S.D.N.Y.1964); Corp. Railex v. Ma White (E.D.N. Company, chine TEMPLE-EASTEX, INC., Appellee. ‍​‌​‌​​​​​‌‌‌‌‌‌‌‌‌‌‌​​​​​‌‌‌​‌‌‌‌​‌‌​‌​​‌​‌‌‌​​‌‍Y.1965). No. 08-83-00130-CV. Giving plain meaning its as it is the term that, 17.56, I hold found would Appeals under venue El Paso. Act, a fixed and established *7 4, Jan. 1984. is one where the busi- party is conducted on a continu- Rehearing Feb. 1984. Denied permanent from a locаtion. ous basis Error Application for Writ of cause, I Reviewing the evidence in this March in the business find that the gas; appellant has producing oil and oil and Victoria producing

been years; appellant has thirty

County for facility in located

an elaborate $400,- approximately at County valued two appellant has had

000.00; county for a employees in the that, I under these years. feel

number has fixed and estab-

facts, of business Victoria

Case Details

Case Name: Champlin Petroleum Co. v. Heinz
Court Name: Court of Appeals of Texas
Date Published: Dec 30, 1983
Citation: 665 S.W.2d 544
Docket Number: 13-83-389-CV
Court Abbreviation: Tex. App.
AI-generated responses must be verified and are not legal advice.