Burns v. Gonzalez

In 1957, William Burns (plaintiff) and Roloff Evangelistic Enterprises, Inc. (Roloff) entered into a contract with Inter-American Advertising Agency (Inter-American), a partnership owned by Arturo Gonzalez and Ramon Bosquez (defendants), for the purpose of purchasing broadcast time on XERF, a radio station owned by Compania Radiodifusora de Coahuila, S.A. (Radiodifusora), as long as the radio station remained on air. Roloff assigned his contractual rights to Burns, with approval of Inter-American and Radiodifusora. The radio station failed to fulfill its contractual obligations to Burns and his clients. In 1962, Bosquez executed a promissory note payable to Burns in exchange for a promise not to sue Radiodifusora. In 1963, Burns and Bosquez, acting on behalf of Radiodifusora and Inter-American, entered into a contract recognizing the 1957 contract, but not the 1962 note. The parties agreed that Radiodifusora would make broadcast periods available to Burns. Burns agreed to pay Radiodifusora money from the sale of broadcast time and to not file suit against Radiodifusora. The contract contained an integration clause. The trial court found that the note was an obligation of the partnership, despite Gonzalez’s denial under oath that Bosquez had the authority to execute the 1962 note. The court relieved Gonzalez of liability based on the 1963 agreement. Burns appealed to the Texas Court of Civil Appeals.