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During [[World War II]], Peddy, then in his early fifties, volunteered for further military service and attained the rank of [[lieutenant colonel]]. He served as a staff officer for the United States Third Army from the invasion of [[Normandy]] until the end of the war in [[Europe]] in May 1945. Peddy was then named as the deputy military governor of [[Frankfurt]], [[Germany]]. He was awarded both the [[Bronze Star]] and the French Croix de Guerre.<ref name=tshaonline/>​

During [[World War II]], Peddy, then in his early fifties, volunteered for further military service and attained the rank of [[lieutenant colonel]]. He served as a staff officer for the United States Third Army from the invasion of [[Normandy]] until the end of the war in [[Europe]] in May 1945. Peddy was then named as the deputy military governor of [[Frankfurt]], [[Germany]]. He was awarded both the [[Bronze Star]] and the French Croix de Guerre.<ref name=tshaonline/>​

In 1948, Peddy entered the Democratic primary for United States Senator from Texas to succeed the retiring Wilbert Lee "Pappy" O'Daniel (1890-1969) and polled nearly 20 percent of the vote, sufficient to force his two major opponents, former Governor Coke Robert Stevenson (1888-1975) and then [[U.S. Representative]] [[Lyndon B. Johnson]] into a runoff election in which Johnson was long criticized for stealing  the election with eighty-seven disputed ballots in Jim Wells County, a machine county, in South Texas. He ran on a strongly [[states' rights]] and [[Communism|anticommunist]] platform.<ref name=tshaonline/>​

In 1948, Peddy entered the Democratic primary for United States Senator from Texas to succeed the retiring Wilbert Lee "Pappy" O'Daniel (1890–1969) and polled nearly 20 percent of the vote, sufficient to force his two major opponents, former Governor [[Coke Stevenson|Coke Robert Stevenson]] (1888–1975) and then [[U.S. Representative]] [[Lyndon B. Johnson]] into a runoff election in which Johnson was long criticized for stealing  the election with eighty-seven disputed ballots in Jim Wells County, a machine county, in South Texas. He ran on a strongly [[states' rights]] and [[Communism|anticommunist]] platform.<ref name=tshaonline/>​

Peddy died shortly before his 59th birthday while he was serving as the chairman of the Texas Cancer Crusade in Houston. He is interred at Ramah Cemetery in Tenaha.<ref name=tshaonline/>​

Peddy died shortly before his 59th birthday while he was serving as the chairman of the Texas Cancer Crusade in Houston. He is interred at Ramah Cemetery in Tenaha.<ref name=tshaonline/>​