Justia Texas Supreme Court Opinion Summaries

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This case arises from a parental rights termination appeal in Texas. The father had been the primary caregiver for his three children, including one-year-old twins and a three-year-old daughter. However, the father tested positive for methamphetamine and the children were removed by the Department of Family and Protective Services due to the father's drug use and homelessness. Although the father initially complied with a service plan, which included drug testing and treatment, he eventually refused further treatment and missed subsequent drug tests. The trial court terminated the father's parental rights, but the court of appeals reversed the decision, arguing that the Department had failed to prove harm to the children as a direct result of their father's drug use.The Supreme Court of Texas disagreed with the court of appeals' interpretation of "endanger" in the context of illegal drug use. It held that a parent's endangering conduct does not need to be directed at the child or result in actual injury to the child. Instead, endangerment encompasses a larger array of conduct that exposes a child to loss or injury, or jeopardizes the child's physical or emotional well-being. The court argued that the father's pattern of drug use, coupled with his homelessness, employment instability, and almost complete abandonment of his children for the six months preceding the trial, posed a substantial risk to the children's emotional well-being. Therefore, legally sufficient evidence supported the trial court's determination that the father's conduct endangered the children. The case was remanded to the court of appeals for a best-interest determination. View "In re R.R.A." on Justia Law

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The case before the Supreme Court of Texas concerned the City of Dallas and the Employees’ Retirement Fund of the City of Dallas. The issue at hand was whether a city ordinance could confer a third party the perpetual right to veto categories of future lawmaking. The Court of Appeals held that the City of Dallas could not amend Chapter 40A of its code of ordinances unless the board of trustees of the Employees’ Retirement Fund agreed to the amendment. However, the Supreme Court of Texas found that such delegation of lawmaking authority was not permissible.The Supreme Court of Texas based its ruling on the principle that a legislative body cannot bind its successors, and on the constitutional principle forbidding the city council from giving away its authority to legislate. The court determined that the board’s veto in § 40A-35(a) was unenforceable and cannot prevent an otherwise valid ordinance from taking effect.However, the court did not resolve whether the City must hold an election that submits § 8-1.5(a-1) to the voters before it can enforce that provision. The court declined to address this question and remanded the case back to the Court of Appeals for further consideration. View "THE CITY OF DALLAS v. THE EMPLOYEES' RETIREMENT FUND OF THE CITY OF DALLAS" on Justia Law

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Dorothy Hampton was released from the Medical Center of Southeast Texas after an abdominal hernia surgery. Later that night, she fell at home, becoming confused and disoriented, and was readmitted to the hospital. She filed a health care liability claim against Dr. Leonard Thome, alleging that she was released prematurely from the hospital which led to her fall and subsequent mental and physical injuries. Hampton's lawyer sent a pre-suit notice to Dr. Thome along with a medical authorization form as required under Texas law before filing a suit. The form listed only two providers and omitted future health care providers.Hampton filed her suit outside the usual two-year statute of limitations but within the 75-day tolling period provided by the law. Dr. Thome argued that the lawsuit was filed outside the limitations period as the medical authorization form served by Hampton was deficient, and hence the 75-day tolling period was not applicable. The trial court rejected this argument, but the court of appeals reversed the decision.The Supreme Court of Texas held that an imperfect medical authorization form is still a medical authorization form, which is sufficient to toll the statute of limitations for 75 days. The court emphasized that the limitations period should be established with clarity at the outset. Any defects or omissions in the medical authorization form that came to light during the litigation could have been adequately addressed by the statutory remedy of abatement, additional discovery, or even sanctions. The judgment of the court of appeals was reversed, and the case was remanded for further proceedings. View "HAMPTON v. THOME" on Justia Law

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In this divorce proceeding, the Supreme Court of Texas was asked to consider whether a judgment was rendered through an email sent only to the parties' legal counsel. The case involved Eve Lynn Baker and Terry Lee Bizzle, who after nearly 20 years of marriage, filed cross-petitions for divorce. The trial court informed the parties that a same-day ruling would not be possible and that the court would "e-mail the parties with the decision" at the end of the following week.Subsequently, the trial court sent an email to the parties' attorneys outlining the allocation of assets. The court did not copy the court clerk on this email or otherwise submit it to the clerk for filing or entry in the record. The trial court later signed a modified version of Wife's proposed final decree, declaring the parties divorced on insupportability grounds and dividing the marital estate.However, the court of appeals reversed this decision, ruling that the postmortem divorce decree was void for want of subject-matter jurisdiction because the trial court had not rendered judgment completely resolving the divorce action before the wife passed away.The Supreme Court of Texas affirmed the court of appeals' decision, finding that the trial court did not render judgment in the privately communicated October 4th email, and the wife's subsequent death divested the trial court of jurisdiction to render judgment in the postmortem final divorce decree. The court held that public pronouncement of the trial court's decision is not a mere formalism but an official judicial action affording the decision legal significance. View "BAKER v. BIZZLE" on Justia Law

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In this case, Bay, Ltd., a construction company, filed suit against The Most Reverend Wm. Michael Mulvey, Bishop of the Diocese of Corpus Christi, seeking to recover the value of unauthorized improvements made to a ranch leased from the Bishop by Michael Mendietta, a former Bay employee. Mendietta had used Bay's resources for these improvements without the company's consent. Bay also filed a separate lawsuit against Mendietta for damages related to his unauthorized actions, including the improvements to the ranch.Six years later, Bay and Mendietta entered into an agreement settling their claims. This agreement required Mendietta to pay Bay $750 per month to avoid a $1.9 million final judgment. The agreement allocated $175,000 of the settlement amount to Mendietta's homestead, but did not allocate specific values to the other injuries suffered by Bay, including the improvements to the ranch.After Bay dropped its claims against Mendietta and proceeded to trial against the Bishop alone, the jury awarded damages to Bay. However, the Bishop requested a settlement credit of $1.725 million (the total settlement amount minus the $175,000 allocated to Mendietta's homestead). The lower court denied this request, but the appellate court reversed, concluding that the unallocated amount of the settlement exceeded the jury's award to Bay.The Supreme Court of Texas affirmed the appellate court's decision, holding that the agreement between Bay and Mendietta constituted a $1.9 million settlement agreement. Because the agreement allocated $175,000 to an injury other than the one Bay sought to recover from the Bishop, the remaining $1.725 million was credited against the jury's verdict, resulting in a take-nothing judgment for Bay. View "BAY, LTD. v. MULVEY" on Justia Law

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The Supreme Court of Texas examined whether a lender could rescind a loan acceleration and reaccelerate the loan simultaneously, thereby resetting the foreclosure statute of limitations under the Texas Civil Practice and Remedies Code Section 16.038. The plaintiffs, Linda and Thomas Moore, defaulted on their home loan, leading to an acceleration of the loan by the lenders, Wells Fargo Bank and PHH Mortgage Corporation. The lenders subsequently issued notices rescinding the acceleration and then reaccelerating the loan. The Moores sued, arguing that the foreclosure statute of limitations had run out because the lenders' rescission notices also included notices of reacceleration. The federal district court ruled against the Moores, leading to their appeal and the subsequent certification of questions to the Supreme Court of Texas by the Fifth Circuit. The key question was whether simultaneous rescission and reacceleration could reset the limitations period under Section 16.038.The Supreme Court of Texas held that a rescission that complies with the statute resets the limitations period, even if it is combined with a notice of reacceleration. The court reasoned that the statute doesn't require the rescission notice to be separate from other notices, nor does it impose a waiting period between rescission and reacceleration. The court's ruling means that lenders can rescind and reaccelerate a loan simultaneously, thereby resetting the foreclosure statute of limitations. View "MOORE v. WELLS FARGO BANK, N.A." on Justia Law

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Cobalt International Energy partnered with three Angolan companies to explore and produce oil and gas off the coast of West Africa. Later, the federal Securities and Exchange Commission announced it was investigating Cobalt for allegations of illegal payments to Angolan government officials and misrepresentation of the oil content of two of its exploratory wells. This led to a significant drop in Cobalt’s stock price and prompted a class action lawsuit from Cobalt's investors, led by GAMCO, a collection of investment funds that held Cobalt shares. Prior to these events, Cobalt had purchased multiple layers of liability insurance from a number of insurance companies, collectively referred to as the Insurers in this case. When the allegations surfaced, Cobalt notified the Insurers, who denied coverage on the grounds that Cobalt's notice was untimely and certain policy provisions excluded the claims from coverage.In 2017, Cobalt filed for bankruptcy and began settlement negotiations with GAMCO. Eventually, a settlement agreement was reached, which stipulated that Cobalt would pay a settlement amount of $220 million to GAMCO, but only from any insurance proceeds that might be recovered. Cobalt and GAMCO then jointly sought approval of the settlement from the federal court and the bankruptcy court, both of which granted approval.The Insurers then filed a petition for a writ of mandamus, arguing that the settlement agreement was not binding or admissible in the coverage litigation, that Cobalt had not suffered a "loss" under the policies, and that GAMCO could not sue the Insurers directly.The Supreme Court of Texas held that (1) Cobalt had suffered a “loss” under the policies because it was legally obligated to pay any recoverable insurance benefits to GAMCO, (2) GAMCO could assert claims directly against the Insurers, and (3) the settlement agreement was not binding or admissible in the coverage litigation to establish coverage or the amount of Cobalt’s loss. The court reasoned that the settlement was not the result of a "fully adversarial proceeding," as Cobalt bore no actual risk of liability for the damages agreed upon in the settlement. The court conditionally granted the Insurers' petition for a writ of mandamus in part, ordering the trial court to vacate its previous orders to the extent they relied on the holding that the settlement agreement was admissible and binding to establish coverage under the policies and the amount of any covered loss. View "IN RE ILLINOIS NATIONAL INSURANCE COMPANY" on Justia Law

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In a dispute between Sealy Emergency Room, L.L.C., Dr. Kannappan Krishnaswamy, and Free Standing Emergency Room Managers of America, L.L.C. (FERMA), along with its doctors, the Supreme Court of Texas ruled on two issues regarding the finality and appealability of judgments. The case arose from a contractual dispute between Sealy ER and FERMA, with both parties filing various claims and counterclaims against each other. The trial court granted FERMA's motion for partial summary judgment, dismissing all of Sealy ER's claims, and later granted FERMA's motion to sever these claims into a separate action.The Supreme Court held that when claims are severed into separate actions, the test for finality applies to each action separately. Thus, any claims that remain pending in the original action are not relevant in deciding whether there is a final judgment in the severed action. Procedural errors in ordering a severance do not affect the finality of the judgment or appellate jurisdiction.Secondly, the court held that when a party seeks attorney’s fees as a remedy for a claim under a prevailing-party standard, a summary judgment against the party on that claim also disposes of its fee request. Therefore, the court’s failure to specifically deny the fee request will not prevent finality if the court’s orders in fact dispose of all parties and claims.In this case, the court concluded that the trial court’s order granting partial summary judgment disposed of all parties and claims that were later severed into a new action. As a result, the severed action became final when the severance order was signed, and Sealy ER timely appealed. The court of appeals erred in holding that it lacked appellate jurisdiction, so the Supreme Court reversed and remanded for the court of appeals to address the merits of the appeal. View "SEALY EMERGENCY ROOM, L.L.C. v. FREE STANDING EMERGENCY ROOM MANAGERS OF AMERICA, L.L.C." on Justia Law

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The case involves a fatal accident that occurred at a private railroad crossing owned by Ezra Alderman Ranches, Inc. and operated by Union Pacific Railroad Company. Rolando Prado, Jr. died when his vehicle was struck by a Union Pacific train at the crossing. His family members (the Prados) sued both Union Pacific and Ezra Alderman Ranches, Inc. for negligence. The central issue before the Supreme Court of Texas was whether the evidence was sufficient to create a fact issue on whether the railroad crossing, which was protected by both a stop sign and a crossbuck sign, was "extra-hazardous" and whether the landowner knew it was "unreasonably dangerous."The court held that the evidence was insufficient to support a finding that the crossing was extra-hazardous. The court reasoned that the crossing had a stop sign in addition to the usual crossbuck sign, and anyone who actually stopped at the sign could clearly see a train coming from either direction. The expert testimony that suggested drivers would not stop at a particular stop sign because it "lacks credibility" did not establish that all reasonably prudent drivers would not, much less could not, stop at the sign.The court also held that there was no evidence to support a finding that the landowner, Ezra Alderman Ranches, Inc., had actual knowledge that the crossing was unreasonably dangerous. The court determined that the evidence indicated that the landowner knew of the high volume of traffic at the crossing, but it did not establish that the landowner had actual knowledge that the crossing was unreasonably dangerous.The court reversed the decision of the court of appeals and reinstated the judgment of the trial court in favor of Union Pacific and Ezra Alderman Ranches, Inc. View "UNION PACIFIC RAILROAD COMPANY v. PRADO" on Justia Law

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The case in question was heard by the Supreme Court of Texas and revolved around the interpretation of the term "psychiatrist" as it applies to the involuntary civil commitment of individuals exhibiting signs of mental illness. The case involved a 34-year-old man, A.R.C., who had exhibited psychotic symptoms and delusional behavior. Two second-year psychiatry residents completed the required "certificates of medical examination for mental illness," as outlined in Tex. Health & Safety Code § 574.009(a). However, a question arose as to whether these residents could be considered psychiatrists under the statute.The Supreme Court of Texas ruled that these residents were indeed psychiatrists, reversing the lower court's judgment. The court determined that the residents, who were licensed under a physician-in-training program and were engaged in specialized psychiatric training, fell within the definition of a physician specializing in psychiatry. The court rejected the argument that only board-certified psychiatrists qualify under the statute, stating that physicians who specialize in psychiatry qualify as psychiatrists under § 574.009(a).The court emphasized that it is the judge, not the physician, who ultimately decides whether involuntary commitment is necessary or lawful. The court also noted that the legislature has the power to amend the qualifications for psychiatrists and other physicians as it sees fit, provided it adheres to the constitutional requirement of competent medical or psychiatric testimony.The Supreme Court of Texas remanded the case to the court of appeals for consideration of A.R.C.'s remaining challenges. View "IN RE A.R.C." on Justia Law