Justia Texas Supreme Court Opinion Summaries

Articles Posted in Government & Administrative Law
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This was an appeal from the City of Austin's condemnation of property to build a parking garage for a nearby convention center and a facility to chill water to cool nearby buildings. A jury found the City's determination that the property was necessary for public use was fraudulent, in bad faith, and arbitrary and capricious, and the trial court entered judgment on the verdict, invalidating the taking. The court of appeals affirmed. The Supreme Court reversed, holding that the City's determination that the property was necessary for public use was not fraudulent, in bad faith, or arbitrary and capricious. Remanded. View "City of Austin v. Whittington" on Justia Law

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An injured employee (Employee) sought workers' compensation benefits for a work-related injury. A claims adjuster with Employer's workers' compensation insurer's (Insurer) third party administrator denied the claim. The Division of Workers' compensation determined that Employee was entitled to medical and temporary income benefits. Employee subsequently brought a bad faith action against Insurer, its third party administrator, and the claims adjuster (Defendants). During discovery, Employee sought communications made between Insurer's lawyer and Employer during the administrative proceedings. Defendants argued that the attorney-client privilege protected the communications. The trial court held that the privilege did not apply. The court of appeals subsequently denied mandamus relief. The Supreme Court affirmed, holding that the attorney-client privilege did not protect the communications between Insurer and its insured. View "In re XL Specialty Ins. Co." on Justia Law

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Employee suffered an injury during the course of his employment that was compensable under the Texas Workers' Compensation Act. Petitioner insurance company provided workers' compensation coverage to Employee's employer. Petitioner disputed the impairment rating of twenty percent assigned by the doctor in the administrative proceedings. A hearing officer issued a decision finding that Employee had an impairment rating of twenty percent. The Division of Workers' Compensation upheld the decision. Petitioner appealed. The trial court granted Employee's plea to the jurisdiction and dismissed the case. The court of appeals affirmed. At issue on appeal was whether a reviewing court lacks subject matter jurisdiction to resolve an impairment rating appeal if the only rating presented to the agency was invalid. The Supreme Court reversed, holding that the absence of a valid impairment rating does not deprive the court of jurisdiction. Remanded. View "Am. Zurich Ins. Co. v. Samudio" on Justia Law

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This matter arose out of a dispute over whether the City of Dallas paid its firefighters and police officers in accord with a 1979 ordinance adopted pursuant to a voter-approved referendum. Claiming the City had not properly paid them, some firefighters and police officers brought a class action asserting breach of contract claims and seeking a declaratory judgment. For the reasons set out in City of Dallas v. Albert, the court concluded that: (1) the ordinance's adoption by means of referendum did not result in the City's loss of immunity from suit; (2) the City had immunity from suit as to the declaratory judgment action; (3) by non-suiting its counterclaim the City did not reinstate immunity from suit as to the Officers' claims that were pending against the City when it non-suited the counterclaim; and (4) the case must be remanded for the trial court to consider whether the Legislature waived the City's immunity by amending the Local Government Code. View "City of Dallas v. Martin, et al." on Justia Law

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Firefighters for the City of Baytown sued the City claiming that it improperly calculated pay for certain assignments in violation of the Firefighter and Police Civil Services Act. Here, the firefighters' claims for back pay and related damages for improper calculation of pay for assignments performed in the past were the type of retrospective relief that the court held barred by governmental immunity in City of El Paso v. Heinrich and City of Houston v. Williams. In Heinrich, the court noted however, that the Legislature could authorize retrospective relief. The firefighters asserted that the Legislature had done so with Local Government Code sections 271.151-.160, enacted during the pendency of this appeal. In addition to remanding to permit the firefighters to replead in light of Chapter 271, the court also remanded to permit the firefighters to replead in light of Heinrich and seek appropriate relief, if any, against the relevant city officials. View "Lowell, et al. v. Baytown, et al." on Justia Law

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Respondent appealed the Dallas Urban Rehabilitation Standards Board's decision that her house was a nuisance and order of demolition, alleging a due process claim and a claim for an unconstitutional taking. The trial court, on substantial evidence review, affirmed the Board's findings. The court of appeals affirmed but held that the Board's nuisance finding could not be preclusive because of the brief delay between the nuisance finding and the house's demolition. The city petitioned the court for review, arguing that the lower courts erred in failing to give the Board's nuisance determination preclusive effect in respondent's taking claim. The court held that a system that permitted constitutional issues of this importance to be decided by an administrative board, whose decisions were essentially conclusive, did not correctly balance the need to abate nuisances against the rights accorded to property owners under the Texas Constitution. Accordingly, independent court review was a necessity and affirmed the court of appeals but on different grounds. View "City of Dallas v. Stewart" on Justia Law

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Two reporters representing three newspapers asked the Department of Public Safety (DPS) for travel vouchers from Governor Rick Perry's security detail. DPS noted that it was responsible for staffing the governor's protective detail and that it did not publicly discuss information related to the governor's protective detail because that information would be valuable to someone who intended to cause the governor harm. At issue was whether the public's right to information was subject to reasonable limitations when its production could lead to physical harm. The court held that the Legislature recognized the importance of protecting physical safety and that several Public Information Act (PIA), Government Code section 552.101 et seq., exceptions were grounded in a concern for physical safety. The court also noted that the Attorney General had applied a special circumstances exception to disclosure in over 230 cases since the 1970's. Therefore, the court held that there was a common law physical safety exception to the PIA and remanded for further proceedings. View "TX Dept. of Public Safety v. Cox Texas Newspapers, L.P., et al." on Justia Law

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The State Office of Administrative Hearings (SOAH) refused to disclose certain decisions and orders in license suspension cases related to delinquent child support. At issue was whether the information was expressly excepted from disclosure by the Texas Public Information Act, Tex. Gov't Code 552.101-,148. The court declined to read the language of the statute broader than it was written and concluded that the purpose and intent of the statute could be fulfilled by disclosing the requested documents. Accordingly, the court held that the decisions and orders must be disclosed after redaction of information expressly excepted from disclosure and not already in a public record or otherwise in the public domain. Accordingly, the court reversed and remanded for further proceedings. View "Jackson v. State Office of Administrative Hearings, et al." on Justia Law

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This appeal challenged a final order of the Public Utility Commission (PUC) in a true-up proceeding under Chapter 39 of the Utilities Code. AEP Texas Central Co. (AEP), a transmission and distribution utility, and CPL Retail Energy, L.P., its affiliated retail electric provider, initiated a proceeding under section 39.262 to finalize stranded costs and other true-up amounts and the state, several municipalities, and several other parties who were consumers of electricity or represent consumer interests (collectively, consumers), intervened in the proceeding. The issues before the court concern market value, net book value (NBV), and the capacity auction true-up. The court held that where, as here, the utility managed to sell its stake in a nuclear plant, the court saw no error in using the sale of assets method, which was, if anything, the preferred method for valuing generation assets. The court also held that it saw no error in PUC's approach where the interest rate AEP received on its stranded costs was grossed up. The court further held that section 39.262 unambiguously specified that the statutory capacity auction price, not some other blended price the PUC found more appropriate, must be used in calculating the capacity auction true-up amount. On remand, the PUC must recalculate the capacity auction true-up in a manner consistent with the court's opinion in State v. PUC, rather than relying on the proxy price it selected in the true-up proceeding. Accordingly, the court granted the petition for review, affirming in part and reversing in part. View "AEP Texas Central Co. v. Public Utility Comm'n of Texas, et al." on Justia Law

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The City of Dallas seized vehicles, which it alleged were stolen, from a company that was entitled to petition for their return. Instead of pursuing its statutory remedy, the company sued, alleging that its interest in those vehicles had been taken without just compensation. The court held that because the company had actual knowledge of the vehicles seizure the company knew the cars were seized from its lots, and it knew who seized them, it was required to pursue a chapter 47 proceeding. Accordingly, the court held that the availability of the statutory remedy precluded a takings claims and reversed the court of appeals judgment and rendered judgment dismissing the suit. View "City of Dallas v. VSC, LLC" on Justia Law