Justia Texas Supreme Court Opinion Summaries

Several hospitals (Hospitals) sued Aetna, Inc. and Aetna Health, Inc. (collectively Aetna) for allegedly violating the Prompt Pay Statute. Aetna provided a Medicare plan (Plan) through an HMO called NYLCare. It delegated the administration of its Plan to North American Medical Management of Texas (NAMM), a third-party administrator. IPA Management Services (Management Services) provided medical services to Plan enrollees. Management Services entered into contracts with the Hospitals to secure hospital services for the Plan employees. Aetna was not a party to these contracts. The Hospitals submitted hospital bills to NAMM for payment. After NAMM and Management Services became insolvent, Aetna de-delegated NAMM and assumed responsibility for processing and paying claims. However, Aetna instructed the Hospitals to continue submitting their bills to NAMM. The Hospitals argued that Aetna was liable for NAMM's failure to timely pay claims and was responsible for $13 million in outstanding bills. The trial court granted summary judgment for Aetna. The court of appeals affirmed, concluding that because the Hospitals entered into contracts with Management Services and not with Aetna directly, the Hospitals had no viable prompt-pay claim. The Supreme Court affirmed, holding that the lack of privity between the Hospitals and Aetna precluded the Hospitals' suit. View "Christus Health Gulf Coast v. Aetna, Inc." on Justia Law

The Texas legislature enacted two distinct "e911 fee" statutes to help fund the State's 911 emergency networks. The first statute, enacted in 1997, imposed on wireless subscribers a monthly emergency service fee, collected on the customer's bill. The second statute, enacted in 2010, imposed on prepaid wireless subscribers a flat fee collected by the retail seller when a consumer buys prepaid service. Before 2005, prepaid providers paid $2.3 million in e911 fees under the 1997 law. When the prepaid providers concluded that tax-preparation errors caused them erroneously to remit millions, they sought refunds of the amounts already paid. The Commission on State Emergency Communications (CSEC) initiated a case against the providers to determine the 1997 law's applicability to prepaid services. The CSEC adopted the ALJ's proposal for decision, which construed the 1997 law as imposing the e911 fee on prepaid wireless. After the legislature enacted the 2010 statute, the prepaid providers sought review. The trial court ordered refunds, holding that prepaid wireless was not covered by the 1997 law. The court of appeals reversed. The Supreme Court reversed, holding that the pre-2010 statute does not tax prepaid service. View "TracFone Wireless, Inc. v. Comm'n on State Emergency Commc'ns" on Justia Law

The Medlens' dog Avery escaped the family's backyard and was picked up by animal control. Before the Medlens could retrieve Avery, shelter worker Carla Strickland mistakenly placed Avery on the euthanasia list, and Avery was put to sleep. The Medlens sued Strickland for causing Avery's death and sought damages for Avery's "intrinsic value." The trial court dismissed the suit with prejudice, concluding that Texas law barred such damages. The court of appeals reversed, becoming the first Texas court to hold that a dog owner may recover intangible loss-of-companionship damages in the form of intrinsic or sentimental-value property damages. At issue before the Supreme Court was whether emotional-injury damages were recoverable for the negligent destruction of a dog. The Supreme Court reversed, holding that under established legal doctrine, recovery in pet-death cases is, barring legislative reclassification, limited to "loss of value, not loss of relationship." View "Strickland v. Medlen" on Justia Law

This case involved an inverse-condemnation dispute over ten acres. At issue was who had title to the parcel: the Texas Department of Transportation (TxDOT), the City of Edinburg (City), or API Pipe Supply and Paisano Service Company (collectively, API). In 2003, the trial court awarded the City a "fee title" to the property subject to a drainage easement granted to TxDOT. In 2004, the trial court entered a judgment purporting to render the 2003 judgment null and void. API claimed the judgment gave API fee-simple ownership, subject to a drainage easement granted to the City, and, via subsequent conveyance, to TxDOT. In 2005, TxDOT began its drainage project. API, relying on the 2004 judgment, brought a takings claim for the value of the removed soil. The trial court held in favor of API, and the court of appeals affirmed. The Supreme Court reversed and dismissed the suit, holding (1) the 2004 judgment was void and therefore could not supersede the valid 2003 judgment; (2) API was statutorily ineligible for "innocent purchaser" status, and equitable estoppel was inapplicable against the government in this case; and (3) because API held no interest in the land, API's takings claim failed. View "Dep't of Transp. v. A.P.I. Pipe & Supply, LLC" on Justia Law

Firefighter Jamie Rodriguez was called into a meeting with Fire Chief Larry Hodge for an interview of Rodriguez regarding a personnel complaint Hodge had filed against him. Rodriguez requested to have a representative from the Fire Fighters Association present during the interview. Hodge denied the request and interviewed Rodriguez without Association representation. Rodriguez was subsequently suspended for five days. Rodriguez and the Association later filed a declaratory judgment action alleging that Hodge and the City violated Rodriguez's right to union representation and asserting that such a right was conferred by Tex. Lab. Code Ann. 101.001. The trial court granted summary judgment for Rodriguez and the Association, and the court of appeals affirmed. The Supreme Court reversed, holding that section 101.001 does not confer on Texas public-sector employees the right to union representation at an investigatory interview that the employee reasonably believes might result in disciplinary action. View "City of Round Rock v. Rodriguez" on Justia Law

Plaintiff hired Defendant to repair foundation problems on her home. The foundation repair contract specified that Defendant would perform the foundation repair in a good and workmanlike manner and adjust the foundation for the life of the home due to settling. In 2006, Plaintiff sued Defendant for, inter alia, breach of an express warranty, breach of the common-law warranty of good and workmanlike repairs, and Deceptive Trade Practices Act (DTPA) claims. The trial court entered judgment for Plaintiff on her breach of implied warranty of good and workmanlike repairs and DTPA claims. The court of appeals reversed, ruling that Plaintiff take nothing. The Supreme Court affirmed, holding (1) parties cannot disclaim but can supersede the implied warranty for good and workmanlike repair of tangible goods or property if the parties' agreement specifically describes the manner, performance, or quality of the services; (2) the express warranty in this case sufficiently described the manner, performance, or quality of the services so as to supersede the implied warranty; and (3) Plaintiff's remaining DTPA claims were time barred. View "Gonzales v. Sw. Olshan Found. Repair Co., LLC" on Justia Law

El Dorado Land Company sold property to the City of McKinney for use as a park. El Dorado's special warranty deed provided that the conveyance was subject to the restriction that the community only be used for that purpose. If the City decided not to use the property as a community park, the deed granted El Dorado the right to purchase the property. Ten years after acquiring the property, the City built a public library on part of the land. El Dorado notified the City it intended to exercise its option to purchase, but after the City failed to acknowledge El Dorado's rights under the deed, El Dorado sued for inverse condemnation. The trial court sustained the City's plea to the jurisdiction, finding that El Dorado's claim did not involve a compensable taking of property but, rather, a breach of contract for which the City's governmental immunity had not been waived. The court of appeals affirmed. The Supreme Court reversed, holding that, in its deed to the City, El Dorado retained a reversionary interest in the property that was a property interest capable of being taken by condemnation. Remanded. View "El Dorado Land Co., LP v. City of McKinney" on Justia Law

Landowner purchased property for the purpose of developing the land, obtained permits, and filled a portion of the property to the 100-year flood level. The municipality subsequently constructed a facility partly on the property that would detain storm water on the property in a significant flood, thus causing the property again to be below the 100-year flood level and undevelopable without additional fill. Landowner sought damages under statutory and inverse condemnation theories. The trial court ruled in favor of Landowner and awarded damages of $694,600. The court of appeals reversed as to the inverse condemnation claim, holding the claim was premature because the property had not yet flooded. The Supreme Court reversed, holding that the claim was not premature because Landowner's claim was for the present inability to develop the property as previously approved unless the property was filled. Remanded. View "Kopplow Dev., Inc. v. City of San Antonio" on Justia Law

Father was ordered to pay child support each month to Mother. Father failed to make payments for several months, resulting in an arrearage of thousands of dollars. The Tarrant County Domestic Relations Office filed a motion to enforce the support order, asserting six counts of contempt. Before a hearing was held, Father paid the entire arrearage but then accumulated a new arrearage of an even greater amount. The trial court held Father in contempt for the failures to make timely child support payments and sentenced him to serve 174 days in jail. The court of appeals ordered the trial court to vacate its contempt order, holding that Defendant could invoke Tex. Fam. Code 157.162(d) at the hearing, despite the outstanding arrearage, because he had become "current" on the missed payments that were pled in the motion. The Supreme Court instructed the appellate court to vacate its judgment, thus reinstating the trial court's order, holding that, pursuant to section 157.162(d), an obligor must be current on court-ordered child support payments due at the time of the enforcement hearing, regardless of whether those payments have been pled in the motion for enforcement, in order to avoid a finding of contempt. View "In re Office of Attorney Gen." on Justia Law

After a trial, the trial court ordered the termination of Mother's parental rights to her two children. Before the trial court signed the termination order, Mother's trial counsel filed a "motion for a new trial or, in the alternative, notice of appeal." Two days later, Mother's trial counsel filed a motion to withdraw. Approximately a month later, the trial court signed the termination order, granted the motion to withdraw, and appointed appellate counsel. The court of appeals dismissed the motion for a new trial or notice of appeal for want of jurisdiction, holding that Mother's combined filing was not a bona fide attempt to invoke its appellate jurisdiction. The Supreme Court reversed, holding that the present filing expressed an intent to appeal to the court of appeals and was partially entitled a notice of appeal, which constituted a bona fide attempt to invoke appellate jurisdiction upon its filing with the trial court clerk. Remanded. View "In re J.M." on Justia Law