Justia Texas Supreme Court Opinion Summaries

Petitioner was court-martialed for sexual abuse and assault and imprisoned for eighteen years. Approximately two decades after the conviction, Petitioner applied to the Texas Department of Licensing and Regulation for a tow truck operator’s license. The Department denied Petitioner’s application based on his conviction. Petitioner contested the denial. An administrative law judge (ALJ) from the State Office of Administrative Hearings recommended that the Department issue a license. The Department, however, revised the ALJ’s findings of fact and conclusions of law to reject Petitioner’s application. The trial court reversed the Department’s decision, concluding that the Department’s alterations of the findings and conclusions were unlawful. The court of appeals reversed, ruling that the Department’s modifications were improper because the ALJ misinterpreted a provision of the Texas Occupations Code concerning licensing restrictions where an applicant has previously been convicted of a crime. The Supreme Court reversed, holding that the Department’s revisions of the findings of fact and conclusions of law constituted error because the revisions were unsupported by the plain language of the statute. View "Thompson v. Tex. Dep’t of Licensing & Reg." on Justia Law

After the State Board for Educator Certification revoked the teaching certificate of a schoolteacher, the schoolteacher sued to overturn the revocation. The trial court concluded that the Board’s decision was not supported by substantial evidence and was arbitrary and capricious. The court issued a permanent injunction prohibiting the Board from revoking the schoolteacher’s revocation and refused to allow the Board to supersede the judgment pending appeal. The State sought mandamus relief challenging the trial court’s denial of supersedeas. The court of appeals denied mandamus relief and abated the merits of the Board’s appeal pending the Supreme Court resolution of a narrow procedural issue. The Supreme Court denied relief, holding that a trial court has discretion to prevent the Board from re-revoking a teacher’s professional license while the Board appeals the court’s rejection of the Board’s initial revocation. View "In re State Bd. for Educator Certification" on Justia Law

After an investigation, the City of Houston declared the Park Memorial condominiums uninhabitable. Because the condominium owners did not apply for an occupancy certificate or make necessary repairs within the requisite period of time, the City ordered all residents to vacate the complex. A group of owners later brought this inverse-condemnation action, alleging that their property was taken when they were forced to vacate. The trial court sustained the City’s plea to the jurisdiction, concluding that the owners had not alleged a taking. The court of appeals reversed. The Supreme Court reversed, holding that the condominium owners’ claim failed because they did not allege a taking. View "City of Houston v. Carlson" on Justia Law

Bill Head, who owns and operates the Silver Spur Truck Stop in Pharr, Texas, hired Petroleum Solutions, Inc. to manufacture and install an underground fuel system. After the discovery that a major diesel-fuel release leak had occurred, Head sued Petroleum Solutions for its resulting damages. Petroleum Solutions filed a third-party petition against Titeflex, Inc., the alleged manufacturer of a component part incorporated into the fuel system, claiming indemnity and contribution. Titeflex filed a counterclaim against Petroleum Solutions for statutory indemnity. The trial court rendered judgment in favor of Head and in favor of Titeflex. The court of appeals affirmed. The Supreme Court (1) reversed as to Head’s claims against Petroleum Solutions, holding that the trial court abused its discretion by charging the jury with a spoliation instruction and striking Petroleum Solutions’ defenses, and the abuse of discretion was harmful; and (2) affirmed as to Titeflex’s indemnity claim, holding that Titeflex was entitled to statutory indemnity from Petroleum Solutions and that any error with respect to the indemnity claim was harmless. View "Petroleum Solutions, Inc. v. Head" on Justia Law

When Richmont Holdings, Inc. bought the assets of Superior Recharge Systems, LLC the parties signed an asset Purchase Agreement that contained an arbitration provision. Superior Discharge’s part-owner, Jon Blake, signed an employment contract to continue as general manager of the business. The contract contained a covenant not to compete but not an arbitration provision. After Blake’s employment was terminated, Superior Recharge and Blake (together, Blake) sued Richmont in Denton County for fraud and breach of contract. Richmont then sued Blake individually in Dallas County to enforce the covenant not to compete. The Dallas County suit was subsequently abated. Nineteen months after being sued, Richmont moved to compel arbitration, asserting that Blake’s claims arose out of the Asset Purchase Agreement. The trial court denied the motion, and the court of appeals affirmed. The Supreme Court reversed. On remand, the court of appeals concluded that Richmont had waived arbitration by substantially invoking the judicial process. The Supreme Court reversed, holding that the circumstances of this case did not approach a substantial invocation of the judicial process. Remanded. View "Richmont Holdings, Inc. v. Superior Recharge Sys., LLC" on Justia Law

Rosaena Resendez was fired from her position at the Texas Commission on Environmental Quality (TCEQ) after she reported alleged wrongdoing to supervisors within the organization and to the office of a state senator. Resendez sued TCEQ under the Whistleblower Act, which waives a state agency’s sovereign immunity from suit for retaliatory discharge under certain circumstances. The trial court sustained TCEQ’s plea to the jurisdiction and dismissed the case, concluding that Resendez’s reports were merely internal policy recommendations and not reports to an appropriate law-enforcement authority as required by the Act. The court of appeals reversed, concluding that Resendez’s internal reports were sufficient under the Act. The Supreme Court reversed, holding (1) Resendez’s internal report was insufficient under the Act; and (2) Resendez’s report to the senator’s office did not satisfy the Act’s requirements. View "Tex. Comm’n on Envtl. Quality" on Justia Law

El Paso Marketing, L.P. provided gas for a power plant owned by Wolf Hollow I, L.P. The gas was transported to the plant through a pipeline owned by Enterprise Texas Pipeline LLC. El Paso sued Wolf Hollow, and Wolf Hollow counterclaimed. El Paso brought a third-party claim against Enterprise, and Wolf Hollow brought a cross-claim against Enterprise. Wolf Hollow’s claims concerned interruptions in gas delivery and allegedly contaminated gas that both required purchases of replacement power. The trial court granted summary judgment for El Paso and Enterprise. The Supreme Court remanded in Wolf Hollow II. On remand, the trial court granted summary judgment for El Paso on Wolf Hollow’s gas-quality claim and issued declarations regarding the claim. The court of appeals in Wolf Hollow III concluded that the Supreme Court had rejected the declarations in Wolf Hollow II and thus remanded the case for trial on Wolf Hollow’s claims for replacement-power damages for the failure to deliver quality gas. The Supreme Court reversed the court of appeals’ judgment relating to Wolf Hollow’s gas-quality claim for replacement-power damages, holding that the court of appeals erred in Wolf Hollow III insofar as it held that the Court’s Wolf Hollow II decision precluded it from reviewing questions regarding whether the declarations applied to that claim, and otherwise affirmed. View "El Paso Marketing, L.P. v. Wolf Hollow I, L.P." on Justia Law

“In Texas, the general rule…is that an injured party cannot sue the tortfeasor’s insurer directly until the tortfeasor’s liability has been finally determined by agreement or judgment.” Plaintiff sued San Diego Tortilla (SDT) for personal injuries after he lost his hand operating a tortilla machine. Plaintiff then added a declaratory judgment claim against SDT’s liability insurer, Essex Insurance Company, seeking a declaration that Essex must indemnify SDT for its liability to Plaintiff. Essex filed motions to dismiss Plaintiff’s claims, arguing that the “no direct action” rule barred Plaintiff from suing Essex until SDT’s liability to Plaintiff was determined. The trial court denied the motions, and the court of appeals denied Essex’s petition for writ of mandamus. The Supreme Court conditionally granted mandamus and directed the trial court to grant Essex’s motions to dismiss, holding that no exception to the “no direct action” rule applied in this case. View "In re Essex Ins. Co." on Justia Law

Teresa Corral-Lerma sued Border Demolition and Environmental, Inc. under the Texas Theft Liability Act. Border Demolition counterclaimed for attorney’s fees under the same Act. The trial court granted summary judgment in favor of Border Demolition and awarded $78,001 in attorney’s fees in attorney’s fees through trial and conditional fees for appeal, as well as court costs. In lieu of a supersedeas bond, Corral-Lerma deposited an amount equal to the court costs awarded. The trial court ruled that the attorney’s fees were properly excluded from the security amount because they are not an award of “compensatory damages” under Tex. Civ. Prac. & Rem. Code 52.006. The court of appeals disagreed and granted Border Demolition’s motion to increase the amount of security required to supersede the judgment against Corral-Lerma pending appeal. The Supreme Court conditionally granted mandamus relief and directed the court of appeals to withdraw its order, holding that, in accordance with In re Nalle Plastics Family Ltd. P’ship, attorney’s fees are not compensatory damages for purposes of calculating the security amount necessary to supersede a judgment during appeal. View "In re Corral-Lerma" on Justia Law

Petitioner had a one-year contract to serve as the head women’s basketball coach and a professor with Trinity Valley Community College (TVCC), a local governmental entity. Five months into the contract, TVCC fired Petitioner. Petitioner sued for breach of contract. The trial court dismissed the case, concluding that TVCC was immune from suit. The court of appeals affirmed, concluding that the Local Government Contract Claims Act, which waives a local governmental entity’s immunity from suit for breach of a services contract, does not waive immunity from suit for breach of employment contracts. The court of appeals affirmed. The Supreme Court reversed, holding that the Act covers government employment contracts generally, and therefore, TVCC’s immunity from suit had been waived for Petitioner’s breach-of-contract claim. View "Damuth v. Trinity Valley Cmty. College" on Justia Law