Justia Texas Supreme Court Opinion Summaries

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In this divorce case, the Supreme Court affirmed the judgment of the court of appeals affirming the finding of the trial court that Wife’s attempt to rescind a premarital agreement triggered a clause in the agreement under which Wife lost a $5 million payment otherwise due to her.Prior to the parties’ marriage, they entered into an “Agreement in Contemplation of Marriage” under which Husband would make a lump-sum cash payment to Wife upon the entry of a divorce decree. The Agreement also contained a “no-contest” or “forfeiture” clause, under which Wife would lose her contractual right to the lump-sum payment. After Husband filed for divorce, Wife requested rescission of the Agreement. Ultimately, the trial court concluded that Wife forfeited any cash payment under the Agreement. The court of appeals affirmed. The Supreme Court affirmed, holding that by unsuccessfully seeking rescission of the Agreement and pursuing that remedy throughout the litigation, Wife lost her contractual right to the lump-sum payment under the Agreement. View "In re Marriage of I.C." on Justia Law

Posted in: Contracts, Family Law
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In this removal proceeding brought under chapter 87 of the Texas Local Government Code (the removal statute), the Texas Local Government Code (TCPA) applied, and the state failed to establish a prima facie case for the removal of a county official.George Best sought to remove Paul Harper from the Somervell County Hospital District Board by filing this suit under the removal statute. The county attorney appeared in this case as plaintiff on the state’s behalf, and the state adopted Best’s allegations. Harper filed a motion to dismiss under the TCPA, arguing that Best filed, and the state joined, the removal petition based in response to Harper’s exercise of the right to petition and right of free speech and that the state could not establish a prima facie case for removal. The trial court denied the motion. The court of appeals reversed. The Supreme Court affirmed, holding (1) this case was a legal action under the TCPA, but the TCPA does not apply when a government attorney brings an enforcement action in the state’s name; and (2) only one of the allegations against Harper constituted an enforcement action, and as to the allegations that were not enforcement actions, the state’s sovereign immunity did not protect it from Harper’s claim for appellate costs. View "State ex rel. Best v. Harper" on Justia Law

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At issue was whether the district court correctly dismissed the claim that because of negligent training and handling by private military contractors, a dog that protects soldiers and others by sniffing out enemy improvised explosive devices (IEDs) bit Plaintiff on a United States Army base in Afghanistan.Defendant, which contracted with the Department of Defense to provide teams of working dogs and handlers to the Armed Services, claimed in defense that the incident was caused by the Army’s use and prescribed manner of quartering the dog. Defendant filed a plea to the jurisdiction asserting that Plaintiff’s claims were nonjusticiable under the political question doctrine because they required an assessment of the Army’s involvement in causing her alleged injuries. The trial court granted the motion and dismissed the case. The court of appeals reversed, thus rejecting the application of the political question doctrine. the Supreme Court reversed, holding that this case is nonjusticiable due to the presence of an inextricable political question. View "American K-9 Detection Services, LLC v. Freeman" on Justia Law

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The Supreme Court conditionally granted a writ of mandamus sought by Melissa Dawson in this pretrial dispute.Dawson sued Defendant for injuries she received at a bar and restaurant. Upon serving Defendant with her original petition, Dawson also propounded a request for disclosures, interrogatories, and requests for production. More than two weeks after limitations expired, Defendant moved for leave to designate Michael Graciano as a responsible party. Dawson opposed the motion for leave on the ground that, under Chapter 33 of the Texas Civil Practice and Remedies Code, a defendant may not designate a responsible third party after limitations has expired if the defendant has failed to comply with its obligations to timely disclose that the person may be designated as a responsible third party. The trial court, however, granted leave. After the court of appeals denied Dawson’s request for mandamus relief, she filed this proceeding. The Supreme Court conditionally granted the writ, holding that Dawson presented adequate grounds for relief by mandamus. View "In re Melissa Dawson" on Justia Law

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The common law rule against perpetuities does not invalidate a grantee’s future interest in the grantor’s reserved non-participating royalty interest (NPRI).Lorene Koopmann and her two children sought declaratory judgment against Burlington Resources Oil & Gas Company, L.P. and Lois Strieber to construe a warranty deed by which Strieber conveyed fee simple title to a tract of land to Lorene and her late husband. Under the deed, Strieber reserved a fifteen-year, one-half NPRI. The Koopmans claimed that they were the sole owners of an NPRI as of December 27, 2011. They also asserted claims against Burlington, which leased the tract from the Koopmanns, for breach of contract and other claims. The trial court granted summary judgment for the Koopmans as to the declaratory action and granted summary judgment for Burlington on the negligence and negligence per se claims. The court of appeals affirmed in part and reversed in part. The Supreme Court held (1) the rule against perpetuities does not invalidate the Koopmann’s future interest in the NPRI; (2) Tex. Nat. Res. Code 91.402 does not preclude a lessor’s common law claim for breach of contract; and (3) the court of appeals properly entered judgment as to attorney’s fees pursuant to Tex. R. Civ. P. 91a. View "ConocoPhillips Co. v. Koopmann" on Justia Law

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In this appeal of a condemnation judgment the Supreme Court reversed the decision of the court of appeals holding the trial court’s evidentiary rulings were an abuse of discretion and reinstated the judgment of the trial court.The State planned to condemn a portion of a 33,000 square-foot property owned by Stephen and Kimberly Morale in the Town of Little Elm. The special commissioners awarded the Morales $49,804 in damages for the taking. The Morales objected to the award and demanded a jury trial. The jury awarded $1,064,335 to the Morales, and the trial court essentially rendered judgment on the verdict. The court of appeals reversed and remanded for a new trial, holding that the trial court erroneously admitted and excluded various evidence at trial, thereby probably resulting in the rendition of an improper judgment. The Supreme Court reversed, holding that the trial court’s challenged evidentiary rulings were not an abuse of discretion. View "Morale v. State" on Justia Law

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The Supreme Court affirmed in part and reversed in part the judgment of the court of appeals in this defamation, breach of contract, and fraudulent inducement case.After Defendant, Plaintiff’s employer, offered him an oral deal to “buy in” the business in exchange for managing two automobile dealerships, Plaintiff was falsely accused of taking illegal kickbacks on used-car acquisitions and lost his job. The jury found that Defendant defrauded and defamed Plaintiff but did not find that the parties agreed to a buy-in deal that included interests in the dealerships and their underlying real estate. The jury awarded Plaintiff $2.2 million in defamation damages and $383,150 in fraud damages. The trial court rendered judgment on the jury’s verdict. The court of appeals reversed and rendered a take-nothing judgment. The Supreme Court held (1) the jury’s failure to find that the parties agreed to the specific contract terms submitted in the contract question did not preclude Plaintiff from recovering the value of the disputed dealership interests as benefit-of-the-bargain damages under a fraud theory that required proof of an enforceable contract; and (2) legally sufficient evidence supported the damages awarded for loss of reputation and mental anguish in the past, but no evidence supported the existence of future damages or a finding that the kickback allegations caused any lost-income damages. View "Anderson v. Durant" on Justia Law

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The Supreme Court reversed the decision of the court of appeals holding that a cause of action for acknowledgment of a debt must be “specifically and clearly” pleaded “in plain and emphatic terms” because this holding conflicts with Tex. R. Civ. P. 47(a), which provides that a pleading is “sufficient” if it gives “fair noice of the claim involved.”A Trust sued Defendants seeking payment on a debt. Defendants moved for summary judgment arguing that the Trust’s claims were barred by the statute of limitations because the Trust had not properly pleaded acknowledgment. The trial court agreed and granted summary judgment for Defendants. The court of appeals affirmed, concluding that while the Trust had raised acknowledgment in response to Defendants’ motion for summary judgment, it had failed to plead acknowledgement as a cause of action because it had not done so “specifically and clearly” and in “plain and emphatic terms.” The Supreme Court reversed and remanded, holding that the Trust provided fair notice to Defendants of its claim on their acknowledgment and thus satisfied Rule 47, and the court of appeals erred in requiring a higher standard. View "DeRoeck v. DHM Ventures, LLC" on Justia Law

Posted in: Banking, Contracts
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At issue in this mandamus proceeding was whether the proportionate-responsbility scheme in Chapter 33 of the Texas Civil Practice and Remedies Code applies to a civil-remedy action under the Texas Medical Fraud Prevention Act (TMFPA).The State sued Xerox Corporation and Xerox State HealthCare, LLC (collectively, Xerox), which administered the Texas Medicaid program, for a civil remedy under the TMFPA. Xerox sought to unite the TMFPA proceedings for purposes of shifting liability to the service providers sued by the State who had directly received disputed Medicaid payments. The trial court granted the State’s motion to strike Xerox’s third-party petition seeking contribution under Chapter 33, holding Chapter 33 inapplicable to the TMFPA action. The court also denied Xerox’s motion to designate responsible third parties under Chapter 33. The Supreme Court denied Xerox’s petition for writ of mandamus, holding that Chapter 33 does not apply to a TMFPA action because (1) the statutory remedy does not constitute “damages” subject to apportionment under Chapter 33; and (2) an irreconcilable conflict exists between the proportionate-responsibility statute and the TMFPA’s mitigation and fault-allocation scheme. View "In re Xerox Corp." on Justia Law

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At issue was whether the Texas Solid Waste Disposal Act (Act) preempts, and thus invalidates, a local antilitter ordinance prohibiting merchants from providing “single use” plastic and paper bags to customers for point-of-sale purchases.The trial court upheld the ordinance, which makes it unlawful for any “commercial establishment” to provide or sell certain plastic or paper “checkout bags” to customers. Specifically, the court ruled that the ordinance was not void because reasonable constructions existed under which both the Act and the ordinance could be effective. The court of appeals reversed, concluding that the ordinance was preempted by the Act. The Supreme Court reversed, holding (1) the ordinance regulated solid waste containers within the Act’s meaning and that the ordinance was not “authorized by state law"; and (2) therefore, the Act preempted the ordinance. View "City of Laredo, Texas v. Laredo Merchants Ass’n" on Justia Law