Articles Posted in Supreme Court of Texas

by
In this billing dispute between a general contractor, Dudley Construction, Ltd., and a pipe supplier, ACT Pipe and Supply, Inc., the Supreme Court affirmed the judgment of the court of appeals in part and reversed it in part, holding (1) in defending a favorable judgment notwithstanding the jury’s verdict, ACT successfully raised a “cross-point” in the court of appeals that preserved an alternative argument proscribing the jury’s original verdict, even though ACT did not formally label its argument a “cross-point”; and (2) attorney’s fees are not recoverable for a claim brought under the Texas Construction Trust Fund Act. The Court remanded this case to the trial court for further proceedings. View "Dudley Construction, Ltd. v. ACT Pipe & Supply, Inc." on Justia Law

by
Homeowners sued Builder for failing to construct their home in a good and workmanlike manner. Builder’s commercial general liability insurer (Insurer) refused to defend Builder in the suit. Judgment was granted in favor of Homeowners after a trial, and Builder assigned the majority of its claims against Insurer to Homeowners. Homeowners subsequently sought to recover the judgment from Insurer under the applicable policy. The trial court entered judgment in favor of Homeowners. The court of appeals affirmed. The Supreme Court reversed and, in the interests of justice, remanded the case to the trial court for a new trial, holding (1) the judgment against Builder was not binding on Insurer in this suit because it was not the product of a fully adversarial proceeding; but (2) this insurance litigation may serve to determine Insurer’s liability, although the parties in the case focused on other issues during the trial. View "Great American Insurance Co. v. Hamel" on Justia Law

by
Centerpoint Builders was hired as the general contractor to build an apartment complex. Centerpoint contracted with a subcontractor to install wooden roof trusses. Centerpoint purchased the trusses directly from Trussway, Ltd., the truss manufacturer. Merced Fernandez, an independent contractor, was rendered paraplegic when a truss broke while he was walking across it. Fernandez sued several entities, including Centerpoint and Trussway, and eventually settled. Centerpoint filed a cross-action against Trussway alleging that Trussway was required to indemnify Centerpoint for any loss arising from Fernandez’s suit. Trussway filed its own indemnity cross claim against Centerpoint. Centerpoint sought partial summary judgment, arguing that it was a seller under Tex. Civil Prac. & Rem. Code Ann. chapter 82 and was thus entitled to indemnity as a matter of law. Chapter 82 entitles the “seller” of a defective product to indemnity from the product manufacturer for certain losses. The trial court concluded that Centerpoint was a seller under chapter 82. The court of appeals reversed, concluding that Centerpoint did not fit the statutory definition of a seller and was therefore not eligible to seek indemnity. The court of appeals affirmed. The Supreme Court affirmed, holding that Centerpoint, as the general contractor, was not a “seller” entitled to seek indemnity under chapter 82. View "Centerpoint Builders GP, LLC v. Trussway, Ltd." on Justia Law