Justia Real Estate & Property Law Opinion Summaries
Articles Posted in Supreme Court of Texas
ALBERT v. FORT WORTH & WESTERN RAILROAD COMPANY
This case involves a dispute over the right to use a gravel crossing over a railroad track in Johnson County, Texas. The landowners, Nathan Albert and Chisholm Trail Redi-Mix, LLC, were granted an easement by necessity, an easement by estoppel, and a prescriptive easement by a jury, allowing them to cross the railroad tracks owned by the Fort Worth & Western Railroad Company (Western). The jury also found that the landowners did not trespass on the railroad’s property. The Court of Appeals reversed these findings, stating that the evidence was legally insufficient to support the jury’s easement findings and factually insufficient to support the trespass finding. The Supreme Court of Texas partially reversed the Court of Appeals' judgment. It held that while the evidence was legally insufficient to support the jury's findings of an easement by necessity and an easement by estoppel, it was legally sufficient to support the prescriptive easement. The Supreme Court of Texas remanded the case back to the Court of Appeals to consider unresolved issues involving the boundaries and permitted uses of the easement. The dispute started when the railroad company began sending notices to the landowners that they were trespassing on the railroad’s property by using the gravel crossing. Despite this, the gravel crossing had been used without issue for many years and had been referenced as a "private road" on local maps since the 1940s. View "ALBERT v. FORT WORTH & WESTERN RAILROAD COMPANY" on Justia Law
HNMC, INC. v. CHAN
In Houston, Texas, a nurse was struck and killed by a driver while crossing the public street next to the hospital where she worked. The nurse's family filed a suit against the hospital, arguing that the hospital had a duty to make the adjacent public road safer due to the layout of its exit and parking lot, which they claimed created a situation in which injury to others was foreseeable. The Supreme Court of Texas ruled that the hospital had a limited duty as a premises occupier based on its control over certain parts of the adjacent public right-of-way. However, the court found no evidence that any dangerous condition the hospital controlled in the right-of-way caused the nurse’s harm. The court rejected the lower courts' ruling that there was a case-specific duty for the hospital to make the road safer. The court reversed the judgment of the lower courts, rendering a take-nothing judgment in favor of the hospital. View "HNMC, INC. v. CHAN" on Justia Law
BUSBEE v. COUNTY OF MEDINA, TEXAS
In Texas, the District Attorney for the 38th Judicial District, Christina Mitchell Busbee, objected to the sale of a property that was purchased with the District's forfeiture funds and was legally owned by Medina County. The District Attorney argued that the County could not sell the property without her consent and that she was entitled to the sale proceeds. The trial court and the court of appeals ruled that the District Attorney did not have standing to make these claims because the relevant statute, Chapter 59, authorizes only the Attorney General to enforce its terms. The Supreme Court of Texas disagreed, holding that the question of whether the District Attorney was authorized to sue under Chapter 59 did not pertain to her constitutional standing to sue, but rather to the merits of her claims. The Court concluded that the District Attorney did have constitutional standing to sue because she had alleged a concrete injury traceable to the County's conduct and redressable by court order. The case was remanded back to the trial court to consider the County's additional jurisdictional challenges. View "BUSBEE v. COUNTY OF MEDINA, TEXAS" on Justia Law
Duncan House Charitable Corp. v. Harris County Appraisal District
The Supreme Court reversed the judgment of the court of appeals affirming the order of the trial court dismissing Duncan House Charitable Corporation's application for a charitable organization exemption, holding that the court of appeals erred in concluding that Duncan's failure to timely apply for later exemption precluded it from receiving that exemption even if it ultimately qualified for an earlier exemption.For the 2017 tax year, Duncan applied for a charitable tax exemption covering its fifty percent ownership interest in a Houston historic home. The appraisal district denied the exemption, and the review board denied Duncan's ensuing protest. Duncan filed for judicial review. Thereafter, although Duncan House never applied for the charitable exemption for the 2018 tax year, it protested the district's 2018 appraisal on the grounds that the district court to apply the charitable exemption. The review board denied the protest. Duncan then amended its trial court petition to challenge the denial of the 2018 exemption. The trial court dismissed the 2018 claim for want of jurisdiction, and the court of appeals affirmed. The Supreme Court reversed, holding that the court of appeals erred in holding that Duncan's failure to timely apply for the 2018 exemption precluded it from receiving that exemption even if it ultimately qualified for the 2017 exemption. View "Duncan House Charitable Corp. v. Harris County Appraisal District" on Justia Law
Thomson v. Hoffman
The Supreme Court vacated the judgment of the court of appeals in this case involving the question of deed construction within the oil and gas context as to whether a royalty interest was fixed or floating, holding that further proceedings were required to evaluate this case in light of the framework articulated in Van Dyke v. Navigator Group, 668 S.W.3d 353 (Tex. 2023).The 1956 deed at issue expressly reserved an undivided 3/32's interest "(same being three-fourths (3/4's) of the usual one-eighth (1/8th) royalty)" in the oil, gas, and other minerals. The question before the Supreme Court was whether the reservation was a floating 3/4 interest of the royalty rather than a fixed 3/32 interest. The court of appeals concluded that the reservation was a floating 3/4 interest. Because the court of appeals' decision preceded Van Dyke, the Court's most recent double-fraction case, the Supreme Court granting the petition for review and vacated the lower court's decision, holding that this case must be remanded this case for further proceedings in light of Van Dyke. View "Thomson v. Hoffman" on Justia Law
Apache Corp. v. Apollo Exploration, LLC
The Supreme Court reversed the judgment of the court of appeals in this case concerning whether Apache Corporation breached its purchase-and-sale agreements (PSAs) with Sellers, holding the court of appeals erred by failing to apply the default common-law rule of contractual construction to the parties' dispute and incorrectly construed other contractual provisions at issue.In the PSAs at issue, Sellers sold seventy-five percent of their working interests in 109 oil-and-gas leases to Apache. The trial court rendered final judgment for Apache on the grounds that Sellers had no evidence of damages and could not prevail on their claims. The court of appeals reversed in part. At issue was whether the default rule for treating contracts that use the words "from" or "after" a specified date to measure a length of time should be applied in this case. The Supreme Court reversed the judgment of the court of appeals as to the issues that the parties presented for review, holding that the parties' agreement in this case implicated the default rule without displacing it. View "Apache Corp. v. Apollo Exploration, LLC" on Justia Law
In re First Reserve Management, L.P.
The Supreme Court denied Petitioner's petition for a writ of mandamus in this original proceeding involving more than 2,000 cases brought by more than 7,000 plaintiffs represented by more than fifty law firms consolidated in an multidistrict litigation (MDL) court, holding that Plaintiffs did not sufficiently plead their claims.This proceeding arose from explosions occurring in the TPC petrochemical processing plant in Port Neches, resulting in the release of toxic chemicals, extensive personal injury, and property damages. At issue before the Supreme Court was whether Plaintiffs sufficiently pleaded claims that investors in the plant owner were directly liable for damages. The Supreme Court denied mandamus relief, holding that Plaintiffs' petition made no factual allegations to show a cause of action with a basis in law against the investors for TPC's conduct. View "In re First Reserve Management, L.P." on Justia Law
CPS Energy v. Electric Reliability Council of Texas
In these two consolidated cases involving claims brought against the Electric Reliability Council of Texas, Inc. (ERCOT) the Supreme Court answered, among other questions, that ERCOT is a governmental unit as defined in the Texas Tort Claims Act and is thereby entitled to pursue an interlocutory appeal from the denial of a plea to the jurisdiction.CPS Energy sued ERCOT and several of its officers for, inter alia, breach of contract. The trial court denied ERCOT'S plea to the jurisdiction. Ultimately, the court of appeals held that ERCOT was a governmental unit entitled to take an interlocutory appeal. In the second case, Panda sued ERCOT for, inter alia, fraud. The trial court denied ERCOT's pleas to the jurisdiction. The court of appeals ultimately held that ERCOT was not entitled to sovereign immunity. The Supreme Court affirmed in the first case and reversed in the other, holding (1) ERCOT was entitled to pursue an interlocutory appeal from the denial of a plea to the jurisdiction; (2) the Public Utility Commission of Texas has exclusive jurisdiction over the parties' claims against ERCOT; and (3) ERCOT was entitled to sovereign immunity. View "CPS Energy v. Electric Reliability Council of Texas" on Justia Law
Freeport McMoRan Oil & Gas LLC v. 1776 Energy Partners, LLC
The Supreme Court reversed the opinion of the court of appeals reversing the trial court's holding that, as a matter of law, a statutory "safe-harbor" provision applied and relieved an operator of oil-and-gas wells from any obligation to pay interest in the amounts withheld, holding that the safe-harbor provision applied as a matter of law.At issue was the "safe harbor" provision that permits operators to withhold payments without interest under certain circumstances. In reliance with the safe harbor provision the operator in this case withheld production payments it was contractually obligated to make to one of the wells' owners. The owner brought suit seeking to recover the payments with interest. The operator made the payments but without interest. The trial court concluded that the safe-harbor provision allowed the operator to withhold the funds. The court of appeals reversed. The Supreme Court reversed, holding that the operator established as a matter of law that it was entitled to withhold distribution of production payments without interest under the statutory safe-harbor provision of Tex. Nat. Res. Code 91.402(b)(1)(A) and (b)(1)(B)(ii). View "Freeport McMoRan Oil & Gas LLC v. 1776 Energy Partners, LLC" on Justia Law
Pecos County Appraisal District v. Iraan-Sheffield Independent School District
The Supreme Court held that no statute expressly authorizes a school district to retain a lawyer on a contingent-fee basis to prosecute litigation designed to increase the appraised value of property so as to generate more tax receipts for the school district and that authority for such an arrangement cannot be implied from a school district's express authority to bring litigation regarding appraisals.Iraan-Sheffield Independent School District employed attorney D. Brent Lemon on a contingent-fee basis to pursue claims designed to increase the appraised value of property so as to generate more tax receipts. After the Appraisal Review Board denied the challenge the school district appealed. The district court granted Defendants' Rule 12 motion challenging Lemon's authority to represent the school district and then dismissed the case with prejudice. The court of appeals reversed, concluding that Tex. Tax Code 6.30(c) authorized the contingent-fee arrangement. The Supreme Court affirmed on different grounds and remanded the case, holding that the district court (1) correctly granted Defendants' Rule 12 motion; but (2) erred in dismissing the case with prejudice. View "Pecos County Appraisal District v. Iraan-Sheffield Independent School District" on Justia Law