News & Analysis as of

TX Supreme Court Breach of Contract

Freeman Law

Texas High Court Holds that Pandemic Legislation is Not a Prohibited “Retroactive Law”

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On April 26, 2024, the Texas Supreme Court in case number 23-0565 answered “No” to the following certified question presented by the 5th Circuit in the case of Luke Hogan, on Behalf of Himself and Other Individuals Similarly...more

Carlton Fields

Texas Doubles Down on “Intent to Deceive” as Requirement to Void Insurance Policy

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The Texas Supreme Court reinforced common law precedent that insurers cannot avoid liability under an insurance policy based on a misrepresentation in an insurance application unless the insurer can establish that the insured...more

Gray Reed

Long-Running Texas Boundary Dispute Continues

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Ellison v. Three Rivers Acquisition LLC et al., on remand from the Texas Supreme Court, is the third round of a boundary dispute between mineral lessees in Irion County.   For the history of Ms. Ellison’s odyssey from...more

Morgan Lewis - Power & Pipes

Real-World Litigation Impacts of Contract Clauses in Energy Contracts Key No-Reliance Language Under Texas Law

Contracting parties sometimes attempt to rely on merger clauses to avoid future claims arising from reliance on extra-contractual representations such as fraudulent inducement. But in Texas, the inclusion of a standard merger...more

Freeman Law

Texas Law Update: Statute of Limitations, the Discovery Rule, and Fraudulent Concealment

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On January 13, 2023, the Texas Supreme Court issued its opinion in Marcus & Millichap Real Estate Investment Services of Nevada, Inc. v. Triex Texas Holdings, LLC, __ S.W.3d __, 2023 WL __ (Tex. Jan. 13, 2023) (per curiam)...more

Seyfarth Shaw LLP

Texas Supreme Court Confirms that HouseCanary Must Fly Toward a $201 Million Judgment or a Retrial

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On June 17, 2022, the Texas Supreme Court affirmed a lower appellate court’s decision, (which we previously wrote about here), which nixed the plaintiff’s $740 million trade secret win at trial and required the plaintiff to...more

Freeman Law

“Money Had and Received” Claims Under Texas Law

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Texas law provides for a cause of action known as “money had and received.” The cause of action for money had and received is equitable in nature. The claim belongs conceptually to the doctrine of unjust enrichment and seeks...more

Freeman Law

Texas Law and Tortious Interference with Prospective Business Relations

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Tortious interference with business relations involves a third party using false claims against a business in order to drive business away or prevent the business from entering a relationship with another party. The key...more

Gray Reed

Supreme Court Introduces Totality of the Circumstances Test for Implied Ratification

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“Ratification is not a game of ‘gotcha’”, said the Texas Supreme Court in BPX Operating Co. v. Strickhausen.  The Court, in a 5-4 opinion, addressed the standard for an oil and gas lessor’s implied ratification of an...more

Payne & Fears

Texas Supreme Court Gives Policyholders a Greater Voice When Settling Covered Claims

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The Texas Supreme Court recently increased policyholders’ influence over an insurer’s right to settle a third-party claim for less than policy limits. Insurers have long enjoyed a nearly absolute right to settle claims, even...more

Rivkin Radler LLP

The Title Reporter – Winter 2021

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Here is what we cover in this issue of The Title Reporter: A Legal Update for the Title Insurance Industry: •The Supreme Court of Texas has ruled that a special warranty deed conveying real property limited the grantor’s...more

Winstead PC

The Plight of Oppressed Private Company Minority Investors:  No Legal Escape Available Without a Buy-Sell Agreement in Place

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The legal front remains forbidding for private company minority investors who seek to secure a buyout of their ownership stake based on claims for oppression against the company’s majority owners. It has been six years since...more

Carlton Fields

Texas Supreme Court Holds Defendant Did Not Forfeit Right to Appeal Denial of Motion to Compel Arbitration by Waiting Until After...

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In this cattle-feeding dispute, cattle owner Bonsmara Natural Beef Co. and its principal George Chapman brought an action against feed yard owner Hart of Texas Cattle Feeders LLC, alleging claims including breach of contract,...more

Fox Rothschild LLP

Texas Appellate Court Confirms Significance Of Seeking ‘Material Breach’ Finding In Breach Of Contract Case

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Contractual breaches are serious and require an appropriate response. Sometimes the parties to a contract can work though a performance hiccup, however, there are many instances in which a party simply walks away from its...more

Gray Reed

“No Obligation” Clause Dooms Oil and Gas Asset Bid

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In Chalker Energy Partners III LLC v. LeNorman Operating LLC, the Texas Supreme Court reaffirmed its belief in the sanctity of the written contract and the freedom of parties to negotiate and agree to contracts as they...more

A&O Shearman

First No Contract by Ambush. Now No Contract by Email, Texas Supreme Court Says.

A&O Shearman on

On February 28, 2020, the Texas Supreme Court reversed a ruling from the First Court of Appeals in Houston in the case of Chalker Energy Partners III, LLC, et al. v. Le Norman Operating LLC, 547 S.W.3d 27 (Tex. App.—Houston,...more

Vinson & Elkins LLP

“Why Should I Have To Show Actual Damages When My Contract Has A Liquidated Damages Clause?”

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When you negotiate and execute a contract with a liquidated damages clause, it’s natural to feel like you have a safety net — that in the event of a dispute you can rely on the contract to protect you from having to go...more

Gray Reed

Industry Custom Does Not Supersede Contract Language

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In Barrow-Shaver Resources Company v. Carrizo Oil & Gas, Inc the Supreme Court of Texas has held again, here in a consent-to-assign dispute, that a contract means what the words say, even if in negotiations a landman said...more

Locke Lord LLP

Texas Supreme Court Confirms that Industry Customs cannot Qualify Unrestricted Consent to Assign Provisions

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On June 28, 2019, in Barrow-Shaver Resources Co. v. Carrizo Oil & Gas, Inc., the Texas Supreme Court confirmed that industry customs cannot qualify an unrestricted consent-to-assign provision contained in a farmout agreement,...more

Vedder Price

Buyer Beware: Court Upholds Punitive Damages Waiver in Case Alleging Fraud for "New" Aircraft Sale

Vedder Price on

In a recent decision, the Texas Supreme Court upheld a contractual waiver of punitive damages despite a finding of fraud by the seller in the sale of a supposedly new aircraft that instead contained used and repaired engines....more

Gray Reed

Oil Field Technology … and a Texas Bill Aimed at Royalty Owners

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Welcome to today’s grab-bag of unrelated topics. The climate avengers are clever in the way they demonize the industry. They give zero credit for technological advancement. Truth is, the industry’s use of technology is...more

King & Spalding

Disclaiming Reliance in Texas Requires Specificity

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The Supreme Court of Texas in its recent IBM decision provided further clarity to what contracting parties must say in their contracts to disclaim fraudulent inducement claims. Int’l Bus. Mach. Corp. v. Lufkin Indus., LLC,...more

Winstead PC

Texas Supreme Court Holds That A Fraud-By-Nondisclosure Claim Can Apply Outside Of A Fiduciary Or Confidential Relationship

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In Bombardier Aero. Corp. v. Spep Aircraft Holdings, a plaintiff who had purchased an aircraft sued the defendant for fraud associated with representations regarding whether the aircraft was new or used. No. 17-0578, 2019...more

Stinson LLP

The Good, the Bad and the Ugly in Texas Duel Between Lufthansa and Sabre

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The high plains of Texas set the stage for a dramatic standoff between Lufthansa German Airlines and global distribution service (GDS) giant Sabre Travel over Lufthansa's decision to impose an $18 surcharge on every ticket...more

Winstead PC

Texas Supreme Court Holds That A Limitation-Of-Liability Clause Eliminated A Punitive Damage Claim Where A Fraud Plaintiff...

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In Bombardier Aero. Corp. v. Spep Aircraft Holdings, a plaintiff who had purchased an aircraft sued the defendant for fraud associated with representations regarding whether the aircraft was new or used. No. 17-0578, 2019...more

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