Arroyo Shrimp Farm, Inc. v. Hung Shrimp Farm, Inc.

927 S.W.2d 146, 1996 WL 351216
CourtCourt of Appeals of Texas
DecidedJuly 25, 1996
Docket13-94-344-CV
StatusPublished
Cited by48 cases

This text of 927 S.W.2d 146 (Arroyo Shrimp Farm, Inc. v. Hung Shrimp Farm, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arroyo Shrimp Farm, Inc. v. Hung Shrimp Farm, Inc., 927 S.W.2d 146, 1996 WL 351216 (Tex. Ct. App. 1996).

Opinion

OPINION

DORSEY, Justice.

Ping-Kung Hung, a citizen and resident of Taiwan, Republic of China, and his company, Hung Shrimp Farm, Inc. (“Hung”), sued Chi-Ming Tao, an American citizen, and his companies, Arroyo Shrimp Farm, Inc., and U.S.A. Shrimp Farm Development, Inc. (“Tao”), for fraud in the sale of land in Willacy County, Texas. The intended purpose of the purchase was to install and operate commercial shrimp farms. The case was tried to a jury, which found that Tao had defrauded Hung and awarded Hung approximately $11.5 million in actual damages and an additional $10.5 million in exemplary damages. Tao appeals with nine points of error.

Sufficiency of the Evidence

Tao complains in his first two points of error that the evidence is legally and factually insufficient to support the jury’s verdict of fraud. He raises the same complaint about the actual and punitive damage awards in his fifth, sixth, seventh, and eighth points of error. We hold these points of error were not preserved in the trial court and are waived on appeal, and thus we overrule them.

A complaint that evidence is insufficient must be raised in the trial court before one may complain of it on appeal. See Tex. RApp. P. 52(a). To preserve a legal sufficiency or “no evidence” complaint for appeal *149 from a jury trial, a party must use one of the following methods: (1) a motion for instructed verdict, (2) an objection to the submission of the issue to the jury, (3) a motion to disregard the jury’s answer, (4) a motion for judgment non obstante veredicto, or (5) a motion for new trial specifically raising the complaint. T.O. Stanley Boot Co. v. Bank of El Paso, 847 S.W.2d 218, 220 (Tex.1992); Regan v. Lee, 879 S.W.2d 133, 135 (Tex.App.Houston [14th Dist.] 1994, no writ); Villalpando v. De La Garza, 793 S.W.2d 274, 277 (Tex.App.—Corpus Christi 1990, no writ). A party complaining of factual insufficiency of the evidence to support a jury finding or of the excessiveness of the damage award must raise the complaint first in a motion for new trial in order to complain of it on appeal. Tex.R. Civ. P. 324(b)(2), (4); Cecil v. Smith, 804 S.W.2d 509, 510 (Tex.1991).

A motion for new trial can preserve both factual and legal insufficiency points for appeal, and Tao argues that his motion for new trial does so with respect to the findings of fraud and damages. Tao’s motion for new trial in its entirety follows:

I.
Defendants bring this motion pursuant to Rule 320 and 324 of the Texas Rules of Civil Procedure. It is the opinion and belief of Defendants that the final judgment signed on or about the 20th of January, 1994, should be set aside for good cause. Defendants would show the Court that this rule authorizes the Court in all fairness due to the damages that were awarded are manifest[ly] too large. In the history of all the South Texas counties, never had such an amount ever been awarded.
II.
Defendants complain, by way of this their Motion For New Trial, of the conduct of the attorneys involved first as their attorneys and then the attorneys exchanging clients and ultimately their opposing counsel. If the Court would take notice of the official organ of the State Bar of Texas, The Texas Bar Journal, volume 57, no. 2, February 1994 issue, on p. 200, undoubtedly there is concern as to any attorney trying to serve two (2) masters.

The pertinent areas [in] such an article are the following:

Conclusion
In order to adequately safeguard those confidences, the firm must withdraw from representing any of the parties.
Therefore, such conduct may not have been abrogated by mere disclosures. The only way to attempt to cure such gross misconduct of the attorneys involved, is for this Court to grant a new trial.
III.
Defendants would show that in this case at bar, all attorneys for the parties were also players in the events that lead to the alleged causes of action, the subject matter of this lawsuit. Defendants hereby invoke the mandates of Texas Disciplinary Rules of Professional Conduct, Rule 3.08 which in its pertinent parts states the following:
LAWYER AS WITNESS
(a)A lawyer shall not accept or continue employment in a contemplated or pending adjudicatory proceeding if the lawyer knows or believes that the lawyer is or may be a witness necessary to establish an essential fact on behalf of the lawyer’s client, unless:
(1) the testimony relates to an uncontested issue;
(2) the testimony will relate solely to a matter of formality and there is no reason to believe that substantial evidence will be offered [sic] in opposition to the testimony;
(b) A lawyer shall not continue as an advocate in a pending adjudicatory proceeding if the lawyer believes that the lawyer will be compelled to furnish[] testimony that will be substantially adverse to the lawyer’s client, unless the client consents after full disclosure.
(c) Without the client’s informed consent, a lawyer may not act as advocate in an adjudicatory proceeding in which an *150 other lawyer [in the] lawyer’s firm is prohibited by paragraphs (a) or (b) from serving as advocate. If the lawyer to be called as a witness could not [also serve] as an advocate under this Rule, that lawyer shall not take an active role before the tribunal in the presentation of the matter.
IV.
Defendants would show the Court that fraud was never committed. Defendant’s defense never included an independent expert witness on the value of the land sold. The obvious rationale for not having obtained one is the collusion between all attorneys in this case.
Defendants] would show the Court, through expert testimony that the land sold was not at all excessive and was only the net reasonable value of the land. Therefore, as a matter of law, if indeed, by a stretch of imagination, there was a stat[e]ment which would qualify as fraudulent, there were no damages. Damages is an element of this tort, therefore, if none, there could not have been fraud.
V.
This case represents the sad states of affairs among the legal field. There is a series of lawyers who contracted each other to represent both sides. This coupled with the ineffectiveness of counsel to bring in evidence to show the lack of facts proffered in proving the causes of action alleged.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Beatrice Zarate v. Aric Rodriguez Dba Mid-Town Realty
542 S.W.3d 26 (Court of Appeals of Texas, 2017)
Basic Energy Service, Inc. v. D-S-B Properties, Inc.
367 S.W.3d 254 (Court of Appeals of Texas, 2011)
Labaj v. VanHouten
322 S.W.3d 416 (Court of Appeals of Texas, 2010)
Formosa Plastics Corp., USA v. Kajima International, Inc.
216 S.W.3d 436 (Court of Appeals of Texas, 2006)
Dunnagan v. Watson
204 S.W.3d 30 (Court of Appeals of Texas, 2006)
Kinder Morgan North Texas Pipeline, L.P. v. Justiss
202 S.W.3d 427 (Court of Appeals of Texas, 2006)
Adam Grimaldo v. State
Court of Appeals of Texas, 2006

Cite This Page — Counsel Stack

Bluebook (online)
927 S.W.2d 146, 1996 WL 351216, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arroyo-shrimp-farm-inc-v-hung-shrimp-farm-inc-texapp-1996.