Bencon Management & General Contracting, Inc. v. Boyer, Inc.

178 S.W.3d 198, 2005 WL 1690585
CourtCourt of Appeals of Texas
DecidedSeptember 29, 2005
Docket14-03-01199-CV
StatusPublished
Cited by89 cases

This text of 178 S.W.3d 198 (Bencon Management & General Contracting, Inc. v. Boyer, 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
Bencon Management & General Contracting, Inc. v. Boyer, Inc., 178 S.W.3d 198, 2005 WL 1690585 (Tex. Ct. App. 2005).

Opinion

OPINION

KEM THOMPSON FROST, Justice.

This case arises out of a dispute between a general contractor and a subcontractor who performed work on a city project. The general contractor and the sureties on *201 the payment bond appeal the trial court’s judgment in favor of the subcontractor on its breach-of-contract and bond claims and its claim for interest under Chapter 2251 of the Texas Government Code. The general contractor and sureties challenge the sufficiency of the evidence regarding (1) compliance with certain alleged conditions precedent in the subcontractor’s contract, (2) the subcontractor’s timely performance of its contract, and (3) the attorney’s fee award. The general contractor and the sureties also assert the trial court'erred in denying their motion for mistrial based on the subcontractor’s alleged violation of an order in limine. We conclude that the subcontractor did not need to prove compliance with the alleged conditions precedent, that the evidence as to the challenged issues is sufficient to support the judgment, and that the trial court did not err in denying the motion for mistrial. Accordingly, we affirm the trial court’s judgment.

I. Factual and Procedural Background

Effective February 2, 1999, appellant Bencon Management & General Contracting, Inc. (“Bencon”), as general contractor, entered into a construction contract with the Metropolitan Transit Authority of Harris County, Texas (“Metro”), as owner. Under this contract (the “Prime Contract”), Bencon promised to construct various roadway improvements on Louisiana Street from Lamar to Congress in downtown Houston, including but not limited to reinforced concrete pavement, storm sewers, sanitary sewers, waterlines, sidewalks, traffic signals, provisions for communication conduits, street lighting, tree preservation, tree planting, irrigation, electrical service, and transit amenities (the “Project”).

On February 3, 1999, Bencon sent a purchase order to appellee Boyer, Inc., accepting Boyer’s bid to be the subcontractor for the tunneling work for the storm-sewer part of the Project. This one-page purchase order and the attached one-page bid submitted by Boyer constitute the subcontract between Boyer and Bencon (the “Subcontract”). The Subcontract states that Boyer will “comply with the project’s plans, Specs [sic] and contract conditions issued by Metro to [Bencon] as applicable to [Boyer’s] work.” The Subcontract also states that Boyer’s “[w]ork will take approximately 160 working days to complete end to end, including manholes.”

Metro gave Bencon notice to proceed with its work on the Project, effective February 27, 1999. There is evidence that on March 4, 1999, Metro approved Boyer to be the tunneling subcontractor on the project and that, because of difficulties encountered with a live electrical line in a duct at Congress Street, Boyer could not break ground on its tunneling work until May 20, 1999. There is also testimony that Boyer finished its work on March 21, 2000. Because of unexpected problems with “tiebacks” encountered during the tunneling, Metro granted Bencon an extension of 84 calendar days.

Because Bencon had not timely paid Boyer amounts owed under the Subcontract, Boyer sent out statutory notices on the payment bond, as to which appellants General Accident Insurance Company of America (“General”) and Pennsylvania General Insurance Company (“Pennsylvania General”) are the sureties. Boyer filed this suit, alleging that the Bencon Parties 1 had not paid it more than $200,000 due and *202 owing under the Subcontract. Not long after Boyer filed suit, Bencon paid Boyer $126,686.80. Nonetheless, Boyer alleged that the Bencon Parties still owed Boyer $62,562 in retainage and $18,774.83 for work under a change order. In addition to asserting this breach-of-contract claim against Bencon and this payment-bond claim against the sureties, Boyer also asserted a claim for interest under Chapter 2251 of the Texas Government Code (“Prompt Payment Claim”). In response, Bencon asserted a counterclaim against Boyer, alleging that Boyer’s breach of the Subcontract by its alleged lengthy delay in performing its work thereunder resulted in $533,254.46 in damages to Bencon. The Bencon Parties have not alleged that Boyer failed to complete the work required under its Subcontract or that this work was not performed in a workmanlike manner. After a five-day jury trial, the jury unanimously found as follows:

• Bencon failed to comply with the Subcontract.
• Bencon’s failure to comply was not excused by any alleged failure of Boyer to comply with a material obligation of the Subcontract.
• Bencon’s failure to comply with the Subcontract resulted in actual damages of $81,336.83 to Boyer.
• A reasonable fee for the necessary services of Boyer’s attorneys for preparation and trial is $282,773.33. A reasonable fee for the necessary services of Boyer’s attorneys for an appeal to the court of appeals is $20,000. A reasonable fee for the necessary services of Boyer’s attorneys for an appeal to the Texas Supreme Court is $40,000.
• Boyer did not fail to comply with the Subcontract by failing to complete the contract within a reasonable time. 2

The Bencon Parties filed a motion to disregard jury answers and for judgment notwithstanding the verdict. Boyer filed a motion to disregard one jury finding regarding its Prompt Payment Claim. The trial court granted Boyer’s motion, denied the Bencon Parties’ motion, and except for one disregarded finding regarding the Prompt Payment Claim, the trial court rendered judgment on the jury’s verdict. The Bencon Parties’ motion for new trial was overruled by operation of law. On appeal, the Bencon Parties challenge the legal and factual sufficiency of the evidence to support some of the jury’s findings.

II. Standards op Review

In this case, the Bencon Parties preserved error as to their no-evidence issues by their motion for judgment notwithstanding the verdict and by their motion for new trial. Regardless of what motion a party uses to preserve a no-evidence challenge to fact findings, the same standard of review applies. City of Keller v. Wilson, 168 S.W.3d 802, 823, (Tex.2005). In analyzing a no-evidence issue, we must consider evidence in the light most favorable to the challenged finding and indulge every reasonable inference that would support it. See id. at 821. We must credit favorable evidence if a reasonable factfinder could and disregard contrary evidence unless a reasonable factfin-der could not. See id. at 827. We must determine whether the evidence at trial would enable reasonable and fair-minded people to find the facts at issue. See id. The factfinder is the sole judge of the credibility of the witnesses and the weight *203 to give their testimony. See id. at 819.

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Bluebook (online)
178 S.W.3d 198, 2005 WL 1690585, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bencon-management-general-contracting-inc-v-boyer-inc-texapp-2005.