Bennett v. Computer Associates International, Inc.

932 S.W.2d 197, 1996 Tex. App. LEXIS 4412, 1996 WL 583214
CourtCourt of Appeals of Texas
DecidedOctober 4, 1996
Docket07-95-0043-CV
StatusPublished
Cited by50 cases

This text of 932 S.W.2d 197 (Bennett v. Computer Associates International, 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
Bennett v. Computer Associates International, Inc., 932 S.W.2d 197, 1996 Tex. App. LEXIS 4412, 1996 WL 583214 (Tex. Ct. App. 1996).

Opinion

QUINN, Justice.

J. William Bennett (Bennett) appeals from a final summary judgment entered in favor of Computer Associates International, Inc., CA Management, Inc., and Joseph Veazey (collectively referred to as CAI). 1 Through his two points of error, he asks whether the trial court erred in granting CAI’s motion for summary judgment, and in denying his own, upon his claims of defamation and tortious interference with contract. We affirm in part and reverse in part. 2

Background

Bennett sued CAI for defamation, false light, invasion of privacy, intentional infliction of emotional distress, and tortious interference with contract. The allegations arose from the sale of the assets of J. William Bennett Company (Bennett Co.) to Goal Systems International, Inc. (Goal). The assets sold consisted of most everything that Bennett Co. owned, including five computer programs allegedly developed by Bennett and known as Jobtrac, Runtrac, Libtrac, Reptrac, and Logtrac (collectively referred to as the “Software Products”). In return, Goal agreed to give Bennett, among other things, $1,000,000, “the present value of [Bennett Co.’s] ... accounts receivable (subject to adjustment ...),” a percentage of the “license revenue” earned during a specified period, and options to purchase Goal common stock. 3 The number of options transferred depended upon the amount of “license revenue” generated by the licensing of the Software Products.

Bennett also executed a written agreement with Goal under which the latter agreed to employ him for approximately four and one-half years. Additionally, his compensation would consist of, among other things, a salary plus yearly bonus.

After Bennett Co. and Goal closed their transaction, CA Management, Inc. sued Goal for copyright infringement in the United States District Court for the Southern District of Texas. It alleged that of the five items comprising the Software Products, two, that is, Jobtrac and Runtrac, contained pro *200 prietary information it created or owned. Bennett supposedly incorporated the proprietary matter into the two programs without approval, according to the federal pleading. Eventually, CA Management settled its dispute with Goal for 3.5 million dollars, and, in turn, Goal fired Bennett and refused to further perform its obligations under the asset purchase agreement.

Believing himself aggrieved, Bennett sued CAI in the 129th Judicial District Court of Harris County. After issue was joined, the parties filed cross-motions for summary judgment. The court granted that of CAI, denied Bennett all relief, and entered an order specifying the basis for its decision. Bennett then appealed, and the matter lies before us.

Again, Bennett’s appellate brief addressed only two of the causes of action rejected by the trial court. Because of that, we consider only the reasons stated in the trial court’s order as applicable to those two claims. As to the matter of defamation, the court held that the supposedly disparaging remarks were either absolutely privileged, conditionally privileged, not defamatory, substantially or literally true, unpublished by CAI save for a few exceptions, or opinion. Concerning the issue of tortious interference, it determined that Bennett lacked standing to complain, that CAI’s actions were privileged, and that judgment was appropriate “for the same reasons ... summary judgment ha[d] been granted with respect to ... [the] cause of action for defamation.”

Point of Error — Defamation

Bennett contends that the trial court erred in granting CAI’s motion for summary judgment and in denying his motion for partial summary judgment on defamation. We disagree and overrule the point. Before explaining why, however, we must first consider a procedural matter.

I. Scope of Review

CAI’s motion for summary judgment addressed approximately twelve different situations in which comments were made. Four concerned press or newswire releases, four involved articles in a magazine entitled Com/puterworld, three encompassed internal memoranda circulated to CAI employees, and one pertained to settlement discussions between CAI and Goal on July 5, 1990, concerning the federal suit. Nevertheless, Bennett argued, on appeal, that “[h]is ... claim was based on [CAI’s] various publications that he was a ‘thief and a ‘crook’ who had stolen ... computer software.” These particular utterances were allegedly made by Anthony (Tony) Wang, then president of Computer Associates International, during the July 5th settlement discussions.

Bennett said nothing in his brief about the trial court’s action vis-a-vis the remarks allegedly appearing in the newspapers, trade magazines, or internal memoranda to company employees. From this, we conclude that he waived complaint about the propriety of the summary judgment upon all the supposed defamations save those made during the July 5th settlement conference. See AC. Collins Ford, Inc. v. Ford Motor Co., 807 S.W.2d 755, 760 (Tex.App.—El Paso 1990, writ denied) (holding that the failure to address, in its appellate brief, claims asserted below effected a waiver of the unmentioned claims). With this in mind, we now address the merits underlying Bennett’s point of error.

II. Privileged Communication

One who falsely imputes to another the crime of theft commits slander per se. Glenn v. Gidel, 496 S.W.2d 692, 697-98 (Tex.Civ.App.—Amarillo 1973, no writ); see Ramos v. Henry C. Beck Co., 711 S.W.2d 331, 334 (Tex.App.—Dallas 1986, no writ) (holding that a statement which unambiguously and falsely imputes criminal conduct to another is slander per se). Furthermore, the slander is actionable if uttered to a third-party without legal excuse or privilege. Glenn v. Gidel, 496 S.W.2d at 698.

Falsely calling someone a “crook” or “thief’ or falsely accusing him of stealing property falls within the parameters of slander per se, as discussed above. Thus, the purported statements of Wang were actionable unless otherwise excused. CAI attempted to cloak them with excuse by eon- *201 tending that they arose incident to a judicial proceeding. We agree.

Any communication made or published during the course of a judicial proceeding is absolutely privileged; that is, no action will lie to recompense any injury which they may cause. James v. Brown, 637 S.W.2d 914, 916-17 (Tex.1982); Reagan v. Guardian Life Ins. Co., 166 S.W.2d 909, 912 (Tex.1942). Furthermore, to be so privileged, the statement must “bear[] some relation” to proposed or existing litigation. Hill v. Herald-Post Pub. Co.,

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Bluebook (online)
932 S.W.2d 197, 1996 Tex. App. LEXIS 4412, 1996 WL 583214, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bennett-v-computer-associates-international-inc-texapp-1996.