Bennett v. Reynolds

242 S.W.3d 866, 2007 Tex. App. LEXIS 9906, 2007 WL 4462925
CourtCourt of Appeals of Texas
DecidedDecember 21, 2007
Docket03-05-00034-CV
StatusPublished
Cited by22 cases

This text of 242 S.W.3d 866 (Bennett v. Reynolds) 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. Reynolds, 242 S.W.3d 866, 2007 Tex. App. LEXIS 9906, 2007 WL 4462925 (Tex. Ct. App. 2007).

Opinion

OPINION

BOB PEMBERTON, Justice.

Thomas 0. Bennett, Jr., and the James B. Bonham Corporation each appeal a *870 judgment awarding Randy Reynolds $5,327.11 in actual damages, imposed jointly and severally against them, plus punitive damages of $250,000 from Bennett and $1 million from Bonham Corporation. The judgment was based on jury findings that Bennett, the president of Bonham Corporation, and the corporation itself converted cattle owned by Reynolds having a reasonable cash value of $5,327.11; that each acted with malice; and that each committed felony theft. Bennett and Bonham Corporation each challenge the legal and factual sufficiency of the evidence supporting various jury findings. Each also contends that the amounts of the punitive damage awards— almost 47 times the actual damages award as to Bennett and almost 188 times actual damages for Bonham Corporation — exceed the “substantive” limitations of the Due Process Clause. See State Farm Mut. Auto. Ins. Co. v. Campbell, 538 U.S. 408, 417-18, 123 S.Ct. 1513, 155 L.Ed.2d 585 (2003); BMW of N. Am. v. Gore, 517 U.S. 559, 568, 116 S.Ct. 1589, 134 L.Ed.2d 809 (1996); Tony Gullo Motors I, L.P. v. Chapa, 212 S.W.3d 299, 307-08 (Tex.2006).

As we explain below, we find that the controlling jury findings challenged by the appellants are supported by legally and factually sufficient evidence. Further, based on the somewhat unusual record in this case, the punitive damages awards do not exceed due process limitations. For these reasons, we will affirm the judgment.

BACKGROUND

We will fully detail the evidence as it becomes relevant to our analysis of the appellants’ issues. To provide some basic factual and procedural context, the principal underlying events occurred in northern San Saba County on properties situated along the Colorado River, which carves the county’s boundary with Mills County. As it has long been, cattle ranching continues to be a common activity in this area.

Several witnesses acknowledged, and none disputed, that the respective rights of cattle ranchers and landowners in San Saba County are governed in part by an “open range” law. Simply put, cattle owners are not obligated to fence in their cattle, and any individual landowners who do not want stray cattle grazing on their vegetation,-trampling things underfoot, or causing other damage commonly associated with these large livestock have the burden of fencing out cattle.

The evidence reflected that although landowners or ranchers in this area typically maintain barbed-wire fencing to confine their cattle or keep out strays, it is not uncommon for cattle to escape fenced areas and wander onto other properties. In particular, some areas along the Colorado River áre not fenced, the landowners relying solely on the river and related topography to provide a natural barrier to cattle. During dry spells, however, the river can recede to an extent that cattle it otherwise confines can escape by wandering into and along the dried river bed. Although escaped cattle are sometimes never seen again, they often are later located on other properties along the river. In such instances, the precise manner of recovering the cattle or returning them to their rightful owner is a matter ordinarily worked out among the neighbors involved in light of their relationship and past dealings.

This case involves one of those dry spells along the Colorado, stray cattle, and a rather hostile relationship between two neighbors.

Reynolds’s missing cattle

It was undisputed that during the summer and fall of 2000, drought conditions caused the Colorado River to dry up, allowing cattle to escape some properties along the river. One of those properties *871 was a 320-acre pasture abutting the Colorado near the historic Regency suspension bridge that Randy Reynolds, appellee, leased from Mrs. Willie Mae Locker. Reynolds had been married to Mrs. Locker’s daughter, Bobbie Lee, until Bobbie Lee’s 1998 death. Reynolds had begun leasing the property from Mrs. Locker following the 1987 death of his father-in-law, Lloyd Locker; he also purchased most of Mr. Locker’s cattle at that time.

Having previously lost cattle from the Locker property when the Colorado dried up, 1 Reynolds testified that while checking on his cattle, he had been watching the “holes” in fencing created as the river receded. “About a week went by and I didn’t get down there,” Reynolds recounted. When he checked on the cattle again — which he placed in mid-October 2000 or “a week or so after the first part of October” — Reynolds discovered 23 head of his cattle missing. He claimed that he last saw the missing cattle on October 1.

After discovering his cattle missing, Reynolds explained that he called “all the neighbors up and down the river as we always do” to try to locate them. He also indicated that, sometime in mid-October, he walked the riverbed looking for his cattle, tracked them along the muddy and sandy surface through a “hole” where the cattle had avoided the fencing along the east boundary of the Locker property, downstream past some other properties, and ultimately up the riverbank toward an open gate. The gate led into the main portion of an approximately 914-acre property that, while identified on the front gate as the “Bennett Ranch,” was owned by the Bonham Corporation, appellant. Other portions of the Bennett Ranch also extended to Farm Road 500 and shared a common fence line with the southern boundary of the Locker property.

The Bonham Corporation’s articles of incorporation state its purposes as “construction and repair of buildings; development of property; and all related contracts permitted by law.” Bennett, appellant, is the corporation’s president and registered agent. According to Bennett, the Bonham Corporation bought land to improve, subdivide into smaller tracts, and resell. Bennett testified that he had formed Bonham Corporation in 1975 “to put some stuff in it for [his] daughters,” and he introduced what purported to be stock certificates reflecting that his two daughters each owned half of the corporation’s stock. Bennett, on behalf of the corporation, had acquired the property in San Saba County through a series of purchases between 1990 and 1995. The corporation also owned a spread of over 3,800 acres in Navarro County in or near Corsicana, and had land holdings in several other Texas counties. The corporation owned houses on both the Bennett Ranch and its Corsi-cana property, 2 where Bennett was permitted to live rent-free. 3 Among other duties as corporation president, Bennett hired, directed and paid ranch hands, whose *872 duties on the Bennett Ranch included building cattle guards, pens, and fencing, and repairing farm, ranch, and irrigation equipment.

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Cite This Page — Counsel Stack

Bluebook (online)
242 S.W.3d 866, 2007 Tex. App. LEXIS 9906, 2007 WL 4462925, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bennett-v-reynolds-texapp-2007.