Brown & Gay Engineering, Inc. v. Zuleima Olivares, Individually and as the Representative of the Estate of Pedro Olivares, Jr., & Pedro Olivares

461 S.W.3d 117, 58 Tex. Sup. Ct. J. 678, 2015 Tex. LEXIS 341, 2015 WL 1897646
CourtTexas Supreme Court
DecidedApril 24, 2015
Docket13-0605
StatusPublished
Cited by144 cases

This text of 461 S.W.3d 117 (Brown & Gay Engineering, Inc. v. Zuleima Olivares, Individually and as the Representative of the Estate of Pedro Olivares, Jr., & Pedro Olivares) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brown & Gay Engineering, Inc. v. Zuleima Olivares, Individually and as the Representative of the Estate of Pedro Olivares, Jr., & Pedro Olivares, 461 S.W.3d 117, 58 Tex. Sup. Ct. J. 678, 2015 Tex. LEXIS 341, 2015 WL 1897646 (Tex. 2015).

Opinions

Justice Lehrmann

delivered the opinion of the Court,

in which Justice Green, Justice Johnson, Justice Boyd, and Justice Devine joined.

The doctrine of sovereign immunity bars suit against the government absent legislative consent. In this case, a private engineering firm lawfully contracted with a governmental unit to design and construct a roadway, and a third party sued the firm for negligence in carrying out its responsibilities. The firm filed a plea to the jurisdiction seeking the same sovereign-immunity protection that the governmental unit would enjoy had it performed the work itself. The trial court granted the plea, but the court of appeals reversed, holding that the firm was not immune from suit. We hold that extending sovereign immunity to the engineering firm does not serve the purposes underlying the doctrine, and we therefore decline to do so. Accordingly, we affirm the court of appeals’ judgment.

I. Background

During the early hours of January 1, 2007, an intoxicated driver entered an exit ramp of the Westpark Tollway in Fort Bend County. He proceeded east in the westbound lanes for approximately eight miles before colliding with a car driven by Pedro Olivares, Jrl Both drivers were killed.

The Fort Bend County portion of the Tollway fell under the purview of the Fort Bend County Toll Road Authority, a local government corporation created to design, build, and operate the Tollway. Rather than utilize government employees to carry out its responsibilities, the Authority entered into an Engineering Services Agreement with Brown & Gay Engineering, Inc. pursuant to Texas Transportation Code section 431.066(b), which authorizes local government corporations to retain “engineering services required to develop a transportation facility or system.” Under that agreement, the Authority delegated the responsibility of designing road signs and traffic layouts to Brown & Gay, subject to approval by the Authority’s Board of Directors.1 Brown & Gay was contractually responsible for furnishing the necessary equipment and personnel to perform its duties and was required to [120]*120maintain insurance for the project, including workers’ compensation, commercial general liability, business automobile liability, umbrella excess liability, and professional liability.

Olivares’s mother, individually and as representative of his estate, and his father sued the Authority and Brown & Gay, among othefs,2 alleging that the failure to design and install proper signs, warning flashers, and other traffic-control devices around the exit ramp where the intoxicated driver entered the Tollway proximately caused Olivares’s death. The Authority filed a plea to the jurisdiction on governmental-immunity grounds. The trial court denied the plea, but on interlocutory appeal the court of appeals reversed, holding that the Authority was immune from claims based on its discretionary acts related to the placement and sufficiency of signs and other traffic-control and traffic-safety devices. Fort Bend Cnty. Toll Road Auth. v. Olivares, 316 S.W.3d 114, 121-26 (Tex.App.-Houston [14th Dist.] 2010, no pet.). The court of appeals remanded the case to the trial court to give the Olivareses an opportunity to amend their pleadings. Id. at 129. On remand, the Olivareses nonsuited the Authority, whose immunity is no longer at issue in this proceeding.

Brown & Gay then filed its own plea to the jurisdiction, arguing that it was an employee of the Authority being sued in its official capacity and was therefore enti-tied to governmental immunity. See Tex. Adjutant General’s Office v. Ngakoue, 408 S.W.3d 350, 356 (Tex.2013) (explaining that a suit against a government official acting in an official capacity is “merely another way of pleading an action against the entity of which the official is an agent” (internal quotation marks and citation omitted)). The trial court granted the plea, but the court of appeals reversed, holding that Brown & Gay was not entitled to governmental immunity because it was an independent contractor, not an “employee” of the Authority as that term is defined in the Texas Tort Claims Act.3 401 S.W.3d 363, 378-79 (Tex.App.-Houston [14th Dist.] 2013).

In this Court, Brown & Gay argues that its status as an independent contractor rather than a government employee does not foreclose its entitlement to the same immunity afforded to the Authority. It argues that the court of appeals’ reliance on the Tort Claims Act was misplaced because the Act “uses ‘employee’ to delineate the circumstances where the government will be liable under a waiver of immunity,” not “to limit the scope of ... unwaived governmental immunity.” Brown & Gay further argues that the purposes of sovereign immunity are served by extending it to private entities performing authorized governmental functions for which the government itself would be immune.

[121]*121II. Analysis

A. Origin and Purpose of Sovereign Immunity

Once again we are presented with questions about the parameters of sovereign immunity, the well-established doctrine “that ‘no state can be sued in her own courts without her consent, and then only in the manner indicated by that consent.’ ” Tooke v. City of Mexia, 197 S.W.3d 325, 331 (Tex.2006) (quoting Hosner v. DeYoung, 1 Tex. 764, 769 (1847)). “While sovereign immunity developed as a common-law doctrine, we “have consistently deferred to the Legislature to waive such immunity.” Reata Constr. Corp. v. City of Dall., 197 S.W.3d 371, 375 (Tex.2006) (emphasis omitted). Referred to as governmental immunity when applied to the state’s political subdivisions,4 Travis Cent. Appraisal Dist. v. Norman, 342 S.W.3d 54, 57-58 (Tex.2011), sovereign immunity encompasses both immunity from suit and immunity from liability, Reata Constr. Corp., 197 S.W.3d at 374. Immunity from liability is an affirmative defense that bars enforcement of a judgment against a governmental entity, while immunity from suit bars suit against the entity altogether and may be raised in a plea to the jurisdiction. State v. Lueck, 290 S.W.3d 876, 880 (Tex.2009); Wichita Falls State Hosp. v. Taylor, 106 S.W.3d 692, 696 (Tex.2003).

Although the doctrine’s origins lie in the antiquated “feudal fiction that ‘the King can do no wrong,’ ” modern-day justifications revolve around protecting the public treasury. Taylor, 106 S.W.3d at 695. At its core, the doctrine “protects the State [and its political subdivisions] from lawsuits for money damages” and other forms of relief, and leaves to the Legislature the determination of when to allow tax resources to be shifted “away from their intended purposes toward defending lawsuits and paying judgments.” Tex. Natural Res. Conservation Comm’n v. IT-Davy,

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461 S.W.3d 117, 58 Tex. Sup. Ct. J. 678, 2015 Tex. LEXIS 341, 2015 WL 1897646, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brown-gay-engineering-inc-v-zuleima-olivares-individually-and-as-the-tex-2015.