Castle River Architectural Control Committee v. Samantha Luarca

Court of Appeals of Texas·Decided June 16, 2022·No. 13-20-00400-CV·Published

Opinion

NUMBER 13-20-00400-CV

COURT OF APPEALS

THIRTEENTH DISTRICT OF TEXAS

CORPUS CHRISTI – EDINBURG

CASTLE RIVER ARCHITECTURAL CONTROL COMMITTEE Appellant, v.

SAMANTHA LUARCA, Appellee.

On appeal from the 94th District Court of Nueces County, Texas.

MEMORANDUM OPINION Before Chief Justice Contreras and Justices Benavides and Tijerina Memorandum Opinion by Justice Tijerina

Appellant Castle River Architectural Control Committee (ACC) appeals the trial

court’s granting of appellee Samantha Luarca’s plea to the jurisdiction and motion to

dismiss. By two issues, which we renumber, ACC argues: (1) it has standing to enforce

restrictive covenants, and (2) the trial court’s order “granting judgment against [Michael]

Pusley” is error. We affirm. I. BACKGROUND

Luarca is a resident of the Castle River Subdivision (CRS). CRS is governed by its

declaration, which was recorded in Nueces County. ACC was created by the declaration

and consists of three members, including Pusley. The declaration requires all

homeowners within CRS to submit a plan and specifications to ACC before building or

erecting any building. It grants ACC the explicit authority to approve or disapprove a

homeowner’s request to erect or place a building on any lot located within CRS.

Luarca did not obtain ACC’s approval before she erected an outbuilding on her

property in CRS. On May 15, 2019, ACC notified Luarca that the outbuilding did not

comply with CRS’s restrictive covenants. On February 6, 2020, ACC sued Luarca seeking

to enforce the restrictive covenants.

Luarca generally denied the allegations against her. She subsequently filed a joint

plea to the jurisdiction and motion to dismiss asserting ACC lacked standing to sue her

pursuant to the Texas Property Code because: (1) it was not a property owners’

association (POA), see TEX. PROP. CODE ANN. § 202.001(2); (2) it was not a designated

representative of a property owner, see id. § 202.004; and (3) it was not a property owner.

See id. ACC responded that, as “an unincorporated [POA] whose members consist of

owners of the property,” it had standing to bring suit on behalf of its members.

Following a two-day hearing, on August 20, 2020, the trial court orally dismissed

ACC’s claims for lack of standing, stating that the declaration:

could have made the ACC the body that could sue, but it clearly doesn’t. I mean, it spells out who can do it and it says, “If any person or persons violates or attempts to violate,” [the declaration] . . . “it shall be lawful for any

2 person or persons owning any lot in said subdivision to prosecute proceedings at law or in equity against the person,” that’s what it says. So[,] I don’t think the ACC can do it.

The trial court then requested that the parties submit proposed orders of dismissal without

prejudice so that ACC could refile with the proper parties named. Instead, that same day,

ACC amended its petition, added Pusley as a named plaintiff, and sought a permanent

injunction requiring that Luarca remove the outbuilding. On August 23, 2020, the trial court

granted Luarca’s joint plea to the jurisdiction and motion to dismiss and ordered the claims

against Luarca dismissed.

On September 15, 2020, ACC and Pusley filed a motion to reconsider asserting

“the only reasonable characterization of [ACC] is that they are a [POA].” They further

requested clarification of the August 23, 2020 order, asserting that, though Pusley was

now a party to the suit, the order did not address him. The parties filed bench briefs

regarding the timeliness of Pusley’s appearance in the case.

On September 17, 2020, the trial court held a hearing. At the hearing, the parties

informed the trial court that Pusley, in his individual capacity as CRS homeowner, filed a

separate suit against Luarca in a separate cause number in another trial court, asserting

the same cause of action, and seeking the same relief, which according to the parties is

still pending. Luarca stated:

It’s really disingenuous for these guys to come here today, ask you to reconsider a motion—an order on an issue that they’ve already taken—they’ve already taken material steps towards remedying by filing a second lawsuit alleging the same causes of action against the same client.

3 Three days later, the trial court denied the motion to reconsider, ordered that the August

23, 2020 order “remains in full effect,” reiterated that “[t]his order finally disposes of all

claims and all parties,” and is “final and appealable.” The trial court’s dismissal specifically

ordered that Pusley’s separate lawsuit “Case No. 2020DCV-3240-D; Michael Pusley v.

Samantha Luarca in the 105th District Court, Nueces County shall be transferred to this

Court per the local rules.” This appeal followed.

II. STANDING

By its first issue, ACC asserts the trial court erred in granting Luarca’s motion to

dismiss because it has standing to sue as a POA.

A. Applicable Law and Standard of Review

Standing is a component of subject matter jurisdiction. DaimlerChrysler Corp. v.

Inman, 252 S.W.3d 299, 309 (Tex. 2008); Tex. Ass’n of Bus. v. Tex. Air Control Bd., 852

S.W.2d 440, 443 (Tex. 1993). A court has no jurisdiction over a claim pursued by a plaintiff

who lacks standing to assert the claim; the proper resolution is to dismiss the lawsuit.

DaimlerChrysler, 252 S.W.3d at 304. Standing may be challenged by “a motion to

dismiss[,] but the motion is treated as a plea to the jurisdiction because standing is a

component of subject matter jurisdiction.” Haddy v. Caldwell, 355 S.W.3d 247, 250 (Tex.

App.—El Paso 2011, no pet.); see Brown v. Todd, 53 S.W.3d 297, 305 n.3 (Tex. 2001);

Clifton v. Walters, 308 S.W.3d 94, 98 (Tex. App.—Fort Worth 2010, pet. denied); Lacy v.

Bassett, 132 S.W.3d 119, 122 (Tex. App.—Houston [14th Dist.] 2004, no pet.) (holding

that a motion to dismiss for lack of jurisdiction is functionally the equivalent of a plea to

4 the jurisdiction).

Whether a trial court has subject matter jurisdiction is a question of law we review

de novo. Tex. Dep’t of Transp. v. City of Sunset Valley, 146 S.W.3d 637, 646 (Tex. 2004).

The burden is on the plaintiff to plead facts affirmatively demonstrating the trial court’s

jurisdiction. Tex. Dep’t of Parks & Wildlife v. Miranda, 133 S.W.3d 217, 226 (Tex. 2004).

We construe the plaintiff’s pleadings liberally, taking all factual assertions as true, and

look to the plaintiff’s intent. See id. We must uphold the trial court’s granting of a plea to

the jurisdiction if the plaintiff’s pleadings affirmatively negate the existence of jurisdiction.

If a plea to the jurisdiction challenges the existence of jurisdictional facts, we consider

relevant evidence submitted by the parties when necessary to resolve the jurisdictional

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