CG Ranch Services v. Schlumberger Technology Corporation

CourtCourt of Appeals of Texas
DecidedApril 30, 2024
Docket01-22-00720-CV
StatusPublished

This text of CG Ranch Services v. Schlumberger Technology Corporation (CG Ranch Services v. Schlumberger Technology Corporation) 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
CG Ranch Services v. Schlumberger Technology Corporation, (Tex. Ct. App. 2024).

Opinion

Opinion issued April 30, 2024

In The

Court of Appeals For The

First District of Texas ———————————— NO. 01-22-00720-CV ——————————— CG RANCH SERVICES, LLC, Appellant V. SCHLUMBERGER TECHNOLOGY CORPORATION, Appellee

On Appeal from the 129th District Court Harris County, Texas Trial Court Case No. 2020-26175

MEMORANDUM OPINION

This case arises from a contract dispute. CG Ranch Services, LLC sued

Schlumberger Technology Corporation for breach of contract and fraud. The trial

court granted Schlumberger’s motions for summary judgment and ordered that CG

Ranch take nothing on its claims, and CG Ranch appealed. In four issues, CG Ranch argues that the trial court erred in granting Schlumberger’s motions for summary

judgment and in sustaining Schlumberger’s objections to CG Ranch’s summary

judgment evidence.

We affirm.

Background

CG Ranch and Schlumberger entered into an Agreement for Rental

Equipment and Services, dated July 11, 2019, (“Agreement”), whereby

Schlumberger would lease hunting equipment from CG Ranch. The Agreement

consists of several parts that “shall be read as one document,” including the Form of

Agreement and Exhibits A–I. The Agreement provides that it was to be “an umbrella

agreement which sets the terms and conditions under which Schlumberger

may . . . rent Units . . . from [CG Ranch] and/or purchase associated services.”

Under Exhibit A to the Agreement, the General Terms and Conditions for

Rental Equipment and Services, Schlumberger was required to submit a purchase

order describing the type, quantity, price, and required date of delivery of the rental

equipment or products or the performance of services.

On August 1, 2019, Schlumberger and CG Ranch entered into a service order,

under which Schlumberger leased various hunting equipment from CG Ranch for

Schlumberger’s use on its King Ranch property for a 54-month term, beginning on

2 September 1, 2019. A month later, the parties amended the service order to, among

other things, extend the lease period for an additional year, through March 31, 2024.1

By letter dated March 31, 2020, Schlumberger informed CG Ranch that it was

terminating the Agreement pursuant to Article 9.1(f) of the Agreement:

Please allow this correspondence to serve as thirty days’ written notice of the cancellation of the Agreement pursuant to Section 9.1(f) of the Agreement. Such cancellation shall become effective April 30, 2020. Pursuant to Section 9.2(b) of the Agreement, the Service Order shall terminate concurrently.

As per Section 9.5(b) Schlumberger shall pay rental on the equipment/units until the termination date. Additionally, Schlumberger will have the equipment listed in Exhibit 1 of the Service Order that is not currently in CG Ranch Services’ possession ready to be returned to CG Ranch Services on April 30, 2020. Please confirm receipt of this correspondence and advise of plans to retrieve the equipment.

CG Ranch sued Schlumberger, alleging that Schlumberger’s termination

breached the Agreement. Schlumberger moved for traditional summary judgment

on CG Ranch’s breach-of-contract claim, arguing that its termination was expressly

authorized by the Agreement. CG Ranch filed a response and amended its petition

to include a claim for fraud and a second breach-of-contract claim based on

Schlumberger’s alleged misuse and abuse of the rental equipment. The trial court

granted partial summary judgment in favor of Schlumberger on CG Ranch’s claim

of breach of contract by termination.

1 We refer to the August 1, 2019 service order and its September 9, 2019 amendment collectively as the Amended Service Order.

3 The trial court entered a docket control order on CG Ranch’s new claims and

set the deadline to designate expert witnesses for April 10, 2022. CG Ranch did not

designate any experts.

Shortly before the close of discovery, Schlumberger moved for no evidence

summary judgment on CG Ranch’s remaining breach of contract and fraud claims.

In a separate motion filed the same day, Schlumberger also moved for traditional

summary judgment on CG Ranch’s fraud claim.

CG Ranch filed a combined response to both summary judgment motions and

attached as evidence the affidavit of Robert Woodcock. Schlumberger objected to

the Woodcock affidavit, arguing that it was conclusory, and that CG Ranch failed to

timely designate Woodcock as an expert. The trial court sustained Schlumberger’s

objections to the Woodcock affidavit and granted Schlumberger’s no evidence and

traditional motions for summary judgment. CG Ranch now appeals from the trial

court’s final summary judgment.

Summary Judgment

In four issues, CG Ranch argues that the trial court erred in granting summary

judgment in favor of Schlumberger on its breach of contract and fraud claims, and

in sustaining Schlumberger’s objections to the Woodcock affidavit.

4 A. Standard of Review

We review a trial court’s decision to grant a motion for summary judgment de

novo. Valence Operating Co. v. Dorsett, 164 S.W.3d 656, 661 (Tex. 2005). Under

the traditional summary judgment standard, the movant has the burden to show that

no genuine issues of material fact exist and that it is entitled to judgment as a matter

of law. TEX. R. CIV. P. 166a(c); Nixon v. Mr. Prop. Mgmt. Co., 690 S.W.2d 546,

548 (Tex. 1985). To determine whether there are disputed issues of material fact,

we take as true all evidence favorable to the nonmovant and indulge every reasonable

inference in the nonmovant’s favor. Nixon, 690 S.W.2d at 548–49.

To prevail on a no evidence motion for summary judgment, the movant must

demonstrate that there is no evidence to support an essential element of the non-

movant’s claim on which the nonmovant would have the burden of proof at trial.

TEX. R. CIV. P. 166a(i); Hahn v. Love, 321 S.W.3d 517, 523–24 (Tex. App.—

Houston [1st Dist.] 2009, pet. denied). The burden then shifts to the nonmovant to

present some probative evidence raising a genuine issue of material fact as to each

of the elements specified in the motion. Mack Trucks, Inc. v. Tamez, 206 S.W.3d

572, 582 (Tex. 2006).

“The trial court must grant the [no evidence] motion unless the nonmovant

produces more than a scintilla of evidence raising a genuine issue of material fact on

the challenged elements.” Essex Crane Rental Corp. v. Carter, 371 S.W.3d 366, 376

5 (Tex. App.—Houston [1st Dist.] 2012, pet. denied). More than a scintilla of

evidence exists if the evidence “rises to a level that would enable reasonable and

fair-minded people to differ in their conclusions.” Merrell Dow Pharms., Inc. v.

Havner, 953 S.W.2d 706, 711 (Tex. 1997). However, “when the evidence offered

to prove a vital fact is so weak as to do no more than create a mere surmise or

suspicion of its existence, the evidence is no more than a scintilla and, in legal effect,

is no evidence.” Ford Motor Co. v. Ridgway,

Related

J.M. Davidson, Inc. v. Webster
128 S.W.3d 223 (Texas Supreme Court, 2003)
Ford Motor Co. v. Ridgway
135 S.W.3d 598 (Texas Supreme Court, 2004)
Valence Operating Co. v. Dorsett
164 S.W.3d 656 (Texas Supreme Court, 2005)
MacK Trucks, Inc. v. Tamez
206 S.W.3d 572 (Texas Supreme Court, 2006)
David J. Sacks, P.C. v. Haden
266 S.W.3d 447 (Texas Supreme Court, 2008)
Lopez v. Muñoz, Hockema & Reed, L.L.P.
22 S.W.3d 857 (Texas Supreme Court, 2000)
Merrell Dow Pharmaceuticals, Inc. v. Havner
953 S.W.2d 706 (Texas Supreme Court, 1997)
Lidawi v. Progressive County Mutual Insurance Co.
112 S.W.3d 725 (Court of Appeals of Texas, 2003)
Columbia Gas Transmission Corp. v. New Ulm Gas, Ltd.
940 S.W.2d 587 (Texas Supreme Court, 1996)
Nixon v. Mr. Property Management Co.
690 S.W.2d 546 (Texas Supreme Court, 1985)
Provident Life & Accident Insurance Co. v. Knott
128 S.W.3d 211 (Texas Supreme Court, 2003)
Hahn v. Love
321 S.W.3d 517 (Court of Appeals of Texas, 2009)
Britton v. Texas Department of Criminal Justice
95 S.W.3d 676 (Court of Appeals of Texas, 2002)
Ellis v. Precision Engine Rebuilders, Inc.
68 S.W.3d 894 (Court of Appeals of Texas, 2002)
Jack v. HOLIDAY WORLD OF HOUSTON
262 S.W.3d 42 (Court of Appeals of Texas, 2008)
Essex Crane Rental Corp. and Vincent A. Morano v. Kenneth Beverly
371 S.W.3d 366 (Court of Appeals of Texas, 2012)
Tweedell v. Hochheim Prairie Farm Mutual Insurance Ass'n
1 S.W.3d 304 (Court of Appeals of Texas, 1999)

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CG Ranch Services v. Schlumberger Technology Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cg-ranch-services-v-schlumberger-technology-corporation-texapp-2024.