City of Ingleside v. Kneuper

768 S.W.2d 451, 1989 Tex. App. LEXIS 1084, 1989 WL 43408
CourtCourt of Appeals of Texas
DecidedMarch 29, 1989
Docket3-88-138-CV
StatusPublished
Cited by66 cases

This text of 768 S.W.2d 451 (City of Ingleside v. Kneuper) 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
City of Ingleside v. Kneuper, 768 S.W.2d 451, 1989 Tex. App. LEXIS 1084, 1989 WL 43408 (Tex. Ct. App. 1989).

Opinion

JONES, Justice.

This appeal arose out of a suit filed by George Kneuper, appellee, under what has been dubbed the Texas “Whistleblower Act,” Tex.Rev.Civ.Stat.Ann. art. 6252-16a (Supp.1989), after he was fired from his job as Director of Public Works for the City of Ingleside, appellant. The trial court initially reinstated Kneuper to his job through the granting of a temporary injunction. Following a trial on the merits in which the jury answered all questions in Kneuper’s favor, the trial court granted judgment for Kneuper for damages and permanent in-junctive relief. We will modify the judgment and affirm it as modified.

On March 10, 1987, Kneuper reported to the Texas Rangers what he believed to be criminal activity in connection with building inspections and the City’s former building inspector, who had already been fired at the time of the report. On March 27, Kneuper was terminated by the city manager. At trial, the City argued that Kneu-per had been terminated for negligence in the performance of his duties, insubordination, and the willful violation of personnel rules and regulations. Kneuper contended that he had been fired for reporting the violations of law.

The Whistleblower Act provides as follows, in pertinent part:

Sec. 2. A state or local governmental body may not suspend or terminate the employment of, or otherwise discriminate against, a public employee who reports a violation of law to an appropriate law enforcement authority if the employee report is made in good faith.
******
Sec. 4. (a) A public employee who sues under this Act may recover:
(1) actual damages;
(2) exemplary damages;
(3) costs of court; and
(4) reasonable attorney’s fees.
(b) In addition to amounts recovered under Subsection (a) of this section, a public employee whose employment is suspended or terminated in violation of this Act is entitled to:
(1) reinstatement in his former position;
(2) compensation for wages lost during the period of suspension or termination; and
(3) reinstatement of any fringe benefits or seniority rights lost because of the suspension or termination.

Excluding sub-questions relating to attorney’s fees, which are not in dispute, the jury answered the following questions:

QUESTION 1
Was George Kneuper’s report of a violation of law by Keith Eppard to the Texas Ranger the reason or one of the reasons that the City terminated George Kneuper’s employment? 1
Answer: Yes
QUESTION 2
Was George Kneuper’s report of a violation to the Texas Ranger made in good faith?
You are instructed that “good faith” means honesty in fact in the conduct concerned. You are to consider George Kneuper’s actual belief as long as that belief was not unreasonable.
Answer: Yes
*454 QUESTION 3
What sum of money, if any, if paid now in cash, do you find from a preponderance of the evidence would reasonably and adequately compensate George Kneuper for damages sustained as a result of the city’s termination of George Kneuper’s employment?
Consider the following elements of damages, if any, and none other:
(a) Mental anguish and suffering in the past.
Answer: $50,000
(b) Mental anguish and suffering which, in reasonable probability, he will suffer in the future.
Answer: $36,000
(c) Loss of earnings in the past.
Answer: $600
(d) Loss of earning capacity which, in reasonable probability, he will suffer in the future.
Answer: $75,000
(e) Retirement and other employees benefits to which George Kneuper would have been entitled had he continued to work for the City of Ingle-side, Texas.
Answer: $108,000
QUESTION 4
What sum of money, if any, do you find from a preponderance of the evidence that George Kneuper should be awarded against the City as exemplary damages?
“Exemplary Damages” means an amount which you may in your discretion award as an example to others and as a penalty or by way of punishment, in addition to any amount which you may have found as damages in response to QUESTION 3.
Answer: $300,000

On the basis of these answers, the trial court awarded Kneuper judgment for $344,600 actual damages (which included attorney’s fees through trial), $300,000 exemplary damages, prejudgment interest, and appellate attorney’s fees, and permanently enjoined the City from terminating Kneuper’s employment for any conduct occurring prior to the date of the judgment.

In five points of error, the City attacks the judgment for failing to submit, as a predicate to the award of exemplary damages, a question inquiring whether the City acted with malice; for awarding Kneuper a total of $183,000 for future economic loss while at the same time enjoining the City from terminating his employment; for having legally and factually insufficient evidence to support the jury’s answers to questions 3(d) and 3(e), regarding future economic loss; for having legally and factually insufficient evidence to support the jury’s answers to questions 3(a) and 3(b), regarding past and future mental anguish; and for having legally and factually insufficient evidence to support the jury’s answer to question 4, regarding exemplary damages.

The City’s first point of error raises the issue whether the Act requires, as a prerequisite to an award of exemplary damages, a finding that it acted with malice in terminating Kneuper’s employment. Our primary goal in resolving this issue is the search for the Legislature’s intent, which we must, if possible, determine from the language of the Act itself. Crimmins v. Lowry, 691 S.W.2d 582 (Tex.1985). Kneu-per suggests that the language of the Act is clear and unambiguous. Because malice is not expressly stated to be a prerequisite to an award of exemplary damages, he argues that it is not required. A proper analysis, however, is not so simple.

In order to ascertain legislative intent, a statute will be construed in the light of the entire body of law existing at the time of its enactment, including the common law. In re Estates of Carrigan, 517 S.W.2d 817

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Bluebook (online)
768 S.W.2d 451, 1989 Tex. App. LEXIS 1084, 1989 WL 43408, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-ingleside-v-kneuper-texapp-1989.