David Lee George v. Fred I. Smith and Martha Smith

CourtCourt of Appeals of Texas
DecidedJanuary 25, 2002
Docket06-01-00019-CV
StatusPublished

This text of David Lee George v. Fred I. Smith and Martha Smith (David Lee George v. Fred I. Smith and Martha Smith) 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
David Lee George v. Fred I. Smith and Martha Smith, (Tex. Ct. App. 2002).

Opinion



In The

Court of Appeals

Sixth Appellate District of Texas at Texarkana



______________________________



No. 06-01-00019-CV



DAVID LEE GEORGE, Appellant



V.



FRED I. SMITH AND MARTHA SMITH, Appellees





On Appeal from the 71st Judicial District Court

Harrison County, Texas

Trial Court No. 99-0597





Before Cornelius, C.J., Grant and Ross, JJ.

Opinion by Justice Grant



O P I N I O N



David Lee George appeals from the trial court's denial of his Motion for New Trial. A no-answer default judgment and an award of unliquidated damages were rendered in favor of Fred I. and Martha Smith. George timely filed a Motion for New Trial in which he sought to establish, through pleadings and affidavits, the three elements necessary to warrant granting his motion and vacating the no-answer default judgment. After a hearing, the trial court denied George's Motion for New Trial.

Factual Background

The trial court rendered a no-answer default judgment and awarded unliquidated damages in favor of Fred I. and Martha Smith. This suit arose from a car accident that occurred September 21, 1997. George was traveling eastbound on the westbound side of the highway when he struck a guardrail and then the Smiths' car. Two lawsuits arising from this accident were filed in July 1999. The two causes had similar styles, but differed in how a third-party insurance company was listed. In September 1999, the sheriff's office called George to notify him of papers they had for him to pick up. George contacted his attorney, who advised him to wait until he was served. Despite the fact that George was not served until November 10, 1999, his attorney attempted to file the same general denial for both cases in September 1999. The answer was actually filed with the clerk in one case, but due to a typographical mistake, an answer was not filed in the case now before this court. George took no further action for more than a year. In November 2000, the Smiths were awarded a no-answer default judgment. Although there was no evidentiary hearing and no evidence was submitted by affidavit or otherwise, the judgment included unliquidated damages. The trial court denied George's Motion for New Trial after a hearing in January 2001.

Issues Presented

George complains on appeal that the trial court erred by declining to grant a new trial even though he established the requisite elements to have the default set aside in a timely motion for new trial. In the alternative, he contends that the trial court erred by awarding unliquidated damages with no supporting evidence. George further contends that he is entitled to a new trial as to damages because, through no fault of his own, he is unable to procure a reporter's record of any evidentiary hearings by which he can present his no-evidence argument on appeal. Because we find for George on the first point of error, we do not reach his remaining grounds of error. The judgment of the trial court is reversed, and the cause is remanded for trial.

The Craddock Test

By his first point of error, George asserts that he is entitled to a new trial under Craddock v. Sunshine Bus Lines, 134 Tex. 388, 133 S.W.2d 124 (1939). Determining whether to grant or deny a motion for new trial is a matter which falls within the sound discretion of the trial judge. Bank One, Texas, N. Am. v. Moody, 830 S.W.2d 81, 85 (Tex. 1992); Strackbein v. Prewitt, 671 S.W.2d 37, 38 (Tex. 1984). The trial judge's decision will not be disturbed absent an abuse of discretion. Strackbein, 671 S.W.2d at 38. The trial judge's application of law to the facts, however, is given less deference than findings of fact. Greiner v. Jameson, 865 S.W.2d 493, 498 (Tex. App.-Dallas 1993, writ denied). The trial court does not have unbridled discretion to decide a motion for new trial, but instead must rely on guiding rules and principles in reaching its decision. See Craddock, 133 S.W.2d at 126.

Craddock sets forth the three elements of proof required to obtain a new trial following a no-answer default judgment. Id. George bears the burden of showing that: (1) his failure to answer before judgment was neither intentional nor the result of conscious indifference, but was due to mistake or accident; (2) the motion for new trial sets up a meritorious defense; and (3) granting the motion will occasion no delay or otherwise injure the plaintiff. Id.; accord Estate of Pollack v. McMurrey, 858 S.W.2d 388, 390 (Tex. 1993). A trial court abuses its discretion by not granting a new trial when all three Craddock elements are met. Moody, 830 S.W.2d at 85.

Absence of Intent or Conscious Indifference

Whether the failure to file an answer was the result of conscious indifference is a fact question. Pollack, 858 S.W.2d at 391. Factual determinations are reviewed only for abuse of discretion. The trial court does not abuse its discretion if some evidence reasonably supports its decision. Davis v. Huey, 571 S.W.2d 859, 862 (Tex. 1978). When a defendant relies on his agent to file an answer, he must demonstrate that both he and his agent were free of conscious indifference. Holt Atherton Indus., Inc. v. Heine, 835 S.W.2d 80, 83 (Tex. 1992).

George's argument is based on a typographical error in the cause number. William J. Huddleston, George's attorney, filed an Affidavit along with the Motion for New Trial stating that he attempted to file an answer to two separate lawsuits by typing the two cause numbers at the top of a single general denial. This pleading was to be filed with the clerk in both cases. One cause number (99-0628) was mistakenly typed twice, while the other (99-0597, and the subject of this appeal) was omitted. Consequently, an answer was filed on September 17, 1999, but only in cause number 99-0628. At the hearing on George's motion to set aside the default judgment and for new trial, the trial court found that his failure to file an answer prior to the date of the default judgment was due to accident or mistake, not conscious indifference. There is sufficient evidence in the record to support the trial court's finding on this issue. See Davis, 571 S.W.2d at 862. The first prong of the Craddock test is satisfied.

Meritorious Defense

George presents three arguments purporting to satisfy the meritorious defense prong of Craddock

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David Lee George v. Fred I. Smith and Martha Smith, Counsel Stack Legal Research, https://law.counselstack.com/opinion/david-lee-george-v-fred-i-smith-and-martha-smith-texapp-2002.