Diana Simpson and John Harding v. Oaks on Monfort Condominium Association, Veracity Inc. and Lori Welsh

Court of Appeals of Texas·Decided January 19, 2021·No. 05-19-00123-CV·Published

Opinion

Affirm; Opinion Filed January 19, 2021

In The

Court of Appeals

Fifth District of Texas at Dallas No. 05-19-00123-CV

DIANA SIMPSON AND JOHN HARDING, Appellants V.

OAKS ON MONTFORT CONDOMINIUM ASSOCIATION, VERACITY INC., AND LORI WELSH, Appellees

On Appeal from the 95th District Court Dallas County, Texas

Trial Court Cause No. DC-16-10283

MEMORANDUM OPINION

Before Justices Myers, Garcia,1 and Pedersen, III Opinion by Justice Pedersen, III Appellants Diana Simpson and John Harding sought a declaratory judgment

that appellees, Oaks on Montfort Condominium Association, Veracity Inc., and Lori Welsh, did not have the right to enter into their condominium unit to perform repairs and did not have the right to charge them for security fees. Following a bench trial, the trial court entered a final judgment in favor of appellees. In eight issues, Simpson and Harding contend they had no duty to cooperate with repairs the Association was

1 The Honorable Dennise Garcia succeeded the Honorable Bill Whitehill, a member of the original panel. Justice Garcia has reviewed the briefs and the record before the Court.

performing, it was unnecessary for anyone to enter their condominium to effect such repairs, and appellees had no right to enter their condominium. Simpson and Harding complain that the Association was not authorized to charge them for the cost of having security present during completion of the repairs. Simpson and Harding also challenge several evidentiary rulings. We affirm.

Background

The Oaks on Montfort Condominiums is a residential condominium community located in Dallas, Texas. The Oaks on Montfort Condominium Association (the Association), a Texas non-profit corporation, is a homeowners’ association that administers the operation and management of the condominium community.2 The Association contracted with Veracity, a professional management company, to manage day-to-day operations. Welsh, a Veracity employee, was the property manager assigned to the Association at all times relevant to this litigation.3

2 Because the Association was created before January 1, 1994, it is governed primarily by the Condominium Act (the “Old Act”), codified at chapter 81 of the Texas Property Code. See TEX. PROP. CODE ANN. § 81.0011(a). However, the Association is also governed by the Uniform Condominium Act (the “Uniform Act”), codified at chapter 82 of that code, to the extent provided by section 82.002. Id. § 81.0011(b). Section 82.002 provides a list of specific provisions in the Uniform Act that apply to pre-1994 condominium regimes. Those listed provisions apply prospectively and they “do not invalidate existing provisions of the declaration, bylaws, or plats or plans of a condominium for which the declaration was recorded before January 1, 1994.” Id. § 82.002(c); see Holly Park Condominium Homeowners’ Ass’n, Inc. v. Lowery, 310 S.W.3d 144, 146 (Tex. App.—Dallas 2010, pet. denied).

3 For purposes of this opinion, we refer to the Association, Veracity, and Welsh collectively as “the Association.”

Simpson is the owner of a condominium, Unit 1205 (the Unit), at the Oaks on Montfort Condominiums. Harding lives in the Unit with Simpson but is not a record owner.

In June 2016, unit 1206, the condominium directly above Simpson’s Unit, experienced a deflection in the floor around the fireplace hearth. The Association hired Classic Construction (Classic) to investigate the problem and perform any necessary repairs. Classic account executive Geary Free testified at trial that in order to determine the cause and extent of the problem, Classic employees pulled up the subflooring in unit 1206 and discovered wood rot on the top plate of a web truss between that unit and Simpson’s Unit below. Classic determined it would be necessary to inspect the web truss from below in order to ascertain the extent of the wood rot damage.

Veracity asked Classic if it could perform the necessary investigation and repairs without entering Simpson’s Unit. With respect to the inspection, Classic believed that it was imperative to inspect the truss from below to ensure that the building was structurally sound. Classic agreed that it might be possible to perform repairs from the outside of the building but cautioned that doing so would be significantly more expensive and it would be more difficult to guarantee the success of the repairs.

Veracity and Classic attempted to inspect the under-side of the truss and the vertical studs from Simpson’s Unit. According to Free, Harding was so aggressive

and hostile, Classic could not complete the inspection. The Association then contacted Simpson in writing, requesting cooperation in coordinating a date and time for the inspection. The Association received no response so Veracity scheduled the inspection and hired Deputy Sheriff James Rodriguez, an off-duty officer with the Dallas County Sheriff’s Department, to accompany Classic’s work crew.

During the inspection, Harding was belligerent and hostile toward Welsh and Classic’s workers. As a result, Classic’s project manager informed Veracity that out of concern for the safety of his workers, Classic would not perform the necessary repairs without security present. Deputy Rodriguez agreed with Classic’s assessment and recommended that the Association hire security.

Classic ultimately made the repairs from outside of the building. The Association contracted with off-duty Dallas police officers to be present during the repair work. The Association’s decision as to the number of officers to hire was based upon the recommendation of Deputy Rodriguez. The Association then charged their expenses for security costs, management fees, and attorney’s fees to Simpson’s account.

Simpson and Harding filed suit against the Association seeking declaratory relief and asserting a cause of action for intentional infliction of emotional distress. They subsequently amended their petition to delete the intentional infliction of emotional distress cause of action, leaving only their request for declaratory judgment as to whether the Association had the right to enter the Unit to perform

repairs, and whether the Association had the right to charge fees for security to Simpson’s account.

After a bench trial, the trial court entered judgment in favor of the Association.

Upon request, the trial court issued findings of fact and conclusions of law. Simpson and Harding now appeal.

Applicable Law

A. Declaratory Judgment The Uniform Declaratory Judgments Act (“DJA”) generally permits a person who is interested under a deed or other contract, or whose rights, status, or other legal relations are affected by a statute or contract, to obtain a declaration of rights, status, or other legal relations thereunder. TEX. CIV. PRAC. & REM. CODE ANN. § 37.004(a). The purpose of the DJA is “to settle and to afford relief from uncertainty and insecurity with respect to rights, status and other legal relations; and it is to be liberally construed and administered.” Id. § 37.002(b); see Garden Oaks Maint. Org. v. Chang, 542 S.W.3d 117, 123 (Tex. App.—Houston [14th Dist.] 2017, no pet.). We review declaratory judgments under the same standards as other judgments and decrees and look to the procedure used to resolve the issue at trial to determine the appropriate appellate standard of review. See CIV. PRAC. & REM. §37.010; Solar Soccer Club v. Prince of Peace Lutheran Church of Carrollton, 234 S.W.3d 814, 820 (Tex. App.—Dallas 2007, pet. denied).

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Diana Simpson and John Harding v. Oaks on Monfort Condominium Association, Veracity Inc. and Lori Welsh, (Tex. Ct. App. 2021).

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