E-Z Mart Stores, Inc., and FaEllen Yates, as and Personal Representative of the Estate of James Earl Yates v. Ronald Holland's A-Plus Transmission & Automotive, Inc. and Holland R. Inc.

CourtCourt of Appeals of Texas
DecidedAugust 3, 2011
Docket04-10-00192-CV
StatusPublished

This text of E-Z Mart Stores, Inc., and FaEllen Yates, as and Personal Representative of the Estate of James Earl Yates v. Ronald Holland's A-Plus Transmission & Automotive, Inc. and Holland R. Inc. (E-Z Mart Stores, Inc., and FaEllen Yates, as and Personal Representative of the Estate of James Earl Yates v. Ronald Holland's A-Plus Transmission & Automotive, Inc. and Holland R. Inc.) 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.

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E-Z Mart Stores, Inc., and FaEllen Yates, as and Personal Representative of the Estate of James Earl Yates v. Ronald Holland's A-Plus Transmission & Automotive, Inc. and Holland R. Inc., (Tex. Ct. App. 2011).

Opinion

OPINION No. 04-10-00192-CV

E-Z MART STORES, INC., and FaEllen Yates, as Executrix and Personal Representative of the Estate of James Earl Yates, Appellants

v.

RONALD HOLLAND’S A-PLUS TRANSMISSION & AUTOMOTIVE, INC. and Holland R. Inc., Appellees

From the 45th Judicial District Court, Bexar County, Texas Trial Court No. 2002-CI-07251 Honorable Gloria Saldaña, Judge Presiding

Opinion by: Marialyn Barnard, Justice

Sitting: Karen Angelini, Justice Steven C. Hilbig, Justice Marialyn Barnard, Justice

Delivered and Filed: August 3, 2011

REVERSED AND REMANDED

Appellees Ronald Holland’s A-Plus Transmission & Automotive, Inc. and Holland R.

Inc. (“the Hollands”) sued E-Z Mart Stores, Inc., FaEllen Yates, as Executrix and Personal

Representative of the Estate of James Earl Yates (“E-Z Mart”), and Williams Express, Inc. d/b/a

Mapco Petroleum, Inc. (“Mapco”) for negligence, trespass, and nuisance. The Hollands alleged

gasoline leaked from a petroleum storage system housed beneath the surface of a convenience 04-10-00192-CV

store owned by E-Z Mart, and previously owned by Yates, and migrated to the Hollands’

property. According to the Hollands, the gas migration caused an explosion when a cell phone

company drilled to install a cell phone tower. A jury awarded the Hollands over $550,019.53 on

their negligence and nuisance claims.

On appeal, E-Z Mart contends: (1) the evidence is legally and factually insufficient to

prove a causal connection between the Hollands’ alleged injuries and E-Z Mart’s 1992 dispenser

line leak; (2) the trial court erred by excluding the evidence related to Mapco; (3) the jury charge

contains reversible error; (4) the damages findings should be set aside because recovery is barred

under Texas law and the findings are unsupported by legally and factually sufficient evidence;

(5) cumulative error requires remand; and (6) all findings against appellant James Yates are

unsupported by legally and factually sufficient evidence. We reverse and remand.

BACKGROUND

Throughout the 1980s, Mapco owned the property adjacent to the Hollands and ran the

convenience store located on the property. In 1988, a leak in a petroleum storage tank was

discovered by the Texas Natural Resources Conservation Commission (“the TNRCC”), now the

Texas Commission on Environmental Quality (“the TCEQ”). Because of contamination, the

TNRCC required Mapco to install ten monitoring wells.

In September 1989, Mapco sold the property to Yates, and Yates immediately leased it to

E-Z Mart, which thereafter operated the convenience store. In 1992, another gas leak was

discovered and reported to the TNRCC. Six years later, E-Z Mart demolished the existing

convenience store, built a new facility, and replaced the fuel tank system. During this

renovation, E-Z Mart found contamination in excess of the TNRCC standards. After E-Z Mart

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completed testing and remedial measures, the TNRCC issued a standard letter stating E-Z Mart

complied with the remedial measures and no further corrective action was necessary.

During this time, the Hollands contracted with Trinity Wireless Cell Company (“Trinity”)

to build a cell phone tower on the Hollands’ property, for which Trinity would make lease

payments. In 2001, when Trinity began drilling, there was an explosion. After the explosion,

Trinity pulled out of the lease agreement because an environmental testing firm, hired to inspect

the Hollands’ property, concluded the level of Benzene, a gasoline additive, was eight times

above the TNRCC allowed standard. The firm opined that because the Hollands’ land had never

been used to store gas, the gas must have migrated from E-Z Mart’s gas station. The Hollands

then sued E-Z Mart, Yates, and Mapco for trespass, nuisance, and negligence.

In the first suit, Mapco and E-Z Mart filed no-evidence motions for summary judgment.

The trial court granted the motions and on appeal, this court affirmed the judgment as to Mapco

“because the Hollands failed to produce more than a scintilla of evidence of the causation

element of their claim . . . .” Ronald Holland’s A-Plus Transmission & Auto., Inc. v. E-Z Mart

Stores, Inc., 184 S.W.3d 749, 760 (Tex. App.—San Antonio 2005, no pet.). We reversed and

remanded the trial court’s judgment as to E-Z Mart and Yates because the Hollands produced

more than a scintilla of evidence to support their claims against E-Z Mart and Yates. Id.

The case then proceeded to a jury trial without Mapco as a party. Nevertheless, E-Z Mart

was allowed to present evidence as to Mapco’s alleged responsibility for the gas leaks. The jury

deadlocked and a mistrial was declared.

Before the second trial began, the trial court excluded all evidence relating to Mapco and

its alleged responsibility for the gas leaks. The trial court then took judicial notice that Mapco

was not responsible for the Hollands’ damages, and twice instructed the jury that Mapco was not

-3- 04-10-00192-CV

responsible for any portion of the Hollands’ damages. After deliberation, the jury rejected the

trespass theory, but found for the Hollands on their nuisance and negligence theories, awarding

the Hollands over $550,000 in damages. E-Z Mart then perfected this appeal.

EVIDENCE OF CAUSATION

In its first issue, E-Z Mart contends the Hollands did not present legally sufficient

evidence of causation. Specifically, E-Z Mart argues the Hollands did not prove a causal link

between the contamination of the Hollands’ property and E-Z Mart’s 1992 leak. In other words,

E-Z Mart claims the Hollands did not meet their burden of causation by proving it was E-Z

Mart’s gasoline that migrated onto the Hollands’ property. E-Z Mart asserts Mapco and the

leaks that occurred before E-Z Mart owned the property were the cause of the Hollands’

damages.

Standard of Review

Because legal sufficiency is a rendition issue, we must address it before addressing issues

that would require a remand. See Bradleys’ Elec., Inc. v. Cigna Lloyds Ins. Co., 995 S.W.2d

675, 677 (Tex. 1999) (citing TEX. R. APP. P. 44.3)). Legal sufficiency is reviewed in the light

most favorable to the party for whom the verdict was rendered. City of Keller v. Wilson, 168

S.W.3d 802, 822 (Tex. 2005). We must consider whether the evidence presented at trial enabled

a reasonable and fair minded jury to render the same verdict. See id. at 827. We therefore

“credit favorable evidence if reasonable jurors could, and disregard contrary evidence unless

reasonable jurors could not.” Id.

A legal sufficiency challenge will be sustained if the record shows: “(a) a complete

absence of evidence of a vital fact; (b) the court is barred by rules of law or of evidence from

giving weight to the only evidence offered to prove a vital fact; (c) the evidence offered to prove

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a vital fact is no more than a mere scintilla; (d) the evidence establishes conclusively the opposite

of the vital fact.” Id. at 810 (quoting Robert W. Calvert, “No Evidence” & “Insufficient

Evidence” Points of Error, 38 TEX. L. REV. 361, 362–63 (1960)). If the record contains any

probative evidence in support of the jury’s findings, we will uphold the jury’s verdict. See Exxon

Corp. v.

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