Edward Fischer, Jr. & Linda Fischer v. Billy Wells

Court of Appeals of Texas·Decided July 2, 2008·No. 04-07-00328-CV·Published

Opinion

i i i i i i

MEMORANDUM OPINION

No. 04-07-00328-CV

Edward FISCHER, Jr.,

Appellant

v.

Billy WELLS,

Appellee

From the County Court at Law No. 2, Bexar County, Texas Trial Court No. 293108

Honorable David Rodriguez, Judge Presiding

Opinion by: Phylis J. Speedlin, Justice Concurring Opinion by: Alma L. López, Chief Justice

Sitting: Alma L. López, Chief Justice Phylis J. Speedlin, Justice Steven C. Hilbig, Justice

Delivered and Filed: July 2, 2008 AFFIRMED; MOTION FOR SANCTIONS DENIED Edward Fischer, Jr. appeals a series of orders entered by the trial court culminating with an Agreed Order to Close Receivership and Disburse Funds. We affirm the trial court’s orders.

BACKGROUND

On December 2, 2005, a judgment was entered ordering Fischer to pay Wells $29,658.28 in damages, pre-judgment interest, and attorney’s fees. This court affirmed the judgment on January

31, 2007. See Fischer v. Wells, No. 04-06-00131-CV, 2007 WL 247673 (Tex. App.—San Antonio Jan. 31, 2007, no pet.).

On March 9, 2006, Wells served Fischer with his first set of interrogatories in aid of judgment. Fischer’s responses were due to be filed by April 11, 2006. On April 27, 2006, Wells’s attorney faxed Fischer’s attorney a letter inquiring about the status of the responses. When no response was received to the letter, Wells filed a motion to compel discovery responses and for sanctions on May 3, 2006. On May 9, 2006, the trial court ordered Fischer to respond to the interrogatories and to pay Wells’s attorney $452.90 within five business days from the date of the order. Fischer filed a motion to reconsider which was set for hearing on May 16, 2006. Fischer’s attorney failed to appear, but the trial court considered the matter by a telephone conference, overruled Fischer’s objections, if any, to the interrogatories, and extended the deadline for responding and payment of the sanctions to May 19, 2006.

On May 23, 2006, Wells filed a motion for an injunction, stating that Fischer had not complied with the trial court’s order. Wells requested an injunction based on his belief that Fischer was secreting assets in view of his refusal to engage in post-judgment discovery. On June 1, 2006, the trial court granted the temporary injunction, enjoining Fischer from taking any affirmative steps to dissipate or transfer assets. On June 12, 2006, Wells filed a motion for general relief, noting that Fischer continued to fail to comply with the trial court’s order.

On March 14, 2007, Wells filed a motion for turnover order requesting that Fischer be required to turnover a vacant lot that he had listed for sale (“Lot 475"). Fischer was served with a subpoena to appear at the hearing on the turnover motion. Wells filed an amended motion on March 21, 2007.

On March 19, 2007, Fischer’s attorney faxed Wells’s attorney a letter and copied the trial court judge. In the letter, Fischer’s attorney stated that he would not be able to attend the hearing on the motion for turnover order. Fischer’s attorney further stated that Fischer was claiming that Lot 475 was part of his homestead. In response to this letter, Wells’s attorney sent the trial court judge a letter and copied Fischer’s attorney. Wells’s attorney asserted that Lot 475 was not part of Fischer’s homestead. Wells’s attorney further asserted his belief that Fischer’s attempt to sell the property was in direct violation of the trial court’s injunction. Fischer’s attorney then responded to the letter from Wells’s attorney indicating that he was not complaining about the setting or his unavailability but was just noting Fischer’s insistence that the property was exempt.

Despite the subpoena, neither Fischer nor his attorney attended the hearing on the motion for turnover order. Wells presented evidence that Lot 475 was a fenced vacant residential lot or raw land adjacent to another fenced lot, Lot 476, which contained a house. Pictures of the two lots were introduced into evidence. Evidence was also presented that Lot 475 had been posted for sale and was under a contract to sell for $119,000 with a closing date scheduled at the end of March. The sales literature described Lot 475 as a “5 acre tract ready for your new custom home.” The sales literature further stated the property had been surveyed and fenced, and a “no-climb” fence surrounded the entire 5 acre tract with three gates. At the end of the hearing, the trial court granted the motion. The trial court’s turnover order imposed a constructive trust on the proceeds from the sale of Lot 475 payable to Fischer and directed the title company to deposit any monies payable to Fischer as a result of the sale into the registry of the court. The order also provided that if the pending sale was not consummated, a receiver would be appointed to take possession and control

of Fischer’s interest in the lot. The order further provided that “[i]n the event that the above- described real property is held by Edward Fischer, Jr. in an undivided co-tenancy, the receiver is specifically authorized to sue for partition and/or sale of the above-described real property in the appropriate court.” The order finally awarded Wells’s attorney $3,500.00 in attorneys’ fees to be paid within five business days.

Fischer filed a motion for reconsideration again asserting that Lot 475 was Fischer’s homestead. Wells filed a motion for sanctions and to strike the motion for reconsideration, requesting sanctions in the amount of attorneys’ fees and costs incurred in responding to Fischer’s motion. After a hearing held on April 4, 2007, the trial court entered an order granting the motion to reconsider but affirming the turnover order. The trial court denied Wells’s motion for sanctions.

On April 12, 2007, the trial court entered an order consummating the appointment of a receiver for all of Fischer’s interest in Lot 475, finding that reason existed to consummate and finalize the particulars of the previous appointment. Although the record is unclear with regard to the reason for the appointment, the clerk’s record does contain an affidavit from Harold McCall who was asked to call the title company handling the closing of the sale of Lot 475. The closing agent informed McCall that she had spoken with Fischer because the buyer was scheduled to close on April 10, 2007, and she needed Fischer’s signature on some paperwork. Fischer told the closing agent that “he was not going to pay the amount that was ordered by Judge Rodriguez and he was not going to show up to the closing.”

On April 18, 2007, Wells, Fischer, and the receiver filed an agreed motion to close receivership and disburse funds. The motion noted that the property had been sold and requested

that the trial court order the title company to “disburse [the] funds as requested” and close the receivership. The trial court entered an agreed order based on the agreed motion. The trial court subsequently held a hearing on Fischer’s motion for new trial which was overruled by operation of law.

DISCUSSION

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