Elena Markovsky v. Kirby Tower, L.P.

CourtCourt of Appeals of Texas
DecidedDecember 15, 2015
Docket01-13-00516-CV
StatusPublished

This text of Elena Markovsky v. Kirby Tower, L.P. (Elena Markovsky v. Kirby Tower, L.P.) 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
Elena Markovsky v. Kirby Tower, L.P., (Tex. Ct. App. 2015).

Opinion

Opinion issued December 15, 2015

In The

Court of Appeals For The

First District of Texas ———————————— NO. 01-13-00516-CV ——————————— ELENA MARKOVSKY, Appellant V. KIRBY TOWER, L.P., Appellee

On Appeal from the 11th District Court Harris County, Texas Cause No. 2009-03458

MEMORANDUM OPINION

This is the second appeal in this lawsuit, which arose out of a contract in

which appellant Elena Markovsky agreed to purchase a condominium from

appellee Kirby Tower, L.P. In the first appeal, we affirmed a take-nothing judgment against Markovsky, the plaintiff below, but reversed the award of earnest

money to Kirby Tower because it had not asserted an affirmative claim for relief.

Markovsky v. Kirby Tower, LP, No. 01-10-00738-CV, 2011 WL 5429014 (Tex.

App.–Houston [1st Dist.] Nov. 10, 2011, pet. denied). On remand, the trial court

granted Kirby Tower’s motion for summary judgment, awarding Kirby Tower the

$300,000 in earnest money that had been held in escrow since the parties entered

into the contract. In this appeal, Markovsky challenges the summary judgment and

the trial court’s denial of her motion to enter judgment in her favor. We affirm.

Background

Markovsky and Kirby Tower negotiated a contract for a high-rise

condominium that required Markovsky to place in escrow $300,000 in earnest

money, which was 10 percent of the agreed purchase price. The contract gave

Markovsky the right to terminate the contract and receive a full refund of the

$300,000 if Kirby Tower failed to complete the unit by May 31, 2008.

The condominium was not completed by May 31, 2008. Markovsky

nevertheless continued to make changes to the unit plans, select unit upgrades, and

specify cabinets and appliances to install in the unit before informing Kirby Tower,

for the first time on November 5, 2008, that she wanted to terminate the contract

and get a refund of her earnest money. When Kirby Tower did not agree,

2 Markovsky sued Kirby Tower for declaratory judgment and breach of contract.

Kirby Tower asserted defenses, but sought no affirmative relief.

A jury found that Kirby Tower had breached the contract by not completing

the condominium by May 31, 2008, but it also found that Markovsky waived this

breach by continuing to proceed under the contract after that date. The trial court

entered a take-nothing judgment against Markovsky and awarded Kirby Tower the

earnest money plus accrued interest. Markovsky appealed, and we affirmed the

take-nothing judgment, but reversed the trial court’s award of the earnest money to

Kirby Tower because it had not asserted an affirmative claim for relief.

On remand, Markovsky moved for entry of judgment, requesting a

declaratory judgment awarding her the earnest money. The trial court denied the

motion. Kirby Tower filed original counterclaims for breach of contract and

declaratory judgment, requesting that the earnest money be awarded to it as

liquidated damages, then moved for summary judgment on its counterclaims. In

support of its motion for summary judgment, Kirby Tower submitted the contract,

an affidavit of Andrew Osborne, the authorized representative of Kirby Tower’s

general partner, setting forth facts regarding Markovsky’s termination of the

contract, the trial court’s judgment, and this Court’s memorandum opinion

affirming the take-nothing judgment.

3 Five days before the summary-judgment hearing, Markovsky filed a

response to the motion for summary judgment, in which she argued that she had

not waived the completion date provision in the contract and that the summary-

judgment evidence raised a fact issue on her breach and on her affirmative

defenses. She also argued that this Court’s opinion did not prevent the trial court

from entering a judgment in her favor awarding her the earnest money. The trial

court granted Kirby Tower’s summary-judgment motion as to both its

counterclaims and entered a declaratory judgment “that Kirby Tower, L.P. is

entitled to the $300,000 earnest money, together with accrued interest, deposited

by Plaintiff/Counter-Defendant Elena Markovsky relating to Unit 27-I at 2727

Kirby, H[o]uston, Texas 77098.” 1

1 The trial court’s original summary-judgment order did not contain a Mother Hubbard clause and did not indicate whether relief was granted based upon Kirby Tower’s breach of contract claim, its declaratory judgment claim, or both. It also did not dispose of Kirby Tower’s request for attorney’s fees, and thus was not a final judgment. See McNally v. Guevara, 52 S.W.3d 195, 196 (Tex. 2001). We granted Markovsky’s motion to abate the appeal to permit the trial court to render a final judgment. See id. (appellate court may abate appeal to permit trial court to render final judgment). The modified final judgment contains a Mother Hubbard clause, indicates that summary judgment is granted as to both of Kirby Tower’s counterclaims, and awards Kirby Tower $5,000 in conditional appellate attorney’s fees. Thus, the judgment is final and we have jurisdiction over this appeal. See id.

4 Motion for Summary Judgment

In her first issue, Markovsky contends that the trial court erred in granting

summary judgment.

A. Standard of Review and Applicable Law

We review a trial court’s summary judgment de novo. Travelers Ins. Co. v.

Joachim, 315 S.W.3d 860, 862 (Tex. 2010). If a trial court grants summary

judgment without specifying the grounds for granting the motion, we must uphold

the trial court’s judgment if any of the grounds are meritorious. Beverick v. Koch

Power, Inc., 186 S.W.3d 145, 148 (Tex. App.—Houston [1st Dist.] 2005, pet.

denied). When reviewing a summary judgment, we take as true all evidence

favorable to the nonmovant, and we indulge every reasonable inference and

resolve any doubts in the nonmovant’s favor. Valence Operating Co. v. Dorsett,

164 S.W.3d 656, 661 (Tex. 2005).

In a traditional summary-judgment motion, the movant has the burden to

show that no genuine issue of material fact exists and that the trial court should

grant judgment as a matter of law. TEX. R. CIV. P. 166a(c); KPMG Peat Marwick

v. Harrison Cnty. Hous. Fin. Corp., 988 S.W.2d 746, 748 (Tex. 1999). A party

moving for a traditional summary judgment on its affirmative claims must

conclusively prove all essential elements of its claim. See Rhone–Poulenc, Inc. v.

Steel, 997 S.W.2d 217, 223 (Tex. 1999). If the movant conclusively establishes its

5 cause of action, the burden shifts to the nonmovant to respond to the summary

judgment. M.D. Anderson Hosp. & Tumor Inst. v. Willrich, 28 S.W.3d 22, 23

(Tex. 2000).

A party seeking summary judgment on its affirmative claims is not under

any obligation to negate affirmative defenses. Kirby Explor. Co. v. Mitchell

Energy Corp., 701 S.W.2d 922, 926 (Tex. App.—Houston [1st Dist.] 1985, writ

ref’d). A party raising an affirmative defense to defeat a motion for summary

judgment must either (1) present a disputed fact issue on the opposing party’s

failure to satisfy his own burden of proof or (2) establish at least the existence of a

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