FinServ Casualty Corp. v. TransAmerica Life Insurance Co.

523 S.W.3d 129, 2016 Tex. App. LEXIS 11416, 2016 WL 6134442
CourtCourt of Appeals of Texas
DecidedOctober 20, 2016
DocketNO. 14-14-00838-CV
StatusPublished
Cited by32 cases

This text of 523 S.W.3d 129 (FinServ Casualty Corp. v. TransAmerica Life Insurance Co.) 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
FinServ Casualty Corp. v. TransAmerica Life Insurance Co., 523 S.W.3d 129, 2016 Tex. App. LEXIS 11416, 2016 WL 6134442 (Tex. Ct. App. 2016).

Opinion

OPINION

Kem Thompson Frost, Chief Justice

This appeal arises out of a dispute among companies involved in making or receiving structured-settlement payments. The trial court disposed of all claims by granting various summary-judgment motions, except for the defendants’ request for attorney’s fees. Following jury findings as to the amount of reasonable and necessary attorney’s fees, the trial court rendered a final judgment dismissing the plaintiffs’ claims, granting the defendants summary judgment on their right to inter-pleader and to an offset, and awarding the defendants reasonable and necessary attorney’s fees. On appeal, the plaintiffs assert that the trial court erred in striking their amended pleading, granting summary judgment as to their breach-of-contract claims and the defendants’ offset claim, awarding the defendants’ attorney’s fees, and holding the plaintiffs jointly and severally liable for the fees. We conclude the trial court erred in awarding attorney’s fees for prosecuting the interpleader action and in granting summary judgment as to certain breach-of-contract claims. Because other breach-of-contract claims are moot, we vacate the -part of the trial court’s judgment that addresses these claims and dismiss the appeal as to this part of the trial court’s judgment. As to the rest of the judgment, we reverse and remand in part and affirm as modified in part.

I. Factual and Procedural Background

Appellants/plaintiffs FinServ Casualty Corp., Capstone Associated Services, Ltd., Liquidating Marketing, Ltd., RSL-3B-IL, Ltd., RSL-5B-IL, Ltd., RSL Funding, LLC, and RSL Special-IV, Ltd. (collectively the “FinServ Parties”) sued appellees/defendants Transamerica Life Insurance Company f/k/a Transamerica Occidental Life Insurance Company, Transamerica Annuity Service Corporation, and Monumental Life Insurance Company (collectively the “Transamerica Parties”), complaining of the alleged failure to make certain structured-settlement annuity payments. The FinServ Parties asserted claims for alleged violations of [134]*134the Insurance Code chapter 541, the.Deceptive Trade Practices Act, the Unfair Claim Settlement Practices Act, and the Prompt Payment of Claims Act. They also asserted claims based on alleged breaches of an insurer’s duty of good faith and fair dealing, alleged breaches of contract, anticipatory repudiation, and, in addition, they requested relief under the Declaratory Judgments Act.

• The trial court granted summary judgment dismissing all of the FinServ Parties’ extra-contractual claims. The trial court also granted “Transamerica’s Motion for Partial Summary Judgment on its Right to Interpleader and to Attorney’s Fees” and “Transamerica Life Insurance Company and Transamerica Annuity Service Corporation’s Motion for Partial Summary Judgment Regarding Offset.” The trial court granted the Transamerica Parties’ special exceptions to the FinServ Parties’ First Amended Original Petition and their First Supplement to First Amended Original Petition in a May 6, 2013 order (“Special Exceptions Order”), ordering the FinServ Parties to file, a new pleading curing the defects listed in the trial court’s order by May 20, 2013 (the “Pleading Deadline”). The FinServ Parties did not file a new pleading by this deadline. Instead, on the deadline, the FinServ Parties' moved for reconsideration of the Special Exceptions Order and, in the alternative, an extension of the deadline to replead'. The trial court denied the reconsideration motion and did not grant an extension.

The FinServ Parties filed a Second Amended Petition on June 19, 2013. Weeks later, on July 15,-the Transamerica Parties filed a traditional and no-evidence summary judgment motion.. Within the week, the FinServ Parties filed a Third Amended Petition in which they asserted, for the first time, claims for tortious interference with prospective business relations and tortious interference with existing contract. Within two weeks -the Transamerica Parties filed a second traditional and no-evidence summary judgment motion and a motion to strike the Third Amended Petition. In the second summary-judgment motion, the Transamerica Parties asserted new grounds, including grounds challenging the tortious-interference claims.

In August 2013, the trial court granted the Transamerica Parties’ motion to strike the Third Amended Petition and one of their traditional and no-evidence summary-judgment motions. In the trial that followed, a jury made findings regarding the reasonable ’and necessary attorney’s fees for prosecuting the" interpleader action and under the Declaratory Judgments Act. The trial court rendered a final judgment, incorporating its summary-judgment rulings, and ordering the FinServ Parties, jointly and severally, to pay the Trans-america Parties reasonable and necessary attorney’s fees for prosecution of the inter-pleader action, defending against the Fin-Serv Parties’ declaratory-judgment action, and for advancing the Transamerica Parties’ declaratory-judgment action.

On appeal, the FinServ- Parties assert five appellate issues, including arguments that the trial court erred in granting summary judgment,

II. Analysis

We review a grant of summary judgment de novo. KCM Financial LLC v. Bradshaw, 457 S.W.3d 70, 79 (Tex. 2015). In a traditional summary-judgment motion, if the movant’s motion and summary-judgment • evidence facially establish its right to judgment as a matter of law, the burden shifts to the nonmovant to raise a genuine, material fact issue sufficient to defeat summary judgment. M.D. Anderson Hosp. & Tumor Inst. v. Willrich, 28 S.W.3d 22, 23 (Tex. 2000). In our review of [135]*135the trial court’s granting of the Trans-america Parties’ summary-judgment motions, we consider all the evidence in the light most favorable to the FinServ Parties, crediting evidence favorable to the FinServ Parties if reasonable jurors could, and disregarding contrary evidence unless reasonable jurors could not. See Mack Trucks, Inc. v. Tamez, 206 S.W.3d 572, 582 (Tex. 2006). The evidence raises a genuine fact issue if reasonable and fair-minded jurors could differ in their conclusions in light of ah the summary-judgment evidence. Goodyear Tire & Rubber Co. v. Mayes, 236 S.W.3d 754, 755 (Tex. 2007). When the order granting summary judgment does not specify the grounds upon which the trial court relied, we must affirm the summary judgment if any of the independent summary-judgment grounds is meritorious. FM Props. v. Operating Co. v. City of Austin, 22 S.W.3d 868, 872 (Tex. 2000).

A. Did the trial court err in striking the tortious-interference claims without sustaining special exceptions as to those claims?

In their first issue, the FinServ Parties assert that the trial court erroneously struck the tortious-interference claims pleaded in the Third Amended Petition without first sustaining special exceptions as to those claims and allowing the FinServ Parties an opportunity to cure any pleading deficiencies.

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Cite This Page — Counsel Stack

Bluebook (online)
523 S.W.3d 129, 2016 Tex. App. LEXIS 11416, 2016 WL 6134442, Counsel Stack Legal Research, https://law.counselstack.com/opinion/finserv-casualty-corp-v-transamerica-life-insurance-co-texapp-2016.