Houston Lighting & Power Co. v. Klein Independent School District

739 S.W.2d 508, 43 Educ. L. Rep. 446, 1987 Tex. App. LEXIS 8711
CourtCourt of Appeals of Texas
DecidedNovember 5, 1987
DocketB14-86-002-CV
StatusPublished
Cited by36 cases

This text of 739 S.W.2d 508 (Houston Lighting & Power Co. v. Klein Independent School District) 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
Houston Lighting & Power Co. v. Klein Independent School District, 739 S.W.2d 508, 43 Educ. L. Rep. 446, 1987 Tex. App. LEXIS 8711 (Tex. Ct. App. 1987).

Opinion

OPINION

PAUL PRESSLER; Justice.

Appellee was awarded $104,275 actual damages and $25 million punitive damages as well as a writ of possession and a permanent injunction in a condemnation proceeding. We find error in the $25 million punitive damages award and modify the judgment to delete those damages. We affirm the judgment as modified.

In 1981 HL & P petitioned to condemn a one-hundred-foot-wide strip of land on which to build part of a 79.2-mile 345,000-volt transmission line. Klein owned the affected property, which served as a campus for two schools and a proposed third. Three special commissioners, appointed to determine the value of the property, awarded Klein $78,604 as compensation for the easement. Klein did not participate in the hearing claiming the special commissioners had no jurisdiction to determine the propriety of the “taking.”

Following the award, Klein filed with the trial court its objections to the taking of its property and, alternatively, to the award itself. Klein’s pleading asserted that HL & P had acted in “an arbitrary and capricious manner” in condemning the property. Meanwhile, HL & P deposited $78,604 in the registry of the court, took possession of the property and constructed the transmission line. The line was energized in 1984.

On November 8, 1985, Klein amended its pleadings alleging that the decision to locate on the Klein property constituted “a callous disregard for the safety, health, and well-being of the 3,000 plus children” attending the schools such as to render its condemnation void. Klein furthermore alleged that HL & P’s entry into possession of the property constituted a trespass.

On November 18,1985, at the commencement of trial, Klein filed an admission of facts pursuant to Tex.R.Civ.P. 266. As a result, the sole issue remaining to be determined was the alleged abuse of discretion which Klein claimed amounted to a bad faith and wanton trespass. The jury found that HL & P had abused its discretion in taking the easement and had erected the transmission line in reckless disregard of the school’s use of its property. The jury assessed both actual and exemplary damages in Special Issues Nos. 1 through 4. The jury also found in Special Issues Nos. 5 through 7 that the cost to relocate the school complex would be $42,180,280.

Klein elected to move for judgment on Special Issues Nos. 1 through 4. The trial court granted judgment against HL & P for actual and exemplary damages, ordered a writ of possession restoring the property to Klein, and permanently enjoined HL & P’s use of its facilities. HL & P sought by mandamus to supersede the injunction and use the line pending final outcome of the case. This court held that the trial court should permit HL & P to supersede the injunction. Houston Lighting & Power Co. v. Landry, 709 S.W.2d 693 (Tex.App.— Houston [14th Dist.] (1986). Klein then filed a petition for writ of mandamus with the supreme court, which granted the petition and thus, in effect, denied the relief sought by HL & P. Klein Independent School Dist. v. Fourteenth Court of Appeals, 720 S.W.2d 87 (Tex.1986).

In points of error one through five, HL & P contests the trial court’s jurisdiction. At issue in this case is a relatively new scientific concern — the possible health effects or risks associated with exposure to high voltage power lines. A related legal issue concerns the forum that should con *512 sider those effects and their impact on the location of the line. In point of error one, HL & P argues that the trial court lacked jurisdiction to review the location and safety of the transmission line as exclusive jurisdiction over such matters is vested in the Texas Public Utility Commission.

In 1975 the legislature enacted the Public Utility Regulatory Act and thereby created the Public Utility Commission (the PUC) to regulate public utilities, which are by definition monopolies in the areas they serve. Tex.Rev.Civ.Stat.Ann. art. 1446c, § 2 (Vernon Supp.1987). Prior to rendering service to the public, a public utility must obtain a certificate from the PUC stating that the present or future public convenience and necessity require or will require such installation, operation or extension. § 50.

A public utility is also subject to the jurisdiction of the courts when acquiring property on which to build its facilities. In Harris County, the county civil courts at law have exclusive jurisdiction of all eminent domain matters, regardless of the amount in controversy, and may determine all issues including those relating to title to real or personal property. Tex.Rev.Civ. Stat.Ann. art. 1970-110g, § 2(a)-(b) (Vernon Supp.1987). As a general rule, the courts will not disturb a condemnor’s action in the absence of fraud, bad faith, or gross abuse of discretion. Webb v. Dameron, 219 S.W.2d 581, 584 (Tex.Civ.App.— Amarillo 1949, writ ref d n.r.e.).

HL & P does not dispute the trial court’s jurisdiction to determine the issue of abuse of discretion. However, HL & P does object to what it alleges is Klein’s attempt to make a complaint about the unsafe location of the transmission line under the guise of a determination of abuse of discretion. HL & P recognizes that the PUC has exclusive original jurisdiction to grant certificates of public convenience and necessity. In granting such a certificate, the PUC must follow art. 1446c, § 54(b), which provides that certificates shall issue “only if the commission finds that the certificate is necessary for the service, accommodation, convenience, or safety of the public.” HL & P argues that the determination of the location and safety, under normal operation, of electrical facilities is contained within the grant of a certificate of necessity and, therefore, is within the PUC’s exclusive original jurisdiction. HL & P further argues that while approval of a line by the PUC does not destroy the usual jurisdiction of the courts reviewing condemnation matters to determine whether there was an abuse of discretion, it does preclude a subsequent collateral attack on issues that are determined in the administrative process.

Basic to HL & P’s argument is its assertion that historically courts have never reviewed a condemnor’s determination as to location or safety under the abuse of discretion doctrine but have limited the applicability of that doctrine to two situations: (1) condemnation undertaken for a purpose not authorized by statute, and (2) taking more land than necessary. Several courts, however, have specifically considered the location or selection of a particular piece of property in the context of the issue of abuse of discretion. Tejas Gas Corp. v. Herrin, 705 S.W.2d 177, 180 (Tex.App.— Texarkana 1985), rev’d on other grounds, 716 S.W.2d 45 (Tex.1986); Porter v. Southwestern Public Service Co., 489 S.W.2d 361, 363 (Tex.Civ.App. — Amarillo 1972, writ ref’d n.r.e.); Snellen v. Brazoria County,

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Bluebook (online)
739 S.W.2d 508, 43 Educ. L. Rep. 446, 1987 Tex. App. LEXIS 8711, Counsel Stack Legal Research, https://law.counselstack.com/opinion/houston-lighting-power-co-v-klein-independent-school-district-texapp-1987.