in Re Terry and Kim Scott

Court of Appeals of Texas·Decided December 1, 2021·No. 10-20-00145-CV·Published

Opinion

IN THE

TENTH COURT OF APPEALS

No. 10-20-00133-CV

TERRY AND KIM SCOTT, Appellant

v.

S2S DOMAIN WACO ASSOCIATES, LLC AND ASPEN HEIGHTS WACO PROJECT, LTD, Appellee

From the 414th District Court McLennan County, Texas

Trial Court No. 2018-20-5

&

No. 10-20-00145-CV

IN RE TERRY AND KIM SCOTT

Original Proceeding

MEMORANDUM OPINION

In appellate cause number 10-20-00133-CV, appellants, Terry and Kim Scott, contend that the trial court: (1) abused its discretion by denying their motion filed under Texas Rule of Civil Procedure 306a, see TEX. R. CIV. P. 306a; and (2) erred when it granted summary judgment in favor of appellees, S2S Domain Waco Associates, LLC (“Domain”) and Aspen Heights Waco Project, Ltd. (“Aspen Heights”), on limitations grounds. Concurrently, in their petition for writ of mandamus in appellate cause number 10-20- 00145-CV, the Scotts assert that the trial court: (1) abused its discretion by denying their Rule 306a motion to extend the appellate deadlines; and (2) erred by failing to make a finding regarding actual knowledge under Texas Rule of Appellate Procedure 4.2(c). See TEX. R. APP. P. 4.2(c). Because we hold that the record does not contain legally-sufficient evidence demonstrating that counsel for the Scotts had actual knowledge of the trial court’s signed judgment on the date specified by the trial court, and because we conclude that the trial court erred by granting summary judgment in favor of appellees on limitations grounds, we reverse and remand the trial court’s November 4, 2019 final judgment in appellate cause number 10-20-00133-CV. Further, because of our disposition of the Scotts’ direct appeal in appellate cause number 10-20-00133-CV, and because the trial court has made a finding pursuant to Texas Rule of Appellate Procedure 4.2(c), we dismiss the Scotts’ petition for writ of mandamus in appellate cause number 10-20-00145- CV as moot. 1

1 In light of our disposition, all pending motions are dismissed as moot.

Scott, et al. v. S2S Domain Waco Assocs., LLC, et al. & In re Scott Page 2

The Scotts’ Rule 306a Motion In the instant case, the Scotts sued appellees, S2S Domain Waco Associates, LLC and Aspen Heights Waco Project, Ltd. for violations of the Texas Water Code, as well as for trespass, nuisance, and negligence, asserting that appellees improperly diverted water from their property onto the Scotts’ property, causing flooding on the Scotts’ property. After filing original answers denying the allegations made by the Scotts, appellees filed multiple motions for summary judgment, alleging, among other things, that the Scotts’ lawsuit should be dismissed on limitations grounds.

On July 30, 2019, the trial court sent a letter by email notifying the parties that it intended to grant a traditional motion for summary judgment in favor of Domain on the affirmative defense of statute of limitations. Later, on September 11, 2019, the trial court sent a letter by email notifying the parties that it intended to grant the traditional motion for summary judgment filed by Aspen Heights also based on limitations. In both letters, the trial court indicated that the parties would need to prepare an order for the trial court to sign. Trial counsel for the Scotts acknowledges that he received and reviewed the September 11, 2019 email from the trial court.

In the trial court and on appeal, the Scotts argue that, unbeknownst to them, the trial court signed a final summary judgment on November 4, 2019, whereby the trial court granted the summary judgments filed by Domain and Aspen Heights based on limitations. On November 5, 2019, a copy of the November 4, 2019 final summary

Scott, et al. v. S2S Domain Waco Assocs., LLC, et al. & In re Scott Page 3 judgment was emailed to counsel for both Domain and Aspen Heights, as well as both of the Scotts’ attorneys, at their designated email addresses. The email was sent by the trial court’s court coordinator, Carla Dunn, from her county email address. The subject line of the email specifically stated: “Scott, et al. v. S2S Domain Waco Assoc., LLC, et al” and indicated that there was an attachment entitled, “Final Summary Judgment.pdf.” This email was designated as having “High” importance.

The Scotts took no action in the trial court until January 30, 2020, when they inquired about whether the trial court had signed the final judgment. On February 14, 2020, the Scotts filed a motion under Texas Rule of Civil Procedure 306a(4) to determine the date of notice and the date they acquired actual knowledge of the trial court’s November 4, 2019 final summary judgment to determine applicable appellate deadlines. See TEX. R. CIV. P. 306a(4). In his motion, lead counsel for the Scotts, Jim Dunnam, asserted that neither he nor co-counsel, David Dumas, acquired actual knowledge of the trial court’s final summary judgment until January 30, 2020, when an assistant from lead counsel’s law firm contacted the trial court to ask for a status hearing to ascertain the trial court’s intent to sign a final order in this case.

In an affidavit in support of the Rule 306a motion, lead counsel admitted that he later found an email dated November 5, 2019, from Dunn’s county email address in his email inbox, but denied ever reading the email. Lead counsel emphasized that the November 5, 2019 email was from Dunn’s county email address, whereas the emails

Scott, et al. v. S2S Domain Waco Assocs., LLC, et al. & In re Scott Page 4 regarding the letter rulings from the trial court were from the trial court’s official email account. Lead counsel stated that he likely did not see the November 5, 2019 email due to it not coming from the trial court’s email account. Lead counsel also noted that the trial court’s final summary judgment had not been filed with the McLennan County District Clerk, and no notice had been received by his office from the District Clerk’s Office. See id. at R. 306a(3) (“When the final judgment or other appealable order is signed, the clerk of the court shall immediately give notice to the parties or their attorneys of record by first-class mail advising that the judgment or order was signed.”). Nonetheless, lead counsel acknowledged acquiring actual knowledge of the final summary judgment on January 30, 2020. The Scotts also attached additional affidavits in support of their Rule 306a motion, including that of co-counsel, who echoed lead counsel’s sentiments.

Both Domain and Aspen Heights filed responses to the Scotts’ Rule 306a motion.

The trial court conducted a hearing on the Scotts’ Rule 306a motion, wherein lead counsel testified in support of the motion. At the conclusion of the hearing, the trial court took the matter under advisement. On April 9, 2020, the trial court signed an order denying the Scotts’ Rule 306a motion.

On April 28, 2020, the Scotts filed a notice of appeal seeking to appeal from the November 4, 2019 final summary judgment, as well as “all written orders, oral rulings, and rulings by operation of law,” including their Rule 306a motion and a motion to modify and a motion for new trial that was filed. The Scotts’ direct appeal was assigned

Scott, et al. v. S2S Domain Waco Assocs., LLC, et al. & In re Scott Page 5 appellate cause number 10-20-00133-CV. The Scotts also filed a petition for writ of mandamus in appellate cause number 10-20-00145-CV, challenging only the trial court’s ruling on the Rule 306a motion and the trial court’s failure to make a finding regarding when the Scotts or the Scotts’ attorneys acquired actual knowledge that the judgment was signed, in accordance with Texas Rule of Appellate Procedure 4.2(c). See TEX. R. APP. P. 4.2(c).

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