Opinion issued October 31, 2024
In The
Court of Appeals For The
First District of Texas ———————————— NO. 01-22-00707-CV ——————————— JEFFREY HAMMOND AND CALLIE HAMMOND, Appellants V. CRISTA L. HANSER, JEFFREY W. CONNELL, MICHAEL W. CLAPP, DSJMM, LLC AND FLUTOBO, INC. D/B/A KELLER WILLIAMS REALTY NORTHEAST, Appellees
On Appeal from the 269th District Court Harris County, Texas Trial Court Case No. 2019-67684
MEMORANDUM OPINION
Appellants Jeffrey and Callie Hammond purchased a home from appellee
Crista L. Hanser. After discovering problems with the home, the Hammonds sued
Hanser and appellees Jeffrey W. Connell (Hanser’s real estate agent), Michael W. Clapp (Connell’s supervising broker), and Flutobo, Inc. doing business as Keller
Williams Realty Northeast (Connell’s brokerage agency) (collectively, the Listing
Agents).1 The Hammonds alleged causes of action for negligence and gross
negligence, negligent misrepresentation, common-law fraud and fraud by
nondisclosure, statutory fraud in the sale of real estate, violation of the Texas
Deceptive Trade Practices Act (DTPA), and civil conspiracy and aiding and
abetting against Hanser and the Listing Agents, and they also alleged breach of
contract against Hanser. Hanser and the Listing Agents both moved for traditional
and no-evidence summary judgment on all of the Hammonds’ claims. The trial
court granted the summary judgments, dismissing all of the Hammonds’ claims
with prejudice.
On appeal the Hammonds assert that the trial court “erred in granting the
two final summary judgment motions,” arguing that (1) the trial court erred in
granting summary judgment in Hanser’s favor on all of the Hammonds’ causes of
action against her; (2) the trial court erred in granting summary judgment in favor
of the Listing Agents on all of the Hammonds’ causes of action against them; and
(3) the trial court erred in sustaining Hanser’s objections to certain summary-
judgment exhibits.
1 The Hammonds also named DSJMM, LLC, as a defendant, but this entity was later non-suited and is not a party to this appeal. 2 Because we conclude that the trial court’s summary judgments were proper,
we affirm.
Background
A. Relevant Facts
The property in question is a four-story home located at 411 West 17th
Street in Houston, Texas (the Property). It was built in 2011 by InTown, Ltd. The
exterior of the free-standing Property is covered in stucco siding. After purchasing
the Property directly from InTown, Hanser lived there until July 2017. When
Hanser needed to relocate for work, she listed the Property for sale through
Connell. Connell and Hanser had been dating, and he spent some time in the
Property in the course of their relationship.2
The Hammonds agreed to purchase the Property in the fall of 2017. Hanser
completed a “Seller’s Disclosure Notice” using the form promulgated by the Texas
Real Estate Commission (TREC). The TREC disclosure contains the following
language:
This notice is a disclosure of seller’s knowledge of the condition of the property as of the date signed by seller and is not a substitute for any inspections or warranties the buyer may wish to obtain. It is not a warranty of any kind by seller, seller’s agents, or any other agent.
2 Hanser and Connell eventually married in 2018. He disclosed his relationship with Hanser to the Hammonds at the time of the sale. 3 Hanser marked that she was not occupying the Property at the time she completed
the Seller’s Disclosure Notice, and she had not occupied the Property since July
15, 2017. She signed the Seller’s Disclosure on August 17, 2017.
In Section 2 of the TREC Seller’s Disclosure Notice, Hanser marked that she
was not “aware of any defects or malfunctions” in various components of the
Property, including in the “exterior walls” or “other structural components.”
Section 3 of the Seller’s Disclosure Notice asked, “Are you (Seller) aware of any
of the following Conditions?,” and Hanser marked “No” for “water penetration”
and “wood rot” among other conditions. Section 4 of the Seller’s Disclosure Notice
asked, “Are you (Seller) aware of any item, equipment, or system in or on the
Property that is in need of repair, which has not been previously disclosed in this
notice?” Hanser did not identify any items in need of repair.
The Hammonds acknowledged their receipt of the Seller’s Disclosure on
September 26, 2017. The Hammonds and Hanser also entered into a “One to Four
Family Residential Contract (Resale)” containing an as-is provision. The contract,
completed on a form promulgated by the TREC, provided that Hanser was
obligated to permit the Hammonds access to the Property and to permit
inspections. It also provided that the Hammonds agreed to accept the Property “As
Is,” which the contract defined:
As Is means the present condition of the Property with any and all defects and without warranty except for the warranties of title and the 4 warranties in this contract. Buyer’s agreement to accept the Property As Is under [this paragraph] does not preclude Buyer from inspecting the Property [as provided in this paragraph], from negotiating repairs or treatments in a subsequent amendment, or from terminating this contract during the Option Period, if any.
The contract contained two options—(1) “Buyer accepts the Property As Is”; and
(2) “Buyer accepts the Property As Is provided Seller, at Seller’s expense, shall
complete the following specific repairs and treatments[.]” The contract was
marked, “(1) Buyer accepts the Property As Is.”
The Hammonds also obtained an inspection of the Property from Fox
Inspection Group before the sale closed. The inspection report from Fox did not
identify any major concerns. The report stated, in relevant part, “A limited visual
inspection of what appears to be traditional hard coat/cement-based stucco exterior
siding did not indicate any specific areas of concern for this inspector.” The
inspection report further stated, “However, no representation is made regarding the
lack of or possibility of unseen/undetected/hidden/latent water damage behind the
stucco exterior.” The report encouraged the Hammonds to arrange for a separate
“stucco intrusive inspection prior to the expiration of any option period” if they
had concerns. The inspector recommended “adding cap flashing at all exposed
stucco walls,” stating that the “[p]otential for water penetration is very high if left
unprotected.” The inspector also pointed out the lack of a “weep screed” that
5 would “provide a means for moisture to exit from behind the stucco if the wall
assembly leaks.”
The inspection report noted that the “Walls (Interior and Exterior)” were
“inspected” and found “deficient.” The inspector noted that “[n]o moisture, mold
and/or indoor air quality (IAQ) tests were performed,” and stated, “If concerned
the client is advised to contact a qualified IAQ Professional for further evaluations
of this property.” The report specifically identified concerns with “holes/openings
in garage walls and/or ceilings”; “nail heads . . . pushing through the interior
finish” in places; “[w]ater stains, damage or repairs observed, moisture detection
equipment indicated that stains are not active (wet) at time of inspection; kitchen
windows,” but “[m]oisture meter registers water stains as active; in master closet at
baseboards. Inspector unable to determine cause.” It also noted that there was no
evidence of water penetration present at the time of inspection.
Finally, the inspection report identified several other areas of concern
regarding things like the “cooling system,” which the inspector believed might not
be adequate for the house and was “[n]ot cooling well” and had a “very rusted”
secondary drain pan in need of replacement. The report pointed out the need for
additional grout or caulk in bathrooms “to prevent water entry behind wall.” And it
pointed out concerns about “[o]ne or more [electrical] outlets [that are] not secure
well in wall.”
6 The Hammonds followed up with Hanser regarding some of the items
identified in the Fox inspection report. In an email, they asked:
2. Moisture was discovered near the baseboard in the master bedroom closet (but not in the wall/ceilings). Is the seller aware of what might have cause[d] this? Was there a plumbing leak, glass of water spilled in the closet, etc.?
3. Did the seller do any repair work to the stucco (e.g. kitchen window) prior to recently painting it?
Hanser responded through her agent, Connell, in an email dated October 1,
2017:
As for your questions regarding the window over the sink, the seller states that was simply due to the settling of the house and the only repair there was light sanding and paint. The other spot in the master closet is a mystery. Possibly wet clothes left too long from a beach weekend or the like. There has “never” been a plumbing leak. As far as the stucco, there has “never” been a major stucco repair; cracks from settling were filled as part [of] bi-yearly stucco maintenance the seller did religiously and a complete new $7k paint job done this summer. The stucco paint should be beautiful for at least another five years per the painter and paint specs.
On October 15, 2017, the Hammonds signed the “Buyer’s Walk-Through
and Acceptance Form.” They marked that the Property “was inspected by an
inspector or inspectors of Buyer’s choice. Buyer has reviewed the inspection
report(s).” They also marked that they had “walked through and reviewed the
Property before closing on 10.15.2017.” The form provided that “Buyer accepts
the Property in its present condition.” And it contained the following notice:
7 The brokers have no knowledge of any defects in the Property other than what has been disclosed in the Seller’s Disclosure Notice or other written information the brokers may have provided. The brokers have no duty to inspect the property for unknown defects. It is the Buyer’s responsibility to have inspections completed.
The sale of the Property closed on October 16, 2017, with the Hammonds paying
$531,500 for the Property.
The Hammonds allege that, a few months after they moved into the
Property, they began to notice staining above the garage and mold in the master
bath fan. They also noticed multiple neighbors making repairs to the stucco on
their properties. This prompted the Hammonds to have an inspection of the stucco.
James Morgan of Lone Star Stucco, LLC conducted an assessment and detected
“substrate damage throughout the home, delamination from the stucco wall, and
separated and penetrated sealants in many areas.” Based on this inspection and
various estimates obtained from contractors to remediate and repair the issues with
the Property, the Hammonds assert that the total cost of repairs would be
$109,254.08.
B. Procedural History
The Hammonds filed suit against Hanser and the Listing Agents. They later
amended their petition to sue InTown for construction defects. The Hammonds
subsequently settled with InTown and dismissed InTown from the suit. In the live
pleading, the Hammonds alleged causes of action for negligence and gross
8 negligence, negligent misrepresentation, common-law fraud and fraud by
nondisclosure, statutory fraud, DTPA violations, and civil conspiracy and aiding
and abetting against Hanser and the Listing Agents, and for breach of contract
against Hanser only. The Hammonds sought actual and exemplary damages plus
attorney’s fees.
Hanser and the Listing Agents filed separate motions for no-evidence and
traditional summary judgment. Hanser moved for summary judgment on the basis
that she made no misrepresentations or failures to disclose because she was not
obligated to disclose information she did not know. Hanser also argued that the
Hammonds had no evidence on one or more essential elements on each claim
alleged against her. She further asserted that the elements of causation or reliance
in the Hammonds’ various claims are negated by the valid “as is” clause in the sale
contract and the Hammonds’ own independent inspection of the Property. Thus,
she argued that the evidence conclusively established no genuine issue of material
fact on an essential element of each of the Hammonds’ claims.
The Listing Agents moved for summary judgment on the grounds that there
was no evidence to support the Hammonds’ negligence claim against them and no
evidence that any of the Listing Agents’ actions or omissions breached any legal
duties to the Hammonds. The Listing Agents further moved for traditional
summary judgment, arguing that the evidence established that the Listing Agents
9 identified known issues with the Property prior to purchase, the Hammonds
obtained their own inspections, and they accepted the Property “as is” at the time
of sale. The Hammonds completed the “Buyer’s Walk-Through and Acceptance
Form” that states that “The Brokers have no duty to inspect the property for
unknown defects. It is the Buyer’s responsibility to have inspections completed.”
The Listing Agents also pointed out that, in addition to conducting their own visual
inspection of the Property, the Hammonds were permitted to conduct any
inspections they desired. Their own inspector did not identify any issues that raised
concerns for them.
The Hammonds responded to both motions, asserting that they were
fraudulently induced into purchasing the Property and that Hanser and the Listing
Agents engaged in deceptive trade practices, among other claims. In support of
their response, the Hammonds presented their own affidavits recounting the details
of the sale and their discovery of defects in the Property after purchase, the
contract and Seller’s Disclosure Notice, the Fox Inspection Report, evidence of
repairs to other homes in same neighborhood as the Property, and expert reports
and cost estimates regarding the condition of the Property. These reports and
estimates included a July 11, 2018 estimate from Monolite Stucco Systems for
stucco repair totaling $56,960 and estimates for dealing with mold and other
remediation. It also included Morgan’s report on behalf of Lone Star Stucco
10 confirming “substrate damage throughout the home, delamination from the stucco
wall, and separated and penetrated sealants in many areas, and specifically noted
“substrate damage” in “the bottom of the bumpout wall below the kitchen
windows.” Morgan suggested having “a qualified stucco waterproofing contractor
repair in an effort to prevent moisture intrusion.”
The summary judgment evidence included the report of Linda Lauver, who
conducted an interior mold inspection of the Property at the Hammonds’ request
and observed a water stain and previous repairs to the ceiling drywall in the master
closet “due to past roof leaks” and relative humidity readings in the master closet
of up to 59%. Another expert who identified “excessive water intrusion” and
observed that “the original construction lacked effective weatherproofing and
flashing,” leaving the Property to rely “on secondary caulking to keep water out.”
That expert stated, “As the caulking has aged, the underlying defects have become
more apparent and it is expected that much of the exterior of the structure is
affected.”
The Hammonds also introduced evidence of previous repairs to the Property,
including evidence that Hanser submitted repair requests or “warranty tickets” to
InTown regarding cracks in the stucco that were repaired by InTown following
Hanser’s requests. These include (1) a June 3, 2012 request stating that “[t]here are
cracks on the exterior due to settling” and accompanying evidence that InTown
11 “came out and fixed the cracks”; (2) a December 28, 2012 request stating that
“[t]here are several cracks outside the stucco on the balcony and upstairs on the
roof deck” and additional evidence that InTown did repair work; and (3) the June
26, 2013 request stating that “[t]he house is absorbing an abnormal amount of
water and is causing the stucco to crack beyond what is acceptable for a home not
yet two years old” and that Hanser had received an estimate of $6,700 from a paint
company to repair the stucco and additional evidence that InTown made repairs.
The Hammonds also provided receipts for HVAC repairs or maintenance
done by Hanser through 2015 and 2016. And they provided evidence that Hanser
hired painters to address the small cracks and paint the stucco. When asked about
this in her deposition, Hanser stated, “Again what I remember the most is, you
know, the cracks on the—on the front of the house and perhaps above the garage.”
Hanser testified that she was told that these cracks were due to settling, and she
believed that the repair and paint work addressed the issue.
The summary-judgment record contained additional deposition testimony of
Hanser herself, who testified that she was not aware of any problems with the
stucco at the time she sold the Property. She was not aware of problems with water
penetration or wood rot, or any of the other concerns identified by the Hammonds
after they had moved into the Property. Hanser testified that she believed the
repairs identified by the Hammonds, whether through the warranty tickets
12 submitted to InTown or through her own contractors, had been completed. She
specifically testified that she was told by InTown and other contractors that the
cracks in the stucco were due to settling. She testified that she had a forensic
structural engineer check the Property’s foundation in 2013 “to make sure that it is
not the reason for the cracks.” She reported that the engineer told her the Property
was “structurally sound,” and she did not need to be concerned because the small
cracks “were normal.”
At the hearing on the Listing Agents’ motion for summary judgment, they
first addressed their no-evidence motion. They pointed out, among other issues,
that the Hammonds had not alleged any acts or omissions by Clapp or Flutobo,
only by Connell. They also pointed out that, regarding Connell’s liability, the
Hammonds had not identified any evidence that Connell knew or should have
known something about the condition of the Property that he failed to disclose,
arguing that the Hammonds have only made “conclusory claims, circumstantial
guessing that because [Connell and Hanser] were dating, he should have known
something was wrong with the house, when [the Hammonds’] own inspectors
didn’t even” identify the concerns alleged by the Hammonds.
In response, the Hammonds argued that Connell circumstantially knew or
should have known about the problems with the Property because he dated Hanser
and therefore knew about the previous repairs she made to the home. They asserted
13 that Connell also would have been aware that some of Hanser’s neighbors also
engaged in stucco repairs. Counsel for the Hammonds stated, “I’m leaving out
gobs of other tidbits that we couldn’t possibly go through, hundreds of little pieces
of evidence, all of which is in the summary[-]judgment record of which a jury
could easily infer actual knowledge at trial, but at the very least there is a genuine
issue of material fact.” The trial court responded that it would need additional time
to review the motion, response, and evidence, stating, “part of my issue with . . .
your filed response is there is a lot of evidence attached and just a bare minimum
of connecting of the dots between the causes of action and what’s attached.”
Relevant to her motion for summary judgment, Hanser objected to some of
the evidence the Hammonds filed with their response to the motions for summary
judgment. She objected to the admissibility of the “warranty tickets” and a receipt
for some repairs done by InTown on the Property—the paperwork purportedly
showing Hanser’s requests for repairs to the Property under the builder’s warranty
program and a payment to one of InTown’s contractors. The Hammonds asserted
that they obtained these documents from InTown, but no affidavit of business
records or other authentication was provided for these warranty tickets. As such,
Hanser argued that, because the documents lacked proper authentication, they
contained inadmissible hearsay and should be struck. Hanser made similar
objections based on unauthenticated exhibits containing inadmissible hearsay
14 regarding emails from Connell, photos of the Property, and seller’s disclosure
notices for neighboring properties. The trial court sustained most of Hanser’s
objections to the evidence.
The trial court granted both motions for summary judgment and rendered
separate summary-judgment orders, dismissing all of the Hammonds’ claims with
prejudice. The trial court then denied the Hammonds’ motion for new trial. This
appeal followed.
Summary Judgment
The Hammonds argue on appeal that the trial court erred in granting
summary judgment in favor of Hanser and the Seller’s agents.
A. Standard of Review
We review summary judgments de novo. City of Richardson v. Oncor Elec.
Delivery Co., 539 S.W.3d 252, 258 (Tex. 2018). When, as here, the trial court
grants summary judgment without specifying the grounds for granting the motion,
we must affirm its judgment if any one of the grounds is meritorious. Cmty. Health
Sys. Prof’l Servs. Corp. v. Hansen, 525 S.W.3d 671, 680 (Tex. 2017).
Hanser and the Listing Agents moved for summary judgment on both
traditional and no-evidence grounds. When reviewing grounds for summary
judgment, we take as true all evidence favorable to the Hammonds and indulge
every reasonable inference and resolve any doubts in the Hammonds’ favor.
15 Sommers for Ala. & Dunlavy, Ltd. v. Sandcastle Homes, Inc., 521 S.W.3d 749, 754
(Tex. 2017).
On the traditional grounds, the movants bore the burden of showing 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); Oncor Elec., 539 S.W.3d at 258–59. To
do so, the defendant movants must conclusively negate at least one essential
element of each of the plaintiffs’ causes of action or conclusively prove all the
elements of an affirmative defense. KCM Fin., LLC v. Bradshaw, 457 S.W.3d 70,
79 (Tex. 2015). If the movant establishes it is entitled to summary judgment, the
burden shifts to the non-movant to raise a genuine issue of material fact to defeat
the summary judgment. Centeq Realty, Inc. v. Siegler, 899 S.W.2d 195, 197 (Tex.
1995).
On the no-evidence grounds, the movants must identify one or more
essential elements of each of the causes of action for which there was no evidence.
TEX. R. CIV. P. 166a(i); Cmty. Health, 525 S.W.3d at 695–96. To defeat the no-
evidence grounds, the Hammonds had to adduce more than a scintilla of evidence
raising a genuine issue of material fact. See KCM Fin., 457 S.W.3d at 79.
Generally, when parties move for summary judgment on both traditional and
no-evidence grounds, we first consider the no-evidence motion for summary
judgment. Lightning Oil Co. v. Anadarko E&P Onshore, LLC, 520 S.W.3d 39, 45
16 (Tex. 2017). But, if the movant in a traditional motion challenges a cause of action
on an independent ground, we consider that ground first because it would be
unnecessary to address whether a plaintiff met its burden as to the no-evidence
challenge if the cause of action is barred as a matter of law. Tex. Petroleum Land
Mgmt., LLC v. McMillan, 641 S.W.3d 831, 840 (Tex. App.—Eastland 2022, no
pet.); Lotito v. Knife River Corp.-S., 391 S.W.3d 226, 227 n.2 (Tex. App.—Waco
2012, no pet.) (considering traditional motion for summary judgment first because
no-evidence motion for summary judgment was “premised on a determination that
the traditional motion sought to defeat as a matter of law”).
B. Hanser’s Motion for Summary Judgment
In their first issue, the Hammonds challenge the trial court’s rendition of
summary judgment in Hanser’s favor. In her traditional motion for summary
judgment, Hanser argued that the Hammonds were not entitled to recover on any
of their causes of action against her because they purchased the Property “as is,”
and thus, as a matter of law, they could not establish the required causation or
reliance to support any of their claims. In her no-evidence motion, Hanser argued,
in relevant part, that the Hammonds produced no evidence that she made an
actionable misrepresentation to them. Because Hanser’s traditional ground based
on the as-is purchase of the Property is dispositive, we analyze that portion of her
summary judgment motion first.
17 1. “As-Is” Purchase
“A buyer who purchases property ‘as is’ chooses ‘to rely entirely upon his
own determination’ of the property’s value and condition without any assurances
from the seller.” Williams v. Dardenne, 345 S.W.3d 118, 123 (Tex. App.—
Houston [1st Dist.] 2011, pet. denied) (quoting Prudential Ins. Co. of Am. v.
Jefferson Assocs., Ltd., 896 S.W.2d 156, 161 (Tex. 1995)); MacPherson v. Aglony,
No. 09-21-00004-CV, 2022 WL 4374998, at *11 (Tex. App.—Beaumont Sept. 22,
2022, no pet.) (mem. op.) (holding that buyer who purchases something “as is”
agrees to make his own appraisal of bargain and accepts risk that he may be
wrong). “‘The seller gives no assurances, express or implied, concerning the value
or condition of the thing sold[,]’ and the buyer chooses to rely completely on his
own determination of the condition and value of the purchase, removing the
possibility that the seller’s conduct will cause him damage.” MacPherson, 2022
WL 4374998, at *11 (quoting Rohrs v. Hartz, No. 09-19-00196-CV, 2021 WL
2677422, at *12 (Tex. App.—Beaumont June 29, 2021, no pet.) (mem. op.), and
Prudential Ins. Co., 896 S.W.2d at 161).
Whether an as-is clause is enforceable is a question of law we review de
novo. See Prudential Ins. Co., 896 S.W.2d at 161. “In assessing the enforceability
of an as-is clause, courts consider the totality of the circumstances surrounding the
agreement.” Van Duren v. Chife, 569 S.W.3d 176, 185 (Tex. App.—Houston [1st
18 Dist.] 2018, no pet.) (citing Gym-N-I Playgrounds v. Snider, 220 S.W.3d 905, 912
n.10 (Tex. 2007) and Prudential Ins. Co., 896 S.W.2d at 162). An as-is clause
generally is enforceable if it was a significant part of the basis of the bargain,
rather than an incidental or boilerplate provision, and if it was entered into by
parties of relatively equal bargaining position. Id.
Here, the Hammonds and Hanser entered into a “One to Four Family
Residential Contract (Resale)” containing an as-is provision. The contract,
completed on a form promulgated by the TREC, provided that the Hammonds
agreed to accept the Property “As Is,” which the contract defined as meaning “the
present condition of the Property with any and all defects and without warranty
except for the warranties of title and the warranties in this contract.” The
Hammonds also signed a form indicating that they completed a walk-through of
the Property the day before closing and accepted the Property in its present
condition.
The sale contract here is a standard form promulgated by the TREC that
brokers generally must use in homes sales. See Van Duren, 569 S.W.3d at 186
(citing 22 TEX. ADMIN. CODE § 537.11 and analyzing similar contract). Because
the form provided the parties with two options as to the acceptance of the
Property’s condition—either “as is” or “as is provided Seller . . . shall complete . . .
specific repairs and treatments”—we conclude it was a significant part of the basis
19 of the bargain and not an incidental or boilerplate provision. This Court has
previously held that “[a] mandatory form contractual provision that requires the
parties in any given transaction to choose from two or more options is by definition
negotiable and not boilerplate.” Id. at 187 (citing BLACK’S LAW DICTIONARY 167
(7th ed. 1999) (defining “boilerplate” as “[f]ixed or standardized contractual
language that a proposing party views as relatively nonnegotiable”)); see also Sims
v. Century 21 Cap. Team, No. 03-05-00461-CV, 2006 WL 2589358, at *3 (Tex.
App.—Austin Sept. 8, 2006, no pet.) (mem. op.) (holding that provision in form
contract promulgated by TREC that required parties to fill in blanks was not
boilerplate). Furthermore, the Hammonds do not argue or present any evidence
indicating that there was any disparity in relative bargaining position. See Van
Duren, 569 S.W.3d at 186. Thus, we conclude that the as-is provision here was
valid. See id.
Nevertheless, “[t]wo scenarios may render a valid as-is clause
unenforceable”: (1) when “sellers secure an agreement to an as-is clause through
false assurances about the value or condition of the thing being sold or by the
concealment of information as to its value or condition” or (2) when “sellers impair
or obstruct” the buyer’s right to inspect the property. Id. at 185–86 (citing
Prudential Ins. Co., 896 S.W.2d at 161–62, Williams, 345 S.W.3d at 124–25);
MacPherson, 2022 WL 4374998, at *11–12. Buyers challenging the enforceability
20 of an as-is clause bear the burden of presenting evidence as to at least one of these
exceptions. Hall v. Rogers, No. 01-19-00408-CV, 2021 WL 2653736, at * 5 (Tex.
App.—Houston [1st Dist.] June 29, 2021, pet. denied) (mem. op.).
The Hammonds presented no evidence that Hanser obstructed their right to
inspect the Property, and the summary-judgment evidence indicates that the
Hammonds obtained an inspection and conducted their own walk through of the
Property prior to the closing of the sale. The Hammonds argue, however, that
Hanser made misrepresentations or omissions about the condition of the Property
that induced them into the purchase.
2. No Evidence of Fraudulent Inducement
To prove that they were fraudulently induced into agreeing to the as-is
provision, the Hammonds must show that “the defendant made a material
misrepresentation; the defendant was either aware that the representation was false
or that he lacked knowledge of its truth; the defendant intended for the plaintiff to
rely on the misrepresentation; the plaintiff relied on the misrepresentation; and the
plaintiff’s reliance caused injury.” Pogue v. Williamson, 605 S.W.3d 656, 665–66
(Tex. App.—Houston [1st Dist.] 2020, no pet.) (citing Int’l Bus. Mach. Corp. v.
Lufkin Indus., LLC, 573 S.W.3d 224, 228 (Tex. 2019)); Van Duren, 569 S.W.3d at
188 (“To show fraudulent inducement . . . the [buyers] must show that [the seller]
21 made a false material representation, knew it was false when made, intended to
induce reliance, and did induce reliance.”).
Here, the Hammonds argue that they were fraudulently induced or deceived
into purchasing the Property “as is,” “only to learn later that due to stucco and
exterior construction defects, the home needed $109,254.08 in remediation and
repairs.” They further assert that “misrepresentations . . . permeated the sales
process,” pointing out that Hanser “checked ‘no’ to the box on the seller’s
disclosure notice about water penetration issues and did not indicate anything in
the blank about systems in need of repair.” The Hammonds also argue that, in
response to questions they asked after their home inspection, Hanser provided
information in the October 1, 2017 email that she did not know what caused water
spots in the primary bedroom closet, but there had been no plumbing leaks and
there were no major stucco repairs. But the Hammonds then discovered “serious
water intrusion and exterior stucco problems” that “date back to construction of the
home.”
The Hammonds thus identify two different representations by Hanser that
they allege were actionable misrepresentations: (1) Hanser’s statements in the
Seller’s Disclosure, and (2) Hanser’s statements, made through Connell, in the
October 1, 2017 email. Hanser asserted in her motion for summary judgment that
22 the Hammonds provided no evidence that either of these statements were knowing
misrepresentations, and we agree.
Regarding Hanser’s statements in the Sellers’ Disclosure, the Hammonds
point to Hanser’s responses that she was not “aware of any defects or
malfunctions” in various components of the Property, including in the “exterior
walls” or “other structural components.” Hanser also marked that she was not
aware of conditions such as “water penetration” or “wood rot.” Hanser did not
identify any items or systems in need of repair in the section asking, “Are you
(Seller) aware of any item, equipment, or system in or on the Property that is in
need of repair, which has not been previously disclosed in this notice?”
The Hammonds argue in their brief that they construed Hanser’s
representations in the Seller’s Disclosure “to mean that the property did not have
any current material issues or problems and did not have any in the past.” This
argument misconstrues that nature of Hanser’s representations in the Seller’s
Disclosure.
Property Code section 5.008 requires a seller of residential real property to
give the purchaser of the property a written notice—the “Seller’s Disclosure
Notice”—disclosing the seller’s knowledge of the condition of the property. TEX.
PROP. CODE § 5.008(a); MacPherson v. Pena, 2022 WL 17685119, at *7 (Tex.
App.—Beaumont Dec. 15, 2022, no pet.) (mem. op.). The Seller’s Disclosure
23 Notice itself makes it clear that the representations within are statements of the
seller’s knowledge of the condition of the property: “This notice is a disclosure of
seller’s knowledge of the condition of the property as of the date signed by seller
and is not a substitute for any inspections or warranties the buyer may wish to
obtain. It is not a warranty of any kind by seller, seller’s agents, or any other
agent.” See Pena, 2022 WL 17685119, at *7 & n.18 (considering representations
in Seller’s Disclosure Notice based on same TREC form).
Hanser’s Seller’s Disclosure did not represent that there were no defects in
the Property; rather, her representations in the Seller’s Disclosure indicated that
Hanser did not know of any defects in the Property at the time she completed the
notice. The Hammonds have provided no evidence that, contrary to her
representations in the Seller’s Disclosure, Hanser knew of then-existing defects
that she failed to disclose. They cited evidence of previous repairs that Hanser
made to the Property, including requests for repair that she made to InTown, the
builder. The Hammonds argue that this evidence indicates that there were
problems of long duration despite Hanser’s failure to disclose them.
However, “evidence of repairs without more does not show that a person
knows a defect still exists in a home.” Id. at *7. While a seller must disclose
“material facts which would not be discoverable by the exercise of ordinary care
and diligence on the part of the purchaser, or which a reasonable investigation and
24 inquiry would not uncover,” a seller has no duty to disclose facts that he does not
know. MacPherson, 2022 WL 4374998, at *11 (citing Smith v. Nat’l Resort
Cmtys., Inc., 585 S.W.2d 655, 658 (Tex. 1979)). Stated another way, “A seller has
no duty to disclose facts he [or she] does not know. Nor is a seller liable for failing
to disclose what he [or she] only should have known.” Hall, 2021 WL 2653736, at
*6 (quoting Prudential Ins. Co., 896 S.W.2d at 162).
In addition, a seller is not required to disclose any knowledge of past
conditions on the property which are not known to exist at the time the Seller’s
Disclosure Notice is signed. Hall, 2021 WL 2653736, at *6 (citing Bynum v.
Prudential Residential Servs., Ltd. P’ship, 129 S.W.3d 781, 795 (Tex. App.—
Houston [1st Dist.] 2004, pet. denied), and Van Duren, 569 S.W.3d at 189).
“Knowledge of past repairs does not establish knowledge of a present defect[.]”
Van Duren, 569 S.W.3d at 188 (holding that knowledge of leak that was repaired,
without more, does not support inference of knowledge of existing defect). “Thus,
a seller has no duty to disclose a condition or defect which was previously repaired
or remedied.” Hall, 2021 WL 2653736, at *6; see Pfieffer v. Ebby Halliday Real
Estate, Inc., 747 S.W.2d 887, 890 (Tex. App.—Dallas 1988, no writ) (“[R]epairs
correct defects, not prove their continued known existence.”).
The Hammonds argued, “When the very problems that were denied in a
seller’s disclosure statement manifest themselves shortly after closing, that is
25 strong evidence of deception.” They cite Sigler v. Durbec, No. 05-98-01207-CV,
2001 WL 432620 (Tex. App.—Dallas Apr. 30, 2001, no pet.) (mem. op., not
designated for publication), and Kessler v. Fanning, 953 S.W.2d 515 (Tex. App.—
Fort Worth 1997, no pet.), to support their contention that the problems that
manifest after closing constituted some evidence that Hanser knew about problems
with the house she did not disclose. These cases are distinguishable.
In Sigler, the seller told the buyer that there had been a roof leak, but it had
been repaired and there were no leaks. 2001 WL 432620, at *1. The seller
disclosed no defects or malfunctions with the roof. Id. However, the first time it
rained after the buyers moved into the house, the roof leaked in several places
resulting in damage to the buyers. Id. The buyers presented testimony from a
person who inspected the roof and offered his opinion that the roof was “now
leaking and has been leaking for some time,” stating, “There is no way for this roof
to not be leaking.” Id. at *4. He also testified that when he examined the inside of
the home, he observed places where damage from leaks had been painted over and
that the people who lived in the home would have heard the drips and seen and
smelled the damage from the leaks. Id. The court in Sigler determined that this
evidence was sufficient to overcome the seller’s no-evidence motion for summary
judgment on the buyer’s DTPA claim. Id.
26 Similarly, in Kessler, the buyer’s identified drainage problems “almost
immediately” after moving into the house. 953 S.W.2d at 517, 521. One of the
buyers testified that the seller “admitted to her that the house had a problem with
improper drainage and he was aware of it.” Id. at 521. The buyers also presented
an expert’s opinion that the drainage problem had existed for “at least three years,”
and a neighbor testified that he had observed the drainage problems while the
sellers had lived on the Property. Id. at 522. Thus, the Kessler court determined
that the evidence was sufficient to support the trial court’s decision to submit to the
jury the issue of liability under the DTPA. Id.
Sigler and Kessler are different from the present case in several material
ways. First, neither Sigler nor Kessler involved an as-is purchase or fraudulent
inducement, but violations of the DTPA. See 2001 WL 432620, at *1, 7; 953
S.W.2d at 518–19, 521; see also Prudential Ins. Co., 896 S.W.2d at 162–63
(holding, in context of analyzing as-is sale of property, that evidence that seller
“should have suspected the presence of asbestos” is not sufficient to show
misrepresentation because seller must only disclose actual knowledge of
conditions, and observing that seller “had no duty to investigate the presence of
asbestos in the [Property], or to disclose to [the buyer] any general concerns it may
have had about asbestos in buildings”). Furthermore, although the Hammonds
presented some evidence that the problems with the stucco were present from the
27 time the house was built, they did not provide any evidence that the nature of those
problems would have been obvious to Hanser, in contrast to the expert testimony
offered in Sigler and Kessler. Thus, Sigler and Kessler do not compel the
conclusion here that the nature of the problems with the Property constituted some
evidence that Hanser made knowing misrepresentations to induce them into the as-
is sale of the Property.
The Hammonds also argue that the fact that Hanser had the house painted
the summer before she sold the Property “without addressing or repairing the
stucco and water intrusion problems leads to the ineluctable conclusion that she
intended to secrete them.” The Hammonds argue that covering defects, rather than
repairing them, is a sign of deception. There is no evidence here, however, that
Hanser knew there were water penetration problems or that she painted the house
to cover up any defects. The Hammonds point, in part, to the results of a
penetrative stucco test conducted after they moved in that showed there was
“substrate damage throughout the home, delamination from the stucco wall, and
separated and penetrated sealants in many areas.” Hanser, however, testified in her
deposition that she believed the cracks addressed as part of the paint job were
cosmetic or attributable to settling. There is no evidence that the paint job covered
up “substrate damage,” “delamination,” or “separated and penetrated sealants in
many areas.”
28 The Hammonds cite Fernandez v. Schultz, 15 S.W.3d 648 (Tex. App.—
Dallas 2000, no pet.) to support their contention, but that case in distinguishable. In
Fernandez, Fernandez purchased the property after another potential purchaser
backed out when their inspector found evidence of active termites. Id. at 650.
Fernandez hired a contractor to repair the home so that it could be resold, and the
contractor noticed signs of active termites. Id. The contractor testified that he
informed Fernandez about the termites and that Fernandez told him to make only
cosmetic repairs to cover the termite damage. Id. Fernandez then sold the home to
Shultz based on his seller’s disclosure notice marking “no” with regard to whether
he had any knowledge regarding active termites, termite damage, or previous
termite treatment. Id. The court in Fernandez found this evidence to constitute
more than a scintilla of evidence to support Fernandez’s liability to Shultz under
the DTPA. Id. at 651–52.
Here, however, no such evidence exists. The Hammonds have not presented
any evidence that a contractor or other party informed Hanser about problems with
the stucco or water penetration. Nor did they present any evidence of repairs that
concealed or hid problems with the stucco or water penetration. Specifically, there
was no evidence that the exterior paint job—disclosed to the Hammonds in the
October 1, 2017 email—served to conceal the defects the Hammonds now
complain about. See, e.g., Hall, 2021 WL 2653736, at *6; Van Duren, 569 S.W.3d
29 at 189 (holding that evidence of previous repairs and maintenance do not prove
actual knowledge of defects at time of completing required disclosures).
We conclude that the Hammonds have presented no evidence that Hanser
made a knowing misrepresentation in the Seller’s Disclosure that would invalidate
the as-is clause.
The Hammonds also contend that Hanser misrepresented the condition of
the Property in her October 1, 2017 email. In that email, Hanser, through her agent
Connell, related information to the Hammonds that the repairs around the kitchen
window were “simply due to settling of the house and the only repair there was
light sanding and paint” and that there had been no “major stucco repair,” only
cracks from settling that were “filled as part [of] bi-yearly stucco maintenance the
seller did religiously and a complete new $7k paint job done this summer.” Also in
this email, Connell conveyed that the wet spot in the closet was “a mystery” and
was “possibly [caused by] wet clothes left too long from a beach weekend or the
like,” and that there had never been a plumbing leak. The Hammonds argue that
this email “served to defraud the Hammonds out of exercising the option to
terminate the purchase-sale agreement.”
However, as with the representations in the Seller’s Disclosure, the
Hammonds presented no evidence that Hanser’s statements regarding the window
repair, the stucco maintenance, the “mystery” water spot in the closet, or the lack
30 of any plumbing leaks were false when she made them, as required to support an
allegation of fraudulent inducement. See Van Duren, 569 S.W.3d at 188 (“To show
fraudulent inducement . . . the [buyers] must show that [the seller] made a false
material representation, knew it was false when made, intended to induce reliance,
and did induce reliance.”).
The Hammonds cite Bernstein v. Thomas, 298 S.W.3d 817 (Tex. App.—
Dallas 2009, no pet.) to support their argument that “when the seller gives
assurances about matters raised in an inspection report, that diffuses any effect the
report has against reliance and causation.” We observe, however, that contrary to
the situation in Bernstein, Hanser’s representations in the October 1, 2017 email
are not affirmative representations that there was no defect or malfunction. See id.
at 823 (“Although the Bernsteins contend they did not impede the Thomases’
inspection of the foundation in any way, the jury could have reasonably concluded
from the evidence presented that the Bernstein’s assurances about the condition of
the house, and their specific representation that there was no defect or malfunction
in the foundation, played a part in dissuading the Thomases from further
investigation.”). As compared to a “specific representation that there was no
defect,” as in Bernstein, Hanser’s representations were limited to her own
knowledge of the Property’s condition.
31 Hanser stated that the window repair was “simply due to settling of the
house and the only repair there was light sanding and paint” and that there had
been no “major stucco repair,” only cracks from settling that were “filled as part
[of] bi-yearly stucco maintenance the seller did religiously and a complete new $7k
paint job done this summer.” There is no evidence that any of these statements
were false. There was no evidence that Hanser knew there was any continuing
problem following the repair to the kitchen window or routine stucco maintenance.
Additionally, Hanser represented that the water spot in the closet was “a mystery”
and that there had not been any plumbing leaks. Again, the Hammonds presented
no evidence that these representations were false or that Hanser actually knew
about any water penetration issues when she made these representations.
Because the Hammonds failed to meet their burden to bring forward any
evidence of fraudulent inducement, we conclude that the as-is provision in the sale
contract is valid and enforceable.
3. Enforceable As-Is Clause Negates Causation
By purchasing the home pursuant to an enforceable as-is clause, the
Hammonds agreed to make their own appraisal of the bargain and to accept the
risk as to the quality of the Property and any resulting loss. See MacPherson, 2022
WL 4374998, at *11–12. Thus, the enforceable as-is clause negates causation or
reliance in the Hammonds’ claims for (1) negligence, see Van Duren, 569 S.W.3d
32 at 185 (holding that causation is necessary element of negligence claim and
negated by valid, enforceable as-is clause) (citing IHS Cedars Treatment Ctr. of
DeSoto, Tex., Inc. v. Mason, 143 S.W.3d 794, 798 (Tex. 2004)); (2) gross
negligence, see Mack Trucks, Inc. v. Tamez, 206 S.W.3d 572, 582 (Tex. 2006)
(requiring proof of proximate cause for gross negligence claims); (3) negligent
misrepresentation, see Van Duren, 569 S.W.3d at 185 (holding that reliance is
essential element of claim for negligent misrepresentation (citing Henry Schein,
Inc. v. Stromboe, 102 S.W.3d 675, 693 (Tex. 2002)); (4) breach of contract, see
MacPherson, 2022 WL 4374998, at *11 (concluding that as-is clause negated
causation required to establish breach-of-contract claim); (5) common-law fraud,
see Int’l Bus. Machs., 573 S.W.3d at 228 (justifiable reliance is element of
common-law fraud); (6) fraud by nondisclosure, see Van Duren, 569 S.W.3d at
185 (holding that reliance necessary element of fraud by nondisclosure and negated
by as-is clause), (7) statutory fraud in the sale of real estate, see TEX. BUS. & COM.
CODE § 27.01(a) (elements include reliance on false representation); and (8) DTPA
violations, see Prudential Ins. Co., 896 S.W.2d at 160–61 (holding that valid as-is
clause negates causation required for DTPA claim); see also TEX. BUS. & COM.
CODE § 17.50(a) (providing that claims brought under DTPA require showing of
“producing cause”).
33 We therefore conclude that the trial court’s summary judgment in favor of
Hanser on the Hammonds’ claims for negligence, gross negligence, negligent
misrepresentation, common-law fraud and fraud by nondisclosure, statutory fraud
in sale of real estate, violation of the DTPA, and breach of contract was supported
by the presence of the enforceable as-is clause.
C. Listing Agents’ Summary Judgment
In their second issue, the Hammonds argue that the trial court erred in
granting summary judgment in favor of the Listing Agents. Connell, his
supervising broker, Clapp, and his brokerage agency, Flutobo, also moved for
traditional and no-evidence summary judgment on all of the Hammonds’ claims
against them. As set out above, however, the enforceable as-is clause negates
causation as a matter of law regarding the claims against the Listing Agents.
The Hammonds contend that Connell himself made misrepresentations that
fraudulently induced them into closing on the sale and that his supervising broker
and brokerage agency are vicariously liable for Connell’s alleged wrong-doing. We
observe, however, that the Hammonds failed to provide any evidence of a
misrepresentation by Connell.
Regarding any purported misrepresentations by Connell in connection with
the Seller’s Disclosure, we observe that there is no evidence that Connell, whether
in his capacity as the agent or in his capacity as Hanser’s boyfriend, made any of
34 the representations in the Seller’s Disclosure. The law imposes a duty on sellers of
real property, not their agents, to complete the Seller’s Disclosure. See TEX. PROP.
CODE § 5.008(a), (d); Pena, 2022 WL 17685119, at *7. The Seller’s Disclosure
Notice makes it clear that the representations within the Notice are the seller’s
alone, stating, “This notice is a disclosure of seller’s knowledge of the condition of
the property as of the date signed by seller and is not a substitute for any
inspections or warranties the buyer may wish to obtain. It is not a warranty of any
kind by seller, seller’s agents, or any other agent.” Pena, 2022 WL 17685119, at *7
& n.18 (discussing identical seller’s disclosure form). The Seller’s Disclosure here
was signed only by Hanser as the sole owner of the Property.
“[U]nless a broker or real estate agent knows information in a Seller’s
Disclosure Notice is false, a real estate agent and the agency [he] works for is
generally not liable for the representations or omissions in the Seller’s Disclosure
Notice because the representations in the Notice are the seller’s alone.” Id. at *7
(citing Van Duren, 569 S.W.3d at 188); see also TEX. OCC. CODE § 1101.805(e)
(creating exception that applies if broker is shown to have known sellers made
false representation, or knows seller misrepresented or concealed material facts and
broker failed to disclose their own knowledge of seller’s misrepresentation or
concealment). The Hammonds presented no evidence that Connell or any Listing
35 Agent knew that any of Hanser’s representations in the Seller’s Disclosure were
false.
Likewise, regarding the representations made by Hanser and communicated
through Connell in the October 1, 2017 email regarding the kitchen window,
stucco repairs, and the closet wet spot, there is no evidence that Connell himself
knew that any of the statements were false. There is no evidence that Connell knew
Hanser had omitted material information, nor is there evidence that he himself
knew but failed to disclose material information about the Property. The mere fact
of his dating relationship with Hanser—which was disclosed to the Hammonds at
the time of the sale—does not prove that Connell knew about and failed to disclose
any defect in the Property. See Kubinsky v. Van Zandt Realtors, 811 S.W.2d 711,
714 (Tex. App.—Fort Worth 1991, writ denied) (holding that listing real estate
agent has no legal duty to inspect listed property beyond asking sellers if such
defects exist). The Hammonds do not identify any other statements or
representations made by Connell.
We have already concluded that the Hammonds presented no evidence of a
misrepresentation by Hanser that would support a conclusion that she fraudulently
induced them into the as-is purchase of the Property. We likewise conclude that
there is no evidence that Connell or any of the Listing Agents fraudulently induced
the Hammonds into the as-is purchase of the Property. See Van Duren, 569 S.W.3d
36 at 188 (“To show fraudulent inducement . . . the [buyers] must show that [the
seller] made a false material representation, knew it was false when made, intended
to induce reliance, and did induce reliance.”).
We conclude that the trial court’s summary judgment in favor of the Listing
Agents on the Hammonds’ claims for negligence, gross negligence, negligent
misrepresentation, common-law fraud and fraud by nondisclosure, statutory fraud
in sale of real estate, and violation of the DTPA was supported by the presence of
the enforceable as-is clause.
Finally, we further conclude that the trial court’s summary judgment in favor
of Hanser and the Listing Agents on the Hammonds’ civil conspiracy claim was
likewise proper.3 Civil conspiracy is not an independent tort but is instead a theory
of vicarious tort liability derivative of an underlying wrong. See Agar Corp. v.
Electro Circuits Int’l, LLC, 580 S.W.3d 136, 140–41 (Tex. 2019); see also Chu v.
Hong, 249 S.W.3d 441, 444–45 (Tex. 2008) (holding that, in civil conspiracy,
3 In their live pleading, the Hammonds identify this claim as “Civil Conspiracy and Aiding & Abetting.” They then alleged elements consistent with a civil conspiracy claim. Thus, our conclusion that summary judgment was proper on these claims for civil conspiracy also encompasses any intended allegations of aiding and abetting. See First United Pentecostal Church of Beaumont v. Parker, 514 S.W.3d 214, 225 (Tex. 2017) (observing that court has “never expressly recognized a distinct aiding and abetting cause of action,” some courts have determined that “such a claim requires evidence that the defendant, with wrongful intent, substantially assisted and encouraged a tortfeasor in a wrongful act that harmed the plaintiff”); see also Grant Thornton LLP v. Prospect High Income Fund, 314 S.W.3d 913, 930–31 (Tex. 2010) (holding that when fraud claim based on purported misrepresentations fails, conspiracy and aiding and abetting claims dependent on that fraud fail as well). 37 plaintiff seeks to hold defendant liable for injury caused by third party who has
acted in combination with defendant for common purpose). Because we have
concluded that, as a matter of law, the Hammonds cannot recover on any of their
other tort or breach of contract claims, they likewise cannot recover for civil
conspiracy. See Agar Corp., 580 S.W.3d at 141 (holding that “[c]ivil conspiracy
depends entirely on the injury caused by the underlying tort; the injury is the
damage from the underlying wrong, not the conspiracy itself”; citing Massey v.
Armco Steel Co., 652 S.W.2d 932, 934 (Tex. 1983) in setting out elements of civil
conspiracy as including (1) two or more persons; (2) object to be accomplished;
(3) meeting of minds on object or course of action; (4) one or more unlawful, overt
acts; and (5) damages as proximate result).
We overrule the Hammonds’ first and second issues challenging the trial
court’s grant of summary judgment dismissing with prejudice all of their claims
against Hanser and the Listing Agents.
D. Objections to Summary Judgment Evidence
In their third issue, the Hammonds contend that the trial court erred in
sustaining Hanser’s objections to certain summary judgment exhibits.
“[T]he same evidentiary standards that apply in trials also control the
admissibility of evidence in summary-judgment proceedings.” FieldTurf USA, Inc.
v. Pleasant Grove Indep. Sch. Dist., 642 S.W.3d 829, 837 (Tex. 2022) (quoting
38 Seim v. Allstate Tex. Lloyds, 551 S.W.3d 161, 163–64 (Tex. 2018)). We review a
trial court’s ruling to exclude summary judgment evidence for an abuse of
discretion. Starwood Mgmt., LLC v. Swaim, 530 S.W.3d 673, 678 (Tex. 2017) (per
curiam). Further, a trial court’s error in excluding evidence is reversible only if it
probably caused the rendition of an improper judgment. JLG Trucking, LLC v.
Garza, 466 S.W.3d 157, 165 (Tex. 2015) (citing TEX. R. APP. P. 44.1(a)(1)).
Summary-judgment evidence must be presented in a form that would be
admissible at trial. Fortitude Energy, LLC v. Sooner Pipe LLC, 564 S.W.3d 167,
178 (Tex. App.—Houston [1st Dist.] 2018, no pet.). Generally, hearsay and
unauthenticated documents would not be admissible at trial. See TEX. R. EVID. 802,
901(a).
The trial court sustained Hanser’s objections to the following exhibits:
(1) Exhibit 4, an unauthenticated “warranty ticket” related to Hanser’s request for
repairs that the Hammonds allegedly received from InTown; (2) Exhibit 5, an
unauthenticated invoice from Garcia’s Stucco LLC allegedly received from
InTown related to repairs that InTown made to the Property; (3) Exhibit 18, an
unauthenticated e-mail from Connell to Barbara Marin, “mclapp@kw.com”, and
Daryl Zipp in which Connell purportedly denied any knowledge of problems with
the Property and asserted that he had fulfilled his obligations as the real estate
agent; (4) Exhibits 21 and 22, unauthenticated Seller’s Disclosure Notices for
39 neighboring properties; (5) the last page of Exhibit 27, an unauthenticated website
picture of the Property with markings around part of the structure; (6) Exhibit 28,
an unauthenticated “Residential Property Survey Information” that appeared to be
part of a intake form for a property-tax valuation challenge; and (7) Exhibit 29, an
unauthenticated invoice/receipt from Kiwi Services that purported to show that
Connell paid for carpet cleaning service at the Property. Hanser argues that these
unauthenticated exhibits contained inadmissible hearsay and, therefore, the trial
court properly sustained her objections to them.
The Hammonds contend that the trial court abused its discretion because
they provided evidence demonstrating the source of each exhibit through
deposition testimony or other methods. They further argue that, even if the
evidence was properly excluded in the context of their response to Hanser’s motion
for summary judgment, the Listing Agents did not join her objections to this
evidence and so the evidence must still be considered in the context of their
response to the Listing Agents’ motion for summary judgment.
We have already concluded, as set out above, that the Hammonds presented
no evidence that either Hanser or Connell fraudulently induced them into the as-is
purchase of the Property. Nothing in the above-described, contested evidence
would change our analysis. Nothing in the warranty tickets, emails, or other items
of evidence indicates that either Hanser or Connell knew about problems with the
40 stucco or the other identified issues at the time of the sale and failed to disclose
them to the Hammonds with the intent to fraudulently induce them into the as-is
purchase of the Property. See Van Duren, 569 S.W.3d at 188 (“To show fraudulent
inducement . . . the [buyers] must show that [the seller] made a false material
representation, knew it was false when made, intended to induce reliance, and did
induce reliance.”).
Accordingly, the Hammonds cannot show that any error by the trial court in
excluding evidence probably caused the rendition of an improper judgment. See
JLG Trucking, 466 S.W.3d at 165.
We overrule the Hammonds’ third issue.
Conclusion
We affirm the trial court’s judgment dismissing all of the Hammonds’
claims with prejudice.
Richard Hightower Justice
Panel consists of Chief Justice Adams and Justices Hightower and Countiss.