Justin Lee Obernuefemann and Meagan Obernuefemann v. Stout Homebuilders, LLC

CourtCourt of Appeals of Texas
DecidedJune 19, 2025
Docket09-23-00136-CV
StatusPublished

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Justin Lee Obernuefemann and Meagan Obernuefemann v. Stout Homebuilders, LLC, (Tex. Ct. App. 2025).

Opinion

In The

Court of Appeals

Ninth District of Texas at Beaumont

________________

NO. 09-23-00136-CV ________________

JUSTIN LEE OBERNUEFEMANN AND MEAGAN OBERNUEFEMANN, Appellants

V.

STOUT HOMEBUILDERS, LLC, Appellee

________________________________________________________________________

On Appeal from the 163rd District Court Orange County, Texas Trial Cause No. B180270-C ________________________________________________________________________

MEMORANDUM OPINION

In this home construction dispute concerning overages, Appellants Justin Lee

Obernuefemann and Meagan Obernuefemann (“Justin,” “Meagan,” or collectively

“the Obernuefemanns”) appeal from a jury’s verdict awarding damages to Appellee

Stout Homebuilders, LLC (“Stout”). In four issues, the Obernuefemanns complain

the trial court erred by admitting evidence and submitting a jury question related to

damages that was unsupported by the evidence. We affirm the trial court’s judgment.

1 BACKGROUND

The Obernuefemanns hired Stout to construct their new home in Orange

County for $433,370. Stout’s Proposal, which was noted as a Base Proposal, states

that “BUILDER SHALL PROVIDE ALL LABOR, MATERIALS, AND OTHER

ITEMS NECESSARY TO PERFORM THE FOLLOWING WORK FOR A FIXED

SUM.” The Proposal also states:

BUILDER SHALL PROVIDE THE FOLLOWING ITEMS FOR THE AMOUNT ALLOWED FOR EACH SPECIFIC ITEM. THE ALLOWANCE ITEMS SHALL BE SELECTED HAS [sic] PROVIDED HEREIN. BUILDER WILL GIVE A CREDIT FOR ANY COST SAVINGS ON AN ALLOWANCE ITEM. OWNER WILL PAY TO BUILDER ANY EXCESS OF AN ITEM OVER THE ALLOWANCE AMOUNT.

The Proposal included allowances for materials and labor and stated that certain

upgrading would be at the Obernuefemanns’ expense. The Proposal specified,

among other allowances, that the tile allowance was $16,800, the material allowance

for all flooring was $7,740, and that “***THIS IS THE STARTING PRICE***[.]”

The Proposal provided that “ANY ALTERATION OR DEVIATION FROM

ABOVE SPECIFICATION INVOLVING EXTRA COST WILL BE EXECUTED

ONLY UPON WRITTEN ORDERS, AND WILL BECOME AN EXTRA

CHARGE OVER AND BEYOND THE ORIGINAL ESTIMATE.” The record

includes Stout’s exhibit showing the Obernuefemanns’ “CUSTOMER

AUTHORIZED EXTRAS” totaling $48,358.07 along with receipts for the overages.

2 In April 2018, the Obernuefemanns closed on their home before construction

was complete, and Adam Stout (“Adam”) executed a Bills-Paid Affidavit

(“Affidavit”) stating he “paid each of Contractor’s subcontractors, laborers, and

materialmen in full for all labor and materials provided to Owner or Contractor for

construction of the Improvements[.]” The Affidavit states that Stout agreed “to

indemnify and hold Owner harmless for any loss or expense resulting from false or

incorrect information in this affidavit.” Stout completed the home and tendered it to

the Obernuefemanns, who accepted and moved into the home but refused to pay for

the “CUSTOMER AUTHORIZED EXTRAS” totaling $48,358.07.

Stout filed suit against the Obernuefemanns alleging causes of action for

breach of contract, quantum meruit, unjust enrichment, and fraud in the inducement.

Stout asserted that it had suffered $48,358.07 in damages and denied there was a

facially valid Affidavit because the Obernuefemanns made false representations to

induce Adam to sign the Affidavit, which included claiming they would pay the

remaining expenses if Stout helped them close to avoid paying additional interest.

The Obernuefemanns filed an Answer denying Stout’s allegations and asserting (1)

affirmative defenses of release, offset, and detrimental reliance; (2) Stout’s claims

were barred by the Proposal’s contractual provisions; and (3) the Bills-Paid Affidavit

required Stout to indemnify them from any claims for nonpayment from his vendors,

including Flooring Design Center (“FDC”).

3 FDC, which is not a party in this appeal, filed a Plea in Intervention, claiming

it had a justiciable interest in the litigation because it supplied flooring materials and

installation services at the Obernuefemanns’ home at a cost of $54,490.39. FDC

alleged causes of action for breach of contract, quantum meruit, and unjust

enrichment and asserted it had sustained $29,490.39 in damages based on the

Obernuefemanns’ failure to pay for materials and services. FDC denied there was a

facially valid Affidavit because the Obernuefemanns made false representations

claiming they would pay all remaining expenses and allowances to induce Adam to

sign it. FDC alleged that it justifiably relied on the Obernuefemanns’ false

representations which resulted in its damages.

The Obernuefemanns filed an Original Counter-Claim against Stout asserting

claims for breach of contract/warranty based on Stout’s alleged failure to complete

a punch list detailing defects and incomplete work and to address warranty issues.

Stout filed an Answer to the Counter-Claim, denying the Obernuefemanns’

allegations, which it also asserted were barred by the statute of limitations, waiver,

failure of consideration, and failure to perform conditions precedent.

The trial court conducted a jury trial. The record shows that the

Obernuefemanns did not object to any of Stout’s pre-admitted exhibits. Adam, the

owner of Stout, testified that his Proposal with the Obernuefemanns was a lump sum

contract to build their “custom home[]” for $433,370. Adam explained the Proposal

4 included allowances, so the Obernuefemanns immediately knew if they were over

budget, and the Proposal contains a provision that the Obernuefemanns agreed to

pay for any overages outside the lump sum. Adam testified the “[v]ery custom[]”

home includes extras.

Concerning the Affidavit, Adam explained that the Obernuefemanns’ bank

contacted him before closing and told him the Obernuefemanns needed to “hurry up

and close[]” to “lock the rate in.” Adam explained “it was relentless e-mails,” and

the jury viewed emails Adam received from the Obernuefemanns’ bank, including

one stating they had to close by April 26 to avoid extension fees. Adam testified that

he was “pretty much backed into a corner[,]” and assumed he was going to finish

after closing. Adam explained the Affidavit is the final document indicating the

contract has been fulfilled and all bills were paid for the scope of work under the

contract amount and does not mean the overages were paid. Adam signed the

Affidavit to help save the Obernuefemanns money by locking in their rate and to

avoid delay charges. Adam testified that when he signed the Affidavit, the

Obernuefemanns knew there were still overages they had to pay, and Adam

understood that “they were going to pay their bills like they had always paid.” Adam

explained the Obernuefemanns assured him they would pay, and he trusted them so

much that he signed the Affidavit, which probably released his mechanic’s lien.

5 Adam testified that after he completed the home, the Obernuefemanns failed

to pay the overages. Adam explained the overages were for interior finishes the

Obernuefemanns requested that exceeded their allowances, and the vendors’

invoices for those overages were preadmitted without objection. Adam testified he

had some written change orders, but as they got closer to closing “it was hurry, hurry,

hurry[]” and “‘[j]ust do what she asks, and that’s what we’ll do[.]’” Adam had the

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Justin Lee Obernuefemann and Meagan Obernuefemann v. Stout Homebuilders, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/justin-lee-obernuefemann-and-meagan-obernuefemann-v-stout-homebuilders-texapp-2025.