LAKE CHARLES HARBOR v. Board of Trustees of Galveston Wharves

62 S.W.3d 237, 2001 Tex. App. LEXIS 7003, 2001 WL 1249269
CourtCourt of Appeals of Texas
DecidedOctober 18, 2001
Docket14-00-00746-CV
StatusPublished
Cited by42 cases

This text of 62 S.W.3d 237 (LAKE CHARLES HARBOR v. Board of Trustees of Galveston Wharves) 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
LAKE CHARLES HARBOR v. Board of Trustees of Galveston Wharves, 62 S.W.3d 237, 2001 Tex. App. LEXIS 7003, 2001 WL 1249269 (Tex. Ct. App. 2001).

Opinion

OPINION

J. HARVEY HUDSON, Justice.

This appeal arises from a dispute between the purchaser of two cranes and the port at which the cranes were located over liability for damage caused by rodent infestation. In the trial court, appellants Lake Charles Harbor and Terminal District (“LCHTD”) and Lake Charles Stevedores, Inc. (“LCS”) (collectively, “Lake Charles”), complained that appellee Board of Trustees of the Galveston Wharves (the “"Wharves”) breached its duty to prevent vermin from despoiling the cranes. In eight points of error, appellants contend the trial court erred in granting appellees’ motion for summary judgment and denying appellants’ counter-motion for partial summary judgment. We affirm.

Factual and Procedural Background

In 1993, the "Wharves leased property to ABT Galveston Limited Partnership (“ABT”). ABT, in turn, constructed on the property an automated facility for loading and unloading unitized cargo from ocean going vessels. Part of the automated equipment included two Bailey Dockside Unitizer Shiploader Gantry Cranes.

In August 1996, ABT failed when one of its creditors, CIT Group/Equipment Financing, Inc. (“CIT”), foreclosed. During negotiations for the purchase of the cranes from CIT, LCHTD and the "Wharves entered into an “Access Agreement” on March 12,1997, whereby LCHTD was permitted to store the cranes on the property and prepare them for eventual shipment to Louisiana. Thereafter, on March 27,1997, LCHTD purchased the cranes and appurtenant equipment from CIT for approximately $14,000,000. LCHTD then entered into a separate agreement with LCS whereby the latter agreed, at its own cost, to dismantle the cranes and transport them to their new location. The Wharves terminated its lease with the now defunct ABT on March 31, 1997. In mid-June 1997, LCHTD became aware that the gnawing of rodents had caused substantial damage to the electrical wiring systems of the cranes. 1 On August 26, 1997, LCHTD presented a claim to the "Wharves for the cost of repairs. This claim was refused, and the instant litigation ensued.

Lake Charles sought recovery under statutory warehouse bailment provisions providing for liability where damage results from the location of the storage of the goods or from the failure to use reasonable care in their handling. 2 In addi *241 tion, Lake Charles asserted claims for damages for negligence, breach of contract, breach of implied warranty and under common law bailment theory (1) for breach of agreement to maintain the cranes in the same condition they were in when the bailment commenced and (2) for breach of a duty of ordinary care in the storage of the cranes. Damages were requested in the amount of $365,000, exclusive of interest and attorney fees, for the cost of repairing the cranes. Alternatively, Lake Charles sought indemnification under the terms of the Access Agreement.

The Wharves filed a combined traditional and “no evidence” motion for summary judgment. Lake Charles responded with a counter-motion for partial summary judgment. The trial court rendered a take-nothing summary judgment for the Wharves without specifying the grounds therefor.

Standards of Review

A traditional motion for summary judgment is properly granted only when the movant establishes that there are no genuine issues of material fact to be decided and that he is entitled to judgment as a matter of law. See Tex.R. Civ. P. 166a(c); Lear Siegler, Inc. v. Perez, 819 S.W.2d 470, 471 (Tex.1991); Holmstrom v. Lee, 26 S.W.3d 526, 530 (Tex.App.—Austin 2000, no pet.). A defendant seeking summary judgment must negate as a matter of law at least one element of each of the plaintiffs theories of recovery or plead and prove as a matter of law each element of an affirmative defense. See Centeq Realty, Inc. v. Siegler, 899 S.W.2d 195, 197 (Tex.1995). If the defendant establishes a right to summary judgment, the burden shifts to the plaintiff to present evidence raising a fact issue. See id.

A party may also move for a “no-evidence” summary judgment. See Tex.R. Civ. P. 166a(i). Such a motion asserts there is no evidence of one or more essential elements of claims upon which the opposing party would have the burden of proof at trial. See id.; McCombs v. Children’s Med. Ctr., 1 S.W.3d 256, 258 (Tex.App.—Texarkana 1999, no pet.). Unlike a movant for traditional summary judgment, a movant for a no-evidence summary judgment does not bear the burden of establishing a right to judgment by proving each claim or defense. See Holmstrom, 26 S.W.3d at 530. A no-evidence summary judgment is essentially a pretrial directed verdict, to which we apply the same legal sufficiency standard of review. See id.; Moore v. K Mart Corp., 981 S.W.2d 266, 269 (Tex.App.—San Antonio 1998, pet. denied). A no-evidence summary judgment is properly granted if the non-movant fails to produce more than a scintilla of probative evidence raising a genuine issue of fact as to an essential element of a claim on which the non-movant would have the burden of proof at trial. See Tex.R. Civ. P. 166a(i); Holmstrom, 26 S.W.3d at 530.

In reviewing the grant of summary judgment, we view the evidence in the light most favorable to the non-movant and make every reasonable inference and resolve all doubts in favor of the non- *242 movant. See Centeq Realty, 899 S.W.2d at 197; Robins v. Kroger Co., 982 S.W.2d 156, 159 (Tex.App.—Houston [1st Dist.] 1998, pet. denied). When the trial court grants one party’s motion for summary judgment and denies the other, we review both motions and if we find the trial court erred, we will reverse and render the judgment the trial court should have rendered. See Bradley v. State ex rel. White, 990 S.W.2d 245, 247 (Tex.1999); Holmstrom, 26 S.W.3d at 530.

Breach of Contract

In the first point of error, Lake Charles alleges the trial court erred both in granting'summary judgment for the Wharves on the breach of contract claims and in denying Lake Charles’ counter motion for summary judgment on the same claims.

The only agreement between the Wharves and either LCHTD or LCS was the Access Agreement of March 12, 1997, by which CIT, LCHTD and the Wharves agreed that LCHTD would have access to the property formerly under lease by ABT so it could arrange for the cranes to be dismantled and removed. Section 1 of the agreement sets out its essence:

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Bluebook (online)
62 S.W.3d 237, 2001 Tex. App. LEXIS 7003, 2001 WL 1249269, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lake-charles-harbor-v-board-of-trustees-of-galveston-wharves-texapp-2001.