Lewis v. Wittig

877 S.W.2d 52, 1994 Tex. App. LEXIS 953, 1994 WL 162971
CourtCourt of Appeals of Texas
DecidedApril 28, 1994
DocketNo. B14-94-00158-CV
StatusPublished
Cited by5 cases

This text of 877 S.W.2d 52 (Lewis v. Wittig) 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
Lewis v. Wittig, 877 S.W.2d 52, 1994 Tex. App. LEXIS 953, 1994 WL 162971 (Tex. Ct. App. 1994).

Opinion

OPINION

JUNELL, Justice (Retired).

This original mandamus proceeding arises out of a suit for legal malpractice. Relators, H. Lee Lewis, Jr., and Griggs & Harrison (collectively “the Lawyers”), request a writ to order Respondent, Judge Don E. Wittig, to set aside a discovery protection order he issued in favor of the Real Parties in Interest, Mt. Hawley Insurance Company (“Mt. Hawley”) and RLI Insurance Company (“RLI”) (collectively “the Companies”). We conditionally grant the writ.

Mt. Hawley and RLI are closely affiliated insurance companies. In two separate lawsuits, each company was sued by a client for failure to defend and indemnify. The Lawyers represented Mt. Hawley and RLI in each suit. The Companies lost both suits, incurring liability for damages far in excess of the clients’ policy limits. Now, Mt. Haw-ley and RLI are suing the Lawyers for legal malpractice.

The Lawyers defend on grounds that the Companies were sophisticated in coverage and bad faith matters and agreed with each of the Lawyers’ decisions in the underlying suits. In addition to the Lawyers, Byron Lee of the law firm of Coats, Rose, Yale, Holm, Ryman & Lee (“Coats”) represented the Companies in both suits. Jim Peden of the law firm of Strasburger & Price (“Stras-burger”) represented Mt. Hawley in an unsuccessful appeal of the judgment against Mt. Hawley. The Companies have designated Byron Lee and Jim Peden as experts in their legal malpractice suit against the Lawyers.

The Lawyers assert that the Companies, their experts, and the co-participating law firms have evidence the Lawyers need to defend themselves. That proof can be found, the Lawyers contend, in the Companies’ claims files related to the underlying suits and in Coats’ and Strasburger’s litigation files. The proof may come in the form of memoranda or correspondence discussing the complexities of the suits and acknowledging the propriety of the Lawyers’ decisions.

To obtain that evidence, the Lawyers served notices of depositions along with requests for production on Mt. Hawley, RLI, Coats, and Strasburger. The Lawyers requested documents related to the underlying suits, including but not limited to the entire insurance claims files relevant to those matters and the corresponding litigation files of Coats and Strasburger. The Companies, on behalf of themselves and the law firms, objected and sought protection based, inter alia, on attorney-client, work-product, witness statement, and party-communications privileges. The Lawyers responded by moving to compel production.

[54]*54The trial court held a hearing on the Companies’ motion for protection and the Lawyers’ motion to compel. The Companies tendered to the court from their claims files a set of indexed documents for which they sought protection. The trial court appointed a special master to inspect the claims files in camera and assess the Companies’ right to privilege. Some 600 documents were involved. The master was also to inspect some eighteen boxes of Coats’ and Strasburger’s litigation files which were assembled for inspection at the offices of the Companies’ attorneys.

It is unclear from the record whether the master inspected the documents that the Companies extracted from their claims files and provided to the trial court. However, regarding the law firms’ litigation files, the special master was dissatisfied with the manner in which the files were segregated. He requested that the litigation files be appropriately segregated to identify the allegedly privileged documents. Via a teleconference with Judge Sharolyn Wood, sitting in for Judge Wittig, the Companies received advice that the files could be segregated with self-adhesive post-it notes without destroying the integrity of the files. The Companies maintain that this was accomplished. Nevertheless, the special master remained unsatisfied with the manner of segregation. In his report to the trial court, the master recommended that the Companies’ motion for protection be denied because they had not adequately segregated the allegedly privileged materials. See Tex.R.Civ.P. 166b(4). Additionally, he reported that any claim of privilege by the Companies was waived by their offensive use of the privilege in instituting the legal malpractice claim.

The Companies moved for reconsideration of the master’s report, and the trial court held a hearing. After the hearing, but before the trial court issued his order, the Companies tendered to the court one box and one notebook from the law firms’ files for which the Companies sought protection. It is unclear from the record whether this one box and notebook were all that the Companies sought to be protected out of the original eighteen boxes of the law firms’ litigation files. In the end, the trial court decided to disregard the recommendation of the special master. Instead, the trial court issued an order granting the Companies’ protection order and denying the Lawyers’ motion to compel. The Lawyers sought mandamus relief. Since the date set for the trial of the Companies’ malpractice suit against the Lawyers was fast approaching, we ordered that the proceedings be stayed pending resolution of this mandamus action.

Mandamus may issue only to correct a clear abuse of discretion by the trial court. Walker v. Packer, 827 S.W.2d 833, 839 (Tex.1992) (orig. proceeding). A trial court abuses its discretion if “it reaches a decision so arbitrary and unreasonable as to amount to a clear and prejudicial error of law.” Id., quoting Johnson v. Fourth Court of Appeals, 700 S.W.2d 916, 917 (Tex.1985) (orig. proceeding). A trial court has no discretion in determining what the law is or in applying the law to the facts. TransAmerican Natural Gas Corp. v. Flores, 870 S.W.2d 10, 12 (Tex.1994) (orig. proceeding). The scope of discovery largely rests within the discretion of the trial court. Ginsberg v. Fifth Court of Appeals, 686 S.W.2d 105, 108 (Tex.1985) (orig. proceeding). However, the denial of proper discovery constitutes a “clear abuse of discretion.” Id., quoting Jampole v. Touchy, 673 S.W.2d 569, 572 (Tex.1984) (orig. proceeding).

The parties in this mandamus proceeding raise questions concerning the adequacy of segregation of privileged documents and the application of the offensive-use doctrine. However, we need not reach these issues in deciding that the trial court’s protective order should be vacated. Rather, we base our decision on the trial court’s misinterpretation of National Union Fire Ins. Co. v. Valdez, 863 S.W.2d 458 (Tex.1993) (orig. proceeding), as barring, as a matter of law, any discovery request for an “entire file.”

Requests for Production and Subpoena Duces Tecum

The Lawyers gave notice of oral depositions to both Mt. Hawley and RLI. The notices were accompanied by requests for the production of various discovery materials in-[55]

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877 S.W.2d 52, 1994 Tex. App. LEXIS 953, 1994 WL 162971, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lewis-v-wittig-texapp-1994.