Martini v. Tatum

776 S.W.2d 666, 1989 Tex. App. LEXIS 2063, 1989 WL 90462
CourtCourt of Appeals of Texas
DecidedAugust 9, 1989
Docket07-89-0062-CV
StatusPublished
Cited by19 cases

This text of 776 S.W.2d 666 (Martini v. Tatum) 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
Martini v. Tatum, 776 S.W.2d 666, 1989 Tex. App. LEXIS 2063, 1989 WL 90462 (Tex. Ct. App. 1989).

Opinion

REYNOLDS, Chief Justice.

R.H. Martini perfected this appeal from a take-nothing judgment rendered against both him and Jim Tatum, the only parties remaining in the litigation concerning contracts for the sale and purchase of real property. With four points of error, Martini contends that the trial court erred in (1) granting Tatum’s oral motion for instructed verdict as to his, Martini’s, issue of malicious prosecution; (2) denying his conditional motion to dismiss without prejudice his issue of malicious prosecution; (3) granting Tatum’s motion, and denying his motion, for entry of judgment; and (4) not granting his alternative motion for judgment non obstante veredicto. On the rationale expressed, we will sustain the third contention of error, overrule the other points of error, and reverse and remand with instructions. 1

The transcript does not contain the pleadings initiating the litigation, but we learn from the appellate record that the controversy had its inception in an agreement for Martini to sell, and Tatum to buy, a tract of land situated in Harris County. The property, on which Tatum desired to build a two or three story building, contained approximately 20,868 square feet and was known as 420 Jackson Hill at Dickson Street.

Their 1981 written contract provided, among other conditions, that Tatum would, and he did, place $5,000 in escrow with Buffalo Title Company, where the closing was scheduled for 6 January 1982. Martini was to, and he did, apply to the City of Houston for a utility letter securing sewerage capacities satisfactory to Tatum, who was given the right to clear the rear 5,000 square feet of the property for the placement of a temporary building.

The City of Houston refused the request for utilities, allowing utilities to the property only for five single residential units per acre, and stated that the request for the removal of existing structures for the construction of a 20,000 square foot building exceeded restrictions and must be denied. Buffalo Title requested Tatum to give his acceptance or denial of the utility situation. Tatum did not sign and return the tendered waiver, and orally told Buffalo Title that he would not close on 6 January 1982.

Martini thought Tatum had defaulted and the contract was “dead.” In February following the scheduled closing date, Buffalo Title requested Tatum to advise the status of closing the contract. Tatum did not respond.

In March or April of 1982, Martini contracted to sell the property to Frank Evans. The contract was not consummated because Martini’s wife refused to execute a deed required by the title company. Evans *668 filed suit on 4 June 1982 to recover from Martini for breach of contract.

Thereafter, by his 13 July 1982 letter, Tatum requested a closing of the 1981 Martini-Tatum contract. Martini’s attorney denied Tatum a right to closing because of Tatum’s failure to close on 6 January 1982, and made a request for Buffalo Title to forfeit the $5,000 escrow earnest money to Martini. By reply, Tatum disputed the right of forfeiture and stated that he still would like to purchase the property, “but a new contract would be necessary.”

More than two months later, in October of 1982, Tatum requested, and Buffalo Title agreed, to transfer the $5,000 escrowed earnest money to another escrow account in the event the cash was needed. The funds remained on deposit with Buffalo Title until June of 1987, when they were released to Tatum upon an agreement that Martini would not be liable for any claim for interest.

In November of 1982, Tatum sent notification by letter that he had decided to waive the utility requirements and close the sale. In return, he was denied the right to close on the ground that there was no contract.

Afterwards, on 11 March 1983, Tatum intervened in the Evans-Martini lawsuit, alleging his 1981 contract with Martini was a valid contract still in effect, and seeking specific performance or damages. Subsequently, apparently in July of 1983, the controversy between Evans and Martini was settled, after which the litigation continued between Tatum and Martini. 2

By his live trial pleadings, Martini, generally and specifically denying Tatum’s allegations and the continuing validity of their 1981 contract, sought to recover damages from Tatum for, inter alia, breach of contract and malicious prosecution, together with reasonable attorney’s fees.

After the details of the foregoing recitation were adduced before a jury, evidence of reasonable and necessary attorney’s fees was given by Martini’s attorneys. Two attorneys testified to a total of $43,-333.09 attorney’s fees for preparation and trial of the cause. One of the attorneys testified to fees in the event of appeals. His testimony was that $10,000 would be adequate for an appeal in the court of appeals; if the case is appealed to the Supreme Court of Texas, “approximately $5,000 would be necessary to prosecute the appeal;” and if the matter is appealed to the Supreme Court of the United States, his experience was “that approximately $25,000 would be expended.”

Following the close of testimony, Tatum orally moved for, and the trial court granted, an instructed verdict on Martini’s ground of recovery for malicious prosecution. Sometime later, Martini asked the court to allow him to voluntarily dismiss, without prejudice, his cause of action for malicious prosecution. The court, agreeing with Tatum that the matter had been judicially determined previously, denied the motion to dismiss.

Upon submission of the cause to the jury without objection by either party to the issues submitted, the jury, in responding to the numbered special issues, (1) failed or refused to find that Martini failed to comply with his agreement with Tatum, but (3) found that Tatum breached his earnest money contract with Martini. The jury further (4) found that Martini should be awarded as reasonable and necessary attorney’s fees, the sums of $10,000 for preparation and trial, $38,316.67 in the event of an appeal to the court of appeals, $43,316.67 if a writ of error is applied for to the Supreme Court of Texas, and $68,316.67 if a writ of error is granted by the Supreme Court of Texas.

Martini moved for entry of judgment and partial judgment non obstante veredicto or, alternatively, for entry of judgment on the jury’s verdict. By his motion for judgment and partial judgment non obstante veredic-to, Martini sought judgment on the jury’s answers to special issues 1 and 3 and, in lieu of the jury’s answers to special issue 4, the respectively evidenced and uncontro-verted amounts of $42,316.09, $10,000, $5,000, and $25,000 for attorney’s fees.

*669 Tatum moved for a take-nothing judgment against both parties. In doing so, he represented that there was no evidence to support Martini’s claim of malicious prosecution, that the jury found there had been no breach of the contract as to either of them, and that the award of attorney’s fees is not supported by the evidence or the law.

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776 S.W.2d 666, 1989 Tex. App. LEXIS 2063, 1989 WL 90462, Counsel Stack Legal Research, https://law.counselstack.com/opinion/martini-v-tatum-texapp-1989.