Phil Ferrant v. Graham Associates, Inc.

CourtCourt of Appeals of Texas
DecidedSeptember 26, 2013
Docket02-12-00190-CV
StatusPublished

This text of Phil Ferrant v. Graham Associates, Inc. (Phil Ferrant v. Graham Associates, Inc.) 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
Phil Ferrant v. Graham Associates, Inc., (Tex. Ct. App. 2013).

Opinion

COURT OF APPEALS SECOND DISTRICT OF TEXAS FORT WORTH

NO. 02-12-00190-CV

PHIL FERRANT APPELLANT

V.

GRAHAM ASSOCIATES, INC. APPELLEE

----------

FROM COUNTY COURT AT LAW NO. 1 OF TARRANT COUNTY

MEMORANDUM OPINION 1

I. Introduction

Appellant Phil Ferrant appeals the judgment following a bench trial in the

suit initiated against him by Appellee Graham Associates, Inc. (GAI).

Challenging the legal and factual sufficiency of the evidence, Ferrant contends in

his first two issues that he is not personally liable to GAI, that GAI waived its right

to recover part of its claim, and that a promissory note he signed is not supported 1 See Tex. R. App. P. 47.4. by consideration. Ferrant argues in his third issue that the evidence is legally

insufficient to support the award of attorney’s fees to GAI. We affirm.

II. Background

GAI filed this suit against Ferrant in March 2011, alleging that Ferrant

engaged GAI to perform engineering services but breached the contract and

owed GAI $12,765.54. GAI also sought recovery of attorney’s fees. Ferrant

answered through a verified denial, specifically denying personal liability and

alleging that an entity named West Fort Worth Day Care, LLC was instead GAI’s

client. Although all of the $12,765.54 originated with engineering services

provided by GAI, Ferrant signed a promissory note for the outstanding balance

due as of October 2009 and made several payments toward the note. GAI

alleged that Ferrant still owed $4,423.86 on the promissory note and an

additional $8,341.68 for services performed after Ferrant executed the

promissory note. Thus, GAI alleged that Ferrant owed $12,765.54.

A. Jeffery Winkler

Winkler, a registered professional engineer and former GAI employee,

testified at trial that he was a senior project manager for this project. Winkler first

met Ferrant in 2008 at a meeting with Glenn Griggs, the architect for the project,

and Winkler sent Ferrant a contract proposal after the meeting. The contract

proposal was on GAI letterhead and was addressed to Ferrant “via Griggs

Group, Inc.” with the following subject line:

2 Proposal for Civil Engineering Services West Fort Worth Child Care Site – 1.5 Acres Fort Worth, Texas Project No. GG02

The proposal had a preprinted signature block at the end with blanks for a

signature, the date, and the title of the person signing. Ferrant signed the

proposal on September 19, 2008. He wrote “CFO” as his title but did not include

the name of any company. Winkler confirmed that the footer on the signature

page stated: “West Fort Worth Child Care–Griggs Group–GG02–Graham-

jmw.doc.”

Winkler testified that Ferrant did not say at the time he signed the contract

that he was acting on behalf of Fort Worth Day Care Center, Compass Day Care

Center, Ferrant’s wife or daughter, or any other particular company. Winkler also

testified that, from the beginning of the project in 2008 through the end of the

project in 2010, he never had a conversation with Ferrant’s wife or daughter or

anyone who identified themselves as an owner of Fort Worth Day Care Center.

Winkler’s only conversations were with Ferrant, and Winkler called or e-mailed

Ferrant with any questions that required the owner’s input. Winkler testified that,

although it was apparent to him that Ferrant did not have much experience in

construction or development, Ferrant was the general contractor for the project.

Winkler testified that Ferrant “called the shots” for the project.

Winkler testified that there was a time when GAI suspended work for

nonpayment as permitted by the contract and that Ferrant met with Winkler and

3 Jimmy Wagnon, owner of GAI, at GAI’s offices to discuss the unpaid invoices.

GAI informed Ferrant that it would not continue work on the project if Ferrant did

not agree to sign a promissory note. Ferrant signed the note on October 20,

2009, and GAI did additional work on the project.

Winkler identified a document titled “Unconditional Waiver & Release” that

Wagnon signed on behalf of GAI in December 2009. The waiver and release

stated that it “covers a progress payment for labor, services, equipment or

materials furnished through November 30, 2009 only and does not cover

retention or items furnished after that date.” Winkler agreed that the waiver and

release listed the job as “West Fort Worth Day Care” and did not mention Ferrant

individually.

Winkler testified that GAI sued Ferrant to recover $8,341 for services GAI

performed for Ferrant in 2010 and for $4,423, the remaining unpaid balance on

the promissory note Ferrant executed in October 2009.

B. Phillip Ferrant

Ferrant testified that he did not have any contract or development

experience before taking on this project but that he did have experience with

business affairs from “several businesses.” Ferrant has a master’s degree in

taxation from the University of Texas at Arlington and is a CPA.

Ferrant acknowledged that he signed the contract with GAI and that he

had ample opportunity to review it before he signed it. He admitted that the

contract does not mention “West Fort Worth Day Care, LLC” anywhere within it

4 and testified that only the words “West Fort Worth” appear. Ferrant also

acknowledged that “CFO” alone does not identify the entity for which he was

acting when he signed the contract. He testified, though, that he signed the

contract and interacted with GAI only as CFO of West Fort Worth Day Care, LLC

and that he had no intention of being personally liable to GAI. He added that his

wife and daughter are the owners of the daycare, that his daughter wanted to

open a daycare, that he helped her open a daycare, and that he is not a member

of the LLC. Ferrant testified that A&M Construction was the general contractor

for the project.

Ferrant identified six checks he had signed and given to GAI as payments.

The payor on the first three checks is “Monarch Fund I,” which Ferrant testified is

an assumed name under which he does business. Ferrant wrote his name next

to “Monarch Fund I” on the second check. The payor for the other three checks

is “Compass Children’s Academy.” Ferrant testified that Compass Children’s

Academy is the assumed name for West Fort Worth Day Care.

Ferrant testified that he intended to make all twelve payments of $631.99

as called for in the promissory note at the time he signed it and that he made the

payments on the promissory note for the first five months. He denied believing,

though, that GAI would not do any additional work if he did not sign the

promissory note and testified that he expected GAI to finish its contract

obligations and to keep working. Ferrant admitted that he signed the promissory

5 note in his individual capacity, but he denied receiving any personal benefit from

having done so.

C. Jimmy Wagnon

Wagnon is the chief executive officer and owner of GAI. He testified that

he considered Ferrant to be the client for this project and that the name of the

project was “West Fort Worth Day Care Center.” He never visited with Ferrant’s

wife or daughter and testified that Ferrant never identified himself as Fort Worth

Day Care or West Fort Worth Day Care and that “it’s not in his e-mail address

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