PROTECT ENVIRONMENTAL SERVICES, INC., Appellant/Cross-Appellee, v. NORCO CORPORATION, Appellee/Cross-Appellant

403 S.W.3d 532, 2013 WL 1904821, 2013 Tex. App. LEXIS 5624
CourtCourt of Appeals of Texas
DecidedMay 8, 2013
Docket08-11-00303-CV
StatusPublished
Cited by14 cases

This text of 403 S.W.3d 532 (PROTECT ENVIRONMENTAL SERVICES, INC., Appellant/Cross-Appellee, v. NORCO CORPORATION, Appellee/Cross-Appellant) 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
PROTECT ENVIRONMENTAL SERVICES, INC., Appellant/Cross-Appellee, v. NORCO CORPORATION, Appellee/Cross-Appellant, 403 S.W.3d 532, 2013 WL 1904821, 2013 Tex. App. LEXIS 5624 (Tex. Ct. App. 2013).

Opinion

OPINION

YVONNE T. RODRIGUEZ, Justice.

Protect Environmental Services, Inc. (“Protect” or “Appellant/Cross-Appellee”), in a single issue, asserts that the trial court abused its discretion in awarding a reduced portion of the attorney’s fees and expenses Protect incurred. Norco Corporation (“Norco” or “Appellee/Cross-Appel-lant”), in a sole issue, alleges error by the trial court in denying Norco’s motion for new trial alleging legal and factual insufficiency on, inter alia, the issues of actual and apparent authority. 1 For the reasons set out below, we affirm.

*536 PROCEDURAL BACKGROUND

Protect filed suit seeking damages for, inter alia, breach of contract based on actual and apparent authority. Norco answered with a general denial of all allegations. A bench trial was held on May 23, 2011, at which the trial court requested additional briefing on the issues of actual and apparent authority and ratification. The trial court issued a letter ruling in favor of Protect and signed a final judgment to that effect. The trial court awarded Protect damages of $11,616.34, court costs, pre-judgment interest, and attorney’s fees of $3,500, for a total judgment of $18,601.14. Neither party requested, and the trial court did not prepare, findings of fact and conclusions of law.

Norco filed a motion for new trial arguing, the evidence was legally and factually insufficient on, inter alia, the issues of actual and apparent authority, while Protect filed a motion for new trial on the issue of attorney’s fees. The motions were overruled by operation of law and both parties appealed.

FACTUAL BACKGROUND

Shortly after midnight on June 14, 2007⅛ Raymond Bailey 2 (“Bailey”), an owner-operator truck driver working as an independent contractor for Norco, was picking up a load at the VersaCold cold storage facility in Fort Worth when his truck was stolen. Bailey’s truck was found a short while later in Lake Worth, where it was spilling diesel fuel into the water.

According to Bailey, he first realized that the truck was stolen approximately thirty minutes after he arrived at Versa-Cold at 11:45 p.m. Bailey called 911 at 12:12 a.m. His next call, using the Versa-Cold phone line, was to Deborah Burroughs (“Burroughs”), the Norco dispatcher on-duty, to inform Norco of the theft of the truck. According to Bailey’s cell phone records, he called Norco again at 1:18 a.m., 2:06 a.m., 7:05 a.m., and 10:48 a.m. Bailey did not specifically recall when the police took him to where the truck was found, but guessed it was between 1:30 a.m. to 2 a.m. Bailey initially stated Protect arrived at that location about 3' to 3:30 a.m., but later testified Protect had arrived around 2 a.m. Bailey testified that neither he nor Burroughs had called Protect to the scene. Richard Cameron (“Cameron”), President and CEO of Protect, presented Bailey with a contract. The contract was for Protect’s environmental clean-up services. The environmental clean-up services were to “contain, control and clean up a release of hazardous or regulated materials,” specifically, diesel fuel and other liquids released from the tractor-trailer after it had been abandoned in Lake Worth. Bailey was told for the environmental clean-up to begin, the contract needed to be signed. Bailey testified Cameron told him the contract was between Protect and Norco. Bailey’s testimony regarding that evening was not exact. He initially stated he had called Norco at approximately 2:06 a.m. and Burroughs had “verbally told me to do whatever it took to take care of it.” He subsequently signed the contract for the environmental clean-up services Cameron had provided to him. Bailey also acknowledged he was not sure of the exact time when Protect arrived, and was unsure about what he spoke to Burroughs about *537 in the 2:06 a.m. call, but he definitely signed the contract prior to the 7:05 a.m. call.

Bailey understood he had signed the contract “on behalf of Norco, as a representative of Norco.” Further, he believed he had authority to enter into the contract and bind Norco, but he did not specifically tell Cameron he had such authority. Bailey thought the independent contractor agreement 3 he had signed with Norco authorized him to bind Norco. Bailey testified he believed he had this authority because:

[F]rom 2005 when I leased on with the company, I had been the whole time picking up shipments and doing everything that had Norco’s name on it and my name on it as well under the pretense that I’m a representative of Norco.
And whenever I put signs on the side of my truck that says Norco, I have to represent this company. 4

Bailey also testified, in the three years since the incident, Norco never told him that he was responsible for the contract or that they were not responsible for the contract.

Cameron testified when he arrived at the truck’s location, at approximately 2:15 to 2:30 a.m., he initially asked Bailey if he was “Mr. Norco.” After discovering Bailey was not, he told Bailey, Protect would need him to contact Norco and obtain approval before Protect could begin the environmental clean-up. 5 Cameron then observed Bailey make a phone call. After Bailey finished the phone call, he then told Cameron he had authorization to sign the clean-up contract. Cameron further testified had Bailey told him that he did not have authorization to sign the contract for Norco, Protect would not have begun clean-up operations. Bailey signed the contract for Norco believing he had the authority to do so. Protect performed the services and completed the work required in the contract that night.

Mindy Stanley (“Stanley”), a Protect employee, testified she both faxed and mailed the signed contract and invoice to Norco on the morning of June 15, 2007, after the environmental work was completed. The invoice charged Norco the cost of the clean-up which totaled $11,616.34. Norco did not respond to the invoice or contract that was mailed and faxed to them. The invoice was not paid and Norco did not assert Bailey’s lack of authority as the basis for non-payment. Norco’s silence and non-payment prompted Protect to send reminder letters regarding the payment of the invoice. Stanley also placed several follow-up calls to Norco attempting to secure payment of the invoice, even speaking to the safety director on occasion, but to no avail, the invoice remained unpaid without any explanation. Stanley testified up until September 21, 2007, when the lawsuit was first filed, Nor-co made no attempt to either pay or dispute the invoice or the contract signed by Bailey. Stanley testified Norco never advised her they were refusing to pay the invoice because Bailey did not have authority to enter into the contract on their behalf.

*538 At trial, Burroughs testified that she received the first call from Bailey a little after midnight advising the truck had been stolen.

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403 S.W.3d 532, 2013 WL 1904821, 2013 Tex. App. LEXIS 5624, Counsel Stack Legal Research, https://law.counselstack.com/opinion/protect-environmental-services-inc-appellantcross-appellee-v-norco-texapp-2013.