Robert H. Holmes v. GMAC, Inc.

458 S.W.3d 85, 2014 WL 5248812
CourtCourt of Appeals of Texas
DecidedNovember 7, 2014
Docket08-12-00209-CV
StatusPublished
Cited by8 cases

This text of 458 S.W.3d 85 (Robert H. Holmes v. GMAC, 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
Robert H. Holmes v. GMAC, Inc., 458 S.W.3d 85, 2014 WL 5248812 (Tex. Ct. App. 2014).

Opinion

OPINION

ANN CRAWFORD McCLURE, Chief Justice

Robert H. Holmes appeals from a judgment entered in favor of GMAC, Inc. 1 We affirm.

FACTUAL SUMMARY

On September 29, 2006, Holmes purchased a 2007 GMC Denali from Sewell Buick Pontiac GMC in Dallas and he executed a retail installment contract (“Contract”) for the amount of $60,492.68. GMAC subsequently purchased the Contract from Sewell Buick Pontiac GMC.

The contract required Holmes to make thirty-eight payments of $1,062.00 with the first payment due on November 14, 2006, and a thirty-ninth payment of $33,126.00 on January 14, 2010, or alternatively, the vehicle could be sold to GMAC on the due date of the final payment at a defined “Sale Price” provided Holmes met a number of conditions. Holmes made thirty-two payments in the amount of $1,062.00 on his account with GMAC, and two reduced payments pursuant to extension requests. Holmes tendered two. other payments which did not go through due to insufficient funds. As a result of the extensions agreed to by GMAC, the last scheduled payment on the Contract became due on April 14, 2010. Holmes defaulted on the Contract by failing to make several payments when due. Holmes claimed that he made three payments which GMAC failed to credit to his account, but the evidence at trial showed that these three payments were made on another GMAC account for a 2003 Corvette. Holmes paid a total of $35,046.00 on the account which is less than the amount of $40,356.00 required by the Contract, excluding the final scheduled payment of $33,126.00. GMAC accelerated the balance due under the Contract and filed its breach of contract suit against Holmes on February 5, 2010. Holmes surrendered the vehicle to Sewell Buick Pontiac GMC on April 17, 2010. GMAC subsequently sold the vehicle for $28,500.00 which left a balance of $15,637.81.

*90 The trial court set the case for a'bench trial on April 4, 2011, but the parties agreed to a continuance, and the case was re-set for trial on September 26, 2011. Holmes filed a second motion for continuance on September 16, 2011 and the trial court granted the motion. Trial was re-set for January 3, 2012. GMAC appeared and announced ready for trial on January 3, 2012, but Holmes’s attorney notified the court that Holmes was going to an emergency' room due to chest pain. The trial court advised Holmes’ attorney that if Holmes was not available to attend trial by the end of the week, the court would require him to provide an affidavit from his doctor. The court re-set the case for trial on January 23, 2012 and Holmes responded by filing a third motion for continuance requesting that the court continue the case for an unspecified period of time until he was released by his doctor. Holmes attached letters from two doctors, Matthew Lo, M.D. and Robert Rosen, M.D., stating that he was seen at St. Paul Hospital University ER on January 3, 2012 and was admitted for observation that day. Dr. Lo’s letter stated he had advised Holmes to refrain from any strenuous or stressful activities including trial work until he has been evaluated by his cardiologist.

GMAC appeared and announced ready for trial on January 23, 2012. Holmes’ attorney appeared and announced that Holmes was not ready to proceed. GMAC objected to continuing the case again. The trial judge expressed his reluctance to continue the case again and asked Holmes’ attorney to explain the substance of Holmes’ anticipated testimony. Counsel stated that Holmes would testify about the past course of dealing on the “SmartLease with GMAC” and payments that GMAC had received from Holmes but had not applied to the account. After hearing argument from the parties, the trial court ruled that GMAC would be permitted to present its case-in-chief and Holmes could cross-examine the witnesses. The trial judge added that if he felt it was necessary or helpful for him to hear Holmes’ testimony, they would adjourn the trial until a date when he would be available but not indefinitely. After GMAC presented its evidence and rested, the court engaged in the following discussion with Holmes’ attorney:

[The Court]: Mr. Shoultz, understanding that you do not have your client available, I think the business records that have been admitted establish what’s gone on here pretty clearly. Particularly with respect to the two payments in 2006, I think the record has established that they were properly credited to a different account. ' And, at best, there’s — I might have a suspicion about that $969, but I think the record keeping is sufficiently consistent that I’m not persuaded by that. What would Mr. Holmes testify to that you think would constitute a defense?
[Mr. Shoultz]: Well, Judge, other than payments that you have talked about, those three, the only other thing would be course of dealing with GMAC on turning in the other vehicles and being — I know there was — -I’m going to say credit. I may be using the wrong word.
[The Court]: Was he three months down on the payments that he ever turned in another vehicle?
[Mr. Shoultz]: He was behind. He was behind, Judge, but I personally don’t know how far. I have a chart that I think on each and every one, he was behind on. But he thought the value of that vehicle was probably greater than the amount owed under the contract. This is the first one he had that he was probably — or that he was negative on.
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*91 [The Court]: All right. If the record were to close this afternoon, I would find that Mr. Holmes is liable for $10,971.42 in damages and $18,000 in attorneys’ fees for the time through trial, which in itself is an extraordinary amount for a debt collection case. But this has not been an ordinary debt collection case.
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[The Court]: Now, Mr. Shoultz, I would like you to carry that information back to your client. If that’s not good enough, then in all probability we will continue this trial. And whatever else happens, he will probably pay some more attorney’s fees. So please inform opposing counsel and the Court within, say, by the end of the week, let’s say, whether Mr. Holmes would waive the right to put on additional testimony if judgment were to be in that amount. And if not, we will find a time when we can get him in here to hear what he has to say.

Based on the trial court’s statements, Holmes was required to notify the Court and GMAC by January 27, 2012 whether he wished to present additional testimony or evidence. Holmes did not do so and GMAC’s attorney, on March 2, 2012, sent a letter to Holmes’ attorney stating that Holmes had failed to comply with this requirement. GMAC’s attorney enclosed a proposed judgment with the letter and notified Holmes that she had filed it with the trial court. Holmes did not respond to the letter or object to the proposed judgment. On March 8, 2012, the trial court entered judgment awarding GMAC damages in the amount of $10,971.42, attorney’s fees in the amount of $18,000.00, and conditional attorney’s fees in the event of an appeal.

DENIAL OF DUE PROCESS

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Bluebook (online)
458 S.W.3d 85, 2014 WL 5248812, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robert-h-holmes-v-gmac-inc-texapp-2014.