Rodarte v. Investeco Group, L.L.C.

299 S.W.3d 400, 2009 Tex. App. LEXIS 7661, 2009 WL 3126410
CourtCourt of Appeals of Texas
DecidedSeptember 29, 2009
Docket14-08-00093-CV
StatusPublished
Cited by37 cases

This text of 299 S.W.3d 400 (Rodarte v. Investeco Group, L.L.C.) 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
Rodarte v. Investeco Group, L.L.C., 299 S.W.3d 400, 2009 Tex. App. LEXIS 7661, 2009 WL 3126410 (Tex. Ct. App. 2009).

Opinions

MAJORITY OPINION

JEFFREY V. BROWN, Justice.

In this property-foreclosure case, Victor Rodarte appeals the trial court’s summary-judgment orders in favor of Investeco Group, L.L.C., Morad Mekhail, and Vincent Rodriguez. Victor contends that the summary-judgment orders were improperly granted because (1) he had standing to prosecute the suit on his brother’s behalf; (2) one summary-judgment order was based solely upon previously nonsuited claims; (3) the appellee-movants failed to meet the required burdens of proof; and (4) the trial court ignored Victor’s properly pleaded and proven affirmative defenses. We affirm the trial court’s judgment.

I. Background

In 1990, Paul Sanchez (a.k.a. Polo Sanchez) sold a piece of real property in Harris County to Eva Mendez. Sanchez and Mendez executed a promissory note for $110,000, which was secured by a deed of trust granting Sanchez a hen on the property. Mendez conveyed the property in 1997 to Marleny Serna, who assumed the note. In 1999, Serna conveyed the property via a document entitled “Assumption Warranty Deed” to Domingo Gonzales and Gregorio Rodarte, Victor’s brother, and they assumed the note and executed a new deed of trust. According to the pleadings, Gonzales and Gregorio assumed the note under an oral partnership agreement in which each agreed to pay one-half of the note’s payments and other expenses. Gregorio eventually assumed the entire note, allegedly buying out Gonzales’s interest.

According to the pleadings, in 2004 Gregorio had difficulty making the monthly payments and began searching for a buyer for the property. Around the same time, Sanchez appointed Vincent Rodriguez as substitute trustee on the new deed of trust. Gregorio allegedly located a buyer, Gomar Properties, Inc., but then learned indirectly that Rodriguez had taken action to foreclose upon the property. In April 2004, Gonzales allegedly approached Rodriguez — in his capacity as an agent to Sanchez — to prevent the foreclosure, and the parties reached an oral agreement (the “Sanchez Agreement”) to that effect. The specific details of that agreement remain in dispute.

In October 2004, Sanchez sold the note to Investeco. Investeco then appointed Morad Mekhail as the substitute trustee of the deed of trust. Mekhail executed a notice of foreclosure sale on the property and sold the property to the highest bidder, Investeco.

About two years later, Gregorio executed special and general power-of-attorney documents appointing Victor as his agent, and giving Victor authority to prosecute any and all legal actions relating to the property on his brother’s behalf.

Victor filed suit against Investeco and Mekhail alleging claims for damages including breach of contract, negligence, improper foreclosure, and breach of fiduciary duty. Under the heading “Parties,” Victor is identified as “an individual who ... is the lawful agent of real-party-in-interest, [405]*405Gregorio Rodarte, with respect to all suits arising from the real property in question.”

Victor filed his first amended petition against Investeco and Mekhail alleging claims for (among other things) breach of contract, breach of fiduciary duty (against Mekhail in his capacity as trustee only), and conversion; Victor effectively nonsuit-ed the previously asserted improper-foreclosure claims by omitting them from his amended pleading. After Victor filed his amended pleading, Investeco and Mekhail filed counter-claims seeking a declaratory judgment with respect to proper notice of foreclosure and the existence of surplus funds following foreclosure.

Investeco and Mekhail moved for summary judgment on several claims, including their newly asserted counter-claims. The trial court granted summary judgment in favor of Investeco and Mekhail with regard to .the appellees’ declaratory-judgment counter-claims, but denied the remainder of the summary-judgment motion.

Victor fried a fourth amended petition in June 2007, in which he added Gregorio and Gonzales as plaintiffs, and Sanchez and Rodriguez as new defendants. In July, Investeco and Mekhail fried a fourth amended motion against Gonzales, Victor, and Gregorio seeking summary judgment on the remaining claims for breach of fiduciary duty, tortious interference and conspiracy. Sanchez and Rodriguez subsequently joined Investeco and Mekhail in their motion.1 On August 17, the trial court granted the motion for summary judgment ordering that Victor and Gregorio take nothing. For unspecified reasons, the trial court crossed out Gonzales’s name from the summary-judgment order. But two weeks later, Gonzales nonsuited his claims.

On October 9, a suggestion of death was filed with the trial court, noting that Sanchez had died on May 8, 2007. The suggestion further indicated that no administration of Sanchez’s estate was pending.2

In December 2007, the trial court severed the unresolved claims by Victor and Gregorio against Sanchez for breach of contract, creating a final and appealable summary-judgment order. Victor now appeals from that order.

II. Analysis

Victor appeals adverse summary-judgment orders on (1) his claims for tortious interference with contractual relations and conspiracy against Investeco, Mekhail (individually) and Rodriguez; (2) his claim for breach of fiduciary duty against Mekhail (as trustee); and (3) the declaratory-judgment claims asserted against Victor by Investeco and Mekhail regarding proper notice of foreclosure and the existence of proceeds from foreclosure. Victor contends that the summary-judgment orders were improperly granted because (1) he had standing to prosecute the suit on his brother’s behalf; (2) the summary-judgment order granting declaratory relief was based solely upon previously nonsuited claims; (3) the appellee-movants failed to [406]*406meet the required burdens of proof; and (4) the trial court ignored Victor’s properly pleaded and proven affirmative defenses.

A. Victor Rodarte’s Standing

Before considering Victor’s contention on appeal that the trial court erred in granting summary judgment on the merits of Victor’s claims, we must consider whether the trial court erred in determining that Victor lacked standing to assert these claims in the first place. Victor contends that the trial court erred in granting summary judgment on the ground that he lacked standing to assert the claims of his brother Gregorio in his own name as a matter of law.

Standing is a constitutional prerequisite to maintaining suit. See Tex. Ass’n of Bus. v. Tex. Air Control Bd., 852 S.W.2d 440, 444 (Tex.1993). The absence of standing may be raised by a motion for summary judgment. See Bland Indep. Sch. Dist. v. Blue, 34 S.W.3d 547, 554 (Tex.2000). Under Texas law, a party has standing to bring suit if (1) it has suffered a distinct injury, and (2) there exists a real controversy that will be determined by the judicial determination sought. Brown v. Todd, 53 S.W.3d 297, 305 (Tex.2001). This second component of standing refers to presentation of a justiciable issue. State Bar of Tex. v. Gomez, 891 S.W.2d 243, 245-46 (Tex.1994).

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Bluebook (online)
299 S.W.3d 400, 2009 Tex. App. LEXIS 7661, 2009 WL 3126410, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rodarte-v-investeco-group-llc-texapp-2009.