Shaw v. Palmer

197 S.W.3d 854, 2006 WL 1792740
CourtCourt of Appeals of Texas
DecidedAugust 18, 2006
Docket05-05-00201-CV
StatusPublished
Cited by20 cases

This text of 197 S.W.3d 854 (Shaw v. Palmer) 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
Shaw v. Palmer, 197 S.W.3d 854, 2006 WL 1792740 (Tex. Ct. App. 2006).

Opinion

OPINION

Opinion by

Justice WRIGHT.

Denna Shaw appeals the summary judgment granted in favor of Scott Palmer and Scott Palmer, P.C. In a single issue, appellant contends the trial court erred by granting summary judgment on her oral contract claim because (1) there are material issues of fact precluding summary judgment; (2) appellees failed to conclusively establish the contract violated the statute of frauds; and (3) she presented summary judgment evidence sufficient to create a fact issue on each element of her claim. In two cross-points, appellees contend the trial court erred by finding Palmer committed slander because (1) the complained-of statement was an expression of opinion, and (2) appellant failed to prove special damages. We affirm, in part, and reverse, in part, the trial court’s judgment.

Background

In August 1997, appellant began working as a legal assistant/paralegal for Scott Palmer, an attorney. Later, Palmer incorporated his practice as Scott Palmer, P.C. In September 2001, appellant stopped working for appellees. Appellant claimed she was fired and has filed two claims with the Texas Workforce Commission, both of which were denied, and one of which she appealed to the county court. Thereafter, appellant filed this suit alleging breach of contract, misrepresentation, perjury and harassment, intentional infliction of emotional distress, and defamation. Appellees filed a motion for summary judgment on both traditional and no-evidence grounds. The trial court granted summary judgment in favor of appellees on all of appellant’s causes of action except for a single claim of defamation. The trial court did not specify a basis for its ruling. After a trial before the court, the trial court granted judgment for appellant on the defamation claim. Appellant appealed to this Court, complaining only of the breach of contract claim. Appellees cross-appealed, challenging the judgment on appellant’s defamation claim. We will address each of these claims in ton.

Breach of Contract

In her first issue, appellant contends the trial court erred by granting *856 summary judgment on her breach of contract claim. According to appellant, when she went to work for appellees, she agreed to take a lower salary than she normally would have in exchange for bonuses that would be based on increases in the firm’s profits. Appellant’s employment ended in September 2001, and she has not been paid bonuses since that time. Appellant sued appellees for breach of an oral contract seeking, among other things, to recover unpaid bonuses. Appellees filed a motion for summary judgment, alleging, in part, that they were entitled to judgment as a matter of law on appellant’s breach of contract claim because there was no meeting of the minds with respect to the terms of the oral contract.

The standard of review for a traditional summary judgment is well-established. See Tex.R. Civ. P. 166a(c); Black v. Victoria Lloyds Ins. Co., 797 S.W.2d 20, 23 (Tex.1990). When reviewing a summary judgment, we take evidence favorable to the nonmovant as true. Nixon v. Mr. Prop. Mgmt. Co., 690 S.W.2d 546, 548-49 (Tex.1985). Every reasonable inference in favor of the nonmovant is allowed, and all doubts are resolved in her favor. Id. To prevail on summary judgment, a defendant as movant must either disprove at least one element of each of the plaintiffs theories of recovery or plead and conclusively establish each essential element of an affirmative defense, thereby rebutting the plaintiffs cause of action. See City of Houston v. Clear Creek Basin Auth., 589 S.W.2d 671, 678 (Tex.1979).

Whether parties intended to enter into a binding contract is generally a question of fact. Meru v. Huerta, 136 S.W.3d 383, 390 (Tex.App.-Corpus Christi 2004, no pet.). However, if an alleged agreement is so indefinite as to make it impossible for a court to fix the legal obligations and liabilities of the parties, it cannot constitute an enforceable contract. Id. To be enforceable, the parties must agree to the material terms of the contract. See T.O. Stanley Boot Co. v. Bank of El Paso, 847 S.W.2d 218, 221 (Tex.1992).

Appellees supported their motion for summary judgment with Palmer’s affidavit. ' In his affidavit, Palmer testified that at all times during appellant’s employment, bonuses were “given on a discretionary basis determined by [Palmer] acting as President of the corporation. There was never any agreement, written or oral as to specific bonuses to be paid to [appellant].’’ Appellant testified in her deposition that when she and Palmer discussed her employment, she agreed to take less money in exchange for bonuses based on an increase in profits. According to appellant, there was no agreement about the determination of the amount of the bonuses. Instead, she and Palmer would discuss it each year, and then they “would agree on an amount that we both thought was fair.”

Thus, the summary judgment record does not contain evidence of any agreement or promise to pay a sum certain to appellant as a bonus for services she rendered to appellees. Rather, the record shows that the amount of the bonus was indefinite at the time of the agreement, and the amount of any bonus was open for future negotiation or discretion. In other words, the evidence shows that, at most, appellant and appellees had a contingent agreement to agree. See Meru, 136 S.W.3d at 391 (contract unenforceable where appellant was unable to establish exact amount of money owed to him pursuant to an oral bonus agreement). It is well-settled that when an agreement leaves material matters open for future adjustment and agreement, it is not binding on the parties and merely constitutes an agreement to agree. Id. (citing Fort Worth Indep. Sch. Dist. v. City of Fort Worth, 22 S.W.3d 831, 846 (Tex.2000)). Under these *857 circumstances, we conclude appellees conclusively established there was no enforceable oral contract for appellant to receive bonuses. Thus, we conclude the trial court did not err by granting summary judgment on appellant’s breach of contract claim. We overrule appellant’s sole issue.

Defamation

In their first cross-point, appellees contend the trial court erred by finding Palmer committed slander against appellant. In her petition, appellant alleged that Palmer defamed her by making “statements to the effect that [appellant] was incompetent, crazy, and was attempting to ruin [appellees’] business.” According to appellant, Palmer “sought out numerous local attorneys to discuss [appellant’s] former employment.

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Cite This Page — Counsel Stack

Bluebook (online)
197 S.W.3d 854, 2006 WL 1792740, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shaw-v-palmer-texapp-2006.