Smith v. Smith

541 S.W.3d 251
CourtCourt of Appeals of Texas
DecidedNovember 9, 2017
DocketNO. 14-16-00467-CV
StatusPublished
Cited by21 cases

This text of 541 S.W.3d 251 (Smith v. Smith) 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
Smith v. Smith, 541 S.W.3d 251 (Tex. Ct. App. 2017).

Opinion

Martha Hill Jamison, Justice

In two issues in this contractual dispute, appellant David Smith challenges the trial court's denial of his motion to transfer venue and grant of final summary judgment in favor of appellees, Brian Smith, Cash Register Sales and Service of Houston d/b/a CRS Texas, and POS Card Services, LLC. The trial court rendered summary judgment against David on his breach of contract claim and in favor of appellees on their declaratory judgment claims. In a cross appeal, appellees challenge the trial court's denial of their motion for costs and attorney's fees under the Texas Declaratory Judgment Act.1 Concluding that David presented evidence raising fact questions regarding the existence and enforceability of a contract between himself and appellees, we reverse and remand the portion of the trial court's judgment granting a declaration that there was no agreement between the parties. We affirm the trial court's judgment in all other respects.

Background

David and Brian Smith are brothers. Brian owns CRS and POS. CRS sells point of sale and video surveillance equipment, software, and related services to merchants. POS sells credit card processing services provided by banks and financial institutions to retail merchants. David was a sales agent for CRS and POS.2

After leaving that position, David sent a demand letter to CRS seeking unpaid commissions on four accounts. David contends that the parties had an oral agreement that he would be entitled to a commission on "all sales that are ever paid at any time to the merchants that he considered to be his," without regard to whether David made the sale or still worked for CRS or POS.

After receiving the demand letter, appellees filed this declaratory judgment action in Harris County, Texas seeking six declarations establishing that David is not (1) an employee of any of appellees; (2) entitled *255to commissions for any merchant accounts under any agreement or Texas law;3 or (3) entitled to recover attorney's fees from appellees.4 David filed an answer, motion to transfer venue, and counterclaim for unpaid commissions. Appellees filed a motion for summary judgment seeking judgment on David's breach of contract counterclaim and their declaratory judgment claims. The trial court denied the motion to transfer venue and granted the motion for summary judgment.5 Appellees then filed a motion for costs and attorney's fees and entry of final judgment. The trial court rendered final judgment in favor of appellees, but did not award costs or fees to appellees.6

Discussion

In two issues, David challenges the trial court's denial of his motion to transfer venue and grant of summary judgment in favor of appellees. Appellees bring one issue in their cross appeal challenging the trial court's denial of their motion for costs and attorney's fees.

I. Venue Objection Waived

In his first issue, David contends that the trial court erred in denying his motion to transfer venue because, according to David, the events giving rise to the parties' claims occurred in San Antonio, Texas. Appellees argue that David waived his venue objection in the trial court by taking "multiple actions that were inconsistent with an intent to pursue his venue motion or that invoked the judicial power of the [trial] court."7

The trial court's order denying the venue motion does not indicate whether it was denied because the court deemed the venue objection waived or concluded venue was proper in Harris County. Thus, we address the waiver issue first. See Duran v. Entrust, Inc. , No. 01-08-00589-CV, 2010 WL 1241093, at *4 (Tex. App.-Houston [1st Dist.] Mar. 25, 2010, pet. denied) (mem. op.); Carlile v. RLS Legal Sols., Inc. , 138 S.W.3d 403, 406 (Tex. App.-Houston [14th Dist.] 2004, no pet.). We review a trial court's determination of waiver for an abuse of discretion. Carlile , 138 S.W.3d at 406.

By filing a lawsuit, the plaintiff has the first choice regarding venue. Id. (citing *256In re Masonite Corp. , 997 S.W.2d 194, 197 (Tex. 1999), and Wilson v. Tex. Parks & Wildlife Dep't , 886 S.W.2d 259, 260 (Tex. 1994) ). If the plaintiff's choice is not properly challenged through a motion to transfer venue, venue is fixed in the county in which the plaintiff filed suit. Id.

A venue objection can be waived in several ways. At issue here is whether David impliedly waived his venue objection through actions inconsistent with an intent to pursue the venue motion. See id. Generally, such actions invoke the judicial power of the courts. Id. Appellees argue that David impliedly waived his venue objection by not diligently requesting a setting or obtaining a ruling on the venue motion and by participating in discovery, joining a motion for continuance, and filing a jury demand.8

A. Delay in Requesting Setting and Obtaining Ruling

A party filing a venue motion has the burden to diligently request a setting on the motion and obtain a ruling prior to a trial on the merits. Id. at 408 (citing Tex. R. Civ. P. 87(1) ). A delay in obtaining a hearing provides a basis for the trial court to deny a venue motion. Id.

David filed his combined answer, counterclaim, and motion to transfer venue on September 25, 2013. The venue motion was heard approximately eleven months later on August 8, 2014.9 The trial court did not rule on the motion at the time of the hearing. On September 12, 2014, David filed a combined amended answer, counterclaim, and motion to transfer venue.

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Cite This Page — Counsel Stack

Bluebook (online)
541 S.W.3d 251, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-smith-texapp-2017.