Socorro Gonzalez v. Antonio Gonzalez

Court of Appeals of Texas·Decided June 16, 2022·No. 13-20-00532-CV·Published

Opinion

NUMBER 13-20-00532-CV

COURT OF APPEALS

THIRTEENTH DISTRICT OF TEXAS CORPUS CHRISTI – EDINBURG

SOCORRO GONZALEZ, Appellant, v.

ANTONIO GONZALEZ, Appellee.

On appeal from the 332nd District Court of Hidalgo County, Texas.

MEMORANDUM OPINION

Before Justices Longoria, Hinojosa, and Silva Memorandum Opinion by Justice Silva

Appellant Socorro Gonzalez sued her brother, appellee Antonio Gonzalez, seeking to recover possession and title of an apartment complex, the subject property, purchased by Socorro. Following a bench trial, the trial court found in favor in part for Socorro and in part for Antonio. By three issues, Socorro argues the trial court: (1) “erred in entering a judgment that was based upon legally and factually insufficient evidence”; (2) “erred in its

evidentiary rulings, which probably caused the rendition of an improper judgment”; and (3) abused its discretion in denying her motion for new trial. We affirm.

I. BACKGROUND

A. The 2011 Agreement It is undisputed that Socorro obtained a warranty deed with a vendor’s lien in May 2008 on the subject property. Socorro enlisted Antonio to manage the subject property, which consisted of six apartment units in Hidalgo County. In May 2011, Socorro and Antonio executed a document entitled, “Real Estate Agreement” (2011 Agreement), which included the following “Stipulations”:

1. Antonio is the equitable owner of the real estate described above, subject to (a) Lone Star National Bank note executed by [Socorro], (b)

Rio Tax Loan for taxes, and (c) the sum of Forty Thousand Dollars ($40,000.00) owed to [Socorro] by Antonio;

2. [Socorro] agrees that she will execute a renewal and extension of the Lone Star National Bank note provided Antonio pays-off the Rio Tax loan note;

3. Parties agree that the property shall be listed with a broker for sale for an amount of at least $290,000.00 plus commission to broker(s);

4. [Socorro] and Antonio will equally split proceeds above $290,000.00 in the event that such sale takes place[;]

5. [Socorro] will convey the property to Antonio if Antonio is able to (a) payoff [Socorro’s] claim of $40,000.00 and (b) Antonio is able to obtain his own financing on the Lone Star National Bank note;

6. During the pendency of a potential sale, Antonio shall pay [Socorro]

interest monthly on the $40,000.00 owed her at the rate of 18% per annum, which equates to $600.00 per month.

7. Antonio shall continue to be entitled to rent revenues on the property provided that he makes payment on both the Lone Star National Bank note and Rio Tax note.

B. The Parties’ Pleadings In January 2016, alleging Antonio had breached the 2011 Agreement, Socorro sued Antonio for breach of contract, trespass to try title, trespass to real property, declaratory judgment, conversion of property and rent, gross negligence, and quantum meruit. Antonio timely filed a general denial. In an amended answer and counterclaim, Antonio raised conversion and quantum meruit causes of action, alleging that he had “expended no less than $275,000 over the last few years in labor, upkeep, improvements, insurance, taxes, interest payments to his sister, loan payments[,] and in maintenance” on the subject property. C. Bench Trial The trial court held a bench trial on March 21, 2019. According to Socorro, upon her purchase of the property in 2008, she tasked Antonio with collecting rent from tenants and managing the property’s “expenses.” Socorro testified that she agreed to divide any monthly profits with him in exchange for his services but maintained that Antonio controlled the property’s finances at all times, and she never personally recovered any profit. Socorro discovered Antonio had placed a mechanic’s lien on the property when she attempted to sell it in 2010. Socorro testified that she confronted Antonio regarding the lien, and he responded with “physical aggressions” and “threats.”

Despite deteriorating relations between the parties, Socorro and Antonio executed the 2011 Agreement. Socorro testified, “From 2008 to 2010, I had spoken to [Antonio] due to the circumstances [sic] if he could pay me the investment that [sic] he could stay with the property. And during that time he gave me $10,000.00. So then the [2011

Agreement] was made for $40,000.” Socorro maintained that after executing the agreement, Antonio made only two payments of $600.00 toward the $40,000, and he “assaulted” her on the same day he made the second payment in July 2011. Following the alleged assault and his subsequent arrest, 1 they “had no communications,” and Antonio remained in physical possession of the property up until November 2016 when the trial court issued an order removing Antonio from the property. Socorro further testified that upon Antonio’s removal, she learned he was four months in arrears on the mortgage and taxes. However, on cross-examination, Socorro testified that Antonio made mortgage payments and paid taxes and insurance on the property for the eight years he managed it “until the day that the [trial court] returned [her] property and [she] took possession . . . in November [2016].”

Antonio testified that his involvement in the property predated the 2008 deed because although he was not listed as a grantee on the deed, he had been the one who approached his sister about purchasing the property and negotiated the sale on her behalf. According to Antonio, he thereafter managed the property from 2008 to 2016 and complied with all applicable terms of the 2011 Agreement. Antonio testified that he made two direct $600.00 payments to Socorro and then, per Socorro’s request, all other payments were made in cash and given to Socorro through their mother. Antonio maintained that he made the $600.00 monthly payments until his removal from the property in 2016 because Socorro thereafter refused to accept any payment. Antonio testified that not including the $326,472.52 paid in “improvements, repairs, taxes,

1 Antonio testified that his arrest in 2011 had been “for trespassing[,] not for assault.”

insurance, mortgages,” he paid Socorro “$39,700.00, plus $10,000.00 that she admitted during [her] deposition” in accordance with the 2011 Agreement.

Following the parties’ respective testimony and closing arguments, the trial court requested that they each submit written briefs. D. Final Judgment The record 2 indicates that the trial court held another hearing after the bench trial and prior to its issuance of a signed final judgment, but the transcript for the hearing was not provided on appeal. The trial court issued its final judgment on September 11, 2020:

BE IT REMEMBERED that on March 21, 2019, came to be heard the aboveentitled and numbered cause at trial. [Socorro] appeared in person through counsel of record before the Court and announced ready for trial. [Antonio]

appeared in person through counsel of record before the Court and announced ready for trial. Trial began and commenced until its conclusion on March 21, 2019. The Court having considered the pleadings, official records on file, the testimony of witnesses, the exhibits admitted into evidence, the full record of the case, the applicable rules and, is of the opinion and hereby renders judgment entered in favor of [Antonio] in part and [Socorro] in part.

The Court finds:

[(]A) The May 27, 2011 agreement between [Socorro] and [Antonio]

constituted a valid and enforceable contract regarding the real property . . . (hereinafter referred to as the “Subject Property”);

[(]B) The May 27, 2011 agreement between [Socorro] and [Antonio]

constituted a waiver of [Socorro’s] right to seek fee simple title to the Subject Property and [Antonio’s] waiver to seek legal title to the Subject Property;

[(]C) [Socorro] failed to prove that [Antonio] materially breached the May 27, 2011 agreement;

2 Socorro filed a “Motion for Objection and Entry of Judgment” on August 1, 2019, wherein she

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