Upjohn Co. v. Freeman

847 S.W.2d 589, 1992 Tex. App. LEXIS 3298, 1992 WL 351191
Court of Appeals of Texas·Decided November 24, 1992·No. 05-92-00777-CV·Published·Cited by 23 cases

Opinion

OPINION

BAKER, Justice.

This appeal involves the trial court’s denial of Upjohn’s request for a sealing order under rule 76a. 1 In its third point of error, Upjohn contends that the trial court held Upjohn to an improper standard of proof. We agree. We set aside the trial court’s order denying a sealing order. We remand this cause to the trial court for further proceedings.

*590 THE BACKGROUND TO UPJOHN’S SEALING MOTION

In this products liability suit, the Free-mans requested discovery of Upjohn’s documents about the drug Halcion. Upjohn moved the court for an order limiting the disclosure of the documents under rule 76a. Upjohn posted the public notices required by rule 76a(3). The Dallas Morning News, Inc. and Public Citizen intervened. The plaintiffs and the intervenors contested Upjohn’s claim of its right to have the documents sealed.

On March 30, 1992, the trial court held the hearing required by rule 76a(4). The parties agreed on the record that for purposes of the rule 76a hearing, the trial court could take judicial notice of all exhibits and affidavits filed of record.

Following argument by Upjohn’s counsel that there was no contrary proof to Upjohn’s affidavits and other documents, the trial court stated:

THE COURT: I’m not saying there’s any defect in your proof.
UPJOHN’S COUNSEL: I understand that.
THE COURT: I’m saying, what is the specific, serious, and substantial interest which clearly — and-I think that is telling us that the standard of proof in a hearing like this is clear and convincing evidence, it’s not preponderance.
$ ⅜5 ⅜ ⅜ ⅝ *
The Supreme Court says, clearly outweighs — they are telling me as a trial judge, you are to apply clear and convincing standard of proof, not a preponderance. If that’s the case, I’m asking you, what by clear and convincing evidence appears from these affidavits to be something that outweighs the presumption of openness and any probable adverse effect that sealing will have on the general public health or safety other than— UPJOHN’S COUNSEL: We have met our burden that our documents that are at issue here should be protected. Therefore, there's no controverting evidence to that whether the standard is beyond a preponderance of the evidence or clear and convincing. We have put forward the only evidence. I guess what I’m saying to the Court, our evidence is the only evidence because there is— THE COURT: Merely because it is the only evidence doesn’t make it rise to the level of clear and convincing, I guess is my point.

The trial court denied Upjohn’s motion. Upjohn perfected this appeal under rule 76a(8).

THE APPLICABLE LAW

A. Standard of Review

We review the trial court’s ruling on the motion under the abuse of discretion standard. Dunshie v. General Motors Corp., 822 S.W.2d 345, 347 (Tex.App.—Beaumont 1992, no writ). The test is not whether the facts present a proper case for the trial court’s action. The test is whether the trial court acted without reference to any guiding rules or principles or acted in an arbitrary or unreasonable manner. Downer v. Aquamarine Operators, Inc., 701 S.W.2d 238, 241-42 (Tex.1985), cert. denied, 476 U.S. 1159, 106 S.Ct. 2279, 90 L.Ed.2d 721 (1986). Rule 76a provides the guiding rules and principles for sealing court records. Dunshie, 822 S.W.2d at 347.

When we resolve factual issues or matters committed to the trial court’s discretion, we may not substitute our judgment for that of the trial court. See Flores v. Fourth Court of Appeals, 777 S.W.2d 38, 41-42 (Tex.1989, orig. proceeding). Even if we would decide the issue differently, we may not disturb the trial court’s decision unless it is arbitrary and unreasonable. Johnson v. Fourth Court of Appeals, 700 S.W.2d 916, 918 (Tex.1985, orig. proceeding).

However, our review of the trial court’s determination of the legal principles controlling its ruling is much less deferential. A trial court has no discretion in determining what the law is or applying the law to the facts. Walker v. Packer, 827 S.W.2d 833, 840 (Tex.1992, orig. proceeding). The failure of the trial court to apply the proper standard of law to a mo *591 tion is an abuse of discretion. NCNB Tex. Nat’l Bank v. Coker, 765 S.W.2d 398, 400 (Tex.1989, orig. proceeding).

B. Preponderance of the Evidence

In ordinary civil cases the party with the burden of proof must establish its case by a preponderance of the evidence. State v. Turner, 556 S.W.2d 563, 565 (Tex. 1977), cert. denied, 435 U.S. 929, 98 S.Ct. 1499, 55 L.Ed.2d 525 (1978). Preponderance of the evidence means the greater weight and degree of credible evidence. See Davenport v. Cabell’s, Inc., 239 S.W.2d 833, 835 (Tex.Civ.App.—Texarkana 1951, no writ).

C. Clear and Convincing Evidence

Clear and convincing evidence is that measure or degree of proof that will produce in the mind of the factfinder a firm belief or conviction about the truth of the allegations a party seeks to show. State v. Addington, 588 S.W.2d 569, 570 (Tex.1979). Clear and convincing evidence is an intermediate standard. It falls between the preponderance standard of ordinary civil proceedings and the reasonable doubt standard of criminal proceedings. State v. Addington, 588 S.W.2d at 570.

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Upjohn Co. v. Freeman, 847 S.W.2d 589, 1992 Tex. App. LEXIS 3298, 1992 WL 351191 (Tex. Ct. App. 1992).

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