U.S. Reif Northpointe Centre Texas Limited Partnership v. Jordan Connett D/B/A Reconn Texas LLC and D/B/A Redefy Real Estate

CourtCourt of Appeals of Texas
DecidedJuly 24, 2019
Docket05-18-01274-CV
StatusPublished

This text of U.S. Reif Northpointe Centre Texas Limited Partnership v. Jordan Connett D/B/A Reconn Texas LLC and D/B/A Redefy Real Estate (U.S. Reif Northpointe Centre Texas Limited Partnership v. Jordan Connett D/B/A Reconn Texas LLC and D/B/A Redefy Real Estate) 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
U.S. Reif Northpointe Centre Texas Limited Partnership v. Jordan Connett D/B/A Reconn Texas LLC and D/B/A Redefy Real Estate, (Tex. Ct. App. 2019).

Opinion

AFFIRMED; Opinion Filed July 24, 2019.

In The Court of Appeals Fifth District of Texas at Dallas No. 05-18-01274-CV

U.S. REIF NORTHPOINTE CENTRE TEXAS LIMITED PARTNERSHIP, Appellant V. JORDAN CONNETT D/B/A RECONN TEXAS LLC AND D/B/A REDEFY REAL ESTATE, Appellee

On Appeal from the 261st District Court Travis County, Texas Trial Court Cause No. D-1-GN-17-005489

MEMORANDUM OPINION Before Justices Whitehill, Partida-Kipness, and Pedersen, III Opinion by Justice Partida-Kipness U.S. Reif Northpointe Centre Limited Partnership appeals the trial court’s order granting

the special appearance of Jordan Connett d/b/a Reconn Texas LLC and d/b/a Redefy Real Estate

and dismissing U.S. Reif’s lawsuit against him. Because we conclude the undisputed allegations

and the factual findings supported by the evidence are insufficient to confer personal jurisdiction

over Connett in his individual capacity, we affirm the trial court’s order granting the special

appearance. We issue this memorandum opinion because the issues are well-settled in law. See

TEX. R. APP. P. 47.4.

BACKGROUND

U.S. Reif sued Connett for “breach of contract, unjust enrichment and/or fraud” alleging

Connett, doing business in Texas as Reconn Texas LLC and Redefy Real Estate, defaulted on a 2015 commercial lease agreement for office space in Austin, Texas. Connett filed a special

appearance supported by his affidavit asserting he was the chief executive officer of Reconn TX,

LLC, a Colorado limited liability company that was authorized to do business in Texas at the time

he signed the lease in his capacity as CEO. He further stated he did not execute the lease with U.S.

Reif in his personal capacity. According to Connett, U.S. Reif’s lawsuit against him arises out of

a scrivener’s error in the lease agreement brokered between Austin Office Space, Inc. on the tenant

side and Kucera Management, Inc., which represented the landlord, U.S. Reif. Connett states that

Austin Office was given the tenant’s correct name and place of origin, but the final lease

mistakenly listed “Reconn Texas LLC, a Texas limited liability company, doing business as

Redefy Real Estate as tenant” instead of Reconn TX, LLC, a Colorado limited liability company,

doing business as Redefy Real Estate as tenant. Connett stated he did not personally contact or

speak to U.S. Reif and all negotiations were handled by the parties’ agents. About two years after

the lease was signed, Reconn TX was converted into Reconn TX, Inc., a Colorado corporation. In

May 2017, U.S. Reif was notified that Reconn TX was insolvent. Connett further stated he is an

individual living in Colorado since February 2011 who does not personally do business in Texas

or maintain an agent for service of process in Texas. He also represented he does not own or lease

property in Texas and has not committed any torts in Texas.

U.S. Reif responded to Connett’s special appearance arguing that because Connett signed

the lease as an agent of a company that doesn’t exist, and no other entity was disclosed to U.S.

Reif at the time the lease was executed, Connett is personally liable on the lease as an agent of an

undisclosed principal. It argues because Connett is personally liable on a lease for Texas property,

there are sufficient contacts in Texas for the trial court to exercise personal jurisdiction over him.

U.S. Reif’s response incorporated the affidavit of Elizabeth Logan, senior property manager of

Kucera who confirmed the lease agreement and first amendment to the lease identified the tenant

–2– as “Reconn Texas, LLC, a Texas limited liability company doing business as ‘Redefy Real

Estate’.” She further indicated that Connett signed the lease as chief executor officer of the

identified tenant and signed the first amendment to the lease as manager of the listed tenant.1 U.S.

Reif’s attorney, Bill Malone, Jr., filed a supporting declaration stating that when preparing to file

this lawsuit, he searched the Texas Secretary of State’s website and discovered there was no

domestic or foreign limited liability company Reconn Texas LLC registered with the Secretary of

State.

Connett filed a reply incorporating additional affidavits from Melissa Medina, a manager

of Elite Home Texas, LLC, a Colorado limited liability company registered in Texas as a foreign

entity doing business as Redefy Real Estate, LLC, and Matt Watson, a representative of Austin

Office. These affidavits provided further support for Connett’s position that: (1) Redefy was a

wholly owned subsidiary of Reconn TX, LLC, a Colorado limited liability company, until merging

with Reconn TX’s successor, Reconn TX, Inc. in 2017, (2) Redefy retained Austin Office to

represent it in leasing office space, (3) Kucera was willing to allow Reconn TX, LLC, a Colorado

limited liability company, to lease the office space without the need for a personal guaranty, and

(4) Reconn TX, LLC checks made payable to U.S. Reif as well as rental and other checks payable

to U.S. Reif from Redefy Real Estate revealed Aurora, Colorado addresses for both entities.

ANALYSIS

We review de novo the trial court’s determination of a special appearance. Moki Mac River

Expeditions v. Drugg, 221 S.W.3d 569, 574 (Tex. 2007). Where, as here, the parties have not

requested and the trial court does not issue findings of facts and conclusions of law, we infer all

necessary facts to support the judgment that the evidence supports. See id. When the jurisdictional

1 The evidence also indicates that Connett executed the lease documents in a representative capacity in Colorado and returned them via overnight mail. –3– facts are not in dispute, the issue of whether the facts establish personal jurisdiction is a question

of law. Old Republic Nat’l Title Ins. Co. v. Bell, 549 S.W.3d 550, 558 (Tex. 2018).

A Texas court may exercise personal jurisdiction over a nonresident if doing so complies

with federal due process requirements. See Moki Mac, 221 S.W.3d at 575. Those requirements

are satisfied if the nonresident has established sufficient minimum contacts with Texas and Texas’s

exercise of jurisdiction comports with traditional notions of fair play and substantial justice.

Asshauer v. Farallon Capital Partners, L.P., 319 S.W.3d 1, 7 (Tex. App.—Dallas 2008, no pet.).

In two issues, U.S. Reif generally argues that the trial court’s ruling should be reversed

because the evidence is sufficient to support the exercise of specific jurisdiction over Connett in

his individual capacity.2 Specific jurisdiction exists only if Connett has minimum contacts with

Texas by purposefully availing himself of the privilege of conducting activities here and his

alleged liability arises out of or is related to those contacts with Texas. Moki Mac, 221 S.W.3d at

576. For specific jurisdiction, our minimum contacts analysis focuses on the relationship among

the defendant, the forum, and the litigation. Id. at 575–76.

A non-resident corporate officer is generally protected from the exercise of jurisdiction

when all of that individual’s contacts with the forum were made in a representative capacity. See

Camac v. Dontos,

Related

Goodyear Dunlop Tires Operations, S. A. v. Brown
131 S. Ct. 2846 (Supreme Court, 2011)
Moki Mac River Expeditions v. Drugg
221 S.W.3d 569 (Texas Supreme Court, 2007)
Heinrichs v. Evins Personnel Consultants, Inc. Number One
486 S.W.2d 935 (Texas Supreme Court, 1972)
Southwestern Bell Media, Inc. v. Trepper
784 S.W.2d 68 (Court of Appeals of Texas, 1989)
Michiana Easy Livin' Country, Inc. v. Holten
168 S.W.3d 777 (Texas Supreme Court, 2005)
Asshauer v. Farallon Capital Partners, L.P.
319 S.W.3d 1 (Court of Appeals of Texas, 2008)
Bayoud v. Shank, Irwin & Conant
774 S.W.2d 22 (Court of Appeals of Texas, 1989)
Julie Stull & JMJ Productions v. Greg LaPlant and Chris Kolaskos
411 S.W.3d 129 (Court of Appeals of Texas, 2013)
Camac v. Dontos
390 S.W.3d 398 (Court of Appeals of Texas, 2012)
Old Republic Nat'l Title Ins. Co. v. Bell
549 S.W.3d 550 (Texas Supreme Court, 2018)

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