Welch, Paula v. Hrabar, Stephanie

CourtCourt of Appeals of Texas
DecidedJune 19, 2003
Docket14-02-00473-CV
StatusPublished

This text of Welch, Paula v. Hrabar, Stephanie (Welch, Paula v. Hrabar, Stephanie) 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
Welch, Paula v. Hrabar, Stephanie, (Tex. Ct. App. 2003).

Opinion

Affirmed as Modified, and Opinion filed June 19, 2003

Affirmed as Modified, and Opinion filed June 19, 2003.

In The

Fourteenth Court of Appeals

____________

NO. 14-02-00473-CV

PAULA WELCH, Appellant and Cross-Appellee

V.

STEPHANIE HRABAR, Appellee and Cross-Appellant

On Appeal from the County Court at Law No. 1

Galveston County, Texas

Trial Court Cause No. 47,478

O P I N I O N


Following a trial to the court in this breach-of-contract case, the trial court rendered judgment that Appellee and Cross-Appellant Stephanie Hrabar recover “$42,924.00 as the principal amount due,” post-judgment interest, and court costs from Appellant and Cross-Appellee Paula Welch.  The principal issue on appeal is whether res judicata or collateral estoppel precludes Hrabar from recovering breach-of-contract damages from Welch when (1) Hrabar filed a plea in intervention in Welch=s separate tort case pending against third parties in another court, (2) Hrabar=s breach-of-contract claim in the present case is identical to the breach-of-contract claim asserted in Hrabar=s intervention in Welch=s tort case, (3) there is no indication Hrabar=s intervention was dismissed or severed out of Welch=s tort case,  (4) the judgment in Welch=s tort case includes language denying all requested relief not specifically granted but does not include Hrabar in the style and does not refer to Hrabar=s intervention in the body, and (5) neither Hrabar nor her counsel appeared or presented evidence in Welch=s tort case.

We conclude the judgment in Welch=s tort case does not preclude Hrabar=s recovery on her breach-of-contract claim in the present case and overrule Welch=s issue.  We also sustain Hrabar=s first issue on cross-appeal in which she requests this court to render judgment that she recover attorney=s fees, but overrule her second issue in which she requests this court to render judgment awarding her additional breach-of-contract damages.  Accordingly, we modify the judgment of the trial court to include an award of attorney=s fees and affirm the judgment as modified.

FACTUAL AND PROCEDURAL BACKGROUND

In June 1999, several plaintiffs, including Welch, filed a tort action in the Tenth Judicial District Court of Galveston County against their insurer, Farmers Insurance Exchange.  The plaintiffs in the tort action alleged damage to their properties as a result of seismic blasting.  Three additional parties, Aspect Resources, LLC, Veritas DGC Land, Inc., and Ameridian Technologies, Inc., were subsequently added to the suit as defendants.[1]

In July 1999, Welch and Hrabar executed a “[l]etter of understanding for independent geoscience consulting,” by which Welch and Hrabar agreed Hrabar would provide Welch with information on technical matters pertaining to Welch=s property damage claim and would charge Welch at the rate of $125 per hour.  Two days later, they executed an addendum to the letter of understanding, which provided Hrabar, in addition to her hourly fee, would receive ten percent of any gross settlement.


By April 2000, Hrabar=s invoice to Welch indicated Hrabar had performed over 415 hours of work for a total fee of $51,880.10.  Of that amount, $48,705.10 remained due, according to the invoice.  By letter dated April 11, 2000, Hrabar demanded payment of the amount due.

On September 18, 2000, Hrabar filed a breach of contract action against Welch in Galveston County Court at Law No. 1.  In that action, Welch sought $48,705.10 plus pre-judgment interest.

On February 9, 2001, Hrabar filed a plea in intervention in Welch=s tort suit in district court.  Hrabar represented she was the retained expert for the plaintiffs and the plaintiffs= attorney, that she performed necessary and reasonable expert witness services and incurred expenses and prepared a report for use in the pending litigation.  Hrabar further represented the plaintiffs and their attorney had agreed to pay reasonable and necessary expert witness fees of $50,000, but had not done so.  Hrabar requested judgment be entered in her favor “against Defendant.”

At some point, Welch reached a settlement agreement with Farmers; and, on February 12, 2001, jury trial commenced in district court on Welch=s tort suit against the remaining defendants.  The same day, Hrabar filed an amended plea in intervention in that suit.  In the amended plea, Hrabar sought judgment in her favor “against Plaintiffs.”  Hrabar=s attorney, Gerson Bloom, was present at pretrial motions the day of trial and returned one other time, but was not present for the entire eight-day trial, and did not put on any evidence in support of the plea in intervention.  According to Bloom, no one prevented him from putting on evidence, but “there just wasn=t an opportunity.”  According to Bloom, he was on the docket sheet in the district court case, but was never recognized as the intervening attorney.


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