Welch v. Hrabar

110 S.W.3d 601, 2003 Tex. App. LEXIS 5126, 2003 WL 21403258
CourtCourt of Appeals of Texas
DecidedJune 19, 2003
Docket14-02-00473-CV
StatusPublished
Cited by61 cases

This text of 110 S.W.3d 601 (Welch v. Hrabar) 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 v. Hrabar, 110 S.W.3d 601, 2003 Tex. App. LEXIS 5126, 2003 WL 21403258 (Tex. Ct. App. 2003).

Opinion

OPINION

JOHN S. ANDERSON, Justice.

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 ease, (4) the judgment in Welch’s tort case includes language denying all requested relief not specifically granted but does not include Hra-bar 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 *604 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 “[Ijetter 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, Hrabar 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.

On February 19, 2001, the plaintiffs rested in the district court tort case, and the trial court granted a directed verdict that plaintiffs take nothing on their claims against Ameridian Technologies. The trial court also directed a verdict against plaintiffs and in favor of the remaining defendants, Aspect Resources and Veritas, on all claims except simple negligence.

The same day, February 19, Bloom sent a formal demand letter by certified mail to Welch, in care of her attorney, Robert D. Clements at the attorney’s office address. In the letter, Bloom indicated if Welch did not pay Hrabar’s claim for $48,705.10 within 30 days of receipt, Hrabar would amend her petition in county court to add a claim for attorney’s fees and interest. A “D. McClure” signed the certified mail receipt on February 21, 2001. McClure was the *605 receptionist at Clements’s office, where Welch also worked.

On February 21, 2001, the jury returned its verdict in Welch’s tort case, finding against the plaintiffs and for the remaining defendants on the questions of negligence and proximate cause. The same day Welch was served with Hrabar’s petition in county court.

On March 22, 2001, Welch filed her answer to Hrabar’s petition in county court. Welch pleaded only a general denial. The same day, Hrabar filed her first amended petition, seeking $48,705.10, prejudgment interest, and attorney’s fees.

Meanwhile, in Welch’s tort case, the district court rendered a take nothing judgment against the plaintiffs on March 29, 2001. The judgment did not contain a Mother Hubbard clause and did not mention Hrabar’s plea in intervention. The plaintiffs timely filed a motion to set aside jury verdict or, in the alternative, motion for new trial, and on June 6, 2001, the trial court denied the motion. 2 On June 8, 2001, the trial court rendered a modified judgment, again ordering plaintiffs take nothing, but adding an award of costs against the plaintiffs and adding the provision, “All relief requested in the above entitled and numbered cause and not specifically granted herein is denied.”

Focus now shifted to the county court. On October 25, 2001, Welch filed her first amended original answer in which, for the first time, she asserted the defenses of res judicata and collateral estoppel. Hrabar filed her second amended original petition, in which she alleged, for the first time, the existence of the addendum providing Welch was to pay Hrabar ten percent of any settlement Welch received.

Welch next filed a “motion to dismiss for lack of jurisdiction,” alleging res judicata and collateral estoppel as the grounds warranting dismissal.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Marcus Jacquot v. Melody Coker
Court of Appeals of Texas, 2021
Rivera v. Harris County
S.D. Texas, 2020
in the Interest of I.R.B., a Child
Court of Appeals of Texas, 2019
City of Dallas v. Cary "Mac" Abney
Court of Appeals of Texas, 2016
JPMorgan Chase Bank, N.A. v. Professional Pharmacy II
508 S.W.3d 391 (Court of Appeals of Texas, 2015)
in Re Ford Motor Company
442 S.W.3d 265 (Texas Supreme Court, 2014)
Casa Del Mar Association, Inc. v. Gossen Livingston Associates, Inc.
434 S.W.3d 211 (Court of Appeals of Texas, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
110 S.W.3d 601, 2003 Tex. App. LEXIS 5126, 2003 WL 21403258, Counsel Stack Legal Research, https://law.counselstack.com/opinion/welch-v-hrabar-texapp-2003.