WP Liquidating, Ltd.; WPL-GP, LLC; And Robert N. Thompson v. Anthony Fenoglio

Texas Court of Appeals, 11th District (Eastland)·Decided July 23, 2026·No. 11-25-00131-CV·Published

Opinion

Opinion filed July 23, 2026

In The

Eleventh Court of Appeals __________

No. 11-25-00131-CV __________

WP LIQUIDATING, LTD.; WPL-GP, LLC; AND ROBERT N. THOMPSON, Appellants V. ANTHONY FENOGLIO, Appellee

On Appeal from the 43rd District Court Parker County, Texas Trial Court Cause No. CV19-0938

OPINION This case involves a limited partner’s suit to inspect the books and records of the partnership. 1 Appellants, WP Liquidating, Ltd., (WPL); WPL-GP, LLC, (WPL-GP); and Robert N. Thompson, appeal a summary judgment in favor of Appellee, Anthony Fenoglio, enforcing his contractual and statutory rights as a

1 This appeal was transferred to this court from the Second Court of Appeals pursuant to a docket equalization order issued by the Texas Supreme Court. TEX. GOV’T CODE ANN. § 73.001 (West Supp. 2025). Therefore, as the transferee court, we must decide the issues raised in this appeal in accordance with the precedent of the Second Court of Appeals if its precedent conflicts with ours. See TEX. R. APP. P. 41.3. limited partner to inspect WPL’s books and records. In four issues, which we reframe in our opinion as two issues with sub-issues, Appellants argue that the trial court erred: (1) in granting summary judgment because (a) there is a fact issue as to whether Fenoglio had an improper purpose to inspect WPL’s records, (b) the partnership agreement permits the general partner to condition inspection on Fenoglio agreeing to keep the information confidential and limit use of the information to his stated purpose, and (c) the trial court allowed Fenoglio to raise new summary judgment grounds in a reply brief; as well as (2) in awarding Fenoglio attorney’s fees and costs. We affirm the trial court’s judgment. I. Factual and Procedural Background WPL-GP entered into an agreement with its limited partners, including Fenoglio, to create the limited partnership WPL. Thompson, WPL-GP, Fenoglio, and other limited partners later entered into the Amended and Restated Partnership Agreement of WPL (partnership agreement). WPL-GP, whose sole member is Thompson, is the general partner of WPL. Fenoglio is a limited partner in WPL. Section 7.1(a) of the partnership agreement provided: The books and records of the Partnership shall, at the cost and expense of the Partnership, be kept or caused to be kept at the principal place of business of the Partnership, and shall be available for inspection by any Partner. . . . The General Partner shall maintain the records required to be kept pursuant to [Section] 153.551 of [the Texas Business Organizations Code]. On December 7, 2018, Fenoglio made a written request to WPL for access to books and records based on concerns that WPL-GP and Thompson were engaging in gross negligence or willful misconduct in managing WPL. Fenoglio became concerned after receiving a balance sheet that showed Thompson received distributions of $7,029,170.83, while Fenoglio received $2,442,271.01, despite Fenoglio having greater capital in WPL than Thompson. Fenoglio also received a shareholder analysis that provided figures that were inconsistent with the balance sheet and that 2 failed to explain the disproportionate distributions. A few months later, a liquidity event occurred involving the redemption of shares of stock in a corporation held by WPL. Fenoglio later received a wire of funds from WPL, which he believed was related to the conversion and redemption of the shares. Fenoglio claimed that he had not received an accounting relating to these events. Appellants responded to Fenoglio’s request to access WPL’s books and records on January 4, 2019, by providing copies of correspondence relating to the redemption of the shares. Fenoglio made four additional written requests to inspect WPL’s books and records between February 27, 2019, and June 25, 2019 “for the purpose of determining whether the assets of [WPL] have been properly managed and whether the revenue and expenses of [WPL] have been properly accounted for and . . . allocated.” Appellants did not grant any of these requests. Appellants offered differing reasons for not allowing inspection: (1) asking whether Fenoglio’s interest in WPL was transferred to his ex-wife in a divorce that was finalized in 2013; (2) informing that the records contain proprietary and financial information concerning other partners, necessitating that Fenoglio execute a confidentiality agreement; and (3) suspicion that Fenoglio’s request was for the improper purpose of using the information in litigation against WPL. Appellants proposed a confidentiality agreement, which stated that everything that Fenoglio requested constituted confidential information, while also requiring that Fenoglio use the documents and records exclusively for the sole purpose of determining whether the assets of WPL have been properly managed and whether the revenue and expenses of WPL have been properly accounted for and allocated. Appellants stated that WPL-GP, by way of Thompson, was acting pursuant to Section 6.2 of the partnership agreement which stated that: “The General Partner shall perform its duties . . . with ordinary prudence and in a manner characteristic of a businessman in similar circumstances.” Fenoglio declined to sign the 3 confidentiality agreement and Appellants cited this refusal as an additional reason for not allowing him access to WPL’s books and records. Fenoglio filed suit on July 16, 2019, seeking to enforce his right to inspect WPL’s books and records, while asserting causes of action for breach of the partnership agreement and a violation of Section 153.522 of the Texas Business Organizations Code. See TEX. BUS. ORGS. CODE ANN. § 153.552 (West Supp. 2025). 2 Appellants filed an answer, generally denying Fenoglio’s allegations and specifically denying that Fenoglio was acting in good faith and had a proper purpose for inspecting WPL’s books and records, as well as asserting his lack of good faith and proper purpose as a defense. Appellants alleged that Fenoglio sought the books and records for use in other litigation, to harass or harm WPL and its partners, and in bad faith due to a “long, disagreeable relationship between the partners.” Appellants filed a motion to transfer venue from Parker County to Denton County on August 9, 2019. Following discovery disputes, the parties reached an agreement in August 2020, whereby Appellants withdrew the motion to transfer venue and Fenoglio declined to file a motion to compel discovery. Fenoglio filed a combined traditional and no-evidence motion for summary judgment on April 26, 2021. The motion was supported by the following evidence: (1) Fenoglio’s affidavit; (2) the partnership agreement; (3) partnership records; (4) Fenoglio’s divorce decree; and (5) the affidavits of David J. Goodman and Levi M. Dillon, Fenoglio’s attorneys, with attached correspondence. Fenoglio argued that under Section 7.1 of the partnership agreement, he had an absolute contractual right to inspect and copy WPL’s books and records, which Appellants continually breached by refusing Fenoglio’s request. Fenoglio also argued that,

2 Unless otherwise specified, all statutory references in this opinion are to the versions in effect when the suit was filed in July 2019. See GOV’T § 311.022 (West 2013) (“A statute is presumed to be prospective in its operation unless expressly made retrospective.”). 4 under Section 153.552 of Texas Business Organizations Code, he had a proper purpose to inspect and copy WPL’s books and records, yet Appellants refused his requests. Fenoglio claimed that he was entitled to reasonable attorney’s fees of $120,570 and contingent appellate fees, pursuant to either Chapter 38 of the Texas Civil Practice and Remedies Code or Section 153.5521 of the Texas Business Organizations Code. See TEX. CIV. PRAC. & REM. CODE ANN. § 38.001–.006 (West 2015 & Supp. 2025); § BUS. ORGS. § 153.5521 (West 2020).

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WP Liquidating, Ltd.; WPL-GP, LLC; And Robert N. Thompson v. Anthony Fenoglio, (Tex. Ct. App. 2026).

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