Xiao Yu Wang, D/B/A Breeze Cooling & Heating v. Haidong (Harry) Guo

Court of Appeals of Texas·Decided March 28, 2025·No. 03-23-00244-CV·Published

Opinion

TEXAS COURT OF APPEALS, THIRD DISTRICT, AT AUSTIN

NO. 03-23-00244-CV

Xiao Yu Wang, d/b/a Breeze Cooling & Heating, Appellant v.

Haidong (Harry) Guo, Appellee

FROM THE COUNTY COURT AT LAW NO. 5 OF WILLIAMSON COUNTY NO. 22-2001-CC5, THE HONORABLE WILL WARD, JUDGE PRESIDING

M E M O RAN D U M O PI N I O N In this defamation case, appellant Xiao Yu Wang, d/b/a Breeze Cooling & Heating, sued appellee Haidong (Harry) Guo, alleging common-law libel and statutory libel and libel per se, see Tex. Civ. Prac. & Rem. Code § 73.001.1 Wang’s claims stem from comments that Guo posted in connection with a Yelp review of Wang’s business and his service of Guo’s air conditioner. 2 Guo moved to dismiss Wang’s claims under the Texas Citizens Participation Act (TCPA). See generally id. §§ 27.001-.011. Wang challenges the trial court’s order granting Guo’s TCPA motion to dismiss. We reverse in part and remand because we conclude that Wang established a prima

1 “Libel” is also termed “written defamation.” See Libel, BLACK’S LAW DICTIONARY (12th ed. 2024) (“A defamatory statement published without just cause or sound justification and expressed in a fixed medium, esp. writing but also possibly a picture, sign, or electronic broadcast. . . . Also termed (in senses 1 & 2) written defamation.”). We refer to Wang’s claims as defamation claims.

2 Yelp provides an online platform for users to find, connect with, and review local businesses.

facie case on the essential elements of his defamation per se claim, and Guo failed to carry his burden to conclusively rebut that prima facie case.

BACKGROUND

Wang installs, maintains, and repairs HVAC systems. On October 26, 2021, Guo contacted Wang on his “Breeze Cooling and Heating” Yelp page to repair an air-conditioning unit at a rental property owned by Guo. Guo also asked him to repair a stove and toilet at the property. The next day, Wang sent Guo an estimate of the cost to repair each problem: $400 for the air-conditioner blower-motor module; $320 for two oven-range coils; and $65 for the toilet, for a total of $785. Wang told Guo that he required a $120 nonrefundable down payment before ordering the parts, and that he would charge Guo only the $120 as a diagnostic fee if he decided he did not want Wang to do the repair work. Guo paid the $120 down payment. On November 5, Wang asked Guo to pay the balance of $665 for the work he had done.

On November 8, Guo paid $265 to Wang for his completed work on the stove and toilet. (That work is not at issue in this case.) However, the air-conditioning unit was still not working properly, so Guo asked Wang to repair it again. Wang determined that the air-conditioner needed a new blower motor and gave Guo a price, including parts, labor, and tax, of $580.

Wang alleges that he ordered a new air-conditioning motor on November 9 that cost $249. Wang advised Guo that there was a one-year warranty on the part. On that same day, Guo paid Wang a $100 deposit for the job. After Wang completed the repair, Guo paid him the outstanding $480 balance on November 15.

Almost a year later, on October 25, 2022, Guo posted the following one-star review on the Breeze Cooling and Heating Yelp page:

He fixed my AC inside unit motor fan.

[C]harged me 580 [dollars]. And gave me 1 year warranty. [B]ut the motor stop working recently. [I] can not find this guy. [I] have to ask someone else to fix the AC again. And finally figure out he put an old motor fan ON my AC. DO NOT ORDER this service. [W]aste your money[.]

Guo contends that he had contacted Wang on WeChat, a Chinese instant-messaging app that he and Wang had previously used for some of their communications, on October 22, before posting the review and that Wang had blocked him.3 Guo further asserts that he hired a different repair person to fix the air conditioner on October 24. He contends that the repair person told him that the air-conditioner motor installed by Wang “was rusted and appeared not to have been new when [Wang] installed it.” The parties subsequently communicated with each other through direct messaging on Yelp. Wang disputed Guo’s assertion that he put an old or used module or motor on the air conditioner, but Wang offered to refund the cost of the part to Guo because it was still under warranty and asked him “to delete the false negative review.” Guo countered that he wanted a refund of $500 because he paid that amount to the other repair person to replace the motor again.

A few days later, Guo posted the following review on Yelp:

LIAR. [T]he module is on the motor. [Y]ou replaced motor in 2021 Nov., the whole thing. [C]heck our conversation picture.

I asked AC guy to fix my AC problem recently. [H]e replaced the motor. [O]nly [a]fter that moment, [I] knew the motor was broken again. [I]f [I] know it is the

3 Although some of the parties’ communications in Chinese were included in the record and appellate briefing, no translation accompanied by a qualified translator’s affidavit was provided. See Tex. R. Evid. 1009 (governing admissibility of translations of foreign-language documents). The Court does not rely on any of the parties’ descriptions of those communications in its recitation of the factual background or analysis.

motor problem, [I] definite[l]y contact you to fix it. [A]nd you charged me 580 [dollars] not 400 [dollars]. [H]ere is my payment picture.

In early November, Guo posted the following updated review on Yelp:

[Y]ou only responded me after [I] left the review for you. [I]f you put a brand new motor, why there are [sic] so much rust? [W]hy it only last for 10 months then stop working. [A]nother AC GUY who fixed my AC said, it is hard to believe it is a motor used 1 year. [Y]ou give me the warranty, but [I] can not find you when AC is broken. [I] have to ask someone else to fix it. [S]o be fair, you need pay for the cost for fixing my AC, which is 500 [dollars].

Guo also attached a photograph of the motor and screenshots of his Zelle payments to Wang and of a part of the parties’ Yelp direct-message conversations. 4 Wang offered to refund Guo the $249 cost of the part shown on the order, but Guo insisted he had charged him $300 for the part.

On November 9, 2022, Wang’s counsel sent Guo a cease-and-desist and retraction notice, informing Guo of the statements in the Yelp reviews that Wang contends are materially false statements of fact and actionable as libel. See id. § 73.055 (requiring person to make “timely and sufficient request for a correction, clarification, or retraction from the defendant” to maintain action for defamation). The letter demanded that Guo retract the allegedly false statements of fact within fourteen days and informed him that Wang would file suit if the Yelp posts that Wang believed constituted actionable libel were not removed.

Wang filed suit on December 23, 2022, asserting libel claims and seeking actual damages for economic loss, due to harm to his business reputation, and mental anguish, due to harm to his personal reputation and livelihood; exemplary damages; injunctive relief; and

4 Zelle is an online payment app that allows people to send and receive money directly between bank accounts.

reasonable and necessary attorneys’ fees. Guo answered and filed a TCPA motion to dismiss. Guo attached to his TCPA motion screenshots of his Zelle payments to Wang and some of the parties’ communications by text, WeChat, and Yelp direct messaging. Wang filed a TCPA response and attached the November 9, 2022 letter demanding retraction, which included as exhibits some of the parties’ communications by text and on Yelp and the November 9, 2021 order invoice for a $249.99 blower motor with the same serial numbers as the motor in the photograph that Guo posted on Yelp.

After a hearing, the trial court granted Guo’s TCPA motion and dismissed Wang’s defamation claims. The trial court awarded Guo $5,000 in attorneys’ fees and costs and an additional $5,000 in sanctions. This appeal followed.

ANALYSIS

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