Yolanda Gonzalez v. American National Lloyds Insurance Company

CourtCourt of Appeals of Texas
DecidedDecember 19, 2024
Docket13-23-00319-CV
StatusPublished

This text of Yolanda Gonzalez v. American National Lloyds Insurance Company (Yolanda Gonzalez v. American National Lloyds Insurance Company) 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
Yolanda Gonzalez v. American National Lloyds Insurance Company, (Tex. Ct. App. 2024).

Opinion

NUMBER 13-23-00319-CV

COURT OF APPEALS

THIRTEENTH DISTRICT OF TEXAS

CORPUS CHRISTI – EDINBURG

YOLANDA GONZALEZ, Appellant,

v.

AMERICAN NATIONAL LLOYDS INSURANCE COMPANY, Appellee.

ON APPEAL FROM THE COUNTY COURT AT LAW NO. 9 OF HIDALGO COUNTY, TEXAS

MEMORANDUM OPINION Before Justices Longoria, Tijerina, and Peña Memorandum Opinion by Justice Tijerina

Appellant Yolanda Gonzalez appeals the trial court’s summary judgment in favor

of appellee American National Lloyds Insurance Company (American National). By four

issues, Gonzalez contends that the trial court’s summary judgment is erroneous because

(1) the appraisal award was made by mistake, (2) “American National’s payment of the Appraisal Award did not extinguish [Gonzalez’s] claim for delayed payment,” pursuant to

the insurance code’s Texas Prompt Payment of Claims Act (the Prompt Payment Act),

see TEX. INS. CODE § 541.151, and (3) there was a valid Rule 11 agreement concerning

the mistake made when Gonzalez’s appraiser signed the appraisal award. We affirm.

I. BACKGROUND

On July 27, 2020, Gonzalez reported to American National, her insurance

company, that her real property in Hidalgo County, Texas had sustained damage due to

Hurricane Hanna. American National inspected the property on August 8, 2020, and

thereafter notified Gonzalez that although it had found $6,417.30 in covered damage after

depreciation, it would not make a payment on the claim because the amount of damage

incurred was below the deductible. Gonzalez sent American National a letter of demand

in December 2022, and American National conducted a re-inspection on January 5, 2022.

Gonzalez sued American National on February 17, 2022, for breach of contract

and for extracontractual damages she claimed under the Texas Insurance Code and

Deceptive Trade Practices Act. Gonzalez accused American National of misrepresenting

her covered damages, refusing to issue a payment on the claim, failing “to disclose

pertinent information regarding damages to” Gonzalez’s property, and failing “to pay [her]

claim within 60 days of receiving all of the items, statements, and forms required by the

insurer to secure final proof of loss, of the acceptance or rejection of the claim.” American

National then issued a payment to Gonzalez in the amount of $1,208.55 to cover

additional damages found during a re-inspection.

Gonzalez requested an appraisal that was completed on May 10, 2022. Gonzalez

2 designated Matt Serfoss as her appraiser and American National designated Micah D.

Harris as its appraiser. The umpire was Randy LeBlanc. In September 2022, American

National received a copy of the appraisal signed by Serfoss and LeBlanc. The appraisal

estimated the cost of damages at $31,684.64. American National paid Gonzalez

$15,373.06 due to depreciation and her deductible.

Gonzalez filed a motion to set aside the appraisal award claiming it was invalid,

and American National filed a motion for traditional summary judgment. The trial court

granted the summary judgment on July 20, 2023. This appeal followed.

II. STANDARD OF REVIEW

We review the trial court’s granting of a traditional motion for summary judgment

de novo. Franks v. Roades, 310 S.W.3d 615, 620 (Tex. App.—Corpus Christi–Edinburg

2010, no pet.) (first citing Provident Life & Accident Ins. Co. v. Knott, 128 S.W.3d 211,

215 (Tex. 2003); and then citing Branton v. Wood, 100 S.W.3d 645, 646 (Tex. App.—

Corpus Christi–Edinburg 2003, no pet.)). “We must determine whether the movant met

its burden to establish that no genuine issue of material fact exists and that the movant is

entitled to judgment as a matter of law.” Id.; see TEX. R. CIV. P. 166a(c). A defendant

seeking a traditional summary judgment must either disprove at least one element of each

of the plaintiff’s causes of action or plead and conclusively establish each essential

element of an affirmative defense. Cathey v. Booth, 900 S.W.2d 339, 341 (Tex. 1995)

(per curiam); Sanchez v. Matagorda County, 124 S.W.3d 350, 352 (Tex. App.—Corpus

Christi–Edinburg 2003, no pet.). A matter is conclusively established if reasonable people

could not differ as to the conclusion to be drawn from the evidence. Franks, 310 S.W.3d

3 at 621 (citing City of Keller v. Wilson, 168 S.W.3d 802, 816 (Tex. 2005)).

If the movant meets this burden, “the burden then shifts to the non-movant to

disprove or raise an issue of fact as to at least one of those elements.” Amedisys, Inc. v.

Kingwood Home Health Care, LLC, 437 S.W.3d 507, 511 (Tex. 2014). However, if the

movant does not meet this burden, “the burden does not shift and the non-movant need

not respond or present any evidence.” Id. Evidence favorable to the non-movant will be

taken as true in deciding whether there is a disputed issue of material fact. Fort Worth

Osteopathic Hosp., Inc. v. Reese, 148 S.W.3d 94, 99 (Tex. 2004); Tranter v. Duemling,

129 S.W.3d 257, 260 (Tex. App.–El Paso 2004, no pet.). All reasonable inferences,

including any doubts, must be resolved in favor of the non-movant. Fort Worth

Osteopathic Hosp., 148 S.W.3d at 99. A non-movant raises a genuine issue of material

fact by producing more than a scintilla of evidence regarding the challenged element.

Neely v. Wilson, 418 S.W.3d 52, 59 (Tex. 2013).

III. BREACH OF CONTRACT

By her first issue, Gonzalez contends that the trial court should have denied

American National’s motion for summary judgment because Serfoss signed the appraisal

award by mistake. Specifically, Gonzalez states:

Matt Serfoss, has been in the business for about fifteen years, and had not once before encountered the challenge of an unsuccessful appraisal process which included the umpire. Given that this was a novel issue, Serfoss was unsure how to proceed, so he signed the award under the impression that doing so would resume litigation. Serfoss did not know that his signature formed a binding agreement between the parties, or otherwise he would not have signed the award.

Upholding the appraisal award under these circumstances would clearly not speak to Serfoss’s intention. Serfoss states in plain language in his affidavit

4 that he did not agree with the amount of the award and signed it simply because he was unsure how to proceed. While his action may be deemed a lapse in judgment, it is undeniable from his testimony that Serfoss did not support the appraisal award and did not intend to bind Ms. Gonzalez to it.

A. Applicable Law

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Related

Fort Worth Osteopathic Hospital, Inc. v. Reese
148 S.W.3d 94 (Texas Supreme Court, 2004)
Rogers v. Texas State Board of Public Accountancy
310 S.W.3d 1 (Court of Appeals of Texas, 2008)
Franks v. Roades
310 S.W.3d 615 (Court of Appeals of Texas, 2010)
Tranter v. Duemling
129 S.W.3d 257 (Court of Appeals of Texas, 2004)
Branton v. Wood
100 S.W.3d 645 (Court of Appeals of Texas, 2003)
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Morriss v. Enron Oil & Gas Co.
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Padilla v. LaFrance
907 S.W.2d 454 (Texas Supreme Court, 1995)
Cathey v. Booth
900 S.W.2d 339 (Texas Supreme Court, 1995)
Sanchez v. Matagorda County
124 S.W.3d 350 (Court of Appeals of Texas, 2003)
City of Keller v. Wilson
168 S.W.3d 802 (Texas Supreme Court, 2005)
Provident Life & Accident Insurance Co. v. Knott
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Barnes v. Western Alliance Insurance Co.
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