Young Chevrolet, Inc. v. the Texas Motor Vehicle Board Jupiter Chevrolet-Geo, Inc., D/B/A Newman Chevrolet And General Motors Corp.

CourtCourt of Appeals of Texas
DecidedJuly 30, 1998
Docket03-97-00097-CV
StatusPublished

This text of Young Chevrolet, Inc. v. the Texas Motor Vehicle Board Jupiter Chevrolet-Geo, Inc., D/B/A Newman Chevrolet And General Motors Corp. (Young Chevrolet, Inc. v. the Texas Motor Vehicle Board Jupiter Chevrolet-Geo, Inc., D/B/A Newman Chevrolet And General Motors Corp.) 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
Young Chevrolet, Inc. v. the Texas Motor Vehicle Board Jupiter Chevrolet-Geo, Inc., D/B/A Newman Chevrolet And General Motors Corp., (Tex. Ct. App. 1998).

Opinion

TEXAS COURT OF APPEALS, THIRD DISTRICT, AT AUSTIN




NO. 03-97-00097-CV

Young Chevrolet, Inc., Appellant


v.



The Texas Motor Vehicle Board; Jupiter Chevrolet-Geo, Inc., d/b/a Newman Chevrolet; and General Motors Corp., Appellees



FROM THE DISTRICT COURT OF TRAVIS COUNTY, 126TH JUDICIAL DISTRICT

NO. 94-15328, HONORABLE JOHN K. DIETZ, JUDGE PRESIDING

Appellant Young Chevrolet, Inc. ("Young") appeals the district court's judgment affirming a final order issued by the Texas Motor Vehicle Board ("Board"). Jupiter Chevrolet-Geo, Inc. ("Jupiter") applied to relocate its car dealership, and despite Young's protest, the Board granted the application. (1) The district court affirmed the Board's action. In this appeal, Young (1) challenges the Board's jurisdiction to render the final order, (2) contends the trial court should not have dismissed its independent due process claim, (3) complains of alleged procedural irregularities, and (4) objects to the trial court's exclusion of evidence. We will affirm.

STATEMENT OF FACTS In May 1993, Jupiter applied to the Board to relocate the dealership approximately one mile. See Tex. Rev. Civ. Stat. Ann. art. 4413(36) (West Supp. 1998). (2) Young, a nearby Chevrolet dealership owned and operated by Keith Young, contested Jupiter's application. Id. General Motors Corporation ("GM") intervened in support of Jupiter's application to relocate. After a hearing was held, the examiner issued a proposal for decision recommending that the Board grant Jupiter's application to relocate. At the Board's meeting on August 11, 1994, the Board heard arguments from both sides, voted to reject the examiner's recommendation, and orally denied Jupiter's request to relocate. Thereafter, the decision and order were reduced to writing, and, on behalf of the Board, Chairman T.J. Connolly signed the written order memorializing the Board's decision on August 15, 1994. The final order was then mailed and faxed to the parties on August 16, 1994.

Jupiter and GM filed extensive motions for rehearing. The written order had adopted all of Young's proposed findings of fact and conclusions of law, and GM especially was concerned about the conclusion of law that GM was unreasonably discriminating among Jupiter, Young, and other Chevrolet dealers through its Motors Holding Division's ownership interest in Jupiter. (3) As an exhibit to its motion for rehearing, GM attached a letter from San Antonio dealer Ernesto Ancira, recounting the importance of the MHD program to him and his participation in the program. Other dealership owners supportive of the MHD sent similar letters to the executive director of the Board, Brett Bray, who forwarded the letters to the members of the Board and sent copies to all the parties' counsel. During the interim between the Board's August decision denying Jupiter's relocation and its consideration of the motions for rehearing, nine dealers who were not parties to the contested case, including Ancira, submitted letters to the Board.

The Board reconvened on September 29, 1994, to consider the motions for rehearing filed by Jupiter and GM. Without hearing argument, the Board voted to grant the motions for rehearing and vacated its prior order. Accordingly, the Board adopted the examiner's proposed findings of fact and conclusions of law and granted Jupiter's application for relocation. Young then filed a motion for rehearing, which the Board denied.

Seeking judicial review, Young filed suit in district court. Young brought suit under the Administrative Procedure Act ("APA") (4) and further sought a declaratory judgment pursuant to the Uniform Declaratory Judgments Act (5) that its rights were violated because the Board failed to follow the APA. Appellees filed a plea to the jurisdiction on Young's declaratory judgment action which the trial court granted. A bench trial was then held to determine Young's allegations under the APA that ex parte communications had tainted the Board's September 29 decision. Specifically, Young contended that the members of the Board erroneously considered the nine dealer letters and that Connolly had participated in an illegal conversation with a non-party, Ancira. The district court concluded that neither the dealer letters nor the Connolly-Ancira conversation were in violation of the APA or, if they were, they had not harmed Young or prejudiced its substantial rights. Consequently, the district court affirmed the Board's final order approving Jupiter's application to relocate.

Young now brings this appeal, complaining for the first time on appeal that the Board did not have jurisdiction to render the September 29 order in which it reversed itself or, alternatively, the Board's first order became final and unappealable because it was not reheard in a timely fashion. Further, Young contends that the trial court should not have dismissed its independent due process claims, the ex parte communications violate the APA, and the trial court abused its discretion in excluding the deposition testimony of two GM officials.



DISCUSSION

Young's second and third points of error challenge the Board's jurisdiction to render the second order in which it reversed itself and approved Jupiter's application for relocation. Appellees respond that the Board did have jurisdiction to render the second order and that Young waived these points of error by failing to include them in its motion for rehearing before the Board or in its pleadings to the district court. In its reply brief, Young does not deny that these issues were not presented to the Board and district court; rather, it argues they pertain to subject matter jurisdiction and cannot be waived. We agree with Young and will address the points of error. See Texas Ass'n of Business v. Texas Air Control Bd., 852 S.W.2d 440, 443 (Tex. 1993) (subject-matter jurisdiction is essential to court's authority to decide case); Grounds v. Tolar Indep. Sch. Dist., 707 S.W.2d 889, 893 (Tex. 1986) (lack of jurisdiction is fundamental error and may be raised for first time on appeal); S.C. San Antonio, Inc. v. Texas Dep't of Human Servs., 891 S.W.2d 773, 776 (Tex. App.--Austin 1995, writ denied) (jurisdictional challenge may be raised for first time on appeal).

Young asserts in its second point of error that the motions for rehearing filed by Jupiter and GM were overruled by operation of law before the Board's change in position; therefore, Young contends the Board's first order denying the application is its final decision. Young arrives at this conclusion by arguing that the Board's oral pronouncement on August 11, for which the attorneys for both parties were present, triggered the motion for rehearing timetables.

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

Related

S.C. San Antonio, Inc. v. Texas Department of Human Services
891 S.W.2d 773 (Court of Appeals of Texas, 1995)
Texas Ass'n of Business v. Texas Air Control Board
852 S.W.2d 440 (Texas Supreme Court, 1993)
Des Champ v. Featherston
886 S.W.2d 536 (Court of Appeals of Texas, 1994)
Henry S. Miller Co. v. Bynum
836 S.W.2d 160 (Texas Supreme Court, 1992)
Ben Robinson Co. v. Texas Workers' Compensation Commission
934 S.W.2d 149 (Court of Appeals of Texas, 1996)
Texas Employment Commission v. Child, Inc.
738 S.W.2d 56 (Court of Appeals of Texas, 1987)
Ortiz v. Jones
917 S.W.2d 770 (Texas Supreme Court, 1996)
City of Stephenville v. Texas Parks & Wildlife Department
940 S.W.2d 667 (Court of Appeals of Texas, 1996)
Benoit v. Wilson
239 S.W.2d 792 (Texas Supreme Court, 1951)
Railroad Commission of Texas v. Home Transportation Co.
670 S.W.2d 319 (Court of Appeals of Texas, 1984)
Meador-Brady Management Corp. v. Texas Motor Vehicle Commission
866 S.W.2d 593 (Texas Supreme Court, 1993)
Smith v. Houston Chemical Services, Inc.
872 S.W.2d 252 (Court of Appeals of Texas, 1994)
Lone Star Greyhound Park, Inc. v. Texas Racing Commission
863 S.W.2d 742 (Court of Appeals of Texas, 1993)
County of Galveston v. Texas Department of Health
724 S.W.2d 115 (Court of Appeals of Texas, 1987)
State Farm Mutual Automobile Insurance Co. v. Cobos
901 S.W.2d 585 (Court of Appeals of Texas, 1995)
Grounds v. Tolar Independent School District
707 S.W.2d 889 (Texas Supreme Court, 1986)
Leonard Mednick v. Texas State Board of Public Accountancy
933 S.W.2d 336 (Court of Appeals of Texas, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
Young Chevrolet, Inc. v. the Texas Motor Vehicle Board Jupiter Chevrolet-Geo, Inc., D/B/A Newman Chevrolet And General Motors Corp., Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-chevrolet-inc-v-the-texas-motor-vehicle-board-jupiter-texapp-1998.