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1717 Bissonnet, L.L.C. v. Penelope Loughhead
500 S.W.3d 488
| Tex. App. | 2016
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Background

  • Developer (1717 Bissonnet, LLC) obtained city approval to replace a 2‑story apartment complex with a 21–23 story mixed‑use high‑rise near residences in Houston; neighbors organized opposition and litigation followed.
  • Developer settled with the City, obtained final permits, demolished the prior building, but had not begun construction when suit was tried.
  • Forty‑five plaintiffs (thirty homes) claimed the proposed project would be a private nuisance, seeking either a permanent injunction or damages; the jury found a prospective nuisance as to twenty homes and awarded lost‑market‑value and loss‑of‑use‑and‑enjoyment damages.
  • Trial court awarded only lost‑market‑value damages to the prevailing homeowners (preserving the right to seek use/enjoyment damages later), denied the requested permanent injunction, and taxed most costs against Developer.
  • On appeal, Developer challenged the damages award and costs; Homeowners cross‑appealed the denial of injunctive relief.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Recoverability of damages for a prospective nuisance Homeowners argued they already suffered lost market value from Developer's announced plan and are entitled to monetary relief now Developer argued Texas law recognizes damages only for existing nuisances; no tort for a merely prospective nuisance Court: No cause of action for damages from a prospective nuisance; damages award reversed and rendered (Homeowners may seek damages once an existing nuisance accrues)
Adequacy of jury submission for lost‑market‑value damages Homeowners relied on jury question assessing damages "caused by the nuisance" Developer argued there was no liability theory submitted that would support awarding market‑value damages for a future nuisance Court: The only liability finding was for a nuisance "if built," which is prospective; submitting damages was legally improper and immaterial to liability, so the damages finding should be disregarded
Permanent injunction Homeowners argued the jury nuisance finding required injunctive relief to prevent irreparable harm Developer argued equities, city approval, public interest, and developer reliance weighed against an injunction Court: Reviewed for abuse of discretion; trial court balanced factors (localized impact, enforcement difficulties, developer hardship, city approval/public benefit, delay, alternative remedies) and did not abuse discretion in denying injunction; cross‑appeal denied
Taxation of costs Homeowners claimed prevailing‑party costs for nuisance and damages award Developer argued that, with damages reversed, Developer is the successful party and entitled to recover costs Court: Because damages award reversed and injunction denied, Developer is prevailing party; judgment taxing most costs against Homeowners (except those taxed to non‑prevailing plaintiffs) rendered in Developer's favor
Standing of certain plaintiffs Developer contended some plaintiffs lacked ownership/standing at trial Homeowners relied on expert testimony referring to the plaintiffs as owners; Developer did not produce contrary evidence Court: Sufficient evidence (expert testimony) to support standing; standing challenge overruled

Key Cases Cited

  • Schneider Nat’l Carriers, Inc. v. Bates, 147 S.W.3d 264 (Tex. 2004) (defines nuisance and discusses damages for permanent nuisance)
  • Natural Gas Pipeline Co. of Am. v. Justiss, 397 S.W.3d 150 (Tex. 2012) (accrual of permanent nuisance claim when condition substantially interferes with use and enjoyment)
  • Bay Petroleum Corp. v. Crumpler, 372 S.W.2d 318 (Tex. 1963) (loss in market value alone does not permit recovery absent a nuisance cause of action)
  • Sherman Gas & Electric Co. v. Belden, 123 S.W. 119 (Tex. 1909) (same principle: decrease in property value not recoverable without nuisance finding)
  • Sanders v. Miller, 113 S.W. 996 (Tex. Civ. App. 1908) (refuses recovery of lost market value for anticipated nuisance)
  • Storey v. Central Hide & Rendering Co., 226 S.W.2d 615 (Tex. 1950) (courts must balance equities when deciding injunctive relief for nuisance)
Read the full case

Case Details

Case Name: 1717 Bissonnet, L.L.C. v. Penelope Loughhead
Court Name: Court of Appeals of Texas
Date Published: Jun 30, 2016
Citation: 500 S.W.3d 488
Docket Number: NO. 14-14-00589-CV
Court Abbreviation: Tex. App.