Amir Bajmanlou v. Signad LTD
14-15-00853-CV
| Tex. App. | Oct 4, 2016Background
- Bajmanlou, doing business as Houston Outdoor Advertising, contracted with SignAd to display an illuminated billboard ad for One Stop Clinic for one year at $24,000 (monthly $2,000); contract allowed automatic monthly extension absent 30-days written cancellation.
- Bajmanlou signed the contract in his business capacity and as “guarantor”; the contract, however, obligated him personally as the primary obligor.
- About 18 months later SignAd sued for unpaid amounts, pleading alternatively breach of contract, open account, guaranty, and quantum meruit; SignAd attached an affidavit and account records under Tex. R. Civ. P. 185.
- Bajmanlou filed an unverified answer (attempted verification was unsigned, notarization absent, and referenced a different case); he presented no evidence at the non-jury trial and left before the case was called.
- Trial court entered judgment for SignAd for $17,814.79 plus $3,500 attorney’s fees, interest, and costs; Bajmanlou appealed challenging liability under a guaranty theory and alleging the contract was illegible/ambiguous.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether evidence is sufficient to support judgment on guaranty claim | SignAd argued Bajmanlou executed contract and owed amounts; evidence included affidavit and account records | Bajmanlou contended insufficient evidence and ambiguous/illegible guaranty terms | Court did not reach guaranty issue; appellant challenged only guaranty but record supports judgment on alternative theory (open account), so judgment affirmed |
| Whether SignAd’s open-account proof satisfied Rule 185 and created a prima facie case | SignAd relied on affidavit by records custodian verifying accuracy and attaching account and contract | Bajmanlou failed to file a verified denial to overcome Rule 185 presumption | Held for SignAd: Rule 185 affidavit created evidentiary presumption; Bajmanlou’s unverified answer did not rebut it, so evidence legally and factually sufficient |
| Whether contract illegibility/ambiguity affects disposition | SignAd maintained services were provided and amounts due as shown in records | Bajmanlou argued illegible/ambiguous guaranty language | Court declined to consider illegibility because issue was moot—Bajmanlou waived defenses by failing to file verified denial and therefore cannot avoid liability on open-account basis |
Key Cases Cited
- Branch v. Monumental Life Ins. Co., 422 S.W.3d 919 (Tex. App.—Houston [14th Dist.] 2014) (upholding judgment when no findings requested; appellate court may affirm on any theory supported by record)
- Rosemond v. Al-Lahiq, 331 S.W.3d 764 (Tex. 2011) (per curiam) (same principle regarding implied findings and affirmance on any supported theory)
- Kelly v. Klein, 827 S.W.2d 609 (Tex. App.—Houston [14th Dist.] 1992) (litigant seeking reversal must challenge every ground supporting judgment)
- Rizk v. Fin. Guardian Ins. Agency, Inc., 584 S.W.2d 860 (Tex. 1979) (verified denial under Rule 185 destroys evidentiary effect of sworn account)
- Vance v. Holloway, 689 S.W.2d 403 (Tex. 1985) (absent verified denial, plaintiff’s sworn account is legally and factually sufficient to support judgment)
- Republic Nat’l Bank of Dall. v. Nw. Nat’l Bank of Fort Worth, 578 S.W.2d 109 (Tex. 1978) (defining guaranty as secondary obligation)
- Dann v. Team Bank, 788 S.W.2d 182 (Tex. App.—Dallas 1990) (for a guarantor, there must be a primary obligor; signing as primary obligor is not a guaranty)
- Eubank v. First Nat’l Bank of Bellville, 814 S.W.2d 130 (Tex. App.—Corpus Christi 1991) (treating a signer as guarantor of own obligation negates the guaranty concept)
