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Carl Daily v. Charles McMillan
531 S.W.3d 822
| Tex. App. | 2017
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Background

  • McMillan sued Daily in justice court claiming $2,000 for removal of trees/stump grinding; justice court awarded McMillan and $3,000 in attorney’s fees; Daily appealed to county court at law for a trial de novo.
  • At the county court de novo jury trial, the jury found Daily breached an oral contract and awarded McMillan $2,000 in damages.
  • The jury also awarded $18,193.19 in attorney’s fees based on testimony and time sheets from McMillan’s attorney, David Potter, who testified he billed $250/hour, had worked 52.27 hours pre-trial (invoice $12,443.19) and expected an additional $5,750 for trial/post-trial work.
  • Daily did not object to the jury charge at trial and affirmatively stated he had no charge objections; he later appealed arguing jury-charge error and that the fee award lacked evidentiary support.
  • The trial court denied relief; on appeal the Sixth Court of Appeals (Texarkana) held Daily failed to preserve charge error and that the attorney-fee award was supported by legally sufficient evidence.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether jury-charge error (conditioning fee question on failure to pay vs. amount due) was preserved McMillan: charge was proper and verdict shows damages were found before fees Daily: Question 6 conditioned on Question 2 (nonpayment) rather than Question 5 (amount due); thus fees could be awarded without a finding of damages Not preserved — Daily affirmatively waived objections at trial; appeal on charge error overruled
Whether evidence supported reasonableness and necessity of attorney’s fees McMillan: Potter’s testimony and time sheets showed hours, work performed, hourly rate, and additional expected trial/post-trial work Daily: Potter failed to present evidence of the customary local fee for similar services, so fee award lacked sufficient evidence Sufficient — uncontroverted time sheets, testimony as to experience, hourly range ($200–$350) and work performed permitted reasonable juror finding of $18,193.19

Key Cases Cited

  • Ashford Partners, Ltd. v. ECO Res., Inc., 401 S.W.3d 35 (Tex. 2012) (plaintiff must prevail and recover damages to recover fees under § 38.001)
  • Cruz v. Andrews Restoration, Inc., 364 S.W.3d 817 (Tex. 2012) (preservation rule for jury-charge complaints; must timely and plainly object)
  • City of Keller v. Wilson, 168 S.W.3d 802 (Tex. 2005) (legal-sufficiency standard for appellate review)
  • Arthur Andersen & Co. v. Perry Equip. Corp., 945 S.W.2d 812 (Tex. 1997) (factors for determining reasonableness of attorney’s fees)
  • Long v. Griffin, 442 S.W.3d 253 (Tex. 2014) (minimum evidence for fee award: services performed, who performed them, hourly rate, when performed, time required)
  • El Apple I, Ltd. v. Olivas, 370 S.W.3d 757 (Tex. 2012) (same evidentiary guidance for fee awards)
  • Smith v. Patrick W.Y. Tam Trust, 296 S.W.3d 545 (Tex. 2009) (reasonableness of fees is ordinarily for factfinder)
  • Jelinek v. Casas, 328 S.W.3d 526 (Tex. 2010) (definitions of legally insufficient evidence and standards)
  • Merrell Dow Pharms., Inc. v. Havner, 953 S.W.2d 706 (Tex. 1997) (more-than-a-scintilla standard explained)
Read the full case

Case Details

Case Name: Carl Daily v. Charles McMillan
Court Name: Court of Appeals of Texas
Date Published: Aug 15, 2017
Citation: 531 S.W.3d 822
Docket Number: 06-17-00038-CV
Court Abbreviation: Tex. App.