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345 S.W.3d 199
Tex. App.
2011
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Background

  • CKS Asset Management sued the City of Dallas for inverse condemnation related to the City's construction of the Downtown Center for the Performing Arts on property CKS claims to own.
  • The City asserts ownership of the downtown property through a chain of title culminating in a deed to the City in 2000.
  • CKS contends the City never validly acquired title and asserts ownership via judgments and a 1990s foreclosure.
  • CKS filed suit in October 2009; the City moved to dismiss via plea to the jurisdiction, attaching public-record support for City ownership.
  • The trial court denied the plea to the jurisdiction; this interlocutory appeal followed.
  • The appellate court ultimately reversed and dismissed CKS’s claim for lack of subject-matter jurisdiction, holding the City had color of right to the property and thus no valid takings claim.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether CKS may plead an inverse-condemnation claim against the City CKS asserts ownership and a compensable taking City had color of right and no intent to take under sovereign powers CKS cannot show requisite intent; City has color of right; inverse condemnation fails
Whether CKS has standing to pursue inverse condemnation CKS claims ownership City shows it owns the property Not reached on standing (issues beyond requisite takings not decided)
Whether CKS can plead a constitutional waiver of immunity for inverse condemnation Takings claim falls within constitutional waiver Claim is effectively trespass-to-title; no waiver Not reached on immunity issue (issues beyond takings not decided)

Key Cases Cited

  • Holland v. General Land Office, 221 S.W.3d 639 (Tex. 2007) (determines government’s intent under color of right for takings analysis)
  • Little-Tex Insulation Co. v. General Services Comm’n, 39 S.W.3d 591 (Tex. 2001) (color of right and government intent in takings context)
  • A.C. Aukerman Co. v. State, 902 S.W.2d 576 (Tex.App.-Houston [1st Dist.] 1995) (contractual context for takings analysis; implied contracts not controlling)
  • BP Am. Prod. Co. v. Koch, 290 S.W.3d 345 (Tex.App.-Austin 2009) (cases distinguishing ownership determiners in state action for property taking)
  • Koch v. Texas Gen. Land Office, 273 S.W.3d 451 (Tex.App.-Austin 2008) (color of right and sovereign vs private-actor analysis)
  • MBP, Corp. v. Bd. of Trs. of the Galveston Wharves, 297 S.W.3d 483 (Tex.App.-Houston [14th Dist.] 2009) (limits of governmental immunity and takings analysis)
  • Gulf Coast Waste Disposal Auth. v. Four Seasons Equip., Inc., 321 S.W.3d 168 (Tex.App.-Houston [1st Dist.] 2010) (illustrates acting ‘akin to a private citizen’ in conduct may negate sovereign-taking)
Read the full case

Case Details

Case Name: City of Dallas v. CKS ASSET MANAGEMENT, INC.
Court Name: Court of Appeals of Texas
Date Published: Jul 7, 2011
Citations: 345 S.W.3d 199; 2011 Tex. App. LEXIS 5145; 2011 WL 2641694; 05-10-01010-CV
Docket Number: 05-10-01010-CV
Court Abbreviation: Tex. App.
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    City of Dallas v. CKS ASSET MANAGEMENT, INC., 345 S.W.3d 199