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424 S.W.3d 237
Tex. App.
2014
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Background

  • This appeal concerns whether the trial court properly granted a summary judgment in favor of a manufacturer on a statutory indemnity claim under §82.002 of the Civil Practice and Remedies Code.
  • Fresh Coat sought statutory indemnity from Parex under Chapter 82 for settlements related to claims arising from defective EIFS installed on Montgomery County homes.
  • The Texas Supreme Court has held EIFS may support a statutory indemnity claim and the installer is a seller; the manufacturer’s indemnity obligation extends to settlements resulting from EIFS-related lawsuits.
  • Parex moved for no-evidence and traditional summary judgment in 2012, arguing Fresh Coat had no evidence that damages arose from a products liability action or that Parex supplied EIFS installed on the homes at issue.
  • The trial court granted Parex’s motions and severed the summary judgment, leaving Fresh Coat’s other claims for later proceedings; the issue on appeal is the sufficiency of Fresh Coat’s evidence to show damages arose from a products liability action.
  • The court reviews de novo the interpretation of the statute and concludes Fresh Coat offered no competent evidence tying its damages to a products liability action.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether 'action' in §82.002 means a lawsuit/suit. Fresh Coat argues 'action' includes settlements and actions beyond formal pleadings. Parex contends 'action' means a lawsuit; letters cannot define actions under the statute. Action means a suit; no-evidence evidence insufficient.
Whether Fresh Coat proved damages arose from a products liability action. Fresh Coat produced letters and affidavits showing settlements related to EIFS. Letters and releases do not demonstrate a products liability action; no direct link to suits against Fresh Coat. No competent evidence showing damages arose from a products liability action.
Whether releases and other materials constitute evidence of settlements in products liability actions. Releases show settlements with homeowners. Releases include broad claims and do not indicate lawsuits or products liability actions. Releases do not prove settlements of products liability actions.

Key Cases Cited

  • Sudan v. Sudan, 199 S.W.3d 291 (Tex. 2006) (no-evidence standard applies to summary judgments; evidentiary burden on non-movant)
  • Ford Motor Co. v. Ridgway, 135 S.W.3d 598 (Tex. 2004) (more than a scintilla of evidence required to defeat no-evidence motion)
  • Thomas v. Oldham, 895 S.W.2d 352 (Tex. 1995) ('action' generally synonymous with 'suit' in statutory context)
  • Ryland Group, Inc. v. Hood, 924 S.W.2d 120 (Tex. 1996) (conclusory affidavits insufficient to raise fact issues)
  • Leland v. Brandal, 257 S.W.3d 204 (Tex. 2008) (interpretation of statutes; plain meaning governs)
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Case Details

Case Name: Fresh Coat, Inc. v. Parexlahabra, Inc.
Court Name: Court of Appeals of Texas
Date Published: Feb 20, 2014
Citations: 424 S.W.3d 237; 2014 Tex. App. LEXIS 1856; 2014 WL 644441; 09-13-00067-CV
Docket Number: 09-13-00067-CV
Court Abbreviation: Tex. App.
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    Fresh Coat, Inc. v. Parexlahabra, Inc., 424 S.W.3d 237