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in Re First Reserve Management, L.P. First Reserve Corporation, L.L.C. FR XII Alpha AIV, L.P. FR XII-A Alpha AIV, L.P. FR Sawgrass, L.P. And Sawgrass Holdings, L.P.
09-21-00374-CV
Tex. App.
Jan 13, 2022
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Background:

  • First Reserve (several affiliated entities) filed a petition for writ of mandamus after the trial court denied its Rule 91a motion to dismiss.
  • Rule 91a permits dismissal when a cause of action has no basis in law or in fact and requires the court to decide based solely on the pleadings (and permitted exhibits).
  • Plaintiffs filed a 63‑page Third Amended Petition on October 6, 2021, alleging causes of action and factual predicates; under Rule 91a the court must accept pleaded facts as true for purposes of the motion.
  • The governing pleading standard is that a petition must give the defendant fair notice of the claim and the basic issues and relevant testimony (per Kinder Morgan).
  • First Reserve argued the petition lacked any legal or factual basis; plaintiffs argued the petition sufficiently pleads causes of action and gives fair notice.
  • The court of appeals concluded the Third Amended Petition gave fair notice and the trial court did not abuse its discretion; the mandamus petition was denied.

Issues:

Issue Plaintiff's Argument Defendant's Argument Held
Whether the Third Amended Petition has no basis in law or fact under Tex. R. Civ. P. 91a Petition pleads causes of action and gives fair notice of claims and facts Petition is legally and factually baseless and should be dismissed under Rule 91a Denied — court held petition provides fair notice; allegations must be taken as true at this stage
Whether mandamus relief is warranted to overturn denial of a Rule 91a motion Mandamus not needed if petition is sufficient; ordinary appeal may suffice Mandamus appropriate to prevent waste if trial court abused discretion by denying Rule 91a Denied — no abuse of discretion shown, so mandamus relief not granted

Key Cases Cited

  • In re Essex Ins. Co., 450 S.W.3d 524 (Tex. 2014) (mandamus may be appropriate when trial court abuses discretion denying a Rule 91a motion)
  • Kinder Morgan SACROC, LP v. Scurry Cty., 622 S.W.3d 835 (Tex. 2021) (a petition is sufficient only if it gives fair notice of the claim and basic issues)
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Case Details

Case Name: in Re First Reserve Management, L.P. First Reserve Corporation, L.L.C. FR XII Alpha AIV, L.P. FR XII-A Alpha AIV, L.P. FR Sawgrass, L.P. And Sawgrass Holdings, L.P.
Court Name: Court of Appeals of Texas
Date Published: Jan 13, 2022
Docket Number: 09-21-00374-CV
Court Abbreviation: Tex. App.