J. Fuentes Colleyville, L.P. D/B/A Gloria's Restaurant Jose Fuentes Colleyville, Inc. D/B/A Gloria's Restaurant And Carlos Fuentes, Inc. D/B/A Gloria's Restaurant v. A.S., Individually and as Next Friend of K.S., a Minor Child Kristen Hayter And Consumers County Mutual Insurance Company
501 S.W.3d 239
| Tex. App. | 2016Background
- On Jan. 1, 2014, K.S. was injured in a collision allegedly caused by Hayter driving while intoxicated; A.S. is K.S.'s next friend and also plaintiff.
- A.S. settled with Hayter (policy limit $30,000) and with Consumers (UIM limit $100,000) and filed a "friendly suit" in Tarrant County to obtain judicial approval of those settlements and for a minor prove-up.
- Appellants (Gloria’s Restaurant entities) later sued in Dallas County under the Dram Shop Act alleging they served Hayter while obviously intoxicated, causing the collision.
- Appellants filed a plea in intervention in the Tarrant County settlement-approval suit to contest allegations that Hayter was intoxicated and that his intoxication proximately caused the injuries; they sought no monetary relief in the Tarrant proceeding.
- A.S. moved to strike the intervention as lacking a justiciable interest and as unnecessary and complicating; the trial court struck the intervention, conducted the minor-prove-up, and approved the settlements.
- Appellants appealed the striking of the intervention and the related striking of their crossclaims; the Court of Appeals affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Appellants had a justiciable interest to intervene in the Tarrant County friendly suit | A.S. framed the suit as only for settlement approval and not to adjudicate liability; intervention unnecessary | Appellants argued their interest existed because the same occurrence and common issues (Hayter’s intoxication and proximate cause) were at stake and they could have been joined under rules 39/40 | Held: No justiciable interest; intervention properly struck because the suit’s sole purpose was settlement approval and Appellants’ interests were not affected by that unique proceeding. |
| Whether the trial court abused discretion by striking the plea in intervention even if a justiciable interest existed | A.S. argued striking was proper because Appellants could fully protect interests in their Dallas County suit and intervention would complicate the Tarrant proceeding | Appellants argued rule 39(a)(1) required joinder because complete relief could not be accorded without them and that striking multiplied issues | Held: Trial court did not abuse discretion — Appellants could protect themselves in the Dallas suit and intervention would unduly complicate a proceeding limited to approving settlements. |
| Whether striking the crossclaims was reversible error because no motion targeted them | Appellants argued crossclaims were improperly struck absent motion | A.S. argued crossclaims followed from and were dependent on the stricken intervention | Held: No reversible error — the crossclaims were derivative of the stricken intervention and thus of no legal effect. |
Key Cases Cited
- In re Union Carbide Corp., 273 S.W.3d 152 (Tex. 2008) (intervention burden and scope of trial-court discretion)
- Guaranty Federal Savings Bank v. Horseshoe Operating Co., 793 S.W.2d 652 (Tex. 1990) (standards for intervention and when striking is abuse of discretion)
- Law Offices of Windle Turley, P.C. v. Ghiasinejad, 109 S.W.3d 68 (Tex. App.—Fort Worth 2003) (trial court’s broad discretion to strike intervention)
- Gulf, Colorado & Santa Fe Ry. Co. v. Bliss, 368 S.W.2d 594 (Tex. 1963) (construe petition favorably to pleader; context controls character of suit)
- Zeifman v. Michels, 229 S.W.3d 460 (Tex. App.—Austin 2007) (intervention-striking reviewed for abuse of discretion)
- McCord v. Watts, 777 S.W.2d 809 (Tex. App.—Austin 1989) (describing justiciable-interest analog to party status)
- Gulf Ins. Co. v. Texas Casualty Ins. Co., 580 S.W.2d 645 (Tex. Civ. App.—Fort Worth 1979) (treatment of friendly suits in insurance/no-action contexts)
