John Freeman Junior v. Formosa Management, L.L.C.
01-15-00907-CV
| Tex. App. | Nov 17, 2016Background
- In 2007 Patrick Freeman sued to partition property he alleged he owned two-thirds of and John Freeman owned one-third; John answered but lost in a post-answer default hearing and a partition judgment was signed ordering sale and distribution.
- A receiver was appointed in 2008 to sell John’s interest; the receiver sold the property in 2009 and it ultimately passed to Formosa Management, L.L.C.
- John pursued multiple appeals and a bill of review challenging the partition and sale; prior appellate rulings held his appeal of the partition judgment untimely and affirmed the receiver order.
- In 2013 John filed a trespass-to-try-title suit against Formosa claiming the partition judgment was void because Patrick lacked standing; Formosa raised res judicata and limitations and moved for summary judgment.
- The trial court granted Formosa’s summary judgment relying on res judicata; John appealed, arguing the 2007 partition judgment was void for lack of subject-matter jurisdiction.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the 2007 partition judgment is void for lack of subject-matter jurisdiction because Patrick lacked an interest in the property when he sued | John: Patrick had no interest at filing (sold earlier) so court lacked jurisdiction; judgment therefore void | Formosa/Patrick: Partition judgment presumed valid; even if Patrick lacked interest that goes to the merits (standing to recover), not jurisdiction; res judicata bars relitigation | Court: Judgment not void. John failed to prove jurisdictional defect from the record; plaintiff’s standing argument attacks the merits, not jurisdiction, so res judicata applies. |
| Whether extrinsic evidence may be used in a collateral attack to show voidness | John: Submitted abstract of title to show Patrick lacked interest | Patrick: Collateral-attack review presumes judgment valid; record of the original case (including hearing) is required; incomplete extrinsic evidence insufficient | Court: Collateral attacker must carry burden; record of partition proceedings was incomplete here, so recitals in judgment stand and extrinsic evidence alone insufficient to void judgment. |
| Whether standing to bring a partition action is a jurisdictional prerequisite | John: Standing is an element of subject-matter jurisdiction | Patrick: Standing/interest is an element of the cause of action (merits), not a jurisdictional prerequisite | Court: Standing to partition is a merits element; district court has general jurisdiction over title actions; lack of interest would make judgment erroneous but not void. |
| Whether res judicata and limitations barred John’s trespass-to-try-title claim | John: Res judicata/statute of limitations don't apply if original judgment is void | Formosa: Prior final partition judgment precludes relitigation; limitations applies | Court: Because the partition judgment is not void, res judicata applies; summary judgment affirmed. |
Key Cases Cited
- PNS Stores, Inc. v. Rivera, 379 S.W.3d 267 (Tex. 2012) (framework for reviewing collateral attacks and when a record shows jurisdictional defect)
- Dubai Petroleum Co. v. Kazi, 12 S.W.3d 71 (Tex. 2000) (statutory prerequisites may be mandatory but not necessarily jurisdictional)
- Reiss v. Reiss, 118 S.W.3d 439 (Tex. 2003) (errors other than lack of jurisdiction are voidable; trial court may have jurisdiction even if characterization is incorrect)
- Amstadt v. U. S. Brass Corp., 919 S.W.2d 644 (Tex. 1996) (elements of res judicata: prior final judgment by court of competent jurisdiction, identity of parties, and same claim)
- Barr v. Resolution Trust Corp., 837 S.W.2d 627 (Tex. 1992) (policy and purpose of res judicata)
- City of Keller v. Wilson, 168 S.W.3d 802 (Tex. 2005) (standard for conclusive summary-judgment proof; reasonable people must not differ)
