Southwest Galvanizing, Inc. and Leach & Minick, P.C. v. Eagle Fabricators, Inc
2014 Tex. App. LEXIS 11197
| Tex. App. | 2014Background
- SWG sued Eagle; jury awarded SWG damages and attorney’s fees including $50,000 (trial) and $25,000 (if Eagle’s appeal to Court of Appeals was unsuccessful).
- Trial court reduced the attorney’s fees award by remittitur; Eagle paid part of the judgment and obtained a partial release.
- On the first appeal, this court reversed the trial court’s fee reduction and rendered judgment restoring the jury’s fee findings, including the $25,000 appellate-fee contingent on an unsuccessful appeal by Eagle.
- After mandate, Eagle tendered and then deposited certain funds (difference in trial fees, costs, interest) into the trial court registry; SWG refused some payments and sought post-judgment discovery to collect the $25,000 appellate fee.
- Eagle moved for a declaration that the judgment was satisfied; the trial court signed an order finding the judgment satisfied in all respects and denied SWG’s motion to compel. SWG appealed the satisfaction order; Leach & Minnick was listed as a co-appellant but had not been a party below.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the trial court’s satisfaction order is a final, appealable judgment | SWG: order is final because it disposed of rights to recover appellate fees and costs | Eagle: order is not a new final judgment; post-judgment order is ancillary | Court: order disposed of all issues between parties and was final and appealable |
| Whether Leach & Minnick is a proper appellant | SWG/Leach: assignment of appellate-fee interest makes firm a proper appellant | Eagle: firm was not a party below and has no basis to appeal | Court: dismiss Leach & Minnick’s appeal for lack of party status; retain SWG’s appeal |
| Whether the trial court abused discretion by declaring Eagle satisfied the judgment re: appellate fees | SWG: prior mandate awarded $25,000 for Eagle’s unsuccessful appeal; trial court must enforce mandate | Eagle: it never appealed; its cross-issues did not amount to an appeal | Court: no abuse — Eagle did not file a notice of appeal, was appellee, and raising cross-points does not equal an appeal |
| Whether trial court abused discretion by denying post-appeal costs to SWG | SWG: as successful party it must recover costs for post-judgment proceedings | Eagle: SWG was not prevailing in those post-appeal proceedings because court found judgment satisfied | Court: no abuse — trial court could find SWG not the successful party and deny costs |
Key Cases Cited
- Lehmann v. Har-Con Corp., 39 S.W.3d 191 (Tex. 2001) (final-judgment test: disposes of all claims and parties)
- Parks v. Huffington, 616 S.W.2d 641 (Tex. App.—Houston [14th Dist.] 1981) (post-judgment orders may be ancillary/not appealable unless they dispose of parties’ rights)
- Arndt v. Farris, 633 S.W.2d 497 (Tex. 1982) (post-judgment discovery appealability when final judgment disposes of all issues)
- Transceiver Corp. of Am. v. Ring Around Prods., 581 S.W.2d 712 (Tex. App.—Dallas 1979) (post-judgment order denying discovery was appealable where sole issue was whether prior judgment was satisfied)
- Madeksho v. Abraham, Watkins, Nichols & Friend, 112 S.W.3d 679 (Tex. App.—Houston [14th Dist.] 2003) (trial court must enforce appellate mandate)
- Hudson v. Wakefield, 711 S.W.2d 628 (Tex. 1986) (trial court should consult appellate opinion and mandate when enforcing mandate)
- City of San Benito v. Rio Grande Valley Gas Co., 109 S.W.3d 750 (Tex. 2003) (virtual representation doctrine as limited exception to party requirement for appeal)
- In re Union Carbide Corp., 273 S.W.3d 152 (Tex. 2008) (permissive joinder and party-adding principles)
- Harris Cnty. Children’s Protective Servs. v. Olvera, 971 S.W.2d 172 (Tex. App.—Houston [14th Dist.] 1998) (trial courts must follow appellate mandates)
- Christus Health v. Dorriety, 345 S.W.3d 104 (Tex. App.—Houston [14th Dist.] 2011) (definition of "successful party" for costs)
