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459 S.W.3d 252
Tex. App.
2015
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Background

  • Constellation sued Texas G&S for breach of contract related to electricity deliveries and payments.
  • Texas G&S did not appear at trial; post-answer default judgment entered for Constellation.
  • Texas G&S later sent a motion for new trial via its electronic filing service provider, which the clerk rejected.
  • The trial court denied the motion for new trial; Texas G&S filed a timely notice of appeal asserting jurisdiction was preserved.
  • The issue was whether the motion for new trial constituted a bona fide attempt to invoke appellate jurisdiction under liberal interpretation of rules.
  • The court held jurisdiction exists and the evidence supporting the default judgment was legally insufficient, remanding for a new trial.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Did G&S's filing constitute a bona fide attempt to invoke jurisdiction? G&S asserts timely motion for new trial extended appeal deadline. Clerk's rejection did not defeat bona fide attempt under liberal rules. Yes; jurisdiction exists due to bona fide attempt.
Is the post-answer default judgment supported by legally sufficient evidence? Evidence proves breach and damages. Evidence is legally insufficient to prove breach and damages. No; judgment reversed and remanded for new trial.

Key Cases Cited

  • Blankenship v. Robins, 878 S.W.2d 138 (Tex. 1994) (bona fide attempt can invoke jurisdiction despite filing defects)
  • Hernandez v. Koch Machinery Co., 16 S.W.3d 48 (Tex. App.—Hou. [1st Dist.] 2000) (liberal handling of appeals to preserve rights)
  • Verburgt v. Dorner, 959 S.W.2d 615 (Tex. 1997) (liberal construction to avoid loss of right to appeal)
  • Stoner v. Thompson, 578 S.W.2d 679 (Tex. 1979) (failure to appear does not defeat the claim; evidence required for default)
  • Dolgencorp of Texas, Inc. v. Lerma, 288 S.W.3d 922 (Tex. 2009) (reverse and remand proper when post-answer default lacks evidentiary support)
  • Brown v. Ogbolu, 331 S.W.3d 530 (Tex. App.—Dallas 2011) (remand for new trial when default judgment supported by insufficient evidence)
Read the full case

Case Details

Case Name: Texas G&S Investments, Inc. D/B/A Texas Money Exchange v. Constellation NewEnergy, Inc.
Court Name: Court of Appeals of Texas
Date Published: Mar 5, 2015
Citations: 459 S.W.3d 252; 2015 WL 1020738; 2015 Tex. App. LEXIS 2112; NO. 14-14-00145-CV
Docket Number: NO. 14-14-00145-CV
Court Abbreviation: Tex. App.
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    Texas G&S Investments, Inc. D/B/A Texas Money Exchange v. Constellation NewEnergy, Inc., 459 S.W.3d 252