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Zelena Barbay v. Mary McCarty, Individually and as of the Estate of Stanley William Taraba
12-17-00116-CV
| Tex. App. | Sep 20, 2017
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Background

  • In 1986 Zelena Barbay and her brother signed a family settlement with their father, Stanley Taraba, conveying their interests in property he previously owned; Stanley agreed to devise a one-half interest in a Carrollton house to each child by will at his death.
  • Stanley sold the Carrollton house in 1997; Zelena learned of the sale that year.
  • Stanley died in September 2015; his will did not devise the Carrollton property or sale proceeds to Zelena or Randal.
  • Zelena filed an unsecured claim against the estate for a one-half interest; it was denied, and she sued for breach of the family settlement agreement on November 1, 2016.
  • The estate moved for summary judgment on statute-of-limitations grounds (four years); the trial court granted summary judgment. Zelena appealed.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
When did the 4-year statute of limitations begin to run for the breach-of-contract claim? Barbay: Limitations did not begin until Stanley's death in 2015, the time specified for performance (devise by will). Estate (McCarty): Limitations began in 1997 when Zelena learned Stanley sold the house (anticipatory breach/repudiation then occurred). Court held limitations did not begin in 1997 because Zelena did not accept or act on the anticipatory repudiation; it began at the time for performance (Stanley’s 2015 death).

Key Cases Cited

  • Exxon Corp. v. Emerald Oil & Gas Co., L.C., 348 S.W.3d 194 (Tex. 2011) (accrual rule: causes of action accrue when facts authorize a judicial remedy)
  • Ingersoll‑Rand Co. v. Valero Energy Corp., 997 S.W.2d 203 (Tex. 1999) (anticipatory repudiation gives non‑repudiating party option to sue immediately or wait until performance time)
  • Cosgrove v. Cade, 468 S.W.3d 32 (Tex. 2015) (breach‑of‑contract accrual generally occurs at breach)
  • Murray v. Crest Const., Inc., 900 S.W.2d 342 (Tex. 1995) (recognition of anticipatory breach doctrine)
  • Gonzalez v. Denning, 394 F.3d 388 (5th Cir. 2004) (anticipatory breach not limited to fully executory contracts)
  • Nixon v. Mr. Property Mgmt. Co., 690 S.W.2d 546 (Tex. 1985) (standard for reviewing summary judgment)
  • Am. Tobacco Co. v. Grinnell, 951 S.W.2d 420 (Tex. 1997) (summary‑judgment appellate review principles)
  • Provident Life & Accident Ins. Co. v. Knott, 128 S.W.3d 211 (Tex. 2003) (accrual is normally a question of law)
  • Stine v. Stewart, 80 S.W.3d 586 (Tex. 2002) (statute of limitations for breach of contract)
Read the full case

Case Details

Case Name: Zelena Barbay v. Mary McCarty, Individually and as of the Estate of Stanley William Taraba
Court Name: Court of Appeals of Texas
Date Published: Sep 20, 2017
Docket Number: 12-17-00116-CV
Court Abbreviation: Tex. App.