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Star-Tel, Inc. v. Nacogdoches Telecommunications, Inc.
755 S.W.2d 146
Tex. App.
1988
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*2 DUNN, Before WARREN and COHEN, JJ.

OPINION

DUNN, Justiсe. This is an from a on a verdict, jury awarding $180,000 in dam- ages, plus fees, attorney’s in a suit under Deceptive (DTPA) Trade Practices Act Star-Tel, Stephen- Inc. and Ed. R. (appellants) jointly son severally. Nacogdoches Telecommunications, Inc. (appellee) brought against Star-Tel, suit Inc., lоng service, franchisor of a distance owner, Stephenson, and Ed R. under a DTPA and breach of contract action, concerning cause of a franchise agreement parties. between The facts surrounding agreement allegations made the suit are immaterial to the points However, of error raised on pleadings, filed, various motions and orders granted significant points are to two of the challenging non-compliance with statutory prerequisite notice to the DTPA cause of action.

Appellee original petition filed its on Feb- 1, 1984, ruary Naсogdoches County. Upon grant appellants’ motion to trans- venue, motions, pleadings, fer and or- ders County July were refiled Brazos 31, 1986, appellee 1984. On October original filed a petition, second amended alleged where for the first time it that on 1, 1984, February appellants were sрecific notice of the com- plaint and the amount of includ- ing fees, attorney’s in accordance with the 12, 1986, during DTPA. On December tri- al, charge jury, appel- but before the to the supplemental special exception lants filed a appellee’s petition, seсond amended alleged they appellee which had failed plead statutory prerequisite to its DTPA cause of action. request appellee ordered to make a be trial pleadings plaint, damages, amendment their was de- but (1) (Appellants previously they petition nied. had filed did special allege exception original peti- to the first that notice was sent 30 suit, tion, filing appellee’s but made no mention of date 1,1984, notice.) pleaded, February plead failure was the same as verdict, filing stamped original the date of on the jury After the filed a *3 and, petition, therefore, pleadings the dem- judgment [notwithstanding motion for the days filing onstrated that 30 notice before requesting disregard the to court verdict] given. not was action, findings all on the DTPA cause of appellee’s alleged because of failure to three, point appellants In of error chal- prove prerequisite Denying ap- the notice. lenge the trial court’s denial of their motion motion, pellants’ judg- the court entered judgment, letter,” for because the “demand jury’s findings ment based on the and by appellee, entered into evidence demon- $173,000 in awarded actual strated on its face notice not that had been $2,000 damages in mandatory statutory given days filing. before The date of $5,000 damages and in under the additional evidence, the letter entered into like the action, DTPA attorney’s cause of fees of pleаded, date of the notice was the same $30,000, specified and further sums for at- original filing stamped date of the on the torney’s in of fees the event . original petition. damages was awarded Appellee ‍‌‌​‌‌‌​​​​‌‌​‌‌‌‌​‌‌‌​​​‌‌‌​‌‌​​‌​​​​​​​‌‌‌‌‌​​​‍challenges appropriateness the against Stephenson, jointly аnd Star-Tel special exception and the timeliness of the severally. and particular plead to raise this defect in the challenge Points of error one and three ings. Appellee argues appel further that appellee’s plead prove failure to and the one, point lants have both of error waived prerequisite required notice in section 17.- challenging appellee’s fully plead failure to DTPA, 505(a) notice, of the which reads: prerequisite point the and of error three, challenging appellee’s failure to (a) рrerequisite filing As suit seek- a to a notice, prove ap the because ing damages under of Subdivision pellants bring failed to forth a state have (b) Subsection of Section 17.50 of this facts. Guthrie v. National ment of subchapter against any person, a con- Homes, (Tex.1965); 394 S.W.2d give the sumer shall written nоtice to Stores, Lane Fair 150 Tex. filing person days at least 30 the before (1951); Republic Bankers advising person the consum- Life suit the of McCool, (Tex. Ins. Co. 441 S.W.2d 314 specific complaint er’s and the amount of 1969, writ). Civ.App. Tyler including damages expenses, actual and — fees, attorney’s any, reаsonably if in- necessary A statement of facts is by asserting the curred the consumer challenge sufficiency of the evi to claim the defendant. of a statement of dence. the absence Ann., presumption Tex.Bus. & sec. 17.505 there is a evi Com.Code 17.50A). (Vernon 1987) judgment. dence (previously seс. of 394 S.W.2d at 495. While a statement one, argue point appellants necessary complained is not to facts show overruling their that the trial court erred necessary pleadings, of defective it is (filed supplemental special exception before appellants objected to the intro show that charge compliance with Tex.R. jury by any evidence not raised duction 90) appellee’s second amended Civ.P. prevent by trial consent. pleadings, so as to original petition, petition made because See Tex.R.Civ.P. 67. for settle- allegatiоn of “written demand setting Appellants forth and reasonable that no statement ment days prior filing necessary in this case because the attorney fees at least 30 facts is brief, pleadings, it the appellants ac- court does have before the lawsuit.” their regard- complаined point of error one petition alleged knowledge appellee’s ing special exception, and the “demand given ‍‌‌​‌‌‌​​​​‌‌​‌‌‌‌​‌‌‌​​​‌‌‌​‌‌​​‌​​​​​​​‌‌‌‌‌​​​‍specific com- was evidence, filing letter” introduced into com- not suit. was specific plained regarding appellants had notice оf the of error three along complaint, with the amount of dam- judgment. the motion Even should ages six months before argument appel- there be merit to this County, the suit refiled in Brazos lants, particular objections and the raised Therefore, years almost three before trial. timely so as to have were appellants deprived of the neces- were appropriate op- court an allowed trial sary opportunity information nor the relief, grant portunity had all settlement, cure or offer as intended required the courts in fash- have legislature required by courts. ioning remedy comply for failure to with notice section Hollingsworth, reliance on DTPA. request at in their damages, misplaced. denial of DTPA In all of the DTPA cases we have *4 First, puni- Hollingsworth only denied the notice, pertaining prerequisite the found to tive, actual, damages DTPA. under the complained the defect of was either that no Secondly, significantly, Hollings- and more given or notice notice was that the failed (1) distinguishable worth is in that the de- allege damages the amount of and/or at complained fect of was that the notice torney’s so as to afford thе defendant specify failed the amount of dam- actual opportunity an to cure or offer settlement. ages, appellant brought had the While there is a lack of consensus in these defect to the attention of the trial court proper remedy cases about thе for noncom trial, at Hollings- which time the pliance after a trial has resulted worth court held that the trial should have appears of DTPA award there been abated. Because a trial on the merits that, agreement be at least when noncom allowed, already puni- had bеen denial of pliance brought is to the attention of the damages ap- was found to a more tive be trial, prior appropriate trial court propriate remedy than of a abatement new remedy days is to abate the trial for 30 following trial for 30 given. E.g., after the notice is notice. Whitten, 117, Moving Co. v. 717 S.W.2d case, punitive neither denial of this 1986, 124 (Tex.App. [14th Dist.] — Houston damages is nor abatement be- n.r.e.); Datsun, 'd writ ref Sunshine Inc. v. appellants, Hollingsworth, cause unlike 652, Ramsey, (Tex.App.— 680 S.W.2d 655 necessary had all of the information 1984, (even writ) applying Amarillo no settlement, offer аnd had this information merits); abatement after a trial on the years almost three before the actual trial. Morrison, Hollingsworth Roofing Co. therefore, Appellants, were not harmed. 872, (Tex.App. 668 S.W.2d 875 Worth — Fort Points of error one and three are over- 1984, writ) (finding no abatement after a ruled. inаppropriate). remedy trial to is be This on the conclusion can based that abatement two, legislative accomplish provide intent to granting judg- trial court erred in that the to cure or opportunity an defendants Stephenson, individually, Ed ment (evidenced by settlement section 17.- offer the addendum to the franchise because c), litigation 505 and avoid costs of agreement guarantee or demonstrates possibility of treble and attor warranty by Stephenson except in the Datsun, E.g., 680 ney’s fees. Sunshine of event of sale or reformation Star-Tel. (analogizing at 655 with Hutchin agreement Appellants allege that (Tex.1983) Wood,

son v. 657 S.W.2d 782 only warranty guarantee or was the Presbyterian Hospital, 652 Schepps However, appel- by appellee. presented (Tex.1983)(interpreting similar bring forth a statement lants have failed to statute). requirements another Tеx.R.App.P. compliance of with facts of case, com In the of a statement only

In this defect absence presumption that the evidence prerequisite notice there is a plained of is that judgment. Chapter Bankruptcy der 11 of the S.W. Code. original brought against ap- suit was 2d at 495. pellants. Point of error is overruled. two Bankruptcy Code U.S.C. sec. Appellee counterpoints. raises two 1978) (Supp. automatically stays II all Counterpoint attor one seeks the additional proceedings “against judicial the debtor.” $5,000 ney’s by the court fees of awarded interpreted ‍‌‌​‌‌‌​​​​‌‌​‌‌‌‌​‌‌‌​​​‌‌‌​‌‌​​‌​​​​​​​‌‌‌‌‌​​​‍staying This article has been as appeal of of the event an to the court appeals proceedings origi that were being challenge appeals. There to this brought against debtor, nally regard award, counterpoint one is sustained. appellant less of whether the debtor is the two, counterpoint appellee re appellee. Freeman v. Comm’r Inter im quests percent penalty that a 10 be Revenue, 1091, (5th 799 F.2d 1093-4 nal posed appellants, pursuant to Tex.R. Cir.1986); Teachers Ins. Annuity & Ass’n 84, App.P. imposition allows the of a Butler, (2d which America v. 803 F.2d delay Cir.1986); penalty taken for Association St. Croix Condo Appellee alleges Corp., Owners v. Croix Hotel without sufficient cause. minium St. (3d Cir.1982). Any 682 F.2d court appellants’ appeal is frivolous because stay action in violation of the automatic appellants’ to file a failure statement void, regardless of had whether the court facts. bankruptcy, Kalb v. Feuer imposition penalty, of a Before stein, 308 U.S. 60 S.Ct. 84 L.Ed. clearly record must show that at the time *5 (1940); State, 667 370 Wallen v. S.W.2d filed, appeal appellant was had no 621, 1984, writ), (Tex.App. 623 no — Austin grounds judgment reasonable believe spite of the failure to and even debtor’s Ceres, Beago would be reversed. v. 619 timely suggestion bankruptcy, In file a 293, (Tex.App. 295 S.W.2d [1st — Houston 810, Homes, Inc., re 74 B.R. 814 — 15 Roxse 1981, writ) (explaining no Tex.R. Dist.] (Bankr.D.C.Mass.1987); Clark, re 483, Tex.R.App.P. predecessor Civ.P. 885, (Bankr.E.D.Pa.1987). B.R. 889-90 84). of the confusion over the Because However, stays pursuant to sec DTPA prerequisite notice section of the do tion 362 are limited to debtors and remedy noncompli for and the encompass non-bankrupt co-defendants. ance, say we cannot that had no 65; Teachers, Wedgeworth 803 F.2d at v. grounds judgment reasonable believе 541, (5th Corp., 706 F.2d Fiberboard be reversed. would Cir.1983). bankruptcy courts have Several counterpoint two is Appellee’s number that, general equity pow found under their overruled. ers, they may stay extend the automatic if court, including non-bankrupt general partners it contrib judgment of the trial to aсhieve reha $5,000 utes to debtors’ efforts appellee of the additional award for Id, (citing In re John-Mansville bilitation. affirmed. appeal, fees on is (Bankr.S.D.N.Y.1983) Corp., 33 B.R. 254 However, others]). we have ON REHEARING OPINION [and any by order record us of such issued on original opinion our was After bankruptcy court. Stаr-Tel, 21, 1988, Inc. January appellants, (“Ste- (“Star-Tel”) grant appellants’ motion to Stephenson E.R. We therefore and opinion stay appeal rehearing and on withdraw phenson”), filed a motion for Star-Tel, deny and the motion to regard to 10, 4,1988, February February and then on opinion stay аppeal our withdraw judgment motion to ‍‌‌​‌‌‌​​​​‌‌​‌‌‌‌​‌‌‌​​​‌‌‌​‌‌​​‌​​​​​​​‌‌‌‌‌​​​‍withdraw filed a Stephenson. regard to co-defendant opinion and to abate regard points of the to one address the motion to with- We will first rehearing, appellants’ motion for raised in judgment opinion and to abate draw holding. clarify our wе wish this motion on appeal. Appellants base 15, 1987, appellant, argue that our reliance on May Appellants the fact that on Corp., 394 National Homes Star-Tel, Inc., original petition un- filed its Guthrie (Tex.1965), misplaced S.W.2d 494 is

holding the absence a statement facts, presume we must the evi- judgment

dence the court’s in- damages against Stepehnson, awarding argue that, dividually. Appellants unlike special there sub- was no issue question mitted the matter in in this case. general rule is that an inde pendent recovery if no ground of is waived requested,

issue thereon is Corp., Harmes v. Arklatex 279; (Tex.1981); ‍‌‌​‌‌‌​​​​‌‌​‌‌‌‌​‌‌‌​​​‌‌‌​‌‌​​‌​​​​​​​‌‌‌‌‌​​​‍Tex.R.Civ.P. objection required preserve in order to is

error, Co., Malone Carl Kisabeth (Tex.App. Worth — Fort n.r.e.). However, excep ref’d writ an general tion exists to this rule when ground recovery conclusively is estab Harmes, lished the evidence. 615 S.W. 2d at 179. of the absence statement presume ground must we recovery conclusively established. rehearing motion de- is nied, judgment and the of the trial court

against appellant Stephenson, individually, affirmed. The

against appellant is stayed pursu- Star-Tel

ant to section 362 of Bankruptcy Code. Appellant Star-Tel is to notify ordered this upon

Court bankruptcy conclusion of the proceedings.

Henry KASPAR, Appellant, N. THORNE, Lansing Appellee. S. No. 05-87-00750-CV. Texas, Appeals Court Dallas. 2,May 1988. Supplemental Opinion on Rehearing July

Case Details

Case Name: Star-Tel, Inc. v. Nacogdoches Telecommunications, Inc.
Court Name: Court of Appeals of Texas
Date Published: Jan 21, 1988
Citation: 755 S.W.2d 146
Docket Number: 01-87-00403-CV
Court Abbreviation: Tex. App.
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