Motion for traditional summary judgment improperly granted where appellee failed to disprove at least one element of appellant's claim and failed to conclusively establish all elements of their affirmative defenses

On Appeal from the 101st District Court Dallas County
The two individuals established a trust for their daughter, and asked their friend, the appellee, to serve as trustee. The appellee delegated the authority to make investment decisions for the trust to the first individual. The individuals subsequently divorced, after which the second individual, Johnson, discovered that the value of the trust had declined, so she filed suit against the appellee. Appellee filed several motions, and after a two day evidentiary hearing, the trial court ordered a death penalty sanction and award of attorney's fees against Johnson. The court signed a judgment dismissing appellant's claims with prejudice and awarding the appellee his attorney's fees and costs. Johnson appealed the sanctions, depositing cash into the registry of the court in lieu of bond. The instant court affirmed the trial court's judgment and upon denial of the Johnson's petition for review by the Supreme Court of Texas, the judgment became final. The appellant notified the appellee that it asserted a contractual right to the sanctions award in the Johnson litigation because it paid the appellee's attorney's fees and costs of defense. After a year had passed, the money was still in the registry of the court so the appellee withdrew it. The appellant sued the appellees, individually, claiming assumpsit for money had and received, and seeking a declaratory judgment that it was entitled to the sanctions award received by the appellee in the Johnson litigation

MGA Insurance v. Chesnutt
January 10, 2012
05-10-00410-CV
Martin Richter
Areas of Practice: Appellate: Civil, Contracts
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