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LMP Austin English Aire, LLC, Derivatively Through Lafayette English Partner, LLC, (Individually and Derivatively) Through Lafayette English Apartments, LP v. Lafayette English Apartments, LP (Nominal Defendant) Lafayette English GP, LLC HVC English, LLC HVC Lafayette, LLC Scott Schaeffer Austin Lafayette Landing Realty LLC And Austin CMA English Aire Realty LLC

Citation: Not availableDocket: 03-21-00219-CV

Court: Court of Appeals of Texas; September 30, 2022; Texas; State Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

In a case before the Texas Court of Appeals, Third District, appellants LMP Austin English Aire, LLC, and Lafayette English Partner, LLC, challenged the trial court's final judgment involving several appellees related to Lafayette English Apartments, LP. The appellate court affirmed in part and reversed in part the trial court's judgment dated May 4, 2021. The court found reversible errors in the trial court’s orders, including the February 12, 2019, order sustaining pleas to the jurisdiction by HVC English, LLC, and HVC Lafayette, LLC, and the June 24, 2019, order granting the appellees' amended motion to dismiss under Chapter 27 of the Texas Civil Practice and Remedies Code. Also reversed were the July 31, 2019, order on attorney's fees and sanctions, and the December 16, 2020, order concerning breach-of-contract claims and other related claims. These claims were remanded for further proceedings. The court directed the appellants to bear all costs of the appeal and trial, except for specific appellees who were instructed to bear their own costs.

Legal Issues Addressed

Allocation of Costs

Application: The court ordered that the appellants bear all costs of the appeal and in the lower court, with specific exceptions.

Reasoning: Additionally, the court ordered that the appellants bear all costs of the appeal and in the lower court, except for those incurred by the appellees Lafayette English Apartments, LP, Lafayette English GP, LLC, and Scott Schaeffer, who were instructed to bear their own costs.

Attorney’s Fees and Sanctions

Application: The appellate court found reversible error regarding the order on attorney's fees and sanctions awarded to appellees.

Reasoning: The July 31, 2019, order on attorney’s fees and sanctions awarded to HVC English, LLC and HVC Lafayette, LLC.

Dismissal under Texas Civil Practice and Remedies Code Chapter 27

Application: The appellate court reversed the trial court's order granting the appellees' motion to dismiss under Chapter 27.

Reasoning: The June 24, 2019, order granting HVC English, LLC’s and HVC Lafayette, LLC’s amended motion to dismiss under Chapter 27 of the Texas Civil Practice and Remedies Code.

Remand for Further Proceedings

Application: The claims regarding breach of fiduciary duty, fraud by nondisclosure, accounting, and breach of contract were remanded for further proceedings.

Reasoning: These claims were remanded for further proceedings in the district court.

Reversible Error in Pleas to the Jurisdiction

Application: The appellate court found that the trial court erred in sustaining pleas to the jurisdiction by HVC English, LLC, and HVC Lafayette, LLC.

Reasoning: The appellate court identified reversible error in the trial court's judgment regarding several earlier orders, specifically: The February 12, 2019, order sustaining pleas to the jurisdiction by HVC English, LLC, and HVC Lafayette, LLC.

Summary Judgment on Breach of Contract Claims

Application: The appellate court reversed the trial court's decision denying the appellants' motion for partial summary judgment and granting the defendants' motions for summary judgment on breach-of-contract claims.

Reasoning: The portion of the December 16, 2020, order denying the appellants’ motion for partial summary judgment and granting several motions for summary judgment by various defendants concerning breach-of-contract claims.