TEXAS UPDATE!

 

By Chamberlain♦McHaney

 

TEXAS LAWYERS

 

 

 

Last Friday, the Texas Supreme Court ruled for the first time that a plaintiff could recover attorney’s fees in a breach of express warranty action against a contractor.

 

Medical Center Dallas Ltd sued Carlisle Corp for breaching its written warranty of roofing materials against premature deterioration.  The jury awarded Medical Center $110,500 damages for the defective roof and more than $121,000 for attorney’s fees.  The court of appeals affirmed the judgment for warranty breach, but reversed on attorneys fees because the hospital’s warranty claim was distinct from a breach-of-contract claim that would allow attorneys fees to be awarded.

 

On appeal to the Texas Supreme Court, the Supremes held that attorney’s fees may be recovered in a breach of warranty action because an express warranty sounds in contract, not tort.  An express warranty is a distinct claim from contract, but it is nonetheless a part of the basis of a bargain and is contractual in nature.  Recognizing that breach of an express warranty is founded on contract comports with a party’s expectations under the economic-loss rule. Medical Center Dallas Ltd. v. Carlisle Corp (Tex 2008).

 

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We will cover this and other recent construction law cases at our full-day, fully accredited, 13^th Annual Ultimate Claims Handling Seminar on October 10, 2008 at CityPlace Conference Center in Dallas, Texas. 

 

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Chamberlain♦McHaney is A-V (highest peer review) Rated by Martindale-Hubbell and is listed in A.M. Best’s Directory of Recommended Attorneys.

 

 

David E. Chamberlain

Board Certified, Personal Injury Trial Law

Texas Board of Legal Specialization

Chamberlain♦McHaney

Texas Lawyers

Austin and San Antonio 

512-474-9124

visit us at  www.chmc-law.com