Justia U.S. 5th Circuit Court of Appeals Opinion Summaries

This case arose from a dispute between Franks and Union Pacific over whether Franks has the right to cross Union Pacific's train tracks on certain property in Caddo Parish originally owned by the Levy family at the turn of the 20th Century. On appeal, Franks challenged the district court's final judgment granting summary judgment for defendant and dismissing Franks's claims with prejudice. Franks argued that the district court erred in denying the existence of a predial servitude in the three crossings at issue. The court concluded that, under the law applicable to the interpretation of the 1923 deed, the contract is unambiguous; it does not establish a predial servitude with respect to Texas and Pacific Railway Company's obligation to provide three crossings across what was then its property; but, rather, it is merely a personal obligation which does not bind the railway's successors-in-interest. View "Franks Investment Co, L.L.C. v. Union Pacific Railroad Co." on Justia Law

Blessey filed suit against Jeffboat for breach of contract over a dispute regarding the purchase price of barges. The court did not reach the merits of the appeal because it concluded, under Becker v. Tidewater, Inc., that it did not have jurisdiction to review the district court's denial of Blessey's motion for partial summary judgment. In this case, Blessey seeks the court's review of the district court's disposition of a question of law, but its appeal does not fit the Becker exception because the district court conducted a jury trial. Further, even if the court were to assume arguendo that the court did not have jurisdiction, the court would affirm the district court's denial of partial summary judgment on the merits. The court also concluded that, by adducing some of the same extrinsic evidence at trial that it had sought to exclude in its motion in limine, Blessey waived its right to challenge the district court's admission of that evidence. Accordingly, the court affirmed the district court's denial of Blessey's motions for partial summary judgment and in limine. View "Blessey Marine Services, Inc. v. Jeffboat, L.L.C." on Justia Law

The Swareks filed suit against Herman Derr and DPI in Chancery Court, alleging that Derr and his corporation breached a contract for the sale of Mississippi farmland. Derr died while the action was pending and years later, Derr Heirs filed suit against the Swareks in the German Regional Court seeking a declaratory judgment that they were not liable for any claims arising from the putative land contract. After the initiation of the German lawsuit but before the decision of the Regional Court, the Swareks dismissed all of their claims against Derr with prejudice and withdrew a pending motion to substitute the Derr Heirs in the Mississippi action. The Regional Court dismissed the Derr Heirs' claim but the German Higher Regional Court reversed. Subsequently, the Derr Heirs returned to Mississippi and attempted to enforce a German order for costs in federal district court. The court concluded that the district court did not abuse its discretion by refusing to enforce the German cost award where the Higher Regional Court's decision to sidestep the comity determination and readjudicate claims that had already been settled in the Chancery Court violated the Mississippi public policy of res judicata and the Swarek's right to permanently terminate their claims. Accordingly, the court affirmed the judgment of the district court.View "Derr, et al. v. Swarek, et al." on Justia Law

Drillers filed a mineral lien on Debtor's well after Drillers performed work on the well and were never paid. The bankruptcy court dismissed Drillers' constructive trust and equitable lien claims and granted summary judgment to Debtors on Drillers' mineral contractor's and subcontractor's lien claims. The district court affirmed. The court affirmed the dismissal of Drillers' constructive trust and equitable lien claims. However, the court reversed and remanded the grant of summary judgment on Drillers' mineral subcontractors' lien claims because Drillers submitted sufficient evidence to survive summary judgment. The court held that it is possible under Texas law for an owner to also be a contractor, and for a laborer to secure liens against both the contracting and non-contracting owners. Viewed in the light most favorable to Drillers, the facts demonstrate that Drillers were subcontractors with regard to Debtors.View "Endeavor Energy Resources, L.P, et al. v. Heritage Consolidated, L.L.C., et al." on Justia Law

Celtic Marine filed suit against Justice in this maritime dispute for breach of contract. After the parties reached two settlements and both were not fulfilled, Celtic Marine moved for summary judgment to enforce an acceleration clause contained in the second agreement for all payments due under the first settlement agreement. Celtic Marine also moved to reopen the case under Rule 60(b)(6). The district court granted both motions, granting leave for Celtic Marine to amend its complaint and then denied Justice's motion to reconsider. The court concluded that 28 U.S.C. 1292(a)(3) does not grant the court jurisdiction over the district court's Rule 60(b) order and, therefore, the court dismissed Justice's appeal for want of jurisdiction. In regards to summary judgment, the court concluded that there was no genuine dispute that the email exchange did not amend the October Settlement Agreement and Celtic Marine did not waive its right to exercise the acceleration clause. Accordingly, the court affirmed the district court's grant of summary judgment.View "Celtic Marine Corp. v. James C. Justice Co., Inc." on Justia Law

Lessors appealed the district court's grant of summary judgment in favor of the lessee, Chesapeake, in this dispute over oil and gas lease royalty provisions. The court concluded that the value of the lessors' royalty is a percentage of the market value at the point of sale, which in this case is at the well; a "net-back" method of calculation does not "burden" or reduce the value of the royalty; Chesapeake has sold the gas at the wellhead and that is the point of sale at which market value must be calculated under the terms of the lessors' lease; and the Texas court's decision in Heritage Res., Inc. v. NationsBank, remains binding law. Therefore, the court affirmed the judgment of the district court.View "Potts, et al. v. Chesapeake Exploration, L.L.C." on Justia Law

Defendants appealed the grant of partial summary judgment in favor of seven investors. The court concluded that it had jurisdiction to review all of the orders listed in defendants' notice of appeal; the district court did not abuse its discretion in striking a certified public accountant's affidavit where he lacked personal knowledge of the conclusions he was asserting; and the district court did not err in granting plaintiffs' motion for partial summary judgment where there had been a failure of consideration as a matter of law. In regards to the district court's holding that all defendants were liable for the return of $3.5 million, the district court did not err in finding SaiNath liable based on a failure of consideration; the district court did not err in holding K.A.P liable under a theory of unjust enrichment; but, because the district court did not have the benefit of Ogea v. Merritt when it analyzed "piercing of the veil," the court remanded for the district court to consider the application of the Louisiana court's analysis as to the facts of this case. Accordingly, the court affirmed partial summary judgment as to SaiNath and K.A.P. The court vacated and remanded as to the Karsans in their individual capacities. View "Meadaa, et al. v. K.A.P. Enterprises, L.L.C., et al." on Justia Law

GE Plaintiffs filed suit against Worthington under the Texas Uniform Fraudulent Transfer Act (TUFTA), Tex. Bus. & Comm. Code 24.009(a), seeking to void transfers that Worthington received from the GE Plaintiffs' predecessor-in-interest, allegedly with notice of the transfers' fraudulent nature. The jury found in favor of the GE Plaintiffs and the district court entered judgment for the amount of the transfers. The court concluded that the factual commonality in this case did not suffice to count the contractual dispute settlement against TUFTA's limit on recovery for a single avoidance "claim," or to render Citibank a joint tortfeasor for one-satisfaction rule purposes. Accordingly, the district court did not err in denying Worthington a settlement credit for the settlement proceeds that the GE Plaintiffs received from Citibank. The court rejected Worthington's argument that the district court erred as a matter of law in interpreting TUFTA's good faith defense as an objective standard. Accordingly, the court affirmed the judgment of the district court. View "GE Capital Commercial, Inc., et al. v. Wright & Wright, Inc." on Justia Law

Bluebonnet appealed the district court's grant of summary judgment for Wells Fargo on Bluebonnet's claim for rescission of contract. The court concluded that Bluebonnet has not demonstrated a genuine factual issue as to whether there is an error vitiating its consent to the swap agreement at issue and warranting rescission. The court's conclusion is supported by it's previous decision in Dameware Development, L.L.C. v. American General Life Insurance Co., in which the court held that there was no failure of cause constituting error or warranting rescission of a contract. Accordingly, the court affirmed the judgment of the district court. View "Bluebonnet Hotel Ventures v. Wells Fargo Bank, N.A." on Justia Law

ACL sought a declaratory judgment that certain vessels chartering agreements with DRD were void ab initio. The district court dismissed based on the equitable doctrine of judicial estoppel. The court held that the district court did not abuse its discretion in dismissing the action where ACL's position in the declaratory judgment action clearly contradicted its earlier position in a related proceeding that the charters were valid, which had been accepted by the district court. View "American Commercial Lines, L.L.C. v. D.R.D. Towing Co., L.L.C." on Justia Law