The Supreme Court reversed the judgment of the court of appeals denying Defendants' motion to dismiss under the Texas Citizens Participation Act (TCPA), Tex. Civ. Proc. & Rem. Code 27.001-.011, as untimely, holding that because Plaintiff's amended petition in this case asserted new legal claims, Defendants' motion to dismiss those claims was timely.In his original petition, Plaintiff asserted claims for deceptive trade practice, negligence, and negligent misrepresentation. Plaintiff subsequently filed an amended petition reasserting the same claims, adding new claims for fraud, conspiracy to commit fraud, fraudulent concealment, and breach of contract, and alleging the same essential facts alleged in the original petition and requesting the same relief. The trial court denied Defendants' TCPA dismissal motion, concluding that the motion was untimely. The court of appeals affirmed. The Supreme Court reversed, holding that the court of appeals erred in holding that Defendant's motion to dismiss the new claims was untimely because the amended petition asserted new legal actions and thus triggered new sixty-day period for Defendants to file a motion to dismiss those new claims. View "Monteglongo v. Abrea" on Justia Law

Plaintiff, cross-defendant and appellant Nissan Motor Acceptance Corporation (NMAC) was a subsidiary of nonparty Nissan Motors of North America. NMAC was a specialty lender that loaned money to Nissan automobile dealers. Defendants, cross-complainants and appellants, Michael A. Kahn (Kahn) and his wife Tami L. Kahn, plus a group of now defunct limited liability company auto dealerships they owned, were NMAC borrowers (collectively, “Superior”). This appeal and cross-appeal stemmed from the retrial of Superior’s cross-claims against NMAC. The jury awarded Superior $256.45 million in compensatory and punitive damages based on two promissory fraud theories: negligent misrepresentation and fraudulent concealment. The trial court granted NMAC’s motion for new trial based on juror misconduct, but denied NMAC’s motion for judgment notwithstanding the verdict (JNOV). Superior contended NMAC forfeited its right to complain about juror misconduct. It also challenged the sufficiency of the evidence to support the trial court’s discretionary decision to grant NMAC’s new trial motion. After review, the Court of Appeal concluded NMAC did not forfeit the basis for its new trial motion and substantial evidence supported the court’s juror misconduct findings. And contrary to Superior’s claim, the Court found nothing arbitrary or capricious in its prejudice ruling. Accordingly, the Court affirmed the new trial order. View "Nissan Motor Acceptance Cases" on Justia Law

Pittsburgh Logistics Systems, Inc. (“PLS”) was a third-party logistics provider that arranged the shipping of its customers’ freight with selected trucking companies. Beemac Trucking (“Beemac”) was a shipping company that conducted non-exclusive business with PLS. In 2010, PLS and Beemac entered into a one-year Motor Carriage Services Contract (“the Contract”), which automatically renewed on a year to year basis until either party terminated it. The Contract contained both a non-solicitation provision and the no-hire provision. In this appeal, the Pennsylvania Supreme Court considered whether no-hire, or “no poach,” provisions that were ancillary to a services contract between business entities, were enforceable under the laws of the Commonwealth. While the Contract was in force, Beemac hired four PLS employees. PLS sued Beemac, alleging breach of contract, tortious interference with contract, and a violation of the Pennsylvania Uniform Trade Secrets Act. PLS also sued the four former employees, alleging they had breached the non-competition and non-solicitation provisions of their employment contracts. The trial court held the worldwide non-compete clauses in the employees' contracts were “unduly oppressive and cannot be subject to equitable modification.” With respect to the contract between the companies, the trial court held the pertinent no-poach clause was void against public policy. “If additional restrictions to the agreement between employer and employee are rendered unenforceable by a lack of additional consideration, PLS should not be entitled to circumvent that outcome through an agreement with a third party.” Finding no reversible error in the trial court's judgments, the Supreme Court affirmed. View "Pgh. Logistics Systems, Inc. v. Beemac Trucking, et al." on Justia Law

In this business dispute involving several tort claims the Supreme Judicial Court affirmed the judgment of the business and consumer docket dismissing the complaint for failure to state a claim, holding that the trial court did not err in dismissing the complaint.Plaintiff sued three Delaware corporations asserting aiding and abetting breaches of fiduciary duty, tortious interference, and conspiracy. The trial court dismissed the complaint for failure to state a claim upon which relief can be granted. The Supreme Judicial Court affirmed, holding that all of Plaintiffs claims against Defendants failed. View "Meridian Medical Systems, LLC v. Epix Therapeutics, Inc." on Justia Law

The Supreme Court reversed the judgment of the trial court for CompressAir and thus rejected CompressAir's claim that a certain transfer was fraudulent and remanded with instructions to enter judgment for New Nello Operating Company, holding that continuity of ownership between two companies is necessary for an exception to the general rule that, in a typical asset purchase, the buyer acquires the seller's assets but not its liabilities.This case turned on two exceptions to the rule that with an asset purchase the buyer typically does not take on the seller's liabilities - the first of which arises when the acquisition of assets amounts to a de facto merger and the second of which arises when the buyer is a mere continuation for all of the seller's liabilities. At issue was whether New Nello Operating Company was liable for Nello Corporation's debt to CompressAir. The trial court concluded that the strict foreclosure between Old Nello and New Nello was fraudulent, amounted to a de facto merger, and that New Nello was a mere continuation of Old Nello. The court then entered judgment against New Nello. The Supreme Court reversed, holding that continuity of ownership is necessary for the de-facto-merger and mere-continuation exceptions to apply. View "New Nello Operating Co., Inc. v. CompressAir" on Justia Law

Respondents-Appellants DynaResource de Mexico, S.A. de C.V. and DynaResource, Inc. (“DynaResources”) appealed the district court’s confirmation of an arbitration award in Applicant-Appellee Goldgroup’s favor. This case involves a protracted dispute over a contract relating to a gold mining operation in Mexico. Goldgroup is a subsidiary of a Canadian company with a portfolio of projects in Mexico. DynaUSA, a Texas-based company, incorporated DynaMexico specifically for the purpose of developing the San Jose de Gracia property in the Sinaloa region of Northern Mexico. In 2006, Goldgroup and DynaResources entered into an Earn In/Option Agreement (the “Option Agreement”) which gave Goldgroup the right to earn up to a 50 percent equity interest in DynaMexico if Goldgroup invested a total of $18 million in four phases over approximately four years. The Option Agreement contained a dispute resolution provision specifying that “[a]ll questions or matters in dispute under this Agreement shall be submitted to binding arbitration . . . in Denver, Colorado under the Rules of the American Arbitration Association (‘AAA’) by a single arbitrator selected by the parties.” The Option Agreement also states that Mexican law applies “in respect to the shares of DynaMexico and the acquisition thereof,” and that venue and jurisdiction for any dispute under the Option Agreement would be in Denver. In 2011, Goldgroup exercised its option, became a 50 percent shareholder in DynaMexico, and appointed two directors. However, before the parties could agree on the fifth director, their relationship broke down due to a dispute over management issues. In 2012, DynaResources filed the first of numerous lawsuits between the parties; Goldgroup defended in part by arguing that DynaResources’s claims were subject to arbitration. Finding no reversible error to the district court's judgment, the Tenth Circuit Court of Appeals affirmed. View "Goldgroup Resources v. Dynaresource De Mexico" on Justia Law

The Supreme Court affirmed the judgment of the lower court determining the fair value of certain shares to be purchased by a corporation to be $467 million and awarding the petitioning shareholder $256 million in prejudgment interest, holding that this appeal was without merit.The successor president and chief executive officer (CEO) of Streck, Inc. implemented a sales process that failed to produce an offer acceptable to the majority shareholder, and the corporation was not sold. The majority shareholder sued Streck and its president and CEO, alleging breach of fiduciary duty and shareholder oppression. Streck opted to purchase the petitioning shareholder's shares and, after a trial, the court determined the fair value of the shares and awarded the petitioning shareholder prejudgment interest. The Supreme Court affirmed, holding that Streck's appeal was without merit. View "Wayne L. Ryan Revocable Trust v. Ryan" on Justia Law

In this admiralty case, Pacific Gulf, in possession of an arbitral award against Adamastos Shipping, tried to collect from Blue Wall and Vigorous Shipping on the grounds that they are either successors to or alter-egos of Adamastos. The district court dismissed the successor-liability claim and granted summary judgment to Blue Wall and Vigorous on the alter-ego claim.After determining that Pacific Gulf has standing, the panel applied federal common law and joined other courts in holding that maritime law requires a transfer of all or substantially all of the predecessor's assets to the alleged successor before successor liability will be imposed on that alleged successor. In this case, the panel concluded that Pacific Gulf has failed to plead that Blue Wall and its subsidiaries "comprise successor corporate business entities of" Adamastos. The panel explained that Pacific Gulf alleged no transfer of any assets (let alone all or substantially all) from Adamastos to Blue Wall or its subsidiaries. Therefore, because Pacific Gulf failed to plead a factual prerequisite to corporate successorship, the district court correctly dismissed the claim based on that theory.The panel also agreed with the district court that Pacific Gulf's discovery revealed nothing to allow a reasonable juror to rule in its favor on the alter-ego theory. Viewing the record as a whole, the panel considered the factors for determining whether a party has pierced the corporate veil and agreed with the district court that Pacific Gulf came away "empty handed" from discovery. Therefore, there is insufficient evidence to support a finding that either Blue Wall or Vigorous was operated as an alter-ego of Adamastos. View "Pacific Gulf Shipping Co. v. Vigorous Shipping & Trading S.A." on Justia Law

The Court of Chancery granted Defendants' motion for judgment on the pleadings in this action seeking to draw or claw back several million dollars in cash, holding that Defendants were entitled to the motion.Seller sold all outstanding shares of its wholly owned subsidiary (together, with its subsidiaries, Target) to Buyer (together with Target, Defendants). All of Target's assets, except for those excluded by the parties' purchase agreement, were transferred in the stock transaction (the disputed cash). After the transaction closed, millions of dollars in cash remained in Target's bank accounts. Seller asked Buyer to return the disputed cash but Buyer refused. Seller then brought this complaint. Defendants sought judgment on the pleadings in their favor. The Court of Chancery granted the motion, holding that no material issue of fact existed and that Defendants were entitled to judgment as a matter of law. View "Deluxe Entertainment Services Inc. v. DLX Acquisition Corp." on Justia Law

The Supreme Court affirmed the judgment of the district court entered against Appellants - Conveyance Consulting Group, Inc., Jones Consulting Inc., and Jonathan Jones - holding that Appellants' claims were either waived or without merit.Eletech, Inc. brought this action alleging that Jones, the former Vice President of Eletech, engaged in self-dealing and interfered with business opportunities. The court entered judgment in favor of Eletech as a discovery sanction and dismissed Appellants' counterclaim. Appellants appealed, arguing that the district court abused its discretion in granting motions to withdraw, motions to compel, and a motion for sanctions. The Supreme Court affirmed, holding that Appellants' claims were unavailing. View "Eletech, Inc. v. Conveyance Consulting Group, Inc." on Justia Law