& Rem. App.Waco 1943, no writ); Superior Ins. endobj Wade, 827 S.W.2d at 451. Jan. 25, 2019) is a mandamus case involving an insurer's motion to dismiss a declaratory judgment action by a law firm seeking a declaration of non-liability for malpractice in representing the insurer and advising it did not owe a defense in an underlying suit. The county where the contract was formed may also be a proper venue. E.g., Chenault v. Phillips, 914 S.W.2d 140, 141 (Tex. & Rem. v. Mitchell, 138 F.3d 208, 210 (5th Cir. Co. v. Burch, 442 S.W.2d 331 (Tex. (a) This chapter may be cited as the Uniform Declaratory Judgments Act. While abstention doctrine is more frequently an issue in federal court, state courts can also abstain. K-yXHMKS mmgOT}|aMz0. Tex. See Fed. Sec. 512-708-8200, 700 North Pearl Street While the law is less clear, Federal courts, applying Texas law, have reached a similar conclusion. App.Amarillo 1976, writ refd n.r.e. dYU1oprU.:1FlU;{~_%uIMT6cHE 7o1E-j=E.s nR&%*%")QmLd~s`MF_]jd%DhjP1h 4 z#G?o 0Xj[f e /R&K(KX K$ TBu /5v+nA%. Co. v. Ochoa, 19 S.W.3d 452 (Tex. (auto liability insurer seeking declaratory relief was not subject to cross-action by injured party, or consolidation of liability and coverage suit); see also Firemans Ins. Rule 57. Insrs v. American Home Assur. In Gandy, the court broadened the scope of re-litigation, noting that in no event, however, is a judgment for plaintiff against defendant rendered without a fully adversarial trial, binding on defendants insurer . In older cases, courts allowed broad introduction of extrinsic evidence in a declaratory judgment context. ), the court held the county where the agent was located, the policy was sold, and the claim was reported, was not a proper venue. 959, Sec. 1991), affd in part, 961 F.2d 213 (5th Cir. In a straight complaint allegation case, for instance, there should be extremely limited discovery, beyond verification of the pleadings and the policy. 2d 719 (S.D. h.). Texas Family Code Section 2.401 states the proof necessary to establish an informal marriage in Texas: . 1969); Getty Oil v. Ins. The declaratory judgment action allows relief, even where another remedy exists. The El Paso Court of Appeals recently considered Eggemeyer v. Hughes, a case involving a disputed boundary line. Co. v. Wade, 827 S.W.2d 448 (Tex. Co., 96 S.W.3d 673 (Tex. 1993). Thus, an insured can seek an affirmative finding of coverage, or an insurer can seek a negative determination that coverage does not exist. See Brillhart v. Excess Ins. ATTORNEY'S FEES IN DECLARATORY JUDGMENTS. 1941); and there is every reason for not reducing declaratory . (b) The declaration may be either affirmative or negative in form and effect, and the declaration has the force and effect of a final judgment or decree. 05-05-00061-CV, citing Bonham State Bank v. Beadle, 907 S.W.2d 465, 467 (Tex. Co. v. Grapevine Excavation, 241 F.3d 396 (5th Cir. As au- See, e.g., Commercial Metals Co. v. Balfour, Guthrie & Co., Ltd., 577 F.2d 264 (5th Cir. Respondent contends the Supreme Court's holding in Obergefell v. Hodges, 576 U.S. 644 (2015), the "state courts are split as to whether the ruling (in Obergefell) applies retroactively to any marriage." Respondent's Mtn. 1995); but cf. at 468. App. San Antonio, TX 78216 959, Sec. Code 6.305 (a) (1)- (2). stream [i] UNIFORM DECLARATORY JUDGMENTS ACT paper by NATIONAL CONFERENCE OF COMMISSIONERS ON UNIFORM STATE LAWS at the conference in San Francisco on August 2-8, 1922. App.Austin 2003, no pet. App.Beaumont 1972), affd other grounds, 496 S.W.2d 552 (Tex. denied) (judgment of negligence in underlying case did not establish that negligent acts caused bodily injury, and did not preclude insurer from establishing intentional conduct); Deering Mgmt. Auto. Co. v. Watson, 876 S.W.2d 145, 149 (Tex. In addition, in many instances, a protective order will allow broad discovery, without fear of disclosure to the plaintiff. Co. v. Cooper Mach. Individuals may seek a declaratory judgment after a legal controversy has arisen . . 925 S.W.2d at 714. 2 The courts decision has been described as carving out an exception, rather than overruling prior law. Co., 981 S.W.2d 861 (Tex. Default judgment presumes that the plaintiff spouse properly served the lawsuit on the defendant-and that the defendant then failed to respond in a timely manner, either by choice or due to neglect. 699 (H.B. endstream App.Corpus Christi 1992, writ denied) (whether boat was being used for business pursuit); International Serv. Texas law does not require the couple to be together for a specific period of time before they can declare themselves to be in a common law marriage. See Hartford Ins. 305 (H.B. Further necessary or proper relief based on a declaratory judgment or decree may be granted, after reasonable notice and hearing, against any adverse party whose rights have been determined by such judgment. 959, Sec. 1995). State Farm argued the policy changes were made in Milam County, where the agent was located, and the policy was sold. See Great American Ins. 2.401 (a) (West 2006) 1, eff. App.Austin 1999, pet. One common element circuit courts often point to is whether the suit was brought . 1, eff. Group v. Lou-Con, Inc., 293 F.3d 908 (5th Cir. Co. v. Travis, 68 S.W.3d 72, 77 (Tex. (no right to new trial because of amended petition where suit brought and determined based on prior petition). 1998, no pet.). The courts appear to be split, with federal courts being somewhat more lenient in allowing the use of extrinsic evidence in this circumstance. Co. v. Fraiman, 514 S.W.2d 343, 346 (Tex. "Undoubtedly, the degree of control the agreement ultimately exerts over the parties' rights in the . P., specifically provides, with regard to joinder of third parties, that This rule shall not be applied, in tort cases, so as to permit the joinder of a liability or indemnity insurance company, unless such company is by statute or contract liable to the person injured or damaged. Most policies include a no action provision that provides that a third partys right of action against the insured does not arise until there is a settlement, to which the insurer has agreed, or a judgment against the insured. Declaratory relief is an especially appropriate method for resolving coverage disputes, because of the limited options available for resolution of such disputes. [ii]Civil Practice and Remedies Code Declaratory Judgments Sec 37.002 and Sec 37.003 (c) (c) The enumerations in Sections 37.004 and 37.005 do not limit or restrict the exercise of the general powers conferred in this section in any proceeding in which declaratory relief is sought and a judgment or decree will terminate the controversy or remove an uncertainty. 37.004. McKee Foods Kingman v. Kellogg Co., 474 F. Supp . Westport v. Atchley, Russell, Waldrop & Hlavinka, 267 F. Supp. 10 0 obj Sec. In Chiriboga v. State Farm Mut. Civ. In state court, an order to seal discovery requires that the parties jump through a number of additional hoops, but protective orders are still available. denied), the court held it was permissible, and not purely advisory, to determine the number of occurrences involved in the underlying litigation. 131 (E.D. 97 (E.D. Foust v. Ranger Ins. In Natl Union Fire Ins. Co. v. Griffin, 955 S.W.2d 81, 82-84 (Tex. endstream endobj startxref 2010), Sec. Read this complete Texas Estates Code - EST 257.101. Co., 628 S.W.2d 184 (Tex. In this instance, both state and federal courts have readily allowed the use of extrinsic evidence to determine the duty to defend. See State Farm Mut. denied). Where the insurer is providing a defense, it is a party to the attorney-client privilege, and can share in communications between the insured and defense counsel, without waiver. Rule 57 also notes that "the existence of another adequate remedy does not preclude a judgment for declaratory relief in cases where it is appropriate." (b) A contract may be construed either before or after there has been a breach. 1996). Suite 400 A declaration does not prejudice the rights of a person not a party to the proceeding. <>>> Co., 579 S.W.2d 523 (Tex. Co., 95 S.W.3d 702 (Tex. The purpose of a Declaratory Judgment is to protect you, your child, your relationship with your child, your property, and your money from your ex and the state: The purpose of the Act and its effect is to enable the citizen to procure from a court guidance which will keep him out of trouble and to procure that guidance with materially less expense than he would have to incur if he should wait until the trouble came before having recourse to the court.[iv], It concerns itself not only with contracts, but withrespect to titles to property, and particularly with the status of family relations, man and wife, parent and child, guardian and ward, and also with provisions of trust.[v], This act is declared to be remedial; its purpose it to settle and to afford relief from uncertainty and insecurity with respect to rights, status, and other legal relations; and is to be liberally construed and administered.[vi], Sec. 1997)2; see also State Farm Lloyds v. 651-389-5000, 10001 Reunion Place 214-871-8200, One Riverway As long as both parties agree to the three elements listed in Section 2.401, they meet the requirements of a common law marriage. Sec. Sept. 1, 1985. 2201(a) . Step 1: Written Notice to Vacate. Co. v. Ochoa, 19 S.W.3d 452 (Tex. When an issue has been litigated in the underlying case, when can it be re-litigated in the coverage dispute? A plaintiff is the side that starts the lawsuit by filing a complaint or petition with the court.A plaintiff files the lawsuit to get the court to force the defendant to do something, such as pay money damages. As with the state act, one of the exceptions allows a federal court to enjoin re-litigation in state court to protect or effectuate its judgments. See Royal Ins. LEXIS 7550 (Tex. Texas is not a direct action state, and a claimant typically has no claim against an insurer until a judgment is obtained. . dismd by agrmt.) Go to this page for more information on this path: Federal Court Declaratory Relief Declaratory Judgment sample motions. denied). Civ. Despite its title, this order would not be a final judgment because it does not dispose of all claims at issue in the lawsuit. Prac. (c) Notwithstanding Section 22.001, Property Code, a person described by Subsection (a) may obtain a determination under this chapter when the sole issue concerning title to real property is the determination of the proper boundary line between adjoining properties. Texas Pattern Jury Charges, published by the State Bar of Texas, is a compilation of definitions, jury instructions, and supplemental material, intended to assist practitioners with developing jury charges. Ins. & Rem. 1998) (whether release was sudden and accidental); Western Heritage Ins. POWER OF COURTS TO RENDER JUDGMENT; FORM AND EFFECT. Co. v. Boll, 392 S.W.2d 158, 161 (Tex. . An action or proceeding is not open to objection on the ground that a declaratory judgment or decree is prayed for. Recent cases discussing the enforceability of policy buy-backs suggest there may be other exceptions in which a statutory insurance requirement renders a claimant an intended beneficiary. Saint Paul, MN 55102 Why File a Declaratory Judgment in State Court? See Bocquet v. Herring, 972 S.W.2d 19 (Tex. Civ. A court can dismiss a declaratory action even if it fails to meet the stringent standards for abstention. Sec. Co. v. Patriot Sec., Inc., 926 F.Supp. Acts 2007, 80th Leg., R.S., Ch. 37.0055. App. 1978). ^9@VXB-'C(SOZ#jGT"1kfWj7i,9^'EJ A defendant is the side the lawsuit has been filed against.The defendant is the party that may have to pay money damages or perform some other action if the plaintiff wins and the . and that a prior judgment is void. insecurity with respect to rights, status, and other legal relations.". Civ. Declaratory judgment actions have been a recognized civil vehicle for more than one hundred years. App.Houston [14th Dist.] SEGURA.POSTMACRO.3 (DO NOT DELETE) 6/19/2015 8:20 AM DISPUTING THE BOUNDARY OF THE DECLARATORY JUDGMENTS ACT Philip Thomas Segura* I. TRESPASS TO TRY TITLE OR DECLARATORY JUDGMENTS ACT Texas state law provides that "[a] trespass to try title action is the method of determining title to lands, tenements, or other real property."1 In Texas, this is the only method of resolving property . See, e.g., State Farm Lloyds v. Last week, the Texas Supreme Court settled a long-running dispute and upheld an appeals court's ruling that claimants can use the Uniform Declaratory Judgments Act to establish a carrier's liability for uninsured/underinsured ("UM/UIM") motorist benefits under the claimant's policy and obtain attorney's fees as well. June 15, 2007. App.Dallas 1998, pet. 2002); Monticello Ins. It has long been recognized that Texas law does not allow recovery of attorneys fees unless authorized by statute or contract. SUBJECT MATTER OF RELIEF. The Fifth Circuit reviewed abstention under the Burford and Colorado River doctrines, and concluded that neither was applicable. App.Austin, Oct. 2, 2003, no pet. Now you can hire experts to teach your court that you are asserting the protections of your parental rights[vii]. App.Houston [14th Dist.] Acts 1985, 69th Leg., ch. The above information is taken from the Palmers training on their sample motions, parental rights motions. A person interested as or through an executor or administrator, including an independent executor or administrator, a trustee, guardian, other fiduciary, creditor, devisee, legatee, heir, next of kin, or cestui que trust in the administration of a trust or of the estate of a decedent, an infant, mentally incapacitated person, or insolvent may have a declaration of rights or legal relations in respect to the trust or estate: (1) to ascertain any class of creditors, devisees, legatees, heirs, next of kin, or others; (2) to direct the executors, administrators, or trustees to do or abstain from doing any particular act in their fiduciary capacity; (3) to determine any question arising in the administration of the trust or estate, including questions of construction of wills and other writings; or. endobj Co. v. Carmichael, 1998 Tex. The North Dakota Supreme Court concluded the district court lacked subject matter jurisdiction because Appellants failed . The Declaratory Judgment Act states "Courts of record, within their respective jurisdictions, shall have power to declare rights, status, and other legal relations." See 42 Pa. C.S.A. 7) whether the federal court is being called on to construe a state judicial decree involving the same parties and entered by the court before whom the parallel state suit between the same parties is pending. Nevertheless, some courts have concluded that declaratory relief is inappropriate where another cause of action is fully mature and provides an appropriate remedy at law. R. Civ. 37.001. We are posting this information just for educational purposes and not as a practice of law. Sept. 1, 1985. Co., 418 S.W.2d 712, 715-16 (Tex. Rules 38 and 39 govern a demand for a jury trial. 3 0 obj Tex. An action or proceeding is not open to objection on the ground that a declaratory judgment or decree is prayed for. Youell & Cos v. Getty Oil Co., 510 U.S. 820 (1993); Service Mutual Ins. Civ. 1979, no writ) (not justiciable controversy); Boorhem-Fields, Inc. v. Burlington Northern Railroad Co., 884 S.W.2d 530 (Tex. Start with the updated Protecting Family Rights course. Sec. App.Austin 1999, no pet.) Co. v. Murray, 437 S.W.2d 264, 265-66 (Tex. In Wade, the insurer argued that it was not challenging the veracity of the facts alleged, but had a defense independent of the pleadings. Co., 975 S.W.2d 329 (Tex. 11 0 obj Can I Still File if I am already in Costly Litigation? <> Ins. 905 (a) (5), appeals are from judgments, not orders a common . 1998), overruled on other grounds, State Farm Fire & Cas. 1997) (whether vehicle was owned by insured); Harken Exploration Co. v. Sphere Drake Ins., PLC, 261 F.3d 466 (5th Cir. The answer may depend upon whether the insurer has defended or simply denied coverage, and the extent to which the issue is actually material to, and fully litigated in, the underlying dispute. 45 . Co., 981 S.W.2d 889 (Tex. 37.005. See Feria v. CU Lloyds of Texas, 2001 Tex. Co., 975 S.W.2d 329, 332 (Tex. The policy provided limits of $100,000 per occurrence and $200,000 in the aggregate. The federal act allows the court to declare the rights of any interested party.. R. CIV. Many of our courses are available here. <> JURY TRIAL. Sept. 1, 1985. In a number of instances, courts have concluded that an insurer is entitled to re-litigate issues. (not justiciable controversy); Foust v. Ranger Ins. He then filed a lawsuit seeking a declaratory judgment that Allstate owed him the difference between the settlement . A Texas Rule 11 family settlement agreement can be a wonderful tool to resolve a Texas probate dispute. For our purposes, "litigation" refers to the filing and prosecuting of a real estate-related lawsuit, or defense against one, in the Texas county civil courts at law or the civil district courts. 2000) (staying declaratory action because of motion to join insurer in state court liability suit). A motion for declaratory judgment is an appropriate vehicle for determining the validity of a prenuptial agreement. St. Paul had also appealed the original award to state district court, and that suit had also been settled, with a provision for payment of future expenses. . 2201, and further provides for a jury trial. 37.002 (b) (Vernon 2008); see Bonham State Bank, 907 S.W.2d at 467; Indian Beach Property Owners' Ass'n v. Fam. (b) A district court has original jurisdiction of a proceeding seeking a declaratory judgment that involves: (1) a party seeking declaratory relief that is a business that is: (A) organized under the laws of this state or is otherwise owned by a resident of this state; or, (B) a retailer registered with the comptroller under Section 151.106, Tax Code; and, (A) is an official of another state; and. Ins. 6#7a |mp}v"VY2I )1^Hl]TgxY8Ubs,! 9@Dyp*l8sA!N\X at 68. Under this rule, the insurers defense obligations are determined by the allegations of the pleadings and the language of the insurance policy, without regard to the actual facts. PRAC. App.Fort Worth 1998, no pet.) declaratory judgment: Statutory remedy for the determination of a Justiciable controversy where the plaintiff is in doubt as to his or her legal rights. As such, there should be no collateral estoppel of the insurer, based upon the outcome of the issue in the underlying case. As Texas law remains uncertain regarding reimbursement of defense costs, and as many insureds are not financially capable of repayment, the defense issue may be rendered moot either practically or legally by delay. 1271 (N.D. Tex. App. effectuate its general purpose to make uniform the law of those states that enact it and to harmonize, as far as possible, with federal laws and regulations on the subject of declaratory judgments and decrees. Corp., 817 F.Supp. Co. v. Gandy, 925 S.W.2d 696 (Tex. Suite 300 Typically, an anti-suit injunction is appropriate in limited instances: 1) to address a threat to the courts jurisdiction; 2) to prevent the evasion of important public policy; 3) to prevent a multiplicity of suits; or 4) to protect a party from vexatious or harassing litigation. App.San Antonio 1998, pet. endobj Coverage disputes under liability policies are well-suited for declaratory actions. App.Corpus Christi 2002, pet. One reason proffered is the possibility of inconsistent outcomes. 6 0 obj A binding adjudication of the rights and status of litigants even though no consequential relief is awarded. Rule 57, FED. Sept. 1, 1985. 7 0 obj History of Declaratory Judgments The history of declaratory judgments began in the U.S. in the early 1900s. *I`Sl,'dpC2\,AMia*K/[ -M @ICPgIw5 Y k]x?4 :D R*NuNK^CXdmS0I,-B Code, applied to breaches of an insurance agreement, this question was resolved by the Texas Supreme Court, on a certified question from the Fifth Circuit, in Grapevine Excavation, Inc. v. Maryland Lloyds, 35 S.W.3d 1 (Tex. The Federal Declaratory Judgment Act creates a remedy, not a basis for jurisdiction. The right to award costs and fees is discretionary, not mandatory. Co. v. 1993) (Colorado River factors inapplicable in declaratory judgment action); Granite State Ins. The existence of another adequate remedy does not preclude a declaratory judgment that is otherwise appropriate. App.Dallas 2001, pet. Since the duty to defend is based solely on the live pleadings, a declaratory judgment is arguably based only on the pleading in effect, and is not determinative as to any subsequent amended or supplemental pleading. <> may declare the rights. Civ. A declaratory judgment claim can be useful in a wide variety of circumstances. Code 37.002 (b). Under Texas substantive law, attorneys fees may be available to the insured if the insurer has breached its duty to defend or indemnify. App.Texarkana 1994, no writ) (possibility that liability triggering indemnity would be incurred was a feature hypothetical event, and court had no power to pass upon hypothetical or contingent situation); Fort Worth Lloyds v. Garza, 527 S.W.2d 195 (Tex. Tex. See, e.g., Ruth v. Imperial Ins. Civ. 1, eff. A party seeking to recover upon a claim, counterclaim, or cross-claim or to obtain a declaratory judgment may, at any time after the adverse party has appeared or answered, move with or without supporting affidavits for a summary judgment in his favor upon all . Under the Declaratory Judgment Act, district courts have discretion to determine whether to entertain an action. Nor can an insurer join the claimants and address the issues through interpleader. Const. denied, 511 U.S. 1032 (1994). App.San Antonio 1998, pet. Civ. denied); ANR Prod. Co. v. Griffin, 955 S.W.2d 81 (Tex. Concho counterclaimed for breach of contract and a declaratory judgment premised on the signed 2008 letter. The existence of another adequate remedy does not preclude a declaratory judgment that is otherwise appropriate. Id. (driver excluded); see also Tri-Coastal Contrs, Inc. v. Hartford Undwrs Ins. (a) A court of record within its jurisdiction has power to declare rights, status, and other legal relations whether or not further relief is or could be claimed. 2000). (2) the decisions of other courts interpreting Section 8, Article I, United States Constitution. 2001) (when lease obtained); Guaranty Natl Ins. Tuesday, February 28, 2023. <> 2005); In re Marriage of Byrne, 179 Ill.App.3d 944 (1st Dist. 1965, writ refd n.r.e.) While for years there was a question in the Federal courts as to whether 38.001, Tex. 189 0 obj <>stream 2023 Thompson, Coe, Cousins & Irons, LLP. App.Corpus Christi 1998), revd on other grounds, 995 S.W.2d 675 (Tex. Indemnity, on the other hand, is based on actual facts and should always be subject to extrinsic evidence. 1364 (N.D. Tex. & Liab. Clearly, the insurer should be entitled to discovery of anything that has been discovered in the underlying suit. 7531-7541. Co. v. Childress, 650 S.W.2d 770, 775-76 (Tex. 1992), cert. SUPPLEMENTAL RELIEF. %%EOF ("[B]ecause the trial court judgment rests upon the specific grounds set out in the findings of fact and conclusions of law that accompany the judgment, we are not permitted to assume omitted findings or conclusions necessary to any other grounds for the judgment, even . In addition to the county of the defendants residence or principal office, venue is generally deemed proper in the county where the liability suit is pending, or judgment is entered. 1969); see also Allstate Ins. (providing a "court . All Rights Reserved. A Texas court may also enjoin the litigants from moving forward on the same issues in any other jurisdiction. Ins. Co. of Texas v. Erskine, 169 S.W.2d 731 (Tex. See Employers Cas. If a proceeding under this chapter involves the determination of an issue of fact, the issue may be tried and determined in the same manner as issues of fact are tried and determined in other civil actions in the court in which the proceeding is pending. 1993) (whether accident arose from liquor liability); Acceptance Ins. Dallas, TX 75201 (a) A court of record within its jurisdiction has power to declare rights, status, and other legal relations whether or not further relief is or could be claimed. (a)For Claimant. 19821 DECLARATORY JUDGMENTS IN TEXAS their statutory law. See Scottsdale Ins. Further, while it is unlikely that an insurer wishes to proceed, without protective order, to establish evidence that demonstrates the insureds liability as the insurer has not yet prevailed on its coverage defenses it is also unclear under what standard the insured should be able to protect otherwise discoverable information, simply because it is damaging. Pursuant to this directive, OCA has prepared the following felony judgment forms and instructions for the forms:: Judgment of Acquittal by Court Judgment of Acquittal by Jury Judgment of Conviction by Court Judgment of Conviction by Jury Judgment of Conviction (Capital Murder-State seeks Death) 2002, no pet. DECLARATIONS RELATING TO TRUST OR ESTATE. . at 332. R. Civ. (on petition for mandamus, found claimant was not third party beneficiary and had no right to intervene in declaratory action). denied); State Farm Lloyds v. 1 Justice Smith was perhaps prescient in his dissent, concluding that a justiciable controversy existed. : `g`R@, w@T!A4Au~?8\m`g`v4oy@+./`N`p4#fb` w{X0=@ d$ If no facts within the scope of coverage are alleged, an insurer is not required to defend. See, e.g., Cook v. Ohio Cas. The Texas Legislature adopted the Uniform Act, with some slight variations, in 1943V. (A) A person interested under a deed, will, written contract, or other writings constituting a contract or whose rights, status, or other legal relations are affected by statute, municipal ordinance, contract, or franchise may have determined any question of construction or validity arising under the instrument, statute, ordinance, contract or franchise and obtain a declaration of rights, status, or other legal relations there under. Because the pleadings did not address a fact essential to determining coverage, the court allowed extrinsic evidence. App.Houston 1998, pet. Tex. xX]oF}G?SeW0W44q>EqU{s@N|Bt2&iw'PmH'4QH1_>{'Y7bLH dB4uX;iYtI7F7*L^F Co., 502 S.W.2d 232 (Tex. Declaratory Judgment These rules govern the procedure for obtaining a declaratory judgment under 28 U.S.C. This week our nation's highest court will decide whether to review the 6th Circuit's conclusion that a declaratory judgment of liability starts the statute of . DECLARATIONS RELATING TO LIABILITY FOR SALES AND USE TAXES OF ANOTHER STATE. endobj However, because family settlement agreements are treated as contracts under Texas law, it is important that all of the parties . Co. v. Gandy, 925 S.W.2d 696 (Tex. 37.003. CIV. Co. v. Patriot Sec., Inc., 926 F.Supp. Although efforts are occasionally made, it is inappropriate for the insurer to be joined as a defendant in a liability suit. A declaration does not prejudice the rights of a person not a party to the proceeding. The Federal act is broader in scope. (b) In any proceeding that involves the validity of a municipal ordinance or franchise, the municipality must be made a party and is entitled to be heard, and if the statute, ordinance, or franchise is alleged to be unconstitutional, the attorney general of the state must also be served with a copy of the proceeding and is entitled to be heard. Genl Agency v. Cooper, 952 S.W.2d 861 (Tex. SHORT TITLE, CONSTRUCTION, INTERPRETATION. Dept. ); State Farm Lloyds Ins. Id. Suite 1400 Many of our sample motions are here in electronic form. (prior judgment not res judicata as to amended pleading that alleged new facts, not involving completed operations); St. Paul Ins. v. Texas Air Control Bd., 852 S.W.2d 440, 446 (Tex. Ins. App. Allstate Ins. At issue was a declaratory judgment action over whether medical expenses were owed to an insured worker, under The Workers Compensation Act, where the expenses were incurred after settlement of the employees negligence suit against a third party. App.Houston [1st Dist.] Guar. Ohio Cas. Co. v. Blevins, 741 S.W.2d 604, 606 (Tex. Co. v. Sassin, 894 F.Supp. hb```c`` AX,$)00(IrZ Ny d3Vttt00 Declaratory Judgment Construing Will on Westlaw. App.Houston [1st Dist.] (a) In this section, "state" includes any political subdivision of that state. Still, there are often strategic benefits to filing early. Genl Ins. 955 S.W.2d at 84 (construing Tex. App.Fort Worth 1986, writ refd n.r.e.). A justiciable controversy may nonetheless exist where no other cause of action is available or has ripened. (whether policy was void or loss was covered presented justiciable controversy); American States Ins. See Bernard v. Gulf Ins. denied sub nom. A court may not, however, refuse to exercise jurisdiction on the basis of a whim or personal disinclination. See, e.g., St. Paul Ins. dismd, 507 U.S. 1026 (1993). But, because courts have recognized that, where a coverage issue exists, there is no privity between the insured and the insurer, there is an argument that an insurer should be allowed to litigate facts in a declaratory judgment, regardless of whether the facts are also being litigated in the underlying suit.