Dallas Court of Appeals Rules Again for DART Contractor in Dispute Against Architect

August 29, 2011 in Case Summaries

In a second appeal involving the same lawsuit, Jeff Levinger again successfully represented Martin K. Eby Construction Company in its negligent misrepresentation suit against LAN/STV, an architect and engineer that prepared faulty construction plans and drawings for an extension of the DART rail project.  Following the remand in the first appeal, Eby settled its administrative claim against DART for $4.7  million and proceeded to trial against LAN/STV.  The jury found that LAN/STV had committed negligent misrepresentations that caused Eby $5 million in damages, but the trial court reduced the award to $2,250,000 plus interest based on the jury’s additional finding that LAN/STV was 45% responsible.  On appeal, the Dallas Court of Appeals rejected LAN/STV’s arguments regarding the derivative governmental immunity statute, the economic loss doctrine, the evidence of negligent misrepresentations, and the effect of the DART settlement.  The Texas Supreme Court subsequently reversed, holding that the economic loss rule restricted Eby to a breach of contact claim against DART.  Martin K. Eby Construction Co. v. LAN/STV, 350 S.W. 3d 675 (Tex. App. — Dallas Aug. 29, 2011), rev’d, 435 S.W. 30 234(Tex.2014).

Courts: Supreme Court of Texas,  Texas Intermediate Appellate Courts
Subject Matter: Business Litigation, Procedural & Evidentiary Issues