Monday, July 10, 2017

Fraud: A Bridge Too Far

Originally published by David Coale.

bridgetoofarA fraudulent inducement claim, brought by a subcontractor against the project owner, turned on the sub’s evidence of the owner’s inteot not to perform at the time it entered into an agreement about payment. The Fifth Court reviewed the five pieces of cited evidence and concluded: “Except for . . . negotiat[ing] the discount and . . . emailing the template, the other actions by Riverdale occurred as many as eight months prior to November 2010. Regardless of the timing of the pre-agreement events, there is no ‘logical bridge’ between any of these occurrences and the conclusion Riverdale, at the time it made the agreement, did not intend to pay Dixie.” Residences at Riverdale LP v. Dixie Carpet Installations Inc., No. 05-15-01030-CV (July 7, 2017) (applying IKON Office Solutions v. Eifert, 125 S.W.3d 113, 131 (Tex. App.–Houston [14th Dist.] 2003, pet. denied).

Curated by Texas Bar Today. Follow us on Twitter @texasbartoday.

from Texas Bar Today
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