San Antonio Lawyer, March/April 2025

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In Memoriam

2024

Peggy Butler

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John E. Clark

Kenneth L. Clark Sr.

John Wesley Davidson

Jack Aaron Efron

Bill Fowler

Daniel Chris Graney

Lawrence Hamilton

Jerry V. Hernandez

Joel Harvey Klein

Robert W. Loree

Gregory Vincent Novak

Alexander Hamilton Oliver (“Olie”)

John Carmen “Jack” Pasqual III

Allen Lewin Plunkett

Stanley Schoenbaum

Charles “Chuck” William Scholz

Doris White Soares

John Carl Stromberger

Lewis Thomas Tarver, Jr.

Joseph Henry Vives

Alexandra “Allie” Porter Wahlig

9 In Memoriam 2024

16 The Texas Business Court, Part II: What Does it Hear? By the Hon. Stacy Sharp and Jordan Long

19 Understanding Immigration, Part III: Employment-Based Immigration By Rehan Alimohammad and Matthew Myers

25 Hip-Hop Observes Its Golden Anniversary: How a “Niche Movement” Influenced the Law and Changed the World, Part 3 By ileta! A. Sumner

Soledad Valenciano, Jeffrie Lewis, and Sabrina Salazar

BAR

7 The San Antonio Bar Foundation Welcomes the Elected Fellows Class of 2025 By SABA Staff

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“One

“Lots

“Works

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BOARD OF EDITORS

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Lauren Miller

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President

Patrica “Patty”

Rouse Vargas

President-Elect

Nick Guinn

Treasurer

Jaime Vasquez

Secretary

Emma Cano

Immediate Past President

Steve Chiscano

126 E. Nueva, 3rd Floor, San Antonio, Texas 78204 210.227.8822 | sabar.org

Directors (2023-2025)

Kacy Cigarroa

Melissa Morales Fletcher

Elizabeth “Liz” Provencio

Krishna Reddy

Directors (2024-2026)

Jorge Herrera

Abel Martinez

Cynthia Orr

Kristal Thomson

Executive Director

June Moynihan

State

Lawrence Morales,

Steve Chiscano

Association of

Christian Legal Society

Defense

Federal

Mexican-American

San

San

San

San

TEX-ABOTA, American

William

Keep an Eye on Your Heart!

At Death’s Door?

They say your life will flash before your eyes right before you die; but I saw visions of gallons of Ozarka water twenty years ago when heart disease crept into my life. Because my mom died from lung cancer at age 50, my entire life involved rigorous exercise—starting with ballet from age 3 and, by 2005, run/ walking 12-15 miles/week or swimming 3-4 miles per week. Even though I had experienced some shortness of breath prior to the onset of viral cardiomyopathy (a type of congestive heart failure [CHF]), I was horrified to wake up one early morn feeling like an anvil had landed on my chest and a five-gallon bottle of Ozarka had been poured over my body, saturating my mattress.

After driving myself to the Emergency Room a mere 5 miles away, and discovering that the equipment used to record one’s vitals will set off a siren if those stats are dangerously high, it was another 12 hours before I was able to speak with a doctor. I did not realize the gravity of my condition for almost a week.

Despite being in the cardiac care unit, and continuing to sweat profusely, after the initial anvil sensation, I really felt no pain. It wasn’t until I received an innocent call from a cousin, who’s a nurse, that the reality of my illness set in. After I had been hospitalized for 6 days, my cousin called, asking, “What is your e.f.?” I told her I had no clue what she was talking about, and she told me to ask a tech and call her back.

When I told her my “ejection fraction” was about 10, a slight hiccup in her voice betrayed a sentiment she was desperately trying to hide. Her inadvertent pause revealed the severity of my illness. My mistake was in presuming “ejection fraction” was measured on a scale of 1–10, instead of the scale of 1–100 actually used. I was on my way out and totally unaware!

Too Sick to Work but Not Disabled?

Two days later, I was transferred to Methodist Specialty and Transplant Hospital to the care of Dr. Michael Kwan, who still oversees my health 20 years and 3 defibrillators later. Dr. Kwan snatched me from the claws of

death, but he was not able to save my career. Therefore, about 6 months after contracting CHF—and being named 1 of Texas Monthly’s “Top 50 General Counsels”—my career came to a screeching halt because I had no energy to maintain employment. Even so, it took 3 years of appeals and a hearing, before the Social Security Administration (SSA) agreed with my cardiac specialists.

What the SSA was ignoring was that heart disease is the #1 killer of women, even women who exercise, eat properly, and are otherwise in good health. Thus, it is imperative that we women advocate for our own health, requesting annual heart checkups along with our yearly physicals.

The American Heart Association designates the first Friday in February as the day we all wear RED, in remembrance of those currently fighting heart disease, heart disease survivors like me, and those who succumbed to heart disease. So please take care of yourselves and your loved ones, and “Go Red for Women!”

The San Antonio Bar Foundation Welcomes the Elected Fellows Class of 2025

The San Antonio Bar Foundation (SABF) is pleased to welcome its 2025 class of twenty-one newly elected Fellows. Selection as a Foundation Fellow is by nomination only and reserved for members of the San Antonio Bar Association (SABA) who have demonstrated professional excellence, an exemplary reputation, and a commitment to

the legal community. Each year, no more than one-third of one percent of SABA members are selected, with final confirmation by the Foundation Board of Trustees.

Today, the Fellows Program has grown to more than 650 members, who volunteer their time and provide financial support to advance the Foundation’s mission.

Founded in 1984, SABF serves as the philanthropic arm of SABA. Through its Fellows, the Foundation supports civic education, access to justice initiatives, and the development of future legal leaders in San Antonio.

For more information about the Fellows Program, the Foundation, or SABA, please visit www.sabar.org.

Robert Augsburger Werner & Augsburger
John K. Boyce III Law Offices of John K. Boyce III
Judge Marylou Alvarez 45th District Court
Juanmarcos P. Banales Norton Rose Fulbright US LLP
Michelle R. Casillas Jefferson Bank Trust
Stephanie Dodge Bigley Davis & Santos, PLLC
William H. Ford Ford Murray Firm
Matthew Lane Crowell Elder Bray & Bankler PC
Peter Hosey Jackson Walker
Jonathan “JD” Pauerstein Rosenthal Pauerstein Sandoloski Agather, LLP
Anna K. MacFarlane Parker, Hudson, Rainer & Dobbs LLP
Brandy Peery Davis, Cedillo & Mendoza, Inc
Ryan C. Reed Pulman, LeFlore, Pullen & Reed, LLP
David Rivela CPS Energy
Baltazar R. Serna Jr. Serna & Serna, PLLC
Edward Snyder Edward C. Snyder Attorney at Law, LLC
William Sommers Langley & Banack, Inc
Taylor W. Harper Harper Law Firm
Abel Martinez H-E-B
Brandon T. Cook Gunn Lee & Cave PC
Reynaldo Diaz Reynaldo L. Diaz Jr PC

Thank

You to Our Annual Sponsors

The San Antonio Bar Association thanks our 2025 Annual Sponsors for their support and dedication to the legal community. Annual Sponsor enjoy year-round recognition, exclusive event visibility and valuable connections with San Antonio’s legal professionals. Your partnership makes a lasting impact!

In Memoriam 2024

John E. Bakke III died in January at the age of 85. Bakke was born in Wichita Falls. He received his undergraduate degree in 1963 from the State University of Iowa (now known as the University of Iowa). After graduation, he served in the United States Army as a medic. Following his military service, Bakke enrolled in St. Mary’s University School of Law. He graduated in 1972. Bakke was a fellow of the American College of Trust and Estate Counsel. He was a member of the Texas Cavaliers for fifty-four years and held leadership roles with the Hill Country Youth Ranch, the Boerne Area Foundation, and the America Cancer Society for the state of Texas.

Peggy Yvonne Butler died in July at the age of 75. Butler was born in Texarkana, Arkansas. She graduated from John Marshall High School. She attended San Antonio College and the University of Texas at Austin, receiving her undergraduate degree from UT. She was one of the first women to attend Texas Tech Law School and received her degree in 1974. Butler began her legal career as a Bexar County court administrator. She spent most of her law career with Texas Rio Grande Legal Aid (formerly, Bexar County Legal Aid), where she was a Domestic Violence/Family Law Team manager and attorney. She was the first recipient of the Belva Lockwood Outstanding Attorney Award from the Bexar County Women’s Bar Association. Butler was active in the local United Way and was a founding member and trainer for Child Advocates San Antonio (CASA).

John E. Clark died in February at the age of 90. Clark was born in Austin. He received his undergraduate degree in Business Administration from Lamar University in 1954. Following a two-year tour of duty with the United States Army in the Far East, and three years in private industry, Clark enrolled in the University of Texas School of Law. He graduated in 1961 and practiced in Austin until 1969. For the next two years, Clark worked in the Criminal Division of the Department of Justice in Washington, before returning to Texas in 1971. He served as First Assistant United States Attorney for the Western District of Texas before succeeding William Sessions as United States Attorney. He served until 1977. Following four years of private practice, Clark was appointed to the Texas Fourth Court of Appeals. After two years, Clark returned to private practice, joining Goode Casseb Jones Riklin Choate & Watson, P.C. Clark was the 2013 recipient of the Joe Frazier Brown Sr. Award of Excellence.

Peggy Butler

When I began my legal career at the then-Bexar County Legal Aid in 1994, Peggy Butler was already a legend-in-the-making. As she was known to be with her clients, Peggy was thoughtful and methodical, exhibiting a natural affinity for the law in a personable manner to this newbie attorney. Her smile will be missed in our courtrooms.

Silvia Cantú, a legal secretary for Texas Rio Grande Legal Aid for over thirty-five years recalled how Peggy had a sterling reputation for the compassion shown to family law clients that followed her throughout her career. What made her so remarkable was that—in addition to being an empathetic litigator—she showed great humanity as a mediator. Rosa Cabezas–Gil, a local attorney, told how Peggy purposefully kept her rates low so as to be affordable for low-income clients. “She would go so far as not to charge for additional time if the mediation would go longer than scheduled. For her, the success of a family law mediation hinged upon all parties feeling as though they had been heard, and if that took extra time, then so be it.”

Coworker and former President of the SABA Family Law Section, Richard Loza, remembers Peggy as not just a mentor to students and lawyers, but also as a source to many judges who sought her input on the Family Code before ruling. Peggy’s “dedication to seek[ing] justice for victims of domestic violence and low-income individuals impacted her community, and that will be part of Peggy’s legacy.”

John Clark

Judge John Clark was a longtime federal prosecutor, judge, and lawyer, dividing his time between private law practice and public service. John was destined to play a big role in bringing George Parr to justice for income tax evasion. He was the lead lawyer in the Grand Jury investigation of Parr, and the resulting indictments and successful trials and appeals. It was a massive undertaking which demanded exceptional legal talent. He received a special commendation from the Department of Justice for performance of duty in that investigation and prosecution.

John was also an accomplished author. He wrote The Fall of the Duke of Duval, the true, intriguing story (and regional best-seller). In the book, John recounted from a first-hand perspective the Parr investigations and trials, all leading to the final chapter on Parr’s South Texas political empire.

In 2013, John was honored by his colleagues and peers with the coveted Joe Frazier Brown, Sr. Award of Excellence. John consistently showed the attributes of a great lawyer, prosecutor, and judge-leadership, unselfish dedication to our profession, and loyalty. He demonstrated great courage and integrity in the courtroom, in the community, and in his personal life, all the while maintaining a sharp mind and keen sense of humor.

Kenneth L. Clark Sr. died in January at the age of 88. Clark was born in Vernon, Texas. He served in the Marine Corps during the Korean War. He later attended North Texas College, followed by the University of Texas Law School. He graduated at the top of his class in 1961. He began his legal career in Amarillo but ultimately came to San Antonio, where he worked with several personal injury defense firms. Following a brief retirement from private practice, Clark joined the litigation section of the San Antonio City Attorney’s office and became Deputy Chief of Litigation. Clark was Board Certified in Personal Injury Law and was past president of the San Antonio Chapter of the American Board of Trial Advocates.

John Wesley Davidson died in February at the age of 94. Davidson was born in Childress, Texas. He attended the University of Texas in Austin, graduating in 1954 with BA and LLB degrees and a commission in the United States Air Force Reserve. Following Judge Advocate’s School, Davidson served as a JAG officer at Sampson Air Force Base in New York. After leaving the military in 1960, Davidson became an assistant City Attorney in Dallas. Soon thereafter, he became the first full-time city attorney for Abilene. Davidson moved to San Antonio in 1964 and joined Sawtelle, Goode, Troilo and Leighton. He remained with that firm for the rest of his career. Davidson spent his seventy-year legal career practicing litigation, municipal, and public utility law. Among his many legal achievements were the acquisition of land in downtown Dallas for Griffin Parkway and One Main Place, the creation of an electrical system for Brownsville, and the creation of the San Antonio Water System through a merger of the city’s water and wastewater systems.

Jack Aaron Efron died in December at the age of 90. Efron was born and raised in San Antonio. He attended the University of Texas in Austin and St. Mary’s University School of Law. He practiced in San Antonio for fifty-five years. Efron was dedicated to the Jewish community and Congregation Agudas Achim. He served in many capacities, including congregation President and chairman of its annual Israeli Festival. Efron was a well-respected attorney and a true gentleman.

Bill Fowler died in January at the age of 93. Fowler was born in Perry, Oklahoma. He earned degrees from Southern Methodist University, the University of Texas, and Drake Law School. He held various positions outside of the practice of law, including professorships at Texas State University and Iowa State University. He practiced law in his retirement years, devoting his time to helping the disadvantaged.

Daniel Chris Graney died in July at the age of 75. Graney was born in Norfolk, Nebraska. He received his undergraduate degree in 1971 from Concordia Senior College (Ft. Wayne, Indiana). Following graduation, he enrolled in seminary in St. Louis. He received a Master’s in Divinity from Christ Seminary-Seminex in 1975 and was ordained a pastor in the Lutheran Church-Missouri Synod. In 1979, Graney was elected bishop of the Texas Province of the Southwest Regional Synod of Evangelical Lutheran Churches. Subsequently, Graney attended the Thurgood Marshall School of Law at Texas Southern University and graduated in 1987. Graney practiced primarily immigration law. Following his retirement in 1993, Graney became very active in San Antonio’s LGBT community and the Bexar County Democratic Party.

John Wesley Davidson

John Wesley Davidson, the first full time City Attorney for Abilene, died in San Antonio, Texas, on February 18, 2024. On February 25, 2024, the Abilene Reporter News announced:

John was hired in 1961 by Mayor Kinard's Council from the Dallas City Attorney's Office to establish the office of City Attorney and to handle complex legal challenges at the time, including twenty-three lawsuits filed by farmers seeking pollution damages from the City's sewer farm, rate cases against WTU, Southwestern Bell and Lonestar Gas, serious physical injury suits against the City, and the incorporation of Impact. On the light side were his battles with Abilene attorney, Beverley Tarplay, over what constituted prurient interests in Abilene stemming from a movie, “Not Tonight Henry.” His last contribution in office was the drafting of a modern home rule city charter.

With great reluctance to leave the many friends of his and his family in Abilene, John entered private law in San Antonio where he was Senior Chairman, Davidson Troilo Ream & Garza, P.C. at the time of his death.

Lawrence Hamilton died in January at the age of 92. Hamilton was a native of Lake City, Iowa. After high school, Hamilton enlisted in the United States Air Force. Following military service, Hamilton earned his undergraduate degree from North Texas State College in Denton. He received his law degree from St. Mary’s University School of Law.

Jerry V. Hernandez died in August at the age of 61. The San Antonio native was a graduate of South San Antonio High School. He received his undergraduate degree from the University of Texas at Austin and his law degree from California Western School of Law. He was a skilled and well-respected personal injury trial attorney with a passion for the New York Giants and the San Antonio Spurs.

Joel Harvey Klein died in March at the age of 80. Klein, a San Antonio native, was a graduate of Thomas Jefferson High School. He received both his undergraduate and law degrees from the University of Texas in Austin. Klein practiced commercial law and was an active member of the Commercial Law League of America. He was devoted to the Agudas Achim Synagogue and the Jewish community. Klein was passionate about wine and was a member of the San Antonio chapter of the Chaine Des Rotisseurs.

Robert W. Loree died in June at the age of 71. The New York City native received his undergraduate degree at the University of Maryland and his law degree from the University of Texas at Austin. Loree focused his practice on the representation of policyholders in disputes with carriers. Loree served many years as a member of SABA’s Publications Committee.

Gregory Vincent Novak died in December at the age of 63. Novak was born in Kansas City, Kansas, and raised in Corpus Christi. He received his undergraduate degree from Rice University, his law degree from Texas Tech University School of Law, and a master’s degree in business administration from Oxford University’s Said Business School. He was a founding member of the Houston-based intellectual property firm of Novak Druce Carroll LLP.

Alexander Hamilton Oliver (“Olie”) died in September at the age of 79. Oliver was born in Refugio and was the salutatorian of his graduating class at Refugio High School. He began his college studies at the College of William & Mary but, after his freshman year, transferred to the University of Texas at Austin. Oliver received both his undergraduate degree (Business Administration and Accounting) and law degree from UT-Austin.

John Carmen “Jack” Pasqual III died in November at the age of 93. Pasqual grew up in Presque Isle, Maine. He graduated from the University of New Hampshire in 1952. Service in the Air Force followed, and Pasqual was stationed at Lackland AFB. Upon leaving the service, Pasqual enrolled in St. Mary’s University School of Law, graduating in 1957. He then embarked on a highly successful fifty-four-year personal injury litigation career, including twenty-six years in partnership with Pat Maloney. Pasqual formed his own law firm in 1981.

Rob Loree

I had the privilege of spending twenty-five years working alongside Rob Loree, an unwavering advocate for insurance policyholders whose fighting spirit was nothing short of legendary. A formidable force in his profession, Rob possessed both a brilliant legal mind and fearless determination—qualities that not only served his clients but also led to meaningful changes in the law, benefiting policyholders. His contributions to the field of insurance law were profound, leaving a lasting impact that will continue to shape the profession for years to come.

Rob’s vast experience made him an irreplaceable source of knowledge and a trusted sounding board for colleagues and adversaries alike. Yet beyond his sharp legal mind, he was known for his kindhearted nature and unforgettable sense of humor. Whether practicing law in his signature Hawaiian shirts or regaling friends with his legendary jokes, stories, and trademark phrases, Rob had an extraordinary ability to bring joy and laughter to those around him. He made the practice of law both meaningful and enjoyable, and anyone who worked with him has a treasured Rob Loree story to share.

—Todd Lipscomb

Jack Pasqual

I was a partner for ten years with Presque Isle, Maine’s favorite son, Jack Pasqual. We lost Jack shortly after he celebrated his ninety-third birthday on August 18th. Jack made his way from Maine to San Antonio via the United States Air Force where, as he used to say, he fought the battle of Lackland.

While stationed at Lackland, Jack met and married a young lady from the Highlands neighborhood on San Antonio’s southside. So here he would stay. Upon discharge from the Air Force, Jack entered St. Mary’s Law School (at its original downtown campus, now the La Mansion Del Rio). Jack clerked and later practiced law with Pat Maloney, Sr. Well into middle age he could boast, and he did, that his only paychecks were from the United States Air Force and Pat Maloney.

Practicing law with Jack was an absolute pleasure. Jack was a great analytical thinker and a persuasive advocate. Jack had an apt, and often hilarious, bon mot for every situation, in and out of the courtroom. A voracious reader, at any given time Jack was juggling a half dozen books or so. The advent of the Kindle significantly lightened that load. His youngest daughter summed up her dad as “iconic.” I couldn’t agree more.

Allen Lewin Plunkett died in October at the age of 85. Plunkett was born and raised in Quanah, Texas. He was an Eagle Scout and member of the golf and debate teams in high school. Plunkett entered the University of Texas at Austin in 1960 and graduated in 1965, with both his undergraduate and law degrees. After graduation, Plunkett moved to San Antonio to work with the law firm of Wiley, Thornton and Plumb. Subsequently, he participated in founding Plunkett, Gibson & Allen. During his career, Plunkett served as President of the San Antonio Chapter of the American Board of Trial Advocates, Chairman of the Texas Association of Defense counsel, and was a Member of the American College of Trial Lawyers. Plunkett was a formidable advocate but is best remembered for his even temperament and commitment to the ethical practice of law.

Allen Lewin Plunkett

Allen Lewin Plunkett was born and raised in Quanah, Texas. He was a faithful servant of God, and loyal son and brother. After graduating from Quanah High School, he attended the University of Texas.

After graduating, he stayed in Austin and attended law school. There he met his lifelong friend and law partner Jerry Gibson. They moved to San Antonio and not long thereafter started the firm of Plunkett, Gibson & Allen. PGA soon became an icon of the legal community, growing to over forty lawyers. Among all of them, Lewin was always the most respected and revered. During that time, he became the first, and maybe only, attorney to get a defense verdict in the fabled Ford Pinto cases. If you needed an attorney that would give you ethical guidance in a bet-the-business situation, Lewin was your man.

His law practice would change over the years but one thing did not—you could always count on him being a steady and an honest leader that treated everyone that worked with him, no matter their position in the firm or station in life, with decency and respect.

Stanley Schoenbaum died in July at the age of 99. Schoenbaum received his law degree from the University of Virginia and was admitted to the Texas bar in 1958. He served in the United States Navy from 1943-1946. He worked in the Office of the Chief Counsel of the Internal Revenue Service from 1950-1958. He was a founding member and partner in the law firm of Schoenbaum, Curphy & Scanlan (1974-2014) and an adjunct professor at St. Mary’s University School of Law from 1958-1973. Schoenbaum was chair of the State Bar Tax Section in 1968 and received the Lifetime Leadership Award from the Planned Giving Counsel of San Antonio.

Charles “Chuck” William Scholz died in October at the age of 70. Scholz was born in Princeton, Indiana, but grew up in Illinois. He graduated from Stephen Decatur High School, where he was valedictorian and a national merit scholar. At 6’6” and over 275 pounds, he was an outstanding three-sport athlete and was Illinois State Champion in wrestling. Scholz received his undergraduate degree in 1971 from Michigan State University. He received his law degree, with honors, from the University of Texas School of Law in 1984. He practiced law in San Antonio and was board certified in Civil Trial Law.

Doris White Soares died in November at the age of 67. Soares was raised in San Antonio and was a 1974 graduate of Keystone School. She received her undergraduate degree in 1978 from Central State University in Wilberforce, Ohio, and her law degree in 1982 from Boston University School of Law. She had a thirty-year legal career in Massachusetts, working in the government sector. Soares returned to San Antonio in 2014 and became active in numerous community groups.

John Carl Stromberger died in December at the age of 84. Stromberger was born and raised in San Antonio and was a graduate of Thomas Jefferson High School. He received both his undergraduate and law degrees from the University of Texas at Austin. His professional career included the private practice of law and corporate counsel, escrow officer with Alamo Title and the Executive Director of Lifetime Recovery. He also completed military service in the Army JAG Corps.

Lewis Thomas Tarver, Jr. died in September at the age of 95. Tarver was born in Dallas and raised in Temple. He received both his undergraduate and law degrees from the University of Texas at Austin. Upon graduation, he went to work for the San Antonio firm of Matthews, Nowlin, McFarlane & Barrett. Over time, this San Antonio firm became part of Cox & Smith and, later, Dykema. Tarver practiced with the firm for more than fifty-five years. Tarver was an excellent real estate attorney, but—other than his wife Tinka—art was Tarver’s deepest passion. He was a founding member of Contemporary Art for San Antonio (a/k/a Blue Star) and was instrumental in the creation of the San Antonio Museum of Art. He was an artist himself and had his first solo show at the age of 83.

Joseph Henry Vives died in April at the age of 75. Vives was born in Caracas, Venezuela. His family moved to the United States (Alamo Heights) when he was eight. He was a 1967 graduate of Alamo Heights High School. He received his undergraduate degree from the University of Texas at Austin and his law degree from St. Mary’s University School of Law. Vives was a member of the Texas Cavaliers and the Order of the Alamo. He served as the Presiding Judge of the Alamo Heights Municipal Court for forty years.

Alexandra “Allie” Porter Wahlig died in July of this year at the age of 29 from complications related to labor. Wahlig was born in Webster, Texas, and was raised in San Antonio. She was a 2013 graduate of Antonian College Preparatory. She received her undergraduate degree in Bioengineering from Rice University (2017) and her law degree from the University of Texas School of Law (2020). She was a licensed patent attorney with Norton Rose Fulbright in Minnesota.

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Goranson Bain Ausley opens our newest office — in San Antonio.

Seven locations, 50 family lawyers. All committed to pursuing excellence.

By growing our footprint, Goranson Bain Ausley aims to make the family law experience better in every community we serve. Our client-first approach focuses on achieving resolutions that protect assets, preserve relationships, and provide exceptional value. From managing complex custody disputes to navigating challenging property divisions, GBA is well-equipped to guide clients through every step of their legal journey.

We welcome you to our San Antonio office, and our other locations, a testament to our growing presence and commitment to positively impacting the lives of families across Texas.

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178+ Ac. Comal Cnty. - 3BR/3BA main house, 2500+ s.f. 2nd home/office, workshop/equipment barn, outdoor cooking/entertaining area, ranch road system, Wildlife taxes.

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Judge Marialyn Barnard and Judge Stacy Sharp Photos by Mewborne Photography

This publication’s last volume described the launch of the Texas Business Court—a statewide, specialized court created by the legislature to adjudicate complex commercial disputes.

What types of disputes can be heard by the Business Court?

We are often asked what kinds of suits this new court will hear. The answer is found in a new chapter of the Texas Government Code, specifying that suits proceeding in the Business Court must involve either:

1. Transactional disputes: suits arising from any transaction, other than a bank loan;

2. Certain statutory violations: suits arising from violations of the Texas Finance Code or Business and Commerce Code by an entity or its leaders;

3. Corporate-affairs disputes: concerning an entity’s internal affairs or governing documents, certain disputes with its officers or members, derivative actions, or the Business Organizations Code. Tex. Gov’t Code § 25A.004. Additional claims in the same suit that fall outside of these categories can still proceed in the court with the parties’ consent—other than claims for medical and legal malpractice or personal injury, which are barred from business-court jurisdiction. Id. To satisfy the court’s jurisdictional requirements, most disputes must also satisfy a monetary threshold, shown on Figure 1. Id. Despite the narrow confines of its jurisdiction, the Business Court’s docket has continued to grow since the first installment of this series. Within six months of opening its doors, the court had received over eighty cases. While the pleadings in those suits often allege multiple jurisdictional grounds for proceeding in the Business Court, over half of the pending suits arrived at the court based on a dispute the party valued at least ten million dollars. The remainder of the suits concern some type of corporate-affairs dispute worth either five million dollars or involving a publicly traded company. See Figure 2.

What Does it Hear?

From left, top row: Judge Brian Stagner (Fort Worth), Judge Grant Dorfman (Houston), and Judge Patrick Sweeten (Austin); middle row: Judge Marialyn Barnard (San Antonio), Judge Andrea Bouressa (Dallas), and Judge William “Bill” Whitehill (Dallas). Bottom row: Judge Jerry Bullard (Fort Worth), Judge Stacy Sharp (San Antonio), Judge Melissa Andrews (Austin), and Judge Sofia Adrogué (Houston).

The industries involved in the pending cases generally mirror the makeup of Texas’s commercial landscape, with around a third of the cases involving the energy sector. The technology and construction industries are also prevalent players in the early Business Court cases. See Figure 3.

Which suits can end up in the Business Court?

The business and legal communities also often ask us whether the Business Court hears its own cases or cases transferred from other courts. The answer? Both—and more. There are three paths to the Business Court:

Original Filings

Upon initiating suit, a plaintiff can opt to file its petition in the Business Court instead of in a district court or county court at law. Tex. Gov’t Code § 25A.006(a). So far, the majority of the court’s cases are original filings. See Figure 4.

If a case is initiated in the Business Court, it will remain there unless the court determines the suit does not fit into one of the three subject-matter topics or monetary thresholds discussed above. If the court lacks jurisdiction, the plaintiff can choose to either transfer the suit into a trial court of general jurisdiction or can dismiss the suit without prejudice to refiling in another court. Tex. Gov’t Code § 25A.006(b); Tex. R. Civ. P. 354.

Removals

A party can also choose to remove a suit from the district court or the county court at law to the Business Court. Tex. Gov’t Code § 25A.006(d). Much like the removal procedure in the federal courts, the opposing party can then move to remand if it believes the Business Court lacks jurisdiction or that the suit has otherwise been improperly removed. Id.; Tex. R. Civ. P. 355.

Transfers

Any judge can also initiate transfer of a commercial case on his or her docket that is more appropriately heard in the Business Court. After notice to the parties, the administrative presiding judge for the region— in San Antonio, Judge Sid Harle—will decide whether transfer would facilitate the fair and efficient administration of justice. Tex. Gov’t Code § 25A.006(k); Tex. R. Civ. P. 356.

Figure 3
Figure 4

Early opinions on the scope of the Business Court’s authority

The Business Court is the first trial court in Texas’s state judicial system to be charged with issuing written opinions for certain decisions, such as dispositive rulings upon a party’s request and other rulings that are important to the state’s jurisprudence. See Tex. R. Civ. P. 360. The court has already begun discharging this duty. The court’s initial opinions largely concern its own authority to hear cases that commenced before September 1, 2024—the date specified in the statute’s enabling legislation in House Bill 19 during the 88th Legislative Session. The court’s early opinions all declined to exercise jurisdiction over cases that preceded that date. E.g., Synergy Glob. Outsourcing, LLC v. Hinduja Glob. Sols., Inc., 2024 Tex. Bus. 2, 2024 WL 5337412 (Oct. 31, 2024); Jorrie v. Charles, 2024 Tex. Bus. 4, 2024 WL 4796436 (Nov. 7, 2024). Several of those decisions are pending appeal. E.g., Synergy, 2024 WL 5337412, appeal docketed, No. 15-24-00127-CV (Tex. App.— 15th Nov. 12, 2024); Tema Oil & Gas Co. v. ETC Field Servs., LLC, 2024 Tex. Bus. 3, 2024 WL 4796433, appeal docketed, No. 15-2400124-CV (Tex. App.—15th Nov. 8, 2024).

One recent Business Court opinion illuminates the pleading standard for remanding a suit back into a court of general jurisdiction. In C Ten 31 LLC v. Tarbox, the court’s Third Division ruled that, where the removing party has pleaded the dispute satisfies the monetary threshold and the plaintiff’s petition does not plead otherwise, the party seeking remand bears the initial burden of proving the amount pleaded is fraudulent or that a lower amount is readily established. 2025 Tex. Bus. 1, 2025 WL 224542 (Jan. 3, 2025).

A Snapshot of the Court’s Docket

As expected, high-dollar and highcomplexity cases are finding their way into the court, and the court has begun hearing argument and disposing of cases, as seen in Figure 5. As of February 7, 2025, a snapshot of the court’s docket reveals some commonalities in the types of relationships between Business Court litigants. Most suits are buyer–seller disputes, involving some type of commercial conflict arising from a deal for goods or services. Also rising to the top are corporatemismanagement disputes, which generally involve accusations against an entity’s coowner or executive for poor governance or fiduciary breaches. See Figure 6.

This snapshot reveals that lawmakers’ vision for the scope of the Texas Business Court’s authority has come to early fruition

Case Status

Types of Disputes in Pending TX Business Court Cases

in the court’s first few months. The complex commercial litigation described in Chapter 25A of the Government Code is in full swing, and the lawyers in those suits are forging the path within this brand-new forum.

The Honorable Stacy Sharp has served on the Business Court of Texas, Fourth Division since her appointment on September 1, 2024. She joined the bench following years of private practice in trial and appellate litigation and has served on the faculty for University of Texas Law School since 2010.

Jordan Long is a staff attorney for Judge Stacy Sharp. Prior to joining the Business Court, Jordan clerked for the Hon. Jeffrey V. Brown on the U.S. District Court for the Southern District of Texas and was an associate at Norton Rose Fulbright.

Figure 5
Figure 6

UNDERSTANDING IMMIGRATION,

PART III

Employment-Based Immigration

United States companies often struggle to fill vacant positions across many industries and occupations, including but not limited to construction, hospitality, healthcare, and education.1 Thus, business immigration offers an opportunity to fill vacancies, which— despite popular belief and according to economic analysis—has the effect of boosting native employment ratios and wages, alongside alleviating domestic workforce shortfalls.2 Business immigration strategies are favorable to degreed professionals, but additional costeffective options may exist, depending upon the type of employer and nature of the job.

Given shortages across industries, turnover has also become a significant problem. Generally speaking, a noncitizen sponsored for employment by a United States company can only work in that position for the sponsoring company, unless another company is willing to go through the sponsorship process, so turnover rates may be generally lower for sponsored employees.

This article focuses on common work visa options and the corresponding Employer Compliance required to employ both United States citizens and noncitizens.

H-1B Specialty Occupation Visa

The H-1B Specialty Occupation visa is a temporary nonimmigrant visa for degreed professionals and international graduates to work in the United States. This visa category requires a job offer in a position which commonly requires a Bachelor’s degree or higher in a specific field, which is possessed by the prospective noncitizen employee.

A significant problem with this visa category for many private employers is that there is an annual Electronic Registration Process (or lottery) to be able to file H-1B

petitions for new H-1B beneficiaries. There are also “caps” or limitations on the numbers of new H-1B visas available annually: 65,000 visas for Bachelor’s degree positions, plus an additional 20,000 visas allocated to beneficiaries possessing a United States Master’s degree. Registrations may be submitted in the first few weeks of March, and lottery selections are announced at the end of March, allowing for H-1B petitions to be filed with United States Citizenship and Immigration Services (USCIS) from April 1–June 30, for an October 1 start date of H-1B status at the earliest. Subsequent lotteries may be conducted if an insufficient number of petitions are filed and approved.3

Certain universities, research institutions, and other organizations are “cap-exempt,” which means that their employees can readily obtain H-1B visas for qualifying candidates. “Lottery-exempt” petitioners include:

• Institutions of Higher Education (universities)

• Nonprofit Organizations or Entities related to, or affiliated with, an Institution of Higher Education

• Governmental Research Organizations

• Nonprofit Research Organizations

If approved, the H-1B status allows noncitizen employees to work in the United States for an initial period of three years. Thereafter, the visa can be extended for an additional three-year period (a combined total of six years), with the extension not being subject to the H-1B lottery. Extensions beyond six years are possible, depending on how far the candidate has proceeded in the residency (green card) process. Spouses and unmarried children (under the age of twentyone) of H-1B employees are eligible to travel and stay in the United States as dependents. H-1B visa holders who have already been

“counted against the cap,” having applied under the H-1B visa lottery within the past six years, also do not need to apply again under the lottery unless and until they use their six years of status. These employees can switch to another employer if the new employer files an H-1B petition, which would also be exempt from the lottery.

L-1 Intracompany Transfers

The L-1 visa is a nonimmigrant or temporary intracompany transfer visa available to persons coming to work in the United States for an employer related to a foreign company, which the applicant worked for before entering the United States. The L-1 visa is for applicants who have been employed abroad for one out of the last three years for a parent, affiliate, or subsidiary of a United States employer. Any time spent working in the United States, while on a different visa, will not count toward the one year of required employment, though time spent in the United States will not be considered to have disrupted the time of employment abroad.4

The L-1A nonimmigrant classification enables a United States employer to transfer an executive or manager from one of its affiliated foreign offices to one of its offices in the United States. The L-1B non-immigrant classification enables a United States employer to transfer a professional employee with specialized company knowledge relating to the organization’s interests from one of its affiliated foreign offices to one of its offices in the United States.

The EB-1C category is almost identical to the L-1A visa with a few differences. The EB-1C is an immigrant visa and is a step toward lawful permanent residence. Also, the EB-1C cannot be used for a new office where the United States entity has been established for less than a year.

An EB-1C beneficiary must also have served as a manager or executive abroad and will be employed in the United States as a manager or executive, whereas L-1A does not require that the beneficiary served as a manager or executive abroad, only in the United States.5

A challenge with this visa is that many of the terms and regulations that are used are very broad, which allows the individual immigration officer reviewing the case to have great discretion over whether a case is approved or denied.

The spouse and unmarried children (under the age of twenty-one) of the workers under the L-1A and the EB-1C categories are eligible to file for residency alongside them.

Trade NAFTA (TN) Visa for Canadian and Mexican Professionals

Due to Texas’s proximity to Mexico, a popular option for employers in Texas is to utilize visas available under the North American Free Trade Agreement (NAFTA), which was updated as the United States Mexico Canada Agreement (USMCA). This visa provides a set list of occupations which can be performed by qualified Canadian and Mexican professionals in the United States, following approval of an application for a Trade NAFTA (TN) nonimmigrant visa classification.6

The Qualifying Occupations include:

• General Occupations:  Accountant, Architect, Computer Systems Analyst, Disaster Relief Insurance Claims Adjuster, Economist, Engineer, Forester, Graphic Designer, Hotel Manager, Industrial Designer, Interior Designer, Land Surveyor, Landscape Architect, Lawyer, Librarian, Management Consultant, Mathematician, Statistician, Range Manager, Range Conversationalist, Post-Secondary Institutional Research Assistant, Scientific Technician, Scientific Technologist, Social Worker, Sylviculturist, Forestry Specialist, Technical Publications Writer, Urban Planner, Geographer, and Vocational Counsellor.

• Medical/Allied Professionals:  Dentist, Dietitian, Medical Laboratory Technologist, Medical Technologist, Nutritionist, Occupational Therapist, Pharmacist, Teaching Physician, Research Physician, Physiotherapist, Physical Therapist, Psychologist, Recreational Therapist, Registered Nurse, and Veterinarian.

• Scientists:  Agriculturist, Agronomist, Animal Breeder, Animal Scientist, Apiculturist, Astronomer, Biochemist, Biologist, Chemist, Dairy Scientist,

Entomologist, Epidemiologist, Geneticist, Geologist, Geochemist, Geophysicist, Oceanographer, Horticulturist, Meteorologist, Pharmacologist, Physicist, Plant Breeder, Poultry Scientist, Soil Scientist, and Zoologist.

• Teacher: College, Seminary, and University.

Generally speaking, qualified professionals in the above occupations must, at minimum, possess a Bachelor’s degree from a United States, Canadian, or Mexican educational institution in a relevant occupational field. A state/provincial license may be accepted as well. In certain limited cases, such as the occupations of Management Consultant and Scientific Technician/Technologist, an Associate’s degree and/or relevant experience may also be accepted for qualification. A Scientific Technician/Technologist must work under the direction of an engineer or scientist.

Although, practically speaking, it is generally recommended that the applicant obtain United States licensure to engage in the activity, the United States Department of State Foreign Affairs Manual explicitly makes clear that licensure is a post-entry requirement (that is, a TN application cannot be denied solely based on lack of United States licensure), except for Registered Nurses, which makes it an easier pathway for states like Texas, which may require work authorization or a Social Security number for the licensure process.7

A potential employee from Canada can take the documents to certain preclearance airports or ports of entry and receive the status, while those from Mexico are generally required to receive a visa from the consulate.

Spouses and unmarried children (under the age of twenty-one) of TN Visa holders are eligible to travel and stay in the United States as dependents.

PERM Labor Certification, Immigrant Petition, and Consular Immigrant Visa Processing or Adjustment of Status to Permanent Resident

Absent an exception or unique qualifications, the most common way for a United States company to sponsor a noncitizen for permanent residency based upon employment requires a PERM Labor Certification from the U.S. Department of Labor (DOL). The PERM Labor Certification is a formal test of the labor market to confirm that no willing, qualified, and available United States workers exist to fill the position, which currently takes about two years from start to finish. Although this seems like a difficult threshold, an experienced

business immigration attorney can guide the employer through the process.8

Once the DOL certifies the labor certification, an employer can file an immigrant petition on behalf of the candidate with fifteen business days’ premium processing (that is, extra fee). Depending upon the candidate’s immigration status at the time and country backlogs in green card or immigrant visa availability, the noncitizen can complete the process through a United States Embassy or Consulate in their home country or as an adjustment of status to permanent resident from within the United States, which often

takes about another year or two, except for nationals from India and China, depending on the education level required for the job. Countries such as India and China have backlogs due to the greater number of applications over the last few decades. There are per-country limitations and category limitations per year that backlog some countries more than others. Spouses and unmarried children (under the age of twenty-one) of applicants hereunder are eligible to file for green cards alongside them. Certain occupations, listed as Schedule A under the DOL regulations, are already

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designated as occupations with a shortage and can skip the labor certification and the two-year process. Thus, registered nurses and physical therapists, can take half as much time to complete the process. There are other categories that do not require an employer to petition for the worker, such as National Interest Waiver cases and Extraordinary Ability Cases. These require meeting certain factors and allow one to skip the labor certification process since these candidates are deemed to be exceptionally abled, and their presence would be in the national interest of the United States.

Other Temporary Nonimmigrant Visas

In addition to H-1B and TN, there exists an “alphabet soup” of visa types with letters and numbers associated with the section of the Immigration & Nationality Law Act and Code of Federal Regulations for each type of approved activity.

A recent public discussion about the H-1B visa category resulted in President Trump stating that his properties such as Mar-a-Lago use H-1B visas, but it is more likely that he was referring to the H-2B Temporary Non-Agricultural Worker Visa, which is for seasonal workers commonly in hospitality and other industries for which a season can be demonstrated. The drawback with this category is that there are significant compliance requirements and limited numbers of these types of visas are available annually. The other H-2 visa—the H-2A Temporary Agricultural Worker Visa—is heavily used for purposes of sponsoring seasonal farm workers.

Many entrepreneurs in the United States come from countries with a special treaty that allows for the opening of an import/ export international trade office (E-1 Treaty Trader visa) or the startup or purchase of a business (E-2 Treaty Investor visa), which has a job creation component. Where a treaty does not exist, the L-1 Intracompany Transferee visa category is available for United States expansions of existing international companies.

Other less commonly considered temporary nonimmigrant visas include O-1 Extraordinary Ability and various types of P visas for professional athletes and other arts and performances. In the discussion of immigration, many people may forget about Luka Doncic, Victor Wembanyama, Hakeem Olajuwon, Dirk Nowitzki, Manu Ginobili, Tony Parker, etc.

It is important to keep in mind that these are temporary visas, generally approved in increments of one to five years, and they do not—by themselves—create a pathway to permanent residency to remain indefinitely in the United States. Each type of temporary nonimmigrant visa requires that the individual maintain the activity and compliance, in order to remain in the United States. There are separate legal classifications and categories to pursue permanent residency.

Employment Authorization Documents

There are many different categories that allow the applicant to file for an employment authorization document (“EAD”) or work permit. A work permit is not the same as a visa and is not a designation of legal status. These categories include Deferred Action for Childhood Arrivals—DACA, Occupational Practical Training—OPT, Temporary Protected Status—TPS, asylum, humanitarian parole, H-4, etc. These work permits are often inaccurate as to expiration dates since they can currently be automatically extended beyond their expiration

for up to 540 days, depending on required action by the applicant. Many of these programs that grant EADs are potentially going to be targeted by the current administration.

Form I-9 and Employer Compliance

During the interview process for any candidate, it is important that the employer avoid national—origin-based discrimination claims by limiting questions about a candidate’s immigration status to: “Will you now or in the future require sponsorship for work authorization?” If the answer is yes, then employers should consult with a business immigration attorney about the available options for sponsorship.

For all United States employees, including United States citizens, permanent residents, and noncitizens, employers are required to verify the identity and work authorization of their employees with the Form I-9. Employees are required to complete Section 1 on or before the first day of employment, and employers are required to verify employment eligibility with List A or List B and C documents, at the

employee’s choice, on or before the third day of employment.

Worksite Audits and Raids

Under the current Trump Administration, it is likely that there will be more worksite audits in the coming years. The previous Trump Administration’s goal was to conduct around 6,000 audits per month, and this Administration is promising a return to the worksite raids—after President Biden largely put a stop to such enforcement tactics— and will also likely focus on compliance of electronic I-9 systems.

The administration will presumably target L and H-1B employers for audits, as President Trump has stated during his first term that he believes both of these classifications to be “wrought with fraud.” However, he recently said he “likes” the H-1B visa which is supported by many large employers, including Elon Musk. The push and pull factors of immigrant labor have been a cornerstone of American economics, and that is not going to change, despite a proposed mass deportation plan of all immigrants in the United States.

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ENDNOTES

1American Immigration Council, The H-1B Visa Program and Its Impact on the U.S. Economy (2025), https://www.americanimmigrationcouncil.org/research/h1b-visa-program-fact-sheet

2Alessandro Caiumi and Giovanni Peri, Immigration’s effect on US Wages and Employment Redux, National Bureau of Economic Research, 48 (2024), https:// www.nber.org/system/files/working_papers/w32389/ w32389.pdf

3U.S. Customs & Immigration Servs., H-1B Cap Season (2025), https://www.uscis.gov/working-inthe-united-states/temporary-workers/h-1b-specialtyoccupations/h-1b-cap-season

4U.S. Customs & Immigration Servs., L-1A Intracompany Transferee Executive or Manager (2024), https://www.uscis.gov/working-in-the-united-states/ temporary-workers/l-1a-intracompany-transfereeexecutive-or-manager

5U.S. Customs & Immigration Servs., EmploymentBased Immigration: First Preference EB-1 (2025), https://www.uscis.gov/working-in-the-united-states/ permanent-workers/employment-based-immigrationfirst-preference-eb-1

6U.S. Customs & Immigration Servs., TN NAFTA Professionals (2021), https://www.uscis.gov/workingin-the-united-states/temporary-workers/tn-naftaprofessionals

7U.S. Dep’t of State, Foreign Affairs Manual, 9 FAM 402.17-4(B) (2021), https://fam. state.gov/fam/09FAM/09FAM040217. html#:~:text=%2D06%2D2021)-,a.,practice%20 in%20the%20United%20States.

8U.S. Customs & Immigration Servs., Chapter 6Permanent Labor Certification (2025),< https://www. uscis.gov/policy-manual/volume-6-part-e-chapter-6.

Hip-Hop Observes its Golden Anniversary

HOW A “NICHE MOVEMENT” INFLUENCED THE LAW AND CHANGED THE WORLD
Part 3: Additional Legal Issues and Hip-Hop’s Influence on the Nation and the World

Part I of this Series discussed the origins and development of Hip-Hop. Part II discussed some of the copyright concerns that Hip-Hop generated. This Part III discusses some additional legal issues arising from HipHop, and Hip-Hop’s influence on the nation and the world.

The Parental Advisory Label

Before 1985, a youngster could purchase any album she desired without any legal restriction. However, that all changed once Mary Elizabeth “Tipper” Gore, the then-wife of former Senator (and later Vice President) Al Gore, purchased the Academy-Award-winning soundtrack “Purple Rain,” by Prince, for her ten-year-old daughter. Tipper was supposedly shocked upon learning from her daughter that the album had a track, “Darling Nikki,” which contained an explicit description of a lady engaged in sexual activity. It is intriguing that Tipper would be surprised about such lyrics, given that the soundtrack was from an R rated movie (that some reviewers had described as being “sometimes raunchy”) by the artist Prince, whose previously released hits included “I Want to Be Your Lover” (1979); “Controversy” (1981), which asked, “Am I straight or am I gay?”; and “Little Red Corvette” (1983), with its barely veiled allusions to the sex act.

Anyway, Tipper became so enraged that she had not been tipped about the sexual subject matter discussed on the album that she and a group of friends, including the wives of other influential Washington men (such as the wife of then-Secretary of Treasury James Baker III), formed the Parents Music Resource Center (PMRC). Initially underwritten by a $5,000 donation from Beach Boy Mike Love, the PMRC sought to create a rating system, not unlike that of the Motion Picture Association of America (MPAA), which had rated every movie

released in the United States since 1968. Instead of being rated G–X (now NC-17) like movies are rated, during Congressional hearings, PMRC proposed that albums with objectionable content be labeled as follows: (1) X for “profane or sexually explicit” lyrics; (2) V for violence; (3) D/A for drug or alcohol references; and (4) O for “occult” content.

In order to bolster their argument for what they declared was not censorship—but rather the dissemination of information to parents about the types of music available to their children—the PMRC submitted the “Filthy Fifteen,” fifteen songs—including “Darling Nikki” of course—that described situations that the PMRC deemed too scandalous for the ears of minors without making their parents aware. At a five-hour hearing involving singers and representatives from the music production industry, it was clean-cut John Denver who made the most compelling argument for self-governance of any type of content warning, when his hit “Rocky Mountain High” had been misconstrued as an endorsement for drugs.

After years of negotiations, the Recording Industry Association of America (RIAA) compromised by agreeing to voluntarily put an “Explicit Lyrics – Parental Advisory” label on the bottom right corner of physical releases. By 1990—when the first album to carry the label “Banned in the USA” by the hip-hop group 2 Live Crew was released— the label had been revised to read “Parental Advisory: Explicit Lyrics.” Like 2 Live Crew, every hip-hop act that indulged in language decided to be profane—an intrinsic part of the majority of “gangsta rap” albums, a genre that proliferated the music from performers initially from the South Central Los Angeles/Compton areas of California—either had to have this label emblazoned on their work or have the lyrics accessible on the back of the record or CD. Eventually, the label transitioned into the ubiquitous “Parental Advisory: Explicit Content” warning that

became embedded into the very artwork of the artist’s release. Consequentially, that forced some producers to release “clean versions,” in which explicit lyrics were “beeped,” edited, or blanked, so as to appease “family friendly” outlets such as Wal-Mart and its affiliates— Sam’s Club and Walmart.com—that refused to carry any music that had been so labeled. Mind you, no definition of “explicit” was ever given.

Even so, the warning label did little to hinder sales of “gansta rap” music. In fact, it

may have contributed to making it even more popular by giving it an aura of “mystique.” What had been called “taboo” piqued the interest of kids, making millionaires out of hip-hop artists and sending the sales of their music to platinum status (1 million units sold) and above. Moreover, in the digital era, even though iTunes has “Explicit” in bright red letters carved into the metadata of such material, any child with a WiFi connection (and whose parents have failed to use parental

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controls on their devices), can stream this material unencumbered, and download it as well. Thus, while Tipper and the PMRC won the battle of getting “obscene” material labeled, they did not win the war against the expansion of the sale of so-called “indecent” material to minors. In fact, they may have accomplished just the opposite.

The RAP Act

Between 2020 and 2022, prosecutors in over 500 trials of hip-hop artists used the lyrics of their songs against them as evidence of their having committed the actual criminal offenses described therein. First introduced in the United States Congress in 2022, the Restoring Artistic Protection Act (RAP Act) was reintroduced by its original presenters—Rep. Hank Johnson (D-GA) and Jamaal Bowman (D-NY)—in April 2023. The purpose of the act is to change the Federal Rules of Evidence by the addition of a “presumption that would limit the admissibility of evidence of” a defendant’s “creative or artistic expression against” the defendant “in court.”

The assumption that a hip-hop artist’s lyrics are literal is something that seems unique to this particular genre. Prosecutors defend the practice since, as they claim, the lyrics are an “overt act in furtherance of a conspiracy.” Nevertheless, as a press release announcing the RAP Act mentioned, in the case of Bey – Cousin v. Powell, 570 F. Supp. 3d. 251 (E.D. Pa. 2021), the court proclaimed that Freddie Mercury had not confessed to “having just killed a man” by putting a “gun against his head” and “pull[ing] the trigger” in “Bohemian Rhapsody” (1975) by Queen. Neither had Bob Marley admitted to having just “shot a sheriff” in “I Shot the Sheriff” (1973). Likewise, no one accused Johnny Cash of “shooting a man in Reno, just to watch him die,” in “Folsom Prison Blues” (1968). Why then are hip-hop artists held to such an amazingly different standard?

This question took on immediacy in the trial of Jeffery Lamar Williams (a/k/a Young Thug) in Georgia. Although rap lyrics have been used for decades against hip-hop defendants, in the case of Young Thug, their inclusion in the indictment of the Grammy Award-winning artist brought this practice to the attention of the nation, and ignited a cause within the music industry to “Protect Black Art.” Somewhat surprisingly, the RAP Act is getting bipartisan support. Furthermore, Louisiana and Missouri have already passed similar legislation, which was introduced by Republicans. Though California was the first state to pass such a law in 2022, Illinois,

Missouri, New Jersey, and New York all have legislation currently pending. In discussing the urgency of this legislation, Rep. Bowman has explained that when rap lyrics are brought before juries as evidence in criminal trials, those juries tend to believe the lyrics to be confessions, whereas the lyrics for other genres of music are understood to be expressions of art.

A point made by Rep. Maxine Waters (DCA)(representative of the South Central Los Angeles District from which a lot of gansta rappers who have faced criminal trials hail) is critical in understanding why it is crucial to acknowledge the rights of the speakers to make their declarations:

It would be a foolhardy mistake to single out poets as the cause of America’s problems. These are our children and they’ve invented a new art form to describe their pains, fears, and frustrations with us adults. Just because we don’t like the symbols they use or [the words they choose, we], shouldn’t allow that to embark on a course of censorship.

Influence of Hip-Hop on the Nation and the World

From a back-to-school party in the Bronx, hip-hop has grown to become the best-selling musical genre, even surpassing the impact that rock and roll made on the world. In 1982, MTV—at one time described by Mark Anthony Neal, Professor of African and American Studies at Duke University, as “arguably the best example of cultural apartheid in the U.S.” because of its dearth of Black videos when the network began— discovered that once it opened its doors to Black videos (by playing Michael Jackson’s “Billy Jean”) there was indeed an audience for Black video music. Therefore, imagine the surprise of the powers behind MTV when hip-hop legends Run-DMC and rock gods Aerosmith literally blew the walls down with their mash-up rendition of the latter’s “Walk This Way” in 1986! Not long thereafter, in 1988, the station started “Yo! MTV Raps!” and it quickly became the most watched show on the network, introducing hip-hop to its primarily white audience. Its success convinced MTV to export the show overseas, thereby launching what had begun as a “niche movement” into a global phenomenon.

Besides showing up on the televisions around the world, hip-hop made the leap to legitimate theater. It hit the stages of Broadway in the ground-breaking, Pulitzer Prize-winning musical Hamilton in 2015. Audiences were

captivated by the unique linguistic styling of Lin Manuel-Miranda’s “rap opera” about the founding father, and crowds were mesmerized around the world. In addition, hip-hop acts thrilled audiences on the Super Bowl stage in 2022 with Dr. Dre, Snoop Dogg, Mary J. Blige, 50 cent, and Academy Award winner Eminem (acclaimed for his autobiographical hip-hop tune “Lose Yourself” in 2002), along with Pulitzer Prize winner Kendrick Lamar (though he was honored for his album DAMN, he had previously released “Alright,” which became an anthem for the Black Lives Matter movement).

While the leap of hip-hop to stages outside of concert arenas was new, its impact on fashion was old hat. Not only did performers namecheck fashion designers in their songs, soon the clothes the artists wore appeared on the backs of long-legged models as they strutted Tommy Hilfiger’s hip-hop-inspired threads down the runways during fashion week. Baggy pants with hints of their underwear peeking out, and bold colors, became the uniform for fashion plates. It did not take long for other designers to follow suit. Fashion did not just imitate street life: Hip-hop artists opened their own fashion houses. Soon, everyday folks could dress like hip-hop stars for a reasonable price.

To show how mainstream hip-hop has become, one need look no further than their flat screen TV. The “Tonight Show”—an NBC network staple for over sixty years—is

no longer anchored by Doc Severinsen and his band, but by Academy-Award-winning hip-hop artist Ahmir “Questlove” Thompson (with his ever-present afro pick protruding from his ‘fro) and his group, The Roots, who have been its house band for the last ten years, ever since Jimmy Fallon took over Jay Leno’s chair as host. Yet, it is not just television programming that has accepted hip-hop into the fold. Family department stores like Target use artists like the queer, dynamic tour de force Janelle Monáe to help sell its products to the American public. Likewise, Cover Girl has signed Ms. Monáe, as well as hip-hop stars Queen Latifah and Rhianna, to be the face of its makeup line, much like Christy Brinkley and Cindy Crawford were back in the 1980’s and '90’s.

Still, while hip-hop has broken into the international marketing game, it made its debut in the biggest game of all: this summer, at the 2024 Paris Olympics, break dancers were in contention for gold medals for the first time. The dancing sport was part of the 2018 Summer Youth Olympic Games in Buenos Aires and—with over 2.5 million social media views—was so well received that it was made part of the regular Olympics relatively quickly. Although the American team had just one competitor from the Bronx, the international teams are thriving.

Like rock before it, hip-hop was started by young Black artists; not long afterwards,

though, it found crossover appeal in a young, white, primarily male population. It was the voice of the disenfranchised, the misunderstood, the angry, and the struggling, all set over a groove that could make the listeners want to move. Also like rock, there was a party aspect to it as well, which just made it that much more appealing. It gave a platform to those who did not have one before, and made many of them rich. While a sector of it was off-putting to some audiences, just as some rock was before it, hip-hop has persevered for fifty years, a fact that would have shocked some spectators who—fifty years ago—watched kids spinning like whirling dervishes on their heads! But because of its basis in truth, hip-hop has found a devoted audience that now qualifies for AARP.

Accordingly, if artists can work out ways to get licenses for previously recorded music so that they can continue to use samples to make fantastic works that will be amenable to the courts, and the courts can discontinue the practice of using the lyrics of the music against various artists when they do end up in court, there is no reason why the public will not be able to enjoy hip-hop for another fifty years—even with a big red “EXPLICIT” warning embedded with every single download.

ileta! A. Sumner, Esq. is a former President of the Bexar County Women’s Bar Association (2002) and the original General Counsel and creator of the legal department of the Battered Women’s and Children Shelter. She has been disabled since 2006. She can be reached at (210) 421-2877 (cell), litig7rij@aol.com.

SELECTED BIBLIOGRAPHY

Jonathan Abrams, “Breakers Grapple with Hip-Hop’s Big Olympic Moment,” New York Times, October 10, 2023, https://www.nytimes. com/2023/10/10/arts/dance/olympics-breakingdance.html.

Tom Cole, “You Ask, We Answer: ‘Parental Advisory’ Labels – The Criteria and the History,” npr, October 29, 2010, 10:30 a.m. EDT, https://www.npr.org/sections/therecord/2010/10/29/130905176/you-ask-we-answer-parental-advisory---why-when-how.

Shirley Halperin, Ethan Stanfeld, “RAP Act Introduced in Congress Would Bar the Use of Lyrics as Evidence in Court Proceedings,” VARIETY,

July 27, 2022, 4:09 p.m. PT, https://variety. com/2022/music/news/rap-lyrics-crimimal-evidence-congress-bill-legislation-1235327683/.

Chuck Philips, “Rap Finds a Supporter in Rep. Maxine Waters: Pop music: The congresswoman aligns herself with ‘our children’ and defends their ‘new art form,’ Los Angeles Times, February 15, 1994, 12 AM” PT, https://www.latimes.com/archives/la-xpm-1994-02-15-ca-23195-story.html.

Debra Allen, “Michael Jackson broke down racial barriers,” “CNN,” https://www.cnn.com/2009/ SHOWBIZ/Music/06/28/michael.jackson.black. community/.

Charlize Frazier, “CoverGirls: All the Beautiful Black Women Who Made the Brand Iconic,” HelloBeautiful, September 12, 2017, https:// hellobeautiful.com/playlist/black-women-whoposed-for-covergirl/item/4.

“Top Gear: The oral history of hip-hop’s love affair with Tommy Hilfiger,” COMPLEX, August 22, 2016, https://www.complex.com/style/a/complex/tommy-hilfiger-hiphop-oral-history.

Isaac Sample, “What was the first album to have a parental advisory sticker?” Hip Hop Hero –OLD SCHOOL ARCHIVES, Tuesday 27 September 2022, 1600 BST, https://hiphophero. com/what-was-the-first-album-to-have-a-parental-advisory-sticker/.

Ashlee Banks, “Reps Johnson and Bowman re-introduce RAP Act to protect rappers in the courtroom,” The Grio, April 28, 2023, https://thegrio. com/2023/04/28/reps-johnson-bowman-rap-actcongress/.

Deena Zaru, “As Young Thug awaits trial, the push to limit the use of rap lyrics in court gains bipartisan support,” abcNEWS, May 6, 2023, 5:01 AM, https://abcnews.go.com/US/young-thug-awaitstrial-push-limit-rap-lyrics/story?id=99073855.

Texas Eminent Domain Attorneys

Judicial and Quasi-Judicial Proceedings Privilege

Over the last few years, the Fourth Court has had several occasions to consider the absolute privilege for communications made in the due course of judicial proceedings. In its simplest application, this “judicial proceedings privilege” protects any statement made by a judge, juror, counsel, party, or witness and attaches to all aspects of judicial proceedings, including statements made in open court, pretrial hearings, depositions, affidavits, and any pleadings and papers in the case. See Landry’s, Inc. v. Animal Legal Def. Fund, 631 S.W.3d 40, 46 (Tex. 2021). For example, in Strickland v. iHeartMedia, Inc., 665 S.W.3d 739, 742 (Tex. App.—San Antonio 2023, pet. denied), we affirmed the dismissal of a plaintiff’s defamation claim based on a statement made in the defendants’ original answer in a separate lawsuit. This statement fell squarely within the judicial proceedings privilege.

The privilege also can extend to the right of parties and counsel “to communicate with a quasi-judicial body touching the matters under its consideration.” Landry’s, 631 S.W.3d at 4647 (citation and brackets omitted). “Quasijudicial” proceedings, include “proceedings before executive officers, and boards and commissions that exercise quasi-judicial powers.” Reagan v. Guardian Life Ins. Co., 166 S.W.2d 909, 912 (1942). In Parker v. Holbrook, 647 S.W.2d 692 (Tex. App.—Houston [1st Dist.] 1982, writ ref’d n.r.e.), the First Court of Appeals surveyed decisions and commentary and listed six powers as comprising the judicial function that would be indicative of whether a body was acting in a quasi-judicial—as opposed to merely an administrative— capacity:

1) the power to exercise judgment and discretion; 2) the power to hear and determine or to ascertain facts and decide; 3) the power to make binding orders and judgments; 4) the power to affect the personal or property rights of private persons; 5) the power to examine witnesses, to compel the attendance of witnesses, and to hear the litigation of issues on a hearing; and 6) the power to enforce decisions or impose penalties.

Id. at 695. The Fourth Court has adopted this sixfactor test. In Doe v. Cruz, we held, after applying the test, that a school board was not acting in a quasi-judicial capacity when it received an email alleging improprieties committed by its general counsel. 683 S.W.3d 475, 496 (Tex. App.— San Antonio 2023, no pet.). Therefore, we held the allegedly defamatory statements in the email were not protected by the quasi-judicial proceedings privilege. Id.

Although the quasi-judicial proceedings privilege has been firmly established in Texas law for over eighty years, novel situations continue to arise. See Reagan, 166 S.W.2d at 912. Last year, in Consultants in Pain Medicine, PLLC v. Ellen Boyle Duncan, PLLC, 690 S.W.3d 739 (Tex. App.—San Antonio 2024, pet. denied), we addressed whether a letter alleging Medicare fraud sent to a Medicare contractor was privileged. To determine the matter, we assessed the contractor’s role in the Medicare accountability scheme. Statutes, regulations, and manuals provided that the contractor’s role was to determine whether overpayments had been made to providers. If an overpayment was discovered, the contractor informed another contractor, which then issued a demand letter and sought recoupment. If a provider was dissatisfied with an overpayment determination, it could pursue a four-step administrative appeal and then raise the matter in federal court. We held that, under this scheme, the contractor that received the letter alleging Medicare fraud was not acting

in a quasi-judicial capacity because it was not the final arbiter on any matter and had few of the six enumerated judicial powers; instead, it played a limited investigatory and advisory role. Id. at 763. Therefore, allegedly defamatory statements in the letter were not protected by the quasi-judicial proceedings privilege. Id.

While the Texas Supreme Court has not addressed the scope of the quasi-judicial proceedings privilege in recent years, the Fourth Court has had the opportunity to address the matter twice in just the past two years.

Chief Justice Rebeca C. Martinez has served on the Fourth Court of Appeals since January 2013, and as Chief Justice since January 2021. Chief Justice Martinez previously served for U.S. Magistrate Judge Eduardo E. de Ases for the Western District of Texas, for Justice Federico Hinojosa on the Thirteenth Court of Appeals, and practiced trial law for over twenty years.

Jack Salmon has served as Staff Attorney to Chief Justice Martinez since April 2019, and as Chief Staff Attorney since July 2021. Previously, he served as Law Clerk to Judge Xavier Rodriguez and Judge Orlando L. Garcia for the Western District of Texas and practiced civil rights law.

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Western District of Texas Court Summaries

If you are aware of a Western District of Texas order that you believe would be of interest to the local bar and should be summarized in this column, please contact Soledad Valenciano (svalenciano@svtxlaw.com, 210-787-4654) with the style and cause number of the case, and the entry date and docket number of the order.

Rule 30; New Evidence; Second Deposition

Rodriguez v. State Farm Lloyds, NO. SA21-CV-508-OLG (Garcia, O., November 14, 2024)

In support of a summary judgment motion on the applicability of a policy exclusion, the defendant erroneously attached the wrong insurance policy to the motion, and as such, the motion was denied. The following day, the court vacated the remaining pretrial deadlines and trial setting and ordered the defendant to file a correct, complete, and verified copy of the policy and ordered the parties to file a joint advisory stating, among other things, whether additional discovery was necessary. In the advisory, the plaintiff asserted for the first time that he intended to testify he does not recall signing the exclusion. The court provided thirty days for the parties to conduct limited discovery on issues raised in the advisory. When the defendant noticed the plaintiff’s deposition, the plaintiff filed a motion to quash under FRCP 30, stating that a “party must obtain leave of court” if the individual to be deposed has already been deposed in the case. The court denied the motion to quash, holding that by reopening discovery, it necessarily authorized a second deposition of the plaintiff because, without a second deposition, it would be impossible to credibly examine the plaintiff’s new statement that he does not recall signing the exclusion. Under Rule 30, “the court must grant leave to the extent consistent with FRCP 26(b)(1) and (2)” considering the relevance and proportionality of the discovery sought and whether (1) the discovery sought is unreasonably cumulative or duplicative and (2) the party seeking discovery has had ample opportunity to obtain the information by discovery in the action. In general, courts allow

“parties to reopen depositions when new information comes to light that creates the need for further questioning.”

Venue; Rule 12(b)(3) Motion

Capitol Specialty Ins. Co. v. TGG Mgmt. Co., NO. SA-24-CV-492-OLG (Garcia, O., November 22, 2024)

The defendants were the target of a phishing attack and erroneously wired over eighthundred thousand dollars of their clients’ funds to a third party orchestrating the ransom attack. The clients sued, and the defendants invoked their insurance policy. The insurer (CSIC) agreed to defend the defendants in the clients’ lawsuit but reserved the right to seek a judicial determination regarding coverage and then filed suit seeking a judicial determination that it owes no duty to defend or indemnify. The defendants filed alternative motions to dismiss for improper venue, to transfer for improper venue, and to transfer for convenience. While the Fifth Circuit has not yet determined which party bears the burden on a Rule 12(b)(3) motion, the majority of district courts within this circuit have imposed the burden of proving that venue is proper on the plaintiff, once a defendant has objected to the plaintiff’s chosen forum. On a Rule 12(b) (3) motion to dismiss for improper venue, the court must accept as true all allegations in the complaint and resolve all conflicts in favor of the plaintiff; however, the court is permitted to look at evidence in the record beyond simply those facts alleged in the complaint and its proper attachments. With respect to considerations of residential venue, it was undisputed that one defendant is domiciled, and therefore resides, in the Southern District of California. The record evidence also indicated that another defendant has “always maintained its

principal place of business” in the Southern District of California. Therefore, venue in the Western District of Texas was improper under the residential venue provision. With respect to transactional venue considerations, in an insurance coverage dispute, venue is proper where the underlying event for which coverage is sought occurred, including where the insurance policy was negotiated, issued, or signed. Here, “every key event giving rise to this dispute occurred outside the Western District of Texas” making venue in the Western District of Texas improper under the transactional venue provision. The court held the “fallback” venue provision was inapplicable to the analysis as it only applies in the “rare” circumstance where “there is no federal district that will satisfy either the residential venue or transaction venue provisions.” Therefore, the court found that it is in the interest of justice to transfer the case to the Southern District of California, and that dismissal “would result in wasteful duplication of effort, additional filing expenses, and unnecessary delay for both parties.”

Retaliation; Amending Complaint; Motion to Dismiss

Stamps v. Univ. of Tex. Sys., SA-24-CV-294HJB (Bemporad, H., November 13, 2024)

From 2015 through 2020, the plaintiff was a professor of music, arts, and entertainment technology at UT Austin. He filed a lawsuit against UT Austin in December 2020, alleging that it retaliated against him in violation of Title VII. That dispute was settled in June 2023. During that three year period, however, the plaintiff applied for jobs at the University of Texas at San Antonio (UTSA). In December of 2021, he applied for the “DH” position, and defendant University of Texas System (“UT System”), rather than

UTSA, notified him that he did not get the “DH” position. In January of 2023, the plaintiff learned he also did not get the “DM” position and shortly thereafter filed a complaint with UTSA’s Equal Opportunity Services alleging he was retaliated against because of his lawsuit against UT Austin. In June of 2023, plaintiff learned he did not get the “DA” position and that the course he was teaching parttime at UTSA was being eliminated. Because

of these events, Plaintiff sued UTSA and the UT System for retaliation under Title VII, alleging he was being retaliated against for the lawsuit against UT Austin and for filing a complaint with UTSA-EOS. The defendants moved to dismiss for failure to state a claim on which relief could be granted as the plaintiff could not prove causation and or that the UT System was his employer. Because the plaintiff failed to plausibly allege that UTSA retaliated

as to the DH position due to the UT Austin lawsuit (which the plaintiff did not allege UTSA knew of) or due to the EOS complaint (which was later), that claim was dismissed as to UTSA. As to the DM position, a six-month gap in time would need to be bridged by the plaintiff, and as such, the court considered (with all inferences in the plaintiff’s favor) the chronology of alleged events leading up to the plaintiff’s non-hire for the DM position, finding it was “barely” enough to support a plausible inference of causation. This chronology of events permitted a reasonable inference that UTSA chose not to hire the “challenging” applicant who sued his prior employer, and therefore, the court did not dismiss that claim. Finally, UTSA’s decision not to hire the plaintiff for the DA position occurred more than a year after UTSA learned about the plaintiff’s lawsuit against UT Austin and more than five months after the plaintiff alleged that he filed his EOS complaint regarding the non-hire for the DM position—and both time periods were well above the four-month ceiling sanctioned by the Fifth Circuit. Nevertheless, the court considered the plaintiff’s separate TWC/ EEOC complaint as another basis for retaliation, finding the TWC/EEOC complaint contributed to a chronology of events from which a reasonable inference of retaliation may be made as to the non-hire by UTSA for the DA position. Although the DH, DM, and DA positions were UTSA positions, because the plaintiff plausibly alleged that UT System had the right to hire or decline to hire him for at least the DH position, the court reasonably inferred at this stage that UT System had the right to hire or decline to hire him for the DM and DA positions as well. Accordingly, the court denied the defendant’s motion as to all three of plaintiff’s retaliation claims against the UT System.

12(b)(1) Motion to Dismiss; Immigration; Citizenship; Administrative Appeal; Administrative Appeals Office Sarabia v. Mayorkas, No. SA-23-CV-964FB (HJB) (Bemporad, H. – August 6, 2024); adopted by Sarabia v. Mayorkas, No. SA-23-CA-964-FB (Biery, F. – August 29, 2024)

The defendant moved to dismiss the plaintiff’s lawsuit, which sought declaratory judgment regarding his citizenship status pursuant to 8 USC § 1503(a) and 28 USC § 2201. Specifically, in 2012, the plaintiff filed an N-600

Application for Certificate of Citizenship, which was denied in 2015. The plaintiff appealed this denial, and in February of 2018, the Administrative Appeals Office (AAO) dismissed the appeal. The plaintiff subsequently filed a motion for reconsideration and to reopen the case, which the AAO denied. Section 1503(a) includes a 5-year statute of limitations, which the court found barred the plaintiff’s claim, as his appeal was dismissed in February of 2018, but this lawsuit was not filed until August of 2023. The defendant’s motion to dismiss was based on a lack of jurisdiction under Federal Rule of Civil Procedure 12(b)(1). Therefore, at issue was whether § 1503(a)’s limitations period is “jurisdictional” as that word is used in Federal Rule of Civil Procedure 12(b)(1). The court concluded that this statute, which confers subject matter jurisdiction upon the courts based on its waiver of sovereign immunity, likewise specifically limits that jurisdiction to five years, making it jurisdictional in nature as it conditions such waiver on a claim being brought within a certain timeframe.

Summary judgment; breach of contract; consequential damages; offset

United States of Am. F/U/B Titan v. TootleQri JV, Ltd. Liab. Co., No. SA-22-CV-129FB (HJB) (Bemporad, H. – February 22, 2024); adopted by United States of Am. F/U/B Titan Consultants v. Tootle-Qri JV, Ltd. Liab. Co., No. SA-22-CV-0129-FB (Biery, F. – March 11, 2024)

Defendant Tootle entered into a contract with plaintiff Titan wherein Titan agreed to provide a quality control manager (QCM) for Tootle’s construction project. Pertinent to this dispute are two contract provisions: first, the contract allowed either party to terminate for any reason, on 30 days’ notice; second, it contained a waiver of consequential damages. Due to a misunderstanding, Titan ceased performance and terminated the contract. However, it did so without giving the requisite 30 days’ notice. According to Tootle, the lack of a QCM onsite resulted in $35,765.67 in damages, made up of additional time to complete the project, supervisory time, additional labor, general conditions, and general and administrative costs. Alleging that the damages caused by Titan’s premature termination of the contract offset Titan’s invoices, which amounted to $31,242.90, Tootle refused to pay Titan. Titan then filed suit against Tootle claiming

a Miller Act violation, breach of contract, and unjust enrichment, and seeking payment of its invoices. Tootle filed a counterclaim for breach of contract and alleged that the damages it incurred as a result thereof offset its outstanding balance to Titan. Titan moved for summary judgment on its claims as well as Tootle’s counterclaim. Agreeing on all but whether the $35,765.67 in damages constituted consequential damages, Tootle argued that they were “general damages”—a category of damages not waived under the contract. The contract’s choice of law provision designated Florida law as controlling. The court concluded that under Florida law, Tootle’s alleged damages constitute consequential damages. As such, the damages were not recoverable under the contract, and Tootle’s breach of contract claim failed as a matter of law.

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Jeffrie B. Lewis is Assistant General Counsel with Zachry Group.
Soledad Valenciano practices commercial and real estate litigation with Spivey Valenciano, PLLC.
Sabrina Salazar practices commercial litigation with Dykema Gossett PLLC.
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