The question in State of Texas v. Mesquite Creek Devel., Inc.. was whether the trial court erred in dismissing a condemnation case based on the state’s failure to timely disclose an appraisal. The Fifth Court observed: “The supreme court utilizes four principles to determine whether the legislature clearly intended a statute to set jurisdictional requirements: “(1) the plain meaning of the statute, (2) whether the statute contains specific consequences for noncompliance, (3) the purpose of the statute, and (4) the consequences that would result from each construction.”  Applying those factors, the Court found that this issue was not jurisdictional. No. 05-19-00028-CV (Dec. 31, 2020).

For the last six years or so, the sublessor of a property in Irving has been seeking compensation for loss of the leasehold after it was sold to the state in lieu of condemnation for a highway project. In 2011, the Court of Appeals affirmed the dismissal of the lessor’s claim against the state on jurisdictional grounds. The lessor then sued the former owner of the property, claiming breach of the lease agreement by accepting the state’s offer instead of pursuing the matter in a special commissioners’ hearing. In 2013, the Court reversed summary judgment for the owner and remanded to the trial court, holding that the lessor was not collaterally estopped by its loss of the case against the state. But the third time is not the charm, as the Court of Appeals today affirmed summary judgment in favor of the former owner, holding that the lease only requires payment to the lessor in the event of a “condemnation proceeding,” and the private sale in lieu of condemnation was not such a proceeding.

Continental Foods, Inc. v. Rossmore Enters., No. 05-14-00244-CV

Previously: Inverse Condemnation Action Is No Bar to Recovery for Breach of Contract (March 5, 2013)