Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

ELG Oil, LLC v. Stranco Services, LLC

Court of Appeals of Texas, Fourth District, San Antonio

October 9, 2019

ELG OIL, LLC and ELG Utility, LLC, Appellants
v.
STRANCO SERVICES, LLC, Appellee

          From the 218th Judicial District Court, Karnes County, Texas Trial Court No. 16-03-00056-CVK-A Honorable Walden E. Shelton, Judge Presiding [1]

          Sitting: Sandee Bryan Marion, Chief Justice, Rebeca C. Martinez, Justice Luz Elena D. Chapa, Justice

          MEMORANDUM OPINION

          Sandee Bryan Marion, Chief Justice

         ELG Oil, LLC and ELG Utility, LLC appeal a summary judgment granted in favor of Stranco Services, LLC allowing Stranco to foreclose on a mineral subcontractor's lien. ELG asserts the trial court erred in granting the summary judgment because Stranco failed to conclusively establish it: (1) furnished or hauled material, machinery or supplies used in mineral activities under contract with a mineral contractor, or (2) performed labor used in mineral activities under contract with a mineral contractor. We reverse the trial court's judgment and remand the cause to the trial court for further proceedings.

         Background

         ELG entered into a contract with Turn-Key Specialists, Inc. to add natural gas bullet storage tanks to the KDB Central Treatment Facility (the "Facility"), [2] and Turn-Key entered into a subcontractor agreement with Stranco.[3] On March 3, 2016, Stranco filed the underlying lawsuit against Turn-Key and ELG alleging various claims, including a claim to foreclose on a mineral lien Stranco alleged it had against ELG's property. After Turn-Key filed bankruptcy, Stranco's claims against ELG were severed into a separate cause. Stranco then moved for a partial summary judgment on its claim to foreclose on its alleged mineral lien.

         On November 16, 2018, the trial court granted Stranco's motion.[4] On January 17, 2019, the trial court signed an agreed order severing Stranco's other pending claim into a separate cause.[5]On February 12, 2019, the trial court signed a final judgment incorporating the partial summary judgment and awarding Stranco attorney's fees.

         Standard of Review

         "A trial court's decision to grant summary judgment is subject to de novo review." Schlumberger Tech. Corp. v. Pasko, 544 S.W.3d 830, 833 (Tex. 2018). "Courts review the record in the light most favorable to the nonmovant, indulging every reasonable inference and resolving any doubts against the motion." Id. (internal quotation omitted). In order to be entitled to a summary judgment, the movant must establish "there is no genuine issue as to any material fact and the moving party is entitled to judgment as a matter of law." Tex.R.Civ.P. 166a

         Discussion

         Section 56.002 of the Texas Property Code provides, "A mineral contractor or subcontractor has a lien to secure payment for labor or services related to the mineral activities." Tex. Prop. Code Ann. § 56.002. A "mineral subcontractor" is defined, in pertinent part, as a person who:

(A)furnishes or hauls material, machinery, or supplies used in mineral activities under contract with a mineral contractor or with a subcontractor; or
(B) performs labor used in mineral activities under contract with a mineral contractor.

Id. § 56.001(4)(A), (B). A "mineral contractor" is defined as "a person who performs labor or furnishes or hauls material, machinery, or supplies used in mineral activities under an express or implied contract with a mineral property owner or with a trustee, agent, or receiver of a mineral property owner." Id. § 56.001(2). "Mineral activities" are defined, in pertinent part, as "digging, drilling, torpedoing, operating, completing, maintaining, or repairing . . . an oil or gas pipeline." Id. § 56.001(1); see also Adams v. Starside Custom ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.