1 ... S eeTe x. R. App . P. 47. 4. 

## COURT OFAPPEALS SECOND DISTRICTOF TEXAS FORT WORTH NO. 2 - 0 8 - 1 7 6 - CV L AI NI E W HI T M I R E AP P E L L ANT V . N A TI O N A L CU TTI N G H O RSE A PPELL EE AS S OCI AT I ON

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FR O M THE 236T H DI STRI CT CO URT O F TARRA NT CO UN TY

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### MEMORANDU M OPI NI ON 1

----- ----- -- I. I NTR ODUCTI ON I n t hr ee i ss ues , A ppe l l ant La i ni e W hi t m i r e a ppe al s t he su m m ary j udgm ent ent er ed aga i ns t heran d i n f avo rofA ppe l l eeN at i ona l Cut t i ng Hor seA ss oci at i on (t h e N C H A ). W e w i l l affi rm i n p a rtan d rev e rse an d rem a n d i n p a rt .2 ... Forex am pl e, t o com pet e as a non- pr of es si ona l , t he m em ber m us tnot

hav e r ec ei ved di r ec tori ndi r ec tr em une r at i on f ors how i ng, t r ai ni ng, oras si st i ng i n t r ai ni ng at a cut t i ng hor se oper at i on. To com pet e as an am at eur , a m em ber m us tnoth av e r i dde n hor se s ort r ai ned hor se s orhor ser i der s f ordi r ec tor i ndi r ec tr em une r at i on o ra ssi st ed i n t r ai ni ng ho r se s orhor ser i der s f or r em uner at i on i n t he l astt en year s. 2

II . F ACTUA LAN DP ROCEDURALB AC KG ROUND

A. T h eNC HA Th e N C H A i s a non- pr of i tassoci at i on w hose pur pose i s “t o encou rag e, pr om ot e, ad vert i seand d eve l op t he cutt i ng ho r seasa uni quean d e xce l l ent equ i ne at hl et e. ” T he N C H A ’ s boa r d ofdi r ec t or s hast he pow ert o m ak e a nd am end t he N C H A ’ s r ul esan d re gul at i ons , i ncl udi ng r ul esf ort he adm i ss i on, s u p e rv i s i o n , a n d e x p u l s i o n o f m e m b e rs . M e m b e rso f th eN C H A a g re e , a sp a rt oft hei rappl i cat i ons, t o f ol l ow and t o be bou nd byt he N C H A r ul es. U ndert he r ul es, N C H A m em ber s m ay com pe te i n cut t i ng ho r se com pet i t i onsaspr of es si ona l s, non- pr of es si ona l s, oram at eur s, depend i ng on cert ai n q u a l i f i cat i ons. 2The r ul es pr ovi de t hatany per son w ho has t r ai ned hor se s as t r i de f ordi r ec tori ndi r ec tr em une r at i on s hal l beco ns i der ed a p r o f e s s io n a l. Purs uant t o N C H A R ul e 3 7, a m em berm ay f i l e a com pl ai ntr egar di ng an a l l e g e d v i o l a ti o n o f N C H A rules b yp rov i d i n g the N C H A ex e c u ti v e d i rec to r w i th a w r i tt en com pl ai ntand a $50 . 00 f i l i ng f ee . U pon r ec ei pt , t he N C H A pr es i den t3

w i l l ap poi nta gr i eva nceco m m i t t eet o r evi ew and t o i nve st i gat e t he com pl ai nt and , i fn eces sa ry, t o t ak e d i sc i pl i nary a ct i on a gai ns tt he m em ber . The gr i evance com m i t t ee’ s deci si on shal l be f i nal and bi ndi ng un l ess t he m em ber a pp e a l s i n w r i t i ng p ur s ua ntt o Rul e 38. R u l e 3 8 p ro v i d e s th a t a m e m b e r m a ya p p e a l th e g ri e v a n c e c o m m i tte e ’s dec i si on a nd t hatt he exe cut i ve com m i t t eeora hea r i ng c om m i t t eew i l l hol d a de novo he ar i ng r ega r di ng t he al l ege d r ul e vi ol at i on. The exe cut i ve orhe ar i ng com m i t t ee ’ s dec i si on on ap pe al i s f i nalan d bi ndi ng. Rul e 38 pr ovi des , “ A ny m em berm ay be di sc i pl i ned . . . w hen eve ri ts hal l ha ve bee n es t abl i sh ed by a pr epon der ance oft he evi dence t hat such m em ber or non - m em berhas vi ol at ed anyr ul e o ft he A ss oci at i on. ” A m em berm us tbegi ven f i ft ee n da ys ’ not i ceof a t i m e and pl ace f oran appeal hear i ng and an oppo rt uni t y t o be hear d att hat hea r i ng. B . W h it mi r e ’ sM e mb e r s h i pi n t h eNC HA W hi t m i r e w as a m em beroft he N C H A and com pet ed i n t he am at eurcl ass. I n 200 4, t he N C H A se nt W hi t m i r e a l ett er i nf or m i ng her t hat i tha d c onc er ns r egar di ng heram at eurst at us an d r equest ed det ai l ed i nf or m at i on r egar di ng her pas tem pl oym ent . L at ert hatye ar , on Novem ber1, 2004 , t he N C H A s ent W hi t m i r e a second l et t ernot i f yi ng hert hatt he a ss o ci at i on had r ecei ved i nf or m at i on t hats he pr evi ous l y ha d t r ai ned hor se s f or r em une r at i on i n vi ol at i on4

N C H A rul es f oram at euran d non - pr of essi onal st at uses. Speci f i cal l y, t he l et t er st at ed t hat“[ t ] he synop si s oft he com pl ai nti s t hatyou [ W hi t m i r e] have t r ai ned bar r el hor ses f orcl i ent s and r ecei ved r em uner at i on f or your t r ai ni ng. ” Th e l et t er i nf or m ed W hi t m i re th att he N C H A pr esi dent had app oi nt ed a gr i evance c o m m it t e e t o re v ie w a n d t o in v e s t ig a t e t h e c o m p la in ta n d t h a ta h e a r in g w o u ld b e h e l d i n fro n t o f th e g ri e v a n c e c o m m i ttee o n N o v e m b e r 1 5 , 2 0 0 4in o rde r t o pr ovi de W hi t m i r e a n opp ort uni t y t o behe ar d. W h i t mi r e a n d h e ra t t o r n e y , Cl a r kBr e ws t e r , a p p e a r e d a tt h e h e a r i n g . At th e c o n c l u s i o n o f th e h e a ri n g , th e c o m m i tte e d e c i d e d to re v o k e W h i tm i re ’s am at eurst at us. The com m i t t ee al so deci ded t o suspend hernon- pr of essi onal st at u s u n l ess, w i t hi n f i f t een days, W hi t m i r e pr odu ced evi dence t o show her el i gi bi l i t y f or n on- pr of es si ona l s t at usan d t ooka pol ygr aph ex am i nat i on concer ni ng herpasthor se t r ai ni ng exp er i ence. W h i t mi r e a p p e a l e d t h e g r i e v a n c e c o mm i tt e e ’ sr u l i n g p u r s u a n tt o NC HA Rul e 38, an d a n a ppe alhe ar i ng w ass che dul ed f orJa nua ry 19, 2005 . O n t he d a yo f th e h e a ri n g , B re w s te r a n d th e N C H A ’s a tto rn e y , E . E l d ri d g e G o i n s , J r., r ea che d a n or al se t t l em ent agr ee m ent . Bot h pa rt i esag r eet hatt heyr ea che d a s e t t le m e n ta g r e e m e n ta n d t h a t , a sp a rto ft h e a g r e e m e n t , W h it m ir e w o u ld
w i t hdr aw al l appeal s and herm em ber shi p w oul d be suspended f orsi x m onths. The pa rt i esdi sp ut e, how eve r , w het herr ei ns t at em entofW hi t m i r e’ s non-5

p ro fe s s i o n a l s ta tu sa t th e c o n c l u s i o n o f th e s i x -m o n th s u s p e n s i o n w a sa te rm o f t h e se ttl e m e n t ag ree m e n t. G oi nss ubs equ ent l y s entBr ew st era l ett er , pur port edl y c onf i r m i ng t he t er m s oft he sett l em entagr eem ent . The l et t erst at ed t hatt he part i es agr eed th a t “ a l l p e n d i n g i n v e s ti g a ti o n sa n d a p p e a l sa re h e re b yc e a s e d ,”th a t W h i tm i re ’s N C H A m e m b e rs h i p w o u l d b e s u s p e n d e d fo r s i xm o n th s , a n d th a t W h i tm i re ’s am at euran d non
- pr of es si ona l s t atuse s w oul d ber evo ke d. The l ett erdi d not m e n ti o n re i n s ta te m e n t o f W h i tm i re ’s n o n -p ro fe s s i o n a l s ta tu s . W h itm i re con t end s, how eve r , t hat Br ew st er con t ac t ed G oi ns aft er r ec ei vi ng t he l ett eran d t h a tG o in sa s s u r e d h im t h a t , c o n t r a ryt o t h e t e r m sin t h e le t t e r , W h it m ir e w o u ld be el i gi bl e f or r ei ns t at em ent of her non- pr of es si ona l st at us at t he end ofhe rs i xm ont h m em ber sh i p s us pen si on. The l ett erdi d notpr ovi de a s i gna t ur e l i ne f or Br ew st erorW hi t m i r e, an d t heydi d notot her w i ser es pond i n w r i t i ng. Som et i m e a f t ert he si x- m ont h m em ber sh i p s us pen si on pe r i od ha d e nde d, W h i t mi r e a p p l i e d f o rr e i n s t a t e me n to f h e r n o n - p r o f e s s i o n a l s t a t u s . T h e NC HA de ni e d he rap pl i c a t i on d uet o i ne l i gi bi l i t y. I n a l e t t e rd a t e d M a r c h 2, 2006 , W hi t m i r e’ s new att or ney , Ja m esW al ke r , r equ es t ed r ec ons i der at i on of W h i t mi r e ’ s a p p l i c a t i o n f o r n o n - p r o f e s s i o n a l s t a t u sa n d a n a p p e a l t o t h e NC HA exe cut i ve com m i t t eei fhe rap pl i ca t i on w as deni ed f ora se con d t i m e. The NC HA a g a i n d e n i e d W h i t mi r e ’ sa p p l i c a t i o n a n d r e c o mm e n d e d t h a th e rNC HA3 ... Spec i f i ca l l y, W hi t m i r e r equ es t ed de cl ar at ory j udgm entt hat( 1) s he

qual i f i es as a non- pr of essi o n a l undert he N C H A r ul es because she has never t r ai ned hor se s as t r i de f ordi r ec tori ndi r ec tr em une r at i on; ( 2) t he N C H A ca nnot r ec ove r att or ney ’ s f ee s pur su ant t o N C H A Rul e 41, w hi ch pr ovi des t hatt he N C H A m ay r ecoveratt or ney’ s f ees w hen a m em ber i nst i t ut es l i t i gat i on agai nst t he N C H A , “ i n l i ghtoft he N C H A ’ s con cur r enti ns i st enc e upon t he f ac tt hats he i s notan N C H A m em ber ”; an d ( 3) cert ai n pr ovi si onsoft he N C H A ’ s con st i t ut i on a n d b y l a w sa re v a g u e , a m b i g u o u s , o v e rb ro a d , a n d d o n o t s u p p o rt th e N C H A ’s act i ons agai nstW hi t m i r e. 6 pr i vi l eges be r evoked forone yearb ecause i tcl ai m ed t hatshe had m ade f al se st at em ent s i n herap pl i cat i on. W hi t m i r e ap peal ed t hi s deci si on, and i n A ugu st 20 06 t he N C H A h e l d a hear i ng on herappeal ; W hi t m i r e appear ed w i t h her at t or ne y, W a l k e r . At t he he a r i ng , W a l k e r a c k no w l e dg e d t ha t t he pa rt i es had p re v i o u s l yre a c h e d a s e ttlem e n t a g re e m e n t, a l th o u g h h e d i d n o t d e ta i l th e te rm s oft hatag r ee m ent , i . e. , w het hero rn ot t heyha d a gr ee d t hatW hi t m i r e’ s nonpr of es si ona l s t at usw oul d ul t i m at el y ber ei ns t at ed. Af t ert he hea r i ng, t he exe cut i ve com m i t t eede ni ed W hi t m i r e’ s app l i ca t i on f or non- pr of es si ona l s t at us and suspend ed herN C H A m em ber shi p f or o n e y e a r . The N C H A not i f i ed W hi t m i r e t hats he cou l d a ppe alt he exe cu t i ve c om m i t t ee ’ s dec i si on, buts he d e c l i n e d to d o s o . In O c t o b e r2 0 0 6 , W h it m ir e f ile d s u ita g a in s tt h e N C H A , a s s e rt in g c la im s fo r d e c la ra to ry j u d g m e n t, 3f orbr each ofcont r actr egar di ng bo t h t he or al sett l em entag r eem ent( w hi ch W hi t m i r e cl ai m ed i ncl uded t he pr ovi si on t hather7

non- pr of es si ona l s t at usw oul d ber ei ns t at ed a ft e rhe rs i x- m ont h s us pen si on) an d t he N C H A m em ber sh i p con t r ac t , and f orf r aud an d ne gl i gen tm i sr epr es ent at i on. W hi t m i r e assert ed a l i bel cl ai m al l egi ng t hatt he N C H A publ i shed t hatshe had
v io la t e d N C H A ru le sin a n o f f ic ia l N C H A p u b lic a t io n . S h e a ls o a s s e rt e d c la im s fo r v i o l a ti o n s o f d u e p ro c e s s a n d b re a c h o f fi d u c i a ryd u tyb a s e d o n th e N C H A ’s di sci pl i nar y act i ons agai nsther . Fi nal l y, she ass ert ed cl ai m s fo r f al se i m pr i so nm entan d i nt ent i ona l i nf l i ct i on ofem ot i ona l di st r es s bas ed on f ac t s not r e le v a n tt o t h is a p p e a l. S o m e ti m e afte r W h i tm i re fi l e d th i s l a w su i t, th e N C H A n o ti fi e d h e r t h a t a hear i ng had been schedul ed t o det er m i ne w het hert o i ndefi ni t el y t er m i nat e her m em ber sh i p a nd r equ es t ed heratt end anc e a tt he hea r i ng. W hi t m i r e d i d not appearatt he hear i ng, and t he N C H A e x e c ut i ve com m i t t ee r evoked h er m em ber sh i p. W hi t m i r e d i d notap pea l t hi s r ul i ng. In re s p o n s e to W h i tm i re ’sla w s u i t, th e N C H A fi l e d a m o ti o n fo r s u m m a ry j udgm en tb a s e d o n t h e d o c t r i n e o fj u d i c i a l n o n - i n t e rv e n t i o n . S p e c i f i c a l l y , t he N C H A cl ai m ed t hatW hi t m i r e’ s cl ai m s f orde cl ar at ory j ud gm en t , br ea ch of con t r ac t , f r aud , ne gl i gen t m i sr epr es ent at i on, vi ol at i on of duepr oce ss , vi ol at i on off i duc i ary du t y, l i bel , an d i nt ent i ona l i nf l i ct i on of em ot i ona l di st r es s ar os e f r om di sci pl i nar y pr oceedi ngs f orW hi t m i r e’ s vi ol at i on of N C H A r ul es and t hatt hese cl ai m s ar e bar r ed by t he j udi ci al n on- i nt ervent i on doctr i ne. T he N C H A al so f i l ed8

a s uppl em ent alt r adi t i ona l an d no- evi den cem ot i on fors um m ary j udgm ent r ega r di ng W hi t m i r e’ s cl ai m s f or br ea ch of t he or al se t t l em ent agr ee m en tan d f al sei m pr i so nm ent . T he t r i alcourtgr ant ed su m m ary j udgm enti n f avo roft he N C H A on al l ofW hi t m i r e’ s cl ai m s exceptf al se i m pr i sonm entand i nt ent i onal i nf l i ct i on of em ot i ona l di st r es s; t he t r i al cou rt or der ed t hos e cl ai m s se ver ed, an d W h it m ir e p e r f e c t e d t h is a p p e a l. II I. S TA NDA RDS OFR EVI EW A . N O -E VIDENCES UMM ARYJ UDG MENT A f t eran ad equ at e t i m e f ordi sc ove ry, t he part y w i t houtt he bur den of pr o o f m a y , w i t h o u t p r e s e n t i n g e v i d e n c e , m o v e f o r s u m m a ry j u d g m e n ton t he gr ound t hatt her e i s no e vi de nc e t o s upportan es se nt i alel em entoft he non m ovant’ s cl ai m ordef ense. Tex. R. C i v. P. 16 6a( i ) . The m ot i on m ust s p e c i fi c a l l ys ta te th e e l e m e n ts fo r w h i c h th e re i s n o e v i d e n c e . Id. ; Johns on v. Bre wer & Pr itch a rd , P. C. , 7 3 S .W .3 d 1 9 3 , 2 0 7 (T e x . 2 0 0 2 ). T h e tri a l c o u rt m us tgr antthe m ot i on un l es s t he nonm ova ntpr oduc ess um m ary j udgm ent e v i d e n c e th a t ra i s e sa g e n u i n e i s s u eo f m a te ri a l fa c t. S eeTex . R . C i v. P. 1 6 6 a (i ) &c m t.; Sw. E le c . Po wer Co . v. Grant, 7 3 S . W . 3d 211, 215 ( Tex. 2 0 0 2 ). W h e n re v i e w i n g a n o -e v i d e n c e s u m m a ry j u d g m e n t, w e e x a m i n e th e e n ti re r e c o r d in t h e lig h tm o s tf a v o r a b le t o t h en o n m o v a n t , in d u lg in g e v e ryre a s o n a b le9

i n fe re n c e a n d re s o l v i n g a n yd o u b ts a g a i n s t th e m o ti o n . Sudanv. Su dan , 199 S. W . 3d 291, 292 ( Tex. 2006 ) . I ft he nonm ova nt br i ngsf or w ar d m or e t han a sci nt i l l a ofpr obati ve evi dence t hatr ai ses a genu i ne i ssue ofm at er i al f act , t hen a n o -e v i d e n c e s u m m a ryj u d g m e n t i sn o t p ro p e r. Moore v. K MartCor

p. , 981 S . W . 2d 26 6, 26 9 ( Tex . A pp. — S an A nt oni o 19 98 , pet . deni ed) . W e r evi ew a no- evi den ces um m ary j udgm entf orev i den cet hatw oul d ena bl e r ea so nab l e a nd fa i r-m i n d e d j u ro rsto d i ffe r i n th e i r c o n c l u s i o n s . Ham i lton v. W

i l son , 249 S. W . 3d 425, 426 ( Tex. 2008 ) ( ci t i ng City of Kel ler v. W i l son , 168 S. W . 3d 802, 8 2 2 (T e x . 2 0 0 5 )). B. Tr adit i ona lSum m ary Ju dgm ent A def end antw ho conc l us i vel y nega t esatl ea stonees se nt i alel em entof a c a u s e o fa c t io n ise n t it le d t o s u m m a ryju d g m e n to n t h a tc la im . IHSCe da rs Trea tm ent

Ctr. of D eSoto, Tex. , I

nc. v. Mas on , 143 S. W . 3d 7 9 4 , 7 9 8 ( Tex. 200 4) . O ncet he def end ant pr oduc ess uf f i ci entev i den cet o e st abl i sh t he r i ght to s u m m a ry j u d g m e n t, th e b u rde n s h i fts to the p l a i n ti ff to co m e forw a rd w i th c o m p e ten t co n tr o v e rt i n g ev i d e n c e rai sing a g e n u i n e i ss u e o f m a teri a l fac t w i th re g a rd to th e e l e m e n t c h a l l e n g e d b yth e d e fe n d a n t. Centeq Realty, I nc. v. Si egler, 8 9 9 S .W .2 d 1 9 5 , 1 9 7 (T e x . 1 9 9 5 ).10 IV . J UDICI ALN ON -I NTE RVE NTI OND OC TRI NE I n he rf i r sti ssu e, W hi t m i r e a r gue s t hatt he t r i alco urter r ed by g r ant i ng su m m ary j udgm entf ort he N C H A ba se d on t he j udi ci alnon- i nt erven t i on doc t r i ne . S he cl ai m s t hatt he doc t r i ne doe s notap pl y t o he rcl ai m s f or dec l ar at ory j udgm ent , br ea ch ofco nt r ac t , f r au d, n egl i gen tm i sr epr es ent at i on, vi ol at i on ofduepr oce ss , vi ol at i on off i duc i ary du t y, and l i be l . S pec i f i ca l l y, W hi t m i r e contends t hat a genu i ne i ssue of m at er i al f act exi st s as to w h e t her t he N C H A com pl i ed w i t h i t s ow n r ul es. Tradi t i onal l y, court s a re not di sposed t o i nt er f er e w i t h t he i nt er nal m a n a g e m e n t o f a v o l u n ta rya s s o c i a ti o n . Hardenv. Coloni al Country Club , 634 S. W . 2d 56, 59 ( Tex. A pp. — FortW ort h 1982, w r i tr ef ’ d n. r . e. ) . By be com i ng a m e m b e r, a p e rs o n s u bj e c ts h i m s e l f, w i th i n l e g a l l i m i ts , to th e o rg a n i z a ti o n ’s p o w e r to m a k e a n d a d m i n i s te r i ts ru l e s . Id. T h u s, co u rt s w i l l n o t i n terfere w i th t he i nt er nalm ana gem entofvol unt ary a ss oci at i onsso l on g ast he gove r ni ng bodi esoft hos e a ss oci at i onsdo not su bs t i t ut e l egi sl at i on f ori nt er pr et at i on a nd do no t ove r st ep t he bound s ofr ea so n orvi ol at e p ubl i c p ol i cy ort he l aw s oft he s ta te . S e eDi

cke yv. Cl

ubCo r p . o f A m. , 1 2 S. W . 3d 172, 176 ( Tex. A p p .— D a l l a s2 0 0 0 , p e t. d e n i e d ); Burg ev. A m . Q ua rter Ho rs eA ss ’n , 782 S .W .2 d 3 5 3 , 3 5 5 (T e x . A p p .— A m a ri l l o 1 9 9 0 , n o w ri t); Bu tler v. Hi de-A
- W ay Lake Club, I

nc. , 7 3 0 S .W .2 d 4 0 5 , 4 1 0 (T e x . A p p .— E a s tl a n d 1 9 8 7 , w ri t re f’d11

n .r.e .); Harden , 6 3 4S .W .2 d a t 5 9 ; A da m sv. A m . Q ua rter Ho rs eA ss ’n , 583 S .W .2 d 8 2 8 , 8 3 4 (T e x . C i v . A p p .— A m a ri l l o 1 9 7 9 , w ri t re f’d n .r.e .); Hoeyv. San A ntoni

o Real Es tate Bd. , 297 S. W . 2d 214, 217 ( Te x. Ci v. App.

— S an A n to n i o 1 9 5 6 , n o w ri t); Bh d. of R. R. Trai

nm en v. Pr

i ce , 108 S. W . 2d 239, 241 ( Tex . C i v. A pp. — G al vest on 1 93 7, w r i tdi sm ’ d) . Judi ci al r evi ew i s onl y pr oper w h e n t h e a c t i o n so ft h e o r g a n i z a t i o n a r e i l l e g a l , a g a i n s ts o m e p u b l i c p o l i c y, a r b i tra ry , o r c a p ri c i o u s . Harden , 6 3 4S .W .2 d a t 6 0 ; Bu tler, 730 S. W . 2d at 410. A c c o rding l y , T e x a s c o m m o n la w s e v e rel yl i m i ts rev i e w o f a p ri v a te a s s o c i a ti o n ’sa c ti o n s . D al l asCounty Med. Soc’y v. Ubi nasBrache , 68 S . W . 3d 3 1 , 4 1 (T e x . A p p .— D a l la s 2 0 0 1 , p e t. d e n i e d ), cert. denied, 535 U. S. 970 (2 0 0 2 ). C o u rt s h a v e g o n e so far as to sta te th a t th e yw i l l n o t r e v i e w a p ri v a te associ at i on’ s f ai l ur e t o cond uct i t s busi ness accor di ng t o i t s o w n pr ocedu r es e x c e p t fo r th e p u rp o s e o f p ro te c ti n g s o m e c i v i l o r p ro p e rtyri g h t. Id. a t41–4 2; Pr i ce , 108 S. W . 2d a t241. I n t hi s ca se , t he N C H A a t t ached t o i t s su m m ary j udgm entm ot i on t he af f i davi toft he N C H A execut i ve di r ect or , Jef fH oop er . I n hi s af f i davi t , H oop er s ta te d th a t “ th e ru l e sa n d re g u l a ti o n so f th eN C H A . . . w e re c o n s is t e n t ly appl i ed i n deal i ng w i t h any and al l co m pl ai nt s agai nstLai ni e W hi t m i r e. ” H oop er st at ed t hatt he associ at i on r ecei ved a com pl ai ntagai nstW hi t m i r e “as pr escr i bed12

by N C H A r ul es, ” t hati tnot i f i ed W hi t m i r e oft he com pl ai ntand pr ovi ded heran o p p o rt u n i t yt o r e s p o n d t o t h e c h a r g e sa g a i n s th e r“ a sp r e s c r i be d byNC HA r u l e s , ” t h a t a g r i e v a n c e c o mm i t t e e wa s e mp a n e l e d “ i n a c c o r d a n c e wi t h NC HA R ul e 37 , ” t hatW hi t m i r e r ecei ved no t i ce oft he hear i ng befor e t he gri evance com m i t t ee an d at t ended i tw i t h heratt or ney, and t hatW hi t m i r e r equest ed an a pp e a l o ft heg r i e va nc e c om m i t t e e ’ sd e c i s i on p ur s ua ntt o Rul e38. W h i tm i r e cont ends t hatt he sum m ary j udg m entevi dence con t r adi cts H oope r ’ s af f i dav i tan d i ns t ea d dem on str at est hatt he N C H A vi ol at ed i t s ow n r ul es i n i nvest i gat i ng and i n pun i shi ng W hi t m i r e. W hi t m i r e speci f i cal l y ar gues t hatt he su m m ary j udgm entevi den ces how s t hatt he N C H A ( 1) di d notr ec ei ve a form a l co m p l a i n t i n ac c o rda n c e w i th N C H A R u l e 3 7 , (2 ) d i d n o t co m p l yw i th Rul e 38’ s r equ i r em entt hata pr epo nde r anc e o ft he evi den cee sta bl i sh a m em ber ’ s r ul e vi ol at i on befor e t hatm em be r m a ybe puni shed and i nst ead pl aced t he bur den of pr oof on W hi t m i r e, and ( 3) f oun d t hatW hi t m i r e vi ol at ed N C H A r ul es f oract i vi t i es notpr ohi bi t ed und ert he associ at i on’ s r ul es. B u t t h e N C H A h a s th e ri g h t to inte rpre t i ts o w n a g ree m e n ts, su c h as i ts b y l a w s a n d ru l e s . See Bur ge , 7 82 S. W . 2d at3 55. B y vo l unt ar i l y be com i ng a m em beroft he N C H A , W hi t m i r e a gr ee d t o beboun d byi t s r ul esan d t he N C H A ’sp o w e r to m a k e a n d a d m i n i s te r i ts ru l e s . S ee Di ckey , 12 S. W . 3d at 1 7 7 ; La wrenc e v. Ri dge wood Country Club , 635 S . W . 2d 665, 667 ( Tex.13

A pp. — W ac o 1992, w r i tr ef ’ d n. r . e. ) . N ot hi ng i n t he r ec or d sugge st s t hatt he N C H A ’ s ac t i onst ow ar d W hi t m i r e w er e i l l ega l , ag ai ns tpubl i c p ol i cy, ar bi t r ary, o r c a p ri c i o u s . S ee Harden , 6 3 4 S .W .2 d a t 6 0 ; Bu tler, 730 S. W . 2d a t410. W hi t m i r e r ecei ved no t i ce oft he com pl ai ntagai nstherand f i ft een days’ not i ce o f a h e a ri n g o n tha t co m p l a i n t an d w a s a fford e d a ri g h t t o b e h e a rd a n d to pr esent evi dence at t hat hear i ng. S he appear ed at t he hear i ng an d ca l l ed her sel fand one o t herw i t ness t o t est i f y on her behal f . Sh e al so exer ci sed her r i gh tto app ea l t he out com e o ft hathe ar i ng a nd pr es ent ed evi den ceatt he app ea l he ar i ng. Af t erbe i ng s ubs equ ent l y de ni ed r ei ns t at em entofhe rnonpr of es si ona l s t at us , s he r equ es t ed and r ec ei ved r evi ew ofhe rde ni alby t he nonp ro fe s s io n a l c o m m i tte e a n d re v i e w o f th a t c o m m i tte e ’sd e te rm i n a ti o n b e fo re t he exe cut i ve com m i t t ee . She rec ei ved ove ra m ont h’ s not i ceofa hea r i ng b e fo re th e e x e c u ti v e co m m i ttee , w a s i n fo rm e d o f he r r i g h t t o ap p e a r an d to pr esentevi dence att hathear i ng, and di d i n f act appear att hathear i ng w i t h her att or ney . W hi t m i r e’ s app el l at e c om pl ai nt s abo utt he pr oce dur esut i l i z ed by t he N C H A are exact l y t he t ype of com pl ai nt s i n w hi ch T exas court s have decl i ned to i n te rv e n e . S ee Tex . Th oroughbred Breeders A ss’ n v. D onn an , 202 S. W . 3d 2 1 3 , 2 2 5 (T e x . A p p .— T y l e r 2 0 0 6 , p e t. d e n i e d ); seea l so Ubi nasBrache , 68 S .W .3 d a t 4 2

– 4 3 (n o ti n g th a t “ th e re q u i re m e n ts fo r j u d i c i a l r e v i e w a re m o re4 ... W e w ill a d d r e s s s e p a r a t e lyb e lo w W h it m ir e ’s b r e a c h o fc o n t r a c tc la im

reg a rding the o ral se ttl e m e n t ag ree m e n t. 14 th a n a m e re b rea c h o f [ th e as so c i a ti o n ’s] o w n p o l i c i e s” ). W h i tm i re’s c o m p l a i n ts add r es s t he tec hni ca l as pec toft he N H C A ’ s app l i ca t i on ofi t s r ul est o he rbut do no tal l egea w hol es al e d epr i vat i on ofduepr oce ssort he o pp ort uni t y t o be h e a rd i n v i o l a ti o n o f s o m e c i v i l o r p ro p e rtyri g h t. Co mp a re Jua rezv. T ex . A ss ’n of Sp orti ng O f f i ci al s El Paso Chapter, 172 S . W . 3d 2 7 4 , 280 ( Tex. A pp. — El Paso 2 00 5, no pet . ) ( hol di ng j udi ci al n on- i nt ervent i on do ct r i ne w oul d appl y so l ong as ac t i ons of boa r d of di r ec t or s w er e not i l l ega l , aga i ns t publ i c pol i cy, a rb i tra ry , c a p ri c i o u s , o r fra u d u l e n t), and Bur ge , 782 S . W . 2d at356 ( dec l i ni ng t o i nt erf er e i n a ss oci at i on’ s pr i vat e a f f ai r s w hen ap pel l antr ec ei ved not i cean d h e a ri n g ), with Ha tle yv. A m . Q ua rter Ho rs eA ss ’n , 5 5 2 F .2 d 6 4 6 , 6 5 6 (5 th C i r. 197 7) ( hol di ng t hat exe cut i ve com m i t t ee ’ s dec i si on t o r ef us e regi st r at i on w i th o u t a h e a ri n g v i o l a te d d u e p ro c e s s ). F o rt h e s e r e a s o n s , we wi l l d e c l i n e t o i n t e r f e r e i n t h e r i g htoft heNC HA to g o v e rn i ts o w n a ffa i rs . C o n s e q u e n tl y , w e h o l d th a t th e tri a l c o u rt d i d n o t e rr by g r ant i ng s um m ary j udgm en tfor t he N C H A on W hi t m i r e’ s cl ai m s f or dec l ar at ory j udgm ent , br ea ch ofcont r ac tf orr evo ki ng hernon- pr of es si ona l an d m em ber shi p st at uses i n v i o l a ti on of N C H A r ul es, 4f r aud an d ne gl i gen t m i sr epr es ent at i on t o t he ext entt hatt heyi nvol ve t he gen er alal l ega t i on t hatt he5 ... W e w i l l ad dr es s se par at el y be l ow W hi t m i r e’ s f r aud an d negl i gen t

r epres e nt at i on cl ai m s f orst at em ent s G oi ns al l egedl y m ade t o B r ew st er r egar di ng r ei nst at em entofW hi t m i r e’ s non- pr of essi onal st at us. 15 N C H A m ade cert ai n r epr esent at i ons t o heri n t he cour se of i t s busi ness, 5 lib e l,
v i o l a ti o n o f d u e p ro c e s s , a n d b re a c h o f fi d u c i a ryd u ty . W e o v e rru l e W h i tm i re ’s f i r sti ssue. V . B REAC H OFO RALC ONTRACT I n hersec ond i ss ue, W hi t m i r e a r gue s t hatt he t r i alco urter r ed by g r ant i ng su m m ary j udgm ent f or t he N C H A on her br ea ch of con t r ac t cl ai m r ega r di ng t he or al sett l em entagr eem ent . W hi t m i r e cl ai m s t hatt he N C H A br eached t he or al sett l em entagr eem entby r ef usi ng t o r ei nst at e h ern on- pr of essi onal st at us aft er hers i x- m ont h s us pen si on— w hi ch sh e c l ai m s w asa t er m oft he or als ett l em ent a g ree m e n t. T h e N C H A m o v e d fo r b o th a n o -e v i d e n c e a n d a tra d i ti o n a l s u m m a ry j u d g m e n t o n W h i tm i re’s b rea c h o f c o n tr a c t, i. e ., th e o ral se ttl e m e n t ag ree m e n t, c l a i m. T h e t r i a l c o u rt ’ s o r d e r g r a n t i n g s u mm a ryj u d g me n ti n f a v o ro ft h e NC HA does not speci f y t he basi s f ori t s r ul i ng. Ther ef or e, because t he N C H A m oved f orsum m ar y j udg m enton both t r adi t i onal and no- evi dence gr oun ds and because t h e t r ia l c o u rt d id n o t s p e c if y t h e g r o u n d s o n w h ic h it w a s g r a n t e d , w e w ill uphol d t he su m m ary j udgm enti fan y one oft he gr oundsadvan ce d i n ei t herof16

th e m o ti o n si sm e ri to ri o u s . S e eJo ev. Two T hi rt yNi n eJo i n t Ven ture , 145 S .W .3 d 1 5 0 , 1 5 7 (T e x . 2 0 0 4 ). W hen a part y m ove s f or su m m ary j udgm ent unde r bot h r ul es 166 a( c) an d 166 a( i ) , w e w i l l f i r str evi ew t he t r i al c ou rt ’ s j udgm entunde rt he st and ar dsof ru l e 1 6 6 a (i ). Ford Motor Co. v. Ridgway , 1 3 5 S .W .3 d 5 9 8 , 6 0 0 (T e x . 2 0 0 4 ). I ft he app e l l antf ai l ed t o pr odu ce m or e t han a sci nt i l l a ofevi dence un dert hat b u rd e n , th e n th e re i sn o n e e d to a n a l y z e w h e t h e r th e a p p e l l e e ’ss u m m a ry j u d g m e n t p ro o f s a ti s fi e d th e l e s ss tri n g e n t ru l e 1 6 6 a (c ) b u rd e n . Id.

A . Anal ys i s ofN o- Evi den ceSum m ary Ju dgm entM ot i on I n i t s no- evi dence m ot i on, t he N C H A al l eged t hatno evi dence exi st s t hat an aut hor i z ed age nt of t he N C H A , w hi l e ac t i ng w i t hi n t he cou r se and s cop e o f hi s aut hor i t y, ag r ee d t o a r ei ns t at em entofW hi t m i r e’ s non- pr of es si ona l s t at us asa t er m oft he or als ett l em entag r ee m entort hat the N C H A r at i f i ed or a p p ro v e d a n yo ra l s e ttlem e n t a g re e m e n t i n c l u d i n g th a t te rm . G e n e ral l y , a p ri n c i p a l w i l l b e l i a b l e for the ac ts o f i ts a g e n t o n l y i f t h e ac ts a re w i th in t h e a g e n t’sa u th o ri tyo r i f th e p ri n c i p a l ra ti fi e sth e a c ts . See E l l i ot V alve Repai

r Co. v. B. J. V

alve & Fitti

ng Co. , 6 75 S. W . 2d 555 , 5 60– 61 ( Tex. A p p .— H o u s to n [1 s t D i s t.]), rev’ d on other

grounds , 6 7 9 S .W .2 d 1 (T e x . 1 9 8 4 ). I fan ag entac t s w i t hi n t he sco pe ofhi s aut hor i t y, bot h t he age ntan d t he p ri n c i p a l m a y b e l i a b l e . Wynn ev. A dc o ckPip e& Supp ly , 761 S. W . 2d 67, 6917

( Tex. App.

— Sa n Ant on i o 1988, w r i t de ni e d) . Th e bu r de n of pr ov i ng t hatan age ncyr el at i ons hi p e xi st s i s on t he part y a ss ert i ng t he exi st enc e o ft he re l a ti o n s h i p . S ee Tex. CityviewCare C enter LPv. Fryer, 227 S. W . 3d 345, 352 (T e x . A p p .— F o rt W o rth 2 0 0 7 , p e t. d i s m ’d ); Sanders v. To tal Heat& A i

r , I nc. , 2 4 8 S .W .3 d 9 0 7 , 9 1 3 (T e x . A p p .— D a l l a s2 0 0 8 , n o p e t.). A n atto rne yretaine d for l i ti g a ti o n is p res u m e d to p o ss e ss ac tu a l au th o ri ty to e n te r i n to a s e ttlem e n t o n b e h a lfo fa c l i e n t. City of Roano kev. Town of Westl ake , 1 1 1 S .W .3 d 6 1 7 , 6 2 8 (T e x . A p p .— F o rt W o rth 2 0 0 3 , p e t. d e n i e d ). Thi s pr es um pt i on m ayber ebu t t ed by a f f i r m at i ve pr ooft hatt he cl i entdi d not a u th o ri z e h i sa tto rn e yto e n te r i n to th e s e ttlem e n t. W a lden v. Sanger, 250 S .W .2 d 3 1 2 , 3 1 6 (T e x . C i v . A p p .— A u s ti n 1 9 5 2 , n o w ri t); Johnson v. Rancho G uadalupe, I

nc. , 7 8 9 S .W .2 d 5 9 6 , 5 9 8 (T e x . A p p .— T e x a r k a n a 1 9 9 0 , w r it d e n i e d ); Fai

l v. Lee , 5 3 5 S .W .2 d 2 0 3 , 2 0 7

– 0 8 ( T e x . C iv. A p p .— F o rtW o rt h 197 6, no w r i t ) ( af f i r m i ng s um m ary j udgm ent enf or ci ng s ett l em entag r ee m ent a b s e n t p ro o f th a t d e fe n d a n t d i d n o t a u th o ri z e h i sa tto rn e yto s e ttle). I n t hi s case, t he sum m ary j udg m entevi dence est abl i shes, and nei t her part y contes t s, t hatG oi ns r epr esent ed t he N C H A i n i t s di sput e w i t h W hi t m i r e. T h u s, a p r esum pt i on exi st s t hatG oi ns, as t he at t or ney f ort he N C H A , had a c t u a l a u t h o r it yt o e n t e rin t o a s e t t le m e n t a g r e e m e n t w it h W h it m ir e o n b e h a lf o f th e N C H A . S e eCity o f Ro anoke , 1 1 1 S .W .3 d a t 6 2 8 . T h e s u m m a ry18

j udgm entev i den ce al so es t abl i sh es — and t he N C H A doe s notdi sp ut e— t hatt he N C H A , a t a m i n im u m , h a d au th o ri ze d G o i n s to se ttl e the d i sp u te p u rsu a n t t o t he t er m s of t he l ett erf r om G oi nst o Br ew st er . Thus , i n l i ghtoft he pr es um pt i on t hatG oi nsw asac t i ng w i t h ac t ualau t hor i t y a s t he att or neyf ort he N C H A , t he N C H A bor e t he bur den t o c om e f or w ar d w i t h s um m ary j udgm ent evi den cet hatG oi nsw asno ta ut hor i z ed t o i ncl udei n t he or als ett l em ent agr e e m e n tt h e p r o v i s i o n t h a tW h i t m i r e ’ sn o n - p r o f e s s i o n a l s t a t u sw o u l d be re i n s ta te d a fte r h e r s i x -m o n th m e m b e rs h i p s u s p e n s i o n . S ee City of Ro anoke , 111 S. W . 3d at630 ( r ec ogni z i ng t hat“ W es t l ak e r ebut t ed t he pr es um pt i on by c l e a r an d u n c o n tr a d i c ted s u m m a ry j u d g m e n t ev i d e n c e b yp rov i n g tha t i ts att or neyofr ec or d w as nev er aut hor i z ed by val i d ac t i on oft he gove r ni ng bo dy o f W e s tl a k e to s e ttle, n o r w a sh e c l o th e d w i th a p p a re n t a u th o ri ty ” ). Becau se t he N C H A bor e t he bur den of pr oof t o r ebut t he pr esum pt i on t hat G oi nsw asau t hor i z ed by t he N C H A t o i ncl udei n t he or als ett l em entag r ee m ent t he pr ovi si on t hatW hi t m i r e’ s no n- pr of essi onal st at us w oul d be r ei nst at ed af t er her si x- m onth suspensi on, t hi s i ssue canno t f or m t he basi s ofa n o- evi dence s u m m a ryj u d g m e n t m o ti o n . S eeTex. R. Ci v. P. 166a( i ) ( pr ovi di ng t hatt he part y w i t houtt he bur den ofpr oofm ay, w i t hout pr es ent i ng evi den ce , m ovef or s u m m a ryj u d g m e n t). A c c o r d i n g l y , w e h o l d th a t to th e e x te n t th e tri a l c o u rt19

bas ed i t s su m m ary j udgm entf ort he N C H A on t he N C H A ’ s no- evi den cem ot i on, t he t r i al co urter r ed.

B. Anal ys i s ofTr adit i ona lSum m ary Ju dgm entM ot i on I n i t s t r adi t i onal m ot i on f orsum m ary j udg m ent , t he N C H A assert ed t hat t he su m m ary j udgm entev i den ceco ncl us i vel y est abl i sh est hatG oi nsl ac ke d t he act ual aut hor i t y t o i ncl ude i n t he or al set t l em entag r eem entthe pr ovi si on t hat W hi t m i r e’ s non- pr of essi onal st at us w oul d be r ei nst at ed atthe con cl usi on of her si x- m ont h m em ber sh i p s us pen si on. The su m m ary j udgm entev i den cet hatt he N C H A co nt end s con cl us i vel y e st abl i sh est hi s f ac ti s t he depo si t i on t es t i m ony a n d t h e a f f id a v ito ff o r m e rN C H A p r e s id e n tD o n B u s s e y . B u s s e yt e s t if ie d a th is dep os i t i on t hatt he N C H A ’ s exe cut i ve boa r d a ut hor i z ed G oi nst o s ett l e t he d i sp u te w i th W h i tm i re a c c o rding to th e term s o f t h e l e tter t h a t G o i n s s e n t t o Br ew st er . B us sey test i f i ed t hatG oi nss how ed a d r aftoft he l ett ert o t he execut i ve boar d and asked i ft he boar d w oul d agr ee t o t hose t er m s. O n cr ossexam i nat i on, how ever , Bu ssey t est i f i ed t hat “w hat [ he] saw w as notaddr essed t o M r . B r e ws t e r . [ He ] o n l ys a w t h e o u t l i n eo ft h e s e t t l e m e nt . ” T h e NC HA coul d not pr odu ce t he outl i ne t o w hi ch B ussey had r ef er r ed, and B ussey l at er c o n t r a d i c te d s e v e ra l p o rti o n so f h i sd e p o s i ti o n te s ti m o n yi n h i ss u m m a ry j u d g m e n t a ffid a v i t. H e s ta te d i n h i sa ffid a v i t,20

I ti s m y und er st andi ng t hatb ased u pon cert ai n t est i m ony taken at [ m yd e p osi t i on] t hatPl ai nt i f f ’ s counsel i s undert he m i st aken i m pr es si on t hatI t es t i f i ed ast o t he ex i st enc e o fa doc um ent c o n t a in in g t h e s a m e in f o r m a t io n a s a d o c u m e n t id e n t if ie d a sE x h ib it 1 0 5 [th e l e tte r fro m G o i n sto B re w s te r] b u t i n a d i ffe r e n tf o rm . I di d not t est i f y t hatt her e w as a docum entbutt hatI w a s f am i l i ar w i t h t he t er m s t hatw as [ si c] i n docu m ent 10 5. W het hert hi s w as v e r b a l o rin a n o t h e rd o c u m e n t , I c a n n o tt e s t if yt o . T h e o n ly docu m entI h ave seen co nt ai ni ng any t er m s, p r opo sed o rot her w i se a s t o a s e t t l e m e nt . . . w a st hed oc um e nti de nt i f i e d a sE xh i bi t105. I ha ve se en no ot herf or m oft hi s docu m en tn or do I kn ow t he exi st ence ofone. I ti s a w el l
- es t abl i sh ed r ul e t hata dep os i t i on do esnotha ve con t r ol l i ng ef f ec tove ran af f i dav i ti n de t er m i ni ng w het hera m ot i on f ors um m ary j udgm ent s h o u l d b e g ra n te d . See Randal l v. D al l asPower

& Li ghtCo. , 7 5 2 S .W .2 d 4 , 5 ( Te x . 1 98 8) . T h u s , i fc o n f l i c t i n g i n f e r e n c e sm a yb e d r a w n f r o m a d e p o s i t i on and f r om an af f i dav i tf i l ed by t he sa m e p art y i n opp os i t i on t o a m ot i on f or s u m m a ryj u d g m e n t, a fa c t i s s u e i sp re s e n te d . Id. ; Hal e v. Pen a , 991 S. W . 2d 9 4 2 , 9 4 6

– 4 7 (T e x . A p p .— F o rt W o rth 1 9 9 9 , n o p e t.). I n t hi s i ns t anc e, Bus se y’ s af f i dav i tco nt r adi ct s hi s dep os i t i on t es t i m ony and cr ea t es a f ac ti ss ue r ega r di ng w het hert he exe cut i ve boa r d a ppr ove d t he sett l em entt er m s cont ai ned i n t he l et t eror i n a n o ut l i ne t hatt he N C H A w as u n a b l e to p ro d u c e . S e eRa n da ll, 7 5 2 S . W .2 d a t 5 ; Ha le , 99 1 S . W . 2d at 946 –47 . Bus se y di d not t es t i f y t hat t he N C H A di d not app r ovea t er m i n t he or al s ett l em entag r ee m en tco nce r ni ng t he r ei ns t at em entofW hi t m i r e’ s non-21

pr of es si ona l s t at usatt he con cl us i on ofhe rs i x- m ont h s us pen si on, an d t he N C H A f ai l ed t o pr oduc e a ny o t hers um m ary j udgm entev i den cet o ne gat e o r r ebut t he p resum pt i on t hatG oi ns w as aut hor i zed t o i ncl ude i n t he or al s e tt le m e n ta g r e e m e n ta p r o v i s i o n t h a tW h i t m i r e ’ sn o n - p r o f e s s i o n a l s t a t u sw o u ld b e re i n s ta te d a t th e c o n c l u s i o n o f h e r s i x -m o n th s u s p e n s i o n . See Mas on , 143 S .W .3 d a t 7 9 8 ; City of Ro anoke , 111 S. W . 3d a t628. The NC H A f urt heras se rt ed asa bas i s f ori t s t r adi t i ona l m ot i on f or su m m ary j udgm entt hatt he l ett erf r om G oi nst o Br ew st erw asa bi ndi ng se t t l em entag r ee m entan d di d not i ncl ude t he t er m con ce r ni ng r ei ns t at em entof W hi t m i r e’ s non- pr of essi onal st at us. But nei t herW hi t m i r e norheratt or ney s i g n e d th e l e tte r, o n l yG o i n ss i g n e d i t. See, e. g. , I n re Bunzl

USA , I nc. , 155 S . W . 3d 20 2, 20 9 ( Tex . A pp. — El Paso 2 00 4, no pet . ) ( noti ng t hati n absence ofsi gnatur e, ot herevi dence m ustbe r el i ed upo n t o pr ove part y’ s uncond i t i onal as se ntt o t er m s of w r i t t en con t r ac t ) . I n f ac t , t he l ett erdi d notev en con t ai n a si gna t ur e l i ne f orW hi t m i r e o rhe ratt or ney . I n suppo rto f i t s cont ent i on t hatt he sum m ary j udg m entevi dence con cl us i vel y e st abl i sh est hatG oi ns ’ s l ett erco ns t i t ut ed a b i ndi ng s ett l em ent agr ee m ent , t he N C H A al so r el i es on t he t r ans cr i pt f r om oneoft he hea r i ngson W h i tm i re ’sn o n -p ro fe s s i o n a l s ta tu s . T h e N C H A a rg u e sth a t W h i tm i re ’s a t t or ne y, W a l k e r , “ i n [ W hi t m i r e ’ s ] pr e s e nc e a c k no w l e dg e d t ha t t he Ja nu a ry 19,6 ... T h e f o llo w in g e x c h a n g e t o o kp la c e b e t w e e n W a lk e ra n d G o in sa tt h is

h e a ri n g : M r . W al ker : A nd i t ’ s t hi s ex c e pt i on t hathas al so been used as a bart o he rco m i ng backas a N on- Pr o, ev en hav i ng a cc ept ed t he si xm onth s uspensi on based up on an agre em entt hatw as r eached b e tw e e n M r. B re w s te r a sh e r c o u n s e l a n d M r. G o i n sa sy ’a l l ’s c o u n s e l. T h a t ’s ju s t a n a g r e e m e n t r e a c h e d b e t w e e n c o u n s e l, b a sica l l yto try to sm o o th thing s o v e r an d en d the fi g h t. M r . G oi ns: W ai ta m i nute. A r e y ou sayi ng i tw asn’ tbi ndi ng, t hat sh e d i d n ’tag ree to i t an d the as so c i a ti o n d i d n ’tag ree to i t?

. . . . M r. W a l k e r: I ’m n o t d e n y i n g th a t i t w a sb i n d i n g , sir. 22 20 05 Sett l em entA gr eem entw as a bi ndi ng agr eem entand m ade no m ent i on at t he t i m e o fan y a l l ege d or alag r ee m ent . ” Butt he t r ans cr i ptoft hathe ar i ng r eve al s t hat W al ke rag r ee d onl y t hatt he part i esha d r ea che d a bi ndi ng agr eem ent ; h e d i d not det ai l the t er m s of t hatag r eem entan d coul d have been refe rr i n g to th e o ral se ttl e m e n t ag ree m e n t. 6 Fi nal l y, ass um m ary j udgm entev i den cet hatt he l ett erco ns t i t ut ed a bi ndi ng s ett l em entag r ee m ent , t he N C H A poi nt s t o evi dencet hatatt he con cl us i on ofW hi t m i r e’ s si x- m ont h s us pen si on sh e r ea ppl i ed f orhe rnonpr of es si ona l s t at us, r at hert han de m and i ng a ut om at i c r ei ns t at em ent . The N C H A a s s e rt e d t h a tt h is e v id e n c e s h o w s t h a tW h it m ir e h a d “ a c t e d in a c c o rd a n c e w i th th e te rm so ft h e [l e tte r] fo r w e l l o v e r a y e a r.”B u t W h i tm i re23

exp l ai ned i n he rde pos i t i on t hataft erhe rs i x- m ont h s us pen si on ha d e nde d, s he
w ai t ed t o r ecei ve confi r m at i on t hathernon- pr of essi onal s tatu s had been aut om at i cal l y r ei nst at ed but t hatshe u l t i m at el y r eappl i ed af t ershe di d not hear anyt hi ng a bouthe rr ei ns t at em ent . W hen as ke d w hy s he r ea ppl i ed i ns t ea d of aski ng t he N C H A t o abi de by t hei ror al sett l em entagr eem ent , W hi t m i r e t est i f i ed t h a ts h e “ t h o u g h tt h a t[s h e ] c o u l d w o r kt h r o u g h t h e s y s t e m a n d , w it h o u tit i n v o l v i n g a tto rn e y sa n d a b u n c h o f e x p e n s e s , g e t [h e r] n o n -p ro c a rd b a c k .” To cont r overtt hese cont ent i ons by t he N C H A , W hi t m i r e pr odu ced s u m m a ryju d g m e n te v id e n c e c o n s is t in g o fd e p o s it io n t e s t im o n yf r o m h e r s e lf and f r om Br ew st ert hatG oi ns, as t he at t or ney f orthe N C H A , o r al l y agr eed t hat i fs he w oul d s t op a l l ap pea l s and ag r eet o a s i x- m ont h m em ber sh i p s us pen si on an d r evoca t i on ofhe ram at eurs t at us , t he N C H A w oul d r ei ns t at e h ernonpr of es si ona l s t at usatt he exp i r at i on oft hats i x- m ont h s us pen si on. In s u m , ta k i n g a stru e a l l e v i d e n c e fa v o ra b l e to W h i tm i re , i n d u l g i n g e v e ry re a s o n a b l e i n fe re n c e i n h e r fa v o r, a n d re s o l v i n g a n yd o u b ts i n h e r fa v o r, w e h o l d tha t t h e N C H A h a s n o t co n c l u sive l yp rov e n tha t G o i n s l a c k e d the au th o ri ty t o of f err ei nst at em entofW hi t m i r e’ s non- pr of essi onal st at us as partof t he or al s e ttlem e n t a g re e m e n t o r th a t th e t e rm so f th e o ra l s e ttlem e n t a g re e m e n t w e re ass t at ed i n Goi ns ’ s l ett eran d di d no ti ncl udet he pr ovi si on t hatatt he con cl usi on ofW hi t m i r e’ s si x- m ont h s us pen si on he rnon- pr of es si ona l s t at us7 ... I ti s har d t o i m agi ne t hatW hi t m i r e, w ho w asap pea l i ng t he r evo ca t i on

o fh e ra m a t e u rs t a t u sa n d s u s p e n s io n o fh e rn o n -p r o f e s s io n a l s t a t u s , w o u ld have “sett l ed” herdi sput e w i t h t he N C H Aby agr eei ng t o a r evoca ti on of her am at eurand non
- pr of essi onal st at uses and a si x- m ont h s us pen si on. 24 w oul d ber ei ns t at ed. 7 S e e V a len c eOp erati

ngCo . v. D o rse tt, 164 S. W . 3d 656, 6 6 1 (T e x . 2 0 0 5 ); City of Hous ton v. Clea r

Creek Ba si

n Auth. , 589 S . W . 2d 671, 6 7 8 (T e x . 1 9 7 9 ). W e h o l d th a t t h e t r ia l c o u rt e rre d b yg ra n ti n g s u m m a ry ju d g m e n tin f a v o ro ft h e N C H A o n W h it m ir e ’s b r e a c h o fc o n t r a c tc la im r egar di ng t he or al sett l em entagr eem ent . W e sust ai n W hi t m i r e’ s second i ssue.

V I. F RA UD A NDN E GL I GE NTM I SRE PRE SE NTATI ONC LA I MS I n he rt h i r d i s s u e , W h i t m i r e a r g u e st h a tt h e t r i a l c o u rte r r e d b ygr ant i ng su m m ary j udgm ent f or t he N C H A on her f r aud and ne gl i gen tm i sr epr es ent at i on c l a i m s . W h i tm i red o e sn o t c h a l l e n g e th e m e ri ts o f th e tri a l c o u rt’ss u m m a ry j udgm enton t hese c l ai m s buti ns t ea d a ss ert s a p ur el y pr oce dur alpoi nton appeal . W hi t m i r e ar gues t hat she assert ed t w o separ at e f act ual gr oun ds f orher f r a ud a n d n e g l i g e n tmi s r e p r e s e n t a t i o n c l a i ms a n d c o n t e n d st h a tt h e NC HA sough tsum m ar y j udg m entonl y w i t h r espectt o one f act ual grou n d fo r each c l a i m. S u m m a ryju d g m e n tc a n n o tb e g r a n t e d e x c e p to n t h e g r o u n d se x p r e s s ly p re s e n te d in t h e m o ti o n . Johnson , 7 3 S .W .3 d a t 2 0 4 ; Sci . Spec trum, I

nc. v. Marti nez , 941 S . W . 2d 910, 912 ( Tex. 1997 ) . I n de t er m i ni ng w het hergr ounds8 ... Forex am pl e, W hi t m i r e a l l ege d i n he rp et i t i on t hatt he N C H A “ m ade

a m a t e r ia l re p r e s e n t a t io n t o L a i n i e W h i t m ir e t h a tifs h e p a id h e rm e m b e r s h ip dues and abi ded byt he N C H A r ul es, she w oul d be gr ant ed herN on- Pr of essi onal s t a t u s a n d NCHAm e mb e r s h i p . ” I n t h e n e x ts e n t e n c e , s h e a l l e g e d , “ T h e NC HA, act i ng byand t hr oug h i t s l egal agent s and r epr esent at i ves, i ncl udi ng . . . G oi ns, f urt herr epr es ent ed t hati fM r s. W hi t m i r e a cc ept ed a s i x ( 6) m ont h s us pen si on ofherN C H A m em b er shi p benefi t s, and r evocat i on of heram at eurst at us, her N C H A m em ber sh i p a nd co r r es pondi ng Non- Pr of es si ona l s t at usw oul d be re i n s ta te d . . . .” 25 a re e x p re s s lyp r e s e n te d , re l i a n c e m a yn o t b e p l a c e d o n b ri e fs o r s u m m a ry j u d g m e n t e v i d e n c e . McConn el l v. So uthsi

de I ndep . Sch . Di

st. , 858 S. W . 2d 337 , 341 ( Tex. 1993 ) . The pur po seoft hi s r equ i r em enti s t o pr ovi de t he oppos i ng pa rt y w i t h ade qua t e i nf or m at i on f oroppo si ng t he m ot i on a nd t o de f i ne th e i s s u e so r p o i n ts fo r th e p u r p o s e o fs u m m a ryj u d g m e n t. Wes tch es ter F i re I ns. Co. v. A lvarez , 5 7 6 S .W .2 d 7 7 1 , 7 7 2 (T e x . 1 9 7 8 ); Ca m denMa ch . & T o o l, I nc. v. CascadeCo. , 870 S . W . 2d 304, 309 ( Tex. A pp. — FortW ort h 1993, no w ri t). W hi t m i r e c l ai m s t hat sh e pl ea ded f r aud and ne gl i gen tm i sr epr es ent at i on cl ai m s on t w o separ at e f act ual gr oun ds— ( 1) t hat “t he N C H A ’ s r evocat i on of her n o n -p r o f e s s io n a l s t a t u sw a sin c o n s is t e n tw it h t h e r e p r e s e n t a t io n sc o n t a in e d in t he N C H A ’ s m em ber shi p r ul es, ” and ( 2) t hat“t he N C H A , t hr oug h G oi ns, m i sr epr esen ted that W hi t m i r e’ s non- pr of essi onal st at us w oul d be r ei nst at ed upo n com pl et i on of t he agr eed si x m onth s uspensi on. ” Butherp e t i t i on do es n o ta s s e rtt h e s e t w o g r o u n d sa sc le a r lya ss h e c o n t e n d so n a p p e a l. 8I ns t ea d,26

herpe t i t i on a ppe ar s t o a ss ertonl y on e g r ound f orhe rf r aud an d ne gl i gen t m i sr epr esent at i o n cl ai m s: G oi ns’ s r epr esent at i on t hathernon- pr of essi onal st at usw oul d ber ei ns t at ed at t he end ofhe rs i x- m ont h m em ber sh i p s us pen si on. A fte r e x a m i n i n g W h i tm i re ’sp l e a d i n g , w e h o l d th a t h e r p e ti ti o n d o e sn o t a s s e rt t w o s epa r at e, di st i nctf ac t ualgr oundsf orherfr au d a nd ne gl i gen t m i sr epr esent at i on cl ai m s. B u t ev e n as su m i n g tha t W h i tm i re’s p e ti ti o n su ffi c i e n tl yall e g e d tw o di st i nctan d s epa r at e g r oundsf orhe rf r aud an d ne gl i gen tm i sr epr ese nt at i on c l a i m s, the N C H A ’s su m m a ry j u d g m e n t m o ti o n ad e q u a tel yas se rt e d i ts ri g h t t o s u m m a ry j u d g m e n t o n b o th fa c tu a l g ro u n d s . T h e p o rti o n o f th e N C H A ’s su m m ary j udgm entm ot i on r ega r di ng W hi t m i r e’ s f r aud an d ne gl i gen t m i sr epr es ent at i on c l ai m s al l ege d:

P l a i n ti ff’sfra u d a n d n e g l i g e n t m i s re p re s e n ta ti o n c la i m s. . . ar e based, i n part , on t he f ol l ow i ng al l egat i ons: “ T h e N C H A m a d e a m a t e r ia l re p r e s e n t a t io n t o L a n ie [ si c] W hi t m i r e t hati fshe pai d herm e m b e r shi p dues and abi ded byt he N C H A r ul es, she w oul d be gr ant ed h e r N o n -P ro fe s s i o n a l s ta tu sa n d N C H A m e m b e rs h i p .” ( Fo urt h Am e nd e d Pe t i t i on a t¶¶ 6 9 a nd 73) Thi s port i on ofPl ai nt i f f ’ s f r aud cl ai m s i s no m or e t han a r es t at em entofP l ai nt i f f ’ s br ea ch ofco nt r ac tcl ai m an d s houl d be di sm i ss ed asa m att erofl aw . Ji m W al t erH om es , I nc. v. Reed , 71 1 S . W . 2d 61 7, 61 8 ( Tex . 19 86 ) . Fu rt her , forthe r easons st at ed abo ve, an y s uch cl ai m i s bar r ed by t he j udi ci alnon- i nterv ent i on doc t r i ne and m us tbedi sm i ss ed.27

W hi t m i r e a r gue s on a ppe alt hat the N C H A ’ s us e t he phr as es“ i n pa rt ” and

“ [t ]h i s p o rti o n ” i n i ts s u m m a ry j u d g m e n t m o ti o n a s s e t fo rth a b o v e m a k e s it cl eart hatt he N C H A ’ s m ot i on sough tsum m ary j udg m entbased onl y on herf i r st f ac t ualgr ound f orhe rf r aud an d ne gl i gent m i sr epr es ent at i on c l ai m s— t hatt he r evo ca t i on ofhe rnon- pr of es si ona l s t at usw asi nco ns i st entw i t h t he r epr esent at i ons contai ned i n t he N C H A ’ s m em ber shi p r ul es. W hi l e i ti s t r ue, asW hi t m i r e c ont end s, t hat su m m ary j udgm ent ca nnotbe gr ant ed exc epton t he gr oundsex pr es sl y pr es ent ed i n t he su m m ary j udgm ent m o ti o n , th e N C H A ’sm o ti o n d id s p e c i fi c a l l ys e t fo rth i ts g ro u n d fo r s u m m a ry j u d g m e n t— th a t W h it m i re ’sfra u d a n d n e g l i g e n t m i s re p re s e n ta ti o n c l a i m sa re s i m p l y a re s ta te m e n t o f h e r b re a c h o f c o n tra c t c l a i m . Jo hn s o n, 73 S. W . 3d at 204 . Thus , t he su m m ary j udgm entgr ant ed f ort he N C H A w ason a gr ound sp ec i f i ca l l y s etf ort h i n i t s m ot i on— t hatW hi t m i r e’ s f r aud a nd ne gl i gen t m i sre p r esent at i on cl ai m s w er e si m pl y a r est at em entofherbr each oft he or al c o n tra c t c l a i m . See F i engo v. G en. Motor

s Cor p. , 225 S. W . 3d 858, 863 ( Tex. A pp. — D al l as2007 , no p et . ) ( hol di ng t hatde f end ant ’ s su m m ary j udgm ent m ot i on suf f i ci ent l y assert ed gr oun ds f o r d e fea t i ng t he ent i r et y ofpl ai nt i f f s’ c l a i m s ); s e ea ls o Schiller v. L e wis , No. 05- 07- 00209

- CV , 2008 W L3318 884, at*3 ( Tex . A pp. — D al l as A ug. 12 , 20 08 , no pet . ) (m e m . op. ) ( hol di ng t hat sum m ar y j udg m entm ot i on adeq uat el y addr essed pl ai nt i f f s’ new cl ai m s, w hi ch28

“ m e re l ya l l e g e d a n e w re a s o n w h y ” s u m m a ryj u d g m e n t w a sn o t a p p ro p ri a te ). The NC H A ’ s m ot i on f ors um m ary j udgm entputW hi t m i r e o n not i cean d pr ovi ded herw i t h adequ at e i nf or m at i on f orhert o opp ose i t s ass ert i on t hather f r aud and negl i gent m i sr epr esent at i on cl ai m s w er e si m pl y r est at em ent s ofher b re a c h o f o ra l c o n tra c t c l a i m . See, e. g. , Wes tchester Fi re I ns . Co. , 576 S. W . 2d at77 2. A nd W hi t m i r e does n o t c h a l l enge on appeal t he m er i t s oft he t r i al c o u rt ’s s u m m a ryju d g m e n to n t h e s e c la im s ; s h e a s s e rt so n lyt h a tt h e N C H A d id notm ovef ors um m ary j ud gm enton b ot h f ac t ualgr oundsf orhe rf r aud an d n e g lig e n tm is r e p r e s e n t a t io n c la im s . F o rt h e r e a s o n ss e tf o rt h a b o v e , w e h o ld th a t n o p ro c e d u ra l d e fe c t e x i s ts i n th e N C H A ’sm o ti o n . W e o v e rru l e W h i tm i re ’s t hi r d i ssue. V II . C ONC L USI ON T h e t r ia l c o u rtp r o p e r lyg r a n t e d s u m m a ryju d g m e n to n W h it m ir e ’s c la im s agai nstthe N C H A ford ecl ar at or y j udg m ent , br each ofcont r actf orr evoki ng her n o n -p r o f e s s io n a l a n d m e m b e r s h ip s t a t u sin v io la t i o n o ft h e N C H A ru le s , lib e l, vi ol at i on ofduepr oce ss , br ea ch off i duc i ary du t y, f r aud , an d ne gl i gen t m i s re p re s e n ta ti o n . H o w e v e r, th e t ri a l c o u rt im p ro p e rl yg ra n te d f i n a l s u m m a ry ju d g m e n tin f a v o ro ft h e N C H A f o rW h it m ir e ’s b r e a c h o fc o n t r a c tc la im r egar di ng t he or al sett l em entagr eem ent . A ccor di ngl y, w e af f i r m t he t r i al29

cou rt ’ s j udgm enti n part , r eve r set he t r i alcourt ’ s j udgm enti n part , an d r em and t hi s ca us e t o t he t r i alcourtf orf urt herpr oce edi ngsco ns i st entw i t h t hi s opi ni on.

SU E W A LKER J U S T I C E PA N EL: CA YC E, C. J. ; D A U PH I N O T and W A LKER, JJ. DEL I VERE D: J ul y 23, 2009