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

## COURT OFAPPEALS SECOND DISTRICTOF TEXAS FORT WORTH NO. 2 - 0 8 - 2 6 3 - CV JOHN M CD O NA L D A ND APPE L L AN TS CHE RYLM CDONALD, I NDI VI DUAL L Y AN D A S NEXT F RI END FOR M I N O R PA TR I C K TU C K ER M C D O N A LD V . C I TY O F TH E CO LO N Y, TEX A S A PPELL EE

----- ----- -- FR O M THE 211TH DI STRI CT CO URT O F DENTO N CO UN TY

----- ----- -- 

### MEMORANDU M OPI NI ON 1

----- ----- -- I. I NTR ODUCTI ON Thi s i s an i nt er l ocu t ory a ppe alby A ppe l l ant s John M cDonal d a nd Cheryl M cDonal d, i ndi vi dua l l y and asnextf r i end f orm i norPat r i ckTuck erM cDonal d, f r om t he t r i al cou rt ’ s or der part i al l y gr ant i ng Appel l eet he C i t y ofThe Col ony, T e x a s ’sp l e a to th e j u ri s d i c t i o n . S ee T e x . C i v . P ra c . &R e m . C o d e A n n . §2 ... S ee Te x. C i v. Pr a c . & Rem . C od e A nn . §§ 101. 001–. 021, . 023–. 109

(V e rn o n 2 0 0 5 ); § 1 0 1 .0 2 2 (V e rn o n S u p p . 2 0 0 8 ).

3 ... S eeTe x. Con s t . a rt . I , § 17 . 4 ... W e r el y on t he pl ea di ngsand t he r el eva ntj ur i sd i ct i ona l ev i den cei n t he r ec or d t o s upportourhol di ng. O urhol di ng t oda y i s l i m i t ed t o ourr evi ew oft he 2 51. 014 ( a) ( 8) ( V er non 2008) . The M cDonal dsr ai sef ouri ss ueson app ea l . Fo r t he r easons di scussed bel ow , w e hol d thatt he M cD onal ds i nvoked t he t r i al cou rt ’ s su bj ec tm att erj ur i sd i ct i on r ega r di ng t hei rnegl i gen cecl ai m s f orus e o f m ot or - dr i ven eq ui pm entan d r ega r di ng t hei rpr em i se s def ec tcl ai m by al l egi ng fa c ts a n d p re s e n ti n g ju ri s d i c ti o n a l e v i d e n c e e s ta b l i s h i n g a w a i v e r o f th e C i ty ’s g o v e r n m e n ta l i m m u n i typ u rs u a n t to th e T e x a sT o rt C l a i m sA c t (th e T T C A ). 2 W e a l s o ho l d t ha tt heM c Dona l dsi nv ok e d t het r i a l c ou rt ’ ss ubj e c tm a t t er j ur i sd i ct i on r ega r di ng t he i rn ui sa ncecl ai m by al l egi ng f ac t s and pr es ent i ng j ur i sdi ct i onal evi dence est abl i shi ng a w ai veroft he C i t y’ s gover nm ent al i m m uni t y f ora nui sa ncer i si ng t o t he l eve l ofan unc ons t i t ut i ona l t ak i ng. 3 W e f urt herhol d t hatt he f act s p l e a d ed by t he M cD onal ds and t he j ur i sdi ct i onal evi den cepr es ent ed t o t he t r i al cou rt di d notr ai sea f ac tque st i on c onc er ni ng t he t r i al c o u rt ’ s s u bj e c t m a t t e r j u r i s d i c t i o n o v e r t h e i r n e g l i g e n c e c l a i m s f o r u se of t angi bl e per sonal pr opert y orf oruse ofm ot or - dr i ven vehi cl e or overt hei rbr each ofw ar r ant y cl ai m s. C ons equ ent l y, w e w i l l af f i r m i n pa rtan d r eve r sei n pa rtt he t r i al co urt ’ s or deron t he C i t y’ s pl ea t o t he j ur i sd i ct i on. 4re c o rd a t th i se a r lys ta g e o f th e p ro c e e d i n g s . T h e o u tc o m e o f a n ys u m m a ry

j udgm entor an y ot herf ut ur e p r oce edi ngsm ay vary de pen di ng on t he devel opm entofany addi t i onal evi dence. 3 II . F ACTUA LAN DP ROCEDURALB AC KG ROUND The Ci t y l ea se d t o Cl ub F or e Sport s C ent era t r ac to fl an d f ort he c o n stru c ti o n an d o p e rati o n o f a g o l f dri v i n g ran g e an d p u b l i c rec rea ti o n fac i l i ty (t h e “ G o lfC e n t e r ” ). A p p e lla n tJ o h n M c D o n a ld s u b s e q u e n t lyp u r c h a s e d t h e G o lf C ent erbusi ness and assum ed t he l ease of t he pr em i ses pur suantt o a w r i t t en a ss i g n m e n t. The Ci t y ow nsand oper at esa w as t ew at erl i fts t at i on on a port i on oft he le a s e d p r e m is e sa sp a rto fit sw a s t e w a t e rc o lle c t io n s y s t e m . T h e lifts t a t io n is lo c a t e d o n t h e e a s ts id e o ft h e le a s e d p r e m is e sa n d iss u r r o u n d e d b ya c h a in l i nk f enc e w i t h a ga t ed ent r anc e. The l i fts t at i on us esm ot or - dr i ven eq ui pm ent t o pum p r aw sew age uph i l l f r om t he l ow - l yi ng ar ea w her e t he st at i on i s l ocat ed t o a not herpa rtoft he se w agesys t em l oca t ed on adj ac entl and ow ned by t he C i t y. I tw asde si gne d t o a cc om m oda t e f ours ubm er si bl e p um ps . W hen t he M c D o n a l d sfi l e d s u i t i n M a y2 0 0 7 , t w o o fth e fo u r s u b m e rs i b l e p u m p sw e re d a m a g e d b e y o n d re p a iran d n o l o n g e r i n o p e rati o n an d o n e o f t h e tw o oper at i onal pum ps w as “as sum ed t o be of f l i ne i n or der to m e e tt he [ Tex as C om m i ss i on on Env i r onm ent alQ ual i t y] TC EQ r equ i r em ent s. ” Thus , t he4

oper at i ng capaci t y oft he l i f tst at i on w as l i m i t ed t o 3 . 5 m i l l i on gal l ons perday ( M G D ) ( t he ope r at i ng c apa ci t y oft he si ngl e onl i ne oper at i ona l pum p) , al t hough t h e s t a t i o n wa so p e r a t i n g a ta n e s t i ma t e d c a p a c i t yo f5 . 0 M GD. W ast ew at erent ers th e l i ftst at i on t hr oug h an i nf l uent box thatw as desi gned to i ncl ude a m echani cal barscr een. The m echani cal barscr een uses a c onve yorbe l ts ys t em t o r em ovean y l ar ge o bj ec t s t haten t ert he l i fts t at i on w i t h t h e w a s t e w a t e rf l o w s . T h e m e c h a n i c a l b a rs c r e e n p r o t e c t st h e p u m ps f r om t hos e l ar ge obj ec t s and i s r equ i r ed f or t he r ea so nab l e a nd s af e u seoft he pum ps . Due t o f r equ entm ec han i ca l an d m ai nt ena ncepr obl em s w i t h t he m ec han i ca l barscr ee n, t he C i t y r em ove d i tar ound O ct obe r2006 , w hi ch l eftt he i n fl u e n t bo xan d the u n d e rgro u n d m o to rs a n d p u m p s e x p o se d . T h e C i ty cov er ed t he ope ni ng w i t h a m et alco ver“ t o pr eve ntm al odor ousga se s f r om e s c a p i n g .” I n S ept em ber20 06 , t he M cD onal ds l ear ned t hatt he l i ftst at i on w as

2 em i t t i ng har m f ul hyd r oge n s ul f i de gas( H S) . M r . M cDonal d c ont ac t ed t he TC EQ , co m pl ai ni ng of hea dac hes , nau se a, di z z i nes s, eye and t hr oati r r i t at i on, and co r nea l opa ci t y. The TC EQ t ookai rq ua l i t y s am pl esf r om t he l i fts t at i on,

2 and on Se pt em ber29, 2006 , i ti ss ued a r epo rtt hatH S conc ent r ati ons f r om t h e s e s a m p le sw e r e “ w it h in ra n g e t o c a u s e t h e s y m p t o m st h a tM r . M c D o n a ld [ w as] ex per i enci ng. ” S peci f i cal l y, t he T C EQ r eport ed t hat“[ o] ft he 7 3 sam pl es5 ... S ee 3 0 T e x . A d m in . C o d e § 1 1 2 . 3 1 (2 0 0 8 ) ( T e x . C o m m . E n v t l.

Q u a l i ty , A l l o w a b l e E m i s s i o n s --R e s i d e n ti a l , B u s ., o r C o m m e rc i a l P ro p .) 2 (pro h i b i ti n g em i ss i o n s o f H S o v e r 0 .0 8 p p m av e ra g e d o v e r an y3 0 -m i n u te 2 per i od i ft he dow nw i nd c onc ent r at i on ofH S af f ec t s pr ope rt y us ed f or re s i d e n ti a l , b u s i n e s s , o r c o m m e rc i a l p u rp o s e s ). 5 t hatw er e t ak en, 36 w er e w el l ab ovet he r es i den t i al , r ec r ea t i ona l , busi nes s or c o m m e rc i a l re g u l a ti o n 3 0 -m i n u t e s ta n d a rd o f 0 .0 8 p p m ,” 5 a n d it“ s t r o n g ly

2 rec om m en d[ed ] ” t ha t ac t i on s be t ak en t o r ed uc e exp os ure t o H S . M r. M cDonal d al so hi r ed G r ee n St arEnv i r onm ent alt o f ol l ow up w i t h i nde pen den t

2 ai rqua l i t y t es t s, and t hes e t es t s r eve al ed t hat t he l i ft st at i on w asem i t t i ng H S i n excess ofnat i onal l y pr escr i bed r eport i ng l i m i t s. M r . M cDonal d c l os ed t he G ol fCent eri n O ctob er 2 0 0 6 bec aus e o ft he har m f ul ga s em i ss i ons . I n M ay 200 7, t he M cDonal ds f i l ed su i t aga i ns tt he C i t y, assert i ng cl ai m s f or nui sance, br each of contr act , i nver se condem nat i on, br each ofw ar r ant y, negl i gence, gr oss negl i gence, and negl i gence perse. Theyt w i ce am end ed t hei rpe t i t i on t o i ncl ude ca us es ofac t i on f orpr em i se s def ec tan d f r aud and t o see k i nj unc t i ve r el i ef . I n a ddi t i on t o c l ai m s bas ed on t he C i t y’ s ope r at i on oft he l i f tst at i on, t he M cD onal ds al so al l eged t hatt he C i t y dr ove l ar ge vehi cl es and ba ckhoe s ove rt he gr as syar ea s oft he G ol fCent er , cr ea t i ng de ep, m uddy r ut s on t he l eased pr em i ses and dam agi ng t he gol fgr eens and spr i nkl ersyst em .6 ... Th e M cD onal ds appeal t he t r i al court ’ s or dergr ant i ng t he C i t y’ s pl ea

on al l o fthese causes o facti on excep tf ort hei rpur e t aki ngs cl ai m , w hi ch t hey s p e c if ic a llyd o n o ta p p e a l. W e u t iliz e t h e t e r m “ p u r e t a k in g s ” t o d is t in g u is h t h is c la im f r o m t h eM c D o n a ld s ’s n u is a n c e -r is in g -t o -t h e -le v e l-o f -a n -u n c o n s t it u t io n a l6 The Ci t y f i l ed a pl ea t o t he j ur i sd i ct i on, as se rt i ng t hati tw asi m m unef r om sui t . The M cD onal ds f i l ed a r esponse t o t he C i t y’ s pl ea a nd at t ached as evi den cean af f i dav i tofJohn M cDonal d, t he agr ee m entbe t w ee n t he C i t y a nd C l ub F or e Sport s C ent er and var i ousas si gnm ent s oft hatag r ee m ent , t he TC EQ rep o rt , a n d a l a b o rato ry rep o rtfr o m G ree n S tar E n v i ron m e n tal ’s airq u a l i ty tes ti n g aro u n d the l i ft sta ti o n . I n a s u p p l e m e n tal re sp o n se to th e C i ty’s p l e a to t he j ur i sd i ct i on, t he M cDonal ds att ac hed a se ven t y- pag e pr el i m i nary des i gn r eportdat ed Jun e 25 , 20 07 ( t he “Pr el i m i nar y R eport ”) , w hi ch w as pr epar ed at t he C i t y’ s r equ es tby a t hi r d- part y e ngi nee r i ng f i r m an d w hi ch exp l ai ned t he c o n d i ti o n o f th e l i ft s ta ti o n a n d re c o m m e n d e d c e rta i n i m p ro v e m e n ts to i t. A fte r a h e a ri n g o n th e C i ty ’s p l e a , th e tri a l c o u rt o ra l l yg ra n te d th e C i ty ’s pl ea r egar di ng al l of t he M cD onal ds’ s cl ai m s except f ort hei rbr each ofcont r act a n d i n v e rs e c o n d e m n a ti o n c l a i m s . I n J u n e 2 0 0 8 , a fte r h e a ri n g th e M c D o n a l d s ’s m o ti o n fo r re c o n s i d e ra ti o n , th e c o u rt e n te re d a w ri tte n o rd e r g ra n ti n g th e C i ty ’s pl ea t o t he j ur i sd i ct i on w i t h r ega r d t o t he M cDonal ds ’ s ca us esofac t i on f or nui sance, br each ofw ar r ant y, n egl i gence, g r oss neg l i gence, n egl i gence perse, pr em i ses def ect , and pure t aki ngs. 6I tde ni ed t he pl ea w i t h r ega r d t o t het aki ng cl ai m . These cl ai m s w er e pl eaded separ at el y an d ru l ed on byt he t r i al

cou rts epa r at el y. 7 M cDonal ds ’ s br ea ch ofco nt r ac tan d i nve r seco nde m nat i on c l ai m s. The M c D o n a l d s ti m e l yp e rf e c ted an ap p e a l to th i s c o u rt . II I. S TA NDA RD OFR EVI EW A pl ea t o t he j ur i sd i ct i on c hal l eng est he t r i alco urt ’ s aut hor i t y t o de t er m i ne t he su bj ec t m att er of t he ac t i o n . Tex. D ep’tof Transp. v. Jones , 8 S. W . 3d 636 , 638 ( Tex. 1999 ) . W het hera t r i alco urtha s su bj ec tm att erj ur i sd i ct i on a nd
w het her a pl eader has al l eged f act s t hat af f i r m at i vel y dem onst r at e the tr i al cou rt ’ s su bj ec tm att erj ur i sd i ct i on ar e ques t i onsofl aw t hatw e r evi ew denov o. Tex. D ep’tof

Par ks& W i ldl if e v. Mi randa , 1 3 3 S .W .3 d 2 1 7 , 2 2 6 (T e x . 2 0 0 4 ); Tex. Natural

Res . Conservati

on Com m ’

n v. I T-D avy, 74 S. W . 3d 849 , 855 ( Tex. 2 0 0 2 ). The de t er m i nat i on ofw het hera t r i alco urthas su bj ec tm att erj ur i sd i ct i on b e g i n s w i th th e p l e a d i n g s . Mi randa , 133 S. W . 3d at2 26. The pl ai nt i f fha s t he bur den t o pl ea d f ac t s af f i r m at i vel y s how i ng t hatt he t r i alco urtha s j ur i sd i ct i on. Tex. A ss ’

n of Bus . v. Tex. A i

r Control Bd. , 8 5 2 S .W .2 d 4 4 0 , 4 4 6 (T e x . 1 9 9 3 ); Univ. of

N. Tex. v. Harvey , 12 4 S. W . 3d 21 6, 22 0 ( Tex . A pp. — Fort W o rt h 2 0 0 3 , p e t. d e n i e d ). W e c o n s tru e th e p l e a d i n g sl i b e ra l l yi n f a v o r o f th e p l e a d e r, l ookt o t he pl ea der ’ s i nt ent , an d a cc eptast r ue t he f ac t ualal l ega t i onsi n t he8

p l e a d i n g s . See Mi

randa , 1 3 3 S . W . 3 d a t2 2 6 , 2 2 8 ; Cit y of FortWorth v. Crocke tt, 1 4 2 S .W .3 d 5 5 0 , 5 5 2 (T e x . A p p .— F o rt W o rth 2 0 0 4 , p e t. d e n i e d ). I fa pl ea t o t he j ur i sdi ct i on chal l enges t he exi st ence ofj ur i sdi ct i onal f act s, w e co n side r r e l e v a n t ev i d e n c e su b m i tted b ythe p a rt i e s w h e n n e c e ss a ry to re s o l v e th e j u ri s d i c ti o n a l i s s u e s ra i s e d , a s th e tri a l c o u rt i s re q u i re d to d o . S ee Bl and I ndep. Sch. D i

st. v. Blue , 34 S. W . 3d 547, 555 ( Tex. 2000 ) ( con f i ni ng t he e v i d e n ti a ryre v i e w to e v i d e n c e th a t i sre l e v a n t to th e j u ri s d i c ti o n a l i s s u e ). I f t he evi dence cr eat es a f act quest i on r egar di ng t he j ur i sdi ct i onal i ssue, t hen t he t r i al courtcannot gr antt he pl ea t o t he j ur i sdi cti o n , a n d the f act q u e s ti o n w i l l b e re s o l v e d b y th e fa c t fi n d e r. Id. a t 2 2 7

– 2 8 ; Bl and, 34 S . W . 3d at555. I ft he r el eva ntev i den cei s undi sp ut ed orf ai l s t o r ai sea f ac tque st i on on t he j ur i sd i ct i ona l i ss ue, how eve r , t he t r i alco urtr ul es on the pl ea t o t he j u ri s d i c ti o n a s a m a t t e r o f l a w . Mi randa , 1 3 3 S .W .3 d a t 2 2 7

– 2 8 ; Bl and, 34 S. W . 3d at5 55. Thi s st and ar d m i r r or s ourr evi ew ofs um m ary j udgm ent s, an d
w e t her ef or e t ak e a s t r ue al l ev i den ce fav or abl e t o t he nonm ova nt , i ndul gi ng e v e ryre a s o n a b l e 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 i n th e n o n m o v a n t’sfa v o r. City of El Paso v. Hei

nr i ch , N o. 0 6- 07 78 , 2 00 9 W L 1 16 53 06 , at*9 ( Tex . M ay 1, 2009 ) ( ci t i ng Mi

randa , 1 3 3 S .W .3 d a t 2 2 8 ).9 IV . G OVERNM ENTALI M M UNITY I n t hei rfi r sti ss ue, t he M cDonal dsar guet hatt he t r i alco urter r ed by gr ant i ng t he C i t y’ s pl ea to t he j ur i sdi ct i on on t hei rcl ai m s f ornegl i gence, gr oss neg l i gen ce , ne gl i gen cepe rs e, pr em i ses d ef ec t , nui sa nce , an d br ea ch of
w a rra n ty . I n th e i r s e c o n d i s s u e , th e M c D o n a l d sa rg u e th a t th e tri a l c o u rt i gnor ed t he undi sp ut ed evi den cei n gr ant i ng t he C i t y’ s pl ea t o t he j ur i sd i ct i on o n t h e g r o u n d sc h a lle n g e d in t h e i rf ir s tis s u e . T h e yd o n o ta d d r e s ss p e c if ic port i onsoft he r ec or d. W e l i ber al l y c ons t r ue thi s i ss ue aspa rtoft he M c D o n a l d s ’sfi rs t i s s u e c h a l l e n g i n g th e tri a l c o u rt’so rd e r g ra n ti n g th e C i ty ’s pl ea t o t he j ur i sdi c ti o n, and w e addr ess i ti n conn ect i on w i t h t hei rf i r sti ssue. W e a ddr es s ea ch oft he M cDonal ds ’ s ar gum ent s unde rt hei rf i r stan d s ec ond i s s u e s b e l o w. A . G OVERNM ENTALI MM UNI TY A ND T HET TCA G e n e ra l l y , g o v e rn m e n ta l u n i ts a re i m m u n e fro m s u i t u n l e s sth e l e g i s l a tu re e x p re s s l y c o n s e n te d to th e s u i t. Jones , 8 S .W .3 d a t 6 3 8 ; Fe d. Si gnv. Tex. S. Univ. , 9 5 1 S .W .2 d 4 0 1 , 4 0 5 (T e x . 1 9 9 7 ), superceded bysta tu te on other groundsass tated i n Gen . S ervs. Com m ’ n v. Little- Tex. I

ns ul ati on Co. , 39 S .W .3 d . 5 9 1 , 5 9 3 (T e x . 2 0 0 1 ). G o v e rn m e n ta l i m m u n i tyo n l ya p p l i e sto a c i ty ’s g o v e rn m e n ta l fu n c ti o n s . T o o ke v. City o f

Mexia , 1 97 S. W . 3d 325 , 343 ( Tex. 2 0 0 6 ). T h u s, i f a c i ty i s e n g a g e d i n a p rop ri e taryfu n c ti o n , th e cit yi s l i a b l e to10

th e s a m e e x te n t a sa p ri v a te e n ti tyo r i n d i v i d u a l . D i l ley v. City of

Hous ton , 148 T e x . 1 9 1 , 2 2 2 S .W .2 d 9 9 2 , 9 9 3 (1 9 4 9 ); see al so To oke , 197 S. W . 3d a t343 ( “A m uni ci pal i t y i s noti m m une f r om sui tf ort ort s com m i t t ed i n t he per f or m ance ofi t s pr opr i etar y f unct i ons , asi ti s f ort ort s com m i t t ed i n t he perf or m anc e o f i t s gove r nm ent al f unc t i ons . ”) . C onve r se l y, a m uni ci pal i t y eng age d i n a f unc t i on def i ned byt he Legi sl at ur e t o be gov er nm ent al i s ent i t l ed t o g o v e r nm ent al i m m uni t y pr ovi ded t hatt he Texa s Le gi sl at ur e h asnotot her w i seau t hor i z ed a w a i v e r o f th i si m m u n i ty . See City of Houston v. Clear Chann el O utdoo r , I nc. , 1 6 1 S .W .3 d 3 , 6 (T e x . A p p .— H o u s to n [1 4 th D i s t.] 2 0 0 4 ), rev’d on other grounds , 1 9 7 S .W .3 d 3 8 6 (T e x . 2 0 0 6 ). The l egi sl at ur e g aves uch co ns en tan d gr ant ed a l i m i t ed w ai verof i m m uni t y i n t he T TC A , w hi ch per m i t s sui t s t o be br oug htagai nstgover nm ent al u n i ts i n c e rta i n n a rro w l y -d e fi n e d c i rc u m s ta n c e s . Tex . D ep’tof Cr i m i nal Justi ce v. Mi l ler, 5 1 S .W .3 d 5 8 3 , 5 8 7 (T e x . 2 0 0 1 ); se e al so D al l as County MHMR v. Bo ssl ey , 9 6 8 S .W .2 d 3 3 9 , 3 4 1 (T e x .), cert. deni ed, 5 2 5 U .S . 1 0 1 7 (1 9 9 8 ). T h e T T C A p ro v i d e sth a t a g o v e rn m e n ta l u n i t i sl i a b l e fo r: (1 ) p r o p e rt yd a m a g e , p e r s o n a l in ju ry , a n d d e a t h p r o x im a t e ly caused by t he w r ong f ul actorom i ssi on o r the negl i gence of an e m p l o y e e ac ti n g w i th i n h i s s c o p e o f em p l o y m e n t i f: ( A ) t he pr opert y dam age, per sonal i nj ur y, ordea t h ar i ses f r om the oper at i on orus e o fa m ot or - dr i ven ve hi cl e o r m ot or - dr i ven eq ui pm ent ; an d11 ( B) t he em pl oye e w oul d bepe r so nal l y l i abl e t o t he cl ai m ant ac cor di ng t o Tex asl aw ; an d ( 2) pe r so nali nj ury a nd de at h s o c aus ed by a co ndi t i on orus e o f t ang i bl e p er so nalo rreal pr ope rt y i ft he gove r nm ent aluni tw oul d, w e re i t a p ri v a te p e rso n , b e li a b l e to th e clai m a n t ac c o rding to T e x a sl a w. Te x. Ci v. Pr a c . & Rem . Cod e Ann . § 10 1. 021. A pl ai nt i f fm ustpl ead f act s suf f i ci entt o i nvoke a w ai ver ofgover nm ent al i m m u n i tyu n d e r th e T T C A . Co un tyo f Ca mero nv. Bro wn , 80 S . W . 3d 549, 555 (T e x . 2 0 0 2 ); Univ. of N. Tex. , 1 2 4 S . W . 3 d a t 2 2 2 . W e mu s tl o o kt o t h e t e r ms o f t h e T T C A an d the n d e term i n e w h e th e r th e l i a b i l i ty the o ri e s plea d e d , th e fac ts pl ea ded , an d t he j ur i sd i ct i ona l evi den ce pr es ent ed dem ons t r at e a cl ai m f al l i ng w i th i n th e T T C A ’s w a i v e r o f i m m u n i ty . Univ. of N. Tex. , 124 S. W . 3d a t222. B. Go v e r n m e n t a lo rP r o p r i e t a ryF u n c t i o n u n d e rt h eT TCA A m uni ci pal i t y’ s gove r nm ental func t i onsar e “ ‘ i n t he perf or m anc e o f pur el y governm ent al m at t er s sol el y f or t he pub l i c benef i t . ’ ” To oke , 197 S. W . 3d at34 3 ( ci t at i ons om i t t ed) . Forpur poses oft ortl i abi l i t y, t he Legi sl at ur e has s t a t u t o r ilyin c lu d e d “ g a r b a g e a n d s o lid w a s t e re m o v a l, c o lle c t io n , a n d d is p o s a l” and w at eran d sew erser vi ces i n a n onexcl usi ve l i stofgover nm ent al f uncti ons. T e x . C i v . P rac . & R e m . C o d e A n n . § 1 0 1 .0 2 1 5 (a)( 6 ), (3 2 ). T h u s, a m u n i c i p a l i ty m ay be hel d l i a b l e in t ortf ordam ages caused i n t he car ryi ng ou toft hese7 ... O n a p p e a l , th e M c D o n a l d s a l so arg u e tha t t h e yp l e a d e d a s e p a rate

n e g lig e n c e c a u s e o f a c t io n a g a in s t t h e C it yf o rd a m a g e ss u s t a in e d t o t h e G o lf C en t er’ s gr oundsaft erCi t y e m pl oye esdr oveCi t y- ow ned t r uck s ac r os s t he l ea s e d pr e m i s e s . Th e M c Dona l ds a l l e ge i n t he i r br i e f t o t hi s c ou rtt hatt hey est abl i shed a w ai veroft he C i ty’ s gover nm ent al i m m uni t y f ort hi s negl i gence a c ti o n p u rs u a n t to th e u s e -o f-m o to r-d ri v e n -v e h i c l e e x c e p ti o n to th e T T C A . S ee Tex . C i v. Pr ac. & Rem . C o d e A nn. § 1 01 . 02 1( 1) ( A ) . But und ert he f act ual b a c k g r o u n d s e c t io n o ft h e irt h ir d a m e n d e d p e t it io n , t h e M c D o n a ld sp le a d e d o n ly t hat“t he i nt ent i onal d r i vi ng ofl ar ge vehi cl es and C i t y ow ned and oper at ed back hoe s ove rt he G ol fCent er gr as se d a r ea s cr ea t [ ed] l ar ge dee p m uddyr ut s on t he pr ope rt y”an d a l l ege d t hatt hi s ca us ed dam aget o t he G ol fCent er ’ s gr ee nsan d sp r i nkl ers ys t em . Butnow her e i n t he pet i t i on di d t heypl ea d a ca us e o fac t i on f ornegl i gence based on t hese f act ual al l egat i ons or pl ead t hatt he C i t y w ai ved i tsg o v e rn m e n ta l i m m u n i tyfo r th e s e a c ti o n sb a s e d o n t h e T T C A ’su s e -o f-m o to rd ri v e n -v e h ic le e x c e p ti o n . S e eid .; Bro wn , 8 0 S . W . 3 d a t5 5 5 . T h u s , we o v e rru l e th a t p o rti o n o f th e M c D o n a l d s ’s fi rs t i s s u e c h a l l e n g i n g th e tri a l c o u rt’s or dergr ant i ng t he C i t y’ s pl ea t o t he j ur i sdi ct i on on t he M cD onal ds’ s negl i gence cl ai m s t o t he ext entt hatt hose cl ai m s i nvol ve t he C i t y’ s use ofm ot or - dr i ven vehi cl es. 12 f unc t i onsonl y i ft he pl ai nt i f fpl ea dsf ac t s su f f i ci entt o i nvok e a w ai verof m u n i c i p a l i ty ’sg o v e rn m e n ta l i m m u n i tyu n d e r th e T T C A . Se e id. ; Bro wn , 80 S. W . 3d a t555. H er e, al l oft he M cD onal ds’ s t ortcl ai m s— speci f i cal l y, t hei rnegl i gence, gr os s neg l i gen ce , ne gl i gen cepe rs e, an d pr em i se s def ec tcl ai m s— i nvol ve t he C i t y’ s oper at i on of i t s w ast ew at ercol l ect i on syst em . 7 S ee T e x . C i v . P ra c . & R em . C ode A nn. § 1 01 . 02 1 5 (a)( 6) , ( 32 ) . Thu s, t hese cl ai m s i nvol ve a go ve r nm en t al f un cti on an d m us t f al l w i t hi n a stat ute t ha t w ai ve s th e C i ty ’s i m m u n i ty . S ee i

d. ; To oke , 197 S. W . 3d a t343.8 ... Th e C i t y al so co nt ends t hatthe M cD onal ds’ s cl ai m s m ustf ai l because

t h e yd id n o tp le a d o rp r o v id e e v id e n c e ” t h a ta n ye m p lo y e e sw o u ld b e p e r s o n a lly l i abl e t o t hem underTexas l aw . ” S ee T e x . C i v . P ra c . & R e m . C o d e A n n .§ 1 0 1 .0 2 1 (1 )(B ); se ealso D e W itt v. Ha rr

i s Co un ty , 904 S. W . 2d 650 , 653 ( Tex. 199 5) ( hol di ng t hati fgov er nm ent alem pl oye e i s prote ct ed f r om l i abi l i t y by of f i ci al i m m uni t y, t hen go ver nm ent al uni ti s l i kew i se i m m une f r om l i abi l i t y und er se ct i on 10 1 . 0 2 1 ( 1) ) . Butco nt r ary t o t he C i t y’ s con t ent i on, t he M cDonal ds sp ec i f i ca l l y a l l ege d t hatt hei rne gl i gen cecl ai m s i nvol ve “p er so nali nj ury and p rop e rt yd a m a g e ca u se d b ythe n e g l i g e n t op e rati o n o r us e o f m o to r- dr iven equi pm ent b y D e fen d a n t’ s em p l o y e e (s), a n d th e em p l o y e e (s) w o u l d b e l i a b l e to P l a i n ti ff u n d e r T e x a sla w .” T h u s , w e h o l d t h a t th e M c D o n a l d s ’sp l e a d i n g sw e re suf f i ci entt o al l ege t hata C i t y em pl oyee w oul d be per sona l l yli a b l e t o t hem u n d e r T e x a s l a w a s re q u i re d b ys e c ti o n 1 0 1 .0 2 1 (1 ). See Mi randa , 133 S. W . 3d 13 C . I nvoc at i on ofTr i alCourt ’ s Subj ec tM att erJur i sd i ct i on ove rN egl i gen ceCl ai m s f orU seofM ot or - D r i ven Equi pm ent The M c Do n a l d sr e l i e d i n p a rto n t h e T TCA’ su s e - o f

- m o t o r - d r i v e nequ i pm entex ce pt i on t o s upportt hei rne gl i gen cecl ai m s. The M cDonal ds a l l e g e d tha t th e l i ft sta ti o n p u m p s w e re “m o to r- d ri v e n e q u i p m e n t, ” t h a t th e C i ty n e g l i g e n tl yu se d the se p u m p s b yo p e rati n g th e m o v e r ca p a c i ty a n d w i th o u t a

2 m echani cal b arscr een, and t hatt hi s use pr odu ced har m f ul H S em i ssi ons, w h i c h ca u se d p rop e rt yd a m a g e an d p e rso n a l i n j u ry to the M c D o n a l d s. T h e C i ty con t end s t hatt he M cDonal ds ’ s cl ai m s i nvol ve t he C i t y’s no n- us e o ft he m ec han i ca l bar sc r ee n, w hi ch doe s not sa t i sf y t he “u se- of

- pr ope rt y” r equi r em entoft he T TC A , and t hat t he M cD onal ds have not pl eaded orpr ovi ded evi den ceofa ca us all i nk bet w ee n t he oper at i on oft he m ot or - dr i ven eq ui pm ent and t hei rdam ages. 8a t 2 2 6 ; Fl oyd, 150 S. W . 3d a t228. 14

1. Motor-D r

ivenEqui

pm ent St at i ona ry e l ec t r i c m ot or - dr i ven pum psf al l w i t hi n t he m ea ni ng of

“ m o to r-d ri v e n e q u i p m e n t” fo r p u r p o s e s o f th e T T C A . S ee, e. g. , Tex. Natural Res. Co n serva tio n C o m m ’n v. W hite , 46 S . W . 3d 864, 868 ( Te x. 2001 ) ( “‘ M ot or - dr i ven’ m eans, qui t e si m pl y, dr i ven by a m ot or . Th e pum p i n t hi s case w asan i m pl em entused f ort he pur pos e o fdi ss i pat i ng f um es . I tw asdr i ven — or m adet o pe r f or m i t s t as k— by a m ot or . I tt her ef or e f i t s t he gen er alde f i ni t i on of ‘m o to r-d ri v e n e q u i p m e n t.’” ); F lo yd, 1 5 0 S .W .3 d a t 2 2 8 (“T h e l i ft s ta ti o n ’s pum ps a r e m o t o rd r i v e n , a n d t h u sf a l l w i t h i n t h e g e n e r i c d e f i n i t i o n o ft he C o d e .” ); 4 D G ’

s Cor p. v. City of

Lockney , 853 S . W . 2 d 8 55, 857 ( Tex. A p p .— A m a ri l l o 1 9 9 3 , n o w ri t ) (h o l d i n g th a t s e w a g e p u m p sth a t w e re

“‘ ener gi zed by m ot or s, and . . . used i n t he ci t y’ s oper at i on of i t s sani t ary sew er s y s te m ’”w e re m o to r-d ri v e n e q u i p m e n t u n d e r th e T T C A ). T h e M c D o n a l d s’s p l e a d i n g s a n d th e e v i d e n c e i n the rec o rd d e m o n strate t hatt he l i ftst at i on uses m ot or - dr i ven pum ps to pu m p r aw sew age uph i l l . Thu s, w e h o l d th a t th e M c D o n a l d se s ta b l i s h e d th a t th e p u m p si n q u e s t io n w e re m o to r-d ri v e n e q u i p m e n t w it h in th e s c o p e o f s e c ti o n 1 0 1 .0 2 1 (1 ). S e eW hite , 4 6 S .W .3 d a t 8 6 8

– 6 9 ; Fl oyd, 150 S. W . 3d a t228.15 2. Use or

Non- use I n t he con t extofa w ai verofi m m uni t y un ders ec t i on 101. 021 ( 1) oft he TTC A , t he t er m “‘ us e’ m ea ns‘ t o putorbr i ng i nt o act i on ors ervi ce ; t o e m pl oy f or or appl y t o a gi ven pu r pose. ’ “ W hite , 4 6 S .W .3 d a t 8 6 9 ; 4 D G ’ s Cor p. , 853 S .W .2 d a t 8 5 7 . T h e u s e o f th e e q u i p m e n t m u s t h a v e a c tu a l l yc a u s e d th e i n j u ry fo r th e w a i v e r i n s e c ti o n 1 0 1 .0 2 1 (1 ) t o a p p l y . SeeT e x . C i v . P r a c . & R e m. C o d e A n n . § 1 0 1 .0 2 1 (1 )(a ); W hite , 46 S . W . 3d a t869. H e re, t h e C i ty c o n ten d s th a t t h e M c D o n a ld s a ll e g e d o n l ytha t t h e C i ty f a ile d t o u s e t h e m e c h a n ic a l b a rs c r e e n a n d t h a tt h isn o n -u s e d o e sn o tf a ll
w i t hi n t he T T C A ’ s w ai verofi m m uni t y. To i nvok e t he TTC A ’ s w ai verof i m m uni t y, t he M cDonal ds ’ s pl ea di ngsan d ev i dencei n t he r ec or d m us tha ve r ai se d a tl ea sta f ac ti ss ue r ega r di ng w het hert he C i t y’ s ac t ual u se oft he p u m p s — r a t h e rt h a n n o n -u s e o ft h e m e c h a n ic a l b a rs c r e e n — h a sc a u s e d t h e ir i n j u ri e s a n d p ro p e rtyd a m a g e . Se e Mi randa , 1 3 3 S .W .3 d a t 2 2 8 ; W hite , 46 S. W . 3d at869 ( ci t i ng Kerrvi l leS ta teHo sp . v. Cl

a rk , 923 S. W . 2d 582, 584– 85 (T e x . 1 9 9 6 )). Th e M cD onal ds di d al l ege m or e t han m er e non- use oft he m echani cal bar s c re e n . S e eW

hite , 4 6 S .W .3 d a t 8 6 9 ; se e al soMi randa , 133 S. W . 3d a t228 ( r equ i r i ng a l i ber alco ns t r uct i on oft he al l ega t i onsi n t he pet i t i on) . Thei rpe t i t i on sp ec i f i ca l l y a l l ege d t hat( 1) t he l i ft st at i on’ s “m ot or [
- ] dr i ven eq ui pm entha s not16

b e e n p r o p e r lys e rv ic e d , m a in t a in e d a n d /o ro p e r a t e d a n d h a sb e e n n e g lig e n t ly u se d o v e r th e ti m e p e ri o d s rel e v a n t to th ec l a i m s m a d e i n this su i t, ” (2 ) th e C i ty hasha d “ ac t ualkn ow l edg e t hatt he l i fts t at i on ha s bee n oper ati ng out si de of i t s ope r at i ona l l i m i t s and ca pac i t i esf ors om e t i m e d ue t o t he cond i t i on and a ge o fit s e x is t in g m o t o rd r iv e n p u m p sb u tt h e C it ys t ill c o n t in u e sit sin t e n t io n a l, ne gl i ge nta nd h a r m f ulo pe r at i on oft hi sm ot or [
- ] dr i ve n e qu i pm e nt , ” a nd ( 3) “[ b] ecause t he l i f tst at i on i s oper at i ng bey ond i t s desi gned and i nt ended

2 c a p a c it y , t h e lifts t a t io n ise m it t in g ille g a l a n d h a r m f u l le v e lso fH S a n d lik e ly o th e r to x i c fu m e sa n d s u b s ta n c e s .” A ddi t i ona l l y, t he evi den cesubm i tt ed by t he M cDonal ds

— sp ec i f i ca l l y, t he TC EQ r epo rtan d t he Pr el i m i na r y R epo rt
— al so es t abl i sh ed t hatoneorbot h of t he oper abl e pum ps di d not m e e t T C EQ desi gn st andar ds and t hateven af t er

2 t he TC EQ r ec om m end ed i m m edi at e a ct i on bet ak en t o r edu ceH S l eve l s, t he C i t y c ont i nue d us i ng t he sa m e p um psatt he l i fts t at i on. Vi ew i ng t he pl ea di ngs and ev i den cei n t he l i ghtm os tf avo r abl e t o t he M cDonal ds , w e h ol d t hatt he pl ea di ngsan d e vi den ceest abl i sh ed “u se ” ofm ot or - dr i ven eq ui pm ents uf f i ci ent to fa l l w i th i n th e T T C A ’sw a i v e r o f i m m u n i ty . S ee Tex. C i v. Pr ac . & Rem . Code A n n . § 1 0 1 .0 2 1 (1 ); W hite , 46 S . W . 3d a t869.17 3. Proxi

m ate Cause I n a ddi t i on t o t he “u se ” r equ i r em en t , t he TTC A r equ i r est hatt he pl ai nt i f f s’ s i nj ur i esbe“ pr oxi m at el y c aus ed”by t he ope r at i on orus e o ft he m o to r-d ri v e n e q u i p m e n t. S ee T e x . C i v . P ra c . &R e m . C o d e A n n . § 1 0 1 .0 2 1 (1 ). P ro x i m a te c a u s e c o n s i s ts o f c a u s e -i n -fa c t a n d fo re s e e a b i l i ty . W. I nvs . , I nc. v. Urena , 1 6 2 S .W .3 d 5 4 7 , 5 5 1 (T e x . 2 0 0 5 ); Br itta in , 268 S. W . 3d a t807. To es t abl i sh ca us e- i n- f ac t , or“butf or ” ca us at i on, a part y m us ts how t hatt he d e fe n d a n t’sn e g l i g e n c e w a sa s u b s ta n ti a l fa c to r i n b ri n g i n g a b o u t th e p a rty ’s i n j u ryw i th o u t w h i c h n o h a rm w o u l d h a v e b e e n i n c u rre d . Ford Motor Co. v. L e desma , 2 4 2 S .W .3 d 3 2 , 4 5

– 4 6 (T e x . 2 0 0 7 ); Excel Cor p. v. A podaca , 81 S .W .3 d 8 1 7 , 8 2 0 (T e x . 2 0 0 2 ); Br itta in , 268 S. W . 3d a t807. I n this ca se , th e M c D o n a l d s a l l e g e d tha t t h e “o p e rati o n an d u se o f t h e l i ft s t a t io n ’s u n d e r g r o u n d m o t o r sin a m a n n e rw h ic h c a u s e d t h e lif ts t a t io n t o e m it to x i c fu m e sa n d i l l e g a l l e v e l so f h y d ro g e n s u l fi d e th a t a re k n o w n to c a u s e i n j u ry t o h u m a n sc o n s t it u t e s n e g lig e n c e .” T h e yf u rt h e ra lle g e d t h a tM r . M c D o n a ld and hi s m i norson have exper i enced heal t h pr obl em s and physi cal i nj ur i es as a

2 r es ul toft hei rex pos ur e t o H S and t hatt heyw er e unabl e t o cont i nueope r at i ng t he G ol fC ent erdue t o t hese em i ssi ons. The T C EQ re p o rtpr ovi ded as

2 j ur i sd i ct i ona l ev i den ceby t he M cDonal dsal so co nf i r m s t hatH S em i ss i ons ar oun d the l i f tst at i on exceed ed t he st at ut or y m axi m um and t hatt hese9 ... T h e P r e lim in a ryR e p o rts t a t e st h a to ft h e t w o o p e r a t io n a l s u b m e r s ib le

p u m p s , o n e w a s“ a s s u m e d to b e o ffli n e to m e e t th e T C E Q re q u i re m e n ts .”

10 ... Reg ar di ng t he M cD onal ds’ s gr oss negl i gence cl ai m , gr oss negl i gence di f f er s f r om or di nar y negl i gence i n t hata gr ossl y negl i gent def endan tm ust pr oceed w i t h “consci ous i ndi f f er ence, ” and hi s conduct m ust “ i nvol ve an ext r em e degr ee ofr i sk. ” S ee Te x. Ci v. Pr a c . & Rem . Cod e Ann . § 41 . 001( 11) (V e rn o n 2 0 0 8 ); Mobi l Oi l Cor p. v. El lender, 968 S. W . 2d 917, 921 ( Te x. 1998 ) ( “E vi den ceofs i m pl e n egl i gen cei s notenough t o pr oveei t hert he obj ec t i ve or 18 e m i s s i o n sw e re c a p a b l e o f c a u s i n g t h e s y m p to m sc o m p l a i n e d o f b yM r. M cDonal d. Thus , aft erco ns i der i ng t he M cDonal ds ’ s pl ea di ngs a nd t he r el eva nt j ur i sd i ct i ona l ev i den ce , t ak i ng as t r ue al l evi den cef avo r abl e t o t he M cDonal ds a n d 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 a n d re s o l v i n g a l l d o u b ts i n th e i r fa v o r, w e h ol d t hatt he pl ea di ngsan d t he evi den ces uf f i ci ent l y i nvok e a w ai veroft he C i t y’ s gove r nm ent ali m m uni t y r ega r di ng t he M cDonal ds ’ s neg l i gen cecl ai m s f or u se o f m o to r- d ri v e n eq u i p m e n t— sp e c i fi c a l l y , th e C i ty’s o p e rati o n o f t h e l i ft st at i on w i t h onem ot or - dr i ven pum p i n e xce ssoft he st at i on’ s ope r ati ng ca pac i t y. 9 S eeMi

randa , 133 S. W . 3d a t227– 28; Bl and, 34 S . W . 3d a t555. C o n se q u e n tl y , w e h o l d tha t t h e tr i a l co u rterred b yg ran ti n g the C i ty’s p l e a to th e j u ri s d i c ti o n o n th e s e n e g l i g e n c e c l a i m s . See Mi randa , 133 S. W . 3d a t226. W e s us t ai n t hatport i on oft he M cDonal ds ’ s f i r stan d s ec ond i ss uesch al l eng i ng t he t r i al court ’ s gr antoft he C i t y’ s pl ea t o t he j ur i sdi ct i on on t hei rnegl i gence, g ros s negl i gence, 10and negl i gence perse 11 c l a i m s t o t h e e x t e n t t h att hes u bj e c ti v e e l e m e n ts o f g ro s s n e g lig e n c e .” ); D ys on v. Ol i n Cor p. , 692 S. W . 2d 45 6, 45 8 ( Tex . 19 85 ) ( noti ng t hat gr oss negl i gence i s est abl i shed by evi dence of t he ac t or ’ s m ent al st at e) . A s w e exp l ai n i n gr ea t er det ai l bel ow , t he M cD onal ds’ s pl eadi ngs and j ur i sdi ct i onal evi d e n c e est abl i sh t hatt he C i t y had a c tu a l k n o w l e d g e th a t th e l i ft s ta ti o n w a sp ro d u c i n g h a rm fu l g a s e sth a t w e re su ffi c ie n t to ca u se the M c D o n a l d s’s i n j u ri e s a n d tha t t h e C i ty c o n ti n u e d to o p e ra te th e l i ft s ta ti o n i n i ts th e n -e x i s ti n g c o n d i ti o n . S e ei n fra , p . 23, 30–3 2. C ons equ ent l y, w e h ol d t hatt he M cDonal ds ’ s pl ea di ngsan d t he r el eva nt j ur i sdi ct i onal evi dence i ndi cat ed t he requi r ed el evat ed m ent al st at e f orgr oss n e g l i g e n c e su ffi c i e n t t o i n v o k e a w a i v e r of the C i ty’s g o v e rnm e n tal i m m u n i ty fo r th o s e c l a i m s . S ee El lender, 9 6 8 S .W .2 d a t 9 2 1 ; se e al soCobb v. Tex. D ep’to f

Cr i m i nal Justi ce , 9 6 5 S .W .2 d 5 9 , 6 3 (T e x . A p p .— H o u s to n [1 s t D i s t.] 19 98 , no p et . ) ( hol di ng, i n sum m ary j udg m entcase, t hatevi dence t hat d e f e n d a n tk n e w o fh a z a r d b u td id n o tt h in kitw a ss e r io u se n o u g h t o f ixit c re a te d fa c t i s s u e o n g ro s sn e g l i g e n c e ).

11 ... The M cDonal dsba se d t hei rne gl i gen cepe rs e c l ai m on a pr ovi si on of t he Texa s A dm i ni st r at i ve C odet hatpl ac esl i m i t s on hy dr oge n s ul f i de em i ss i ons a ro u n d p ro p e rtyu s e d fo r re s i d e n ti a l , b u s i n e s s , o r c o m m e rc i a l p u rp o s e s . S ee30 Tex . A dm i n. C ode § 11 2. 31 . The T C EQ r eporti n t he r ecor d est abl i shed t hat th e li ft s ta ti o n p ro d u c e d e m i s s i o n si n e x c e s so f th i ss ta tu to rya m o u n t. See i d. H er e, t he M cDonal dsr el i ed on t he TTC A ’ s us e- of

- m ot or - dr i ven - equ i pm ent e x c e p t io n a sa b a s is f o rt h e C it y ’s w a i v e ro fim m u n it yre g a r d in g t h e ir n e g l i g e n c e p e r s e c l a i m . S ee G uadalupe-Bl anco River

A uth. v. Pitonyak , 84 S. W . 3d 326, 344– 45 (Te x. A pp. — C or pusChr i st i2002 , no p et . ) ( r equ i r i ng pl ai nt i f f s t o pl ead basi s f orw ai verofi m m uni t y as partt hei rnegl i gence perse cl ai m ) . Bec aus e w e h avehe l d t hatt he M cDonal ds i nv ok ed a w ai veroft he C i t y’ s g o v e r n m e n t a li m m u n i t yu n d e rt h eT TCA’ s us e- of

- m ot or - dr i ven - equ i pm ent except i on t o, w e al so hol d t hatt hi s w ai verappl i es to t hei rnegl i gence perse cl ai m s. 19 M c D o n a l d sa s s e rt a w a i v e r o f g o v e rn m e n ta l i m m u n i tyb a s e d o n u s e o f m o to rdr i ven eq ui pm ent. B ut to t he ext entt hatt he M cDonal dsas se rta w ai verof g o v e rn m e n ta l i m m u n i tyb a s e d o n n o n -u s e o f th e m e c h a n i c a l b a rs c re e n , w e20

o v e rru l e th e i r fi rs t a n d s e c o n d i s s u e s . See Mi randa , 1 3 3 S .W .3 d a t 2 2 8 ; W hite , 46 S. W . 3d a t869.

D . I nvoc at i on ofTr i alCourt ’ s Subj ec tM att erJur i sd i ct i on

o v e rP r e m is e sD e f e c tC la im Th e M c Do n a l d sal s o b r o u g h ta p r e m i s e sd e f e c tc l a i m u n d e rt h e T TCA b a s e d o n th e “ th e m a l fu n c ti o n i n g a n d /o r m i s u s e d e q u i p m e n t a t th e li ft s ta ti o n .” A gover nm ent al uni t’ s l i abi l i t y f ora pr em i ses def ecti s i m pl i ed und er se ct i on 101. 021 ( 2) be ca us e a pr em i se s def ec tar i se s f r om a con di t i on e xi st i ng o n re a l p ro p e rty . Perez v. City of D al l as , 180 S . W . 3d 906, 910 ( Tex. A pp. — D al l as2005 , no p et . ) ( ci t i ng City of Mi dl and v. Sul

l ivan , 33 S. W . 3d 1, 6 ( Tex. A pp. — El Pas o 2000, pe t . di sm ’ d w . o. j . ) , an d Lam ar Univ. v. D oe , 971 S .W .2 d 1 9 1 , 1 9 5 (T e x . A p p .— B e a u m o n t 1 9 9 8 , n o p e t.)); seeT ex. C i v. Pr ac. & Rem . C ode A nn. § 1 01 . 02 1( 2) . I f t he cond i t i on on r eal pr opert y gi vi ng r i se to the w a i v e r of i m m u n i ty i s a p rem i se s d e fec t, the g o v e rnm e n tal u n i t ow e s to th e clai m a n t on l ythe d u ty th a t a p ri v a te p e rso n o w e s to a li c e n se e o n p ri v a te p ro p e rty . See State Dep’tof Hi ghways& Pub. T

ransp. v. Payne , 838 S. W . 2d 2 3 5 , 2 3 7 (T e x . 1 9 9 2 ) (c i ti n g T e x . C i v . P ra c . &R e m . C o d e A n n . § 1 0 1 .0 2 2 (a )). H ow ev e r, ifth e cl ai m antpays f ort he use oft he pr em i ses, t he gov er nm ent al e n ti tyo w e sth e c l a i m a n t th e d u tyo w e d t o a n i n v i te e . S ee T e x . C i v . P ra c . &21

R e m . C o d e A n n . § 1 0 1 .0 2 2 (a ); G a rc ia v. S tate , 817 S . W . 2d 741, 742 ( Tex. A p p .— S a n A n to n i o 1 9 9 1 , w ri t d e n i e d ). A l and l or d ge ner al l y ow esno d ut y t o t ena nt s ort he i ri nv i t ee s f or d a n g e ro u sc o n d i ti o n so n th e l e a s e d p re m i s e s . John son Coun ty Sher if f ’ s Posse, I nc. v. Endsley , 9 2 6 S .W .2 d 2 8 4 , 2 8 5 (T e x . 1 9 9 6 ); s e eStrunkv. BeltL i neRd Rea ltyCo .. , 2 2 5 S .W .3 d 9 1 , 9 9 (T e x . A p p .— E l P a s o 2 0 0 5 , n o p e t.). H o w e v e r, i ft he l andl or d r et ai ns possessi on or contr ol ofa port i on of t he l eased pr em i ses, t he l and l or d ha s a d ut y ofor di nary c ar e i n m ai nt ai ni ng t he r et ai ned port i on. E xx o nCo r

p . v. T id well, 8 6 7 S .W .2 d 1 9 , 2 1 (T e x . 1 9 9 3 ); Cadenhead v. Hatcher, 13 S. W . 3d 86 1, 86 3 ( Tex . A pp. — Fort W ort h 20 00 , no pet . ) . Thu s, i n a pr em i ses l i abi l i t y l aw su i ti nvol vi ng al and l or d- t ena ntr el at i ons hi p, i ft he t enant dem onst r at es t hatthe l andl or d had possessi on orco nt r ol oft he pr em i ses i n q u e s ti o n , th e n th e l a n d l o rd o w e d a d u tyt o th ete n a n t a sa n i n v i te e . S ee Par ker v. Hi ghl and Par k, I nc. , 5 6 5 S .W .2 d 5 1 2 , 5 1 3

– 1 5 (T e x . 1 9 7 8 ); see al so Paler m o v. Bo l

ivar Y acht Basi

n, I nc. , 84 S. W . 3d 746, 750 ( Tex. A pp. — H ous t on [ 1s t Di s t . ] 2002, no pe t . ) ( qu ot i ng Re s t a t e m e nt( Se c on d) o fTo rt sSe c t i on 361 f orpr opos i t i on t hatl es so ri s l i abl e f orpa rtofpr em i se s ov er w hi ch he r et ai ns c o n t r o l o r“ ‘a n yo t h e rp a rto ft h e la n d t h e c a r e f u l m a in t e n a n c e o fw h i c h is es se nt i al t o t he sa f e u seoft he . . . port i on ofl and l ea se d t o t he var i ous l e s s e e s ’” ).22

A pl ai nt i f fw ho i s an i nvi t eem us tes t abl i sh t hat( 1) a con di t i on oft he pr em i ses posed an unr easonabl e r i sk of har m t o t he pl ai nt i f f ; ( 2) t he o w ner kne w orr ea so nab l y s houl d ha ve kn ow n oft he def ec t i ve con di t i on; ( 3) t he ow nerf ai l ed t o e xer ci seor di nary c ar e t o pr ot ec tt he i nvi t eef r om da nge r ; an d (4 ) su c h fa i l u re w a sa p ro x i m a te c a u s e o f i n j u ryto th e i n v i te e . Payn e , 8 38 S. W . 2d at237. I n ot herw or ds , t he l es so ri s l i abl e f oran i nj ury c aus ed by a pr em i se s def ec ti f , by t he exer ci se ofr ea so nab l e c ar e, t he l es so rco ul d ha ve di sc ove r ed t he con di t i on a nd i t s unr ea so nab l e r i skan d t hen m adet he con di t i on sa fe . Shel

l Oi l Co. v. K

han , 138 S . W . 3d 28 8 , 296 ( Tex. 2004 ) . I ft he d a n g e rou s c o n d i ti o n i s o p e n an d o b v i o u s , o r oth e rw i se kn o w n to th e ten a n t, t hi s doe s not di sp ens e w i t h t he l es so r ’ s dut y, butm er el y pr es ent s a f ac ti ss ue o n p ro p o rti o n a te re s p o n s i b i l i ty . W i l son v. Braebur

n Presbyter

i an Church , 244 S. W . 3d 4 69 , 4 71 ( Te x . Ap p . — Ho u s t o n [ 14 t h Di s t . ] 2 00 7, p e t . f i l e d ) ( c i t i ng Par ker, 5 6 5 S .W .2 d a t 5 2 1 ). I n t h i s case, t he M cD onal ds al l eged a pr em i ses def ecton pr opert y t hat t heypa i d t o us e— t hati s, on p r ope rt y ow ned by t he C i t y and l ea se d t o t he M cD onal ds. C onst r ui ng t hei rpl eadi ngs l i ber al l y i n t hei rf avor , t hey al l ege t hat th e C i tyo w e d th e m th e d u tyo w e d to a n i n v i te e . S ee T e x . C i v . P r a c . & R e m. C o d e A n n . § 1 0 1 .0 2 2 (a ); Mi randa , 1 3 3 S .W .3 d a t 2 2 6 , 2 2 8 ; see al so D avies , 15 8 S . W .3 d at58 ( hol di ng t hatpayi ng r enti n consi der at i on f oroccupan cy12 ... The M cDonal dsf urt herpl ea ded t hatt heydi d notkn ow oft he

dan ger ousco ndi t i on un t i l t he TC EQ t es t ed t he em i ss i onsar ound t he l i fts t at i on i n Sept em berof 20 06. Butw het herornott heykn ew oft he dan ger ous cond i t i on i s r el evantonl y as t o p roport i onate r esponsi bi l i t y. See W i l son , 244 S. W . 3d at471 ( ci t i ng Par ker, 565 S . W . 2d at521) . I tdoe s notal l evi at e t he C i t y’ s dut y ofr easonabl e car e. See i d. 13 ... M r . M cDonal d a l so s t at ed i n hi s af f i dav i tt hatCi t y e m pl oye e Dave 2 S t al l i ngs t ol d hi m t hatt he l i f tst at i on w as pr odu ci ng har m f ul H S gases. 23 con st i t ut es“ [ pa yi ng ] forus e o ft he pr em i se s”w i t hi n t he m ea ni ng ofs ec t i on 1 0 1 .0 2 2 (a)) . T h u s, the M c D o n a l d s w e re req u i red to p l e a d tha t t h e C i ty br eached t he st andar d ofcar e ow ed t o an i nvi t ee. The M cDonal dspl ea ded t hat t he C i t y ow ns and ope r at es t he l i fts t at i on t hati s l oca t ed on t he l ea se d pr em i se s and t ha tthe l i fts t at i on w asem i t t i ng

2 har m f ul H S g as es , w hi ch pos ed an unr ea so nab l e r i skofha r m ab outw hi ch t he C i ty h a d ac tu a l kn o w l e d g e b e c a u se i t ow n e d , m a i n tai n e d , a n d o p e rate d the l i ft s t a t i on a nd a bo utw hi c h t heCi t y ha d a d ut y t o w a r n ore l i m i na t e. 12 And t he l ease i n t he r ecor d pr ovi des t hatt he C i t y w as r esponsi bl e f ort he m ai nt enance and ex pen se s oft he ar ea i ns i de t he l i ft st at i on f enc e a nd f ort he upk ee p oft he l i f tst at i on i t sel f . The T C EQ r eportf urt hershow s th a t th e C i t y had act ual kno w l edg e t hatt he l i f ts t at i on w aspr oduc i ng har m f ul gase s t hatw er e s uf f i ci ent t o c aus e t he sy m pt om s com pl ai ned ofby M r . M cDonal d. 13 The Ci t y c ont end s t hatt he M cD ona l dsdo n otha ve a v i abl e c aus e o f act i on f orpr em i ses def ectbecause “t he al l eged i nj ur y occur r ed of f

- si t e, ” r at her24

th a n o n the l i ft sta ti o n p rem i se s; i n o th e r w o rds , th e C i ty a rgu e s tha t a pr e m i s e s d e f e c tc l a i m c ou l d e xi s to nl y i ft heM c Dona l ds ’ si nj ur i e so ccur r ed i ns i de t he f enc ed- i n a r ea oft he l i fts t at i on. Butt he M cDo na l ds ’ s pl ea di ngs al l ege d, an d t he j ur i sd i ct i ona l evi den cees t abl i sh ed, t hatha r m f ul ga se s on t he l eased pr em i ses have caused i n j u ri e s t o t he M cD onal ds and t hatt he C i t y had t he r i ght t o contr ol t hatport i on of t he l eased pr em i ses f r om w h i ch t hose h a rm fu l g a s e se m i tte d . S ee Par ker, 5 6 5 S .W .2 d a t 5 1 3

– 1 5 ; Pa ler mo , 84 S .W .3 d a t 7 5 0 ; se ealso Jo hn so nCo un ty , 9 2 6 S .W .2 d at 2 8 5 ( h o l d i n g tha t a l essorr em ai ns l i abl e f ordef ect s on p ort i ons oft he pr em i ses t hatr em ai n und er th e l e s s o r’sc o n tro l ). A f t erconsi der i ng t he M cD onal ds’ s p l eadi ngs and t he j ur i sdi ct i onal evi den ce , t ak i ng a s t r ue al l ev i den cef avo r abl e t o t he M cDonal dsan d i ndul gi ng ever y r easonabl e i nf er ence and r esol vi ng any dou bt s i n t hei rfavor , w e hol d t hat t he pl ea di ngsan d j ur i sd i ct i ona l ev i den cees t abl i sh t hatt he M cD ona l dsha ve assert ed a cl ai m f or pr em i ses def ectsuf f i ci entt o w ai ve t he C i t y’ s gover nm ent al i m m u n i ty . See Pa yne , 83 8 S. W . 2d at 23 7. A ccor di ngl y, w e hol d t hatt he t r i al cou rter r ed by g r ant i ng t he C i t y’ s pl ea t o t he j ur i sd i ct i on c onc er ni ng t he M c D o n a l d s ’s p re m i s e sd e fe c t c l a i m . See Mi randa , 1 3 3 S .W .3 d a t 2 3 0 . W e su st ai n t hatport i on oft he M cDonal ds ’ s f i r st and se con d i ss uesch al l eng i ng t he14 ... I n t he C i t y’ s r es pons est o i nt er r oga t or i es , at t ac hed t o t he

M cDonal ds’ s r espon set o t he C i t y’ s pl ea , t he C i t y s t at ed t hati t“ hasnot 2 con duc t ed t es t s r ega r di ng t he l eve l ofH S” a tt he l i fts t at i on. 25 t r i al court ’ s gr antofthe C i t y’ s pl ea t o t he j ur i sdi ct i on on t hei rpr em i ses def ect c l a i m. E. N o I nvoc at i on ofTr i alCourt ’ s Subj ec tM att erJur i sd i ct i on

o v e r N e g l i g e n c eC l a i m s fo r U seo f T a n g i b l eP e rso n a lP rop e rty T h e M c D o n a ld sa l s o re lie d o n t h e T T C A ’s u s e -o f -t a n g ib le -p e r s o n a lpr opert y except i on t o suppo rtt hei rnegl i gence cl ai m s. Theypl eaded t hat “d ur i ng orab outSept em berand O ct obe r2 006 , and l i ke l y atot hert i m es , ” t he

2 C it y ’s e m p lo y e e sn e g lig e n t lyu s e d a m e t e rd e v ic e t o t e s ta n d m o n it o rH S le v e ls on t he l eased pr em i ses and att h e li ftst at i on and t hatt hi s use “ caused P l a i n ti ffs’ d a m a g e s.” In a n affi d a v i t attac h e d to th e M c D o n a l d s’s re sp o n se to t heCi t y’ sp l e a t o t hej ur i s di c t i on , M r . M c Dona l d s t a t e d t ha to n O c t ob e r2,

2 200 6, Ci t y e m pl oye e J as on F ul co t es t ed t he H S l eve l s at the l i fts t at i on a nd

2 expl ai ned t o hi m t hati ft he m achi ne st art ed t o f l ash, i tm eantthatt he H S l eve l s w er e n ots af e. M r . M cDonal d s t at ed i n hi s af f i dav i tt hatt he t es t i ng dev i cef l as hed i n a nd a r ound t he l i fts t at i on. 14The C i t y con t en ds t hatt he M cDonal dsha ve f ai l ed t o est abl i sh t hatt he us e oft he t es t i ng de vi ceca us ed t he M cD onal ds’ s i nj ur i es.26

Th e TT C A w ai ves gover nm ent al i m m uni t y f or“pers onal i nj ur y . . . caused b ya c o n d it io n o ru s e o ft a n g ib le p e r s o n a l . . . p r o p e rt y ift h e g o v e r n m e n t a l u n it
w oul d, w er e i ta pr i vat e per son, be l i abl e t o t he cl ai m antac c o rdi ng t o T exas l aw . ” Tex. Ci v. Pr ac . & Rem . Code A nn. § 101. 021 ( 2) . A pl ai nt i f fm us tal l ege th a t u s a g e o f th e p e rs o n a l p ro p e rt yit s e l f a c tu a l l yc a u s e d th e i n j u ry ; m e re i n v o l v e m e n t o f th e p ro p e rtyi si n s u fficie n t. Miller, 5 1 S .W .3 d a t 5 8 8 ; Bo ssl ey , 9 6 8 S .W .2 d a t 3 4 3 ; Renter i a v. Hous. A uth. of

El Paso , 96 S . W . 3d 454, 458 (T e x . A p p .— E l P a s o 2 0 0 2 , p e t. d e n i e d ). H e re, t h e rea lsu b sta n c e o f t h e M c D o n a l d s’s c o m p l a i n t w a s th a t t h e C i ty “f ai l ed t o us e t he i nf or m at i on der i ved f r om sa i d t es t i ng t o w ar n”ofda nge r ous

2 H S l eve l s. Butt hi s com pl ai nti s ce nt er ed ar ound t he m i su seornon- us e o f i nf or m at i on, r at hert han pe r so nalpr ope rt y, w hi ch doe s notf al l w i t hi n t he T T C A ’sl i m i te d w a i v e r o f i m m u n i ty . S ee Univ. of Tex. Med. Branch at Ga lves to nv. Y

o rk , 87 1 S . W . 2d 17 5, 17 9 ( Tex . 19 94 ) ( noti ng t hatourcase l aw

“ d o e s n o t p e rm i t c l a i m sa g a i n s t th e S ta te fo r m i s u s e o f i n fo rm a ti o n ” ); Kel sov. G onzales Healthcare Sys. , 1 3 6 S .W .3 d 3 7 7 , 3 8 2 ( T e x . A p p .— C o rpu s C h ri sti 20 04 , n o p e t . ) ( h o l d i n g t h a t p l e a d i n g m i s u s e o f i n f o r m a t i o n r e v e a l e d b ya n E KG m a c h i n e , rath e r th a n m i su se o f t h e E K G m a c h i n e i tse l f, d i d n o t w a i v e i m m u n i ty u n d e r th e T T C A ).27

A ddi t i ona l l y, M r . M cDonal d ha d a l r ea dy e xpl ai ned hi s sy m pt om s t o t he

2 TC EQ an d t he TC EQ ha d a l r ea dy t es t ed t he H S l eve l s att he l i fts t at i on pr i or t o Fa l co t es t i ng t he l eve l s. Thus , t he j ur i sd i ct i ona l ev i den cees t abl i sh est hatt he C i t y’ s “u seoft ang i bl e p er so nal. . . pr ope rt y, ” i . e. , t he t es t i ng de vi ce , co ul d not h a v e p ro x i m a te l yc a u s e d th e M c D o n a l d s ’si n j u ri e s . S ee Mi l ler, 51 S. W . 3d at 5 8 8 (“ U s i n g th a t p ro p e rty m u s t h a v e a c tu a l l yc a u s e d th e i n j u ry .” ); Bo ssl ey , 968 S . W . 2d a t 343 ( ho l di ng t ha t do or s m a y ha ve “ f ur ni s h[ e d] t he c on di t i on t hat m a k e s th e i n j u ry p o ss i b l e ” b yp e rm i tti n g p a ti e n t t o es c a p e i n to co m m u n i ty w her e h e c om m i t t ed su i ci de, but“t he us e and cond i t i on oft he door s w er e t oo a tte n u a te d fro m [th e p a ti e n t’s ] d e a th to b e s a i d to h a v e c a u s e d i t” ). A fter co n side ri n g the p l e a d i n g s, tak i n g as tr u e allev i d e n c e f a v o rab l e to t he M cDonal ds , an d i ndul gi ng eve ry r ea so nab l e i nf er enc e a nd r es ol vi ng a ny doubt s i n t hei r f avo r , w e hol d t hat t he M cDonal ds hav e not al l eg ed suf f i ci ent f a c t s t o e s t a b lis h a w a iv e ro ft h e C it y ’s im m u n it yb a s e d o n it su s e o ft a n g ib le p e rs o n a l p ro p e rty
— th e te s ti n g d e v i c e . See Hei nr i ch , 20 09 W L 11 65 30 6, at

* 9 ; Mi randa , 1 3 3 S .W .3 d a t 2 2 7

– 2 8 ; Bl and, 34 S. W . 3d at555. Conse que nt l y, w e h ol d t hatt he t r i alco urtdi d noter rby gr ant i ng t he C i t y’ s pl ea t o t he j ur i sdi ct i on on t he M cD onal ds’ s negl i gence cl ai m f oruse oft an g i bl e per sonal pr opert y, t he t est i ng dev i ce. W e over r ul e t he port i on of t he M cD onal ds’ s f i r st28

a n d se c o n d i ss u e s c h a l l e n g i n g the tr i a l co u rt ’s rul i n g g ran ti n g th e C i ty’s p l e a to t h e ju r is d ic t io n o n t h is c la im . V . N UISANCE Th e M cD onal ds al so com pl ai n i n t hei r f i r st i ssue t hatt he t r i al courter r ed b yg r a n t in g t h e C it y ’s p le a t o t h e ju r is d ic t io n o n t h e irn u is a n c e c la im . N ui sance l i abi l i t y ofa gover nm ent al ent i t y ar i ses onl y w hen go ver nm ent al i m m uni t y i s cl ear l y and unam bi guo usl y w ai ved by st at ut e orw hen t he nui sance ri s e s to th e l e v e l o f a c o n s ti tu ti o n a l ta k i n g . City of D al l as v. Jenn i

ngs , 142 S .W .3 d 3 1 0 , 3 1 6 (T e x . 2 0 0 4 ); City of A bi lenev. D owns , 367 S. W . 2d 153, 159 ( Tex. 1963 ) ( “[ I ] ft he con st r uct i on a nd op er at i on oft he [ se w ag e] pl ant r es ul t s i n a nui sa nce , s uch ac t s oft he m uni ci pal i t y c ons t i t ut e a da m agi ng or ta k i n g o f p ro p e rtyu n d e r S e c ti o n 1 7 o f A rti c l e I o f th e T e x a sC o n s ti tu ti o n .” ). A rti c l e I, s e c ti o n 1 7 o f th e T e x a sC o n s tit u ti o n p ro v i d e s , “N o p e rs o n ’s pr opert y shal l be t aken, dam aged ordest r oyed foro r a p p l i ed t o pub l i c use w i t ho u t a d e q uat e com pensat i on bei ng m ade, unl ess by t he consent ofsuch pe r so n . . . . ” Tex. Const . art . I , § 17. To e st abl i sh a t ak i ngscl ai m , t he pl ai nt i f fm ustshow t hat( 1 ) th e g over nm ent al ent i t y i nt ent i onal l y per f or m ed cert ai n act s, ( 2) t hat r esul t ed i n a “t aki ng” of pr opert y, ( 3) f orp u b l i c u se. Steele v. City of

Hous ton , 6 0 3 S .W .2 d 7 8 6 , 7 8 8

– 9 2 (T e x . 1 9 8 0 ).29

F o r pu rp o se s o f arti c l e 1 , se c ti o n 1 7 , a g o v e rnm e n tal en ti ty a c ts i nt ent i ona l l y i fi tkn ow s ei t hert hata sp ec i f i c acti s ca us i ng i den t i f i abl e h ar m or k n o w s th a t th e h a rm i ss u b s ta n ti a l l yc e rta i n to re s u l t. T a rra n t Reg ’l

W a ter Di st. v. Gragg , 1 5 1 S .W .3 d 5 4 6 , 5 5 5 (T e x . 2 0 0 4 ); Jenni ngs , 142 S. W . 3d a t316. M er e neg l i gen ce t hat eve nt ual l y con t r i but es t o t he des t r uct i on of pr ope rt y i s not a ta k i n g . City of

Tyler v. Li kes , 9 6 2 S .W .2 d 4 8 9 , 5 0 5 (T e x . 1 9 9 7 ). T h is r equ i r em enti s r oot ed i n t he cons t i t ut i ona l pr ovi si on t hata com pen sa bl e t ak i ng o c c u r s “ o n lyifp r o p e rt yi sd a m a g e d o ra p p r o p r ia t e d f o ro ra p p lie d t o p u b lic use. ” City of

SanA ntonio v. Pol

lock , No. 04- 1118, 200 9 W L1165 317, a t*8 ( Tex. M ay1 , 2009 ) ( quot i ng Gragg , 15 1 S . W . 3d at55 4– 55 , w hi ch quo t es S te ele , 6 0 3 S .W .2 d at 7 9 2 ). M o reo v e r, the m e re i n ten ti o n a l o p e rati o n o f a s e w e r s y s te m i s i n s u fficie n t to s u p p o rt l i a b i l i ty . Cityo f A rl i ng to nv. S ta teF

a rm Ll oyds , 145 S . W . 3d 165, 168 ( Tex. 2004 ) ( ci t i ng Jenni ngs , 14 2 S . W . 3d at 3 1 4 ). I n th e p res e n t ca se , th e M c D o n a l d s’s p e ti ti o n all e g e d tha t ( 1 ) th e C i ty ow nsan d ope r at est he l i f ts t at i on f ora publ i c p ur pos e o fpr ov i di ng s ew age m ana gem entf ori t s r es i den t s, ( 2) t he C i t y’ s ope r at i on oft he l i fts t at i on be yond

2 ca pac i t y has em i t t ed har m f ul H S a nd ot her t oxi c gas es i nt o t he ai ron an d ar ound t he pr em i se s l ea se d t o t he M cDonal ds , ( 3) t hes e e m i ss i onsha ve r es ul t ed i n a da nge r ou s con di t i on t hats ubs t ant i al l y i nt erf er ed w i t h t he15 ... Tak i ngsl i abi l i t y m ay be pr em i se d on a l ea se hol d i nt er es ts uch ast he

M c D o n a l d s ’s . See, e. g. , City of A r gyle v. Pierce , 2 5 8 S .W .3 d 6 7 4 , 6 8 4n .8 ( Tex. A pp. — FortW ort h 200 8 , p et. di sm ’ d) ( “An ow ner sh i p i nt er es ti n a l easehol d i s t he l egal ri ght t o possess t hatp r opert y f ora setper i od of t i m e. ”) (c i ta ti o n s o m i tte d ); Reeves v. City of D al l as , 195 S. W . 2d 575 , 579 –80 ( Tex. C i v. A pp. — D al l as 19 46 , w r i tref ’ d n. r . e. ) ( al l ow i ng l essee t o be com pensat ed fo r th e v a l u e o f th e l e a s e i n i n v e rs e c o n d e m n a ti o n p ro c e e d i n g ). 30 M cD onal ds’ s use and enj oym ento fthei rp r opert y, an d ( 4) t hi s i nt er f er ence r ose t o t he l eve l ofa con st i t ut i ona l t ak i ng. The pet i t i on f urt heral l eged tha tt he C i t y’ s con duc tha s ca us ed t he M cDonal dst o s uf f erphy si ca l i nj ur i esan d e c o n o m i c d a m a g e sb e c a u s e th e y c o u l d n o t c o n ti n u e o p e ra ti n g th e G o l f C e n te r. I ti s cl ea rt hatt he M cDonal ds ’ s al l ega t i ons i nc l udet he el em ent s of “t ak i ng” 15and “publ i c use. ” See Ker r v. Tex. D ep’t of

Transp. , 45 S. W . 3d 248, 25 0, 25 2 ( Tex . A pp. — H oust on [ 1st D i st . ] 20 01 , no pet . ) ( hol di ng t ha t t ri al c o u rte r r o n e o u s lys u s t a in e d p le a t o ju r is d ic t io n b e c a u s e p le a d in g ss u f f ic ie n t ly a l l e g e d b o th n u i sa n c e an d c o n sti tu ti o n a l tak i n g ). I n fac t, the p a rt i e s’ arg u m e n ts o n ap p e a l foc u s o n the “i n ten t” e l e m e n t. Regar di ng “ i nt ent , ” t he M cDonal dsal l ege d t hatt he C i t y k new or r ea so nab l y s houl d ha ve kno w n t hati t s ope r at i on o ft he l i fts t at i on be yond ca pac i t y a nd w i t houta m ec han i ca l barscr ee n w oul d r es ul ti n ha r m f ul em i ss i ons f r om t he l i f t st at i on. The pet i t i on st at es , “As a r es ul toft he TC EQ t es t i ng, [ t he C i t y] ha d a ct ualkn ow l edge t ha tt he l i fts t at i on w aspr oduc i ng a nd e m i t t i ng16 ... T h e r e c o r d d o e s n o t in c lu d e a c o p yo ft h e 2 0 0 6 m e m o r a n d u m , o n ly

t h e s u m m a ryo ft h e f in d in g sa n d re c o m m e n d a t io n sm a d e t h e r e in , a sd e t a ile d in th e P rel i m i n a ry R e p o rt .

17 ... Th e Pr el i m i nar y R eportal so dem onst r at es t hatt he m et al coverpl aced o v e rt h e h o le w h e r e t h e m e c h a n ic a l b a rs c r e e n w a sre m o v e d w a s“ lo o s e ly pl aced over th e access open i ngs” and “sever el y cor r oded ” f r om “t r apped odor ousga se s. ” The r epo rts how s t hatt he C i t y de si r ed t o r epl ac e t hi s se ct i on w i t h a bur i ed pi pe sect i on, w hi ch w oul d “r educe od orand cor r os i v e gas em i ss i ons , ” butt hatno a ct i on ha d be en t ak en asofJune 25 , 2007 . Al t hough t he Pr el i m i nary Repo rts t ates onl y t hatt he C i t y “ r ec ent l y”r em ove d t he 31 hazar dou s and i l l egal cont am i nants. . . i nt o t he ai ron and ar oun d t he l eased p re m i s e s a n d e x p o s i n g th e g e n e ra l p u b l i c to s a i d h a z a rd o u sc o n d i ti o n s .” A ddi t i ona l l y, t he C i t y’ s Pr el i m i nary Repo rt
— w hi ch w asda t ed nea r l y ni ne m onths aft ert he T C EQ r eport
— sum m a r i zed a Febr uar y 20 06 m em or andu m t hat r ec om m end ed ce rt ai n i m pr ove m ent s t o t he l i fts t at i on t o i ncr ea seca pac i t y a nd m eetpr oj ect ed f l ow s. 16 Th e 20 06 m em or andu m st at ed t hatt he l i ftst at i on w as oper at i ng ata capaci t y bel ow i t s t hen- pr oj ect ed f l ow s and r ecom m ended as an “i nt er i m sol ut i on” t hatt he C i t y r epl ace t he d a m a g ed pum ps w i t h sal vaged pum ps f ort he t i m e bei ng so t hatt he l i ftst at i on c o u l d “r et ur n t o com pl i ance” a n d i n c re a s e c a p a c it y“ to m e e t th e p ro j e c te d fl o w s .”T h e P re l i m i n a ryR e p o rt s ho w s t ha t t he Ci t y ha d no t i m pl e m e nt e d t he “ i nt e r i m s ol ut i on ” a s ofJ un e 25, 200 7, t he dat e of t he Pr el i m i nary Repo rt . M or e i m port ant l y, t he r epo rts how s t hatth e Ci t y ha d no tc om m e nc e d m a k i ng a nyo ft her e c om m e nded i m pr ov e m e nt st o t hel i f ts t a t i on a so fJ un e 25, 2007 . 17m echani cal barscr een, t he M cD onal ds al l eged t hatthe C i t y r em oved thi s scr een

on o ra bo utOct ob e r2006 . 32 Th us, t he pl eadi ngs al l ege, and t he j ur i sdi ct i onal evi dence dem onst r at es, t hat , ata m i ni m um , t he C i t y k new as ear l y a s Sept em ber2006

— bas ed on t he

2 T C E Q re p o rt
— t h a tt h e o p e r a t io n o ft h e lifts t a t io n w a se m it t in g h a r m f u l H S g a se s th a t w e re s u ffi c i e n t t o ca u se the M c D o n a l d s ’s in j u ri e s a n d p rop e rt y dam agebutt hat t he C i t y had not t ak en ac t i on t o r edu cet hes e e m i ss i onsasof J u n e 2 0 0 7

— th e d a te o f th e P re l i m i n a ryR e p o rt. Compare City of V an A l styne v. Young , 146 S . W . 3d 84 6 , 8 4 9 (Tex . A pp. — D al l as2004 , no p et . ) ( “The C i t y’ s kno w l edg e o fal l ege d pr obl em s w i t h t he se w er pum ps , how eve r , i s not t h e s a m e a sk n o w le d g e t h a tt h e ird e c is io n n o tt o re p la c e t h e p u m p sw o u ld re s u l t i n a fl o o d o f th e Y o u n g [’s] h o m e .” ) and Pol lock , 20 09 W L 11 65 31 7, at *8 –9 ( r ej ect i ng pl ai nt i f f s’ cl ai m t hatC i t y knew i t s m anagem ento fl andfi l l w as d a m a g i ng t hei rpr opert y ort hatdam age w as a necess ary consequ ence w hen e vi dence s how ed onl y t hat C i t y m oni t or ed gas gener at i on and t ook s t eps to p re v e n t d a m a g e ), with G olden HarvestCo. , I nc. v. City of

D al l as , 942 S. W . 2d 6 8 2 , 6 8 9

– 9 0 ( T e x . A p p .— T y l e r 1 9 9 7 , w ri t d e n i e d ) (h o l d i n g th a t p l a i n ti ff’s su m m ary j udgm entev i den cer ai se d ge nui ne i ss uesofm at er i al fac tr ega r di ng w h e th e r t h e cit yi n ten ti o n a l l yc a u se d p l a i n ti ff’ s l a n d to fl o o d b yfai l i n g to p re -re l e a s e w a te r, th e re b y ta k i n g , d a m a g i n g o r d e s tro y i n g p l a i n ti ff’sp ro p e rty );33

Bi b leBap ti

s tCh urchv. Cityo f Clebur ne , 8 48 S. W . 2d 826, 830 ( Tex. A pp. — W a c o 1 99 3, w r i tdeni ed) ( hol di ng sum m ary j udg m enti m pr operw hen f actquest i ons exi st ed abou tw het herci t y f ai l ed t o correc t c ause ofsew er b a c k u p ); A bbo ttv. City of Kauf m an , 717 S . W . 2d 927, 932– 33 ( Tex. A pp. — Tyl er1986 , w r i tdi sm ’ d) ( hol di ng, i n r eve r si ng s um m ary j udgm entf or ci t y bas ed on gove r nm ent al i m m uni t y, t hat pl ai nt i f f s pr ope r l y a l l ege d a t ak i ng o r d a m a g i n g o f th e i r p ro p e rtyw i th o u t c o m p e n s a ti o n o r c o n s e n t). C ons equ ent l y, ap pl yi ng a denov o s t an dar d ofr evi ew , w e h ol d t hatt he t r i al co urter r ed by g r an t i ng t he C i t y’ s pl ea t o t he j ur i sd i ct i on on t he M c D o n a l d s ’sn u i s a n c e c l a i m . See Mi randa , 1 3 3 S .W .3 d a t 2 2 6 . W e s u s t a in t he port i on of t he M cD onal ds’ s f i r stand second i ssu e s c h al l engi ng t he t r i al co u rt ’ s r ul i ng sust ai ni ng t he C i t y’ s pl ea t o t he j ur i sdi ct i on on t hei rnui sance c l a i m. V I. B REAC H OFI M PLI EDW ARRANTIE S Th e M cD onal ds br oug ht cl ai m s agai nst t he C i t y f orbr each oft he i m pl i ed
w ar r ant i esofha bi t abi l i t y, f i t nes s f ora part i cul arp urpo se , an d s ui t abi l i t y f or i nt ended com m er ci al pur poses. Th e f i r stt w o oft hese w ar r ant i es do not appl y t o t hi s case. The i m pl i ed
w ar r ant y off i t ness f ora part i cul arpur pose i s cr eat ed und ert he T exas Busi ness a n d C o m m e rc e C o d e a n d a p p l i e so n l yto g o o d s . S eeT ex. B us . & Com m . Code18 ... T h e C it yc o n t e n d so n a p p e a l t h a tt h e M c D o n a ld sd id n o tp r o p e r ly

pl ead t hi s i m pl i ed w ar r anty , but a r evi ew oft he M cD onal ds’ s t hi r d am ended pet i t i on— t he l i ve pet i t i on on f i l e w hen t he tr i alco urten t er ed i t s or deron t he C it y ’s p le a t o t h e ju r is d ic t io n — s h o w so t h e r w is e . T h e M c D o n a ld ss p e c i f i c a lly a l l e g e d tha t t h e C i ty l e a se d to th e m co m m e rci a l p rop e rt yw i th a l a ten t de fec t, th a t th e l a te n t d e fe c t “ w a si n a n a re a th a t w a sv i ta l to th e p ro p e rty ’s c o m m e rcia l p u rpo se ,” tha t t h i s d e fec t “m a d e the p rop e rt yu n su i tab l e for i ts i n te n d e d c o m m e rc i a l p u rp o s e ,” a n d th a t th e ys u ffe re d a n i n j u rya sa re s u l t. S ee D avidow v. I

nwood N. Prof ’

l Group -Phase I, 7 4 7 S .W .2 d 3 7 3 , 3 7 7 (T e x . 1 9 8 8 ).

34 A n n . § 2 .1 0 2 , 2 .3 1 5 ( V e rno n 2 0 0 9 ). T h e i m p l i e d w a rr a n ty o f ha b i tab i l i ty a p p l i e s o n l yto re s i d e n ti a l p ro p e rti e s . S ee G ym -N
-I Pl aygroun ds, I

nc. v. Sn i

der, 158 S. W . 3d 78, 86 ( Tex. A pp . — A us t i n 2005) ( “Thei m pl i ed w ar r ant y of s u i t a b i l i t y i s a n e x t e n s i o n t o c o m m e r c i a l l e a s e s o f t h e i m p l i e d w a r r ant y of h a b it a b ilit y , w h ic h o n lya p p lie st o re s id e n t ia l p r o p e rt y .” ), a ff’d, 220 S. W . 3d 905 ( 200 7) . Bec aus e t he M cDonal ds ’ s br ea ch ofi m pl i ed w ar r ant y c l ai m s i nvol ve a l e a s e o f re a l p ro p e rty fo r c o m m e rc i a l p u rp o s e s , n o w a rra n tyo f fi tn e s sfo r a part i cul arpur pos e o rofhabi t abi l i t y e xi stasa m att erofl aw unde rt he f ac t s of t hi s ca se , an d t he t r i alco urtpr ope r l y gr ant ed t he C i t y’ s pl ea t o t he j ur i sd i ct i on on t hese cl ai m s. H ow ever , t he M cD onal ds al so br oug ht a cl ai m f or br each of t he i m pl i ed
w ar r ant y ofsui t abi l i t y f ori nt ended com m er ci al pur poses. 18Thi s i m pl i ed
w a rr a n ty m e a n s “ th a t at the i n c e p ti o n o f t h e l e a se the re a re n o l a ten t de fec ts i n t he f aci l i t i es t hatar e vi t al to th e u se o ft he pr em i ses f ort hei ri nt ended35

c o m m e r c ia l p u r p o s e a n d t h a tt h e s e e s s e n t ia l f a c ilit ie sw ill r e m a in in a s u it a b le cond i t i on. ” D avi

dow , 747 S . W . 2d at377. Thi s w ar r ant y on l y c ove r s l at ent def ec t s i n t he nat ur e ofa phys i ca l orst r uct ur aldef ec tt hatt he l and l or d ha s t he d u ty to re p a i r. C o lem an v. Ro tana, I nc. , 778 S . W . 2d 867, 871 ( Tex. A p p .— D a l l a s1 9 8 9 , w ri t d e n i e d ). A l a n d l o rd m a y b e l i a b l e fo r b rea c h o f t h e i m p l i e d w a rr a n ty o f su i tab i l i ty fo r i n te n d e d c o m m e rc i a l p u rp o s e sif th e e v i d e n c e s h o w sth a t: (1 ) th e l a n d l o rd l e a s e d pr op e rt y t o t het e na nt , ( 2) t hel e a s e c ov e r e d c om m e r c i al p r oper t y, ( 3) t he l ea se d pr ope rt y ha d a l at entphy si ca l orst r uct ur aldef ec tatt he i nce pt i on of th e l e a se , (4 ) th e d e fec t w a s in a n a re a tha t w a s v i tal to th e p rop e rt yfor i ts i nt end ed com m er ci alpur pos e, ( 5) t he def ec tm adet he pr ope rt y un su i t abl e f or i tsi n te n d e d c o m m e rc i a l p u rp o s e , a n d (6 ) th e t e n a n ts u ffe re d i n j u ry . 7979 A i r portGarage, L. L. C. v. D o l l a r R en tA Car

Sys. , I nc. , 245 S. W . 3d 488, 502 ( Tex. A pp. — H ous t on [ 14t h Di st . ] 2 0 0 7 , pe t s. de ni ed) ( ci t i ng D avi dow , 747 S. W . 2d a t3 77 , a nd Colem an , 7 7 8 S .W .2 d a t 8 7 1 ); s e eMc Gra w v. Bro wn Realty Co. , 195 S . W . 3d 271, 276 ( Tex. A pp. — D al l as2 006 , no pet . ) . A l at ent def ec ti s onenotdi sc ove r ab l e b y a r ea so nab l y pr ude nti ns pec t i on oft he p re m i s e s a t th e i n c e p ti o n o f th e l e a s e . S ee G upta v. Ritter Ho m es, I n c. , 646 S .W .2 d 1 6 8 , 1 6 9 (T e x . 1 9 8 3 ).36

H er e, t he M cDonal ds ’ s pl ea di ngsco nt ai n a s i ngl e c onc l us ory s t at em ent th a t t h e l e a se d p rem i se s “ h a d a l a ten t de fec t” th a t m a d e t h e p rop e rt y uns ui t abl e f ori t s i nt end ed com m er ci alpur pos es . T he M cDonal dsdi d notal l ege

2 t hatt he l i f tst at i on w as em i t t i ng h a rm fu l H S em i ssi ons w hen t he l ease com m enc ed, tha tt he def ec tw asundi sc ove r abl e b y a r ea so nab l y pr ude nt

2 i nspect i on at t hat t i m e, or t hatt he H S em i ssi ons r ender ed t he l eased pr em i ses unsui t abl e f ort hei ri nt ended pur poses. Furt her , t he j ur i sd i cti on al evi den cedoe s notl end s upportt o t he M c Dona l ds ’ sc l a i m . Th e TCEQ r e po rt , t hePr e l i m i na ry Re po rt , a nd t he2006 m em or and um ar e e vi den ceoft he st at e o ft he l i fts t at i on a nd t he em i ss i ons f r om t he st at i on i n 2 00 6 an d 2 00 7. M r . M cD onal d st at ed i n hi s af f i davi tt hat t her e w er e “ occ as i ona l l y s t r ong odor s t hatem i t t ed f r om t he l i fts t at i on”dur i ng t he t i m e t hathe oper at ed t he G ol fC ent erand t hat“t he odo r s becam e st r ong er a n d m o r e f r e q u e n t ” o v e rt im e , b u tt h isd o e sn o te s t a b lis h a la t e n td e f e c tin exi st ence w hen he assum ed t he l ease. A f t er consi der i ng t he M cD onal ds’ s pl eadi ngs and al l r el ev a n t evi dence, 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 th e M c D o n a l d sa n d i n d u l g i n g e v e ry r ea so nab l e i nf er enc e a nd r es ol vi ng a l l doub t s i n t hei rf avo r , w e h ol d t hatt he pl ea di ngsan d e vi den ced o no te stabl i sh a ca us e o fac t i on f orbr ea ch oft he i m p l i e d w a rra n tyo f s u i ta b i l i tyf o r i n te n d e d c o m m e rc i a l p u rp o s e s . S ee Hei nr i ch ,37

20 09 W L 11 65 30 6 , a t * 9 ( r ecogn i zi ng t hati fr el evantevi dence f ai l s t o r ai se a f actquest i on on t he j ur i sdi ct i onal i ssue, the t r i al courtr ul es on t he pl ea as a m at t erofl aw ) . A ccor di ngl y, appl yi ng t he r equi r ed de nov o st andar d ofr evi ew , w e h ol d t hatt he t r i alcourtcor r ec t l y gr ant ed t he C i t y’ s pl ea t o t he j ur i sd i ct i on on t he M cD on a l ds’ s br each ofi m pl i ed w ar r ant y cl ai m s. W e over r ul e t hat p o rti o n o f th e M c D o n a l d s ’sfi rs t a n d s e c o n d is s u e sc h a l l e n g i n g t h e tri a l c o u rt’s gr antoft he C i t y’ s pl ea t o t he j ur i sdi ct i on on t hei rbr each ofw ar r ant y cl ai m s. V II . O PPORTU NITY TOA MEND I n t hei rt hi r d a nd f ourt h i ss ues , t he M cDonal dsar guet hatt he C i t y di d not al l egei ncu r abl e d ef ec t s i n t he M cDonal ds ’ s pl ea di ngst o s upporti t s pl ea t o t he j ur i sd i ct i on a nd t hat , co ns equ ent l y, t he t r i alco urts houl d ha ve al l ow ed t he M cDonal dst o a m end t hei rpe t i t i on t o a l l egef ac t s con st i t ut i ng a w ai verof i m m uni t y. O r di nar i l y, w hen a pl ai nt i f f i s capabl e ofr em edyi ng a j ur i sdi ct i onal def ect i n h i s p l e a d i n g , d i s m i s s a l w i th p rej u d i c e i si m p ro p e r. See Har r i s County v. S ykes , 1 36 S . W . 3d 6 35 , 6 39 ( Tex . 2 00 4) . H ow ever , w hen a pl ai nt i f fhas been pr ovi ded a r easonabl e oppo rt uni t y t o am end hi s pl eadi ng, butt he am ended pl ea di ng s t i l l doe s notal l egef ac t s t hatw oul d c ons t i t ut e a w ai verofi m m uni t y, th e c o u rt s h o u l d d is m is s t h e c a s e w i th p rej u d i c e . Id. Thi s i s so be ca us e t he19 ... Si gni f i ca nt l y, t he M cDonal dsha ve noti den t i f i ed o n appea l an y

add i t i ona l m att er s t hatt heyw oul d a l l egei n a n a m end ed pet i t i on. 38 pl ai nt i f fshoul d not be perm i t t ed t o r el i t i gat e j ur i sdi ct i on on ce t hati ssue has b e e n fi n a l l yd e te rm i n e d . Id. I n t he pr esentcase, t he M cD onal ds am e nded t hei rpet i t i on t hr ee t i m es p r io rt o t h e t r ia l c o u rt ’s ru lin g o n t h e C it y ’s p le a t o t h e ju r is d ic t io n . A tt h e t im e oft he hear i ng on t he C i t y’ s pl ea to t he j ur i sdi ct i on, t he M cD onal ds had t w i ce am end ed t hei rpe t i t i on. A f t ert he hea r i ng a nd a ft ert he t r i alco urt ’ s or alr ul i ng gr an t i n g t h e Ci t y ’ s p l e a i n p a rt a n d d e n y i n g i t i n p a rt , t h e M c Do n a l d sf i l ed a m ot i on f orr ec ons i der ati on , an d t he t r i alco urthe l d a he ar i ng on t hatm ot i on. T h e M c D o n a ld ss u b s e q u e n t l yf ile d t w o m o t io n sf o rle a v e t o a m e n d t h e ir pl eadi ngs and l ateram ended t hei rpet i t i on a t hi r d t i m e. Thi s t hi r d am ended pet i t i on w as t he l i ve pl eadi ng on f i l e w hen t he t r i al co urtent er ed i t s w r i t t en o rde r on the C i ty’s p l e a . I n the w ri tten o rde r, the tr i a l co u rtd i sm i ss e d w i th pr ej udi ce the M cD onal ds’ s cl ai m s f ornui sance, br each ofw ar r ant y, negl i gence, g ros s n e g l i g e n c e , n e g l i g e n c e p e r se , tak i n g s, an d p rem i se s d e fec t. A re v i e w o ft h e re c o rd d e m o n s tra te sth a t n o t o n l yd i d th e tri a l c o u rt af f or d t he M cDonal ds a r ea so nab l e o pport uni t y t o a m end t hei rpe t i t i on, butt he M c D o n a l d s a m e n d e d th e i r p e ti ti o n th ree ti m e s b e fo re th e tri a l c o u rten tere d i ts w r i t t en or deron t he C i t y’ s pl ea. 19 S e e, e .g ., City of Mi dlothi an v. Bl ack , 27139

S .W .3 d 7 9 1 , 8 0 0 (T e x . A p p .— W a c o 2 0 0 8 , n o p e t.) (h o l d i n g th a t tri a l c o u rt p ro v i d e d p l a i n ti ff w i th re a s o n a b l e o p p o rtu n i tyto a m e n d a n d th a t p l a i n ti ff’s a m e n d e d p l e a d i n g s ti l l d i d n o t a l l e g e fa c ts th a t w o u l d s u p p o rt p l a i n ti ff’sc l a i m s ); L o wel l v. Cityo f

Ba y to wn , 2 6 4 S .W .3 d 3 1 , 3 7 (T e x . A p p .— H o u s to n [1 s t D i s t.] 200 7, pet . f i l ed) ( hol di ng di sm i ss al w i t h pr ej udi cepr ope rw hen pl ai nt i f f s di d not a m e n d th e i r p e ti ti o n a fte r b e i n g p ro v i d e d a re a s o n a b l e o p p o rtu n i tyto d o s o ). Th us, as a pr act i cal m at t er, t he M cD onal ds have al r eady had an opport uni t y t o r e- pl ea d; t heyar e notent i t l ed t o anot heroppo rt uni t y t o c ur e t he j u ri s d i c ti o n a l d e fe c ts d e ta i l e d a b o v e . S e eBr itta in , 268 S . W . 3d at811 ( r ef us i ng t o a l l ow pl ai nt i f fan ot heroppo rt uni t y to am end w hen he rpl ea di ngsdi d not a ffi rm a ti v e l yn e g a te j u ri sd i c ti o n b u t w h e n s h e h a d alr e a d yh a d the o p p o rt u n i ty t o r e- pl ea d) . To t he ext entt hatw e a f f i r m t he t r i alco urt ’ s r ul i ng gr ant i ng t he C i t y’ s pl ea t o t he j ur i sd i ct i on, w e h ol d t ha tthe tr i alco urtdi d noter rby di sm i ss i ng t hos e c l ai m s w i t h pr ej udi ce . W e ove r r ul e t he M cDonal ds ’ s t hi r d a nd f ourt h i ssues. V II I. C ONC L USI ON H avi ng over r ul ed i n partand sus t ai ned i n partt he M cDonal ds ’ s f i r stan d s e c o n d i s s u e sa n d h a v i n g o v e rru l e d th e M c D o n a l d s ’sre m a i n i n g i s s u e s , w e af f i r m t he t r i al cou rt ’ s or dergr ant i ng t he C i t y’ s pl ea t o t he j ur i sd i ct i on a s t o t he M c D o n a l d s’s c l a i m s fo r ne g l i g e n c e all e g i n g u se o f t a n g ib le p e rso n a l p rop e rt y ( t he t es t i ng devi ce ) a nd useofm ot or - dr i ven ve hi cl esan d f orbr ea ch of
w ar r ant y. W e r eve r set he t r i alco urt ’ s or dergr ant i ng t he C i t y’ s pl ea t o t he40

j u ri s d i c ti o n a st o t h e M c D o n a l d s ’sc l a i m sf o r n e g l i g e n c e a l l e g i n g u s e o f m o to rdr i ven equ i pm ent , f orpr em i ses def ect , f ornui sance, and w e r em and t hose c l a i m s to th e tri a l c o u rt fo r fu rth e r p ro c e e d i n g s . T o t h e e x te n t th e M c D o n a l d s ’s pl eadi ngs at t em ptt o st at e a cl ai m based on any ot herw ai verofgover nm ent al i m m u n i ty , w e a ffir m th e tri a l c o u rt’so rd e r.

SU E W A LKER J U S T I C E PA N EL: CA YC E, C. J. ; LI V I N G STO N an d W A LKER, JJ. C A YC E, C. J. di ss ent s and co ncu r s w i t houtopi ni on. DEL I VERE D: J un e 25, 2009