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

## COURT OFAPPEALS SECOND DISTRICTOF TEXAS FORT WORTH NO. 2 - 0 7 - 3 5 5 - CV
B OB B Y F E R AC HI AP P E L L ANT V . SH A W N CA D Y A PPELL EE

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### MEMORANDU M OPI NI ON 1

----- ----- -- A f t era j ur y t r i al , t h e tri al courtr ender ed j udg m entaw ar di ng A ppel l ee Shaw n C adydam age s i n hi s br ea ch ofco nt r ac tcl ai m ag ai ns tA ppe l l antBobby Fer ac hi . Fe r ac hi now ap pea l s f r om t hatj udgm ent . I n f ouri ss ues , Fe r ac hi ar gue s t hatt he t r i al co urter r ed by f ai l i ng t o r end er j udgm ent on hi s af f i r m at i ve de f e ns e , t ha t t he c on t r a c t a t i s s ue w a s un e nf or c e a bl e a s a m a t t erofl aw2 ... A l t hough s om et i m esus e d i n t e r c h a n g e a b l y , t h et er m s “a gr ee m ent ” and

“c ont r ac t ” ar e n ots ynon ym ous . “ A gr ee m ent ” r ef er s t o “ a m ani f es t at i on of m u tu a l a s s e n to n th e p a rt o f tw o o r m o re p e rs o n s ,” w h e re a s th e te rm “cont r act ” r ef er s t o “a p r om i se or a setofpr om i ses f or the brea ch of

whi ch the l awgivesa rem edy . ” Re s t a t e m e nt( Se c on d) o fC ont r a c t s §§ 1 , 3 ( 1981) (e m p h a s i s a d d e d ); W i ley v. Bertel

sen , 770 S . W . 2d 878, 882 ( Tex. A p p .— T e x a rk a n a 1 9 8 9 , n o w ri t) (n o ti n g th a t th e te rm “ a g re e m e n t” i s m o re br oad t han t he t er m “ con t r ac t ” and t hatpa rt i esm i ghtha ve an agr ee m entbut not a cont r act ) . T hr oug hou tthi s op i ni on, w e u se t he t er m “agr eem ent ” t o r ef er t o t he part i es ’ m ut ual asse ntt o t he sa l e o ft he i nt er es ti n t he H ous ebo atan d t he t er m “ contr act ” t o r ef ert o t he w r i t i ng exp r essi ng t hatagr eem ent . W hen quot i ng f r om pa rt s of t he con t r ac t , w e us e t he t er m t hatt he part i esus ed i n t he w r i t i ng. 2 b e c a u s e i t w a s n o t h in g m o re th a n a n a g re e m e n t to a g re e , th a t th e tri a l c o u rt er r ed by r ef usi ng t o r enderj udg m ent o n h i s D ecept i ve Trade Pr act i ces A ct ( “DTPA ”) cl ai m s, an d t hatt he cont r ac tw asvoi d und ers ec t i on 39. 004 oft he Tex as B usi ness and C om m er ce C ode. Because w e hol d t hatt he contr actw as notune nf or ce abl e a s a m at t erofl aw an d t ha ts ec t i on 39 . 004 w asnot a p p l i c a b l e to th e c o n tra c t a t i s s u e , w e a ffir m .

B AC KG ROUNDF ACTS A NDP ROCEDURALH I STO RY C adyan d Fe r ac hi be ca m e a cqu ai nt ed w hen C ady w asi n t he pr oce ssof di vo r c i ng F e r a c hi ’ s e x- w i f e . Th e t w o be c a m e f r i e nd s , a nd o n Ju l y 23, 2005 , t heyen t er ed i nt o a w r i t t en agr ee m ent( “t he con t r ac t ”) unde rw hi ch Fer ac hi agr eed t o buy and C ady agr eed t o sel l an i nt er esti n a f our - bedr oom housebo at (“ H o u s e b o a t” ). 2T h e c o n t r a c tp r o v id e d t h a tF e r a c h i w o u ld m a k e m o n t h ly3

pay m ent s of$2, 500 t o Cady, pl us a p r op or t i ona t e s har e o ft he sl i p f ee s and i nsur ance. The con t r actal so pr ovi ded t hatFer achi w oul d gi ve C ady t en days’
n o t ic e ifh e c o u ld n o tm a k e a s c h e d u le d p a y m e n t . In s u c h c a s e , C a d yw o u ld f ur ni sh a l i ne ofcredi tto Fer achi , nott o exceed $ 10 , 00 0, t o coverany m i ssed p a y m e n ts b y F e rac h i . T h e p a rt i e s a g ree d tha t t h e yw o u l d m a k e arran g e m e n ts i n t he f ut ur e t o r epa y a ny a m ount s ext end ed unde rt he l i ne ofc r edi t , but “[ n] ot w i t hs t and i ng t he f or ego i ng, ” anys um s ow ed t o Cady b y Fe r ac hi a tt he ti m e the m o rt g a g e w a s re ti red w o u ld b e in c o rpo rate d i n to a p rom i ss o ry n o te
w i t h paym entt er m s agr eed t o att hatt i m e. T h e co nt r actal so st at ed t hat Fer ac hi ’ s obl i gat i on undert he con t r ac tw as“ abs ol ut e a nd un con di t i ona l ” and t h a t“ [i] n t h e e v e n tt h a tF e r a c h i f a ils t o s a t is f yh is o b lig a t io n s h e r e u n d e ro rin t he eve ntt hat Fer ac hi el ec t s t o ce as e pay i ng al l or any port i on oft he pay m ent o b l i g a ti o n s h e reu n d e r, F e rac h i sh a l l co n ti n u e to b e l i a b l e for h i s p rop o rt i o n a te s h a re o f th e c o s t o f th e B o a t a s s e t fo rth h e re i n .” A tt he ti m e of t he con t r ac t ’ s exe cut i on, Fe r ac hi ga ve C adya che ckf or $8, 945 , w hi ch i ncl ude d tw o of t he $2, 500 pa ym ent s and pa ym ent s f or i nsur ance and t he sl i p fee . F er achi f ai l ed t o m ake any m or e paym ent s aft er dem and by C ady , an d Cady b r oughts ui tag ai ns thi m f orbr ea ch ofco nt r ac tan d fr a u d i n the i n d u c e m e n t.4

F e rac h i fi l e d a c o u n terp e ti ti o n all e g i n g co n v e rsi o n o f his p e rso n a l p rop e rt y t h a th a d b e e n o n th e H o u s e b o a t. H e a l s o a l l e g e d th a t th e c o n tra c t w a s v o id b e c a u s e i t w a s a c o n s u m e r c re d i t c o n tra c t th a t d i d n o t i n c l u d e th e s ta tu to ry not i ce ofr es ci ss i on un derbus i nes s and co m m er ce c ode s ec t i ons39. 004 an d 39. 008. He a l s o a l l e ge d a DTPA vi ol a t i on a nd a s s e rt e d a f f i r m a t i ved e f e ns e s, i ncl udi ng t he def ens e t hatt he w r i t t en agr ee m entw ast oo vaguean d a m bi guous to co n sti tu te a co n tr a c t. A tt r i al , Cady t es t i f i ed t hatFe r ac hi ap pr oac hed hi m ab outpa rt ner i ng on t h e t w o -b e d r o o m h o u s e b o a tt h a t C a d y a lr e a d y o w n e d a n d t h a tw h e n C a d yt o ld hi m t hatt he boa tw as t oo s m al l f ort w o f am i l i es , t heyl ook ed i nt o ge t t i ng a f our - be droom hous ebo at . He st at ed t hatt he or i gi nal ag r ee m entw ast hathe
w oul d putdow n hi s hal foft he pur cha sepr i ce ofthe H ous ebo atast he dow npaym entand t hatFer achi w oul d m ake t he m onthl y paym ent s on t he ot her h a l f. B u t after C a d yp u rch a se d th e H o u se b o a t an d too ko u t a n o te o n i t, Fer achi t ol d hi m th a t h e coul d not af f or d t he m onthl y paym ent s. Theyt hen ent er ed i nt o t he con t r ac tunde r w hi ch Fer ac hi w oul d ber es pons i bl e f oronl y a th i rd o f t h e co st. Fer ac hi cl ai m ed t hatt heyha d no agr ee m entbe f or e Cady bough tt he b i g g e rH o u s e b o a t . H e a s s e rt e d t h a tC a d yb o u g h tt h e Ho u s e b o a to n h i s o wn a n d the n ap p roa c h e d F e rac h i w i th the su g g e sti o n tha t he b u yan i n tere st.5

Fer ac hi t es t i f i ed t hatt w o da ys aft ers i gni ng t he con t r ac t , he l efta m es sa ge f or C ady t hat he had m ade a m i st ake and w as notw i l l i ng orabl e t o buyt he i nt er est i n t he H ousebo at . H e st at ed t hatC ady r et ur ned hi s cal l and t ol d Fer achi t hat t hey w oul d t al k about i tw hen C ady r et ur ned f r om hi s t r i p. Fer achi al so tes ti fi e d tha t he d i d n o t u n d e rstan d C a d y to b e i n th e b u sine ss o f se l l i n g b o a ts and t hat , al t hough he kne w Cady ha d s om et i m esl oan ed m one y t o pe opl e, he di d not und er st and C ady t o be i n t he busi ness ofm aki ng l oans. Joseph Fl ow er s, t he ow ner of X t r em e M ar i ne, w her e t he H ousebo atw as p u rc h a s e d , te s ti fi e d t h a t b e fo re C a d yb o u g h t th e H o u s e b o a t, h e o v e rh e a rd Fer ac hi an d Cady i n c onve r sa t i onsdi sc us si ng pa rt ner i ng on a houseb oat , an d th a t a fte r th e H o u s e b o a t w a s p u r c h a s e d , F e ra c h i h e l d h i m s e l f o u t to F l o w e rs a s a p a rt n e r i n the H o u se b o a t. Th e j ur y f oun d t hatFer achi “f ai l [ ed] t o com pl y w i t h t he agr eem ent , ” t hat $1 05 , 00 0 w oul d f ai r l y com pensat e C ady f or“hi s dam ages pr oxi m at el y caused b ythe b rea c h ,” an d tha t F e rac h i d i d n o t c o m m i t fr a u d i n the i n d u c e m e n t. W i th
r es pec tt o Fe r ac hi ’ s D TPA cl ai m , t he j ur y f ound t hatt he t r ans ac t i on c o n te m p l a te d b yth e c o n t r a c tw a s a “ [c ]o n s u m e r tra n s a c ti o n .” B u t th e j u ry f urt herf ound no da m age s r es ul t i ng t o Fe r ac hi f r om an y f al se , m i sl ea di ng, or dec ept i ve ac torpr ac t i ce by C adyi n t he so l i ci t at i on oft he t r ans ac t i on.6

T h e j u rya l s o fo u n d th a t th e c o n tra c t l e ft a m a te ri a l te rm o p e n fo r fu tu re n e g o ti a t io n s , th a t C a d yd i d n o t b re a c h th e c o n tra c t s u c h th a t F e ra c h i ’s per f or m ance w as excused, t hatC ady di d not r epud i at e t he co nt r act , t hat Fer achi di d not r esci nd t he contr acton or bef or e t he t hi r d day aft ert he contr act
w ass i gne d, an d t hatCady di d notco nve rtFe r ac hi ’ s pr ope rt y. C ady f i l ed a p ost - t r i al “bri efi n suppo rtoft he j udg m ent ” aski ng t he t r i al c o u rtt o d i s r e g a r d t h e j u r y ’ s a n s we rt o q u e s t i o n n i n e o ft h e c o u rt ’ s c h a r g e . He contended t hatt he j ur y’ s a n sw ert o t hatquest i on, w hi ch asked i fa m at er i al te rm h a d b e e n l e ft o p e n , w a s i m m a teri a l i n tha t t h e co n tr a c t co n tai n e d tw o con t r ac t s— one f ort he pur cha seofan i nt er es ti n t he H ous ebo atand one f ort he l i ne ofcr edi t . Thus , t he j ur y’ s f i ndi ng t hata m at er i al t er m w asl eftope n di d not af f ec tt he j ury’s d et er m i nat i on t hatCady s houl d beaw ar ded $105 , 000 f or br each ofthe con t r actto buy t he H ousebo ati nt er est . The t r i al courtr ender ed j ud gm e ntf orCad y on h i s b r e a c h ofco nt r a c tcl a i m a nd a w a r de d hi m $105 , 000 as dam ages. A NA LY S IS I n hi s second i ssue, Fer achi cont ends t hatt he c o n tr a c tsued upon w as unen f or ceabl e as a m at t erofl aw because i tconst i t ut ed nothi ng m or e t han an a g re e m e n t to a g re e . Q u e s ti o n n i n e o f th e c o u rt’s c h a rg e i n s tru c te d th e j u ry t hat“ [ i ] ti s yourdut y t o i nt er pr et t he l ang uag e of t he agr ee m entt o de t er m i ne3 ... S eeT e x . R . C i v . P . 3 0 1 (a l l o w i n g tri a l c o u rt to re n d e rJ N O V i f j u ry

f i ndi ng has no sup por ti n evi d e n c e o r i fdi r ect ed ver di ctw oul d have been p ro p e r; T

i l ler v. Mc L ure , 1 2 1 S .W .3 d 7 0 9 , 7 1 3 (T e x . 2 0 0 3 ); F o rt Ben d Co un ty D rai nag e Di st. v. Sbrus ch, 8 1 8 S .W .2 d 3 9 2 , 3 9 4 (T e x . 1 9 9 1 ); Pruden ti al I ns. Co. v. Fi

n. Revi ewServs. , I

nc. , 29 S. W . 3d 74, 77 ( Tex. 2 0 00) ( se t t i ng ou t c i rc u m s ta n c e s w h e n d i re c te d v e rd i c t i s p ro p e r); Hog u ev. Prop a thL a b ., I n c ., 1 9 2 S .W .3 d 6 4 1 , 6 4 6 (T e x . A p p .— F o rt W o rth 2 0 0 6 , p e t. d e n i e d ).

4 ... A lc o r

nv. Bro wn , 5 3 6 S .W .2 d 8 0 , 8 2 (T e x . C i v . A p p — F o rtW o rt h 1 9 7 6 , w r itr e f ’d n .r.e .); see al so Se. Pi

pe Li ne Co. , I

nc. v. Tichacek , 997 S . W . 2d 16 6, 17 2 ( Tex . 1 99 9) ( noti ng t hata j ur y’ s answ erto a quest i on m ay b e d i s re g a rd e d i f q u e s ti o n c a l l s fo r a fi n d i n g o n a q u e s ti o n o f l a w ). 7 i fa m a t e r i a l t e r m o ft h e a g r e e m e n tw a s l e f to p e n f o rf u t u r e n e g o t i a t i o n ” an d as ke d w het hert he agr ee m entl efta m at er i al t er m ope n f orf ut ur e n ego t i at i on. T h e j u rya n s w e re d “ y e s .” T h e tri a l c o u rt d i d n o t e x p re s s l yru l e o n C a d y ’s
m o t i o n t o d i s r e g a r d t h e j u r y ’ s a n s w e rb u tu l t i m a t e l yr e n d e r e d j udgm ent a w a rding C a d yd a m a g e s fo r bre a c h o f co n tr a c t. A t r i al co urtge ner al l y m ay di sr ega r d a j ur y ver di ct and r end erj udgm ent n o tw i th s ta n d i n g th e v e rd i c t (“ J N O V ” ) o n l yif (1 ) n o e v i d e n c e s u p p o rts th e j u ry f in d in g o n a n is s u e n e c e s s a r yt o lia b ilit y ; ( 2 ) t h e e v id e n c e c o n c lu s iv e ly e s t a b lis h e s t h e rig h to ft h e m o v a n tt o ju d g m e n t ; ( 3 ) t h e e v id e n c e c o n c lu s iv e ly
n e g a t e s t h e r i g h to ft h e o p p o n e n tt o ju d g m e n t ; o r(4 ) t h e e v id e n c e is i nsuf f i ci entt o r ai se a m at er i al f acti ssue. 3B u t a tri a l co u rtm a y , w i th o u t a m ot i on bya part y, di sr ega r d a j ur y’ s f i ndi ng on an i ss ue er r one ous l y s ubm i t t ed, s u c h a s a q u e s t i o n o fl a w. 48

Fer achi ar gues t hatt her e w as onl y one con t r actbet w een t he part i es, t hat t h e c o n t r a c ta llo w e d h im t o m is s p a y m e n t s , t h a tt h e c o n t r a c tc a p p e d h is
m axi m um l i abi l i t y f orm i ss ed pay m ent s at$10, 000 , t hatt he $10 , 000 w oul d be ext en ded as cr edi t , and t hatt he r epaym entt er m s f orany am oun text ended
w oul d be addres sed in a f ut ur e agr eem entbet w een t he part i es. H e f urt her ar gue s t h a t n o s u c h f u t u r e c o n t r a c t w a s e v e r m a d e b y t h e p a rt i e s . Thus , he c o n t e n d s , t h e c o n t r a c ta tis s u e c o n s t it u t e s n o t h in g m o r e t h a n a n u n e n f o r c e a b le agr eem entt o agr ee and i s voi d and un enf or ceabl e as a m at t erofl aw . Th e part s oft he contr acton w hi ch Fer achi r el i es st at e as f ol l ow s: 2 . . . . In t h e e v e n tt h a t , f o rw h a t e v e rre a s o n , F e r a c h i is u n a b le t o m a k e a ll o ra p o rt io n o fa n ym o n t h lyp a y m e n t , h e w ill pr ovi de not i ce t o Cady n otl es s t han t en ( 10) da ys pr i ort o t he sc hed ul ed pay m entda t e i n order to per m i tCady t o m ak e u p a ny sh ort f al l i n s uch m ont hl y pa ym ent . Pa ym ent s m adeby C adyon be ha l fo fF e r a c his ha l l b e h a nd l e d i n a c c or da nc e w i t h pa r a gr a ph 4, b e l o w.

. . . . 4. Paym ent s m adeby C adyt o sat i sf y t he Fer ac hi pa ym ent o b l i g a ti o n s, i n c l u d i n g full o r pa rt i a l m o n th l yp a y m e n ts a s s e t f o rt h i n p a rag rap h 2 o r pa y m e n ts m a d e b yC a d yw it h res p e c t t o Fer ac hi ’ s sh ar e oft he M ai nt ena nceFeesshal l be r epa i d byFe r ac hi un de ra l i ne of c r e di t f ur ni s he d byCad y no tt o e xc e e d $10, 000. 00 w i t h al l advances under such l i ne bear i ng i nt er est at t he r at e oft en per ce nt ( 10% ) per ann um . Repay m ent of adv anc es m adeby C ady to F e rac h i o r f o r t h e b e n e fi t of F e rac h i w i l l b e i n ac c o rda n c e w i th ar r ang em entsm adebe t w ee n t he part i es . Not w i t hs t and i ng t he f or ego i ng, how eve r , i fan y s um s or[ si c] ow ed by F er ac hi t o Cady att he t i m e t he m ort gag e on t he Boati s r et i r ed, t he r em ai ni ng s um s9

o w e d b yF e ra c h i to C a d ys h a l l b e in c o rp o ra te d i n to a p ro m i s s o ry note w i t h paym entt er m s agr eed t o atsuch t i m e.

. . . . 7 . T h e o b l i g a ti o n o f Fe rac h i t o m a k e h i s p rop o rt i o n a te sh ar e o ft he pur cha sepr i ce oft he Boati s abs ol ut e a nd unc ondi t i ona l an d i s equ i val entt o t he obl i gat i onsCady ow est o t he m o rt g a g e e u n d e rt h e p u r c h a s e n o t e . In t h e e v e n tt h a tF e r a c h i f a ils t o s at i sf y hi s obl i gat i ons he r eun derori n t he eve ntt hatFe r ac hi el ec t s t o ce as e pay i ng al l or any port i on of t he pay m entobl i gat i ons h e reu n d e r, F e rac h i s h a l l c o n ti n u e to b e l i a b l e for h i s p rop o rt i o n a te sh ar e of t he cos t of t he Boat as se t f ort h her ei n. Fer ac hi s hal l ha ve ei t hert he opt i on t o f i nd a s ubs t i t ut e p ur cha se rt o a ss um e t he r em ai ni ng po rt i on ofFe r ac hi ’ s obl i gat i ons he r eun derort o c ont i nue to m a k e p a y m e n ts i n ac c o rda n c e w ith t h e p a rt i e s’ ag ree m e n ts h e re u n d e r. C o n tr a ry to F e rac h i ’s as s e rt io n s, this l a n g u a g e g a v e h i m the o p ti o n to c o m p l e te l y c e a s e m a k i n g p a y m e n ts o n l y i f h e fo u n d a s u b s tit u t e p u rc h a s e r. Fu rt he r m or e , t he c on t r a c t di d no t c a p hi s l i a bi l i t y un de rt hec on t r a c ta t$10, 000 sh o u l d h e ce a se m a k i n g p a y m e n ts . R a th e r, C a d yag ree d to c o v e r up to $10 , 000 ofFe r ac hi ’ s sh ar e w hi l e the m or t gag e w asi n e f f ec t , an d Fe r ac hi agr ee d t o r epa y t he am ountpa i d byCady un dert hatpr ovi si on. B ut F er ac hi i s cor r ec tt hatpa r agr aph f ourdi d notco nt ai n r epa ym ent t er m s f oran y a m ount s adv anc ed unde rt hatpar agr aph . A l t hough t he par agr aph setouta m axi m um am oun tofm oney thatw oul d be advan ced and provi ded
w hati nt er es tr at e Cady w oul d c har ge Fer ac hi f orm one y a dva nce d, i tdi d not se toutt he t er m s ofr epa ym ent , s uch ashow of t en pay m ent s w oul d be m ade5 ... S ee Benda l i n v. D el gado , 4 06 S. W . 2d 897 , 8 99 ( Tex. 1966 ) ( hol di ng t hati n t he a greem en tati ss ue, “ [ t ] he f ai l ur e o ft he part i est o r ea ch so m e unde r st and i ng a s t o pr i ce of t en i ndi ca t es t hat t her e h asbe en no m ee t i ng oft he m i n d s ” ); Potci

nskev. M cDonald Prop. I nvs . , Ltd. , 245 S. W . 3d 526 , 531 ( Tex. A pp. — H ous t on [ 1stD i st . ] 2007 , no pet . ) ( l ook i ng a tt he r ec or d a nd de t er m i ni ng t hatf i nan ci ng t er m w asa m at er i al el em entoft he bar gai n “ asm ani f es t ed by t he p a rti e s ’ fo c u s o n th a t p ro v i s i o n d u ri n g n e g o ti a ti o n s ” a n d c o n c l u d i n g th a t th e re w a s n o m e e ti n g o f th e m i n d s c re a ti n g a n e n fo rc e a b l e c o n tra c t); se ealso S c o tt v. I ngle Bros. Pac. , I

nc. , 48 9 S . W . 2d 55 4, 55 5 ( Tex . 19 72 ) (n o ti ng t hat “part i es m ay agr ee upon som e oft he t er m s of a contr act , an d und er st and t hem t o bean ag r ee m ent , and yetl ea ve ot herport i onsofan agr ee m entt o be m ade l a te r” ). 10 orw hatt he dur at i on of t he r epaym entt er m w oul d be. Fer achi ar gu e s t hat t hese m i ssi ng t er m s m ade t he ent i r e cont r actunenfor ceabl e. Th e i ssue of i ndefi ni t eness i n t he t er m s ofa w r i t t en agr eem entcan ar i se bot h i n t he ques t i on ofw het herpart i esi nt end ed t o f or m a con t r ac tan d i n t he q u e sti o n o f w h e th e r a w ri tten a g ree m e n t u n d e r w h i c h th e p a rt i e s i n ten d e d to b e b o u n d c o n s t it u t e s a n e n f o r c e a b le c o n t r a c t . T h a ta w r it t e n a g r e e m e n tis i nde f i ni t e a s t o som e oft he t er m s m ay i ndi ca t e t hatt he part i esha d no i nt ent i on to b e b o u n d b yth e a g re e m e n t, p a rti c u l a rl yw h e n t h e in d e fi n i te te rm s a re e s s e n t ia l, r a t h e rt h a n c o lla t e r a l. 5 “ W h e th e r th e p a rti e s i n te n d e d to e n te r a b in d in g c o n t r a c to rm e r e lya n u n e n f o r c e a b le a g r e e m e n tt o m a k e a c o n t r a c tin t he f ut ur e i s or di nar i l y a quest i on of f act , ” al t hou gh a courtm ay det er m i ne t hat t he l ang uag e o ft he agr ee m entes t abl i sh esasa m at t erofl aw t he i nt entoft he6 ... F a ra hv. Ma f

r i g e& Ko r

ma n i k, P. C. , 9 2 7 S. W . 2d 663, 678 ( Tex. A p p .— H o u s to n [1 s t D i s t.] 1 9 9 6 , n o w ri t); WestBeach Mar i na, Ltd. v. Erdel

j ac , 9 4 S .W .3 d 2 4 8 , 2 5 7

– 5 8 (T e x . A p p .— A u s ti n 2 0 0 2 , n o p e t.); see al so Potci nske , 245 S. W . 3d a t531. 7 ... T. O . Stanley Bo otCo. , I nc. v. Ban k of

E l Paso , 847 S. W . 2d 218, 221 ( Tex. 1992 ) ( st at i ng t hat“ [ i ] n or dert o bel ega l l y bi ndi ng, a contr ac tm us tbe su f f i ci ent l y de f i ni t e i n i t s t er m s so t hata cou rtca n und er st and w hatt he p ro m i s o r u n d e r t o o k ” a n d th a t “ [w ]h e rea n e s s e n ti a l te rm i s o p e n fo r fu tu re n e g o ti a ti o n , th e re i s n o b i n d i n g c o n tra c t” ); Sadeghi v. Gang , 270 S. W . 3d 773, 7 7 6 (T e x . A p p .— D a lla s 2 0 0 8 , n o p e t .) (“ Ifa c o n t r a c tis n o tc le a ra n d c e rt a in a s to a l l e s s e n ti a l te rm s , i t w i l l fa i l fo r in d e fi n i te n e s s .” ); Mi ga v. Jensen , 25 S .W .3 d 3 7 0 , 3 7 6 (T e x . A p p .— F o rt W o rth 2 0 0 0 ), a ff’d i np a rt a n d re v ’d

i np a rt, 9 6 S .W .3 d 2 0 7 (T e x . 2 0 0 2 ).

8 ... Beal Ban k, S. S . B. v. Sch lei der, 124 S . W . 3d 6 4 0 , 6 5 4 n . 8 ( Tex. A p p .— H o u s to n [1 4 th D i s t.] 2 0 0 3 , p e t. d e n i e d ); A m . ’ s Favor ite Chi cken Co. v. Sam aras , 9 2 9 S .W .2 d 6 1 7 , 6 2 2 (T e x . A p p .— S a n A n to n i o 1 9 9 6 , w ri t d e n i e d ); Farah , 9 2 7 S .W .2 d a t 6 7 8 ; s e ea ls o Pla yo f f Co r p . v. Bla ck well, N o. 02- 06- 00249

- CV , 2008 W L 51943 40, a t*3 ( Te x. App . — Fo rtW ort h Dec . 11, 20 08 , no pet . ) ( noti ng t hatw het heran agr eem entf ai l s f ori ndefi ni t eness i s a q u e s ti o n o f l a w ). 11 part i est o be boun d. 6But even i fpart i es i n tended t o be bou nd byan agr eem ent , a courtm ay concl ude t hati ti s not an enf or ceabl e cont r actbecause i t s t er m s ar e t oo i ndefi ni t e f ort he cour tt o det er m i ne th e p art i es’ l egal obl i gat i ons a n d l i a bi l i t i es. 7 T h e is s u e o fw h e t h e ra c o n t r a c tc o n t a in s a ll essent i al t er m s t o be enf or ceabl e i s a quest i on of l aw . 8 I fa cou rtcan de t er m i ne a r em edyw i t h r ea so nab l e c ert ai nt y, the co urts houl d f i nd t he con t r ac tt o be9 ... A m . ’ s Favor ite Chi cken Co. , 9 2 9 S .W .2 d a t 6 2 3 ; Mi ga , 25 S . W . 3d at 3 7 6 ; see al

so Tex. O i

l Co. v. Ten neco I

nc. , 917 S . W . 2d 826, 830 ( Tex. A pp. — H ous t on [ 14t h Di st . ] 1994 ) ( “Ther ul esr ega r di ng i nde f i ni t en ess of m at er i al t er m s ofa con t r ac tar e b as ed on theco nce ptt hata part y c ann ot a c c e p t a n o ffe r s o a s to fo rm a c o n tra c t u n l e s s th e te rm s o f th a t c o n tra c t a re r e a s on a bl y c e rt a i n. ” ) ( c i t i ng Re s t a t e m e nt( Se c on d) o fCon t r a c t s § 33 ( 1) (1 9 8 1 )), rev’

d on other

grounds , 9 5 8 S .W .2 d 1 7 8 (T e x .1 9 9 7 ). 10 ... Be a l

Ba nk, S. S. B. , 1 2 4 S .W .3 d a t 6 5 4 n .8 ; A m . ’ s Favor ite Chicken Co. , 929 S. W . 2d a t622. 12 def i n i t e e n o u g h t o g r a n t t h e r e m e d y i f t h e e v i d e n c e d e m o n s t r a t e s t hatt he p a rt i e s i n ten d e d to e n ter i n to an ag ree m e n t. 9 A l t hough Fer ac hi as se rt ed i n va r i ous pl ea di ngs t hatt her e w asno m ee t i ng oft he m i nds because t he t er m s of t he contr actw er e too v ague and am bi guo us, att r i al he di d notdi sp ut e t hathe unde r st ood thathe an d Cady w er e e nt er i ng i nt o a co nt r ac t . Rat her , he adm i t t ed t hat he and C ady had an agr ee m entan d th a t after s i g n i n g th e c o n tr a c t, h e ini ti a l l yb e g a n p e rf o rm i n g u n d e r t h e co n tr a c t. N ei t herpart y r ai se d a f ac ti ss ue abou tw het hert heyha d a gr ee d upo n t er m s of a co nt r act , u nder st andi ng t hem to be an agr eem ent . Th e onl y quest i on att r i al
w as w het hert he absence f r om t he contr acto fthe t er m s on w hi ch t he part i es had n o t yetagr eed r ender ed t he contr actt oo i ndefi ni t e t o be enf or ceabl e. A l th o u g h q u e sti o n n i n e a sk e d the j u ry to d e term i n e i f a m a teri a l term w a s l e ft ope n, t he que st i on ofw het hert he con t r ac tco nt ai ned al l t he es se nt i al t er m s f or i tt o be e n fo rceabl e i s a quest i on of l aw . 10T h u s, the tr i a l co u rtw a s free to11 ... S e eA lc o rn , 5 3 6 S .W .2 d a t 8 2 (st a ti n g t h a t tri a l c o u rt m a yd i s re g a rd

j u ry ’s a n s w e r to e rro n e o u s l ys u b m i tte d q u e s ti o n o f l a w ).

12 ... T. O . S tan ley BootCo. , 84 7 S . W . 2d at22 1 ( st at i ng t hat“[ e] ach con t r ac tshoul d be cons i der ed se par at el y t o det er m i ne i t s m at er i al t er m s”an d t hat“ [ i ] n a co nt r ac tt o l oan m one y, t he m at er i al t erm s w i l l ge ner al l y be : t he am ountt o be l oan ed, m aturi t y da t e o ft he l oan , t he i nt er es tr at e, an d t he re p a y m e n t te rm s ” ).

13 ... Kel ly v. Ri o Grande Computer

l and Group , 128 S . W . 3d 759 , 7 67 ( Tex. A p p .— E l P a s o 2 0 0 4 , n o p e t.); John Woo d G roup USA , I

nc. v. IC O, I

nc. , 26 S .W .3 d 1 2 , 2 0 (T e x . A p p .— H o u s to n [1 s t D i s t.] 2 0 0 0 , p e t. d e n i e d ). 13 di sr egar d t he j ur y’ s answ ert o quest i on ni ne and det er m i ne as a m at t erofl aw w het hert he contr actcont ai ned al l t he essent i al t er m s t o const i t ut e an e n fo rce a b l e co n tr a c t. 11 W hat t e r m s a r e m a t e r i a l o r e s s e n t i a l t o a c o n t r a c t a r e d e t e r m i ned on a contr act - by- contr actbasi s, depend i ng on t he subj ectm at t eroft he contr actat i ssue. 12 Thr ee ess ent i al el em ent s ofa con t r ac tf orsal e ar e “( 1) t he t hi ng s ol d,
w hi ch i s t he obj ec toft he cont r ac t ; ( 2) t he cons i der at i on orpr i ce t o be pa i d f or t he t hi ng s ol d; an d ( 3) t he con se ntoft he part i est o e xch ang e t he t hi ng f ort he p ri c e .” 13 H er e, t he su bj ec toft he sa l e w asan i nt er es ti n t he H ous ebo at . Undert he con t r ac t ’ s t er m s, Fe r ac hi ag r ee d t o pa y $316, 442 . 60 f ora t hi rt y- t hr ee pe r ce nt i nt e r e s t i n t he Hous e bo a t . He a gr e e d t o m a k e m on t hl y pa ym e nt s o f$2, 500. 00 unt i l t he t ot al am ountw as pai d. The con t r ac ts t at ed t hatunde rt he m ort gag e14

o n t h e Ho u s e b o a t , Ca d y o w e d m o n t h l y p a y m e n t s o f $3 , 34 4. 78 , d u e o n t he 27 t h of each m onth, and Fer achi agr eed t o m ake hi s shar e oft he paym entas t he m onthl y paym entb ecam e d ue. Fer achi ag r eed t o noti f y C ady no tl ess t han t en day s bef or e t he due da t e i fhe w oul d beuna bl e t o pa y t he m ont hl y pa ym ent b yt h e s c h e d u le d p a y m e n t d a t e . C a d y a g r e e d t h a tw h e n F e r a c h i h a d m a d e a ll t he pay m ent s agr ee d t o und ert he con t r ac t , an d a s l ong a s Fer ac hi w asnot ot her w i se i n def aul t , he w oul d t r ansf ert o Fer achi a t hi rt y- t hr ee per centi nt er est i n t he H ousebo at . Th e co nt r actfurt herst at ed t hatFer achi ’ s obl i gat i on t o m ake hi s shar e ofpaym ent s w as “absol ut e and unco ndi t i onal . ” Thus, t he contr act
w ascl ea rast o w ha ti t em w asbe i ng s ol d ( an i nt er es ti n t he H ous ebo at ) , t he p r ic e t o b e p a id f o rt h e in t e r e s tin t h e H o u s e b o a t($ 3 1 6 ,4 4 2 .6 0 , p a id in
m ont hl y i ns t al l m ent s of$2, 500 . 00) , an d t he pa r t i es’ a gr ee m entt o e xch ang e t he i t em f ort he pr i ce. U ndert he contr act ’ s t er m s, a court coul d det er m i ne t hatFer achi had an obl i gat i on t o pa y Cady $2, 500 perm ont h by t he 27t h ofea ch m ont h unt i l he had pai d a t ot al of$3 16 , 44 2. 60 and t hati fhe f ai l ed t o do so, he w as i n br each oft he contr act . The cou rtcoul d al so det er m i ne t hatF er achi coul d f ai l t o m ake a pay m ent but avo i d def aul t i ng unde r t he con t r ac t by not i f yi ng C adyt en day s b e fo re th e p a y m e n t w a s d u e th a t h e c o u l d n o t m a k e h i sp a y m e n t. T h e c o u rt c ou l d f urt he rde t e r m i net ha tund e rt ha tt e r m , Fe r a c hico ul d m i s s u p t o $10, 00014 ... See T. O . Stanl ey BootCo. , 8 4 7 S .W .2 d a t 2 2 1 ; Mi ga , 25 S. W . 3d at 376. 15 ... See T. O . Stanl ey BootCo. , 847 S. W . 2d a t221.

15 ofp aym ent s w i t hou td ef aul t i ng. Th e co urtcoul d al so det er m i ne t hati tw as a br each of t he contr act i f Fer achi f ai l ed t o t i m el y noti f y C ady t hathe w oul d m i ss a paym e n t o r i f h e m i ssed m or e t han $ 10 , 00 0 w ort h ofpaym ent s. The t r i al cou rtco ul d a l so de t er m i ne t he am ount of dam age s i ncu r r ed by Cady i fFe r ac hi st oppe d m ak i ng pa ym ent s. Thus , t he t er m s oft he con t r ac tw er e n ott oo i nde f i ni t e f ort he cou rtt o de t er m i ne w het herFer ac hi br ea che d t he con t r ac tby
r ef usi ng t o m ake p aym ent s and w hatt he r em edy f orsuch a br each shoul d be. A ccor di ngl y, t he contr actati ssue w as notunenfor ceabl e as a m at t erofl aw . 14 W e over r ul e Fer achi ’ s second i ssue. I n h i s fi rst i ss u e , F e rac h i arg u e s th a t t h e tr i a l co u rterred b yrefu sing to ent erj udg m enton hi s af f i r m at i ve def ense t hat t he contr actl ef topen a m at er i al t er m be ca us e t he j ury’ s det er m i nat i on on t hi s que st i on w ass upport ed by t he e v id e n c e . A c o n t r a c tt h a tla c k s a m a t e r i a l t e r m is n o ta n e n f o r c e a b le c o n tr a c t, 15 as Fer achi poi nt s out i n hi s br i ef . Thu s, a part y m ay def end a br each o fc o n t r a c ta c t io n b ya s s e rt in g t h a tt h e c o n t r a c to n w h ic h t h e c la im is b a s e d is noten f or ce abl e a s a m at t erofl aw an d t her ef or e c ann ots upporta br ea ch of16 ... See i d. a t221– 22. 17 ... See Phi

l l i psv. Phi

l l i ps , 820 S . W . 2d 785, 791 ( Tex. 1991 ) ( st at i ng t hataf f i r m at i ve def ense does notr ebut f act s ass ert ed b yp l ai nt i f fbutr at her s e e k s to e s ta b l i s h i n d e p e n d e n t re a s o n w h yp l a i n ti ff s h o u l d n o t re c o v e r).

18 ... Be a l

Ba nk, S. S. B. , 1 2 4 S .W .3 d a t 6 5 4 n .8 ; A m . ’ s Favor ite Chicken Co. , 929 S. W . 2d a t622.

19 ... S e eA lc o rn , 5 3 6 S .W .2 d a t 8 2 (st a ti n g th a t tri a l c o u rt m a yd i s re g a rd j u ry ’s a n s w e r to e rro n e o u s l ys u b m i tte d q u e s ti o n o f l a w ).

20 ... A l t hough Fe r ac hi r ef er s t o sec t i on 39 . 001 ( b) t hr ougho utt hi s port i on ofhi s br i ef , i ti s cl ea rf r om hi s ar gum entt hathe m ea ns t o r ef ert o s ec t i on 3 9 .0 0 8 (b ). S ee Tex. Bus . & Com . Code A nn. § 3 9. 008 ( b) ( V er non 2002) ( now Te x. Bu s . & C om . Cod e Ann . § 60 1. 201) . Se c t i on s 39. 001 t hr ou gh 39. 009 w e re re p e a l e d b y A c t o f M a y 1 5 , 2 0 0 7 , 8 0 th L e g ., R .S ., c h . 8 8 5 , § 2 .4 7 (a )(1 ), 16 con t r ac tac t i on. 16A n assert i on t hatt he contr actl acked a m at er i al t er m does
n o te s t a b lis h a n in d e p e n d e n tr e a s o n w h ya p la in t if fs h o u ld n o tre c o v e ra n d is t her ef or e notan af f i r m at i ve def ense. 17As d i scus se d a bove , t he que st i on of
w het hert he contr actcont ai ned al l essent i al t er m s f ori tto be enf or ceabl e i s a q u e s t i o n o fl a w, 18an d t he j ur y’ s ans w ert o t he que st i on i s t her ef or e n ot det er m i nat i ve. 19 A n d , a s d is c u s s e d a b o v e , th e c o n t r a c t a t is s u e c o n t a in e d a ll t h e m a t e r ia l t e r m s n e c e s s a r yf o ritt o b e e n f o r c e a b le . T h u s , t h e t r ia l c o u rtd id
n o te r rb yre f u s in g t o e n t e r ju d g m e n t f o rF e r a c h i o n t h is is s u e . W e o v e r r u le h is f i r sti ssue. I n Fer achi ’ s f our t h i ssue, he ar gues t hatthe con t r acti s vo i d as a m at t er ofl aw underbus i nes s and co m m er ce co de se ct i on 39. 008 ( b) 20 and t hathe w as20 07 Tex. G en. Law s 1 90 5, 2 08 2, and r ecodi f i ed w i t hou tsubst ant i ve chang es

a tTe x. Bu s . & C om . Cod e §§ 6 01. 001–6 01. 103 byActo fM a y 15, 2007 , 80t h L e g. , R. S. , ch. 8 85, § 2. 01, 2007 Te x. Gen . L a w s 1905 , 2027 –2031 , e ffe c tiv e A p ri l 1 , 2 0 0 9 . T h rou g h o u t t h i s o p i n i o n , w e co n ti n u e to c i te to sect i ons 39 . 00 1 t hr oug h 39 . 00 9, w hi ch w er e st i l l i n ef f ect w hen t h e p art i es f i l ed t hei rbr i ef s.

21 ... S eeTex. Bus . & Com . C ode § 3 9. 004 ( now T ex. B us . & Com . Code A n n . § 6 0 1 .0 5 2 ).

22 ... Id. § 3 9 .0 0 8 (a ) (n o w § § 6 0 1 .1 5 2 , 6 0 1 .1 5 4 ). 23 ... Id. § 3 9 .0 0 8 (b ) (n o w § 6 0 1 .2 0 1 ). 17 e n t i t l e d t o a t a k e - n o t h i n g j u d g m e n to n Ca d y ’ s b r e a c h o fc o n t r a c tc l a i m. He con t end s t hatCady s t i pul at ed t hatt he cont r ac tvi ol at ed se ct i on 39. 004 oft he busi ness and com m er ce code by f ai l i ng t o i ncl ude di scl osur es r equi r ed by t hat se ct i on. 21 Fa i l ur e t o i ncl ude t hose d i sc l os ur esi s a v i ol at i on ofs ec t i on 3 9 .0 0 8 (a ). 22Un d e rs e c t i o n 3 9. 00 8( b ) , a c o n t r a c tt h a tv i o l a t e s s e c t i on 39. 008 ( a) i s voi d. 23Thus , Fe r ac hi ar gue s, t hi s con t r ac ti s voi d a nd c ann ot su pporta br ea ch ofco nt r ac tac t i on. C ady , on t he ot herha nd, co nt end s t hatal t hough he s t i pul at ed t ha tt he c o n t r a c td id n o tc o n t a in t h e d is c lo s u r e s d is c u s s e d u n d e rs e c t io n 3 9 .0 0 4 , h e d id nots t i pul at e t hatt hi s con t r ac tw asr egu l at ed by t hatsec t i on. H i s ar gum enton appeal cor r espond s w i t h hi s ar gum entatthe charge con f er ence: t he contr act d id n o tc o n t a in t h e n o t ic e s s e to u tin c h a p t e r3 9 , b u tt h e c o n t r a c td id n o tf a ll24 ... McD aniel v. Pet ti grew , 53 6 S. W . 2d 61 1, 61 4 ( Tex . C i v. A pp. — D al l as 1 9 7 6 , w ri t re f’d n .r.e .).

25 ... A ct of M ay 18, 197 3, 63d L eg. , R. S. , ch. 246 , § 1, 1973 Tex. G en. L a w s 5 7 4 , 5 7 4

– 7 5 , repeal ed byA ct o fM ay 22, 1997 , 75t h L eg. , R. S. , ch . 1 0 0 8 , § 6 , 1 9 9 7 T e x . G e n . L a w s 3 6 0 1 , 3 6 0 2 ; McD aniel, 536 S. W . 2d a t614; see al so A m . Q ual

it yR o o fi

ng, I nc. v. I pock , 730 S . W . 2d 470, 471 ( Tex. A pp. — FortW ort h 1987, no w r i t ) ( app l yi ng t he A ctw hen s al es per so n app r oac hed pur cha se r at hi s hom e and so l i ci t ed hi s pur cha seofm at er i al s and l aborf orr oof r epai r , the con t r actter m s w er e n egoti at ed atp ur chaser ’ s hom e, t h e c o n t r a c tw a s s ig n e d t h e r e , a n d p u r c h a s e rh a d n o p r io rb u s in e s s re la t io n s h ip w i th s e l l e r). 18 unde rt he purvi ew oft hatch ap t eran d t husw asnotr equ i r ed t o ha ve t he not i ce s. W e a gr ee w i t h Cady. W hen or i gi nal l y e nac t ed i n 1973, t he Texa s H om e Sol i ci t at i ons T ran sa c ti o n s A c t (“th e A c t”) ap p l i e d o n l yto c o n su m e r t ran sa c ti o n s e n tere d i n to att he consum er ’ s hom e. The pu r pose oft he st at ut e w as “t o pr ot ectr esi denti al o c c u p a n ts fr o m h i g h p res su re d o o r- to -do o r sa l e sm e n an d a l l o w a ‘c o o l i n g -off’ p e ri o d w i th i n w h i c h th e s a l e s c o n t r a c t c o u l d b e re s c i n d e d .” 24Undert he l ang uag e o ft he A ct , i tap pl i ed t o a ny con su m er t r ans ac t i on f ort he pur cha seof goodsors ervi ce s i n w hi ch a “ m er cha nt ” “e nga ge[ d] i n a pe r so nal s ol i ci t at i on of t he sal e to t he co ns um er ata r esi de nc e” a nd i n w hi ch “t he co n s u m e r’s a g re e m e n t o r o ffe r to p u rc h a s e i s g i v e n a t th e re s i d e n c e .” 25 The A ctdef i ned t he t er m “ con su m er t r ans ac t i on” as“ a t r ans ac t i on i n w hi ch one orm or e o ft he26 ... A ctofM ay 18, 1 973 , 6 3d Le g. , R . S. , ch . 246, § 1, 1973 Tex. G en.

L a w s 5 7 4 , 5 7 4

– 7 5 (re p e a l e d 1 9 9 7 ).

27 ... Id. 28 ... Id. 29 ... S ee Langston v. Brewer, 6 4 9 S .W .2 d 8 2 7 , 8 2 9 (T e x . A p p .— F o rt W ort h 198 3, no w r i t ) ( hol di ng t hat A ct di d not app l y t o t r ansa cti on f or re m o d e l i n g w o rko n c o n s u m e rs ’ h o m e e v e n th o u g h c o n tra c t w a s s i g n e d th e re w hen part i es had be en i nvol ved i n a pr i ort r ans ac t i on, co ns um er s con t ac t ed t he m er chant abou t f ur ni shi ng t he servi ces, and t he m er chant pr epar ed t he contr act a fte r n e g o ti a ti o n s ); Coni gl i o v. D al l as D rapery Shop s, I

nc. , 593 S. W . 2d 426, 427 ( Tex. Ci v. A pp. — D al l as1980 , no w r i t ) ( hol di ng t hatt r ans ac t i on a ti ss ue nots ubj ec tt o t he A ctw hen co ns um er s con t ac t ed m er cha ntan d r equ es t ed a r epr es ent at i ve be se ntt o t hei rhom e, ag entca l l ed on c ons um er s att hei rhom e and l ef ta pr epar ed w r i t t en contr act , and c o nsum er s subsequent l y m ai l ed c o n tra c t to m e rc h a n t); Hol m questv. Pr

i esm eyer, 574 S . W . 2d 173 , 178 ( Tex. C iv . A p p .— H o u s t o n [1 s tD is t .] 1 9 7 8 , n o w r it ) ( h o ld in g t h a tA c td id n o ta p p ly t o t r ansact i on betw een ar chi t ectand cl i ent s even t hou gh con t r actw as si gned ei t heratar chi t ect ’ s apart m entorcl i ent s’ r esi d e n ce w hen ar chi t ectcont act ed cl i ent s aft ert heyha d a sk ed u ni ve r si t y’ s dea n ofar chi t ec t ur e s cho ol ab out obt ai ni ng a n a r ch i t ec t ur al de si gn a nd de an had f or w ar ded cl i ent s’ na m e a nd c o n ta c t i n fo rm a ti o n to a rc h i te c t); McD aniel, 536 S . W . 2d at615– 16 ( hol di ng t hatA ctdi d not appl y t o contr actf ort he sal e ofa l otand bui l di ng of a house 19 p a rti e s i s a c o n s u m e r.” 26M er chant w as def i ned as “a p a rt y t o a consum er tra n s a c ti o n o th e r th a n a c o n s u m e r.” 27 “C onsum er ” w as def i ned as “an i ndi vi dua l w ho se ek s oracqui r esr ea l orpe r so nal pr ope rt y, s ervi ce s, m one y, or c re d i t fo r p e rs o n a l , fa m i l y , o r h o u s e h o l d p u rp o s e s .” 28Court s con st r ui ng t he f or m ers t at ut e d ec l i ned t o a ppl y t he A ctw hen t he con su m eri ni t i at ed t he t r ansact i on orw hen t he part i es knew each ot herand t he t r ans a ct i on w as ent er ed i nt o af t ernegoti at i ons. 29w hen t r ansact i on i s bei ng neg ot i at ed by a l i cens e d re al est at e br oker , an

exc ept i on un dert he A ct , an d w hen con su m er s t hem se l vess ol i ci t ed t he s e rv i c e s ).

30 ... S eeA ctof M ay 27, 199 5, 74t h Le g. , R. S. ch. 926 , § 1, 1995 Tex. G e n . L a w s 4 6 4 9 , 4 6 4 9 (re p e a l e d 1 9 9 7 ).

31 ... Hous e Com m . on Bu s i ne s s & I nd us t r y, Bi l l Ana l ys i s , Te x. H. B. 1885 , 7 4 t h L e g ., R . S . ( 1 9 9 5 ), avai l abl e at htt p: //w w w . l e gi s . s t a t e . tx. us / Bi l l L oo k up /Te xt . a s px ? L e gSe s s = 74R&Bi l l = HB18 85 (l a s t v i s i te d M a y2 8 , 2 0 0 9 ).

32 ... S ee Hol

m quest, 574 S. W . 2d a t178.

20 The l egi sl at ur e a m end ed se ct i ons of the A cti n 1995, br oad eni ng t he st at ut e’ s appl i cat i on t o i ncl ude m ost consum er t r ansact i ons per sonal l y sol i ci t ed by a m er chant orm er chant’ s agen tan d consented t o by a consum erany pl ace ot hert han t he m er chant' s pl ace ofbusi ness. 30 T h e c o m m it t e e r e p o rto n t h e b ill st at ed t hat“ [ t ] he st at ut e [ bef or e t he am end m ent s] doe s notco vert r ans ac t i ons t hatt ak e p l a c e i n r e n t e d h o t e l r o o m s , r e s t a u r a n tp a rt i e s , a n d o t h e rt y p e s of hom e p art i es ” and t hat“ [ c] ons equ ent l y, un scrupu l ous m er cha nt s and sal es peo pl e w ho r un f l y- by- ni ghtope r at i onsatr ent ed t em por ary l oca t i ons canno tbe pr osecut ed” undert he st at ut e. 31 The st at ut e a s am end ed t hus s u p p lie d p r o t e c t io n t o c o n s u m e r s f r o m u n s c r u p u lo u s m e r c h a n t s w h o p r e v io u s ly avoi ded l i abi l i t y by enter i ng i nt o t r ansact i ons aw ay f r om a r esi dence. The e vi den ce i n t hi s ca sedoe s notco m pel t he concl us i on t hatFe r ac hi
w a s e n ti tl e d to th e p rote c ti o n o f t h e A c t. 32T h e e v id e n c e s h o w e d t h a tF e r a c h i,33 ... S ee T e x . B u s . & C o m. C o d e A n n . § 3 9 . 0 0 2 ( b ) ( 4 ) ( B ) ( n o w §

6 0 1 .0 0 2 (b)(4 )( B )) ( e x c e p ti n g fr o m s tatu te’s a p p l i c a ti o n th e sa l e o f r e a l p rop e rt y w h e n p u rc h a s e r i s re p re s e n te d b yl i c e n s e d re a l e s ta te b ro k e r).

34 ... See i

d. § 3 9. 00 2( a) ( now § 6 01 . 00 2( a) ) ( st at i ng t hatthe A ctappl i es onl y t o “ c o n s u m e rt r a n s a c t i o n ” i n w h i c h a m e r c h a n to rt h e m e r c h a n t ’ s a g ent e n g a g e s i n a p e rs o n a l s o l i c i ta ti o n o f a s a l e ). 21 a r ea l es t at e a gen t 33w ho do es busi ness i n an af f l uent partofD al l as, engaged i n nego t i at i ons w i t h C ady t hatres ul t ed i n t he contr act . The part i es ar r i ved at t he t er m s oft he dea l aft erdi sc us si on byFe r ac hi ab outw hath e co ul d a f f or d. The c ont r ac tt er m s w er e w or ke d outove r a per i od of abo ut t hr ee w ee ks . The part i es m etatan I H O P r est aur antt o si gn t he contr actbecause i tw as conven i ent f or both part i es and w as next t o t he m ar i na. Fer achi acknow l edged t hatw hen he si gned the con t r act , h e kn ew thatC ady w as noti n t he busi ness ofs el l i ng ho us ebo at s ori n t he bus i nes s ofl oan i ng m one y l i ke a ban k. Cady t es t i f i ed t hatFe r ac hi w ast he one w ho br oug ht u p t he i dea ofbuy i ng a hou seboatt ogether . Even t hou gh t he j ur y f oun d t hatt he t r ansact i on w as a c o n su m e r t ran sa c ti o n , i n o rd e r fo r th e A c t t o b e ap p l i c a b l e an d for F e rac h i to be ent i t l ed t o i t s pr ot ec t i on, the j ur y w oul d ha ve al so ha d t o f i nd t hatCady so l i ci t ed t he t r ans ac t i on. 34 T h e re w a s n o s e p a rate q u e sti o n as k i n g the j u ry to d e term i n e w h i c h p a rt y sol i ci t ed t he sal e o fthe i nt er esti n t he H ousebo at . But t he j ur y w as i nst r uct ed i n que st i on s i x t hati fi tha d f ound t he t r ans ac t i on w asa con su m ert r ans ac t i on,35 ... See i d. 22 th e ac t of so l i c i ti n g the tran sa c ti o n w a s a fa l se , m i slea d i n g , a n d d e c e p ti v e ac t. Th e j ur y w as f urt heri nst r uct ed t hatF er achi w as enti t l ed t o r ecoverany m oney ac qui r ed by Cady asa r es ul tofa fal se , m i sl ea di ng, orde ce pt i ve ac t . The evi den ce w asundi sp ut ed t hatFe r ac hi pai d $8, 945 unde r t he con t r ac t . Yett he j ur y aw ar ded Fer achi no dam ages. C onsequ ent l y, t he j ur y i m pl i edl y f oun d t hat C ady had not so l i ci t ed t he t r ans ac t i on. 35 Fe rac h i the refo re w a s n o t en ti tl e d to t he pr ot ec t i on oft he A ct , Cady w asnotr equ i r ed t o i ncl ude i n t he con t r ac tt he pr ovi si ons r equ i r ed unde r se ct i on 39. 004 , and t he con t r ac tt her ef or e w asnot vo i d f or f ai l i ng t o i ncl ude t hem . Thus , t he t r i al co urtdi d noter rby r end er i ng j u d g m e n t o n C a d y ’s b re a c h o f c o n tra c t c l a i m re g a rd l e s s o f w h e th e r th e c o u rt di sr ega r ded t he j ur y’ s f i ndi ng t hatt he t r ans ac t i on w asa con su m ert r ans ac t i on. Fer ac hi co nt end s t hatt he aw ar d ofac t ual da m age s i s notr equ i r ed i n a D TPA cl ai m an d t hathe w asen t i t l ed t o r ec ove r$18, 300 , t he am ountof at t or ney’ s f ees st i pul at ed t o i n t he t r i al co urt . B utal t hou gh t he j ur y f oun d t hat th e tra n s a c ti o n w a s a c o n s u m e r tra n s a c ti o n , th e re w a s n o fi n d i n g b yth e j u ry t ha tCad y ha d e ng a ge d i n a nyf a l s e , m i s l e a di ng , o rd e c e pt i vea c to rpr act i ce und erTexas l aw . W e over r ul e Fer achi ’ s f our t h i ssue.36 ... Id. § 3 9 .0 0 8 (e ) (n o w § 6 0 1 .2 0 4 ). 23 I n F e rac h i ’s thir d i ss u e , h e arg u e s th a t th e tr i a l c o u rterred b yrefu sing to e n t er j udg m ent on hi s D TP A cl ai m . Fer achi ar gues t hat because a f ai l u re to i ncl ude t he not i ce s r equ i r ed und er chapt er39 i s a f al se , m i sl ea di ng, or d e c e p t i v e a c tu n d e rt h e DT P A, 36t he contr actati ssue di d not i ncl ude t hose not i ce s, and t he j ur y f ound t hatt hi s t r ans ac t i on w asa con su m ert r ans ac t i on, t h e t r ia l c o u rts h o u ld h a v e e n t e r e d j u d g m e n tin h is f a v o ro n h is D T P A c la im . Beca us e w e h avehe l d t he t r i al co urtdi d noter rby r end er i ng j udgm enton t he j u ry ’s fi n d i n g th a t F e ra c h i w a s n o t e n ti tl e d t o th e p ro te c ti o n s o f c h a p te r 3 9 , w e fu rt h e r ho l d tha t t h e fai l u re to i n c l u d e the n o ti c e s in t h e c o n tr a c t w a s n o t a f al se , m i sl ea di ng, orde ce pt i ve ac tunde rt he D TPA . Thus , t he t r i al co urtdi d not e rr b y re fu s i n g to e n te r j u d g m e n t o n F e ra c h i ’s D T P A c l a i m b a s e d o n th e fa i l u re t o i ncl ude t he noti ces underchapt er39 . W e over r ul e Fer achi ’ s t hi r d i ssue. C ONC L USI ON H avi ng ov er r ul ed ea ch of Fe r ac hi ’ s f ouri ss ues , w e a f f i r m t he j udgm ent o f t h e tr i a l co u rt .

L E E AN N D AUP HI NOT J U S T I C E PA N EL: L I V I N G STO N an d DA U PH I N O T, JJ. DEL I VERE D: M a y 28, 2009