Opinion ID: 61659
Heading Depth: 3
Heading Rank: 1

Heading: Claims and Elements

Text: Plaintiffs' fraud-based claims arise under Texas law. To recover for fraud in Texas, the Plaintiffs must prove: (1) that a material representation was made; (2) the representation was false; (3) when the representation was made, the speaker knew it was false or made it recklessly without any knowledge of its truth and as a positive assertion; (4) the speaker made the representation with the intent that the other party should act upon it; (5) the party acted in reliance on the representation, and (6) the party thereby suffered injury. In re FirstMerit Bank, N.A., 52 S.W.3d 749, 758 (Tex.2001); see also Stone v. Lawyers Title Ins. Corp., 554 S.W.2d 183, 185 (Tex.1977). These elements are applicable to claims of both fraud in the inducement and intentional misrepresentation. See Haase v. Glazner, 62 S.W.3d 795, 798-99 (Tex.2001); RenCare, Ltd. v. United Med. Res., Inc., 180 S.W.3d 160, 166 (Tex.App.2005). The Plaintiffs' claim of intentional or fraudulent concealment is also grounded in common law fraud. To prevail on a fraudulent concealment claim, the Plaintiffs must prove the elements of fraud that we have noted above, and that the particular circumstances impose a duty on the party to speak and he deliberately remains silent. In re Seigel, 198 S.W.3d 21, 29 (Tex.App.2006). In order to prove their final fraud-based claim of civil conspiracy, the Plaintiffs must show that two or more persons combined to accomplish an unlawful purpose or to accomplish a lawful purpose by unlawful means. Eagle Props., Ltd. v. KPMG Peat Marwick, 912 S.W.2d 825, 828 (Tex.App.1995). The elements of a civil conspiracy are: (1) two or more persons; (2) an end to be accomplished; (3) meeting of the minds on the end or course of action; (4) one or more overt, unlawful acts; and (5) proximately resulting in injury. Id. With regard to their remaining claims, all Plaintiffs allege that KBR intentionally inflicted emotional distress. In order to prevail on these claims under Texas law, the Plaintiffs must show that the defendant: (1) intentionally or recklessly (2) engaged in conduct that was extreme and outrageous (3) thereby causing the plaintiff to suffer emotional distress (4) and that distress was severe. Skidmore v. Precision Printing and Packaging, Inc., 188 F.3d 606, 613 (5th Cir.1999). The Lane Plaintiffs also allege that KBR committed negligent and grossly negligent acts. Under Texas law, the elements of a negligence claim are (1) a legal duty on the part of the defendant; (2) breach of that duty; and (3) damages proximately resulting from that breach. Sport Supply Group, Inc. v. Columbia Cas. Co., 335 F.3d 453, 466 (5th Cir.2003). Gross negligence is a heightened form of negligence which requires proof of an extreme degree of risk and a conscious indifference by the negligent actor. See Mobil Oil Corp. v. Ellender, 968 S.W.2d 917, 921 (Tex.1998).