The ground had not yet thawed four years ago when the Texas courts were slammed with an avalanche of lawsuits. More than 30,000 individuals and small businesses filed wrongful death, personal injury and property damage lawsuits against ERCOT and the energy companies accusing them of gross negligence that caused much of the power blackouts. A separate class action accused energy companies and financial institutions of using Winter Storm Uri to manipulate prices and generate billions of dollars in profits. Four years later, not a single witness deposition has been taken and not a single case has been set for trial. And a growing number of legal experts predict that none of those cases will ever be heard by a jury of Texas citizens.
Texas Business Bankruptcies Skyrocket in DFW, Decline Slightly in Houston
For the fifth consecutive year, Texas led the nation in business bankruptcy filings, cementing its position as the premier destination for corporate restructurings. However, Delaware closed the gap significantly in 2024, surpassing Texas’ Southern District as the top venue for business bankruptcies.
Despite a tumultuous year marked by scandal in the Southern District, Texas’ three other federal court districts experienced significant increases in bankruptcy filings, ensuring the state maintained its dominance in this critical legal sector. The Northern District, in particular, emerged as a rising star, with its Chapter 11 caseload more than doubling.
The Texas Lawbook’s Mark Curriden has the details on these trends and more.
The Dallas Morning News, The Texas Lawbook Form News Partnership
The Texas Lawbook, the largest and most influential legal publication in Texas with more than 16,000 paid subscribers, is expanding its reach into the Texas business community with a new content partnership with The Dallas Morning News.
SCOTX Transfers First Batch of Cases to New Fifteenth COA
In an administrative order issued Aug. 26, the Texas Supreme Court transferred to the newly-created Fifteenth Court of Appeals 88 cases that had been pending with various intermediate appellate courts. It’s no surprise to observers that the bulk of the cases, 49, were transferred from the Third Court of Appeals in Austin, which formerly decided most cases involving state agencies that are headquartered in the capital.
Brister Readies for Curtain Rise on Fifteenth COA
Scott A. Brister is winding down his appellate practice as he prepares to once again don a black robe. Brister, who has served at all levels of the Texas court system, on Sept. 1 will step into his new role as chief justice of the Fifteenth Court of Appeals. He will be joined on the first and only intermediate appellate court given statewide jurisdiction by Scott K. Field, a Williamson County district judge and former Third Court of Appeals jurist, and April L. Farris of the First Court of Appeals. The trio will need their combined 30 years of judicial experience as they navigate some 70 state-related cases and prepare to develop jurisprudence for the new business trial courts. (Photo by Laura Skelding)
Business Court Applicants Pick Favorite Judges, Disliked Decisions
Answers to the governor’s questionnaire shed some light on the judicial philosophies of some 30 who have applied for the coming business trial and appellate courts. Generally, they like conservatives like Scalia and Thomas and shun SCOTUS decisions on Obamacare and the Chevron deference.
Editor’s note: This article was written in advance of the governor’s announcements Wednesday.
Brister, Gunn, Matthews Among Applicants for TX Business Court and 15th Court of Appeals
Twenty lawyers, including several former Texas appellate and trial court judges, have applied for appointment to the newly created business courts and intermediate appellate court. They include prominent figures such as former Texas Supreme Court Justice Scott Brister, appellate specialist David Gunn and Houston MDL Judge Sylvia Matthews. Five candidates from the Texas AG’s office also are seeking positions. Gov. Abbott will appoint the judges and justices, who begin hearing cases in September. The Texas Lawbook obtained the applications through a public information request.
Biggest Texas Verdicts of 2023
The types of cases that topped the list of damages awards in Texas this year were varied, but some of the usual suspects, like patent cases in the state’s Eastern and Western districts, occupy four of the Top 10 spots. Jurors in Harris County awarded damages totaling nearly $2 billion in three cases on the Top 10 list, and Jurors in the Western District doled out awards taking three of the Top 10 spots, totaling $857.7 million.
Texas Lawyers Hit $2,000 an Hour
Just a dozen years ago, a handful of lawyers in Texas breached the $1,000 hourly rate barrier. The $1K lawyers were the best of the best in their practice areas: trial lawyers Steve Susman, Tom Melsheimer, Charles Schwartz and Harry Reasoner for bet-the-company litigation, or deal lawyers like Jeff Chapman, Andy Calder, Tom Roberts or Michael Dillard to lead mega-billion-dollar transactions. This year, a handful of Texas lawyers broke through another billing barrier: $2,000 an hour. Dozens more are expected to start charging clients $2K next year.
Energy Companies Racking Up Hundreds of Millions in Legal Bills in Winter Storm Uri Litigation
More than 400 lawyers at more than 30 elite corporate law firms in Texas have made a total of more than $280 million in legal fees related to disputes involving Winter Storm Uri — a tab that legal industry insiders estimate will easily top a half-billion dollars before the litigation is over — even though not a single case has even been set for trial.
And those are only the lawyers representing energy companies and insurance firms. More than 80 plaintiffs’ attorneys — most of them from Houston — have filed lawsuits on behalf of tens of thousands of individuals and businesses claiming they were harmed by the actions — or lack of actions — of the energy companies during Winter Storm Uri. If successful, those lawyers could earn upwards of a billion dollars.