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1464-Eight, Ltd. v. Joppich

Texas Supreme Court
154 S.W.3d 101 (2004)



In July 1997, Gail Ann Joppich (plaintiff) entered a real estate contract with 1464-Eight, Ltd. and Millis Management Corporation (defendants). Joppich was to purchase an undeveloped residential lot for $65,000.00 from the defendants. At the time of closing, Joppich and the defendants executed an option agreement, by which Joppich agreed to allow the defendants to purchase the lot back from her in the event she failed to begin constructing a residence on the land within 18 months. The option agreement recited Joppich’s receipt of a $10 option fee paid by the defendants. Joppich failed to commence construction of a residence within the requisite time. On September 4, 1999, the defendants sought to buy back the lot. In October 1999, Joppich sued for a declaratory judgment stating that the option agreement was invalid for lack of consideration because the $10 option fee had never been delivered to her. Joppich moved for summary judgment and the defendants cross-moved for partial summary judgment. The trial court denied Joppich summary judgment and granted the defendants partial summary judgment. The court of appeals reversed.

Rule of Law


Holding and Reasoning (Smith, J.)

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