HPTY Obtains Reversal of $36 Million Judgment Against Clients
On August 18, 2015, the Texas Court of Appeals reversed all but a small portion of an approximately $36 million judgment against HPTY clients Roscoe White and White Ventures Energy LLC. HPTY Partner Rob Gilbreath briefed and argued the case, which involved allegations of breach of fiduciary duty, fraud, and breach of contract. The plaintiffs alleged that White and White Ventures deprived them of the right to exercise tag-along rights in connection with the redemption of units in a limited liability company. The court of appeals agreed with Mr. Gilbreath’s argument that the plaintiffs never had tag-along rights to begin with. The court of appeals judgment left intact only that part of the trial court judgment ordering disgorgement of $375,000 and an attorneys’ fees award.