Austin company defeats Mostyn's motion, keeps $439K verdict against lawyer's clients

By David Yates | Feb 25, 2009

Steve Mostyn

Southeast Texas' most prolific filer of hurricane suits didn't fare so well in central Texas last week, as an Austin judge has denied a motion for a new trial in a case in which a $439,000 judgment was levied against the lawyer's clients.

On Feb. 17, attorney Steve Mostyn and The Mostyn Law Firm lost their motion in Travis County, allowing Austin-based Advanced Indoor Remediation (AIR) to keep the $439,000 verdict issued in the company's favor last summer.

According to an AIR press release, in December 2003 Denise Davis and her husband Ian Hancock hired Mostyn to sue Farmers Insurance Exchange for more than $2 million after the insurer allegedly failed to honor its policy and pay to repair the couple's water-logged home.

Davis' case was settled in September 2004. AIR – the company hired to repair the couple's home – claimed it was entitled to part of the settlement proceeds for completed work that remained unpaid and filed suit against the Davis and her husband.

Court documents show that after a week-long trial in July 2008, a Travis County judge signed an order in December forcing Davis and her husband pay the remediation company for its services.

Although Davis and Hancock filed a number of counterclaims against AIR and third-party claims against the officers of AIR, the Travis County jury did not award any money to Davis or Hancock, the press release states.

State Rep. Trey Martinez-Fischer (D-San Antonio), who is an associate with The Mostyn Firm, provided legal services for Davis and Hancock in the AIR case, according to the press release. Rep. Fischer appeared on two motions by Davis and Hancock to postpone the trial.

Mostyn and his firm have filed more than 1,000 hurricane-related cases against insurance companies in Texas, including cases against Texas Windstorm Insurance Association.

Advanced Indoor Remediation is an Austin company which previously provided mold remediation and rebuild services in Central Texas.

AIR has also contributed to the community by sponsoring charitable events and has received awards for their involvement with Partners in Education.

126th Judicial District Judge Darlene Byrne presided over the litigation.

Case No. D-1-GN-07-003245

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