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SOUTHEAST TEXAS RECORD

Saturday, April 20, 2024

Appeals court reverses decision in breach of contract case against Storage Trust Properties

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HOUSTON -- A state appeals court on Sept. 17 reversed and remanded back to the trial court a breach of contract case. The lawsuit involved the disposal of George Hilburn’s personal property from storage units owned and operated by Storage Trust Properties, whom the trial court ultimately ruled in favor of.

The suit was filed in the Texas 14th Court of Appeals, and was overseen and ordered by Justice France Bourliot. Hilburn had challenged the trial court’s grant of final summary judgment in favor of Storage Trust, alleging the court erred in assessing Hilburn’s breach of contract and non-contractual claims. The appeals court agreed with the plaintiff.

According to court documents, In May 2015 five storage units that Hilburn was renting from Storage Trust in Texas flooded during a rainstorm. Hilburn said his units accumulated about a foot of water that receded quickly. Two days after he paid his June rent, Hilburn alleged he received a call from Storage Trust stating that some of his possessions had been damaged during the rainstorm. The storage business, the suit states, told Hilburn he should have received a letter about the storm and needed to remove his property from the units by June 10, 2015. Hilburn notes that the letter was dated May 20, even though the defendant stated scheduling appointments for removal on May 19. 

Hilburn said he informed Storage Trust that he did not receive the letter and that a medical emergency with his wife would prevent him from making the June 10 date. He says he was told not to worry. Two weeks later Hilburn said he was informed that the locks on his units had been cut and his possessions were being thrown away. Hilburn filed suit, alleging breach of contract. 

Hilburn alleged that Storage Trust made their intentions unclear and were inconsistent. The appeals court ruled that Hilburn was induced to not move his property right away because he was told there was no need to worry. Storage Trust was also not well-intended because it accepted his June rent after already knowing about the rainstorm in May. As a result, the appeals ruled that the trial court lacked jurisdiction in Hilburn’s request for declaratory judgment. 

Texas 14th Court of Appeals case number No. 14-18-00184-CV

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