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Court upholds judgment for Houston lounge operators in dispute with landlord

SOUTHEAST TEXAS RECORD

Saturday, November 23, 2024

Court upholds judgment for Houston lounge operators in dispute with landlord

State Court
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HOUSTON — A Texas appeals court has ruled that a trial court's judgment in favor of the operators of Houston's Leon's Lounge will stand in a case involving a dispute with the lounge]s landlord over a security deposit of more than $11,000 and alleged property damage. 

According to the Oct. 15 Texas 14th Court of Appeals ruling, Scarlett Yarborough filed an appeal after losing her breach of contract suit that was filed by the Vitrola Bar Inc., Pete Mitchell and Vera Mitchell. 

"The trial court granted summary judgment in favor of appellees," the appeals court stated it its opinion. "We affirm."

The Mitchells filed suit against Yarborough, who leased them the Houston property where they operated Leon's Lounge in June 2015. The Mitchells alleged Yarborough wrongfully withheld their security deposit and breach of their commercial lease. Yarborough filed counter and cross-claims against the Mitchells claiming more than $90,000 in damage to the leased premises, according to the appeals court documents. 

In her appeal, Yarborough argued the trial court was wrong to rule "on summary judgment when there was no applicable notice of hearing and immediately after granting a motion to withdraw to [the] appellant’s counsel" because "the evidence raised a genuine issue of material fact." She also argued the trial court erred in "awarding attorney fees as part of its summary judgment."

The appeals court disagreed and ruled "...the trial court did not err in granting appellees’ summary judgment on Yarborough’s claims against them" and that Yarborough's "alleged accounting for damages" was "untimely." The court also noted that the Mitchells had "proved each element necessary to establish breach of contract."

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