PHMY News 2005

Obie Media Agrees To $1.5 Million Settlement With VIA Metropolitan Transit
January 2005

San Antonio's VIA Metropolitan Transport settled a commercial lawsuit against Obie Media Corporation for $1.5 million. VIA, the local transit company for San Antonio and the surrounding area, generates a portion of its revenues by the sale of advertisements on its buses. Obie Media was awarded the Bus Advertising Services Contract commencing in 2001.

VIA alleged that Obie breached its agreement by failing to pay the required minimum guarantee under the contract, and that Obie engaged in fraud during the course of the parties’ relationship. In April 2004 VIA hired the firm of Prichard, Hawkins, McFarland & Young to assume its representation in the lawsuit, and on December 31, 2004, the parties entered into a settlement agreement, resolving all of VIA’s claims for $1.5 million. VIA was represented by David Prichard and Elizabeth Lindell of the San Antonio office of Prichard, Hawkins, McFarland & Young. The net recovery to the client was approximately $975,000.

Kathleen Post joins PHM&Y's San Antonio office
January 2005

PHM&Y takes pleasure in announcing that Kathleen A. Post has joined the firm as an associate in the PHM&Y San Antonio office. She comes from the Office of General Counsel, Department of the Navy.

Kathleen's practice areas will include Civil Appeals, Product Liability Litigation, and General Civil Litigation. She is a 1995 graduate of Texas Tech School of Law. She was admitted to practice law in North Carolina in 1995, Hawaii in 2000 and Texas in 2004.

Brendan McBride promoted to Partner in the PHM&Y San Antonio office
January 2005

Prichard Hawkins McFarland & Young is excited to announce that Brendan McBride, an associate with the Firm since September, 1999, has been promoted to partner in the PHM&Y San Antonio office. Brendan heads the Appellate Section of our firm, and his practice includes Civil Appeals, Commercial Litigation, Product Liability Litigation and Insurance Coverage Litigation.

Brendan received his J.D. with honors from the University of Washington in 1997. He was admitted to practice law in Texas in 1998. He is also licensed to practice in the U.S. District Court, Northern, Southern, Eastern and Western Districts of Texas, as well as the U.S. Court of Appeals, Fifth and Tenth Circuits.

Houston Court Rules In Favor Of Gemini Insurance Company in $11M Coverage Dispute
Steadfast Insurance Company v. Gemini Insurance Company
(Harris County, TX), January 2005

In an insurance coverage dispute over $11,000,000, Hon. David Bernal ruled in favor of Gemini Insurance Company. The dispute revolved around which insurance carriers had the primary obligation to provide coverage in a complex indemnity dispute arising out of an oilfield accident which resulted in one fatality and numerous serious injuries. As part of the declaratory judgment, Gemini Insurance Company was also awarded attorneys' fees and costs. The Motion For Summary Judgment was prepared by Brendan K. McBride of the San Antonio office of Prichard, Hawkins, McFarland & Young.

Ector County Jury Finds For Ford In Explorer Rollover Case
Salgado v. Ford Motor Company (Ector County, TX), February 2005

In February 2005, a jury in Ector County, Texas, rendered a unanimous defense verdict for Ford Motor Company in a product liability action involving a rollover of a Ford Explorer. The plaintiffs included passengers who were not responsible for the operation of the vehicle and had sustained catastrophic injuries. Substantial settlement offers were refused by the plaintiffs. At the time of trial, plaintiffs asked the jury for approximately $3 Million in damages and $78 Million in punitives. David Prichard of Prichard, Hawkins, McFarland & Young, represented Ford, and the plaintiffs were represented by Provost * Umphrey Law Firm, LLP, Beaumont, Texas, and Torres & Torres, Midland, Texas.

Sungate Development Obtains $3.5M Settlement For Defectively Constructed Hotel
Sungate Development, LLC v. Peterson Construction, et. al.
(Hidalgo County, TX), June 2005

In June 2005, after more than three weeks of trial, attorney Kevin Young of Prichard, Hawkins, McFarland & Young secured a settlement of approximately $3.5 Million for Sungate Development, LLC. The case concerned defective design and construction at the McAllen Wingate Inn, which had an original contract price of $4.1 Million (however, Sungate had made payments of only $3.5 Million due to concerns about defective workmanship).

Significantly, several defendants tried to send this case to mandatory arbitration via an alleged contractual arbitration clause. The judge (Hon. Noe Gonzalez) denied every such motion, and Sungate successfully defended its position six times at the 13 th Court of Appeals and Texas Supreme Court. Brendan McBride of Prichard, Hawkins, McFarland & Young represented Sungate throughout the appeals of the arbitration ruling. The net recovery to the client was approximately $2.335,836.

El Paso Jury Finds Ford Explorer Was Not Defective In Rollover Accident
Ortega v. Ford Motor Company (El Paso County, TX), June 2005

In June 2005, David Prichard of Prichard, Hawkins, McFarland & Young successfully defended the design of the Ford Explorer in a product liability litigation involving a tire detread and rollover. The litigation involved passengers who were not responsible for the operation of the vehicle and had suffered catastrophic injuries.

Substantial settlement offers were refused by the plaintiffs and a take-nothing verdict was returned by the jury. The plaintiffs were represented by Gage and Kennedy (El Paso, Texas), and Robert Davie (El Paso, Texas).

Results obtained depend on the particular facts of each case.