Homeowners Fare Poorly in Rehearing by Texas Court of Appeals

AUSTIN, Texas - A Texas appellate court has affirmed a trial court's denial of attorneys' fees for homeowners who successfully sued a developer over mold damage, but has also allowed their insurer to assert subrogation rights and claim $1 million in settlement proceeds. Osborne, et ux. v. Jauregui Inc., No. 03-04-00813 (Texas Ct. App., 3rd Dist.).

The 3rd District Court of Appeals' April 17 en banc opinion replaces the Aug. 29 opinion in which a panel of the court had allowed unspecified attorney fees and remanded the subrogation issue for further consideration by the trial court.

Phillip and Deborah Osborne …