“An oral contract is as good as the paper it is written on.” This is simply not true in Texas. In fact, a Texas jury awarded $11 billion dollars in damages to Pennzoil when Texaco interfered with an oral contract for the sale of Getty Oil to Pennzoil, one of the largest jury verdicts in U.S. history. While it...
Continue ReadingIn Texas, the statute of limitations for breach of contract is four (4) years. The period begins from the day the contract was breached. What is a statute of limitation? The statute of limitations first appeared in early Roman law. It later developed into the criminal and civil common law of England. The purpose of the statute of limitations in a...
Continue ReadingWhat constitutes “usurpation of corporate opportunity”? There is no clear answer. However, an opinion by the Texarkana Court of Appeals is instructive. During merger negotiations, the company’s Chief Financial Officer (who was also a director and stockholder in the company) and another director/stockholder agreed that the CFO would waive an important provision in his employment contract in exchange for...
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