Houston homebuilder Bob Perry wins big in Texas Supreme Court
The Texas Supreme Court today overturned an $800,000 judgment that a Dallas-area couple had won against Houston homebuilder Bob Perry and the companies that warranty his home construction business. The case has brought scrutiny to the court in the past because Perry has donated almost $95,000 to court justices. And the Hillco PAC, which has received almost two-thirds of its funding from Perry, has given the court another $95,000, according to a report compiled last year by Texans for Public Justice.

Houston homebuilder Bob Perry wins big in Texas Supreme Court

The Texas Supreme Court today overturned an $800,000 judgment that a Dallas-area couple had won against Houston homebuilder Bob Perry and the companies that warranty his home construction business.

The case has brought scrutiny to the court in the past because Perry has donated almost $95,000 to court justices. And the Hillco PAC, which has received almost two-thirds of its funding from Perry, has given the court another $95,000, according to a report compiled last year by Texans for Public Justice.

In the case decided today, Robert and Jane Cull had complained that a home they purchased in 1996 for $233,730 from Perry Homes was defective and should have been repaired under the warranties.

"The defendants (Perry homes and the warranty companies) spent more effort shifting blame than repairing the home," the Supreme Court opinion said.

So in October 2000 the Cull's sued. The warranty companies, but not Perry Homes, asked for arbitration. The Culls turned it down.

But as the case was preparing for trial, the Cull's changed their minds, and the case was set for arbitration. In that process, the arbiter awarded the Culls $800,000, which included the purchase price of their home, $200,000 for mental anguish; $200,000 in exemplary damages; and $110,000 in attorney fees.

Perry Homes then contested the arbitration, claiming the Culls should not get a second chance when they had already turned arbitration down.

The Texas high court agreed and set aside the arbitration award and ordered the case to go to trial.

Supreme Court opinion

Johnson concurring opinion

O'Neill concurring opinion

Willett dissenting

http://blogs.chron.com/texaspolitics/archives/2008/05/houston_homebui.html