J.D. Abrams, Inc. v. McIver

In J.D. Abrams, Inc. v. McIver, 966 S.W.2d 87 (Tex. App.--Houston 1st Dist. 1998, pet. denied), Lori Crane was severely injured. Her mother, Joyce McIver, sued in her individual capacity and as the guardian of Crane's estate. Id. at 90 n.2, 96. Prior to trial, settlements were reached with several defendants, totaling $ 2,497,175. Id. at 97. The jury subsequently awarded Crane $ 13,500,000, but no damage issue was submitted to the jury for her mother's individual claims. Id. at 96-97. The trial court allowed a settlement credit of only $ 1,782,881.20, the aggregate amount of the settlements it had allocated to Crane. Id. at 96. The court of appeals reversed, holding that the full amount of the settlements, including the amounts paid to McIver for her individual claims, must be applied to reduce the judgment in favor of Crane. Id. at 96-97. court of appeals concluded that under section 33.012, "claimant" included both McIver, who was a derivative plaintiff, and Crane, the injured person. Id. at 96. The court in McIver rejected the argument that is now made by the Short family in this case: Crane also contends that this result would make her give a credit for money she never received, money that by court order went to another person, McIver, for McIver's own losses. While that is true, we believe the legislature intended this result in order to protect defendants from plaintiffs who would manipulate settlements among those "seek(ing) recovery of damages for injury to another person." Id. at 97. In sum, McIver and her daughter, Lori Crane, sued several defendants to recover damages for Crane's injuries arising from a car accident. J.D. Abrams, 966 S.W.2d at 96. Three defendants settled, and the trial court allocated part of two settlements to McIver and the entire third settlement to Crane. J.D. Abrams, 966 S.W.2d at 96. The jury awarded Crane, but not McIver, damages against the nonsettling defendant who was adjudged jointly and severally liable. The trial court credited the amounts Crane received from the settling defendants against her damage award. J.D. Abrams, 966 S.W.2d at 96. But the court of appeals held that the trial court should have granted the nonsettling defendant credit for the full amount the trial court allocated to Crane and McIver from all the settlements. J.D. Abrams, 966 S.W.2d at 96. 3. In J. D. Abrams, Inc. v. McIver, 966 S.W.2d 87, 91-92 (Tex. App.--Houston 1st Dist. 1998, pet. denied), the First Court of Appeals determined that although there was evidence of the driver's intoxication at the accident scene, because the accident occurred one hour after leaving the premises of the defendant's establishment, there was no evidence that the driver appeared "obviously intoxicated" to the alcohol provider, to the extent the driver presented a clear danger to himself and others. The First Court of Appeals distinguished El Chico primarily on this time differential. Id.