News & Analysis as of

TX Supreme Court Employer Liability Issues

Phelps Dunbar

TX Supreme Court Emphasizes Negligence Does Not Always Result in “Negligent”

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In a recent opinion issued on June 27, the Supreme Court of Texas emphasized that the presence of negligence does not always lead to liability, and Texas law requires more from those seeking such a finding....more

Hanson Bridgett

The Texas Supreme Court Detours the Trucking Industry Around a Historic Nuclear Verdict

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On an icy winter day more than ten years ago, the driver of an F-350 pickup truck, traveling eastbound on Interstate 20, crossed a 42-foot grassy median, entered in westbound traffic, and collided with a Werner Enterprises...more

Cozen O'Connor

Texas Supreme Court Narrows Employer Liability and Explains Standard for Proximate Cause

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In a significant decision issued on June 27, 2025, the Supreme Court of Texas reversed a jury verdict awarding over $89 million in damages in favor of the plaintiffs in Werner Enterprises, Inc. v. Blake, holding that the...more

Lewitt Hackman

Franchisor 101: Duty of Care

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The Texas Supreme Court reversed a lower court’s decision against a franchisor based on a theory of negligence after a customer was assaulted by an employee of the franchisee. The court concluded that franchisor did not owe a...more

Foley & Lardner LLP

Texas Supreme Court Limits Franchisor Liability in Franchisee Sexual Assault Case

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On May 2, 2025, the Texas Supreme Court held that a franchisor owes no duty of care for injuries caused by a franchisee’s employee unless the franchisor retained or exercised control over the hiring of that employee....more

Fisher Phillips

Texas Supreme Court Lets Employers Shift Fault To Third Parties In Worker Injury Suits: Key Takeaways For Workers’ Comp...

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Texas employers that opt out of the state’s workers’ compensation program recently received a big win that will impact litigation strategies. While workers’ comp provides a no-fault system, employers that elect not to...more

Fox Rothschild LLP

Texas Supreme Court Reverses Liability Finding Against Franchisor

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A recent Texas Supreme Court decision fully overturned a jury’s finding that a franchisor was liable for the criminal actions of a franchisee’s employee. This decision underscores the importance of a franchisor having clearly...more

Polsinelli

Landmark Texas Supreme Court Case Finds No “Direct Liability” for Franchisor Arising Out of Franchisee Employee’s Actions

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On May 2, 2025, the Texas Supreme Court reversed a Texas Court of Appeals’ decision that had affirmed a jury’s verdict finding a franchisor directly liable to the customer of a franchisee for actions undertaken by the...more

Seyfarth Shaw LLP

Asking Again-Do You Really Want to Keep Paying Commissions to the Salesperson You Fired? (Update)

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We previously wrote about the procuring-cause doctrine here. As a refresher, the procuring-cause doctrine provides that a salesperson or other agent who contracts for a commission becomes entitled to payment of the commission...more

Freeman Law

Employer Liability for Acts of Employee | Texas Supreme Court Revisits Vicarious Liability, the “Come-And-Go” Rule, and the...

Freeman Law on

On December 30, 2022, the Texas Supreme Court issued its opinion in Cameron International Corporation v. Martinez, __ S.W.3d __, 2022 WL __ (Tex. Dec. 30, 2022) (per curiam) (“Cameron”). The opinion addresses vicarious...more

FordHarrison

Texas Supreme Court Compels Arbitration after Nine Years: Why Employers Should be Cautious in Placement of Mandatory Arbitration...

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Executive Summary: In a recent case, the Texas Supreme Court upheld the validity of an arbitration clause in a case that had been in litigation for over nine years without the claim ever being heard. See In re Whataburger...more

Butler Snow LLP

Texas Supreme Court to Texas Employers: Employee Sales Commission Agreement Terms Better be Clear or Commissions Could be Owed...

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The Texas Supreme Court recently established a “default rule” which, as the dissent puts it, may “threaten the expectations of Texas at-will employers and employees who have agreed to a commission structure but, for whatever...more

Freeman Law

Are commissions owed post-termination of employment or engagement? The Procuring-Cause Doctrine Revisited

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In 1916, the Texas Supreme Court articulated the procuring-cause doctrine, which is a default rule that applies when a valid agreement to pay a commission on sales of property or product does not address whether commissions...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Texas Supreme Court Rules Request for Disability Accommodation Does Not Support Retaliation Claim Under State Law

Texas courts generally look to federal courts’ interpretation of federal anti-discrimination laws to assist in interpreting the anti-discrimination provisions of the Texas Commission on Human Rights Act (TCHRA). However, the...more

Jackson Lewis P.C.

How Little May An Employee Allege For Retaliation Protection?

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The question of when a worker has raised concerns about discrimination sufficient to gain retaliation protection has not been answered consistently and clearly by courts. A case in Texas may provide clarification...more

Jackson Walker

Texas Supreme Court Clarifies Standard for Qualifying for Workers’ Compensation Act’s Intentional-Injury Exception

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The Texas Supreme Court recently clarified that the Workers’ Compensation Act’s intentional-injury exception applies only to situations where the employer purposefully causes injury or when the employer believes “that its...more

Littler

Silence From On High: The Uncertain Future of Texas Paid Sick Leave Ordinances

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On June 5, 2020, the Texas Supreme Court refused to review a case that could have decided whether municipal paid sick leave ordinances in Texas were lawful. Specifically, it denied a petition from the City of Austin to review...more

Proskauer - Law and the Workplace

Dallas, Texas Enacts Paid Sick Leave Law, But Its Future Remains in Question

As we have previously reported, in late 2018, a Texas appellate court ruled that a similar paid sick leave ordinance enacted in Austin violated the Texas Minimum Wage Act and the Texas Constitution and was therefore...more

Bracewell LLP

“Why Matters” – In Texas, Proving Same-Sex Harassment “More Complicated” than Proving Opposite-Sex Harassment

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On April 6, 2018, the Texas Supreme Court issued a decision assessing what evidence is necessary to support an actionable same-sex sexual harassment claim. In an opinion totaling over 100 pages, the six-justice majority and...more

BCLP

“My Employer Made Me Do It” — Texas Supreme Court Rejects a Claim for Compelled Self-Defamation

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On May 26, 2017, the Texas Supreme Court addressed whether Texas recognizes a defamation claim for compelled self-publication. The Texas Supreme Court, joining a number of other states, including Connecticut, Massachusetts,...more

Fisher Phillips

Blurred Lines: Texas Supreme Court Applies Hazy Distinction Between Workplace Harassment And Assault

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The Texas Supreme Court recently blurred the distinctions between harassment and assault claims as they apply to employer liability under the state’s antidiscrimination statute. In considering whether a plaintiff is required...more

Seyfarth Shaw LLP

Texas High Court Allows Employee to Pursue Assault Claim Against Employer for Tortious Acts of “Vice Principal”

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Seyfarth Synopsis: In a decision that is sure to increase the costs and complexity of litigation, the Texas Supreme Court recently held that a former employee’s common law assault claim was not preempted by the state’s...more

Perkins Coie

Texas Workplace Sexual Assaults May Not be Treated as Sexual Harassment

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In Texas, some victims of workplace sexual assault may pursue common law assault claims against their employers, following a recent Supreme Court of Texas ruling. B.C. v. Steak N Shake Ops., Inc., — S.W.3d —, Case No. 15-0404...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Texas Supreme Court: Opposition to Inappropriate but not Unlawful Acts is not Protected Activity Under Texas Law

On April 24, 2015, the Supreme Court of Texas released an opinion in a case brought under Texas law that will help Texas employers defend themselves against claims of retaliation. In San Antonio Water System v. Nicholas, the...more

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