Supreme Court of Texas Issues Landmark Ruling Affirming Contractor Protections Under Section 97.002
Cokinos | Young is proud to congratulate Tony Golz, Patrick Garner, Gregory Cokinos, and Dana Livingston on a significant victory before the Supreme Court of Texas on behalf of longtime client SpawGlass Civil Construction, Inc., a ruling with broad implications for contractors and the construction industry across the state.
In Third Coast Services, LLC and SpawGlass Civil Construction, Inc. v. Castaneda, the Supreme Court clarified the scope of Texas Civil Practice and Remedies Code Section 97.002, which provides liability protection to contractors performing work on highways for the Texas Department of Transportation (TxDOT). The Court held that Section 97.002 applies to contractors who construct or repair highways for TxDOT even when they are not in direct contractual privity with the Department, rejecting the appellate court’s attempt to impose a privity requirement not found in the statute’s text.
The Court further confirmed that work performed on state highway projects, including related infrastructure such as frontage roads and traffic-control systems, qualifies as construction or repair “for” TxDOT when TxDOT ultimately owns, operates, or maintains the roadway. This ruling recognizes the reality of modern transportation projects, which are often delivered through layered agreements involving counties and other local entities while still serving TxDOT’s system.
While the case has been remanded to the court of appeals for consideration of the remaining statutory elements, the Supreme Court’s decision marks a significant milestone. It provides long-needed clarity, strengthens statutory protections for contractors, and supports more predictable risk allocation on complex highway and infrastructure projects throughout Texas.
Congratulations again to Tony, Patrick, Gregory, Dana, and the entire team on this important win for SpawGlass and the Texas construction community.
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