Environmental due diligence is a critical component of any property transaction where potential environmental risks are a concern—minimize risks and protect yourself from...
By Peter Hayes
A Texas man’s evidence that a contaminated property was fraudulently conveyed to him doesn’t save him from liability for the site’s cleanup under the state underground storage tank law.
Even if the deed was obtained by fraud, it remains in effect until set aside, a Texas appeals court said.
The purported owner, Matthew Pryor, may seek to void the deed, the court said.
But that’s not a challenge that can be made in an enforcement proceeding under the UST law, the court said.
In 1993, Parker Tire signed a warranty deed transferring the property to Pryor.
In 2007, the state discovered contamination on the site and, after getting no response from Pryor, filed an enforcement action seeking civil penalties and an order that he properly remove three USTs.
Pryor responded that he didn’t own the property, and that the deed was fraudulently filed.
Parker’s owner testified that Pryor’s sister-in-law bought the property from him and asked him to put the deed in Pryor’s name.
But this wasn’t enough to dismiss the action, the appeals court said.
The state met its burden to establish ownership through the “presumptively valid deed,” the court said.
Pryor failed to raise a “genuine issue of material fact concerning [his] ownership” of the USTs, the court said.
Judge Melissa Goodwin issued the ruling.
Ronnie Jones Law represented Pryor.
The case is Pryor v. State , Tex. App., 3d Dist., 03-17-00316-CV, 6/12/18 .
To contact the reporter on this story: Peter Hayes in Washington at PHayes@bloomberglaw.com
To contact the editor responsible for this story: Steven Patrick at firstname.lastname@example.org
Copyright © 2018 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)