Fifth Court of Appeals reverses more than $1 million judgment and renders take-nothing judgment
PGP appellate attorney Stephanie Erhart recently secured a significant appellate victory for Sebastian Construction Group, LLC, obtaining the complete reversal of a judgment exceeding $1 million and a rendered take-nothing judgment in the client’s favor.
The case, Sebastian Construction Group, LLC v. Rizwan Chand and Laura Colhouer, arose from allegations that construction activities on neighboring property damaged a limestone formation, causing a residential pond to lose water and resulting in the death of koi fish. Following a jury trial, the trial court entered judgment against Sebastian Construction Group for $1,034,724, plus prejudgment interest, post judgment interest, and costs.
On appeal, PGP challenged the judgment on multiple legal and factual grounds. A central issue was whether Texas law imposed a legal duty on a general contractor to maintain or support the water level in a neighboring property owner’s pond.
That issue proved dispositive.
In its August 25, 2026, opinion, the Fifth Court of Appeals concluded that Texas law did not recognize the duty necessary to sustain the plaintiffs’ negligence claim. The court rejected application of the doctrine of lateral support, explaining that the doctrine protects land in its natural state from subsidence but does not extend to the loss of water from a pond. The court further observed that Texas law had not recognized a right to maintain a constant water level in a body of water on private property or a corresponding duty requiring a neighboring contractor to preserve that water level. The court also rejected the plaintiffs’ effort to impose a broader common-law duty based on Sebastian’s construction activities. In doing so, the court noted that there was no evidence Sebastian failed to perform its construction contract with skill and care, failed to follow the project specifications, or damaged the plaintiffs’ physical property.
Because the duty issue resolved the appeal, the court did not reach Sebastian’s remaining appellate challenges.
The result was the strongest relief available on appeal: rather than ordering a new trial, the Fifth Court of Appeals reversed the trial court’s seven-figure judgment and rendered judgment that the plaintiffs take nothing from Sebastian Construction Group.
A Complete Appellate Win
The decision underscores the importance of identifying and developing dispositive legal issues at trial and on appeal. Although the underlying case involved extensive testimony concerning construction practices, geology, hydrogeology, causation, and damages, the appeal ultimately turned on a fundamental question of law which was raised in the trial court.
By focusing the appellate court on whether the plaintiffs could establish a legally recognized duty in the first instance, PGP obtained not merely a reduction of the award or a new trial, but a complete reversal and rendition of judgment for the client.
The result reflects PGP’s experience handling significant civil appeals, challenging adverse jury verdicts, and developing appellate strategies aimed at securing meaningful and final relief for clients.
Case: Sebastian Construction Group, LLC v. Rizwan Chand and Laura Colhouer, No. 05-25-00090-CV, 2026 WL 2498752 (Tex. App. Aug. 25, 2026)
