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McFarland v. Bridges

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OPINION

This is an action to enforce a mediated settlement agreement. The original lawsuit was brought for securities violations in Dallas County Court at Law 4. The parties mediated a settlement. The present action on the settlement contract was tried to the court in County Court at Law 5, resulting in a personal judgment against appellant Rich McFarland *fn1 for $25,000 plus interest and attorney’s fees. In three issues, he complains the trial court erred: (1) in not applying the doctrine of res judicata; (2) finding an enforceable contract; and (3) rendering judgment against McFarland in his individual capacity. We affirm.

The parties to the original County Court 4 proceeding mediated their case with well known Dallas mediator Tom Pauken. The mediation resulted in a settlement agreement, signed by the defendants McFarland, Boomtown, LLC, and R. M. Interests, Inc. In the subsequent trial, appellant testified he signed the contract in his representative capacity. Appellant further disputed this was a final settlement because further mediation was necessary, apparently to enforce the agreement or obtain additional documentation. Appellees, Harold W. Bridges and Robert G. Rockett, contended that it was appellant’s counsel that refused to cooperate in finalizing further settlement documents. No agreed judgment was signed, the mediated settlement was not filed with the court, and an order of dismissal with prejudice was signed in County Court 4. Thereafter, appellees sued on the settlement contract in County Court 5. *fn2

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