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    <TD class=3DTextSmall><A class=3DTextSmall=20
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      <DIV class=3DSection1>
      <P class=3DMsoNormal><A name=3Da3><B><SPAN style=3D"FONT-SIZE: =
13pt">Affirmed in=20
      Part and Reversed and Remanded in Part and Memorandum Majority and =

      Concurring</SPAN></B></A><B><SPAN style=3D"FONT-SIZE: 13pt"> =
Opinions filed=20
      October 2, 2007.</SPAN></B></P>
      <P class=3DMsoNormal><B><SPAN style=3D"FONT-SIZE: =
13pt"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt">In The</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 18pt; FONT-FAMILY: 'EngrvrsOldEng Bd =
BT'">Fourteenth=20
      Court of Appeals</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">____________</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">NO. <A=20
      name=3Da4>14-06-00921-CV</A></SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">____________</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><A=20
      name=3Da5><B><SPAN style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">ANGLO-DUTCH=20
      PETROLEUM INTERNATIONAL, INC. AND </SPAN></B></A></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">ANGLO-DUTCH (TENGE) =

      LLC</SPAN></B><B><SPAN style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">,=20
      Appellants</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">V.</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><A=20
      name=3Da6><B><SPAN style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">LITTLEMILL=20
      LIMITED</SPAN></B></A><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">, =
Appellee</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"LINE-HEIGHT: 2.85pt; TEXT-ALIGN: =
center"=20
      align=3Dcenter><SPAN=20
      style=3D"MARGIN-TOP: 0px; Z-INDEX: -2; LEFT: 0px; MARGIN-LEFT: =
96px; WIDTH: 624px; POSITION: absolute; HEIGHT: 4px"><IMG=20
      height=3D4 src=3D"" width=3D624></SPAN></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">On Appeal from the =
<A=20
      name=3Da7>152nd District Court</A></SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><A=20
      name=3Da8><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti">Harris</SPAN></B></A><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti"> County, =
Texas</SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti">Trial Court Cause =
No. <A=20
      name=3Da9>2004-60996</A></SPAN></B></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: =
Shruti"></SPAN></B>&nbsp;</P>
      <P class=3DMsoNormal style=3D"LINE-HEIGHT: 2.85pt; TEXT-ALIGN: =
center"=20
      align=3Dcenter><SPAN=20
      style=3D"MARGIN-TOP: 0px; Z-INDEX: -1; LEFT: 0px; MARGIN-LEFT: =
96px; WIDTH: 624px; POSITION: absolute; HEIGHT: 4px"><IMG=20
      height=3D4 src=3D"" width=3D624></SPAN></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: Shruti"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 7.35pt; LINE-HEIGHT: 150%; TEXT-ALIGN: =
center"=20
      align=3Dcenter><B><SPAN=20
      style=3D"FONT-SIZE: 14pt; LINE-HEIGHT: 150%; FONT-FAMILY: =
Shruti">M E M O R=20
      A N D U M&nbsp;&nbsp; C O N C U R R I N G&nbsp;&nbsp; O P I N I O=20
      N</SPAN></B></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 6.8pt; TEXT-INDENT: 0.5in; LINE-HEIGHT: =
150%; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">I agree with the =
reasoning used=20
      by the majority in all respects except for its discussion of the =
affidavit=20
      of Fred Hagans regarding attorney</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">=3D</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">s fees.&nbsp; Rather =
than hold=20
      that the affidavit of Mr. Hagans was internally inconsistent, I =
would hold=20
      that it failed to prove that the tort and contract claims were=20
      inextricably intertwined so that all legal fees were =
recoverable.&nbsp;=20
      Mr. Hagans said the following to prove that the claims were =
inextricably=20
      intertwined:</SPAN></P></DIV><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'Times =
New Roman'"><BR=20
      style=3D"PAGE-BREAK-BEFORE: auto" clear=3Dall></SPAN>
      <DIV class=3DSection2>
      <P class=3DMsoNormal=20
      style=3D"MARGIN: 0in 0.5in 6.8pt; TEXT-INDENT: 0.5in; LINE-HEIGHT: =
150%; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">This case involves =
claims of=20
      breach of contract, claims for declaratory relief and other claims =
arising=20
      out of the same transaction at issue in connection with=20
      Littlemill</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">=3D</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">s breach of contract =
claims=20
      such that the prosecution of all of these claims entails proof or =
denial=20
      of essentially the same facts.&nbsp; All of Littlemill</SPAN><SPAN =

      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">=3D</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">s claims are, in my =
opinion,=20
      intertwined to the point of being inseparable and therefore are=20
      </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">inextricably=20
      intertwined.</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 6.8pt; TEXT-INDENT: 0.5in; LINE-HEIGHT: =
150%; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">In <I>Tony Gullo =
Motors I, L.P.=20
      v. Chapa</I>, 212 S.W.3d 299 (Tex. 2006), the Texas Supreme Court =
rejected=20
      the idea that a litigant could prove that claims were inextricably =

      intertwined merely by stating that the claims were dependent on =
the same=20
      set of facts.&nbsp; There, the Court acknowledged that =
Chapa</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">=3D</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">s fraud, contract and =
DTPA=20
      claims were all dependent upon the same set of facts or =
circumstances, yet=20
      went on to state, </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">that does not mean =
they all=20
      required the same research, discovery, proof, or legal=20
      expertise.</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%"> <I>Id. </I>at =
313.<I>=20
      </I>&nbsp;The Court continued with the following:</SPAN></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN: 0in 0.5in 4.55pt; TEXT-INDENT: 0.5in; TEXT-ALIGN: =
justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt">Nor are unrecoverable legal fees =
rendered=20
      recoverable merely because they are nominal; there is no such =
exception in=20
      any contract, statute, or </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt">the American Rule.</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt">&nbsp; To the extent <I>Sterling =
</I>suggested=20
      that a common set of underlying facts necessarily made all claims =
arising=20
      therefrom </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt">inseparable</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt">&nbsp; and all legal fees recoverable, =
it went too=20
      far.</SPAN></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 4.55pt; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P></DIV><SPAN=20
      style=3D"FONT-SIZE: 13pt; FONT-FAMILY: 'Times New Roman'"><BR=20
      style=3D"PAGE-BREAK-BEFORE: auto" clear=3Dall></SPAN>
      <DIV class=3DSection3>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 6.8pt; LINE-HEIGHT: 150%; TEXT-ALIGN: =
justify"><I><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">Id. </SPAN></I><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">(citing <I>Stewart =
Title Guar.=20
      Co. v. Sterling</I>, 822 S.W.2d 1, 11 (Tex. 1991)).<I> =
</I>&nbsp;The Court=20
      acknowledged that many actions taken in a case, such as =
</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">requests for standard =

      disclosures, proof of background facts, depositions of the primary =
actors,=20
      discovery motions and hearings, voir dire of the jury, and a host =
of other=20
      services may be necessary whether a claim is filed alone or with=20
      others,</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%"> and held that to the =
extent=20
      these services would have been incurred on a recoverable claim =
alone,=20
      </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">they are not =
disallowed simply=20
      because they do double service.</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%"> <I>Id. </I>But, the =
Court=20
      reaffirmed that when certain services are performed only for an=20
      unrecoverable claim, and are not doing </SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">A</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">double =
service,</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">@</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%"> a claimant must =
segregate=20
      recoverable from unrecoverable fees. <I>&nbsp;Id. </I>&nbsp;In =
addition,=20
      to recover fees for causes of action that are inextricably =
intertwined but=20
      involve both recoverable and unrecoverable claims, lawyers must =
now=20
      identify the discrete legal services that perform the dual service =
of=20
      advancing both the recoverable and unrecoverable claims. =
<I>&nbsp;Id.=20
      </I>at 313</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: 'WP =
TypographicSymbols'">B</SPAN><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">14.&nbsp; A lawyer =
need not=20
      keep separate time records for every service claimed to advance =
both a=20
      recoverable and an unrecoverable claim; he may opine what =
percentage of=20
      the service would have been required even if the unrecoverable =
claim had=20
      not been brought. <I>&nbsp;See id. </I>at 314.</SPAN></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 6.8pt; TEXT-INDENT: 0.5in; LINE-HEIGHT: =
150%; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%">Here, Mr. Hagans did =
not take=20
      the extra steps to identify the discrete legal services that =
advanced both=20
      recoverable and non-recoverable claims.&nbsp; As a result, the =
case should=20
      be remanded to allow Mr. Hagans to prove his fees.&nbsp;=20
      <I>Id</I>.</SPAN></P>
      <P class=3DMsoNormal=20
      style=3D"MARGIN-BOTTOM: 4.55pt; TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-INDENT: 3.5in; TEXT-ALIGN: =
justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-INDENT: 3in; TEXT-ALIGN: =
justify"><SPAN=20
      style=3D"FONT-SIZE: =
13pt">/s/&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=20
      Wanda McKee Fowler</SPAN></P>
      <P class=3DMsoNormal style=3D"TEXT-INDENT: 3.5in; TEXT-ALIGN: =
justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt">Justice</SPAN></P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt"></SPAN>&nbsp;</P>
      <P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt">Judgment rendered and Memorandum =
Majority and=20
      Concurring Opinions filed October 2, 2007.</SPAN></P>
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Justices=20
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justify"><SPAN=20
      style=3D"FONT-SIZE: 13pt; LINE-HEIGHT: 150%; FONT-FAMILY: =
Shruti"></SPAN>&nbsp;</P></DIV></TD></TR></TBODY></TABLE></BODY></HTML>

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