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<DIV class=3DSection1>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
style=3D"FONT-SIZE: 18pt">IN THE SUPREME COURT OF <st1:State =
w:st=3D"on"><st1:place=20
w:st=3D"on">TEXAS</st1:place></st1:State></SPAN></B></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#=
9552;&#9552;&#9552;&#9552;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: small-caps">No. 05-0427</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: =
small-caps">&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#955=
2;&#9552;&#9552;&#9552;</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><st1:place=20
w:st=3D"on"><st1:PlaceName w:st=3D"on"><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps">Fort=20
Worth</SPAN></st1:PlaceName><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps"> <st1:PlaceName=20
w:st=3D"on">Independent</st1:PlaceName> <st1:PlaceType =
w:st=3D"on">School=20
District</st1:PlaceType></SPAN></st1:place><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps">, =
Petitioner,</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: small-caps"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 9.5pt; FONT-VARIANT: small-caps">v.</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14.5pt; FONT-VARIANT: small-caps">Service Employment =

Redevelopment, Respondent</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: small-caps"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: =
small-caps">&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#955=
2;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&=
#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#95=
52;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;=
&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9=
552;&#9552;</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: small-caps">On Petition for Review from =
the</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-VARIANT: small-caps">Court of Appeals for the Second =
District of=20
<st1:State w:st=3D"on"><st1:place=20
w:st=3D"on">Texas</st1:place></st1:State></SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center"=20
align=3Dcenter>&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#=
9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#955=
2;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&=
#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#95=
52;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;=
&#9552;&#9552;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><B>PER =
CURIAM</B></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
<SPAN style=3D"FONT-VARIANT: small-caps">Justice Willett</SPAN> did not=20
participate in this decision.</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
Service Employment Redevelopment (=93SER=94) sued <st1:place=20
w:st=3D"on"><st1:PlaceName w:st=3D"on">Fort Worth</st1:PlaceName> =
<st1:PlaceName=20
w:st=3D"on">Independent</st1:PlaceName> <st1:PlaceType =
w:st=3D"on">School=20
District</st1:PlaceType></st1:place> for breach of a contract to provide =

alternative education program services.&nbsp; The trial court dismissed =
the case=20
for want of jurisdiction, but a divided court of appeals reversed.&nbsp; =
163=20
S.W.3d 142 (<st1:State w:st=3D"on"><st1:place=20
w:st=3D"on">Tex.</st1:place></st1:State> App.=97Fort Worth 2005).&nbsp; =
The court of=20
appeals held that the District=92s immunity from suit was<SPAN =
class=3DGramE>&nbsp;=20
waived</SPAN> by section 11.151(a) of the Texas Education Code, which=20
states:</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"MARGIN: 0in 0.5in 0pt; TEXT-ALIGN: =
justify"><SPAN=20
class=3Dsinglespace>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;=20
The trustees of an independent school district constitute a body =
corporate and=20
in the name of the district may acquire and hold real and personal =
property, sue=20
and be sued, and receive bequests and donations or other moneys or funds =
coming=20
legally into their hands.</SPAN></P>
<P class=3DMsoNormal style=3D"MARGIN: 0in 0.5in 0pt; TEXT-ALIGN: =
justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">For the=20
reasons explained in <SPAN class=3DSpellE><I>Tooke</I></SPAN><I> v. City =
of <SPAN=20
class=3DSpellE>Mexia</SPAN></I>, 197 S.W.3d 325, 342 (<st1:State=20
w:st=3D"on"><st1:place w:st=3D"on">Tex.</st1:place></st1:State> 2006), =
we have held=20
that section 11.151(a) is not a clear and unambiguous waiver of =
immunity.&nbsp;=20
<I>Satterfield &amp; <SPAN class=3DSpellE>Pontikes</SPAN> <SPAN=20
class=3DSpellE>Constr</SPAN>., Inc. v. Irving <SPAN =
class=3DSpellE>Indep</SPAN>.=20
<SPAN class=3DSpellE><SPAN class=3DGramE>Sch</SPAN></SPAN><SPAN =
class=3DGramE>.=20
Dist<SPAN style=3D"FONT-STYLE: normal">., 197 S.W.3d 390, 391 =
(<st1:State=20
w:st=3D"on">Tex.</st1:State> 2006) (per <SPAN =
class=3DSpellE>curiam</SPAN>);=20
</SPAN><st1:City w:st=3D"on"><st1:place =
w:st=3D"on">Columbus</st1:place></st1:City>=20
<SPAN class=3DSpellE>Indep</SPAN>.</SPAN> <SPAN class=3DSpellE><SPAN=20
class=3DGramE>Sch</SPAN></SPAN><SPAN class=3DGramE>. Dist. v. Five Oaks =
Achievement=20
Ctr.<SPAN style=3D"FONT-STYLE: normal">, 197 S.W.3d 384, 385 (<st1:State =

w:st=3D"on"><st1:place w:st=3D"on">Tex.</st1:place></st1:State> 2006) =
(per <SPAN=20
class=3DSpellE>curiam</SPAN>).</SPAN></SPAN></I></P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
The District contends that before filing suit, SER was required to seek =
relief=20
from the Commissioner of Education under former section 11.13(a) of the =
Texas=20
Education Code, which provided for an appeal to the Commissioner of =
disputes=20
over school district actions =93arising under the school laws of =
<st1:State=20
w:st=3D"on"><st1:place w:st=3D"on">Texas</st1:place></st1:State>=94.<A=20
name=3D_ftnref1></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftn1"><SPAN=20
style=3D"mso-bookmark: _ftnref1"><SPAN=20
class=3DMsoFootnoteReference>[1]</SPAN></SPAN><SPAN=20
style=3D"mso-bookmark: _ftnref1"></SPAN></A><SPAN=20
style=3D"mso-bookmark: _ftnref1"></SPAN>&nbsp; We think the current =
<SPAN=20
class=3DGramE>provision,</SPAN> section 7.057(a) applies instead.<A=20
name=3D_ftnref2></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftn2"><SPAN=20
style=3D"mso-bookmark: _ftnref2"><SPAN=20
class=3DMsoFootnoteReference>[2]</SPAN></SPAN><SPAN=20
style=3D"mso-bookmark: _ftnref2"></SPAN></A><SPAN=20
style=3D"mso-bookmark: _ftnref2"></SPAN>&nbsp; Though different in some =
respects,=20
it contains the same provision.<A name=3D_ftnref3></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftn3"><SPAN=20
style=3D"mso-bookmark: _ftnref3"><SPAN=20
class=3DMsoFootnoteReference>[3]</SPAN></SPAN><SPAN=20
style=3D"mso-bookmark: _ftnref3"></SPAN></A><SPAN=20
style=3D"mso-bookmark: _ftnref3"></SPAN>&nbsp; We agree with the court =
of appeals,=20
163 S.W.3d at 160-61, that a vendor=92s claim for breach of a contract =
to provide=20
a school district services like those involved here does not complain of =
a=20
violation of Texas school laws.&nbsp; <st1:City w:st=3D"on"><st1:place=20
w:st=3D"on"><SPAN =
class=3DGramE><I>Columbus</I></SPAN></st1:place></st1:City><SPAN=20
class=3DGramE><I> <SPAN class=3DSpellE>Indep</SPAN>.</I></SPAN><I> <SPAN =

class=3DSpellE>Sch</SPAN>. Dist.</I>, 197 S.W.3d at 385<SPAN =
class=3DGramE>;=20
<I>&nbsp;Spring</I></SPAN><I> Branch <SPAN class=3DSpellE>Indep</SPAN>. =
<SPAN=20
class=3DSpellE><SPAN class=3DGramE>Sch</SPAN></SPAN><SPAN =
class=3DGramE>. Dist. v.=20
<SPAN class=3DSpellE>Metalab</SPAN> Equip. Co.<SPAN style=3D"FONT-STYLE: =
normal">,=20
381 S.W.2d 48, 48 (<st1:State w:st=3D"on"><st1:place=20
w:st=3D"on">Tex.</st1:place></st1:State> 1964) (per <SPAN=20
class=3DSpellE>curiam</SPAN>).</SPAN></SPAN></I></P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
The District also contends that <SPAN class=3DSpellE>SER=92s</SPAN> =
claim is really=20
for a violation of section 37.008(g) of the Texas Education Code, which =
SER has=20
no standing to assert, rather than for breach of contract.&nbsp; But we =
agree=20
with the court of appeals that SER is entitled to assert a claim for =
breach of a=20
contract to which it was a party. </P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
While this case has been pending on appeal, the Legislature enacted =
sections=20
271.151-.160 of the Texas Local Government Code, which waive immunity =
from suit=20
for certain claims against local governmental entities, including public =
school=20
districts.&nbsp; Sections 271.152-.154 =93apply to a claim that arises =
under a=20
contract executed before [September 1, 2005] . . . if sovereign immunity =
has not=20
been waived with respect to the claim=94 before that date.&nbsp; Act of =
May 23,=20
2005, 79th Leg., R.S., <SPAN class=3DSpellE>ch</SPAN>. 604, =A7 2, 2005 =
<st1:State=20
w:st=3D"on"><st1:place w:st=3D"on">Tex.</st1:place></st1:State> Gen. =
Laws 1548,=20
1549.&nbsp; SER should have the opportunity to argue in the trial court =
that the=20
District=92s immunity is waived by these provisions.</P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;=20
Accordingly, we grant the District=92s petition for review, and without =
hearing=20
oral argument, <SPAN style=3D"TEXT-TRANSFORM: uppercase">Tex. R. App. =
P.</SPAN>=20
59.1, we reverse the judgment of the court of appeals and remand the =
case to the=20
trial court for further proceedings.</P>
<P class=3DMsoNormal style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify">Opinion=20
delivered: August 24, 2007</P>
<DIV>
<P class=3DMsoNormal><BR style=3D"mso-special-character: line-break" =
clear=3Dall></P>
<DIV class=3DMsoNormal>
<HR align=3Dleft width=3D"33%" SIZE=3D1>
</DIV>
<DIV id=3Dftn1>
<P class=3DMsoFootnoteText style=3D"MARGIN-TOP: 6pt"><A =
name=3D_ftn1></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftnref1"><SPAN=20
style=3D"mso-bookmark: _ftn1"><SPAN=20
class=3DGramE><SUP>[1]</SUP></SPAN></SPAN></A><SPAN=20
style=3D"mso-bookmark: _ftn1"></SPAN><SPAN class=3DGramE> Act of June 2, =
1969, 61st=20
Leg., R.S., <SPAN class=3DSpellE>ch</SPAN>. 889, =A7 1, 1969 Tex. Gen. =
Laws 2735,=20
2757, formerly <SPAN style=3D"TEXT-TRANSFORM: =
uppercase">Tex.</SPAN></SPAN><SPAN=20
style=3D"TEXT-TRANSFORM: uppercase"> Educ. Code</SPAN> =A7 11.13(a) =
(=93Persons having=20
any matter of dispute among them arising under the school laws of Texas =
or any=20
person aggrieved by the school laws of Texas or by actions or decisions =
of any=20
board of trustees or board of education may appeal in writing to the=20
commissioner of education, who, after due notice to the parties =
interested,=20
shall hold a hearing and render a decision without cost to the parties =
involved,=20
but nothing contained in this section shall deprive any party of any =
legal=20
remedy.=94), <I>repealed by</I> Act of May 27, 1995, 74th Leg., R.S., =
<SPAN=20
class=3DSpellE>ch</SPAN>. 260, =A7 58, 1995 Tex. Gen. Laws 2207, =
2498.</P></DIV>
<DIV id=3Dftn2>
<P class=3DMsoFootnoteText style=3D"MARGIN-TOP: 6pt"><A =
name=3D_ftn2></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftnref2"><SPAN=20
style=3D"mso-bookmark: _ftn2"><SUP>[2]</SUP></SPAN><SPAN=20
style=3D"mso-bookmark: _ftn2"></SPAN></A><SPAN style=3D"mso-bookmark: =
_ftn2"></SPAN>=20
Act of May 27, 1995, 74th Leg., R.S., <SPAN class=3DSpellE>ch</SPAN>. =
260, =A7 60,=20
1995 Tex. Gen. Laws 2207, 2499 (=93Section 7.057, Education Code, as =
added by this=20
Act, applies to an action taken or decision made by the board of =
trustees of a=20
school district on or after January 1, 1996.&nbsp; The appeal of an =
action taken=20
or decision made by a board of trustees before January 1, 1996, is =
governed by=20
Section 11.13, Education Code, as that section existed before repeal by =
this=20
Act, and that section is continued in effect for that =
purpose.=94).&nbsp; The=20
contract in this case was executed December 12, 1995, but the actions =
SER=20
complains of occurred when the District denied payment years =
later.</P></DIV>
<DIV id=3Dftn3>
<P class=3DMsoFootnoteText style=3D"MARGIN-TOP: 6pt"><A =
name=3D_ftn3></A><A title=3D""=20
href=3D"http://www.supreme.courts.state.tx.us/historical/2007/aug/050427.=
htm#_ftnref3"><SPAN=20
style=3D"mso-bookmark: _ftn3"><SUP>[3]</SUP></SPAN><SPAN=20
style=3D"mso-bookmark: _ftn3"></SPAN></A><SPAN style=3D"mso-bookmark: =
_ftn3"></SPAN>=20
<SPAN style=3D"TEXT-TRANSFORM: uppercase">Tex. Educ. Code</SPAN> =A7 =
7.057(a)=20
(=93Except as provided by Subsection (e), a person may appeal in writing =
to the=20
commissioner if the person is aggrieved by: (1) the school laws of this =
state;=20
or (2) actions or decisions of any school district board of trustees =
that=20
violate: (A) the school laws of this state; or (B) a provision of a =
written=20
employment contract between the school district and a school district =
employee,=20
if a violation causes or would cause monetary harm to the=20
employee.=94).</P></DIV></DIV></DIV></BODY></HTML>
