ACCEPTED 12-15-00206-CV TWELFTH COURT OF APPEALS TYLER, TEXAS 8/20/2015 5:40:38 PM CATHY LUSK CLERK

No._____________________________ FILED IN 12th COURT OF APPEALS TYLER, TEXAS In the 8/20/2015 5:40:38 PM CATHY S. LUSK Clerk Twelfth Court of Appeals

In re Wendell Reeder

Mandamus Record

Marisa M. Schouten Bar I.D. No. 24039163 John F. (Jack) Walker, III Bar I.D. No. 00785167 Martin Walker, P.C.

The Arcadia Theater N. Spring Street Tyler, Texas 75702 (903) 526-1600 Telephone (903) 595-0796 Telefax

Attorney for Relator, Wendell Reeder In the

Twelfth Court of Appeals

In re Wendell Reeder

Affidavit

STATE OF TEXAS § COUNTY OF SMITH §

BEFORE ME,the undersigned notary public, on this day personally appeared Marisa Schouten, who being duly sworn by me on her oath deposed and said: (1)she is one of the attorneys for relator in the above entitled and numbered cause and is one of relator's counsel in the underlying cause (No. 2015-184, J. Bennett White, P.C. v. Wendell Reeder, in the District Court of Wood County, Texas); (2)she has personal knowledge ofthe documents prepared, issued, filed, and/or served in the underlying cause; (3)she has reviewed all volumes of the mandamus Record; and (4)each document contained in these volumes is a true and correct copy of a document prepared, issued, filed, and/or served in the underlying cause.

Marisa c n

SUBSCRIBED AND SWORN TO BEFORE ME on this the 20~' day of August, 2015,to certify which witness my hand and official seal.

~~"~^'` BARBARA GORMAN ~ ~ ~ *• '= MY COMMISSION EXPIRES (:v~-w ':~~' '~-~;~~'~ '4"9ost2~ 2019 Notary Public in and for the State of Texas Mandamus Record Index Volume 1 Page Docket Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Court’s Order Granting Motion to Disqualify J. Keith Mayo and Mayo, Mendolia and Vice, L.L.P. as Attorneys for Defendant, Wendell Reeder . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 (Signed 7/14/15) Plaintiff’s Original Petition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 (filed April 14, 2015) Defendant Wendell Reeder’s Original Answer and General Denial . . . . . . . . . . . . . . . . 10 (filed June 1, 2015) Motion to Disqualify J. Keith Mayo and Mayo Mendolia and Vice, L.L.P. as attorneys for defendant, Wendell Reeder . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 (filed June 11, 2015) Notice of Hearing on Motion to Disqualify for June 23, 2015 . . . . . . . . . . . . . . . . . . . . 16 (filed June 16, 2015) Plaintiff’s Motion for Summary Judgment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 (filed June 19, 2015) Defendant Wendell Reeder’s Response and Brief in Support to Plaintiff’s Motion to Disqualify . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82 (filed June 22, 2015) Notice of Appearance as Counsel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93 (filed July 23, 2015) Motion for Continuance of Summary Judgment Hearing . . . . . . . . . . . . . . . . . . . . . . . . 95 (filed July 23, 2015) Letter Notice of Hearing on Plaintiff’s Motion for Summary Judgment, set for August 25, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98 (filed August 4, 2015) Request for Setting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 (filed August 6, 2015) Notice of Hearing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 (filed August 6, 2015) Response to Motion for Summary Judgment, Subject to Motion for Continuance of Summary Judgment Hearing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103 (filed August 18, 2015) First Amended Answer with Affidavit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117 (filed August 18, 2015) Transcript of June 11, 2015 Hearing on Motion to Disqualify . . . . . . . . . . . . . . . . . . . . . . . 122 CIVIL DOCKET CASENo.c;}OIS- f ~~ }AM #160036 - BUSINESS INK. CO

Kind of Action DATE OF FILING.

NUMBER OF CASE NAMES OF PARTIES ATIORNEYS and Party Demanding Jury Mo. Day Year

0 I cf vs. FEE BOOK Vol. Page ~ Paid By

Oft. Jury No. DATE OF ORDERS Was MINUTE BOOK ORDERS OF COURT PROCESS Month I Day 1 Year Vol. I Page

~~ ~7 1;--

1· -- -- r--------,--------- - -----

0001 I i CAUSE NO. 2015-184 J. BENNETT WHITE, P.C. § IN THE 402nd DISTRICT COURT § vs. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS ORDER GRANTING MOTION TO DISQUALIFY J. KEITH MA YO AND MA YO MENDOLIA & VICE, L.L.P. AS ATTORNEYS FOR DEFENDANT WENDELL REEDER On June 23, 2015, came to be considered Plaintiffs Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, L.L.P. as Attorneys for Defendant Wendell Reeder. Plaintiff appeared through counsel of record, J. Bennett White. Defendant appeared through counsel of record, J. Keith Mayo.

The Court, having considered the pleadings on file and the evidence and argument presented, is of the opinion that a conflict exists sufficient to disqualify J. Keith Mayo and Mayo Mendolia & Vice, L.L.P. as attorneys for Defendant Wendell Reeder. Therefore, the Court finds that Plaintiffs motion should be Granted.

IT IS THE ORDER OF THE COURT that J. Keith Mayo and Mayo Mendolia & Vice, L.L.P shall have until July 23, 2015 to withdrawal from this matter as attorneys for Defendant.

Should J. Keith Mayo and Mayo Mendolia & Vice, L.L.P fail to withdrawal by July 23, 2015

S!GNEDTHISDAY ¥/</ then this order shall deem them disqualified as of that date.

pi ,2015.

L~~ ~~ ·,~ -JUDGE PRESI~E - ___; , I

co i; -·- ,, .. _ -l

0002 ~, {·II r ,, , J ;f:)fJ ' fj / t . '-I J. BENNETT WHITE, P.C. § IN THE DISTRICT, COURT . ·' t § .. ".'' .. . :-- ): _: - .' . ~ ~.,,- : VS. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS PLAINTIFF'S ORIGINAL PETITION TO THE HONORABLE JUDGE: COMES NOW J. BENNETT WHITE, P.C., hereinafter called "Plaintiff", complaining of WENDELL REEDER, hereinafter called "Defendant", and would show the Court as follows: 1. Discovery is intended to be conducted under Level Two as set forth in Tex. R. Civ. P. 190.3.

2. Wendell Reeder is an individual who may be served with process at U.S. Hwy 37 and Star St., Clarksville, Texas.

3. Venue is proper in Wood County, Texas because part of the services provided by Plaintiff were performed in Wood County, Texas; therefore, Plaintiffs cause of action occurred it least in part, in Wood County Texas.

Cause of Action No. l(Appeal- JJ"' Court) 4. On or about June, 2008, Plaintiff was hired by Defendant Wendell Reeder ("Reeder") to appeal a judgment that had been rendered against him in Cause No. 2004-299 styled Wood County Energy, LLC and Wood County Oil & Gas, Ltd. v. Wendell Reeder, Nelson Operating, Inc., et al. (the "Wood County Judgment") 5. Beginning in June, 2008, and continuing through and including March, 2012, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder.

In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services

0003 provided at Plaintiffs regular hourly rates. As of March 20, 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $114,904.40 for legal services in this matter.

Cause of Action No. Urlppeal - Sup. Ct.)

6. In October, 2010, Reeder hired Plaintiff to seek review of the Wood County Judgment be the Texas Supreme Court.

7. Beginning in October, 2010, and continuing through and including April, 2013, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder.

In connection therewith Reeder promised to pay Plaintiff on an hourly basis for legal fees provided at Plaintiffs' regular hourly rates. As of March 20, 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $7,642.43 for legal services before the Texas Supreme Court.

Cause of Action No. 3(Reetler 1•. Fn1) 8. In November, 2011, Defendant Reeder hired Plaintiff to represent him in attempting to prevent collection of the Wood County Judgment while the proceeding was on appeal. Once the Supreme Court reversed the Wood County Judgment, Defendant Reeder sought Plaintiffs assistance in removing the judgment liens pertaining to the Wood County Judgment.

9. From November, 2011 and continuing through and including January, 2015 Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder.

In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services provided at Plaintiffs regular hourly rates. /\s of March 20, 2015, after allowing all just and

Plaintijf"s Original Petition J. Bennet/ White. P.C '" Wendell /leeder Puge2

0004 lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $22,366.80 for legal services provided in the trial court pertaining to the Wood County Judgment.

Cause of Action No. 4(Forest Hill/H11rris Sand) 10. In October, 2008, Defendant Reeder hired Plaintiff to represent him m conjunction with various activities concerning the Forest Hill/Harris Sand Unit.

11. From October, 2008 and continuing through and including June, 2014, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder. In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services provided at Plaintiffs regular hourly rates. As of March 20, 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $748.08 for legal services provided in connection with the Forest Hill/Harris Sand Unit.

Cause of Action No. 5Um11estmv11 Im. 1•.)

12. In May, 2011, Defendant Reeder hired Plaintiff to defend him in a declaratory judgment action brought against him in federal court by his insurance carrier, Jamestown Insurance Company, RRG.

13. From May, 201 I and continuing through and including November, 2012, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder.

In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services provided at Plaintiffs regular hourly rates. As of March 20, 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $3 I ,856.53 for legal services provided in the Jamestown Insurance declaratory judgment matter.

Plaintiffs Original Peti//011 J. Ben11e11 White. P.C i·. ll"e11dc/I Reeder !'age 3

0005 Cause of Action No. 6(-1vpe11t 5'" Cir.) 14. In July, 2012, Defendant Reeder hired Plaintiff to appeal the judgment granted in the Jamestown Insurance declaratory judgment proceeding.

15. From July, 2012 and continuing through and including April, 2013, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder. In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services provided at Plaintiffs regular hourly rates. As of March 20, 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $30,023.85 for legal services provided in the appeal of the Jamestown Insurance declaratory judgment proceeding.

Cause of Action No. 7(General) 16. In June, 2008, Defendant Reeder hired Plaintiff provided legal representation in matters of a general nature.

17. From June, 2008 and continuing through and including April, 2015, Plaintiff, at the special instance and request of Reeder, provided services as requested by Reeder. In connection therewith, Reeder promised to pay Plaintiff on an hourly basis for legal services provided at Plaintiffs regular hourly rates. As of March 20. 2015, after allowing all just and lawful offsets and payments and credits, Reeder is indebted to Plaintiff in the sum of $5,055.01 for legal services provided in general matters.

Allegations As to All Claims 18. Beginning in approximately July, 2009, Reeder specifically requested Plaintiff to postpone collection of the balances on the accounts brought by this petition. Reeder asked Plaintiff to defer collection on these balances until such time as the Supreme Court appeal of the

l'lai111iff·.~ Original Petit10n J. Ben11e11 IV/1ite. P.C 1·. ll'endell Reeder Page./ 0006 Wood County Judgment had been completed. The Supreme Court reversed the Wood County Judgment in approximately April, 2013.

19. At that time, Reeder asked Plaintiff to continue deferring collection until the judgment liens pertaining to the Wood County Judgment had been removed. That task was completed in approximately November, 2014.

20. Once the judgment liens were released, Plaintiff sought payment from Defendant.

Reeder promised Plaintiff that he would have the funds to pay Plaintiff from a real estate closing originally scheduled for December, 2014. After numerous delays, that closing finally occurred in March, 2015. However, rather than paying Plaintiff as agreed, Defendant now refuses to pay Plaintiff the just and true balance owed.

Rule 47 (c) 21. All conditions precedent to the recovery sought by Plaintiff have been perfom1ed or have occurred. The damages Plaintiff seeks are within the jurisdictional limits of this court.

In accordance with TEX. R. CIV.P. 47(c), Plaintiff seeks monetary relief over $200,000, but less than $1,000,000.

Attorneys' Fees 22. Plaintiff has made written demand upon the Defendant for payment of the balances owed for legal services provided, and Plaintiff would show the Court that the recovery of attorneys' fees is authorized, made, and provided, under and according to Chapter 38 of the Texas Civil Practice & Remedies Code, and Plaintiff further sues Defendant for reasonable attorneys' fees, which Plaintiff alleges to be in at least the sum of $70,000.00.

Plaintiff"s Original Petit/On J. Benne// White. P.C ,._ Wendell Reeder Page 5 0007 WHEREFORE, PREMISES CONSIDERED, Plaintiff prays that Defendant be cited to appear and answer herein, and that upon final hearing, Plaintiff have judgment as follows: A. Judgment on Cause of Action No. 1 against Defendant Wendell Reeder in the principal sum of $114,904.40, plus interest from March 20, 2015 until the date of Judgment at the rate of 12% per annum; B. Judgment on Cause of Action No. 2 against Wendell Reeder, in the principal sum of $7,642.43, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum; C. Judgment on Cause of Action No. 3 against Wendell Reeder in the principal sum of $22,366.80, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum; D. Judgment on Cause of Action No. 4 against Wendell Reeder in the principal sum of $748.08, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum; E. Judgment on Cause of Action No. 5 against Wendell Reeder in the principal sum of $31,856.5, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum; F. Judgment on Cause of Action No. 6 against Wendell Reeder in the principal sum of $30,023.85, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum; G. Judgment on Cause of Action No. 7 against Wendell Reeder in the principal sum of $5,055.01, plus interest from March 20, 2015 until the date of judgment at the rate of 12% per annum;

Plainliff".s Original Pe111io11 J. Bennet! ll}1i1e. l'.C 1•. ll"endell Reeder Page 6

0008 H. Attorneys' fees against all Defendants in the amount of at least $70,000; I. Costs of Court; J. Interest after judgment at the rate of 12% per annum from the date of the judgment until paid.

Plaintiff also requests all such other and further relief at may be just and proper.

RESPECTFULLY SUBMITTED, J. BENNETT WHITE, P.C.

P.O. Box 6250 Tyler, Texas 75711 Telephone: (903) 597-4300 Telccopier: (903) 597-4330

State Bar No. 21309800 LAURA S. SEVERT State Bar No. 24051886 ATTORNEYS FOR PLAINTIFF

Plain1iff's Original Pe/Ilion J. Bennet/ White. P.C v. Wendell Reeder Page 7 0009 Filed:S/1/2015 2:28:41 PM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Jennifer Mosher CAUSE NO. 2015-184 J. BENNETT WHITE, P.C. § IN THE DISTRICT COURT § vs. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS

DEFENDANT WENDELL REEDER'S ORIGINAL ANSWER AND GENERAL DENIAL TO THE HONORABLE COURT: COMES NOW, Wendell Reeder, Defendant in the above entitled and numbered cause and files this Original Answer and General Denial, and in support of such filing would respectfully show unto the Court as follows: I.

GENERAL DENIAL 1.01. Defendant hereby generally denies each and every allegation set forth in Plaintiffs Original Petition and demands strict proof thereof pursuant to Rule 92 of the Texas Rules of Civil Procedure.

WHEREFORE, PREMISES CONSIDERED, Defendant prays that Plaintiff take nothing by reason of his action herein, and for such other and further relief to which Defendant may show himself justly entitled.

DEFENDANT'S ORIGINAL ANSWER AND GENERAL DENIAL Pagel

0010 Respectfully submitted, MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Ste. 101 Tyler, Texas 75702 903-747-3422 903-747-3436 fax By: Isl.! Keith Mavo J. KEITH MA YO State Bar No.: 00794251 ATTORNEY FOR DEFENDANT

DEFENDANT'S ORIGINAL ANSWER AND GENERAL DENIAL Page2

0011 CERTIFICATE OF SERVICE I hereby certify that a true and correct copy of the foregoing instrument has been delivered in the manner stated below to all parties or their attorneys in this cause on the I si day of June, 2015.

Via Fax 903-597-4330 and CM RRR 70 l 22210000 J 4253 7252 J. Bennett White PO Box 6250 Tyler, Tx 75711 903-597-4300

Isl.! Keith Mavo ______ J. KEITH MAYO

DEFENDANT'S ORIGINAL ANSWER AND GENERAL DENIAL Page3 0012 06/11/2015 THU 13: 08 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZ!003/005

CAUSE NO. 2015-184 J. BENNETT WHITE, P.C. § IN THE DISTRICT COURT § VS. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS MOTION TO DISQUALIFY J. KEITH MAYO AND .MAYO MENDOLIA & VICE, L.L.P. AS ATTORNEYS FOR DEFENDANT "VENDELL REEDER TO THE HONORABLE JUDGE: COl'vIES NOW, J. Bennett White, P.C. ("JEW, PC"), Petitioner, filing this Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, L.L.P as attorneys for Defendant, Wendell Reeder ("Reeder"), and would show to the Court as follows: Summary ofMotion: Defendant's law firm should be disqualified because it now employs a legal assistant previously employed by Plaintiff.

1. Jennifer Smith ("Smith") is currently employed as a legal assistant by Mayo Mendolia & Vice, L.L.P ("Ml'vIV"). She was previously employed by J. Bennett White, P.C. in that same capacity. During the time Smith was employed by JEW, PC, she was privy to JEW, PC's privileged and confidential information. With this being a lawsuit for collection of attorneys' fees owed, Smith's employment with MMV subjects her to competing loyalties in honoring the client confidences gained while working at JEW, PC against her cun-ent obligation of loyalty to M1v1V and its clients. MMV's representation of Reeder jeopardizes Smith's ability to honor Plaintiff's confidences.

2. More importantly, as an employee of JEW, PC, Smith has first-hand knowledge of the conectness of Plaintiff's claim against Reeder. In fact, some portion of the amount owed is for services perfonned by Smith. Based on Smith's personal knowledge of the validity of Plaintiffs claim and the potential that she could be called as a witness, P~S/;\Nt.J.EQ 0013 06/11/2015 THU 13: 08 FAX 903 597 4330 J BENNETT WHITE PC, ATTY id!004/005

be prejudiced by her knO\vledge that to provide truthful testimony would be detiimenta I to her employment with Ml\IIV and to Reeder. Accepting representation that would compromise the testimony of a fact witness creates an impennissible conflict of interest.

WHEREFORE, PREMISES CONSIDERED, Plaintiff prays that upon hearing the motion, the Cout1 grant the motion and disqualify J. Keith 1vfayo and Mayo Mendolia & Vice, L.L.P as attorneys for Defendant Wendell Reeder. Plaintiff also seeks all such other and further relief as may be just and proper.

RESPECTFULLY SUBMITTED, J. BENNETT WHITE, P.C.

P.O. Box 6250 Tyler, Texas 75711 Telephone: (903) 597-4300 Telecopier: (903) 597-4330 /]y;:/ //. / . .J'.~~. :J:<':.L0:~:Y6f);.~';_~<<.~.'.t::. . . . . .. ). BENi'JETT \VHITE /;State Bar ~'-l.:.1 21309300 i ~f\\,-(~{} b\\.~La-;_r.., fn1u. \)"fl n

LAURA S. SEVERT State Bar No. 24051886 lsevert'g!jl)\vlawfirm.com

ATTORNEYS FOR PLAINTIFF

0014 06/11/2015 THU 13: 08 FAX 903 597 4330 J BENNETT WHITE PC, ATTY 12J005/005

CERTIFICATE OF SER\!lCE I ce11ify that a true and original copy of the foregoing document has been served by fax on this date, June 11, 2015, as follows: Fax No.: 903-747-3436 Mr. J. Keith Mayo l\fayo, Mendolia & Vice, L.L.P. N. College, Suite 101 Tyler, TX 75702

/'

0015 CASE \'UrvIBER: 2() 15-184 .I. BENNETT WHITE. P.C. fl\ Tl IE 402"J JUDICIAL VS. DJSTRJCT CC )LTR.T WENDELL REEDER OF WOOD COUNTY. TEXAS

:\OTICE OF IIEARI:\G The aho\'c-rcfo:rcncccl case is schcdulccl for Motion Hearing. on 06,23/2015 at 9:00 A\'L in the District Courtronm. Quitman. Wood County. Texas.

SIG:\ED A>:D DELIVERED on this the 16th day of.lune. 2015.

·~ . COURT COORDINATOR XC: C\. \-P~<J~3- '-fncG

SCANNED 0016 CAUSENO. 2015-184 J. BENNETT WHITE, P.C. § IN THE DISTRICT COURT § VS. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS PLAINTIFF'S MOTION FOR SUMMARY JUDGMENT TO THE HONORABLE JUDGE: CO:tvIES NOW, J. Bennett White, P.C., Plaintiff, moving for Summary Judgment on its claim against Wendell Reeder, Defendant, and in suppo11 thereof shows: 1. Defendant has appeared and answered herein.

2. Plaintiffs Motion embraces its entire claim against the Defendant. There is no genuine issue as to any material fact necessary to establish the liability of the Defendant to the Plaintiff, and Plaintiff is entitled to a Judgment as a matter of law.

3. In suppo11 of this Motion, Plaintiff refers the Court to the pleadings and the Affidavit of J. Bennett White on file in this cause. More pa11icularly, Plaintiff directs the attention of the Court to the following Summary Judgment evidence: a. The Affidavit of J. Bennett White establishes: (l) That Defendant hired Plaintiff to work on seven (7) different legal matters for which unpaid balances remain; (2) That the unpaid balances, as of March 20, 2015, owed on each of the matters are: a. Fry Appeal $114,904.40 b. Forest Hill I Harris Sand Unit $748.08 c. General $5,055.01

Motionfor Summ01y Judgment J. Bennett TYhite, P.C. v. Wendell Reeder Cause No. 2015-184 Page 1

SCANNED 0017 06/19/2015 FRI 11:20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY ld:J004/067

d. Fry Appeal - Supreme Cami $7,642.43 e. Jamestown Insurance v. $31,856.53 f. Reeder v. Frv $22,366.80 g. Jamestown Insurance Appeal $30,023.85 Total $212,597.10

(3) Interest on the unpaid balances continues to accrue after March 20, 2015 at the rate of 12 % per annum; (4) That all services provided Defendant by Plaintiff were necessaiy and the amounts charged for those se1vices were reasonable; and (5) That the payment for the just amount owed has not been tendered despite the expiration of more than thi1iy (30) days after the claim was presented, a true and coITect copy of which demand letter is attached to that affidavit as Exhibit 15.

c. The Affidavit of J. Bennett White also establishes reasonable and necessary attorneys' fees incuITed by J. Bennett White, P.C. in the amount of $30,000.00, along with the Defendant's failure to fulfill the Fee Agreement freely entered by both parties.

WHEREFORE, Plaintiff requests that this matter be set for hea1ing, and that upon completion of the hearing, the Court enter an order adjudging Defendant liable to Plaintiff for the relief requested in this Motion and granting Plaintiff all such other and fmiher relief as may be just and proper.

i\lfotionfor Summmy Judgment J. Bennett TYhite, P.C. v. Wendell Reeder Cause No. 2015-184 Page2

0018 06/19/2015 FRI 11: 20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ005/0 67

RESPECTFULLY SUBMITTED, J. BENNETT 'WHITE, P.C.

Post Office Box 6250 Tyler, Texas 75711 Telephone: 903-597-4300 Telecopier: 903-597-4330 ,1:'

/:S1;-=~~-------~~-·---­ By: -----,}:f ,/ l BENNETT \VHITE

ATTORNEYS FOR PLAINTIFF

CERTIFICATE OF SERVICE I certify that a true and original copy of the foregoing document has been served by fax on this date, June 19, 2015, as follows: Fax No.: 903-747-3436 Mr. J. Keith Mayo Mayo, Mendolia & Vice, L.L.P. N. College, Suite 101 Tyler, TX 75702

1Wotio11for Summmy Judgment J. Bennett White, P.C. v. Wendell Reeder Cause No. 2015-184 Page 3

0019 06/19/2015 FRI 11: 20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY idJ006/067

CAUSE NO. 2015-184 J. BENNETT WHITE, P.C. § IN THE DISTRICT COURT § VS. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS

AFFIDAVlT OF J. BENNETT WHITE STATE OF TEXAS § COUNTY OF SMITH § BEFORE ME, THE UNDERSIGNED AUTHORITY on this day personally appeared J.

Bennett White, who, being duly sworn by me, deposed and said as follows: "My name is J. BENNETT WHITE. I am at least 21 years of age, of sound mind, capable of making this Affidavit, and competent to testify to the matters stated herein. I have personal knowledge of the matters stated herein, each of which is true and correct. I am an attorney licensed to practice law in the State of Texas and have practiced law in Tyler, Smith County, Texas since 1985.

I am employed by J. Bennett White, P.C., Plaintiff, as an attorney.

"Sometime in approximately June, 2008, I had a lunch meeting with Wendell Reeder at Friday's restaurant in Tyler, Texas. Prior to that time I had done work for Clarksville Oil and Gas, a company operated by Mr. Reeder, but I had not done any significant work for him, individually. During that meeting, he told me about having recently lost a trial in which he was sued in Wood County, Texas. As a result of the recent trial, Mr. Reeder had a judgment entered against him in excess of one million dollars. During that meeting, he inquired whether appealing the judgment was something that my office could do. I indicated that we could, that I had extensive experience in appellate matters, and that I was willing to investigate the prospects for a successful appeal. In June, 2008, J.

Bennett \Vhite, P.C. internally created Matter Number 08-1082 (the "Fry Appeal") and began charging services to that matter in conjunction with appealing the Wood County judgment against l\!Ir. Reeder.

"Also in June, 2008, J. Bennett White, P.C. internally created Matter Number 08-1086 ("Reeder - General"). The General matter was used to record time spent for Mr. Reeder, but not directly related to the appeal of the Wood County judgment.

"The Wood County judgment against lVIr. Reeder arose out of oil and gas

0020 06/19/2015 FRI 11:20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY l~00~~06~

operatin; activities conducted in an area commonly kno~~n as the Forest Hill/Harris Sand Unit. Shortly after the ~~~ork began on the Fry Appeal, I~I~•.

Reeder had other issues arise with regard to the ongoing activities in the Forest Hill!Hai7-is Sind Unit. In November, 2003, J. Bennett White, P.C. internally created Matter Number 03-1164 ("Forest Hill/Harris Sand Unit").

"The 12~' District Court of Appeals entered its judgment on the appeal of the ~~ood County judgment in approximately Au;ust, 2010. In November, 2010, J. Bennett White, P.C. inteinall_y created Matter Number- 10-1104 (the "Supreme Court Appeal").

"In Nlay, 2011, NIr. Reeder called ine about representing him in a la~~~suit that had been filed against him by Jamestown Insurance Company. J~mesto~~~n Insurance had been NIr. Reeder's general liability insurance company at the trine of the activities that gave rise to the Wood County judgment. NIr. Reeder had requested that Jamesto~~~n Insurance defend and indemnify him from the claims in the Wood Countv la~~~suit. In response, Jamestown filed a declaratory judgment action in the U. S. District Court for the Southern District of Teas. In 1VIay, 2011, J. Bennett ~~Vhile, P.C. interr►ally created 1Vlatter Number- 11-1044 ("Jamestown Insurance v.").

"In December, 2011, ongoing activities in the x}02°d District Court in Wood County relating to the `'Vood County 1~~~~suit gave rise to legal services Ueing provided on I~~Ir. Reeder's behalf In DecemUer, 2011, J. Bennett White, P.C. internally created Matter Number ll-1104 ("Reeder v. Fry").

"In approlimately NIay, 2012, the federal district court for the Southern District of Texas rendered its decision in favor of Jamestown Insurance Company. 1~I~~. Reeder requested that the judgment he appealed to the Fifth Circuit Court of Appeals. In July, 2012, J. Bennett White, P.C. internally created Matter NumUer 12-1041 (the "Jamesto~~n Insurance Appeal").

"lluring the first year that the Fry Appeal matter was open (6/0~ to 5/09), NI►-. Reeder paid his account balances generally in a timely manner. Through May, 2009, the Valance ~~~as fully paid; ho~~~ever, once bricfin~ for- the Court of Appeals began in earnest, the account balance quickly escalated. In approximately July, 2009, 1~~I~-. Reeder made a request of me with regard to his account Valance. He proposed that he would continue to direct work on behalf of Clai~sville Oil and Gas Company to J. Bennett ~'Vhite, P.C. and ~~~ould see to it that the bills for the ~~~ork provided to Clarksville Oil and Uas ~,~~ere paid in a timely manner if J. Bennett White, P.C. would defer collection on his personal account until the appeal of the Fry Judgment ~~~as concluded. NI~~. Reeder's proposal did not include any discounts, debt forgiveness, or contingencies — he requested that I defer collection, nothing more. At that. time, I accepted his proposal and agreed.

:~ljlidcrvil o1'J Be~viett {i7¢te J 6eruiett !{7tite. P. C. v. Mendel!heec%r Cause A'o. 10/5-I S4 Page Z

0021 06/19/2015 FRI 11: 20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJOOS/067

"Although there were some intennittent payments on his individual account, the payments generally stopped in August, 2009. By October, 2010, the unpaid balance on the Fry Appeal was approximately $90,000. Mr. Reeder made a $5,000 payment in December, 2010.

"In June, 2012, J. Bennett White, P.C. began charging interest on its clients' unpaid account balances. In the months preceding the enactment of that policy, a notice was included in each client's bill explaining the amount and basis for the intt:rest charge. A hue and coITect copy of that Notice is attached and incorporated as Exhibit 1. Attached and incorporated as Exhibit 2 is a true and c01Tect copy of the cover page to l\::lr. Reeder's May 20, 2012 invoice. The invoice includes the notation that "past due balances will be charged interest at the rate of 12% per annum, compounded monthly." Attached and incmporated as Exhibit 3 is a true and coITect copy of the cover page to l\/Ir. Reeder's June 20, 2012 invoice. That invoice also includes the same notation.

"Prior to the implementation of the interest charge, Mr. Reeder's account balance on the Fry Appeal was $91,540.57. Subsequently, there has been an accrual of interest charges against the account, two payments of interest, and a $5,000 payment in January, 2013. As of that payment, the account balance was $91,210.39. Between January, 2013 and March, 2015, interest charges have increased the account balance to $114,904.40. As of March 20, 2015, the unpaid balance due and owing on the Fry Appeal matter was $114,904.40. A true and correct copy of a summary of the account activity is attached hereto and incmporated as Exhibit 4. All services reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services confonned to the patties' agreement. The interest charges were also in compliance with the policy stated.

"On the Forest Hill/Harris Sands Unit matter, Mr. Reeder initially began by paying account balances in an intennittent manner. However, as of May, 2011, the account for this matter was paid in full with a zero balance outstanding.

Subsequently, charges were incurred on this matter in the amount of $1,960.25.

Beginning in June, 2012, J. Bennett White, P.C. began charging interest on its clients' unpaid account balances. Subsequently, interest charges on this account increased the balance to $2,356.89 through February, 2015. In March, 2015, a payment in the amount of $1,611.94 was applied to this account balance, leaving an unpaid balance at that time in the amount of $744.95. On March 20, 2015, an additional interest charge of $3 .13 was applied to this account leaving the unpaid balance on this account due, owing, unpaid, and outstanding as of March 20, 2015 in the amount of $748.08. A true and coITect copy of a summary of the account activity is attached hereto and inco1porated as Exhibit 5. All se1vices reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services confonned to the parties' agreement. The interest charges were also in compliance with the policy stated.

AJ/idavil ofJ Be1111ett While J Bennett White. PC. v. Wendell Reeder Cause No. 1015-1 S4 Page 3 0022 06/19/2015 FRI 11: 20 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ009/067

"On Mr. Reeder's General matter, the account balance was paid in full through March, 2011. At that time, charges were applied to that account for fees in the amount of $8,377.32, which was the balance as of May 20, 2012 prior to the institution of the interest charge on unpaid client balances by J. Bennett White, P.C. Subsequently, interest charges on this account increased the account balance to $10,930.36 through January, 2015. The charges for February, 2015 and the interest charged for that month increased the account balance to $ll,083.20. On March 2, 2015, a payment in the amount of $6,062.86 was applied to the account balance, leaving an unpaid balance in the amount of $5,020.34 as of March 20, 2015. Additional interest charged to the account balance resulted in a balance due, owing, unpaid, and outstanding in the amount of $5,055.01 as of March 20, 2015. A true and cotTect copy of a summary of the account activity is attached hereto and inc01porated as Exhibit 6. All services reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services confonned to the parties' agreement The interest charges were also in compliance with the policy stated.

"Beginning in November, 2010, J. Bennett White, P.C. started working on appealing the ruling of the lih District Court of Appeals to the Texas Supreme Court. In the Supreme Court matter, the account balance was paid through October 20, 2011. After that time, the unpaid balance on that account increased to $20,038.53, as of May 20, 2012. Subsequently, there have been interest charges, charges for services rendered, and payments received that were credited against the account balance. As of April 20, 2013, the last time any fees were charged to that account, the unpaid balance was $25,773.26. Subsequently, the accrual of interest through February 20, 2015 increased the account balance to $31,114.24. On March 2, 2015, payment in the amount of $23,491.65 was applied to the account balance, leaving an unpaid balance of $7,622.59. On March 20, 2015, an additional interest charge of $19.84 was added to the account, leaving a balance in the amount of $7,642.43, which is cmTently due, owing, unpaid, and outstanding, as of l'vlarch 20, 2015. A true and cotTect copy of a summary of the account activity is attached hereto and incorporated as Exhibit 7. All se1vices reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services confonned to the parties' agreement. The interest charges were also in compliance with the policy stated.

"On the Jamestown Insurance matter, Mr. Reeder paid the first invoice in June, 2011. Subsequently, the account balance increased to $24,011.68 through the May 20, 2012 invoice. Since that time, the accrual of interest and charges increased the account balance to $24,294.37 as of September 17, 2012, the last time a payment was applied to this matter. Subsequent accrual of interest charges has increased the account balance to $31,856.53 through March 20, 2015, which amount is due, owing, unpaid, and outstanding. A true and cotTect copy of a summary of the account activity is attached hereto and incorporated as Exhibit 8. All se1vices reflected on that billing summary were reasonable and .{£/idavit t:<fJ Be1ll1ett White J Belll1ett Mlite. P. C v. Wendell Reeder Cause No. 2015-154 Page 4 0023 06/19/2015 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY ldJOl0/067

necessary, and the hourly rates charged for those services confonned to the parties' agreement. The interest charges were also in compliance with the policy stated.

"On the Reeder v. Fry matter, the account balance was never paid in full from the time that matter was first created. The balance increased to $31,988.39 through August 20, 2014. In September, 2014, payment was applied to the account balance in the amount of $8,582.75, reducing the balance to $23,405.64.

Subsequent charges of fees and interest increased the account to $26,044.26 as of October 20, 2014. On November 14, 2014, a payment was applied to the account balance in the amount of $5,779.50, leaving an unpaid balance of $20,264.76. Subsequent accrual of charges for fees and interest raised the account balance to $22,366.80 as of March 20, 2015, which is due, owing, unpaid, and outstanding. A true and correct copy of a summary of the account activity is attached hereto and incorporated as Exhibit 9. All services reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services conformed to the parties' agreement. The interest charges were also in compliance with the policy stated.

"On the Jamestown Appeal, the account balance was never paid in full from the time the se1vices were first provided in that matter. Beginning in July, 2012, fees increased the account balance to $24,327.95 through March 20, 2013.

Subsequent charges of interest increased the account balance to $30,023.85 as of March 20, 2015, which is due, owing, unpaid, and outstanding. A ttue and correct copy of a summary of the account activity is attached hereto and incorporated as Exhibit 10. All services reflected on that billing summary were reasonable and necessary, and the hourly rates charged for those services confonned to the parties' agreement. The interest charges were also in compliance with the policy stated.

"During the entire period between 2009 and 2014, I had regular discussions with Mr. Reeder about his plans on paying these accumulated balances. He would occasionally remit some payment as the exhibits demonstrate; however, he consistently indicated that he would pay the full amount once the Fry Appeal was completed. Mr. Reeder explained to me that he had substantial real estate holdings to which the land title was encumbered by the judgment lien that had been filed by the judgment creditors on the Wood County Judgment. Mr. Reeder indicated that his boffowing power to provide capital for Clarksville Oil and Gas had been severely undennined by the judgment lien, and that it had left his business operations with far less capital than he had become accustomed to having available to operate. Mr. Reeder assured me that once the appeals were concluded and the judgment liens were removed from his real estate, he would have the ability to bon-ow the funds needed to pay the unpaid balances in full. In reliance on Mr. Reeder's assurances and promises, J. Bennett White, P.C. continued to provide services in these matters and to allow unpaid balances to increase. The Texas Supreme Comt ultimately reversed a substantial AJ)idal'il ofJ Bennett White J Bennett fl71ile. P. C. v. Wendell Reeder Came No. 2015-JS.J Page 5 0024 06/19/2015 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY [.(l]Ull/Ub/

portion of the Wood County Judgment. However, it still took more than a year of additional litigation with the other Wood County parties before the judgment liens were finally released. The final lien releases were provided to Mr. Reeder in either October or November of 2014. At that time, l'vir. Reeder assured me that he had a real estate closing scheduled for December, 2014 that would allow the unpaid balances to be paid, in full. On December 3, 2014, I wrote l'vir.

Reeder a letter to summarize the balances owed on these various matters. A hue and cotTect copy of that letter is attached hereto as Exhibit 11.

"The real estate closing was postponed and rescheduled over a period of several months; however, both Mr. Reeder and his agent Barbara Watts kept J.

Bennett White, P.C. informed on the progress and status of the closing either by phone or by email. At some time prior to the closing, it was explained to me that the closing on which J. Bennett White, P.C. was awaiting payment was not a transaction in which J\1Ir. Reeder was going to be bon-owing money as I had been promised. Instead, he had previously sold a convenience store on a contract for deed, and the buyer was refinancing, leaving Mr. Reeder with the funds needed to retire the balances owed to J. Bennett White, P.C. I was initially assured that the closing was scheduled for January 23, 2015. A hue and correct copy of the January 20, 2015 email from Barbara Watts infonning of the date of closing is attached hereto as Exhibit 12. On January 23, 2015, I was informed by Barbara Watts by email that the buyer elected not to proceed with the closing. A true and con-ect copy of the January 23rd email is attached hereto as Exhibit 13. At that time, I insisted that Mr. Reeder honor this prior commitment to me. Mr. Reeder indicated that there was a chance the buyer would complete that transaction. I again agreed to await payment until that transaction could be consummated. Mr. Reeder continued to keep me infonned on the status of the closing. I had approximately 13 phone conversations with Mr. Reeder regarding the status of the closing from January, 2015 until the end of March, 2015. Further on February 27, 2015, Mr. Reeder sent a letter included with a pattial payment in which he expressed his hopefulness that the balance owed would soon be paid.

A copy of the letter sent by Mr. Reeder is attached hereto as Exhibit 14. The closing finally occurred in March, 2015. Once that transaction was completed, I expected Mr. Reeder to make payment in full. On Jv1arch 23, 2015, Mr. Reeder called and asked to come to my office to settle up his account balances.

"When Mr. Reeder atTived, he met with my legal assistant Tw-yla Fields and me. In that meeting, he expressed some concerns about certain billing items and indicated that he did not want to have to pay the full balance. In an effort to get the bill reduced, Mr. Reeder raised several complaints. First, he expressed concern about what he thought were duplicate time entries in consecutive months on the Fry Appeal matter. Specifically, he thought that he was charged for the same work done in two consecutive months, May, 2009 and June, 2009. I pulled copies of those invoices and noticed multiple entries for reviewing the clerk's record and the reporter's record. I explained to Mr. Reeder that the billing records indicated that my associate at the time, Chris rviassey, was taking the A,{lidCNil ofJ Be /Ille ti White J Bew1ett White. P. C v. Wendell Reeder Came No. 2015-184 Page 6 0025 06/19/2015 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY idJ012/067

steps necessary to commence preparation of the appellate b1ief. I reminded Mr. Reeder that since my firm had not been involved in the trial in Wood County, the entire transcript had to be read in order to prepare the statement of facts po1tion of the appellant brief I also reminded Mr. Reeder that the trial had been lengthy with a large number of exhibits -- which all had to be reviewed as well. I assured him that anyone handling an appeal of that judgment would have had to do all the same work and would have charged him for that time, just as we had.

"Mr. Reeder then faulted the result from the initial appeal and stated that the only work that accomplished anything was the work that was done at the Texas Supreme Court. He did concede that the results there were positive, but he attributed that work to the lawyers at Locke Lord Bissell & Liddell, LLP, which served as lead attorneys during the Supreme Comt appeal.

"However, Mr. Reeder also agreed with me that the Supreme Comt ultimately vindicated the position we had taken with the Comt of Appeals. I con-ected Nlr. Reeder's belief that Locke Lord handled the entire proceeding before the Supreme Comt. I pulled up a copy of the original petition for review filed with the Supreme Court and showed to him that the only attorneys on that petition were those attorneys associated with J. Bennett White, P.C. I reminded him that Locke Lord was not willing to be hired unless the Supreme Court either granted the petition or requested briefing on the merits. The Supreme Court eventually granted the petition and Locke Lord then made its appearance for purposes of drafting the principal brief and participating in oral argument; however, the initial petition for review was drafted and filed by J. Bennett White, P.C.

"Mr. Reeder then insisted that with all the money that he had paid, the balance he cum;ntly owes should just be forgiven. In making this point, Mr. Reeder chose to aggregate the payments he had made with all the payments made by Clarksville Oil & Gas and its affiliated companies. I reminded him that nonpayment for work performed was not our deal. I did not dispute that Clarksville Oil and Gas had paid J. Bennett White, P.C. a substantial amount of money, but I assured him that all money \Vas paid in exchange for services that were already provided to Clarksville Oil and Gas. There had never been any agreement to provide services for free or to waive fees or charges that were legitimately incuITed on his behalf He then stated that the closing had simply not produced enough funds to pay the entire balance, but that he still did not believe that the balances that were reflected on our accounts were accurate. I told him that my office would reconcile the account balances with his records and would coordinate with his staff to get that done.

"Over the next week, my office spent approximately 26 hours reconstmcting all the billing records and reconciling the allocation of payments between the way that the payments were applied by J. Bennett White, P.C. and the way that the payments were shown to have been applied by Clarksville Oil Al/idavit ojJ Bennett White J Bennett White. P. C. v. Wendell Reeder Cause No. 2015-18./ Pa,ge 7 0026 06/19/2015 FRI 11:21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ013/067

and Gas and the other related and affiliated entities under Mr. Reeder's control.

"During that time, I had phone conversations with Barbara Watts concerning the joint effort between her office and J. Bennett White, P.C. to reconcile the balances owed. Eventually, she confinned that all the funds they showed having paid had been applied and credit given by J. Bennett White, P.C.

There has been no indication that any payments made by Reeder or any of the affiliated companies have not been applied to the account balances and reflected in the total balances cutTently owed.

"Once we accomplished the reconciliation of all the account balances, I then reminded Mr. Reeder he had at all times promised to settle up and pay once the liens were released from the real estate and that since that had been done, I expected full payment. He insisted that he did not believe he should be required to pay and invited me to file this present lawsuit against him if we were inclined to try to collect the full balance owed.

"The services reflected by the unpaid invoices were all provided in the zealous representation of Mr. Reeder. All legal services provided Mr. Reeder by J. Bennett White, P.C. were necessary. I am familiar with the rates charged for legal services in the Smith County area for representation of the type provided Mr. Reeder. The rates charged for the services depicted on those invoices are reasonable.

"Plaintiff has previously made demand on Defendant for payment of the outstanding unpaid balance. Attached and incorporated as Exhibit 15 is a hue and cotTect copy of a letter by which Plaintiff presented Defendant with the account balance for payment. More than 30 days has elapsed since the account was presented for payment; however, payment for the balance owed has not been tendered by Defendant.

"The law firm of J. BENNETT WHITE, P.C. was retained by the Plaintiff in order to collect the claim on which this suit is based. The actions taken by the retained law finn in order to pursue this claim have been necessary, and the sum of $30,000 is reasonable compensation for its services."

A,{lid<Nil ofJ Bennett While J Benne/I f'i71ite. P. C v. Wendell Reeder Cause No. 1015-184 Page 8

0027 6 / l 9 / 2 0 1 5 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY id]Ol4/067

/

. }()IS.

0028 06/19/2015 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY idJ015/067

EXHIBIT 1

0029 06/19/2015 FRI 11: 21 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ016/067

Leng bdi1re l :muk:d my own law fliTH, r :cjvckd ill<: pnctice used by mmiy ]aw firm;-; or p:;:;siug un cll:11gl':; l\H uJkn 1n:sig11iCicanl ilLTn·: '>Lkh a'; !nng zfr:;i~HHX. !~1:\c:-: :ind :om~.n qu::1nt!Ul:S uf cup!:;;•). !n n;y opi:tilllL ifo: r~;le:; :111d Ji.·,;'.'. char:~·::d :tre hi;:!i (;nm;1c•.li dwt Uwrc slit;uld not be w: inct·ntiV(; lli 'nid:d ~ti1d dime' l:!i,:nts nt cF:ry oppnrt:unily. )11 k'xping will1 tiJi3 belief J hil\'C :o.iv'iay~: rc:c:isied ihc e<:rnplitlion lu chelrg,; !;:ft; kt:::~ or inki\:~.i. on p:i.~:(··dw: bilb. ffowc1/cr. l have conH: to r~'.ali:;:o.;: thal !1 i·; uni air to tbi:: vasL rrw,iorily or client; who P''Y in a tirnd_y rnann,;r for ihuse cii,~nts \Vbo dl) nol iu only b(; d1aq. cd the ::;anH~ ;iff:fmnt a~; i r· they paict fin tinw rcg:irdkss

of hr!W late they actually rcmi1. pay1ncnl.

Theit:'. i.s nu dUiJI); ih:11 \\C <ill ,;·<p<·ct i:n be ':h;irgcd luit': fl''.1':·;,. ini(;f(';it, ,_.,. buth by uur vuHlOL'. Thi:'.• notice i.:: tn inii;nn yon t!rnt 1 .,-,·ill be ::-idopting tlut. pr:icticc in th,~ ncff future. rv1v ,~u.nnll plan i~; to dtarg,; i p1.:n:e11l (I'~~.) pu· •11c1!Lh ( l ?';{ amn1::d puccnlagc rate) ,in any iunou11h llU! paid in lrw iniLittl billing cyde. Fur illliSI. •Ji' you, this clwnge \.Vtll not ht:: or :.1ny C(•iYK;qucncc. l·«1r thv;c nf ycn1 i.11cn \Viii incur a tin;.mcc chaiw;, I h·:•p1:· you 1-..::cognizc t11ttt this clwrg<:.> i:; '.>till l'<.;n;:i(k:rnbly lc:s;s thun th<:: 111Li;:r<::::t th.::it tno::t i::Vcry uthe1 Vt'JKlor will ch2rgc f'f:rl::rtc payrneni.

'{uu <i1\: always \V(:lconic lri pay by cn~dil: card. /\ny linw you vvi'.,h to do so,ju'.:t L'.rt!l Kirn Oni:;, <ind provid1..c lH:r \\it.l: your trifrmrn1iilm. AJ'lu, \Ve nrc in the pni1u:s of adding a 011li1K p:1yrncn1 l(·:11nn: to uur wchc;ik. f will fl!-C1vld1· yuu wi1l1 unoll1cr rwtiti1.:atinn when llial ha•:. hccn cornpldt1J Thank ycu very n!Llch for your pat1011ng1.'.. r cc1nain l1011ured and lwrublcd by the upponurnty f1) rq1ncseni. you. l tak(~ gn:<l.I: pride in your \.Villingncss to tn.i:i1 us lu <.1Ckr assL;tancc in :1ddn;;,siug yu11r kgal iwds. Tlto1igh thtTt.: ;ire times \\·hen \Vt '1re <ill frustr:ncd by disproportionate legal fr:•:~:L we constantly .';trivc to be good :·;tc'.-\'<H«h 01· your 11~.',cun:e~;. Pk;y,e 'Jtat'e any '.:>ug~;;':';tiun:' yuu have as tc hi.'l\V we could imp1uvc the: ':crvice 'N<: provide.

0030 06/19/2015 FRI 11: 22 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ017/067

EXHIBIT 2

0031 06/19/2015 FRI 11: 22 FAX 903 597 4330 J BENNETT WHITE PC, ATTY idJOlB/067

r_ r 1. J.~o\ t)~\:.~o yL'•, ·t \ '/•i/i I {~){ i,' ~) :/ J/ ":!.:.)(){)

May :?O. 2012 i\.lr. V'Jer;(l(-11 Hee.1m PC Bo1: 1 ;-~CJtl Cl:irf;c;vi!!e. 'f X l '.)42G

lnvG\ce f'Jcw f:irDvirn1::-; /\mount l'lc. ___ (;iJ3-"fjg) _______ {li_:!L<1_!:1r2c: ?<;iY.r!J_(C'r1.'~C)_ _ Ut.fU l~c~:dcr, Wenckdl (Cer:ernlJ 1?/i3 :W.00 S3,377.J2 $0.00 S8)??. '.:l2 P.>2kJd8r, Vlenckll {furs.'.Jst 1 H~\I /Harri.~~ ~;~:lf;iJ 127':4 SO 00 :s U~J2 2b $(L(j(j '.j 1, f'..)2.25 Uni1) F~e-"'-d8r, w,•;ndcll ·:J•:ll'iK;'.)lOV\/11 ln•.C. Co. :1_) 12/ i ~) $4,/29.22 ~i'!SJ'/8/Ai:i ~:l) OD :~?4,il'i I .6tl F<~~f:;d.::r, \Alt~nor~ll (v. Frv e~ ·:ti) ·LUiii $:\124 t)O S/Z/1_iJO $D.OD $10,:ifiS UO F·:•:K•d~'r, \t•fond::•ll (v f- ry et -'11) 1J\ppu;•1! - L?./il SO.OD :3?0JU8_'i3 '.j';O 00 ti?0,033Si Su~;r1.:::rn~:: c:ourl.i R\~::-;;dtff, VVen·:ltll {V. Frv :Jt 81) (J\p~i~!~:'il) "12718 :tooo s1s0.1s5_35

·; ··J cnsi.!n-; fJ~oper cr~~·dH, plc~-~~-...e u:~nH p~{v;nenl by the ·1ou; t)f tht~ lfd_:n::h . i\H .:.>a:::;t dui) f.3<llcHv.:e~; ~~J-~:::-'i~i !Jo r:h~~.rn~-.~d inh:i·~:.2~;-~· dt tL~J r~rLc- of ·12(:.10 p(:;r J-nn~~Hl: ~·,r:;inpot:~·~rJD2.·1 inc.-ntl1l.y.

0032 06/19/2015 FRI 11:22 FAX 903 597 4330 J BENNETT WHITE PC, ATTY IZJ019/067

EXHIBIT 3

0033 06/19/2015 FRI 11: 22 FAX 903 597 4330 J BENNETT WHITE PC, ATTY ld]020/067

(~.flJi"·~) . .;:;::.~ t:·~Cn (~·_}{\'-;) Lf.·;~}? t\'H) ~-;I\

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EXHIBIT 8

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EXHIBIT 9

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0074 EXHIBIT 14

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0081 CAUSE N0.2015-184 J. BENNETT WHITE, P.C. § IN THE DISTRICT COURT § vs. § IN AND FOR § WENDELL REEDER § WOOD COUNTY, TEXAS

DEFENDANT WENDELL REEDER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF' MOTION TO DISQUALIFY TO THE HONORABLE JUDGE OF SAID COURT: COMES NOW, WENDELL REEDER, Defendant in the above-entitled and numbered cause, and files this his Response to Plaintiffs Motion to Disqualify and Brief in Support, and in support of such Response would respectfully show unto the Court as follows: I.

Background Plaintiff filed suit against his former client, Wendell Reeder, alleging that the Mr. Reeder failed to pay all of the legal fees incurred by Plaintiff on behalf of Mr. Reeder in the course of Plaintiffs representation of Mr. Reeder. During a portion of the time that Plaintiff represented Mr. Reeder, a legal assistant named Jennifer Smith worked for Plaintiff.

On April 14, 2015, Mr. Reeder retained the undersigned counsel to represent him individually, as well as in a number of other business and litigation related matters. The majority of these matters were previously handled by Plaintiffs firm. On the same day as the undersigned counsel was retained by Mr. Reeder, Plaintiff filed this suit suing Mr. Reeder for alleged unpaid legal fees.

DEFENDANT WENDELL REED ER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGEl

0082 Prior to being retained by Mr. Reeder, the undersigned counsel was contacted by Ms. Smith who inquired about a position with the undersigned's law office. 1 Ms. Smith was re-hired by Mayo Mendolia & Vice, LLP on April 16, 2015.

Prior to the retention of Mr. Reeder as a client, there were other cases in which both the law office of Mayo Mendolia & Vice, LLP and Plaintiff were involved. Therefore, when Ms. Smith was re-hired by Mayo Mendolia & Vice, LLP, the undersigned counsel had already contemplated the segregation of Ms. Smith from these files as a matter of precaution. At the time of Ms. Smith's re- hire, all cases in which Mayo Mendolia & Vice, LLP were involved in any capacity with Plaintiffs office were disclosed to Ms. Smith. Instruction was issued by the undersigned counsel to Ms. Smith and all firm personnel that Ms. Smith was to field no calls associated with these files, was not to access these files via the firm server or by viewing the hard files, and was not to discuss these files, even in casual conversation, with any firm employee or partner until further notice from the undersigned counsel. All of these files were assigned to another legal assistant in the office and the hard files were placed in a segregated office from Ms. Smith's office.

Since the commencement of Ms. Smith's employment with this office, the utmost care has been taken to segregate Ms. Smith from any file in which she may have had prior involvement. To date, Ms. Smith has remained completely isolated from any file where representation, at some point, may have been by Plaintiffs office. This statement is particularly true in relation to the files, including this one, associated with Mr. Reeder.

Ms. Smith had previously worked for Mayo Mendolia & Vice, LLP, and formerly for Mayo Mendolia & Stan-, LLP, from 2008 until March 2012.

DEFENDANT WENDELL REEDER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGE2

0083 Evidence in Support of Response 1. Affidavit of J. Keith Mayo- attached hereto as Exhibit "A" and incorporated herein by reference.

11.

Argument and Authorities The Texas Rules of Professional Conduct were made and incorporated so that attorneys in the state of Texas would not act unprofessionally and unethically when representing the interests of their clients or in any situation where a lack of ethics will have negative effects on an involved party.

This is not one of those cases. Ms. Smith has not done any work on the Bennett v. Reeder case since beginning work at the Mayo, Mendolia & Vice, nor has she divulged any confidential information about the case to anyone at the firm. Since the Defendant's attorney properly screened Ms. Smith and made sure she did not divulge any information concerning this action, the Court should not grant the Plaintiffs motion to disqualify and allow the Defendant' s attorney to participate in this trial.

I. Ms. Smith was properly screened about the matter before any work was done on the case.

In America, federal antitrust laws give prospective employees the right to solicit their own employment and choose from any job offer that is presented to them. Spectrum Sports, Inc. v. McQuillan, 506 U.S. 447 (1993). Disqualifying the Defendant's Attorney simply because he hired an employee, an employee with a sterling reputation in the legal industry, would not only be a miscarriage of justice, but would violate Section II of the Sherman Antitrust Act. It is not unreasonable to believe that attorneys in the Tyler, Texas area, where Ms. Smith lives, would be regular opponents in Court so this disqualification effectively bars Ms. Smith from working as a paralegal anywhere in the area she lives. This cannot be the intent of the Texas Rules of Professional DEFENDANT WENDELL REEDER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGE3

0084 Conduct pertaining to disqualification. The Texas Supreme Court agrees. Because a potential employer would be less inclined to hire paralegals due to the threat of disqualification, the Court held that any restrictions on the non-lawyer should be held to the minimum necessary to protect confidentiality. Phoenix Founders, Inc. v. Marshall, 87 S. W.2d 831, 835 (1994).

The court held that a non-lawyer employee must be cautioned not to disclose any information relating to the representation of a client of the former employer and should also be instructed to not work on any matter on which the employee worked during the prior employment. Phoenix Founders, 87 S.W.2d 831, 835. In this case, the Defendant's attorney instructed Ms. Smith not to disclose any information or to work on any matter that she worked on as a member of the Plaintiffs firm. Not only has Ms. Smith not disclosed any information, but she hasn't been anywhere near any of the work done on aforementioned matters.

The Court also calls for "other reasonable steps" to be made to ensure that no information is leaked. Id. When this case was brought to the Defendant's attorney's firm, Ms. Smith was completely segregated from all the work. The files were made unavailable for her access. The physical files were moved to a segregated ofiice and Ms. Smith was again instructed not to access those files. Furthermore, staff was instructed to isolate Ms. Smith from any phone calls related to these cases and this case in particular.

The distinct possibility of Ms. Smith using this information is not enough to disqualify the Defendant's attorney. The Defendant's attorney took the necessary steps to ensure that Ms. Smith would not divulge any information at all concerning her work on these files while employed by Plaintiff. Defendant should be allowed to participate in this case and vigorously defend his client.

Our State's highest court made this ruling because it did not want to create a chilling effect on the DEFENDANT WENDELL REEDER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGE4

0085 employment of capable paralegals when the risk of divulging confidential or competing information has been duly controlled by measured steps.

II. Ms. Smith does not present a genuine threat of disclosure of the information.

The Texas Rules of Professional Conduct do not allow a lawyer who has previously represented a client to use information that would create a disadvantage for the former client. Tex. R. Prof. Conduct l .09(a)(3). These same rules apply to legal assistants and clerks under direct supervision of partners in law firms as well. Texas. R. Prof. Conduct 5.03(b)(l). In Texas, the burden of proof is on the movant to disqualify opposing council by establishing, by a preponderance of the evidence, that the matter in question is substantially related to matters previously worked on by the attorney or legal assistant, that there is a genuine threat of disclosure, and [the movant] must have factual evidence to support this. Home fns . Co. v. Marsh, 790 S.W.2d 749, 753 (1990). Neither party disputes the fact that Ms. Smith worked directly on this case. In fact, Ms. Smith was one of three legal assistants employed by the Plaintiff with access to confidential information about this case. Ms. Smith has taken on a full caseload at the Defendant's attorney's firm and has been occupied with other, unrelated work since taking the job. The Defendant's attorney has two [other] legal assistants and a clerk working on the matter at hand and they have been instructed not to speak about the matter to Ms. Smith. Ms. Smith has been otherwise occupied the entire time she has been employed by the Defendant's attorney and has not assisted any employee or member of the firm in handling this case, thus she is not a legitimate threat to divulge information.

Unless opposing council can submit evidence that proves Ms. Smith is a threat to divulge confidential information, it is not proper for the Defendant' s Attorney to excuse himself from

DEFENDANT WENDELL REEDER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGES

0086 working on this case. Defendant respectfully requests that the Court DENY Plaintiffs request for these reasons.

III. Ms. Smith has not spoken of or worked on any matter related to her employment by the Plaintiff.

Now, the court must question whether the proper effect of screening has occurred. "Ordinarily, disqualification is not required as long as the practical effect of formal screening has been achieved." Jn Re Complex Asbestos Litigation, 232 Cal.App.3d 572, 596. The challenged attorney must show that the employee in question has not and will not disclose any of the relevant information. Asbestos, 232 Cal.App.3d 572, 596.

Since leaving the Plaintiffs firm, Ms. Smith has not worked on or spoken of any matter that she worked on during her time as an employee of the Plaintiff. As a dedicated employee, Ms. Smith understands the importance of a client's right to privilege and that leaking any information related to this matter would be unethical. Despite her vigorous screening and all the extreme measures taken to create a Chinese Wall, if Ms. Smith were to leak information, the Defendant's attorney would have no choice but to disqualify himself. id Ms. Smith was specifically told not to work the case and or look over the files. She did not say a word about the case to anyone at the firm. When the Defondant's attorney screened Ms. Smith, he became aware of her knowledge of this case and took the proper steps to make sure she would not volunteer any confidential information. Despite the fact that she has complete knowledge of the case, Ms. Smith has not broken privileged with her former employer. The legal assistants and clerk

DEFENDANT WENDELL REED ER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO lJISQUt\LIFY PAGE6

0087 working on the case were also instructed not to speak with Ms. Smith under any circumstances about the case.

Conclusion Because Ms. Smith has been properly screened and has not worked on or divulged any confidential information concerning the matter at hand, the Defendant's attorney should not be disqualified from working on this case. None of the actions taken by Mayo, Mendolia & Vice, LLP violate the Texas Rules of Professional Conduct with respect to conflicts of interest. Disqualifying the Defendant's attorney would not only severely inhibit the Defendant's case, but would violate federal antitrust laws and keep Ms. Smith from effecti vcly providing for her family because no firms in the Tyler, Texas area who have any working relationship wiLh the Plaintiff would hire her. Ms. Smith was told not to work on the case and has not worked on the case. Since none of Ms. Smith's actions while working for the Defendant's attorney endangers the Plaintiffs right to confidence, the Defendant therefore requests that the Court deny his motion for disqualification of the Defendant's attorney, and requests such other and further relief as to which Defendant may show himself justly entitled.

Respectfully submitted, MAYO MENDOLIA & VICE, L.L.P. I I 0 N. College Ave., Ste. 101 Tyler, Texas 75702 903-747-3422 903-74 7-3436 fax By: Isl .!. Keith Mayo J. KEITH MAYO State Bar No.: 00794251 ATTORNEY FOR DEFENDANT DEFENDANT WENDELL REED ER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGE7

0088 CERTU'ICATE OF SERVICE I hereby certify that a true and correct copy of the foregoing instrument has been delivered in the manner stated below to all parties or their attorneys in this cause on the 22nd day of June, 2015.

Via Fax 903-597-4330 J. Bennett White PO Box 6250 Tyler, Tx 75711 903-597-4300 Isl.!. Keith Mavo J. KEITH MA YO

DEFENDANT WENDELL REED ER'S RESPONSE AND BRIEF IN SUPPORT TO PLAINTIFF'S MOTION TO DISQUALIFY PAGES

0089 EXHIB T ''A''

0090 AFFIDAVIT OF ,J. KEITH MAYO STATE OF TEXAS § § § COUNTY OF SMITH § Before me, the undersigned notary, on this day personally appeared J. Keith Mayo whose identity is known to me. After making his oath, he said: "My name is J. Keith Mayo. I am more than 21 years of age and am of sound mind and capable of making this Affidavit. I have not been convicted of a felony or a crime involving moral turpitude and I have personal knowledge of the facts set forth in this Affidavit and each are true and correct." "On April 14, 2015, Mr. Reeder retained the undersigned counsel to represent him individually, as well as in a number of other business and litigation related matters. The majority of these matters were previously handled by Plaintiffs firm. On the same day as the undersigned counsel was retained by Mr. Reeder, Plaintiff filed this suit suing Mr. Reeder for alleged unpaid legal fees." "Prior to being retained by Mr. Reeder, the undersigned counsel was contacted by Ms. Smith who inquired about a position with the undersigned's law office.I Ms. Smith was re-hired by Mayo Mendolia & Vice, LLP on April 16, 2015." "Prior to the retention of Mr. Reeder as a client, there were other cases in which both the law office of Mayo Mendolia & Vice, LLP and Plaintiff were involved. Therefore, when Ms. Smith was re-hired by Mayo Mendolia & Vice, LLP, the undersigned counsel had already contemplated the segregation of Ms. Smith from these files as a matter of precaution. At the

Ms. Smith had previously worked for Mayo Mendolia & Vice, LLP, and formerly for Mayo Mendolia & Starr, LLP, from 2008 until March 2012.

AFFIDAVIT OF J. KEITH MA YO - Page I of 2 0091 time of Ms. Smith's re-hire, all cases in which Mayo Mendolia & Vice, LLP were involved in any capacity with Plaintiffs office were disclosed to Ms. Smith. Instruction was issued by the undersigned counsel to Ms. Smith and all firm personnel that Ms. Smith was to field no calls associated with these files, was not to access these files via the firm server or by viewing the hard files, and was not to discuss these files, even in casual conversation, with any firm employee or partner until further notice from the undersigned counsel. All of these files were assigned to another legal assistant in the office and the hard files were placed in a segregated office from Ms. Smith's office." "Since the commencement of Ms. Smith's employment with this office, the utmost care has been taken to segregate Ms. Smith from any file in which she may have had prior involvement. To date, Ms. Smith has remained completely isolated from any file where representation, at some point, may have been by Plaintiffs office. This statement is particularly true in relation to the files, including this one, associated with Mr. Reeder." "Further Affiant Sayeth Not" Dated this ~ day of June, 2015.

AFFIANT:

SUBSCRIBED AND SWORN TO BEFORE ME on this :;))_ day of June, 2015, to certify which witness my hand and official seal.

CODI NICOLE FOSTER My CommlH ion E11plrt1 (}Q:N·1(~ April 28, 2019 NOTARY PUBLIC, STATE OF TEXAS

AFFIDAVIT OF J. KEITH MA YO - Page 2 of 2 0092 Filed:7/23/2015 3:04:50 PM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Jennifer Mosher CAUSE NO. 2015-184 J. BENNETT WHITE, P.C., § IN THE DISTRICT COURT Plaintiff, § § V. § INAND FOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS

NOTICE OF APPEARANCE AS COUNSEL TO THE HONORABLE JUDGE OF SAID COURT: COME NOW, Jack Walker of Martin Walker, P.C., and hereby files this Notice of Appearance as Counsel for Defendant, WENDELL REEDER, in the referenced civil action. The undersigned respectfully requests to be added as an attorney to be noticed so that he may receive copies of all filing in this cause.

Respectfully submitted,

The Arcadia Theater N. Spring Avenue Tyler, Texas 75702 (903) 526-1600 Telephone (903) 595-0796 Telefax [email protected]

BY: /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III Bar No. 00785167 ATTORNEY FOR DEFENDANT

0093 CERTIFICATE OF SERVICE I hereby certify that on this the 23th day of July, 2015, I electronically filed the foregoing with the Clerk of Court which will send notification of such filing to each counsel of record listed below. To the extent any such counsel is not registered for such electronic delivery, the foregoing document will be served in accordance with the Texas Rules of Civil Procedure.

J. Bennett White J. Bennett White, P.C.

P.O. Box 6250 Tyler, TX 75711 903-597-4300 903-597-4330 Fax J. KEITH MAYO MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax

/s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III

0094 Filed:7/23/2015 3:04:50 PM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Jennifer Mosher CAUSE NO. 2015-184 J. BENNETT WHITE, P.C., § IN THE DISTRICT COURT Plaintiff, § § V. § INAND FOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS

MOTION FOR CONTINUANCE OF SUMMARY JUDGMENT HEARING TO THE HONORABLE JUDGE OF SAID COURT: COME NOW, Defendant, WENDELL REEDER, in the above referenced cause of action by and through his attorneys of record, and files this Motion for Continuance of the hearing on Plaintiff’s Motion for Summary Judgment and would show the court the following: I.

The hearing on Plaintiff’s Motion for Summary Judgment is currently scheduled to take place on August 10, 2015. Procedurally, a Motion for Summary Judgment is premature as Defendant has had virtually no opportunity to complete or even begin discovery. A timeline of the proceeding in this case are as follows: 4/14/15 Plaintiff’s Original Petition filed.

6/1/15 Defendant Wendell Reeder’s Original Answer and General Denial filed.

6/11/15 Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, LLP as Attorney for Defendant Wendell Reeder filed.

6/19/15 Plaintiff’s Motion for Summary Judgment filed.

6/23/15 Order Granting Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, LLP as Attorney for Defendant Wendell Reeder filed.

0095 Defendant has recently retained additional counsel to represent him in this matter. A Notice of Appearance of Additional Counsel naming Jack Walker has been filed in this matter concurrently with this motion. As of the date of filing of this Motion for Continuance, the Defendant has only been in the case for approximately 52 days. Defendant is entitled to the opportunity to conduct discovery and, at a minimum obtain the deposition of the Plaintiff, J.

Bennett White with J. Bennett White, P.C. The Defendant would request that this court continue the hearing on the summary judgment so as to allow the parties to engage in discovery. This continuance is not sought for delay but so that justice may be done.

Respectfully submitted,

The Arcadia Theater N. Spring Avenue Tyler, Texas 75702 (903) 526-1600 Telephone (903) 595-0796 Telefax [email protected]

BY: /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III Bar No. 00785167 ATTORNEY FOR DEFENDANT

0096 CERTIFICATE OF SERVICE I hereby certify that on this the 23rd day of July, 2015, I electronically filed the foregoing with the Clerk of Court which will send notification of such filing to each counsel of record listed below. To the extent any such counsel is not registered for such electronic delivery, the foregoing document will be served in accordance with the Texas Rules of Civil Procedure.

J. Bennett White J. Bennett White, P.C.

P.O. Box 6250 Tyler, TX 75711 903-597-4300 903-597-4330 Fax J. KEITH MAYO MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III CERTIFICATE OF CONFERENCE I hereby certify that on this the 23rd day of July, 2015, I have conferred, or made a reasonable attempt to confer, with opposing counsel regarding this motion. Counsel are unable to reach an agreement upon the disposition of the matters raised by this motion.

J. Bennett White J. Bennett White, P.C.

P.O. Box 6250 Tyler, TX 75711 903-597-4300 903-597-4330 Fax J. KEITH MAYO MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III

0097 A_~~ ~~~t '~ ~ - '~J.~i) .....• ,\ '(. ~~ .... ... " ~~. -:. s . · ·~ . :J

402''d Judicial District Court Wood County P.O. Box 1707 G. Timothy Boswell Q uitman, Texas 75783 Joy Parker, Court Coordinator District Judge (903) 763-2332 Una Garland. Court Reporter

August 4, 2015

J. Bem1ett White Via: email Jack Walker Via: email

RE: Cause No. 20 15-1 84 Whjte vs Reeder Wood County, Texas Gentlemen: I have just learned that Judge Boswell will not be here on Monday, August 10. Therefore, I am moving the hearing/trial in the above-referenced case to August 25, 20 15, at 9 :00 a.m.

Additionally, this would cancel the August 6 continuance hearing.

I apologize for any inconvenience this may cause you and/or your client(s).

Very sincerely yours,

~urt Coordinator /bjp

0098 Filed:8/6/2015 12:20:34 PM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Donna Graves CAUSE NO. 2015-184 J. BENNETT WHITE, P.C., § IN THE DISTRICT COURT Plaintiff, § § v. § INANDFOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS REQUEST FOR SETTING Type of hearing requested: Hearing on Defendant's Motion for Continuance of Summary Judgment Hearing.

Date requesting for hearing to be set: August 20, 2015 at 9:00 a.m.

Estimated amount of time needed for hearing to be conducted: 30 minutes Name, mailing address, and email address, of ALL counsel and/or pro se litigants to be notified of hearing, including the requesting party:

Jack Walker J. Bennett White Martin Walker, PC J. Bennett White, P.C.

121 N. Spring Avenue P.O. Box 6250 Tyler, Texas 75702 Tyler, TX 75711 (903) 526-1600 Telephone 903-597-4300 (903) 595-0796 Telefax 903-597-4330 Fax [email protected] [email protected] J. Keith Mayo Mayo Mendolia & Vice, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax [email protected]

0099 SIGNED this the &! t} day of Awpf NOTICE OF You are hereby notified that the above-styled and numbered cause of action is set for a hearing on the _ _ day of _ __ _ __ _, 2015 at _ _ _ .m., in the 402 11d Judicial District Courtroom, Wood County Courthouse, Quitman, Texas.

SIGNED this the _ _ day of _ __ _ _, 2015.

Court Coordinator/Court Clerk

0100 Filed:S/6/201512:20:34 PM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Donna Graves CAUSE NO. 2015-184 J. BENNETT WIDTE, P.C., § IN THE DISTRICT COURT Plaintiff, § § v. § INANDFOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS REQUEST FOR SETTING Type of hearing requested: Hearing on Defendant's Motion for Continuance of Summary Judgment Hearing.

Date requesting for hearing to be set: August 20, 2015 at 9:00 a.m.

Estimated amount of time needed for hearing to be conducted: 30 minutes Name, mailing address, and email address, of ALL counsel and/or pro se litigants to be notified of hearing, including the requesting party:

Jack Walker J. Bennett White Martin Walker, PC J. Bennett White, P.C.

121 N. Spring Avenue P.O. Box 6250 Tyler, Texas 75702 Tyler, TX 75711 (903) 526-1600 Telephone 903-597-4300 (903) 595-0796 Telefax 903-597-4330 Fax [email protected] [email protected] J. Keith Mayo Mayo Mendolia & Vice, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax · [email protected]

0101 SIGNED this the u~ dayof ~f '2015.

NOTICE OF You are hereby notified that the above-styled and numbered cause of action is set for a hearing on the £.!2 day of Q._.,u..,,yl ,2015 at {/:01) IJ-.m., in the 402 11 d Judicial District Courtroom, Wood County Courthouse, Quitman, Texas.

SIGNED this the __f_ day of ~ , 2015.

- ··" .... ~ --·- .:-·)

C!- .. -\~.:,

0102 Filed:8/18/2015 9:44:31 AM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Donna Graves CAUSE NO. 2015-184 J. BENNETT WHITE, P.C., § IN THE DISTRICT COURT Plaintiff, § § V. § INAND FOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS

RESPONSE TO SUMMARY JUDGMENT SUBJECT TO MOTION FOR CONTINUANCE OF SUMMARY JUDGMENT HEARING Defendant, Wendell Reeder responds to plaintiff’s motion for summary judgment, subject to his separately filed motion for continuance of the hearing on plaintiff’s motion for summary judgment as follows: This Court should deny White’s traditional motion for summary of judgment for the following reasons:  White is not entitled to suit on sworn account treatment; this case wasn’t pleaded as a suit on sworn account.

 White failed to make his prima facie burden on suit on sworn account.

 White failed to establish a breach of contract action and subsequent entitlement to attorney fees “as a matter of law.”

 This motion is premature, as discussed in the companion motion for continuance; discovery needs to be conducted.

0103 I. Background White sued Reeder for breach of contract, alleging that Reeder hired White to perform attorney services, and failed to pay $212,597.07 in attorney fees.1 White also seeks an award of 12% interest, costs of court, and $70,000 in attorney fees for this proceeding.

Reeder contests the fees represented to be charged by White, and contests that the fees were reasonable and necessary for the work accomplished. Exhibit 1. Further, Reeder believes that charges and fees charged by White and his office reflect actions taken by White that were not in compliance with or in furtherance of the client’s particular instructions and strategies in the case. Exhibit 1. Reeder cannot provide more specific explanation of White’s departures from instruction until White actually provides the billing statements with description of legal services provided and time spent. Exhibit 1.

The hearing on Plaintiff’s Motion for Summary Judgment is currently scheduled to take place on August 25, 2015. Procedurally, a Motion for Summary Judgment is premature as Defendant has had virtually no opportunity to complete or even begin discovery. A timeline of the proceeding in this case are as follows: 4/14/15 Plaintiff’s Original Petition filed.

6/1/15 Defendant Wendell Reeder’s Original Answer and General Denial filed.

6/11/15 Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, LLP as Attorney for Defendant Wendell Reeder filed.

6/19/15 Plaintiff’s Motion for Summary Judgment filed.

6/23/15 Order Granting Motion to Disqualify J. Keith Mayo and Mayo Mendolia & Vice, LLP as Attorney for Defendant Wendell Reeder filed.

1 See Plaintiff’s Original Petition, on file.

0104 Defendant has recently retained additional counsel to represent him in this matter. A Notice of Appearance of Additional Counsel naming Jack Walker has been filed in this matter concurrently with this motion. As of the date of filing of this Motion for Continuance, the Defendant has only been in the case for approximately 52 days. Defendant is entitled to the opportunity to conduct discovery and, at a minimum obtain the deposition of the Plaintiff, J.

Bennett White with J. Bennett White, P.C.

II. Table of Exhibits Reeder attached the following exhibits which are incorporated by reference as if set forth in full: Exhibit 1 Affidavit of Wendell Reeder.

Plaintiff also relies upon and incorporates all pleadings on file.

III. Standard of Review When a movant files a traditional motion for summary judgment based on the summary judgment evidence, the court can grant the motion only when the movant’s evidence, “as a matter of law,” either conclusively establishes all the elements of the movant’s affirmative defense or conclusively disproves the facts of at least one element of the nonmovant’s claim.

M.D. Anderson Hosp. and Tumor Inst. v. Willrich, 28 S.W.3d 22, 23 (Tex. 2000); Park Place Hosp. v. Estate of Milo, 909 S.W.2d 508, 511 (Tex. 1995). When evaluating a motion for summary judgment based on summary judgment proof, the trial court must do the following: (1) Assume all the nonmovant’s proof is true. Limestone Prods. Distrib. v. McNamara, 71 S.W.3d 308, 311 (Tex. 2002); Nixon v. Mr. Prop. Mgmt. Co., 690 S.W.2d 546

0105 (2) Indulge every reasonable inference in favor of the nonmovant. Provident Life & Acc. Ins. Co. v. Knott, 128 S.W.3d 211, 215 (Tex. 2003).

(3) Resolve all doubts about the existence of a genuine issue of a material fact against the movant. M.D. Anderson Hosp. v. Willrich, 28 S.W.3d 22, 23 (2000).

The movant bears the burden of showing that no genuine issue of material fact exists and that it is entitled to summary judgment as a matter of law. American Tobacco Co. v. Grinnell, 951 S.W.2d 420, 425 (Tex. 1997).

The nonmovant has no burden to respond to a summary judgment motion unless the movant conclusively establishes its cause of action. Id. If the movant meets his burden, the burden then shifts to the non-movant to present competent summary judgment evidence creating a genuine issue of material fact. Kaye v. Harris County Mun. Util. Dist. No. 9, 866 S.W.2d 791, 793 (Tex. App. – Houston [14th Dist.] 1993, no writ) (citing McConnell v. Southside Indep. Sch, Dist., 858 S.W. 2d 337, 341 (Tex. 1993)).

What Constitutes a Material Fact Issue?

In deciding whether there is a material fact issue precluding summary judgment, evidence favorable to the non-movant will be taken as true; every reasonable inference must be indulged in favor of the non-movant and any doubts resolved in its favor. Hughes Wood Products, Inc. v. Wagner, 18 S.W.3d 202, 205, 43 Tex. Sup. Ct. J. 595 (Tex. 2000). The evidentiary standard in reviewing a summary judgment is well-known to this court: We must... view the evidence and its reasonable inferences in the light most favorable to the nonmovant. Great American Reserve Ins. Co. v. San Antonio Plumbing Supply Col, 391 S.W.2d 41, 47 (Tex. 1965). In deciding whether there is a material fact issue precluding summary judgment, all conflicts in the evidence will be disregarded and the evidence favorable to the nonmovant will be accepted as true. Harwell v. State Farm Mut. Auto Ins. Co., 896 S.W.2d 170, 173 (Tex. 1995). Evidence that favors the movant’s position will not be considered unless it is uncontroverted. Great American, 391 S.W.2d at 47.

0106 Davis v. City of Palestine, 988 S.W.2d 854, 857 (Tex. App.—Tyler 1999, no pet.). Additionally, “Conflicting testimony of the same witness on the same issue creates a fact issue for the fact finder to decide.” Washington v. Aetna Cas. & Surety Co., 521 S.W.2d 313, 316 (Tex. Civ. App.—Fort Worth 1975, no writ), emphasis added; Maleski v. Tex. Emp. Ins. Ass’n., 471 S.W.2d 416, 421 (Tex. Civ. App.—Corpus Christi 1971, no writ).

IV. Argument and Authorities White sued Reeder for breach of contract, and has failed to establish his right to a traditional summary judgment, “as a matter of law.”

1. White failed to plead a Suit on Sworn Account, and thus is not entitled to avail himself of Rule 185’s procedural advantages.

White’s claim is for breach of contract. White failed to plead breach of contract in a way that meets Rule 185’s elements and thus is not allowed to harness a suit on sworn account’s procedural benefits.

Rule 185 states that an open account includes, “any claim… for personal services rendered.” See Tex. R. Civ. P. 185; Panditi v. Apostle, 180 S.W.3d 924, 926 (Tex. App.---Dallas 2006, no pet.). Rule 185 is not a rule of substantive law, but rather, a rule of procedure regarding the evidence necessary to establish a prima facie right of recovery for certain types of contractual claims. Id. It is merely a rule of evidence which, if there is no proper denial, avoids the necessity of proving the correctness of the account. Long v. Miken Oil, Inc., 2014 Tex. App. LEXIS 9189, at *29 (Tex. App.---Tyler 2014, no pet.). Proof of the contract or sale that gave rise to the account must be made as alleged. Id. at 30.

0107 If a plaintiff’s pleading of a sworn account is defective or if the defendant files a proper sworn denial, the plaintiff must offer proof of the sworn account. Id. In a suit on sworn account, the plaintiff must prove: (1) there was a sale or delivery of the goods or services, (2) the charges on the account are just, that is, the prices charged are in accordance with an agreement or, in the absence of an agreement, are usual, customary and reasonable, and (3) the amount remains unpaid.

Id. The account must show with reasonable certainty the name, date and charge for each item, and provide specifics or details as to how the figures were arrived at. Panditi, 180 S.W.3d at 926.

A claim is liquidated for a suit on sworn account if the amount of damages may be accurately calculated by the trial court from the “factual, as opposed to the conclusory,” allegations in the plaintiffs’ petition and the instrument in writing. Id. When a plaintiff’s suit on sworn account is not based on a liquidated amount, the pleadings are neutralized and the plaintiff must prove his case at common law. Id. A systematic record must have been kept on all claims brought under the rule. Id. at 31. A suit on sworn account must be accompanied by the affidavit of the plaintiff, his agent or his attorney, that (1) the claim is within the knowledge of the affiant, (2) that the claim is just and true, (3) the account is due, and (4) all just and lawful offsets, payments and credits have been allowed. Id. A defendant is not required to file a sworn denial if the plaintiff’s suit on a sworn account is not properly pleaded. Id.

0108 a. White failed to establish his prima facie case under Rule 185, and thus is not entitled to suit on sworn account treatment.

White filed a petition wholly deficient of Rule 185’s requirements. Namely, the petition was conclusory and:  Failed to attach an affidavit establishing facts under oath  Failed to contain facts establishing systematic record(s) of transaction(s)  Failed to contain facts establishing that the amount charged were usual, customary and reasonable  Failed to contain facts establishing a contract between the parties  Failed to contain facts establishing the lawful payments, offsets and credits applied to the account.

TEX. R. CIV. P. 185; Andrews v. ETMC, 885 S.W.2d 264 (Tex. App.—Tyler 1994, no writ).

At a minimum, the sworn information in support of a Rule 185 suit on sworn account for attorney fees should have included statements that list the date and description of legal services provided, the number of hours spent, etc., so that the defendant could have something more than mere conclusions to controvert. Panditi, 180 S.W.3d at 927.

In every way, White’s petition fails to establish its prima facie burden under Rule 185. b. Nonetheless, Reeder has filed a sworn denial, and White is put to his burden of proof.

Reeder is not required to file a sworn denial. “A defendant is not required to file a sworn denial if the plaintiff’s suit on a sworn account was not properly pleaded.” Panditi, 180 S.W.3d at 926. As explained above, because White didn’t properly plead a sworn account, this is a breach of contract action and nothing more.

0109 The purpose is straightforward. Defendant cannot be expected to refute allegations that haven’t been clearly and particularly alleged and sworn under oath in the first place.

Nonetheless, Reeder has filed a sworn denial, and White must establish his right to recovery by common law. Where a defendant files a verified denial, he is permitted to dispute the receipt of services and correctness of the charges. Panditi, 180 S.W.3d at 926.

Here, Reeder has alleged in his sworn denial that the fees were improper. Ashton Grove L.C. v. Jackson Walker L.L.P., 366 S.W.3d 790, 798 (Tex. App.—Dallas 2012, no pet.). Reeder contests the fees represented to be charged by White, and contests that the fees were reasonable and necessary for the work accomplished. Exhibit 1. Further, Reeder believes that charges and fees charged by White and his office reflect actions taken by White that were not in compliance with or in furtherance of the client’s particular instructions and strategies in the case. Exhibit 1.

Reeder cannot provide more specific explanation of White’s departures from instruction until White actually provides the billing statements with description of legal services provided and time spent. Exhibit 1.

3. White failed to satisfy Andersen Requirements.

An examination of the documents attached to White’s traditional motion for summary judgment reveals flimsy, conclusory information that cannot establish his claim as a matter of law. In order to prevail on his motion for summary judgment, White must establish his claim for breach of contract, the link between breach of contract and damages, and his contract damages themselves “as a matter of law,” which he cannot do. Ashton, 366 S.W.3d at 797-98.

As explained above, Reeder has alleged in his sworn denial that the fees were improper. Id. at 798.

0110 The Andersen factors apply in determining the reasonableness of attorney fees, and these factors include: (1) the time and labor required and difficulty of the issues involved; (2) the likelihood that acceptance of the employment will preclude other employment by the lawyer; (3) the fees customarily charged in the locality for similar legal services; (4) the amount involved and results obtained; (5) the time limitations imposed by the client or the circumstances; (6) the nature and length of the professional relationship with the client; (7) the experience, reputation, and ability of the lawyer performing the services; and (8) whether the fee is fixed or contingent on the result obtained. Ashton, 366 S.W.3d at 799.

In support of his motion, White attaches an affidavit with exhibits. The affidavit fails to set forward any evidence regarding factors such as fees customarily charged for similar circumstances, or the experience or reputation of the lawyers involved.

White attaches documents he refers to as a “summary of account activity,” containing conclusory information for seven matters, labeled as Exhibits 4-10. The financial records attached fail to set forward any information regarding the actual hours worked on a particular day on a given file, or a description of legal services provided during that time spent. They are little more than meaningless numbers, which, in a vacuum, cannot establish a claim as a matter of law.

4. Continuance of summary judgment hearing is appropriate.

As explained in the companion motion, a continuance of any summary judgment hearing is appropriate. As of the date of filing of the Motion for Continuance, the Defendant has only been in the case for approximately 52 days. Defendant is entitled to the opportunity to conduct

0111 discovery and, at a minimum obtain the deposition of the Plaintiff, J. Bennett White with J.

Bennett White, P.C.

The motion for continuance is adopted and incorporated as if set forth fully. And this response is subject to the motion for continuance.

V. Conclusion Accordingly, this Court should deny White’s motion for summary judgment.

Respectfully submitted,

The Arcadia Theater N. Spring Avenue Tyler, Texas 75702 (903) 526-1600 Telephone (903) 595-0796 Telefax [email protected]

BY: /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III Bar No. 00785167 ATTORNEY FOR DEFENDANT

0112 CERTIFICATE OF SERVICE I hereby certify that on this the 18th day of August, 2015, I electronically filed the foregoing with the Clerk of Court which will send notification of such filing to each counsel of record listed below. To the extent any such counsel is not registered for such electronic delivery, the foregoing document will be served in accordance with the Texas Rules of Civil Procedure.

J. Bennett White J. Bennett White, P.C.

P.O. Box 6250 Tyler, TX 75711 903-597-4300 903-597-4330 Fax J. KEITH MAYO MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Suite 101 Tyler, Texas 75702 903-717-3422 903-717-3436 fax /s/ John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III

0113 EXHIBIT 1

0114 AFFIDAVIT OF WENDELL REEDER ST ATE OF TEXAS § § § COUNTY OF RED RIVER § Before me, the undersigned notary, on this day personally appeared Wendell Reeder whose identity is known to me. After making his oath, he said: "My name is Wendell Reeder. I am more than 21 years of age and am of sound mind and capable of making this Affidavit. I have not been convicted of a felony or a crime involving moral turpitude imd I have personal knowledge of the facts set forth in this Affidavit and each are true and correct.

"I have read Defendant's First Amended Answer in this matter and have personal knowledge of the matters contained therein and certify that contents thereof are true and correct.

"J. Bennett White and his staff performed legal services for me, individually, in the seven matters that are identified in paragraph 3 of Plaintiffs Motion for Summary Judgment. For an array of reasons more specifically set forth below, I contest that the fees represented in paragraph of Plaintiffs Motion for Summary Judgment, or the fees charged by Mr. White which proceeded these fees and were paid by me, were reasonable and necessary for the work accomplished or the tasks and strategy discussed by Mr. White and I prior to the commencement of his work.

"1 cannot provide specific instances of depaiiure from strategy through the billing records at this time because I do not have a complete copy of the billing records for each of the 7 matters listed for the life of each case. I anticipate receiving copies of the billing records for each of these files from Mr. White's office, but have not to date due to the relative youth of this case.

AFFJJ)A VIT OF WENDELL REEDER - Page I of 2

0115 "Mr. White did not provide me with any explanation as to why he did not carry out the particular directions and strategies that I had relayed to him and his staff regarding the above- referenced case." "Mr. White and his staff did not carry out particular directions and strategies in the above-referenced litigation and offered no explanation, legally sound or otherwise, as to why he did not follow my desired directives or strategies." "Charges and fees charged to me by Mr. White and his office reflect actions taken by Mr. White and his office that were not in compliance or in furtherance of my particular instructions and strategies in the case." "Further Affiant Sayeth Not" Dated this 5:1¥day of August, 2015.

AFFIANT:

c9 .

WENDELL REEDER SUBSCRIBED AND SWORN TO BEFORE ME on this . .:s~ day of August, 2015, to ~rtifywhkh.my=:::d,leoru ~(l~ MY COMMISSION EXPIRES June8,2016 NOTARY PUBLIC, STATE OF TEXAS

AFFIDAVIT OF WENDELL REEDER - Page 2 of 2

0116 Filed:8/19/2015 8:53:52 AM Jenica Turner, District Clerk Wood County, Texas Reviewed By:Donna Graves CAUSE NO. 2015-184 J. BENNETT WHITE, P.C., § IN THE DISTRICT COURT Plaintiff, § § v. § INANDFOR § § WENDELL REEDER, § Defendant. § WOOD COUNTY, TEXAS

FIRST AMENDED ANSWER Defendant, WENDELL REEDER, files this first amended answer and general denial, and affidavit in support, as follows: I. General Denial Defendant generally denies the allegations in plaintiffs original petition.

II. Objection to Consideration as Suit ou Sworn Account, and Special Exceptions Defendant objects and specially excepts to plaintiffs petition because the claims are not properly brought as a suit on a sworn account. This is a suit for breach of contract arising from an attorney client relationship.

White failed to plead breach of contract in a way that meets Rule 185' s elements and thus is not allowed to harness a suit on sworn account's procedural benefits. His pleadings are defective because they fail to establish by affidavit under oath any of the following: (!)there was a sale or delivery of the goods or services, (2) the charges on the account are just, that is, the prices charged are in accordance with an agreement or, in the absence of an agreement, are usual, customary and reasonable, and (3) the amount remains unpaid.

0117 (4) systematic records of transactions, such as the name, date and charge for each item, and provide specifics or details as to how the figures were anived at.

(5) Failed to contain facts establishing the lawful payments, offsets and credits applied to the account.

Defendant further objects and specially excepts to the conclusory nature of plaintiffs allegations. The usual and customary practice for attorneys is to make separate time entries detailing the date of service provided, amount of time spent, and description of legal service provided. Here, the amounts listed are nothing more than conclusions. When a plaintiffs suit on sworn account is not based on a liquidated amount, the pleadings are neutralized and the plaintiff must prove his case at common law. Conclusory totals do not satisfy the record keeping requirement of Rule 185.

A defendant is not required to file a sworn denial if the plaintiffs suit on a sworn account is not properly pleaded.

III. Verified Pleas Defendant denies the account on which plaintiff files suit because not each and every item of the account made the basis of plaintiffs suit is just or true. Defendant has filed an affidavit in support of this answer, and incorporates same as if set forth fully.

0118 Respectfully submitted,

MARTIN WALKER.r.c.

The Arcadia Theater N. Spring Avenue Tyler, Texas 75702 (903) 526-1600 Telephone (903) 595-0796 Telefax [email protected]

BY: Isl John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III Bar No. 00785167 ATTORNEY FOR DEFENDANT CERTIFICATE OF SERVICE I hereby certify that on this the 18th day of August, 2015, I electronically filed the foregoing with the Clerk of Court which will send notification of such filing to each counsel of record listed below. To the extent any such counsel is not registered for such electronic delivery, the foregoing document will be served in accordance with the Texas Rules of Civil Procedure.

J. Bennett White J. Bennett White, P.C.

P.O. Box 6250 Tyler, TX 75711 903-597-4300 903-597-4330 Fax J. KEITH MAYO MAYO MENDOLIA & VICE, L.L.P. N. College Ave., Suite I 0 I Tyler, Texas 75702 903-717-3422 903-717-3436 fax Isl John F. (Jack) Walker, III JOHN F. (JACK) WALKER, III

0119 AFFIDAVIT OF WENDELL REEDER STATE OF TEXAS § § § COUNTY OF RED RIVER § Before me, the undersigned notary, on this day personally appeared Wendell Reeder whose identity is known to me. After making his oath, he said: "My name is Wendell Reeder. I am more than 21 years of age and am of sound mind and capable of making this Affidavit. I have not been convicted of a felony or a crime involving moral turpitude ru1d I have personal knowledge of the facts set forth in this Affidavit and each are true and correct.

"I have read Defendant's First Amended Answer in this matter and have personal knowledge of the matters contained therein and certify that conte11ts thereof are true and correct.

"J. Bennett White and his staff performed legal services for me, i11dividually, in the seven matters that are identified in paragraph J of Plaintiff's Motion for Smnmary Judgment. For an array of reasons more specifically set forth below, I contest that the fees represented in paragraph of Plaintitrs Motion for Summary Judgment, or the fees charged by Mr. White which proceeded these fees and were paid by me, were reasonable and necessary for the work accomplished or the tasks and strategy discussed by Mr. White and I prior to the commencement of his work.

"! cannot provide specific instances of depaiture from strategy through the billing records at this time because I do not have a complete copy of the billing records for each of the 7 matters listed for the life of each case. I anticipate receiving copies of the billing records for each of these files from Mr. White's office, but have not to dale due to the relative youth of this case.

AFFIDAVIT OF WENDELL REEDER-Pngc I of2

0120 "Mr. White did not pl'ovide me with any explanation as to why he did not ca1ry out the particular directions and strategies that I had relayed to him and his staff regarding the above- referenced case." "Mr. White and his staff did not carry out particular directions and strategies in the above-referenced litigation and offered no explanation, legally sound or otherwise, as to why he did not follow my desired directives or strategies." "Charges and fees charged to me by Mr. White and his office reflect actions taken by Mr. White and his office that were not in compliance or in furtherance of my particular instructions and strategies in the case." "Further Affiant Sayeth Not" Dated this .5:fo-day of August, 2015.

AFFIANT:

r9 • WENDELL REEDER SUBSCRIBED AND SWORN TO BEFORE ME on this s~ day of August, 2015, to mtify whioh wim= my hood ..i otliciru ""'· ~

ROBERTA.HIU. ~ (l~ MYCOM.:.~~1EJ<PIRES NOTARY PUBLIC, STATE OF TEXAS

AFFfDA VIT OF WENDELL REEDER - Page 2 of 2

0121

1 REPORTER'S RECORD VOLUME ___ OF ___ VOLUMES TRIAL COURT CAUSE NO. 2015-184 4 J. BENNETT WHITE, P.C. ) IN THE DISTRICT COURT ) 5 ) VS. ) WOOD COUNTY, TEXAS 6 ) ) 7 ) WENDELL REEDER ) 402ND JUDICIAL DISTRICT

0122

1 A P P E A R A N C E S FOR THE PLAINTIFF: 3 SBOT NO. 21309800 MR. J. BENNETT WHITE 4 J. BENNETT WHITE, P.C.

P.O. Box 6250 5 Tyler, Texas 75711-6250 903.597.4300 FOR THE DEFENDANT: 8 SBOT NO. 00794251 MR. J. KEITH MAYO 9 MAYO, MENDOLIA & VICE, L.L.P. N. Collage Avenue 10 Suite 101 Tyler, Texas 75702-7221 11 903.747.3422

1 CHRONOLOGICAL INDEX VOLUME ___ OF ___ 2 (MOTION TO DISQUALIFY) JUNE 23, 2015 3 Page Vol.

1 P R O C E E D I N G S 2 THE COURT: 2015-184, White versus Reeder. I just have this down as a motions hearing.

4 What are we dealing with?

7 Mr. Mayo's firm has been hired to represent Mr. Reeder.

8 One of my formal legal assistants has gone to work for Mr. Mayo. Since she both has prior confidences being both employed by my firm and my client, we've moved to disqualify Mr. Mayo, so we're here on our motion to disqualify.

1 Your Honor, I would direct you to Page -- in the Phoenix case, Page 4, beginning on Page 4 in the second column, and it's really the first full paragraph beginning with, "Underlying..." It talks about the criteria that's looked at by the Supreme Court. And as long as my firm can satisfy the burden -- well, it's the Movant's burden to prove that there is a basis for disqualification, but my response to that, in responding to that, I simply have to show that there's a screening done with the employee, which there was -- I've included in my affidavit attached to my response -- that there have been measures taken within the office to isolate the employee from these files, which there has been.

1 Mr. White.

4 THE COURT: Yes.

5 MR. WHITE: I've printed off this. It's the same court opinion that Mr. Mayo provided, although I did highlight three paragraphs that are a little bit different place where Mr. Mayo called the Court's attention to.

17 The Court Supreme has said that if we want to indulge that conclusive presumption as to a legal assistant, but it says it is inevitable that we should presume some sharing. On the left-hand column there, it talks about the court will presume some sharing in a case of a legal assistant, but that can be rebutted, which that's the fact that it has to be rebutted by the firm seeking to be -- or the firm -- this -- the target of the disqualification, it would be their burden to

1 prove there are adequate safeguards in place, but when you go over to the next column, you go over the factors and the circumstances that exist here.

4 The first factor is the substantiality of the relationship between the former and the current matters. Well, Your Honor, when Ms. Smith was working for my firm, there is some portion of the work that's been sued on here today in this lawsuit that was work that she provided, so she's a fact witness about work she did that is reflected in the billing.

1 that's remote in time from what we're on here today.

2 This is all bang, bang; March-April of this year.

4 The next factor the Supreme Court talks about is the size of the law firm. In that case, they made not that the legal assistant involved was going to work at Thompson & Knight. There was the ability to put her in different departments in different floors. The firm was large enough it was easy to lose her among the bodies so there was not much chance that her information would be drawn upon accidentally or improperly.

12 Mr. Mayo's office is a small office. My office is a small office. This factor does not weigh in favor of denying our motion.

25 The next factor is the nature involvement

1 in the former matter. Well, the former matter is the same matter that we're -- that has resulted in this case. She was completely involved in that.

4 The next factor is the timing and features of measures to reduce the dangers of disclosure.

14 So to the extent the Supreme Court lowered the boundary or -- or the raised the burden for disqualification to some extent, the manner in which they've raised it simply does not apply to the facts that we have here, and not only that, but this speaks solely to the person being affected as having been an employee of the law firm, not as having been employed by the client.

1 her ability to get a job, he can hire whoever he wants o hire. We're not saying he cannot hire her. It's just that he has to chose between hiring her and keeping this case. He doesn't have to fire her. He can be disqualified which would allow her to keep her job which would protect her from being exposed.

7 But the problem we have right now, Your Honor, she is a fact witness. She has knowledge that bears upon the legitimacy of our claim against Mr. Mayo's client. Mr. Mayo is obligated to zealously defend his client and there's no way for him to zealously defend his client if he's taking a hands-off approach with a fact witness because she happens to work for him.

15 If she has to testify, she's going to be extremely torn between the truthfulness of the work that she did as reflected in our claim and the loyalty she feels to Mr. Mayo by being employed by him and the loyalty she'll feel for her client as her client, and so that's unfair to do.

23 There's no necessity to keep Mr. Mayo, but under these circumstances and under the facts that exists here, disqualification would be appropriate, and we ask the

1 Court to grant our motion and disqualify Mr. Mayo and his firm.

3 THE COURT: Any further response?

4 MR. MAYO: Just briefly, Your Honor. The Phoenix case deals specifically with -- and the Supreme Court is dealing specifically with what Mr. White has urged in his motion. In the Phoenix case, the Supreme Court says we're lowing the standard because we do not want to have that effect from hiring capable paralegals simply because they've worked on a case in another firm.

11 The size of the firm is a criteria.

12 However, in this particular case, to disqualify our firm would be to presume that we haven't given all of these warnings, which I've sworn to an affidavit and attached to my response that we did, and we haven't taken these precautions in my office to isolate Ms. Smith from any exposure to the file.

18 THE COURT: Yes, sir.

19 Let me just say that the Court works on the assumption that everything in the affidavit is correct -- 22 MR. MAYO: Yes, sir.

23 THE COURT: -- and you've taken all those steps and is acting in good faith. I think Mr. White is correct in what he's saying for the reason that this

1 is -- well, especially for the reason that this is a case where's it's not representing -- in other words, this has to do with the law firm itself as visa-vis Mr. Reeder as opposed to Mr. White. In other words, I think it gets too directly into the fact especially she might be called -- potentially be called as a witness, and I know she may not necessarily be called as a witness, but where she could be, this really puts this in a much more difficult situation that it would be otherwise.

11 I'm going to -- well, what is our timetable?

13 MR. MAYO: It's just begun. He filed a motion for summary judgement, but other than that, the case has just been filed.

18 MR. WHITE: I don't think we have a setting.

20 THE COURT: I'm going to find that, Mr. Mayo, that your firm needs to either withdraw within 30 days -- in other words, if the matter isn't resolved some other way within 30 days, that your firm would need to withdraw.

25 MR. WHITE: Your Honor, is that a final

1 order? I presume the Court understands why because I understand Mr. Reeder is going to ask me to have this decision reviewed, I feel confident.

4 THE COURT: And, you know, I know mandamus isn't used as much as it used to be, but if it's available, why certainly, that's you need to take advantage of if you feel like that's what needs to be done. So I guess let me make that -- just put it on the basis of the fact changing that to where I'm saying that I find there is a conflict and that -- 11 MR. MAYO: Even though it's the same client? That's okay.

13 THE COURT: Yes, sir. And that -- and so you've got something real clear to deal with.

15 If you'll reduce that to a properly written form, and if counsel signs off it approving as to form, I'll sign it when I get it.

18 MR. WHITE: I will prepare the proposed order.

20 THE COURT: Yes, sir.

21 (End of proceedings.)

1 REPORTER'S CERTIFICATE THE STATE OF TEXAS ) COUNTY OF WOOD ) 4 I, Una B. Garland, Official Court Reporter in and for the 402nd District Court of Wood County, State of Texas, do hereby certify that the above and foregoing contains a true and correct transcription of all portions of evidence and other proceedings requested in writing by counsel for the parties to be included in this volume of the Reporter's Record, in the above-styled and numbered cause, all of which occurred in open court or in chambers and were reported by me. 13 I further certify that this Reporter's Record of the proceedings truly and correctly reflects the exhibits, if any, admitted by the respective parties.

16 I further certify that the total cost for the preparation of this Reporter's Record is $200.00 and was paid by DEFENDANT.

19 WITNESS MY OFFICIAL HAND this the 18TH day of AUGUST, 2015.

22 /S/ UNA B. GARLAND Una B. Garland, Texas CSR 5856 23 Expiration Date: 12/31/2015 Official Court Reporter 24 402nd District Court Wood County, Texas 25 Quitman, Texas 75783