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,_ v - Fifth Court of Appeals

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the alter ego doctrine. Lucas v. Texas Indus., Inc., 696 S.W.2d 372, 376 (Tex.<br />

1984).<br />

An attempt to pierce the corporate veil is not, <strong>of</strong> itself, a substantive cause<br />

<strong>of</strong> action. Instead, it is a means <strong>of</strong> imposing liability in connection with an<br />

underlying cause <strong>of</strong> action such as a tort or breach <strong>of</strong> contract. Phillips v. United<br />

Heritage Corp., 319 S.W.3d 156, 158 (Tex. App.--Waco 2010, no pet.); Wilson v.<br />

Davis, 305 S.WJd 57, 68 (Tex. App.-Houston 2009, no pet.); Gallagher v.<br />

Bintliff, 740 S.W.2d 118, 119 (Tex. App.-Austin 1987, writ denied); Farr v. Sun<br />

World Sav. Ass'n, 810 S.W.2d 294, 297 (Tex. App.--El Paso 1991, no writ); see<br />

Cox v. Southern Garrett, L.L.C., 245 S.W.3d 574, 582 (Tex. App.-Houston 2007,<br />

no pet.)(without underlying cause <strong>of</strong> action creating corporate liability, evidence<br />

<strong>of</strong> abuse <strong>of</strong> corporate form is immaterial).<br />

Argument<br />

Because Appellee failed to pled or prove an actual fraud, Appellee cannot prevail<br />

under the alter ego doctrine.<br />

To pierce the corporate veil, Appellee must necessarily prove an actual<br />

fraud. Tex. Bus. Orgs. Code § 21.223(b ). As shown hereinabove, Appellee failed<br />

to plead or prove an actual fraud. The Appellee's Summary Judgment Motion<br />

only contained a conclusory statement that there was actual fraud and Appellant<br />

should be personally liable. The Motion and the evidence attached thereto do not<br />

prove the required elements <strong>of</strong> actual fraud under a traditional summary judgment<br />

motion standard. Therefore, the finding against Appellant under an alter ego<br />

APPELLANT'S BRIEF 21

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