Palestine Contractors, Inc., Petitioner v. Lois Perkins, Respondents

Summary

The Texas Supreme Court held that when a plaintiff gives a covenant not to sue one joint tortfeasor, the plaintiff may recover only one‑half of the total damages from the non‑settling tortfeasor, applying the rule from Gattegno v. The Parisian. The Court reversed the lower courts and entered judgment for $13,250 against Palestine Contractors. Justice SMITH dissented, arguing that the Texas Contribution Act requires full recovery and that the Gattegno rule should not apply.