State Farm Fire and Casualty Company, Petitioner v. Julie Kathleen Gandy

Summary

The Texas Supreme Court reversed the Court of Appeals, holding that Ted Pearce's assignment of his claims against State Farm to Julie Gandy violated public policy and therefore conveyed nothing, so Gandy may recover nothing from State Farm. The Court also invalidated pre‑judgment assignments of a defendant’s claim against his insurer when the insurer has tendered a defense. Justice ENOCH, in a concurring opinion, agreed with the judgment but cautioned against the Court’s broader policy discussion.