Thos D. Murphy, Jr., Ray Hawkins, Trudi Hestand, and Tracy Hawkins

Summary

The Texas Supreme Court affirmed the district court’s grant of summary judgment on all of the plaintiffs’ negligence, implied‑warranty, fraud, and DTPA claims, holding that the claims were barred by the applicable statutes of limitations and that no cause of action for an implied warranty of accounting services exists. The Court also rejected the Hughes tolling rule and applied the discovery rule, finding that accounting‑malpractice claims accrue when the plaintiff knows or should know of the injury, which is at the IRS deficiency notice.