Texas Association of Counties County Government Risk Management Pool, Petitioner v. Matagorda County and Keith…

Summary

The Texas Supreme Court affirmed the Court of Appeals, holding that the Texas Association of Counties County Government Risk Management Pool (TAC) is not entitled to reimbursement from Matagorda County for settlement funds paid on a claim later found excluded from coverage. The Court found no implied‑in‑fact contract or equitable subrogation right to require reimbursement, emphasizing that such rights must be expressly provided in the insurance policy or obtained through clear, unequivocal consent. A dissent argued that reimbursement should be implied in law to prevent unjust enrichment.