Texas Supreme Court
Hoover Slovacek LLP, Formerly Hoover, Bax & Slovacek, LLP, Petitioner v. John B. Walton, Jr., Respondent
November 3, 200650 Tex. Sup. Ct. J. 125
Summary
The Texas Supreme Court held that the termination‑fee provision in an attorney‑client contingent‑fee agreement was unconscionable as a matter of law and therefore unenforceable, severed it from the contract, and affirmed the remainder of the fee agreement, entitling Hoover Slovacek to its contingent fee of 28.66% of the $900,000 settlement. The Court affirmed the appellate court in part, reversed its take‑nothing judgment, and remanded for further proceedings. Justice Hecht dissented, arguing the provision should be enforced.