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April 21, 2025
Velawcity Allegedly Committed Barratry on Behalf of Lawyers

To Be Sued for Barratry in Texas the Court Must Have Jurisdiction
Post 5050

See the full video at https://lnkd.in/gyqqF_6r ans at https://lnkd.in/gBxwZBCR, and at https://zalma.com/blog plus more than 5000 posts.

A LAWYER WHO PAYS OR GIVES OR OFFERS TO PAY OR GIVE A PERSON MONEY OR ANYTHING OF VALUE TO SOLICIT EMPLOYMENT COMMITS BARRATRY IN TEXAS

A lawsuit that involved claims for alleged barratry and conspiracy to commit barratry filed by Appellants against the law firm McClenny Mosley & Associates, PLLC, Texas attorneys James McClenny and Zach Mosley, their Louisiana partner Richard William Huye, III, and Appellee Tort Network, LLC d/b/a Velawcity (“Velawcity”), an Arizona company that executed several Marketing Service Agreements with the law firm to provide advertising and marketing services. An appeal to the Court of Appeals of Texas involved the trial court’s order sustaining Velawcity’s special appearance and dismissing Appellants’ claims against Velawcity for lack of jurisdiction.

In Wayne J. Adams, Bonnie Brown, Claude Britton, III, Curtis Davis, Carey D. Yazeed, Dwane Borel, James S. Dartez, Lloyd Cox And Lynda I. Jenkins v. Tort Network, LLC D/B/A Velawcity, No. 01-24-00169-CV, Court of Appeals of Texas, First District (March 18, 2025) the trial court’s ruling was affirmed.
Background of the Case

The Appellants, who are Louisiana residents, alleged that following Hurricane Ida, they were solicited through an illegal barratry scheme that involved Velawcity and the law firm McClenny Mosley & Associates, PLLC (MMA). The Appellants contend that from December 2021 to August 2022, MMA entered into multiple Marketing Service Agreements with Velawcity to provide marketing services, which included prescreening potential clients for legal claims related to the hurricane.

The Appellants asserted that these contracts were executed in Texas and that Velawcity acted as an agent for MMA in soliciting clients unlawfully. They are seeking damages for four acts of barratry allegedly committed against each of them, totaling $360,000.

Jurisdictional Issues

The primary issue was whether the Texas courts have personal jurisdiction over Velawcity. The Appellants argue that Velawcity has sufficient contacts with Texas due to its contracts with MMA, which they claim involved the solicitation of clients in violation of Texas law. They assert that Velawcity’s actions constituted a tort committed in Texas, thus invoking the Texas long-arm statute. In contrast, Velawcity argues that its activities were primarily conducted in Louisiana and that it does not maintain any business presence in Texas, nor did it solicit clients for MMA in Texas.

Velawcity’s Defense

Velawcity filed a special appearance to contest the jurisdiction, asserting that it lacks minimum contacts with Texas necessary for the court to assert jurisdiction. It highlighted that the solicitation occurred in Louisiana and that the Appellants are also Louisiana residents. Velawcity emphasized that it had no physical presence or business operations in Texas, and that any communications regarding the contracts were not sufficient to establish jurisdiction.

Trial Court’s Ruling

The trial court ultimately sustained Velawcity’s special appearance, concluding that the Appellants failed to demonstrate sufficient contacts to establish specific jurisdiction in Texas. The court noted that while the contracts were significant, they did not connect Velawcity to Texas in a manner that would justify jurisdiction.

Conclusion

The court affirmed the decision to dismiss the claims against Velawcity for lack of jurisdiction, emphasizing that the alleged tortious conduct took place outside Texas and that the Appellants did not provide adequate evidence to establish a substantial connection between Velawcity’s activities and the operative facts of the case.

The Appellants’ claims against Velawcity were dismissed, leaving them to pursue their case against the other defendants, MMA and individual attorneys involved in the alleged Barratry scheme.

ZALMA OPINION

The suit against Velawcity would have had no jurisdictional difficulty if filed in Louisiana but the Plaintiffs could find no contact with Texas, that recognizes a Barratry tort, other than the fact that it signed a contract with MMA which practices in Texas. MMA has been sued multiple times, is in bankruptcy and there is a supposedly active FBI investigation into criminal conduct by MMA and its lawyers. The Plaintiffs, who are residents of Louisiana can be sued separately in Louisiana courts for their alleged misconduct.

(c) 2025 Barry Zalma & ClaimSchool, Inc.

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00:07:55
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Posted on October 31, 2025 by Barry Zalma

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Can read and understand the insurance policies issued by the insurer.
Understands the promises made by the policy.
Understand their obligation, as an insurer’s claims staff, to fulfill the promises made.
Are competent investigators.
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Understand medicine relating to traumatic injuries and are sufficiently versed in tort law to deal with lawyers as equals.
Understand how to repair damage to real and personal property and the value of the repairs or the property.
Understand how to negotiate a fair and reasonable settlement with the insured that is fair and reasonable to both the insured and the insurer.

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When I was discharged from the US Army in 1967 I was hired as an insurance adjuster trainee by a professional and well respected insurance company. The insurer took a chance on me because I had been an Army Intelligence Investigator for my three years in the military and could use that training and experience to be a basis to become a professional insurance adjuster.

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Post 5210

This is a change from my normal blog postings. It is my attempt. in more than one post, to explain the need for professional claims representatives who comply with the basic custom and practice of the insurance industry. This statement of my philosophy on claims handling starts with my history as a claims adjuster, insurance defense and coverage lawyer and insurance claims handling expert.

My Training to be an Insurance Claims Adjuster

When I was discharged from the US Army in 1967 I was hired as an insurance adjuster trainee by a professional and well respected insurance company. The insurer took a chance on me because I had been an Army Intelligence Investigator for my three years in the military and could use that training and experience to be a basis to become a professional insurance adjuster.

I was initially sat at a desk reading a text-book on insurance ...

post photo preview
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