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<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B><SPAN=20
style=3D"FONT-SIZE: 18pt">IN THE SUPREME COURT OF TEXAS</SPAN></B></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-FAMILY: 'Courier =
New'">&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#95=
52;&#9552;&#9552;</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"TEXT-TRANSFORM: uppercase">No. 04-0961</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-FAMILY: 'Courier =
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<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14pt; TEXT-TRANSFORM: uppercase"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14pt; TEXT-TRANSFORM: uppercase">Tony Gullo Motors =
I, L.P. and=20
Brien Garcia, Petitioners,</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 9.5pt">v.</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14pt; TEXT-TRANSFORM: uppercase"></SPAN>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-SIZE: 14pt; TEXT-TRANSFORM: uppercase">Nury Chapa,=20
Respondent</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
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&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9=
552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552=
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9552;</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"TEXT-TRANSFORM: uppercase">On Petition for Review from =
the</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"TEXT-TRANSFORM: uppercase">Court of Appeals for the Ninth =
District of=20
Texas</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" align=3Dcenter><SPAN=20
style=3D"FONT-FAMILY: 'Courier =
New'">&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#95=
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&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9552;&#9=
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9552;</SPAN></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter><B>Argued October 19,=20
2005</B></P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: center" =
align=3Dcenter>&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 0.5in; LINE-HEIGHT: 200%; TEXT-ALIGN: =
justify"><SPAN=20
style=3D"TEXT-TRANSFORM: uppercase">Justice Johnson</SPAN>, =
concurring.</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 0.5in; LINE-HEIGHT: 200%; TEXT-ALIGN: justify">I =
concur in=20
the Court=92s judgment, and, except for part III.B. as to Exemplary =
Damages, I=20
join its opinion.</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 0.5in; LINE-HEIGHT: 200%; TEXT-ALIGN: justify">The =
court of=20
appeals properly identified <I>State Farm Mutual Automobile Insurance =
Co. v.=20
Campbell</I>, 538 U.S. 408 (2003) and <I>BMW of North America, Inc. v. =
Gore</I>,=20
517 U.S. 559 (1996) as guiding authorities for its review of the =
$250,000=20
exemplary damages jury award. It then concluded that $125,000 exemplary =
damages=20
is constitutionally permissible under this record. That amount is =
between 4.33=20
and 4.34 times the actual damages of $28,852 found by the jury. The =
court of=20
appeals=92 analysis as to the exemplary damages issue is not as detailed =
as that=20
in this Court=92s opinion. But, because the court of appeals did not =
give a=20
detailed explanation for its conclusion does not mean that its =
conclusion is=20
wrong.</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 0.5in; LINE-HEIGHT: 200%; TEXT-ALIGN: justify">The =
United=20
States Supreme Court has not set a bright line constitutional limit for=20
exemplary damages. Some of its specific language bears reviewing:</P>
<P class=3DMsoNormal style=3D"TEXT-INDENT: 0.5in; TEXT-ALIGN: =
justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"MARGIN: 0in 0.5in 0pt; TEXT-ALIGN: =
justify">We decline=20
again to impose a bright-line ratio which a punitive damages award =
cannot=20
exceed. Our jurisprudence and the principles it has now established =
demonstrate,=20
however, that, in practice, few awards <I>exceeding</I> a single-digit =
ratio=20
between punitive and compensatory damages, to a significant degree, will =
satisfy=20
due process. In <I>Haslip</I>, in upholding a punitive damages award, we =

concluded that an award of <I>more than</I> four times the amount of=20
compensatory damages <I>might be close </I>to the line of constitutional =

impropriety. 499 U.S., at 23-24. We cited that 4-to-1 ratio again in=20
<I>Gore</I>. 517 U.S., at 581. The Court further referenced a long =
legislative=20
history, dating back over 700 years and going forward to today, =
providing for=20
sanctions of double, treble, or quadruple damages to deter and punish.=20
<I>Id</I>., at 581, and n. 33. While <I>these ratios are not binding, =
they are=20
instructive</I>. They demonstrate what should be obvious: Single-digit=20
multipliers are more likely to comport with due process, while still =
achieving=20
the State=92s goals of deterrence and retribution, than awards with =
ratios in=20
range of 500 to 1, <I>id</I>., at 582, or, in this case, of 145 to =
1.</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"MARGIN: 0in 0.5in 0pt; TEXT-ALIGN: justify">Nonetheless, =
because <I>there=20
are no rigid benchmarks that a punitive damages award may not =
surpass</I>,=20
ratios greater than those we have previously upheld may comport with due =
process=20
[under certain circumstances].</P>
<P class=3DMsoNormal style=3D"MARGIN: 0in 0.5in 0pt; TEXT-ALIGN: =
justify">&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"LINE-HEIGHT: 200%; TEXT-ALIGN: justify"><I>Campbell</I>, 538 =
U.S. at 425=20
(emphasis added).</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 0.5in; LINE-HEIGHT: 200%; TEXT-ALIGN: justify">The =
Court=20
says that =93The court of appeals=92 judgment at least pushes against, =
if not=20
exceeds the constitutional limits.=94 ___ S.W.3d ___. A ratio of 4.33 to =
1 is=20
clearly close to the ratio of 4 to 1 which =93might be close to the line =
of=20
constitutional impropriety.=94 <I>Campbell</I>, 538 U.S. at 425. But, =
there are no=20
rigid constitutional benchmarks that an exemplary damages award may not =
surpass.=20
<I>Id</I>. Unless we determine that the court of appeals misapplied the=20
standards enunciated by the Supreme Court, however, I consider a 4.33 =
ratio of=20
exemplary damages to actual damages under this record to be within the=20
discretion lodged in the court of appeals to determine the amount of =
remittitur=20
to suggest. I would remand to the court of appeals for reconsideration =
of the=20
exemplary damages issue and more complete explanation of its analysis as =
to the=20
remittitur. I would not instruct the court of appeals, at this juncture, =
that it=20
should determine a different, more appropriate, remittitur.</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify">&nbsp;</P>
<P class=3DMsoNormal=20
style=3D"TEXT-INDENT: 3in; TEXT-ALIGN: =
justify">________________________________________</P>
<P class=3DMsoNormal style=3D"TEXT-INDENT: 3in; TEXT-ALIGN: =
justify">Phil=20
Johnson</P>
<P class=3DMsoNormal style=3D"TEXT-INDENT: 3in; TEXT-ALIGN: =
justify">Justice</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><B></B>&nbsp;</P>
<P class=3DMsoNormal style=3D"TEXT-ALIGN: justify"><B>OPINION =
DELIVERED:</B>=20
December 22, 2006</P></DIV></BODY></HTML>
