PJC Business

F RAUD AND N EGLIGENT M ISREPRESENTATION

PJC 105.17

PJC 105.17 Question on Defense to Control-Person Liability If you answered “Yes” to Question ______ [ 105.16 ], then answer the follow ing question. Otherwise, do not answer the following question. QUESTION ______ Do you find that Deborah Dennis did not know, and in the exercise of rea sonable care could not have known, of the existence of the facts that you found to be a violation in Question ______ [ 105.12 ]? Answer “Yes” or “No.” Answer: _______________ COMMENT When to use. PJC 105.17 may accompany a question regarding control-person liability (see PJC 105.16) if the defendant raises the defense that he did not know, and in the exercise of reasonable care could not have known, of the existence of the facts by reason of which the primary actor’s liability is alleged to exist. Tex. Gov’t Code § 4008.055(b) (formerly Tex. Rev. Civ. Stat. art. 581–33F(1)). Broad-form submission. PJC 105.17 is a broad-form question designed to be accompanied by one or more appropriate instructions. Tex. R. Civ. P. 277 requires that “the court shall, whenever feasible, submit the cause upon broad-form questions.” Tex. R. Civ. P. 277; see Thota v. Young , 366 S.W.3d 678, 689 (Tex. 2012) (rule 277’s use of “whenever feasible” mandates broad-form submission in any or every instance in which it is capable of being accomplished). Source of instruction. PJC 105.17 is based on Tex. Gov’t Code §4008.055(b) (formerly Tex. Rev. Civ. Stat. art. 581–33F(1)).

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