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Lawfully Mandated Disclosure, Contract Stipulation Precludes Breech For Settlement Agreement Production

Texas former student of El Paso County Community College District (District) Constance Thomas, as well as the District, appealed a 2000 court ruling in a dispute awarding breech of contract to Thomas. The judgment was reversed because the law mandated the production of their settlement agreement despite the confidentiality clause.

Thomas's suit against the District in 1999 for breech of contract, libel, and slander was due to the District providing details of the 1996 settlement agreement between them and Thomas. Prior to the disclosure the District obtained an opinion from the Attorney General who determined that the law mandated the disclosure. An article revealing the amount paid in the agreement by the El Paso Times spurred the action. The court awarded Thomas summary judgment and denied the District's objection but awarded no damages. Both parties appealed.

The Eighth District for the Court of Appeals of Texas at El Paso reversed the ruling because the agreement stipulated to confidentiality except with "prior written consent of the remaining parties" or if "compelled by law," and Texas law mandated disclosure. See: Thomas v. El Paso County Community College District, 68 S.W.3d 722 (Tex. App. 2001).

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Related legal case

Thomas v. El Paso County Community College District