green
Positive treatment
published
Doctrinal family: Great American Insurance Company… ↗
Issue: no-direct-action ruleTX ↗
Issue: accrual claimTX ↗
Issue: presentment requirementTX ↗
Issue: third-party beneficiary claimTX ↗
Quoted verbatim 2×
56.3 score
Treatment trajectory · 1992 → 2026 · click a year to view as-of
1992
2009
2026
Cited for
At page 723 Limiting direct action against insurer by third party58 citing cases[An injured third party] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party.
- Christopher Auzenne v. Great Lakes Reinsurance, PLC, 497 S.W.3d 35 (Tex. App.—Houston [14th Dist.] 2016).published ([An injured third party] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party.)
- Cynthia Farias, as Next Friend of Vidal De Jesus Farias, a Minor v. Allstate Ins. Co. & Allstate Prop. & Cas. Ins. Co., No. 13-10-00071-CV (Tex. App.—Corpus Christi June 2, 2011).published([An injured third party] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party.)
- Kevin Brady v. Progressive Ins., No. 01-24-00446-CV (Tex. App.—Houston [1st Dist.] Dec. 18, 2025).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam)).
- In Re Illinois Nat'l Ins. Co. v. The State of Texas, 685 S.W.3d 826 (Tex. 2024).published Co. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam). 5 Under this “no- 4 Some policies also provide that “loss” does not include an amount for which the Insureds “are absolved from payment,” but the Insurers do not contend t…
- Natasha Urena & Daniel Rodriguez, Administrators of the Est. of Juliana Rodriguez Morel v. Travelers Cas. & Sur. Co. of Am., 714 F. Supp. 3d 31 (D.N.H. 2024).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989); Zahn v. Gen.
- Rodriguez Morel v. Travelers Cas. & Sur. Co. of Am., No. 1:22-cv-00200 (D.N.H. Feb. 2, 2024).Co. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989); Zahn v. Gen.
- Theresa Ruebbling, Individually & as Heir of Victoria Rangel v. Foremost Cnty. Mut. Ins. Co., No. 08-23-00054-CV (Tex. App.—El Paso Jan. 29, 2024).published Co. of Texas v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam).
- in Re: Geico Cnty. Mut. Ins. Co., No. 05-22-01164-CV (Tex. App.—Dallas Dec. 22, 2022).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989)).
- Hudnall v. State of Texas, No. 3:22-cv-00036 (W.D. Tex. Aug. 9, 2022).Co. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989)).
- Edgar Washington, Florence Hill, & Chrislyn Hill v. State Farm Mut. Auto. Ins. Co. & Chrysler Capital LLC, No. 02-20-00186-CV (Tex. App.—Fort Worth Oct. 28, 2021).published Co. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989); Great Am. Ins.
Show 46 more citing cases
- Turner v. Cincinnati Ins., 9 F.4th 300 (5th Cir. 2021).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989).
- in Re State Farm Mut. Auto. Ins. Co., 614 S.W.3d 316 (Tex. App.—Fort Worth 2020).publishedIns. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989); Great Am. Ins. v. Murray, 437 S.W.2d 264, 265 (Tex. 1969) (orig. proceeding).
- Thomas Petty v. Great West Cas. Co., No. 18-11600 (5th Cir. Oct. 31, 2019).unpublished(injured party is beneficiary of a liability insurance policy but cannot enforce the policy directly against the insurer until the insured’s legal obligation to pay damages has been established by judgment or agreement)
- Terrell E. Bitten v. State Farm Ins., No. 05-18-01296-CV (Tex. App.—Dallas Sept. 26, 2019).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (“[A third party injured by an insured] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has…
- Landmark Am. Ins. Co. v. Eagle Supply & Mfg. L.P., 530 S.W.3d 761 (Tex. App.—Eastland 2017).publishedAs recognized by the Texas Supreme Court in State Farm County Mutual Insurance Co. of Texas v. Ollis, even though an injured party is a third-party-beneficiary of a liability insurance policy, the no-direct-action rule still applies to his…
- in Re Essex Ins. Co. & Hector Aldana, 507 S.W.3d 418 (Tex. App.—Houston [1st Dist.] 2016).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (“However, [the plaintiff] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obli…
- John Walker v. Transfrontera CV de SA, 634 F. App'x 422 (5th Cir. 2015).unpublishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (“In [Murray ], we held that a party injured by the insured is a third party beneficiary of a liability insurance policy.
- Ajredin \Danny\" Deari v. Jane Doe", No. 05-15-01019-CV (Tex. App.—Dallas Dec. 7, 2015).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (“a party injured by the insured is a third party beneficiary of a liability insurance policy, ... [but] he cannot enforce the policy directly against the insurer until it…
- Noah S. Bunker, Paul Carrell, Everett Brew Houston, Jr., W. Andrew Buchholz, Scott J. Leighty, Jad L. Davis, & Holly Clause v. Tracy D. Strandhagen, No. 03-14-00510-CV (Tex. App.—Austin Feb. 23, 2015).published(per In Firemen's Insurance Co. v. Burch, the Supreme curiam)
- Noah S. Bunker, Paul Carrell, Everett Brew Houston, Jr., W. Andrew Buchholz, Scott J. Leighty, Jad L. Davis, & Holly Clause v. Tracy D. Strandhagen, No. 03-14-00510-CV (Tex. App.—Austin Jan. 14, 2015).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam); Great Am. Ins.
- in Re Essex Ins. Co., 450 S.W.3d 524 (Tex. 2014).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam) (“However, [the plaintiff] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal oblig…
- Pain Control Inst., Inc. v. Geico Gen. Ins. Co., 447 S.W.3d 893 (Tex. App.—Dallas 2014).published Co. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam) (“[A third party injured by an insured] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has…
- Nat'l Liab & Fire Ins Co. v. R & R Marine, Inc., No. 10-20767 (5th Cir. July 1, 2014).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989); Great Am.
- Nat'l Liab. & Fire Ins. v. R & R Marine, Inc., 756 F.3d 825 (5th Cir. 2014).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Great Am.
- in Re First Mercury Ins. Co., 437 S.W.3d 34 (Tex. App.—Corpus Christi 2014).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam); Farmers Ins.
- 15625 Ft. Bend Ltd. v. Sentry Select Ins., 991 F. Supp. 2d 932 (S.D. Tex. 2014).publishedCo. of Texas v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (Great Am.
- Nautilus Ins. Co. v. Bellaire Sec. Pa, 558 F. App'x 404 (5th Cir. 2014).unpublishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam).
- Mid-Continent Cas. Co. v. Castagna, Vanessa, 410 S.W.3d 445 (Tex. App.—Dallas 2013).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Ohio Cas.
- Edmond L. Bisland III & Rhonda T. Bisland// Fin. Indem. Co., or Properly Unitrin Cnty. Mut. Ins. Co. F/K/A Charter Cnty. Mut. Ins. Co. v. Fin. Indem. Co., or Properly Unitrin Cnty. Mut. Ins. Co. F/K/A Charter Cnty. Mut. Ins. Co.// Edmond L. Bisland III & Rhonda T. Bisland, No. 03-11-00228-CV (Tex. App.—Austin June 21, 2013).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (explaining that person injured by insured is third-party beneficiary of liability policy 5 It is worth noting that the Bislands are not arguing that they tried to enforce or execu…
- Edmond L. Bisland III & Rhonda T. Bisland// Fin. Indem. Co., or Properly Unitrin Cnty. Mut. Ins. Co. F/K/A Charter Cnty. Mut. Ins. Co. v. Fin. Indem. Co., or Properly Unitrin Cnty. Mut. Ins. Co. F/K/A Charter Cnty. Mut. Ins. Co.// Edmond L. Bisland III & Rhonda T. Bisland, No. 03-11-00228-CV (Tex. App.—Austin May 2, 2013).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam) (explaining that person injured by insured is third-party beneficiary of liability policy but may not enforce policy directly until insured’s obligation to pay is established); see…
- Farmers Ins. Exch. v. Rodriguez, 366 S.W.3d 216 (Tex. App.—Houston [14th Dist.] 2012).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam); Great Am.
- Farmers Ins. Exch. & Allstate Cnty. Mut. Ins. Co. v. Juan Rodriguez, No. 14-10-00995-CV (Tex. App.—Houston [14th Dist.] Feb. 16, 2012).publishedCo. of Tex. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989) (per curiam); Great Am.
- Rust v. Texas Farmers Ins. Co., 341 S.W.3d 541 (Tex. App.—El Paso 2011).publishedCo. of Texas v. Ollis, 768 S.W.2d 722, 723 (Tex.1989), citing Great American Ins.
- Pamela Rust v. Texas Farmers Ins. Co., No. 08-10-00128-CV (Tex. App.—El Paso Apr. 20, 2011).publishedCo. of Texas v. Ollis , 768 S.W.2d 722, 723 (Tex. 1989), citing Great American Ins.
- Atl. Cas. Ins. v. Ramirez, 651 F. Supp. 2d 669 (N.D. Tex. 2009).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex. 1989)).
- Ohio Cas. Ins. Co. v. Time Warner Ent. Co., 244 S.W.3d 885 (Tex. App.—Dallas 2008).published([An injured third party] cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party.)
- In Re Allstate Cnty. Mut. Ins. Co., 227 S.W.3d 667 (Tex. 2007).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per cu-riam) (prohibiting direct actions against a third party’s insurer “until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the…
- Howell v. TS Commc'ns, Inc., 209 S.W.3d 921 (Tex. App.—Dallas 2006).published Co. of Texas v. Ollis, 768 S.W.2d 722, 723 (Tex.1989).
- Stewart Fam. Funeral Home, Ltd. v. Funeral Directors' Life Ins., 410 F. Supp. 2d 514 (E.D. Tex. 2006).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam).
- Nat'l Am. Ins. v. Breaux, 368 F. Supp. 2d 604 (E.D. Tex. 2005).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Great Am.
- Old Am. Cnty. Mut. Fire Ins. Co. v. Renfrow, 90 S.W.3d 810 (Tex. App.—Fort Worth 2002).published Co. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Great Am.
- Struna v. Concord Ins. Servs., Inc., 11 S.W.3d 355 (Tex. App.—Houston [1st Dist.] 2000).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989) (per curiam) (generally a party injured by an insured is a third-party beneficiary of the insured’s liability insurance policy).
- Terry v. S. Farm Bureau Cas. Ins. Co., 991 S.W.2d 467 (Tex. App.—Tyler 1999).publishedIt argues that Texas courts have held that uninsured motorist coverage is designed to place the injured party in the same position as if the other motorist had been insured, citing Greene v. Great American Insurance Co., 516 S.W.2d 739, 74…
- State Farm Mut. Auto. Ins. v. Traver, 980 S.W.2d 625 (Tex. 1998).publishedCo. of Tex., 768 S.W.2d 722, 723 (Tex. 1989); Great Am.
- State Farm Lloyds Ins. Co. v. Maldonado, 963 S.W.2d 38 (Tex. 1998).published Co. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Klein v. Century Lloyds, 154 Tex. 160 , 275 S.W.2d 95, 96 (1955).
- State Farm Lloyds Ins. Co. v. Maldonado, 935 S.W.2d 805 (Tex. App.—San Antonio 1996).published Co. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989); Great Am.
- IMC Fertilizer, Inc. v. Angus Chem. Co., 925 S.W.2d 355 (Tex. App.—Houston [1st Dist.] 1996).publishedCo. v. Ollis, 768 S.W.2d 722, 723 (Tex.1989).
- Burton v. State Farm Mut. Auto. Ins., 869 F. Supp. 480 (S.D. Tex. 1994).published
- Cowley v. Texas Snubbing Control, Inc., 812 F. Supp. 1437 (S.D. Miss. 1992).published
- Sikes v. Zuloaga, 830 S.W.2d 752 (Tex. App.—Austin 1992).published
- Watson v. Allstate Ins. Co., 828 S.W.2d 423 (Tex. App.—Fort Worth 1992).published
- Getty Oil Co. v. Ins. Co. of North Am., 845 S.W.2d 794 (Tex. 1993).published
- Allstate Ins. Co. v. Watson, 876 S.W.2d 145 (Tex. 1994).published
- Gail Little Norsworthy v. Sandra Autry, in Her Capacity as the Receiver of Nat'l Cnty. Mut. Fire Ins. Co. & as Successor to Stephen S. Durish, No. 03-92-00616-CV (Tex. App.—Austin Aug. 25, 1993).published
- Daniel A. Ramirez v. First Liberty Ins. Corp., 458 S.W.3d 568 (Tex. App.—El Paso 2014).published
- Daniel A. Ramirez v. First Liberty Ins. Corp., No. 08-12-00371-CV (Tex. App.—El Paso Sept. 3, 2015).published
At page 773 cited at this page1 citing case
- Murphy v. On Your Side Nationwide Ins. Agency, Inc., No. 4:23-cv-01044 (E.D. Tex. July 7, 2025).Co. v. Ollis, 768 S.W.2d 722, 773 (Tex. 1989)).
At page 722 “an injured third party cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party.”0 citing cases
Retrieving the full opinion text from the archive…
STATE FARM COUNTY MUTUAL INSURANCE COMPANY OF TEXAS, Petitioner,
v.
Dr. Phillip C. OLLIS, D.C., Respondent
v.
Dr. Phillip C. OLLIS, D.C., Respondent
C-7955.
Texas Supreme Court.
Jan 11, 1989.
Published opinion
768 S.W.2d 722
1989 Tex. LEXIS 1
1989 WL 772
Mark C. Walker, Grambling & Mounce, El Paso, for petitioner., James F. Scherr and Philip E. Kenrick, Law Offices of James F. Scherr, El Paso, for respondent.
Per Curiam.
Cited by 68 opinions | Published
PER CURIAM.
Dr. Phillip C. Ollis treated an automobile accident victim and received an assignment of the victim’s rights to receive money from State Farm, but not an assignment of any part of the cause of action against the insured. Dr. Ollis then brought suit asserting his rights as the assignee of a third party beneficiary under a liability insurance policy issued by State Farm. The trial court granted summary judgment that Dr. Ollis recover $4,461.00 from State Farm County Mutual Automobile Insurance Company. The court of appeals affirmed with one justice dissenting. 754 S.W.2d 781. In Great American Ins. Co. v. Murray, 437 S.W.2d 264 (Tex.1969), we held that a party injured by the insured is a third party beneficiary of a liability insurance policy. However, he cannot enforce the policy directly against the insurer until it has been established, by judgment or agreement, that the insured has a legal obligation to pay damages to the injured party. Id. at 265. Because the judgment of the court of appeals conflicts with this holding in Murray, a majority of the court reverses and, without argument, renders judgment that Dr. Ollis take nothing, pursuant to Tex.R.App.P. 133(b).
State Farm issued a standard automobile liability insurance policy to Francisco Alda-va. In the policy State Farm promises to pay damages “for which any covered person becomes legally responsible because of an auto accident.” The policy further provides that no cause of action may be brought against State Farm, unless the liability of a covered person has been established by a judgment, or by written agreement with State Farm.
Mr. Aldava had an automobile accident with Eleno Hernandez. To pay for his medical treatment, Hernandez assigned to Dr. Ollis his right to receive sums payable from State Farm. Thereafter, Hernandez, Aldava, and State Farm entered into a settlement agreement. While denying liability, Aldava and State Farm paid $9,000.00 to Hernandez for his release of all claims arising out of the automobile accident.
Dr. Ollis brought suit directly against State Farm, alleging contractual theories of recovery only. The parties filed cross-motions for summary judgment. The trial court denied State Farm’s motion and granted summary judgment to Dr. Ollis. The court of appeals affirmed, finding that the settlement agreement established State Farm’s liability under the policy.
However, State Farm and Aldava did not agree to pay damages when they settled with Hernandez. Rather, as noted by Chief Justice Osborn in his dissent, the settlement agreement does nothing more than buy peace. Having failed to obtain a judgment or agreement that Aldava is obligated to pay damages, Dr. Ollis has not shown an entitlement to payment under the insurance policy. Murray, supra.
[*724] The judgment of the court of appeals is reversed and judgment rendered that Dr. Ollis take nothing against State Farm Mutual Auto Insurance Company. Tex.R. App.P. 133(b).