By: Jackson, Ellis S.C.R. No. 59
(In the Senate - Filed April 14, 2009; April 15, 2009, read
first time and referred to Committee on Jurisprudence;
May 13, 2009, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 4, Nays 0; May 13, 2009,
sent to printer.)
COMMITTEE SUBSTITUTE FOR S.C.R. No. 59 By: Hinojosa
SENATE CONCURRENT RESOLUTION
WHEREAS, MBP Corp. alleges that:
(1) in May 1990, the Board of Trustees of the Galveston
Wharves entered into a lease and development agreement with The
Woodlands Corporation;
(2) in January 1993, The Woodlands Corporation
assigned all of its rights, title, and interest in the lease to
Strand Harborside Joint Venture, a Texas joint venture of The
Woodlands Corporation and MBP Corp.;
(3) in January 1994, The Woodlands Corporation
assigned all of its interest in the joint venture to MBP Corp.,
effectively dissolving the joint venture, and leaving MBP Corp. as
the successor in interest to the lease;
(4) under the terms of the lease, MBP Corp., as
successor in interest to the lease, would develop tourist-related
facilities at its own cost within a time frame dictated by the Board
of Trustees of the Galveston Wharves while paying rent to the board
for the property, and on termination of the lease, all developments
made by MBP Corp. would be owned by the Board of Trustees of the
Galveston Wharves;
(5) the property affected by the lease includes the
rooftop of the Mallory Building, also known as the Galveston Cruise
Ship Terminal, and the aerial rights above the Mallory Building;
(6) in 1999 and in 2003, the Board of Trustees of the
Galveston Wharves and MBP Corp. negotiated amendments to the lease
agreement;
(7) the parties have a dispute over the lease;
(8) in addition, other disputes have developed between
MBP Corp. and the Board of Trustees of the Galveston Wharves over
the lease;
(9) MBP Corp. seeks legislative approval to file suit
in order to resolve any and all disputes between the parties
regarding the lease; now, therefore, be it
RESOLVED by the Legislature of the State of Texas, That MBP
Corp. is granted permission to sue the Board of Trustees of the
Galveston Wharves subject to Chapter 107, Civil Practice and
Remedies Code; and, be it further
RESOLVED, That the Chairman of the Board of Trustees of the
Galveston Wharves be served process as provided by Subdivision (3),
Subsection (a), Section 107.002, Civil Practice and Remedies Code.
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