Understanding Civil Conspiracy in Texas Law

When people think of “conspiracy,” they often imagine criminal plots or secret agreements to break the law. But conspiracy isn’t just a criminal concept — it also has a civil counterpart that allows injured parties to seek damages when two or more people work together to commit a wrongful act. In Texas, civil conspiracy can be a powerful legal claim, particularly in business disputes, tort cases, and complex litigation involving fraud or breach of fiduciary duty.

What Is Civil Conspiracy?

Civil conspiracy is not a standalone cause of action — rather, it is a derivative claim. This means that there must be an underlying wrongful act (such as fraud, defamation, conversion, or breach of fiduciary duty) for the conspiracy claim to survive. The conspiracy arises from an agreement between two or more parties to commit that underlying tort.

Under Texas law, the essential elements of civil conspiracy are:

1. A combination of two or more persons;
2. An object to be accomplished (either unlawful or by unlawful means);
3. A meeting of the minds on the object or course of action;
4. One or more unlawful, overt acts; and
5. Damages as the proximate result.

In simpler terms, if two or more individuals agree to engage in wrongful conduct — and that conduct causes harm — each may be liable for the resulting damages, even if one of them didn’t personally carry out the wrongful act.

Civil vs. Criminal Conspiracy

Unlike criminal conspiracy, which focuses on the agreement to commit a crime, civil conspiracy focuses on compensating the victim for the harm caused. There’s no need for a criminal charge or conviction — only proof that an agreement existed and that the underlying tort occurred.

For example, if two business partners conspire to defraud investors, the victims may sue both conspirators for the full amount of the loss, even if one partner played a minor role.

Common Contexts for Civil Conspiracy Claims

Civil conspiracy often arises in cases involving:

• Fraud or fraudulent transfers (e.g., concealing or moving assets to avoid creditors)
• Breach of fiduciary duty (e.g., collusion between corporate officers or business partners)
• Tortious interference (e.g., conspiring to interfere with another’s contract or business relationship)
• Defamation (e.g., multiple parties coordinating to spread false statements)

Because conspiracy extends liability to all participants, it can significantly raise the stakes in multi-party litigation.

The Importance of “Meeting of the Minds”

The “meeting of the minds” requirement is often the most difficult to prove. Texas courts require clear evidence that the defendants agreed to pursue a common objective. Mere parallel conduct or suspicion of cooperation isn’t enough. Circumstantial evidence — such as coordinated actions, communications, or shared profits — can, however, support a finding of agreement.

Joint and Several Liability

One of the most significant aspects of civil conspiracy is joint and several liability. Each conspirator can be held liable for the entire amount of damages, regardless of their individual role. This can make conspiracy claims a strategic tool for plaintiffs when multiple actors contribute to a single harm.

Defenses to Civil Conspiracy

Defendants may raise several defenses, including:

• Lack of agreement or coordination
• Absence of an underlying tort
• Statute of limitations for the underlying wrongful act
• Good faith reliance on advice or information

Because conspiracy is derivative, if the plaintiff fails to prove the underlying tort, the conspiracy claim automatically fails.

Final Thoughts

Civil conspiracy is a complex but powerful doctrine under Texas law. It serves as a deterrent to coordinated wrongdoing and ensures that victims can hold all participants accountable. Whether you are pursuing or defending against such a claim, understanding the interplay between conspiracy and the underlying tort is essential to effective litigation strategy.

At David C. Barsalou, Attorney at Law, PLLC, we help clients navigate business, family, tax, estate planning, and real estate matters ranging from document drafting to litigation with clarity and confidence. If you’d like guidance on your situation, schedule a consultation today. Call us at (713) 397-4678, email barsalou.law@gmail.com, or reach us through our Contact Page. We’re here to help you take the next step.