Justia Alabama Supreme Court Opinion Summaries

Limestone Creek Developers, LLC ("LCD"), sued Stuart Trapp and two companies in which Trapp had a controlling interest (Kyvest, Ltd., and Redesign, Inc.) after Trapp was unable or unwilling to close on a contract he had personally entered into agreeing to purchase all the lots in a new subdivision owned by LCD. The trial court entered a summary judgment in favor of the Trapp defendants, and LCD appealed. While expressing no opinion with regard to whether that contract violated state law, the Supreme Court nevertheless held that the contract in question was void because it violated section 1.2.3 of the MCSR. Accordingly, the trial court correctly entered a summary judgment in favor of the Trapp defendants on LCD's breach-of-contract claim, as well as LCD's other claims, which were dependent on that contract. The judgment of the trial court was affirmed. View "Limestone Creek Developers, LLC v. Stuart Trapp et al. " on Justia Law

Lexington Insurance Company and Chartis, Inc. appealed a circuit court order that appointed a third arbitrator to the arbitration panel established to settle a dispute between Lexington and Southern Energy Homes, Inc. ("SEH"). From January 1, 2002, through October 31, 2004, SEH purchased from Lexington three commercial general-liability ("CGL") policies. An endorsement to a CGL policy insuring SEH from January 1, 2002, through December 31, 2002, provided that SEH is responsible for a $100,000 self-insurance retention ("SIR") "per occurrence." Endorsements to two successive CGL policies that together provided coverage to SEH through October 31, 2004, provide that SEH is responsible for a $250,000 SIR per occurrence. The SIR applied both to costs of defense incurred by SEH and to amounts SEH pays in settlement or pursuant to a judgment. From January 1, 2002, through October 31, 2004, SEH was named as a defendant in 46 lawsuits alleging property damage and personal injury resulting from SEH's using a vinyl-on-gypsum product in the homes it manufactured. SEH gave notice of these lawsuits to Lexington, and that it had exhausted its SIR amounts in the litigation and was entitled to reimbursement from Lexington. More than 120 days passed without SEH receiving a decision from Lexington as to whether it agreed with SEH's claim for this amount. SEH made an arbitration demand pursuant to the arbitration clauses of the CGL policies, including the SIR endorsement to the 2002 policy. Upon review of the policies in question, the Supreme Court concluded that the circuit court erred in appointing the third arbitrator. The order was reversed and the case was remanded for further proceedings. View "Lexington Insurance Co. v. Southern Energy Homes, Inc. " on Justia Law

John Woodruff appealed a circuit court order dismissing his malicious-prosecution, false imprisonment, and tort-of-outrage claims against the City of Tuscaloosa ("the City") and several of its employees. On October 16, 2006, Woodruff went to the Tuscaloosa Police Department headquarters to resolve a warrant that had been sworn against him for harassing communications. After presenting himself, Woodruff was arrested and handcuffed by a Tuscaloosa police officer and told to wait until another officer could arrive to complete the booking process. While waiting in the public lobby of police headquarters, Woodruff became involved in a verbal altercation with an off-duty Tuscaloosa police officer, and he was subsequently charged by Officer Canterbury with disorderly conduct, another Class C misdemeanor. Woodruff was thereafter booked and transported to the county jail, where he was released on bond later that night. On October 19, 2006, Woodruff returned to the Tuscaloosa Police Department to file a written complaint regarding the events surrounding his arrest and booking on October 16. The Tuscaloosa Police Department ultimately determined that Woodruff's complaint was without merit. On November 15, 2006, Woodruff was convicted of disorderly conduct. He thereafter sought a trial de novo on the charge in Circuit Court; however, in December 2008, while the matter was still pending, Woodruff and the City apparently reached an agreement to nol-pros the charge if Woodruff would undergo counseling. On January 2, 2009, the disorderly conduct charge was formally dropped. On January 3, 2011, Woodruff filed the this action. Upon review, the Supreme Court concluded that it was "evident" that Woodruff did not state a claim upon which relief could be granted. The Court affirmed the circuit court in denying his claims. View "Woodruff v. City of Tuscaloosa" on Justia Law

Alanna Nail, Paul Watson, and Gennie Farragher, all registered nurses, petitioned the Supreme Court for a writ of mandamus to direct the Calhoun Circuit Court to vacate its order denying the summary-judgment motion they filed, which raised a statute-of-limitations defense. George Dulin was admitted to the Northeast Alabama Regional Medical Center ("the Center") in May 2005 for treatment of "crush injuries to his chest." Dulin's tracheostomy tube allegedly became dislodged during a bath administered by the nursing staff, resulting in the loss of oxygen for an undetermined period. He allegedly suffered brain damage as the result of oxygen deprivation. One month later, Vivian Dulin, George's wife, obtained and reviewed the hospital records. Included in the records was a "Cardiopulmonary Pulmonary Arrest Flow Sheet," purported to identify, by handwritten entries, eight members of a "Code Team" involved in the incident. The Dulins commenced a medical malpractice action against the Center and 17 fictitiously named defendants. Subsequently, Nail, Watson, and Farragher moved for a summary judgment on the ground that the amended complaint, which purported to substitute their names for certain fictitiously named defendants, was filed more than two years after the alleged incident on June 3, 2005, and did not relate back to the filing of the original complaint, because, they argued, the Dulins failed to exercise "due diligence" in ascertaining the nurses' identities. The trial court denied the nurses' motion, and they filed this petition. Upon review, the Supreme Court concluded that "[d]ue diligence means ordinary, rather than extraordinary, diligence." Under the circumstances of this case, including (1) the Dulins' prompt acquisition of the medical records, (2) the state of the names of the nurses in the room with George Dulin in his medical records, and (3) the promptness of discovery and of the substitution, the Court could not say, as a matter of law, that the Dulins failed to exercise due diligence in substituting the nurses for the fictitiously named defendants. The Court denied the nurses' application for a writ of mandamus. View "Dulin v. Northeast Alabama Regional Med. Ctr." on Justia Law

Eliot Hoff appealed a circuit court order that remanded the administration of the conservatorship of his grandmother, Susan Bibb Kidd, to the Jefferson Probate Court. In 2006, the probate court adjudged Kidd to be an incapacitated person and appointed Mark Goolsby as conservator of her estate. Sometime in August 2008, Goolsby sold some personal property in Kidd's estate to Anita Kidd Goyer, one of Kidd's three daughters. When another of Kidd's daughters, Susan Louis Hoff, and her son Hoff found out about the sale, they filed an objection in the probate court. Meanwhile, on September 29, 2009, Kidd died. On February 21, 2011, the probate court issued an order that, among other things, approved the August 2008 sale of Kidd's personal property to Goyer. The Hoffs promptly moved the probate court to reconsider. An initial hearing on their motion was held on June 8, 2011; however, the matter was continued and another hearing scheduled for September 15, 2011. On June 24, 2011, Goolsby petitioned the probate court to be appointed administrator of Kidd's estate because he could not conduct business as conservator after her death. The Hoffs thereafter also filed a motion to continue the hearing scheduled for September 15, 2011. The probate court ruled on those motions, setting the hearing on the Hoffs' motion to reconsider and denying Goolsby's motion to be appointed administrator of Kidd's estate. Instead, the probate court, on its own motion, appointed attorney Elizabeth W. McElroy, the general administrator for Jefferson County, as administrator of Kidd's estate. Hoff appealed the order entered by the circuit court remanding the administration of the conservatorship of his grandmother to the probate court, arguing that he had properly petitioned for removal. Upon review of the matter, the Supreme Court concluded Hoff did not have standing to seek removal, that the circuit court's order of remand was properly entered. View "Hoff v. Goyer " on Justia Law

Dawn Elaine Patterson and her husband Brooks appealed the judgment entered by the Jefferson Circuit Court dismissing their claims against Consolidated Aluminum Corporation ("CAC") and its corporate owner Lonza America, Inc. ("Lonza"), as being barred by the applicable statute of limitations. On September 11, 2008, Dawn Patterson was diagnosed with malignant mesothelioma. On August 13, 2009, the Pattersons initiated this legal action, alleging that Dawn's mesothelioma was caused by exposure to asbestos. The Pattersons did not allege that Dawn had been directly exposed to materials containing asbestos at her home or workplace; rather, they alleged that Dawn was a victim of secondary exposure to asbestos as a result of her close contact with her father, Jerry Dison, and her grandfather, Melvin Lester, who they alleged had worked around materials containing asbestos for many years and who had allegedly brought home the asbestos dust that ultimately caused Dawn's mesothelioma. The Pattersons accordingly named Dison's and Lester's employers as defendants in their complaint, as well as various manufacturers of asbestos-containing products that Dison and Lester were alleged to have been exposed to in the course of their employment. The complaint also asserted claims against unknown defendants that had not yet been identified. The Pattersons sought to amend their complaint to substitute them for fictitiously named defendants. The trial court initially allowed the amendment but, in response to a motion filed by CAC and Lonza, subsequently held that the Pattersons' claims against them was barred by the statute of limitations. Upon review, the Supreme Court agreed: because the Pattersons did not promptly move to amend their complaint to substitute CAC and Lonza as defendants after learning of their identity and potential liability, they were not entitled to the benefit of the relation-back doctrine. View "Patterson v. Consolidated Aluminum Corp. " on Justia Law

Defendant Noland Hospital Montgomery, LLC ("NHM"), petitioned the Supreme Court for a writ of mandamus to direct the Montgomery Circuit Court to vacate its order denying NHM's motion for a summary judgment and to enter a summary judgment in NHM's favor. NHM contended that it was entitled to a summary judgment on the basis that the applicable statute of limitations for this wrongful-death action barred the claims asserted against it by Wheatton K. Pynes, individually and as executor of the estate of Houston Earl Pynes. "The disposition of this petition require[d] an interpretation of the interplay between Rule 9(h), Ala. R.Civ. P., relating to fictitiously named parties, and Rule 15(c), pertaining to the relation back of amendments to pleadings." Upon review, the Supreme Court granted the petition and issued the writ. View "Pynes v. Jackson Hospital" on Justia Law

Regions Bank ("Regions"), as sole trustee of the J.F.B. Lowrey Trust ("the Lowrey Trust"), appealed a circuit court's order that denied Regions' motion to award it attorney fees and costs. Sam G. Lowrey, Jr., and Shelby Lowrey Jones, two of the current beneficiaries of the Lowrey Trust ("the beneficiaries") cross-appealed the trial court's judgment in favor of Regions on their breach-of-fiduciary-duty claim. The beneficiaries claimed that Regions failed to protect and preserve the assets of the Lowrey Trust, which consisted primarily of approximately 20,000 acres of timberland located in Monroe and Conecuh Counties and which have been the subject of much intra-family litigation. The trial court entered a detailed order in favor of Regions, rejecting the beneficiaries' claims of mismanagement of the trust assets and taxing costs against the beneficiaries. Regions filed a bill of costs and a supplemental bill of costs detailing all the expenses incurred in defending the claim, and attaching supporting documentation. The beneficiaries filed a motion to review taxation of costs and a motion to vacate the judgment. The trial court did not rule on the motions, and all post-trial motions were deemed denied by operation of law. Regions timely appealed, and the beneficiaries filed a cross-appeal. Upon review of the record of the five-day bench trial and the considerable documentary evidence, the Supreme Court held that there was substantial evidence to support the trial court's decision on the beneficiaries' breach-of-fiduciary-duty claim. Thus, the Court affirmed the trial court's judgment in favor of Regions on that claim. The Court reversed the trial court's ruling on Regions' motion for attorney fees, and remanded this case back to the trial court for a hearing on Regions' attorney-fee motion to consider the reasonableness of the attorney fee. View "Regions Bank v.Lowrey" on Justia Law

This appeal arose from a circuit court's dismissal of Brandon Johnson's action against Gary Hetzel, warden of the Donaldson Correctional Facility; Sean Carlton, a correctional officer trainee at the facility; and correctional officers Dennis Johnson and Joe Binder. Johnson was serving a life sentence without the possibility of parole following a conviction for murder. He was seen fighting with another inmate and placed under "house arrest" pending a disciplinary hearing. Johnson argued that the defendants "deliberately plac[ed] him in 'house arrest' two cells from [another inmate with whom he had the fight], and [that] the defendants were responsible for the protection of both inmates, but instead opened the door to both cells at which time [Johnson] and [the other inmate] got into another fight," in which, Johnson argued, he was injured. Johnson filed an affidavit of substantial hardship, requesting that the initial docket fee for his case be waived. Defendants filed a motion to dismiss the complaint or, in the alternative, for a summary judgment. The circuit court granted the defendants' motion and dismissed Johnson's complaint. Johnson has appealed the circuit court's judgment of dismissal, arguing, in pertinent part, that the circuit court never had jurisdiction over his case because he did not pay the necessary filing fee and the circuit court never approved either of the affidavits of substantial hardship he had filed. Upon review, the Supreme Court concluded that the filing of a court-approved verified statement of substantial hardship was not met in this case. Therefore, the circuit court did not have jurisdiction to enter its judgment dismissing Johnson's complaint. The Court ruled the circuit court's judgment void. "[B]ecause a void judgment will not support an appeal," the Court vacated the trial court's judgment and dismissed the appeal. View "Johnson v. Hetzel" on Justia Law

Highlands of Lay, LLC ("Highlands") appealed a default judgment entered in favor of Edward O. Murphree. Murphree sued Highlands and John J. Miller, who Murphree alleged was a member of Highlands and its authorized agent. Murphree alleged fraudulent concealment, fraudulent misrepresentation, negligent misrepresentation, promissory estoppel, and breach of contract, arising out of a real-estate transaction. After he amended his complaint, Murphree was not able to obtain service upon Highlands or Miller, and the trial court granted a motion to serve them by publication. Highlands and Miller answered, and Highlands filed a counterclaim alleging negligence. Murphree then served discovery requests on Highlands. Murphree later sent additional discovery requests to Highlands and Miller; Highlands and Miller did not respond. When Highlands and Miller continued to be unresponsive to the suit, Murphree moved for a default judgment. Upon review of the case, the Supreme Court found that some of the issues presented in the then-still pending claim against Miller were the same issues presented in this appeal by Highlands. Highlands argued that the trial court erred in not setting aside the default judgment against it because it had a meritorious defense to Murphree's claims based on Miller's statements or e-mail from Miller and the timing of statements or e-mail to Murphree. "Appellate review in piecemeal fashion is not favored." The Court concluded that the trial court exceeded its discretion in certifying the judgment entered against Highlands as final pursuant to Rule 54(b). Highlands' appeal was therefore dismissed. View "Highlands of Lay, LLC v. Murphree " on Justia Law