Justia Civil Procedure Opinion Summaries

Articles Posted in North Carolina Supreme Court
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In this case, the Supreme Court of North Carolina was asked to determine whether defendant Cassie Herring, who was injured in a car accident, qualifies for benefits under the underinsured motorist (UIM) coverage of her mother and stepfather's automobile insurance policy. The policy defined an "insured" to include any "family member" who is a resident of the named insured’s household. The question was whether Herring was a "resident" of her mother's household.Herring was injured while riding in a car with her father, and the driver of the other car was insured. The other driver's insurance company tendered the limit of its policy to Herring. Herring then sought additional coverage under the UIM provision of her mother and stepfather's policy. The insurer, North Carolina Farm Bureau Mutual Insurance Company (Farm Bureau), filed a declaratory judgment action, claiming that Herring was not a resident of her mother’s household and thus did not qualify for the UIM benefits.The trial court granted summary judgment for Herring and her parents, and the Court of Appeals affirmed. Farm Bureau appealed to the Supreme Court of North Carolina, arguing that there were genuine issues of material fact about Herring’s residency.The Supreme Court of North Carolina agreed with Farm Bureau and reversed the decision of the Court of Appeals. The court held that the evidence, when viewed in the light most favorable to Farm Bureau, raised genuine issues of material fact as to whether Herring was a resident of her mother's household at the time of the accident. The court noted that there were discrepancies between Herring's testimony and the affidavits submitted by her and her parents, which created credibility issues that should be resolved by a jury. Therefore, the court concluded that summary judgment was not appropriate, and the case was remanded for further proceedings. View "N.C. Farm Bureau Mut. Ins. Co. v. Herring" on Justia Law

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A minor, Freedom Morris, sought emergency treatment for appendicitis at Vidant Medical Center and was operated on by Dr. David Rodeberg. Despite complaining of severe pain after the surgery, Morris was discharged. He returned to the hospital a day later with a fever and sharp abdominal pain. A second surgery performed by a different doctor revealed that not all of the appendix had been removed during the first operation. This had caused a ruptured appendix and infection in Morris' body. Morris underwent a third surgery to drain a pelvic abscess.More than five years after the first surgery, Morris filed a lawsuit against Dr. Rodeberg and Vidant Medical Center alleging medical malpractice and medical negligence. The defendants responded with motions to dismiss the complaint, arguing that the lawsuit was filed outside the statute of limitations for medical malpractice claims of persons who are over ten years old but under eighteen years old when their claims accrue. The trial court denied the defendants' motions, but the Court of Appeals reversed the trial court's order.The Supreme Court of North Carolina held that the three-year statute of limitations barred Morris' medical malpractice claims. The Court reasoned that while the North Carolina General Assembly has recognized that individuals under certain disabilities, including being a minor, are unable to appreciate the nature of potential legal claims and take appropriate action, subsection 1-17(c) of the North Carolina General Statutes eliminates the tolling of the medical malpractice claims of minors, except in certain situations. None of those exceptions applied to Morris' case, so his claim was subject to the standard three-year statute of limitations and was therefore time-barred. The Court did not address Morris' argument that the application of the three-year statute of limitations violated his constitutional right to equal protection of the laws because it did not have jurisdiction to review that issue. View "Morris v. Rodeberg" on Justia Law

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The Supreme Court of North Carolina was required to decide whether a trial court can refuse to hear oral testimony during a summary judgment hearing on the mistaken belief that the North Carolina Rules of Civil Procedure prohibit the receipt of such testimony. The plaintiff, a corporation, had sued the defendants for breach of a commercial lease, and the defendants counterclaimed for fraud. During the summary judgment hearing, the trial court declined a request by the defendants to introduce live testimony, asserting that it was not permitted during a summary judgment hearing. The defendants appealed, and the Court of Appeals vacated the trial court's summary judgment order and remanded the case, leading to this appeal.The Supreme Court of North Carolina held that a trial court errs if it fails to exercise its discretion under the misapprehension that it has no such discretion, referring to Rule 43(e) of the North Carolina Rules of Civil Procedure that allows for the introduction of live oral testimony during a summary judgment hearing at the discretion of the trial court. The court found that the trial court was mistaken in its belief that it could not allow oral testimony, and this error warranted vacatur and remand for reconsideration. The Supreme Court thereby modified and affirmed the decision of the Court of Appeals to vacate the trial court's summary judgment order and remand the case. View "D.V. Shah Corp. v. VroomBrands, LLC" on Justia Law

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The Supreme Court dismissed for lack of personal jurisdiction a decision of the court of appeals affirming the order of the trial court dismissing Plaintiff's claims against Defendants for lack of personal jurisdiction, holding that this Court was unable to engage in meaningful appellate review of this discretionary decision.The trial court's dismissal order was entered without the court ruling on Plaintiff's motions to compel responses to discovery requests concerning Defendants' contacts with North Carolina. On appeal, the court of appeals concluded that further jurisdictional discovery was unwarranted. The Supreme Court reversed and remanded the case, holding that because the trial court failed to provide reasons for the implied denial of Plaintiff's requests for further jurisdictional discovery this Court could not ascertain whether the court applied an analysis consistent with Ford Motor Co. v. Mont. Eighth Judicial District Court, 141 S. Ct. 1017 (2021). View "Miller v. LG Chem, Ltd." on Justia Law

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The Supreme Court affirmed in part and reversed in part an order of the court of appeals in this jurisdictional dispute, holding that the Corporate Defendants intentionally reached out to North Carolina to conduct business activities in the state, and the claims at issue in this case arose from or were related to those activities.After Plaintiff was officially terminated from his employment he brought an action against Individual and Corporate Defendants alleging, inter alia, fraud, misrepresentation, and breach of contract. Defendants moved to dismiss the action. The trial court denied the motions. The court of appeals reversed, holding that the Corporate Defendants' activities alone were not sufficient to establish specific jurisdiction and that Plaintiff's claims did not arise out of, or even relate to, the alleged contacts between Defendants and North Carolina. The Supreme Court reversed the court of appeals' decision as to Corporate Defendants, affirmed with respect to Individual Defendants, and remanded, holding that the trial court may exercise personal jurisdiction over Corporate Defendants pursuant to the Due Process Clause. View "Schaeffer v. SingleCare Holdings, LLC" on Justia Law

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The Supreme Court affirmed the judgment of the trial court denying Defendant's motion to dismiss for lack of personal jurisdiction this breach of contract matter, holding that the trial court did not err in denying Defendant's motion to dismiss for lack of personal jurisdiction.Plaintiff, which was based in Durham, North Carolina, brought this action against Defendant, a California company, after Defendant allegedly refused to pay certain fees as required by the parties' agreement and terminated the agreement without cause. The trial court denied Defendant's motion to dismiss for lack of jurisdiction, concluding that Defendant had the requisite minimum contacts with the forum. The Supreme Court affirmed, holding that the maintenance of this suit did not offend traditional notions of fair play and substantial justice. View "Toshiba Global Commerce Solutions, Inc. v. Smart & Final Stores LLC" on Justia Law

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The Supreme Court affirmed the judgment of the trial court granting a motion for class certification filed after a summary judgment motion had been granted in favor of the plaintiff in this case, Plantation Building of Wilmington, Inc., holding that no reversible error occurred.The defendant, the Town of Leland, consented to and joined a motion for continuance filed by Plaintiff. The trial court granted the motion. Thereafter, the trial court granted Plaintiff's motion for summary judgment and denied Defendant's competing motion. Thereafter, Plaintiff filed a motion for class certification. The trial court granted the motion. The Supreme Court affirmed, holding that because the motion for continuance identified that the issue of class certification would be resolved after addressing the cross-motions for summary judgment and the parties did not follow the sequence, Defendant waived any objection it may have had to the court granting Plaintiff's motion for class certification after granting Plaintiff's summary judgment motion. View "Plantation Building of Wilmington, Inc. v. Town of Leland" on Justia Law

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The Supreme Court vacated the decision of the trial court to exercise personal jurisdiction over Defendant, Logan Wagner, in a proceeding initiated by Plaintiff, Marisa Mucha, who was seeking to obtain a domestic violence protection order, holding that Defendant did not have the requisite minimum contacts with North Carolina.The only contact Defendant had with North Carolina was more than two dozen phone calls he made to Plaintiff's cell phone on the day she moved to North Carolina. Plaintiff filed a pro se complaint and motion for a DVPO in District Court, Wake County. Defendant filed a motion to dismiss for lack of personal jurisdiction. The trial court denied the motion to dismiss and entered a DVPO. The Supreme Court dismissed the trial court's order, holding that the Due Process Clause forbade the trial court from exercising personal jurisdiction over him to enter a DVPO. View "Mucha v. Wagner" on Justia Law

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The Supreme Court held that the North Carolina Constitution does not limit the jurisdiction of the state's courts in the same manner as the standing requirements that U.S. Const. art III, section 2 imposes on federal courts, including the requirement that the complaining party must show she has suffered "injury in fact," even where N.C. Gen. Stat. 163-278.39A(f) (now repealed) expressly conferred standing to sue on a party.In 1999, the North Carolina General Assembly enacted the "Disclosure Statute," section 163-278.38Z et seq., providing specific requirements for television and radio ads placed by political action committees. Plaintiff's complaint alleged two violations of the Disclosure Statute by the Employees Political Action Committee (EMPAC). The trial court granted summary judgment to EMPAC, concluding that Plaintiff had failed to allege actual demonstrable damages. The court of appeals reversed. The Supreme Court affirmed in part, holding that when a person alleges the infringement of a legal right directly under a cause of action at common law, a statute, or the North Carolina Constitution, the legal injury itself gives rise to standing. View "Committee to Elect Dan Forest v. Employees Political Action Committee" on Justia Law

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The Supreme Court affirmed the decision of the Business Court in this action brought by Global Textile Alliance, Inc. (GTA) alleging that Defendants engaged in several improper acts during the formation and operation of Dolven Enterprises, Inc., holding that the Business Court did not abuse its discretion either by ordering production of the relevant communications or by conducting a limited review of those communications.When it was discovered that GTA had withheld confidential correspondence between GTA and its outside counsel and Haspeslagh conveying legal advice regarding the matters giving rise to the instant litigation Defendant filed a motion to compel GTA to produce the communications. Defendant argued that GTA waived the attorney-client privilege by including Stefaan Haspeslagh on communications with GTA's counsel. The Business Court granted the motion to compel. The Supreme Court affirmed, holding that the Business Court (1) did not abuse its discretion by determining that communications involving Haspeslagh were not privileged under the attorney-client privilege; (2) did not err in determining that communications involving Haspeslagh were not protected under the work-product doctrine; and (3) did not err by not conducting an exhaustive in camera review of all communications involving Haspeslagh. View "Global Textile Alliance, Inc. v. TDI Worldwide, LLC" on Justia Law