Justia Civil Procedure Opinion Summaries

Terrance Fredericks appealed a district court judgment ordering him to pay more than $1,000,000 in damages to McCormick, Inc.; Native Energy Construction, LLC; and Northern Improvement Company. McCormick and Northern Improvement cross-appealed a judgment denying their motion for a judicially supervised winding up of Native Energy. In 2010, McCormick and Fredericks created Native Energy Construction to engage in construction operations related to oil production. McCormick and Fredericks executed a purchase agreement in April 2014 for Fredericks’ purchase of McCormick’s interest in Native Energy. Fredericks was unable to complete the purchase. The parties did not wind up Native Energy and the business was involuntarily dissolved by the North Dakota secretary of state in May 2015. In 2016, McCormick and Northern Improvement sued Fredericks, alleging he breached contractual and fiduciary duties owed to Native Energy, McCormick and Northern Improvement. McCormick alleged Fredericks took distributions from Native Energy without making a corresponding distribution to McCormick, wrongfully converted Native Energy’s assets for his own use, made improper payments to his wife and performed other business activities on behalf of Native Energy without McCormick’s authorization. Fredericks counterclaimed, alleging McCormick breached a fiduciary duty by taking the 5% management fee from Native Energy’s gross revenues. Fredericks requested the judicially-supervised winding up of Native Energy. The North Dakota Supreme Court affirmed in part and reversed in part. The portion of the final judgment ordering Fredericks to pay McCormick $49,795.76 was reversed and remanded for further proceedings. The remainder of the final judgment was affirmed. The judgment denying McCormick’s motion for a judicially supervised winding up of Native Energy was reversed and remanded for further proceedings. View "McCormick, et al. v. Fredericks" on Justia Law

Dustin Laufer appealed the dismissal of his complaint alleging property damage caused by Warren Doe’s agricultural chemical application. In November 2018, Laufer sued Doe, alleging Laufer’s crops were damaged when Doe sprayed a neighboring field with herbicide and the herbicide drifted onto Laufer’s land. Laufer argued the district court misapplied the law by dismissing his claim for failing to comply with statutory notice requirements. The North Dakota Supreme Court affirmed, concluding Laufer was required to strictly comply with the notice requirements and the district court did not err by dismissing Laufer’s complaint. View "Laufer v. Doe" on Justia Law

Nathanael Brown appealed the issuance of a domestic violence protection order which enjoined him from having contact with Flavia Brown and restricted his right to possess firearms. In late September 2019, Flavia Brown petitioned the district court for a protection order against Nathanael. The court issued a temporary protection order and an order for hearing procedure which set a hearing for October 9, 2019. The order for hearing procedure stated evidence would be taken by affidavit only and a party seeking to cross-examine an affiant must notify the opposing party at least twenty-four hours before the hearing. On the day before the hearing, Nathanael Brown filed notice of appearance and a request to continue the hearing. On the day of the hearing, he filed notice of cross-examination. At the time scheduled for the hearing, the district court denied Nathanael's requests for continuance and cross-examination because they were untimely under the order for hearing procedure. At the outset of the hearing, Nathanael objected to the district court’s affidavit procedure, arguing that it would deny him due process and a “full hearing” under N.D.C.C. 14-07.1-02. The district court denied Nathanael permission to cross-examine Flavia about her affidavit or to present any of his own evidence. The court accepted Flavia's affidavit and granted the domestic violence protection order preventing Nathanael from having contact with Flavia Brown for two years. Because the North Dakota Supreme Court concluded Nathanael was denied a full hearing under N.D.C.C. 14-07.1-02(4), the protection order was reversed and the matter remanded for a full hearing. View "Brown v. Brown" on Justia Law

Lawrence Lavallie brought this personal injury action against Lorne Jay and Michael Charette after the parties were involved in a motor vehicle accident. The accident occurred on the night of December 26, 2016, on County Road 43 in Rolette County, North Dakota. Lavallie was driving a snowmobile on the roadway followed by Charette who was driving a GMC Yukon automobile. It was dark with blowing snow and poor visibility. Jay was operating a tractor, and in the process of blowing snow from his driveway. When Lavallie came upon Jay operating the tractor, the tractor was located in the middle of the roadway and did not have any lights or reflectors. Concerned that Charette would not be able to see the tractor in the roadway because it was dark and snowing and because the tractor did not have any lights or reflectors, Lavallie stopped the snowmobile alongside the tractor and tried to get Jay’s attention for him to move the tractor off of the road. While Lavallie was on the parked snowmobile trying to get Jay’s attention, Charette struck the snowmobile. First responders transported Lavallie to the Rolla hospital. Lavallie was transferred to Grand Forks where part of his leg was amputated. Jay appealed when the district court judgment ordered him to pay Lavallie $946,421.76, arguing the district court erred in denying his motion to dismiss for lack of subject matter jurisdiction. Jay conceded the district court was correct in finding the accident involving the parties in this case occurred outside the external boundaries of the Turtle Mountain Reservation. The North Dakota Supreme Court found the evidence in the record indicated the accident occurred on a county road located on land held in trust for the Tribe. "The question becomes whether district courts maintain subject matter jurisdiction over claims involving conduct between enrolled members of a tribe occurring on county roads located on Indian trust land." The Supreme Court found the district court did not determine whether the accident occurred on land held in trust for the Tribe. The district court also did not determine whether the parties to this action were enrolled members of the Tribe. Without such findings, the Supreme Court was unable to adequately consider whether the district court had subject matter jurisdiction to adjudicate Lavallie’s claims. Therefore, judgment was reversed and the matter remanded for further proceedings. View "Lavallie v. Jay, et al." on Justia Law

National Parks Conservation Association (“NPCA”) appealed a judgment affirming a final permit decision by the North Dakota Department of Environmental Quality, formerly the Department of Health Environmental Health Section, to issue Meridian Energy Group, Inc. an air quality permit to construct a refinery. In October 2016, Meridian submitted its initial application and supporting documentation to the Department for a permit to construct the Davis Refinery, as required under North Dakota’s air pollution control rules implementing the federal Clean Air Act. The Department received over 10,000 comments, with most of the substantive comments coming from NPCA, the National Park Service, and the Environmental Protection Agency. NPCA filed comments with the Department supported by its two experts’ opinions, asserting that Meridian’s oil refinery would be a “major source,” rather than a “minor source,” of air pollution and that the permit does not contain “practically enforceable” emissions limits under the federal Clean Air Act and North Dakota’s air pollution control rules implementing the Clean Air Act. After considering public comments and Meridian’s responses, the Department’s Air Quality Division recommended to the State Health Officer that the Department issue a final permit because the Davis Refinery’s emissions are expected to comply with the applicable North Dakota air pollution control rules. The North Dakota Supreme Court concluded the Department did not act arbitrarily, capriciously, or unreasonably in issuing the permit. View "Nat'l Parks Conservation Assn., et al. v. ND Dept. of Env. Quality, et al." on Justia Law

Troy Boysen appealed a district court order denying his motions for reconsideration and for a new trial. In February 2019, Amy Avery petitioned the district court for a disorderly conduct restraining order against Boysen. The court entered a temporary disorderly conduct restraining order on February 12, 2019. After the court granted Boysen a continuance, a hearing on the petition was scheduled for March 8, 2019, in the Williams County courthouse. According to his affidavit, Boysen claims that while traveling from South Dakota to the March 8 hearing in Williams County, his vehicle got a flat tire. He alleges that he called the courthouse and informed the clerk of court he had a flat tire and would still try to make it to the hearing. Boysen further alleges that he was transferred to the court reporter and was told he would be given time to arrive and mount a defense. From the hearing transcript, the district court acknowledged that Boysen had called and was running late, but the court proceeded with the hearing without Boysen present, fifteen minutes after the originally scheduled time. The court stated on the record that the matter had been continued from the previous month, that Boysen was 30 miles from town and had a flat tire, and that Boysen was told the case “would go second.” The court further stated, however, that although another case had been set, the parties in that case did not show up, and the court was “not going to wait for [Boysen].” The district court held a short hearing on March 8, 2019, and subsequently entered a disorderly conduct restraining order barring Boysen from contact with or coming within 50 feet of Avery for six months, expiring August 12, 2019. According to his affidavit, Boysen arrived just in time to see the court proceedings had concluded. After review of the district court proceedings, the North Dakota Supreme Court affirmed, concluding Boysen failed to establish the district court abused its discretion in denying his motions. View "Avery v. Boysen" on Justia Law

Stephen Zundel sued his brothers, Loren and Richard Zundel, seeking possession of personal property subject to a May 2013 bill of transfer. Loren and Richard Zundel believed the property was part of their father's, Edwin Zundel’s estate. Loren served as personal representative of the estate and answered the complaint, denying Stephen's allegations. Loren sought declaratory judgment claiming the bill of transfer was invalid because Stephen obtained Edwin Zundel’s signature through undue influence and the document was falsely notarized by Stephen who was not a notary public. Stephen appealed when the district court found the bill of transfer was void as a result of Stephen's undue influence over his father, and that the bill of transfer was not validly accepted because it was not signed by a notary. Finding no reversible error, the North Dakota Supreme affirmed the district court's judgment. View "Zundel v. Zundel, et al." on Justia Law

Susan Franciere appealed a district court judgment granting the City of Mandan’s motion to dismiss for lack of personal jurisdiction due to insufficient service. In 2017, Franciere and her dog were attacked by a dog in Mandan. Days later, she went to the Mandan Police Department, asserted her rights under Article I, section 25 of the North Dakota Constitution, and requested a copy of the police report on the incident under the open records law. Franciere called the police department and was informed the dog was undergoing a 10-day rabies quarantine. Thereafter, Franciere sent a letter to the chief of police requesting the police report. On August 22, 2017, she received a phone call from a police lieutenant who told her she would not receive the report because the case was still active and no information would be released until the case was closed. In September 2017, she contacted the city attorney about the incident. Then in October, Franciere filed this action against the City, alleging violations of the North Dakota Constitution and the open records law. Franciere received a redacted report of the incident from the police department on November 1, 2017. On January 13, 2018, she received an unredacted report from the police department. On November 14, 2018, Franciere filed a motion for summary judgment. The district court declared Franciere’s action moot and dismissed it with prejudice. It declined to rule on Mandan’s motion to dismiss for insufficient service of process and lack of personal jurisdiction. The North Dakota Supreme Court vacated the district court’s judgment and remanded for determination of Mandan’s motion to dismiss for insufficiency of service of process and lack of personal jurisdiction. Upon reconsideration, the district court granted the City's motion to dismiss with prejudice. Franciere argued Mandan waived its personal jurisdiction claims, the district court improperly dismissed the case with prejudice, the district court erred when it denied her motion to compel discovery, and the district court judge was biased against her. The Supreme Court modified the judgment for dismissal without prejudice, and affirmed as modified. View "Franciere v. City of Mandan" on Justia Law

William Nelson appealed a district court judgment denying his claims relating to a quitclaim deed executed by his mother Elsie Haykel before her death. Elsie Haykel executed estate planning documents and a quitclaim deed conveying a remainder interest in a Bismarck condominium to her children, Steven Nelson, Gail Nelson-Hom, and William Nelson. Haykel died in 2014. In January 2016, Steven and Gail sued William seeking a partition and sale of the condominium. William counterclaimed, alleging the 2011 quitclaim deed was invalid because Haykel lacked mental capacity and was unduly influenced. The district court entered partial summary judgment in favor of Steven and Gail, but the North Dakota Supreme Court reversed and remanded, concluding William Nelson raised genuine issues of material fact on his claims of lack of capacity and undue influence. After a two-day trial in July and August 2019, the district court entered a judgment concluding the quitclaim deed was valid because Haykel did not lack mental capacity to execute the deed and was not unduly influenced. The judgment also awarded Steven and Gail attorney’s fees and costs, granted Steven authority to sell the condominium, and denied William's discovery claims and his motion to stay the proceedings to reopen Haykel’s probate. William raised twenty-one issues on appeal. The Supreme Court determined William did not seek a stay of the judgment before the condominium was sold. In addition, he did not claim his appeal involved great public interest. Therefore, the Court concluded the issues in the appeal relating to the sale of the condominium were moot, and dismissed that part of William Nelson’s appeal. Finding no other reversible error, the Supreme Court affirmed the trial court's judgment. View "Nelson, et al. v. Nelson" on Justia Law

This was an appeal stemming from a divorce action commenced in 2017. The only issue was division of the parties’ marital property. Included as part of the parties’ marital property was Myron Axtman’s Hess pension. The pension benefits commenced on February 1, 2015, at which time Axtman began receiving $2,891.60 per month. Myron Axtman appealed an amended judgment distributing the parties’ marital property. Axtman argued the district court abused its discretion in amending the judgment, and the court amended judgment under N.D.R.Civ.P. 60(a) without providing proper notice. The North Dakota Supreme Court determined Rule 60(a) was a proper mechanism for the court to amend the judgment to correct the mistake resulting from its oversight and omission, but the court did not provide notice to the parties it was considering amending judgment pursuant to Rule 60(a). However, the court’s error was considered harmless because, after the court amended the judgment, Axtman brought a “Motion to Vacate Order on Motion for Relief from Judgment.” In his motion, Axtman argued the district court erred in amending the judgment under Rule 60(a) because the original judgment’s failure to divide the pension payments received by Axtman during the pendency of the divorce was not a clerical mistake or a mistake arising from oversight or omission, which was the argument he raised on appeal to the Supreme Court. The Supreme Court determined Axtman was aware the district court recognized it failed to take into consideration the payments Axtman received during the pendency of the divorce in the original judgment, and that Amy Axtman was attempting to amend the judgment to account for the payments Axtman received during the pendency of the divorce. The court’s error in not providing notice did not require reversal. Thus, the Court affirmed judgment. View "Axtman v. Axtman" on Justia Law