Justia Civil Procedure Opinion Summaries

Plaintiffs Mary Hall, as personal representative of the estate of Adolphus Hall, Sr., and Anaya McKinnon, as personal representative of the estate of Wanzy Lee Bowman appealed the dismissal of their class-action claims against Environmental Litigation Group, P.C. ("ELG"). Plaintiffs alleged ELG agreed to represent hundreds of clients who had been exposed to asbestos, including their respective decedents. Plaintiffs alleged ELG charged its clients an excessive fee above and beyond the amount listed in their respective contracts. The trial court dismissed their case with prejudice. The Alabama Supreme Court disagreed with the trial court’s judgment, reversed and remanded. On remand, the trial court appointed a special master, who again recommended dismissal of plaintiffs’ claims. The trial court held that the attorney-employment agreement was ambiguous and that this ambiguity was fatal to the plaintiffs' class-allegation claims. Thus, the trial court dismissed the class claims before the class-certification process began. At this point in the proceedings and under the standard of review, the Supreme Court saw no ambiguity in the attorney-employment agreements, negating the trial court's contrary conclusion as to the individualized inquiry necessary with regard to the plaintiffs' contract claims. The Court therefore reversed the trial court's order dismissing the plaintiffs' claims for class-based relief and remanded the matter for further proceedings. View "Hall v. Environmental Litigation Group, P.C." on Justia Law

Defendants Midsouth Paving, Inc., Rennie Jackson, United Services Automobile Association ("USAA"), and Schaeffler Group USA, Inc., and Gelco Corporation separately petitioned the Alabama Supreme Court for writs of mandamus directing the Hale Circuit Court to vacate its order denying the defendants' motions for a change of venue and to enter an order transferring the action filed against the defendants by plaintiffs Barbara Hodge, as the administratrix of the estate of Katie-Elizabeth Vann, and Sue Davis, as parent and next friend of Valorie Eicher, Tristan Eicher, and Cody Ballinger, to the Tuscaloosa Circuit Court. Jackson, an employee of Schaeffler and a resident of Tuscaloosa County, was driving a vehicle owned by Gelco, in the lane next to the vehicle being driven by Valorie. Jackson made an improper lane change, which forced Valorie to drive her vehicle partially off the interstate. Valorie lost control of her vehicle as she attempted to drive the vehicle back onto the interstate. Ultimately, the vehicle Valorie was driving overturned and rolled approximately two and one-half times, ejecting all the occupants from the vehicle. All the occupants in the vehicle driven by Valorie sustained injuries; Vann died at the scene of the accident as a result of the injuries she incurred. At the time of the accident, Midsouth was performing construction work in an area on Interstate 59 in Tuscaloosa County that encompassed the scene of the accident. Plaintiffs sued the defendants in the Hale Circuit Court. Subsequently, all the defendants filed motions for a change of venue, arguing that the doctrine of forum non conveniens necessitated the transfer of the case from the Hale Circuit Court to the Tuscaloosa Circuit Court. After review, the Supreme Court determined defendants demonstrated a clear legal right to writs of mandamus directing the Hale Circuit Court to vacate its order denying the defendants' motions for a change of venue and to enter an order transferring this action to the Tuscaloosa Circuit Court. View "Ex parte Midsouth Paving, Inc." on Justia Law

Defendants Robert Przybysz, Ingenuity International, LLC ("Ingenuity"), David Byker, and Global Asset Management Holdings, LLC ("GAM"), filed two petitions for a writ of mandamus. Both petitions sought a writ ordering the Jefferson Circuit Court to vacate the portion of its order requiring Przybysz, Byker, and GAM to dismiss an action they filed in the United States District Court for the Northern District of Alabama against Nannette Smith alleging breach of a settlement agreement between the parties. Smith and B2K Systems, Inc. ("B2K Inc."), filed an action against the defendants and B2K Systems, LLC ("B2K LLC"), asserting various claims, and, at some point, GAM filed an action against B2K LLC. The two cases were consolidated. After years of litigation, the parties entered into a settlement agreement, settling both cases. As part of the settlement agreement, Byker and/or GAM were to make an initial payment to Smith and then additional payments over a 30-month period. In exchange, Smith agreed to provide a business asset, which was the object of the underlying litigation, to the defendants. Because the settlement agreement required payments to be made over a 30- month period, the circuit court did not enter a final judgment on the settlement agreement, but placed the case on its administrative docket with the intention of leaving it there until the payments to Smith were satisfied. There was no indication that a final judgment has been entered in the underlying cases. Przybysz, Byker, and GAM sued Smith in the federal district court asserting various claims based on Smith's alleged breach of the settlement agreement. The Alabama Supreme Court agreed with defendants: the circuit court did not have the authority to order Przybysz, Byker, and GAM to dismiss their federal action against Smith; the defendants demonstrated a clear legal right to the relief they sought. View "Ex parte Robert Przybysz" on Justia Law

The Turners contended Wells Fargo Bank failed to give them proper notice of foreclosure required pursuant to Section 22 of their mortgage documents. Because they did not receive proper notice required by the mortgage, the Turners argued Wells Fargo was precluded from foreclosing on the property and that the foreclosure sale was void. The Alabama Supreme Court found that Wells Fargo indeed failed to provide the Turners with proper notice under the mortgage. Accordingly, because Wells Fargo failed to comply with the requirements of the mortgage, the mortgage sale conducted on February 27, 2012, failed. The Court of Civil Appeals’ judgment holding to the contrary was thus reversed and the matter remanded for further proceedings. View "Ex parte Trenton Turner, Jr." on Justia Law

Aliant Bank, a division of USAmeribank ("Aliant"), sued various individuals and business entities involved in a failed effort to develop the Twelve Oaks subdivision in Odenville, alleging that, as a result of those defendants' conspiracy and wrongful actions, Aliant's security interest in the property upon which the Twelve Oaks subdivision was to be built had been rendered worthless. The Circuit Court ultimately entered a number of orders either dismissing Aliant's claims or entering a summary judgment in favor of the various defendants. Aliant has filed three appeals; we affirm in part and reverse in part in appeals no. 1150822 and no. 1150823 and affirm in appeal no. 1150824. After careful consideration of all the claims, the Alabama Supreme Court affirmed those judgments in part and reversed them in part. In appeal no. 1150822, the Court reversed summary judgment against Aliant (1) on the negligence and breach-of-fiduciary duty claims asserted against the Board members in count four of Aliant's complaint; (2) on the fraudulent-misrepresentation and fraudulent-suppression claims asserted against Smith and Twelve Oaks Properties in count seven of Aliant's complaint; and (3) on the conspiracy claims asserted against Smith, Twelve Oaks Properties, Four Star Investments, Mize, and Billy Smith in count seven of Aliant's complaint. The Court affirmed summary judgment against Aliant and in favor of the various Twelve Oaks defendants in all other respects. In appeal no. 1150823, the Court reversed summary judgments against Aliant on the conspiracy claims asserted against Hunt and WHA in count seven of Aliant's complaint; however, the Court affirmed those summary judgments with regard to all other claims asserted by Aliant against Hunt and WHA. Finally, in appeal no. 1150824, the Court affirmed summary judgment against Aliant and in favor of the EOS defendants on all counts. View "Aliant Bank v. Wrathell, Hunt & Associates, LLC" on Justia Law

The Alabama Department of Corrections ("ADOC") petitions this Court for a writ of mandamus directing the Montgomery Circuit Court to enter an order dismissing, on the ground of sovereign immunity the claims asserted against it by Jean and Scott Clowers. Jean Clowers sued ADOC, Isabella Cowan, and fictitiously named parties, seeking to recover damages for injuries she alleges she sustained as a result of a collision between a vehicle she was driving and an ADOC van driven by Cowan, who, at the time of the accident, was a work-release inmate in the custody of ADOC. Clowers alleged in her complaint that ADOC was vicariously liable for Cowan's alleged negligence and/or wantonness in running a red light and thus causing the accident. Clowers's husband, Scott, joined the action, claiming damages for loss of consortium. The Alabama Supreme Court determined ADOC established a clear legal right to the relief requested. Accordingly, the Court granted the petition for the writ of mandamus and directed the circuit court to dismiss the claims against ADOC based on the doctrine of sovereign immunity. View "Ex parte Alabama Department of Corrections." on Justia Law

Charles Taylor appealed a court order finding he was rightfully removed as the pastor of the Paradise Missionary Baptist Church ("PMBC"). By 2012, PMBC's membership of 16 persons had fractured into 2 groups. It is alleged that the congregation had become dissatisfied with Taylor's service as pastor at PMBC and that Taylor and his close relatives had "started taking over the church" and were behaving in such a way as to have "forced other members from attending church." Taylor headed one group of eight church members, and Lenora Ray, a church trustee and co-founder, headed the other group of eight church members. After review of this matter, the Alabama Supreme Court determined the trial court lacked subject-matter jurisdiction to decide whether Taylor’s dismissal as Pastor of PMBC was valid, and therefore reversed and remanded. View "Taylor v. Paradise Missionary Baptist Church" on Justia Law

Mazda Motor Corporation ("Mazda") appealed a judgment entered against it on two jury verdicts resulting from two product liability claims filed in Alabama. The claims stemmed from an accident involving a “Mazda 3” driven by then 16-year-old Sydney McLemore, with 15-year-old Natalie Hurst as a passenger. McLemore was driving 55 miles per hour in a 35 mile-per-hour zone when she lost control of the car; the car spun around and hit a light pole before coming to a stop, then burst into flames. McLemore suffered third-degree burns covering approximately 15 percent of her body; Hurst died from burn injuries. Hurst’s parents filed suit against Mazda and McLemore, asserting wrongful death, and pertinent here, product liability claims. Specifically, they alleged that Mazda erred by designing the 2008 Mazda 3 so that a plastic fuel tank was positioned one-half inch from a steel muffler that had sharp protruding edges so that when hit, the muffler's sharp edge cut the fuel tank, causing the fuel tank to fail and allowing gasoline vapors to escape and to ignite, which caused the post-collision fuel-fed fire. The Alabama Supreme Court concluded after review of the trial court record that the trial court did not err with respect to the admission of certain expert testimony. McLemore’s wantonness claim should not have been submitted to the jury, and the judgment must be reversed insofar as it included an award based on that claim. The record did not support an award of punitive damages in connection with McLemore’s claim against Mazda. Further, Mazda has failed to present any argument that would counsel in favor of a remittitur of the Hursts' damages award on their wrongful-death claim, and, therefore, the jury's $3.9 million award in favor of the Hursts and against Mazda. The trial court was therefore affirmed in part, reversed in part and remanded for further proceedings. View "Mazda Motor Corporation v. Hurst" on Justia Law

Wells Fargo Bank, N.A. appealed a circuit court's denial of its claim for attorney fees against National Bank of Commerce ("NBC"). The claim at issue in this appeal stemmed from a lawsuit concerning the deposit of a check issued by Jennifer Champion, treasurer of Jefferson County, for $178,916.42 in settlement of claims made in Winston v. Jefferson County, a class-action lawsuit concerning excess tax bids. The check was drawn on Jefferson County's account with Wachovia Bank, N.A. (a predecessor to Wells Fargo), and it was jointly payable to the order of Carl Prewitt, Debra Prewitt, Renasant Bank, and Moore Oil Co., Inc. ("Moore Oil"). After the check was issued, it was mailed to the Prewitts, received by Debra Prewitt. The check was stamped "for deposit only," and it was deposited to an account in the name of Liberty Investing, LLC ("Liberty Investing"), at Red Mountain Bank (a predecessor to NBC), using a remote scanner that was provided by NBC's predecessor to Creative Edge Landscaping, Inc. It is undisputed that the check was deposited without endorsements and that the Prewitts were not signatories on the Liberty Investing account. Wells Fargo's predecessor paid the check and debited Jefferson County's account. The Prewitts received the proceeds of the check over time through a series of withdrawals and transfers from the Liberty Investing account. Moore Oil became aware of the check, and by a letter it demanded that Jefferson County pay Moore Oil the amount of the check because, Moore Oil contended, it was entitled to the proceeds of the check. The Alabama Supreme Court fetermined Wells Fargo's claim for reimbursement of attorney fees expended in defense of the claim brought by Moore Oil lacked support in the applicable statutory scheme. Furthermore, neither of the "special equity" rules under which Wells Fargo claimed entitlement to reimbursement of its attorney fees was applicable in this situation. Finding no reversible error as to the denial of attorney fees to Wells Fargo, the Supreme Court affirmed the trial court. View "Wells Fargo Bank, N.A. v. National Bank of Commerce" on Justia Law

Jewels by Park Lane, Inc. ("JBPL"), and Kathy Cassidy, the national director for JBPL, sought a writ of mandamus compelling the Circuit Court to vacate its order denying their motion to dismiss an action against them on the ground of improper venue arising out of a forum-selection clause, and to enter an order dismissing the case. JBPL was a multilevel marketing company that sold jewelry through independent contractors who host parties offering JBPL's jewelry line for sale. Jennifer Miller became a “director” for LBPL. Miller sued JBPL and Cassidy, alleging JBPL promised to employ her for a 12-month period and to pay her $4,000 a month for that period. Miller set out claims alleging account stated, open account, breach of contract, and fraud. Miller sought compensatory damages, punitive damages, and attorney fees. The employment agreement contained a “forum selection clause” in which any disputes between the parties would be settled in accordance with the laws of Illinois. Miller admitted that the director agreement contained a forum selection clause but argued that she would not have entered into the agreement but for the fraud perpetuated by JBPL and Cassidy. The Alabama Supreme Court concluded JBPL and Cassidy have shown a clear legal right to have the action against them dismissed on the basis that venue in the Tallapoosa Circuit Court was, by application of the outbound forum-selection clause, improper. The trial court exceeded its discretion in denying their motion to dismiss Miller's action. View "Ex parte Jewels by Park Lane, Inc." on Justia Law