Alfieri v. Solomon

329 P.3d 26, 263 Or. App. 492, 2014 WL 2608866, 2014 Ore. App. LEXIS 767
CourtCourt of Appeals of Oregon
DecidedJune 11, 2014
Docket120302980; A152391
StatusPublished
Cited by4 cases

This text of 329 P.3d 26 (Alfieri v. Solomon) is published on Counsel Stack Legal Research, covering Court of Appeals of Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alfieri v. Solomon, 329 P.3d 26, 263 Or. App. 492, 2014 WL 2608866, 2014 Ore. App. LEXIS 767 (Or. Ct. App. 2014).

Opinion

EGAN, J.

In this legal malpractice action arising out of the mediation of an underlying civil lawsuit, plaintiff appeals from a general judgment dismissing his claims against his former attorney, asserting that the trial court erred in granting defendant’s ORCP 21 E motion to strike and in granting defendant’s motion to dismiss with prejudice under ORCP 21 A(8) for failure to state a claim. Plaintiff contends that the trial court erred in striking the allegations that, during and just after the mediation, defendant’s representation of plaintiff was negligent and that defendant breached his fiduciary duty to plaintiff. Plaintiff also asserts that the trial court erred in dismissing his complaint with prejudice under ORCP 21 A(8). We affirm in part and reverse in part the motion to strike, and we reverse and remand the judgment of dismissal with prejudice.

In reviewing a trial court’s grant of a motion to strike under ORCP 21 E and grant of a motion to dismiss for failure to state a claim under ORCP 21 A, we employ the same standard: “We * * * accept as true all well-pleaded allegations and any facts that might be adduced as proof of those allegations.” Ross and Ross, 240 Or App 435, 439, 246 P3d 1179 (2011). In light of that standard, we summarize the facts taken from plaintiffs complaint.

Plaintiff retained defendant, an employment law attorney, to pursue claims against plaintiff’s former employer by filing complaints with the Bureau of Labor and Industries (BOLI), and, later, by filing a civil complaint on plaintiffs behalf. In that complaint, defendant initially alleged a common-law wrongful discharge claim against plaintiffs former employer, but subsequently filed a motion to amend the complaint to add additional claims. The trial court granted that motion. However, defendant did not amend the complaint. Defendant performed only limited discovery in the underlying lawsuit and then proposed mediation.

Before the mediation conference,1 defendant advised plaintiff regarding the potential value of settling the underlying [495]*495lawsuit. No resolution was reached at the mediation conference. The day after the mediation conference, the mediator suggested a settlement package to the parties. Over the next 16 days, defendant continued to advise plaintiff regarding the proposed settlement package. During that time, defendant again advised plaintiff regarding the potential value of settling the underlying lawsuit, but significantly reduced the dollar value of his recommendation. Plaintiff ultimately signed a settlement agreement that incorporated the settlement amount proposed by the mediator. The parties agreed that the terms of the agreement and the settlement amount would remain confidential. After signing the agreement, plaintiff continued to seek advice from defendant regarding the enforceability of the agreement; during that period, defendant failed to advise plaintiff that the former employer had not complied with some of the agreement’s terms,2 calling into question the enforceability of the agreement.

Plaintiff sued defendant for legal malpractice, alleging that defendant had been negligent and had breached his fiduciary duty to plaintiff. The allegations included communications by the mediator, the content of communications between plaintiff and defendant during the 16-day period after the mediation conference (the post-mediation conference period), the settlement amount and contents of the final settlement agreement, and the content of communications between plaintiff and defendant after plaintiff had signed the settlement agreement (the post-signing period).

Pursuant to ORCP 21 E, defendant moved to strike the portions of plaintiffs complaint relating to the mediation [496]*496and settlement agreement, contending that those challenged portions of the complaint were “mediation communications” that were both confidential and inadmissible under ORS 36.222(1). Defendant also filed an ORCP 21 A(8) motion to dismiss plaintiffs complaint for failure to state ultimate facts sufficient to constitute a claim, arguing that dismissal was required because plaintiff could not allege or prove his damages without the challenged portions of the complaint. After a hearing on the matter, the trial court granted defendant’s motion to strike. The court then dismissed the complaint with prejudice. This appeal followed.

Because they inform the parties’ arguments, we begin by setting forth the pertinent legal standards. Generally, “[mjediation communications are confidential and may not be disclosed to any other person” unless the parties otherwise agree, in writing. ORS 36.220(l)(a), (b). “Mediation communications” are defined in ORS 36.110(7) as follows:

“(a) All communications that are made, in the course of or in connection with a mediation, to a mediator, a mediation program or a party to, or any other person present at, the mediation proceedings; and
“(b) All memoranda, work products, documents and other materials, including any draft mediation agreement, that are prepared for or submitted in the course of or in connection with a mediation or by a mediator, a mediation program or a party to, or any other person present at, mediation proceedings.”

That definition distinguishes between direct communications and materials. “[D]irect communications” are “communications between persons who are privy to a mediation proceeding.” Bidwell and Bidwell, 173 Or App 288, 294, 21 P3d 161 (2001) (emphasis omitted). Direct communications, which fall under ORS 36.110(7)(a), are confidential under ORS 36.220(1)(a), regardless of whether they were specifically prepared for use in mediation. Id. On the other hand, “materials” that are also mediation communications must be “prepared for, or submitted in connection with, mediation,” and typically include “the sort of supporting documents that litigants frequently exchange in order to convince the mediator, and each other, of the merits of their respective proposals.” Id. at 294 (emphasis omitted).

[497]*497The definition of “mediation communications” in ORS 36.110(7) also requires us to determine if a communication under either subparagraph (a) or (b) occurred “in the course of or in connection with a mediation.” “Mediation” is defined as

“a process in which a mediator assists and facilitates two or more parties to a controversy in reaching a mutually acceptable resolution of the controversy and includes all contacts between a mediator and any party or agent of a party, until such time as a resolution is agreed to by the parties or the mediation process is terminated.”

ORS 36.100(5) (emphasis added).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Alfieri v. Solomon
365 P.3d 99 (Oregon Supreme Court, 2015)
Grubaugh v. Hon blomo/lawrence
359 P.3d 1008 (Court of Appeals of Arizona, 2015)
Yoshida's Inc. v. Dunn Carney Allen Higgins & Tongue LLP
356 P.3d 121 (Court of Appeals of Oregon, 2015)

Cite This Page — Counsel Stack

Bluebook (online)
329 P.3d 26, 263 Or. App. 492, 2014 WL 2608866, 2014 Ore. App. LEXIS 767, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alfieri-v-solomon-orctapp-2014.