American Erectors, Inc. v. Hanie

278 S.E.2d 196, 157 Ga. App. 687, 1981 Ga. App. LEXIS 1970
CourtCourt of Appeals of Georgia
DecidedFebruary 27, 1981
Docket60734, 60735
StatusPublished
Cited by18 cases

This text of 278 S.E.2d 196 (American Erectors, Inc. v. Hanie) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Erectors, Inc. v. Hanie, 278 S.E.2d 196, 157 Ga. App. 687, 1981 Ga. App. LEXIS 1970 (Ga. Ct. App. 1981).

Opinions

Shulman, Presiding Judge.

The appellants in these interlocutory appeals are the defendants in a wrongful death action. The action arose from a [688]*688collision between an automobile owned by appellant Little and driven by his wife and a crane owned by appellant American Erectors, Inc. (hereinafter “American”) and driven by appellant Cheatham. Mrs. Little and her mother, a passenger in appellant’s car, were killed in the collision. Mrs. Little’s siblings brought suit against American and, under the family purpose doctrine, against Little for the wrongful death of their mother. Case No. 60734 involves the trial court’s denial of American’s and Cheatham’s motions to open default and Cheatham’s motion to dismiss for insufficiency of service. In Case No. 60735, Little appeals from the denial of his motion for summary judgment. We find it necessary to reverse the orders in Case No. 60734 and affirm the order in Case No. 60735.

1. More than a year after suit was filed, but before a default judgment was entered, American and Cheatham filed a motion under Code Ann. § 81A-155 (b) to open the default. As grounds for opening the default American and Cheatham set forth the following facts by affidavits executed by the president of American and by the insurance agent with whom American dealt. Some months prior to the collision here, American’s insurance carrier gave notice that it would not renew the existing policy, which was due to expire shortly. American contacted its insurance agent, Crawford, who began to seek a replacement policy. Crawford was referred to and contacted Ross Harper of Atlanta Insurance Center. Harper delivered what purported to be an insurance binder from “Aetna Casualty and Surety Company.” In response to subsequent inquiries concerning the issuance of a policy, Harper assured Crawford that a policy would be issued and quoted an annual premium. Before the policy arrived, the collision here involved occurred. Harper claimed that he attempted to contact Aetna.’s claims division. He then investigated the claim himself. Harper subsequently informed American that Aetna was going to cancel the policy, but that coverage had been in force at the time of the collision and that that loss would be covered by Aetna. Some two years later, when this suit was served on American, the papers were transmitted to Crawford, who sought to give them to Harper. The telephone for Atlanta Insurance Center had been disconnected, but Crawford located Harper, who was working for á car dealér. Harper assured Crawford that he would send the suit papers to Aetna. When interrogatories were served on American, Crawford once again sought to contact Harper. This time he was unable to do so, being informed that Harper had been in some trouble. When Crawford contacted Aetna, he discovered that there had never been a binder issued by that company to American, that American had been without insurance and that no one was defending [689]*689the suit against American and Cheatham. Both defendants then hired counsel and sought to open the default, submitting affidavits detailing the events narrated above. Although the averments of American and Crawford were uncontradicted, and there was no question of meeting the technical requirements of Code Ann. § 81A-155 (b), the trial court declined to open the default.

We believe that this case is so similar in principle to Cobb County Fair Assn. v. Boyle, 143 Ga. App. 754 (240 SE2d 136), that the same result must be reached. There, as here, there was good cause for the defendant to believe that the suit was being defended by an insurance company. Under the facts here, any neglect by Cheatham and American in following the progress of the case was excusable. “The law should not blindly impose standards which require individuals, in the conduct of their daily business, to distrust the parties with whom they deal. Likewise, a litigant should not unnecessarily be forced into default as a consequence of having reasonably relied upon the word of his fellow, particularly when no innocent party will suffer if the default is opened. The purpose of § 81A-155 (b) being placed in the Code is to furnish relief when, as here, there was an understandable misunderstanding.” Id., p. 756.

Since the evidence demanded a finding of excusable neglect, the trial court abused its discretion in not opening the default.

2. Cheatham filed a motion to dismiss for insufficiency of service. The return of service showed that service was made on Cheatham by leaving a copy of the complaint at the office of American, in Fulton County, with Cheatham’s father. In support of his motion, Cheatham filed an affidavit in which he swore that he was and always has been a resident of Cobb County. That affidavit was uncontroverted and appellees made no showing that service was accomplished other than in the manner shown on the return.

In support of the trial court’s denial of the motion to dismiss, appellees attempt to show that there was a conflict in the evidence concerning the method of service. They point out that the affidavits by the president of American and by Crawford contain statements to the effect that American and Cheatham were served with this suit. Those statements amount to unsupported legal conclusions. In addition, Crawford’s statement was, so far as the truth of the statement is concerned, hearsay, wholly lacking in probative value.

The evidence establishes without contradiction that service was attempted by leaving a copy of the summons with a relative of the defendant Cheatham at Cheatham’s place of business. That service is insufficient. Collins v. Peacock, 147 Ga. App. 424 (2) (249 SE2d 142). [690]*690The trial court erred in denying defendant Cheatham’s motion to dismiss.

Decided February 27, 1981 Duard R. McDonald, for appellants (case no. 60734). Robert W. Hassett, amicus curiae. Charles H. Hyatt, Joseph E. Cheeley, Lawrence J. Hogan, William E. Turnipseed, for appellees. William E. Turnipseed, Henry Angel, for appellant (case no. 60735). Charles H. Hyatt, Joseph E. Cheeley, for appellees.

3. Appellant Little contends that he could not be held liable for his mother-in-law’s death because the person whose negligence is alleged to have caused the death is a necessary plaintiff. That argument is based on Thompson v. Watson, 186 Ga. 396 (197 SE 774). Unfortunately for Mr. Little, the Supreme Court declined to follow that case in Walden v. Coleman, 217 Ga. 599 (124 SE2d 265). In Walden, as in the present case, the defendant was the spouse of the child of the deceased. After an analysis of the applicable law, the Supreme Court held that the suit was not barred.

Appellant’s argument is made even weaker by the wording of the wrongful death statute under which this action was brought. That statute, Code Ann. § 105-1306, provides for a right of action for the “husband and/or child or children” of the deceased, and further provides that “those surviving at the time the action is brought shall sue jointly and not separately ...” Since Mrs. Little died in the accident, it cannot be said that she is of the class who would be plaintiffs. Even if she had lived, our reading of the statute is that she would not have been a necessary plaintiff. That same Code section expressly provides for prosecution of the suit by fewer than all of the children.

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Bluebook (online)
278 S.E.2d 196, 157 Ga. App. 687, 1981 Ga. App. LEXIS 1970, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-erectors-inc-v-hanie-gactapp-1981.