Blackwell Motors, Inc. v. Manheim Services Corp.

529 S.W.3d 367
CourtMissouri Court of Appeals
DecidedSeptember 19, 2017
DocketNo. ED 104553
StatusPublished
Cited by16 cases

This text of 529 S.W.3d 367 (Blackwell Motors, Inc. v. Manheim Services Corp.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Blackwell Motors, Inc. v. Manheim Services Corp., 529 S.W.3d 367 (Mo. Ct. App. 2017).

Opinion

LAWRENCE E. MOONEY, JUDGE

The plaintiffs, Blackwell Motors, Inc. and Vicky DeShields, appeal the summary judgment entered by the Circuit Court of St, Francois County in favor of the defendant, Manheim Services Corporation, in connection with their suit for title and possession of- four vehicles, trespass, and slander. First, because Blackwell obtained the vehicles from a person whose title to the vehicles was void, we conclude that Blackwell, and in turn DeShields, obtained no protectible interest in the vehicles. Second, because Manheim did not give instructions to law enforcement or otherwise involve itself in the criminal investigation and seizure of the vehicles, we conclude that the Bridgeton police officers present during the vehicles’ seizure did not act as Manheim’s agents. Therefore, we affirm the trial court’s grant of summary judgment.

Factual and Procedural Background

Manheim Services Corporation is a motor-vehicle auctioneer in Bridgeton, St. Louis County, Missouri. The auction is open only to licensed motor-vehicle dealers. Any dealer wanting to buy or sell through the auction iqust register with an entity called AuctionAccess, which maintains a database of motor-vehicle dealers and their representatives. As a convenience to dealers conducting business at the auction, Manheim has the buying dealer pay the purchase price into a Manheim account. In turn, Manheim issues, its own check to the selling dealer,. This procedure protects selling dealers from the risk of dishonored checks. Manheim does not become part of the chain of title for a vehicle unless a buying dealer’s check is returned as non-negotiable. In that event, the selling dealer assigns its ownership rights to the vehicle to Manheim in consideration for Manheim covering the. buying dealer’s check.

Springdale Auto Sales, Inc. was a motor-vehicle dealer registered with AuctionA-cess and authorized to conduct business through the auction. Someone claiming to be with Springdale contacted Manheim, and requested that Robert Hector be allowed to purchase vehicles at the auction for Springdale. Manheim personnel confirmed that Springdale was an authorized dealer, and faxed paperwork to the telephone number provided by the caller to have Manheim add Hector to the Auction-Access database as an authorized Spring-dale representative. Hector appeared at the auction shortly thereafter for a sale on February 10, 2009. He had paperwork in hand that listed a new telephone number [370]*370for Springdale, and he portrayed himself as a representative of Springdale. When Manheim personnel sought to verify Hector’s authorization with Springdale, they were misled into speaking with someone who falsely represented himself as Spring-dale’s owner and falsely confirmed Hector’s pretended authority. Purportedly on behalf of Springdale, Hector then sought to buy six vehicles at the auction. The seller of the vehicles had assigned the certificates of title pending identification of the purchaser(s) at'auction. Auction staff completed the assignments of the vehicle titles to Springdale when Hector, ostensibly acting on Springdale’s behalf, became the high bidder. Hector claimed to pay for the vehicles via six separate checks in Springdale’s name and drawn oh U.S. Bank. There was, however, no such U.S. Bank checking account number—in Springdale’s name or in 'any other name— and the checks were returned as non-negotiable on February 12, 2009. Manheim reported the incident-to Officer David Knapp of the Bridgeton Police Department, who prepared an offense/incident report' dated February 14, 2009. The selling dealer at the auction assigned its ownership rights and interests in the vehicles at issue to Manheim. . .

In the meantime, Hector purported to sell three of the vehicles to Blackwell for a total of $31,000. Blackwell did not pay Springdale or Hector for the vehicles, but rather paid a person named Cordel McEl-wain;1 Hector ostensibly sold a fourth vehicle to Blackwell on February 18, 2009 for $8,000.2 Blackwell again paid Cordel McEl-wain for the vehicle. Blackwell later professed to sell vehicle 3 to its retail customer DeShields, and vehicles 2 and 4 to other retail customers who are not parties to this lawsuit. Blackwell retained possession of vehicle 1.

Law enforcement seized all four of the vehicles as part of a criminal investigation on April 2, 2009. Officer Knapp and Detective Chris Welby of the Bridgeton Police Department were present when the Missouri Highway Patrol seized vehicles 1 and 2 from Blackwell’s premises. The other two vehicles were seized from DeShields and Horn another Blackwell customer by the Missouri Highway Patrol and the Madison Comity Sheriffs Department, respectively. Detective Welby supervised the criminal investigation and vehicle recovery. In addition to his employment with the Bridgeton Police Department, Officer Knapp had worked part-time for Manheim performing security services at the auction since 2007. Knapp was oh duty as a Bridgeton police officer when the vehicles were recovered. Detective Welby had also performed some secondary security work for Manheim that ended several months before the February 2009 incident with Hector. David Wright was another Bridge-ton police officer who participated in the criminal investigation into the vehicles, but Officer Wright was not present during the recovery of the vehicles.

The State charged Hector with one count of stealing by deceit in excess of $25,000, a class B felony, and six counts of forgery, a class C felony. He pled guilty to all counts. The following exchange occurred during the plea hearing in which Hector acknowledged under oath and on the record that he was not an approved [371]*371agent of Springdale and that he was not authorized to act on its behalf.

[PROSECUTOR]: Yes, your Honor. Counts 1 through 7' all occurred on or about February 10th, 2009 at 12:30 p.m. at 13813 St. Charles Rock Road in the County of St. Louis, State of Missouri,
Count 1, the State would show at trial that Robert B. Hector committed the class B felony of stealing by deceit and that the defendant appropriated six motor vehicles of a value of at least $25,000, which property was in the possession of Manheim St. Louis and defendant appropriated such property from Manheim St. Louis and with the purpose to deprive the victim thereof by deceit in that defendant represented to Manheim St. Louis that he had negotiable checks, which representations were false and known by the defendant to be false and Manheim St. Louis relied on the representations and was thereby induced to part with such property.
Your Honor, Counts 2 through 7, on those counts the State would show in each of those counts that the defendant, Robert B. Hector, committed the class C felony of forgery, in that the defendant, with the purpose to defraud, completed a writing, namely checks, so that it purported to have been made by the authority of one who did not give such authority.
* * *
The testimony at trial would be, your Honor, that on February 10th of ’09, Mr. Hector went to Manheim St. Louis Auto Auction, he represented himself as an agent authorized to bid on automobiles for Springdale Auto Sales, the defendant had not been given permission by Springdale Auto Sales to bid on vehicles nor was he an approved agent of Springdale.
The defendant bid and purchased six vehicles from Manheim (sic) St.

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Bluebook (online)
529 S.W.3d 367, Counsel Stack Legal Research, https://law.counselstack.com/opinion/blackwell-motors-inc-v-manheim-services-corp-moctapp-2017.