Bonner v. Lyons, Pipes & Cook, P.C.

26 So. 3d 1115, 2009 Ala. LEXIS 64, 2009 WL 886513
CourtSupreme Court of Alabama
DecidedApril 3, 2009
Docket1070187 and 1070272
StatusPublished
Cited by14 cases

This text of 26 So. 3d 1115 (Bonner v. Lyons, Pipes & Cook, P.C.) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bonner v. Lyons, Pipes & Cook, P.C., 26 So. 3d 1115, 2009 Ala. LEXIS 64, 2009 WL 886513 (Ala. 2009).

Opinions

PER CURIAM.

C.O.W., Inc., and its owner, Joseph C. Bonner, appeal from a judgment as a matter of law entered in favor of attorney Marion A. Quina, Jr., and the law firm in which he is a partner, Lyons, Pipes & Cook, P.C. (Quina and Lyons, Pipes & Cook are hereinafter referred to collectively as “the legal-service providers”), in the underlying legal-malpractice action. The legal-service providers cross-appeal. We affirm the judgment of the trial court and dismiss the legal-service providers’ cross-appeal as moot.

[1118]*1118 Facts

C.O.W. entered into a franchise agreement with Keelboat Concepts, Inc., pursuant to which C.O.W. purchased the right to operate a “Cock of the Walk” catfish restaurant in Mobile. The franchise agreement contained a choice-of-law provision, which stated that Mississippi law would govern the construction of the agreement in the case of a dispute. Under the terms of the franchise agreement, C.O.W. had the option to renew the franchise agreement at the end of the initial contract period, provided, among other things, (1) that C.O.W. gave Keelboat written notice of renewal no earlier than July 3, 2002, and no later than January 3, 2003, and (2) that, at the time of renewal, C.O.W. paid Keelboat 50% of the then current initial franchise fee established by Keelboat. The undisputed evidence presented at the trial of this case establishes that C.O.W. did not provide a written notice of renewal during the period prescribed in the franchise agreement and did not pay Keelboat 50% of the then current initial franchise fee “at the time of renewal.”

C.O.W. alleges that its attorney, Quina, a partner in the firm of Lyons, Pipes & Cook, negligently failed to timely renew the franchise agreement. It is undisputed that Quina sent the notice of renewal to Keelboat after the expiration of the January 3, 2003, deadline for the renewal notice.

After receiving C.O.W.’s late notice of renewal, Keelboat informed C.O.W. that it was terminating the franchise agreement because it had not been timely renewed; C.O.W., however, continued to operate the restaurant. Consequently, Keelboat filed an action against C.O.W. requesting a judgment declaring that the franchise agreement had terminated (“the Keelboat declaratory-judgment action”). In its complaint for a declaratory judgment, Keel-boat alleged a number grounds for the issuance of such an order, any of which, standing alone, if proven, would have been sufficient grounds for the issuance of a judgment declaring that the franchise agreement had terminated. Among those grounds were the following:

1. That the notice of renewal was invalid because it was untimely under the renewal-option provision of the franchise agreement; and
2. that C.O.W.’s notice of renewal was ineffective because C.O.W. did not submit payment of 50% of the franchise renewal fee allegedly due simultaneously with its notice of renewal.

In addition, C.O.W. filed a cross-claim for a declaratory judgment seeking, among other things, a judgment declaring that C.O.W.’s untimely exercise of its option to renew was effective to renew the franchise agreement. All the above claims and issues were tried in the Keelboat declaratory-judgment action. After a bench trial, the trial court entered judgment rejecting all Keelboat’s arguments and declaring that C.O.W.’s right to operate the Cock of the Walk restaurant in Mobile had not terminated.

Keelboat appealed to the Court of Civil Appeals, which affirmed the trial court’s judgment without an opinion. Keelboat Concepts, Inc. v. C.O.W., Inc. (No. 2030174, Oct. 8, 2004), 921 So.2d 477 (Ala.Civ.App.2004) (table). Keelboat then petitioned this Court for a writ of certiorari. We granted the writ only as to the issue “whether the affirmance by the Court of Civil Appeals conflicts with the general rule that time is of the essence in an option contract unless otherwise specified.” Ex parte Keelboat Concepts, Inc., 938 So.2d 922, 927 n. 4 (Ala.2005). We concluded “that ... C.O.W., Inc., did not effectively renew the franchise agreement because time was of the essence of the option con[1119]*1119tract and the renewal notice was not timely”; thus, we reversed the judgment of the Court of Civil Appeals and remanded the case. 938 So.2d at 932. The Court of Civil Appeals subsequently entered an order directing that, “[i]n compliance with the Supreme Court’s opinion, the judgment of the trial court is reversed, and the cause remanded for further proceedings consistent with the Supreme Court’s opinion.” Keelboat Concepts, Inc. v. C.O.W., Inc., 938 So.2d 932 (Ala.Civ.App.2006).

Procedural History

On December 29, 2004, C.O.W. and Bonner filed the underlying legal-malpractice action against the legal-service providers pursuant to Alabama’s Legal Services Liability Act, § 6-5-570 et seq., Ala.Code 1975 (“the ALSLA”), in the Mobile Circuit Court.

The case was eventually tried before a jury. On the seventh day of trial, C.O.W. and Bonner rested their case. The legal-service providers then moved for a judgment as a matter of law. The trial court held a hearing on the motion. In that hearing, the legal-service providers argued, among other things, that Bonner had no standing to bring the action against the legal-service providers because, in rendering the legal services that allegedly fell below the standard of care, Quina was representing C.O.W., not Bonner. The trial court granted the motion for a judgment as a matter of law on this issue and dismissed Bonner’s claims.

The legal-service providers further argued that they were entitled to judgment as a matter of law as to C.O.W.’s claims against them, because, they said, C.O.W. had not presented evidence that, but for the fact that the renewal was untimely, C.O.W. would have succeeded in renewing the franchise agreement. Specifically, just as Keelboat had argued in the Keelboat declaratory-judgment action, the legal-service providers argued that, even if the notice of renewal had been timely, C.O.W. did not pay 50% of the franchise fee allegedly due at the time of renewal. After listening at length to the parties’ arguments with regard to the “but for” causation issue, the trial court entered a judgment as a matter of law for the legal-service providers on the claims against C.O.W. On October 24, 2007, C.O.W. and Bonner filed a notice of appeal from the judgment of the trial court.

On November 5, 2007, the legal-service providers filed a notice of appeal, arguing that they were entitled to a judgment as a matter of law regardless of the merits of C.O.W. and Bonner’s appeal. According to the legal-service providers, C.O.W. and Bonner did not present valid expert testimony to prove that the legal-service providers had breached the applicable standard of care.

Standard of Review

“When reviewing a ruling on a motion for a JML [judgment as a matter of law], this Court uses the same standard the trial court used initially in deciding whether to grant or deny the motion for a JML. Palm Harbor Homes, Inc. v. Crawford, 689 So.2d 3 (Ala.1997). Regarding questions of fact, the ultimate question is whether the nonmovant has presented sufficient evidence to allow the case to be submitted to the jury for a factual resolution. Carter v. Henderson, 598 So.2d 1350 (Ala.1992). The nonmovant must have presented substantial evidence in order to withstand a motion for a JML.

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Cite This Page — Counsel Stack

Bluebook (online)
26 So. 3d 1115, 2009 Ala. LEXIS 64, 2009 WL 886513, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bonner-v-lyons-pipes-cook-pc-ala-2009.