Boss Construction, Inc. v. Hawk's Superior Rock, Inc.

CourtCourt of Appeals of Washington
DecidedNovember 21, 2017
Docket49273-3
StatusUnpublished

This text of Boss Construction, Inc. v. Hawk's Superior Rock, Inc. (Boss Construction, Inc. v. Hawk's Superior Rock, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Boss Construction, Inc. v. Hawk's Superior Rock, Inc., (Wash. Ct. App. 2017).

Opinion

Filed Washington State Court of Appeals Division Two

November 21, 2017

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

DIVISION II BOSS CONSTRUCTION, INC., a Washington No. 49273-3-II corporation,

Respondent,

v.

HAWK’S SUPERIOR ROCK, INC., a UNPUBLISHED OPINION Washington corporation,

Appellant.

LEE, J. — Hawk’s Superior Rock, Inc. (Hawk’s Superior) appeals the superior court’s

denial of Hawk’s Superior’s CR 60(b)(1) motion for relief from an order granting summary

judgment in favor of Boss Construction Inc. (Boss) in an underlying breach of contract claim.

Hawk’s Superior argues that (1) the superior court abused its discretion by denying Hawk’s

Superior’s CR 60(b)(1) motion for relief without addressing the four factor test articulated in White

v. Holm, 73 Wn.2d 348, 438 P.2d 581 (1968); (2) the superior court erred in finding that Hawk’s

Superior’s counsel’s failure to update his address with the court did not constitute mistake,

inadvertence, or excusable neglect under CR 60(b)(1); and (3) the superior court abused its

discretion in denying Hawk’s Superior’s motion to reconsider again without addressing the White

test. We affirm. No. 49273-3-II

FACTS

A. BREACH OF CONTRACT CLAIM

On August 11, 2014, Boss filed a complaint for damages against Hawk’s Superior. In its

complaint, Boss alleged that Hawk’s Superior had materially breached express and implied

warranties in the contract concerning the quality of its rock and gravel—the subject matter of the

contract. On September 29, Hawk’s Superior filed an answer denying these allegations and

asserting several affirmative defenses, including failure to mitigate damages.

Neither party took further action in the matter for the next year and a half, until Boss filed

a motion for summary judgment on February 8, 2016. In support of its motion, Boss filed a

declaration by its vice president stating that Hawk’s Superior offered to sell Boss the rock and

gravel it needed to complete a Washington State Department of Transportation (WSDOT)

construction project. In making such offer, Hawk’s Superior warranted that its rock and gravel

would meet the WSDOT’s mandated quality specifications. But the rock and gravel Hawk’s

Superior provided failed to meet WSDOT’s specifications, which forced Boss to purchase the

required rock and gravel from a different supplier at a substantially higher cost.

Between the time Boss filed its complaint and its motion for summary judgment, Hawk’s

Superior’s counsel, C. Craig Holley, moved office locations within his building. Holley notified

the state bar association, as well as his billing and insurance company of his change in office

location. He did not, however, notify Boss’s counsel or the court clerk of his new address.

Shortly after Holley moved his office location, he underwent surgery. At the time, Hawk’s

Superior was Holley’s only pending case. However, because no action had been taken on the case

2 No. 49273-3-II

for a year and a half, Holley admitted that “it just wasn’t in [his] mind” to update his address with

the court and opposing counsel. Verbatim Report of Proceedings (VRP) (May 31, 2016) at 3.

Holley never received Boss’s motion for summary judgment. As a result, Holley never

filed a response to Boss’s motion for summary judgment on Hawk’s Superior’s behalf, and Holley

did not appear at the motion hearing scheduled for March 14, 2016.

At the summary judgment motion hearing, the superior court considered the summons and

complaint, the affidavit/declaration of service on Hawk’s Superior, the motion for default against

Hawk’s Superior, the notice of appearance of C. Craig Holley, Hawk’s Superior’s answer to the

complaint for damages, the notice of hearing on Boss’s motion for summary judgment, the

declaration of Chris Hart re motion for summary judgment, and Boss’s motion for summary

judgment. The superior court entered an order granting plaintiff’s motion for summary judgment

and awarded judgment against Hawk’s Superior in the principle sum of $241,708.33, judgment for

costs in the amount of $303.00, and a statutory attorney fee of $250.00.

B. MOTION SEEKING RELIEF FROM JUDGMENT

Holley learned of the superior court’s summary judgment order on April 18, after Hawk’s

Superior’s owners started receiving phone calls about a Grays Harbor County Superior Court

judgment against them. On April 29, Hawk’s Superior filed a motion seeking relief from judgment

under CR 60(b)(1). Holley filed a declaration in support of the motion, in which he stated that he

had updated his change of address with the Washington State Bar Association and applied for a

mail forwarding order with the post office. Holley also stated that he had never received any

document by mail from Boss’s counsel and that genuine issues of material fact remain in the

underlying contract claim.

3 No. 49273-3-II

In its motion for relief, Hawk’s Superior argued that the circumstances surrounding

Holley’s mail and the fact he never received actual notice of Boss’s summary judgment motion

constituted “procedural irregularity.” Clerk’s Papers (CP) at 36. Boss filed a response on May

26, asserting that it had mailed the notice of hearing and motion for summary judgment to Holley

on February 4. The notice and motion for summary judgment were sent to Holley’s address on

file with the court on February 4.

At the hearing on the motion for relief, Holley informed the superior court that he did not

notify opposing counsel or the county court clerk of his change in address. As to which provision

of CR 60(b) relief was being sought, Holley stated, “Well particularly under mistake or

inadvertence, Your Honor.” VRP (May 31, 2016) at 4. When asked again, Holley replied, “Under

inadvertence or an irregularity.” VRP at (May 31, 2016) at 4. Holley conceded that failing to

notify opposing counsel or the court was his mistake, but it was due to the irregularity of his

medical treatment coupled with the case remaining dormant for approximately 15 months.

The superior court found that Holley had failed to comply with the court rules when he

failed to notify opposing counsel of his change in address. 1 The superior court also found such

failure was not inadvertent. The superior court further found that Hawk’s Superior’s motion for

relief did “not properly fall within any of the provisions of CR 60(b).” VRP (May 31, 2016) at 7.

Therefore, the superior court concluded that it could not grant the motion because Hawk’s Superior

did not “have a legal basis for it.” VRP (May 31, 2016) at 7.

1 The superior court did not identify the court rule(s) to which it was referring.

4 No. 49273-3-II

C. MOTION FOR RECONSIDERATION

On June 9, Hawk’s Superior filed a motion for reconsideration under CR 59(a)(7) and

(a)(9), asserting that the superior court’s ruling denying its motion to vacate the summary judgment

order was legally erroneous and a denial of substantial justice. In support, Hawk’s Superior

provided the following documents: supplemental declaration of Holley, supplemental declaration

of the tenant who moved into Holley’s prior office, declaration of Hawk’s Superior’s owners, and

an attached exhibit e-mail from the WSDOT regarding the gravel tests. This evidence purportedly

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