Bowen v. Smith

838 P.2d 186, 1992 Wyo. LEXIS 122, 1992 WL 206361
CourtWyoming Supreme Court
DecidedAugust 28, 1992
Docket91-152
StatusPublished
Cited by21 cases

This text of 838 P.2d 186 (Bowen v. Smith) is published on Counsel Stack Legal Research, covering Wyoming Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bowen v. Smith, 838 P.2d 186, 1992 Wyo. LEXIS 122, 1992 WL 206361 (Wyo. 1992).

Opinions

URBIGKIT, Justice.

This appeal, in current course of events, presents the third lawsuit in what is now generally designed to be a legal malpractice action. Appellants, as minority shareholders, sued Smith, Stanfield and Scott— the attorneys who represented the majority shareholder and parent corporation after rights against a third party were resolved [187]*187by a favorable cash settlement, and the shareholders could not then agree on a division of the settlement proceeds. That disagreement was litigated through appeal, Squaw Mountain Cattle Co. v. Bowen, 804 P.2d 1292 (Wyo.1991), with the minority shareholders achieving complete success. During this period of time, the minority shareholders’ growing dissatisfaction was manifested by the filing of this lawsuit against the law firm which had secured the settlement in the first of the three proceedings, with the law firm losing the division litigation in the second lawsuit. This third litigative campaign ends in summary judgment favoring the targeted law firm. That conclusion is hereby affirmed.

A melange if not avalanche of charges and counter charges, including sufficiency of the appeal itself, are developed from this record accurately described by a litigant to total not less than fifty pounds of paper.

The superintending issue presented is propriety of the trial court’s entry of summary judgment in favor of the law firm or, conversely, existence of material issues of fact precluding that resolution. Cordova v. Gosar, 719 P.2d 625 (Wyo.1986).

I. ISSUES

The game players require identification before the substance of the contended issues is meaningful. In actuality, the present three lawsuits are only a continuation of a course of prior litigation which has been actively pursued since well before 1944. Those cases include, in more specific detail than needs to be related here, the identification of a longstanding course of action and reaction. Anderson v. Wyoming Development Co., 60 Wyo. 417, 154 P.2d 318 (1944); Wheatland Irr. Dist. v. Two Bar-Muleshoe Water Co., 431 P.2d 257 (Wyo.1967); Wheatland Irrigation Dist. v. Two Bar-Muleshoe Water Co., 521 P.2d 1334 (Wyo.1974); State ex rel. Squaw Mountain Cattle Co. v. Wheatland Irr. Dist., 728 P.2d 172 (Wyo.1986); and, finally, Squaw Mountain Cattle Co., 804 P.2d 1292.

Wheatland Irrigation District (Wheatland Irrigation) is a user owned cooperative irrigation system with large farming acreage under cultivation in Platte County, Wyoming and storage facilities located in Albany County, Wyoming. The initiation of all proceedings came with Wheatland Irrigation’s effort to acquire water rights and storage capacity. The predecessor in land ownership to Two Bar-Muleshoe Water Company (Swan Land and Cattle Company, Ltd.) was a target of the acquisition activities. In more recent times, Two Bar-Mu-leshoe Water was owned by a majority shareholder and an associative group of individuals as minority shareholders. The “majority shareholder” was Squaw Mountain Cattle Company (Squaw Mountain), essentially owned and managed by Springer Jones and his family. The Bowen-McGuire group are the “minority shareholders.”

Springer Jones, an Albany County rancher, on behalf of Squaw Mountain employed the Laramie, Wyoming law firm of Smith, Stanfield and Scott (law firm) to further litigatively challenge Wheatland Irrigation for contended breach of contractual rights resulting from earlier courses of litigation. It was determined that the essential cause of action was held by Two Bar-Muleshoe Water as the corporation. By agreement of all shareholders, the law firm employed by Springer Jones undertook in the name of the parent entity, at the sole expense of the majority shareholder, to seek redress against Wheatland Irrigation. After an arduous effort totaling six years in litigative pursuit, a satisfactory and even very successful recovery was obtained by settlement after an intermediate first appeal, State ex rel. Squaw Mountain Cattle Co., 728 P.2d 172, in 1988. The majority and minority shareholders came to a serious dispute through another lawsuit about division of proceeds. That suit ultimately resulted in final decision by this court on a pro-rated shareholder basis for division. Squaw Mountain Cattle Co., 804 P.2d 1292. The minority shareholders, while the division litigation was still ongoing, then sued the law firm in a third lawsuit. It is that lawsuit which now comes to this court following entry of summary judgment by [188]*188the trial court. Appellants (minority shareholders) state their issues:

A. Are there genuine issues of material fact which preclude the granting of Summary Judgment?
B. Are Plaintiffs’ claims barred by the doctrine of res judicata?
C. Are Plaintiffs’ claims barred by the doctrines of estoppel and waiver?
D. Are attorney’s fees incurred in an action which was necessitated by the wrongful acts and conduct of Defendants recoverable as damages?

Appellees (law firm), injected with considerable emotion, restate the issues:

A. Is the Appellants’ (hereafter “Non-Clients”) appeal subject to dismissal and denial for failure to comply with the Wyoming Rules of Appellate Procedure?
B. Did an Attorney-Client relationship exist between the Non-Clients and the Attorneys?
C. If an Attorney-Client relationship existed between Non-Clients and the Attorneys, was a duty created; was that duty breached; was the alleged breach “the cause” of the Non-Clients[’] damages; were the Non-Clients damaged at all; or, are the damages they now seek to recover the direct and proximate cause of the actions of their President, Springer Jones; the majority stockholder of Two Bar, (Squaw), all of which were previously resolved in Squaw Mountain v. Bowen, (804 P.2d 1292, Wyo.1991) (hereafter “the Grant case”); or, simply the attorney’s fees and costs which every litigant must bear in resolving disputes through litigation?
D.Under the pronounced Rules of the Wyoming Supreme Court, was Summary Judgment in this case not only proper, but required.

II. SUMMARY OF DECISION

This court affirms the trial court in lacking a desire to send the laundry out to wash one more time than is necessary. We agree with the trial court’s decision by our determination that a claim was not stated. We find the law firm was not representing the minority shareholders and violated no fiduciary relationship to them in continuing to represent the initial client after the disagreement about division of settlement proceeds developed.1

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Bowen v. Smith
838 P.2d 186 (Wyoming Supreme Court, 1992)

Cite This Page — Counsel Stack

Bluebook (online)
838 P.2d 186, 1992 Wyo. LEXIS 122, 1992 WL 206361, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bowen-v-smith-wyo-1992.