Brown v. Regal Nissan, Inc.

558 So. 2d 931, 1989 Ala. Civ. App. LEXIS 401, 1989 WL 147763
CourtCourt of Civil Appeals of Alabama
DecidedDecember 6, 1989
DocketCiv. 7131
StatusPublished

This text of 558 So. 2d 931 (Brown v. Regal Nissan, Inc.) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brown v. Regal Nissan, Inc., 558 So. 2d 931, 1989 Ala. Civ. App. LEXIS 401, 1989 WL 147763 (Ala. Ct. App. 1989).

Opinion

ROBERT P. BRADLEY, Retired Appellate Judge.

Plaintiff appeals from summary judgment in a declaratory action on a contract and from a summary judgment against him on defendants’ counterclaim.

In September 1988 plaintiff, Henry L. Brown, filed a three-count complaint against Regal Nissan, Inc. and Nissan Motor Acceptance Corporation (“Regal” and “NMAC” respectively), seeking termination of a lease agreement on a motor vehicle and damages. The first count asserted a violation of § 7-1-102, Ala. Code 1975, by Regal and NMAC, alleging that their actions relating to the lease agreement did not reflect good faith, diligence, and reasonable care. The second count alleged that Regal and NMAC breached Paragraph H of the lease agreement relating to the termination of the lease in the event the vehicle was damaged beyond reasonable repair. The third count sought recovery [932]*932for the alleged breach of the lease on the basis of outrage.

After a pretrial hearing the trial court entered a pretrial order limiting the issues for trial to plaintiffs request for termination of the lease agreement because the vehicle had been damaged beyond repair and to recovery of all monies paid to defendants since the accident. The trial court also listed defendant Regal’s counterclaim for the unpaid balance due for the repairs to the leased vehicle. >

The trial court, in response to Regal’s and NMAC’s motions for summary judgment, dismissed the plaintiff’s case and, in response to Regal’s motion for summary judgment on its counterclaim against the plaintiff, entered judgment in favor of Regal for $954.16 plus interest.

In his brief on appeal plaintiff contends that the trial court improperly granted summary judgment for defendants in view of the genuine issues of fact raised by the complaint. Plaintiff then made arguments attempting to show the validity of each of the three counts in his complaint. But, as pointed out by the defendants, the trial court ordered that the only issue for trial would be whether Paragraph H of the lease agreement had been violated by the defendants. Plaintiff neither objected to the limitation of issues by the trial court nor asked the trial court for an amendment of the pretrial order to include the other two issues presented by the complaint. As noted above, the first time plaintiff attempted to argue the two omitted issues was in his brief on appeal. The argument on the omitted issues comes too late and, therefore, they are not properly before us. Arfor-Brynfield, Inc. v. Huntsville Mall Assoc., 479 So.2d 1146 (Ala.1985); and Currie v. Great Central Ins. Co., 374 So.2d 1330 (Ala.1979). Consequently, the only issue properly before us is whether defendants violated Paragraph H of the lease agreement by refusing to allow plaintiff to terminate the agreement.

The pertinent provisions of the lease agreement are as follows:

“The words T,’ ‘me,’ and ‘my’ refer to the Lessee signing this Lease (or to each Lessee, if more than one). The words ‘you’ and ‘your’ refer to the Lessor (and to Nissan Motor Acceptance Corporation (‘NMAC’), to which this Lease will be assigned).
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“H. Termination and Default: I understand that I have no right to terminate this Lease before the end of the lease term, unless you, NMAC and I agree.... If the Vehicle is lost, stolen, confiscated or damaged beyond reasonable repair, you may terminate this Lease and determine my liability under the paragraph above; I will be credited for any insurance proceeds you receive .... ”

Plaintiff argues that Paragraph H requires that the lease be terminated if any one of the stated conditions occurs. In other words, he argues, if it is determined that it would not be reasonable to repair the vehicle, the lessors would be required to terminate the lease. Plaintiff says that Paragraph H should be construed by the court to accomplish the objects of the agreement. Additionally, he argues that such construction requires an interpretation consistent with reason, probability, and the practical aspects of the transaction.

Defendants reply that the terms of the agreement are clear and need no judicial interpretation.

It is settled Alabama law that where the terms of a contract are plain and unambiguous they must be enforced as written. Gray v. Reynolds, 514 So.2d 973 (Ala.1987). In Lilley v. Gonzales, 417 So.2d 161, 163 (Ala.1982), the supreme court said:

“Where a contract is unambiguous and plain in expression, we know of no canon of construction that warrants an interpretation the only effect of which is to relieve a party to the contract from consequences deemed by him hard or unfair. Where the parties express without ambiguity their intention, no court can alter the agreement, and no room for judicial construction is left.” (citations omitted)

In his deposition the plaintiff, an attorney, stated that only by mutual consent [933]*933between the lessors and himself could the lease agreement be terminated. Further, plaintiff stated he had no unilateral authority to terminate the lease even if the vehicle was damaged beyond reasonable repair.

Notwithstanding plaintiff’s interpretation of the lease, the terms of Paragraph H clearly give to the lessors the power to terminate the lease under the conditions enumerated therein. Should one of the conditions set out in Paragraph H occur, the lessors are empowered to terminate the lease and determine lessee’s liability. Lessors are required to credit any insurance payments they receive to the total amount owed on the lease by lessee. The clear implication of these provisions is that the lessors would not consider termination unless the lessee made clear he would be responsible for the balance owed on the lease less any insurance credits due him.

There is no evidence in the record that the plaintiff offered to satisfy the balance owing on the lease agreement. In fact, the plaintiff wanted the lease terminated as of the date of the accident without further payment.

Summary judgment should be rendered if, from the pleadings, answers, admissions, depositions, and affidavits, there is no genuine issue as to any material fact and the moving party is entitled to a judgment as a matter of law. Rule 56(e), Alabama Rules of Civil Procedure. Section 12-21-12, Ala.Code 1975, provides that proof by substantial evidence shall be required for the purpose of testing the sufficiency of the evidence to support an issue of fact in rulings by the court on motions for summary judgment. Substantial evidence is defined as “evidence of such quality and weight that reasonable and fair-minded persons in the exercise of impartial judgment might reach different conclusions as to the existence of the fact sought to be proven.” § 12 — 21—12(d), Ala.Code 1975.

Based on the record evidence, we are convinced that there was no genuine issue of fact as to whether plaintiff could terminate the lease pursuant to the conditions of Paragraph H of said agreement. Consequently, the summary judgment for defendants is not erroneous.

Finally, plaintiff contends that the trial court erred by awarding defendant Regal a summary judgment on its counterclaim in the amount of $954.16, which is the balance due on the total repair bill of $9,419.76. Plaintiff says there is a dispute as to a material fact, i.e. did he have authority to authorize the repair and did he in fact authorize such repair?

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Related

Arfor-Brynfield, Inc. v. Huntsville Mall Associates
479 So. 2d 1146 (Supreme Court of Alabama, 1985)
Bass v. SOUTHTRUST BANK OF BALDWIN CTY.
538 So. 2d 794 (Supreme Court of Alabama, 1989)
Currie v. Great Central Ins. Co.
374 So. 2d 1330 (Supreme Court of Alabama, 1979)
Lilley v. Gonzales
417 So. 2d 161 (Supreme Court of Alabama, 1982)
Gray v. Reynolds
514 So. 2d 973 (Supreme Court of Alabama, 1987)

Cite This Page — Counsel Stack

Bluebook (online)
558 So. 2d 931, 1989 Ala. Civ. App. LEXIS 401, 1989 WL 147763, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brown-v-regal-nissan-inc-alacivapp-1989.