Burner Service & Combustion Controls Co. v. City of Minneapolis

250 N.W.2d 224, 312 Minn. 104, 1977 Minn. LEXIS 1659
CourtSupreme Court of Minnesota
DecidedJanuary 27, 1977
Docket46626
StatusPublished
Cited by6 cases

This text of 250 N.W.2d 224 (Burner Service & Combustion Controls Co. v. City of Minneapolis) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Burner Service & Combustion Controls Co. v. City of Minneapolis, 250 N.W.2d 224, 312 Minn. 104, 1977 Minn. LEXIS 1659 (Mich. 1977).

Opinion

Yetka, Justice.

Burner Service and Combustion Controls 1 Company, Inc. (Burner), appeals from a judgment entered on January 22, 1976, pursuant to an order by the district court granting the motion for summary judgment of the city of Minneapolis and denying Burner’s motion for summary judgment. We reverse.

The issue presented in this appeal is whether the city attorney is, as a matter of law, without authority to bind the city to a stipulation of settlement with a condemnee, while acting pur *105 suant to a resolution of the city council directing him to “take all necessary steps to prepare for, institute, and prosecute on behalf and in the name of the City of Minneapolis all such condemnation proceedings as may be necessary for the acquisition by said City of Minneapolis [of Burner’s property interest], the costs thereof to be paid from [funds authorized for this purpose]

This appeal arises out of a condemnation proceeding instituted by the city of Minneapolis as part of a development district in the Nicollet-Lake area where Burner leased property.

On November 22,1972, the city council designated the NicolletLake area a development district. Shortly thereafter it authorized funding for the district. Walter J. Duffy, Jr., the city attorney, was authorized to purchase or condemn property in the district.

On May 8, 1974, a condemnation proceeding was brought by the city. The petition listed Burner as a respondent and recited that the city attorney was given authority to direct condemnation proceedings on behalf of the city and that the city deemed it necessary to secure the land under the “quick take” provision of Minn. St. 117.042. 1

The petition was heard on June 18,1974, before Judge Edward Parker, who allowed .the condemnation to proceed but denied the city’s request for a “quick-take” and immediate possession.

On December 12, 1974, Burner’s president, Thomas A. Eyan, *106 and an assistant city attorney signed a stipulation of settlement. The settlement provided for payment of $15,778, allocating $7,500 to the present value of Burner’s leasehold interest and' $8,278 to Burner’s irremovable fixtures, in return for a quit claim deed from Burner and the termination of Burner’s interests in the premises on March 29, 1975.

A problem developed on February 4, 1975, when the assistant city attorney informed Burner’s attorney that the city would not pay the portion of the settlement previously allotted to Burner’s leasehold interest ($7,500) because an examination of Burner’s lease disclosed a clause which, in the city’s opinion, terminated Burner’s leasehold interest in the event of • condemnation.

In response, Burner instituted an action in district court for breach of the stipulation of settlement. Cross-motions for summary judgment were heard, and the city’s motion was granted and Burner’s motion was denied. Burner appeals from the judgment entered.

A motion for summary judgment may be granted only when the pleadings, depositions, answers to interrogatories, and admissions on file, together with affidavits, if any, show that there is no genuine issue as to any material fact and that a party is entitled to a judgment as a matter of law. Rule 56.08, Rules of Civil Procedure; Couillard v. Charles T. Miller Hospital, Inc. 253 Minn. 418, 92 N. W. 2d 96 (1958); 10 Dunnell, Dig. (3 ed.) § 4988b.

In Sauter v. Sauter, 244 Minn. 482, 484, 70 N. W. 2d 351, 353 (1955), this court stated the rules governing a motion for summary judgment as follows:

“A motion for a summary judgment may be granted pursuant to Rule 56.03 only if, after taking the view of the evidence most favorable to the nonmoving party, the movant has clearly sustained his burden of showing that there is no genuine issue as to any material fact and that he is entitled to judgment as a matter of law. It is essential to bear in mind that the moving party has the burden of proof and that the nonmoving party has the benefit of that view of the evidence which is most favorable to *107 him. The salutary purpose and useful function of summary judgment proceedings as a means of securing the just, speedy, and inexpensive determination of the action (Rule 1) is well recognized, but resort to summary judgment was never intended to be used as a substitute for a court trial or for a trial by jury where any genuine issue of material fact exists. In other words a summary judgment is proper where there is no issue to be tried but is wholly erroneous where there is a genuine issue to try.
“The controlling words genuine issue and material fact need no amplification since they best speak for themselves. Their application in determining whether there is an absence of a genuine issue as to a material fact requires a careful scrutiny of the pleadings, depositions, admissions, and affidavits, if any, on file. Since, however, all factual inferences must be drawn against the movant for summary judgment, it follows that, even where the movant’s supporting documents are uncontradicted, they may in themselves be insufficient to sustain his burden of proof.”

Thus, in view of these governing principles, the granting of the city’s motion for summary judgment can be upheld only under one of two circumstances: (1) if, as a matter of law, a city attorney may not bind the city to a stipulation of settlement under any circumstances; or (2) if such authority may exist, the facts before us raise no genuine issue as to the actual authorization of the city attorney to enter into a settlement on behalf of the city.

The city contends that the signing of the stipulation of settlement by the city attorney was the attempted performance of a nondelegable duty of the city, and as such, no legal effect can be given to the city attorney’s acts. The city further contends that Burner must be presumed to know the extent of the power of the officers with whom it dealt and is thus precluded from arguing either actual authority or estoppel premised on actions within the permissible scope of the officer’s authority.

Burner, on the other hand, contends that the city attorney not only had the power but also the specific authorization to settle *108 under the condemnation action initiated by the city attorney under the direction of the city council.

In granting the city’s motion for summary judgment, the trial court agreed with the city’s position. It found that the signing of the settlement agreement by the city attorney involved the attempted delegation of a nondelegable duty, stating in its memorandum :

“In Wilson v. Minneapolis, 283 Minn. 348, 168 N. W. 2d 19 (1969), the Minnesota Supreme Court held that municipal officers cannot go beyond the authority given them by law, nor delegate powers involving judgment or discretion. In other words, the City Council cannot delegate its powers that call for judgment or discretion on its part, but must exercise those powers itself.

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Bluebook (online)
250 N.W.2d 224, 312 Minn. 104, 1977 Minn. LEXIS 1659, Counsel Stack Legal Research, https://law.counselstack.com/opinion/burner-service-combustion-controls-co-v-city-of-minneapolis-minn-1977.