Croney v. Lane

260 S.W.3d 316, 99 Ark. App. 346, 2007 Ark. App. LEXIS 516
CourtCourt of Appeals of Arkansas
DecidedJune 27, 2007
DocketCA 06-904
StatusPublished
Cited by1 cases

This text of 260 S.W.3d 316 (Croney v. Lane) is published on Counsel Stack Legal Research, covering Court of Appeals of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Croney v. Lane, 260 S.W.3d 316, 99 Ark. App. 346, 2007 Ark. App. LEXIS 516 (Ark. Ct. App. 2007).

Opinion

Brian S. Miller, Judge.

Appellants, Sylva and Jacqueline Croney, are appealing the Perry County Circuit Court’s dismissal of their action to quiet title and the court’s grant of attorney’s fees. The trial court dismissed appellants’ case because it was barred by the doctrine of res judicata and because appellants failed to join indispensable parties. We reverse and remand.

Background

In 1998, appellants purchased property on Taylor Loop Road in Perry County. Appellants filed suit on October 13, 2000, to enjoin the City of Bigelow and Perry County from improving Taylor Loop Road. The circuit court ordered appellants, on August 24, 2001, to amend their complaint to clearly specify the relief sought and to join in the lawsuit “all landowners that may use the subject road to access their property.” Appellants failed to comply and, on February 4, 2003, the court dismissed the case with prejudice.

On July 28, 2004, appellants filed this action to quiet title to their property, subject to a public easement by prescription across Taylor Loop Road, and to enjoin the City from installing utility lines under the roadway. In response, the City asserted that appellants’ lawsuit was barred by the doctrine of res judicata. Appellants amended their petition on June 6, 2005, to allege that appellee Buddy Lane destroyed appellants’ trees and was continuing to trespass on their property. The petition was amended again on August 24, 2005, to allege that Joseph and Katherine Hooten owned the property on which Lane resided.

The City moved for summary judgment on January 11, 2006, relying on its res judicata argument, and the trial court denied the motion, finding that there were material issues of fact in dispute.

The Trial Court’s Ruling

Although the trial focused primarily on the width of Taylor Loop Road and the uses to which the City has made of it, there was also testimony regarding the lack of records in the clerk’s office indicating how the road has been used; regarding the ever-increasing width of the road; and regarding the City’s placement of culverts and water lines under the road. At the close of the testimony, both Lane and the'Hootens moved for directed verdicts. Appellants did not object, and the motions were granted.

The City then moved for a directed verdict and incorporated the arguments made in its earlier motion for summary judgment. Over appellants’ objections, the court dismissed the case because it found that appellants failed to join two indispensable parties. The court entered its order on March 31, 2006, dismissing appellants’ complaint for failing to join all of the landowners on Taylor Loop Road. The court also found that the current action was barred by res judicata because appellants had previously filed suit against the City on the same issues and that the previous suit had been dismissed with prejudice. Finally, the court declared Taylor Loop Road a public road.

Appellants moved for reconsideration, which was denied on May 2, 2006. On the same date, the court awarded both Lane and the Hootens $2500 in attorney’s fees.

Appellants timely appealed, raising five points for reversal. They contend that the trial court erred in summarily dismissing their complaint on the basis of res judicata; that the City had no right to bury utilities under, or to widen, Taylor Loop Road; that appellants are entitled to a decree describing appellee’s easement with specificity; that the trial court erred in awarding attorney’s fees to Lane and the Hootens; and that the trial court erred in dismissing appellants’ petition to quiet title.

Res Judicata

The trial court erred in dismissing appellants’ action on grounds of res judicata. In reaching this conclusion, we specifically hold that the court’s February 4, 2003 order of dismissal does not have a res judicata effect on this case because to hold otherwise would give that order an effect contrary to what is prescribed in Ark. R. Civ. P. 41(b).

The purpose of the res judicata doctrine is to put an end to litigation by preventing the re-litigation of a matter when a party has had one fair trial on the matter. Cox v. Keahey, 84 Ark. App. 121, 133 S.W.3d 430 (2003). The test to determine whether res judicata applies is whether matters presented in a subsequent suit were necessarily within the issues of the former suit and might have been litigated therein. Id. The key question is whether the party against whom the earlier decision is being asserted had a full and fair opportunity to litigate the issue in question. Id.

Appellants have not had a full and fair opportunity to litigate their case. This is true because appellants’ October 13, 2000 lawsuit was involuntarily dismissed pursuant to Rule 41(b) of the Arkansas Rules of Civil Procedure. The court dismissed the first action because appellants failed to comply with the court’s August 22, 2001 order requiring appellants to amend their complaint to clearly specify the relief sought and to join all parties owning land adjacent to Taylor Loop Road.

Although the February 4, 2003 order dismissed the earlier case “with prejudice,” we hold that it did not operate as a bar to the present case. Usually, a dismissal with prejudice is as conclusive of the rights of the parties as if there had been an adverse judgment as to the plaintiff after a trial. Cox, supra. There are, however, limitations to the doctrine of res judicata, and we believe the court erred in failing to apply an exception to that doctrine under the circumstances of this case. See id. This is true because Rule 41(b) provides that the court may involuntarily dismiss a case where “there has been a failure of the plaintiff to comply with these rules or any order of the court or in which there has been no action shown on the record for the past 12 months.” It further provides that

[a]dismissal under this subdivision is without prejudice to a future action by the plaintiff unless the action has been previously dismissed, whether voluntarily or involuntarily, in which event such dismissal operates as an adjudication on the merits.

Ark. R. Civ. P. 41(b) (emphasis added). For this reason, the trial court’s February 4, 2003 dismissal order directly conflicts with Rule 41(b).

Moreover, the Restatement (Second) of Judgments § 20(1) provides:

(1) A personal judgment for the defendant, although valid and final, does not bar another action by the plaintiff on the same claim:
(a) When the judgment is one of dismissal for lack of jurisdiction, for improper venue, or for nonjoinder or misjoinder of parties; or
(b) When the plaintiff agrees to or elects a nonsuit (or voluntary dismissal) without prejudice or the court directs that the plaintiff be nonsuited (or that the action be otherwise dismissed) without prejudice; or

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387 S.W.3d 185 (Court of Appeals of Arkansas, 2011)

Cite This Page — Counsel Stack

Bluebook (online)
260 S.W.3d 316, 99 Ark. App. 346, 2007 Ark. App. LEXIS 516, Counsel Stack Legal Research, https://law.counselstack.com/opinion/croney-v-lane-arkctapp-2007.