Davis v. Williams

774 S.E.2d 889, 242 N.C. App. 262, 2015 N.C. App. LEXIS 625
CourtCourt of Appeals of North Carolina
DecidedJuly 21, 2015
DocketNo. COA14–1143.
StatusPublished
Cited by5 cases

This text of 774 S.E.2d 889 (Davis v. Williams) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Davis v. Williams, 774 S.E.2d 889, 242 N.C. App. 262, 2015 N.C. App. LEXIS 625 (N.C. Ct. App. 2015).

Opinion

BRYANT, Judge.

*262Our Courts may use neutral principles of law to resolve disputes concerning whether a church followed its bylaws. Our Courts must *263defer to the internal governing body of a church with regard to disputes over the use of church funds.

Plaintiffs Sarah B. Davis, Norman Goode, Jr., Gloria H. Cole, Mattie Miller, Oscar Buchanan, and Beverly Buchanan (hereafter "plaintiffs") are members of New Zion Baptist Church. Defendant Henry Williams, Jr., was elected pastor of New Zion Baptist Church in 2004.

On 20 December 2013, plaintiffs filed a verified complaint against Williams and New Zion Baptist Church (hereafter "defendants") alleging that Williams had violated the church's bylaws regarding voting, refused plaintiffs' requests to review church accounting records, wrongfully converted church funds for personal use, and embezzled from the church. Plaintiffs sought a declaratory judgment finding that defendants' voting process to amend New Zion Baptist Church's bylaws was improper. Plaintiffs also sought an accounting of church records and attorney's fees. Plaintiffs further brought claims against Williams for conversion and embezzlement/obtaining property by false pretenses.

Defendants filed a Rule 12(b)(1) motion to dismiss plaintiffs' complaint for lack of subject matter jurisdiction on 24 February 2014. A hearing on defendants' motion was held on 27 May 2014, the Honorable Nathaniel J. Poovey, Judge presiding. By order entered 24 June 2014, the trial court denied defendants' motion to dismiss. Defendants appeal.

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In their sole issue on appeal, defendants contend the trial court erred in denying defendants' motion to dismiss. We disagree in part.

We note at the outset that defendants' appeal is interlocutory in nature. See In re Will of McFayden, 179 N.C.App. 595, 599-600, 635 S.E.2d 65, 68 (2006) ("[T]he denial of a motion to dismiss pursuant to Rule 12(b)(1) is interlocutory[.]" (citations omitted)). "[A]ppellate review of an interlocutory order is permissible if ... the order implicates a substantial right of the appellant that would be lost if the order was not reviewed prior to the issuance of a final judgment." John Doe 200 v. Diocese of Raleigh, --- N.C.App. ----, ----, 776 S.E.2d 29, 33, 2015 WL 4081974 (2015) (citing Keesee v. Hamilton, --- N.C.App. ----, ----, 762 S.E.2d 246, 249 (2014) ). Where, as here, the trial court's denial of a Rule 12(b)(1) motion to dismiss could result in the trial court becoming entangled in ecclesiastical matters, such an interlocutory order is immediately appealable. See *892Harris v. Matthews, 361 N.C. 265, 270-71, 643 S.E.2d 566, 569-70 (2007) (holding that where "a civil court action cannot proceed [against a church defendant] without impermissibly entangling the *264court in ecclesiastical matters[,]" such entanglement makes the underlying interlocutory order immediately appealable because such entanglement would affect the church defendant's First Amendment rights, and "[t]he loss of First Amendment freedoms, for even minimal periods of time, unquestionably constitutes irreparable injury." (citations and quotation omitted)). Accordingly, we proceed to address the merits of defendants' appeal.

This Court reviews " Rule 12(b)(1) motions to dismiss for lack of subject matter jurisdiction de novo and may consider matters outside the pleadings." Id. at 271, 643 S.E.2d at 570 (citations omitted).

Defendants argue that the trial court erred in denying their motion to dismiss. Specifically, defendants contend the trial court lacked jurisdiction to review New Zion Baptist Church's bylaws, management, or use of funds.

The First Amendment of the United States Constitution prohibits a civil court from becoming entangled in ecclesiastical matters. However, not every dispute involving church property implicates ecclesiastical matters. Thus, while circumscribing a court's authority to resolve internal church disputes, the First Amendment does not provide religious organizations absolute immunity from civil liability.

Johnson v. Antioch United Holy Church, Inc., 214 N.C.App. 507, 510-11, 714 S.E.2d 806, 810 (2011) (citations and parentheticals omitted). As such, our Courts may resolve disputes through "neutral principles of law, developed for use in all property disputes." Id. at 511, 714 S.E.2d at 810 ; see also Tubiolo v. Abundant Life Church, Inc., 167 N.C.App. 324, 329, 605 S.E.2d 161, 164 (2004) (citation omitted) (holding that courts can adjudicate property disputes as well as exercise jurisdiction over the narrow issue of whether bylaws of a church were properly adopted). "The dispositive question is whether resolution of the legal claim requires the court to interpret or weigh church doctrine." Smith v. Privette, 128 N.C.App. 490, 494, 495 S.E.2d 395, 398 (1998) (citation omitted).

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Bluebook (online)
774 S.E.2d 889, 242 N.C. App. 262, 2015 N.C. App. LEXIS 625, Counsel Stack Legal Research, https://law.counselstack.com/opinion/davis-v-williams-ncctapp-2015.