Eichelkraut v. Camp

513 S.E.2d 267, 236 Ga. App. 721, 99 Fulton County D. Rep. 1165, 1999 Ga. App. LEXIS 306
CourtCourt of Appeals of Georgia
DecidedMarch 2, 1999
DocketA98A1843, A98A1844
StatusPublished
Cited by14 cases

This text of 513 S.E.2d 267 (Eichelkraut v. Camp) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Eichelkraut v. Camp, 513 S.E.2d 267, 236 Ga. App. 721, 99 Fulton County D. Rep. 1165, 1999 Ga. App. LEXIS 306 (Ga. Ct. App. 1999).

Opinion

Smith, Judge.

The appeals in this case arise out of two rulings made by the trial court. Case No. A98A1843 addresses the issue of whether the trial court properly granted partial summary judgment to appellee Wayne Camp and others on the narrow issue of whether appellants Patricia Eichelkraut and Jack Nicholson breached a portion of a settlement agreement. In Case No. A98A1844, appellants enumerate as error the trial court’s refusal to disburse funds paid into court by *722 Camp. We find no error, and we affirm.

Case No. A98A1843

1. As a result of previous litigation between Eichelkraut and Nicholson as plaintiffs and Wayne Camp and others as defendants, the parties entered into a settlement agreement. The agreement includes the following “non-disparagement” clause, which is the subject of this appeal: “The parties agree that henceforth they shall cease and refrain from making any disparaging or defamatory remarks or comments regarding one another, expressly or by implication, including but not limited to any parties’ personal or business dealings and reputations.” 1

After the parties executed the settlement agreement, Wayne Camp, among other plaintiffs (collectively referred to as “Camp”), instituted this action against Eichelkraut, Nicholson, and others, making several contentions, including the allegation that Eichelkraut and Nicholson breached the settlement agreement by sending three disparaging letters. Camp moved for partial summary judgment on the narrow issue of whether these letters constituted breach of the non-disparagement clause. The trial court granted the motion, and Eichelkraut and Nicholson appeal. Because we conclude that certain correspondence, admittedly authored by Eichelkraut and edited in part by Nicholson, constituted disparaging comments in violation of the settlement agreement, we affirm.

Eichelkraut authored and mailed a letter to a federal district court judge concerning a bankruptcy matter in which Camp served as trustee. The letter recited that Camp was being investigated by an assistant district attorney for insurance fraud, embezzlement, mail fraud, and racketeering and asked the judge, “Before this information is given to the press, shouldn’t you reconsider your choice of Trustee?” She also wrote and mailed a letter to the Georgia Society of Certified Public Accountants, stating in part as follows: “We are writing this letter to alert you to the blatant disregard of professional ethics exhibited by Wayne Camp and Dana Pilgrim, his daughter.” The letter went on to accuse Camp of ethical violations in the practice of accounting and stated that a criminal investigation was in *723 progress. Nicholson reviewed a draft of the letter and made slight editorial changes. Finally, Eichelkraut authored and sent a letter to a journalist stating that Camp was under criminal investigation. Although the letters were anonymous, signed only as “concerned claimant,” “concerned citizens,” or “concerned professionals,” it is undisputed that Eichelkraut authored and sent them and that Nicholson reviewed the letter to the Society of Certified Public Accountants.

These letters, on their faces, were disparaging. In construing contracts, we are bound to ascribe to words “their usual and common signification.” OCGA § 13-2-2 (2). “The term, ‘disparagement,’ is defined in Webster’s Third New Intl. Dictionary (1961) as ‘diminution of esteem or standing and dignity; disgrace . . . , the expression of a low opinion of something; detraction.’ ” City Group v. Ehlers, 198 Ga. App. 709, 710 (1) (402 SE2d 787) (1991). See also Webster’s New Universal Unabridged Dictionary (2nd ed. 1983) (defining disparagement as “anything that detracts or discredits”). Unlike Ehlers, where we concluded that the words to which appellant objected were not disparaging as a matter of law, id., it is beyond cavil that the unprompted letters mailed by Eichelkraut and edited in part by Nicholson expressed “a low opinion” of Camp and served to diminish the esteem in which he was held.

Appellants maintain that “[t]he term ‘disparagement’ in the legal sense contemplates the making of a false statement in order to be actionable” and that because the statements made in the letters were true, they could not have been disparaging. We do not agree. It is true, as argued by appellants, that disparagement is identified as a form of slander or defamation under OCGA § 51-5-4 (a) (4). But this statutory definition of a tort does not dispense with the cardinal rule of contract construction that in interpreting contracts, we must ascertain the intent of the parties. OCGA § 13-2-3. We conclude that the agreement clearly reflects the parties’ intent that the non-disparagement clause applied to all derogatory communications, whether true or not. As noted by the trial court, the phrasing of the clause itself clearly contemplates a broad definition of the term “disparaging,” as it prohibits both “disparaging or defamatory remarks or comments.” (Emphasis supplied.) Moreover, the parties’ intent that the non-disparagement clause included even true statements is clear from the contract language prohibiting certain true statements. For example, in addition to the general prohibition against disparaging or defamatory comments, the clause prohibits statements that Eichelkraut and Nicholson were involuntarily terminated from employment. As aptly argued by Camp, the fact that Eichelkraut was involuntarily terminated does not appear to be disputed.

We note Eichelkraut’s affidavit reciting that the parties intended *724 the settlement agreement to encompass only untrue statements. But this evidence of a parol agreement regarding the meaning of the contract is unavailing, given the unambiguous terms of the contract. “Where the terms of a written contract are clear and unambiguous, the court will look to the contract alone to find the intention of the parties. Such a contract is the only evidence of what the parties intended and understood by it. Parol evidence is not admissible to contradict or construe an unambiguous contract.” (Citations and punctuation omitted.) Frank v. Fleet Finance, 227 Ga. App. 543, 546 (1) (b) (489 SE2d 523) (1997).

Appellants also argue that the statements made in the letters were privileged under OCGA § 51-5-7 (2) and (3). But as argued by Camp, the issue of privilege is irrelevant to this appeal, because privilege is a defense to the tort of defamation, not to a breach of contract action.

Finally, appellants argue that summary judgment was erroneously granted because Camp did not produce evidence of special damage as required by OCGA § 51-5-4 (b). This does not necessitate reversal.

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Bluebook (online)
513 S.E.2d 267, 236 Ga. App. 721, 99 Fulton County D. Rep. 1165, 1999 Ga. App. LEXIS 306, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eichelkraut-v-camp-gactapp-1999.