Fleecs v. Burnett

CourtNebraska Court of Appeals
DecidedDecember 5, 2023
DocketA-22-957, A-22-958
StatusPublished

This text of Fleecs v. Burnett (Fleecs v. Burnett) is published on Counsel Stack Legal Research, covering Nebraska Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fleecs v. Burnett, (Neb. Ct. App. 2023).

Opinion

IN THE NEBRASKA COURT OF APPEALS

MEMORANDUM OPINION AND JUDGMENT ON APPEAL (Memorandum Web Opinion)

FLEECS V. BURNETT

NOTICE: THIS OPINION IS NOT DESIGNATED FOR PERMANENT PUBLICATION AND MAY NOT BE CITED EXCEPT AS PROVIDED BY NEB. CT. R. APP. P. § 2-102(E).

GREG FLEECS, INDIVIDUALLY AND AS TRUSTEE OF THE GREG FLEECS REVOCABLE TRUST, APPELLEE, V.

CLIFFORD W. BURNETT, APPELLANT, AND DALE LIND, INDIVIDUALLY AND AS TRUSTEE OF THE LONGHORN IRREVOCABLE TRUST, INTERVENOR AND APPELLEE.

Filed December 5, 2023. Nos. A-22-957, A-22-958.

Appeals from the District Court for Custer County: KARIN L. NOAKES, Judge. Affirmed. Terry K. Barber, of Barber & Barber, P.C., L.L.O., for appellant. Vikki S. Stamm and Rebecca M. Riley, of Stamm Romero & Associates, P.C., L.L.O., for appellee Greg Fleecs. Matthew D. Furrow and Michael S. Borders, of Borders Law Office, for intervenor and appellee Dale Lind.

PIRTLE, Chief Judge, and MOORE and ARTERBURN, Judges. MOORE, Judge. I. INTRODUCTION These cases involve Clifford W. Burnett’s alleged breach of agister’s agreements with Greg Fleecs and Dale Lind, and the validity of Uniform Commercial Code (UCC) financing statements filed by Fleecs and Burnett. Following a bench trial, the district court of Custer County found that Burnett had breached his agreements with both Fleecs and Lind by failing to properly care for their

-1- cattle and failing to provide proof of losses due to death. The district court also found that neither Fleecs nor Burnett were entitled to file a UCC financing statement. We affirm. II. STATEMENT OF FACTS 1. PROCEDURAL HISTORY For many years, Burnett had agreements with Fleecs, and separately with Lind, to feed and care for their cows in return for a share of their calf crop. Communication between Fleecs and Burnett broke down in the summer of 2018. Fleecs was concerned that Burnett was not branding the cattle belonging to Fleecs according to the parties’ agister’s agreements. On August 24, 2018, Fleecs filed a UCC financing statement with the Nebraska Secretary of State, placing a bailor’s lien against Burnett and Burnett’s LV Ranch, as debtors. The financing statement covered all of Fleecs’ livestock and proceeds in Burnett’s possession including, “342 black and black white-faced cows with calves at their side, 79 black and black white-faced cows with first calves at side, 69 black and black white-faced cows with second calves at their side and 88 black and black white-faced bred heifers,” which may be branded with three brands: two of Fleecs’ own brands and Burnett’s LV brand. On April 29, 2019, Burnett filed a UCC financing statement with the Nebraska Secretary of State, placing an agricultural agister’s lien against Fleecs in the amount of $906,400 for the care and feeding of Fleecs’ cattle. The cows covered by Burnett’s agister’s lien were the same as those Fleecs listed in his own financing statement, though Burnett added “100 young ones.” On June 26, 2019, Fleecs filed a complaint in the district court of Lancaster County, seeking a determination of the validity of his and Burnett’s UCC financing statements. The complaint also alleged that Burnett had breached his agister’s agreements with Fleecs by encumbering the livestock included in the agreements. The action was later transferred to Custer County district court. Burnett filed an answer and counterclaim, alleging slander of title. The counterclaim also sought a declaratory judgment from the district court declaring Fleecs’ financing statement to be invalid and illegal, terminating the parties’ agister’s agreements, and awarding Burnett $906,400 in damages for the care and feeding of Fleecs’ cattle. Fleecs filed a reply to Burnett’s answer and counterclaim, in which he requested that the district court order a cow head count, an accounting from Burnett as to any discrepancies, and that Burnett execute a brand release for any cows belonging to Fleecs but bearing Burnett’s brand. Various motions were thereafter filed regarding the validity of the UCC financing statements and Burnett’s effort to terminate Fleecs’ financing statement, which we need not detail as the issue of the financing statements will be addressed below in connection with the district court’s final judgment. On March 2, 2020, Fleecs filed a separate replevin action against Burnett in the district court of Custer County. On March 5, the district court filed a temporary order related to Fleecs’ replevin action, and referenced Fleecs’ amended complaint, affidavit, and request for delivery, all of which do not appear in our record on appeal. The court noted that Fleecs’ request for delivery of specific personal property was described in his affidavit as 390 share cows, bred; 79 second calf heifers, bred; 88 first calf heifers, bred; and 117 heifer calves born in 2019. Although this particular affidavit is not in our record, Fleecs’ accounting of his cattle in this instance is identical to that

-2- which he set forth in his affidavit dated October 30, 2019, relating to the validity of Burnett’s termination statement; as well as his affidavit dated January 13, 2020, relating to a motion for a court-ordered inspection. The court ordered Burnett to hold the described property in his possession until further order of the court. A hearing on Fleecs’ request for delivery was held on March 19, 2020, though a transcript from the hearing is not included in our record. On March 24, the district court entered an order memorializing the hearing, stating that the parties had reached an agreement. Burnett agreed to deliver to Fleecs all cattle bearing Fleecs’ brand in addition to four to five cows which bared no brand but had ear tags indicating they are Fleecs’ property. In total Fleecs would be delivered 30-40 cows. The court found this agreement to be reasonable and ordered Burnett to deliver the cows as soon as practicable. The court also noted that it would hold in abeyance its ruling on the remaining property included in Fleecs’ request for delivery. On May 15, 2020, Fleecs filed an amended UCC financing statement with the Secretary of State which excluded male cattle with the LV brand from Fleecs’ bailor’s lien. At some point in the action regarding the UCC financing statements, Lind intervened, though the exact date of his intervention is not clear from our record. On October 27, 2020, Lind filed a motion requesting that the district court order Burnett to release Lind’s 2020 calf share pursuant to the lease agreement between Burnett and Lind. The motion alleged that Lind had been attempting to remove his 2020 calf share, but that Burnett had been uncooperative, despite all parties’ agreeing that Lind should receive 16 calves from the 2020 calf share of Lind’s cows. A hearing on the matter was held on November 5 where Burnett argued that Lind should receive 14 calves. Lind agreed to an order allowing him to receive 14 calves while reserving the right to argue his entitlement to the other two calves at trial. On November 10, the district court entered an order which referenced the agreement that Lind would receive 14 calves from his 2020 calf crop and ordered Burnett to produce those 14 calves for Lind. On December 11, 2020, in the replevin action, Burnett filed a motion for order for delivery and payment for care, which listed Custer Federal State Bank as an intervenor. The motion alleged that pursuant to previous court orders, on March 21, Fleecs had retrieved 38 cows and four calves from Burnett, and on April 17, Fleecs had retrieved six cows and three calves from Burnett. The motion further alleged that there remained eight of Fleecs’ heifers in Burnett’s care, which Burnett would provide to Fleecs subject to payment for care and feeding. Fleecs had refused to take possession of the eight heifers because of Burnett’s request for payment.

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Fleecs v. Burnett, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fleecs-v-burnett-nebctapp-2023.