Fountain of Youth Church, Inc. v. Fountain

225 Conn. App. 856
CourtConnecticut Appellate Court
DecidedJune 4, 2024
DocketAC46249
StatusPublished
Cited by2 cases

This text of 225 Conn. App. 856 (Fountain of Youth Church, Inc. v. Fountain) is published on Counsel Stack Legal Research, covering Connecticut Appellate Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fountain of Youth Church, Inc. v. Fountain, 225 Conn. App. 856 (Colo. Ct. App. 2024).

Opinion

************************************************ The “officially released” date that appears near the beginning of an opinion is the date the opinion will be published in the Connecticut Law Journal or the date it is released as a slip opinion. The operative date for the beginning of all time periods for the filing of postopin- ion motions and petitions for certification is the “offi- cially released” date appearing in the opinion. All opinions are subject to modification and technical correction prior to official publication in the Connecti- cut Law Journal and subsequently in the Connecticut Reports or Connecticut Appellate Reports. In the event of discrepancies between the advance release version of an opinion and the version appearing in the Connecti- cut Law Journal and subsequently in the Connecticut Reports or Connecticut Appellate Reports, the latest version is to be considered authoritative. The syllabus and procedural history accompanying an opinion that appear in the Connecticut Law Jour- nal and subsequently in the Connecticut Reports or Connecticut Appellate Reports are copyrighted by the Secretary of the State, State of Connecticut, and may not be reproduced or distributed without the express written permission of the Commission on Official Legal Publications, Judicial Branch, State of Connecticut. ************************************************ Page 0 CONNECTICUT LAW JOURNAL 0, 0

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FOUNTAIN OF YOUTH CHURCH, INC. v. FRANKLIN L. FOUNTAIN ET AL. (AC 46249) Clark, Seeley and Palmer, Js.

Syllabus

The plaintiff church appealed to this court from the judgment of the trial court granting the motion by the defendants, F and F Co., to dismiss its action alleging fraud, constructive trust, conversion, and statutory theft. In its operative complaint, the church alleged that it owned certain real property and that F had been named pastor of the church. More than one year after his appointment, F advised the church’s board of directors at a board meeting that the church owed taxes and that the church should change its legal name and business structure in order to avoid that tax obligation. The church alleged that, unbeknownst to it and its board, F had incorporated F Co. prior to the board meeting, that F knew that the church, which was a tax-exempt entity, did not in fact owe any taxes despite his representations to the contrary, that F, in his purported role as president of the church, had filed documents dissolving the church as a corporation without receiving authorization from the church’s board and that, without the knowledge of the church or its board, F signed and filed documents purporting to transfer the church’s properties to F Co. and removed money from the church’s bank accounts. The defendants filed a motion to dismiss the church’s complaint, arguing, inter alia, that D and J, the persons who purported to have commenced the present action in the name of church, were not authorized to initiate litigation on behalf of the church and, therefore, the church lacked standing to bring the present action and the court consequently lacked subject matter jurisdiction. In support of their motion to dismiss, the defendants filed, inter alia, an affidavit of F and deposition testimony of D and J. The church filed an objection to the defendants’ motion to dismiss, arguing, inter alia, that, contrary to the defendants’ contentions, the church was not properly dissolved by a duly authorized action of its board of directors and that, because the church had not been properly dissolved, the defendants could not rely upon their improper actions to deprive the church of its ability to pursue its claims that stemmed from those very actions. The church further argued that J, who the church claimed was the vice president of the church prior to the church’s dissolution, and D, who the church claimed was a member of the church’s deacon board, were authorized to bring the present action in the church’s name because they more fairly and accurately represented the interests of the church. At the hearing on the defendants’ motion to dismiss, the court’s principal concern was that, even if the court were to assume that the dissolution of the church was improper, there were no indicia 0, 0 CONNECTICUT LAW JOURNAL Page 1

0 Conn. App. 1 ,0 3 Fountain of Youth Church, Inc. v. Fountain of authorization for D or J to bring the action in the name of the church. The court subsequently granted the defendants’ motion to dismiss and overruled the church’s objection to the motion. In the court’s written order that followed, the court explained that there was no written autho- rization for the church to initiate the present action, nor was the action brought by any member of the religious congregation in a derivative capacity. Accordingly, the court concluded that it lacked subject matter jurisdiction over the matter and dismissed the action. The church subse- quently filed a motion for reargument and reconsideration in which it argued, inter alia, that the court’s ruling ignored that F’s wrongful actions were the reason that no written authorization existed and that the defen- dants should not be permitted to benefit from those wrongful actions. One day after filing its motion for reargument and reconsideration, the church filed a supplement to its motion, which included a document dated May 4, 2019, purporting to be a resolution authorizing the present action against the defendants. The defendants objected and argued that the church’s filings called into question the credibility of the claims asserted in both the church’s motion for reargument and reconsideration and the supplemental filing in support of that motion. The defendants noted that the church had conceded in its motion for reargument and reconsideration that there had been no authorization because F’s actions purportedly made that impossible but in its supplemental filing had purported to submit a written resolution from May 4, 2019, authorizing the present action. The defendants further noted that J had testified during a deposition in October, 2019, that the church’s board never voted to commence a lawsuit against the defendants or to authorize any person to act on the church’s behalf against the defendants. At the hearing on the motion for reargument and reconsideration, the court expressed concerns with the purported May 4, 2019 resolution and concluded that the purported authorization was not credible and, accord- ingly, denied the church’s motion for reconsideration. Held that the church could not prevail on its claim that the trial court improperly dismissed its action against the defendants for lack of standing: the defendants’ motion to dismiss and the affidavits and evidence in support of it conclusively established that the church lacked the authority to sue the defendants, as F averred that the church’s board never authorized any individual to bring the present lawsuit, D testified in his deposition that he did not attend any meeting about bringing the present action, and J testified in his deposition that he did not conduct any board meetings after the church was purportedly dissolved, that he was not aware of any votes or minutes by the board that were taken in relation to the church after the purported dissolution, and that the board never took any vote in relation to instituting the present lawsuit; moreover, the church’s opposition to the motion to dismiss failed to overcome the defendants’ evidence establishing that no person was authorized to bring the present action in the name of the church, as the affidavits and Page 2 CONNECTICUT LAW JOURNAL 0, 0

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Bluebook (online)
225 Conn. App. 856, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fountain-of-youth-church-inc-v-fountain-connappct-2024.