Freiberger v. American Triticale, Inc.

815 P.2d 437, 120 Idaho 239, 1991 Ida. LEXIS 118
CourtIdaho Supreme Court
DecidedJuly 29, 1991
Docket17998
StatusPublished
Cited by12 cases

This text of 815 P.2d 437 (Freiberger v. American Triticale, Inc.) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Freiberger v. American Triticale, Inc., 815 P.2d 437, 120 Idaho 239, 1991 Ida. LEXIS 118 (Idaho 1991).

Opinions

McDEVITT, Justice.

This action arises from a series of business dealings between the parties. J.R. Simplot Company (Simplot) purchased large quantities of grain from American Triticale, Inc. (ATI) under both purchase order and long term contracts. ATI rented several large buildings from Simplot. In 1975, these dealings became troublesome. Because of cash flow problems, ATI was unable to pay certain farmers in the Burley area who became the original plaintiffs in this action. They sued ATI and the ware-housemen who stored the grain locally and a writ of attachment was issued on their grain. As a resolution of that complaint, ATI entered into a stipulation with the farmers to sell the grain to Simplot under the contracts and ATI would instruct Simplot to pay the farmers directly. This stipulation was the basis for a court order extinguishing the sheriff’s attachment. After ATI delivered the grain, Simplot refused to pay either ATI or the farmers. Claiming that ATI had delivered the grain under contract, Simplot based their refusal to pay on a claimed set-off against ATI which arose from prior business dealings. The record reflects Simplot was not a party to the stipulation between the farmers and ATI and apparently was not aware of the stipulation. The farmers then filed a claim against both ATI and Simplot in September of 1977, however, the plaintiffs did not serve the complaint on ATI until 1979. ATI then filed its answer and cross-claim against Simplot, alleging breach of contract for the sale of grain, conversion, and tortious interference with business relationships. ATI later filed an amended cross-claim and added claims for antitrust violations and breach of express and implied contracts.

The district court granted summary judgment on several counts of the cross-claim against Simplot, and these are the issues on appeal before us:

I. Count Two — Conversion—dismissed because precluded by the statute of limitations.
[241]*241II. Count Four — Antitrust—dismissed as improper subject matter for a cross-claim and not permitted.
III. Count Five — Breach of Contract— dismissed because of it was precluded by the statute of limitations.

The district court has retained jurisdiction of the remaining amount in dispute in count one. Count three was not raised as an issue in this appeal.

I. COUNT TWO — CONVERSION

Count two is a claim for conversion. The district court ruled that this count was barred by the statute of limitations. Here, it is important to look at the chronology of events:

Conversion allegedly occurred — January 21, 1975
Plaintiffs' complaint filed — September 7, 1977
Simplot’s answer filed — January 17, 1978 ATI’s cross-claim filed — December 21, 1979
Simplot’s answer to cross-claim filed— December 19, 1983
Amended cross-claim filed — August 28, 1984
Amended answer to cross-claim filed— January 27, 1987

A cause of action for conversion accrues as soon as the property is wrongfully taken or retained. Davidson v. Davidson, 68 Idaho 58, 63, 188 P.2d 329, 334 (1947); Havird v. Lung, 19 Idaho 790, 115 P. 930 (1911). The parties agree that the conversion took place on January 21, 1975. The applicable statute of limitations for conversions is three years. I.C. § 5-218. Thus, the cut off date for this claim was January 21, 1978. ATI’s cross-claim was not filed until December of 1979, almost five years after the date of the alleged conversion. The district court ruled that count two was barred by the statute of limitations. We agree.

ATI asserts that the doctrine of relation back under I.R.C.P. 15(c) saves this claim from being time barred because their amended cross-claim should relate back to Simplot’s answer in the original action. The crucial language in the rule provides:

Rule 15(c). Relation back of amendments. — Whenever the claim or defense asserted in the amended pleading arose out of the conduct, transaction, or occurrence set forth or attempted to be set forth in the original pleading, the amendment relates back to the date of the original pleading____

Under this rule, it is correct that ATI’s amended cross-claim could relate back to their original cross-claim, but it may not, as they contend, relate back to Simplot’s answer to the plaintiff farmers’ complaint. Obviously, relation back to Simplot’s answer is more attractive to ATI because it would save this claim from preclusion by the statute of limitations cut-off with four days to spare, whereas relation back to the original cross-claim will not save the conversion action from the statute of limitations.

Rule 15(c) does not allow one party’s pleading to relate back to a different party’s pleadings. We are unable to find any Idaho cases that address this precise issue. However, other courts have considered this matter and have ruled likewise. In United States for Bros. Builders Supply v. Old World Artisans, 702 F.Supp. 1561 (N.D.Ga. 1988), the court stated:

In determining whether a cross-claim may relate back to the date of the original complaint, the federal courts distinguish between those wherein the defendant seeks to reduce the amount a plaintiff can recover, such as by recoupment, contribution, or indemnity, and those wherein the defendant is seeking affirmative relief. Where the claim of the defendant is an affirmative independent cause of action not in the nature of a defensive claim, the defendant must comply with the applicable statute of limitations.
* * * * * *
As noted by the court in Applebaum, most of the decisions involving this rule have examined counterclaims rather than cross-claims. Nevertheless, as held in Ash v. United States, 363 F.Supp. 345, [242]*242346 (D.Neb.1973), the rationale for the rule has even stronger force with regard to cross-claims____

Id. 702 F.Supp. at 1569 (citations omitted). See also Applebaum v. Ceres Land Co., 546 F.Supp. 17 (D.Minn.1981); Ash v. United States, 363 F.Supp. 345 (1973).

Because Idaho Rule of Civil Procedure 15(c) is based on the federal rule, we find this argument persuasive.

ATI’s cross-claim against Simplot is not asserted as a defense, but as an independent cause of action. ATI seeks damages from Simplot because Simplot “willfully and maliciously and intentionally converted the grain.” An independent cause of action must comply with the statute of limitations, therefore, the doctrine of relation back does not save count two; it is time barred.

II. COUNT FOUR — ANTITRUST

Count four alleges antitrust violations of I.C. §§ 48-101, 48-102, and 48-104, on the part of Simplot.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Waterman v. State
Idaho Court of Appeals, 2024
Nava v. State
Idaho Court of Appeals, 2022
Barden v. Goodsell
D. Idaho, 2021
McCormack v. Caldwell
266 P.3d 490 (Idaho Court of Appeals, 2011)
Murray v. MANSHEIM
2010 SD 18 (South Dakota Supreme Court, 2010)
Rieger v. Bennett
84 P.3d 265 (Court of Appeals of Washington, 2004)
In Re Wiersma
283 B.R. 294 (D. Idaho, 2002)
Fmc Corporation v. Westinghouse Electric Corp.
85 F.3d 635 (Ninth Circuit, 1996)
City of Sandpoint v. Sandpoint Independent Highway District
879 P.2d 1078 (Idaho Supreme Court, 1994)
State, Department of Finance v. Offshore Finance Ltd.
858 P.2d 782 (Idaho Court of Appeals, 1993)
Freiberger v. American Triticale, Inc.
815 P.2d 437 (Idaho Supreme Court, 1991)

Cite This Page — Counsel Stack

Bluebook (online)
815 P.2d 437, 120 Idaho 239, 1991 Ida. LEXIS 118, Counsel Stack Legal Research, https://law.counselstack.com/opinion/freiberger-v-american-triticale-inc-idaho-1991.