Keliin v. Petrucelli

499 N.W.2d 360, 198 Mich. App. 426
CourtMichigan Court of Appeals
DecidedMarch 1, 1993
DocketDocket 147796, 148877
StatusPublished
Cited by3 cases

This text of 499 N.W.2d 360 (Keliin v. Petrucelli) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Keliin v. Petrucelli, 499 N.W.2d 360, 198 Mich. App. 426 (Mich. Ct. App. 1993).

Opinion

Connor, P.J.

Plaintiffs Dale Keliin and Cindy Keliin filed separate legal malpractice actions *428 against defendant Vincent Petrucelli. 1 Both actions were summarily dismissed pursuant to MCR 2.116(0(10). Each plaintiff appeals as of right, and this Court consolidated the appeals. We affirm, but remand for further proceedings.

Bale Keliin was injured seriously in an auto accident in 1984. Defendant represented Dale in his product liability claim against the vehicle manufacturer and, at the same time, represented Cindy Keliin, Dale’s wife, in her claim of loss of consortium. While that case was pending, the Keliins began experiencing marital difficulties and informed defendant of their difficulties. Defendant continued to represent them both. In April 1988, the Keliins settled their claims for $252,000 in cash and monthly payments of $2000, increasing by three percent a year, for as long as Dale lived, but for at least twenty years. 2 Cindy Keliin filed for divorce six months later, and the Keliins were divorced in 1989.

i

Defendant moved for summary disposition on the ground that neither plaintiff could establish any damages caused by defendant’s malpractice. 3 The trial court agreed, and we affirm that decision.

On a motion for summary disposition under MCR 2.116(C)(10), a party cannot rest on mere allegations, but must, by documentary evidence, *429 set forth specific facts showing that there is a genuine issue for trial. McCart v J Walter Thompson USA, Inc, 437 Mich 109, 115; 469 NW2d 284 (1991); MCR 2.116(G)(4). The record shows that the lump sum was paid to Dale and Cindy jointly, but the periodic payments, which were calculated to have a present a cash value of $319,901, were to be made to Dale only.

It is important to note that neither Dale Keliin nor Cindy Keliin presented any evidence questioning the adequacy of the overall settlement. Cindy Keliin’s expert testified that her claim of loss of consortium should have been worth ten to twenty percent of Dale’s claim. Dale Keliin’s expert testified that because of the probability that the Keliins would divorce, defendant should have negotiated to have the settlement structured differently.

A

Cindy Keliin contends that as a result of defendant’s malpractice she did not receive fair compensation for her claim of loss of consortium. The settlement was for $571,901. From this amount, the expenses of the litigation, $31,823.99, as well as defendant’s fee of $180,025.67, had to be deducted. This left the Keliins with a net recovery of $360,051.34. According to her expert, Cindy Keliin should have received between $32,731.94 and $60,008.56 of the net recovery. 4 _

*430 Of the net proceeds of the settlement, $319,901 were in Dale’s name and $40,150.34 were paid to Dale and Cindy jointly. Thus, the record shows a potential for Cindy Keliin being injured by defendant’s structuring of the settlement inasmuch as Dale had control over all the proceeds while Cindy had control over approximately one-ninth.

However, a claim of malpractice requires a showing of actual injury caused by the malpractice, see McCluskey v Womack, 188 Mich App 465, 473; 470 NW2d 443 (1991), not just a potential for injury, and it is here that Cindy Keliin’s claim fails. While she and Dale Keliin remained married, there is nothing in the record to suggest that she, in fact, was denied her fair share of the proceeds of the settlement. 5 Therefore, there is no indication that, prior to the divorce, Cindy had been injured by defendant’s malpractice.

Nevertheless, because the cash portion of the settlement had been spent, the potential for Cindy Keliin suffering injury upon her divorce was substantial. Had the ongoing payments been treated as Dale Keliin’s separate property, Cindy Keliin would have been denied some of the recovery attributable to her injury because of defendant’s decision to put most of the settlement proceeds in Dale’s name. However, that was not what happened. Despite the payments being in Dale’s name, the divorce court treated them as the joint property of Dale and Cindy. Thus, the potential for injury caused by the decision to have the payments made to Dale was rendered a nullity before it caused Cindy any actual injury.

We find that Cindy Keliin did not demonstrate *431 that she had suffered any injury before the divorce and that the divorce court’s decision to treat the payments as a joint marital asset prevented any injury from occurring after the divorce.

Cindy Keliin claims that this means she would have had to argue the value of her claim of loss of consortium in the divorce court. We agree. However, we disagree with her contention that she could not have done so. The record shows not only that the issue could have been decided by the divorce court, but also that it was.

Property division in divorce is based on the particular equities of the situation. See Sparks v Sparks, 440 Mich 141, 159-160; 485 NW2d 893 (1992). When it ruled that the remainder of the settlement was a jointly held asset, the divorce court recognized that some portion of the settlement was compensation for Dale’s injury and some portion of the settlement was compensation for Cindy’s injury. The divorce court divided the remaining settlement proceeds according to its own assessment of the relative value of the two claims. 6

We are not deciding whether the divorce court’s division of the settlement proceeds was correct: that issue is not before us. 7 We mention it only to show that if Cindy Keliin did not receive that portion of the settlement to which she was entitled, it was due not to defendant’s decision to put most of the proceeds of that settlement in Dale Keliin’s name, but to the divorce court’s independent assessment of how much of that settlement was attributable to her injury.

Therefore, Cindy Keliin having failed to present *432 any evidence that she suffered any damages because of defendant’s malpractice, the trial court properly dismissed her claim. 8

B

Dale Keliin argues that but for defendant’s malpractice, he would have insisted on a lump sum settlement, rather than the long-term payout he did receive. He presented the deposition of an expert who testified that in cases of divorce more money is usually needed up front. However, Dale presented no evidence that he actually needed more money up front, or that he, in fact, was harmed by the way the settlement was structured. The trial court properly granted defendant summary disposition of Dale Keliin’s malpractice claim.

ii

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Bluebook (online)
499 N.W.2d 360, 198 Mich. App. 426, Counsel Stack Legal Research, https://law.counselstack.com/opinion/keliin-v-petrucelli-michctapp-1993.