Kim W. Sheffield v. Jim Futch

CourtCourt of Appeals of Georgia
DecidedFebruary 20, 2020
DocketA19A1685
StatusPublished

This text of Kim W. Sheffield v. Jim Futch (Kim W. Sheffield v. Jim Futch) 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
Kim W. Sheffield v. Jim Futch, (Ga. Ct. App. 2020).

Opinion

FIFTH DIVISION MCFADDEN, C. J., MCMILLIAN, P. J., and SENIOR APPELLATE JUDGE PHIPPS

NOTICE: Motions for reconsideration must be physically received in our clerk’s office within ten days of the date of decision to be deemed timely filed. http://www.gaappeals.us/rules

February 20, 2020

In the Court of Appeals of Georgia A19A1685. SHEFFIELD v. FUTCH et al.; A19A1686. FUTCH et al. v. SHEFFIELD; A19A1687. FUTCH et al. v. SHEFFIELD.

MCMILLIAN, Presiding Judge.

In December 2014, Kim Sheffield filed suit against Covered Wagon Trailers,

LLC (“Covered Wagon”), Gerald Pryor, and Jim Futch (collectively “the

Defendants”), asserting multiple claims after his arrest and incarceration arising from

the Defendants’ efforts to recoup a business debt. The Defendants moved for

summary judgment, which the trial court granted in part and denied in part. In Case

No. A19A1685, Sheffield appeals the trial court’s grant of summary judgment in

favor of the Defendants on his claim for false arrest. In Case Nos. A19A1686 and

A19A1687, the Defendants cross-appeal the trial court’s denial of summary judgment on Sheffield’s claims for false imprisonment, malicious prosecution, and punitive

damages.1 For the reasons that follow, we find no error and affirm in all respects.

We begin by noting that summary judgment is proper

if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.

OCGA § 9-11-56 (c). Thus, “the moving party must demonstrate that there is no

genuine issue of material fact so that the party is entitled to judgment as a matter of

law.” (Citations and punctuation omitted.) Cowart v. Widener, 287 Ga. 622, 623 (1)

(a) (697 SE2d 779) (2010). “A defendant may do this by either presenting evidence

negating an essential element of the plaintiff’s claims or establishing from the record

an absence of evidence to support such claims.” (Citation and punctuation omitted.)

Id. In our de novo review of the grant or denial of a motion for summary judgment,

“we must view the evidence and all reasonable inferences drawn therefrom, in the

light most favorable to the nonmovant.” (Citation and punctuation omitted.) Johnson

St. Properties, LLC v. Clure, 302 Ga. 51, 52 (1) (805 SE2d 60) (2017).

1 Because the parties appeal from the same order, we have consolidated these cases for appellate review.

2 With these principles in mind, the record shows that Sheffield was the owner

of Xtra Tuff Trailers, LLC (“Xtra Tuff”), a company that sold pull-behind trailers.2

In 2010, Pryor formed Covered Wagon and began selling both stock and custom

enclosed trailers to Xtra Tuff on an open account.3 Although the parties did not have

a written sales agreement, they developed a course of business in which Xtra Tuff

wrote a check to Covered Wagon each time it took possession of a trailer and

included the VIN for that specific trailer on the memo line. Covered Wagon would

deposit the check when payment came due in 90 days. Covered Wagon required cash

on delivery for its other clients, but allowed this arrangement to accommodate Xtra

Tuff, its largest client. When payment was due on a particular trailer, Covered Wagon

would typically notify Xtra Tuff before it deposited the corresponding check.

In April 2011, Futch became the general manager of Covered Wagon and the

payment terms were eventually changed from 90 days to 30 days, but Covered Wagon

continued to coordinate with Xtra Tuff before depositing the checks it held. A

Covered Wagon employee maintained a chart of the trailers sold to Xtra Tuff, along

with the payment date for each, and sent the updated chart to Xtra Tuff several times

2 Xtra Tuff became defunct in late 2012. 3 Pryor is the sole owner and CEO of Covered Wagon.

3 each week. In September 2011, Xtra Tuff became delinquent on its account in excess

of $100,000. Because it was dissatisfied with Covered Wagon, Xtra Tuff paid its

account in full and ceased its business relationship with Covered Wagon. Some time

later, Covered Wagon contacted Xtra Tuff, and the parties agreed to resume their

prior business arrangement, again with no written contract. Covered Wagon

continued to maintain a chart of all trailers sold with a 30-day payment term and to

coordinate with Xtra Tuff when particular checks would be deposited.4

In August 2012, Xtra Tuff again became delinquent on its account and asked

Covered Wagon to temporarily hold the checks longer than 30 days due to a cash

flow problem. By October 2012, Xtra Tuff owed $93,000 and was unable to pay the

account in full. The parties continued to communicate by email regarding payment,

with Xtra Tuff maintaining that it was “working on a solution.” On October 25, 2012,

Futch and other Covered Wagon employees drove to Xtra Tuff and, after finding it

closed, entered the property through a hole in the fence and took possession of six or

seven trailers that Covered Wagon had sold to Xtra Tuff.5 That same day, without

4 There were a few times that a check deposited by Covered Wagon was returned for insufficient funds, but Covered Wagon employees deposed that Xtra Tuff was responsive in remedying any returned check. 5 Covered Wagon was able to resell those trailers.

4 coordinating with Xtra Tuff and knowing that there were insufficient funds in Xtra

Tuff’s account, Covered Wagon deposited 55 checks in its possession, all of which

were returned due to insufficient funds.6 Sixteen checks represented trailers that had

been delivered less than 30 days prior, with four additional checks exactly 30 days

old. After the checks were returned, Pryor instructed Futch to go to a magistrate judge

to see how they could get paid.

Futch first went to the Dodge County Magistrate Court and told someone there

that Covered Wagon had “checks that were worthless” and asked what he could do.

That person directed Futch to the Ben Hill County Magistrate Court. Futch then spoke

to the assistant district attorney in Ben Hill County, but did not learn anything “of any

substance.” Futch told Pryor of his lack of progress, and they “just decided to go on

over to the magistrate’s office and see what [they] need to do to get paid.” Futch

obtained a 10-day “bad check” form letter and purportedly mailed a version to

Sheffield on November 1, 2012 via certified mail.7

6 It is unclear from the record whether any of the fifty-five checks had been issued for any of the six or seven trailers that Covered Wagon was able to retrieve from Xtra Tuff’s property. 7 In his deposition, Futch acknowledged that he does not have a return receipt from the certified letter, but claimed that he called the post office to confirm it had been received. However, because of the age of the letter, the post office was no

5 On November 25, Futch met with the magistrate judge in Ben Hill County,

presented the returned checks, and was told to return the following day. Futch does

not recall whether he informed the judge that Covered Wagon provided invoices to

Xtra Tuff for the purchase of the trailers on an open account or that the payment terms

were 30 days. When he returned the next day, he received 55 warrants consisting of

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Kim W. Sheffield v. Jim Futch, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kim-w-sheffield-v-jim-futch-gactapp-2020.