King v. Genon Energy Holdings, Inc.

747 S.E.2d 15, 323 Ga. App. 451, 2013 Fulton County D. Rep. 2309, 2013 WL 3455722, 2013 Ga. App. LEXIS 612
Court of Appeals of Georgia·Decided July 10, 2013·No. A13A0305·Published·Cited by 10 cases

Opinion

McFadden, Judge.

Donald King filed a breach of contract action against GenOn Energy Holdings, Inc., formerly known as Mirant Corporation, claiming he was entitled to a promised severance payment. The trial court [452]*452granted summary judgment to GenOn. King appeals, arguing that a state court erred in transferring the case to superior court and that the superior court erred in granting summary judgment to GenOn. Because the transfer issue was not preserved for appellate review and under the terms of the contract King was not entitled to a severance payment, we affirm.

1. Transfer to superior court.

After dismissing his initial complaint, King filed the instant renewal action in the State Court of Fulton County. GenOn filed an answer and counterclaim for reformation of the contract. GenOn moved to transfer the case to superior court on the ground that the state court did not have jurisdiction over its equitable counterclaim. The state court granted the motion and transferred the case to superior court. In superior court, both parties moved for summary judgment. While King argued that he was entitled to summary judgment on GenOn’s counterclaim, he never objected to the transfer from state to superior court and certainly never obtained a ruling from the superior court on that issue.

We are a court for correction of errors below, and, in the absence of a ruling by the trial court, this court has nothing to review. Hart v. Groves, 311 Ga. App. 587, 588 (1) (716 SE2d 631) (2011).

But [King] failed to object below about this specific [transfer] issue and thus did not give the trial court opportunity to correct the alleged error. . . . Generally, no matter how erroneous a ruling of a trial court might be, a litigant cannot submit to a ruling or acquiesce in the holding, and then complain of the same on appeal. He must stand his ground. Acquiescence deprives him of the right to complain further. That is, a party cannot ignore that which he or she thinks to be error, take a chance on a favorable outcome, and complain later.

Lamb v. Javed, 303 Ga. App. 278, 280 (1) (692 SE2d 861) (2010) (citations, punctuation and emphasis omitted). Because he acquiesced in the transfer of the case to the superior court, King cannot now complain.

2. Summary judgment.

King contends that the trial court erred in its summary judgment ruling on his claim for the severance payment, arguing that because his employment was terminated within a guaranteed two-year period he was entitled to the payment. However, as the trial court correctly found, even though King was transferred from one affiliated employer to another within the two-year period, he was continuously employed [453]*453until after the end of that period and therefore the severance payment obligation was not triggered.

On appeal from the grant or denial of summary judgment, we apply a de novo standard of review. The moving party must demonstrate that there is no genuine issue of material fact and that the undisputed facts, viewed in the light most favorable to the nonmoving party, warrant judgment as a matter of law.

Zurich American Ins. Co. v. Heard, 321 Ga. App. 325, 326 (740 SE2d 429) (2013) (citation and punctuation omitted).

So viewed, the evidence shows that in 2004, King was hired by Mirant Corporation, and his job duties included supporting the operation of power-generating assets in the Caribbean. In 2007, in order to facilitate a sale of its Caribbean assets to a company called Marubeni Corporation, Mirant approached King about becoming an employee of Marubeni. In connection with that change of employers, Mirant promised to make a defined payment to him if his employment with Marubeni and its affiliates was terminated within two years of the sale. The written agreement, set forth in a July 26, 2007 letter from Mirant to King, provides:

In return for your agreement to work for Marubeni Corporation following Mirant Corporation’s (“Mirant’s” or “the Company’s”) sale of its Caribbean investments to Marubeni and its affiliates (collectively referred to as “Marubeni”), which has helped facilitate this transaction on behalf of the Company, the Company has decided that, should your employment with Marubeni terminate for any reason other than voluntarily, by death, or for cause (including performance) within two years of the Closing Date of the sale, Mirant will pay you $110,389 minus an amount equal to any gross severance payment you receive from Marubeni, less applicable deductions for federal, state and local taxes and with-holdings. This payment will be made within 30 business days following delivery of proof of termination of your employment by Marubeni, including the reasons therefore and the terms of any severance payments received or to be received from Marubeni, and after execution by you of a general release of claims against Mirant.

The sale of Mirant’s Caribbean assets closed on August 9, 2007. And King went to work for a subsidiary of Marubeni Corporation [454]*454called Marubeni Caribbean Power Holdings, Inc. (“MCPH”). In 2009, Marubeni Corporation sold half of its Caribbean power portfolio to a company called TAQAAbu Dhabi National Energy Company PJS. Marubeni Corporation and TAQA each owned 50 percent of the new company called MaruEnergy Caribbean Ltd. (“MCL”). On March 12, 2009, King’s supervisor at MCPH, Seiji Kawamura, notified King by two letters that his employment with MCPH was ending, but that he would immediately be employed by MCL under the same terms as his job with MCPH. In one letter, Kawamura, writing as a senior vice president of MCPH, stated:

As you know, as a result of a transaction with TAQA Abu Dhabi National Energy Company PJS, Marubeni has sold a portion of its ownership interest in its assets [in] the Caribbean. As a result, your employment with MCPH will end as of March 18, 2009. However, we understand that you will be offered immediate employment with the new entity, MaruEnergy Caribbean Ltd. (MCL), as of that same date, on the same terms and conditions as you had with MCPH, including recognition of your length of service with MCPH.

In the other letter, Kawamura, then writing as a senior vice president of MCL, stated: “We would like to offer you employment as of March 18, 2009, with MaruEnergy Caribbean Ltd. (MCL) on all of the same terms and conditions as you had with Marubeni Caribbean Power Holdings, Inc. (MCPH), as defined in your signed agreement with MCPH.” King accepted the offer, left MCPH and started with MCL on the same day, with no break in his employment or compensation. The physical location of his job remained the same. A few months later, MCL changed its name to Marubeni TAQA Caribbean, Ltd. (Marubeni TAQA).

King claims that he is entitled to the severance payment from Mirant set forth in the 2007 letter-agreement because his employment with MCPH ended on March 18, 2009, which was within the designated two-year period. We disagree.

Contract construction is generally a question of law for the court. We follow a three-step process in construing a contract, first determining if the contract language is clear and unambiguous. When a contract contains no ambiguity, the court simply enforces the contract according to its clear terms; the contract alone is looked to for its meaning.

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King v. Genon Energy Holdings, Inc., 747 S.E.2d 15, 323 Ga. App. 451, 2013 Fulton County D. Rep. 2309, 2013 WL 3455722, 2013 Ga. App. LEXIS 612 (Ga. Ct. App. 2013).

747 S.E.2d 15 (King v. Genon Energy Holdings, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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