Koppie v. Busey

832 F. Supp. 1245, 1992 U.S. Dist. LEXIS 21943, 1992 WL 532167
CourtDistrict Court, N.D. Indiana
DecidedAugust 4, 1992
DocketCiv. F89-282
StatusPublished
Cited by2 cases

This text of 832 F. Supp. 1245 (Koppie v. Busey) is published on Counsel Stack Legal Research, covering District Court, N.D. Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Koppie v. Busey, 832 F. Supp. 1245, 1992 U.S. Dist. LEXIS 21943, 1992 WL 532167 (N.D. Ind. 1992).

Opinion

ORDER

WILLIAM C. LEE, District Judge.

This matter is before the court on the defendant’s, Federal Aviation Administration’s, Motion for Summary Judgment. The defendant has filed a memorandum in support of its motion, and the plaintiff has filed an answer brief. In addition, the defendant has filed a reply brief with the court. For the reasons set forth below, the defendant’s motion will be GRANTED.

Factual Background

The plaintiff, Chad M. Koppie, brought suit against the defendant, the Federal Aviation Administration (FAA), James Busey, administrator, and a second defendant, Ligón “Air,” on December 28, 1989. The plaintiff alleged, inter alia, that the FAA’s failure to issue a certificate of registration to the plaintiff in regard to his claim to a Convair 880 aircraft, Model CV880-22M, Registration N88CH, amounted to a tortious conversion of the aircraft causing the plaintiff to suffer damage in the amount of $667,000.00. 1 Kop *1249 pie allegedly purchased the aircraft from Hudson General Corporation on February 11, 1987 for $5,000.00. Hudson General allegedly obtained an interest in the plane as a result of a foreclosure under the lien laws of New York to secure payment of monies owed to Hudson General by Ligón “Air” for the storage and maintenance of the plane.

Subsequently, a dispute arose as to the ownership of the Convair. On June 23,1987, Koppie received a letter from the FAA informing him that the FAA could not issue a certificate of registration to him because the documents they had before them indicated that the aircraft had been repossessed and subsequently sold. The letter stated in part that:

Review of the aircraft file indicates it was repossessed May 23, 1987, premised upon a security agreement, which was recorded by FAA on July 9, 1982, and subsequently sold to Ligón Air, 105 West 2nd St., Ligonier, IN 46767. In view of the repossession and subsequent sale, we are unable to issue a certificate of aircraft registration in your name at this time. Koppie Dep. Exhibit 23.

The FAA determined that Koppie took his interest subject to the recorded interest of Cromwell State Bank, the original lienholder. The record subsequently stated that Cromwell had assigned its interest to “880 Partnership,” which repossessed the airplane from Ligón “Air” and then sold it back to Ligón “Air.” Both “880 Partnership” and Ligón “Air” were owned by the same persons, Susan and Cliff Pettit.

In late June or early July, Koppie visited the airport where the Convair was being stored and discovered that Michael Potter was performing repairs on the aircraft. Koppie assumed Potter to be an agent for Ligón “Air.” On July 7, 1987, with knowledge of the competing claims to the aircraft and the fact that the plane was about to be flown to South Africa, Koppie executed a release in two documents of any and all interest he may have had in the Convair. 2

On July 15, 1987, the plane was flown to South Africa, 3 and on or about March 7,1988, Koppie received the $36,000.00. On May 16, 1991, the day before Koppie’s deposition, Koppie and Potter executed a “Memorandum of Understanding” which purported to nullify the July 7, 1987 agreement. 4 In that agree *1250 ment, Western Continental Holdings and Potter acknowledged that they had no interest in the. plane. The $36,000.00 paid to Koppie pursuant to the initial agreements was to be kept in escrow so that if Koppie obtained a judgment against the FAA, “880 Partnership,” or Ligón “Air” in excess of $75,000.00, the $36,000.00 would be given back to Potter.

This court granted summary judgment to the defendant, Ligón “Air,” on December 11, 1991, based upon its findings that the documents signed on July 7, 1987 constituted a full release of Koppie’s interest (whatever that may have been) in the Convair. Therefore, since he had no legal interest in the plane, Koppie did not have any basis for his claim for damages.

Discussion

In its motion for summary judgment, filed on March 3, 1992, the defendant cited three bases for granting summary judgment: (1) that certificates of registration issued by the FAA do not create or extinguish property rights, therefore, the FAA could not have tortiously converted any of Mr. Koppie’s alleged property rights in the aircraft; (2) that the FAA’s decisions as to the registration of aircraft fall under the discretionary exception of the Federal Tort Claims Act, and therefore, this court has no jurisdiction to hear this claim; and (3) that the plaintiff is collaterally estopped from bringing a suit of tortious conversion since this court, in granting defendant Ligón “Air” ’s motion for summary judgment, has already decided that Koppie had no interest that could be converted. The court has found that each of these constitute an independent basis upon which to grant the defendant’s Motion for Summary Judgment, and will address each in turn.

Summary Judgment Standard

Summary judgment is proper “if the pleadings, depositions, answers to inter-rogatories, 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.” Fed.R.Civ.P. 56(c). Rule 56(c) mandates the entry of summary judgment, after adequate time for discovery and upon motion, against a party “who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and in which that party will bear the burden of proof at trial.” Celotex Corp. v. Catrett, 477 U.S. 317, 322, 106 S.Ct. 2548, 2552, 91 L.Ed.2d 265 (1986). However, Rule 56(c) is not a requirement that the moving party negate his opponent’s claim. Fitzpatrick v. Catholic Bishop of Chicago, 916 F.2d 1254, 1256 (7th Cir.1990). The standard for granting summary judgment mirrors the directed verdict standard under Rule 50(a), which requires the court to grant a directed verdict where there can be but one reasonable conclusion. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 250, 106 S.Ct. 2505, 2511, 91 L.Ed.2d 202 (1986). A scintilla of evidence in support of the non-moving party’s position is not sufficient to successfully oppose summary judgment; “there must be evidence on which the jury could reasonably find for the plaintiff.” Id., 477 U.S. at 251, 106 S.Ct. at 2512; In Re Matter of Wildman, 859 F.2d 553, 557 (7th Cir.1988); Klein v. Ryan, 847 F.2d 368, 374 (7th Cir.1988); Valentine v. Joliet Twp.

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Bluebook (online)
832 F. Supp. 1245, 1992 U.S. Dist. LEXIS 21943, 1992 WL 532167, Counsel Stack Legal Research, https://law.counselstack.com/opinion/koppie-v-busey-innd-1992.