Lowery v. Raptis

329 S.E.2d 102, 174 W. Va. 736, 1985 W. Va. LEXIS 538
CourtWest Virginia Supreme Court
DecidedApril 12, 1985
Docket16255
StatusPublished
Cited by16 cases

This text of 329 S.E.2d 102 (Lowery v. Raptis) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lowery v. Raptis, 329 S.E.2d 102, 174 W. Va. 736, 1985 W. Va. LEXIS 538 (W. Va. 1985).

Opinion

*737 PER CURIAM:

This is an appeal by Andrew A. Raptis, defendant below, from an order entered July 27, 1983, in the Circuit Court of Kana-wha County, granting the plaintiffs motion for partial summary judgment. Finding that there was a genuine issue of material fact and that the plaintiff was not entitled to judgment as a matter of law, we reverse.

The parties in this action are siblings, male and female, the children of Andrew, Sr. and Elizabeth Raptis. Andrew, Sr. died in 1963. In 1978 and 1980, Elizabeth conveyed to her five children one-half interest in tracts of real property, known as the “Goodrich” property, near the intersection of Washington and Laidley Streets in Charleston. The conveyances were part of a plan to sell the property to St. Francis Hospital through a lease-purchase agreement. Elizabeth, her daughters and their husbands all appointed Andrew, Jr. (appellant), a Charleston lawyer, as their attorney-in-fact. The power of attorney they executed, granted the appellant the following authority:

1.KNOW ALL MEN BY THESE PRESENTS, that we, the undersigned affiants, for and in return for the payment to us of the sum of Ten Dollars ($10.00) in cash and other good and valuable considerations not herein described, the receipt and legal sufficiency of all of which are hereby acknowledged, do by these presents make, constitute and appoint Andrew A. Raptis, Jr. our true and lawful Attorney-in-Fact for use in our place and stead and on our behalf,
(a) With respect to the following properties those described in W.Va. Kanawha Co. Comm. DB # 725-201, 726-317 # 1389-742 & DB # 1892-227.
-1. To demand, sue for, collect, receive and receipt for all sums of money or payments due or to become due to us, and to deposit in our names in our bank or banks any and all monies collected or received by us; to draw checks on these or other bank accounts in our names and to endorse checks, notes, drafts or other negotiable paper in our names or for our benefit;
-2. To borrow money in our names and on our behalf and to execute, acknowledge and deliver proper instruments to secure the payment thereof;
-3. To begin, prosecute and carry on to completion any action, suit or other legal proceeding in our names; and in his discretion to compromise, refer to arbitration or otherwise terminate such litigation;
-4. To execute, acknowledge and deliver in our names deeds of grant and conveyance to real and personal property owned by us or standing in our names or in our behalf; and
-5. In all other respects to act for us and in our place and stead with respect to the foregoing matters as fully as we could do if personally present.
2. It is agreed that this Power of Attorney may be revoked or cancelled only by the agreement of all parties hereto expressed in a written instrument of equal dignity hereto.
3. We hereby fully ratify and confirm all that our said Attorney-in-Fact shall lawfully do or cause to be done by virtue hereof.

Two tracts were subsequently sold to St. Francis Hospital. Proceeds due to the Raptis children from the first sale, on December 29, 1980, amounting to $99,500, were collected by the appellant pursuant to the power of attorney. After deducting expenses the balance was distributed in equal shares to the five siblings.

The second sale took place on December 1, 1981. The sale price was $107,060.08. After deduction of expenses, the share of profit due to each equalled $18,925.94. On March 27, 1982, the appellant sent checks to his four sisters in the amount of $1,925.94, and corporate notes from Sterling Restaurant, Inc. were issued in the amount of $17,000, payable 18 months from December 1, 1981.

Sterling Restaurant, Inc. was a family owned corporation which operated the Sterling Restaurant in downtown Charleston. Elizabeth Raptis and her five children were *738 the only shareholders. Elizabeth was the secretary, and the appellant served as president.

About six months later, three of the Rap-tis sisters filed a complaint against their brother, alleging that the appellant had breached his fiduciary responsibility by withholding and failing to account for the funds he received, under the power of attorney, as proceeds from the sale of property. 1

The appellant answered, denying most of the allegations, while admitting that he did act under the power of attorney. He further asserted that an accounting had been made.

On November 11, 1982, the appellant’s deposition was taken. The appellant’s explanation for giving notes rather than money is contained in the following dialogue, excerpted from the deposition:

Q. And you gave them a note for the balance, is that right?
A. Well, the Sterling Restaurant gave them a note for the balance.
Q. How is it that the Sterling Restaurant gave them a note when the Sterling Restaurant didn’t own the property and didn’t have anything to do with this transaction, at least based on legal title?
A. Well, it was my mother’s desire, that the restaurant was in dire straits and had to have some cash, and she requested that the money be given to the restaurant and that each one of us be given a note for that amount, seventeen-thousand dollars.
Q. So that the restaurant received seventeen-thousand dollars from each of the individuals who had a one fifth ownership in that property, is that right?
A. Right; yes.
Q. Do you have anything in writing from any of your sisters that would take the form of an agreement or contract of any kind to permit you to pay the seventeen thousand dollar interest over to the corporate entity of Sterling Restaurant, Inc.?
A. No, other than the fact that my mother had discussed it with them by telephone and she had told them what her plans were.
Q. Did she discuss it with each of the plaintiffs in this case?
A. Oh, yes. Yes.
Q. Were you privy to the discussion that took place?
A. No. It was mostly on the phone. But they all agreed to it.
Q. Do you have anything that has the signature of any of the sisters that agrees to this payment of the $17,000.
A. No.
Q. Did you prepare the note?
A. Yes.
Q. And did you sign the note as president of the corporation?
A. Yes.
Q. So that I understand clearly, because I recognize this is an action against brother by sisters who in fact love you very much as their brother.

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Bluebook (online)
329 S.E.2d 102, 174 W. Va. 736, 1985 W. Va. LEXIS 538, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lowery-v-raptis-wva-1985.