Marvin v. Hargrave

Montana Supreme Court·Decided October 22, 1980·No. 79-083·Published

Opinion

No. 79-83 IN THE SUPREME COURT OF THE STATE OF MONTANA 1980

NEWTON MARVIN, Plaintiff and Respondent, VS . C. LEO HARGRAVE, Defendant and Appellant.

Appeal from: District Court of the Eleventh Judicial District, In and for the County of Flathead. Honorable Robert Sykes, Judge presiding. Counsel of Record: For Appellant: Murphy, Robinson, Heckathorn and Phillips, Kalispell, Montana Daniel Johns argued, Kalispell, Montana For Respondent: Hash, Jellison, O'Brien and Bartlett, Kalispell, Montana Kenneth O'Brien argued, Kalispell, Montana

Submitted: September 12, 1980 ~ecided: @ T2 2 1980 @ Mr. J u s t i c e Gene B. Daly d e l i v e r e d t h e Opinion of t h e C o u r t .

T h i s i s a n a p p e a l from a judgment e n t e r e d by t h e

Honorable R o b e r t C . Sykes, F l a t h e a d County D i s t r i c t C o u r t ,

f o l l o w i n g a n o n j u r y t r i a l , awarding p l a i n t i f f Newton Marvin

t h e sum of $3,736.24 p u r s u a n t t o a l a n d c l e a r a n c e c o n t r a c t .

Defendant C . Leo Hargrave and h i s w i f e e n t e r e d i n t o a

w r i t t e n l a n d c l e a r i n g agreement w i t h Bruce K i s e r on August

1 6 , 1974, f o r t h e p u r p o s e of c o n v e r t i n g a p p r o x i m a t e l y 100

acres of t i m b e r l a n d i n t o a d d i t i o n a l f a r m l a n d . According t o

t h e agreement, K i s e r was t o c u t "- t i m b e r , e x c e p t a s p e n , all

and c l e a r stumps and b r u s h and p i l e same i n a s c l e a r a

manner a s p o s s i b l e i n r e t u r n f o r a l l t i m b e r r i g h t s . " The

c o n t r a c t continued:

"Large stumps w i l l b e t r i e d , and i f t h e y c a n ' t b e moved t h e y may be l e f t . Timber w i l l b e c u t t o t h e brow of t h e s l o p e s f o r s h e l t e r b e l t , a l s o s h e l t e r from A.M.C. Road. A l l s l a s h d i s p o s a l money w i l l go t o Bruce f o r c l e a r i n g H a r r d i n g l o g g i n g job--also s l a s h from t h i s job."

K i s e r began c l e a r i n g t h e l a n d , b u t had c l e a r e d o n l y a

s m a l l p o r t i o n o f t h e 100 a c r e s when, w i t h t h e c o n s e n t of Leo

Hargrave on November 2, 1974, he a s s i g n e d h i s i n t e r e s t i n

t h e c o n t r a c t t o Newton Marvin. A t t h e t i m e of t h e a s s i g n -

ment, Hargrave e x p l a i n e d t o Marvin t h a t t h e l a n d w a s b e i n g

c l e a r e d s o t h a t i t would be s u i t a b l e f o r f a r m i n g . For ap-

p r o x i m a t e l y two y e a r s , Marvin performed t h e c o n t r a c t a s re-

q u i r e d , removing t h e t i m b e r and r e c e i v i n g t h e money from i t s

sale.

Marvin c e a s e d work i n November 1977. By t h i s t i m e

Marvin had c l e a r e d t h e p r o p e r t y s o a s t o comply w i t h t h e

t e r m s of a S t a t e F i r e Hazard Reduction Agreement which had

been e x e c u t e d f o r t h e a c r e a g e by Hargrave w i t h t h e Montana

S t a t e Department of N a t u r a l Resources and C o n s e r v a t i o n (DNRC) i n a c c o r d a n c e w i t h t h e s e c t i o n 76-13-408, MCA. The

r e q u i r e m e n t s of t h i s agreement h a v i n g been m e t , DNRC i n -

formed Hargrave t h a t t h e remaining s l a s h d i s p o s a l d e p o s i t

b e i n g h e l d under t h e agreement was no l o n g e r n e c e s s a r y and

could be r e t r i e v e d .

I n accordance with t h e assigned c o n t r a c t , an i n i t i a l

s l a s h d e p o s i t , r e l e a s e d e a r l i e r by DNRC, was p a i d t o Marvin

by Hargrave. The payment was made d u r i n g t h e two-year

p e r i o d Marvin worked on t h e l a n d . The l a s t s l a s h d e p o s i t of

$3,616.24 was r e t u r n e d i n March 1978. However, i n s t e a d of

p a y i n g t h i s sum t o Marvin, Hargrave r e t a i n e d t h e money s i n c e

h e b e l i e v e d t h a t Marvin had n o t f u l l y performed under t h e

contract.

I n a n a t t e m p t t o s e c u r e t h e monies c o n t a i n e d i n t h e

s l a s h d e p o s i t , Marvin f i l e d a c l a i m and n o t i c e of a m e c h a n i c ' s

l i e n on March 1 0 , 1978. Marvin t h e n f i l e d s u i t on J u n e 2 2 ,

1978, a l l e g i n g t h a t Hargrave had f a i l e d t o pay him t h e s l a s h

d i s p o s a l d e p o s i t i n c o n s i d e r a t i o n f o r s e r v i c e s performed i n

c l e a r i n g t h e land. Marvin asked f o r $3,840.04 i n damages,

p l u s a t t o r n e y f e e s , and t h a t t h e p r o p e r t y i n v o l v e d be s o l d

and t h e p r o c e e d s a p p l i e d t o t h e judgment i n a c c o r d a n c e w i t h

the lien. Hargrave c o u n t e r c l a i m e d a l l e g i n g t h a t b e c a u s e o f

M a r v i n ' s f a i l u r e t o p r o p e r l y perform t h e c o n t r a c t h e l o s t

t h e u s e of t h e 100 a c r e s a s farmland f o r a p e r i o d of t h r e e

y z a r s and u n l e s s Marvin p r o c e e d s t o p r o p e r l y complete t h e

performance due, h e w i l l l o s e f u t u r e u s e of t h e l a n d .

Hargrave s t a t e d h i s damages were a s y e t undetermined.

During t r i a l Hargrave s o u g h t t o i n t r o d u c e e v i d e n c e

showing c e r t a i n e x p e n d i t u r e s h e had made i n c o m p l e t i n g t h e work a l l e g e d l y l e f t undone by ~ a r v i n . Marvin o b j e c t e d on

t h e ground t h a t t h e e v i d e n c e was i n c o m p e t e n t , i r r e l e v a n t and i m m a t e r i a l t o any i s s u e i n t h e c a u s e and t h a t i t was beyond

t h e s c o p e of any c o n t e n t i o n t h a t Hargrave had s e t f o r t h i n

t h e case. The t r i a l c o u r t p r o v i s i o n a l l y a l l o w e d t h e e v i -

dence t o be i n t r o d u c e d s u b j e c t t o M a r v i n ' s r i g h t t o renew

h i s o b j e c t i o n a t t h e c o m p l e t i o n of a l l t e s t i m o n y .

A t t h e c o n c l u s i o n of t h e t r i a l , Marvin by w r i t t e n

motion renewed h i s o b j e c t i o n t o t h e e v i d e n c e . The t r i a l

c o u r t g r a n t e d t h e motion on t h e ground t h a t t h e c l a i m e d

e x p e n s e s w e r e o u t s i d e t h e scope of t h e p l e a d i n g s and t h e

p r e t r i a l o r d e r and t h a t d e f e n d a n t f a i l e d t o p r e s e n t t e s t i -

mony a t t r i a l t h a t a c l a i m o r b i l l f o r s a i d e x p e n s e s was

e v e r p r e s e n t e d t o Marvin.

Judgment i n f a v o r of Marvin f o r $3,736.24 was e n t e r e d

on September 1 7 , 1979. The judgment was based on t h e

c o u r t ' s f i n d i n g s t h a t Hargrave had w r o n g f u l l y c o n v e r t e d t h e

s l a s h d i s p o s a l monies.

Following e n t r y o f judgment, Hargrave moved t h e c o u r t ,

i n t h e a l t e r n a t i v e , t o amend t h e f i n d i n g s ; f o r judgment f o r

t h e d e f e n d a n t ; f o r a new t r i a l ; and f o r l e a v e t o amend t h e

c o u n t e r c l a i m s o a s t o conform w i t h t h e o f f e r e d e v i d e n c e p e r -

t a i n i n g t o t h e e x p e n d i t u r e s made i n c o m p l e t i n g t h e c l e a r i n g

of h i s land. D e f e n d a n t ' s motions w e r e d e n i e d , and amended

f i n d i n g s w e r e f i l e d on October 9, 1979, a g a i n f i n d i n g t h a t Hargrave's a c t i o n s c o n s t i t u t e d conversion.

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