NATCHEZ ELEC. AND SUPPLY CO. v. Johnson

968 So. 2d 444, 2006 WL 328391
CourtCourt of Appeals of Mississippi
DecidedFebruary 14, 2006
Docket2004-CA-00155-COA
StatusPublished

This text of 968 So. 2d 444 (NATCHEZ ELEC. AND SUPPLY CO. v. Johnson) is published on Counsel Stack Legal Research, covering Court of Appeals of Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
NATCHEZ ELEC. AND SUPPLY CO. v. Johnson, 968 So. 2d 444, 2006 WL 328391 (Mich. Ct. App. 2006).

Opinion

968 So.2d 444 (2006)

NATCHEZ ELECTRIC AND SUPPLY CO., INC., Appellant
v.
Wayne JOHNSON d/b/a Johnson Electric, Appellee.

No. 2004-CA-00155-COA.

Court of Appeals of Mississippi.

February 14, 2006.
Rehearing Denied June 20, 2006.

*447 Clifford C. Whitney, Vicksburg, attorney for appellant.

Scott Joseph Schwartz, Hattiesburg, attorney for appellee.

Before LEE, P.J., IRVING and CHANDLER, JJ.

CHANDLER, J., for the Court.

¶ 1. Natchez Electric & Supply Co., Inc. sold electrical materials on open account to Wayne Johnson d/b/a Johnson Electric (Johnson), a commercial electrical contractor. On June 6, 1997, Natchez Electric filed suit against Johnson in the Circuit Court of Forrest County to collect on the account. Johnson filed an answer and counterclaim asserting breach of contract and intentional and negligent infliction of emotional distress. In his breach of contract counterclaim, Johnson asserted that he had paid Natchez Electric for materials which had not been delivered to him and that Natchez Electric had provided him with inaccurate cost estimates for electrical jobs. During the jury trial, the Circuit Court of Forrest County directed a verdict in favor of Natchez Electric on Johnson's emotional distress claims.

¶ 2. The jury found that Johnson was not indebted to Natchez Electric on the open account. The jury further found that Natchez Electric had breached its contract with Johnson, but awarded Johnson zero damages. Natchez Electric appeals, arguing (1) that Natchez Electric was entitled to a JNOV; (2) that the verdict was against the overwhelming weight of the evidence; (3) that the trial court erroneously admitted testimony concerning theft by a Natchez Electric employee, necessitating a new trial; and (4) that Johnson failed to prove his counterclaim for breach of contract.

*448 ¶ 3. We find that, concerning the majority of the materials sold to Johnson on open account, the evidence was insufficient to support a jury finding of no liability. We further find that there was insufficient evidence to support a verdict for Johnson on his breach of contract claim. Therefore, we affirm in part and reverse in part, and render a judgment for Natchez Electric in the amount of $39,098.83.

FACTS

¶ 4. The following evidence was adduced at the trial. Natchez Electric is an electrical parts supplier which primarily sells to electrical contractors and other commercial customers. Johnson was a frequent customer at Natchez Electric's branch office in Hattiesburg. Beginning in May of 1993 and ending in July 1996, Natchez Electric sold Johnson over $200,000 worth of electrical materials on open account.

¶ 5. For materials purchases, Johnson or one of his employees would contact Natchez Electric with a list of the materials Johnson needed for a particular job. Then, Natchez Electric generated a delivery ticket that listed the materials. Natchez Electric's employees gathered the materials. Often, Johnson or one of his employees picked up the materials from Natchez Electric's sales counter. On other occasions, Natchez Electric delivered the materials to the job site. Once the materials had been picked up or delivered, Natchez Electric sent Johnson an invoice that billed him for the materials, Periodically, Johnson made payments toward the account. Over the history of the account, Johnson paid Natchez Electric $211,944.67 for his materials purchases.

¶ 6. In May 1996, Johnson expressed concerns about his account to Stacy Taggert, the branch manager of Natchez Electric's Hattiesburg office. Johnson was worried that he had been over billed for some of his materials purchases. Taggert testified that, over the next few weeks, he and Johnson met weekly to discuss the billing problem. Taggert stated that, at these meetings, he and Johnson compared Natchez Electric's invoices indicating certain materials had been delivered to Johnson with Johnson's own business records indicating which materials he had received. Together, Taggert and Johnson discovered that Natchez Electric inadvertently had overbilled Johnson for some of his materials purchases.

¶ 7. Taggert testified that approximately half of these errors were attributable to Johnson's being billed for one unit of a certain item when he should have been billed for a single item. For example, in one instance, Johnson was charged $250, the price of a unit of one hundred face plates, when he should have been charged $2.50, the price of a single face plate. On May 29, 1996, Natchez Electric issued Johnson a credit in the amount of $19,025.70. Taggert testified that this amount compensated Johnson for the total billing errors throughout the history of the account as agreed upon by Natchez Electric and Johnson. As reflected by a copy of the account, Natchez Electric applied the credit to Johnson's outstanding invoices.

¶ 8. Taggert testified that, after the credit was issued, Johnson still had unpaid invoices totaling $41,794.45. Kally Dennig, who oversaw Natchez Electric's accounting and bookkeeping, testified that this amount was correct. The invoices reflecting the debt were admitted into evidence, along with delivery tickets associated with the invoices. Taggert stated that these invoices contained billing errors, but that the amount of the erroneous billings had already been credited to Johnson's account by the $19,025.70 credit. Therefore, Taggert asserted that Johnson owed Natchez *449 Electric the total amount reflected by the invoices.

¶ 9. Johnson testified that he never agreed that the $19,025.70 credit covered the totality of the billing errors. Johnson testified that Taggert told him the billing errors were caused by a Natchez Electric employee, Chris Fortenberry, selling material "out the back door" and then billing Johnson. Johnson stated that Taggert planned to fire Fortenberry and requested Johnson's presence during the firing. Johnson refused.

¶ 10. Taggert denied that the billing errors were attributable to employee theft. Taggert stated that Natchez Electric had investigated the possibility of employee theft, but concluded that it had not occurred. Nonetheless, Natchez Electric fired Fortenberry on the same day it issued the credit to Johnson. Taggert testified that Fortenberry was fired for his mismanagement of Johnson's account including pricing errors and failure to credit the account for material returns. Fortenberry testified that he had not stolen materials from the store and had not been fired for stealing.

¶ 11. With the evidence of Fortenberry's theft, Johnson attempted to cast doubt on the correctness of the amount he owed on the account. Johnson also argued that additional billing errors might exist that went uncorrected by the $19,025.70 credit. Johnson testified about several billing errors; Taggert testified that these errors had been corrected by the credit. Johnson further asserted that he owed nothing on the account because it was uncertain whether he had received all of the materials for which he had been billed. As previously mentioned, each invoice billing Johnson for materials had an associated delivery ticket. An employee of Robinson Electric Supply testified that it was customary for electrical supply stores to have the person picking up or accepting delivery of materials to sign the delivery ticket as proof of delivery. The Robinson Electric employee further testified that delivery tickets associated with items that shipped to the customer directly from the manufacturer would not bear the recipient's signature.

¶ 12.

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Bluebook (online)
968 So. 2d 444, 2006 WL 328391, Counsel Stack Legal Research, https://law.counselstack.com/opinion/natchez-elec-and-supply-co-v-johnson-missctapp-2006.