Northeast Comanche Tribe, Inc. v. Stumpf

CourtCourt of Appeals of Kansas
DecidedOctober 7, 2022
Docket123642
StatusUnpublished

This text of Northeast Comanche Tribe, Inc. v. Stumpf (Northeast Comanche Tribe, Inc. v. Stumpf) is published on Counsel Stack Legal Research, covering Court of Appeals of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Northeast Comanche Tribe, Inc. v. Stumpf, (kanctapp 2022).

Opinion

NOT DESIGNATED FOR PUBLICATION

No. 123,642

IN THE COURT OF APPEALS OF THE STATE OF KANSAS

NORTHEAST COMANCHE TRIBE, INC., and AVRAHAM SHILOH, Appellees,

v.

CHRISTINA J. STUMPF, RONALD WARD, MALCOM DICKINSON, and PETER C. MORSE, Appellants.

Appeal from Sedgwick District Court; KEVIN M. SMITH, judge. Opinion filed October 7, 2022. Affirmed.

Marc S. Wilson, of Securitas Financial Law, LLC, of Overland Park, Scott E. Sanders and Corey M. Adams, of McDonald Tinker PA, of Wichita, John E. Franke and Matthew M. Clifford, of Franke Shultz & Mullen, P.C., of Kansas City, Missouri, and Craig C. Blumreich and Richard P. Billings, of Larson & Blumreich, Chtd., of Topeka, for appellants.

Jeff C. Spahn, Marcia A. Wood, and Matthew A. Spahn, of Martin, Pringle, Oliver, Wallace & Bauer, L.L.P., of Wichita, for appellees.

Before GREEN, P.J., ATCHESON and HURST, JJ.

PER CURIAM: The leaders of two factions in a not-for-profit corporation that basically functions as a social club for owners of Piper Comanche airplanes claim to be the duly elected officers of the organization—conflicting assertions that cannot both be correct. Apparently unable to resolve their rivalry through some amicable agreement, they brought the dispute to the Sedgwick County District Court. Plaintiff Avraham Shiloh filed a civil action on his own behalf and ostensibly for the organization seeking a

1 declaration that he has been fairly elected president, along with a slate filling the other officers' positions. Defendant Christina J. Stumpf holds herself out as the properly elected president of the corporation, and the three other defendants have laid claim to being corporate officers as part of her slate.

In their aggressive counter to Shiloh's suit, the defendants filed a motion to dismiss under the Kansas Public Speech Protection Act, K.S.A. 2021 Supp. 60-5320, claiming the action impermissibly intruded on their statutorily protected rights. The district court denied the motion. The Act provides that a defendant losing a motion to dismiss may file an interlocutory appeal of the district court's ruling. K.S.A. 2021 Supp. 60-5320(f)(2). Stumpf and her codefendants have done so, and that is what we have in front of us.

We conclude the district court reached the right result in denying the motion and, therefore, affirm the ruling. The litigation may now continue in the district court. See K.S.A. 2021 Supp. 60-5320(f) (district court proceedings stayed during interlocutory appeal). Plaintiffs have filed a motion to recover their attorney fees for this appeal from the defendants. We deny that motion.

ANALYSIS

Procedural Posture Under the Act

In deciding this appeal, we come at the issue from a different angle than the district court, as we now explain. Granting a motion to dismiss under the Act entails a two-step process. First, a defendant must show the plaintiff's legal action "is based on, relates to[,] or is in response to [the defendant's] exercise of the right of free speech, right to petition[,] or right of association" as defined in K.S.A. 2021 Supp. 60-5320(c)(3), (4), and (5). K.S.A. 2021 Supp. 60-5320(d). Second, if the defendant does so, the plaintiff may defeat the motion by presenting "substantial competent evidence" establishing a

2 "prima facie" basis for the legal action or the particular claim or claims the defendant has challenged. K.S.A. 2021 Supp. 60-5320(d). Here, the district court denied the motion because the defendants failed in the initial statutory showing; it, therefore, never considered the second step. We have chosen to skip over the first step and, instead, to consider the second step. The record compiled in the district court on the motion shows Shiloh has presented a prima facie case for a declaratory judgment resolving the immediate conflict between the rival groups claiming to be the duly elected corporate officers. That is sufficient to deny the defendants' motion to dismiss under the Act.

In the district court, the plaintiffs and the defendants briefed and argued both of the steps outlined in K.S.A. 2021 Supp. 60-5320(d). They have similarly addressed both in their appellate briefs. So the point has been fully ventilated in each court. The resolution of the second step, by its very nature, does not require the resolution of witness credibility or of conflicts in the evidence, since it depends on substantial evidence supporting a prima facie case. As such, the second step presents a question of law we may consider in the first instance. In re Estate of Oroke, 310 Kan. 305, 310, 445 P.3d 742 (2019). During oral argument, the lawyers agreed that we have the latitude to address either or both procedural steps in the process for ruling on a motion to dismiss under the Act.

In considering whether a party has presented a prima facie case, we look at whether the evidence, if unrebutted, would be sufficient to support a verdict or judgment for that party. See Montgomery v. Saleh, 311 Kan. 649, 653, 466 P.3d 902 (2020); State v. Haremza, 213 Kan. 201, 206, 515 P.2d 1217 (1973). Similarly, substantial evidence has such relevance and scope that a person would accept it as supporting a factual proposition—a measure that does not factor in conflicting evidence. See Cresto v. Cresto, 302 Kan. 820, 835, 358 P.3d 831 (2015); State v. Medrano, 271 Kan. 504, Syl. ¶ 1, 23 P.3d 836 (2001). Because the second step entails applying undisputed facts making up the prima facie case to set legal standards, we can perform that function just as well as the

3 district court can, so there is no overriding need to remand for a new legal determination on the point. See State v. Wilson, 308 Kan. 516, 527, 421 P.3d 742 (2018); State v. Randall, 257 Kan. 482, 486, 894 P.2d 196 (1995); State v. Parry, 51 Kan. App. 2d 928, 930, 358 P.3d 101 (2015), aff'd 305 Kan. 1189, 390 P.3d 879 (2017).

Plaintiffs' Prima Facie Case

With that we turn to the pertinent facts. The Northeast Comanche Tribe, Inc. is a Kansas not-for-profit corporation and is ostensibly a plaintiff in this action, along with Shiloh. Owners of Piper Comanche airplanes who live in the Mid-Atlantic and Northeast states may become members of the organization. As an explanatory aside, we mention that the Comanche moniker covers various models of popular single- and twin-engine airplanes that Piper Aircraft, Inc. manufactured from the late 1950s to the early 1970s.

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