O'Neal Steel, Inc. v. Millette

797 So. 2d 869, 2001 WL 107867
CourtMississippi Supreme Court
DecidedFebruary 8, 2001
Docket1999-CA-01213-SCT
StatusPublished
Cited by61 cases

This text of 797 So. 2d 869 (O'Neal Steel, Inc. v. Millette) is published on Counsel Stack Legal Research, covering Mississippi Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
O'Neal Steel, Inc. v. Millette, 797 So. 2d 869, 2001 WL 107867 (Mich. 2001).

Opinion

797 So.2d 869 (2001)

O'NEAL STEEL, INC.
v.
Terrence John MILLETTE and Theodore J. Millette.

No. 1999-CA-01213-SCT.

Supreme Court of Mississippi.

February 8, 2001.

*870 Nicholas Van Wiser, Biloxi, for Appellant.

Stephen Walker Burrow, Ashley Hutchings Hendren, Pascagoula, for Appellees.

Before BANKS, P.J., SMITH and MILLS, JJ.

SMITH, Justice, for the Court:

STATEMENT OF THE CASE

¶ 1. On May 29, 1998, O'Neal Steel, Inc. (hereinafter "O'Neal") filed the instant action *871 against Terrence John Millette (hereinafter "Terry Millette") and Theodore J. Millette ("Ted Millette") in the Chancery Court of Jackson County. The complaint alleged that after O'Neal obtained a judgment in Alabama against Ted Millette, he then conveyed certain real property to his son, Terry. The complaint asserts, "[t]hat said conveyance was fraudulent as being an attempt to place assets beyond the reach of creditors and to defraud creditors by conveying property for less than adequate consideration." The Millettes answered the complaint, separately, and asserted the applicable statute of limitations as an affirmative defense.

¶ 2. On May 4, 1999, the Millettes filed a Joint Motion for Summary Judgment. The sole grounds for their motion was that O'Neal's claims were time-barred pursuant to Miss.Code Ann. § 15-1-49 (1995), the "catch-all" statute of limitations. After a hearing upon said motion, Chancellor Barlow granted same by written opinion dated June 16, 1999. The court entered a judgment on June 29, 1999.

¶ 3. Nine days later on July 8, 1999, the Millettes jointly moved to amend the judgment, asserting, inter alia, that O'Neal's claim was alternatively time-barred pursuant to Miss.Code Ann. § 15-1-45 (1995). They contended that since O'Neal's complaint was based upon a foreign judgment against a Mississippi resident, it failed to file any action to enforce said judgment within three years after its rendition, as required by § 15-1-45. The chancery court amended it judgment, by order dated September 7, 1999, to reflect that the Millettes were entitled to summary judgment since O'Neal's claims were alternatively barred by the three year limitations found in § 15-1-45. O'Neal now appeals to this Court, arguing that the chancellor applied the incorrect statute of limitations and that the applicable limitations period was tolled due to concealed fraud.

STATEMENT OF THE FACTS

¶ 4. O'Neal Steel, Inc. is an Alabama corporation which specializes in the fabrication and sale of steel.[1] Thomas Millette, William Millette, and Theodore Millette owned a company in Pascagoula, Mississippi named "Fabricators, Inc." which purchased steel from O'Neal. As a condition for extending a line of credit to Fabricators, O'Neal required the Millettes to execute an agreement guaranteeing the payment of the debt of Fabricators to O'Neal.

¶ 5. In 1990 suit was filed in the state of Alabama on the personal guaranties. Following a trial, judgment was rendered in favor of O'Neal. The Millettes appealed this judgment to the Alabama Supreme Court where the jury verdict was reversed on a procedural defect, and the case was remanded to circuit court. On remand, the circuit court entered summary judgment in favor of O'Neal and against the Millettes in the amount of $164,335.89.

¶ 6. Via warranty deed dated December 20, 1993, Ted Millette conveyed certain real property located in Jackson County to his son, Terry Millette. O'Neal Steel enrolled its Alabama judgment with the Circuit Clerk of Jackson County, Mississippi, on January 20, 1994. On May 18, 1994, the December 20, 1993 warranty deed was filed and recorded in the land deed records of the Chancery Clerk of Jackson County. Over four years later on May 29, 1998, O'Neal filed a complaint with the Chancery Court of Jackson County to set aside the December 20, 1993, warranty deed as a fraudulent conveyance. The chancellor *872 granted defendants' request for summary judgment.

STANDARD OF REVIEW

¶ 7. Rule 56(c) of the Mississippi Rules of Civil Procedure allows summary judgment where there are no genuine issues of material fact such that the moving part[y] is entitled to judgment as a matter of law. To prevent summary judgment, the nonmoving party must establish a genuine issue of material fact by means allowable under the rule. Richmond v. Benchmark Constr. Corp., 692 So.2d 60, 61 (Miss.1997); Lyle v. Mladinich, 584 So.2d 397, 398 (Miss.1991).

¶ 8. This Court employs a de novo standard in reviewing a trial court's grant of summary judgment. Mississippi Ethics Comm'n v. Aseme, 583 So.2d 955, 957 (Miss.1991); Cossitt v. Federated Guar. Mut. Ins. Co., 541 So.2d 436, 438 (Miss.1989). The evidence is viewed in a light most favorable to the nonmoving party. Palmer v. Biloxi Regional Med. Ctr., Inc., 564 So.2d 1346, 1354 (Miss.1990). If any triable issues of material fact exist, the lower court's decision to grant summary judgment will be reversed. Otherwise, the decision is affirmed. Richmond, 692 So.2d at 61; Brown v. Credit Ctr., Inc., 444 So.2d 358, 362 (Miss.1984).

DISCUSSION

I. WHETHER O'NEAL STEEL FAILED TO FILE SUIT TO SET ASIDE AN ALLEGED FRAUDULENT CONVEYANCE WITHIN THE APPLICABLE LIMITATION PERIOD?

¶ 9. The primary issue presented by this appeal is straight-forward: Which statute of limitations applies to an action to set aside an alleged fraudulent conveyance? O'Neal contends that the ten-year limitation period found in Miss.Code Ann. § 15-1-7 (1995) controls. The appellees assert that the three year limitation period found in Miss.Code Ann. § 15-1-49 (1995) controls in this action. Alternatively, they also argue that the three-year limitation period applicable to foreign judgments in Miss.Code Ann. § 15-1-45 (1995) bars O'Neal's action.

¶ 10. O'Neal asserts that Miss.Code Ann. § 15-1-7[2] and its ten-year limitations period govern its claim in chancery court to set aside this alleged fraudulent conveyance. That section reads in pertinent part:

A person may not make an entry or commence an action to recover land except within ten years next after the time at which the right to make the entry or to bring the action shall have first accrued to some person through whom he claims, or, if the right shall not have accrued to any person through whom he claims, then except within ten years next after the time at which the right to make the entry or bring the action shall have first accrued to the person making or bringing the same.

Miss.Code Ann. § 15-1-7 (1995) (emphasis added).

¶ 11. "An action to recover land" under both § 15-1-7 and § 15-1-9 presumes that the O'Neal has some ownership or possessory interest in the land. This Court has written:

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Okorie v. PriorityOne Bank
S.D. Mississippi, 2025
Helmert v. Cenlar FSB
N.D. Mississippi, 2019
Albinnie Bryant v. Katie Dent
270 So. 3d 976 (Court of Appeals of Mississippi, 2018)
The Commercial Bank v. Smith Shellnut Wilson LLC
270 So. 3d 136 (Court of Appeals of Mississippi, 2018)
Sarah Hodnett v. Timothy Hodnett
269 So. 3d 317 (Court of Appeals of Mississippi, 2018)
Davis Davenport v. Hertz Rental Equipment Corporation
187 So. 3d 194 (Court of Appeals of Mississippi, 2016)
Aldridge v. Aldridge
168 So. 3d 1127 (Court of Appeals of Mississippi, 2014)
Lott v. Saulters
133 So. 3d 794 (Mississippi Supreme Court, 2014)
Brenda S. Lott v. Ralph D. Saulters
Mississippi Supreme Court, 2012
Williams v. Vanderbilt Mortgage & Finance, Inc.
875 F. Supp. 2d 677 (S.D. Mississippi, 2012)
Bank of Commerce v. Southgroup Insurance & Financial Services, LLC
73 So. 3d 1106 (Mississippi Supreme Court, 2011)
TENNESSEE PROPERTIES, INC. v. Gillentine
66 So. 3d 695 (Court of Appeals of Mississippi, 2011)
Walton v. Walton
52 So. 3d 468 (Court of Appeals of Mississippi, 2011)

Cite This Page — Counsel Stack

Bluebook (online)
797 So. 2d 869, 2001 WL 107867, Counsel Stack Legal Research, https://law.counselstack.com/opinion/oneal-steel-inc-v-millette-miss-2001.