Ozark Milling Co. v. Allied Mills, Inc.

349 F. Supp. 553, 1972 U.S. Dist. LEXIS 11421
CourtDistrict Court, W.D. Arkansas
DecidedOctober 26, 1972
DocketNo. F-72-C-1
StatusPublished
Cited by2 cases

This text of 349 F. Supp. 553 (Ozark Milling Co. v. Allied Mills, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ozark Milling Co. v. Allied Mills, Inc., 349 F. Supp. 553, 1972 U.S. Dist. LEXIS 11421 (W.D. Ark. 1972).

Opinion

OPINION

JOHN E. MILLER, Senior District Judge.

There is before the court the motion of defendant for summary judgment under Rule 56, Fed.R.Civ.P., and plaintiff’s response to said motion. Briefs have been submitted by counsel for both parties in support of their respective contentions.

Plaintiff is a corporation organized and existing under the laws of Arkansas with its principal place of business in Washington County.

The defendant is a corporation organized under the laws of Indiana with its principal place of business in Chicago, Illinois.

The amount in controversy exceeds the sum or value of $10,000, exclusive of interest and costs.

Jurisdiction is granted by 28 U.S.C.A., § 1332(a)(1).

The Pleadings

Suit was commenced December 13, 1971, in the State Circuit Court of Washington County, Arkansas, and timely removed by defendant to this court on January 4, 1972'.

In its complaint the plaintiff alleged that it is and has been engaged in the business of milling and distributing feed for domestic animals, including cattle, horses and hogs, since July 6, 1965; that it has built a large customer follow[554]*554ing and substantial good will throughout Washington County and northwest Arkansas.

“That the defendant through its agents and employees on numerous occasions requested that defendant be allowed to service plaintiff’s hog feed customers, including furnishing of feed and financing the hog purchases by said hog producers. * * * that if plaintiff would switch plaintiff’s hog feed accounts and financing from other feed suppliers to defendant and allow defendant to furnish the hog feed and to finance the hog purchases, that defendant would establish a feed warehouse for northwest Arkansas * * *; would provide adequate hog feed purchase financing for plaintiff’s hog feed customers * * * and would provide prompt, efficient and professional service to plaintiff and to plaintiff’s hog feed customers. “That plaintiff relied on defendant’s material representations * * * and in reliance on these representations, plaintiff represented to plaintiff’s customers that defendant would perform these said representations * * * and due to plaintiff’s statements and representations to plaintiff’s customers, plaintiff caused many of plaintiff’s better customers to change from the said customer’s feed supplier to defendant.”

That the defendant did not at any time comply with or perform its promises and thereby caused serious damage to the plaintiff and to plaintiff’s customers, all to the damage of plaintiff in the sum of $95,600.

Answer of defendant was filed January 10, 1972, in which defendant alleged that the complaint fails to state a claim against it upon which relief can be granted to plaintiff.

Defendant admitted that the plaintiff was engaged in the business of milling and distributing feed for hogs and other animals; neither admitted nor denied that plaintiff had built a substantial good will throughout Washington County and northwest Arkansas; but denied all other allegations in the complaint.

On May 1, 1972, defendant, with leave of the court, amended its answer to include a counterclaim against plaintiff in the sum of $2,391.00.

On August 29, 1972, the defendant filed its motion for summary judgment in its favor and against the relief sought by plaintiff in its complaint or any part thereof “on the ground that there is no genuine issue as to any material fact and that the defendant is entitled to a judgment as a matter of law.” Defendant further prayed that the court enter a summary judgment in its favor for the relief demanded by it in the counterclaim on the ground that there is no genuine issue as to any material fact and that the defendant is entitled to a judgment as a matter of law.

On October 11, 1972, plaintiff filed its response to the motion for summary judgment in which it denied all of the allegations contained in defendant’s motion for summary judgment, and alleged that “there are material issues of fact to be decided by the trier of facts.”

“That in the event summary judgment is granted on the defendant’s counterclaim, that such said judgment be set off against any sums which the plaintiff may recover against the defendant.”

The Applicable Law

The law governing the consideration and determination of motions for summary judgment is well settled by a great many decisions, and is summarized beginning at page 2853, If 56.23, 6 Moore’s Federal Practice, 2d Ed.:

“The party moving for summary judgment has the burden of establishing by a record that is adequate for decision of the legal question presented that there is no triable issue of material fact; and he has this burden even as to issues upon which the opposing party would have the trial burden. And the moving party’s papers are carefully scrutinized, while the op[555]*555posing party’s papers, if any, are treated with considerable indulgence. If the moving party fails to shoulder his burden his motion should be denied, even though the opposing party has presented no evidentiary materials in opposition, and has not presented any 56(f) affidavit. But the latter course of action on the part of the opposing party is extremely risky and is not recommended for the following reasons. Although the trial court in the exercise of a sound discretion may decline to grant summary judgment, even though the movant has technically discharged his burden, the trial court will normally not look with indulgence upon a party who has presented neither evidentiary materials in opposition or any reason for his failure so to do. Further, it is certainly well settled that the opposing party is not entitled to hold back his evidence until trial, and is not entitled to a trial on the possibility that an issue of material fact might arise if the case were to go to trial on the merits. Nor as a general rule is an appellant entitled to overturn a summary judgment by raising an issue of fact not plainly disclosed in the trial court. And where the moving party has discharged his burden and on the record is entitled to summary judgment, the trial court’s refusal to grant the opposing party a continuance or other related relief will not be interfered with by the appellate court, except where the trial court has abused its discretion.”

Beginning at page 2057, fí 56.04, the learned author states :

“The summary judgment procedure prescribed in Rule 56 is a procedural device for promptly disposing of actions in which there is no genuine issue as to any material fact. On many cases there is no genuine issue of fact, although such an issue is raised by the formal pleadings. The purpose of Rule 56 is to eliminate a trial in such cases, since a trial is unnecessary and results in delay and expense which may operate to defeat in whole or in part the recovery of a just claim or the expeditious termination of an action because of a meritorious defense that is factually indisputable.
“As Judge, later Justice Cardozo stated: ‘The very object of a motion for summary judgment is to separate what is formal or pretended in denial or averment from what is genuine and substantial, so that only the latter may subject a suitor to the burden of a trial.’

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Cite This Page — Counsel Stack

Bluebook (online)
349 F. Supp. 553, 1972 U.S. Dist. LEXIS 11421, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ozark-milling-co-v-allied-mills-inc-arwd-1972.