PARK RIDGE CONDOMINIUM ASS'N v. Callais

660 S.E.2d 736, 290 Ga. App. 875, 2008 Fulton County D. Rep. 645, 2008 Ga. App. LEXIS 209
CourtCourt of Appeals of Georgia
DecidedFebruary 29, 2008
DocketA07A2437
StatusPublished
Cited by1 cases

This text of 660 S.E.2d 736 (PARK RIDGE CONDOMINIUM ASS'N v. Callais) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
PARK RIDGE CONDOMINIUM ASS'N v. Callais, 660 S.E.2d 736, 290 Ga. App. 875, 2008 Fulton County D. Rep. 645, 2008 Ga. App. LEXIS 209 (Ga. Ct. App. 2008).

Opinion

Ruffin, Judge.

After Gail Calíais sued Park Ridge Condominium Association, Inc. (Park Ridge), seeking to inspect and copy records pursuant to OCGA § 14-3-1602, the trial court ordered Park Ridge to permit such inspection. 1 The issue of attorney fees was reserved. Following a second hearing, the trial court ordered Park Ridge to pay Callais’s attorney fees and expenses. Park Ridge appeals, arguing that the court erred in finding that Calíais had a proper purpose for inspecting the records and in finding that Park Ridge did not act in good faith. *876 Park Ridge also contends that the award of attorney fees and expenses was excessive and unreasonable. For reasons that follow, we reverse and remand with respect to the award of attorney fees and expenses.

The relevant facts demonstrate that Calíais, a resident at Park Ridge, wrote the Board of Directors for the condominium association twice — once on September 21, 2005 and again on October 3, 2005 — requesting permission to inspect and copy certain Park Ridge records, including bank statements, insurance policies, and minutes from board meetings. According to the second letter, Calíais made the request “[i]n order to have an understanding of the proposed 2006 budget when it is distributed prior to the annual meeting.” Apparently, Park Ridge did not permit Calíais to inspect the records, and she filed suit on November 1, 2005, seeking expedited relief in accordance with OCGA § 14-3-1604 (a) and (b). Calíais also sought payment of attorney fees in accordance with OCGA § 14-3-1604 (c).

At a hearing, conducted two days later, the trial court ordered Park Ridge to permit the inspection and copying of specified records within ten business days. The trial court reserved the attorney fee issue pending a subsequent hearing. Shortly thereafter, Calíais was permitted to inspect and copy the Park Ridge records.

The hearing on the attorney fee issue was conducted on May 4, 2007. At the hearing, Park Ridge presented evidence that Calíais — a former board member — had requested the records as a means of harassing the association and thus Park Ridge’s refusal to allow her to inspect the records was made in good faith. Park Ridge also challenged the amount of attorney fees claimed by Calíais. Following the hearing, the trial court ordered Park Ridge to pay all of the attorney fees and expenses sought by Calíais, totaling $26,529.52. This appeal ensued.

1. On appeal, Park Ridge argues that the trial court erred in finding that Calíais had met her burden of establishing that she had a proper purpose for inspecting the records. As noted by Park Ridge, Calíais bears the burden of showing that she had a proper purpose. 2 A trial court enjoys broad discretion in ascertaining whether this burden has been met. 3 And we will not gainsay a trial court’s factual findings in this regard unless such findings are clearly erroneous. 4

The hearing on this issue took place in November 2005, and the trial court found that Calíais had a right to inspect and copy the records. Park Ridge claims that, during that hearing, the issue of *877 whether Calíais had a proper purpose was not “fully addressed.” However, we have no transcript from that hearing nor did the parties recreate the record. 5 Under these circumstances, we cannot simply accept Park Ridge’s contention that the issue was not fully adjudicated, but must assume that the trial court’s findings were supported by sufficient evidence. 6 Thus, this argument presents no basis for reversal.

2. In a related claim, Park Ridge asserts that the trial court erred in failing to find that Park Ridge’s refusal to allow Calíais to inspect the records was made in good faith. Pursuant to OCGA § 14-3-1604 (c), a corporation that is ordered by a court to permit inspection and copying of records is liable for attorney fees and expenses “unless the corporation proves that it refused inspection in good faith because it had a reasonable basis for doubt about the right of the member to inspect the records demanded.”

Again, a ruling by the trial court that a corporation acted — • or did not act — in good faith is a factual finding that will be affirmed unless clearly erroneous. 7 Here, Park Ridge presented the testimony of Wanda Galante, who managed Park Ridge, regarding her reasons for failing to permit Calíais to inspect the records. After hearing this testimony, the trial court concluded that Park Ridge lacked a reasonable basis for its decision. And this ruling is not clearly erroneous.

In making its argument, Park Ridge also claims that “the trial court erred in not allowing [Park Ridge] to call [Calíais] as a witness” and thus hampered its ability to prove its case. However, Park Ridge does not show that the trial court actually precluded Park Ridge from calling Calíais as a witness, and our review of the transcript indicates no such ruling was made. 8 It follows that this argument lacks merit. 9

3. In its final enumeration of error, Park Ridge contends that the trial court erred in awarding Calíais over $26,000 in attorney fees and expenses pursuant to OCGA § 14-3-1604 (c). As a general rule, this Court will not overturn a trial court’s decision to award attorney fees absent an abuse of discretion or grievous error. 10 However, a trial *878 court’s discretion is not limitless, and we agree that the trial court abused its discretion in this matter. 11

Decided February 29, 2008 Reconsideration denied April 9, 2008.

In her brief, Calíais sought attorney fees under OCGA § 14-3-1604 (c), which provides, in pertinent part, that “[i]f the court orders inspection and copying of the records demanded, it shall also order the corporation to pay the member’s costs (including reasonable attorneys’ fees) incurred to obtain the order.” (Emphasis supplied.) In other words, the plaintiffs recovery is limited to those fees and expenses incurred to obtain the relief sought. It is not a blanket provision to obtain all fees, as requested by Calíais.

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783 S.E.2d 629 (Supreme Court of Georgia, 2016)

Cite This Page — Counsel Stack

Bluebook (online)
660 S.E.2d 736, 290 Ga. App. 875, 2008 Fulton County D. Rep. 645, 2008 Ga. App. LEXIS 209, Counsel Stack Legal Research, https://law.counselstack.com/opinion/park-ridge-condominium-assn-v-callais-gactapp-2008.