Pentecostal Holiness Church, Inc. v. Mauney

270 So. 2d 762
CourtDistrict Court of Appeal of Florida
DecidedDecember 19, 1972
Docket70-939, 70-946, 70-1084
StatusPublished
Cited by15 cases

This text of 270 So. 2d 762 (Pentecostal Holiness Church, Inc. v. Mauney) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pentecostal Holiness Church, Inc. v. Mauney, 270 So. 2d 762 (Fla. Ct. App. 1972).

Opinion

270 So.2d 762 (1972)

PENTECOSTAL HOLINESS CHURCH, INC., a South Carolina Corporation, Appellant,
v.
Floyd M. MAUNEY et al., Appellees.
The FLORIDA CONFERENCE OF the PENTECOSTAL HOLINESS CHURCH, INC., a Non-Profit Florida Corporation, Appellant,
v.
Floyd M. MAUNEY et al., Appellees.
Floyd M. MAUNEY and Connie L. Mauney, His Wife, Appellants,
v.
The FLORIDA CONFERENCE OF the PENTECOSTAL HOLINESS CHURCH, INC., and Pentecostal Holiness Church, Inc., a South Carolina Corporation, Appellees.

Nos. 70-939, 70-946, 70-1084.

District Court of Appeal of Florida, Fourth District.

December 19, 1972.
Rehearing Denied January 15, 1973.

*764 William S. Turnbull, Orlando, for appellant The Florida Conference as to No. 70-946 and appellee as to Nos. 70-939 and 70-1084.

William E. Blyler of Patterson, Maloney & Frazier, Fort Lauderdale, for appellants Mauneys as to No. 70-1084 and appellees as to Nos. 70-939 and 70-946.

Sylvan B. Burdick of Burdick & Daves, West Palm Beach, for appellant Pentecostal Holiness Church as to No. 70-939 and appellee as to Nos. 70-946 and 70-1084.

WALDEN, Judge.

This consolidated appeal from three judgments results from the breach of a life support contract. The parties were Floyd M. Mauney and Connie Lee Mauney, his wife, the Board of Trustees of the Florida Conference of the Pentecostal Holiness Church and the Florida Conference of the Pentecostal Holiness Church, Inc., a non-profit corporation, which church group will be referred to as Florida. The Mauneys owned two nursing homes which had become increasingly difficult for them to operate due to their advancing age and failing health. They, having been members of the Florida church for some thirty-three years, suggested the conveyancing of these properties and others, worth approximately $200,000, to the church in return for an employment contract followed by a lifetime support contract for $1,000 per month. The Florida church was aware that the Mauneys had had license troubles and *765 that the nursing homes needed some upgrading work done on them.

The agreement between the Trustees of the Pentecostal Holiness Church and the Mauneys stipulated that plaintiffs would convey their property (two nursing homes, a private residence, fourteen lots and portions of six other lots in Broward County, plus a lot and house in North Carolina) to the trustees of Pentecostal Holiness Church "for the use and benefit of the ministry and membership of the Pentecostal Holiness Church." All property was to revert back to plaintiffs in the event of breach or bankruptcy of the trustees. The plaintiffs conveyed their property to the church in 1961 pursuant to this contract which was drawn by the Mauneys' attorney, George Richardson, Esquire.

The trustees made payments to the Mauneys as promised until 1966. Between February and August 1966 plaintiffs received less than the stipulated $1,000 per month payments. The payments then stopped because the Florida Church was nearly bankrupt. The nursing home properties and certain lots did not revert back to the plaintiffs at that time, as it should have done under the contract terms, because they had been converted and were not reachable. The Mauneys recovered the Fort Lauderdale and North Carolina homes by foreclosure.

In 1967 plaintiffs filed suit for damages and imposition of a constructive trust against the Florida Conference of the Pentecostal Holiness Church, only; Florida counterclaimed and asserted affirmative defenses, which can be summarized as estoppel, laches, indefiniteness of contract terms, unconscionability of the contract, lack of consideration and fraud concerning the suitability and condition of the nursing homes. Plaintiffs were given leave to amend their complaint and added the national conference, Pentecostal Holiness Church, Inc., a South Carolina corporation, hereafter called South Carolina, as a party. The theory of the charge against South Carolina was that South Carolina was the principal and Florida the agent in the acquisition of the Mauneys' property. The trial court struck Florida's affirmative defenses and counterclaim, and granted summary judgment against South Carolina and Florida and in favor of the Mauneys.

The final summary judgment was amended three times. Plaintiffs were awarded a judgment for past due payments, plus interest, against South Carolina and Florida. An amended judgment struck the interest award. The Mauneys moved for rehearing and to vacate that judgment. The motion was denied. The Mauneys appeal the order denying vacation of the first amended judgment. A second amended final judgment was filed, reinstating the interest award solely as to Florida and striking the interest award from South Carolina. It was vacated due to clerical error and an identical third judgment entered.

South Carolina and Florida appeal from the judgments entered against them. We reverse the summary judgment entered against South Carolina and remand with directions to enter summary judgment in favor of South Carolina and against the Mauneys. We reverse the summary judgment entered in favor of the Mauneys against Florida and remand for further proceedings consistent with the views herein expressed. The Mauneys' appeal is moot since the amended final judgment was vacated.

While the pleading complications are manifest, we think it would be confusing and not enlightening to make a detailed analysis of them and content ourselves with a mention of only those as may be required for dispositive treatment.

As stated, the summary judgment against South Carolina should be reversed and the cause dismissed as to them. South Carolina was never a party to the arrangement, never received or held title to plaintiffs' property, never exercised any control over the Florida property and never paid the plaintiffs or was looked to for payment by the plaintiffs.

*766 Repetitively, South Carolina was brought into the suit on the theory that it was the principal and Florida the agent in the acquisition of the Mauneys' property. It is necessary to review the Pentecostal Holiness Church structure to determine the relationship of the local and national church conferences in order to ascertain whether an agency relationship existed. If the church were organized as an episcopacy, a form of church government where the powers of government are vested in the Bishops who overlook and oversee the church concerns, an agency relationship would exist between South Carolina and Florida. In the congregational church organization each local body is a self-governing autonomous democracy, no agency relationship exists between the various church levels. The evidence regarding the church structure reveals without issue that the Pentecostal church is a combination of the episcopal and congregational forms; the local church has certain areas of authority that are granted to it by the biennial conference. The local Florida church is independent from the national conference, South Carolina, insofar as congregational financial affairs are concerned and decides such matters for itself; consequently no agency relationship existed between South Carolina, and Florida regarding financial affairs. Local churches have the right to purchase, control and dispose of property. The Florida Conference exercised specific and general control over its finances, and had complete ownership and control over plaintiffs' property.

The attorney who drew up the contract for the Mauneys stated that he did not know anything about the South Carolina Conference when he drew up the contract and only intended to obligate the Florida corporation.

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Bluebook (online)
270 So. 2d 762, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pentecostal-holiness-church-inc-v-mauney-fladistctapp-1972.