Perry v. GRP Financial Services Corp.

674 S.E.2d 780, 196 N.C. App. 41, 2009 N.C. App. LEXIS 451
CourtCourt of Appeals of North Carolina
DecidedApril 7, 2009
DocketCOA08-80
StatusPublished
Cited by2 cases

This text of 674 S.E.2d 780 (Perry v. GRP Financial Services Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Perry v. GRP Financial Services Corp., 674 S.E.2d 780, 196 N.C. App. 41, 2009 N.C. App. LEXIS 451 (N.C. Ct. App. 2009).

Opinion

GEER, Judge.

Plaintiffs Irene Egerton Perry, Raymond Christopher Perry (“Chris Perry”), Elizabethe Perry, Bessie Fletcher, and Angela Huntley appeal from (1) an order entering sanctions against Chris Perry, Bessie Fletcher, and Elizabethe Perry (“the sanctioned plaintiffs”) for their absence at a court-ordered mediation and (2) an order taxing costs against all of the plaintiffs following their voluntary dis *43 missal without prejudice of their claims pursuant to Rule 41 of the North Carolina Rules of Civil Procedure. With respect to the sanctions order, we hold that the trial court did not make sufficient findings of fact to support the award of sanctions and, therefore, reverse and remand that order for further findings of fact. We affirm the order awarding costs.

Facts

Irene Perry owned a house in Advance, North Carolina. In 2003, GRP Financial Services, who is not a party to this appeal, foreclosed on the house and hired JWB Properties, LLC, owned by Jerry W. and Bonnie Blackwelder (collectively, with JWB Properties, “the Blackwelder defendants”), to provide services relating to the foreclosure and eviction proceedings. Ms. Perry’s house contained personal property belonging to Ms. Perry; her two children, Chris Perry and Elizabethe Perry; and her friends, Bessie Fletcher and Angela Huntley. JWB Properties hired Triad Residential, LLC, of which Robert and Stephanie Hearn, Robert Gilchrist, and Robert Gilchrist, Jr. are members (collectively, with Triad Residential, “the Hearn defendants”), to remove from the house plaintiffs’ personal property, some of which was taken to landfills in Davie and Davidson Counties.

On 29 June 2006, plaintiffs filed an action in Forsyth County Superior Court against defendants, asserting claims for conversion and unfair and deceptive trade practices arising out of defendants’ actions in the foreclosure and eviction proceedings. The complaint also included additional causes of action on behalf of Irene Perry against all defendants for intentional and/or negligent infliction of emotional distress.

The superior court entered an Order for Mediated Settlement Conference requiring that the mediation be completed by 31 May 2007. The order also set a tentative trial date of 11 June 2007. While the parties were attempting to schedule the mediation and depositions, counsel for defendant GRP sent an e-mail to plaintiffs’ counsel indicating that his client had asked him to inquire about GRP’s participating in the mediation by telephone. Counsel for plaintiffs responded that they had no objection to telephone participation and added: “In fact, Irene Perry will be present at the mediation, but the other plaintiffs will participate by telephone. Irene will be representing all of the plaintiffs at the mediation.” In response, counsel for the Blackwelder defendants wrote: “No, we do not consent to allow the plaintiffs or GRP to participate in the mediation by telephone.”

*44 The mediation was held on 15 May 2007. Of the plaintiffs, Irene Perry and Angela Huntley were physically present, but Chris Perry, Elizabethe Perry, and Bessie Fletcher did not attend. The mediator, in her report, next to the line asking her to identify the parties “who were absent without permission,” wrote: “Bessie Fletcher & Elizabeth [sic] Perry ? Chris Perry called to say he could not get a flight from Ohio that would get him here before 4:30 pm. Mediator told him to stand by cell phone.” On the morning of the mediation, Chris Perry, who is a player for the Cincinnati Bengals, called the mediator on his cell phone from the Cincinnati airport to inform her that he would be unable to attend the mediation due to flight delays with his airline. The mediation proceeded as scheduled and lasted eight and a half hours before the mediator declared an impasse. During that time, Bessie Fletcher participated in the opening portion of the mediation by telephone, and Elizabethe Perry and Chris Perry were available by telephone.

On 31 May 2007, the Blackwelder defendants filed a motion for sanctions supported by the affidavits of Steve M. Pharr and Elizabeth W. Ives. Mr. Pharr, managing partner of the law firm representing the Blackwelder defendants, stated in his affidavit that he had “personally reviewed the expenses” incurred by the Blackwelder defendants’ counsel in the lawsuit and had itemized them for the court’s review. Ms. Ives, a representative of XL Select Professional, the insurance carrier for the Blackwelder defendants, itemized her expenses in attending the mediation. On 29 June 2007, the Hearn defendants also filed a motion for sanctions supported by the affidavit of Steven D. Smith, counsel for the Hearn defendants. In his affidavit, Mr. Smith explained and totaled his charges for preparing for and attending the mediation.

On 6 June 2007, plaintiffs voluntarily dismissed their claims without prejudice. At the hearing on the sanctions motions on 9 July 2007, because plaintiffs challenged the trial court’s jurisdiction to hear the motions, the trial court held the matter open to allow time to research that issue. On 12 July 2007, immediately before the reconvened hearing on the sanctions motions, plaintiffs filed a response to the motions supported by the affidavits of Elizabethe Perry, Irene Perry, and Bessie Fletcher. Chris Perry did not file an affidavit.

Elizabethe Perry, in her affidavit, stated that she had originally planned to travel to Winston-Salem, North Carolina for the mediation in this case scheduled for 15 May 2007, but that on 14 May 2007, she was informed by her employer, T.G.I. Friday’s in Brooklyn, New York, *45 that she would not be given permission to attend the mediation because her employer was short-staffed. The affidavit further stated that her employer had not anticipated the situation and that Elizabethe Perry could not afford to lose her job. Elizabethe Perry added that she had given her mother, Irene Perry, full authority to settle the lawsuit during mediation, that she was available by telephone during the mediation, and that she understood that she would have been bound by a settlement if the case had been settled.

Attached to the affidavit was a letter from Elizabethe Perry’s supervisor at T.G.I. Friday’s on the company’s letterhead, dated 6 July 2007, and addressed to plaintiffs’ counsel. The letter reported:

This is to confirm that Elizabethe I. Perry was unable to come to North Carolina because our company was short staffed on Thursday, May 15, 2007.
Therefore, Elizabethe was not given permission to attend mediation in Winston-Salem, North Carolina. This short staff position was a situation that occurred at the company that we did not anticipate. Elizabethe had previously asked for permission to attend the mediation. When it became apparent that we would be short staffed, we could not allow her the time off she needed.

Irene Perry’s affidavit stated that her son, Chris Perry, “had planned to be present at the mediation; that before the mediation began on May 15th, [she] spoke with [her] son by telephone; he informed [her] that the airplane he was taking had been delayed; that he told [her] that the plane was not scheduled to land in Greensboro until around 4:30 p.m.” Ms.

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

Related

Brosnan v. Cramer
Court of Appeals of North Carolina, 2023
Gillespie v. Majestic Transp., Inc.
2017 NCBC 43 (North Carolina Business Court, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
674 S.E.2d 780, 196 N.C. App. 41, 2009 N.C. App. LEXIS 451, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perry-v-grp-financial-services-corp-ncctapp-2009.