Rachael's Boutique, Inc. v. Cabral

2013 Mass. App. Div. 115, 2013 WL 3242013, 2013 Mass. App. Div. LEXIS 28

This text of 2013 Mass. App. Div. 115 (Rachael's Boutique, Inc. v. Cabral) is published on Counsel Stack Legal Research, covering Massachusetts District Court, Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Rachael's Boutique, Inc. v. Cabral, 2013 Mass. App. Div. 115, 2013 WL 3242013, 2013 Mass. App. Div. LEXIS 28 (Mass. Ct. App. 2013).

Opinion

Hand, J.

Plaintiff Rachael’s Boutique, Inc. (“Rachael’s”) sells clothing, jewelry, and other merchandise. At the times relevant to this action, Rachael’s permitted customers, including defendant Angelina Cabral (“Cabral”), to establish and maintain credit accounts for purchases made at the business.

In June, 2010, Rachael’s filed suit against Cabral in the New Bedford District Court, alleging that Cabral owed Rachael’s $15,763.00 for goods sold and delivered on an open account. Cabral counterclaimed pursuant to G.L.c. 93A After trial, the jury returned a verdict for Rachael’s against Cabral on both Rachael’s claims and Cabral’s counterclaims.

Cabral has appealed the verdict against her on Rachael’s claims on two grounds. First, she argues that the evidence at trial was insufficient to support the jury’s finding of a debt owed on an open account. Second, she argues that the trial judge erred in his instructions to the jury, specifically, that the judge should have instructed the jury on the statute of limitations and on the statute of frauds.

There was little dispute at trial that Cabral had been a regular customer at Rachael’s for a period of years before Rachael’s filed its complaint against her in 2010. While there was evidence that Cabral sometimes paid cash for her purchases [116]*116at Rachael’s, Rachael’s offered evidence that she also purchased many items on a credit account with the business. Records maintained by Rachael’s and introduced at trial suggested that Cabral carried a credit balance on an account with Rachael’s from at least 2004 through 2007, with individual credit purchases ranging from $50.00 to over $5,000.00.

Joe Costa (“Costa”), Rachael’s owner, testified that when a customer made a purchase, the salesperson would fill out a receipt with a carbon duplicate, keeping one copy and providing the other to the customer. Rachael’s introduced into evidence approximately twenty-seven such receipts for charges Rachael’s attributed to Cabral.1 The receipts were not numbered, and while several of the receipts had Cabral’s name written on them, none was signed by Cabral.2 Costa, through whom the receipts were introduced without objection, testified that the receipts were completed by the salespeople working at Rachael’s at the time each purchase was made. None of the employees who made the entries on the receipts and account cards testified at trial.

Rachael’s witness, Costa, explained that when a customer made a purchase on credit, the salesperson making the sale would record the credit on an account card dedicated to that particular customer. Any payments made on the account would also be recorded on the account card. When a given card was filled, the balance from the card would be carried over to a new card, and the credit and debit entries would be continued on the new card.

In Cabral’s case, although Rachael’s introduced receipts for certain purchases as far back as 2001, Costa testified that Cabral’s early account cards had been lost. The first account card introduced into evidence at trial began with an entry dated January 5, 2004, carrying over a balance of $13,587.00. Costa could not provide evidence of the accuracy of his store’s accounting that generated the $13,587.00 balance, although the account cards were introduced without objection.

Rachael’s introduced additional account cards related to Cabral’s purchases and payments after January 5,2004, documenting Cabral’s earliest recorded payment on January 11,2004, and her last payment on the account on January 15,2007. The evidence of whether Cabral accepted the particular items noted on the receipts introduced at trial and the account cards, and of whether she paid for those items, was sparse. In most cases, Costa could not identify the merchandise associated with particular entries on the account cards. Cabral provided no information about what she bought, although she denied having purchased some particular items, notably items of jewelry for herself and her son.

The account cards indicated, and Costa testified, that Cabral’s account had a credit balance after the last recorded payment, and that the balance at the time of trial was $15,813.00. The account cards did not identify the items Cabral purchased, but [117]*117only the amount of each credit. Cabral did not sign the account cards, and there was no evidence that she ever conceded the accuracy of the balance carried over and dated January 5, 2004, or any other entry on any account card kept by Rachael’s. Rachael’s introduced several receipts for purchases it claimed Cabral made on account, but did not produce receipts for all such purchases. Further, the receipts did not indicate whether Cabral made any particular purchase documented using Rachael’s credit or in some other way. Rachael’s conceded that it had no receipts or account cards signed by Cabral for any of her purchases at the boutique.

Cabral moved for a directed verdict at the close of Rachael’s evidence, arguing that Rachael’s had failed to present sufficient evidence from which the jury could find a proper basis for the calculation of the balance dated December 5,2004 and carried over on the account card. The trial court denied that motion and her subsequent directed verdict motion at the close of all the evidence; and Cabral’s rights on the issue were preserved. See Chelsea Rous. Auth. v. Fontes, 2012 Mass. App. Div. 7, 9 (defendant’s motion for directed verdict preserved right of appeal on sufficiency of the evidence).3

At trial, Cabral testified that she began shopping at Rachael’s in 2006, denying that she made purchases as early as 2004. She testified that she “never owed more than $2,000” on account with Rachael’s. It was undisputed that Cabral did not make any purchases from or payments to Rachael’s after July 20, 2007. Cabral first testified that “[she] knew [she] had paid everything,” but conceded that when the account “ended” in 2007, she owed “[a] lot of money” to Rachael’s. At a minimum, Cabral disputed that she owed the amount claimed by Rachael’s.

After trial, Cabral moved for a new trial and for judgment notwithstanding the verdict on grounds including those at issue in this appeal. The court denied Cabral’s motions.

1. Standard of review. “In reviewing the denial of a motion for judgment notwithstanding the verdict, we ask whether, viewed in the light most favorable to the non-moving party, the evidence is sufficient to support the verdict.” Reading Co-op. Bank v. Suffolk Constr. Co., 464 Mass. 543, 556-557 (2013). See also Anderson v. Peter Pan Bus Lines, Inc., 2000 Mass. App. Div. 221, quoting Hanover Ins. Co. v. Sutton, 46 Mass. App. Ct. 153, 166 (1999).

2. Sufficiency of evidence on debt owed on open account. To recover on a theory of an open account, the plaintiff is required to prove the well-known elements of a contract, see G.L.c. 260, §6 (mutual and open account current is form of contract action); Howland v. Stowe, 290 Mass. 142, 147 (1938) (same), including offer, acceptance, and consideration. Vasconcellos v. Arbella Mut. Ins. Co., 67 Mass. App. Ct. 277, 280 (2006), citing Haverhill v. George Brox, Inc., 47 Mass. App. Ct. 717, 720 (1999). The plaintiff must also prove the correctness of the account and the reasonableness of the charges. See Howland, supra at 147-148 (open and mutual account is an action for balance due on account);

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2013 Mass. App. Div. 115, 2013 WL 3242013, 2013 Mass. App. Div. LEXIS 28, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rachaels-boutique-inc-v-cabral-massdistctapp-2013.