Rainbo Baking Co. of Albuquerque v. Apodaca

542 P.2d 1191, 88 N.M. 501
CourtNew Mexico Court of Appeals
DecidedOctober 7, 1975
Docket1769
StatusPublished
Cited by8 cases

This text of 542 P.2d 1191 (Rainbo Baking Co. of Albuquerque v. Apodaca) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rainbo Baking Co. of Albuquerque v. Apodaca, 542 P.2d 1191, 88 N.M. 501 (N.M. Ct. App. 1975).

Opinion

OPINION

SUTIN, Judge.

Plaintiffs were granted summary judgment against defendant in a tort action for fraud, forgery, conversion and embezzlement. Both compensatory and exemplary damages were awarded plaintiffs. Defendant appeals. We reverse.

A. There was a genuine issue as to a material fact.

(1) Plaintiffs’ Evidence

Defendant was a truck salesman for Rainbo Baking Company. He sold bread and cakes and merchandise. Kimbell did business in New Mexico under the name of Foodway. Defendant, as Rainbo’s routeman, sold and delivered bread to Foodway stores. Plaintiffs’ affidavits and documents show that on June 13, 1973, defendant admitted to the security officer of Kimbell and the district manager of Rain-bo that he had forged the signatures on the 'Rainbo invoices and that Foodway did not receive the products listed on these invoices. Defendant was too nervous to write a statement and preferred that the security officer write the facts.

In this statement, defendant admitted that since July, 1971, he had made false delivery tickets for bread and pastries to the Foodway store, stamped the invoice with Foodway’s receiving stamp, and forged the employee’s signature to the invoice. Food-way did not receive the bread and pastries, even though it paid for them. Whatever was due on these invoices, defendant kept that amount of cash from his cash customers’ sales; by way of forged invoice tickets he embezzled approximately $6,240.00 which he used for his own personal gain. This statement was obtained by question and answer. Defendant looked it over, studied it for awhile and then signed it.

Defendant told the security officer he wanted to reimburse Foodway for the money he had stolen. The officer prepared a promissory note to Kimbell in the sum of $6,240.00. Defendant reviewed it and signed it.

Plaintiffs made a prima facie case. The burden shifted to defendant to show there was a genuine factual issue. Goodman v. Brock, 83 N.M. 789, 498 P.2d 676 (1972).

(2) Defendant’s Evidence

In response by way of deposition and affidavit, defendant denied that he did anything wrong. He said that when the security officer accused him of forging signatures on the invoices, he did not answer the accusations. At no time did he admit any forgeries, nor admit that he failed to leave merchandise in accordance with the tickets. Defendant became nervous and upset by reason of the accusations and was unable to follow the conversation and heard only half of what was said. Defendant did not remember being asked any questions, but he did remember that he made no responses to any questions.' When defendant was handed the statement, his mind was so confused he looked at the paper as if he were reading it without actually reading or understanding anything that was written down. At this point, the security officer said: “If you don’t want to go along with it, we can go see the District Attorney.” That scared and confused defendant even more.

Defendant hoped that if he cooperated with these men he would keep his job. So he told them that he would pay back whatever he owed plaintiffs. When the security officer mentioned a figure of $6200, defendant thought he meant $600 and something, not $6000 and something.

Defendant denied making any of the statements attributed to him in the “voluntary statement” prepared for his signature by Kimbell’s security officer, which statements amounted to an admission of embezzlement.

With reference to the promissory note, defendant stated he was threatened with the police and the district attorney; that he was in shock at the time and was afraid to question the figures or the reason for the note.

(3) Defendant met the burden

Defendant met the burden of showing that there was a genuine issue of fact as to plaintiffs’ claim of embezzlement, conversion, fraud and forgery. In his affidavit opposing the motion for summary judgment, defendant contended that he did not voluntarily sign the statement and note prepared by Kimbell’ss security officer, which note and statement were the sole items of evidence offered by plaintiffs in support of their motion for summary judgment. Defendant claimed he was confused and in shock, and did not understand the contents of the statement or the amount of the note. Further, he stated that he was threatened with prosecution if he refused to sign.

No citation of authority is necessary to state again all of the rules applicable to summary judgment. We need only say that defendant must be given the benefit of all reasonable doubts in determining whether a genuine issue exists, Goodman v. Brock, supra. We hold that a genuine issue of material fact exists in plaintiffs’ tort action.

B. The trial court mistakenly struck defendants’ response affidavit.

At the time the summary judgment was entered, the trial court struck defendant’s affidavit in response to the motion for summary judgment because the affidavit contained “facts and circumstances which were previously the subject of discovery proceedings by Plaintiffs but that at such discovery proceedings the Defendant refused to furnish to the Plaintiffs the requested information”.

1. Defendant did not refuse to furnish plaintiffs information.

The discovery proceedings consisted of (1) interrogatories submitted by plaintiffs to defendant, and (2) the deposition of defendant taken by plaintiffs.

(1) Plaintiffs submitted nine written interrogatories to defendant. In answer to seven of the nine interrogatories, defendant answered: “Question asked for privileged information protected by the Fifth Amendment to the United States Constitution.” The defendant refused to furnish the requested information to protect a claimed constitutional privilege.

Subsequently, at the second deposition hearing, defendant voluntarily answered all interrogatories orally except three upon which he claimed the Fifth Amendment privilege.

(2) On March 26, 1974, pursuant to notice, plaintiffs took defendant’s deposition. In pertinent places, defendant asserted the privilege of the Fifth Amendment. On May 21, 1974, the trial court ordered defendant to appear at a deposition hearing and answer all questions found on certain pages of the March 26th deposition. The court had this authority. Section 21 — 1— 1(37) (a), N.M.S.A.19S3 (Rep.Vol. 4).

On May 29, 1974, defendant appeared at the second deposition hearing and answered all questions except some which extended beyond those ordered by the court. Defendant complied with the order of the court. He did not refuse to furnish plaintiffs the requested information.

2. Defendant was protected by the Fifth Amendment.

The Fifth Amendment to the United States Constitution provides in pertinent part:

No person . . .

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542 P.2d 1191, 88 N.M. 501, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rainbo-baking-co-of-albuquerque-v-apodaca-nmctapp-1975.