Ramey Kemp & Associates, Inc. v. Richmond Hills Residential Partners, LLC

737 S.E.2d 420, 225 N.C. App. 397, 2013 N.C. App. LEXIS 126
CourtCourt of Appeals of North Carolina
DecidedFebruary 5, 2013
DocketNo. COA12-121
StatusPublished
Cited by4 cases

This text of 737 S.E.2d 420 (Ramey Kemp & Associates, Inc. v. Richmond Hills Residential Partners, LLC) 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
Ramey Kemp & Associates, Inc. v. Richmond Hills Residential Partners, LLC, 737 S.E.2d 420, 225 N.C. App. 397, 2013 N.C. App. LEXIS 126 (N.C. Ct. App. 2013).

Opinions

ERVIN, Judge.

Defendants First Bank and First Troy, SPE, LLC, appeal from an order granting summary judgment in favor of Plaintiff Ramey Kemp & Associates, Inc., with respect to its breach of contract, quantum meruit, and lien enforcement claims. On appeal, Defendants contend that the trial court erred by entering summary judgment in Plaintiffs favor on the grounds that Plaintiff failed to file a claim of lien within 120 days of the date upon which it last furnished labor or materials under the relevant contract and that the work that Plaintiff performed lacked the necessary nexus to an improvement to real property. After careful consideration of Defendants’ challenges to the trial court’s order in light of the record and the applicable law, we conclude that the trial court’s order should be affirmed.

I. Background

A. Substantive Facts

On 10 August 2005, Plaintiff entered into a “contract at the request of Steve Saieed, [an] authorized representative of Richmond Hills Residential Partners, LLC,” under which Plaintiff was obligated to furnish “labor, materials and equipment necessary to complete pro[399]*399fessional design services in regards to traffic engineering services,” including, but “not limited to, preparing design plans, pavement marking and signing plans, drainage, sedimentation and erosion control designs, driveway designs, signal designs and encroachment agreement[s]” for a project under development by Richmond Hills. The services that Plaintiff performed “were not piecemeal and subject to separate contracts or work orders, but constituted a single Contract, and all work was identified by the same Ramey Kemp Project Number (05128.0).”1

Pursuant to the terms of this contract, Plaintiff performed various services which were primarily intended to assist Richmond Hills in obtaining the necessary driveway permits for the proposed development. “[T]he project stopped when the economy fell apart,” an event which had occurred by January, 2009. On 16 January 2009, the North Carolina Department of Transportation voided the permits authorizing the construction of one of the driveways providing access to the development due to the low level of construction activity occurring at that location. Plaintiff was “paid on this project up until January 28, [2009.]” However, Plaintiff “continued to do work from then through February of 2010” despite the fact that it did not receive payment for these additional services. “The last work performed by Plaintiff on the property was at the specific request of Steve Saieed on behalf of Richmond Hills” in February 2010 and included a “status report on outstanding or unresolved issues such as roadway improvements, driveway permits, and control-of-access agreements to facilitate a sale of the property.” In other words, Mr. Saieed had requested that the February 2010 letter be prepared because another person or entity was interested in purchasing the property and because such a letter was needed for the purpose of marketing the property that Richmond Hills had intended to develop.

As part of the process of funding the development of the proposed project, Richmond Hills obtained a loan from First Bank in the amount of $7,750,000.00. In return, Richmond Hills executed a deed of trust applicable to the property on which the development was to be located in favor of First Bank for the purpose of securing the loan.. [400]*400After Richmond Hills defaulted on its obligation to First Bank, First Bank purchased the property at a foreclosure sale on 26 February 2010. On 26 June 2010, First Bank conveyed the property to Defendant First Troy.

B. Procedural History

On 30 March 2010, Plaintiff filed a claim of lien against the Richmond Hills property in which it asserted that it had last provided labor or materials for the proposed project on 24 February 2010. On 19 August 2010, Plaintiff filed a verified complaint against Richmond Hills, First Bank, and First Troy in which it asserted claims for breach of contract, quantum meruit, and enforcement of its lien claim. On 14 December 2010, First Bank and First Troy filed an unverified answer in which they denied the material allegations of Plaintiffs complaint. In addition, First Bank and First Troy asserted a third-party complaint against Mr. Saieed in which they (1) alleged that Mr. Saieed had filed an affidavit in which he falsely represented that there were no outstanding debts that might give rise to a claim of lien on the property; (2) sought indemnification for any judgment that Plaintiff might obtain against them arising from Plaintiffs claim of lien; and (3) asserted that they were entitled to recover damages from Mr. Saieed pursuant to N.C. Gen. Stat. § 75-1.1.

On 25 May 2011, an entry of default was made against Richmond Hills. On the same date, Plaintiff filed a motion seeking the entry of summary judgment in its favor against First Bank and First Troy and the entry of a default judgment against Richmond Hills. An affidavit executed by Montell Irvin, the president of Ramey Kemp, and various invoices and other documents were attached to Plaintiffs motion. On 25 August 2011, Defendants filed a response to Plaintiffs motion, which was accompanied by Mr. Irvin’s deposition and various documentary exhibits, including a 27 January 2009 letter from the North Carolina Department of Transportation voiding the “approved driveway permit application package” due to inactivity. Oh 3 October 2011, the trial court entered an order granting Plaintiff’s motion for summary judgment and entering default judgment against Richmond Hills. First Bank and First Troy noted an appeal to this Court from the trial court’s order granting summary judgment in Plaintiff’s favor.2

[401]*401II. Legal Analysis

A. Standard of Review

Summary judgment is properly granted “if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that any party is entitled to a judgment as a matter of law.” N.C. Gen. Stat. § 1A-1, Rule 56(c). “All inferences of fact from the proofs offered at the hearing must be drawn against the movant and in favor of the party opposing the motion.” Boudreau v. Baughman, 322 N.C. 331, 343, 368 S.E.2d 849, 858 (1988) (citing Page v. Sloan, 281 N.C. 697, 706, 190 S.E.2d 189, 194 (1972). “A party moving for summary judgment may prevail if it meets the burden (1) of proving an essential element of the opposing party’s claim is nonexistent, or (2) of showing through discovery that the opposing party cannot produce evidence to support an essential element of his or her claim.” Lowe v. Bradford, 305 N.C. 366, 369, 289 S.E.2d 363, 366 (1982) (citations omitted). “[0]nce the party seeking summary judgment makes the required showing, the burden shifts to the nonmoving party to produce a forecast of evidence demonstrating specific facts, as opposed to allegations, showing that he can at least establish a prima facie case at trial.” Gaunt v. Pittaway, 139 N.C. App. 778, 784-85, 534 S.E.2d 660, 664, disc. review denied, 353 N.C.

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Bluebook (online)
737 S.E.2d 420, 225 N.C. App. 397, 2013 N.C. App. LEXIS 126, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ramey-kemp-associates-inc-v-richmond-hills-residential-partners-llc-ncctapp-2013.