Soltani v. Degnan

2 Pa. D. & C.5th 195
CourtPennsylvania Court of Common Pleas, Philadelphia County
DecidedNovember 21, 2007
Docketno. 1626
StatusPublished
Cited by1 cases

This text of 2 Pa. D. & C.5th 195 (Soltani v. Degnan) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Philadelphia County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Soltani v. Degnan, 2 Pa. D. & C.5th 195 (Pa. Super. Ct. 2007).

Opinion

McINERNEY, J.,

Plaintiff Mustafa Soltani appeals from the order granting defendant William Degnan summary judgment.

I. BACKGROUND

This case centers around a fire which damaged several units at a condominium complex. The controversy concerns the manner in which the condominium association handled the subsequent insurance claims and repairs. Soltani and Degnan are fellow unit owners at Rhawnwoods Condominiums located at 2727 Rhawn Street, Philadelphia, Pennsylvania. Degnan, at all times material to the present cause of action, was the sole officer of the Rhawnwoods Condominium Association (RCA). See deposition testimony of William Degnan, p. 10. Prior to the events at issue, Degnan was the treasurer of the RCA. Id. During the March 8, 2005 RCA annual meeting, the president and secretary resigned due to pending sales of their respective units. Id. at 11. At that time, none of the other owners were willing to seek nomination to the council. Id. at 14. The general members requested Degnan serve as the sole manager for the RCA. Id. at 15.

Approximately one week later, on March 13, 2005, a fire damaged units 11,12,13,14,15, and common areas. Soltani owns units 13 and 14; he and three additional owners were affected by the fire. After the fire, a proposal was sent by an adjuster to the insurance carrier. Id. at 34. Degnan, on behalf of the RCA, received the initial insurance offer. Degnan told Soltani that the RCA was [197]*197planning on getting three separate requests for proposals from contractors to repair the fire damage.1 Id. at 36. Degnan further told Soltani that because one of Soltani’s units had the most fire damage, the RCA would choose two contractors and Soltani could choose the third. Id.

Degnan did not disclose any of the adjuster’s figures to the contractors so that the bidding process would not be influenced by outside financial information. Id. The contractor Soltani chose submitted his bid two months after Degnan received the other two bids. Id. at 39, see also, deposition testimony of Joseph Lees, defendant’s motion for summary judgment, exhibit G at 40-41. Soltani’s contractor also submitted the bid at a higher cost to the RCA than the other two bids.2 Degnan deposition at 40. The RCA selected one of the timely submitted, lower bids.

The RCA received the insurance funds and deposited them in a general account of the RCA.3 See Degnan deposition at 44, see also, affidavit of William Degnan, defendant’s motion for summary judgment, exhibit O. The contractors were paid from that general RCA account. Id. The repairs were eventually made and all the units became habitable once again.

[198]*198Soltani filed his complaint in the present matter4 on •December 14, 2005 with counts of conversion, negligence, breach of fiduciary duty, and abuse of process.5 After the close of discovery, Degnan filed a motion for summary judgment. This court granted Degnan’s motion for summary judgment on September 13, 2007. Soltani now files this timely appeal.

II. DISCUSSION

Soltani raises the following issues in his appeal:

(1) This court erred in granting defendant’s motion for summary judgment on the multi-count complaint because plaintiff produced sufficient evidence of facts essential to each cause of action in the complaint so as to require [199]*199the issues in each count to be submitted to a jury (i.e., conversion, negligence, breach of contract and fiduciary duty, usurpation of the lawful authority of the condominium association, contempt of court order to account, and abuse of civil process all to the financial loss and detriment of the plaintiff).

(2) This court erred in necessarily basing its decision on the oral deposition testimony of defendant and his witnesses, which is not sufficient evidence to establish the absence of a genuine issue of material fact required for summary judgment.

(3) The defendant had the burden of proof to justify his actions and self dealing and conversion of the insurance proceeds because he was acting ultra vires as a matter of law which precludes summary judgment.

(4) The allegations in the complaint substantiated by the documents required the court to compel an election of a counsel of three unit owners to run the business of the association in accord with the condominium declaration and/or the court should have appointed a receiver for the association.

(5) The motion court erred in granting summary judgment on the abuse of process claim when the lawsuits brought against the plaintiff were a matter of record and a jury could find the defendant lied under oath and perverted the legal process by suing the plaintiff in seven different lawsuits for the expressed purpose of causing him to ratify defendant’s wrongful conduct in usurping control of the association and the lawsuits were brought to “ruin” the plaintiff because of his ethnic background and not for the purpose stated in the pleadings.

[200]*200See plaintiff’s 1925(b) statement. Soltani’s complains that this court erred by granting Degnan’s motion for summary judgment on all counts of his complaint. As such, we will address each cause of action separately below. We note at the onset that summary judgment is appropriate where there is no genuine issue of material fact as to a necessary element of the cause of action or defense which could be established by additional discovery or expert report. See Pa.R.C.P. 1035.1 et seq. (2007).

A. Conversion

Conversion is an intentional interference with a plaintiff’s right to use or possess his or her personal property. Chrysler Credit Corporation v. Smith, 434 Pa. Super. 429, 434, 643 A.2d 1098, 1100 (1994). A plaintiff has a cause of action in conversion if he or she “had actual or constructive possession of a chattel or an immediate right to possession of a chattel at the time of the alleged conversion.” Id. (citing Eisenhauer v. Clock Towers Association, 399 Pa. Super. 238, 243, 582 A.2d 33, 36 (1990)). A named loss-payee on a contract for insurance has an action for conversion against the insurer if the proceeds are wrongfully distributed. Id. at 435, 643 A.2d at 1101.

Soltani claims that Degnan is liable for conversion because Degnan used the insurance proceeds, meant for Soltani’s condominium unit, for his own personal use. However, Soltani has produced no evidence that Degnan ever deposited the insurance funds into a personal ac[201]*201count or ever used the insurance funds for personal gain. The insurance contract between the RCA and Mitsui Sumitomo Insurance Group does not name Soltani as an insured on the policy. See insurance contract, defendant’s motion for summary judgment, exhibit D. The RCA is the named payee and the insurance proceeds from the fire went directly to the RCA.

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

Related

Soltani v. Degnan
973 A.2d 1116 (Commonwealth Court of Pennsylvania, 2009)

Cite This Page — Counsel Stack

Bluebook (online)
2 Pa. D. & C.5th 195, Counsel Stack Legal Research, https://law.counselstack.com/opinion/soltani-v-degnan-pactcomplphilad-2007.