Steed v. OAK RIDGE EQUESTRIAN CENTER, INC.

401 N.W.2d 495, 224 Neb. 792
CourtNebraska Supreme Court
DecidedFebruary 27, 1987
Docket85-372
StatusPublished
Cited by5 cases

This text of 401 N.W.2d 495 (Steed v. OAK RIDGE EQUESTRIAN CENTER, INC.) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Steed v. OAK RIDGE EQUESTRIAN CENTER, INC., 401 N.W.2d 495, 224 Neb. 792 (Neb. 1987).

Opinion

401 N.W.2d 495 (1987)
224 Neb. 792

Henry STEED and Steed Brothers Construction Co., Inc., Appellants and Cross-Appellees,
v.
OAK RIDGE EQUESTRIAN CENTER, INC., et al., Appellees and Cross-Appellants.

No. 85-372.

Supreme Court of Nebraska.

February 27, 1987.

*496 Brian R. Watkins and Richard Scott of Watkins & Scott, Lincoln, for appellants and cross-appellees.

Martin A. Cannon of Matthews & Cannon, P.C., Omaha, for appellees and cross-appellants.

KRIVOSHA, C.J., BOSLAUGH, WHITE, HASTINGS, CAPORALE, SHANAHAN, and GRANT, JJ.

BOSLAUGH, Justice.

This was an action for damages for an alleged conspiracy by the defendants to ruin the business and profits of the plaintiffs, Henry Steed and Steed Brothers Construction Co., Inc.

Steed Brothers is in the business of wrecking buildings. To operate its business successfully it needs a landfill site where it can dispose of the debris and rubble from the buildings it demolishes.

The defendant Robert C. Luikart formerly operated the Oak Ridge Equestrian Center on a 53-acre irregular tract of land just north of Omaha, Nebraska. The land was wooded and had several large ravines upon the property. On November 1, 1979, Steed Brothers entered into a lease agreement with Oak Ridge for the use of a portion of the Oak Ridge property as a landfill. In June of 1980 Oak Ridge's attorney *497 advised Steed Brothers to cease dumping on the property. In May of 1981 Oak Ridge commenced an action against Steed Brothers to enjoin the latter from continuing to dump on the property. A temporary restraining order was issued by the court, and dumping on the property was halted.

The matter came on for hearing July 7, 1981. During the hearing the parties entered into a settlement agreement which was dictated into the record, the alleged breach of which is the basis of this case. The settlement agreement required Steed Brothers to remove an earthen "ramp" from the Oak Ridge property within 7 days, at which time the restraining order would be dissolved. Steed Brothers also agreed to seed an arena located on the property. The parties agreed to meet on the property later that day "to stake the property for the removal of the ramp and for the boundaries of the land to be purchased."

With regard to the land to be purchased by Steed Brothers, the agreement provided in part that

the land will be described in a survey which will be completed within a reasonable time hereafter to allow for the execution of the purchase agreement on or before August 1, 1981.
Under the terms of the purchase agreement the defendant will give the plaintiff a $10,000 down payment and will assume the land contract or mortgage of the plaintiff now existing against this property, and the defendant will make his payment through an escrow agent to ensure that the land contract or mortgage is paid in full.
. . . .
The parties further agree that the survey to be completed of the property will be completed within a reasonable time and the cost of such survey will be split equally between the parties.

A few days after the settlement agreement was reached, the parties met at the property and set the boundaries for the survey. At that time the parties agreed to wait until fall to have the property surveyed, to avoid additional expenses caused by the dense foliage in the area. Steed Brothers removed the ramp on the property, and the restraining order was dissolved. Steed Brothers then resumed dumping at the site but did not seed the arena.

On August 5, 1981, Steed Brothers' then attorney, William Dittrick, wrote to Oak Ridge's then attorney, Stephen Gerdes, and requested the latter to obtain the proper consents for assumption of the mortgage on the property, requested that the required downpayment of $10,000 be placed in escrow to pay a substantial payment due on the property in 1982, and commented that he assumed the purchase agreement and other necessary agreements were being prepared. Subsequently, in telephone conversations between Oak Ridge's attorneys and Steed Brothers' attorney, which occurred between August 5 and 28, the latter was informed the necessary consents had been obtained and the parties would proceed. On August 28, 1981, Dittrick again wrote to one of Oak Ridge's attorneys, to confirm an earlier telephone conversation. The letter stated that it was Dittrick's understanding that all necessary consents had been obtained and requested the attorney for Oak Ridge, Martin Cannon, to prepare the purchase agreement as soon as possible so that the matter could be finalized and the litigation closed.

The next correspondence which appears in the record is dated October 22, 1981, wherein Steed Brothers was notified the entire tract of land owned by Oak Ridge, including the portion Steed Brothers had agreed to buy, had been sold to Anderson Excavating and Wrecking Co., a competitor of Steed Brothers. The letter was written by Martin Cannon, Oak Ridge's attorney, on behalf of the Anderson Co. In addition to informing Steed Brothers of the sale, the letter stated that Steed Brothers had violated the terms of its lease and the terms of the settlement agreement and, therefore, should find another landfill site. The Anderson Co. offered to allow Steed Brothers to use the site for a "reasonable period" upon proof of insurance and a conference *498 with Cannon to set the terms of the usage. Steed Brothers continued to use the property until June 1982.

On September 15, 1982, Henry Steed and Steed Brothers filed this action, alleging that Oak Ridge and Robert Luikart had conspired with the Anderson Co. and Virgil Anderson, the president of the Anderson Co., to breach the settlement agreement, thereby preventing Steed Brothers from using the landfill and damaging its business and profits. The plaintiffs alleged the breach of the settlement agreement was

a direct result of a deliberate conspiracy between the defendants for the purpose of ruining the business and profits of the plaintiff herein and permanently damaged plaintiff's ability to compete by denying the plaintiff the use of the proposed land site that was the subject of the in court settlement.

The plaintiff's sought to recover damages for lost profits and the loss of future business and profits, and special damages of $150,000.

The defendants' answer, substantially, was a general denial.

At the close of all of the evidence the trial court dismissed the case as to Henry Steed and Virgil Anderson. The jury returned a verdict in favor of Oak Ridge, Robert Luikart, and the Anderson Co. This appeal followed.

The defendants assert a cross-appeal, contending that their motion for a directed verdict at the close of the evidence should have been granted. They contend that the plaintiffs failed to establish a prima facie case of conspiracy against Oak Ridge, Luikart, and the Anderson Co., because all of Steed Brothers' rights under the lease and settlement agreement, as well as all of Oak Ridge's defenses, were unchanged by the sale to the Anderson Co.

The testimony at trial was conflicting. Luikart testified that he had negotiated with the Anderson Co. in 1977 or 1978 for the sale of his property, but the negotiations had lapsed until late September or early October of 1981.

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401 N.W.2d 495, 224 Neb. 792, Counsel Stack Legal Research, https://law.counselstack.com/opinion/steed-v-oak-ridge-equestrian-center-inc-neb-1987.