Stephen A. Oliver v. Ford Motor Credit Company, LLC

437 S.W.3d 352, 2014 WL 1711490, 2014 Mo. App. LEXIS 478
CourtMissouri Court of Appeals
DecidedApril 29, 2014
DocketWD75585 Consolidated with WD75619
StatusPublished
Cited by8 cases

This text of 437 S.W.3d 352 (Stephen A. Oliver v. Ford Motor Credit Company, LLC) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stephen A. Oliver v. Ford Motor Credit Company, LLC, 437 S.W.3d 352, 2014 WL 1711490, 2014 Mo. App. LEXIS 478 (Mo. Ct. App. 2014).

Opinion

ANTHONY REX GABBERT, Judge.

Stephen A. Oliver, Steve Oliver Imports, LLC, and Oliver Family Partnership (“Oliver”) 1 appeals the circuit court’s judgment that Oliver breached his contract with Ford Motor Credit Company (“FMCC”). Oliver raises seven points on appeal. Oliver argues that the trial court erred in: (1) granting FMCC’s motion for directed verdict on his fraud by silence claim; (2) rejecting his proposed verdict directors and refusing to submit any instruction on fraud by silence and negligent misrepresentation by silence; (3) granting FMCC’s motion for directed verdict on his tortious interference with business expectancy claim; (4) overruling his objections and submitting FMCC’s counterclaims in a single MAI 26.02 verdict directing instruction; (5) entering a directed verdict in favor of FMCC on the issue of his expectancy damages and giving a withdrawal instruction that the jury must disregard such evidence; (6) overruling his objections to FMCC’s introduction of extensive evidence of his hunting experiences, taxidermy hobby, and game farm operation; *357 and (7) denying his request that the jury be advised of his hospitalization with a serious ailment during the course of the trial. Additionally, FMCC filed a cross-appeal arguing that the circuit court erred in denying its motion to alter or amend the judgment for entry of FMCC’s attorneys’ fees, costs and expenses, and interest. We affirm.

Factual Background 2

Oliver purchased a Mazda dealership in September 2007. Oliver used FMCC financing to purchase the dealership and signed several contracts, including a personal guaranty on the loans. The dealership that Oliver purchased had been losing money and continued to do so. In September 2008, FMCC sent Oliver a “go away” letter that stated that Oliver needed to find other financing for his dealership as FMCC would no longer be financing his dealership. Pursuant to a contract that. Oliver signed, either party could terminate the financing agreement upon 30 days notice. Having been a dealer for many years, Oliver had signed eight other agreements with FMCC with the same termination provision. FMCC provided Oliver with several financing extensions in order for Oliver to find other financing. Despite these extensions, Oliver was unable to acquire other financing. As a result, Oliver closed the dealership in March 2009. At the time of closing, Oliver had sustained more than $1.4 million in losses.

Oliver sued FMCC and FMCC employee Sheri Gerstner for fraudulent and negligent misrepresentation alleging that FMCC promised him permanent captive dealer financing and this representation induced him into buying the Mazda dealership and using FMCC dealer financing. He claimed that he later learned that FMCC had a “secret plan” to eliminate Mazda financing and had he known that information he never would have bought the Mazda dealership.

FMCC filed a counterclaim seeking payment for amounts Oliver owed under the financing agreement. Oliver admitted to the jury that he would owe FMCC money if the jury rejected his claim of fraudulent misrepresentation. After an 11-day trial, the jury found against Oliver on his claims for fraudulent and negligent misrepresentation and in favor of FMCC on its counterclaim for breach of contract. The jury awarded FMCC $778,643. The trial court entered judgment on the verdict. FMCC moved to amend the judgment to award it attorneys’ fees, costs and expenses, and interest. Oliver opposed the request. The trial court did not rule on FMCC’s motion and by operation of law it was denied. Oliver appealed the judgment and FMCC filed a cross-appeal seeking a reversal of the trial court’s judgment denying FMCC’s request for attorneys’ fees, costs and expenses, and interest.

I. Fraud by Silence

In Oliver’s first point on appeal, he argues that the trial court erred in granting FMCC’s motion for directed verdict on his fraud by silence claim. Oliver contends that fraud by silence is recognized as an independent cause of action and was properly submitted to the jury. We find no err.

The standard of review for the circuit court’s grant of FMCC’s motion for directed verdict is whether Oliver made a submissible case. Investors Title Co., Inc. v. Hammonds, 217 S.W.3d 288, 299 (Mo. banc 2007). “A case may not be submitted unless each and every fact essential to liability is predicated upon legal and sub *358 stantial evidence.” Id. “Substantial evidence is that which, if true, has probative force upon the issues, and from which the trier of fact can reasonably decide the case.” Blue v. Harrah’s N. Kansas City, L.L.C., 170 S.W.3d 466, 472 (Mo.App.2005). “When deciding whether the plaintiff made a submissible case, we view the evidence and all reasonable inferences from it in the light most favorable to the plaintiff and disregard all evidence to the contrary.” Id. If the denial of a directed verdict is based upon a conclusion of law, we review the circuit court’s decision de novo. Kelly v. State Farm Mut. Auto. Ins. Co., 218 S.W.3d 517, 521 (Mo.App.2007).

At the close of all of the evidence, FMCC continued its directed verdict motion as to the fraud by silence claim and argued that Oliver’s fraud by silence claim went to the falsity element of Oliver’s fraudulent misrepresentation claim. Oliver’s counsel, however, argued at trial that “[t]he fact of the matter is the fraud by silence is an entirely different tort. It has entirely different elements.” Oliver further argued that an entirely separate instruction should be given for the fraud by silence claim. 3 The court granted FMCC’s motion for a directed verdict stating that the fraud by silence claim goes to the falsity element of Oliver’s fraudulent misrepresentation claim. We find no err in the court granting FMCC’s motion for directed verdict.

In Hess v. Chase Manhattan Bank, 220 S.W.3d 758 (Mo. banc 2007), the Missouri Supreme Court stated: “This Court has not recognized a separate tort of fraudulent nondisclosure ... Instead, in such cases, a party’s silence in the face of a legal duty to speak replaces the first element: the existence of a representation.” Id. at 765. This is because “a party’s silence amounts to a representation where the law imposes a duty to speak.” Id. (citing Andes v. Albano, 853 S.W.2d 936, 943 (Mo. banc 1993)). Even though, however, a party’s silence in the face of a legal duty to speak replaces the first element of the existence of a representation, “[t]he same nine elements required to establish fraud by an affirmative misrepresentation must be proven in a fraud by silence claim.” Zubres Radiology v. Providers Ins. Consultants, 276 S.W.3d 335, 340 (Mo.App.2009) (internal quotations & citations omitted).

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Cite This Page — Counsel Stack

Bluebook (online)
437 S.W.3d 352, 2014 WL 1711490, 2014 Mo. App. LEXIS 478, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stephen-a-oliver-v-ford-motor-credit-company-llc-moctapp-2014.