Turkey Creek Ltd. Liability Co. v. Anglo America Consolidated Corp.

43 P.3d 701, 2001 Colo. J. C.A.R. 4899, 2001 Colo. App. LEXIS 1668, 2001 WL 1194953
CourtColorado Court of Appeals
DecidedOctober 11, 2001
Docket00CA0784
StatusPublished
Cited by2 cases

This text of 43 P.3d 701 (Turkey Creek Ltd. Liability Co. v. Anglo America Consolidated Corp.) is published on Counsel Stack Legal Research, covering Colorado Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Turkey Creek Ltd. Liability Co. v. Anglo America Consolidated Corp., 43 P.3d 701, 2001 Colo. J. C.A.R. 4899, 2001 Colo. App. LEXIS 1668, 2001 WL 1194953 (Colo. Ct. App. 2001).

Opinion

Opinion by

Judge JONES.

Defendants, Anglo America Consolidated Corporation, Conejos Advisors Company, Apishapa Management, Inc., Sangre Consultants, Inc., and Jeff Tucker, appeal the judgment entered against them and in favor of plaintiff, Turkey Creek Limited Liability Company (Turkey Creek). We affirm.

The facts are largely undisputed. In a previous action, Turkey Creek successfully sued various other business entities and individuals (not defendants here) for decrees of foreclosure and quiet title to certain property in Eagle County, Colorado. Thereafter, in a supplemental proceeding, Turkey Creek was awarded damages, including costs and attorney fees, pursuant to § 38-85-1098), C.R.S. 2001, from the named businesses which had filed invalid deeds of trust on the property.

Nearly two years later Turkey Creek commenced this action against defendants. The factual allegations of the complaint are nearly identical to those in the supplemental proceeding in the previous action, and the complaint sought actual or statutory damages of at least $1000 for each of 405 deeds of trust that had been declared void and invalid in the previous action and supplemental proceeding. The only difference is the named defendants.

The trial court denied Tucker's motions for summary judgment asserting that this action was barred based on the doctrine of res judicata or claim preclusion and that the undisputed facts established that Tucker did not know or have reason to know that the deeds of trust were fraudulent.

The trial court granted Turkey Creek's motion for summary judgment asserting that the undisputed facts supported a finding that Tucker's actions fell within the ambit of § 38-35-1098). The trial ordered defen *703 dants to pay damages to Turkey Creek in the amount of $405,000.

Summary judgment is appropriate when there is no dispute as to any material fact, and the burden to so demonstrate is upon the movant. Aspen Wilderness Workshop, Inc. v. Colorado Water Conservation Board, 901 P.2d 1251 (Colo.1995). A material fact is one that will affect the outcome of the case. Moffat County State Bank v. Told, 800 P.2d 1320 (Colo.1990).

A court reviewing a summary judgment does not engage in fact finding. Thus, our review of the trial court's ruling is de novo. Aspen Wilderness Workshop, Inc. v. Colorado Water Conservation Board, supra.

In determining whether summary judgment is proper, a court must give the non-moving party the benefit of all favorable inferences that reasonably may be drawn from the undisputed facts, and all doubts must be resolved against the moving party. In determining whether to grant a motion for summary judgment, a court must consider the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits. Dale v. Guaranty National Insurance Co., 948 P.2d 545 (Colo.1997).

1.

Tucker first contends that the trial court erred in denying his motion for summary judgment based on the doctrine of res judicata or claim preclusion. We disagree.

The doctrine of res judicata precludes a claim that was or could have been raised in a previous litigation. The doctrine will only be applied if, between the prior and present actions, there is: (1) identity of subject matter; (2) identity of a cause of action; (8) identity of parties; and (4) identity of capacity in the persons for whom, or against whom, the claim is made. Cruz v. Benine, 984 P.2d 1173 (Colo.1999).

It is undisputed that there is identity of the subject matter and identity of the causes of action here. However, the trial court properly determined that Tucker had not been a party to the previous action and was not in privity with any of the defendants there.

Privity between a party and a non-party requires a substantial identity of interests and a working or functional relationship in which the interests of the nonparty are presented and protected by the party in the litigation. In analyzing privity for purposes of res judicata, a court should look to the underlying relationship of the parties. Crug v. Benine, supra.

Tucker failed to present any evidence to establish that he was in privity with the defendants in the previous action, except for the fact that all were involved in filing the invalid deeds of trust. There is no indication, however, that the resolution of the previous action was intended to release Tucker from liability in any later case.

Further, in a letter written during the supplemental proceeding, Tucker's attorney confirmed that Tucker was not a party to the previous action and that his interests were not represented by any other party in that action. Hence, Tucker conceded that the element of identity of parties is missing. That element is essential to the application of res judicata. Crug v. Benine, supra.

We, therefore, conclude that the first judgment did not bar Turkey Creek from seeking a judgment against Tucker. See Coons v. Peterson Realty, Inc., 695 P.2d 317, 318 (Colo.App.1985)("Although plaintiffs may obtain only one satisfaction, they are free to obtain as many judgments against as many different parties ... as they can establish to obtain such satisfaction."). Thus, the trial court did not err in denying Tucker's motion for summary judgment based on res judica-to.

II.

Tucker next contends that the trial court erred in granting summary judgment because the undisputed facts do not support a finding that he "offered" the invalid deeds of trust to be recorded, as required by § 38-85-109(8). Again, we disagree.

Although it has been amended since concerning matters not relevant here, at the time of the filing of the invalid deeds of trust, *704 and as referred to herein, § 38-85-109(8) provided as follows:

Any person who offers to have recorded or filed in the office of the county clerk and recorder any document purporting to cereate a lien against real property knowing or having a reason to know that such document is forged, groundless, contains a material misstatement or false claim, or is otherwise invalid, shall be liable to the owner of such real property for the sum of not less than one thousand dollars, or for actual damages caused thereby, whichever is greater, together with reasonable attorney fees. Any grantee or other person purportedly benefited by a recorded document which creates a lien against real property and is forged, groundless, contains a material misstatement or false claim, or is otherwise invalid, who willfully refuses to release such document of record upon request of the owner of the real property affected, shall be liable to such owner for the damages and attorney fees provided for in this subsection (8).

Colo. Sess. Laws 1980, ch. 152 at 708.

We review construction of a. statute de movo.

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43 P.3d 701, 2001 Colo. J. C.A.R. 4899, 2001 Colo. App. LEXIS 1668, 2001 WL 1194953, Counsel Stack Legal Research, https://law.counselstack.com/opinion/turkey-creek-ltd-liability-co-v-anglo-america-consolidated-corp-coloctapp-2001.