Turville v. J & J Properties, L.C.

2006 UT App 305, 145 P.3d 1146, 556 Utah Adv. Rep. 24, 2006 Utah App. LEXIS 326, 2006 WL 2021720
CourtCourt of Appeals of Utah
DecidedJuly 20, 2006
DocketCase No. 20050248-CA
StatusPublished
Cited by8 cases

This text of 2006 UT App 305 (Turville v. J & J Properties, L.C.) is published on Counsel Stack Legal Research, covering Court of Appeals of Utah primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Turville v. J & J Properties, L.C., 2006 UT App 305, 145 P.3d 1146, 556 Utah Adv. Rep. 24, 2006 Utah App. LEXIS 326, 2006 WL 2021720 (Utah Ct. App. 2006).

Opinion

OPINION

BILLINGS, Judge:

T1 Plaintiff Seott R. Turville (Plaintiff) appeals three trial court rulings in favor of Defendants Tri-J Properties LLC (Tri-J); J & J Properties LC (J & J) and its members John Quitiquit and James W. Ritchie, in their individual capacities; and Clark Properties, Inc. (CPT) and its officers John T. Clark and Sherlene Clark, in their individual capacities. We affirm.

BACKGROUND

2 In 1995, J & J, through its members Ritchie and Quitiquit, joined with CPI, through its officers Mr. and Mrs. Clark, to form Tri-J. Upon its formation, Tri-J bought 142 acres of property in Davis County. After Davis County accepted Tri-J's bid for the property, Mr. Clark, unbeknownst to Ritchie and Quitiquit, caused the property to be titled in CPT's name rather than Tri-J's. Mr. Clark later deeded the property back to TriJ, only to subsequently deed 128 acres of the property (the Kaysville Property) back to CPI when Ritchie was out of the country. Fourteen acres of the property (the 14-Acre Property) remained in Tri-J's name. All of the transfers by Mr. Clark were without Ritchie's or Quitiquit's consent.

I3 Sometime thereafter, Plaintiff met with Ritchie, Quitiquit, and Mr. Clark in hopes of purchasing the Kaysville Property and the 14-Acre Property from Tri-J. Tri-J's members were undecided as to whether to sell. However, Mr. Clark later contacted Plaintiff to see if he was still interested in purchasing the property. Mr. Clark informed Plaintiff that CPI owned the Kaysville Property and, despite Tri-J owning the 14-Aere Property, Mr. Clark had the authority to sell that parcel as well because he was manager of the 14-Acre Property. Mr. Clark also indicated that because he had cancer he did not think he would be able to develop the properties by himself.

4 4 Plaintiff subsequently made an offer to Mr. Clark to purchase the Kaysville Property and the 14-Acre Property, including their underlying debts, for $1,000,000. Mr. Clark agreed to sell the properties and, subsequently, caused CPI to deed the Kaysville Property to Plaintiff and granted Plaintiff a quitclaim deed to CPI's interest in the 14-Acre Property. Apparently, Mr. Clark also promised Plaintiff that he could convince Tri-J to transfer the 14-Acre Property to Plaintiff. In exchange, Plaintiff gave Mr. Clark a note for $1,000,000 and began developing the properties.

{5 Despite Mr. Clark's promise to Plaintiff, Mr. Clark was unable to convince Tri-J to deed the 14-Acre Property to Plaintiff. Tri-J refused to turn over its interest with *1148 out proper compensation, alleging that Plaintiff had no legal right to the 14-Acre Property because Mr. Clark had no legal authority to transfer the property.

T6 Plaintiff later contacted Mr. Clark about obtaining an easement across the 14-Acre Property. Mrs. Clark, at the direction of Mr. Clark, executed such an easement.

1 7 In December 1998, Tri-J and CPI sued Plaintiff, claiming Plaintiff had no legal rights to either of the properties because Plaintiff had obtained them by misrepresentation and without consideration. Tri-J and CPI requested that the trial court void the deed to the Kaysville Property and the subsequent easement encumbering the 14-Acre Property. Tri-J and CPI also filed a notice of lis pendens. Soon after filing the lawsuit against Plaintiff, Mr. Clark apparently made a deal with Ritchie and Quitiquit that they would receive $300,000 of the proceeds from the $1,000,000 note given to Mr. Clark by Plaintiff. Under their agreement, Mr. Clark would retain $700,000. In November 1999, without Plaintiff ever filing an answer to their complaint, Tri-J and CPI dismissed the lawsuit without prejudice.

18 On July 25, 2000, Plaintiff filed a complaint against Ritchie, Quitiquit, Tri-J, and J & J (collectively, Defendant Ritchie/Quiti-quit), along with CPI and Mrs. Clark (collectively, Defendant Clark) and Mr. Clark. 1 In his complaint, Plaintiff set forth thirteen allegations: (1) alter ego, (2) fraud, (8) breach of contract, (4) breach of warranty, (5) breach of implied covenant of good faith and fair dealing, (6) malicious prosecution, (7) abuse of process, (8) slander of title, (9) intentional and/or negligent interference with current and prospective business relations/contracts, (10) intentional and/or negligent infliction of emotional distress, (11) defamation, (12) civil conspiracy, and (18) declaratory and other equitable relief. On July 26, 2000, Plaintiff served Ritchie with process.

T9 After filing his complaint and serving Ritchie, Plaintiff took no further action, and in May 2001, the trial court issued an order to show cause why the case should not be dismissed for Plaintiffs failure to prosecute. Four months later, Plaintiff filed for a default judgment against Ritchie after Ritchie failed to appear and answer Plaintiff's complaint. The trial court issued a default judgment against Ritchie on September 24, 2001. In May 2002, Mr. Clark died of cancer.

110 Between late October and mid-November 2002, Plaintiff served his complaint on Tri-J, J & J, Quitiquit, CPI, and Mrs. Clark. Plaintiff never served Mr. Clark. On November 18, 2002, Defendant Clark answered Plaintiff's complaint and filed a notice of suggestion of death, noting for the record that Mr. Clark had died. On November 21, 2002, Ritchie moved to set aside the 2001 default judgment against him. At this time, Defendant Ritchie/Quitiquit also moved to dismiss Plaintiff's claims. Plaintiff cross-motioned for summary judgment.

4 11 In March 2008, counsel for Mr. Clark moved to dismiss Plaintiffs action against Mr. Clark with prejudice for Plaintiffs failure to file a motion for substitution of parties-specifically, the substitution of Mr. Clark's estate (the Estate of Mr. Clark)within ninety days after the notice of suggestion of death, as required under Utah Rule of Civil Procedure 25. See Utah R. Civ. P. 25(a)(1).

1 12 At a March 24, 2008 hearing, the trial court granted Ritchie's motion to set aside judgment and denied Plaintiff's cross-motion for summary judgment. The trial court also partially granted Defendant Ritchie/Quiti-quit's motion to dismiss, dismissing without prejudice Plaintiff's second (fraud) and twelfth (civil conspiracy) claims for relief because of procedural deficiencies. The trial court, however, granted Plaintiff leave to amend these claims to cure their deficien-cles. 2

T 13 In response, on April 9, 2003, Plaintiff filed his first amended complaint (First Amended Complaint). Plaintiffs First Amended Complaint not only amended claims two and twelve, it also added five *1149 additional parties: the Estate of Mr. Clark; Clark LHS, LLC; the Clark Charitable Grantor Trust; Ritchie Enterprises, LP; and Paul Ritchie. The complaint also included two new causes of action: unfair competitive practices and fraudulent conveyances. On that same day, Plaintiff filed a motion for leave to amend (Motion to Amend) to include the additional parties and claims set forth in his First Amended Complaint.

[ 14 In a minute entry dated May 9, 2008, the trial court denied Mr. Clark's motion to dismiss for failure to substitute parties, ruling that because Mr.

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Cite This Page — Counsel Stack

Bluebook (online)
2006 UT App 305, 145 P.3d 1146, 556 Utah Adv. Rep. 24, 2006 Utah App. LEXIS 326, 2006 WL 2021720, Counsel Stack Legal Research, https://law.counselstack.com/opinion/turville-v-j-j-properties-lc-utahctapp-2006.