Victoria Haynes v. Benton Ned Bass

CourtCourt of Appeals of Tennessee
DecidedJune 9, 2016
DocketW2015-01192-COA-R3-CV
StatusPublished

This text of Victoria Haynes v. Benton Ned Bass (Victoria Haynes v. Benton Ned Bass) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Victoria Haynes v. Benton Ned Bass, (Tenn. Ct. App. 2016).

Opinion

IN THE COURT OF APPEALS OF TENNESSEE AT JACKSON April 19, 2016 Session

VICTORIA HAYNES V. BENTON NED BASS, ET AL.

Appeal from the Chancery Court for Shelby County No. CH 14-1294 Walter L. Evans, Chancellor

No. W2015-01192-COA-R3-CV – Filed June 9, 2016

Ex-wife sued ex-husband, mortgage company, title company, and attorney alleging causes of action for fraud, negligent misrepresentation, promissory estoppel, breach of contract, negligence, and civil conspiracy. Pursuant to the terms of a postnuptial agreement, a residence purchased in Collierville, Tennessee was to be ex-wife‟s separate property. Ex-wife alleged that ex-husband failed to deed the property to her as agreed in the postnuptial agreement. She further alleged that he forged or caused to be forged her name on loan documents for the Collierville residence, which were then “falsely notarized” by the attorney. Defendants asserted multiple defenses and filed motions to dismiss and for judgment on the pleadings. We have determined that the trial court properly dismissed all of the plaintiff‟s claims for failure to state a claim upon which relief could be granted. Plaintiff‟s damages were the result of her failure to pay the mortgage on the Collierville residence, which caused the Arkansas divorce court to hold her in contempt and to order the property sold at auction. Even if we assume that all of the allegations of the plaintiff‟s complaint are true, these allegations fail to make out a claim for relief.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Chancery Court Affirmed

ANDY D. BENNETT, J., delivered the opinion of the Court, in which BRANDON O. GIBSON, and KENNY W. ARMSTRONG, JJ., joined.

Daniel Frederick Burette Peel, Memphis, Tennessee, for the appellant, Victoria Haynes.

Kevin D. Bernstein, Memphis, Tennessee, for appellee Benton Ned Bass.

Garry Kevin Grooms, Nashville, Tennessee, for appellee SunTrust Mortgage, Inc.

Melanie M. Stewart and John J. Bennett, Memphis, Tennessee, for appellees Michael Acree and Realty Title & Escrow Co., Inc. OPINION

FACTUAL AND PROCEDURAL BACKGROUND

Victoria Haynes and Benton Ned Bass were married in December 1995 and entered into a postnuptial agreement on December 21, 2007 in Arkansas. The postnuptial agreement provided, in pertinent part, that “the residence being purchased by WIFE in the Memphis, Tennessee area, with the approval of HUSBAND, shall be WIFE‟s sole and separate property, and HUSBAND acknowledges such by his signature on this agreement.” Husband was to be “solely responsible for the Tennessee residence note . . . until the closing and actual receipt of the funds from the sale of Brady Mountain Resort [a piece of marital property „under contract for sale in the near future‟].” Ms. Haynes filed a complaint for divorce against Mr. Bass in Arkansas on December 26, 2007, and a final divorce decree was entered on January 24, 2014.

Ms. Haynes filed the present action on August 27, 2014 against Mr. Bass, SunTrust Mortgage, Inc., Michael Acree, and Realty Title & Escrow Co., Inc., asserting causes of action for fraud, negligent misrepresentation, promissory estoppel, breach of contract, negligence, and civil conspiracy. According to Ms. Haynes‟s complaint, when she and Mr. Bass bought the property in the Memphis area (“the Collierville residence”), he executed deeds of trust prepared by Realty Title as security for promissory notes for $417,000 and $100,000 payable to SunTrust. Ms. Haynes further alleges:

15. . . . Upon information and belief, Benton Ned Bass also forged or caused to be forged the name and initials of Victoria Haynes (Bass) without her knowledge, permission or authorization to the deeds of trust for the Collierville residence, which were then falsely notarized by Michael Acree, an attorney and notary, who upon information and belief, was employed by and/or an agent of Realty Title & Escrow. 16. Upon information and belief, Benton Ned Bass provided false and misleading information in the loan applications for the Collierville residence, including but not limited to misrepresentations regarding his intended occupancy of the house and status of pending litigation, to SunTrust Mortgage, which failed to perform any due diligence to verify the material misrepresentations made by Benton Ned Bass. 17. After the closing and receipt of the funds from the sale of Brady Mountain Resort, Benton Ned Bass refused to convey by quitclaim deed the title to the Collierville residence to Victoria Haynes (Bass) as he had previously promised and represented. 18. In reliance upon the false promises and misrepresentations of Benton Ned Bass regarding the Collierville residence, Victoria Haynes (Bass) incurred significant expenses in the maintenance, upkeep and improvement

-2- of the Collierville residence, including but not limited to certain mortgage payments and property taxes and the installation of a pool, storm doors, cement and air conditioners. ... 21. On February 21, 2014, the Collierville residence was sold to Timothy Renicks and Amy Renicks for $462,000.00, or $223,000.00 less than the purchase price of $685,000.00.

Attached as exhibits to the complaint are the postnuptial agreement and the deeds of trust.

The defendants answered, denying any wrongdoing and asserting affirmative defenses. Mr. Acree and Realty Title alleged collateral estoppel and the prior release of the trust deeds at issue. Attached to their answer are trust deed releases and orders from the Arkansas court that granted the parties a divorce, which include the court‟s finding that Ms. Haynes was in contempt for failure to pay the mortgage and its appointment of a receiver to sell the Collierville property. Mr. Bass made similar arguments, but also pled judicial estoppel, res judicata, issue preclusion, the statute of limitations, and the Full Faith and Credit Clause of the United States Constitution. In its answer, SunTrust raised some of the same defenses and attached a copy of the Arkansas divorce decree, other orders of the Arkansas court, and trust deed releases.

In November 2014, Mr. Acree and Realty Title filed a motion to dismiss for failure to state a claim upon which relief could be granted pursuant to Tenn. R. Civ. P. 12.02(6). They argued that Ms. Haynes had “undergone no harm as a result of Defendants‟ alleged action, and therefore no damages are recoverable.” In addition, Mr. Acree and Realty Title asserted that collateral estoppel and the Full Faith and Credit Clause of the United States Constitution barred further litigation concerning Ms. Haynes‟s rights in the Collierville residence. A few weeks later, SunTrust filed a motion for judgment on the pleadings pursuant to Tenn. R. Civ. P. 12.03 asserting that Ms. Haynes‟s complaint failed to state a claim upon which relief could be granted and that the issues presented had already been adjudicated in the Arkansas divorce action. Attached to the motion were copies of pertinent orders from the Arkansas divorce.

Mr. Bass filed a motion for judgment on the pleadings in January 2015 pursuant to Tenn. R. Civ. P. 12.02(6) and (8) asserting res judicata,1 collateral estoppel, and full faith

1 According to the complaint, a notice of appeal was filed from the Arkansas divorce decree. At oral argument, this Court was informed that the matter had been sent back to the Arkansas trial court, but we do not know whether there is a final order regarding the disposition of the property. We did not, therefore, consider the res judicata and collateral estoppel arguments raised by the defendants in the present appeal because a final judgment is required for both of these defenses. See Patton v. Estate of Upchurch, 242 S.W.3d 781, 787 (Tenn. Ct. App.

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Bluebook (online)
Victoria Haynes v. Benton Ned Bass, Counsel Stack Legal Research, https://law.counselstack.com/opinion/victoria-haynes-v-benton-ned-bass-tennctapp-2016.