Vinson v. Marton & Associates

764 P.2d 736, 159 Ariz. 1, 7 Ariz. Adv. Rep. 46, 1988 Ariz. App. LEXIS 389
CourtCourt of Appeals of Arizona
DecidedAugust 16, 1988
Docket1 CA-CIV 9502
StatusPublished
Cited by31 cases

This text of 764 P.2d 736 (Vinson v. Marton & Associates) is published on Counsel Stack Legal Research, covering Court of Appeals of Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vinson v. Marton & Associates, 764 P.2d 736, 159 Ariz. 1, 7 Ariz. Adv. Rep. 46, 1988 Ariz. App. LEXIS 389 (Ark. Ct. App. 1988).

Opinion

OPINION

KLEINSCHMIDT, Judge.

This is an appeal from summary judgment in favor of defendants in a lawsuit for specific performance of a real estate contract. We must determine (1) whether the sale of the property and the execution of a settlement agreement between some of the parties render this appeal moot, (2) whether a partnership agreement remained effective after the death of some of the original partners, (3) whether the unanimous consent of the partners was required to convey the partnership’s sole asset, and (4) whether either party is entitled to summary judgment. We reverse the judgment and remand for further proceedings because we find disputed issues of material facts.

FACTS AND -PROCEDURAL HISTORY

On an appeal from summary judgment we view the evidence and inferences drawn from the evidence in a light most favorable to the party opposing the motion. Sahf v. Lake Havasu City Ass’n for the Retarded and Handicapped, 150 Ariz. 50, 53, 721 P.2d 1177, 1180 (App.1986). So viewed, the record is as follows.

Marton & Associates was a partnership formed in 1960 for the purpose of buying, selling and exchanging real property. The partnership’s sole asset was a 238 acre parcel of land near Buckeye, Arizona. The original partners were Larry Marton, Larry Melcher, Dr. A.J. Silva, Richard Stephenson, Dr. Franklin Laneback, Robert Creighton, Charles Johnston and Powell Gillenwa-ter. After Dr. Silva’s death, his interest in the property passed by inheritance to Mary Silva, John Silva and the Celeste Silva-Brock Trust; after Dr. Laneback’s death, his interest passed to his widow Phyllis *3 Laneback; and after Powell Gillenwater’s death, his interest passed to Danielle Gil-lenwater-Civer. Robert Creighton’s interest was transferred to the Robert and Catherine Creighton Trust. The record does not disclose what happened to the interests of Richard Stephenson and Charles Johnston.

In November 1985, John Vinson entered into a contract to purchase the parcel of land owned by Marton & Associates. The purchase agreement was signed by Larry Melcher and John Silva for the sellers. Vinson alleged that Melcher, Sil ’a and their realtor, C.B. Stauffer, represented that they were authorized to sign on behalf of the partnership. At the time Melcher signed the contract he held powers of attorney executed in 1979 from Larry Marton, the Creighton Trust and Phyllis Laneback. Stauffer informed Vinson that the land had been listed for sale by the partnership for several years.

Escrow instructions were issued on December 2, 1985, and were signed by Larry Marton, Larry Melcher, Mary Silva, Celeste Silva-Brock, John Silva, Phyllis Laneback, Robert Creighton and Catherine Creighton. Danielle Gillenwater-Civer was the only person with an interest in the property who did not sign the escrow instructions. After the escrow instructions were signed, Stauf-fer presented the partnership with another offer to purchase the property at a higher price. Subsequently, the partnership and the individual partners refused to convey the property to Vinson.

Vinson filed suit alleging two counts for breach of contract against the partnership and the individual partners and seeking specific performance of the contract. Alternatively, Vinson sought damages in a third count against John Silva and Larry Melcher for damages resulting from their having entered into a contract without authority to do so. In count four, the plaintiffs sought damages against Melcher, Silva, Stauffer, and P.R. Powell and Associates, Stauffer’s employer, for false representation.

All parties filed motions and cross motions for summary judgment, and the trial court granted judgment in favor of defendants on the first two counts of the complaint. The judgment contains language making it final and appealable pursuant to Rule 54(b), Arizona Rules of Civil Procedure.

After the appeal relating to counts one and two of the complaint was filed, Vinson, Melcher, Powell and Stauffer entered into a settlement agreement respecting counts three and four. The settlement agreement specifically permitted Vinson to proceed with his appeal on counts one and two. Vinson agreed to release Melcher, Stauffer and Powell from any liabilities arising from the sale of the property at issue and not to sue Melcher individually or as a partner in Marton & Associates under counts one and two of the complaint. It permits Vinson to do whatever is necessary to preserve his rights to proceed against the other defendants under counts one and two of the complaint. Silva and his wife refused to enter into the settlement agreement.

MOOTNESS

Marton & Associates and the individual partners filed a motion to dismiss the appeal on grounds of mootness because the property at issue was sold to a third party on June 29, 1987. [Hereinafter all appel-lees will be referred to as Marton & Associates unless the context requires a distinction of separate interests.] Vinson responded, arguing that relief should still be available to him in the form of damages if he prevails on appeal. This court took the motion under advisement for consideration with the appeal.

The judgment that is the subject of this appeal dismissed counts one and two of Vinson’s complaint, which alleged breach of contract and sought specific performance against Marton & Associates and the individual partners. Vinson filed a motion in the trial court to amend the complaint to seek damages on the same breach of contract theories and to add a misrepresentation claim against Melcher, Silva and Stauf-fer. The trial court denied the motion as to those portions of the complaint covered by the summary judgment that was on appeal *4 but permitted other amendments. The counts remaining for resolution by the trial court pertain to the claims for damages against Melcher, Silva and Stauffer.

Vinson did not file the $445,000 superse-deas bond necessary to stay that portion of the judgment expunging the lis pendens on the property. The record suggests that Vinson was financially unable to do so. The property was sold during the pendency of this appeal.

In addition to opposing the motion to dismiss, Vinson filed a motion in this court for leave to amend his complaint to seek damages as an alternative to specific performance. This court denied the motion, indicating that the motion should be addressed to the trial court judge.

A decision becomes moot for purposes of appeal where as a result of a change of circumstances before the appellate decision, action by the reviewing court would have no effect on the parties. Arizona State Bd. of Directors for Junior Colleges v. Phoenix Union High School Dist., 102 Ariz. 69, 73, 424 P.2d 819, 823 (1967). Marton & Associates contends that the sale of the property leaves Vinson without a remedy. It relies in part on Canton v. Monaco Partnership, 156 Ariz. 468, 753 P.2d 158 (App. 1987) to support this position.

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Cite This Page — Counsel Stack

Bluebook (online)
764 P.2d 736, 159 Ariz. 1, 7 Ariz. Adv. Rep. 46, 1988 Ariz. App. LEXIS 389, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vinson-v-marton-associates-arizctapp-1988.