Young Construction, Inc. v. Old Hickory House 3, Inc.

436 S.E.2d 581, 210 Ga. App. 559, 93 Fulton County D. Rep. 3720, 1993 Ga. App. LEXIS 1259
CourtCourt of Appeals of Georgia
DecidedOctober 14, 1993
DocketA93A1990
StatusPublished
Cited by14 cases

This text of 436 S.E.2d 581 (Young Construction, Inc. v. Old Hickory House 3, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Young Construction, Inc. v. Old Hickory House 3, Inc., 436 S.E.2d 581, 210 Ga. App. 559, 93 Fulton County D. Rep. 3720, 1993 Ga. App. LEXIS 1259 (Ga. Ct. App. 1993).

Opinion

Birdsong, Presiding Judge.

Appellant/plaintiff Young Construction, Inc. has filed a notice of appeal to appeal directly the order of the superior court granting defendant’s motion to set aside (default) judgment. However, the notice states: “Since the order was interlocutory in nature it was not appeal-able until a final decision issued in the case. [Cit.] This notice of appeal is filed within thirty (30) days of the entry of the final decision in the case.” Appellant has filed no amended notice of appeal.

Appellant/plaintiff filed suit to foreclose on a mechanics lien, and served appellee with process using substituted service on the secretary at appellee’s principal office. See generally OCGA § 14-2-504. Appellee failed to answer the complaint and appellant obtained a default judgment. Appellee moved to have the default judgment set aside (OCGA § 9-11-60 (d) (2)) and default opened (see generally OCGA § 9-11-55 (b)). The trial court entered an order that, inter alia, set aside and vacated the default judgment, and opened appellee’s default in failing to answer appellant’s complaint. Appellant filed a timely application for interlocutory review that was denied. Subsequently, the trial court issued an order granting appellee’s motion for summary judgment. Held:

1. Unlike Whiddon v. Stargell, 192 Ga. App. 826 (386 SE2d 884), the notice of appeal in this case does not clearly reflect on its face that the appeal is being taken from a non-appealable order, as the notice states it is being timely filed after the entry of the “final decision” in the case. The record reveals that the final decision referred to is a grant of motion for summary judgment and is directly appealable pursuant to OCGA § 9-11-56 (h). Construing the notice of appeal liberally, as we are required to do (OCGA § 5-6-30; see OCGA § 5-6-48 (f)), we find appellant filed a notice of appeal both from the order setting aside default judgment and from the order granting summary judgment to appellee/defendant. Thus, having filed a notice of appeal from the grant of summary judgment, appellant can also appeal the order setting aside the default judgment. OCGA § 5-6-34 (d); cf. Segrest v. Intown True Value Hardware, 190 Ga. App. 588 (1) (379 SE2d 615). Accordingly, we will assume appellate jurisdiction notwithstanding that the only errors enumerated are those pertaining to the setting aside of the default judgment.

2. The first ground for this appeal has been clarified by appellant *560 as follows: “The first ground is that the trial court was not empowered to set aside a default judgment on the grounds of a mutual mistake under OCGA § 9-11-60 (d) (2).”

(a) Although appellant contends the trial court ruled from the bench that the default judgment was based on mutual mistake, the written order subsequently entered was expressly based on other grounds. The order, as entered, stated: “The court finds that the failure of [appellee/defendant] to appear was the result of accident or mistake or other acts on the part of [appellant/plaintiff]. . . . The court further finds excusable neglect on the part of [appellee/defendant] in failing to file an answer to [appellant/plaintiff’s] complaint within the time allowed by law, and, finds from all the facts, that a proper case has been made for the default to be opened.”

The page of the hearing transcript cited by appellant does not support its claim that the trial court set aside the default judgment on the grounds of “mutual mistake.” At most it reflects that the trial court recognized there had been some form of “misunderstanding between [the] lawyers.” A misunderstanding can occur under circumstances other than that of “mutual mistake.” Additionally assuming arguendo that the trial court had orally and unequivocally announced the basis of its ruling as “mutual mistake,” it is well settled that “ ‘[w]hat the judge orally declares is no judgment until it has been put in writing and entered as such.’ ” Williams v. City of LaGrange, 213 Ga. 241, 242 (1) (98 SE2d 617). The trial court entered no order setting aside default judgment on the ground of mutual mistake; appellant’s contention that the trial court so erred is without merit.

(b) Appellant states its second ground for appeal “is that the trial court was completely erroneous in finding that the default judgment was not based on the negligence of the appellee in failing to maintain a registered agent as required under Georgia corporate law and other acts of negligence.”

In support of this contention, appellant argues that the trial court’s order failed to comply with the requirements of OCGA § 9-11-60 (d). Rather than concluding that the default “judgment [was] based upon” accident, mistake or the acts of the adverse party, it was merely concluded that the “failure of [appellee] to appear [at the hearing] was the result of accident or mistake or other acts on the part of [appellant] unmixed with the negligence or fault of [appellee].” Examining the order in its totality, we find that the order of the trial court, at a minimum, was in substantial compliance (OCGA § 1-3-1 (c)) with the requirements of OCGA § 9-11-60 (d). However, for reasons hereinafter discussed, the trial court was empowered to set aside default judgment without complying with the substantive provisions of OCGA § 9-11-60 (d).

“[A] judgment right for any reason must be affirmed.” Shapiro v. *561 Lipman, 259 Ga. 85, 86 (377 SE2d 673). In this case, the trial court set aside the default judgment based on a proper motion duly filed within the same term of court. The trial court in its order also found the following facts: appellee paid the requisite costs in this action, set up a meritorious defense, offered to plead instanter, filed a proposed answer with its motion, and announced it was ready to proceed to trial. These findings have not been timely contested, and any issue pertaining thereto has been abandoned. Court of Appeals Rule 15 (c) (2).

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Bluebook (online)
436 S.E.2d 581, 210 Ga. App. 559, 93 Fulton County D. Rep. 3720, 1993 Ga. App. LEXIS 1259, Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-construction-inc-v-old-hickory-house-3-inc-gactapp-1993.