HomeMy WebLinkAbout2001-6322 Civil
DONALD E. ADAMS AND
CATHY A. ADAMS, his wife,
PLAINTIFFS
IN THE COURT OF COMMON
PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
V.
MARY LOUISE RAMSAY WOLF,
RICHARD W. RAMSAY,
LARRY M. RAMSAY,
MARGHERITA R. RAMSAY,
LYNN ANN WHITE tld/b/a
W. R. RAMSAY PROPERTY AND
RENTALS,
DEFENDANTS
01-6322 CIVIL TERM
IN RE: MOTION OF MARY LOUISE RAMSAY WOLF FOR POST-TRIAL RELIEF
OPINION AND ORDER OF COURT
Bayley, J., July 12, 2006:--
A bench trial was conducted on March 22, 2006, on a claim by plaintiffs against
defendants for breach of a settlement agreement. On March 27, 2006, the court
entered the following verdict which was supported by a written opinion.
(1) In favor of Donald E. Adams and Cathy A. Adams against Mary
Louise Ramsay Wolf.
(2) Damages are awarded to Donald E. Adams and Cathy A.
Adams against Mary Louise Ramsay Wolf in the amount of $27,500, plus
legal interest from February 5, 1999.
(3) I find in favor of Richard W. Ramsay, Larry M. Ramsay, and
Lynn Ann White.
Pursuant to Pa. Rule of Civil Procedure 227.1, defendant, Mary Louise Ramsay
Wolf, filed a timely motion for post-trial relief. The issues have been briefed and
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argued. The opinion filed on March 27,2006, is incorporated herein and made a part
of this opinion.
Mary Louise Ramsay Wolf seeks an order vacating the verdict and the entry of a
judgment in her favor. Citing Reutzel v. Douglas, 870 A.2d 787 (Pa. 2005), she
maintains that there was insufficient evidence for the court to enter an award against
her. In Reutzel, the Supreme Court of Pennsylvania held that an attorney may only
bind a client to the terms of a settlement based on express authority.
As set forth in the prior opinion, on December 19, 1998, attorney Charles H.
Stone, representing the Ramsays, wrote to attorney Marcus A. McKnight, who
represented the Adams:
This will confirm our telephone conversation of December 18,
1998.
I propose to settle the dispute between the Ramsays and the
Adams's as follows:
A. The Ramsays will pay the sum of $27,500 to Mr. and Mrs.
Adams.
B. Mr. and Mrs. Adams will deliver general releases to Richard
Ramsay, Larry Ramsay and spouse, Lynn Ann White and spouse,
and Mary Lou Wolf. They would in turn release the Adams's.
C. This offer is contingent upon Mary Lou Wolf's purchase of
the property and her supplying the funds for this settlement, which
she has orally agreed to do. Should she not fulfill this promise and
not purchase the property, the offer would be withdrawn. We have to
put a time limit on such an arrangement, and I am suggesting Jan. 31,
1999.
If you find this satisfactory, please advise with some writing that
I can display to other counsel involved in the transaction. (Emphasis
added. )
McKnight then wrote Stone, stating: "This letter is to confirm that we have settled
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the case. . . ." At trial, Stone testified that, "I was told to prepare a release because I
was told the matter had been settled and the money would be forthcoming. . . the sum
of $27,500. . .." He further testified:
I had authority to pay the money. I didn't have the money, and
where the money was coming from is a further question. But I had
authority to settle the case for $27,500, but it was a conditional approval
or permission.
My understanding, based on my conversation with my clients, was
that Mrs. Wolf would supply the money but I didn't speak with her since
she was not my client so I don't know what those conversations were
specifically.
Richard Ramsay testified on direct examination that there was a settlement
agreement reached so the property could be conveyed to his sister. She would pay the
$27,500 to the Adamses. Otherwise, he would not have participated in conveying the
property to his sister. On cross-examination, he testified that he did not authorize
Stone to make a settlement of $27,500.
In finding in favor of plaintiffs against Mary Louise Ramsay Wolf and awarding
damages in the amount of $27,500, we stated in the prior opinion:
Based on the evidence, and the reasonable inferences to be drawn
therefrom, we find that the four siblings agreed that a $27,500 settlement
be made with the Adams to be paid by Wolf, and that they would then
settle on their $1,400,000 sale to Wolf. Richard Ramsay conveyed those
terms to attorney Stone, Stone conveyed them to McKnight. The General
Release was prepared by Stone releasing the four siblings, which was
forwarded to Cheyney. Cheyney returned the Release to Stone with a
suggested change which Stone put in the Release.
The offer made by Stone to McKnight was specifically contingent upon Wolf
supplying the funds for the settlement. Wolf did not supply those funds. Upon further
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review, we conclude that Stone did not have express authority to bind Wolf, nor did
Richard Ramsay. Although Wolf's attorney, Curtis Cheyney, made a change to the
release, the release did not set forth that the $27,500 was to be paid by Mary Wolf
alone. Furthermore, there is no evidence that Cheyney had express authority to bind
Wolf to pay the $27,500. Accordingly, although we are satisfied, as we stated in the
opinion in support of the verdict, that the reasonable inferences to be drawn from the
evidence was that the siblings agreed that a $27,500 settlement would be made with
the Adamses to be paid by Wolf, there is insufficient evidence to conclude that the offer
of settlement by Stone to McKnight, which was accepted but which was specifically
contingent upon Wolf making the payment herself, was binding on Wolf.
A post-verdict judgment can be entered if the movant is entitled to judgment as a
matter of law, or the evidence was such that no two reasonable minds could disagree
that the outcome should have been rendered in favor of the movant. Kiker v.
Pennsylvania Financial Responsibility Assigned Claims Plan, 742 A.2d 1082 (Pa.
Super. 1999). For the foregoing reasons, the following order is entered.1
ORDER OF COURT
AND NOW, this
day of July, 2006:
(1) The verdict entered on March 27,2006, IS VACATED.
(2) Judgment is entered in favor of Mary Louise Ramsay Wolf.
1 This resolution makes it unnecessary to discuss the other issues raised in Wolf's
post-trial motion.
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George B. Faller, Jr., Esquire
For Plaintiffs
Curtis P. Cheyney, III, Esquire
1601 Market Street, 34th Floor
Philadelphia, PA 19103
For Mary Louise Ramsay Wolf
:sal
By the Court,
Edgar B. Bayley, J.
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DONALD E. ADAMS AND
CATHY A. ADAMS, his wife,
PLAINTIFFS
IN THE COURT OF COMMON
PLEAS OF CUMBERLAND COUNTY,
PENNSYLVANIA
V.
MARY LOUISE RAMSAY WOLF,
RICHARD W. RAMSAY,
LARRY M. RAMSAY,
MARGHERITA R. RAMSAY,
LYNN ANN WHITE tld/b/a
W. R. RAMSAY PROPERTY AND
RENTALS,
DEFENDANTS
01-6322 CIVIL TERM
IN RE: MOTION OF MARY LOUISE RAMSAY WOLF FOR POST-TRIAL RELIEF
ORDER OF COURT
AND NOW, this
day of July, 2006:
(1) The verdict entered on March 27,2006, IS VACATED.
(2) Judgment is entered in favor of Mary Louise Ramsay Wolf.
By the Court,
Edgar B. Bayley, J.
George B. Faller, Jr., Esquire
For Plaintiffs
Curtis P. Cheyney, III, Esquire
1601 Market Street, 34th Floor
Philadelphia, PA 19103
For Mary Louise Ramsay Wolf
:sal