Attorneys--malpractice--failure to state a claim upon which relief could be granted
The trial court did not err by granting a dismissal under N.C.G.S. § 1A-1, Rule 12(b)(6)
in a legal malpractice action arising from an equitable distribution case where plaintiff's claims
for dereliction of professional duty were time barred by N.C.G.S. § 1-15(c), the actions cited by
plaintiff as fraudulent do not allege the elements of either actual or constructive fraud,
allegations of breach of fiduciary duty were nothing more than claims of ordinary legal
malpractice which were time barred, and professional services are expressly excluded from the
definition of commerce in N.C.G.S. § 75-1.1(b).
Appeal by plaintiff from judgment entered 28 October 1997 by
Judge Clifton W. Everett, Jr. in Dare County Superior Court.
Heard in the Court of Appeals 17 November 1998.
Linda R. Sharp, pro se.
Hornthal, Riley, Ellis & Maland, L.L.P., by L.P. Hornthal,
Jr., for defendants-appellees Carole S. Gailor; Womble
Carlyle Sandridge & Rice, PLLC; Gailor & Associates, PLLC;
Marilyn Forbes; and A. Elizabeth Barnes.
Baker, Jenkins, Jones & Daly, P.A., by Ronald G. Baker and
Roger A. Askew, for defendants-appellees Karen Britt Peeler,
John Hester, and Lawyers Mutual Liability Insurance Company
of North Carolina.
LEWIS, Judge.
Plaintiff filed her original complaint in this case on 26
November 1996 and an amended complaint on or about 27 May 1997.
According to her amended complaint, plaintiff separated from her
husband on 23 January 1984. She hired D. Keith Teague, Esq. to
represent her in the ensuing action for equitable distribution.
Mr. Teague withdrew on 3 July 1989. He was replaced by defendant
Carole Gailor, Esq., who was then a partner with defendant Womble
Carlyle Sandridge & Rice ("Womble Carlyle"). On or about 21
September 1989, plaintiff, Gailor, and Womble Carlyle entered
into a retainer agreement under which Gailor and Womble Carlyle
were to represent plaintiff in the equitable distribution case. An equitable distribution hearing was held from 5 August
1991 to 11 August 1991 before a referee in Dare County.
Plaintiff was apparently represented by defendants Gailor,
Marilyn Forbes, Esq., and A. Elizabeth Barnes, Esq.; it appears
that Ms. Forbes and Ms. Barnes were associates with Womble
Carlyle. Judgment in the equitable distribution was entered 19
April 1993, and some associates with Womble Carlyle, including
defendant Barnes, prepared an appellate brief and record and
filed it on 4 October 1993. In an opinion filed 18 October 1994,
a unanimous panel of this Court affirmed the order of equitable
distribution, and the Supreme Court subsequently denied
discretionary review. Sharp v. Sharp, 116 N.C. App. 513, 449
S.E.2d 39, disc. review denied, 338 N.C. 669, 453 S.E.2d 181
(1994).
Plaintiff's amended complaint alleges, in eleven separate
counts, misfeasance and nonfeasance by the defendants in
connection with plaintiff's equitable distribution case. On
defendants' motion, the trial court dismissed all of plaintiff's
claims for failure to state a claim upon which relief can be
granted. See N.C.R. Civ. P. 12(b). Plaintiff appeals.
Our review of the trial court's decision is limited to those
arguments which plaintiff has chosen to make in her appellate
brief. The function of all briefs required or
permitted by these rules is to define clearly
the questions presented to the reviewing
court and to present the arguments and
authorities upon which the parties rely in
support of their respective positions
thereon. Review is limited to questions so
presented in the several briefs.
N.C.R. App. P. 28(a).
Plaintiff's first argument is that her claims for legal
malpractice should have withstood defendants' motion to dismiss.
North Carolina General Statutes section 1-15(c) (1996) provides,
Except where otherwise provided by statute, a
cause of action for malpractice arising out
of the performance of or failure to perform
professional services shall be deemed to
accrue at the time of the occurrence of the
last act of the defendant giving rise to the
cause of action . . . .
Plaintiff filed her complaint on 26 November 1996. Her legal
malpractice claims are barred unless they are supported by acts
or omissions occurring after 26 November 1993.
On pages eight and nine of her brief, plaintiff argues that
the following acts and/or omissions by some of the defendants,
alleged in her amended complaint as having occurred after 26
November 1993, constitute legal malpractice: (1) The failure of
defendants Gailor, Womble Carlyle, Barnes, and Forbes to correct
material errors in the appeal they had prepared and filed with
this Court on 4 October 1993; (2) billing plaintiff for the preparation of her appeal; (3) reviewing the opinion this Court
filed 18 October 1994, in the case Sharp v. Sharp; (4) billing
plaintiff for reviewing this Court's opinion in Sharp v. Sharp;
(5) preparing a motion for discretionary review on 22 November
1994; (6) failing to ask this court for a rehearing; and (7)
defendant Gailor's "fail[ing] to follow the judgment handed down
and affirmed by the NC [sic] Court of Appeals" and "ma[king] a
'deal' which was not favorable to Plaintiff with the attorney for
Plaintiff's ex-husband" on 6 March 1995. For this last item,
plaintiff cites Paragraphs 5C, 5D, and 5E of her Eleventh Count,
titled "Fraud."
Items (2) through (6) are clearly not actionable as legal
malpractice; nothing in any of these acts or omissions, as
alleged, is a dereliction of professional duty. Neither is item
(1) an omission constituting legal malpractice. There is no
provision in the Rules of Appellate Procedure which permits an
appellant to unilaterally correct or augment his brief after it
has been filed. Nor is there any rule in this state that
expressly authorizes an appellant to move an appellate court for
permission to correct or augment his brief. In fact, Rule of
Appellate Procedure 28(g), which permits a party to supply an
appellate court with a memorandum of additional authority
discovered by the party after the brief is filed, expressly prohibits the use of the memorandum "for additional argument."
Thus, once plaintiff's appellate brief in the case Sharp v. Sharp
was filed, nothing could be done to "correct" it; the matter was
out of defendants' hands. Any malpractice claim based on the
erroneous preparation of that brief is based on acts or omissions
that occurred on or before October 1993, so the claim is barred
by G.S. 1-15(c).
As noted above, item (7) is presented as a claim of fraud in
plaintiff's complaint. The paragraphs cited by plaintiff,
however, do not allege the elements of either actual or
constructive fraud. See Terry v. Terry, 302 N.C. 77, 82-83, 273
S.E.2d 674, 677 (1981). Plaintiff comes closer to alleging
constructive fraud than actual fraud, but what is missing is any
allegation that Gailor took advantage of her position of trust
for the purpose of benefiting herself. See Barger v. McCoy
Hilliard & Parks, 346 N.C. 650, 666, 488 S.E.2d 215, 224 (1997).
Thus, the acts alleged in item (7) fail to state a claim for
fraud.
Plaintiff next argues that her claims of breach of fiduciary
duty are claims for which relief can be granted. The acts and
omissions upon which her claims of breach of fiduciary duty are
based include the following: failing to protect real property
marital assets "by filing a lis pendens" [sic], failing to pursue a timely settlement of the equitable distribution case, entering
into pretrial stipulations to plaintiff's detriment, failing to
offer material evidence in plaintiff's favor, delaying
plaintiff's trial, failing to review the credentials of an expert
witness hired to testify on plaintiff's behalf, failing to ensure
the presence of an expert witness at trial, failing to prepare an
adequate appellate brief. As these examples show, plaintiff's
claims of breach of fiduciary duty are nothing more than claims
of ordinary legal malpractice, which, as we have said, are barred
by the statute of limitations.
Finally, plaintiff alleges that her claims of unfair and
deceptive trade practices are claims for which relief can be
granted. These claims are not recognized by statute. While the
General Assembly has declared unfair and deceptive practices "in
or affecting commerce" to be unlawful, N.C. Gen. Stat. § 75-
1.1(a) (1994), it has expressly excluded the rendition of
professional services by a member of a learned profession from
the definition of "commerce." G.S. 75-1.1(b). Plaintiff argues
that we should "giv[e] her the right to sue under the state's
Unfair and Deceptive Trade Practices Act," but as judges, we
should not and will not rewrite a law enacted by our state
legislature.
Affirmed.
Judges GREENE and HUNTER concur.
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