This appeal arises from the trial court's award of an
attorney's fee to plaintiff's counsel under N.C. Gen. Stat. § 6-
21.1 (2001) six years after obtaining a jury verdict in a personal
injury action. On appeal, defendant's counsel argues that based on
the delay of six years, the trial court abused its discretion by
finding that plaintiff's counsel did not waive, by implication, his
right to an attorney's fee. We find no abuse of discretion and,
therefore, affirm the order of the trial court.
On 13 June 1995, based on a jury's verdict in favor of
plaintiff, the trial court entered judgment for $4,600 and taxed
defendant with costs, including plaintiff's attorney's fee in anamount to be set at a later date.
On 23 August 1996, plaintiff's counsel contacted defense
counsel by letter requesting a fee offer. An offer was made,
several letters were exchanged, but no settlement was reached. On
19 May 1997, plaintiff's counsel requested a hearing for 5 June
1997, before Superior Court Judge C. Preston Cornelius, to resolve
the fee issue. On 21 May 1997, defense counsel sent a letter to
Judge Cornelius explaining his longstanding plans to take a fishing
trip on the North Carolina coast on 5 June 1997. Plaintiff's
counsel acquiesced, and the hearing was not held on 5 June 1997.
At that time, neither plaintiff nor defense counsel requested to
schedule another hearing.
Over the next three years it is unclear when, what, or if
communications occurred between counsel. However, on 11 October
2000, plaintiff's counsel telephoned defense counsel stating he
wanted to schedule a hearing in the near future because of Judge
Cornelius' impending retirement. On 28 September 2001, a hearing
was held before Judge Cornelius to resolve the matter. At that
hearing, defendant's primary position . . . [was] simply that
there [had] been an implied waiver of the request of plaintiff's
counsel for an attorney fee. The trial court, however, held that
plaintiff's attorney has not waived any right, and awarded
plaintiff's attorney a fee of $7,000. From this order, defendant
appeals.
We note, at the onset, that defendant does not challenge the
trial court's initial substantive findings that plaintiff'sattorney was entitled to attorney's fees or the award of attorney's
fees in the amount $7,000. Rather, defendant simply argues, by
five assignments of error, that plaintiff's counsel waived his
right to an attorney's fee by implication, and that, consequently,
the judge erred in not finding such a waiver.
The decision to allow attorney's fees is in the discretion of
the presiding judge, and is reversible by an appellate court only
for abuse of discretion.
Davis v. Kelly, 147 N.C. App. 102, 106,
554 S.E.2d 402, 405 (2001). Abuse of discretion results where the
court's ruling is manifestly unsupported by reason or is so
arbitrary that it could not have been the result of a reasoned
decision.
Blackmon v. Bumgardner, 135 N.C. App. 125, 130, 519
S.E.2d 335, 338 (1999) (citations omitted).
(See footnote 1)
Waiver is an affirmative defense which 'must be pled with
certainty and particularity.'
Taha v. Thompson, 120 N.C. App.
697, 702, 463 S.E.2d 553, 556 (1995) (quoting
Duke University v.
St. Paul Mercury Ins. Co., 95 N.C. App. 663, 673, 384 S.E.2d 36, 42
(1989)). Waiver by implication is not looked upon with favor by
the courts; in fact, every reasonable intendment will be indulged
against the waiver of fundamental rights, the courts never
presuming acquiescence in their loss.
Chemical Bank v. Belk, 41
N.C. App. 356, 366, 255 S.E.2d 421, 428 (1979). Accordingly, [t]o
prove that a party has waived [a] right . . . the opposing party
must produce evidence that there was 'an intention to relinquish a
right, advantage, or benefit . . . implied from acts or conduct
that naturally lead the [opposing] party to believe that the right
has been intentionally given up.'
Barclays Bank PLC v. Johnson,
129 N.C. App. 370, 373, 499 S.E.2d 768, 770 (1998) (quoting
Klein
v. Avemco Insurance Co., 289 N.C. 63, 68, 220 S.E.2d 595, 599
(1975)). Thus, [w]aiver is an intentional relinquishment or
abandonment of a known right or privilege.
Medearis v. Trusteesof Meyers Park Baptist Church, 148 N.C. App. 1, 10, 558 S.E.2d 199,
206 (2001).
Here, the six-year delay between judgment and award is the
only evidence in the record supporting a theory that plaintiff's
attorney intended to waive his right to a fee. However, the trial
court concluded that this evidence was insufficient to establish an
implied waiver. The trial court based this conclusion on
plaintiff's counsel's attempt to negotiate a settlement on 25
September 1996, to schedule a hearing on 5 June 1997, and his
scheduling of a second hearing on 28 September 2001. From this
evidence, we cannot conclude that the court's ruling [was]
manifestly unsupported by reason or [was] so arbitrary that it
could not have been the result of a reasoned decision.
Accordingly, the trial court did not abuse its discretion by not
finding waiver by implication, and, therefore, we find no error.
Affirmed.
Judges TIMMONS-GOODSON and HUNTER concur.
Report per Rule 30(e).
Footnote: 1 The general rule in North Carolina is that in the absence
of contractual obligation or statutory authority, a successful
litigant may not recover attorney's fees as damages or a part of
the court costs.
Davis v. Kelly, 147 N.C. App. 102, 105, 554
S.E.2d 402, 404 (2001). In the case
sub judice, however, the
trial court awarded attorney's fees pursuant to N.C. Gen. Stat. §
6-21.1 (2001), which provides:
In any personal injury or property damage
suit, or suit against an insurance company
under a policy issued by the defendant
insurance company and in which the insured or
beneficiary is the plaintiff, upon a finding
by the court that there was an unwarranted
refusal by the defendant insurance company to
pay the claim which constitutes the basis of
such suit, instituted in a court of record,
where the judgment for recovery of damages is
ten thousand dollars ($10,000) or less, the
presiding judge may, in his discretion, allow
a reasonable attorney fee to the duly
licensed attorney representing the litigant
obtaining a judgment for damages in said
suit, said attorney's fee to be taxed as a
part of the court costs.
Moreover, in Robinson v. Shue, 145 N.C. App. 60, 64, 550
S.E.2d 830, 833 (2001), we held that:
The purpose of N.C. Gen. Stat. § 6-21.1 is
to provide relief for a person who has
sustained injury or property damage in an
amount so small that, if he must pay his
attorney out of his recovery, he may well
conclude that it is not economically feasible
to bring suit on his claim. . . . This
statute, being remedial, should be construed
liberally to accomplish the purpose of the
Legislature and to bring within it all cases
fairly falling within its intended scope.
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