ROBERT R. DEMPSEY,
in his own behalf, and
as Power of Attorney
for MARGARET M. DEMPSEY
and CHARLES H. DEMPSEY,
Plaintiffs,
v
.
Polk County
00 CVS 160
JOHNNY'S MOBILE HOME
SERVICE OF ASHEVILLE,
INC., LIBERTY HOMES,
INC. and CONSECO FINANCE
SERVICING CORP.,
Defendants.
Sutton & Edmonds, by John R. Sutton, Sr. and April Burt Sutton
for defendant-appellant.
Baiba Bourbeau for plaintiff-appellee.
WYNN, Judge.
This appeal presents one issue: Did the trial court abuse its
discretion by granting Rule 60(b) relief based on plaintiff's
inadvertent voluntary dismissal of Johnny's Mobile Home Service of
Asheville, Inc. We find no abuse of discretion and, therefore,
affirm the trial court's order. The underlying facts of this case tend to show that plaintiff
brought an action against three defendants alleging negligence and
twelve other causes of action. Plaintiff reached settlement
agreements with two defendants, Liberty Homes, Inc. and Conseco
Finance Servicing Corporation. Following the settlement agreement
with Liberty, plaintiff filed a voluntary dismissal with prejudice
on 20 September 2001. However, in the voluntary dismissal,
plaintiff failed to specify that the dismissal was only operative
as to one of the two remaining defendants, Liberty.
Recognizing the error, Johnny's Mobile Home Service made
motions to dismiss, to remove from trial calendar, and to withdraw
arguing that the Voluntary Dismissal with Prejudice filed by the
Plaintiffs on September 20, 2001, did effectuate a final
adjudication of the merits. In response, plaintiff's attorney
filed an affidavit noting the intentions of the parties, the
history of the negotiations, and that a cover sheet, submitted in
conjunction with the voluntary dismissal, clearly specified that
the dismissal was against Liberty only. Moreover, during the
hearing below, plaintiff made an oral Rule 60(b) motion to have the
dismissal set aside, as to Johnny's Mobile Home Service, due to
mistake, excusable neglect or inadvertence.
After hearing the arguments, the trial court concluded that:
It appears that negotiations occurred between
plaintiff and defendant Liberty as to the
dismissal of the action to one defendant. A
settlement was reached, monies paid, and
attorney Massagee [Liberty's attorney]
prepared a Dismissal with Prejudice that not
only failed to identify that the dismissal was
to his client only, but also was silent as towhether the dismissal applied to all
defendants. That the Court in his discretion
finds that the dismissal applied to Liberty
Homes, Inc. only and that the remaining
defendant was not included.
From this order granting plaintiff relief under Rule 60(b),
Johnny's Mobile Home Service appeals.
Rule 60(b) is consistently described as a grand reservoir of
equitable power through which courts grant relief from judgments
whenever extraordinary circumstances exist and justice demands it.
Barnes v. Taylor, 148 N.C. App. 397, 400, 559 S.E.2d 246, 248-49
(2002). Rule 60(b) provides that [o]n motion and upon such terms
as are just, the court may relieve a party or his legal
representative from a final judgment, order, or proceeding for the
following reasons: Mistake, inadvertence, surprise, or excusable
neglect. N.C. Gen. Stat. § 1A-1, Rule 60(b) (2001).
(See footnote 1)
When
reviewing a trial court's equitable discretion under Rule 60(b)(6),
[o]ur Supreme Court has indicated that this Court cannot
substitute 'what it consider[s] to be its own better judgment' for
a discretionary ruling of a trial court, and that this Court should
not disturb a discretionary ruling unless it 'probably amounted to
a substantial miscarriage of justice.' State ex rel.
Environmental Management Comm'n v. House of Raeford Farms, Inc., 101 N.C. App. 433, 448, 400 S.E.2d 107, 117 (1991)(quoting
Worthington v. Bynum, 305 N.C. 478, 486-87, 290 S.E.2d 599, 604-05
(1982)). Accordingly, when considering an appeal of a Rule 60(b)
motion order, appellate review is limited to determining whether
the court abused its discretion. Sink v. Easter, 288 N.C. 183,
198, 217 S.E.2d 532, 541 (1975).
In the case sub judice, the trial court ruled that plaintiff's
carelessness and negligence was the result of excusable neglect and
inadvertence. Although negligence and carelessness can support
Rule 60(b)[] relief, it is only when such neglect or carelessness
is excusable. Couch v. Private Diagnostic Clinic, 133 N.C. App.
93, 102-03, 515 S.E.2d 30, 37-8 (1999). Moreover,
The determination of whether a particular act
of negligence or carelessness is excusable
requires consideration of any relevant
circumstance, including: (1) the danger of
prejudice to the adverse party; (2) the length
of any delay caused by the neglect and its
effect on the proceedings; (3) the reason for
the neglect, including whether it was within
the reasonable control of the moving party;
and (4) whether the moving party acted in good
faith.
Id. (citations omitted).
The evidence is the record sustains the trial court's findings
that plaintiff's negligence was the result of excusable neglect.
For instance, plaintiff negotiated a settlement with Liberty;
Liberty's counsel prepared the voluntary dismissal; the dismissal
was not intended to release Johnny's Mobile Home Service from
liability; and a cover sheet, attached to the voluntary dismissal,
specifically supported these propositions. Moreover, evidence inthe record indicates that Johnny's Mobile Home Service was not
prejudiced by plaintiff's negligence. This lack of prejudice is
demonstrated by Johnny's Mobile Home Service's continuation of
discovery through 14 November 2001 even though plaintiff filed the
voluntary dismissal on 20 September 2001. Finally, the trial
court's order is in accord with Carter v. Clowers, 102 N.C. App.
247, 401 S.E.2d 662 (1991), where this Court affirmed a trial
court's decision to grant a Rule 60(b) motion upon plaintiff's
inadvertent voluntary dismissal with respect to one defendant.
Accordingly, we hold that the record does not reflect an abuse of
discretion and, therefore, we find no error.
No Error.
Judges TIMMONS-GOODSON and HUNTER concur.
Report per Rule 30(e).
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