SIGNATURE DISTRIBUTION SERVICES,
INC.,
Plaintiff,
v
.
Mecklenburg County
No. 02 CVS 19415
JAMES E. WRIGHT, GREGORY J.
GODLEY, KENNETH E. DAVIS, JR.,
EACH INDIVIDUALLY AND AS
GENERAL PARTNERS OF CAROLINAS
CHOICE DISTRIBUTION, A NORTH
CAROLINA GENERAL PARTNERSHIP,
AND CAROLINAS CHOICE DISTRIBUTION,
A NORTH CAROLINA GENERAL
PARTNERSHIP,
Defendants,
GREGORY J. GODLEY, CAROLINAS
CHOICE DISTRIBUTION, A NORTH
CAROLINA GENERAL PARTNERSHIP
AND CAROLINAS CHOICE DISTRIBUTION,
LLC,
Third Party
Plaintiffs,
v.
SIGNATURE DISTRIBUTION SERVICES,
INC., CECIL M. FOREHAND, BRADY
BUCKLEY,
Third Party
Defendants.
Wishart, Norris, Henninger & Pittman, P.A., by June K. Allison
and David C. Boggs, for plaintiff-appellant.
Horack, Talley, Pharr & Lowndes, P.A., by Henry N. Pharr III
and John W. Bowers, for defendant-appellees Gregory J. Godley,
Carolinas Choice Distribution, a North Carolina General
Partnership, and Carolinas Choice Distribution, LLC.
WYNN, Judge.
The choice of sanctions under Rule 37 is within the trial
court's discretion and will not be overturned on appeal absent a
showing of abuse of that discretion. Becker v. Pierce, 168 N.C.
App. 671, 678, 608 S.E.2d 825, 830 (2005). In this appeal,
Defendants argue that the trial court erred (1) in imposing
sanctions and (2) in awarding $5000.00 in attorneys' fees as
sanctions. Because Defendants' assignment of error regarding
sanctions does not reference the order for sanctions,
(See footnote 1)
we must
dismiss that appeal. Furthermore, because the attorney fee award
is supported by proper findings, we affirm the trial court's award
of attorney fees.
In 2002, Plaintiff Signature Distribution Services, Inc. filed
a Complaint regarding a business dispute against Defendants
Carolinas Choice Distribution and its general partners
individually, James E. Wright, Gregory J. Godley, and Kenneth E.
Davis, Jr. (collectively Carolinas Choice). Thereafter,
Carolinas Choice filed a third-party complaint against Third-Party
Defendants Signature Distribution Services, Inc., Cecil M.
Forehand, and Brady Buckley (collectively SignatureDistribution).
(See footnote 2)
On 17 November 2003, Carolinas Choice served a
First Set of Interrogatories and Requests for Production on
Signature Distribution. On 4 February 2004, Signature Distribution
served verified responses, including objections to certain
questions. Carolinas Choice filed a Motion to Compel the response
to the Interrogatories and Requests for Production on 6 February
2004, and an Amended Motion to Compel on 29 March 2004.
On 18 May 2004, Superior Court Judge Richard Boner granted the
Motion to Compel responses to discovery requests. On 7 June 2004,
Signature Distribution filed a Supplemental Response. On 26 August
2004, Carolinas Choice filed a Motion for Sanctions as Signature
Distribution still had not produced certain documents. On 25
October 2004, Superior Court Judge Timothy Kincaid granted the
Motion for Sanctions due to Signature Distribution's failure to
comply with the previous Order to Compel, and ordered Signature
Distribution to pay $5000.00 in attorneys' fees. The trial court
also retained jurisdiction of the parties to order further
sanctions if needed. On 15 September 2005, the trial court granted
summary judgment in favor of Signature Distribution against all
claims and counterclaims in the third-party complaint. From the 18
May 2004 and 25 October 2004 orders, Signature Distribution brought
this appeal.
__________________________________________ On appeal, Signature Distribution argues that the trial court
erred (1) in imposing sanctions and (2) in awarding $5000.00 in
attorneys' fees as sanctions.
We first note that, Signature Distribution's assignment of
error referenced for the arguments in its brief states as follows:
The Court's granting of Defendants' Motion to
Compel.
This assignment of error, referenced in their argument as required
by North Carolina Rule of Appellate Procedure 28(b)(6), does not
refer to the order granting sanctions. Therefore, the 25 October
2004 Order granting sanctions is not properly before us on appeal,
as the assignment of error referring to the order is not presented
in the brief, and therefore is deemed abandoned. See N.C. R. App.
P. 28(b)(6) (Assignments of error not set out in the appellant's
brief, or in support of which no reason or argument is stated or
authority cited, will be taken as abandoned.); see also Walker v.
Walker, __ N.C. App. __, __, 624 S.E.2d 639, 641 (2005) ([T]he
'scope of appellate review is limited to the issues presented by
assignments of error set out in the record on appeal; where the
issue presented in the appellant's brief does not correspond to a
proper assignment of error, the matter is not properly considered
by the appellate court.' (emphasis omitted) (quoting Bustle v.
Rice, 116 N.C. App. 658, 659, 449 S.E.2d 10, 11 (1994))). But see
Broderick v. Broderick, __ N.C. App. __, 623 S.E.2d 806 (2006)
(Wynn, J., concurring). Also, Signature Distribution's assignment
of error does not state a legal basis upon which error is assigned.
N.C. R. App. P. 10(c)(1) (Each assignment of error shall . . .state plainly, concisely and without argumentation the legal basis
upon which error is assigned.); see also Walker, __ N.C. App. at
__, 624 S.E.2d at 640 (2005). Accordingly, this assignment of
error is dismissed.
Nonetheless, we note that even if this assignment of error was
properly before us, we would affirm the holding of the trial court.
North Carolina Rule of Civil Procedure 37(b)(2) provides that:
If a party . . . fails to obey an order to
provide or permit discovery . . . a judge of
the court in which the action is pending may
make such orders in regard to the failure as
are just . . ..
***
In lieu of any of the foregoing orders or in
addition thereto, the court shall require the
party failing to obey the order to pay the
reasonable expenses, including attorney's
fees, caused by the failure, unless the court
finds that the failure was substantially
justified or that other circumstances make an
award of expenses unjust.
N.C. Gen. Stat. § 1A-1, Rule 37(b)(2) (2005). The choice of
sanctions under Rule 37 is within the trial court's discretion and
will not be overturned on appeal absent a showing of abuse of that
discretion. Becker, 168 N.C. App. at 678, 608 S.E.2d at 830. A
trial court may be reversed for abuse of discretion only upon a
showing that its ruling was so arbitrary that it could not have
been the result of a reasoned decision. Id. (citations omitted).
The trial court made specific findings of fact that by order
entered 17 May 2004, Signature Distribution was granted until 7
June 2004 to supplement their interrogatory responses and producecopies of certain specific documents in their possession and
control; and, Signature Distribution failed to comply with the
terms of the 17 May 2004 order by failing to provide copies of
specific documents. Signature Distribution did not challenge these
findings and they are binding on appeal. Accordingly, the trial
court's decision was not arbitrary which leads us to the conclusion
that if this matter had been properly presented to this Court, we
would have found no abuse of discretion.
Signature Distribution also contends that the amount of
$5000.00 is not supported by findings of fact. But the trial court
made a specific finding of fact that as a result of Signature
Distribution's failure to so comply with the terms of Judge
Boner's Order, and for other good cause shown, Defendants are
entitled to receive an attorneys' fees award of Five Thousand and
00/100 ($5000.00)[.] Further, the affidavit in support of
attorneys' fees stated that $10,087.75 had been incurred. As the
amount of attorneys' fees was in fact less than the amount stated
was incurred in the affidavit, the fees granted were reasonable.
See Long v. Joyner, 155 N.C. App. 129, 137, 574 S.E.2d 171, 177
(2002) (amount of attorneys fees awarded by the trial court
corresponded with the charges incurred as stated in an attorney's
affidavit).
Dismissed in part; Affirmed in part.
Judges HUNTER and JACKSON concur.
Report per Rule 30(e).
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