405 S.W.3d 551
Mo. Ct. App.2013Background
- Clark, Mantia, Kinsey form Three Wine Guys, Inc. in 2007; Clark sues Kinsey in small claims (2009) for $2,800 under a shareholder’s agreement; Kinsey counterclaims for unpaid wages.
- Both sides file voluntary dismissals without prejudice in 2009 small claims actions; Clark and Mantia sue Kinsey again in circuit court (2011) for unjust enrichment, breach of contract, and related claims exceeding $25,000.
- Kinsey moves for summary judgment arguing res judicata based on the prior small claims actions; circuit court grants summary judgment for Kinsey.
- Court notes no final judgment on the merits was entered in the small claims actions; there were only voluntary dismissals without prejudice.
- Court holds that res judicata requires a final judgment on the merits; since none exists, res judicata cannot bar the circuit court action.
- Result: the grant of summary judgment on res judicata grounds is reversed and remanded.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether res judicata bars Clark and Mantia’s circuit court claims. | Clark and Mantia contend no final merits judgment existed in small claims actions. | Kinsey contends res judicata applies due to prior actions. | Res judicata does not apply; no final merits judgment in small claims. |
Key Cases Cited
- Doherty v. McMillen, 805 S.W.2d 361 (Mo.App. E.D.1991) (small claims judgments have res judicata effect)
- Chesterfield Village v. City of Chesterfield, 64 S.W.3d 315 (Mo. banc 2002) (res judicata bars relitigation of issues previously adjudicated)
- Barnett v. Mullen, 125 S.W.3d 896 (Mo.App. E.D.2004) (res judicata applies to same parties or privity)
- Dodson v. City of Wentzville, 133 S.W.3d 528 (Mo.App. E.D.2004) (limits on preclusion to adjudication on the merits)
- Romeo v. Jones, 86 S.W.3d 428 (Mo.App. E.D.2002) (requirement of final judgment on the merits)
- Coleman v. Meritt, 324 S.W.3d 456 (Mo.App. S.D.2010) (definition of when a judgment is rendered (entry of judgment))
- ITT Commercial Finance Corp. v. Mid-America Marine Supply Corp., 854 S.W.2d 371 (Mo. banc 1993) (standard for reviewing summary judgments)
- Temares v. LSK Lebanon, Inc., 342 S.W.3d 331 (Mo.App. S.D.2011) (judgment entry rules; how judgments are denominated)