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345 Ga. App. 641
Ga. Ct. App.
2018
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Background

  • Sabrina Francis was rear-ended while driving a sheriff’s vehicle; Chavis admitted liability and Francis sued for past and anticipated future medical expenses.
  • On July 29, 2016, a State Farm claims associate, Donna Madison, claims Francis agreed by phone to settle for $3,433 (medical bills plus $1,000 for pain and suffering) and asked that a release be mailed.
  • Madison mailed a cover letter and a release the same day; the call was not recorded.
  • Francis admitted the call occurred but denied agreeing to settle and attested she discarded the mailed release because she did not agree to its terms.
  • Chavis moved to enforce the alleged settlement; the trial court granted the motion without an evidentiary hearing and found the affidavit and correspondence established an enforceable oral settlement.
  • On appeal the Court of Appeals reversed, concluding that, under the summary-judgment-like standard applicable when no evidentiary hearing is held, genuine issues of material fact existed about whether a meeting of the minds occurred.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether an enforceable oral settlement was reached during the unrecorded call Francis denies agreeing to the settlement terms; there was no mutual meeting of the minds Madison’s affidavit and the mailed letter memorialize the parties’ oral agreement Reversed: disputed, genuine factual issue exists; trial court erred in enforcing without an evidentiary hearing
Whether documentary writing requirement for disputed settlements was satisfied Francis contends the mailed letter was an offer, not a written memorial of an agreement Chavis contends the letter memorialized the oral settlement and satisfies the writing requirement Reversed: material fact exists whether letter was a memorialization or merely an offer; writing requirement not established as a matter of law

Key Cases Cited

  • Tillman v. Mejabi, 331 Ga. App. 415 (discusses summary-judgment standard for motions to enforce settlements)
  • Brooks v. Ironstone Bank, 314 Ga. App. 879 (same standard; review of motion-to-enforce treated as summary judgment absent evidentiary hearing)
  • Johnson v. DeKalb County, 314 Ga. App. 790 (Georgia favors enforcement of definite settlement agreements)
  • Pourreza v. Teel Appraisals & Advisory, Inc., 273 Ga. App. 880 (writing requirement to prove disputed settlement existence)
  • S. Medial Corp. v. Liberty Mut. Ins. Co., 216 Ga. App. 289 (settlement agreements require same contract formation requisites)
  • City of Albany v. Freeney, 313 Ga. App. 24 (reversal where genuine issue exists about whether settlement was reached)
  • DeRossett Enters. v. GE Capital Corp., 275 Ga. App. 728 (procedural posture note on evidentiary hearings and review standard)
Read the full case

Case Details

Case Name: Francis v. Chavis.
Court Name: Court of Appeals of Georgia
Date Published: May 8, 2018
Citations: 345 Ga. App. 641; 814 S.E.2d 778; A18A0317
Docket Number: A18A0317
Court Abbreviation: Ga. Ct. App.
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