HCB Financial Corporation v. William Adkinson
570 F. App'x 396
5th Cir.2014Background
- K Hurricane Katrina aftermath; Mississippi Investors VI, LLC formed with Kennedy as one investor.
- Mississippi Investors purchased Stone County, Mississippi property for development, financing through a $7,438,400 loan from Double A Firewood.
- Guaranty agreements were executed by all four investors personally guaranteeing payment and costs.
- Foreclosure occurred when Mississippi Investors allegedly defaulted; Central Progressive Bank purchased the Stone County property at foreclosure for $4,590,000.
- Foreclosure led Central Progressive Bank to file a diversity suit against Kennedy and other guarantors to recover the remaining balance, calculated as $1,890,684.49 plus interest; Kennedy counterclaimed for $50,000,000 in actual damages.
- District court granted summary judgment to HCB on the guaranty and the deficiency amount; final judgment did not specify the amount, prompting HCB to seek an amended final judgment under Rule 59(e) to reflect a total of $2,019,495.82; Kennedy did not respond to the Rule 59(e) motion and separately moved to amend, both sides appealing.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the damages amount on summary judgment was proper | Kennedy argues damages calculation unsupported. | Kennedy contends there is a genuine factual dispute about the amount. | Waived; no genuine issue raised in district court. |
| Whether the Rule 59(e) amendment of the final judgment was proper | HCB argues amendment based on new financial information. | Kennedy argues procedural infirmity and insufficient support; she did not respond. | Waived; both arguments reviewed and affirmed. |
Key Cases Cited
- Stewart Glass & Mirror, Inc. v. U.S. Auto Glass Disc. Ctrs., Inc., 200 F.3d 307 (5th Cir. 2000) (claims raised for the first time on appeal may be waived in summary judgment contexts)
- LeMaire v. La. Dep’t of Transp. & Dev., 480 F.3d 383 (5th Cir. 2007) (summary judgment evidentiary burden and moving party’s duty to show no genuine issue)
- Greenberg v. Crossroads Sys., Inc., 364 F.3d 657 (5th Cir. 2004) (claims raised for the first time on appeal are waived)
- DeBardeleben v. Cummings, 453 F.2d 320 (5th Cir. 1972) (early authority for waiver of new factual grounds on appeal)
- Tiblier v. Dlabal, 743 F.3d 1004 (5th Cir. 2014) (summary judgment standard on appeal)
- Frederick v. United States, 386 F.2d 481 (5th Cir. 1967) (distinguishes inappropriateness of disputed figures in damages)
- Williams v. N. Am. Van Lines of Tex., Inc., 731 F.3d 367 (5th Cir. 2013) (applies de novo review where Rule 59(e) materials considered)