Johnson v. RLI Insurance Co.
288 Ga. 309
Ga.2010Background
- Johnson and Nichols d/b/a J & N Holdings filed April 29, 2008 seeking damages and asserting multiple claims against RLI Insurance Co. including RICO, bad faith, fraud, negligence, breach of legal duty, breach of contract, and punitive damages.
- RLI moved to dismiss under OCGA § 9-11-12(b)(6) on June 26, 2008, and the parties submitted evidence including interrogatories and affidavits.
- An oral hearing occurred January 8, 2009, after which the trial court entered an order titled 'Order Granting RLI's Motion to Dismiss.'
- The order stated the motion was granted after considering admissions responses, responses to motions to dismiss, interrogatories, pleadings, and the entire court record.
- Appellants appealed directly to the Court of Appeals, which dismissed as premature, treating the order as nonfinal because claims remained.
- The Georgia Supreme Court held that when matters outside the pleadings are presented and not excluded, the dismissing order must be treated as a summary judgment ruling, enabling direct appeal under OCGA § 9-11-56(h).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether outside-materials were properly considered | Johnson argued the trial court considered external matters in ruling on dismissal. | RLI contends the dismissal was proper under 9-11-12(b)(6) and outside materials were not improperly transformative. | Yes; the trial court treated the motion as a summary judgment. |
| Whether the order should be treated as summary judgment | Johnson contends the order was a final dismissal. | RLI argues the order was a plain dismissal under 9-11-12(b)(6). | The order should be treated as summary judgment due to consideration of outside materials. |
| Whether the appeal was proper | Johnson sought direct appeal under OCGA § 9-11-56(h) after summary-judgment treatment. | RLI maintained the appeal was premature or improper if treated as a nonfinal dismissal. | Direct appeal was proper because the order became a summary-judgment ruling. |
Key Cases Cited
- Thompson v. Avion Systems, 284 Ga. 15 (2008) (establishes procedure for reviewing 12(b)(6) dismissals with outside materials)
- City of Demorest v. Town of Mt. Airy, 282 Ga. 653 (2007) (outside-materials treated as summary judgment when considered by trial court)
- Cox Enterprises v. Nix, 273 Ga. 152 (2000) (treats order's form vs. substance for appealability)
- Hoffman v. PMC Development Co., 238 Ga. 258 (1977) (precedent on motion to dismiss and summary judgment mechanics)
- Lamb v. Fulton-DeKalb Hosp. Auth., 297 Ga.App. 529 (2009) (appellate treatment of 12(b)(6) with outside materials in Georgia)
- Peeples v. City of Atlanta, 189 Ga.App. 888 (1989) (procedural aspects of appellate review in Georgia)
- First Christ Holiness Church v. Owens Temple First Christ Holiness Church, 282 Ga. 883 (2008) (articulates standards for appealability of trial court orders)
- Johnson v. Hosp. Corp. of Am., 192 Ga. App. 628 (1989) (premature dismissal and finality principles cited)