515 P.3d 942
Utah Ct. App.2022Background
- In 2008 the Childs owned ~2,600 acres and granted Turley an option/right of first refusal to purchase; terms were recited on the record at trial in 2014 and memorialized in an unsigned handwritten memorandum. Key terms: an eight‑month marketing period, 60‑day notice to Turley of any bona fide offer, and if no sale then Turley could buy at an appraised price; appraisal process to follow a two‑appraiser/third‑appraiser method and "yellow book" standards.
- The parties professed the agreement on the record and intended to formalize it, but never executed a written settlement; they nevertheless acted under it (marketing the property, selecting appraisers).
- No third‑party offers were received; appraisers selected a third appraiser who valued the property at $1.618 million and Turley tendered a cashier's check for that amount.
- The Childs filed multiple bankruptcy petitions timed near hearings, delaying proceedings. After dismissal of the bankruptcies, Turley filed a second suit seeking declaratory relief and specific performance; the Childs proceeded pro se and failed to complete discovery or timely oppose summary judgment.
- The district court denied the Childs' motion to extend deadlines (finding no excusable neglect and a pattern of bad‑faith bankruptcy filings), treated Turley’s summary judgment motion as unopposed, and granted summary judgment ordering specific performance. The Court of Appeals affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the district court abused its discretion by denying the Childs' motion to reset deadlines (excusable neglect under Rule 6) | Turley: denial proper because Childs showed no diligence and used bankruptcy filings to delay; bad faith. | Childs: pro se status and filings reflect excusable neglect; should be allowed to file belated opposition. | Affirmed — court did not abuse discretion; pattern/timing of bankruptcy filings and lack of diligence supported denial. |
| Whether the oral settlement (recited on the record + unsigned memo) was an enforceable, sufficiently definite agreement | Turley: on‑record recitation and parties' conduct show a binding settlement with essential terms. | Childs: agreement was preliminary and not binding until reduced to a formal writing. | Affirmed — oral settlement was binding and definite enough to enforce. |
| Whether Turley’s unopposed summary judgment papers established entitlement to relief (timely exercise of option; appraisal compliance with "yellow book") | Turley: no offers received; appraisal process followed; appraisal report and tendered funds satisfied the Agreement. | Childs: alleged delays and argued appraisal may not meet "yellow book" standards. | Affirmed — because the motion was unopposed the facts set forth were deemed admitted and Turley’s voluminous supporting materials showed entitlement; Childs’ objections were waived for failure to oppose. |
Key Cases Cited
- Orvis v. Johnson, 177 P.3d 600 (Utah 2008) (movant bearing burden at trial must establish each element to get summary judgment)
- Tronson v. Eagar, 457 P.3d 407 (Utah Ct. App. 2019) (unopposed summary judgment cannot be entered automatically; court must examine movant's papers)
- Jones v. Layton/Okland, 214 P.3d 859 (Utah 2009) (excusable neglect inquiry is equitable; diligence required)
- Reisbeck v. HCA Health Servs. of Utah, Inc., 2 P.3d 447 (Utah 2000) (defines excusable neglect as neglect excused by special circumstances)
- West v. Grand County, 942 P.2d 337 (Utah 1997) (factors for excusable neglect are relevant but not exclusive)
- Patterson v. Knight, 391 P.3d 1075 (Utah Ct. App. 2017) (oral settlement agreements enforceable when essential terms are definite)
- Smith ex rel. Smith v. Severn, 129 F.3d 419 (7th Cir. 1997) (even when facts are deemed admitted for unopposed motion, reasonable inferences must be drawn for nonmovant)
