542 S.W.3d 177
Ark. Ct. App.2018Background
- Windsong bought the Southwinds tract at a 1997 foreclosure sale; the tract included portions of Red Apple's Eden Isle golf course.
- Dispute arose after Windsong alleged Upton/Red Apple tried to block Windsong's condominium development by amending the Eden Isle bill of assurance to restrict unplatted acreage to single-family homes.
- Windsong sued Red Apple for fraud, intentional interference with business expectancy, breach of contract, negligence, and sought declaratory relief based on alleged misrepresentations of acreage in public records used to amend the bill of assurance.
- Red Apple moved for partial summary judgment arguing the tort claims were barred by the three-year statute of limitations, and alternatively by res judicata and collateral estoppel because related claims were or could have been raised in prior litigation (Windsong I).
- The circuit court granted partial summary judgment in favor of Red Apple as to the three tort claims in a written order that did not specify the basis for the ruling.
- On appeal Windsong challenged only tolling via fraudulent concealment and due diligence; the court affirmed because the unchallenged res judicata ground supported the ruling and Windsong did not brief that ground in its opening brief.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Tolling of statute of limitations by fraudulent concealment | Fraudulent public records concealed Red Apple's true acreage, tolling limitations; Windsong exercised due diligence | Red Apple: records were public for years and gave constructive notice; no tolling | Not reached on merits — plaintiff only briefed this issue; court treated order as encompassing other grounds and affirmed on unchallenged ground |
| Res judicata / collateral estoppel | Windsong contends current claims based on later-discovered falsified records are distinct and not precluded | Red Apple: claims were or could have been raised in Windsong I; thus barred | Affirmed — court deemed summary judgment to have been decided on all issues presented, including res judicata, and Windsong failed to contest that ground in opening brief |
| Effect of oral bench ruling vs written order | Windsong relied on court's oral statement applying statute of limitations | Red Apple relied on written order’s blanket grant and argued all briefed defenses applied | Written order controls; when order omits basis it is deemed to rule on all issues presented by the parties; appellate review limited to arguments raised in opening brief |
| Raising new issues in reply brief | Windsong attempted to rebut res judicata in reply brief | Red Apple objected that plaintiff waived the argument by not raising it in opening brief | Rejected — arguments first raised in reply are untimely and cannot preserve the issue on appeal |
Key Cases Cited
- Windsong Enters., Inc. v. Upton, 366 Ark. 23, 233 S.W.3d 145 (Ark. 2006) (prior litigation resolving related tort claim)
- Nat'l Home Ctrs., Inc. v. Coleman, 370 Ark. 119, 257 S.W.3d 862 (Ark. 2007) (written order controls over oral bench ruling)
- Hardin v. Bishop, 430 S.W.3d 49 (Ark. 2013) (blanket written summary-judgment grants are deemed to encompass all grounds presented)
- Quarles v. Courtyard Gardens Health & Rehab., LLC, 488 S.W.3d 513 (Ark. 2016) (party must raise issues in opening brief; appellate review limited accordingly)
- English v. Robbins, 452 S.W.3d 566 (Ark. 2014) (procedural waiver principles on appeal)
- Pearrow v. Feagin, 778 S.W.2d 941 (Ark. 1989) (preclusion principles)
- Jewell v. Fletcher, 377 S.W.3d 176 (Ark. 2010) (issues cannot be raised first in reply brief)
