This is а negligence case involving the interpretation and application of a release. Plaintiff, Gordon Burks, appeals from the order of the trial court granting summary judgment to defendants, Belz-Wilson Properties 1 (a joint venture), Belz Investment Company 2 (a partnership), Spence L. Wilsоn, Robert A. Wilson, Kemmons Wilson, Jr., Carole A. Wilsori-West, and Dorothy E.W. Moore.
This case was before the Court previously on Burks’s appeal from the order of the trial court granting summary judgment to defendant, Pride Construction Company, Inc., and this Court affirmed the trial cоurt.
See Burks v. Belz-Wilson Properties,
No. 02A01-941 1-CV-00254,
On May 4, 1991, Burks was injured when he attempted a back flip into a gymnastics pit at the Wimbleton Sportsplex in Memphis.
One day before the event, Burks signed a release form that had the word “RELEASE” in bold and all capital letters at the top. Burks did not read the form before he signed it.
On May 1, 1992, Burks filed a complaint against the defendants in this appeal and others alleging that the defendants failed to warn users of dangers incident to the use of the gymnastics pit, that the defendants failed to properly design, construct, and maintain safe premises, and that the defendants failed to provide a gymnastics pit with adequate shock absorption or dеpth to prevent the serious injuries sustained by Burks. The complaint prayed for damages in the amount of $10,000,000.00. On February 22, 1994, Burks filed an amended complaint that alleged that the defendants were also grossly negligent.
Belz-Wilson Properties, Belz Investment Company, Spence L. Wilson, Robert A. Wilson, Kemmons Wilson, Jr., Carole A. Wilson-West, and Dorothy E.W. Moore filed a motion to dismiss 3 on the grounds that “the cause of action ... was released by the execution by the Plaintiff of a contract containing an exculpatory clаuse applicable to said Defendants.” On May 2,1996, the trial court entered an order granting the motion, which stated that “by the execution of said Release, that the Plaintiff released these defendants from any claim of negligence not of a grоss or wanton nature.”
Burks has perfected this appeal, and the issue for review is whether the trial court erred in granting summary judgment to the appellees. A trial court should grant a motion for summary judgment only if the mov-ant demonstrates that there are no gеnuine issues of material fact and that the moving party is entitled to judgment as a matter of law. Tenn. R. Civ. P. 56.03;
Byrd v. Hall,
In this case, the trial court granted the summary judgment solely on the existence of the release signed by Burks. Therefore, the dispositive question for this Court is whether the releаse exonerates the appellees from Burks’s claims of negligence. This is a question of law for the Court.
Rainey v. Stansell,
The release states as follows:
I, Individually, in consideration of my participation in the CRYE-LEIKE Olympics and for other good and valuable consideration, the receipt and suffiсiency of which is hereby acknowledged, I the undersigned, Intending to be legally bound, as broadly and inclusively as permitted by the laws of the State of Tennessee, for myself, my heirs, assigns, executors and administrators do hereby release, remise, waive, surrender, аnd forever discharge and to Indemnify and save harmless CRYE-LEIKE, Inc., CRYE-LEIKE Insurance Agency, Inc., CRYE-LEIKE of Mississippi, Inc., CRYE-LEIKE Mortgage Company, Inc., CRYE-LEIKE Property Management, CRYE-LEIKE Commercial Investment and Harold Crye and Dick Leike, Individuals, and WIMBLE-TON SPORTSPLEX, WIMBLETON GYMNASTICS, and all other sponsoring groups of the еvents herein, together with all of their officers, agents, officials, directors and employees, from any and all liability claims, demands, actions or causes of action whatsoever, arising out of or any injury, illness loss or damage including death relating tо participation in these events. I further state and represent that I am in proper physical condition to participate in this event.
We first note that releases and exculpatory clauses are valid in Tennessee and are nоt against the public policy of this state.
Dixon v. Manier,
In interpreting a release to determine whether a particular claim has been discharged, the primary rule of construction is that the intention of the parties shall govern, and this intention is to be determined with a consideration of what was within the contemplation of the parties when the release was executed, which in turn is to be resolved in the light оf all of the surrounding facts and circumstances under which the parties acted. (Citing 66 Am.Jur.2d Release § 30 (1973)).
Claims in tort which have not matured or were not known to the parties when they executed their release and which they did not intend to affect when the settlement was madе are not discharged by a release. (Citing 66 Am.Jur.2d Release § 33 (1973)). A release ordinarily covers all such matters as may fairly be said to have been within the contemplation of the parties when it was given ... consequently a demand of which a party was ignorant when the rеlease was given is not as a rule ... embraced therein_ (Citing 76 C.J.S. Release § 52 (1952)).
Richland Country Club,
Burks first argues that the literal wording of the release did not encompass the appellees because they were not specifically named in the release. The appellees assert that they are covered by the release because Wimbleton Sportsplex was named in the release. Defendant, Kemmons Wilson, Jr., stated in his affidavit that “Wimbleton Sport-splex is a trade name used for Wimbleton Racquet Club, a non-[in]corporated business entity owned by the Defendants, Belz-Wilson Properties, Belz Investment Company, Spence L. Wilson, Robert A. Wilson, Kem-mons Wilson, Jr., Carole A. Wilson-West and Dorothy E.W. Moore.” The appellees claim that they were released from liability because their trade name appeared in the release.
One may lawfully adopt any trade name in which to conduct his or her business.
Schultz, Baujan & Co. v. Bell,
Burks argues that
Hollingsworth v. Provident Life & Accident Ins. Co.,
No. 85-306-11,
In his affidavit, Burks stated that the defendants were unknown to him when he signed the release. In
Hollingsworth,
the unknown special relationship was between two separate parties, and the Court held that when Hollingsworth released one, he did nоt intend to release the other.
Id.
at *3. In this ease, the unknown party is legally the same party as the one named in the release. Burks also stated in his affidavit that he did not intend to release the appellees. However, the court, in arriving at the intеntion of the parties to a contract, does not attempt to ascertain the parties’ state of mind at the time the contract was executed, but rather their intentions as actually embodied and expressed in the contract as writtеn.
Rainey v. Stansell,
Because parol evidence is admissible to determine the true identity of the parties to the contract, the trial court correctly considered Kemmons Wilson, Jr.’s affidavit and in the absence of countеrvailing proof, the trial court correctly determined that the ap-pellees were the true parties to the release.
Burks also claims that the release does not apply to the latent defects in the gymnastics pit because the injury occurred outside of a scheduled event. He argues that the literal language of the release relates to the Crye-Leike Olympic events and, since gymnastics was not an event, his injury is not covered. The appellees argue that the language of the release was intended to cover all activities surrounding the Crye-Leike Olympics.
The pertinent language of the release states that the appellees are released “from any and all liability claims, demands, аctions or causes of action whatsoever, arising out of or any injury, illness loss or damage including death relating to participation in these events.” Burks argues that the contract must be construed strongly against the appellees. In Tennessee, ambiguous language in a contract will be construed most strongly against the author of the language.
Fuller v. Orkin Exterminating Co.,
We believe that the language “relating to participation in these events” can be considered ambiguous and should be construed against the appellees. Burks was not participating in a scheduled event when he was injured, nor was he preparing for an event by stretching or practicing. He was injured in an activity unrelated to any event in the Crye-Leike Olympics. We interpret the releаse’s intent to be to absolve the appellees from liability for any defect in the premises that occasions injury or damages during a person’s participation in the scheduled events. To interpret the release as asserted by the аppellees would extend its exculpation to unbounded limits.
Notes
. Belz Investment Company is a partnership comprised of Phillip Belz, Jack A. Belz, and Kemmons Wilson.
. Although styled as a motion to dismiss, the motion itself relies on the release and is also supported by other extraneous material. The trial court treated the motion as a motion for summary judgment.
