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McCoy v. Thompson
677 P.2d 839
Wyo.
1984
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*1 839 hеld.2 acquired Since Jackson no claim trial court’s discretion. Platte County Ludvik, against position was not im School District No. 1 v. Basin Electric over that potential Cooperative, Wyo., Power 1276, 638 P.2d judgment purposes creditor for of interven (1982). Therefore, appellee’s request ing in might deplete a suit which the col for a assessment damages is lectible judgment assets of the debtor. denied. position We hold that Jackson’s as a judgment of the district court deny- judgment creditor with an execution order ing appellant right intervention as of intangible assets carried no affirmed. special right to adjudi-' intervene in a suit to

cate judgment claim debtor’s to those

assets. posi Jackson continues to hold its judgment

tion as a creditor of Horseshoe

following assignment rescission of the

the contract pos for deed and continues to

sess a lien equitable assets of Therefore,

Horseshoe. ability Jackson’s assignment its interest in the of the Mary Tuttle, William E. McCOY and L. contract for deed—which interest was cir Appellants (Defendants), by rights cumscribed Horseshoe’s impeded impaired contract —was not McCoy, (Defendant), Karen E. the denial of intervention. James S. Jack Company, son Inc. v. Horseshoe Creek Limited, supra, 650 P.2d at 287. H. Mason THOMPSON Donna J. Thompson, wife, husband and and An Appellee requests Ludvik this court thony Lucero, A. Lucero and Melba D. to determine that there was no reasonable (Plain wife, Appellees husband and appeal cause for this penal and to award a tiffs). ty damages pursuant 10.05, to Rule held, however, W.R.A.P.3 We have No. 83-135. such inappropriate awards are where a dis Supreme Wyoming. Court of cretionary ruling of the trial court is the subject appeal, because “the stan 12, March 1984. dards for review of discretionary exercise readily cannоt be reduced to black-letter

principles.” Bacon v. Carey Company, 669 P.2d propri

ety of 24(a)(2), intervention under Rule

W.R.C.P., just such an issue within the " * * * Ludvik, against 2. To enforce a claim as Horse Unless the court certifies that there debtor, shoe’s Jackson would have needed to appeal, was reasonable cause for the there * * * prove proceeding such a claim part in a shall case, be taxed as of the costs in the 1-17-501, W.S.1977, garnishment-in-aid- fee, § our a reasonable ‍‌​​​‌​‌‌​‌​​​​‌‌‌‌‌​​‌​​‌‌​‌‌‌​‌​​​‌‌​​​​​​​​​‌‌‍to be fixed the court statute, 1-17-401, ($100.00) of-execution or under W.S. not less than one hundred dollars provides nonsummary ($500.00), civil nor more than five hundred dollars against persons possession action appellee, to the counsel of the and to the Boyden, Wyo. appellee damages due to the debtor. Schloredt v. in such sum as (1901); Devon, reasonablе, 64 P. 225 Devou v. exceeding 65 Ohio one thousand dol- (1939); App. Chapter ($1,000.00), 31 N.E.2d Akron lars unless the or final Read, App. No. 300 v. 24 Ohio payment money, 157 N.E. 315 order directs the and exe- (1927); Rudolph, CollectingMoney Judgments stayed, cution thereof was when in lieu of 159, 166, Wyoming, Wyo.L.J. penalty, 173. such it shall bear additional interest (5%) exceeding percent per at a rate not five annum, 10.05, W.R.A.P., stayed, for the time for providеs pertinent Rule which it was 3. to be ascertained part: and awarded the court.” *2 Campbell E. E. James Burke and Thomas Burke, P.C., Hanes, Cheyenne, Gage & appellants. P.C., Edmonds, Riske of Riske & Don W. Cheyenne, appellees. C.J., THOMAS, ROONEY,

Before ROSE, BROWN, CARDINE, JJ. BROWN, Justice.

Appellees purchased build- appellants. from At the time licensed real transaction were of an incor- persons. estate sales Because result- property description rect ‍‌​​​‌​‌‌​‌​​​​‌‌‌‌‌​​‌​​‌‌​‌‌‌​‌​​​‌‌​​​​​​​​​‌‌‍a lawsuit The trial court found that ed. selling were «41 statutory penal- pension assessed a revocation ty against license them. for: appellants the are:

According to issues “Any conduct in a real estate transaction faith, “I. the trial court erred as a Whether which demonstrates bad dishones- $13,000 assessing pen- ty, matter of law untrustworthiness or alty against 33-28-114(b), W.S.1977, states: *3 erred in “A. Whether trial court “In any persоn case shall have received appellants finding the were any money or equivalent thereof as a § 33-28-lll(a)(ix). tent under W.S. fee, commission, compensation profit “B. Whether the trial erred in consequence or in a violation of of § 33-28-114(b) applying to im- W.S. any provision this act 33-28-101 [§§ of pose penalty appellants on the 33-28-117], shall, addition, he be of this circumstances case. penalty to a liable of less than appellants, “II. act- Whether when of money amount the sum of so received principals as the sale their own of and not more than three times the estate, exempt provi- are from the sum may so received as be determined pursu- Court, sions of the real license act penalty may be recov- § § ant to 33-28-103 33- W.S. and W.S. ered in competent jurisdic- court of 28-104.” any person aggrieved.” (Empha- tion added.) sis We will reverse. pur- appellees a real estate transaction The trial appellants court found that § were in 33-28-lll(a)(ix)

chased from build- violation of ing. sale, because of incompetency The and and contract the deed assessed § $13,000 penalty provided all as for in escrow instructions contained an incor- 33- 114(b). property description. description rect 28— supplied by appellants. They were was The critical elements in a cause of action developers owners and of the and statutory penalty are: also Real Li- Wyoming held Estate Sales 1) Proof of the person’s incompe- sales censes. Because of the erroneous tence. policy provided a title insurance 2) Receipt by fee, person sales com- for in the for sale not be contract could pensation, profit. commission or descrip- appellees. issued to The incorrect title, appellees’ tion created a cloud 3) consequence of a violation of the agаinst prompted complaint them to file a Estate Real Brokers and Salesmen Act. setting of out seven causes ac- appear It does not from the record that tion. appellees they or that of At trial some the causes of action proved the from the received trans- were in favor of resolved appellants’ action was some favоr In the resolu- Incompetency violation the act. is not cause of in favor of tion of the fifth action assume, defined statute. We must appellees, statutory penalty was awarded therefore, legislature intended the judg- appellees. only part ordinary meaning usual and of the word. appealed ment from the assessment appel- statutory penalty аgainst When a statute the lants. given to be words used the statute are statutory meaning Appellees’ plain ordinary of action for a unless cause on the Bro- indicated. State De was based otherwise § Barber, Act, to 33- partment kers and Salesmen 33-28-101 Education v. 28-117, “incompe 33-28- 649 P.2d 681 The term W.S.1977. lll(a)(ix), W.S.1977, meaning provides sus- and stand for the tent” is This enforce- profession. conveys ing alonе no information [Citation.] Yet, lightly. should not be taken omission, quali ment or lack of particular ‍‌​​​‌​‌‌​‌​​​​‌‌‌‌‌​​‌​​‌‌​‌‌‌​‌​​​‌‌​​​​​​​​​‌‌‍act of to be added heavy penalties allowed conclusion permit fication which certainly damages would County law incompetent. to common that an individual misconduct be County v. willful Board Education Clarke envision that Oliver, what Ala. 116 So.2d 566 to a natural or present oppоsed as incom mis- Negligence synonymous is not with an ‘honest’ may be characterized be petency. argument “There is a clear distinction take, regardless of the incompetency, and negligence and lack of tween conduct or the course of may one be they synonymous, are not have avoided negligence would some work or entirely competent to do certain complained about.” situation negligent yet perform certain acts and of a viola- speaking was The Montana court them; the most doing performing and Sales- Real Estate Brokers tion of the * * ”* negligent. (1981)). (M.C.A. Act 37-51-321 man *4 1(8), p.' 451 Negligence C.J.S. similar to the case Montana case is habitually negligent However, is one who reasoning of the agree with the here. We that, incompetent. may, because agree cannot with court. We Montana Howard, Ala. 36 251 v. McGowin furnishing incorrect court that district 323 So.2d appellants in- description rendered property commonly used most The dictionaries negli- may have been competent. There incompetency as: define according incompetency, to gence, but lеgal qualification, or ability, “Lack of ordinary cited and the the cases we have required duty. discharge the fitness to incompetency. The definition of and usual * * ” * Dictionary, p. 688 Black’s Law incompeten- statutory penalty is based 1979). (5th ed. negligence. cy, not on requisite “Inefficiency; of some a lack single A or dereliction transaction * * * physical, ability; the absence might duty under certain circumstances quality, incapacitat intellectual moral or general lack of be sufficient to reveal a of his perform the duties one to duties, thereby ability perform required office, by gross neglect of characterized supporting finding incompetency. a per gross in the duty or carelessness However, single a honest failure in the * * * ” duty. Ballentine’s formance of performance one’s does not with duties 1969). (3d ed. Dictionary, p. 602 Law incompetency. Here out more amount to discharge a ability or fitness “Lack negligent appellants were in their failure to Law duty.” Bouvier’s required however, provide description; a correct 1914). (3d ed. Dictionary, p. 1528 rev. nothing there in the entire transaction was being incomрetent quality “The ability that indicated a lack * * * alia, lacking spe [defined, inter as] perform required duties. The error legal perform a qualifications cific inspected not detected others who was duty or exercise function the sale instru and examined * * right Third New In Webster's single appears ments. This to be a honest (8th Dictionary, p. ternational ed. fact, context the mistаke. 1979). court found in its that it was a finding A of mutual mis mutual mistake. discussing a statute almost identical incom take is inconsistent with a § 33-28-114(b), the court in Van Et petency. We hold that there was insuffi tinger Pappin, 180 Mont. 588 P.2d appellants were cient evidence to find that (1978), said: incompetent. agree “We that the Real Estate License Act should be construed to lend maxi- Not only failed to efficacy produce mum to the enforcement of the evidence were in fiduciary relationships competent, involved in this they have also produce failed to fee, commission, compensa- honesty, evidence that untrustworthiness or profit tion or was tency.” (Emphasis added.) derived as a description. of incorrect This latter item of By plain language, penalizes thе statute proof is an element that must be rising to the level of incompetency 33-28-114(b), a statutory penalty. Section in a The majori transaction. supra. nothing in the There record to ty recognize single act of misconduct show that of the incorrect because under certain circumstances can suffice to was made and sale incompetency, demonstrаte and this con profit. Succinctly, realized a there is no cept supported by decisions from other causal connection between the incorrect de- jurisdictions. Greene v. Real Estate Com scription by appel- realized mission, D.C.App., (1970); 263 A.2d 634 lants. Realty, Lewis Inc. v. Wisconsin Real Es appel- our Because of determination of Board, tate Brokers’ 6 Wis.2d assignmеnt lants’ we first of error need not (1959); N.W.2d 238 Goodley v. New Jersey address the issue. second Commission, 29 N.J.Super. (1954). However, 102 A.2d 65 Reversed.

majority appear to embrace a standard of applied “willful misconduct” ROSE, Justice, with dissenting, whom determination of in a single CARDINE, Justice, ‍‌​​​‌​‌‌​‌​​​​‌‌‌‌‌​​‌​​‌‌​‌‌‌​‌​​​‌‌​​​​​​​​​‌‌‍joins. transaction such as the transaction in “Real salesmen estate brokers and are volved in the case at the majori bar. See licensed State of *5 ty’s reliance on Van v. Ettinger Pappin, required high to meet standards of hon- (1978). 180 Mont. P.2d 988 esty, integrity, trustworthiness and com- agree legislature, I am to unable that the petency. regulated profes- Theirs is a in enacting public this law to the sion. satisfy Failure to those standards inept from the ground suspension handling of real or revocation of estate transactiоns, salesperson’s place a real intended to such a estate broker’s or strin- gent proof complainant. license. An act real burden licensing estate of the agents light supra, must construed in the v. Ettinger Pappin, upon Van of purpose protecting obvious the majority rely, only which the the case of public important handling I requires that have able to find been which of and relating valuable transactions to proof of willful intentional behavior to State, property. real Toavs v. support imposition penalty the under (1981).” (Emphasis P.2d add- courts, the real estate license act. Most in ed.) v. Hagar Mobley, Wyo., 638 P.2d regulate profes- statutes conduct, distinguish punish- sional between incompetence able and intentional acts of finding Because I of believe incom- Warner, wrongdoing. Ky.App., Helm v. petency the and the assessment of statuto- 597 S.W.2d ry penalty against appellants by the trial supported by court are the evidence and example, For New Goodley Jersey v. promote purpose of Real the the Estate Commission, supra, corpo- §§ License Act of 33-28-101 to 33- rate property seller of real had obtained a 28-117, W.S.1977, in Hagar as set out v. survey which was inconsistent with a title I Mobley, supra, would have affirmed. policy property on the as well as with the asked, case, We are in this to construe grantor. deed into the The licensed real § 33-28-1ll(a)(ix), W.S.1977, which autho- broker, president estate who was of also rizes certain sanctions where the licenseе is corporate grantor, prepared warranty a guilty found of: which, map deed and to the by references “Any map, purported convey conduct in a real to the tract of land estate transac- faith, by survey. up- tion which demonstrates dis- The court bad indicated held, supra, Hagar Mobley, held the licensees are finding commission’s that such (3) factual that negligenсe incompetency: the trial court’s conclusion amounted “ * * * akin misconduct was more why He should have ascertained mistake, (4) tency than to the vital exception policy set forth the title legal importance strictly of accurate de- up and the deed did not on the show transactions, I scriptions in estate survey. conclude suffi- We there was upheld the trial court’s conclu- proof negligence cient him in con- of accu- that the failure of sion profession, nection with his to sustain pertinent rately describe the 102 A.2d at documents amounted 67. § 33-28-lll(a)(ix). Commission, In Greene v. Real Estate majority case also conclude that this supra, the licensed real broker had $600, reversal accepted deposit client a warrants because from a prove failed to had realized promptly had failed to return the de- but profits consequence could of the incorrect posit appeared when it that the sale affirming description. 15-day sus- A causal connection be- not be made. license, profits pension the broker’s the misdeed and the must be tween demonstrated, the court assess said: before can § 33-28-114(b), penalty under W.S.1977: “The could con- properly Commission findings petitioner’s any clude person “In case shall have received his careless and callous failure to inform any money equivalent or the thereof as a difficulty fee, commission, client the reasons compensation repaying deposit, of he which was or in a violation trustee, incom- constituted such provision 33-28-101 [citation] this act [§§ petence untrustworthy as to addition, shall, 33-28-117], he endanger public 263 A.2d interest.” less than liable at 635. money amount of the sum of so received not more three times the than Realty, Lewis Inc. v. Real Wisconsin sum so received as be determined Board, supra, represents Estate Brokers’ *6 court, penalty may which recov- the upheld in which court instance in jurisdic- ered court of incom- the administrative board’s by any person aggrieved.” (Empha- tion in petence the absence willful miscon- added.) sis There, in- duct. the court concluded that competency the was demonstrated where provision, this it is neces- unsigned purchase of- broker obtained sary distinguish between the various buyers. from court prospective fer § 33-28-1ll(a)(ix) specified as acts in suspending affirmed the board’s order the grounds imposition penalty. the salesman’s license for one month. broker’s faith,” “Incompetency,” “bad “dis- unlike honesty,” or “untrustworthiness” is not a case,

In the instant the trial court found might characteristic which be assumed appellants opportunities to had several in reap profits. an effort broker misdescription discover Accordingly, logical it seem to focus they would developed project since had their appellants whether received maps, plans specifi- were familiar with “by” misdescription profits their of the real cations. trial concluded estate, rather “in of” the failure of check and than double misdescription. 33-28-114(b), description cross check the to insure su- accuracy incompetency. pra. Appellees relied on to fur- amounted statutory description correct light language which nish a and testified contemplates they purchased not have a demonstration of transaction, (2) tency apartment they in had known the Therefore, wrong. high appellants, standard of care to which real estate to be supplying legally pie rely deficient documents on and trust them. Failure to they being accurate, held out as comply accepted with either the stan- purchase caused in dards or the field standards socie- and to confer This ty willing recognize acceptable, construction of the statute is consistent actionable.” with thosе cases which hold that actual CARDINE, Justice, dissenting. damages proven need not harm join I the dissent Justice Rose. penalties order to statutory assess incompetency. broker’s Lewis Realty, Inc. I 33-28-lll(a)(ix), would hold that Board, v. Wisconsin Real Estate Brokers’ W.S.1977 concerns conduct in the real es- supra. litigation. tate transaction involved this If appears from that transac- would, An аffirmance in my this case tion, of the district court opinion, promoted the purpose of the ought reasons, to be For affirmed. these I Real Estate License Act of 1971 to join in the dissent Justice Rose. public unprofessional practices from handling of real estate transactions. in Hagar Mobley, supra, As we said at

P.2d 138:

“Realtors, doctors, just lawyers, ‍‌​​​‌​‌‌​‌​​​​‌‌‌‌‌​​‌​​‌‌​‌‌‌​‌​​​‌‌​​​​​​​​​‌‌‍like en- consultants,

gineering builders, hold professionals;

themselves out as it is job profession. to know their Peo- W.S.1977, l(a)(ix), provides:

1. Section 33—28—11 "Any a real estate transaction faith, dishonesty, which demonstrates bad un- trustworthiness or

Case Details

Case Name: McCoy v. Thompson
Court Name: Wyoming Supreme Court
Date Published: Mar 12, 1984
Citation: 677 P.2d 839
Docket Number: 83-135
Court Abbreviation: Wyo.
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