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Service Vending Co. v. Wal-Mart Stores, Inc.
93 S.W.3d 764
Mo. Ct. App.
2002
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*1 MOONEY, Bеfore LAWRENCE E. Appeals, Missouri Court of C.J., CRANE, J., KATHIANNE KNAUP District, Southern RUSSELL, R. and MARY J. Two. Division ORDER 18, Nov. 2002. PER CURIAM. Transfer Rehearing Motion or (“Mother”) appeals court’s B.N. the trial Dec. Supreme Court Denied 2002. terminating rights judgment parental her argues Application children. the trial for Transfer Denied her four She jurisdiction judg- court lacked to enter the Dec. 2002. properly because the matter was not ment the court

assigned judge, trial knowing voluntary consent to

lacked

termination, sup- no other evidence

ported rights. parental tеrmination her trial properly find the court

We

jurisdiction judg over Mother’s ‍‌‌‌‌‌​‌​‌​‌‌​‌​‌​​‌​​​‌‌​​‌​‌​​‌​‌‌​​​​​‌‌‌‌​​‌‌‍case. evidence, supported is

ment substantial evidence, against not weight apply erroneously

and does declare D.C., In re

the law.

(Mo.App.2001). would be jurisprudential purpose

No reciting a written opinion

served principles restating

detailed facts *2 Bennett, F. Covington,

Ann K. James LLP, Louis, Dennis Bryan St. Ow- Cave ens, Guthrie, City, Kansas Todd Benton- ville, for Appellant. Haden, Newberry, Newberry,

James W. Bullock, McGinnis, Cowherd, Kekck & LLC, Respondent. Springfield, for PARRISH, Judge.

JOHN E. (Wal-Mart) Stores, Inc., ap- peals judgment a in favor of Service Vend- (SVC) brought in an action SVC ing Co. with a for tortious interference was аwarded actual and expectancy. punitive damages. Wal-Mart contends denying motions the trial court erred judgment verdict and n.o.v. for directed refusing and in to enforce forum selec- it had with tion clause in a certain contract alleges further ‍‌‌‌‌‌​‌​‌​‌‌​‌​‌​​‌​​​‌‌​​‌​‌​​‌​‌‌​​​​​‌‌‌‌​​‌‌‍trial court SVC. Wal-Mart punitive submitting error in the issue In damages jury. puni- the event properly found sub- damages tive would be mitted, the trial court argues refusing to entеr remittitur erred jury punitive damages amount of and directs awarded. This court reverses judgment the trial court to enter Mart. conducts a business that owns and sent list of Store Service novelty vending

services machines. SVC to consider. places its machines various businesses. Sumners, SVC, Tyler vice-president of permitted 1985 Wal-Mart allow asked Wal-Mart if it would *3 in stores Wal-Mart in operated machines days equipment havе 60 to remove its from Nebraska, Missouri, Iowa Kansas. the Wal-Mart sites. In an undated letter in approximately There were 136 stores Director, Income,” Reeves, to “Kent Other in 1985. next 13 During those states the acknowledged Mr. that had Sumners SVC years, of in the number Wal-Mart stores it received written notice that would be to 444. those states increased equipment from to remove its compensated by paying Wal-Mart days.1 Wal-Mart stores within 30 In addi- on the ma- Wal-Mart commission sales tion to additional time which asking for The chines made. commissions varied to remove the letter equipment, the stated gross from to 40% of ma- 30% sales on selling equipment considered chines other than “Children’s Miracle Net- replacing that would be it. vendor Seventy percent gross work” machines. of stated, The letter “We have received no- sаles from Children’s Miracle Network by phone, tice from vendors it is those that paid were to Wal-Mart for that machines them, option per not an Other Income remaining The 30% charity. of Children’s directive, equipment on buy sight to said Miracle Network machines’ was re- sales “thoughts asked Mr. Reeves’ [sic].” SVC product tained for items by SVC costs on this matter.” the dispensed. machines letter replied by Kent dated Oc- Reeves into In 1992 SVC and Wal-Mart entered was tober 1998. The letter on Wal- prescribed that the written contract is Mart Mr. Reeves identified letterhead. The con- dealings. terms of their business “Director, Other letter as Income.” tract for Wal-Mart to receive provided states: letter to Mr. Sumners 40% on “bulk vending” commission sales. making I it apologize for not clear weekly record required a to be submit- your apprоve request did manager ted the store each store in to from period thirty to the exit extend were re- which machines maintained. The days days. agree to do sixty We port to “indicate total sales minus was sixty as days would be reasonable to not a balance leaving sales tax on which disrupt business. your other will be based.” commission Commissions paid weekly. were to be clarify you I also want to Wal- selling your Mart’s on position [SVC] Wal-Mart notified SVC operators. to other terminating re- parties’ Wal-Mart was get pro- Mart will not involved receiving After notifica- lationship. you cess. If wish sell tion, was contacted a vendor acceptable it is operators, to other us. it at replacing would be some of the Wal- your people We follow (Store must insist Service, stores, Inc. Mart Store and makе procedures outlined a final Service). about inquired Store Service the equipment collection and remove from that was purchasing equipment acceptable It is property. from our stores where Store place Wal-Mart same placing Wal-Mart for the Service would be machines. SVC by fax. It bears a fax copy SVC's to have been sent Although letter that 1. undated, 01 '98.” appеars transmittal date of “OCT evidence was admitted in paragraph question part by the new property on our installed entitled, “Termination.” parties’ contract operator. It states: declined Ultimately, Store Service Agree- terminate may Dan Clem- equipment. purchase SVC’s notice to Upon time. any ment at Service, son, testified at of Store president oral, equip- all [SVC], written either He said his by videotape deposition. trial be re- shall belonging [SVC] ment pur- company made the decision not within property from Wal-Mart moved on its cost. He chase the based (10) notice. days receiving written ten him personnel asked if Wal-Mart told removal shall be All costs of such equip- unwilling to allow SVC’s it would be In the event [SVC]. *4 responsibility in Mr. Clemson place. ment to be sold its fails to remove [SVC] answered, he wаs told “Correct.” He said any reasonable may use Wal-Mart the had to be removed from the and space to free the necessary means Mr. stores. Clemson Wal-Mart In all related costs. charge [SVC] asked, mean “All And that would right. litigation arises between the event it you buy equipment, that for Agreement, due to this Mart and [SVC] removed from would be—have be—be dispute agreed that such expressly it is trax —transac- each location and then some and tried by the laws governed will be off site for place tion would have to take [Emphasis Arkansas. in the State of then purchased and added.] site; that correct?” brought back on filed a motion to dismiss Wal-Mart answered, I He how understand “That’s motion to trial. The prior case SVC’s it.” writ out of the action arose alleged SVC’s action that is the sub- brought provision, contrаct that contained ten in ject appeal of this the Circuit Court litigation arises between “In the event County, Lawrence Missouri. SVC assert- Agree this due to [SVC] Wal-Mart tortiously ed interfered with Wal-Mart ment, that such dis expressly agreed it is selling SVC’s of and by the laws pute governed will be be SVC’s to vendors would The mo of Arkansas.” tried State it at stores. SVC replacing the forum se tion alleged “[b]ecause expectation it had a valid contended in must be en clause this case lection in vending machines could sell forced,” court in which the Missouri vendors that would approved subject “have ‍‌‌‌‌‌​‌​‌​‌‌​‌​‌​​‌​​​‌‌​​‌​‌​​‌​‌‌​​​​​‌‌‌‌​​‌‌‍brought did not case was replace SVC. nor is dispute, over this jurisdiction matter The trial venue.” proper [that] Court Forum, concluding that the motion court denied between asserts the the contract language Wal-Mart’s Point IV not relied did refusing parties erred in to enforce on which Wal-Mart trial court in a proceeding action from regard preclude in its contract with SVC provision it was a tort claim. court because Missouri ing provision forum selection.2 The - law, question jurisdiction is a exists is one for 2. "When the motion to dismiss independent appellate court reviews the issue relating improper to a forum selection venue сlause, Boyke, S.W.2d appeal. v. 936 ly on Farris as an issue of it should be treated Co., 1996).” Tutor (Mo.App. Scott v. Leasing Century 200 jurisdiction. Chase Third Inc., Williams, Systems, Time Child Care 411-12 v. Inc. (Mo.App.2000). (Mo.App.1989). Because the issue of whether held the trial court the forum woods and Sears. This court The concluded selec- claims, tort claim was not dispute presented contract applied tion clause scope the contract that con- parties tort actions between the to the within the that, provision; the arbitration agreement. agrees. This court tained therefore, com- could not be arbitration questions question forum Similar pelled. presented in this case have been addressed language in the involving in cases contracts with arbitra Greenwood—Sears unlike that in the Wal- Sherfield, contract was not provisions. Greenwood as identi- involved an Mart contract this case insofar (Mo.App.1995), 895 S.W.2d 169 which would not be sub- fying action for tortious interference with a con the issues Greenwood, to Missouri courts. operation tract. A contract for of a Sears mitted would agreement provided that issues between the catalog store Greenwoods (Sears) rather than Sears, submitted to arbitration Company, one be Roebuck “[a]ny controversy or defendants, litigation regarding an arbitration relating of or arising [the claims out provided “[a]ny controversy clause that Here Agreement.” Sears] arising relating claims out of or to this Greenwood— provides agreement the Wal-Mart —SVC Agreement ... shall be submitted to arbi *5 “due to this parties between the litigation plaintiffs, 171. The tration.” See Id. at ... tried in the agreemеnt ... will be Greenwood, Mr. and Mrs. contracted to Arkansas.” State of sell their business to David Isaacson and contract). (the Cindy Isaacson Isaacson finding In the arbitration clause contingent on the proposed sale was claim, tort applicable not to the Greenwood by Sears as an being approved Isaacsons conversion, action this court held an representative A оf authorized merchant. the tort ac relationship that the between Isaacsons that there would Sears told the pursuant and the contract to which a in the merchant contract. change be was not sought to invoke arbitration Sears to the The sale from the Greenwoods not dispute met would “simply because completed. not The Green- Isaacsons was the existence of the have arisen absent representative and the woods sued Sears parties.”3 895 contract between tortious inter who made the statement for ap- The same rationale is S.W.2d at 174. alleging with the Isaacson contract ference enforceability of a assessing ropos maliciously agent tortiously forum selection clause. Exis- contract’s the breach of the Isaacson con procured in a con- tence of a forum selection clause tract. requires disputes contractual tract that in Arkansas courts does not litigated suit be The defendants Greenwoods’ par- between the same require of the tort tort claims sought compel arbitration ab- jurisdiction in that litigated clause in the ties to be claim based on an arbitration A to that effect. language sent cоncise contract between the Green- merchant i.e., parties having the two refusing to but for 3. Missouri courts are not alone in Interbulk — arrangement which agreements beyond entered into this business contractual enforce performed, there would have performance. imperfectly was on contract claims based Interbulk, Ltd., wrongful and conver- been no attachment Export, Coal Inc. v. Armada 1566, Cir.1984), (11th sufficiently close connection is not a case sion—such 726 F.2d 1568 clause, arising during dispute the exe- interpreting court to constitute an arbitration cution, observed, performance, it- [contract] certainly a connec or “While there is Corp., v. Porta-John See also Dusold [a claims and con self.” tion between Armada’s 526, 358, (1990). 530 Ariz. 807 P.2d relationship Armada and 167 between tractual]

769 958 S.W.2d 103 Birdsong Bydalek, v. clаuse a contract does forum selection what is (Mo.App.1997), explains litigation not the site for of a tort control with a interference busi- dispute prove tortious pro- claim because simply expectancy. claim would not arisen ness duced the tort of the contract. absent the existence a contract interference with Tortious proof requires or business sue Wal-Mart on the basis SVC did not (1) or a contract valid five elements: contract. lawsuit parties’ SVC’s (2) defendant’s expectancy; business by allegations based on misconduct or knowledge the contract relation prevented anticipated an (3) interference intentional ship; an parties transaction with third inducing causing the defendant occurring. attempted from relationship; contract or breach inject forum selection clause of ‍‌‌‌‌‌​‌​‌​‌‌​‌​‌​​‌​​​‌‌​​‌​‌​​‌​‌‌​​​​​‌‌‌‌​​‌‌‍the (5) (4) dam justification; absence of in the tort parties’ contract action Oliver, Co. v. 939 ages. Acetylene Gas right had a contractual claiming Wal-Mart (Mo.App.1996)(citing 408[2] S.W.2d action about which com- take the Valley College, Nazeri 860 Missouri litigation that plained. The embodied (Mo. 1993); banc Com S.W.2d par- arise due claim did not SVC’s Fed. munity Title Co. v. Roosevelt Sav. ties’ arоse on the basis of agreement. Ass’n, Loan 372[4] allegations unreasonably that Wal-Mart (Mo. 1990)). prevail banc To on tort negotiations be- interfered with business claim, a adduce substantial party must tween and Store Service. The tort every evidence each and ele supporting claim defending Wal-Mart was West, Meadowgreen Inc. v. ment. litigation “due to parties’] [the that arose *6 (Mo. Trails, Inc., 870 913 S.W.2d Agreement.” Point IV is denied. App.1995). Motions Walr-Mart’s Directed Verdict for Id. at 111. Judgment and N.O.V. of a valid busi existence “[T]he I, II and III assert trial court Points will not be found where expectancy ness denying error in motions for ver- directed hope of establish the facts showed a mere judgment dict n.o.v. I Point asserts relationship which was tenu ing a business prove of absence Mercy John’s Med ous.” Misischia St. conduct;

justification Mart’s for Wаl Center, 848, 863 (Mo.App. ical argues SVC failed to do so. Wal-Mart it 2000). “In claim for inter order to have a legal right had to act as it did an absolute expectancy, with business ference a valid SVC; under terms of its contract with expectancy if the necessary to determine protect its inter- it acted economic valid claimed under was reasonable rights. ests with its contract consistent not, If it is allegеd. the circumstances argument with its regarding Consistent for defendants nothing there I, Point II valid Point asserts SVC had no v. First Midwest interfered with.” Gott in to sell its machines expectancy (Mo. Dexter, Bank requirement the ma- place without App.1998). removed from the premises chines to be permitted The contract parties’ the terms of the because of contract be- agreement “at in to terminate the parties. tween the The issues raised notice of termination any Upon II on same time.” dependent I and are Points Wal-Mart, given contract being contract. provision parties' states, plain language equipment belonging contrary to was “[A]ll shall be removed from Wal-Mart SVC’s contract with Wal-Mart. Wal- [SVC] (10) property days receiving within ten compliance Mart’s insistence that there be argues written notice.” Wal-Mart this regarding with contract terms removal case; in justified. the action it took this had no val- supported equipment was permitted expectancy that the contract it to insist that it would be id business place that rea- in permitted be removed. For to leave its son, conjunction failed to in prove premises Wal-Mart asserts SVC on Wal-Mart justification an absence of for Wal-Mart’s a sale of the to a new vendor. and, consequently, permit conduct Any hope that Wal-Mart would occur, expectancy selling contrary no business its ma- the terms of the best, contract, was, chines in without the machines hav- at tenuous. SVC’s was, removed a matter of ing premis- from Wal-Mart claimed as asserts, therefore, law, es. Wal-Mart neither reasonable nor valid view of prove failed to its claim for tortious inter- the terms of the contract. expectancy; ference of a business that the I II are valid. The trial Points in denying trial court erred Wal-Mart’s denying court erred in Wal-Mart’s mo- and, motions verdict for directed subse- and, having failed tions for directed verdict quently, denying erred Wal-Mart’s mo- motions, denying grant those judgment n.o.v. subsequent judgment motion for n.o.v. As judg- compelled this court is to reverse There was no evidence Wal-Mart’s bases, on remain- varied ment these Wal-Mart’s position dealings its with SVC ing points require no discussion. rights it it had under its from the asserts judgment is reversed. The case is re- sought a contract with SVC. When SVC directed to manded. The trial court is longer removing time for enter judgment Wal-Mart. than it was otherwise entitled under the previously contract and the demand made RAHMEYER, PREWITT, P.J., and Wal-Mart, representative, Wal-Mart’s C.J., concur. Rеeves, Kent told SVC that Wal-Mart *7 get would not involved with SVC’s efforts AND ON MOTION FOR REHEARING advised equipment. to sell its Mr. Reeves FOR TRANSFER MOTION ‍‌‌‌‌‌​‌​‌​‌‌​‌​‌​​‌​​​‌‌​​‌​‌​​‌​‌‌​​​​​‌‌‌‌​​‌‌‍SVC, equipment “If the to you wish to sell acceptable to us. We operators, other it is PER CURIAM. your follow the people

must insist (SVC) Company filed Vending Service outlined and make a final col- procedures rehearing for and for transfer. motions the from lection and remove an amended mo- subsequently filed SVC addеd, letter property.” our Mr. Reeves’ Based on the contract rehearing. tion for for the same acceptable “It is to Wal-Mart filed in opinion provision discussed property to installed on our be case, failed this court found SVC this operator.” the new by justification the element of lack of prove (Wal-Mart), Stores, Inc. by by of the contract Wal-Mart Upon termination Wal-Mart, interferеnce with claim for tortious provided the contract for SVC’s SVC’s suggests in expectancy. SVC Any expecta- equipment to be removed. in its provision that another could be its motions by property tion that the Wal-Mart, a di- provision with without the re- contract sold to another vendor or transfer of the “assignment rected to that the be removed quirement duty is 11, rules a court’s af- familiar [SVC],” the rights granted paragrаph con- of the interpretation to the expectancy confined reasonable forded SVC made for parties machines which vending sell its tract that it could themselves, its wis- af- regard selected without to the vendor Wal-Mart may a court folly, the contract its and that ter terminated dom or Wal-Mart para- which argues that due into a contract words with SVC. SVC not read 11, justifica- was without not contain.” graph Wal-Mart does contract vending equip- requiring tion SVC’s (Mo. 399, 403 Hyde, 855 v. Smoot a successor to be removed if sold to ment York Rickey v. New quoting App.1993), vendor. Co., 229 Mo.App. Ins. Life which the contract to provision (1934). in this case The contract assignment relates refers action Wal-Mart defense afforded vending by a vendor. It rights transfer of with a business tortious interference of Wal- requires prior written consent The other brought by SVC. vendor, in order for a in this instance Mart Rehearing and in the Motion for issues SVC, contract assign the vendor’s Mo the Amended Motion for Transfer and transaction, there When such a rights. dis Rehearing no further require may permits equipment the contract The motions are denied. cussion. new remain on sold to the vendor to be property. That was case, in this

situation case. this Para- terminated contract.

Mart SVC’s par- prescribes rights

graph all required

ties when that occurs. W. Margaret RATHBUN Jaсk C. belonged to SVC Rathbun, Trustees, Rathbun For Upon terminating agree- removed. January 10, Plain- Trust Dated permitted by ment with SVC as con- tiffs-Appellants, tract, comply 12 of the requirements paragraph filed opinion contract. As stated in the CORPORATION, The CATO case, justified this Wal-Mart’s conduct Defendant-Respondent. contract; thus, provision rights, of Wal-Mart’s contractual reason No. 24578. expec- prove failed to а valid business Appeals, Missouri Court of of an showing in that there no

tancy District, Southern ac- justification absence for Wal-Mart’s Division One. *8 tions. Nov. 2002. a mat of a contract is Construction Brekke, 977 Stephens law. ter of Denied Rehearing Transfer Motion (Mo.App.1998). Dec. 2002. de- everywhere repeatedly “Courts for Transfer Denied Application rule that applied general clared 28,2003. Jan. of the court province not within the is construction, toor alter a contract parties. a new contract for the make unnecessary support cite cases

Case Details

Case Name: Service Vending Co. v. Wal-Mart Stores, Inc.
Court Name: Missouri Court of Appeals
Date Published: Nov 18, 2002
Citation: 93 S.W.3d 764
Docket Number: 24501
Court Abbreviation: Mo. Ct. App.
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