*1 addition, 25-7-6.13 allows for the In SDCL support TUCEK, entered of all orders
modification Michelle Mueller Plaintiff 1, 1989, July prior to without a Appellant, in effect change of circumstances. showing of a v. contends that his full com also Cool MUELLER, Maynard Hieb, First Garlan 1977 order terminated his
pliance with the Bank, Wayne Kinonen, Crawford State age Danielle reached the obligation when Economy Company and Fire & & Casu not, however, completely had sixteen. Cool alty Company, Appel Defendants and obligation when Baxa institut performed his lees. They proceedings. were in ed modification prior months to Danielle’s six stituted two No. 18122. birthday and asked increased child
teenth Supreme Dakota. Court South just equitable support as well as other relief. 19, Argued April 1993. Grohs, supra, a Conway In 1977 court Reassigned Sept. 1993. sup- for child approved agreement provided Decided Feb. eighteen. port reached until the children adopted providing SDCL 25-5-18.1 legal duty support parents with the their eighteen age until the or until the
children age they if are full-time second- of nineteen petition
ary The mother did not students. support until for a of child after modification birthday. eighteenth her childrens’ This did not Court held that SDCL 25-5-18.1 modify outstanding support automatically all Rather, obligations. legal it created a vehi- parent court modification of cle for a to seek support obligations. The mother child prior petitioned should have for modification eighteenth birthday to her childrens’ they graduate would she determined that eighteen. high from after were school In this Baxa followed the dictates of case Conway. for modification of petitioned She support prior the 1977 order Danielle’s birthday. sixteenth In accordance with Conway, the trial court SDCL 25-5-18.1 and support allowed until Danielle turned child eighteen secondary or nineteen if a full-time proper. agree student. We the award was Affirmed. WUEST,
MILLER, C.J., and HENDERSON, SABERS AMUNDSON, JJ., participating. *2 (on
HENDERSON, reassignment). Justice PROCEDURAL HISTORY/ISSUES a civil Michelle Mueller This is lawsuit. (Tucek) father, charged her Garlan Tucek Mueller, conversion, with fraud and deceit May- concerning an settlement. insurance Hieb, Bank, Wayne nard First Kino- State nen, Economy Company, & and Crawford Casualty (collectively Company re- Fire & appellees) to as were also named as ferred alleged in the defendants for their roles and deceit. judgment was entered Default on November 1990 due to his Mueller Complaint. re- failure to answer the The maining defendants thereafter filed for sum- 8, 1992, mary judgment. July the trial On court informed Tucek she would have summary remedy or elect rescission as granted be to the defen- would that rem- dants. When she declined to elect edy, summary judgment granted. Tu- appeals raising following issues: cek requiring in I. Did the trial court-err monetary dam- Tucek to elect either remedy? ages as her or rescission granting II. Did the trial court err summary judgment in favor of Hieb and Bank? granting court err in
III. Did the trial Kino- summary judgment favor of nen, Adjusting Company & Insurer? reverse treat each issue seriatim. We We authority set remand for the reasons and in each issue. forth
FACTS July accident on
As a result of
one-car
18, 1987,
passenger, Tu-
she was a
injuries leaving her
numerous
cek sustained
Burke,
Allen,
Haverly
Hagen,
E.
Rita
John
days
hospitalized for
eight
for
a coma
Archer,
Falls,
Wilka,
for
Schreier &
Sioux
Hoffman,
driver of
six weeks. Renae
appellant.
plaintiff and
car,
policy with
was covered
Boyce, Murphy,
McKnight,
Michael S.
(Insur-
Casualty
Economy
Company
Fire &
Falls,
Greenfield,
Sioux
McDowell
er).
Company
&
retained Crawford
Insurer
Bank.
appellees
and First State
investigate the acci-
(Adjusting Company) to
Adjuster
negotiate the settlement.
dent
Cadwell,
Deibert,
Sanford and
Douglas M.
assigned to the case.
Wayne Kinonen was
Kinonen,
Deibert,
Falls,
appellees
Sioux
where Tucek
Co.,
Kinonen arrived
Economy Fire & Cas. When
&
Crawford
Mueller
Garlan
hospitalized, he encountered
Co.
him that he was Tucek’s father
DECISION
who informed
Although
claim.
handle the
and would
grant
of review for a
Our standard
majority,
years
legal
and of
Kino-
was 19
old
summary judgment
denial of
was established
throughout
only with Mueller
nen dealt
Ry.
in the seminal case of Wilson v.
N.
Great
*3
Despite policy
up
process.
a
settlement
(1968):
Co.,
S.D.
N.W.2d
bills,
$100,000.00,
ongoing
Muel-
plus
medical
reviewing grant
summary
In
a
denial
quick
a
ler and Kinonen reached
15-6-56(c),
judgment under SDCL
we
$70,000.00.
while,
un-
All the
Tucek was
moving party
must determine whether the
aware of these events.
any genuine
demonstrated the absence of
material fact
claim,
issue of
and showed entitle-
To finalize the
Kinonen sent a re-
judgment
a
ment to
on the merits as a
signature.
lease form to Mueller for Tucek’s
matter of law. The evidence must be
unsigned
Mueller took the
release form to
(Bank)
favorably
nonmoving
viewed most
Maynard Hieb at First
Bank
in
State
party
Dakota,
and reasonable doubt should be re-
Tripp, South
to be notarized. Hieb
against
moving party.
solved
The non-
sign
that Tucek needed to
the form in
stated
however,
moving party,
present spe-
must
presence.
that his
Mueller indicated
showing
genuine
cific
that a
facts
material
daughter
was outside
the van. Moments
appeal
for trial
later,
issue
exists. Our task on
is
signed copy
Mueller handed a
of the
only
genuine
to determine
whether a
issue
Although
release to Hieb.
Hieb did not wit-
form,
material fact
exists and whether the law
signing the
he
ness Tucek
nevertheless
correctly applied.
If there exists
signature
notarized it. Tucek claims that the
supports
ruling
which
trial
basis
of the
forgery.
is a
court,
summary judgment
affirmance of a
Mueller later took Tucek and the release
proper.
office in
to Kinonen’s
Sioux Falls where the
Bank,
Dewey County
Waddell v.
471 N.W.2d
($70,-
exchanged
release was
for two drafts
(S.D.1991);
BankWest,
Garrett v.
000.00
settlement and $825.87
(S.D.1990).
Inc.,
836-37
We
expenses)
payable
medical
both
to Tucek.
light
principles
examine the issues in
of these
Bank,
She returned to the
endorsed
holdings.
checks,
deposited
them into individual
cheeking
savings
accounts
her name
Tucek was an innocent victim in an auto-
permitted
money
but
Mueller to transfer
be-
inju-
mobile accident. She suffered severe
tween accounts. Unbeknownst to
being
eight
ries which include
in a coma for
up
joint
per-
accounts were set
as
accounts
days,
impaired
functioning, memory
brain
mitting Mueller to write
on her ac-
checks
loss,
inability
conceptualize
and an
Although
imprinted
count.
the checks were
state,
verbally
communicate. While
this
Mueller,
only,
with her name
without Tucek’s
father, Mueller,
settled her cause of ac-
knowledge, repeatedly spent
thousands of
$30,000.00
policy
tion for
under the
limit
checks,
money,
dollars of her
via counter
result,
forging her name on a release. As a
question.
Bank
cashed without
daughter’s money.
A
stole his
default
against
was taken
Mueller for
deposited,
After the checks were
Tucek’s
Although
ap-
fraud and deceit.
he has not
mother discovered that Mueller had settled
pealed, his name remains on the title of this
policy
the claim for less than the
limits and
appeal.
signature
on the release form
awas
case,
forgery.
reviewing
abundantly
When confronted with the claim of
this
it is
Hieb, Bank,
forgery,
Kinonen, Adjusting
Kinonen contacted
who
clear that
reas-
signature
Company
sured him
par-
that the
was authentic.
and Insurer either assisted or
adjudicated
ticipated
Kinonen also informed the Insurer of the
with Mueller in this
charge
Below,
but Insurer instructed Kinonen to do fraud and deceit.
the trial court
Thereafter,
nothing.
brought
granted
summary judgment
this
in favor of
suit.
developed
parties
plaintiff,
Other facts will be
where
these
an
necessary.
shenanigans
innocent victim to all of these
Habeeb, Annotation,
is,
Release Induced
It
as W.R.
judgment victors.
by the
committed
(1958)
Person,
American
Florida;
grand
to
took a
vacation
(S.D.1985). They
did
pacitated, and did not know
restricting Mueller’s
erred in
actually transpiring.
1. Trial court
choice
remedies.
prac
either
Apparently,
those who
therein
upon
participated
her or
ticed
damages
sue for
Tucek is entitled to
therefrom,
knowingly
the fruits
received
or
Appellees argue that
deceit.
for fraud and
of the
proceeds
the
have Tucek return
would
chap. 53-11.
under SDCL
must rescind
she
facts,
a
set of
such
Under this
settlement.
v.
our decisions
O’Connor
By virtue of
outrageous.
the
thought is
Consider
tenet of
(S.D.1991),
v.
Holmes
King,
Kerr
can be
no
reason
believe
[W]e
remedy of her
(1931),
right to the
injured
she has the
upon
or
placing
the
gested for
trial court’s ultimatum—
undoing
choice. With
or
party burden
defrauded
deprived of
go
or
home—Tucek
wrong practiced
rescind
undo the
attempting to
jurisdictions
held:
have
right
a choice. Other
may
to
upon him
he
have
before
resulting therefrom.
damages
for the
sue
a
or com-
has executed
release
One who
Bailey
London
(citing
A.L.R.2d at 504
action sometimes
58
promise of a cause of
Co.,
Ind.App.
72
Accident
unduly pushed
fraudu- Guarantee &
or
that he
feels
(1918)). Although Tucek did
the
was a
Hieb’s re-
employment
provided
when he
notarial ser-
confirming
signature’s
sponse
the
authentici-
Summary judgment
upheld
vices.
cannot be
ty directly
dishonesty.
aided Mueller’s
for either Hieb or the Bank.
a criminal act
committed
and then lied to
deed, thereby ratifying
cover his
Mueller’s
granting summary
3. Trial court erred in
(1943).
§
Every
fraud. 37
Fraud
61
C.J.S.
Kinonen,
Adjusting Com-
participant
in a
and each one who
fraud
pany and Insurer.
perpetration
another in the
assists
of
forged,
When the release was
Tucek
injured party. People
is liable to the
suffering
organic
was
from an
mental disor
Hartigan
Hauling,
ex rel.
v. E & E
153 Ill.2d
der, secondary
injury.
guard
to a head
No
473,
271,
(1992);
180 Ill.Dec.
Tucek asserts that Adjusting sign release, did not the settlement and ac- Company, “knowingly and Insurer and inten- cepted the settlement tionally funds and was participated with Mueller in defraud- ing” above, upset with the Tucek. As settlement until prove discussed she learned representation fraud there must be a that part that Mueller had converted of the settle- (1) fact, was: “made as a statement of which ment funds her bank account to his own it, party making was untrue or else use. showing There has been no that Ad- (2) made”; recklessly “made with intent to juster knowingly intentionally participat- purpose deceive for inducing the other ed in Mueller’s fraud or conversion. In her (3) it”; party upon to act relied on deposition, Tucek admits that she has no party, inducing innocent party “to act to showing Adjuster’s information participation damage.” Family, Croes Again, with Mueller. Tucek can claim no 57; N.W.2d at Sperry Corp., see also 394 better version of the facts than she testified N.W.2d at 730. Parsons, deposition. to in her at N.W.2d There is not one scintilla bring of evidence ing Adjuster, the actions of Adjusting Com case, considering this easily one could pany, parameters and Insurer within the identify position Tucek, with the since it is fraud and deceit. Tucek has not been dili evident that advantage she was taken byof gent in presenting facts which show where hand, jurors her father. On the other are Adjuster, Adjusting Company, or Insurer regularly sympathy instructed that is not to any representations made as statement of play during a role their consideration of the fact which were untrue with the intent *9 case. The villain this case is the father Adjuster deceive negotiate Tucek. did Tu- and this court open up should not the vaults cek’s claim with Mueller instead of Tucek. of the bank company pay or the insurance Adjuster’s testimony uncontroverted despicable for his in converting conduct that it was industry not unusual in the daughter’s settlement personal for his use. deal with parent negotiating forget, Lest we not receiving claim after of a negotiations child. Mere do not proceeds, agree rise to did proof necessary por- the level to loan a to consti tute Thereafter, fraud. tion of it to her Midland Nat’l Bank father. v. Perrano ski, (Minn.1980)(banker tapped her accounts without her consent and answering partners liable to for stop, Further, fraudu- was told to but did not. Tu- against Mueller has cek no has contested. one the trial court.
I affirm would Dorothy Sheffield The ESTATE OF THOMAS, Plaintiff
Appellee, SHEFFIELD, Defendant Keith L. Appellant. 18247.
No. Supreme South Dakota. Court on Briefs Nov. 1993. Considered 9, 1994. Decided Feb. P.C., Steele, Steele, N. Steele
Susan Plankinton, plaintiff appellee. Miskimins, Taylor, Taylor D. & James Mitchell, appellant. for defendant and SABERS, Justice. dispute an appeal from a over
This arises concerning property real distrib- agreement in a action. We affirm. uted divorce
FACTS (Thomas) and
Dorothy Thomas Sheffield (Sheffield) on were divorced Keith Sheffield Final Decree August Under the Divorce, the farm real managed Sheffield held as tenants and Thomas which he estate provided Final also The Decree in common. *10 party could that, years, either after four Sheffield farm real estate. move to sell the directing a Sheriffs Sale an moved for Order on real November of the estate reflected notes expressed deposition “there wherein STEELE, MILLER, C.J., [Mueller’s] concern because of anxiousness Circuit and money], get I and which believe Judge, [to settle concur. Thus, relayed company.” Insurer I to the SABERS, J., specially. concurs to could a settlement favorable knew it reach to In other itself albeit unfavorable Tucek. AMUNDSON, J., dissents. words, iron strike when the was hot. WUEST, J., STEELE, Judge, for Circuit every participant in We that reiterate disqualified. and who assists another a fraud each one is to the perpetration the fraud liable of SABERS, (concurring specially). Justice injured party. Hartigan, 180 Ill.Dec. at genuine of fact agree that issues material I Kaas, 179; at529 P.2d at 29 . 607 N.E.2d Bank, Hieb and exist as they expressed Kinonen Insurer Both and company, In- Adjuster Kinonen his and stop could not the draft. nothing could do Employers principals are bound surer. good knew deal and was Insurer it had employees agents, acts of their Kinonen, give good away. deal going its and Kinonen. employer, company his and the insurance summary judgment case. The Undisputed is a facts exist This ratified fraud. that upon show that is Defendants parties these three were aware burden genuine fact. are no issues material acting unscrupulously Mueller was when there respective their unknowing They to meet claim. have failed undermined the Tucek’s Thiewes, Dept. Rev. v. agreement burdens. 448 elected to affirm the and sue for (S.D.1989). monetary damages. election, N.W.2d 1 howev- er, summary judgment. resulted in AMUNDSON, (dissenting). Justice Summary Judgment and Bank —Hieb brought against Tucek this action Mueller Tucek asserts that the trial court erred fraud, deceit, for and conversion. Tucek al- granting summary an order for Hieb, leged separate Bank, in a count that dismissing her claims fraud and deceit Adjuster, Adjusting Company and Insurer “Questions Hieb and Bank. of fraud were liable for fraud and deceit. This action generally questions and deceit are of fact and twenty was commenced some months after as such are jury.” to be determined deposited she proceeds the settlement into Garrett, However,459 N.W.2d at 847 . her bank accounts. considering a summary judgment, motion for Choice Remedies presented pleadings the issues in the are not controlling party may upon not rest argues obligat- that the trial court is allegations the mere contained therein. ed to allow her a choice of either rescission Co., Inc., Breen v. Dakota monetary Gear & Joint damages remedy or as her (S.D.1988). party op- N.W.2d argument “The fraud. Her is somewhat unclear posing summary judgment a motion for must precisely that the trial court did what she is diligent motion, be in resisting the requesting. and mere hearing After the on the motion general allegations summary and denials which do not judgment, the trial court sent a specific set forth prevent facts will parties setting is- proposed letter to the forth its judgment.” suance of a ruling.1 Id. We must deter- The letter stated that Tucek could mine any support- whether there exists monetary elect either basis damages. rescission or ing the trial ruling. court’s Id. provided: The letter plaintiff 1. If the desires to elect rescis- another, willfully “One who deceives with remedy, summary sion as her judg- intent position to induce him to alter his ment will not be allowed as there are risk, damage liable for disputed facts. thereby which he suffers.” SDCL 20-10-1. plaintiff If proceed fraud, desires to prove as To representa- there must be a
