 |
 |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|
|
|
|
Mullins v. Walker Tool & Manufacturing11/24/2003
n the Clayton County action, Herrmann denied breach of the settlement agreement, and he filed a counterclaim alleging that the agreement had required Mullins to pay Walker Tool and that Mullins had breached the agreement by failing to do so.
Mullins and HKT later sued Herrmann and others in a state court in Virginia. Walker Tool was not named as a defendant in the Virginia action. In that suit, Mullins alleged that Herrmann improperly severed the HKT partnership, causing him damages consisting of the money he had spent for development of the Poseidon. Mullins also claimed that Herrmann's and the other defendants' appropriation of the Poseidon to their own use had deprived him of a valuable economic right for which he was entitled to at least $500,000 in compensatory damages. Mullins also requested equitable relief.
Mullins and HKT entered into a settlement of all litigation against Herrmann and related defendants. Under a "settlement agreement and general release," Herrmann and Mullins released and discharged each other and their representatives, successors, and assigns from any and all claims of any and every kind or nature whatsoever. In consideration, Mullins acknowledged that all intellectual property rights concerning the Poseidon are owned individually by Herrmann, and Herrmann executed a $75,000 promissory note in favor of Mullins. The agreement, however, further provided that "the dismissal of the claims by [Walker Tool] in [the Jasper County, Georgia] lawsuit is not required by this agreement, and is not a condition precedent or subsequent to any party's performance under this agreement."
In this suit, Walker Tool moved for summary judgment on Mullins's complaint, and Mullins moved to dismiss Walker Tool's counterclaim. The trial court treated the motion to dismiss as a motion for summary judgment and entered orders granting Walker Tool's motion for summary judgment and denying Mullins's motion.
1. Did the court err in awarding summary judgment to Walker Tool on Mullins's complaint?
In arguing that the court did not err in this regard, Walker Tool claims that under Pennsylvania Threshermen &c; Ins. Co. v. Hill, the release executed by Mullins operates to bar his claim against Walker Tool. Walker Tool's reliance on Pennsylvania Threshermen is misplaced, as the rule set forth in that case has been changed. That rule was that "if the injured party gives a release, upon a valuable consideration whether amounting to full compensation or not - the cause of action is surrendered, and since there is only one cause of action, all joint tortfeasors are released." In Knight v. Lowery, our Supreme Court adopted the rule that a release of one tortfeasor is not effective as a release of another tortfeasor, who is not a joint tortfeasor, unless all damages owed by both tortfeasors are paid in full or the parties intended to release both tortfeasors. In Posey v. Med. Center-West, our Supreme Court abandoned the rule of Pennsylvania Threshermen concerning joint tortfeasors and held, in line with Knight v. Lowery, that a valid release of one joint tortfeasor does not release other joint tortfeasors unless it is agreed that it will discharge them or the plaintiff has received full compensation for his injuries.
Although in the settlement agreement Mullins did release Herrmann from the claim sued on here, unquestionably he did not intend the alleged joint tortfeasor Walker Tool to be released. Consequently, under Posey, Walker Tool has not been released. In this suit, Walker Tool may however plead and prove Mullins's settlement of his other suits with Herrmann. And evidence of the settlement agreement may entitle Walker Tool to indemnificati
Page 1 2 3 4 Georgia Personal Injury Attorneys
Personal Injury Lawyers
|
| |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|