Copy Systems of Savannah, Inc. v. Page

Decision Date30 October 1990
Docket NumberNo. A90A2190,A90A2190
Citation197 Ga.App. 435,398 S.E.2d 784
PartiesCOPY SYSTEMS OF SAVANNAH, INC. v. PAGE.
CourtGeorgia Court of Appeals

McCorkle, Pedigo, Hunter & Johnson, David H. Johnson, Savannah, for appellant.

Middleton & Anderson, Michael K. Mixson, Savannah, for appellee.

DEEN, Presiding Judge.

Appellee Chris W. Page sued appellant Copy Systems of Savannah seeking to recover a bonus he claimed to be due as a former employee under a provision of the company's incentive Bonus Plan. This provision recited as follows:

"MANAGER'S BONUS POOL":

Qualifying Managers will participate in bonuses based on the consolidated financial statements of Copy Systems. The participation rate for the managers is expressed as a % of profits and is based on greater participation rates for greater profit levels. The profit levels and participation rates are as follows:

                   PROFIT AMOUNT            AVAILABLE BONUS
                $100,000 -- $150,000  15.0% of before tax profit
                 151,000 --  250,000  17.5% of before tax profit
                 251,000 --  350,000  20.0% of before tax profit
                 351,000 k            22.5% of before tax profit
                

Copy Systems' before-tax profit for the year in question was $125,373.99. Page was entitled to receive forty percent of the bonus pool under the Plan, and he contended that his share of the before-tax profit was forty percent of fifteen percent of $125,373.99, or $7,522.44. Copy Systems argued that the "Available Bonus" was intended to be calculated by applying the graduated percentages only to that portion of the total profit falling within the specified ranges of the "Profit Amount"; that is, in the present case, forty percent of fifteen percent of the amount of profit between $100,000 and $150,000, or $25,373.99. In the alternative, Copy Systems asserted that the contract presented an ambiguity requiring jury determination. The trial court ruled that the language of the provision was unambiguous that the percentage of each profit range should be applied to the total amount of before-tax profit to calculate the available bonus pool. Copy Systems appeals from the grant of Page's motion for summary judgment. Held:

" 'There are three steps in the process of contract construction. The trial court must first decide whether the contract language is ambiguous; if it is ambiguous, the trial court must then apply the applicable rules of construction (OCGA § 13-2-2); if after doing so the trial court determines that an ambiguity still remains, the jury must then resolve the ambiguity. Travelers Ins. Co. [v. Blakey, 255 Ga. 699, 700 (342 SE2d 308) (1986) ].' Travelers Ins. Co. v. Blakey, 180 Ga.App. 520 (349 SE2d 474) [1986]. 'The existence or...

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22 cases
  • Maiz v. Virani
    • United States
    • U.S. Court of Appeals — Eleventh Circuit
    • 8 Junio 2001
    ..." Id. at 819 (citing Georgia-Pacific Corp. v. Lieberam, 959 F.2d 901, 904 (11th Cir.1992) (quoting Copy Sys. of Savannah, Inc. v. Page, 197 Ga.App. 435, 398 S.E.2d 784, 785 (1990))). [T]he "cardinal rule of construction is to ascertain the intention of the parties." When attempting to ascer......
  • State Farm Mut. Auto. Ins. Co. v. Stanley
    • United States
    • U.S. District Court — Southern District of Georgia
    • 18 Marzo 1991
    ...it." United States Fire Ins. Co. v. Cowley & Assoc., 183 Ga.App. 478, 479, 359 S.E.2d 160 (1987); see Copy Sys. of Savannah, Inc. v. Page, 197 Ga.App. 435, 436, 398 S.E.2d 784 (1990); United of Omaha, 894 F.2d at 1564; Dickens, slip op. at 4. Thus, before submitting an insurance contract to......
  • Crawford v. Government Employees Ins. Co.
    • United States
    • U.S. District Court — Southern District of Georgia
    • 26 Junio 1991
    ...it." United States Fire Ins. Co. v. Cowley & Assoc., 183 Ga.App. 478, 479, 359 S.E.2d 160 (1987); see Copy Sys. of Savannah, Inc. v. Page, 197 Ga.App. 435, 436, 398 S.E.2d 784 (1990); Dickens, slip op. at 4. Thus, before submitting an insurance contract to the jury for construction, a court......
  • Parkside Center v. Chicagoland Vending
    • United States
    • Georgia Court of Appeals
    • 16 Julio 2001
    ...have been the duty of the trial court to declare the covenant valid as a matter of law. OCGA § 13-2-1; Copy Systems of Savannah v. Page, 197 Ga.App. 435, 436, 398 S.E.2d 784 (1990). The second possibility is that, even after applying the rules of contract construction, an ambiguity remained......
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