Corder v. Idaho Farmway, Inc.
| Decision Date | 16 July 1999 |
| Docket Number | No. 24484.,24484. |
| Court | Idaho Court of Appeals |
| Parties | Tim CORDER, Sr., and Lavonne Corder, dba T & LC Farms, and Tim Corder, Jr., Plaintiffs-Respondents, v. IDAHO FARMWAY, INC., an Idaho corporation; and Dan Weitz, Defendants-Appellants. |
Vernon K. Smith, Jr., Boise, for appellants.
Thompson and Ashcraft, L.L.P., Mountain Home, for respondents. Larry C. Ashcraft argued.
Dan Weitz and Idaho Farmway, Inc., appeal from the district court's judgment, following a bench trial, finding Idaho Farmway liable to Tim Corder and LaVonne Corder, d/b/a T & LC Farms (collectively "Corder"), for breach of contract and both Weitz and Idaho Farmway liable for filing a false labor lien. The district court awarded Corder $10,875.51 on the breach of contract claim and $28,699.97 on the false labor lien claim. In addition, the district court awarded Corder $37,980.22 for costs and attorney fees. For the reasons stated below, we affirm.
Corder filed suit on November 15, 1995, claiming that Idaho Farmway breached their agreement to lease farm ground, was unjustly enriched by Corder's work on the property, and that Weitz and Idaho Farmway filed a false labor lien. Weitz and Idaho Farmway made a special appearance challenging venue in Elmore County. The district court denied the motion challenging venue, finding that the cause of action arose in Elmore County. Weitz and Idaho Farmway filed an interlocutory appeal which was dismissed by the Idaho Supreme Court.
Corder filed a motion for partial summary judgment on the false labor lien claim. The district court granted the motion, awarding Corder damages and attorney fees. However, Corder requested that the district court amend its order because of other damages incurred and not included in the partial summary judgment decision. The district court ordered that the false labor lien issue be presented at trial and vacated its prior order awarding partial summary judgment.
A bench trial was held. Although the district court did not issue written findings of fact and conclusions of law, it orally pronounced the following extensive findings of fact.
Corder has been a farmer for approximately twenty-five years and began farming in the Mountain Home area in 1978. He has primarily been a sugar beet farmer, but has grown a number of different crops during these years. Corder typically farms about 1,500 acres, of which he owns about 500 acres and leases the rest.
At the time concerned in this action Weitz was acting as de facto president of Idaho Farmway, and as its agent. Weitz had managed Idaho Farmway, Inc. since approximately 1976, but stopped acting in that capacity in 1996 because of a restructuring of the corporation.
The property in dispute is 720 acres which was owned by Idaho Farmway and situated near Mountain Home in Elmore County. Corder and Weitz began discussing a lease agreement for the property in August 1994. The parties eventually reached an agreement to lease the property. Corder agreed, as lessee, to pay a base price of $71,500 a year for the lease, to be divided into two payments. The first payment was due in January 1995. Corder was also to pay for the cost of water assessments, electricity to lift the water from the wells, and property taxes. The lease term was five years. The 720 acres was irrigated land. Idaho Farmway was to provide wells, pumps and lines necessary to get water to the land. Weitz, as Idaho Farmway's agent, made specific representations to Corder that well number one would be repaired and that the pump would be put back in the well. In addition, if well number one provided an inadequate supply of water, Weitz agreed that well number two would be made serviceable. Weitz told Corder that well number one produced 2,700 gallons of water per minute and well number two produced 2,000 gallons of water per minute.
Handlines (sprinkler systems) were also necessary to irrigate the property. Weitz agreed Idaho Farmway would provide forty handlines for the property, with the parts necessary for the handlines to work properly. Corder agreed to provide the labor necessary to effectuate a conversion of the handlines from end risers to center risers.
Corder commenced his fall work in September 1994. Corder attempted to use well number one, but encountered aeration problems in the water. Weitz agreed that the pump in well number one needed to be repaired and contacted a corporation about doing the repairs. In continued conversations, Weitz assured Corder he would take care of the water problem. However, by May 1995 Weitz had not completed the repairs. Corder needed the water to avoid damage to his crops, so Corder hired the corporation Weitz had previously contacted to make the necessary repairs to pump number one. The repairs cost $12,863.
Even with the repairs, the water from well number one was insufficient and well number two was needed. Weitz again failed to make the necessary repairs, so Corder hired a different corporation to repair the pump in well number two. Corder paid $16,946 for these services.
Although Weitz had promised Idaho Farmway would provide the necessary parts to convert the end line risers to center line risers, it failed to do so. Therefore, Corder purchased those parts in order to avoid damage to his crops. The parts cost $6,400.
Weitz and Idaho Farmway failed in their obligations in numerous other ways. They did not insure that the pump stations were operable, per the agreement. Corder was forced to hire an electrical company to make repairs to the pump stations and paid $3,321.41. Pump station number three also needed repairs, and Corder hired a second electrical company. These expenses totaled $674.76.
On May 23, 1995, Corder sent Weitz a letter notifying him that Corder intended to deduct his incurred expenses from the amounts due for rent. Corder had already made his first payment of $36,000, and owed $35,500 plus the obligation to pay for electricity and property taxes.1 Weitz did not respond to Corder's letter. In addition, Weitz never made a demand for the additional payment.
Corder believed at this time that Weitz agreed to deduct the expenses incurred by Corder from the amount owed on the lease. Therefore, Corder began his preparations for the fall, which cost him $8,806.50.
On September 26, 1995, Weitz and Idaho Farmway filed a farm labor lien with the Secretary of State. The lien was filed against Corder's crops, specifically including sugar beets, potatoes and wheat. Weitz and Idaho Farmway filed this lien knowing that the claim was false. As a result of this farm labor lien, two companies to which Corder sold crops issued joint payee checks to Idaho Farmway, Farm Credit Services and Corder, rather than just to Corder. The total sum of these checks was for $305,736.11. Weitz, acting on behalf of Idaho Farmway, refused to release its claim to the funds, resulting in additional damages to Corder. Corder suffered from an increase in the interest on his farm operating loan in the amount of $14,042.97. Corder was also forced to pay additional self-employment taxes for the year 1996 in the amount of $14,657 due to the lien which delayed Corder's receipt of farm income from 1995 to 1996. Corder would not have incurred these additional costs but for the false labor lien filing.
As a result of these findings of fact, the district court determined that Idaho Farmway breached the lease agreement between the parties and held it liable for $10,875.71. The district court further held Weitz and Idaho Farmway liable on the false labor lien claim and awarded Corder $28,699.97 in damages. In addition, the district court awarded Corder attorney fees and costs in the amount of $37,980.22. Weitz and Idaho Farmway appealed.
Weitz and Idaho Farmway contend this case should not have been filed in Elmore County, but rather, in Canyon County. They assert that this action is "transitory" and, therefore, can only be filed in the county where the defendant corporation has its principal place of business.
Corder contends that Weitz and Idaho Farmway have failed to present a complete appellate record which will enable this Court to review the district court's denial of the change of venue motion. However, Corder concedes that there is no factual dispute regarding the change of venue motion. Although Corder is correct that the transcript from the hearing on the motion for change of venue is missing from the appellate record, the record does include the minutes from the hearing and also includes the district court's memorandum decision and order. The record is therefore sufficient for us to review whether the district court reached the correct legal conclusion when it decided venue was proper in Elmore County.
The interpretation of a statute is an issue of law over which we exercise free review. Idaho Fair Share v. Idaho Public Utilities Comm'n, 113 Idaho 959, 961-62, 751 P.2d 107, 109-10 (1988). When interpreting a statute, we will construe the statute as a whole to give effect to the legislative intent. George W. Watkins Family v. Messenger, 118 Idaho 537, 539-40, 797 P.2d 1385, 1387-88 (1990). The plain meaning of a statute will prevail unless clearly expressed legislative intent is contrary or unless plain meaning leads to absurd results. Id. at 540, 797 P.2d at 1388.
Idaho Rule of Civil Procedure 40(e) provides that a trial judge may grant a change of venue in any civil action and must grant a change of venue when the county designated in the complaint is not the proper county. Weitz argues that Elmore County was not the proper county and the district court was required to grant his motion for change of venue.
Idaho Code Section 5-404 reads, in relevant part:
[I]n all actions against any corporation organized under the laws of the state of Idaho, [the] suit or...
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