Pearson v. Old Stone Sav. Bank
| Citation | 119 R.I. 836,383 A.2d 1029 |
| Decision Date | 23 March 1978 |
| Docket Number | No. 76-108-A,76-108-A |
| Parties | John E. PEARSON et al. v. OLD STONE SAVINGS BANK et al. ppeal. |
| Court | United States State Supreme Court of Rhode Island |
This civil action was brought to enjoin the foreclosure of a mortgage upon certain real estate and condominium units located in Cumberland, Rhode Island, and for substantial damages. The defendants also filed a counterclaim for damages in connection with the mortgage transaction. The case was heard by a justice of the Superior Court sitting without a jury. The trial justice entered a judgment which denied the injunctive relief but reserved for further proceedings the claims for damages. The plaintiffs now appeal to this court from that portion of the judgment which denied the injunction.
The plaintiffs, John E. Pearson and William E. Bailey, as trustees of the Maple Woods Farm Condominium Trust, entered into a loan agreement with defendants, Old Stone Savings Bank and Morgan Guaranty Trust Company, on January 18, 1974. This loan agreement was to provide the financing for the construction of 93 condominium units on a 35-acre parcel of land in Cumberland. The principal documents included in the transaction were a construction loan agreement, a promissory note, and a mortgage deed which contained a power of sale in the event of default.
Construction began on the project in March 1974, and seven model units were completed for a formal opening of the development in September 1974. No major problems had arisen between the parties up to this time. However, an economic recession in the fall of 1974 caused market conditions in real estate to decline and interest rates to climb. The plaintiffs experienced significant increases in construction costs and were unable to meet the contract requirements for obtaining further advances of loan proceeds. Consequently, the parties attempted to modify the terms of the original agreement in order to allow the project to proceed. However, plaintiffs found themselves no more able to meet their obligations under the modified contract than under the original agreement. Therefore, on March 27, 1975, defendants informed plaintiffs that they were in default and subsequently initiated foreclosure proceedings.
On May 13, 1975, plaintiffs filed a complaint seeking a preliminary injunction prohibiting defendants from foreclosing the mortgage. A temporary restraining order was obtained pending a hearing on the preliminary injunction. Prior to trial, plaintiffs filed two amended complaints seeking substantial damages as well as injunctive relief. The defendants also filed a counterclaim for damages. The hearing on the preliminary injunction was consolidated with the hearing on the merits by agreement of the parties. Only the issue of liability was to be determined at that time, with the matter of damages to be reserved for a later date.
A judgment was entered on March 11, 1976, which vacated the temporary restraining order and denied plaintiffs' prayer for injunctive relief to prevent defendants from foreclosing the mortgage. The Superior Court retained jurisdiction of the action to determine the issue of damages and any other pertinent matters which might arise in connection with the proposed foreclosure sale. The plaintiffs filed a motion for an injunction pending appeal to this court which motion was denied. The property was subsequently sold by defendants.
The plaintiffs raise several complex issues on appeal. However, there is a substantial question as to whether this appeal is properly before us.
According to G.L. 1956 (1969 Reenactment) § 9-24-1, an appeal may be taken to this court only from a final judgment, decree, or order of the Superior Court. Further, a long-established rule of this court forbids the hearing of piecemeal or fragmented appeals. See Maloney v. Daley, 115 R.I. 375, 346 A.2d 120 (1975); Sarni v. Meloccaro, 110 R.I. 566, 294 A.2d 844 (1972); McAuslan v. McAuslan, 34 R.I. 462, 83 A. 837 (1912). We believe that the judgment of the Superior Court in the instant case, although certified as final by the trial justice pursuant to Super.R.Civ.P. 54, is neither final nor does it fall within the narrow...
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Jolicoeur Furniture Co., Inc. v. Baldelli
...filed within twenty days of the entry of judgment on December 15, 1989. Sup.Ct.R. 4; § 9-24-1. However, in Pearson v. Old Stone Savings Bank, 119 R.I. 836, 383 A.2d 1029 (1978), where a party appealed from a Rule 54(b) judgment that decided the issue of liability and injunctive relief but r......
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Westinghouse Broadcasting Co., Inc. v. Dial Media, Inc.
...of appeal is that it should terminate all litigation arising out of the cause between the parties on the merits. Pearson v. Old Stone Savings Bank, R.I., 383 A.2d 1029 (1978); McAuslan v. McAuslan, 34 R.I. 462, 83 A. 837 (1912). Clearly, not all litigation arising out of the cause between t......
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Webster v. Perrotta
...Court "only from a final judgment, decree, or order of the Superior Court" that terminates the controversy. Pearson v. Old Stone Bank, 119 R.I. 836, 838, 383 A.2d 1029, 1030 (1978). By the terms set forth in the judgments, the litigation was not terminated and the case was ordered to a hear......
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Metro v. National Union Fire Ins. Co.
...final when it "terminate[s] all litigation arising out of the cause between the parties on the merits." Pearson v. Old Stone Savings Bank, 119 R.I. 836, 839, 383 A.2d 1029, 1030 (1978). Although the denial of a motion for summary judgment is not a final disposition, this Court will, in cert......