Ward v. Luck

• Decision Date: 08 January 2008
• Docket Number: No. ED 89457.,ED 89457.
• Citation: 242 S.W.3d 473
• Parties: Tony WARD, Respondent, v. Janel LUCK, as Director Family Support Division, Missouri Department of Social Services, Appellant.
• Court: Missouri Court of Appeals

242 S.W.3d 473

Tony WARD, Respondent, v. Janel LUCK, as Director Family Support Division, Missouri Department of Social Services, Appellant.

No. ED 89457.

Missouri Court of Appeals, Eastern District, Division Three.

January 8, 2008.

Mark D. Hirschfeld, Clayton, MO, for Respondent.

Jeremiah W. (Jay) Nixon, Atty. Gen., Dana C. Ceresia, Assistant Attorney General, Saint Louis, MO, for Appellant.

OPINION

GLENN A. NORTON, Judge.

Janel Luck, as Director of the Family Support Division of the Missouri Department of Social Services ("Division"), appeals from the grant of summary judgment in favor of Tony Ward ("Father") on his action for money had and received. In the underlying action, Father sought to recover child support funds collected by the Division pursuant to a void administrative child support order. We affirm in part and reverse and remand in part.

I. BACKGROUND

The origins of this case began in February 1996, when a Saint Louis County circuit court entered a paternity judgment finding that Tony Ward was the father of Whitney Ward ("Daughter"), who was born in November 1986 ("1996 paternity judgment"). The court found that Daughter's mother, Frances Collor ("Mother"), was receiving public assistance under the AFDC program, and that she had assigned her rights to child support to the Division. The court stated that the total amount due from Father for child support was "-0-."

In May 1996, the Division¹ entered an administrative order requiring Father to pay $833.00 per month in child support for Daughter ("1996 administrative child support order"). Thereafter, the Division filed an income withholding order and a lien on Father's worker's compensation benefits to collect the child support payments.

Father then filed a motion to modify. Father also filed motions to quash the income withholding order and to quash the lien on his worker's compensation benefits. In November 2002, a St. Louis County circuit court entered a judgment that modified Father's child support obligation to $598.00 per month, retroactive to May 2002 ("2002 circuit court judgment"). Subsequently in May 2003, the circuit court entered a judgment: (1) denying Father's motions to quash; (2) finding that the Division had authority to issue the 1996 administrative child support order; and (3) finding that Father owed Mother a total of $56,792.40 for past due child support, plus interest ("2003 circuit court judgment"). Father appealed the 2003 circuit court judgment to this Court.

Our Court reversed the 2003 circuit court judgment in all respects on the grounds that the Division did not have authority to issue the 1996 administrative child support order. Collor-Reed v. Ward, 149 S.W.3d 897, 900-01 (Mo.App. E.D. 2004). We found that the 1996 administrative child support order was entered without jurisdiction and was void. Id. In doing so, we reasoned that the 1996 paternity judgment was a prior support order under section 454.470.1 RSMo 2000² in that it had previously set a determinable amount of child support. Id.

Subsequently, in May 2006, Father filed the action that is now before us against the Division for money had and received to recover child support funds collected by the Division pursuant to the void 1996 administrative child support order. Father then filed a motion for summary judgment, which the trial court granted. The trial court ruled that the only lawful child support judgment obligation against Father accrued from. May 2002 through December 2004 pursuant to the 2002 circuit court judgment, implicitly finding that Daughter became emancipated by December 2004. The court directed the Division to reimburse Father $22,690.15 plus accrued pre-judgment interest for child support funds it collected pursuant to the void 1996 administrative child support order. The Division appeals.

While this appeal was pending in this Court, the Division filed a motion for leave to supplement the legal file, or, in the alternative, for a remand to the trial court. In this motion, the Division attempted to introduce new evidence showing that Daughter was enrolled in school after the age of eighteen and, therefore, that Father's child support obligation ended after December 2004. Our Court denied the Division's motion prior to the submission of this case.

II. DISCUSSION

A. Standard of Review

Summary judgment is reviewed essentially de novo and affirmed only where there are no genuine issues of material fact and the movant is entitled to judgment as a matter of law. ITT Commercial Finance Corp. v. Mid-America Marine Supply Corp., 854 S.W.2d 371, 376 (Mo. banc 1993). We review the record in the light most favorable to the party against whom judgment was entered. Id.

B. The Division Acted Beyond its Statutory Authority When it Collected Child Support Funds from Father Pursuant to the Void 1996 Administrative Order

We initially note that, as a matter of law, the Division acted beyond its statutory authority set forth in Section 454.470.1³ when it collected child support funds from Father pursuant to the void 1996 administrative child support order. See Collor-Reed, 149 S.W.3d at 900-01 (finding that the 1996 administrative child support order was entered without jurisdiction and was void because the 1996 paternity judgment was a prior support order under section 454.470.1 in that it had previously set a determinable amount of child support); Kubley v. Brooks, 141 S.W.3d 21, 27, 28 (Mo. banc 2004) (finding that the Division is statutorily prohibited under section 454.470.1 from entering an administrative order against a parent for child support when a prior support order exists). But as discussed below, this in itself does not demonstrate Father's right to judgment as a matter of law on his action for money had and received.

C. Money Had and Received

In its first point, the Division argues that the trial court erred in granting summary judgment in favor of Father because Father failed to establish all of the elements of an action for money had and received. Specifically, the Division contends that Father has not shown that the Division received or obtained possession of the child support funds it collected from Father or that the Division received a benefit from those funds. We agree.

I. When an Action for Money Had and Received is Appropriate

An action for money had and received is a remedy at law that is governed by, equitable principles. Salisbury R-IV School District v. Westran R-I School District, 686 S.W.2d 491, 497 (Mo.App. W.D. 1984). The action is appropriate whenever it is shown that the defendant has money in his possession that rightfully belongs to the plaintiff, and which, in equity and good conscience, he should pay over to the plaintiff. Id.; Investors Title Co., Inc. v. Hammonds, 217 S.W.3d 288, 293 (Mo. banc 2007). "The remedy is based on a promise implied by law, or on the principle of equity that a person unjustly enriched at the expense of another must make restitution." Salisbury, 686 S.W.2d at 497. An action for money had and received has always been favored in the law and the tendency of courts is to widen its scope. Investors Title, 217 S.W.3d at 293.

Under the guidance of Investor's Title, we find that in order for a plaintiff to make a submissible case for money had and received, he must establish the following elements: (1) that the defendant received or obtained possession of the plaintiffs money; (2) that the defendant thereby appreciated a benefit; and (3) that the defendant's acceptance and retention of the money was unjust. See id. at 293-94 (finding that an action for money had and received is appropriate when the defendant received or obtained possession of the plaintiff's money, which, in equity and good conscience, he should pay over to the plaintiff); See also id. at 296-97 (finding that the general elements of an action for money had and received are the defendant's receipt of a benefit, the defendant's appreciation of a benefit, and that the defendant's acceptance and retention of the benefit was unjust).

2. There are Issues that Must be Resolved by a Trier of Fact in Order to Ascertain Whether Father Can Prevail on his. Claim for Money Had and Received

We find that Father did not meet his burden in supporting each element of his claim for money had and received with undisputed admissible facts to demonstrate his, right to judgment as a matter of law. See Missouri Employers Mutual Insurance Co. v. Nichols, 149 S.W.3d 617, 623 (Mo.App. W.D.2004) (finding that in order for a claimant to be entitled to summary judgment, he must allege undisputed facts establishing each and every element of his claim); Evans v. Eno, 903 S.W.2d 258, 259-60 (Mo.App. W.D.1995) (finding that "[a] claimant who seeks a summary judgment must support each element of his claim with admissible facts to demonstrate his right to judgment as a matter of law"). Consistent with the elements for an action for money had and received as set out above, we hold that, on remand, there are issues that must be resolved by a trier of fact in order to ascertain whether Father can prevail on his claim for money had and received. They include, but are not limited to, the following: (1) whether the Division received or obtained possession of Father's money, including the exact timeframe Mother received public assistance under the AFDC program and assigned her child support rights to the Division,⁴ and whether the funds the Division improperly collected pursuant to the void 1996 administrative child support order were forwarded to the Division or Mother;⁵ and (2) whether the Division thereby appreciated a benefit, including any interest earned on the money.⁶

Because Father has failed to demonstrate his right to judgment...