Members of a "pretended corporation" may have personal liability as individuals when a plaintiff has extended credit to the corporation, but they are not personally liable for all contractual obligations of the corporation. In this case Defendant, a shareholder of a corporation that had not been formed, was not personally liable for the pretended corporation’s
Case Database
Harco National Ins. Co. v. Grant Thornton LLP, February 16, 2009 (Tennille)(unpublished)
The Court permitted an insurance carrier, which had reinsured part of the loss suffered by the Plaintiff and which had made payment to the Plaintiff, and which claimed to be subrogated to the rights of the Plaintiff, to intervene in the Plaintiff’s action to recover amounts it had paid paid. The Court found that intervention…
Harco National Insurance Co. v. Grant Thornton LLP, February 16, 2009 (Tennille)(unpublished)
The Court denied a Motion to Amend, finding that there was undue delay in seeking the amendment. Discovery in the case had gone on for years and had been completed months before the Motion to Amend was filed. Plaintiff furthermore had the documents on which the Motion was based in its possession for two years.…
Miller & Long, Inc. v. Intracoastal Living, LLC, January 8, 2009 (Jolly)(unpublished)
Plaintiff sued to impose a constructive trust on property purchased by the Defendant LLC at a foreclosure sale. It alleged that some of the members of the Defendant LLC had been members of the LLC which had defaulted on the mortgage loan in question. Plaintiff contended that it was "inequitable for [the Defendant] to own…
Windsor Jewelers, Inc. v. Windsor Fine Jewelers, LLC, November 19, 2008 (Diaz)(unpublished)
The Court entered a Temporary Restraining Order in a dispute between jewelers with similar trademarks. Plaintiff holds a North Carolina state trademark registration for Windsor Jewelers, Inc., and was seeking to enjoin Defendant from using the name Windsor Fine Jewelers.
The TRO says that:
Defendants’ intent to confuse the consuming public is clear, as (notwithstanding
…
J Freeman Floor Company, LLC v. Freeman, December 18, 2008 (Diaz)(unpublished)
When a Plaintiff files a Rule 41 dismissal, and then refiles his action, Rule 41(d) of the North Carolina Rules of Civil Procedure requires that he must pay the costs of the first action as a prerequisite to pursuing the new action. "[T}his section establishes a mechanical condition precedent that must be satisfied before that…
TelSouth Solutions, Inc. v.Voyss Liquidation Co., LLC, December 6, 2008 (Diaz)(unpublished)
The Court held that a party which failed to appear for a show cause hearing at the direction of the Court, having received notice of the hearing, would be held in contempt. The Court determined that the non-appearance was a “[w]illful . . . failure to comply with schedules and practices of the court resulting…
Bueche v. Noel, November 25, 2008 (Diaz)(unpublished)
A default judgment against an individual is not permitted without the Court first determining whether the defendant is in active military service. The Servicemembers Civil Relief Act, 50 U.S.C. app. §501-596 requires a party seeking a default to "file with the court an affidavit . . . (A) stating whether or not the defendant is…
Fisher v. Communications Workers of America, 2008 NCBC 18 (N.C. Super. Ct. Oct. 30, 2008)
Plaintiffs claimed that the Defendant Union had violated the North Carolina Identity Theft Protection Act by its posting of a list of their social security numbers on a company bulletin board. The Plaintifs also made claims for unfair and deceptive trade practices and for invasion of privacy.
The Act specifically provides that a business may…
Camper v. Brooks, October 27, 2008 (Diaz)(unpublished)
The parties failed to submit their designation of mediator to the Court by the deadline provided for in the Case Management Order, and also after an inquiry from the Court. The Court held that the parties had as a result "forfeited their right" to select a mediator.
The parties were also delinquent in filing their…