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Matthews v. Collman

Citations: 878 P.2d 971; 110 Nev. 940; 1994 Nev. LEXIS 99Docket: 22410

Court: Nevada Supreme Court; July 27, 1994; Nevada; State Supreme Court

Narrative Opinion Summary

This case involves a dispute over real estate commission entitlements between a broker and her employer. The broker, employed by a real estate company, claimed she was entitled to a commission for facilitating the sale of a property owned by her employer. The employer contended that the broker represented the buyer and thus was not owed a commission. The district court found that the broker acted as an implied agent for the seller, awarding her compensation for her services. However, the court's determination of an accord and satisfaction regarding the commission's terms was overturned on appeal due to a lack of mutual understanding between the parties. The Supreme Court of Nevada ruled that the broker was entitled to $25,500, rejecting the employer's interpretation of the accord and satisfaction. The court also addressed issues concerning attorney's fees and costs, emphasizing that Nevada's rules on pre-trial offers of judgment allow for the recovery of costs and fees by the offeror if their offer was more favorable than the final judgment. The case was remanded to the district court to adjust the award in accordance with the appellate court's findings, including any applicable costs, fees, and interest.

Legal Issues Addressed

Accord and Satisfaction Requirements

Application: The court emphasized that a valid accord and satisfaction requires a 'meeting of the minds,' which was lacking in this case due to conflicting interpretations of the agreement.

Reasoning: The court found that the district court erred in establishing an accord and satisfaction, emphasizing that such a finding requires a 'meeting of the minds.'

Attorney's Fees and Costs under NRS 18.010

Application: The court noted that Collman might recover attorney's fees and costs despite her award exceeding $20,000, as her pre-trial offer was more favorable than the final judgment.

Reasoning: Collman's award exceeds $20,000, potentially affecting her ability to recover attorney's fees under NRS 18.010, but she can still recover her costs.

Implied Agency Relationship

Application: The court found that Collman acted as an implied agent for Matthews, entitling her to compensation for her services.

Reasoning: The trial evidence supported the district court's finding that Collman acted as an implied agent for Matthews, justifying her claim for the reasonable value of her services.

Pre-trial Offers of Judgment in Nevada

Application: The court clarified that Nevada's rules on pre-trial offers of judgment do not preclude the offeror from recovering costs and fees if the offer was rejected.

Reasoning: Pre-trial offers of judgment in Nevada allow either party to make an offer, differing from the federal model which restricts this to defendants.

Quantum Meruit and Implied Contracts

Application: Even in the absence of an express agreement, Collman was entitled to reasonable compensation under the principles of implied contracts or quantum meruit.

Reasoning: Even without an express agreement, a broker can claim reasonable compensation based on implied contracts or quantum meruit, as established in prior cases.