Thanks for visiting! Welcome to a new way to research case law. You are viewing a free summary from Descrybe.ai. For citation checking, legal issue analysis, and other advanced tools, explore our Legal Research Toolkit — not free, but close.
Nicholas v. Jim Walter Homes, Inc.
Citations: 830 So. 2d 733; 2002 Ala. LEXIS 106; 2002 WL 538996Docket: 1002188
Court: Supreme Court of Alabama; April 12, 2002; Alabama; State Supreme Court
Jim Walter Homes, Inc. (JWH) and Mid-State Homes, Inc. (Mid-State) seek a writ of mandamus from the court to transfer a case from Fayette Circuit Court to Shelby Circuit Court. The plaintiff, Martha Joan Nicholas, claims that JWH and Mid-State wrongfully converted insurance proceeds from a fire that destroyed her house. She asserts that they lacked a security interest in the property where the house was built. JWH argues for the venue change based on the location of its principal office in Alabama and the wrongful actions occurring in Tampa, Florida, claiming that venue is improper in Fayette County. Nicholas opposes the transfer, asserting that the house is located in Fayette County, making it the correct venue under Alabama law. The trial court denied the transfer motion, referencing the statute allowing lawsuits against corporations in the county where substantial events occurred or where the property is situated. To obtain review of the venue denial, JWH and Mid-State must show that venue in Fayette County is indeed improper. The legal standard for mandamus requires a clear legal right to the order sought and the absence of other adequate remedies. Nicholas had previously contracted with JWH to build a house on her property in Fayette County and had executed a mortgage with JWH, which was later sold to Mid-State. The house was insured, and after a fire, the insurance company issued a check to Mid-State, which was then cashed and credited to Nicholas’s account. The relevant Alabama statute allows for civil actions against corporations in the county where significant events occurred, where the corporation's principal office is located, or where the plaintiff resides. Nicholas's complaint involves the conversion of insurance proceeds, defined by Alabama law as the wrongful taking, detention, or misuse of another's property. The core of the claim centers on Mid-State's wrongful dominion over the insurance proceeds, specifically an insurance check issued in Atlanta and cashed in Tampa. The court clarified that the location of the damage (Fayette County) does not impact the conversion claim, as the wrongful act occurred where the check was cashed, not where the property damage took place. Consequently, the court determined that Fayette County is not a proper venue for the action and granted a writ of mandamus for the case to be transferred to Shelby County, supporting JWH and Mid-State's request for a change of venue. The judges concurred in this decision. JWH also indicated that it conducts business through an agent in Jefferson County.