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Heretyk v. P. M. A. Cemeteries, Inc.

Citations: 272 Ga. App. 79; 611 S.E.2d 744; 2005 Fulton County D. Rep. 767; 2005 Ga. App. LEXIS 223Docket: A04A2065

Court: Court of Appeals of Georgia; March 9, 2005; Georgia; State Appellate Court

Narrative Opinion Summary

The case involves a lawsuit filed by a shareholder against PMA Cemeteries, Inc. and its executives for unpaid compensation allegedly owed since 1982. The plaintiff sought recovery based on breach of contract and unjust enrichment, among other claims, but faced a statute of limitations defense. The trial court granted partial summary judgment in favor of PMA, finding that claims prior to October 9, 1996, were time-barred under the four-year statute of limitations. The plaintiff argued for tolling the statute based on allegations of fraud and a breach of fiduciary duty, claiming a trusted relationship imposed a disclosure obligation on PMA. However, the court concluded that the plaintiff failed to establish actual fraud necessary for tolling, as mere promises of future payment did not constitute actionable fraud. The court upheld the summary judgment, as the plaintiff's arguments lacked persuasive evidence of intent to deceive. The appellate court affirmed the trial court's decision, without addressing the alter ego liability theory against other individuals due to its absence from the trial court's rulings.

Legal Issues Addressed

Fiduciary Duty and Fraud

Application: Heretyk argued a fraudulent breach of duty to disclose due to a fiduciary relationship but failed to demonstrate intent to deceive or actionable fraud.

Reasoning: Heretyk contends that summary judgment for PMA was improperly granted because he presented evidence of a fraudulent breach of a duty to disclose, arising from a trusted relationship.

Fraudulent Concealment and Tolling of Statute of Limitations

Application: Heretyk failed to prove actual fraud or concealment that would toll the statute of limitations under OCGA § 9-3-96.

Reasoning: Heretyk argued that he had sufficient evidence to contest the summary judgment and claimed the statute should be tolled under OCGA § 9-3-96, which requires proof of actual fraud, concealment of the cause of action, and reasonable diligence by the plaintiff in discovering the cause of action.

Promises of Future Payment and Fraud Claims

Application: Promises of future payment do not constitute fraud since they relate to future actions rather than present or past facts.

Reasoning: Such promises do not qualify as fraud since they pertain to future actions rather than existing or past facts.

Statute of Limitations in Contract Disputes

Application: The plaintiff's claims for unpaid compensation dating back to 1982 were barred by the expiration of the four-year statute of limitations.

Reasoning: Affirmation of partial summary judgment was granted to PMA Cemeteries, Inc. and its executives in Chester Heretyk, Jr.’s lawsuit for unpaid compensation dating back to 1982, citing the expiration of the four-year statute of limitations.

Summary Judgment Standards

Application: The court applied a de novo review standard for summary judgment, affirming that it is appropriate when no genuine issue of material fact exists.

Reasoning: The court applied a de novo review standard, emphasizing that summary judgment is appropriate when no genuine issue of material fact exists.