Thompson Funeral Homes, Inc. v. Alderwoods Group, Inc.
Docket: No. 20020341
Court: North Dakota Supreme Court; June 3, 2003; North Dakota; State Supreme Court
Thompson Funeral Home, Inc. appealed a summary judgment that dismissed its claim to $176,621.15 held in a checking account at Garrison State Bank and Trust. The district court ruled that Thompson did not establish a genuine issue of material fact regarding its entitlement to the funds, determining that the funds belonged to Alderwoods Group, Inc. Dennis and Clara Thompson originally owned the funeral home but sold it to Loewen Group International, Inc., which continued to use the account. Following Loewen's bankruptcy in 1999, Thompson filed an unsecured claim for the purchase price balance, but all cash assets remained with Loewen, which later renamed itself Alderwoods. Garrison State Bank initiated the action to determine the rightful claimant to the funds, resulting in both Thompson and Alderwoods asserting claims. The court granted Alderwoods' summary judgment motion, concluding Thompson lacked sufficient evidence to support its claim. On appeal, Thompson argued that genuine issues of material fact existed. In response, Alderwoods maintained that Thompson did not provide adequate documentation or evidence to demonstrate a legal claim to the funds. The court's evaluation for summary judgment considered various evidentiary materials and emphasized that a nonmoving party must present substantial evidence to counter a motion for summary judgment. Ultimately, it was highlighted that if only one conclusion can be drawn from the evidence, a summary judgment may be appropriate.
Thompson's claim to funds in a disputed bank account was denied by the district court, which found that Thompson failed to present competent evidence supporting its claim. The court noted that Thompson sold its funeral home business in 1996, receiving credit and funds as per the purchase agreement, thereby relinquishing any claim to the bank account. The mere existence of a signature card five years later did not establish an interest in the account. Additionally, Thompson's unsecured debt resulting from Alderwoods' predecessor's bankruptcy did not grant rights to the account funds.
Thompson's assertion that it was owed a $62,257.48 credit from the sale of the business was contradicted by the closing statement, which confirmed receipt of that credit. Despite the contract allowing for a final asset calculation within 60 days, Thompson did not provide evidence of any discrepancies. During deposition, Dennis Thompson admitted that the account was "zeroed out" during the sale to Loewen, indicating that all cash was withdrawn, further undermining Thompson's position.
Thompson also claimed entitlement to the funds based on a repurchase of the funeral home from Vertin, but Alderwoods presented evidence showing that all cash assets were retained during the transfer from Loewen to Vertin. Thompson did not provide documentation to dispute this, failing to demonstrate that its repurchase included the disputed account funds.
Ultimately, the court concluded that Thompson did not raise a genuine issue of material fact regarding its claim to the funds and affirmed the summary judgment dismissing the claim.
