{ "id": 1709307, "name": "Robert J. BROWN, Trustee in Bankruptcy for INTERNATIONAL FRANCHISOR'S, INC. et al v. Don PHILLIPS et al", "name_abbreviation": "Brown v. Phillips", "decision_date": "1980-10-01", "docket_number": "CA 80-174", "first_page": "534", "last_page": "538", "citations": [ { "type": "official", "cite": "270 Ark. 534" }, { "type": "parallel", "cite": "606 S.W.2d 85" } ], "court": { "name_abbreviation": "Ark. Ct. App.", "id": 13370, "name": "Arkansas Court of Appeals" }, "jurisdiction": { "id": 34, "name_long": "Arkansas", "name": "Ark." }, "cites_to": [ { "cite": "256 Ark. 569", "category": "reporters:state", "reporter": "Ark.", "case_ids": [ 8723020 ], "weight": 2, "year": 1974, "opinion_index": 0, "case_paths": [ "/ark/256/0569-01" ] }, { "cite": "238 Ark. 974", "category": "reporters:state", "reporter": "Ark.", "case_ids": [ 1734167 ], "weight": 2, "year": 1965, "opinion_index": 0, "case_paths": [ "/ark/238/0974-01" ] } ], "analysis": { "cardinality": 340, "char_count": 5786, "ocr_confidence": 0.697, "pagerank": { "raw": 4.03580807328026e-08, "percentile": 0.06449101858834241 }, "sha256": "98384ebcdfdf3c0d31e5719b61e98dc2a5c388d8205a780cf42d94ddf79d0422", "simhash": "1:1f96c473079c9228", "word_count": 908 }, "last_updated": "2023-07-14T16:40:39.197564+00:00", "provenance": { "date_added": "2019-08-29", "source": "Harvard", "batch": "2018" }, "casebody": { "judges": [], "parties": [ "Robert J. BROWN, Trustee in Bankruptcy for INTERNATIONAL FRANCHISOR\u2019S, INC. et al v. Don PHILLIPS et al" ], "opinions": [ { "text": "George Howard, Jr., Judge.\nThis is an appeal by Robert J. Brown, Trustee in Bankruptcy for International Franchisor\u2019s, Inc. and Paco\u2019s Hacienda, Inc., from orders sustaining demurrers filed by appellees and overruling appellant\u2019s motion for summary judgment in an action against the shareholders of International Franchisor\u2019s, Inc. and Paco\u2019s Hacienda, Inc., to recover $163,348.47.\nThe essential facts are:\nPaco\u2019s Hacienda, Inc. and International Franchisor\u2019s, Inc. are corporations organized under the laws of the State of Arkansas. In fact, Paco is a subsidiary of International.\nOn January 20, 1973, Paco purchased the assets and trade name of Arkansas Catering Service, Inc., an Arkansas corporation. On February 16, 1973, the corporate charter of Paco was revoked for nonpayment of franchise tax; and on February 21, 1975, the corporate charter of International was revoked for nonpayment of franchise tax.\nSubsequent to February 21, 1975, Arkansas Catering Service, Inc. incurred an indebtedness in the sum of $163,-348.47. On March 18, 1977, creditors of Paco and International initiated involuntary bankruptcy proceedings against these corporations.\nOn October 2, 1978, the trustee in bankruptcy instituted an action against the shareholders of International contending that they were personally liable for the debts of International, Paco and Arkansas Catering Service.\nAppellant also alleged in his complaint that Arkansas Leasing Company was a partnership existing between shareholders, Walter O\u2019Neal and Don Phillips; that the partnership removed assets belonging to Paco to Kansas City, Kansas, and sold them to Real Equities, Inc. of Kansas City, Kansas; and that Arkansas Leasing Company should be required to render an accounting.\nThe appellees, consisting of approximately 48 individuals, either filed answers, demurrers, amended answers or motions for summary judgment.\nPursuant to the demurrers and motions for. summary judgment, the trial court entered the following orders on September 17, 1979, and October 16, 1979:\n\u201cThe demurrers and motions for summary judgment filed on behalf of all parties who had no relationship to the corporations in question either as a stockholder, officer or director after February 21, 1975, are sustained and said parties are dismissed from this lawsuit.\n\u201cThe Court further finds as to the other parties herein who were officers and/or board members that the plaintiff has ten days from the date of this Order to plead, further and state a cause of action with respect to these parties.\u201d\n\u201cThat the plaintiff s Motion for Summary Judgment is hereby overruled.\n\u201cThat the various defendants\u2019 motions to dismiss plaintiffs complaint without prejudice is hereby overruled.\n\u201cIn conformity with this Court\u2019s Order by Special Judge Riffel, signed September 17, 1979, it is hereby held that plaintiffs complaint fails to state sufficient facts to constitute a cause of action.\n\u201cPlaintiff is hereby granted ten (10) days in which to file an Amended Complaint alleging sufficient facts upon which relief can be granted.\n\u201cA trial of this matter is set for May 5, 1980.\u201d\n\u201c1. Robert J. Brown, Trustee in bankruptcy, plaintiff, appeals from the provisions of the second and fourth paragraphs ... of the order of September 17, 1979 ... and from the provisions of paragraphs three and four of the order of October 16, 1979\nIn Coffelt v. Gordon, 238 Ark. 974, 385 S.W. 2d 939 (1965), the Arkansas Supreme Court made the following pertinent observation:\n\u201c. . . [U]nder our settled rule ... an order which merely sustains a demurrer, without dismissing the complaint, is not a final appealable order. ...\u201d\nIn Bawcom v. Allis-Chalmers, 256 Ark. 569, 508 S.W. 2d 741 (1974), the Arkansas Supreme Court also commented:\n\u201cThe denial of [a] motion for summary judgment, being merely interlocutory, is not a final order and, therefore is not reviewable on appeal.\u201d\nThe trial court, in sustaining the demurrers in the two orders set forth gave the plaintiff ten days in which to plead further and a trial was scheduled for May 5, 1980. The court did not dismiss the plaintiffs complaint. It is clear under Bawcom and Coffelt that as far as these orders dealt with the demurrers and plaintiff s motion for summary judgment, these orders were not appealable, and, accordingly, the appeal is dismissed.\nWhile paragraph 2 of the order of September 17, 1979, involving demurrers and motions for summary judgment on behalf of \u201call parties who had no relationship to the corporations in question either as a stockholder, officer or director after February 21, 1975, are sustained and said parties are dismissed from this lawsuit\u201d is final and appealable, we are unable to review this matter inasmuch as the order does not identify persons affected, nor is it indicated in what way appellant has been prejudiced by the trial court\u2019s ruling. Consequently, we reverse and remand to the trial court for further proceedings not inconsistent with this observation.\nAppeal dismissed, except the case is reversed and remanded as to the dismissal of appellant\u2019s complaint to \u201call parties who had no relationship to the corporations in question either as a stockholder, officer or director after February 21, 1975.\u201d", "type": "majority", "author": "George Howard, Jr., Judge." } ], "attorneys": [ "Robert J. Brown, P.A., by: Robert J. Brown, for appellant.", "Davidson, Plastiras, Horne, Hollingworth & Arnold, Ltd., by: Michael 0. Parker; Wallace, Hilburn, Clayton, May & Calhoon, Ltd, by: Charles E. Smith; E. Winton Mclnnis; Milas Hale; Jack Sims; Hugh Spinks; John B Thurman; Eich\u00e9nbaum, Scott, Miller, Crockett, Darr & Hawk, P.A., by: Boyce E. Hawk, for appellees." ], "corrections": "", "head_matter": "Robert J. BROWN, Trustee in Bankruptcy for INTERNATIONAL FRANCHISOR\u2019S, INC. et al v. Don PHILLIPS et al\nCA 80-174\n606 S.W. 2d 85\nCourt of Appeals of Arkansas\nOpinion delivered October 1, 1980\nRobert J. Brown, P.A., by: Robert J. Brown, for appellant.\nDavidson, Plastiras, Horne, Hollingworth & Arnold, Ltd., by: Michael 0. Parker; Wallace, Hilburn, Clayton, May & Calhoon, Ltd, by: Charles E. Smith; E. Winton Mclnnis; Milas Hale; Jack Sims; Hugh Spinks; John B Thurman; Eich\u00e9nbaum, Scott, Miller, Crockett, Darr & Hawk, P.A., by: Boyce E. Hawk, for appellees." }, "file_name": "0534-01", "first_page_order": 562, "last_page_order": 566 }