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No ‘clean hands’ in dispute over muscle car work, COA finds

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A dispute over work done on a 1973 Dodge Challenger led the Indiana Court of Appeals Monday to find the car’s owner may challenge a mechanic’s lien that a shop used to auction the car.

The 31-page opinion in Terry Banks v. Denny Jamison, d/b/a, Automotive Hammerart, 49A02-1304-PL-362, found vehicle owners have a right to challenge a mechanic’s liens when disputes arise about the work performed. The appeal attracted an amicus brief from the Automobile Dealers Association of Indiana, which argued in favor of affirming summary judgment for Denny Jamison.

Banks took the car to Jamison’s shop, but he claims Jamison did far more work than authorized, and Banks disputed a bill that exceeded $5,000. Jamison claims the work was authorized and that Banks did not contest a possessory mechanic’s lien he perfected or attempt to halt an auction of the car for which he was served notice.

The Court of Appeals panel majority affirmed summary judgment in favor of Jamison on Banks’ civil claims of theft and conversion, but it ruled that Banks may proceed with a claim in Marion Superior Court under the Deceptive Consumers Sales Act.

The majority rejected Jamison’s claim that Banks was estopped from arguing the unauthorized work was done after the mechanic’s lien was perfected. The panel also concluded the lien was invalid because there was no indication Banks was served.

"The possessory mechanic’s lien statute provides some guidance to a lien holder about the procedure for perfecting and foreclosing on a mechanic’s lien. While the statute provides that a vehicle 'may be sold at public auction' if the vehicle owner 'does not claim the vehicle and satisfy the mechanic’s lien on the vehicle,' Ind. Code § 9-22-6-2(g), the statute is silent on how or when a person may challenge a possessory mechanic’s lien," Judge Paul Mathias wrote for the majority, joined by Judge Cale Bradford.

"As we hold below, once proper service of the lien notice is obtained, unless and until the General Assembly provides for an adequate forum for the resolution of conflicting claims, the owner will have an adequate opportunity to challenge the validity of the lien, either through a replevin action or, once notified of the claimed lien, through a declaratory judgment action."
 
The ADAI in its amicus brief argued that to “permit Banks to challenge the validity of the mechanic’s lien after it has been foreclosed, and all statutory foreclosure procedures have been completed, would render the mechanic’s lien statute worse than useless.”

Mathias wrote that neither party came to the appeal with “clean hands.”

“Jamison could have offered, and Banks could have demanded, a written and signed estimate of the work to be performed that included Banks’s contact information. That single, simple step would have allowed both parties to avoid the expensive legal journey that has brought them before this court,” Mathias wrote.

The majority found that despite highly disputed facts in this case, the record shows Jamison didn’t act in bad faith. But Judge Rudolph R. Pyle III was unconvinced. He wrote that he concurred with most of the majority’s ruling but would also reverse summary judgment to allow Banks’ civil theft and conversion claims to proceed.

“This case is ripe for trial. The facts are so highly disputed that a jury is required to observe the facial expressions of the parties, listen to the tenor of their voices, and make a decision regarding their credibility. I believe Banks is being denied his day in court,” Pyle wrote.

 
 

 
 

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  1. I like the concept. Seems like a good idea and really inexpensive to manage.

  2. I don't agree that this is an extreme case. There are more of these people than you realize - people that are vindictive and/or with psychological issues have clogged the system with baseless suits that are costly to the defendant and to taxpayers. Restricting repeat offenders from further abusing the system is not akin to restricting their freedon, but to protecting their victims, and the court system, from allowing them unfettered access. From the Supreme Court opinion "he has burdened the opposing party and the courts of this state at every level with massive, confusing, disorganized, defective, repetitive, and often meritless filings."

  3. So, if you cry wolf one too many times courts may "restrict" your ability to pursue legal action? Also, why is document production equated with wealth? Anyone can "produce probably tens of thousands of pages of filings" if they have a public library card. I understand this is an extreme case, but our Supreme Court really got this one wrong.

  4. He called our nation a nation of cowards because we didn't want to talk about race. That was a cheap shot coming from the top cop. The man who decides who gets the federal government indicts. Wow. Not a gentleman if that is the measure. More importantly, this insult delivered as we all understand, to white people-- without him or anybody needing to explain that is precisely what he meant-- but this is an insult to timid white persons who fear the government and don't want to say anything about race for fear of being accused a racist. With all the legal heat that can come down on somebody if they say something which can be construed by a prosecutor like Mr Holder as racist, is it any wonder white people-- that's who he meant obviously-- is there any surprise that white people don't want to talk about race? And as lawyers we have even less freedom lest our remarks be considered violations of the rules. Mr Holder also demonstrated his bias by publically visiting with the family of the young man who was killed by a police offering in the line of duty, which was a very strong indicator of bias agains the offer who is under investigation, and was a failure to lead properly by letting his investigators do their job without him predetermining the proper outcome. He also has potentially biased the jury pool. All in all this worsens race relations by feeding into the perception shared by whites as well as blacks that justice will not be impartial. I will say this much, I do not blame Obama for all of HOlder's missteps. Obama has done a lot of things to stay above the fray and try and be a leader for all Americans. Maybe he should have reigned Holder in some but Obama's got his hands full with other problelms. Oh did I mention HOlder is a bank crony who will probably get a job in a silkstocking law firm working for millions of bucks a year defending bankers whom he didn't have the integrity or courage to hold to account for their acts of fraud on the United States, other financial institutions, and the people. His tenure will be regarded by history as a failure of leadership at one of the most important jobs in our nation. Finally and most importantly besides him insulting the public and letting off the big financial cheats, he has been at the forefront of over-prosecuting the secrecy laws to punish whistleblowers and chill free speech. What has Holder done to vindicate the rights of privacy of the American public against the illegal snooping of the NSA? He could have charged NSA personnel with violations of law for their warrantless wiretapping which has been done millions of times and instead he did not persecute a single soul. That is a defalcation of historical proportions and it signals to the public that the government DOJ under him was not willing to do a damn thing to protect the public against the rapid growth of the illegal surveillance state. Who else could have done this? Nobody. And for that omission Obama deserves the blame too. Here were are sliding into a police state and Eric Holder made it go all the faster.

  5. JOE CLAYPOOL candidate for Superior Court in Harrison County - Indiana This candidate is misleading voters to think he is a Judge by putting Elect Judge Joe Claypool on his campaign literature. paragraphs 2 and 9 below clearly indicate this injustice to voting public to gain employment. What can we do? Indiana Code - Section 35-43-5-3: Deception (a) A person who: (1) being an officer, manager, or other person participating in the direction of a credit institution, knowingly or intentionally receives or permits the receipt of a deposit or other investment, knowing that the institution is insolvent; (2) knowingly or intentionally makes a false or misleading written statement with intent to obtain property, employment, or an educational opportunity; (3) misapplies entrusted property, property of a governmental entity, or property of a credit institution in a manner that the person knows is unlawful or that the person knows involves substantial risk of loss or detriment to either the owner of the property or to a person for whose benefit the property was entrusted; (4) knowingly or intentionally, in the regular course of business, either: (A) uses or possesses for use a false weight or measure or other device for falsely determining or recording the quality or quantity of any commodity; or (B) sells, offers, or displays for sale or delivers less than the represented quality or quantity of any commodity; (5) with intent to defraud another person furnishing electricity, gas, water, telecommunication, or any other utility service, avoids a lawful charge for that service by scheme or device or by tampering with facilities or equipment of the person furnishing the service; (6) with intent to defraud, misrepresents the identity of the person or another person or the identity or quality of property; (7) with intent to defraud an owner of a coin machine, deposits a slug in that machine; (8) with intent to enable the person or another person to deposit a slug in a coin machine, makes, possesses, or disposes of a slug; (9) disseminates to the public an advertisement that the person knows is false, misleading, or deceptive, with intent to promote the purchase or sale of property or the acceptance of employment;

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