Justia South Carolina Supreme Court Opinion Summaries

Overland, Inc., filed this lawsuit against Lara Nance, Bank of America, SunTrust Banks, and other defendants seeking damages arising out of Nance's embezzlement of $1,282,000 from the Land Rover dealership Overland operated in the city of Greenville. Nance pled guilty in federal court to wire fraud for stealing the money and was sentenced to 46 months in prison. Overland's theory of liability against Bank of America and SunTrust was that allowing Nance to deposit forged checks into fraudulent accounts she created breached duties the banks owed to Overland. The banks made motions for summary judgment on the ground they owed no duty to Overland, who was not a customer of either bank. The circuit court granted the motions for summary judgment, stating, "Overland [was] unable to demonstrate that [the banks] owed it any duty . . . ." The circuit court denied Overland's Rule 59(e) motion. Overland filed a notice of appeal, which the court of appeals dismissed in an unpublished opinion. Though the South Carolina Supreme Court affirmed the trial court's grant of summary judgment, the Supreme Court emphasized that a trial court does not have the power to alter or amend a final order if more than ten days passes and no Rule 59(e) motion has been served, nor does a trial court have any power to grant the moving party an extension of time in which to file a Rule 59(e) motion. The failure to serve a Rule 59(e) motion within ten days of receipt of notice of entry of the order converts the order into a final judgment, and the aggrieved party's only recourse is to file a notice of intent to appeal. View "Overland v. Nance" on Justia Law

Petitioner Charlotte-Mecklenburg Hospital Authority, d/b/a Carolinas Medical Center-Fort Mill sought a writ of certiorari to review the court of appeals' decision in Amisub of South Carolina, Inc. v. South Carolina Department of Health & Environmental Control, Op. No. 2017-UP-013 (S.C. Ct. App. filed Jan. 11, 2017). In 2005, four hospitals, Petitioner, Respondent Amisub, Presbyterian Healthcare System, and Hospital Partners of America, applied for a certificate of need (CON) to construct and operate an acute-care hospital in Fort Mill. In May 2006, the Department of Health and Environmental Control (DHEC) determined the acute-care hospital was necessary, and granted a CON to Amisub, but denied a CON to Petitioner and the others. DHEC's decision to award the CON to Amisub was based in part on its interpretation of the language of the South Carolina Health Plan that only existing health care providers in York County were eligible for additional hospital beds. Petitioner filed a contested case at the ALC, contending DHEC had erroneously interpreted the language of the Health Plan. Alternatively, Petitioner argued that if DHEC's interpretation was correct, the Health Plan violated the dormant Commerce Clause because it improperly restricted interstate commerce. The ALC found DHEC's interpretation of the Health Plan was not correct, reversed, and remanded to DHEC. The ALC's determination made it unnecessary for the ALC to reach the alternative dormant Commerce Clause claim. On remand, DHEC granted a CON to Petitioner, but denied a CON to the others. Amisub filed a second contested case at the ALC, which again reversed, this time ordering a CON be granted to Amisub and denied to Petitioner. The court of appeals affirmed, finding "the record does not show [Petitioner] presented to the ALC any argument that [Amisub]'s positions on adverse impact and outmigration, if adopted by the ALC, would violate the Dormant Commerce Clause. [Petitioner] waited until filing its Rule 59(e) motion to present this argument, which is too late." If Petitioner had reason to believe this issue was actually being litigated before the ALC in the second contested case, and yet remained silent, the South Carolina Supreme Court would have agreed with the court of appeals. However, the dormant Commerce Clause issues arising out of the language of the Health Plan were resolved in Petitioner's favor in the first contested case. Thus, Petitioner could not reasonably have foreseen the ALC would craft its order in a fashion to revive those issues. Therefore, Petitioner had no reason to raise the dormant Commerce Clause challenge in the second contested case until the ALC issued its order. “No party should be penalized for not addressing an issue as to which it had previously prevailed, and which it did not reasonably contemplate would yet be the basis of the court's ruling.” Accordingly, the Supreme Court reversed the court of appeals' finding that the dormant Commerce Clause issue was not preserved for appellate review, and remanded the case to the court of appeals for a ruling on the merits of the issue. View "Amisub v. SCDHEC" on Justia Law

The Fourth Circuit Court of Appeals certified a question of South Carolina law to the South Carolina Supreme Court. Sarah Hartsock was killed in an automobile crash on Interstate 26 in Calhoun County, South Carolina. Her personal representative, Theodore Hartsock, Jr., brought a survival and wrongful death action asserting claims under South Carolina law for negligence, strict liability, and breach of warranty. Hartsock alleged that the vehicle in which Mrs. Hartsock was riding was struck head-on by another vehicle. That vehicle had crossed the median after suffering a blowout of an allegedly defective tire that Goodyear Dunlop Tires North America Ltd. and Goodyear Tire & Rubber Company [collectively "Goodyear"] designed, manufactured, and marketed. The federal court had subject-matter jurisdiction based upon complete diversity of citizenship between the parties and damages alleged to be greater than $75,000. During pretrial discovery a dispute arose between the parties over certain Goodyear material relating to the design and chemical composition of the allegedly defective tire. Goodyear objected to producing this material, asserting that it constituted trade secrets. The district court eventually found, and Hartsock did not dispute, that the material did, in fact, constitute trade secrets. However, the court ordered Goodyear to produce the material subject to a confidentiality order. In doing so, the court applied federal discovery standards, rejecting Goodyear's contention that South Carolina trade secret law applied. The federal appellate court asked the South Carolina Supreme Court whether South Carolina recognized an evidentiary privilege for trade secrets. The South Carolina Court responded yes, but that it was a qualified privilege. View "Hartsock v. Goodyear" on Justia Law

This litigation arose after Respondent Kiawah Development Partners, II (KDP) applied for a permit to build an erosion control structure consisting of a bulkhead and revetment along the Kiawah River on Captain Sam's Spit in order to facilitate residential development of the upland property. The South Carolina Department of Health and Environmental Control (DHEC) denied the majority of the permit but granted a 270-foot portion to protect public access to Beachwalker Park. Thereafter, the Administrative Law Court (“ALC”) held a contested case hearing where KDP challenged DHEC's denial of the majority of the requested permit, and the South Carolina Coastal Conservation League (the League) contested the issuance of the permit for the 270-foot structure and sought to uphold the denial of the remainder of the permit. After the ALC ruled in favor of KDP and issued an order authorizing the installation of a bulkhead and revetment running 2,783 feet along the shoreline, both DHEC and the League appealed to this Court. The South Carolina Supreme Court reversed and remanded the ALC's order, finding several errors of law in its application of the public trust and various provisions of the Coastal Zone Management Act (CZMA). On remand, the ALC reconsidered the evidence presented at the hearing and authorized the installation of a 270-foot tandem bulkhead and revetment along the shoreline adjacent to the parking lot of Beachwalker Park, as well as a vertical bulkhead only that spanned an additional 2,513 feet along the shoreline of Captain Sam's Spit. Now on appeal, DHEC argued the ALC erred in approving the structure aside from the 270 feet protecting access to Beachwalker Park, while the League contested the entirety of the erosion control structure. The Supreme Court found a portion of the structure authorized by the ALC was not supported by substantial evidence, modified the ALC’s order and deleted the portion authorizing the permit for the bulkhead only. View "Kiawah Development v. SCDHEC" on Justia Law

Petitioner Nila Collean Carter sought to revoke her consent to the adoption of her two biological children. Throughout the proceedings, Petitioner was never provided an opportunity to be heard on the merits of her claim before the adoption was finalized. The South Carolina Supreme Court issued a writ of certiorari to review the court of appeals' unpublished decision affirming the family court's denial of Petitioner's motion to set aside the final adoption decree pursuant to Rule 60(b), SCRCP. Because Petitioner's Rule 60(b) motion was timely filed and sufficiently alleged extrinsic fraud, the Supreme Court reversed and remanded this matter to the family court for further proceedings. View "Ex Parte: Carter" on Justia Law

Respondent Otis Nero filed a workers' compensation claim alleging he sustained injuries to his back and shoulder while on the job. The single commissioner found respondent suffered an injury by accident arising out of and in the course of respondent's employment, and awarded benefits. The appellate panel reversed the decision of the single commissioner, finding respondent failed to provide timely notice of the injury. On appeal from the commission's decision, the court of appeals employed the de novo standard of review applicable to jurisdictional questions, and reversed the commission. In finding the question of timely notice was a jurisdictional question subject to de novo review, the court of appeals relied on Shatto v. McLeod Regional Medical Center, 753 S.E.2d 416 (2013) and Mintz v. Fiske-Carter Construction Co., 63 S.E.2d 50 (1951). The South Carolina Supreme Court found neither Shatto nor Mintz supported the court of appeals' use of the de novo standard. Until this case, the court of appeals consistently applied the substantial evidence standard when reviewing decisions of the commission on the question of timely notice. The Supreme Court found that under well-settled law, the commission's determination of whether a claimant gave timely notice under section 42-15-20 was not a jurisdictional determination, and had to be reviewed on appeal under the substantial evidence standard. Accordingly, the Supreme Court reversed the court of appeals and remanded for a decision under the proper standard of review. View "Nero v. SCDOT" on Justia Law

Petitioner Nila Carter sought to revoke her consent to the adoption of her two biological children. Petitioner was never provided an opportunity to be heard on the merits of her claim before the adoption was finalized. The South Carolina Supreme Court issued a writ of certiorari to review the court of appeals' unpublished decision affirming the family court's denial of Petitioner's motion to set aside the final adoption decree pursuant to Rule 60(b), SCRCP. Because Petitioner's Rule 60(b) motion was timely filed and sufficiently alleged extrinsic fraud, the South Carolina Supreme Court reversed and remanded this matter to the family court for further proceedings. View "Ex Parte: Carter" on Justia Law

This appeal presents the South Carolina Supreme Court with the opportunity to revisit Roddey v. Wal-Mart Stores E., LP, 784 S.E.2d 670 (2016), wherein the Court reversed and remanded for a new trial after determining the Court of Appeals erred in affirming the circuit court's decision granting Wal-Mart's motion for a directed verdict on the appellant's negligence action. On remand, the circuit court, believing the new trial to be limited to the negligence action, issued an order striking the negligent hiring, training, supervision, and entrustment action and barring any evidence in support of the action on the basis of res judicata. Travis Roddey, individually and as the personal representative of Alice Hancock's estate, ("Appellant") appealed the order and the Supreme Court certified the appeal pursuant to Rule 204(b), SCACR. Wal-Mart suspected Alice Hancock's sister, Donna Beckham, of shoplifting. As Beckham was exiting the store and heading for Hancock's car, Wal-Mart's employees told Derrick Jones, an on-duty Wal-Mart security guard employed with U.S. Security Associates, Inc. ("USSA"), to delay Beckham from leaving its premises. Beckham, however, got into Hancock's car and Hancock exited the parking lot and entered the highway. Jones pursued Hancock onto the highway in contravention of Wal-Mart's policies after Wal-Mart's employees repeatedly asked him to obtain Hancock's license tag. Hancock died in a single-car accident shortly thereafter. Appellant filed suit against Wal-Mart Stores East, LP, USSA, and Jones (collectively "Respondents"), alleging negligence and negligent hiring, training, supervision, and entrustment. At the conclusion of Appellant's case, Wal-Mart moved for a directed verdict on both causes of action. The circuit court granted Wal-Mart's motion and dismissed it from the case, concluding "there is insufficient evidence that Wal-Mart was negligent, or even if they were there is [a] lack of proximate cause that the events were not foreseeable." USSA subsequently moved for a directed verdict on the negligent hiring cause of action, arguing Jones had a suspended driver's license and a criminal record did not make it foreseeable that "Jones would engage in a high speed pursuit down the highway off [Wal-Mart's] premises." The court denied the motion and both the negligence action and the negligent hiring action were sent to the jury. The Supreme Court found no reversible error in the circuit court’s judgment, and affirmed it. View "Roddey v. Wal-Mart" on Justia Law

This appeal presents the South Carolina Supreme Court with the opportunity to revisit Roddey v. Wal-Mart Stores E., LP, 784 S.E.2d 670 (2016), wherein the Court reversed and remanded for a new trial after determining the Court of Appeals erred in affirming the circuit court's decision granting Wal-Mart's motion for a directed verdict on the appellant's negligence action. On remand, the circuit court, believing the new trial to be limited to the negligence action, issued an order striking the negligent hiring, training, supervision, and entrustment action and barring any evidence in support of the action on the basis of res judicata. Travis Roddey, individually and as the personal representative of Alice Hancock's estate, ("Appellant") appealed the order and the Supreme Court certified the appeal pursuant to Rule 204(b), SCACR. Wal-Mart suspected Alice Hancock's sister, Donna Beckham, of shoplifting. As Beckham was exiting the store and heading for Hancock's car, Wal-Mart's employees told Derrick Jones, an on-duty Wal-Mart security guard employed with U.S. Security Associates, Inc. ("USSA"), to delay Beckham from leaving its premises. Beckham, however, got into Hancock's car and Hancock exited the parking lot and entered the highway. Jones pursued Hancock onto the highway in contravention of Wal-Mart's policies after Wal-Mart's employees repeatedly asked him to obtain Hancock's license tag. Hancock died in a single-car accident shortly thereafter. Appellant filed suit against Wal-Mart Stores East, LP, USSA, and Jones (collectively "Respondents"), alleging negligence and negligent hiring, training, supervision, and entrustment. At the conclusion of Appellant's case, Wal-Mart moved for a directed verdict on both causes of action. The circuit court granted Wal-Mart's motion and dismissed it from the case, concluding "there is insufficient evidence that Wal-Mart was negligent, or even if they were there is [a] lack of proximate cause that the events were not foreseeable." USSA subsequently moved for a directed verdict on the negligent hiring cause of action, arguing Jones had a suspended driver's license and a criminal record did not make it foreseeable that "Jones would engage in a high speed pursuit down the highway off [Wal-Mart's] premises." The court denied the motion and both the negligence action and the negligent hiring action were sent to the jury. The Supreme Court found no reversible error in the circuit court’s judgment, and affirmed it. View "Roddey v. Wal-Mart" on Justia Law

This direct cross-appeal to the South Carolina Supreme Court involved the scope of the authority the Department of Revenue (DOR) to enforce various provisions of state law relating to the imposition of a transportation penny tax by Richland County (County) and the County's expenditure of the funds generated by the tax. After DOR conducted an audit and informed the County that DOR intended to cease future remittances to the County based on purported misuse of funds, the County filed a declaratory judgment action in circuit court, arguing DOR lacked the authority to stop payments and seeking a writ of mandamus compelling DOR to continue remitting revenues. DOR counterclaimed seeking a declaration that the County's expenditures were unlawful, an injunction to prohibit future unlawful expenditures, and alternatively, the appointment of a receiver to administer the County's tax revenues. Following a hearing, the circuit court issued a writ of mandamus compelling DOR to remit the tax revenues, denied injunctive relief, and refused to appoint a receiver. Both the County and DOR appealed. After review, the Supreme Court affirmed in all respects except it reversed the circuit court's denial of DOR's request for injunctive relief. DOR was entitled to an injunction requiring the County to expend the funds generated by the tax solely on transportation-related projects in accordance with the law. View "Richland County v. So. Carolina Dept. of Revenue" on Justia Law