the Meisner Law Group v. Weston Downs Condominium Association
the Meisner Law Group v. Weston Downs Condominium Association
Opinion
Plaintiff, the Meisner Law Group, PC, brought this action for attorney fees in circuit court, asserting that "[t]he amount in controversy exceeds $25,000." Plaintiff alleged three theories for relief: (1) quantum meruit or unjust enrichment under an unexecuted, proposed contingent-fee agreement, (2) breach of an existing written retainer contract, and (3) that defendant misrepresented that it would fairly compensate plaintiff for the work plaintiff would perform. The circuit court entered an order on February 24, 2016, granting defendant Weston Downs Condominium Association's motion for summary disposition under MCR 2.116(C)(4). The court found that neither plaintiff's complaint nor the evidence that plaintiff submitted created a question of fact that plaintiff's claims might exceed $25,000. The circuit court also determined that plaintiff's claims were frivolous, ruling that it would award defendant its attorney fees in an amount to be determined at a later hearing. 1 The circuit court entered an order denying plaintiff's motion for reconsideration. Plaintiff now appeals by right. We affirm.
I. SUMMARY OF UNDERLYING FACTS
On May 24, 2013, plaintiff and defendant entered into a general retention agreement (GRA), whereby defendant retained plaintiff as legal counsel to provide legal services within an hourly rate range for attorneys and within a lesser hourly rate range for the law firm's other employees. The GRA provided that plaintiff would send defendant statements containing "[a]n itemized description of services rendered" and that defendant would pay the statements within 15 days of receiving them. The GRA further provided that defendant would be given 15 days of notice regarding any change in the hourly rates stated in the agreement and that "[e]xcept for the change in the hourly rates and flat fees, the terms and conditions of this retention agreement shall remain in effect, unless superseded by another fee agreement." The GRA contemplated that a separate agreement regarding fees might be required for work on a "major claim," providing:
The rates quoted in this letter are with respect to general work performed on behalf of the Association. Should a major claim in behalf of or against the Association arise, a separate fee agreement would be established.
On May 13, 2015, defendant sought plaintiff's counsel regarding its concerns that the developer of the condominiums, Mondrian Properties Weston Downs, LLC, *894 had sold or transferred the last three remaining condominium units to its three principal members, who intended to use the units as rental properties. Defendant sought to amend the association's bylaws and other documents to limit or prevent rentals and to review potential claims defendant may have against the developer regarding ownership of the units and liability for association fees. Plaintiff provided advice regarding potential legal claims against the developer and drafted the necessary documents to amend the association's bylaws. Defendant paid plaintiff's invoices for these services under the GRA in the amount of $5,667.
Believing that the matters regarding the developer concerned a "major claim," plaintiff, through Robert Meisner, wrote an e-mail to defendant's president on May 15, 2015, "enclosing a proposed fee agreement for consideration by the Board of Directors exclusively in regard to the Developer suit." This transmittal letter asked defendant's board to review the proposal "at your earliest convenience and presuming it is satisfactory, please have it signed and return it to me together with the initial retainer so that we can begin obtaining experts and otherwise preparing the claim." A second letter of the same date that contained the proposed retainer agreement began by stating that "[t]his letter will serve to set forth this firm's fee arrangement and proposal in connection with our representation of Weston Downs Condominium Association regarding the prosecution of a claim and/or commencement of a lawsuit against those persons or entities responsible...." The proposed retainer agreement specified hourly rates that were slightly less than those in the GRA and, in addition to the hourly rates, provided:
"the Association shall pay the following contingency fee with respect to the litigation: fifteen (15%) percent of the value of all ... benefits of any kind realized, paid to, and/or received by the Association ... whether by way of settlement, agreement, case evaluation award, arbitration award, judgment, alternative dispute resolution, or otherwise ....
The proposed retainer agreement also stated that "[i]f the contents of this Agreement are satisfactory to the Board of Directors, please have two (2) representatives authorized by the Board of Directors date and sign the Agreement on behalf of the Association in the spaces provided below as well as the representative claimant ...." The next paragraph of the proposed retainer agreement stated, "The effective date of this Agreement shall be upon a receipt of this signed agreement by the Board of Directors of the Association, and receipt of a retainer in the amount of $5,000." It is undisputed that defendant's board never authorized the proposed agreement, authorized board members never signed the proposed agreement, and defendant never paid plaintiff the required $5,000 retainer.
In an e-mail exchange between defendant's board member, Rick Bonus, and one of plaintiff's attorneys, Dan Feinberg, on June 1, 2015, defendant posed nine additional legal questions concerning potential claims the Association may have against the developer. Feinberg responded with answers to the questions posed in an e-mail of June 4, 2015. It is undisputed that although defendant's representatives repeatedly invited plaintiff to invoice defendant for these services so that they could be paid, plaintiff never did so. It is also undisputed that the work to prepare the June 4, 2015 e-mail was the last legal service plaintiff performed for defendant.
Through June and July 2015, representatives of plaintiff queried defendant's representatives concerning the status of defendant's *895 intent regarding potential claims against the developer. Defendant's representatives responded that the Board was still considering its options. Plaintiff responded in a letter of June 11, 2015 by its principal, Robert Meisner, stating that defendant had taken plaintiff's valuable advice and proceeded on its own. Meisner noted that although defendant had not signed the proposed retainer agreement, plaintiff expected that it would be compensated for the "fair value" of its services. Meisner wrote an e-mail on August 7, 2015, to one of defendant's board members requesting clarification of defendant's position. Meisner stated that if he received no response within 7 days, he would assume that defendant no longer desired plaintiff's services, and that plaintiff would "notify the developer that we retain an attorney's lien on any [recovery and] ... we are entitled to the fair value of our services."
Defendant's Board responded to the August 7, 2015 e-mail of Meisner an August 11, 2015 letter signed by all three Board members, which stated, in pertinent part: "[P]lease be advised that the Board of Directors is not contemplating any legal action at this time against the developer and therefore no longer wishes your firm to provide any future services. Furthermore, as you note in your email, the Association has no[t] signed [the] engagement letter with your firm with respect to any such litigation."
Plaintiff responded in an August 18, 2015, letter by Meisner to the Board's president, Rose Ann Schmitt. Meisner expressed his shock at defendant's "lack of good faith" and accused defendant's Board of "using our work-product without our knowledge or consent to obtain substantial benefits for the Association." Meisner also "advised that unless you provide this firm with full disclosure as to what has transpired between the Association and the Developer since our email to the Board of June 4, 2015, we will have no choice but to not only file an attorney's lien, but to institute litigation to seek the information through the discovery process...." Meisner also threatened that plaintiff would "consider proceeding against [Schmitt] personally for what I consider to be a fraud on this firm."
On September 18, 2015, plaintiff filed its three-count complaint against defendant in the Oakland Circuit Court. As noted, plaintiff's complaint alleged (1) quantum meruit or unjust enrichment, (2) breach of the GRA, and (3) misrepresentation that defendant would compensate plaintiff for the "fair value" of its work. The essence of plaintiff's unjust-enrichment claim is stated in Paragraph 16, "The Board accepted the benefits of the [plaintiff's] advice, and, on information and belief, used this special advice and information to leverage a settlement with the developer." Plaintiff never produced any evidence of a "settlement" between defendant and the developer.
Defendant responded to plaintiff's original complaint on October 19, 2015 with a motion for summary disposition under MCR 2.116(C)(4), (8), and (10), and for sanctions pursuant to MCR 2.114(E) and (F), MCR 2.625(A)(2), and MCL 600.2591. Thereafter, plaintiff filed, on November 2, 2015, a first amended complaint with minor editorial changes from the original complaint. Defendant filed a response to the amended complaint, noting that nothing in the amended complaint "remedied the misdeeds that warrant the imposition of sanctions against [plaintiff] pursuant to MCR 2.114(E) and (F), MCR 2.625(A)(2), and MCL 600.2591," so defendant stood on its previously filed motion for summary disposition. That motion, with respect MCR 2.116(C)(4), asserted that plaintiff "has not produced and cannot produce any evidence to support its vacant claim that *896 the 'amount in controversy exceeds $25,000.' "
The hearing on defendant's motion for summary disposition occurred on February 24, 2016. At the hearing, defendant was permitted to file an affidavit by Joseph Maniaci, a manager of the developer. Maniaci averred that no litigation had ever existed between defendant and the developer and that defendant had asserted no claims against the developer since May 24, 2013. 2 Otherwise, both parties stood on their written submissions. The circuit court dismissed plaintiff's complaint without prejudice on the basis that plaintiff's claim could not exceed $25,000. The court ruled that neither plaintiff's complaint nor any evidence that plaintiff had submitted created a question of fact that plaintiff's claims might exceed $25,000. The circuit court also determined that plaintiff's claims were frivolous and ruled that it would determine an award of attorney fees at a later hearing. No further hearings were held in the circuit court. Plaintiff appeals by right.
II. AMOUNT IN CONTROVERSY
A. PRESERVATION
Plaintiff preserved this issue for appellate review by presenting it to the circuit court, which addressed and decided the issue.
3
Walters v. Nadell
,
B. STANDARD OF REVIEW
This Court reviews de novo "a trial court's decision to grant or deny summary disposition."
Cairns v. East Lansing
,
MCR 2.116(C)(4) permits a trial court to dismiss a complaint when "[t]he court lacks jurisdiction of the subject matter." A motion under Subrule (C)(4) may be supported or opposed by affidavits, depositions, admissions, or other documentary evidence. MCR 2.116(G)(2). When affidavits, depositions, admissions, or other documentary evidence are submitted with a motion under MCR 2.116(C)(4), they "must
*897
be considered by the court." MCR 2.116(G)(5). So, when reviewing a motion for summary disposition brought under MCR 2.116(C)(4) that asserts the court lacks subject-matter jurisdiction, the court must determine whether the pleadings demonstrate that the defendant is entitled to judgment as a matter of law, or whether the affidavits and other proofs show that there was no genuine issue of material fact.
Summer v. Southfield Bd. of Ed.
,
C. ANALYSIS
In this civil action which the undisputed facts show that the amount in controversy could not exceed $25,000, the circuit court properly granted summary disposition under MCR 2.116(C)(4) because it lacked subject-matter jurisdiction, which lay exclusively with the district court. MCL 600.605 ; MCL 600.8301(1) ;
Clohset v. No Name Corp. (On Remand)
,
Michigan's Constitution provides in pertinent part, that "judicial power of the state is vested exclusively in one court of justice which shall be divided into one supreme court, one court of appeals, one trial court of general jurisdiction known as the circuit court, ... and courts of limited jurisdiction that the legislature may establish...." Const. 1963, art. 6, § 1. Under this authority, the Legislature enacted MCL 600.605
4
and MCL 600.8301(1)
5
that plainly combine, when no other jurisdictional statute applies, to deprive the circuit court of jurisdiction over civil actions "when the amount in controversy does not exceed $25,000.00." MCL 600.8301(1). Our Supreme Court explained, "Although circuit courts are courts of general jurisdiction, with original jurisdiction to hear and determine all civil claims and remedies, circuit courts do not have jurisdiction in matters in which jurisdiction is given exclusively by constitutional provision or by statute to another court."
Bowie
,
But Michigan's judiciary have long held that the circuit court is not deprived of subject-matter jurisdiction when a plaintiff claims damages in excess of the jurisdictional amount but the judge or jury returns a verdict of an amount less than the jurisdictional limit. See, e.g.,
Fox v. Martin
,
In
Hodge v. State Farm Mut. Auto. Ins. Co.
,
Does the
Hodge
rule-courts determine the "amount in controversy" solely by the prayer for relief in the plaintiff's pleadings-apply to this case, in which plaintiff pleaded that the "amount in controversy exceeds $25,000" but the circuit court determined, on the basis of the documentary evidence that the parties submitted on defendant's motion for summary disposition under MCR 2.116(C)(4), that the undisputed facts showed the amount in controversy could not exceed $25,000? Stated otherwise, the first question is whether "the amount in controversy" of a civil action filed in the circuit court is determined, for purposes of subject-matter jurisdiction, solely on the basis of the amount claimed in the complaint? According to the authority set forth in the "Standard of Review section of this opinion," the answer is no. The Michigan Court Rules of 1985 require a circuit court, when its jurisdiction is challenged with a motion brought under MCR 2.116(C)(4), to consider the "affidavits, depositions, admissions, or other documentary evidence" that the parties may submit "to support or oppose the grounds asserted in the motion." MCR 2.116(G)(2). See also MCR 2.116(G)(5) ;
Moody
,
Additionally, as already noted, the
Hodge
rule does not apply when a party's pleadings are made in bad faith.
Hodge
,
Hodge
is further distinguished from the present case because it addressed the limited jurisdiction of the district court, in which damages may not be obtained in excess of its limited jurisdiction of $25,000.
Hodge
,
In this case, the circuit court correctly ruled on the basis of the documentary evidence submitted that plaintiff could not prove, or more accurately could not create a question of fact, that its claim for compensation for legal services under any of the theories advanced could exceed the $25,000 jurisdictional limit of the circuit court. The undisputed evidence showed that plaintiff had performed legal research and answered certain questions posed by defendant's representative. The questions were posed on June 1, 2015 in an e-mail and answered by one of plaintiff's attorneys in an e-mail on June 4, 2015. It is undisputed that when these legal services were rendered, there was a written agreement (the GRA) between plaintiff and defendant providing for a top hourly attorney rate of $325. Although defendant requested that plaintiff send an invoice for these services so that defendant could pay plaintiff for the work performed, plaintiff never did. Looking at these facts in a light most favorable to plaintiff, we note that if these legal services required 32 hours of attorney time at $325 per hour, the total amount due would be $10,400. If this amount were increased by 50% for any support staff services and for winding up plaintiff's legal representation of defendant, the total expense would still be under $16,000. In sum, the undisputed evidence showed that plaintiff's claim for unpaid legal services under any theory "could not be proved" to exceed $25,000.
Hodge
,
Plaintiff argues that its claim for the "fair value" for its services would be in excess of $25,000 by relying on a proposed "major claims" retainer agreement that contained both hourly rates less than the GRA and a contingent fee based on any judgment or settlement that defendant might obtain. It is undisputed the proposed hybrid retainer agreement with the contingent fee clause never became effective because no authorized representatives of defendant's governing board ever signed it, nor did defendant pay a required retainer fee. Nevertheless, plaintiff argues that the unexecuted contingent-fee agreement would be an appropriate measure of the value of its services under both plaintiff's quantum meruit or unjust enrichment theory and its claim that defendant misrepresented that it would fairly compensate plaintiff. These theories contemplate that plaintiff be compensated for the benefit plaintiff's legal work conferred on defendant. "The essential elements of [an unjust enrichment] claim are (1) receipt of a benefit by the defendant from the plaintiff, and (2) which benefit it is inequitable that the defendant retain."
B & M Die Co.
v.
Ford Motor Co.
,
*901
The undisputed facts do not support plaintiff's claim that defendant received a valuable settlement on the basis of plaintiff's advice, i.e., that defendant received a benefit that it would be unjust to retain. The contingent-fee agreement was proposed to pursue claims against the condominium developer and would have been invoked if litigation had been initiated or a claim made and a judgment, award, or settlement entered. But the undisputed facts show that none of these events occurred. Defendant's August 11, 2015 letter to plaintiff informed plaintiff that defendant did not intend to pursue legal action against the developer. The affidavit of the developer's manager averred that no litigation had ever existed between defendant and the developer and that defendant had asserted no claims against the developer since the GRA was executed. Accordingly, there was no evidence to support a claim that defendant unjustly or fraudulently received a benefit on the basis of legal services plaintiff provided. So the undisputed evidence showed that plaintiff's claim for unpaid legal services under a theory of quantum meruit or unjust enrichment or fraudulent misrepresentation "could not be proved" to exceed 25,000.
Hodge
,
Instead of producing evidence of a settlement between defendant and the developer, plaintiff only presents speculation that one occurred based on plaintiff's characterization that defendant was being "astonishingly secretive and unresponsive" to plaintiff's several requests for information during June and July 2015. From this speculation, plaintiff inferred that defendant had entered into a valuable settlement with the developer that was procured on the basis of the legal advice plaintiff had provided. But "[a] party opposing a motion for summary disposition must present more than conjecture and speculation to meet its burden of providing evidentiary proof establishing a genuine issue of material fact."
Cloverleaf Car Co. v. Phillips Petroleum Co.
,
Plaintiff also argues that he did not have a chance to prove his claim because summary disposition was granted before discovery occurred. In general, summary disposition is premature if granted before discovery on a disputed issue is complete.
Marilyn Froling Revocable Living Trust v. Bloomfield Hills Country Club
,
*902
Froling Trust
,
Plaintiff also argues that its claim is supported because this instance is the second time that defendant had sought and obtained significant legal advice regarding major claims against the developer and afterward become "uncommunicative." Although plaintiff alleged a similar incident occurred in 2013-2014, plaintiff presented no evidence to support the claim. A circuit court's review is limited to the evidence that is presented to the court at the time the motion was decided. See
Innovative Adult Foster Care
,
Inc. v. Ragin
,
In summary, the undisputed evidence showed that plaintiff's claim for unpaid legal services under any theory "could not be proved" to exceed $25,000.
Hodge
,
III. EQUITABLE IN NATURE
Plaintiff also argues that regardless of the amount in controversy, the circuit court had jurisdiction of its complaint because its claims were equitable in nature. Plaintiff argues that under MCL 600.8302 and MCL 600.8315, the district court did not have jurisdiction; therefore, jurisdiction lay in the circuit court as the court of general jurisdiction that has jurisdiction in equitable matters except as limited by Michigan's Constitution or by statute. See MCL 600.601(1)(b) ; MCL 600.605 ;
Bowie
,
A. PRESERVATION AND STANDARD OF REVIEW
Plaintiff did not preserve this issue for appellate review by presenting it to and obtaining a ruling from the circuit court.
Walters
,
Whether a court has subject-matter jurisdiction presents a question of law that is reviewed de novo.
Teddy 23, LLC v. Mich. Film Office
,
B. ANALYSIS
This issue is one of first impression. Must a claim of quantum meruit be brought in circuit court because it is "equitable in nature"? See MCL 600.8315. We *903 conclude that because plaintiff sought only legal relief-money damages-the district court "has exclusive jurisdiction" of this civil action where "the amount in controversy does not exceed $25,000.00." MCL 600.8301(1) ; MCL 600.605.
Plaintiff argues that its quantum meruit claim is "equitable in nature" and therefore must be brought in the circuit court because the district court lacks general equitable jurisdiction. This Court has opined that "while a claim for contract damages is legal in nature, a claim of quantum meruit is equitable in nature."
Morris Pumps v. Centerline Piping, Inc.
,
Plaintiff first argues that under MCL 600.8302, the district court does not have equitable jurisdiction of its quantum meruit claim. Plaintiff contends that MCL 600.8302 limits the district court's equitable jurisdiction to cases brought under Chapter 84 8 (small claims), MCL 600.8401 et seq. ; Chapter 57 (summary proceedings), MCL 600.5701 et seq. ; Chapter 31 (foreclosures of land contracts), MCL 600.3101 et seq. ; Chapter 33 (partition of lands), MCL 600.3301 et seq. ; or Chapter 38 (public nuisances), MCL 600.3801 et seq. Because none of these grants of equitable jurisdiction applies to plaintiff's unjust-enrichment claim, plaintiff reasons that, its equitable unjust-enrichment claim must come within the circuit court's general jurisdiction under MCL 600.605, which includes "all civil claims and remedies, except where exclusive jurisdiction is given in the constitution or by statute to some other court ...." This conclusion, plaintiff contends, is supported by MCL 600.8302, which provides that district courts only have equitable jurisdiction to the limited extent permitted in that section.
Defendant correctly argues that plaintiff misreads MCL 600.8302(1). The statute provides, in pertinent part, "In
addition
to the civil jurisdiction provided in sections 5704 and 8301, the district court has equitable jurisdiction and authority concurrent with that of the circuit court in the matters and to the extent provided by this section."
Id
. (emphasis added). By its plain terms, § 8302 is a grant of
additional
jurisdiction to the district court that is concurrent with that of the circuit court. The statute specifically delineates this grant-"the extent provided by this section"-but nowhere
*904
limits the grant of jurisdiction provided by other statutory provisions, including § 8301. If a claim specified in § 8302 is brought in the district court, this Court has held that the district court has jurisdiction even when the amount in controversy exceeds the jurisdictional "amount in controversy" limitation of § 8301. See
Clohset
,
Plaintiff's other argument, raised for the first time in its reply brief, is more problematic. Plaintiff cites MCL 600.8315, which provides, in pertinent part, "The district court shall not have jurisdiction in actions for injunctions, divorce or actions which are historically equitable in nature, except as otherwise provided by law." Plaintiff argues that because its claim is "equitable in nature," plaintiff was prohibited by § 8315 from filing its quantum meruit claim in the district court; therefore, it was required to file it in the circuit court. Plaintiff cites
Paley v. Coca Cola Co.
,
Justice WILLIAMS 's lead opinion, however, is not binding precedent because it did not represent a majority opinion of the Court. See
Negri v. Slotkin
,
In sum, because plaintiff sought only legal relief-money damages-the district court "has exclusive jurisdiction" of plaintiff's civil action involving contract and quasi-contract claims because the undisputed evidence shows that "the amount in controversy does not exceed $25,000.00." MCL 600.8301(1) ; MCL 600.605. The circuit court properly granted defendant summary disposition under MCR 2.116(C)(4).
IV. FRIVOLOUS CLAIM
A. STANDARD OF REVIEW
"A trial court's findings with regard to whether a claim or defense was frivolous, and whether sanctions may be imposed, will not be disturbed unless it is clearly erroneous."
1300 Lafayette East Coop., Inc. v. Savoy
,
B. ANALYSIS
Plaintiff's first argument-that the circuit could take no action other than to dismiss the complaint after finding that it lacked subject-matter jurisdiction-is contrary to Supreme Court precedent. See
Fix
,
"Whether a claim is frivolous within the meaning of MCR 2.114(F) and MCL 600.2591 depends on the facts of the case."
Kitchen
, 465 Mich. at 662,
( i ) The party's primary purpose in initiating the action or asserting the defense was to harass, embarrass, or injure the prevailing party.
( ii ) The party had no reasonable basis to believe that the facts underlying that party's legal position were in fact true.
( iii ) The party's legal position was devoid of arguable legal merit.
The frivolous-claim-or-defense provisions of the Michigan Court Rules and MCL 600.2591"impose an affirmative duty on each attorney to conduct a reasonable inquiry into the factual and legal viability of a pleading before it is signed."
Attorney General v. Harkins
,
In ruling that plaintiff's action was frivolous, the circuit court did not specify under which MCL 600.2591(3)(a) subparagraph it based this finding. The circuit court ruled:
[T]he matter is before the Court on a request for sanctions and whether-for filing a frivolous complaint. In this case plaintiff filed a case based on an unsigned agreement. The Court reviewed the file. There was a letter from the Association saying they didn't wish to proceed. Then this case was brought, a very serious case requesting fees with no amount and no billing ever having been made. And, there's been no proof, in fact there's an affidavit to the contrary that there was never any litigation that began to which the plaintiff even under-if they-the agreement had been signed a fee would have been earned.
While the circuit court did not specify which MCL 600.2591(3)(a) subparagraph it found applicable, it is clear from the court's comments that it made no specific mention that plaintiff acted with an improper purpose under § 2591(3)(a)(
i
). Rather, the circuit court explicitly and implicitly found that plaintiff "had no reasonable basis to believe that the facts underlying that party's legal position were in fact true." MCL 600.2591(3)(a)(
ii
). This finding, in turn, implicates § 2591(3)(a)(
iii
), which applies when "[t]he party's legal position was devoid of arguable legal merit." " 'A claim is devoid of arguable legal merit if it is not sufficiently grounded in law or fact[.]' "
Ford Motor Co. v. Dep't of Treasury
,
The evidence supports that plaintiff based its claims on an unexecuted retainer agreement, which the undisputed facts showed would not have yielded a contingent fee even if effective because defendant did not initiate litigation or a claim against the developer. Defendant advised plaintiff by letter before this lawsuit was filed that it did not intend on pursuing claims against the developer. While the developer's affidavit stating that plaintiff had not initiated a claim or litigation against it was made after the lawsuit was filed, the facts averred could have been confirmed by contacting the clerk of the pertinent court or making direct inquiry of the developer. Accordingly, there was no basis in fact to support plaintiff's speculative belief that defendant had benefited unjustly from plaintiff's legal advice and reached a valuable settlement with the developer, which was the foundation of plaintiff's claims of quantum meruit, unjust enrichment, and fraudulent misrepresentation. And plaintiff's last claim-based on an assertion that defendant sought legal advice for which it never intended to pay-is totally unsupported by the facts
*907
in that defendant repeatedly requested a bill for services rendered in June 2015 so that it could pay for those services, but plaintiff refused to send defendant an invoice for the services it had performed. This evidence supports the conclusion that plaintiff did not sufficiently investigate and research the factual bases of its claims.
BJ's & Sons Constr.
,
We therefore affirm the circuit court's finding that plaintiff's claims were frivolous and remand the case for a hearing regarding a reasonable attorney fees award. See
Vittiglio v. Vittiglio
,
V. CONCLUSION
The undisputed evidence showed that plaintiff's claim for unpaid legal services under any theory "could not be proved" to exceed $25,000. So the circuit court properly granted summary disposition under MCR 2.116(C)(4) because it lacked subject-matter jurisdiction which lay exclusively with the district court. MCL 600.605 ; MCL 600.8301(1).
Plaintiff's complaint does not sound primarily in equity or seek equitable relief; the complaint is primarily a legal claim and the phrase "equitable in nature" should not take precedence over the phrase "otherwise provided by law" in MCL 600.8315. Because plaintiff sought only legal relief-money damages-the district court "has exclusive jurisdiction" of plaintiff's civil action involving its contract and quasi-contract theories because the undisputed evidence showed that "the amount in controversy does not exceed $25,000.00." MCL 600.8301(1) ; MCL 600.605. The circuit court properly granted defendant summary disposition. MCR 2.116(C)(4).
We affirm the circuit court's finding that plaintiff's claims were frivolous and remand the case for a hearing regarding a reasonable attorney fees award.
We affirm and remand for further proceedings consistent with this opinion. We do not retain jurisdiction. Defendant, as the prevailing party, may tax its costs under MCR 7.219(F).
Beckering, P.J., and Markey and Riordan, JJ., concurred.
Defendant filed statements regarding attorney fees from two law firms in the amount of $16,615.50 and $5,945.00, to which plaintiff filed objections. The circuit court has not yet conducted a hearing to determine the amount of the attorney-fee sanction.
May 24, 2013, is the date on which defendant signed the GRA with plaintiff.
Although the circuit court did not address defendant's arguments for summary disposition under MCR 2.116(C)(8) and (C)(10), defendant presents them as alternative grounds to affirm the circuit court. An appellee, like defendant, without filing a cross-appeal, may "urge an alternative ground for affirmance, even if the alternative ground was considered and rejected by the lower court or tribunal."
Boardman v. Dep't of State Police
,
"Circuit courts have original jurisdiction to hear and determine all civil claims and remedies, except where exclusive jurisdiction is given in the constitution or by statute to some other court or where the circuit courts are denied jurisdiction by the constitution or statutes of this state."
"The district court has exclusive jurisdiction in civil actions when the amount in controversy does not exceed $25,000.00."
The Court in
Strong
,
In
Island Lake, id
. at 386,
The chapters discussed by plaintiff are contained within the Revised Judicature Act, MCL 600.101 et seq .
This Court subsequently held that individual plaintiffs may not aggregate their claims to satisfy the jurisdictional minimum of the circuit court.
Boyd v. Nelson Credit Ctrs.
,
Case-law data current through December 31, 2025. Source: CourtListener bulk data.