SECOND DI VI SI ON
A NDREWS, P. J.

, M I LLER and BRA NCH, JJ.

N O T IC E : M otions for r e c ons i de r a tion m us t be ph y sic a l ly r e ce iv ed i n our c le r k ’s offic e w ithin te n da y s of the da te of de c is ion to be de e m ed tim e ly file d.

http://w w w .ga a ppe a ls .us /r ule s /

A pr i l 21, 2015



# I n th e Co u r t o f

A p p eals o f

G eo r g ia

A1 5 A0 20 6

. FISHER & PH ILLIPS, L L P v. AM EREX
ENVIRONM E NTAL TECHNOLOGIES, INC., et al

.

M I LLE R , J u d ge.

F i s h er & Ph i l l ip s, LLP (h erei n aft er “ F&P”) s u ed Am erex En v iro n m en t al

Tech n o l o g ies

, In c., it s Pres i d en t

, J o s ep h Pi rco n , an d i t s reg is t ered ag en t

, Bri an

M cM ah o n (co l l ect i v el y “ t h e Defen d an t s ”) s eek i n g t o reco v er m o re t han $ 1 2 9 ,0 0 0 in

u n p ai d i n v o i ces fo r l eg al s erv ices t h at F&P al l eg ed l y p ro v i d ed t o t h e d efen d an t s

. Th e

cas e wen t i n t o d efau l t wh en t h e Defen d an ts fai l ed t o fi l e a res p o n s e. F&P m o v ed fo r

a d efau l t ju d gm en t

. 1 T h e t ri al co u rt d en i ed F&P’ s m o t i o n an d d i sm i s s ed t h e cas e s u a

s p o n te, wi t h o u t a heari ng , fo r fai l u re t o s tat e a cl ai m o n an o p en acco u n t

. F&P

1 Aft er t he cas e wen t i n t o d efau l t

, t h e t ri al co urt o rd ered F&P t o fi l e a m o t i o n fo r d efau l t ju d g m en t o r fo rm al l y n o t i fy t h e t ri al co u rt of i t s i n t en t t o p u rs u e i ts cl ai m s

.ap p eal s , co n t en d i ng t h at th e t ri a l c o u r t erred i n d i s m i ss i ng i t s co m p l ai n t

. Fo r t h e

reas on s t h at fo l l o w, we rev ers e.

W h en , as h ere, a q ues ti o n o f l aw is at i s s u e we o we n o d eferen ce t o t h e t ri al

co u rt ’ s ru l i n g an d ap p l y a d e n o v o s t an dard of rev i ew. See Ar t s o n
, LLC v. Hu d

s o n ,

3 2 2 Ga. Ap p . 8 5 9 , 8 6 0 (7 4 7 SE2 d 6 8 ) (2 0 1 3).

So v i ewed

, t h e co m

p l ai n t s h o w s t h at

, i n J an u ary 2 0 1 1 , F&P b eg an p ro v i d i n g

l eg al s erv i ces t o th e Defen d an t s

. F&P reg u larl y i n v o i ced Defen d an ts fo r t h e l eg al

s erv i ces p ro vi ded , as wel l as o t h er ch arg es i n cu rred b y F&P i n co n nect i o n wi t h t h e

p ro v is i o n s of t h o s e l eg al s erv i ces

. As o f J u l y 2 0 1 3

, t he Defen d an t s h ad an o u t s t an d i n g

p ri n ci p al b al an ce o f $ 1 2 9,7 2 5.6 5 fo r t h e i n v o iced s erv i ces

.

Acco rd in g ly

, o n M arch 3, 2 0 1 4

, F&P fi l ed i t s u n v eri fi ed co m p l ai nt se ek i n g t o reco v er

t h e p ri n ci p al an d i n t eres t d u e o n t h e o u t s t an di n g i n v o i ces , an d s eek i n g at t o rn ey fees

.

In i t s c l a i m on an o pen acco u n t

, F&P s et o u t t h e i n vo i ce nu m b er, d at e an d

o u t s t an d i n g b al an ce o f each o p en i n v o i ce.

In i t s s o l e en u m erat i o n o f erro r, F&P co n ten d s t h a t th e t ri al co u rt l ack ed

au t h o ri t y t o i n v o l u n t ari l y d is m i s s th e cas e, w i th o u t a h eari n g o r tri al

, m erel y b ecau s e

F&P fai l ed t o m ak e a p ri m a faci e s h owi n g o n i t s o p en acco un t cl ai m . W e ag ree.

2In d i s m i s si n g F&P’ s co m p l ai n t

, t h e t ri al co u rt s p eci fi ca l l y f o u n d t h at F&P

fai l ed t o v eri fy t h e co m

p l ai n t as req u i red b y l aw. Co n t rary t o th e t ri al co u rt ’ s fi n d i n g,

“ [t ] h ere i s n o l aw req ui ri n g t h e v eri fi cat i o n o f an act i o n o n an o p en acco u nt

. (Ci t at i o n

o m i t t e d

. ) Br a s wel l v. Ho d ges , 9 5 Ga. Ap p. 2 31

, 2 3 3 (3 ) (9 7 SE2 d 5 8 8) (1 9 5 7 ).

Rat h er, a d efen d an t i s s t at u t o ri l y req ui r e d t o f i l e a v eri fi ed an s wer i

f t h e p l ai n t i ff

b ri n g s a v eri fi ed act i o n on an o p en acco un t

. See OCGA § 9 -1 0-1 1 2

. W h ere, as h ere,

t h e pl ai n t i ff fi l es an u n v eri fi ed act i o n on an o p en acco u nt

, t h e d e f e n d a n t i s m erel y

rel i ev ed o f t h e v eri fi cat i on req u i rem en t s et fo rt h i n OCGA § 9-1 0 -1 1 2

. See Br a s wel l

,

s u p ra, 9 5 G a

. Ap p

. a t 2 3 3 (3 ). 2 Acco rd i n g ly

, F&P’ s co m p l ai n t was n o t su b

ject to

d i s m i s s al fo r l ack o f v eri fi cat i on

.

In d i s m is s i n g th e co m

p l ai n t

, th e t ri al c o u rt al s o s peci fi cal l y fo u nd t h at F&P

fai l e d t o t en d er an au t h en t i cat ed i n v o i ce o r tes t im o n y t h at t h e o u t st an d i n g i n v o i ces

rem ai n ed u n p ai d. In s o h ol d i n g , t h e t ri al co u rt rel i ed o n t h i s C o u rt ’ s d eci s i o n in

Amer i ca n Ar b i t r a t i o n As s n

. v

. B o w e n , 3 2 2 Ga. A p p

. 5 1

, 52 -5 3 (1 ) (7 4 3 SE2 d 6 1 2 )

(2 0 1 3), wh i ch h el d t h at

2 See al s o Al l en Ti l e & Ma r b l e Co

. v. Vi n yl Pl as t i cs
, In c. , 9 9 Ga. Ap p

. 1 8 6

, 1 8 8 (2 ) (1 07 SE2 d 8 8 1) (1 9 5 9 ) (wh ere p et i t i o n b as ed o n o p en acco u n t was n o t v eri fi ed

, d efen d an t co u l d fi l e an s wer b y g en eral d en i al ).

3[ a ] s u it o n o pen acco u n t i s av ai lab l e as a s i m p l ifi ed p ro ced u re t o th e

p ro v i d er o f g oo d s an d s erv i ces wh ere t h e p ri ce o f su ch g o o d s or s erv i ces

h as b een ag reed u p o n an d wh e r e i t ap p ears t h at t h e p l ai n t iff h as fu l l y

p e r f o r m ed it s p art o f t h e ag reem en t an d n o t h i n g rem ai n s t o b e d o ne

ex cep t fo r t h e ot h er p art y t o m a k e p ay m en t. To es t ab l i s h a p ri m a faci e

cas e fo r a co m

p l ai n t o n acco u n t

, t h e p l ai n t i ff m u s t t en d er an

au t h en t i cat ed i n v oi ce, al o n g wi t h t es t i m o ny t h at t h e i n v o i c e rem ai n s

u n p ai d

.

(Ci t at i o n s o m i tt ed .) Co n t rary t o t h e tri al co u rt ’ s ru l i n g , Bo wen d o e s n o t req u i re t h e

d i s m i s s al of a co m

p l ai n t o n o p en acco u n t m erel y b ecau s e t h e p l ai n t i ff fai l ed to

es t ab l i s h a pri m a faci e cas e i n i t s co mp l a i n t

. Rat h er, i n Bo wen , t h is Co urt rev ers ed t h e

d i s m i s s al o f t h e p l ai n t i ff’ s s ui t o n acco u n t o n t h e g ro u n d t h at t h e p l ai n t i ff es t ab l i s h ed

a p ri m a faci e cas e fo r reco v ery o n an o p en acco u nt at t ri al . See i d

.

As F&P co rrect l y arg u es , t h ere i s n o q u es ti o n i n th i s cas e t h at t he Defen d an t s

are i n defau l t

, an d n o n e o f t h em fi led an y d o cu m en t s o r m o t i o n s wi t h th e t ri al co u rt

aft er t h ey w e r e s e r v ed wi t h th e co m p l ai n t

. M oreo v er, F&P’ s co m pl ai n t cl earl y s et

fo rt h s u ffi ci en t al leg at i o n s t o s t at e a cl ai m o n an op en acco u n t, ev en i f F&P fai l ed to

s et fo rt h a p ri m a fa c i e cas e, s i n ce t h e co m pl ai n t sp eci fi cal l y set o ut t h e i n v o i ce

n u m b er, dat e an d ou t s t an d i n g b al an ce o f each o p en i n vo i ce. Cl earl y , in t h is cas e, as

i n B o wen , su pra, F&P es t ab l is h ed t h at s erv i ces p er t h e i n v oi ces were pro v i d ed

, an d

4n o t h i n g rem ai ned ex cep t fo r t h e Defen d an ts

, wh o were i n d efau l t

, t o m ak e p ay m en t

.

Un d er t h es e ci rcu m s t an ces , F&P’ s co m p l ai n t was n o t s u bject to d is m i ss al fo r fai l u re

t o s t at e a cl ai m

. See S

u p e r i o r R o o

f i n g Co

. o f Ga

. v. A mer i ca n Pr of

es s i o n a l Ri s k

S er vs

. , 3 23 Ga. Ap p

. 4 1 6

, 4 1 7 (7 4 4 SE2 d 4 0 0 ) (2 0 13 ) (co m p lai n t n o t s ub

ject to

d i s m i s s al fo r fai l u re to st at e a cl ai m u n l e s s a l l eg at i o n s d i s cl o s e wi t h cert ai n t y t h at

cl ai m i s n o t en t i t led to rel i ef u n d er an y s t at e o f p ro v ab l e fact s as s ert ed t h erei n ).

Acco rd in g ly , we rev ers e t h e t ri al co u rt ’ s o rd er d i sm i s s i n g t h e co m p l ai n t

.

2

. F&P d i d n o t en u m erat e as erro r t h e d en ial o f i ts m o ti o n fo r a d efau l t

j u d g m en t

. Nev ert h el es s , w e no t e t h at wh ere, as h ere, a cas e i s i n d efau l t an d t h e

d am ag es are l i qu i d at ed

,

t h e p l ai n t i ff at an y

t i m e [aft er ex p irat i o n o f t h e 1 5 -d ay p eri o d ] s h al l b e

en t i t l ed t o v erd i ct an d ju d g m e n t b y defau l t

, i n op en co urt o r i n

ch am b ers , as i f ev ery i tem an d parag rap h of t h e co m p l ai n t o r o t h er

o r i g i n al p l ead in g were s u pp o rt ed b y p ro per ev i den ce, wi th o ut th e

i n t erv en t i o n o f a ju ry [.]

OCGA § 9 -1 1 -5 5 (a). “ By s t at u t o r y d efi n i t i o n , an act i on o n an o p en acco u n t i s

co n si d ered an act i o n fo r l i q u id at ed d am ag es .” (Ci t at i o n o m it t ed .) S el ler s v. No d vi n ,

2 0 7 Ga. Ap p

. 7 42

, 7 4 6 (3 ) (4 2 9 SE2 d 1 3 8) ( 1 9 9 3 ); s ee al s o Ha z l et t & Ha n co ck

Co n s t r u ct i o n Co

. v. Vi r

g i l W o ma ck Co n s t r u ct i o n Co

. , 18 1 Ga. Ap p

. 2 5

, 2 6 (2 ) (3 5 1

5SE2 d 2 1 8 ) (1 9 86 ) (a s u i t o n acco u nt i s o n e ty p e o f l i qu i d at ed cl ai m

wh i ch b eco m es

es t ab l i s h ed an d fi x ed wi t h o u t th e n eces s i t y of p ro o f b y t h e p l a i n t i ff wh en t h e cas e

g o es i n to d efau l t ). Acco rd i n g l y , i t ap p ears t h at F&P is en t it l ed to a d efau l t ju d g m en t

o n i t s o p en acco u n t cl ai m

.

Ju d g men t r ever sed . An d r ews , P. J., a n d Br a nch

, J., co n cu r

.

6