Court Opinion

ID: 9658769
Source: CourtListenerOpinion
Date Created: 2023-08-23 21:12:04.904756+00
Date Added: 2024-06-11T18:13:59.111704
License: Public Domain

On Petition for Rehearing.
NEUMANN, Justice.
[¶ 27] On August 28, 2002, Johnson Farms petitioned for rehearing. We granted the petition, restored this cause to the calendar, requested briefs and heard arguments. In the original opinion in this case, Johnson Farms v. McEnroe, 2002 ND 122, 647 N.W.2d 698 (“Johnson Farms III”), a majority of this Court held the trial court clearly erred in finding no oral agreement existed, the exchange was for property of equal value, and no refund for overpayment was owed to Johnson Farms. We concluded the evidence clearly showed an oral contract existed between the parties to sell 59.17 acres to Johnson Farms for $9,000 per acre. We reversed the trial court’s judgment dismissing Johnson Farms’ claims and directed entry of judgment in favor of Johnson Farms and against McEnroe for $91,930, the amount of the overpayment, plus interest. Johnson Farms petitioned for rehearing because it was not provided a remedy for the McEnroes’ failure to convey the remaining 27.94 acres. We now remand, with instructions.
[¶ 28] On rehearing, Johnson Farms asks this Court to direct an order for specific performance of the contract or, alternatively, for a remand to the trial court for a determination of monetary damages. While we decline to direct an award for specific performance, we agree this case should be remanded to the trial court for a determination of the appropriate remedy. We therefore withdraw the part of Johnson Farms III that directed entry of judgment in favor of Johnson Farms for the amount of overpayment, $91,930, plus interest, and remand this case to the trial court to review the existing record, consider the equities, and determine the appropriate remedy from among those possible: specific performance, damages based on the value of the property as of the date of breach plus interest, or refund of the overpayment plus interest.
[¶ 29] If on remand the trial court determines specific performance is not the appropriate remedy, under all of the facts and equities in this case, it may determine Johnson Farms is entitled to monetary damages. Bumann v. Maurer, 203 N.W.2d 434, 438 (N.D.1972) (stating damages are to be awarded “only when specific performance is impossible or impracticable”). If appropriate, the monetary damages to be awarded would equal:
[T]he difference between the price agreed to be paid and the value of the estate agreed to be conveyed at the time of the breach and the expenses properly incurred in examining the title, and in preparing to enter upon the land, and the amount paid on the purchase price, if any, with interest thereon from the time of the breach.
N.D.C.C. § 32-03-13. If the trial court determines monetary damages are the appropriate remedy, it may supplement the *9record by taking evidence on the issue of value as of the date of breach.
[¶ 30] Finally, the trial court may choose to order judgment in favor of Johnson Farms for the amount of overpayment, $91,930, plus interest, if the trial court decides the remedy from Johnson Farms III is appropriate.
[¶ 31] The trial judge who has presided over this matter to this point has retired. It is therefore necessary, and we direct, that this case be reassigned by the presiding judge of the judicial district. We note the successor judge must comply with the requirement of Rule 63, N.D.R.Civ.P., regarding certification of familiarity with the record.
[¶ 32] This case is remanded to the trial court for further consideration and disposition consistent with this opinion.
[¶ 33] GERALD W. VANDE WALLE, C.J., and MARY MUEHLEN MARING and THOMAS J. SCHNEIDER, JJ., concur.
I adhere to my dissent. CAROL RONNING KAPSNER, Justice.
[¶ 34] The Honorable THOMAS J. SCHNEIDER, D.J., sitting in place of SANDSTROM, J., disqualified.