Advanced Recovery Sys. v. Am. Agencies, Ltd. , 923 F.3d 819 ( 2019 )


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  •                                                                       FILED
    United States Court of Appeals
    PUBLISH                          Tenth Circuit
    UNITED STATES COURT OF APPEALS                      May 7, 2019
    Elisabeth A. Shumaker
    FOR THE TENTH CIRCUIT                      Clerk of Court
    _________________________________
    ADVANCED RECOVERY
    SYSTEMS, a Utah limited liability
    company,
    Plaintiff Counterclaim
    Defendant,
    v.                                                   No. 17-4202
    AMERICAN AGENCIES, a
    Pennsylvania limited liability
    company,
    Defendant Counterclaimant
    Third-Party Plaintiff -
    Appellee,
    NRA GROUP, a Pennsylvania
    limited liability company, a/k/a
    National Recovery Agency;
    STEVEN C. KUSIC, CEO/managing
    member of American Agencies, LLC
    and/or NRA Group, LLC, and
    individually,
    Defendants,
    BRENT SLOAN,
    Third-Party Defendant -
    Appellant,
    KINUM, INC.; SCOTT MITCHELL;
    BLAKE REYNOLDS,
    Third-Party Defendants,
    and
    SAJAX SOFTWARE,
    Third-Party Defendant
    Counterclaimant.
    _________________________________
    Appeal from the United States District Court
    for the District of Utah
    (D.C. No. 2:13-CV-00283-DAK-BCW)
    _________________________________
    Richard D. Salgado, Dentons US LLP, Dallas, Texas (Kelley C. Cox,
    Dentons US, Dallas, Texas, and Wade P. K. Carr, Dentons US, Kansas
    City, Missouri, with him on the briefs), for Third-Party Defendant-
    Appellant.
    Michael K. Erickson (Carol A. Funk, with him on the brief), Ray Quinney
    & Nebeker P.C., Salt Lake City, Utah, for Third-Party Plaintiff-Appellee.
    _________________________________
    Before BACHARACH, BALDOCK, and PHILLIPS, Circuit Judges.
    _________________________________
    BACHARACH, Circuit Judge.
    _________________________________
    This appeal grew out of Mr. Brent Sloan’s participation in two
    transactions. The first transaction entailed a merger between Advanced
    Recovery Systems, LLC and Kinum, Inc.; 1 the second transaction consisted
    of a sale of software from Kinum to Sajax Software, LLC.
    1
    At the time of the merger, Kinum was known as “Fidelis Asset
    Management, Inc.” In the interest of simplicity, however, we refer to the
    entity (before and after the merger) as “Kinum.”
    2
    American Agencies, LLC alleged harm from these transactions and
    sued Mr. Sloan for damages and restitution. 2 After the close of evidence,
    Mr. Sloan filed a motion for judgment as a matter of law. Following the
    denial of this motion, a jury found Mr. Sloan liable on American Agencies’
    claims of tortious interference with business relations, conspiracy to
    interfere with business relations, tortious interference with contract,
    copyright infringement, unjust enrichment, and misappropriation of trade
    secrets. 3 Mr. Sloan unsuccessfully renewed his motion for judgment as a
    matter of law. After the district court denied this motion, Mr. Sloan
    appealed. We affirm in part and reverse in part based on four conclusions:
    1.    On the claims of tortious interference with business relations
    and conspiracy to interfere with business relations, Mr. Sloan
    contends that (1) one of American Agencies’ theories of
    improper means is preempted by a Utah statute and (2)
    American Agencies did not present sufficient evidence of
    improper means. We disagree because Mr. Sloan did not
    preserve his preemption argument and the jury could have
    reasonably found improper means based on deceit. We thus
    conclude that the district court properly denied Mr. Sloan’s
    motion for judgment as a matter of law on these claims.
    2.    On the claim of tortious interference with contract, Mr. Sloan
    argues that the jury instructions erroneously and prejudicially
    2
    Federal jurisdiction existed under 28 U.S.C. §§ 1331(a)(1), 1332, and
    1367(a).
    3
    The finding of liability for misappropriation of trade secrets is not
    involved in this appeal.
    3
    excluded improper means as an element. We agree with Mr.
    Sloan and reverse the judgment on this claim. 4
    3.    On the claim of copyright infringement, Mr. Sloan contends
    that the jury could not have reasonably found commercial use
    or regarded the pertinent documents as original. We disagree,
    concluding that (1) Mr. Sloan did not preserve his commercial-
    use argument and (2) American Agencies’ evidence on
    originality was sufficient.
    4.    On the claim of unjust enrichment, Mr. Sloan contends that the
    jury could not have reasonably inferred the value of a benefit
    to Mr. Sloan. 5 We agree, so we reverse the denial of Mr.
    Sloan’s motion for judgment as a matter of law on this claim.
    Background
    1.   Advanced Recovery Systems enters into a licensing agreement
    with American Agencies.
    American Agencies is a debt-collection agency that entered into a
    licensing agreement with Advanced Recovery Systems. Under the licensing
    agreement, American Agencies enjoyed
         the exclusive right to use certain debt-collection software
    developed by Advanced Recovery Systems and
         the right of first refusal with respect to any future sale of
    Advanced Recovery Systems.
    4
    On appeal, Mr. Sloan also challenges the district court’s award of
    attorney’s fees to American Agencies. This part of the award was based on
    the claim of tortious interference with contract. Our reversal on this claim
    encompasses the award of attorney’s fees.
    5
    Mr. Sloan also contends that other legal remedies were adequate to
    compensate American Agencies. We need not address this contention.
    4
    The debt-collection software contained American Agencies’ customer data,
    including a client list, client history, fee structure, and rate of success.
    2.    Advanced Recovery Systems merges into Kinum, and Kinum sells
    the software to Sajax.
    Without American Agencies’ knowledge, Advanced Recovery
    Systems merged into Kinum. See p. 3 n.1, above. Mr. Sloan helped to
    facilitate the merger and became Kinum’s chief executive officer after the
    merger. As the chief executive officer, Mr. Sloan oversaw Kinum’s sale of
    the debt-collection software to Sajax. With the software came American
    Agencies’ customer data.
    5
    6
    The Individual Claims and Mr. Sloan’s Appellate Arguments
    1.   Liability for tortious interference with business relations and
    conspiracy to interfere with business relations: The evidence
    adequately supported the jury’s findings of liability.
    On the claims of tortious interference with business relations and
    conspiracy to commit this tort, American Agencies had to prove improper
    means. Overstock.com, Inc. v. SmartBargains, Inc., 
    192 P.3d 858
    , 864
    (Utah 2008); see also Puttuck v. Gendron, 
    199 P.3d 971
    , 978 (Utah App.
    2008) (stating that a claim of civil conspiracy under Utah law requires an
    underlying tort). 6 American Agencies alleged that Mr. Sloan had used
    improper means in two ways:
    1.    using deceit to conceal transfers of the debt-collection software
    and American Agencies’ customer data
    2.    initiating unfounded litigation against American Agencies. 7
    Mr. Sloan responds to these allegations by arguing that
         the theory of improper means through deceit is preempted by a
    Utah statute and
         the evidence did not indicate that the litigation had been
    unfounded.
    We reject these arguments.
    6
    The district court and the parties treat Utah law as the applicable
    law, so we also apply Utah law. See Strickland Tower Maint., Inc. v. AT&T
    Commc’ns, Inc., 
    128 F.3d 1422
    , 1426 (10th Cir. 1997).
    7
    The parties agree that a third theory presented by American Agencies
    (altering American Agencies’ license agreements with sales agents) did not
    apply to Mr. Sloan.
    7
    A.       Mr. Sloan did not preserve his preemption argument.
    On appeal, Mr. Sloan urges preemption of American Agencies’
    theory of deceit based on a Utah statute. But Mr. Sloan failed to preserve
    his preemption argument.
    To preserve the argument, Mr. Sloan needed to comply with Rule 50
    of the Federal Rules of Civil Procedure, which governs motions for
    judgment as a matter of law. Unitherm Food Sys., Inc. v. Swift-Eckrich,
    Inc., 
    546 U.S. 394
    , 399 (2006). Under subsection (a) of this rule, a litigant
    can move for judgment before the jury renders its verdict. Fed. R. Civ. P.
    50(a). If a litigant moves for a pre-verdict judgment under subsection (a)
    and the court denies the motion, the litigant can renew the motion after the
    verdict under subsection (b) of the rule. Fed. R. Civ. P. 50(b); see
    Marshall v. Columbia Lea Reg’l Hosp., 
    474 F.3d 733
    , 738–39 (10th Cir.
    2007). If a ground is omitted from a pre-verdict motion, however, the
    ground cannot be asserted in a post-verdict motion or in an appeal. See
    
    Marshall, 474 F.3d at 738
    –39 (cannot be asserted in the post-verdict
    motion); Unitherm Food Sys., 
    Inc., 546 U.S. at 399
    (cannot be asserted in
    the appeal).
    Before the jury returned a verdict, Mr. Sloan moved for judgment as
    a matter of law under Rule 50(a), contending that American Agencies
    hadn’t presented evidence of (1) intentional interference by improper
    means or (2) injury caused by the interference. But Mr. Sloan’s motion did
    8
    not include his current argument involving preemption. As a result, this
    argument was not preserved for appeal.
    B.     Mr. Sloan doesn’t contest the sufficiency of the evidence on
    deceit, so we reject his challenge to the claims of tortious
    interference with business relations and conspiracy to
    commit this tort.
    On appeal, Mr. Sloan does not challenge the sufficiency of the
    evidence supporting American Agencies’ theory of deceit; he challenges
    only the sufficiency of the evidence supporting the theory of unfounded
    litigation. Given the limited scope of this challenge, we treat the deceit
    theory as sufficient for liability. 8
    The district court’s special-verdict form didn’t distinguish between
    American Agencies’ two theories of improper means, so we don’t know
    8
    Even if Mr. Sloan had challenged the sufficiency of the evidence on
    deceit, we would have rejected the challenge. In our view, the trial
    evidence permitted a reasonable jury to find that Mr. Sloan had deceitfully
    concealed transfers involving the software and American Agencies’
    customer data. See Bartee v. Michelin N. Am., Inc., 
    374 F.3d 906
    , 914
    (10th Cir. 2004) (sufficient evidence exists if there is evidence on which a
    jury could properly return a verdict for the non-movant). This evidence
    included support for three findings:
    First, Mr. Sloan knew before the merger with Kinum that American
    Agencies had an exclusive license to use the software and a right of first
    refusal on a sale of Advanced Recovery Systems.
    Second, with knowledge of these rights, Mr. Sloan helped to merge
    Advanced Recovery Systems into Kinum without telling American
    Agencies of the merger or the transfer of software to Kinum.
    9
    which theory the jury credited. Given this uncertainty, we must affirm if
    sufficient evidence existed on either of American Agencies’ factual
    theories. Kirkbride v. Terex USA, LLC, 
    798 F.3d 1343
    , 1349 (10th Cir.
    2015). So in the absence of a challenge to the sufficiency of the evidence
    on deceit, we need not decide whether the evidence would have supported
    American Agencies’ theory of unfounded litigation.
    Mr. Sloan points to a line of cases suggesting that “reversal is . . .
    necessary if either basis [for a verdict] was improper.” Appellant’s Reply
    Br. at 18 (emphasis in original); see 
    id. at 18–19.
    But this line of cases
    applies only when the defendant challenges the validity of a legal theory.
    Pratt v. Petelin, 
    733 F.3d 1006
    , 1009 (10th Cir. 2013). These cases do not
    apply when the defendant challenges the sufficiency of the evidence on
    some (but not all) of the plaintiff’s factual theories:
    [T]hese cases address the situation where the jury may have
    based its verdict on an incorrect or entirely unsupported legal
    theory. They are thus distinguishable from the case at hand,
    where [the defendant] claims that some, but not all, of the
    factual bases presented to the jury for one legal theory—
    negligence—were unsupported by sufficient evidence.
    Third, without telling American Agencies, Mr. Sloan directed Kinum
    to sell the software to Sajax even though the software contained American
    Agencies’ customer data.
    10
    
    Id. (emphasis in
    original). Here we are addressing the sufficiency of
    evidence on factual theories, not the validity of a legal theory. Mr. Sloan’s
    cited authority is thus inapplicable.
    2.    Liability for tortious interference with contract: The district
    court erroneously and prejudicially failed to include improper
    means as an element of the claim.
    American Agencies claimed tortious interference with contract,
    alleging that Mr. Sloan had induced Advanced Recovery Systems to breach
    its licensing agreement. The district court instructed the jury on the
    elements of the claim but did not include improper means as an element.
    The omission constituted an error that prejudiced Mr. Sloan.
    We apply the abuse-of-discretion standard. Lederman v. Frontier
    Fire Protection, Inc., 
    685 F.3d 1151
    , 1154 (10th Cir. 2012). But in
    applying this standard, we conduct de novo review of the instructions as a
    whole to assess their accuracy under Utah law. Royal Maccabees Life Ins.
    Co. v. Choren, 
    393 F.3d 1175
    , 1179 (10th Cir. 2005).
    Reviewing the instructions de novo, we conclude that the district
    court erred because the Utah Supreme Court treats improper means as an
    element of tortious interference with contract. See C.R. England v. Swift
    Transp. Co., 
    2019 UT 8
    , ¶ 39 (Feb. 27, 2019) (“Because the weight of
    authority supports St. Benedict’s adoption of the ‘improper means’ element
    for the tort of intentional interference with contract, and because this
    element has become firmly embedded in Utah law, we reaffirm it.”); see
    11
    also St. Benedict’s Devel. Co. v. St. Benedict’s Hosp., 
    811 P.2d 194
    , 201
    (Utah 1991) (stating that one incurs liability for intentional interference
    with contract by “intentionally and improperly” causing a party not to
    perform the contract). By failing to correctly tell the jury what’s needed
    for liability, the district court misled the jury. See Wankier v. Crown
    Equip. Corp., 
    353 F.3d 862
    , 868 (10th Cir. 2003) (“A district court’s
    failure to inform the jury of all the elements essential to a plaintiff’s claim
    necessarily misleads the jury.”).
    American Agencies argues that the error didn’t prejudice Mr. Sloan.
    We disagree. An error in jury instructions requires reversal if the error was
    prejudicial. Heggy v. Heggy, 
    944 F.2d 1537
    , 1542 (10th Cir. 1991). An
    error is prejudicial if “the jury might have based its verdict on the
    erroneously given instruction.” Level 3 Commc’ns, LLC v. Liebert Corp.,
    
    535 F.3d 1146
    , 1158 (10th Cir. 2008) (emphasis in original) (quoting
    
    Wankier, 353 F.3d at 867
    ). We thus must reverse based on an erroneous
    instruction if there is even a slight possibility of an effect on the verdict.
    
    Id. Such a
    possibility doesn’t always exist. For example, omission of an
    element may be harmless if the verdict on another claim would have
    required the jury to find the omitted element. See United States v.
    McDonald, 
    150 F.3d 1301
    , 1304–05 (10th Cir. 1998) (concluding that the
    omission of elements of a criminal offense in the jury instructions was
    12
    harmless because the verdict of guilty on a separate criminal offense
    “necessarily embraced the missing elements”).
    American Agencies contends that the jury necessarily found that Mr.
    Sloan had used improper means to interfere with American Agencies’
    licensing agreement with Advanced Recovery Systems because
         the jury instructions included improper means as an element of
    tortious interference with business relations and
         the jury found tortious interference with American Agencies’
    business relations.
    This contention assumes that American Agencies’ theories of improper
    means for tortious interference with business relations would also support
    liability for tortious interference with contract. 9 If even one theory of
    improper means supported liability for tortious interference with business
    relations but not for tortious interference with contract, the instructional
    error would be prejudicial. See p. 12, above.
    As noted above, American Agencies presented two theories of
    improper means on the claim against Mr. Sloan for tortious interference
    with business relations:
    1.    the use of deceit to conceal the transfers of the debt-collection
    software and American Agencies’ customer data
    9
    American Agencies assumes that Utah uses the same definition of
    improper means for both tortious interference with contract and tortious
    interference with business relations. For the sake of argument, we can
    make the same assumption.
    13
    2.    the initiation of unfounded litigation against American
    Agencies.
    American Agencies based the deceit theory on two transactions:
    1.    Advanced Recovery Systems’ merger with Kinum
    2.    Kinum’s sale of the debt-collection software to Sajax.
    The jury might have found liability for tortious interference with business
    relations based on Kinum’s sale of the debt-collection software. For
    tortious interference with contract, however, the jury might have rejected
    liability on this basis by viewing Mr. Sloan as the principal of one of the
    contracting parties (Kinum).
    Under Utah law, a corporation cannot incur liability for interfering
    with its own contract. See Leigh Furniture & Carpet Co. v. Isom, 
    657 P.2d 293
    , 301 (Utah 1982) (“[O]ne party to a contract cannot be liable for the
    tort of interference with contract for inducing a breach by himself or the
    other contracting party.”), overruled on other grounds by Eldridge v.
    Johndrow, 
    345 P.3d 553
    (Utah 2015). And after Advanced Recovery
    Systems merged with Kinum, Kinum became a party to the licensing
    agreement. See Utah Stat. § 48-3a-1026(1)(d) (explaining that when a
    limited liability company merges with another entity, “all debts,
    obligations, and other liabilities” of the limited liability company become
    “debts, obligations, and other liabilities of the surviving entity”). So when
    14
    Kinum sold the debt-collection software, it was a party to the licensing
    agreement and Mr. Sloan was Kinum’s chief executive officer.
    To find that Mr. Sloan’s participation in this sale constituted
    improper means for tortious interference with contract, the jury would have
    needed to find that Kinum’s chief executive officer had tortiously
    interfered with his own company’s contract. As noted above, Utah law
    doesn’t authorize liability for tortiously interfering with one’s own
    contract. And under Utah law, corporations can act only through their
    agents. Stratton v. W. States Constr., 
    440 P.2d 117
    , 118 (Utah 1968).
    In similar circumstances, courts throughout the country have held
    that a corporate officer cannot incur liability for tortiously interfering with
    the corporation’s own contract. 10 Here, however, we need not decide
    10    See Boulevard Assocs. v. Sovereign Hotels, Inc., 
    72 F.3d 1029
    , 1036
    (2d Cir. 1995) (noting that Connecticut courts have held that “[a]n agent
    acting legitimately within the scope of his authority cannot be held liable
    for interfering with or inducing his principal to breach a contract between
    his principal and a third party, because to hold him liable would be, in
    effect, to hold the corporation liable in tort for breaching its contract”
    (quoting Murray v. Bridgeport Hosp., 
    480 A.2d 610
    , 613 (Conn. Super. Ct.
    1984))); Emerson Radio Corp. v. Orion Sales, Inc., 
    253 F.3d 159
    , 173 (3d
    Cir. 2001) (stating that under New Jersey law, a corporate agent acting
    within the scope of the agency relationship cannot incur liability for
    tortiously interfering with the corporation’s own contract with a third
    party); Kuhn v. Washtenaw Cty., 
    709 F.3d 612
    , 630 – 31 (6th Cir. 2013)
    (“[W]ell-established Michigan law holds that ‘corporate agents are not
    liable for tortious interference with the corporation’s contracts unless they
    acted solely for their own benefit with no benefit to the corporation.’”
    (quoting Reed v. Mich. Metro Girl Scout Council, 
    506 N.W.2d 231
    , 233
    (Mich. App. 1993))); Palmer v. Ark. Council on Econ. Educ., 
    40 S.W.3d 15
    whether Utah law would always bar liability for a corporate agent’s
    interference with the corporation’s own contract. Even if Utah law would
    not go that far, the jury could reasonably have determined that Mr. Sloan,
    as Kinum’s chief executive officer, had not acted as a stranger to Kinum’s
    contract with a third party. Such a determination would have allowed a
    finding that Mr. Sloan had not used improper means to tortiously interfere
    with American Agencies’ contract (even if he had used improper means to
    tortiously interfere with American Agencies’ business relations). The
    district court’s error thus could have affected the verdict, which requires
    us to treat the error as prejudicial and to reverse the judgment on this
    claim. See p. 12, above.
    784, 791 (Ark. 2001) (“It is well settled that a party to a contract, and its
    agents acting in the scope of their authority, cannot be liable for
    interfering with the party’s own contract.”); Trail v. Boys & Girls Clubs of
    Nw. Ind., 
    845 N.E.2d 130
    , 138 (Ind. 2006) (holding that when officers act
    in their official capacity as corporate agents, they cannot incur personal
    liability for tortiously interfering with the corporation’s own contracts);
    Voiles v. Santa Fe Minerals, Inc., 
    911 P.2d 1205
    , 1210 (Okla. 1996)
    (holding that a person “acting in a representative capacity for a party” to a
    contract cannot incur liability for wrongfully interfering with that
    contract); Morgan Stanley & Co. v. Tex. Oil Co., 
    958 S.W.2d 178
    , 179
    (Tex. 1997) (“[A] contracting party’s agent or employee acting in the
    party’s interests cannot interfere with the party’s contract.”); see also W.
    Page Keeton et al., Prosser & Keeton on The Law of Torts 990 (5th ed.
    1984) (“[T]he defendant’s employees acting within the scope of their
    employment are identified with the defendant himself so that they may
    ordinarily advise the defendant to breach his own contract without
    themselves incurring liability in tort.”).
    16
    3.    Liability for copyright infringement: The district court did not
    err in denying Mr. Sloan’s argument for judgment as a matter of
    law.
    The debt-collection software contained American Agencies’ standard
    collection letter and service agreement. After obtaining the software,
    Kinum began using a collection letter and a service agreement like the ones
    used by American Agencies. Kinum’s use of these documents led American
    Agencies to include a claim for copyright infringement against Mr. Sloan.
    Mr. Sloan contends that on the copyright-infringement claim, the
    evidence was insufficient regarding commercial use or originality. We
    reject these contentions, concluding that (1) Mr. Sloan failed to preserve
    his challenge involving commercial use and (2) the evidence on originality
    was sufficient for a jury to find liability.
    To preserve the challenge on commercial use, Mr. Sloan needed to
    raise this issue in his pre-verdict motion for judgment as a matter of law.
    See p. 8, above. In that motion, Mr. Sloan did not question the sufficiency
    of evidence involving commercial use. By omitting this challenge from the
    pre-verdict motion, Mr. Sloan failed to preserve the issue for appeal. See
    p. 8, above.
    On appeal, however, Mr. Sloan also challenges the evidence of
    originality. To consider this challenge, we review the issue de novo and
    affirm if there is evidence on which the jury could properly return a verdict
    17
    for American Agencies. Bartee v. Michelin N. Am., Inc., 
    374 F.3d 906
    , 914
    (10th Cir. 2004).
    To establish Mr. Sloan’s liability on the claim of copyright
    infringement, American Agencies had to prove the originality of its
    collection letter and service agreement. Feist Pubs., Inc. v. Rural Tel. Serv.
    Co., 
    499 U.S. 340
    , 345 (1991). These documents would be considered
    “original” only if
         American Agencies independently created the work and
         the work entailed “some minimal degree of creativity.”
    
    Id. Mr. Sloan
    contends that American Agencies’ collection letter and
    service agreement lacked a minimal degree of creativity. But the required
    creativity “is extremely low,” and most works satisfy this requirement even
    when they are “‘crude, humble or obvious.’” 
    Id. (quoting 1
    Melville B.
    Nimmer & David Nimmer, Copyright § 1.08[C][1] (1990)).
    Given this low standard, the jury could have reasonably inferred that
    the collection letter and service agreement had entailed the required degree
    of creativity. An executive for American Agencies testified that (1) she
    had contributed to the format and content of the collection letter and (2)
    the service agreement contained terms unique to American Agencies,
    including
         references to American Agencies’ services to creditors,
    18
         information in the “payment authorization” section,
         information about a “phase one guarantee,”
         language allowing a client to authorize American Agencies to
    review accounts for referral to an attorney for legal action, and
         language allowing clients to authorize American Agencies to
    offer settlements.
    Given this testimony, the jury could reasonably find at least some
    creativity, rendering the evidence of originality sufficient for liability.
    4.    Liability for unjust enrichment: The district court should have
    granted judgment as a matter of law to Mr. Sloan based on the
    insufficiency of evidence regarding the value of his benefit.
    Mr. Sloan contends that the district court should have granted him
    judgment as a matter of law on American Agencies’ claim of unjust
    enrichment because insufficient evidence existed on the value of Mr.
    Sloan’s benefit. We agree.
    On the claim of unjust enrichment, American Agencies had to prove
    the amount of Mr. Sloan’s benefit stemming from his wrongful conduct.
    See Emergency Physicians Integrated Care v. Salt Lake Cty., 
    167 P.3d 1080
    , 1086 (Utah 2007) (“The first element of [unjust enrichment] requires
    the court to measure the benefit conferred on the defendant by the
    plaintiff.”); Richards v. Brown, 
    222 P.3d 69
    , 81 (Utah Ct. App. 2009)
    (requiring the plaintiff to prove that a wrongdoer “has been unjustly
    19
    enriched in some calculable amount”), aff’d on other grounds, 
    274 P.3d 911
    (Utah 2012).
    At trial, American Agencies relied on expert testimony to prove the
    value of the benefit received by Mr. Sloan’s corporation (Kinum) rather
    than the value of the benefit received by Mr. Sloan. American Agencies
    argues that as a stockholder, Mr. Sloan benefited from an increase in the
    value of his Kinum stock. But American Agencies didn’t present evidence
    on the amount of the alleged increase in the stock price. Given the absence
    of such evidence, American Agencies’ claim of unjust enrichment failed as
    a matter of law. The district court should thus have granted Mr. Sloan’s
    motion for judgment as a matter of law on this claim.
    Disposition
    On the claim against Mr. Sloan for tortious interference with
    contract, we reverse and remand for a new trial. And on the claim of unjust
    enrichment, we reverse and remand with instructions to grant Mr. Sloan’s
    motion for judgment as a matter of law. We otherwise affirm. 11
    11
    The district court’s judgment found that Mr. Sloan was jointly and
    severally liable for damages of $3,104,208.11. Given our opinion, Mr.
    Sloan would remain jointly and severally liable for $280,519 of that
    amount.
    The district court also found Mr. Sloan individually liable for
    damages of $315,325. Our opinion leaves Mr. Sloan liable for an amount
    between $53,831 and $153,831. (The uncertainty arises because the
    assessment of the punitive damages award was based on both tortious
    20
    interference with contract and tortious interference with business relations,
    and we are reversing the judgment for tortious interference with contract.)
    

Document Info

Docket Number: 17-4202

Citation Numbers: 923 F.3d 819

Judges: Bacharach, Baldock, Phillips

Filed Date: 5/7/2019

Precedential Status: Precedential

Modified Date: 10/19/2024

Authorities (22)

Feist Publications, Inc. v. Rural Telephone Service Co. , 111 S. Ct. 1282 ( 1991 )

Leigh Furniture and Carpet Co. v. Isom , 1982 Utah LEXIS 1130 ( 1982 )

Emergency Physicians Integrated Care v. Salt Lake County , 586 Utah Adv. Rep. 3 ( 2007 )

Reed v. Michigan Metro Girl Scout Council , 201 Mich. App. 10 ( 1993 )

Wankier v. Crown Equipment Corp. , 353 F.3d 862 ( 2003 )

Estate of Phillips v. Matney , 2001 Mo. App. LEXIS 430 ( 2001 )

Overstock. Com, Inc. v. SmartBargains, Inc. , 611 Utah Adv. Rep. 8 ( 2008 )

Strickland Tower Maintenance, Inc., an Oklahoma Corporation ... , 128 F.3d 1422 ( 1997 )

St. Benedict's Development Co. v. St. Benedict's Hospital , 160 Utah Adv. Rep. 11 ( 1991 )

United States v. Debbie McDonald , 150 F.3d 1301 ( 1998 )

Bartee v. Michelin North America, Inc. , 374 F.3d 906 ( 2004 )

Stratton v. West States Construction , 21 Utah 2d 60 ( 1968 )

boulevard-associates-a-general-partnership , 72 F.3d 1029 ( 1995 )

Marshall v. Columbia Lea Regional Hospital , 474 F.3d 733 ( 2007 )

Richards v. Brown , 642 Utah Adv. Rep. 25 ( 2009 )

Level 3 Communications, LLC v. Liebert Corp. , 535 F.3d 1146 ( 2008 )

Royal MacCabees Life Insurance v. Choren , 393 F.3d 1175 ( 2005 )

Catherine A. Heggy v. T.L. Heggy , 944 F.2d 1537 ( 1991 )

Richards v. Brown , 704 Utah Adv. Rep. 39 ( 2012 )

Unitherm Food Systems, Inc. v. Swift-Eckrich, Inc. , 126 S. Ct. 980 ( 2006 )

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