Gerdon Auto Sales, Inc. and William L. Gerdon v. John Jones Chrysler Dodge Jeep Ram, a/k/a John Jones Automotive Group and John Jones Chrysler City, Inc. ( 2018 )


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  •                                                                          FILED
    Mar 15 2018, 8:47 am
    CLERK
    Indiana Supreme Court
    Court of Appeals
    and Tax Court
    ATTORNEY FOR APPELLANT                                    ATTORNEYS FOR APPELLEE
    James M. Gary                                             J. David Agnew
    Weber Rose, P.S.C.                                        George W. Gesenhues, Jr.
    Louisville, Kentucky                                      Lorch Naville Ward LLC
    New Albany, Indiana
    IN THE
    COURT OF APPEALS OF INDIANA
    Gerdon Auto Sales, Inc. and                               March 15, 2018
    William L. Gerdon,                                        Court of Appeals Case No.
    Appellants-Plaintiffs,                                    31A01-1708-CT-1859
    Appeal from the Harrison Circuit
    v.                                                Court
    The Honorable John T. Evans,
    John Jones Chrysler Dodge Jeep                            Judge
    Ram, a/k/a John Jones                                     Trial Court Cause No.
    Automotive Group and John                                 31C01-1502-CT-7
    Jones Chrysler City, Inc.,
    Appellees-Defendants.
    Najam, Judge.
    Statement of the Case
    [1]   Gerdon Auto Sales, Inc. and William L. Gerdon (collectively “Gerdon”)
    appeal the trial court’s grant of summary judgment for John Jones Chrysler
    Dodge Jeep Ram, a/k/a John Jones Automotive Group, and John Jones
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018              Page 1 of 19
    Chrysler City, Inc. (collectively “Jones”) on Gerdon’s complaint, which alleged
    that Jones had breached its contract with Gerdon, that it had breached its duty
    of good faith and fair dealing, and that Gerdon had sustained damages from
    those breaches. Gerdon presents six issues for our review, which we restate as
    the following three issues:
    1.       Whether the trial court erred when it granted summary
    judgment for Jones on Gerdon’s breach of contract claim.
    2.       Whether Gerdon’s claim that Jones breached its duty of
    good faith and fair dealing was subject to a two-year or
    ten-year statute of limitations.
    3.       Whether William has standing to enforce the parties’
    contract.
    [2]   We affirm.
    Facts and Procedural History
    [3]   On September 16, 2011, Gerdon and Jones entered into an Asset Purchase
    Agreement (the “Contract”). Under the Contract, Gerdon agreed to sell and
    Jones agreed to purchase “real estate, new and used vehicles, fixed assets,
    special tools, equipment, fixtures, auto parts[,] and good will.” Appellants’
    App. Vol. II at 21. Among other things, the Contract described the assets to be
    sold, the purchase price of those assets, contingencies, and an obligation that
    Jones employ William.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 2 of 19
    [4]   The section of the Contract titled “Purchase and Sale” consisted of five
    subsections and described the assets to be sold and their purchase price. One
    subsection described the real estate and included a purchase price of $800,000.
    Another subsection described the fixed assets, good will, special tools, and
    equipment (“other assets”) and provided for a purchase price of $200,000.
    [5]   The Contract contained a section on contingencies, which stated as follows:
    [Jones’] obligation to purchase is contingent upon the following
    conditions being met, or waived, by the Closing Date:
    1. [Gerdon] being able to convey clear and marketable title to
    the Real Estate, as established by a title insurance
    commitment.
    2. Obtaining authorization from Chrysler Corporation for the
    transfer of the subject dealership.
    3. [Jones] being able to obtain conventional commercial
    financing for this transaction.
    4. [Jones] being able to establish a floor plan arrangement with
    Ally Financial.
    Id. at 22. The Contract also contained a provision that Jones “shall employ
    William L. Gerdon for twelve (12) months for a monthly salary of Three
    Thousand Dollars ($3,000.00).” Id. at 22-23. William signed the Contract on
    behalf of Gerdon in his official capacity as president of the corporation. He did
    not sign the contract in a personal capacity.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 3 of 19
    [6]   Jones sought financing in the amount of $800,000 from First Savings Bank
    sometime shortly after the parties signed the Contract. On or around
    November 29, 2011, the bank determined that it wanted an environmental
    assessment to be done on the real estate. As such, the bank had not approved
    the loan application as of that date.
    [7]   The Contract provided for a closing date of December 1, 2011, unless the
    parties “mutually agreed, in writing” to a different date. Id. at 22. On
    December 19, the parties signed an agreement that extended the closing date to
    December 20 “due to circumstances involving Chrysler Corporation’s approval
    of and necessary involvement with” the Contract. Id. at 113. Further, both
    parties believed that it was “in their best interests” to extend the closing date.
    Id. However, the environmental assessment had not yet been completed on the
    real estate and Jones had not yet obtained financing for the loan. Nonetheless,
    on December 19, without Jones having obtained financing for the real property,
    the parties closed on the sale and purchase of the other assets.1
    [8]   The environmental assessment report was completed in January 2012. On
    April 3, the bank issued a letter in which it denied Jones’ loan application due
    to environmental issues and the appraised value of the real estate. Jones did not
    1
    In the record on appeal, the parties did not provide any closing documents from the closing on the other
    assets. Neither did the parties provide any other evidence about the events that occurred on December 19.
    As such, it is unclear from the record whether the parties first agreed to extend the closing date from
    December 19 to December 20 and then, sometime thereafter, closed on the other assets on December 19, or,
    whether on December 19 the parties simultaneously closed on the other assets and agreed to extend the
    closing date on the remaining assets.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018                      Page 4 of 19
    attempt to provide the bank with collateral other than the real estate, nor did it
    attempt to obtain a loan from a different financial institution. The parties did
    not close on the real estate.
    [9]    On February 13, 2015, Gerdon filed a complaint against Jones in which it
    alleged that Jones had breached the terms of the Contract when it failed to pay
    $800,000 to purchase the real estate and that, as a result of that breach,
    William, individually, was required to spend in excess of $50,000 per month for
    ongoing costs associated with Gerdon’s operation. Gerdon further alleged in its
    complaint that Jones had breached its duty of good faith and fair dealing. In its
    answers, in what amounted to an affirmative defense, Jones asserted that it did
    not breach the Contract because the Contract contained a financing
    contingency and Jones did not obtain financing. It also raised the affirmative
    defense that Gerdon’s claim for breach of the duty of good faith and fair dealing
    was barred by an applicable statute of limitations.
    [10]   On January 24, 2017, Jones filed a motion for summary judgment in which it
    reiterated the assertions it had made in its answers that it did not breach the
    Contract because the bank had denied its loan application and that Gerdon’s
    claim that Jones had breached its duty of good faith and fair dealing was barred
    by a two-year statute of limitations. Jones further asserted that William was not
    a party to the Contract and that the complaint did not contain any allegations
    that would confer standing on him to enforce the Contract.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018    Page 5 of 19
    [11]   In response, Gerdon asserted that there were genuine issues of material fact
    regarding whether Jones had breached the Contract when it failed to purchase
    the real estate and whether it had waived the financing contingency. Gerdon
    also contended that the limitations period for its claim for breach of good faith
    and fair dealing was ten years. In addition, Gerdon asserted that William was a
    third-party beneficiary of the Contract. In support of its opposition to Jones’
    motion for summary judgment, Gerdon designated William’s affidavit in which
    he stated:
    At all times during the negotiations associated with this
    transaction, it was clearly understood and agreed that the
    transaction would involve the sale of the automobile
    franchises . . . and the real estate which was the location of the
    dealership; there was never any discussion or mention that the
    transaction would consist of multiple, or separate transactions or
    agreements for portions or parts of these assets[.]
    Appellants’ App. Vol. II at 103. After two hearings, the trial court entered
    summary judgment for Jones. This appeal ensued.
    Discussion and Decision
    Standard of Review
    [12]   Gerdon contends that the trial court erred when it entered summary judgment
    for Jones. Our standard of review is clear. The Indiana Supreme Court has
    explained that
    [w]e review summary judgment de novo, applying the same
    standard as the trial court: “Drawing all reasonable inferences in
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 6 of 19
    favor of . . . the non-moving parties, summary judgment is
    appropriate ‘if the designated evidentiary matter shows that there
    is no genuine issue as to any material fact and that the moving
    party is entitled to judgment as a matter of law.’” Williams v.
    Tharp, 
    914 N.E.2d 756
    , 761 (Ind. 2009) (quoting T.R. 56(C)). “A
    fact is ‘material’ if its resolution would affect the outcome of the
    case, and an issue is ‘genuine’ if a trier of fact is required to
    resolve the parties’ differing accounts of the truth, or if the
    undisputed material facts support conflicting reasonable
    inferences.” 
    Id.
     (internal citations omitted).
    The initial burden is on the summary-judgment movant to
    “demonstrate [ ] the absence of any genuine issue of fact as to a
    determinative issue,” at which point the burden shifts to the non-
    movant to “come forward with contrary evidence” showing an
    issue for the trier of fact. 
    Id.
     at 761–62 (internal quotation marks
    and substitution omitted). And “[a]lthough the non-moving
    party has the burden on appeal of persuading us that the grant of
    summary judgment was erroneous, we carefully assess the trial
    court’s decision to ensure that he was not improperly denied his
    day in court.” McSwane v. Bloomington Hosp. & Healthcare Sys.,
    
    916 N.E.2d 906
    , 909–10 (Ind. 2009) (internal quotation marks
    omitted).
    Hughley v. State, 
    15 N.E.3d 1000
    , 1003 (Ind. 2014) (omission and some
    alterations original to Hughley).
    [13]   Here, the trial court entered findings of fact and conclusions thereon in its
    summary judgment order. While such findings and conclusions are not
    required in a summary judgment and do not alter our standard of review, they
    are helpful on appeal for us to understand the reasoning of the trial court. See
    Knighten v. E. Chicago Hous. Auth., 
    45 N.E.3d 788
    , 791 (Ind. 2015). On appeal,
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 7 of 19
    the parties dispute whether Jones breached the Contract and whether it
    breached its duty of good faith and fair dealing. The parties also dispute
    whether William had standing to enforce the Contract. We address each
    argument in turn.
    Issue One: Breach of Contract
    [14]   Gerdon first contends that Jones breached the Contract. To prevail on that
    claim, Gerdon must prove the existence of a contract, that Jones breached the
    contract, and damages. Old Nat’l Bank v. Kelly, 
    31 N.E.3d 522
    , 531 (Ind. Ct.
    App. 2015), trans. denied. The parties only dispute whether Jones breached the
    Contract. Gerdon contends that Jones breached the Contract when Jones failed
    to purchase the real estate despite not having obtained financing for the real
    estate because, according to Gerdon, Jones waived the financing contingency
    when it purchased the other assets. Jones responds that the Contract was
    severed when it was partially performed and that the financing contingency was
    unaffected by the partial sale and purchase. In other words, whether Jones
    waived the financing contingency and, thus, breached the Contract turns on
    whether the Contract was severable.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 8 of 19
    Severability
    Plain Language
    [15]   We first address whether the Contract, as drafted, was severable. Gerdon
    contends that the Contract was not severable and that Jones breached the
    Contract when Jones paid $200,000 for the other assets but failed to pay
    $800,000 for the real estate. This court has previously outlined the factors for a
    court to consider in order to determine whether a contract provision is
    severable.
    [W]hether a contract is entire or divisible is controlled by the
    intention of the parties as it is disclosed by the terms of the
    contract. It is well established that the parties to a contract
    intend that it be entire and indivisible when by its terms, nature
    and purposes it contemplates and intends that each and all of its
    parts, material provisions and the consideration, are common
    each to the other and interdependent, or whether it could be
    completed in part only.
    Heritage Dev. of Ind., Inc. v. Opportunity Options, Inc., 
    773 N.E.2d 881
    , 891 (Ind.
    Ct. App. 2002) (quoting Samper v. Ind. Dept. of State Revenue, 
    106 N.E.2d 797
    ,
    802 (Ind. 1952)).
    [16]   Gerdon contends that Jones breached the Contract when it purchased the other
    assets without also purchasing the real estate because “the transaction in
    question was unequivocally a single transaction[.]” Appellants’ Br. at 12.
    Jones counters that the Contract was severable because “the contract contained
    two provisions—severable by terms of the contract itself: a sale of the Real
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018    Page 9 of 19
    Estate for $800,000 and the sale of [the other assets] for $200,000.”2 Appellees’
    Br. at 17.
    [17]   On this question, we must agree with Gerdon. The Contract consistently refers
    to all of the “assets” as a whole, which included the real property, the personal
    property, and the intangible good will. For instance, the Contract states that
    Gerdon desired to sell and Jones “desire[d] to buy the Assets on the terms
    contained in this Agreement[.]” Appellants’ App. Vol. II at 21. Further, it
    states that Jones shall purchase from Gerdon “the assets associated with the
    operation” of the dealership. 
    Id.
     Additionally, the Contract requires one down
    payment of $50,000 that “shall be applied to the Purchase Price at the closing[.]”
    Id. at 22. (emphasis added). The Contract also references one transaction. For
    example, under the payment clause, the Contract provides direction on how the
    parties would handle the down payment if “this transaction” does not close
    because a contingency was not met. Id. (emphasis added). Finally, the
    Contract as originally drafted provides for a single closing date, which was “a
    date mutually agreeable to the parties, but in no event shall the Closing Date be
    later than December 1, 2011, unless mutually agreed, in writing.” Id.
    (emphasis added). Based on the contract language that refers to the assets as a
    whole, to one down payment that shall be applied to the purchase price, to one
    2
    The Contract does contain a severability provision that states as follows: “This agreement is severable and
    any provision herein held to be violative of any applicable statutes, regulations, or law, shall only affect the
    portion in conflict.” Appellants’ App. Vol. II at 23. However, that clause appears to apply only if a court
    declares that a particular Contract provision violates the law, and Jones does not suggest otherwise on
    appeal, and it does not rely on the severability provision in its argument to this Court.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018                          Page 10 of 19
    transaction, and to one closing date, we conclude that the Contract, as
    originally drafted, was not ambiguous with regard to its nonseverability and
    that the parties did not intend for the original Contract to be severable. But our
    inquiry does not end here.
    Modification and Severance3
    [18]   Although the Contract was nonseverable as originally drafted, we next address
    whether the parties modified the Contract by their conduct.4 While Jones does
    not allege that it explicitly agreed to modify the Contract, it is well settled that
    “[e]ven a contract providing that any modification thereof must be in writing
    may nevertheless be modified orally.” City of Indianapolis v. Twin Lakes Enters.,
    Inc., 
    568 N.E.2d 1073
    , 1084-85 (Ind. Ct. App. 1991). Further, the
    “modification of a contract can be implied from the conduct of the parties.”
    Gilliana v. Paniaguas, 
    708 N.E.2d 895
    , 897 (Ind. Ct. App. 1999), trans. denied.
    As a general rule, “[q]uestions regarding the modification of a contract are ones
    of fact[.]” Skweres v. Diamond Craft Co., 
    512 N.E.2d 217
    , 221 (Ind. Ct. App.
    1987). But, here, as the trial court found, there are no issues of material fact.
    3
    Neither party squarely addresses the question of whether the Contract was modified, but that is the heart of
    the dispute. We will affirm a trial court’s entry of summary judgment if it can be sustained on any theory or
    basis in the record. DiMaggio v. Rosario, 
    52 N.E.3d 896
    , 904 (Ind. Ct. App. 2016).
    4
    The Contract contains a provision that states: “This Agreement and all related agreements executed on
    this date represent the entire understanding of the parties and may not be modified except upon written
    agreement executed by [Gerdon] and [Jones].” Appellants’ App. Vol. II at 23.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018                       Page 11 of 19
    [19]   Since there was no written or other explicit agreement to modify the Contract,
    we must rely on the designated evidence to determine whether, as a matter of
    law, the conduct of the parties supports more than one inference of their intent.
    The intent relevant in contract matters is not the parties’ subjective intents but
    their outward manifestation of it. See Zimmerman v. McColley, 
    826 N.E.2d 71
    ,
    77 (Ind. Ct. App. 2005). In order to determine a party’s intent, a court does not
    examine the hidden intentions secreted in the heart of a person but should
    examine the final expression of that intent found in conduct. See 
    id.
    [20]   Again, typically, where there is no written or otherwise explicit agreement,
    whether the parties have agreed to modify and sever a contract would present a
    question of fact for the trial court. See Heritage Dev. of Ind., Inc., 
    773 N.E.2d at 892-93
    . But, here, it is undisputed that the parties agreed to and did, in fact,
    close on a partial sale and purchase of the assets. As such, they demonstrated
    that the Contract was capable of separate and independent performance with
    regard to the other assets. See 
    id. at 893
    . And with contracts entire upon their
    face which have been partially performed, the acceptance and use of work, or
    material, or benefits, is treated as implying an agreement to sever and divide the
    contract. See W. Wheeled Scraper Co. v. Scott Constr. Co., 
    27 N.E.2d 879
    , 881
    (Ind. 1940). Thus, in this case, where the parties have partially performed the
    Contract and exchanged valuable consideration, the question of modification
    can be resolved as a matter of law based on the conduct of the parties. See
    Heritage Dev. of Ind., Inc., 
    773 N.E.2d at 892-93
    .
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 12 of 19
    [21]   While the Contract provided for a single transaction, Gerdon accepted payment
    in exchange for the other assets. The parties closed on some but not all of the
    assets, and for some but not all of the sale price, without any other indication or
    expression of their intent. As such, the parties’ actions manifest an agreement
    to modify and sever the Contract. On this record, without designated evidence
    of a contrary intent, we hold that a partial closing on the other assets
    constituted partial performance of the Contract and that the parties modified
    and severed the Contract by their conduct. See 
    id.
     Thus, we turn to whether
    Jones waived the financing contingency.
    Waiver
    [22]   Gerdon contends that “[n]o party to this lawsuit has ever suggested that the
    transaction in question . . . was constructed or designed as a series of separate
    agreements, each to be completely independent of the others.” Appellants’
    App. Vol. II at 90. Gerdon continues that, “the contract in question is a single,
    indivisible contract which is not susceptible to partial performance.” 
    Id.
     And
    he concludes that, “[b]y making partial payment under the contract in question,
    [Gerdon] insist[s] that the Defendants have specifically waived the
    contingencies therein.” 
    Id.
    [23]   In support of those contentions, Gerdon designated William’s affidavit in which
    he stated that “[a]t all times during the negotiations associated with this
    transaction . . . there was never any discussion or mention that the transaction
    would consist of multiple, or separate transactions or agreements for portions or
    parts of these assets.” Id. at 103. This statement is merely an averment that the
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 13 of 19
    parties did not discuss severance of the Contract, which is not a matter in
    dispute. Even when viewed in the light most favorable to Gerdon, the
    nonmovant, this contention does not create an issue of material fact.
    [24]   The designated evidence does not show that at any time “during the
    negotiations associated with this transaction,” there was any “discussion or
    mention” that Gerdon asked or required Jones to waive the financing
    contingency in order to close on the sale and purchase of the other assets.
    Neither does the evidence show that that Jones offered or agreed to waive the
    financing contingency. “Waiver is the intentional relinquishment of a known
    right.” Salem Cmty. Sch. Corp. v. Richman, 
    406 N.E.2d 269
    , 274 (Ind. Ct. App.
    1980). Waiver is ordinarily a question of fact, and the burden of proving waiver
    is on the party claiming it. 
    Id.
    [25]   However, while the existence of facts necessary to constitute a waiver of a
    contract provision is ordinarily a question of fact, the question of the facts
    necessary to constitute a waiver is a matter of law. Jackson v. DeFabis, 
    553 N.E.2d 1212
    , 1217 (Ind. Ct. App. 1990). “When only the legal conclusions to
    be drawn from those facts are argued, the question of waiver is proper for the
    court to consider as a matter of law on summary judgment.” Pohle v. Cheatham,
    
    724 N.E.2d 655
    , 658 (Ind. Ct. App. 2000). And the parties only dispute
    whether more than one reasonable inference and legal conclusion can be drawn
    from those facts. Thus, in this case, the question of waiver is a proper
    consideration for summary judgment and can be determined as a matter of law.
    
    Id.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 14 of 19
    [26]   There is nothing in the record to indicate that Jones agreed to waive the
    financing contingency. As such, we are left to consider the only objective facts
    available, the conduct of the parties. And, as discussed above, the facts
    establish that the parties modified the Contract. It is well-settled that when a
    contract is modified, the original contract still exists and binds the parties as far
    as it can be followed, and the modifications do not affect the original contract,
    which still remains in force. Foltz v. Evans, 
    49 N.E.2d 358
    , 365 (Ind. Ct. App.
    1943). See Justus v. Justus, 
    581 N.E.2d 1265
    , 1276 (Ind. Ct. App. 1991). Thus,
    on summary judgment, where there is no designation of material facts
    indicating a contrary intent, when a contractual provision is severed, the
    unsevered provisions are not waived but survive intact.
    [27]   The initial burden was on Jones, as the summary judgment movant, to
    demonstrate the absence of any genuine issue of material fact with respect to
    whether the unsevered provisions of the Contract survived the partial
    closing. Jones designated evidence showing that a partial sale and purchase of
    the other assets occurred and, therefore, that the Contract was severed and the
    financing contingency for the real estate remained intact. At that point, the
    burden shifted to Gerdon to designate evidence indicating a contrary intent,
    namely, evidence that, while the Contract was severed, the financing
    contingency did not remain intact and was waived. But Gerdon did not
    designate any such evidence. The designated evidence shows that Gerdon
    agreed to sell, and Jones agreed to purchase, the other assets for a sum of
    $200,000. The only reasonable inference that can be drawn—not from the
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 15 of 19
    subjective intent of the parties but from the designated evidence—is that the
    Contract was partially performed and severed when Gerdon and Jones
    conducted a $200,000 partial closing. Thus, we conclude that by operation of
    law the balance of the Contract remained intact, the $800,000 financing
    contingency survived the partial closing and was not waived, and Jones had no
    obligation to purchase the real estate because the bank had not approved its
    loan request.
    [28]   In sum, the uncontroverted material facts demonstrate that Gerdon and Jones
    conducted a partial sale and purchase of the other assets and that, by their
    conduct, they modified and severed the Contract. As such, the $800,000
    financing contingency on the real estate remained intact, and Jones has
    affirmatively negated Gerdon’s breach of contract claim. See Hughley, 15
    N.E.2d at 1003. Accordingly, we hold that the trial court did not err when it
    entered summary judgment for Jones on that claim.
    Issue Two: Breach of Duty of Good Faith and Fair Dealing
    [29]   Gerdon also asserts that Jones breached its duty of good faith and fair dealing
    when it failed to seek a loan from another financial institution or when it failed
    to offer collateral other than the real estate for the loan. Here, the parties
    dispute only whether Gerdon’s claim on the issue of the breach of the duty of
    good faith and fair dealing in its initial complaint was barred by an applicable
    statute of limitations. Gerdon asserts that the duty at issue here arises from the
    Contract and, as such, the statute of limitations was ten years. Jones, on the
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 16 of 19
    other hand, asserts that the alleged breach of duty of good faith and fair dealing
    is a tort claim and that the statute of limitations was two years.
    [30]   We agree with Gerdon that, in substance, its complaint alleges a contractual
    duty of good faith and fair dealing. However, the Contract does not contain a
    provision regarding such a duty, and we hold that there was no implied duty of
    good faith and fair dealing in the Contract. “Indiana law does not impose a
    generalized duty of good faith and fair dealing on every contract; the
    recognition of an implied covenant is generally limited to employment contracts
    and insurance contracts.” Old Nat’l Bank, 31 N.E.3d at 531. Further, courts
    will only impose a duty of good faith and fair dealing if the contract is
    ambiguous or expressly imposes such a duty on the parties. Id. The contract at
    issue here is neither an employment contract nor an insurance contract. And,
    again, the Contract does not expressly impose a duty of good faith and fair
    dealing on the parties.
    [31]   Therefore, we must determine whether the Contract is ambiguous. The
    “[i]nterpretation and construction of contract provisions are questions of law.”
    B&R Oil Co. v. Stoler, 
    77 N.E.3d 823
    , 827 (Ind. Ct. App. 2017), trans. denied.
    Gerdon asserts that the summary judgment burden was on Jones “to establish
    that the contract in question is without ambiguity.” Appellant’s Br. at 15. It
    also asserts that “the language of the contract itself included ambiguities with
    regard to the contingency elements.” Appellant’s Reply Br. at 8.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 17 of 19
    [32]   However, Jones designated the Contract as evidence in support of its motion for
    summary judgment, and the Contract speaks for itself. The burden then shifted
    to Gerdon to show an issue for the trier of fact. See Hughley, 15 N.E.3d at 1003.
    On appeal, Gerdon does not identify any language in the Contract that it claims
    to be ambiguous. As such, we hold that the provision of the Contract regarding
    the contingencies is not ambiguous. Because the Contract does not contain any
    ambiguities, we will not impose a duty of good faith and fair dealing on the
    parties. See Old Nat’l Bank, 31 N.E.3d at 531. Thus, the claim that Jones
    breached the duty of good faith and fair dealing was not available to Gerdon,
    and we need not address the statute of limitations issue. The trial court did not
    err when it granted summary judgment for Jones on that claim.5
    Issue Three: Standing
    [33]   Finally, Gerdon contends that the trial court erred when it determined that
    William lacked standing to enforce the Contract because he was not a third-
    party beneficiary of the Contract. Gerdon asserts that William “was a proper
    party to the present action as a named and identified third-party beneficiary [of]
    the agreement.” Appellants’ Br. at 15. However, because we hold that the trial
    court did not err when it entered summary judgment for Jones on both of
    5
    The trial court entered summary judgment for Jones on Gerdon’s claim that Jones breached its duty of
    good faith and fair dealing because that claim was barred by a two-year statute of limitations. Even though
    we do not reach the question of which statute of limitations applies, we will affirm the trial court’s entry of
    summary judgment if it can be sustained on any theory or basis in the record. DiMaggio, 52 N.E.3d at 904.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018                          Page 18 of 19
    Gerdon’s claims, we need not address whether William had standing to enforce
    the Contract.
    Conclusion
    [34]   We hold that the trial court did not err when it entered summary judgment on
    Gerdon’s breach of Contract claim because the parties modified and severed the
    Contract and because Gerdon did not designate evidence to demonstrate that
    the balance of the Contract, including the financing contingency, did not
    remain intact or that Jones waived that contingency. We also hold that the trial
    court did not err when it granted summary judgment for Jones on Gerdon’s
    claim for breach of good faith and fair dealing because the Contract did not
    contain an implied duty of good faith and fair dealing and, thus, that claim was
    not available to Gerdon. Finally, because we hold that the trial court did not
    err when it entered summary judgment for Jones on Gerdon’s claims, we need
    not address whether William had standing to file the complaint.
    [35]   Affirmed.
    Mathias, J., and Barnes, J., concur.
    Court of Appeals of Indiana | Opinion 31A01-1708-CT-1859 | March 15, 2018   Page 19 of 19