PATRICK RAMELLA v. JESSE & SONS LAWN SERVICES, LLC (L-2410-15, MORRIS COUNTY AND STATEWIDE) ( 2022 )


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  •                                 NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the
    internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-1995-19
    PATRICK AND EMILY
    RAMELLA,
    Plaintiffs-Respondents,
    v.
    JESSE & SONS LAWN
    SERVICES, LLC, and
    Estate of JESSE
    IOFFREDO,
    Defendants,
    and
    COLETTE IOFFREDO,
    Defendant-Appellant.
    __________________________
    Submitted February 14, 2022 – Decided February 24, 2022
    Before Judges Fasciale and Firko.
    On appeal from the Superior Court of New Jersey, Law
    Division, Morris County, Docket No. L-2410-15.
    Mensching & Lucarini, PC, attorneys for appellant
    (John J. Mensching, on the briefs).
    Mandelbaum Salsburg, PC, attorneys for respondents
    (Melody M. Lins, of counsel and on the brief; Arthur
    D. Grossman, on the brief).
    PER CURIAM
    Defendant Colette Ioffredo (Colette)1 appeals from two orders. First, a
    November 1, 2019 order (a) entering judgment in favor of Patrick and Emily
    Ramella (collectively plaintiffs), and (b) adding Colette as a defendant, pursuant
    to the terms of a settlement agreement she negotiated while a non-binding
    arbitration had been pending, and amending the caption of the judgment to
    reflect the passing of defendant "Jesse Ioffredo" (Jesse) by substituting Jesse's
    name with "Estate of Jesse Ioffredo." And second, a December 6, 2019 order
    awarding unopposed counsel fees in plaintiffs' favor. We affirm.
    I.
    In 2013, plaintiffs hired Jesse & Sons and Jesse to build a retaining wall
    on plaintiff's property. Jesse & Sons failed to build the wall in accordance with
    an approved engineering plan. Plaintiffs filed a complaint against defendants,
    1
    To avoid confusion between defendant Colette Ioffredo and her late husband
    Jesse Ioffredo, we refer to them by using their first names. We mean no
    disrespect in doing so.
    A-1995-19
    2
    Jesse & Sons and Jesse, alleging breach of contract, fraud, and violations under
    the Consumer Fraud Act, N.J.S.A. 56:8-1 to -227. Private counsel filed an
    answer to the complaint on behalf of Jesse & Sons and Jesse and asserted a
    counterclaim seeking payment for services rendered. A law firm retained by an
    insurance company then filed a second answer on behalf of Jesse & Sons and
    Jesse. Mr. Michael Maselli, Esq. handled the defense from that firm.
    The case never reached a trial. Plaintiffs, their counsel, and Mr. Maselli
    appeared for the non-binding arbitration on October 12, 2017. Jesse and Colette
    did not appear. In lieu of arbitrating the case that day, counsel engaged in
    settlement negotiations.      Plaintiffs refused to settle without Colette's
    involvement due to Jesse's terminal illness and because the proposed settlement
    called for installment payments to be made over time.         Plaintiffs required
    Colette to make payments after her husband died.          The parties reached a
    settlement, and the judge marked the case settled four days later. Plaintiffs then
    executed the agreement on November 30, 2017, and defendants—Jesse & Sons,
    Jesse, and Colette—executed the agreement on January 5, 2018. Jesse & Sons
    and Jesse made some payments then defaulted. Jesse died in January 2019, and
    despite notice of default, Colette, who made some payments, failed to satisfy
    her continued obligation under the agreement.
    A-1995-19
    3
    Plaintiffs filed a motion to amend the caption, pursuant to the settlement
    agreement, to name Colette as a defendant and to substitute Jesse's name for his
    estate. Colette actively opposed the motion, repeatedly appeared in court, and
    never raised her belated contention that the court lacked personal jurisdiction
    over her. The judge took testimony on the return date from Maselli and Colette,
    asked counsel to submit documentation, and gave the parties the opportunity to
    file supplemental submissions.      Thereafter, the judge conducted a second
    hearing on plaintiffs' motion. After giving Colette a full opportunity to be heard
    about the terms of the agreement, the judge made credibility determinations and
    found Colette agreed to the terms of the settlement. He stated:
    [B]ased on the February email and a preponderance of
    the credible evidence as testified to by . . . Maselli, the
    [c]ourt finds that [Colette] did in fact agree to the terms
    as were set forth in the agreement. She either signed
    that document herself or authorized someone to sign it
    on her behalf and indicated to . . . Maselli that she was
    going to sign or execute that document as he testified.
    ....
    [Maselli's] testimony was consistent.         His
    testimony was supported by his telephone records . . . .
    Those were critical records because they provided
    additional context to the conflict in testimony between
    the parties.
    A-1995-19
    4
    It was clear . . . Maselli was engaged with both
    [Jesse] and [Colette] on a regular and ongoing basis
    regarding this matter.
    The judge then granted plaintiffs' unopposed motion for counsel fees.
    On appeal, Colette raises the following points, which we have
    renumbered:
    POINT I
    THE TRIAL COURT DID NOT PROPERLY OBTAIN
    IN PERSONAM JURISDICTION OVER [COLETTE].
    (Not raised below).
    POINT II
    THE [JUDGE] ERRED IN CONCLUDING THAT
    [COLETTE] ENTERED INTO AN ENFORCEABLE
    SETTLEMENT WITH PLAINTIFFS[.] (Partially
    raised below).
    POINT III
    THE STATUTE OF FRAUDS APPLIES AND
    PRECLUDES THE ENTRY OF JUDGMENT(S)
    AGAINST [COLETTE.] (Not raised below).
    POINT IV
    THE   [JUDGE]      ERRED       IN ASSESSING
    ATTORNEY[S'] FEES AND COSTS AGAINST
    [COLETTE.] (Not raised below).
    At the outset, we note Colette is raising the following arguments for the
    first time on appeal: (1) that the Law Division improperly exercised in personam
    A-1995-19
    5
    jurisdiction over her, (2) that the Statute of Frauds, N.J.S.A. 25:1-15, precludes
    entry of judgment against her, and (3) the judge erred by awarding counsel fees
    and costs to plaintiffs. When a party fails to raise an issue to the trial judge, we
    "will decline to consider" those questions "unless the questions so raised on
    appeal go to the jurisdiction of the trial court or concern matters of great public
    interest." Zaman v. Felton, 
    219 N.J. 199
    , 226-27 (2014) (quoting State v.
    Robinson, 
    200 N.J. 1
    , 20 (2009)). These arguments are therefore waived as they
    are improperly presented before us; however, we will nonetheless address their
    merits.
    II.
    Colette asserts that "plaintiffs never amended, or moved to amend, their
    [c]omplaint to advance any cause of action" against her and that she did not
    receive service. Thus, the Law Division improperly exercised in personam
    jurisdiction over her.    While Colette is correct that plaintiffs should have
    amended their complaint to advance a cause of action against her, Colette
    ultimately consented to the jurisdiction of the trial court by actively appearing
    in the action and participating in the litigation without objection.
    Colette was aware of the lawsuit against her husband. She corresponded
    with defense counsel regarding the underlying lawsuit's settlement discussions.
    A-1995-19
    6
    Colette's opposition to the motion to amend the caption under the settlement
    agreement did not assert lack of personal jurisdiction as an affirmative defense,
    and even though the motion judge conducted two hearings and gave the parties
    additional opportunities to supplement their papers after each hearing , she
    remained involved in the proceedings. Colette submitted additional submissions
    to the motion judge, none of which asserted a lack of personal jurisdiction
    defense.
    We have advised litigants that a defendant consents to the jurisdiction of
    New Jersey by appearing in an action and participating in the litigation without
    objection. See Hupp v. Accessory Distribs., Inc., 
    193 N.J. Super. 701
    , 709 (App.
    Div. 1984). This aligns with the principle that "lack of personal jurisdiction is
    a waivable defense." Bascom Corp. v. Chase Manhattan Bank, 
    363 N.J. Super. 334
    , 341 (App. Div. 2003); see also Mitzner v. W. Ridgelawn Cemetery, Inc.,
    
    311 N.J. Super. 233
    , 239 (App. Div. 1998) (establishing that a "lack of personal
    jurisdiction [defense] is . . . subject to waiver"). But, ultimately, the inquiry
    hinges on whether the requirements of due process were met. See Rosa v.
    Araujo, 
    260 N.J. Super. 458
    , 463 (App. Div. 1992). Here, Colette's due process
    protections were met.
    A-1995-19
    7
    Due process requires "adequate notice, opportunity for a fair hearing and
    availability of appropriate review." Schneider v. City of E. Orange, 
    196 N.J. Super. 587
    , 595 (App. Div. 1984). Thus, if a party knows about the litigation
    prior to being added as a defendant, and if said defendant has an opportunity to
    be fully heard, then the party was given due process. See Bussell v. DeWalt
    Prods. Corp., 
    259 N.J. Super. 499
    , 509-11 (1992) (stating that parties need not
    formally serve each defendant in a case where the requirements of due process
    are otherwise met).
    Colette was clearly informed of the lawsuit throughout the litigation
    process. She actively participated in discussions with defense counsel during
    settlement negotiations at the courthouse.       She was also informed of the
    proceedings when plaintiffs filed their initial motion to add her as a defend ant,
    relying on the settlement agreement.        She further participated in two oral
    arguments and, in fact, testified in both proceedings. Nothing in the record
    indicates at any point prior to this appeal that she disputed the trial court's
    exercise of personal jurisdiction over her. She had a full opportunity to be heard
    as to her assertion that she did not reach a settlement with plaintiffs and had
    notice of the lawsuit from its early stages, including notice of her eventual
    A-1995-19
    8
    involvement in the case. She thus consented to the trial court's exercise of
    personal jurisdiction, and the judge afforded her due process.
    III.
    Colette also asserts that the judge erred in concluding she was a party to
    the settlement agreement. She primarily asserts that she was not a party until
    after the settlement was finalized. But Colette—despite her apprehension—
    agreed to assume responsibility for the parties' settlement in the event of her
    husband's death. There is substantial evidence in the record to support the
    judge's finding that the agreement is enforceable against her.
    Our review of a judge's factual findings is limited. Rova Farms Resort,
    Inc. v. Invs. Ins. Co., 
    65 N.J. 474
    , 484 (1974). We will "not disturb the factual
    findings and legal conclusions of the trial judge unless [we are] convinced that
    they are so manifestly unsupported by or inconsistent with the competent,
    relevant and reasonably credible evidence as to offend the interests of justice."
    Seidman v. Clifton Sav. Bank, S.L.A., 
    205 N.J. 150
    , 169 (2011) (quoting Cesare
    v. Cesare, 
    154 N.J. 394
    , 412 (1998)). And, this court is especially deferential
    when the evidence is largely testimonial and involves an assessment of witness
    credibility. Bonnco Petrol, Inc. v. Epstein, 
    115 N.J. 599
    , 607 (1989).
    A-1995-19
    9
    A.
    Settlement agreements—like the one at issue here—are to be treated and
    enforced like any other contract. See Brundage v. Est. of Carambio, 
    195 N.J. 575
    , 601 (2008) (stating that "[a]n agreement to settle a lawsuit is a contract").
    Accordingly, settlement agreements are enforceable if the "parties agree on
    essential terms and manifest an intention to be bound" by them. Weichert Co.
    Realtors v. Ryan, 
    128 N.J. 427
    , 435 (1992).
    The motion judge heard argument on the issue of the settlement
    agreement's enforceability against Colette. The judge concluded, after taking
    testimony at the hearing, that Colette's assertions that she was not made aware
    of the agreement were not credible because there were phone records that clearly
    contradicted those statements. The judge also determined that Colette was
    involved in the case. And he found that there "certainly appeared to be an intent,
    subsequent to the death of [Jesse]" for Colette "to continue to make payments"
    per the settlement agreement. Thus, she "did in fact agree to the terms as were
    set forth in the agreement."
    The motion judge's conclusion that Colette manifested an intent to be
    bound to the settlement agreement is supported by the record. First, Colette
    signed the settlement agreement. Even though she expressed apprehension
    A-1995-19
    10
    about being added on as a party, she ultimately agreed to do so via email.
    Further, her husband's counsel informed her of the agreement and that she
    needed to sign it. Second, Colette continued making settlement payments to
    plaintiffs, even after Jesse's passing in January 2019. She also testified that she
    did try to cancel at least one of the payments.
    While Colette was certainly reluctant to agree to the settlement agreement,
    she eventually agreed on the essential terms of the settlement agreement and
    manifested an intention to be bound by them. See Weichert Co. Realtors,
    
    128 N.J. at 435
    . Her assertions to the contrary do not refute the judge's findings
    nor show those findings are "unsupported by or inconsistent with the competent,
    relevant and reasonably credible evidence as to offend the interests of justice."
    Seidman, 
    205 N.J. at 169
     (quoting Cesare, 
    154 N.J. at 412
    ). Accordingly, we
    see no abuse of discretion.
    B.
    Colette contends—for the first time—that the Statute of Frauds precludes
    enforcement of the contract because the settlement agreement is a guaranty
    contract. This argument is misguided. N.J.S.A. 25:1-15 states: "[a] promise to
    be liable for the obligation of another person . . . to be enforceable, shall be in a
    writing signed by the person assuming the liability or by that person's agent."
    A-1995-19
    11
    Here, the settlement agreement was entered into by plaintiffs, Jesse & Sons,
    Jesse, and Colette. Colette did not guarantee a debt within the meaning of the
    statute; she participated in and then subsequently agreed to be bound by the
    terms of the settlement agreement from the outset. Thus, the Statute of Frauds
    does not preclude enforcement of the settlement agreement.
    IV.
    We briefly address Colette's contention that the trial judge abused his
    discretion in awarding fees because they were not reasonable, and he failed to
    conduct the requisite analysis.
    This court reviews an award of attorneys' fees under an abuse-of-
    discretion standard. Packard-Bamberger & Co., Inc. v. Collier, 
    167 N.J. 427
    ,
    443-44 (2001). This court has been instructed to disturb an award of attorneys'
    fees "only on the rarest of occasions, and then only because of a clear abuse of
    discretion." Litton Indus., Inc. v. IMO Indus., Inc., 
    200 N.J. 372
    , 386 (2009)
    (quoting Packard-Bamberger & Co., Inc., 
    167 N.J. at 444
    ).
    Plaintiffs filed a notice of motion to amend judgment against defendants
    to include attorneys' fees and costs incurred after May 22, 2018. The motion
    was unopposed. The trial judge entered an order granting said fees. The
    A-1995-19
    12
    settlement agreement included a provision governing recovery for "reasonable
    attorneys' fees and costs associated with securing said judgment."
    The trial judge did not abuse his discretion in awarding plaintiffs legal
    fees and costs sought. The certifications provided to the trial judge showed the
    time spent and services rendered. The judge concluded the adjustment was
    reasonable in light of the fee reduction out of the monies due and owing to
    plaintiffs. While the judge does not appear to have conducted a thorough review
    of each factor of R.P.C. 1.5(a), it was reasonable for the judge to conclude
    pursuant to the settlement agreement, in an unopposed motion, that attorneys'
    fees were reasonable to grant.
    Colette's remaining contentions are without sufficient merit to warrant
    discussion in a written opinion. R. 2:11-3(e)(1)(E).
    Affirmed.
    A-1995-19
    13