Case No.: |
2009AP3075 |
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Complete Title of Case: |
†Petition for Review Filed. |
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State of Plaintiff-Respondent, v. Basil E. Ryan, Jr., Defendant-Appellant.
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Opinion Filed: |
January 11, 2011 |
Submitted on Briefs: |
October 6, 2010 |
Oral Argument: |
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JUDGES: |
Curley, P.J., Fine and Brennan, JJ. |
Concurred: |
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Dissented: |
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Appellant |
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ATTORNEYS: |
On behalf of the defendant-appellant,
the cause was submitted on the briefs of Dan Biersdorf and E. Kelly Keady of |
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Respondent |
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ATTORNEYS: |
On behalf of the plaintiff-respondent, the cause was submitted on the brief of J.B. Van Hollen, attorney general, and Joanne F. Kloppenburg, assistant attorney general. |
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2011 WI App 21
COURT OF APPEALS DECISION DATED AND FILED January 11, 2011 A.
John Voelker Acting Clerk of Court of Appeals |
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NOTICE |
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This opinion is subject to further editing. If published, the official version will appear in the bound volume of the Official Reports. A party may file with the Supreme Court a petition to review an adverse decision by the Court of Appeals. See Wis. Stat. § 808.10 and Rule 809.62. |
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Appeal No. |
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STATE OF |
IN COURT OF APPEALS |
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State of Plaintiff-Respondent, v. Basil E. Ryan, Jr., Defendant-Appellant. |
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APPEAL
from a judgment of the circuit court for
Before Curley, P.J., Fine and Brennan, JJ.
¶1 CURLEY, P.J. Basil E. Ryan, Jr.
appeals a judgment granting the State summary judgment on a forfeiture action
in which the State alleged that Ryan unlawfully placed and maintained a sunken
barge on the bed of the
I. Background.
¶2 This case originally arose out of an eminent domain action
whereby the Wisconsin Department of Transportation (“DOT”) acquired real
property at
¶3 On March 30, 2005, the DOT acquired the property at
¶4 After the June 28, 2005 deadline passed and Ryan still had not vacated the property, the DOT petitioned the Milwaukee County circuit court for a writ of assistance against Ryan; specifically, the DOT petitioned against Ryan doing business as “Ryan Marina,” as well as a number of Ryan’s other business concerns, including: “260 North 12th Street, LLC;” “Ryan Management, LLC;” “B.E. Ryan Enterprises, Inc. doing business as Vehicle Towing;” and “Irish Stone and Rock Co. (Trade Name of B.E. Ryan, Jr.).” Steven K. Puschnig of S&S Auto Sales, and Honeycreek, Inc., were also named as respondents to the writ.[5] The trial court granted the DOT’s petition and issued an order for writ of assistance, providing in part:
[A]ll
Respondents will remove all of their personal property, including the barge,
and will vacate the premises located at
¶5 Despite this order, the barge was not removed. It remained stationed adjacent to the
property at
¶6 The State Department of Natural Resources (“DNR”) sent Ryan a
notice of violation regarding the sunken barge on October 9, 2006. The notice explained that the DNR had reason
to believe that Ryan was in violation of various statutes because the barge
obstructed navigable waters. The notice,
which was expressly addressed to Ryan, described the barge as “your barge,” and
further noted that “[a] barge owned by Basil Ryan sunk on July 13, 2006 on the
It is our position that the barge sank only because of the negligence of staff members of WISDOT, or of contractors working under the direction and supervision of WISDOT.
The factual allegations regarding contacts with [Ryan’s attorney] are substantially incorrect and, in any event, are not relevant.
With full reservation of the rights of the barge owner, we are nonetheless willing to address the matter by floating and removing the barge, thus eliminating the problem, while still leaving for resolution on another day, both cost placement and responsibility for damage experienced.
To assist us in this regard, we ask for copies of the bids obtained by [the] DNR for floating the barge. In this way we can work with the low bidder to remove the problem.
The barge, however, was not
removed. It remained at the bottom of
the
¶7 The State consequently filed the instant forfeiture action
against Ryan. The complaint alleged,
among other things, that Ryan “unlawfully placed and maintained an obstruction
in the form of a sunken barge on the bed of the
¶8 Shortly thereafter, the State filed its first motion for summary judgment. It argued that it was undisputed that: (1) Ryan owned the barge from at least 2005 until it sunk on July 13, 2006; (2) Ryan never obtained a permit to place or maintain the barge on the riverbed; and (3) the Menomonee River where the barge lies is a natural navigable and public waterway, and no bulkhead had been established where the river abuts the property adjacent to where the barge lies.
¶9 The State submitted several documents to establish that Ryan owned the barge. The State included the order for writ of assistance concerning the 2005 eminent domain action, as well as the Business Relocation Questionnaire that stated, “barge is stored by owner (Ryan).” The State also provided the October 16, 2006 letter from Ryan’s counsel to the DNR shortly after the barge sunk, which stated:
With full reservation of the rights of the barge owner, we are nonetheless willing to address the matter by floating and removing the barge, thus eliminating the problem, while still leaving for resolution on another day, both cost placement and responsibility for damage experienced. To assist us in this regard, we ask for copies of the bids obtained by [the] DNR for floating the barge. In this way we can work with the low bidder to remove the problem.
¶10 The State further submitted several affidavits by State DOT
employees affirming that when the DOT acquired the real property and other
property at
¶11 In response to the State’s first motion for summary judgment, Ryan admitted that the DOT never acquired the barge, but disputed that he personally owned and/or controlled the barge when it sank. Ryan submitted an affidavit alleging that someone else, a person by the name of Richard Schumacher, owned the barge. According to Ryan’s affidavit, Ryan’s corporation agreed to store the barge for Schumacher, but Ryan never personally owned or controlled the barge in any way. As for the Business Relocation Questionnaire, Ryan’s affidavit claimed that Ryan never saw the form, and that his then-attorney prepared it without any input from Ryan and never showed it to him before the State moved for summary judgment. As for the October 16, 2006 letter submitted by his then-attorney, Ryan’s affidavit again contended that Ryan was never consulted about the contents of the letter. Ryan’s affidavit additionally contended that after the writ of assistance was filed on July 19, 2005, the DOT had control of the barge from that date until it sunk in 2006.
¶12 The trial court partially granted the State’s first motion for summary judgment. The trial court first determined that there was no issue of material fact with respect to Ryan’s assertion that the State was responsible for the barge’s sinking. This was because Ryan’s affirmative defense could not be established without expert testimony, which he did not proffer. The trial court next determined that the doctrine of judicial estoppel precluded Ryan from denying that he or one of his corporate entities owned and controlled the barge at all pertinent times. According to the trial court, Ryan’s assertion that he did not own or control the barge was wholly inconsistent with the position he took in the 2005 eminent domain case. Specifically, as a defendant in that case, State v. 260 N. 12th Street, No. 05-CV-5593 (Milwaukee County Circuit Court Jul. 1, 2005), Ryan affirmatively asserted his ownership in the barge via the Business Relocation Questionnaire, the letter dated October 16, 2006, and, “most importantly,” by agreeing to “entry of an order which specifically determined that the barge was the ‘personal property’ of Ryan or a Ryan concern.” The trial court concluded that “it would be a perversion of the judicial process to allow those inconsistent assertions and Mr. Ryan is estopped from doing so.”
¶13 The trial court also denied the State’s first motion for summary judgment in part. Specifically, the trial court concluded that the State was not entitled to summary judgment because it did not establish individual ownership on Ryan’s part. While the State did show that either Ryan “or one of the corporate concerns of which he is a principal,” owned the barge, the State named only Ryan as a defendant to the forfeiture action. It further determined that “[i]f in fact, it is established that Mr. Ryan is the controlling principal of the corporate entities (assuming personal ownership cannot be established), [then] Mr. Ryan is liable.”
¶14 The State then filed a second motion for summary judgment. In this motion, the State argued that because Ryan testified in his deposition for the eminent domain case that the barge was owned by Ryan Marina, one of Ryan’s corporate concerns, and because Ryan was the only officer and controlling principal of Ryan Marina, that Ryan was personally liable for the sinking of the barge. The State also noted that Ryan testified that he was storing the barge as of March 30, 2005, and had not leased the barge to anyone for ten years before that.
¶15 The trial court granted the State’s second motion for summary judgment. The court then held a trial concerning damages, and ordered judgment for payment of forfeitures and surcharges totaling approximately $37,691.25. Additionally, the Court ordered $100,000 to be maintained in a trust account to cover the net cost of the removal of the barge. Ryan now appeals.
II. Analysis.
Summary Judgment Standard
¶16 We review de novo the
grant or denial of summary judgment, employing the same methodology as the
circuit court. See Green Spring Farms v.
Kersten, 136
¶17 Ryan presents two bases for appeal. He argues that summary judgment is inappropriate in Wis. Stat. ch. 30 forfeiture actions, and therefore that summary judgment was not available in this case. Ryan also argues that the trial court incorrectly applied the doctrine of judicial estoppel. We address each in turn.
A. The trial court did not err in
granting the State summary judgment on its
Wis. Stat.
ch. 30 claim against Ryan.
¶18 Whether summary judgment is available in this Wis. Stat. ch. 30 forfeiture
action is a question of law we review de
novo.
¶19
¶20 Our analysis does not end there, however. This court has established that “the test for
the application of the civil rules of procedure” in forfeiture actions “is not
only whether the statutes governing the instant proceeding are silent on the
matter” or whether they “set out a different procedure, but also whether the
instant proceeding can be reconciled with the rules of civil procedure.” State v. Schneck, 2002 WI App 239,
¶7, 257
¶21 As we did in Schneck, we begin with the “well-recognized” and “often stated” summary judgment methodology:
We first examine the complaint to determine whether it states a claim and then review the answer to determine whether it joins a material issue of fact or law. If we conclude that the complaint and answer are sufficient to join issue, we examine the moving party’s affidavits to determine whether they establish a prima facie case for summary judgment. If they do, we look to the opposing party’s affidavits to determine whether there are any material facts in dispute that entitle the opposing party to a trial.
¶22 We next turn to the complaint and answer allowed by Wis. Stat. §§ 23.52 and
23.55. See Schneck, 257
¶23 In addition, in a forfeiture action such as this one, the trial
court also has the ability to evaluate not only the complaint and answer, but
also the affidavits of both parties to determine whether any issue of material
fact exists. See Schneck, 257
¶24 We also note that the trial court’s decision to grant summary
judgment in the instant case was not novel.
Our precedent includes numerous examples of instances in which summary
judgment was granted in civil enforcement actions. See,
e.g.,
¶25 Therefore, because the plain language of the procedural statutes governing Wis. Stat. ch. 30 forfeiture actions allows for summary judgment, and because these statutes are consistent with summary judgment methodology, we conclude that summary judgment was available in the State’s ch. 30 forfeiture action against Ryan, and that the trial court did not err in allowing the State to move for summary judgment.
B. The trial court did not err in
applying judicial estoppel to preclude Ryan from
arguing that he did not own or control the
barge.
¶26 “‘Judicial estoppel is a doctrine that is aimed at preventing a
party from manipulating the judiciary as an institution by asserting a position
in a legal proceeding and then [later] taking an inconsistent position.’” State v. White, 2008 WI App 96, ¶15,
312
¶27 We think that Ryan presents a textbook example of a litigant
playing “fast and loose” with the judicial system. See Harrison, 187
¶28 Furthermore, Ryan’s argument that “estoppel can only be applied where the first case has an equal or higher standard of proof” does not apply to the doctrine of judicial estoppel. Ryan’s cited cases for this contention pertain only to the doctrines of issue and claim preclusion, and have no bearing on the instant case. Judicial estoppel binds a party to a position previously taken by that same party, see White, 312 Wis. 2d 799, ¶15, whereas claim preclusion and issue preclusion bind a court to a position previously taken by that court, see Wickenhauser v. Lehtinen, 2007 WI 82, ¶22, 302 Wis. 2d 41, 734 N.W.2d 855; see also Precision Erecting, Inc. v. M&I Marshall & Ilsley Bank, 224 Wis. 2d 288, 301‑02, 592 N.W.2d 5 (Ct. App. 1998). Any difference between the burden of proof in the eminent domain case and the instant case is irrelevant.
C. Summary judgment regarding
liability was appropriate as a matter of law.
¶29 After the trial court granted the State’s first summary judgment motion in part, the State filed a second motion for summary judgment, this time arguing that because Ryan testified in his deposition that the barge was owned by Ryan Marina, one of Ryan’s corporate concerns, and because Ryan was the only officer and controlling principal of Ryan Marina, that Ryan was personally liable for the sinking of the barge. Between the two motions, the State thus established all of the elements necessary to succeed on its Wis. Stat. §§ 30.10(2) and 30.12(1)(a) claims. Ryan did not, and has not, set forth any issues of material fact. Based on our de novo review of the facts and issues in this case, we agree that the State established its Wis. Stat. ch. 30 claims as a matter of law. We therefore affirm both motions for summary judgment.
By the Court.—Judgment affirmed.
[1] The Honorable Christopher R. Foley presided over this case from the time that the summons and complaint were issued, February 2008, until after the State filed its second motion for summary judgment, August 2008. The case was then transferred to the Honorable Thomas R. Cooper following judicial rotation.
[2] All references to the Wisconsin Statutes are to the 2007-08 version unless otherwise noted.
[3] As pertinent to this case, Webster’s Third New International Dictionary 2203 (1993) defines “spoil” as: “material (as refuse, earth or rock) excavated usu[ally] in mining, dredging, or excavating” (punctuation added).
[4] A spud barge is a flat-bottomed boat that uses heavy timber or pipe as a means by which to moor. The timber or pipe is located in a well at the bottom of the boat, and acts in the same function as would an anchor. Spud barges are riverboats that are most commonly used as work barges, or as a loading or unloading platform. See Webster’s Third New International Dictionary 176 (1993); see also Parilman & Associates “Barge Accidents and Information,” available at: http://www.resource4admiraltylaw.com/topics/bargeaccidents.html#spud.
[5]
[6]
[7] Wisconsin Stat. § 23.73 specifically provides: “Discovery. Neither party is entitled to pretrial discovery except that if the defendant moves within 10 days after the alleged violation and shows cause therefor, the court may order that the defendant be allowed to inspect and test under such conditions as the court prescribes, any devices used by the plaintiff to determine whether a violation has been committed and may inspect the reports of experts relating to those devices.”
[8] In
support of his contention that someone else, namely, Richard J. Schumacher,
owned the barge during all pertinent times, Ryan submits three pieces of
information: (1) an affidavit by Ryan
affirming that he (Ryan) never owned the barge; (2) a Certificate of
Documentation issued April 11, 1996—and expiring April 30, 1997—showing that
“Ko-op Marine, Inc.” registered a vessel by the name of “Chippewa” whose
dimensions, 139.5 feet by 35.0 feet, were similar to those of the barge at
issue in this case (approximately 100 by 30 feet); and (3) a printout from the
Wisconsin Department of Financial Institutions webpage showing that Richard J.
Schumacher is the registered agent for “Ko-op Marine, Inc.” We fail to understand how these three
disparate pieces of information show that Schumacher owned the barge during the
times at issue in this case, and we will not consider Ryan’s argument. See State v. Pettit, 171