“[E]ach element [of standing] must be supported in the same way as any other matter on which the plaintiff bears the burden of proof, i.e., with the manner and degree of evidence required at the successive stages of the litigation.”
How later courts described this case
- “[E]ach element [of standing] must be supported in the same way as any other matter on which the plaintiff bears the burden of proof, i.e., with the manner and degree of evidence required at the successive stages of the litigation.”
- “Because objections to standing are jurisdictional in nature, they may be raised at any time.”
- “[A] district court’s decision to entertain a claim for declaratory relief is discretionary.”
- “[A] district court retains the power to reconsider and modify its interlocutory judgments, including partial summary judgments, at any time prior to final judgment when such is warranted.”
Written by the judges who cited it.
The opinion
IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF NORTH CAROLINA
RONALD C. WILLIAMS, )
)
Plaintiff, )
)
v. )
) 1:20cv904
RONALD C. WILLIAMS, II, )
)
Defendant. )
MEMORANDUM OPINION AND ORDER
THOMAS D. SCHROEDER, Chief District Judge.
This lawsuit is an intrafamilial dispute over ownership of a
warehouse, the rights to a related lease, and a promise to support
the Plaintiff. After now 84-year-old Plaintiff Ronald C. Williams
(“Williams”) deeded the property and assigned the lease to his
son, Defendant Ronald C. Williams, II (“Calvin”), he sought to
undo the transactions. On cross motions for summary judgment, the
court dismissed Williams’s claim seeking to declare void the
transfer of the deed to the property. (Doc. 58.) A bench trial
was held on March 21, 2022, on the merits of Williams’s remaining
claim seeking a declaratory judgment voiding the assignment of the
lease for the warehouse.1 For the reasons that follow, the court
declines to grant the relief requested, and Williams’s claim will
1 Williams has since trial filed a flurry of letters to the court making
a variety of post-trial arguments and claims. (Docs. 88 through 96.)
Leave of court for post-trial briefing was not sought, and the court
does not consider them as it relates to the merits of the claim.
be dismissed without prejudice.
I. BACKGROUND
Pro se Plaintiff Williams filed his initial complaint in
Guilford County (North Carolina) Superior Court in August 2020.
(Doc. 1-1.) Defendant Calvin, his adult son, timely removed the
action to this court, invoking diversity jurisdiction, pursuant to
28 U.S.C. §§ 1332(a) and 1441. (Doc. 1.)
Williams’s amended complaint seeks to undo his transfer to
Calvin of the deed to a warehouse and the assignment of the rights
under a lease agreement with a warehouse tenant.2 Williams brought
2 In his amended complaint, Williams alleges that he and Calvin “agreed
to deed the warehouse to [Calvin] until [Williams] requested it back.”
(Doc. 19 ¶ 4.) Williams alleges that “[his] warehouse was hijacked” and
that “[a]lthough [he] never agreed to sell it on any terms, Calvin
created the attached ‘Guidelines’.” (Id. ¶ 11.) The “Guidelines”
describe the alleged consideration for the deed transfer, including
Calvin’s statement that “[Williams] has conveyed ownership of the
warehouse to me upon the following conditions: I am required . . . to
support him until his death.” (Doc. 19 at 15.)
Williams’s description of events leading up to the deed transfer
and lease assignment has changed throughout the life of the case;
including arguing at one time that the lease assignment was not made to
Calvin, but actually made to himself. (See Doc. 37-3 25:13-26:9 (“You
see that I assigned the lease to myself. Right?”).) Williams’s more
recent filings, and arguments at trial, suggest his position has changed
such that he contends that the transfers were made in exchange for
Calvin’s promise to “support [Williams] in every way”. (See Defendant’s
Trial Exh. 4 at 13; Defendant’s Trial Exh. 5 (“I deeded the warehouse
to Calvin in exchange for his taking care of me until my death.”); see
also Doc. 36 (presenting arguments on summary judgment based upon
Calvin’s alleged promise to provide “room, board, medical care”); Doc.
52 at 1 (“The undisputed material facts are: . . . the alleged contract
does not define with certainty the words ‘room, board, medical care, and
related needs’ and ‘support’ or any other words . . . .”); Doc. 81 at 6-
8 (admitting he “exchange[d] the lease . . . for Calvin’s promise to
‘support’ [him]” and contending that “[t]he alleged contract which Calvin
contends gave ownership of the warehouse to him is ‘void for
indefiniteness’ . . . [s]o, the deed [is not enforceable]” (emphasis
omitted)).)
three claims against Calvin: (1) fraudulent misrepresentation,
based on a claim that Calvin induced Williams to transfer the deed
to the property/warehouse under Calvin’s oral representation that
he would transfer it back to Williams when the latter requested
it; (2) an action for “void contract,” alleging that the oral
promise to return the property omitted material terms as to what
Calvin could do with the property while holding it and as to the
mechanics for determining its return to Williams upon the latter’s
demand; and (3) unjust enrichment, alleging that Williams’s
transfer of the warehouse was not intended to be a gift and that
Calvin failed to make certain payments to or on behalf of Williams.
(Doc. 19.) The amended complaint also alleges that the parties’
agreement is void because it fails to set out key terms, such as
a formula for determining the amount of rental income to which
Williams is entitled and what living expenses are covered, and who
determines where Williams shall live and how much will be spent on
his living expenses. (Doc. 19 ¶ 11.) While the amended complaint
does not so indicate, Williams’s promise to assign his rights under
a lease to the property and Calvin’s promise to care for Williams
in exchange is set out in handwriting at the end of the lease
agreement, which is not attached to or expressly referred to in
the complaint. (See Defendant’s Trial Exh. 4.)
In January 2021, Williams filed a motion that the court
construed as one seeking a preliminary injunction, which the court
denied. (Docs. 23, 33.) Both parties then moved for summary
judgment (Docs. 37, 57), and Williams filed notices to voluntarily
dismiss his claims for fraudulent misrepresentation (Doc. 40) and
unjust enrichment (Doc. 41). The court denied Williams’s motion
for summary judgment; the court granted Calvin’s motion relating
to Williams’s request for a declaration that the deed transfer was
void but denied it as to Williams’s claim relating to the validity
of the lease assignment; and the court granted Williams’s motions
to dismiss his fraudulent misrepresentation and unjust enrichment
claims, which were dismissed with prejudice. (Doc. 58.)
This left for trial Williams’s claim for a declaration that
the lease assignment was void because the consideration for it –
Calvin’s promise to care for Williams for life – was too vague.
The court held a bench trial on this claim on March 21, 2022.
Williams presented two witnesses: himself and Calvin; Calvin
presented three witnesses: himself, Williams, and his sister,
Audra Dougherty. At the close of Williams’s case-in-chief, Calvin
moved for judgment pursuant to Rule 52(c) of the Federal Rules of
Civil Procedure, and the court reserved ruling. The case is ready
for resolution.
Pursuant to Rule 52, the court enters the following findings
of fact and conclusions of law based upon an evaluation of the
evidence, including the credibility of witnesses, and the
inferences that the court has found reasonable to be drawn
therefrom.
II. ANALYSIS
This court has subject matter jurisdiction pursuant to 28
U.S.C. §§ 1332(a)(1), as Williams is a resident of North Carolina,
and Calvin is a resident of Colorado.
Williams’s sole remaining claim has been construed by the
parties as seeking a declaratory judgment that Williams’s lease
assignment to Calvin fails for lack of consideration because
Calvin’s promise to care for him for life is allegedly too
indefinite to constitute valid consideration. Williams’s case at
trial focused on whether the handwritten promise related to the
lease assignment is indefinite enough to render the assignment of
the lease void.
The parties do not dispute that, about twenty years ago,
Williams purchased a warehouse located in Union County, North
Carolina. On October 1, 2018, Williams entered into a five-year
lease agreement with a tenant on a standard North Carolina
Association of Realtors, Inc. form lease. (Defendant’s Trial
Exh. 4.) Pursuant to the lease, the tenant pays approximately
$75,000 per year in rent with annual 3 percent increases. (Id.)
From about July 2019 to May 6, 2020, Williams resided with
Calvin in the son’s Colorado home. In April 2020, Williams,
Calvin, and Calvin’s siblings made plans for Williams to enter an
assisted living facility, Abbotswood at Irving Park
(“Abbotswood”), located in Greensboro, North Carolina. Due to
Williams’s health at the time, he and his family expected him to
remain at Abbotswood indefinitely.
On April 16, 2020, Williams transferred the property on which
the warehouse was located to Calvin via a quitclaim deed.
(Defendant’s Trial Exh. 2.) Williams prepared the deed, drafted
it, signed the deed before a notary, and mailed the deed to the
Union County, North Carolina Register of Deeds to be recorded, all
without requiring assistance from anyone. Williams was neither
directed nor coerced to make this transfer. At about that time,
Williams voluntarily drafted and executed an assignment to Calvin
of the current tenant’s lease agreement, as described above. On
page 13 of the lease, the parties handwrote the following:
For valuable consideration, Ronald C. Williams
hereby assigns this lease to Ronald Calvin Williams
For valuable consideration, Ronald C. Williams II
agrees to support in every way his father, Ronald C.
Williams
(Id. at 13.) This is followed by the signatures of father and
son, Williams and Calvin. The phrase “support in every way” is
not defined. Subsequent emails and testimony indicate that the
parties understood the phrase “support in every way” to mean that
Calvin would pay the financial cost of Williams’s room, board,
medical care, and related expenses while at Abbotswood. The
parties understood that the cost of Williams’s support at
Abbotswood could ultimately exceed the revenue generated from the
lease of the warehouse.3 (See Defendant’s Trial Exh. 5.)
On April 26, 2020, Williams sent an email to his daughter,
Dougherty, stating that he had
deeded the warehouse to Calvin in exchange for his taking
care of me until my death. Then he will divide it three
ways. His obligation to support me exists whether there
is enough or not. He could be required to spend his own
money.
(Id.)
On April 30, 2020, Calvin sent an email to the tenant of the
warehouse stating, “As mentioned, Dad [Williams] has moved the
title of the building over to me. He will be stepping back from
his financial management as he moves into the retirement center in
Greensboro. If anything needs my attention, please [contact] me.”
(Defendant’s Trial Exh. 11.)
On May 9, 2020, Williams sent Calvin an email stating, “I
suggest as a solution to the warehouse management problem that you
receive the rent and pay all bills without my input and that I
receive only my [social security] Check.” (Defendant’s Trial
Exh. 8.) Calvin responded, “Sounds like a plan.” (Id.) Calvin
understood Williams’s May 9, 2020 email to be a clarification of
his support obligation. From June 2020 through February 2021,
Calvin paid the $4,040.00 monthly cost of Williams’s suite at
3 Abbotswood offers varying levels of care, ranging from independent
living, to assisted living, to specialized care.
Abbotswood.4
In March 2021, unbeknownst to Calvin, Williams moved out of
Abbotswood into a traditional apartment community in Greensboro,
North Carolina, called The Lofts. The Lofts is not a senior living
facility and does not offer the same amenities as Abbotswood.
Williams requested, and Calvin agreed, that Calvin would pay the
monthly cost of rent for Williams’s apartment and that Calvin would
send Williams an additional $1,000.00 per month for utilities,
food, and other necessary living expenses. Calvin has paid the
rent at The Lofts and supplied the $1,0000 since March 2021.
Williams has periodically requested additional funds from Calvin
for purposes outside of room, board, and related expenses. Calvin
has largely denied these various requests.
A. Mootness
During the trial, Calvin argued that Williams’s claim is
mooted because the proceeds from the lease are due to the owner of
the warehouse as a matter of law by virtue of the court’s entry of
judgment against Williams on his claim to declare the deed transfer
invalid. If true, this preliminary issue would resolve whether
the court is in a position to grant the relief Williams seeks.
While Calvin did not raise this argument until trial, standing
4 Williams claims that Calvin failed to properly pay certain support
obligations relating to Abbotswood. These are not relevant to the
court’s resolution of the lease issue, and the court therefore does not
address them.
is a threshold jurisdictional requirement and can be raised by any
party or sua sponte by the court at any time. See Plyler v. Moore,
129 F.3d 728, 731 n.6 (4th Cir. 1997) (holding that issues
regarding subject-matter jurisdiction “may be raised at any time
by either party or sua sponte by this court”); Center State Farms
v. Campbell Soup Co., 58 F.3d 1030, 1038 (4th Cir. 1995) (“Because
objections to standing are jurisdictional in nature, they may be
raised at any time.”). Whether a party has standing to maintain
an action in federal court is a question of federal, not state,
law. Phillips Petroleum Co. v. Shutts, 472 U.S. 797, 804 (1985)
(holding that “[s]tanding to sue in any Article III court is, of
course, a federal question which does not depend on the party’s
prior standing in state court”). In adjudicating claims for
declaratory relief, federal courts apply the federal Declaratory
Judgment Act, 28 U.S.C. § 2201, rather than state analogues such
as North Carolina General Statute § 1-253. See White v. National
Union Fire Insurance Co., 913 F.2d 165, 167 (4th Cir. 1990)
(holding “[f]ederal standards guide the inquiry as to the propriety
of declaratory relief in federal courts, even when the case is
under the court’s diversity jurisdiction”).5 The court therefore
has construed Williams’s declaratory claim for “void contract” as
5 Thus, while the record indicates that both parties were living in a
shared household in Colorado when they entered into the subject
contracts, the court need not resolve whether Colorado or North Carolina
law applies.
to the lease as a claim brought under 28 U.S.C. § 2201.6
Federal courts sitting in diversity may enter declaratory
judgments pursuant to 28 U.S.C. § 2201 if three conditions are
met: (1) the complaint alleges an “actual controversy” between the
parties “of sufficient immediacy and reality to warrant issuance
of a declaratory judgment”; (2) the court has subject matter
jurisdiction over the parties, independent of the request for
declaratory relief; and (3) the court does not abuse its discretion
in exercising jurisdiction. Volvo Construction Equipment North
America, Inc. v. CLM Equipment Co., Inc., 386 F.3d 581, 592 (4th
Cir. 2004); Aetna Life Insurance Co. v. Haworth, 300 U.S. 227,
239-41 (1937) (explaining that the “actual controversy”
requirement for a declaratory judgment is synonymous with the
Article III requirements). The Declaratory Judgment Act does not
require courts to issue declaratory relief; “[r]ather, a district
court’s decision to entertain a claim for declaratory relief is
discretionary.” Aetna Casualty & Surety Co. v. Ind-Com Electric
Co., 139 F.3d 419, 421 (4th Cir. 1998) (per curiam); see also
Wilton v. Seven Falls Co., 515 U.S. 277, 287 (1995).7
6 This court’s earlier statement that “North Carolina courts can and have
considered actions to declare a contract null and void” only addressed
Williams’s claim in so far as it related to Calvin’s contention that
“North Carolina courts do not recognize an action for ‘void contract.’”
See Williams v. Williams, No. 1:20CV904, 2021 WL 3679613, at *6 (M.D.N.C.
Aug. 19, 2021), appeal dismissed, No. 21-2020, 2021 WL 5985535 (4th Cir.
Dec. 17, 2021).
7 The Fourth Circuit has enumerated several factors that a district court
To satisfy the “controversy” requirement of Article III, the
dispute must be “definite and concrete, touching the legal
relations of parties having adverse legal interests.” Medimmune,
Inc. v. Genentech, Inc., 549 U.S. 118, 127 (2007). A plaintiff
must “establish[] throughout all stages of litigation (1) that he
is suffering an injury-in-fact or continuing collateral
consequence, (2) that his injury is fairly traceable to the
challenged action or decision, and (3) that a favorable decision
would be likely to redress his injury.” Townes v. Jarvis, 577
F.3d 543, 554 (4th Cir. 2009) (Shedd, J., dissenting) (emphasis
omitted) (footnote omitted) (citing Spencer v. Kemna, 523 U.S. 1,
10-14 (1998)).
“[M]ootness has been described as the doctrine of standing
set in a time frame: The requisite personal interest that must
exist at the commencement of the litigation (standing) must
continue throughout its existence (mootness).” Jarvis, 577 F.3d
at 546 (citations omitted). “Thus, for a controversy to be moot,
it must lack at least one of the three required elements of Article
should consider in determining whether to exercise its discretion to
entertain a declaratory judgment action. See Ind-Com, 139 F.3d at 422.
These include whether “the declaratory relief sought: (1) will serve a
useful purpose in clarifying and settling the legal relations in issue,
and (2) will terminate and afford relief from the uncertainty,
insecurity, and controversy giving rise to the proceeding.”
Id. (citation omitted). Furthermore, the district court should consider
(3) principles of federalism, efficiency, comity, and procedural
fencing, id. at 423, and (4) whether “allowing [the] case to go forward
would produce piecemeal litigation,” id. at 424.
III standing: (1) injury in fact, (2) causation, or (3)
redressability.” Id. at 546-47 (citing Lujan v. Defenders of
Wildlife, 504 U.S. 555, 560–61 (1992)). For an injury to satisfy
the redressability standard, “it must be likely, as opposed to
merely speculative, that the injury will be redressed by a
favorable decision.” Lujan, 504 U.S. at 561 (citation omitted).
“The party invoking federal jurisdiction bears the burden of
establishing standing.” Susan B. Anthony List v. Driehaus,
573 U.S. 149, 158 (2014) (citation omitted); see Lujan, 504 U.S.
at 561 (“[E]ach element [of standing] must be supported in the
same way as any other matter on which the plaintiff bears the
burden of proof, i.e., with the manner and degree of evidence
required at the successive stages of the litigation.”).
Here, Williams alleges injuries from the transfer of the
warehouse and assignment of the lease: (1) losing the ownership
rights to the warehouse, and (2) losing the right to receive rental
payments pursuant to the lease. (See, e.g., Docs. 83; 81; 36 at
13 (arguing this court should hold “Williams still owns the
warehouse, lease, and rents.”)). At summary judgment, this court
decided Williams’s declaratory “void contract” claim relating to
the deed/warehouse, granting Calvin’s motion to dismiss this claim
on the ground that the deed transfer was valid. (Doc. 58 at 27
(holding that “[b]ecause the [warehouse] deed is valid, it will
not fail for lack of consideration”).) Thus, Williams can no
longer recover ownership of the warehouse, and his only remaining
injury is the loss of rental income.
Williams transferred the warehouse to Calvin through a
quitclaim deed (Defendant’s Trial Exh. 2), and he did not
“expressly reserve his right to collect subsequently accruing
rents.” Pearce v. Gay, 139 S.E.2d 567, 569 (N.C. 1965). As owner
of the warehouse, Calvin enjoys the rights of the “landlord” under
North Carolina law and is thus entitled to the rent proceeds of
the warehouse. See, e.g., Gates v. Max, 34 S.E. 266, 267 (N.C.
1899); Pearce, 139 S.E.2d at 569 (“A conveyance of land, which is
subject to a valid and continuing lease, passes to the purchaser
the right to collect the rents thereafter accruing. . . . If the
grantor is to collect rents accruing subsequent to the effective
date of the conveyance, he must, by reservation in his deed,
provide that grantee shall not be entitled to possession prior to
the expiration of the term fixed in the lease, or otherwise
expressly reserve his right to collect subsequently accruing
rents.”); Murphrey v. Winslow, 318 S.E.2d 849, 852 (N.C. Ct. App.
1984), rev’d on other grounds, 327 S.E.2d 878 (N.C. 1985) (“[A]
conveyance of land, which is subject to a valid and continuing
lease, passes to the purchaser the right to collect the rents
thereafter accruing. . . . [A] separate assignment of the . . .
lease is [not] necessary . . . [as] the rights and liabilities
existing between the grantee and lessee are the same as those
existing between the grantor and the lessee, after the lessee is
given notice of the transfer of the property” (citation omitted));
Lashani v. Hanhan, 612 S.E.2d 693 (N.C. Ct. App. 2005)
(unpublished) (“Once defendant became aware that the real estate
had been conveyed, and once he was told to direct all
correspondence relating to the property to plaintiff, it became
his obligation to send his notice of lease renewal [pursuant to
the lease] to plaintiff, rather than to [the previous
landowners].”); Strickland v. Lawrence, 627 S.E.2d 301, 308 (N.C.
Ct. App. 2006) (holding that a transfer of land, along with an
assignment of a lease, also included plaintiff’s mining permit for
the land because, “[w]hile the sale of the . . . property did not
include the sale of the Mining Permit, plaintiffs did not make any
reservation of rent or of any other interest in the . . . property
in their conveyance to [defendants]”); see also N.C. Gen. Stat.
Ann. § 42-2 (“Every conveyance of any rent, reversion, or remainder
in lands, tenements or hereditaments, otherwise sufficient, shall
be deemed complete without attornment by the holders of particular
estates in said lands.”); N.C. Gen. Stat. Ann. § 42-8 (“The grantee
in every conveyance of reversion in lands, tenements or
hereditaments has the like advantages and remedies by action or
entry against the holders of particular estates in such real
property, and their assigns, for nonpayment of rent, and for the
nonperformance of other conditions and agreements contained in the
instruments by the tenants of such particular estates, as the
grantor or lessor or his heirs might have.”). As the North
Carolina Supreme Court stated in Pearce, “When title passes, lessee
ceases to hold under the grantor. He then becomes a tenant of
grantee, and his possession is grantee’s possession. Attornment
is unnecessary, [N.C. Gen. Stat.] § 42–2.”
This is consistent as well with the express terms of the lease
in this case, which provides:
(b) If Landlord sells, transfers, or conveys its
interest in the Premises or this Lease, or if the same
is foreclosed judicially or nonjudicially, or otherwise
acquired, by a Landlord mortgagee, upon the request of
Landlord or Landlord’s successor, Tenant shall attorn to
said successor, provided said successor accepts the
Premises subject to this Lease. . . .
(Defendant’s Trial Ex. 4 at 10 (emphasis added).) Here, Williams
deeded the warehouse to Calvin (Defendant’s Trial Ex. 5), and
Williams concedes that Calvin is collecting the lease payments
from the tenant.
Williams’s remaining claim before the court seeks a
declaratory judgment that his assignment of the lease to Calvin,
contained in handwritten notes at the end of the lease, is void
because Calvin’s related promise to care for Williams is
unenforceable as unduly vague. (Defendant’s Trial Ex. 4 at 13.)
Williams does not allege breach of contract. In fact, there was
substantial evidence that Calvin was paying Williams’s living
expenses, although there is a dispute over the scope of what should
be covered. Williams’s declaratory request is not redressable by
a favorable decision. Even if the court were to agree with
Williams that Calvin’s promise to support him is unduly vague, the
rents due under the lease, which Williams seeks, would still be
owed by the tenant to Calvin as a matter of law. See In re Mutual
Funds Investment Litigation, 529 F.3d at 216–17; SAS Institute,
Inc. v. World Programming Limited, 874 F.3d 370, 389-90 (4th Cir.
2017) (vacating as moot the district court’s ruling granting
summary judgment to defendant on plaintiff’s claim for copyright
infringement where “[Plaintiff] would not receive the [remedy] it
seeks even were it to prevail . . . . Thus, the legal resolution
of the copyright question would have no effect on the relief
afforded the parties”).
Because Williams’s claim fails to satisfy the
“redressability” standing requirement, his claim is moot and thus
fails to satisfy the “controversy” requirement of Article III.
Alternatively, because addressing Williams’s declaratory
claim would not provide him the relief he seeks, the court declines
to exercise its discretion to issue declaratory relief. See Ind-
Com, 139 F.3d at 421 (“[A] district court’s decision to entertain
a claim for declaratory relief is discretionary.”). Even if
Williams’s lease assignment and Calvin’s promise to support were
declared void, Calvin would still be entitled to all the proceeds
under the lease because he owns the deed to the warehouse and the
property on which it is located. Thus, entertaining Williams’s
request for declaratory judgment – rescinding the lease assignment
- will neither serve a useful purpose in clarifying and settling
the legal relations in issue nor afford the Plaintiff any relief.
For these reasons, Williams’s request for declaratory
judgment that the lease assignment fails for lack of consideration
is denied.
B. Motion for Reconsideration
Williams also moves for reconsideration of the court’s ruling
(Doc. 58) granting in part Calvin’s motion for summary judgment.
(Docs. 86.) Calvin did not file a response.
District courts have discretion to reconsider interlocutory
orders until a final judgment is entered. Akeva, L.L.C. v. Adidas
America, Inc., 385 F. Supp. 2d 559, 565 (M.D.N.C. 2005); see also
American Canoe Ass’n, Inc. v. Murphy Farms, Inc., 326 F.3d 505,
514–15 (4th Cir. 2003) (“[A] district court retains the power to
reconsider and modify its interlocutory judgments, including
partial summary judgments, at any time prior to final judgment
when such is warranted.”). “Most courts have adhered to a fairly
narrow set of grounds on which to reconsider their interlocutory
orders and opinions.” Akeva, 385 F. Supp. 2d at 565.
Where an order is not final and does not resolve all claims,
as in the case of entry of partial summary judgment,
reconsideration of the interlocutory order is subject to the
court’s discretion under Federal Rule of Civil Procedure 54(b),
and not the heightened standards of Rules 59(e) or 60(b). American
Canoe, 326 F.3d at 514–15. However, such standards “have evolved
as a means of guiding that discretion.” Id. at 515. In doing so,
“courts in this Circuit have frequently looked to the standards
under Rule 59(e) for guidance in considering motions for
reconsideration under Rule 54(b).” Hatch v. DeMayo, No. 1:16CV925,
2018 WL 6003548, at *1 (M.D.N.C. Nov. 15, 2018) (collecting cases).
Generally, courts will only reconsider interlocutory rulings when
(1) there has been an intervening change in controlling law, (2)
new evidence becomes available, or (3) the earlier decision was
based on a clear error of law or would result in a manifest
injustice. Akeva, 385 F. Supp. 2d at 566. Such a motion allows
a district court to correct its own errors, but it does not serve
as a vehicle for a party to raise new arguments or legal theories
that could have been raised before the judgment. See Hatch, No.
1:16cv925, 2018 WL 6003548, at *1 (slip copy) (quoting South
Carolina v. United States, 232 F. Supp. 3d 785, 793 (D.S.C. 2017)).
While the court’s authority to reconsider interlocutory orders
“may be tempered at times by concerns of finality and judicial
economy,” “[t]he ultimate responsibility of the federal
courts . . . is to reach the correct judgment under law.” American
Canoe, 326 F.3d at 515.
Here, Williams “moves the court to re-consider its [partial
summary judgment] decision” in light of the March 21, 2022 bench
trial. (Doc. 86.) Williams does not argue that there has been an
intervening change in controlling law, that new evidence has become
available, or that the earlier decision was based on a clear error
of law or would result in a manifest injustice. See Akeva,
385 F. Supp. 2d at 566. In fact, at the bench trial the court
directly advised the parties it was not permitting them to re-
litigate the deed transfer claim that the court already decided.
Accordingly, the court declines to alter its ruling. (See
generally Doc. 58.)
For these reasons, Williams’s motion to reconsider (Doc. 86)
will be denied.
III. CONCLUSION
For the reasons set forth herein, therefore,
IT IS ORDERED that Williams’s action seeking a declaratory
judgment that the lease assignment is void is DENIED as moot and
that Williams’s declaratory action for void contract on these
grounds (Doc. 19) be DISMISSED WITHOUT PREJUDICE.
IT IS FURTHER ORDERED that Williams’s motion for
reconsideration (Doc. 86) is DENIED.
IT IS FURTHER ORDERED that any request for costs be filed
within thirty (30) days, pursuant to the requirements of Federal
Rule of Civil Procedure 54(d) and Local Rule 54.
A Judgment in conformance with this Order will be entered
simultaneously.
/s/ Thomas D. Schroeder
United States District Judge
May 26, 2022