Steve Payne v. Jan Savell, C.S.J. Travel, Inc., and Carleen Stephens

Steve Payne (“Payne”), a stockholder and former employee of CSJ Travel, Inc. (“CSJ”), sued CSJ and the corporation’s other stockholders, Jan Savell (“Savell”) and Carleen Stephens (“Stephens”)1, seeking damages for the defendants’ alleged breach of a contract to repurchase Payne’s CSJ stock. Payne’s action was filed in the Blount County General Sessions Court at a time when earlier litigation between Payne and CSJ in the Blount County Chancery Court was pending on appeal to this court. In the instant action, the defendants allowed a default judgment to be taken against them and thereafter appealed to the Blount County Circuit Court for a de novo trial. The Circuit Court denied the defendants’ joint motion for summary judgment, and instead granted summary judgment in favor of Payne and against CSJ for $6,666.64. Payne then filed a notice of voluntary dismissal of his suit against Savell and Stephens. The defendants appealed, arguing, among other things, that the Circuit Court erred in failing to grant them summary judgment, and erred in granting Payne a money judgment against CSJ.