Square Up Builders, LLC v. Crystal Window & Door Systems, Ltd.
Date Filed2022-12-20
DocketED110578
JudgeAngela T. Quigless, P.J., and Robert M. Clayton III, J., concur.
Cited0 times
StatusPublished
Full Opinion (html_with_citations)
In the Missouri Court of Appeals
Eastern District
DIVISION ONE
SQUARE UP BUILDERS, LLC, ) No. ED110578
)
Respondent, ) Appeal from the Circuit Court
) of St. Louis County
vs. ) 18SL-CC04500
)
CRYSTAL WINDOW & DOOR ) Honorable John N. Borbonus
SYSTEMS, LTD., )
)
Appellant. ) FILED: December 20, 2022
Introduction
Crystal Window & Door Systems, Ltd. (Crystal Window) appeals from the trial courtâs
award of attorneyâs fees to Square Up Builders, LLC (Square Up) in its suit for breach of
contract and breach of warranty against Crystal Window. We affirm.
Factual and Procedural Background
In 2017, Crystal Window contracted with Square Up to provide windows for Square Upâs
building project as articulated in a purchase order (the Purchase Order). After Crystal Window
failed to deliver the windows in a timely fashion and, in addition, delivered non-conforming and
defective windows, Square Up filed suit for breach of contract and breach of warranty. In its
prayers for relief for each count, Square Up requested monetary damages in addition to
attorneyâs fees and expenses. Crystal Window filed a counterclaim for breach of contract,
alleging that Square Up had failed to pay all amounts due under the contract, and requesting
monetary damages in addition to attorneyâs fees and expenses.
After a bench trial, the trial court entered judgment in favor of Square Up, awarded
monetary damages, and ordered Square Up to submit a fee bill and motion for fees and expenses.
Square Up submitted a motion for attorneyâs fees and expenses, supported by an affidavit and fee
bill. Crystal Window opposed this motion on the basis that the provision of the Purchase Order
referenced in Square Upâs motion for attorneyâs fees related solely to third-party claims, and that
no applicable provision existed to support an award of attorneyâs fees and expenses. Square Up
replied to this opposition and attached a copy of the original petition, the Purchase Order, and
Crystal Windowâs answer to the petition. The trial court entered full and final judgment in favor
of Square Up awarding monetary damages, attorneyâs fees, and expenses. Crystal Window filed
a motion to amend or modify the judgment as it pertained to attorneyâs fees pursuant to Rule
75.01, 1 which Square Up opposed and which the trial court denied. This appeal follows.
Standard of review
We generally review a trial courtâs decision regarding an award of attorneyâs fees for an
abuse of discretion. Hendrix v. City of St. Louis, 636 S.W.3d 889, 903 (Mo. App. E.D. 2021) (citing Fowler v. Fowler,504 S.W.3d 790, 803
(Mo. App. E.D. 2016)). That standard of review, however, only applies in instances where the trial court had authority to award such fees.Id.
(citing Roller v. Steelman,297 S.W.3d 128, 131
(Mo. App. W.D. 2009)). Whether a trial court had authority to award attorneyâs fees is a question of law that we review de novo.Id.
(citing Lucas Stucco & EIFS Design, LLC v. Landau,324 S.W.3d 444, 445
(Mo. banc 2010)).
Discussion
In its sole point on appeal, Crystal Window argues the trial court erred in awarding
attorneyâs fees and expenses to Square Up because its motion for attorneyâs fees and expenses
1
All rule references are to Missouri Supreme Court Rules (2022).
2
did not cite any contractual provision entitling Square Up to such fees or expenses. For the
following reasons, we affirm the award of attorneyâs fees and expenses. 2
General law governing award of attorneyâs fees
Missouri adheres to the âAmerican Ruleâ for attorneyâs fees, which requires each party to
pay the attorneyâs fees that he or she incurs in litigation. Id.(citing Tupper v. City of St. Louis,468 S.W.3d 360, 374
(Mo. banc 2015)). One exception to this general rule is where a contract or agreement between the parties provides for an award of attorneyâs fees and costs. See Ruby v. Troupe,580 S.W.3d 112
, 115 (Mo. App. W.D. 2019) (citing Lucas Stucco,324 S.W.3d at 446
). 3 âWhen a party requests attorneyâs fees under a provision of a contract, the trial court must comply with the terms set forth in that contract.â Marthaâs Hands, LLC v. Rothman,328 S.W.3d 474
, 482â83 (Mo. App. E.D. 2010) (quoting Mihlfeld & Assocs. Inc. v. Bishop & Bishop, LLC,295 S.W.3d 163, 174
(Mo. App. S.D. 2009)).
Attorneyâs fees are considered special damages which, pursuant to Rule 55.19, 4 must be
specifically pleaded. Hendrix, 636 S.W.3d at 903 (citing Scheck Indus. Corp. v. Tarlton Corp.,
435 S.W.3d 705, 732(Mo. App. E.D. 2014); Ruby, 580 S.W.3d at 115; and Lau v. Pugh,299 S.W.3d 740, 751
(Mo. App. S.D. 2009)). 2 Crystal Window only challenges Square Upâs entitlement to an award of attorneyâs fees and expenses, not the amount or reasonableness of that award. Crystal Window also does not challenge the trial courtâs judgment in favor of Square Up on the merits of its breach of contract claim or Crystal Windowâs counterclaim, or the related damages award. 3 Other recognized exceptions to the âAmerican Rule,â not applicable here, include when a statute specifically authorizes recovery or under exceptional âspecial circumstances.â See Trs. of Clayton Terrace Subdivision v. 6 Clayton Terrace, LLC,585 S.W.3d 269
, 285â86 (Mo. banc 2019) (citing supporting cases); Ruby v. Troupe,580 S.W.3d 112
, 115, 115 n.2 (Mo. App. W.D. 2019) (citing Lucas Stucco & EIFS Design, LLC v. Landau,324 S.W.3d 444, 446
(Mo. banc 2010) and Schindler v. Pepple,158 S.W.3d 784, 787
(Mo. App. E.D. 2005)).
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Rule 55.19 provides in full: âWhen items of special damage are claimed, they shall be specifically stated. In
actions where exemplary or punitive damages are recoverable, the petition shall state separately the amount of such
damages sought to be recovered. In actions for such damages based upon an alleged tort, no dollar amount or figure
shall be included in the demand, but the prayer shall be for such damages as are fair and reasonable.â
3
The attorneyâs fees provisions of the Purchase Order
The parties agree that the only agreement between them that could give rise to an award
of attorneyâs fees is the Purchase Order. Square Up cited two provisions of the Purchase Order
relating to attorneyâs fees in its petition and motion for attorneyâs fees, and Crystal Window cited
a separate provision of the Purchase Order relating to attorneyâs fees in its counterclaim. We
outline the three relevant provisions below:
ď§ Paragraph 4 of the Purchase Order terms and conditions, which states in relevant part:
âSeller shall be responsible to Buyer for all costs and expense[s] that Buyer incurs,
including reasonable attorneyâs fees, as the result of Sellerâs failure to provide Goods in
conformance with the requirements of this P.O.â This provision was referenced in
Square Upâs petition.
ď§ Paragraph 6 of the Purchase Order terms and conditions, which states in full: âThird
Party Claims: Seller agrees to hold harmless, indemnify, and defend Buyer from and
against any liability, loss, damage, cost or expense (including attorneyâs fees) which
Buyer may suffer from any claim, demand, actions, suit or cause of action made against it
due to Sellerâs negligent or willful actions and/or Sellerâs failure to provide Goods in
conformance with the requirements of this P.O.â This provision was referenced in
Square Upâs motion for attorneyâs fees and expenses.
ď§ Paragraph I of Exhibit B to the Purchase Order, governing dispute resolution provisions,
which states in relevant part: âIn any dispute between Buyer and Seller or related to this
Agreement, the prevailing party shall be entitled to recover its attorneyâs fees, expert
fees, and costs from the non-prevailing party. Determination of which party prevailed
shall be made by the arbitrator(s). Determination of which party prevailed shall be made
4
by reviewing the Claims resolved at arbitration âŚ.â This provision was referenced in
Crystal Windowâs counterclaim.
The trial court did not rely on any specific provision for its award of attorneyâs fees and expenses
in the final judgment.
The award of attorneyâs fees and expenses was proper because Paragraph 4 of the Purchase
Order expressly authorized such award and attorneyâs fees were specifically pleaded
The award of attorneyâs fees and expenses was proper here because the Purchase Order
agreement between the parties specifically authorized such award and Square Up properly
requested attorneyâs fees and expenses.
We agree with Crystal Window that neither Paragraph 6 nor Paragraph I of the Purchase
Orderâthe provisions referenced in Square Upâs motion for attorneyâs fees and in Crystal
Windowâs counterclaimâauthorize an award under the circumstances here. Paragraph 6
expressly applies to third-party claims filed against Square Up for which Crystal Window is
bound to indemnify and defend Square Up; here, there was no third-party claim filed against
Square Up. Likewise, Paragraph I expressly applies in arbitration proceedings; here, this award
did not arise out of arbitrated claims.
But in its original petition, Square Up referenced Paragraph 4, which states: âSeller shall
be responsible to Buyer for all costs and expense[s] that Buyer incurs, including reasonable
attorneyâs fees, as the result of Sellerâs failure to provide Goods in conformance with the
requirements of this P.O.â The Purchase Order is a contract and is the only applicable agreement
between the parties. In interpreting provisions of the Purchase Order, we apply contract law
principles and seek to determine the intent of the parties and give effect to their intention.
Ordower v. NRT Mo., LLC, 528 S.W.3d 463, 466(Mo. App. E.D. 2017) (citing Triarch Indus., Inc. v. Crabtree,158 S.W.3d 772, 776
(Mo. banc 2005)). We discern the partiesâ intent from the contract language as expressed by its plain and ordinary meaning.Id.
5
Paragraph 4 of the Purchase Order authorized the present award of attorneyâs fees and
expenses because its plain language unambiguously provides that âSeller shall be responsible to
Buyer for all costs and expense[s] that Buyer incurs, including reasonable attorneyâs fees, as the
result of Sellerâs failure to provide Goods in conformance with the requirements of this P.O.â It
is undisputed that Seller is Crystal Window and Buyer is Square Up, and that both parties agreed
to the Purchase Order. After trial on Square Upâs petition for breach of contract and warranties,
the trial court found that Crystal Window breached this contract resulting in damages to Square
Upâa finding that is not challenged on appeal. Therefore, under the plain terms of Paragraph 4,
Square Up is entitled to attorneyâs fees and expenses.
It is of no import that Square Up referenced a different provision of the Purchase Order in
its motion for attorneyâs fees. We find Scheck Industrial Corporation v. Tarlton Corporation
instructive on the question of whether Square Upâs failure to cite to Paragraph 4 in its motion for
attorneyâs fees rendered the trial court incapable of awarding attorneyâs fees in this case. 435
S.W.3d 705 (Mo. App. E.D. 2014). In Scheck, a breach of contract case, the appellant
challenged the circuit courtâs award of attorneyâs fees on the basis that the respondentâs pleading
requested attorneyâs fees under a provision of an agreement between the parties that was
different than the provision under which the circuit court made its award. Id. at 732. The
Scheck court rejected this argument, concluding that the respondentâs failure to âspecifically
reference [the paragraph] of the Contract [that authorized the award] [wa]s immaterial because
the facts pleaded and relief prayed sufficiently placed [the appellant] on notice that [the
respondent] sought an award of attorneyâs fees.â Id. at 733. The appellant was sufficiently on
notice because the respondentâs pleadings referenced a provision of the contract between the
parties that allegedly entitled it to attorneyâs fees, the pleadings included a prayer for relief
6
specifically requesting attorneyâs fees and expenses, and the contract between the parties was
attached to the pleading. Id. at 732â33.
Here, like the appellant in Scheck, Square Up properly requested attorneyâs fees in its
original petition and sufficiently placed Crystal Window on notice that it sought an award of
attorneyâs fees and expenses. See id. It pleaded two causes of action for breach of the Purchase
Order and agreement between the parties; it referenced Paragraph 4 of the Purchase Order as
authorizing attorneyâs fees; it attached the Purchase Order to the petition; and its prayer for relief
specifically requested the trial court award âattorneyâs fees and expenses.â And after the trial
court found in its favor on the merits of its claims, Square Up filed a motion for attorneyâs fees
and expenses, attaching documents supporting its request. This was sufficient to specifically
plead and support an entitlement to an award of attorneyâs fees and expenses. See id.; Ruby, 580
S.W.3d at 115â16.
Paragraph 4 of the agreement between the parties authorized an award of attorneyâs fees
and expenses under the circumstances present here, and Square Up properly requested such fees
and expenses in its original petition and prayer for relief. Therefore, Square Up was entitled toâ
and the trial court did not err in makingâan award of attorneyâs fees and expenses. See Scheck
Indus. Corp., 435 S.W.3d at 732â33; Marthaâs Hands, 328 S.W.3d at 483.
Point denied.
Conclusion
For the foregoing reasons, we affirm the trial courtâs judgment and award of attorneyâs
fees and costs.
SHERRI B. SULLIVAN, J.
Angela T. Quigless, P.J., and
Robert M. Clayton III, J., concur.
7