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Ellis v. Edwards

Court of Appeals of Georgia
Sep 16, 1986
348 S.E.2d 764 (Ga. Ct. App. 1986)

Opinion

72759.

DECIDED SEPTEMBER 16, 1986.

Action on account. Pike Superior Court. Before Judge Miller.

Truitt A. Mallory, for appellant.

Don E. Snow, for appellees.


Reid Ellis d/b/a J R Oil Company, sued Edwin F. Edwards, Jr., Karen Davis Edwards and EEE, Inc. for $26,675.02 representing gasoline sold by J R Oil to EEE, Inc. for three convenience stores. Ellis attempted to prove that Edwin Edwards and Karen Edwards were personally liable for the debt of EEE, Inc. by showing they owned the business and ran it, and in fact personally ordered and bought the gasoline. Following grant of summary judgment to Edwin Edwards and Karen Edwards, appellant Reid Ellis contends on appeal that, in particular, an issue of fact is raised by evidence that the Edwards executed a bill of sale of the business and assets of EEE, Inc. to another, with themselves named as "seller" and "lawful owners"; and further that Edwin Edwards made himself liable by saying: "Don't worry. I'm good for the money." Held:

The trial court did not err in granting summary judgment to Edwin Edwards and Karen Edwards. The questions posed by appellant Reid Ellis d/b/a J R Oil Company, are decided adversely in Trans-State v. Barber, 170 Ga. App. 372 ( 317 S.E.2d 242). "Mere `operation' of a corporation does not render one personally liable for the corporate debts," (id. p. 374); and likewise a mere statement in a legal document that one is the "lawful owner" and "seller" of businesses owned by the corporation does not pierce the corporate veil and raise an issue as to the disregarding of "the separateness of legal entities by a commingling and confusion of properties, records, control, etc." (Id.) The appellant has shown no evidence of abuse of the corporate form for the purpose of promoting fraud or injustice or evasion of tort or contractual responsibility. Jenkins v. Judith Sans Intl., 175 Ga. App. 171 ( 332 S.E.2d 687). Further, the statement of Edwards that he was "good for the money" does not qualify to answer for the debt of the corporation. Schroeder v. Hunter Douglas, Inc., 172 Ga. App. 897, 898 ( 324 S.E.2d 746).

Judgment affirmed. Banke, C. J., and Sognier, J., concur.

DECIDED SEPTEMBER 16, 1986.


Summaries of

Ellis v. Edwards

Court of Appeals of Georgia
Sep 16, 1986
348 S.E.2d 764 (Ga. Ct. App. 1986)
Case details for

Ellis v. Edwards

Case Details

Full title:ELLIS v. EDWARDS et al

Court:Court of Appeals of Georgia

Date published: Sep 16, 1986

Citations

348 S.E.2d 764 (Ga. Ct. App. 1986)
348 S.E.2d 764

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