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FOR PUBLICATION
ATTORNEY FOR APPELLANT: ATTORNEY FOR APPELLEES:
JEFFREY A. MODISETT JAMES MASTERS
Attorney General of Indiana South Bend, Indiana
Indianapolis, Indiana
CAROL NEMETH CRAIG BRAJE
Deputy Attorney General Michigan City, Indiana
Indianapolis, Indiana
JON B. LARAMORE REBECCA H. FISCHER
Deputy Attorney General South Bend, Indiana
Indianapolis, Indiana
IN THE
COURT OF APPEALS OF INDIANA
CYNTHIA A. HEDGE, )
)
Appellant-Plaintiff, )
)
vs. ) No. 46A03-9710-CV-358
)
SUSI SPA, CALUMET NATIONAL BANK, )
personally and as Trustee, )
PRITZ CONSTRUCTION, INC., )
WALLACE S. PRITZ, LORRAINE PRITZ, )
BRUCE PRITZ, EVERGREEN REAL ESTATE, )
CHUN SAE ATKINS, CHONG CONLEY, )
)
Appellees-Defendants. )
APPEAL FROM THE LaPORTE SUPERIOR COURT
The Honorable Steven King, Judge
Cause No. 46D01-9602-CP-48
February 16, 1999
OPINION - FOR PUBLICATION
RATLIFF, Senior Judge
STATEMENT OF THE CASE
Plaintiff-Appellant Cynthia Hedge, as prosecutor for Laporte County, Indiana, filed
complaints and amended complaints alleging that Defendants-Appellees Susi Spa; Calumet
National Bank (Calumet), personally and as Trustee; Pritz Construction, Inc. (Pritz
Construction); Wallace S. Pritz, Lorraine Pritz, Bruce Pritz (collectively, Pritz); Evergreen
Real Estate (Evergreen); and others were persons who should be enjoined under Ind. Code
§ 34-1-52.5-2.See footnote
1
The trial court granted Calumet, Pritz, Pritz Construction, and Evergreen's
motion to strike the complaint and amended complaint and to dismiss the action. Hedge now
appeals the trial court's ruling. On cross-appeal, Calumet, Pritz, Pritz Construction, and
Evergreen appeal the trial court's denial of a request that Hedge pay the attorney fees and
costs related to their successful efforts to have a second amended complaint stricken.
We reverse and remand.See footnote
2
ISSUE
The following issue is dispositive: whether the trial court erred in striking Hedge's
complaint.
FACTS AND PROCEDURAL HISTORY
This case began with the filing of a complaint and application for injunction pursuant
to the Indiana Indecent Nuisance Statute.See footnote
3
The complaint alleged that Susi Spa was a place
where prostitution, deviate sexual conduct or fondling of the genitals was conducted,
permitted, and existed, and as such, Susi Spa was a nuisance as defined in Ind. Code § 34-
1-52.5-1. The complaint alleged that Calumet, Pritz, Pritz Construction, and EvergreenSee footnote
4
were
owners of an interest in the nuisance, and as such, they were each guilty of maintaining a
nuisance and subject to being enjoined pursuant to § Ind. Code 34-1-52.5. (R. 11). The
complaint requested that the trial court enter a judgment abating the nuisance and perpetually
enjoining the defendants from maintaining the nuisance. The complaint included statements
of the particular facts of the action and a verification stating that the foregoing
representations are true as I verily believe. (R. 13).
At the same time that she filed the complaint, Hedge also filed an Application For
Preliminary Injunction and For Issuance of Ex Parte Restraining Order. (R. 14). This
application contained the same verification as the complaint.
The trial court issued a restraining order against all of the defendants pursuant to Ind.
Code § 34-1-52.5-4.See footnote
5
This statute authorizes a court to issue an ex-parte restraining order
restraining the defendant and all other persons from removing or in any manner interfering
with the personal property and contents of the place where the indecent nuisance is alleged
to exist until the decision of the court granting or refusing a preliminary injunction and until
further order of the court. The defendants agreed to a subsequent order stating that the
restraining order was to be continued as a preliminary injunction. The agreement provided
that the defendants did not waive any claims or defenses by agreeing to the preliminary
injunction.
After learning that Hedge did not have personal knowledge of the facts alleged in
the complaint and application, the defendants filed a motion to dismiss the complaint and
application on the basis that the complaint and application were not properly verified. They
followed the motion to dismiss by filing a motion to strike the complaint and application.
The trial court denied the motion to dismiss on the basis that the verification was technically
correct, but it granted the motion to strike. The trial court then dismissed the action as it
pertained to the defendants. It further dismissed an amended complaint that had been filed
by Hedge in response to the defendants' motion to dismiss.
Hedge responded to the dismissal of the action by filing a second amended complaint.
The defendants responded by filing a motion to strike the amended complaint, which was
granted. Hedge now appeals.
DISCUSSION AND DECISION
Hedge contends that the trial court erred in granting the defendants' motion to strike
the complaint and application. The motion states that pursuant to T.R. 11(A), [the
defendants] move to strike . . . for the reasons that the pleadings were signed by [Hedge]
with intent to defeat the purpose of Trial Rule 11 that a complaint for injunctive relief be
verifief [sic] under the penalties for perjury by a person with personal knowledge of the truth
of the facts alleged in support of the injunctive relief sought. (R. 464). The purpose and
reasoning behind the motion was best summed up by Pritz's counsel at the hearing on the
motion, when counsel stated,
Now, the Motion to Strike addresses the verification itself. What we've got
here is a complaint that was filed, represented to the Court to be a verified
complaint to support the issuance of an injunction. And then we find out later
on by the plaintiff's own admission that the substantive requirements of law
that the plaintiff has personal knowledge of the facts supporting the allegations
aren't there because the plaintiff herself admits that she doesn't have any
knowledge of the substantive facts.
I submit that is a sham and false pleading, and Trial Rule 11 allows for that
pleading to be [stricken] . . . If you strike the pleading, there is nothing else
before the Court to support the issuance of the temporary restraining order.
The only basis for the issuance of the preliminary injunction that's before the
Court is the verified complaint, which is defective, which is a false pleading,
which was submitted to get an injunction issued by a court without complying
with the substantive rules necessary to support the issuance of an injunction.
That pleading should be struck.
When you strike that pleading, then there is no basis for [a] preliminary
injunction before the Court, and the injunction should be dissolved. That is the
sum and substance of our argument as to the preliminary injunction. There is
nothing before this Court to support the preliminary injunction, and it should
be dissolved.
(Supp.R. at 159-60). The trial court granted the defendants' motion, stating in its order that
it was doing so because the temporary restraining order had been improvidently granted
and could therefore not supply a basis for the continuation of injunctive relief. . . . (R.
668). The court further stated that the conclusion that the injunctive relief was
improvidently granted is predicated upon the fact that albeit verified, the pleadings which
formed the basis for the injunctive relief were not based on first-hand knowledge. . . . (R.
668-69).
Ind.Trial Rule 11(A), the rule relied upon by the defendants in their motion, states that
pleadings or motions need be verified or accompanied by an affidavit only when specifically
required by rule. The rule further provides that a pleading or motion may be stricken as
sham and false if the pleading or motion is not signed or is signed with intent to defeat the
purpose of the rule. Ind.Trial Rule 65(B) requires the plaintiff requesting a temporary
restraining order to file an affidavit or verified complaint. T.R. 65(A), dealing with
preliminary injunctions, has no such requirement. Instead, T.R. 65(A)(1) provides that [n]o
preliminary injunction shall be issued without an opportunity for a hearing upon notice to the
adverse party. T.R. 65(A)(1), however, should be read in conjunction with Ind. Code § 34-
1-10-3See footnote
6
, which provides that [i]n all applications for an injunction, the complaint or as much
of the complaint as pertains to the acts or proceedings to be enjoined, must be verified by
affidavit.
The requirement set forth in Ind. Code § 34-1-10-3 is exactly the same requirement
set forth by a corresponding statute over one hundred and twenty years ago. The requirement
was interpreted by our supreme court in Sand Creek Turnpike Co. v. Robbins, 41 Ind. 79
(1872). After noting that the statute provided that in all applications for an injunction, the
complaint, or so much thereof as pertains to the acts or proceedings to be enjoined, shall be
verified by affidavit.' the court held that:
[W]e think it is clear that the verification is required only in cases where a
restraining order or temporary injunction is sought before final judgment in the
action, and that where the sole relief sought is to be had in the final judgment
of the court, no verification is necessary. We see no good reason for requiring
a verification where the remedy sought is the final judgment enjoining the act
or acts complained of. If the defendant deny the facts, he puts the plaintiff
upon the proof of them before the court or jury, and such proof is not
strengthened any by his previous verification of them. If the defendant admit
the facts, expressly or by failing to controvert them, the admission is not
strengthened by such verification.
But where an injunction is sought pending the action, the facts must be
verified. Until the facts have been admitted, or found by the court or jury, they
are not established; and until the facts are established or sworn to, an
injunction should not be granted. But where the only relief sought is to be
afforded by the final judgment of the court, inasmuch as such judgment cannot
be rendered until the facts authorizing it have been established, either by
admission or trial, and finding or verdict, there is no more reason that the
complaint should be sworn to, than there is that all complaints should be sworn
to.
If the complaint is not duly verified, it is doubtless, good ground for refusing
a restraining order or temporary injunction pending the action, and perhaps
ground for setting it aside where it has been unadvisedly granted; but it is no
ground for rejecting or setting aside a complaint which asks an injunction as
the final relief prayed for.
Id. at 81-82.
The complaint in the present case clearly contemplates the entry of a permanent
injunction only as part of the final judgment. Accordingly, the injunction, if issued at all,
will be issued only after a hearing on the facts and allegations set forth in the complaint.
Like the court in Sand Creek, we see no reason to set aside the complaint.
Hedge's signature on the complaint indicated that to the best of her knowledge,
information, and belief, there was good ground to make the averments contained in the
complaint. This is sufficient to meet the requirements of T.R. 11(A); personal knowledge
of the facts is not required. By affixing the purely extraneous verification, Hedge was not
attempting to defeat the purpose of T.R. 11. The complaint was not a sham and false
document purporting to meet some unreasonable and nonexistent requirement that a
prosecutor have personal knowledge of the facts included in every case that she files.
Assuming, without deciding, that the verification found in the application was
defective, we must agree with the trial court that the ex parte restraining order was
improvidently granted. However, we cannot agree with the trial court that the preliminary
injunction should have been dissolved. The defendants entered an agreed order that the
preliminary injunction should take effect. They entered into this agreement after receiving
notice of the scheduled hearing on the application for preliminary injunction. Thus, they
agreed to the injunction in lieu of forcing Hedge to put on evidence in support of the
application. They were afforded the protection set forth in T.R. 65(A)(1), and if there is any
harm that was occasioned by the assumed faulty verification, it was remedied.See footnote
7
The defendants make additional arguments in an attempt to show that the action was
properly dismissed by the trial court. These arguments do not go to the only question before
both the trial court and this court, i.e. whether the complaint and application should have
been stricken as violative of T.R. 11(A). Furthermore, these arguments are more appropriate
for consideration by the trial court upon the filing of a motion for summary judgment and the
development of the record that such a motion requires.
CONCLUSION
The trial court erred in striking the complaint, dismissing the preliminary injunction,
and dismissing the action.
Reversed and remanded for further proceedings consistent with this opinion.
SHARPNACK, C.J., concurs.
RUCKER, J., concur in results.
Footnote:
1 This statute has been repealed and recodified, and it can now be found at Ind. Code § 34-19-2-1.
Footnote:
2 Hedge's appeal of the trial court's dismissal of her action against Susi Spa has been consolidated
with her appeal of the trial court's dismissal of a similar action against Oriental Health Spa. The parties and
facts of the Oriental Health Spa case duplicate those of the Susi Spa action. Our ruling pertains to both
appeals.
Footnote:
3 The Statute was formerly found at Ind. Code § 34-1-52.5-1 et seq. It is now found at Ind. Code §
34-19-2-1 et seq. The former statute was in effect at the time of the filing of the complaints.
Footnote:
4 Whenever possible, Calumet, Pritz Construction, Pritz, and Evergreen will hereinafter be referred
to as the defendants.
Footnote:
5 This statute is currently denominated as Ind. Code § 34-19-2-4.
Footnote:
6 This statute has been repealed and recodified as Ind. Code § 34-26-1-7.
Footnote:
7 We note that T.R. 65(A)(1)'s requirement of a hearing before the issuance of a preliminary
injunction gives more protection to the defendant than the statutory requirement of verification.
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