R. GORDON SCHMIDT, Plaintiff-Appellant,
TIM HUSTON, Defendant-Respondent.
Opinion No. 148
from the District Court of the Fourth Judicial District of
the State of Idaho, in and for Ada County. Hon. Richard D.
Greenwood, District Judge and Hon. D. Duff McKee, Senior
judgment of the district court is affirmed.
Anthony M. Shallat, Angstman Johnson, Boise, argued for
Michelle R. Points, Points Law, PLLC, Boise, argued for
an appeal out of Ada County from a judgment denying a claim
for contribution on equitable principles in an action by one
co-guarantor against another co-guarantor. One of two
independent grounds for the district court's decision was
not challenged on appeal, and we therefore affirm the
judgment of the district court without addressing either
Gordon Schmidt and Tim Huston were two of the members of TRG
Leasing, LLC. The company obtained a bank loan in the sum of
$26, 000, and Mr. Schmidt and Mr. Huston each executed a
guaranty of the loan. Mr. Schmidt ultimately paid the loan
and brought this action against Mr. Huston and Robin Navert,
another guarantor, to require them to pay their share. He
settled with Ms. Navert for $5, 000, and his claim against
Mr. Huston was tried to the district court. It ruled that
under the facts it was inequitable to require Mr. Huston to
pay any sum to Mr. Schmidt, and he timely appealed.
district court's findings of fact were as follows:
1. TRG Leasing, LLC was formed in July of 2007, with Schmidt,
Robin Navert and Huston as members; Richard Navert was the
2. In October of 2007, TRG borrowed $26, 000 from Bank of the
West. The bank apparently took an all-inclusive financing
statement on all tangible assets of TRG, plus obtained
separate personal guaranties from Schmidt, Huston, Robin
Navert and RNR Enterprises.
3. Richard Navert was the non-member manager of TRG. He was
also the CEO of RNR. The Naverts (Richard and Robin) owned
approximately 86% of RNR; Schmidt owned approximately 10%;
and Gary Navert, presumably Richard Navert's son, owned
approximately 4%. There is no record that Huston was a
stockholder in RNR.
4. Huston was an employee of RNR, managing some of its
operations out of a location in Denver, Colorado. Navert ran
the company from its headquarters in Boise, Idaho. Navert and
Huston met from time to time in Denver on RNR business;
Navert was often or frequently accompanied on these meetings
5. In 2011, Huston was fired by Richard Navert and Gordon
Schmidt. Huston understood this to mean that he had been
terminated from any interest in or with RNR and TRG. Huston
left Denver for the Midwest, and had no contact with Richard
Navert, Robin Navert ...