By Lynn Hotaling
The town of Sylva last week (June 19) filed suit against its
former trash hauler, alleging breach of contract, fraud and
breach of promissory note on the part of Country Collections
Corp. and its president and owner, Sherrill E. "Bud" Boynton.
The lawsuit, prepared by Sylva town attorney Eric Ridenour,
seeks some $70,000 in damages and attorney fees from Boynton
and Country Collections.
The breach of contract stems from the plaintiff's allegation
that the hauler was paid in advance for commercial recycling
pickups through May 31 but only performed the service through
May 16. Additionally, the complaint states that Country Collections
was paid through May 30 to collect residential trash but fulfilled
that duty only through April 23.
Country Collections therefore owes the town $6,234.13 that
was overpaid for residential collection and $1,870 the company
received for commercial pickups it did not perform, according
to the lawsuit.
The complaint alleges that Boynton refused to return any of
the money when asked to do so by a member of Sylva's town board.
In addition to reimbursement of the $8,104.13, town officials
are seeking some $30,000 in liquidated damages pursuant to the
town's contract with Country Collections.
The agreement states that in the event of breach of contract,
the company will pay the town $1,000 per day for a maximum of
30 days.
Individual allegations of fraud against Boynton stem from the
plaintiff's contention that defendant Boynton accepted payment
through May 31 even though he knew his company would not be
able to perform the agreed upon services. The suit asks that
the town recover $8,104.13 plus punitive damages from Boynton
individually.
Allegations of breach of promissory note against Country Collections
are based on former Country Collections owner Gregg Thomas's
June 2000 purchase of a baler and forklift from the town on
credit.
The lawsuit contends that when Boynton purchased the company
from Thomas in late 2001, he purchased all equipment, including
the baler and forklift, at that time. By purchasing the equipment,
Boynton agreed to be responsible for the indebtedness, the complaint
alleges.
Boynton indicated he would continue to make monthly payments
on the baler and forklift and made payments through June 2002,
according to the lawsuit.
The suit seeks to recover some $11,500 plus interest that town
officials maintain is still owed on the equipment.
When contacted Monday, Boynton indicated a willingness to comment
on the breach of promissory note allegation, though he said
he had not seen a copy of the lawsuit.
According to Boynton, he did not take possession of the baler
and forklift when he purchased Country Collections about 18
months ago.
"When I took over, the baler and forklift couldn't be found,"
Boynton said. "I never saw those items. For whatever reason,
nobody filed liens on that equipment. Gregg (Thomas) sold it,
and no one could do anything about it."
Boynton said he has not yet retained an attorney to represent
him and his company in the matter.