Litigation

A Nonsuit Against One Defendant and a Judgment Against the Other is an Appealable Order

By H. William Allen et al.

The Arkansas Supreme Court clarified its stance on appealable orders when multiple claims against multiple parties are involved in Advanced Environmental Recycling Technologies v. Advanced Control Solutions, Inc., No. 06-1145 (2/7/08).

ACS filed suit against AERT and one of its former employees for trade secret misappropriation, breach of a noncompete agreement, and tortious interference with business. ACS nonsuited its claim against the former employee and then obtained a final judgment against AERT.

In a thorough opinion, the supreme court held the order was a final appealable order. The court explained that, when a plaintiff files a nonsuit against one defendant, one appeal will still decide all issues between the plaintiff and the remaining defendants. A nonsuit of certain claims against one defendant is not an appealable order because one appeal cannot dispose of the claims between the two parties.   

Full post as published by Arkansas Business Litigation Blog on February 08, 2008 (boomark / email).