Preview:

Notice: This opinion is subject to formal revision before publication in the advance
sheets of Southern Reporter. Readers are requested to notify the Reporter of Decisions,
Alabama Appellate Courts, 300 Dexter Avenue, Montgomery, Alabama 36104-3741 ((334)
229-0649), of any typographical or other errors, in order that corrections may be made
before the opinion is printed in Southern Reporter.

SUPREME COURT OF ALABAMA

OCTOBER TERM, 2007-2008

1060619

Alabama Department of Transportation
v.
Donald Frank Williams and James G. Harrell, Jr.
Appeal from Mobile Circuit Court
(CV-04-2823.52)

LYONS, Justice.

The Alabama Department of Transportation ("ALDOT")
appeals from a judgment of the Mobile Circuit Court awarding
Donald Frank Williams and James G. Harrell, Jr. ("the

landowners"), interest of $47,313.92 on a judgment in an
eminent domain case. We reverse and remand.

I. Facts and Procedural History

At some time before 2004, ALDOT began eminent domain
proceedings to acquire from the landowners certain real
property in Mobile County for a right-of-way project. ALDOT
offered the landowners $137,400 in compensation; they rejected
that offer. On January 14, 2004, ALDOT filed a condemnation
action in the Mobile Probate Court to obtain the property.
The probate court determined compensatory damages for the
property to be $352,346. Both ALDOT and the landowners
appealed to the Mobile Circuit Court. ALDOT deposited the
amount of the probate court's judgment into the circuit court.
The landowners withdrew $137,400 (the amount of ALDOT's
original offer for the property); $214,946 remained on deposit
with the circuit court. On July 14, 2004, ALDOT obtained the
right to possess the property and began construction activity
shortly thereafter. The case proceeded to a jury trial in the
Mobile Circuit Court. On May 18, 2005, the jury entered a
verdict that determined compensatory damages for the property
to be $483,000. On June 3, 2005, the circuit court calculated

prejudgment interest due on the compensatory damages to be
$28,746.35, and entered a judgment of condemnation in favor of
ALDOT, with a compensation award of $511,746.35 to the
landowners (damages of $483,000 plus prejudgment interest of
$28,746.35).

ALDOT appealed the circuit court's judgment to this
Court, depositing an additional $159,400.35 into the circuit
court for a total principal amount of $374,346.35 on deposit
in the circuit court. On July 14, 2006, this Court affirmed
the circuit court's judgment, without an opinion. Alabama
Dep't of Transp. v. Williams (No. 1041564, July 14, 2006), ___
So. 2d ___ (Ala. 2006) (table).  On October 19, 2006, the
Mobile circuit clerk paid the landowners $389,060.69,

1

representing $374,346 in principal (the difference between
the circuit court's judgment of $511,746.35 and ALDOT's
original offer of $137,400), plus $14,714.69 in accumulated
interest actually earned on the funds, which had been
deposited in an interest-bearing account.

1We note that according to the record, the total principal
deposited with the Court by ALDOT was actually $374,346.35.
Neither party explains why the amount paid to the landowners
included a principal amount of only $374,346.

The landowners then sought postjudgment interest on the
circuit court's judgment entered on June 3, 2005, in the
amount of $511,746.35, reduced by the amount of the previous
disbursement to the landowners in the probate court of
$137,400 (hereinafter "the principal amount"). The landowners
contended that they were entitled to postjudgment interest at
a rate of 12% of the principal amount calculated pursuant to

Download 1060619.pdf

Alabama Law