GavelMoney.jpg

ST. LOUIS — The Missouri Court of Appeals Eastern District has affirmed a Jackson County trial court’s decision holding a Michigan resident personally liable for more than $222,000 in damages, interest and attorney’s fees to Mississippi Valley Equipment Company following a dispute over several rental contracts for heavy equipment. 

The appellate court rejected David Killian's arguments that the trial court erred in finding him personally responsible, determining that substantial evidence supported the judgment and that the lower court did not misapply the law, according to the Oct. 21 decision in the Missouri Court of Appeals in the Eastern District.

Killian appealed the trial court’s ruling, arguing three main points: that there was insufficient evidence MVE entered into contracts with him in his personal capacity; that there was insufficient evidence he signed or assented to two of the three rental contracts; and that the court erred in awarding attorney’s fees without evidence showing how much time MVE’s attorneys worked on the case. 

The appellate court denied all three points, upholding the trial court’s findings in full.

The dispute began in January 2020 when Killian, who operates a business working on boat lifts, boat covers, and seawalls, contacted MVE, a Missouri-based company, about renting equipment for his work. 

Killian submitted a commercial credit application listing “Elite” as the company name, described the business type as a “Proprietorship,” and identified himself as “Owner.” 

MVE subsequently prepared three equipment rental agreements over several months.

Killian used the equipment but later became involved in billing disputes with MVE. 

In late 2020, MVE representatives traveled to Michigan to disable one of the rented units, and the company later repossessed it. 

MVE then sued Killian and the case went to a bench trial in July 2024, where the trial court ruled in MVE’s favor on a breach of contract claim. 

The court ordered Killian to pay $106,386.20 in principal, $60,858.46 in interest and $55,190.74 in attorney’s fees and collection costs, totaling $222,435.40 plus court costs.

Killian objected to being personally named as the defendant, arguing the contracts were made with his company rather than him individually. The trial court overruled the objection, and the appellate court later affirmed that decision. 

The appellate judges found that Killian had failed to meet his burden of demonstrating the trial court’s error, noting that the evidence showed Killian presented himself as operating a proprietorship, listed “Elite” as his business and signed the contracts without identifying a limited liability company.

Killian also argued he had not signed or otherwise assented to the second and third rental agreements, asserting that his mother may have signed them without authority. 

The appellate judges rejected that claim, finding that even if his mother signed on his behalf, Killian ratified her actions by accepting and using the equipment. 

The court cited Missouri precedent establishing that using goods or services obtained through an agreement constitutes ratification of the contract.

Finally, the court upheld the trial court’s award of attorney’s fees, ruling that the contracts explicitly required the customer to pay “all costs of collection, including collection agency’s and attorney’s fees.”

Because the contract terms mandated an award of some amount of attorney’s fees, the court found MVE was entitled to recover them. 

Testimony from MVE’s attorney supported the total of $55,190.74, which included both legal and collection costs.

Judge Virginia W. Lay authored the opinion, with Presiding Judge Michael S. Wright and Judge Philip M. Hess concurring.

Missouri Court of Appeals, Eastern District case number: ED113156

More News