ÿWPC7 …#†VUNÜ %* 00UD7 4{  0Jž 0Tè 0^< 0hš 0r 0|t 0†ð 0v 1uU,{ 0d§U, U>7U*uB)ŸDCÈ AM U*X ‚v~Ž B vÓ) D3ü 0@/ AOoƾ 0#„ 0D§ D/ë B˜HP LaserJet 4 Plus/4M PlusHPPCL5E,,,,0æËoODúwK&ÌŒ DbÍÿG(ÈhH  Z ‹6Times New Roman RegularX(ß Ñ$¡¡ÑTR[  AØ'ÿ Legal[  AØ'ÿ Legal AØ'ÿ Legal AØ'ÿ LegalTÑÒ°ÒÒ„°ÒÔ€XgØXXXÔÑ7€UXXdìXXdì7ÑÑ  ÑÓ  Ó8§ÖhZŠ,Century-WP RegularU_A <ô` ÿ3|x<2 ÿÿ0Indent1Ô2ÔÔ3  Ô2" ÿÿ0Indent2à0 àÔ2ÔÔ3  Ô2, ÿÿ0Indent3à0 àà0 àÔ2ÔÔ3  Ô26 ÿÿ0Indent4à0 àà0 àà0 àÔ2ÔÔ3  Ô2@ ÿÿ0Indent5à0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2J ÿÿ0Indent6à0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2T ÿÿ0Indent7à0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô2^ ÿÿ0Indent8à0 àà0 àà0 àà0 àà0 àà0 àà0 àÔ2ÔÔ3  Ô  ÿÿ?AGMSYaioIndent0I.A.1.a.(1)(a)i)a)< Œ 9p`(ModernP ÿÿ8Mac DefaultMac DefaultÓ ` °šXÓ< Œ 9p`(Monaco< Œ 9p`(&Times New Roman< Œ 9p`(Times% Line 7 d7Border 1dd€- Cþÿ << Gÿÿ< Œ 9p`(Arial Ý ƒ!ÝÑ  ÑÑ#€d#ÑÔ€ÔÔ€ÔÑ\R AØ'\ÑÒ  ÒÒ „ ÒÔ€ÔÑ#€d#ÑÑ  ÑÓ  ÓÝ  ÝÝ ƒ"ÝÝ  ÝÔ€"ÔÔ€"ÔÓ  ÓÔ YYY ÔFILEDÔ€"XÔÌÌò òFebruaryÏ20,Ï1996ÌÌCecilÏCrowson,ÏJr.ÌÔ€"ôÔAppellateÏCourtÏClerkó óPtPtHHÚ(ÿáÿâùFG(üHHÚ(d'@ dStyl{WP}01•ÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃÃà Ãà Ãà Ãà Ãà ÃÃÃÃÃÃÃÃÃÃÃÐ ÐÐHHÐÐ  ÐÐ2ÐÐÿÿ¸æ$ÿÐÐHHÐÐÐÐÐÐÐÐ  ÐÐ ÐÐ ÐÑÑÑGenevaÑÑ ÑÑ € ÑÑ<Px–ÈÑÒÒÒ443!#4ÒÒ$ *$ÒÒ$*$ÒÒ ÿKK ÒÒ  Geneva ÒÒ  Geneva ÒÓ.,ÓÓÓÓ6ÓÓ ÓßßßßßßßßßßßßßßßßßßÑMonacoÑÑ ÑÒ  BA: T Monaco ÒÒ  BA: T Monaco Ò%%%%'ÿÿdxd("ÿÿ$££Ò  ÒÒ  Ò€-‚ƒCþÿ<< CÿÿƒLevel 1Level 2Level 3Level 4Level 5(û3m£$¢¢Ý ƒ Ñ!ÝÑTR[¤ AØ'ÿ Legal[¤ AØ'ÿ Legal AØ'ÿ Legal AØ'ÿ LegalTÑÒ°ÒÒ„°ÒÔ€X%DXXXÔÑ7€%DXXdìXXdì7ÑÑ  ÑÓ  ÓÝ  Ý($$””ò òÚ  Ú1Ú  Úó ó„„'÷ÿ dxdüÿP PdÝ ƒ!ÝÔ . ÔÔ€ÔÓ&€X„d&ÓÑ#€Xd#ÑÔ€ÔÑ\R AØ'\ÑÒ  ÒÒ „ ÒÔ€ÔÑ#€Xd#ÑÑ#€Xd#ÑÑ  ÑÓ  ÓÝ  ÝÙ€€ÙÑ  ÑÑ  ÑßL€!# ;+'h|` ˆ, `€€Lßà@ àò òIN€THE€COURT€OFÏAPPEALS€OF€TENNESSEEÌà@ àWESTERN€SECTION€ATÏKNOXVILLEÌà àà àÏ_______________________________________________ÌÌAUSTIN€POWDER€COMPANY,ÌRENDRO€CONSTRUCITON€COMPANY,Ìand€D€&€P€CONSTRUCTION€COMPANY,ó óÌÌà àPlaintiffs„Appellees,ÌÌVs.à àà àà àà àà àà àà àBlountÏCircuit€E„16403Ìà àà àà àà àà àà àà àC.A.€No.Ï03A01„9507„CV„00225Ìò òWALTER€THOMPSON,ó óÌÌà àDefendant„Appellant.Ì_________________________________________________________________________ÌÌà@ àFROM€THE€BLOUNTYÏCOUNTY€CIRCUIT€COURTÌÌà@ àTHE€HONORABLE€W.€DALEÏYOUNG,€JUDGEÌÌÌÌÌÌÌÌà@ àE.€Jerome€Melson€of€Watson,€Hollow€&€Reeves€of€KnoxvilleÌà@ àFor€Plaintiffs„AppelleesÌÌà@ àHenry€T.€Ogle€of€KnoxvilleÌà@ àFor€Defendant„AppellantÌÌÌÌà@ àò òAFFIRMED€AND€REMANDEDÌÌà@ àó óOpinion€filed:ÌÌÌÌÌÌÌà àà àà àà àà àà àò òà àW.€FRANK€CRAWFORD,ó óÌà àà àà àà àà àà àà àò òPRESIDING€JUDGE,€W.S.ÌÌCONCUR:ÌÌALAN€E.€HIGHERS,€JUDGEó óÌÌò òDAVID€R.€FARMER,€JUDGEÌó óÌÌÌÌÓÓà àThis€appeal€involves€a€suit€for€specific€performance€of€anÏagreement€to€compromise€and€settle€a€damage€suit.€€Plaintiffs,€AustinÏPowder€Company,€Renfro€Construction€Company,€and€D€&€P€ConstructionÍCompany€(hereinafter€plaintiffs€or€Austin€Powder)€sued€defendant,ÏWalter€Thompson,€seeking€specific€performance€of€an€allegedÏagreement€settling€an€earlier€filed€lawsuit€(underlying€litigation)Ïbrought€by€Thompson€against€plaintiffs.€€Ìà àIn€the€underlying€litigation€Thompson€sued€plaintiffs€for€damageÏto€his€residence€which€he€alleged€was€caused€by€plaintiffs'€blastingÏoperation€in€connection€with€road€construction.€€It€is€undisputed€thatÏKarl€Spalvins,€one€of€Thompson's€attorneys€of€record€in€the€underlyingÏlitigation,€advised€Jerome€Melson,€attorney€for€Austin€Powder,€thatÏThompson€accepted€Austin€Powder's€offer€of€settlement€in€the€sum€ofÏ$13,500.00,€and€that€subsequently€Thompson€refused€to€accept€theÏtendered€settlement€check€and€refused€to€sign€the€release€of€his€claimÏagainst€Austin€Powder.€€The€instant€suit€for€specific€performanceÏensued,€and€Thompson's€defense€is€that€he€did€not€agree€to€theÏsettlement,€did€not€authorize€his€attorneys€to€make€any€suchÏsettlement,€and€that,€therefore,€his€attorneys€did€not€have€authority€toÏsettle€the€suit.€€Ìà àThe€case€was€tried€by€the€court€sitting€without€a€jury€and€takenÍunder€advisement.€€The€trial€court€filed€a€memorandum€opinion€whichÏstates,€in€pertinent€part:€€ÓÓÌÌà8 àà8 à€€€€€It€is€undisputed€in€the€record€that€KarlÏSpalvins€represented€Defendant€Thompson€in€theÏcase€lodged€in€the€Law€Division€of€this€Court€(L„6275).€€It€is€further€undisputed€in€the€recordÏthat€Spalvins€advised€E.€Jerome€Melson,€CounselÏfor€Plaintiffs,€in€this€case,€that€ThompsonÏaccepted€the€Plaintiff's€offer€of€settlement€ofÏ$13,500.00€in€the€underlying€litigation.ÌÌà8 àà8 à€€€€€From€the€entire€record€in€this€cause,€theÏCourt€is€persuaded€that€by€his€word€and€his€deedÏDefendant€Thompson€clothed€his€attorney€withÏsuch€authority€that€Thompson€knowinglyÏpermitted€his€Attorney€to€believe,€in€good€faith,Ïthat€he€had€the€authority€of€Thompson€to€settleÏthe€action€in€question,€which€settlement€wasÏcommunicated€to€and€accepted€by€Counsel€forÏthe€opposing€parties.€€Spalvins,€for€Thompson,Ïcontracted€with€Plaintiffs€to€settle€theÏunderlying€case.ÌÌÓÓà àPursuant€to€the€court's€findings,€an€order€was€entered€requiringÏspecific€performance€of€the€settlement€agreement.€€Thompson€hasÏappealed,€and€the€only€issue€for€review€is€whether€the€evidenceÏpreponderates€against€the€trial€court's€finding€that€Thompson'sÏattorney€acted€with€Thompson's€authority€in€settling€the€case.€Ìà àThompson€retained€attorney€David€Creekmore€of€Knoxville€toÏrepresent€him€in€his€suit€against€Austin€Powder€for€damages€caused€toÏhis€house€in€a€blasting€operation€in€connection€with€highwayÏconstruction.€€When€Mr.€Creekmore€was€ordered€to€report€for€duty€in€theÏDesert€Storm€operation,€he€associated,€with€Thompson's€approval,Ïattorney€Karl€Spalvins.€€When€Creekmore€returned€from€active€duty,€theÏcase€had€not€been€tried,€so€he€continued€to€work€on€the€case€withÏSpalvins,€who€was€apparently€considered€to€be€the€lead€attorney.€€Ìà àThe€case€was€set€for€trial€on€Tuesday,€September€21,€1993.€€OnÏFriday€morning,€September€17,€1993,€Spalvins,€Creekmore,€andÏThompson€met€to€discuss€trial€preparation€and€to€consider€a€settlementÏoffer€from€Austin€Powder.€€Thompson€had€previously€been€offeredÏ$10,000.00€in€settlement€of€his€claim,€but€he€unequivocally€rejectedÏthis€offer.€€€On€Friday,€September€17,€1993,€Spalvins€related€toÏThompson€an€offer€of€$12,500.00€that€had€been€advanced€by€AustinÏPowder.€€Thompson€was€unhappy€with€this€offer,€but€his€attorneysÏadvised€him€that€he€should€give€it€some€consideration.€€Thompson€wasÏinvited€to€lunch€with€Spalvins€and€Creekmore€to€further€discuss€theÍsettlement€offer,€but€he€declined€the€invitation€stating€that€he€hadÏanother€business€engagement€and€would€get€back€in€touch€with€SpalvinsÏin€the€afternoon.€€Later,€on€Friday€afternoon,€Austin€Powder's€attorney,ÏJerome€Melson,€advised€Spalvins€by€telephone€that€the€offer€wasÏincreased€to€$13,500.00.€€At€this€point,€a€sharp€dispute€arises€betweenÏSpalvins€and€Thompson€as€to€what€occurred.€€Spalvins€testified€that€onÏFriday€afternoon€Thompson€returned€to€Spalvins's€office€at€which€timeÏSpalvins€related€the€latest€offer€of€$13,500.00.€€With€respect€to€theÏmeeting€between€Spalvins€and€Thompson€to€discuss€this€offer,€SpalvinsÏtestified€as€follows:ÌÓÓà8 àà8 àQ.€€[By€Mr.€Melson]€€In€what€form€did€thatÏdiscussion€take€place?€€Was€it€a€personal€visitÏor€was€it€over€the€phone?ÌÌà8 àà8 àA.€€No,€it€was€personal.€€I€said,€"Walter,€here€isÏwhat€we've€got.€€We've€got€to€go€to€trial€or€youÏare€going€to€have€to€accept€it."€€He€said€to€me,€heÏsaid,€"That's€not€enough€money,€but€just€get€itÏover€with."€€He€said,€"I€can€make€more€moneyÏthan€that€by€working€on€Monday€and€TuesdayÏwith€my€equipment€rather€than€being€in€aÏcourthouse."€€I€told€him€it€was€going€to€take€allÏday€Monday€and€it€was€going€to€take€all€dayÏTuesday.ÌÌà8 àà8 àQ.€€For€the€trial?ÌÌà8 àà8 àA.€€For€the€trial,€for€the€final€preparation€andÏmarking€whatever€we€needed€to€mark.€€I€said,Ï"Walter,€that€is€the€only€decision€you€can€make."€ÏHe€said,€"Get€it€over€with.€€You€and€David€getÏyour€money€and€get€it€over€with."€€Well,€I€got€itÏover€with.€€I€called€you€[Melson]€back€and€IÏaccepted€the€offer.ÌÌà8 àà8 àQ.€€Did€you€make€that€telephone€call€to€me€in€Mr.ÏThompson's€presence?ÌÌà8 àà8 àA.€€Yes,€I€did.ÌÌà8 àà8 àQ.€€Where€did€this€meeting€between€yourself€andÏMr.€Thompson€take€place€where€he€told€you€to€getÏit€over€with€when€you€discussed€the€$13,500Ïfigure?ÌÌà8 àà8 àA.€€It€was€in€a€conference€room€in€my€office.ÌÌà8 àà8 àQ.€€Who€was€in€attendance?ÌÌà8 àà8 àA.€€Myself€and€Mr.€Thompson.ÌÌà8 àà8 àQ.€€Where€was€Mr.€Creekmore?ÌÌà8 àà8 àA.€€Mr.€Creekmore€did€not€come€back€in€theÏafternoon.ÌÌà8 àà8 àQ.€€Okay.€€So€this€took€place€on€the€afternoon€ofÏFriday,€September€17th,€1993?ÌÌà8 àà8 àA.€€Yes,€it€did.ÌÌà8 àà8 àQ.€€Following€your€telephone€call€to€meÏindicating€that€the€money€was€accepted€and€theÏmatter€concluded,€what€further€activity€tookÏplace€in€your€office€with€respect€to€Mr.ÏThompson?ÌÌà8 àà8 àA.€€Well,€I€think€I€asked€you€to€call€the€Court€andÏtell€them€that€the€case€was€off,€to€notify€theÏCourt.€€That€was€going€to€be€your€responsibility.€ÏI€said,€"Walter,€it€will€be€some€time€beforeÏthese€papers€come€and€we'll€call€you€when€it'sÏready."€€He€walked€outside€the€door€of€theÏconference€room€where€my€paralegal's€desk€isÏand€he€had€a€short€conversation€with€myÏparalegal.€€I€could€hear€it€because€it€was€rightÏthere.ÌÌà8 àà8 àQ.€€What€was€the€nature€of€the€conversation?ÌÌà8 àà8 àA.€€She€gave€him€the€standard€thing€about€theÏmoney€will€come€in,€the€releases€will€come€in,Ïyou€will€have€to€come€in€and€sign€it,€we€willÏhave€it€deposited€in€trust,€and€then€there€wasÏsome€conversation€somewhere€along€the€line€ifÏhe€was€going€to€have€to€sign€anything.€€I€told€himÏthat€I,€as€his€attorney,€and€David€could€sign€theÏOrder.€€He€did€not€have€to€sign€the€Order.ÌÌà8 àà8 àQ.€€Did€he€indicate€to€you€that€he€understoodÏwhat€was€going€on?ÌÌà8 àà8 àA.€€He€did.ÌÌà8 àà8 àQ.€Did€he€leave€your€office€on€the€afternoon€ofÏFriday,€September€17th,€1993,€following€theÏexchange€he€had€with€your€paralegal?ÌÌà8 àà8 àA.€€Yes,€he€did.ÌÌà8 àà8 àQ.€€Did€you€have€any€further€communication€withÏhim€on€that€day?ÌÌà8 àà8 àA.€€No.ÌÌà8 àà8 àQ.€€Did€you€have€any€further€communication€withÏMr.€Thompson€in€any€form€over€the€weekend€onÏSaturday€or€Sunday?ÌÌà8 àà8 àA.€€No.ÌÌà8 àà8 àQ.€€Did€you€have€any€communication€with€him€inÏany€form€on€Monday,€„„ÌÌà8 àà8 àA.€€No.ÌÌà8 àà8 àQ.€€„„€the€day€before€the€trial€date€of€SeptemberÏ21,€1993?ÌÌà8 àà8 àA.€€No.ÌÌà8 àà8 àQ.€€Did€you€have€any€communication€with€Mr.ÏThompson€in€any€form€on€Tuesday,€September€21,Ï1993,€the€date€it€was€set€for€trial?ÌÌà8 àà8 àA.€€No.ÌÌÓÓà àSpalvins€also€testified€that€he€understood€from€Thompson'sÏstatements€that€he,€Spalvins,€had€express€authority€to€settle€the€caseÏon€Thompson's€behalf€for€$13,500.00.€€Spalvins€further€testified€thatÏafter€he€received€the€releases€and€checks€from€Melson€to€complete€theÏsettlement,€he€could€not€get€in€touch€with€Thompson,€and€he€calledÏCreekmore€to€seek€his€help€in€reaching€Thompson.€€On€November€19thÏSpalvins€was€informed€by€letter€from€Thompson€that€he€was€no€longerÏThompson's€attorney.€€Ìà àAt€trial,€the€plaintiffs€also€called€Spalvins's€paralegal,€DianaÏMoyers,€as€a€witness.€€Ms.€Moyers€testified€that€she€assisted€SpalvinsÏin€trial€preparations€and€in€dealing€with€various€details€of€his€clients'Ïcases.€€She€also€testified€that€the€underlying€litigation€was€set€forÏtrial€on€Tuesday,€September€21,€and€that€there€was€a€meeting€on€FridayÏmorning,€September€17,€involving€Creekmore,€Spalvins,€and€Thompson.€ÏShe€recalled€that€the€meeting€lasted€until€approximately€12:45€p.m.Ïwhen€Thompson€left€the€office.€€Ms.€Moyers€testified€that€on€FridayÏafternoon,€Thompson€returned€to€Spalvins's€office,€at€which€time€ÍThompson€and€Spalvins€met€alone€for€approximately€an€hour€inÏSpalvins's€conference€room.€€She€further€testified€that€as€ThompsonÏwas€leaving,€he€and€Spalvins€were€discussing€the€paper€work€for€theÏsettlement,€and€that€she€then€had€a€conversation€with€ThompsonÏregarding€the€procedure€for€handling€the€paper€work,€including€the€timeÏframe€for€receiving€the€settlement€proceeds.€€She€stated€that€SpalvinsÏdid€not€ask€any€questions€and€did€not€appear€to€be€confused€about€herÏstatements€regarding€these€settlement€procedures.Ìà àThompson's€proof€consisted€of€his€testimony€and€the€testimony€ofÏhis€secretary,€Irma€Taylor.€€Thompson€testified€that€he€attended€theÏmeeting€on€Friday€morning,€September€17,€1993,€with€Spalvins€andÏCreekmore.€€He€stated€that€although€he€never€rejected€the€$13,500.00Ïsettlement€offer,€he€was€unhappy€and€dissatisfied€with€the€offer.€ÏThompson€stated€that€he€did€not€go€to€lunch€with€Spalvins€andÏCreekmore€because€he€had€another€business€engagement,€and€that€heÏwas€told€to€think€about€the€offer€and€get€back€in€touch€with€Spalvins.€ÏThompson€testified€that€after€concluding€his€business€engagement,€heÏreturned€to€his€own€office€on€Friday€afternoon,€and€he€told€hisÍsecretary,€Irma€Taylor,€that€he€felt€like€his€attorneys€"had€sold€.€.€.Ï[him]€out"€and€that€he€was€quite€angry.€€He€stated€that€he€told€Ms.€TaylorÏto€leave€early€that€afternoon,€because€he€did€not€want€her€to€hear€theÏlanguage€he€intended€to€use€when€he€called€Mr.€Spalvins.€€He€testifiedÏthat€after€Ms.€Taylor€left€at€about€4€p.m.,€he€telephoned€Spalvins€andÏreiterated€his€dissatisfaction€with€the€settlement€offer€and€toldÏSpalvins€that€the€attorneys€should€"get€.€.€.€[their]€money€and€leave€.€.€.Ï[him]€out€of€it."€€Thompson€further€stated€that€he€informed€SpalvinsÏthat€he€would€not€sign€anything.€€Thompson€testified€as€follows:€ÌÓÓà8 àà8 àQ.€€And€she€left€and€then€around€4:00€you€pickedÏup€the€phone€to€call€Mr.€Spalvins,€correct?ÌÌà8 àà8 àA.€€That's€correct.ÌÌà8 àà8 àQ.€€In€that€telephone€conversation€you€cussedÏhim€out€you€said,€correct?ÌÌà8 àà8 àA.€€Correct.ÌÌà8 àà8 àQ.€€In€that€telephone€conversation€you€told€him,Ï"You€and€David€Creekmore€go€ahead€and€you€getÏyour€all's€money€and€leave€me€out€of€it,"€is€thatÏright?ÌÌà8 àà8 àA.€€That's€right.ÌÌà8 àà8 àQ.€€You€also€told€him€you€were€dissatisfied,Ïcorrect?ÌÌà8 àà8 àA.€€The€last€thing€„„ÌÌà8 àà8 àQ.€€I€just€„„€I'm€sorry.€€Go€ahead.ÌÌà8 àà8 àA.€€To€go€ahead€and€get€their€money€and€leave€theÏrest€up€to€me.€€I€wasn't€going€to€sign€a€damnÏthing€and€hung€up€the€phone€on€him€when€heÏdidn't€need€me.ÌÌà8 àà8 àQ.€€At€any€rate,€Mr.€Thompson,€it€was€during€thisÏtelephone€conversation€that€you€said€for€whatÏhad€been€offered,€I€can't€get€the€bricks€off€myÏhouse€for€that,€correct?ÌÌà8 àà8 àA.€€Correct.ÌÌà8 àà8 àQ.€€And€that€you€were€told€by€Mr.€Spalvins€that,Ïin€effect,€if€you€take€this€case€to€trial€it's€likeÏrolling€the€dice€with€a€jury€and€you€could€comeÏup€snake€eyes,€correct?ÌÌà8 àà8 àA.€€That€is€what€he€was€saying.ÌÌà8 àà8 àQ.€€And€that€offended€you€because€you€are€not€aÏgambling€man,€correct?ÌÌà8 àà8 àA.€€That's€true,€too.ÌÌà8 àà8 àQ.€€You€told€him€don't€be€using€references€likeÏthat€with€me;€I've€never€used€dice€in€my€life,Ícorrect?ÌÌà8 àà8 àA.€€That's€correct.ÌÌà8 àà8 àQ.€€At€any€rate,€you€became€disgusted€and€youÏtold€€Mr.€Spalvins€to€go€ahead€and€do€what€youÏare€going€to€do€but€I'm€not€signing€anything€andÏMr.€Spalvins€said€I'm€your€lawyer,€I'll€sign€it,€I'llÏsettle€it€and€you€said€thank€you€and€hung€up.ÌÌà8 àà8 àA.€€That's€correct.€€He€said€he€didn't€need€me.ÌÌà8 àà8 àQ.€€Right.ÌÌà8 àà8 àA.€€He€said€I€don't€need€you,€so€I'll€sign€it.€€TheÏlast€of€the€conversation€I€said€thank€you€andÏhung€the€phone€up.ÌÌà8 àà8 àQ.€€You€did€not€talk€to€Mr.€Spalvins€anymore€fromÏthat€point€forward€up€until€the€time€he€wasÏdeposed€in€connection€with€this€case;€is€thatÏfair€to€say?ÌÌà8 àà8 àA.€€Never€spoke€to€him€until€we€had€a€depositionÏin€your€office.ÌÌÓÓThompson€further€testified€that€he€did€not€inquire€as€to€whether€theÏunderlying€action€would€still€be€tried€on€Tuesday,€September€21,€andÏthat€he€did€not€attend€court€on€that€day.Ìà àTo€corroborate€his€testimony,€Thompson€introduced€the€testimonyÍof€his€secretary,€Irma€Taylor.€€Ms.€Taylor€testified€that€on€Friday,ÏSeptember€17,€1993,€Thompson€met€with€his€attorneys€in€the€attorneys'Ïoffice.€€She€stated€that€when€Thompson€returned€to€his€office€thatÏafternoon€he€was€very€angry€and€was€upset€because€the€settlementÏoffer€would€not€cover€the€cost€of€repairing€his€home,€and€that€he€statedÏhe€was€not€going€to€settle€the€case.€€Ms.€Taylor€testified€that€later€inÏthe€afternoon,€Thompson€told€her€to€leave€the€office€early€because€heÏplanned€to€use€some€strong€language€when€he€called€Spalvins.€€SheÏfurther€stated€that€while€she€was€present,€Thompson€did€not€leave€hisÏoffice€to€return€to€Spalvins's€office.Ìà àThompson€asserts€that€in€order€to€bind€a€client€to€a€settlementÏagreement,€an€attorney€must€have€unambiguous,€express,€andÏunequivocal€actual€authority€to€settle€a€case.€€He€asserts€that€theÏevidence€in€the€record€preponderates€against€the€trial€court's€findingÏthat€Spalvins€had€such€authority.€€à àSince€the€case€was€tried€by€the€courtÏsitting€without€a€jury,€we€review€the€case€ò òòòde€novoó óóó€upon€the€recordÏwith€a€presumption€of€correctness€of€the€findings€of€fact€by€the€trialÏcourt.€€Unless€the€evidence€preponderates€against€the€findings,€we€mustÍaffirm,€absent€error€of€law.€€T.R.A.P.€13(d).Ìà àThe€trial€judge,€as€the€trier€of€fact,€had€the€opportunity€toÏobserve€the€manner€and€demeanor€of€all€of€the€witnesses€as€theyÏtestified€from€the€witness€stand.€€The€weight,€faith,€and€credit€to€beÏgiven€to€a€witness's€testimony€lies€in€the€first€instance€with€the€trierÏof€fact,€and€the€credibility€accorded€will€be€given€great€weight€by€theÏappellate€court.€€ò òòòTown€of€Alamo€v.€Forcum„James€Co.,€ó óóó205€Tenn.Ï478,€327€S.W.2d€47€(1959);€ò òòòSisk€v.€Valley€Forge€Ins.€Co.,€ó óóó640ÏS.W.2d€844€(Tenn.€App.€1982).€€Any€conflict€in€the€testimony€requiring€aÏdetermination€of€the€credibility€of€the€witnesses€rests€in€the€firstÏinstance€with€the€trial€court,€and€the€credibility€accorded€will€be€givenÏgreat€weight€by€the€appellate€court.€€ò òòòState€ex€rel.€Balsinger€v.ÏTown€of€Madisonvilleó óóó,€222€Tenn.€272,€435€S.W.2d€803€(1968);Ïò òòòHaverlah€v.€Memphis€Aviation,€Inc.ó óóó,€674€S.W.2d€297€(Tenn.€App.Ï1984).Ìà àIt€is€apparent€that€the€trial€court€found€Spalvins's€testimonyÏconcerning€the€September€17,€1993,€afternoon€conference€to€be€moreÏpersuasive€than€the€testimony€of€Thompson.€€The€evidence€does€notÍpreponderate€against€this€finding.€€We€must,€therefore,€determineÏwhether,€according€to€Spalvins's€testimony€regarding€the€conferenceÏand€events€incident€thereto,€Spalvins€had€authority€from€Thompson€toÏagree€to€the€settlement€of€the€case.€€Ìà àThe€general€rule€in€Tennessee€is€that€an€attorney€cannotÏsurrender€substantial€rights€of€a€client,€including€an€agreement€toÏdismiss€the€litigation€€thereby€permanently€barring€a€client€fromÏpursuing€his€claim,€without€the€express€authority€of€the€client.€€ò òòòDavisÏv.€Home€Ins.€Co.ó óóó,€127€Tenn.€330,€337,€155€S.W.€131€(1912);€ò òòòLong€v.ÏKirby„Smithó óóó,€40€Tenn.€App.€446,€292€S.W.2d€216,€222€(1956).Ìà àIn€the€case€at€bar,€it€is€uncontroverted€that€Thompson€wasÏdissatisfied€with€the€offer€of€settlement.€€However,€according€toÏSpalvins's€testimony,€when€he€informed€Thompson€that€he€could€eitherÏaccept€the€offer€or€go€to€trial,€Thompson€replied,€"That's€not€enoughÏmoney,€but€just€get€it€over€with.€€I€can€make€more€money€than€that€byÏworking€on€Monday€and€Tuesday€with€my€equipment€rather€than€being€inÏa€courthouse."€€Spalvins€then€called€Austin€Powder's€attorney€andÏaccepted€the€offer€while€Thompson€was€present.€€Moreover,€SpalvinsÍtestified€that€he€explained€the€mechanics€of€the€settlement€toÏThompson€and€that€when€Thompson€was€leaving€his€office,€his€paralegalÏalso€explained€the€mechanics€of€the€settlement€and€the€probable€timeÏtable€involved.€€Spalvins's€paralegal€testified€that€after€thisÏexplanation,€Thompson€made€no€comment€or€statement€which€indicatedÏthat€he€did€not€agree€with€the€settlement€reached.€€Finally,€Thompson'sÏstatements€to€the€effect€that€he€could€make€more€money€in€hisÏbusiness€than€he€could€being€at€the€courthouse,€in€conjunction€with€theÏfact€that€Thompson€did€not€appear€in€court€on€the€date€the€underlyingÏsuit€was€set€for€trial,€indicate€that€Thompson€did€in€fact€authorizeÏSpalvins€to€settle€the€suit.Ìà àUnder€the€state€of€this€record,€we€cannot€say€that€the€evidenceÏpreponderates€against€the€trial€court's€finding€that€ThompsonÏauthorized€Mr.€Spalvins€to€agree€to€the€settlement€of€his€case.€€Ìà àThompson€also€asserts€that€pursuant€to€T.C.A.€ðð€29„34„101,€anÏattorney€must€have€express,€written€authority€to€settle€a€case,€andÏsince€Spalvins€had€no€such€written€authority,€he€had€no€authority€toÏsettle.€€We€disagree.€€T.C.A.€ðð€29„34„101€(1980)€provides:ÌÓÓà8 àà8 àò ò29„34„101.€€Express€consent€required€forÏsettlements.€„ó ó€In€any€tort€action,€priorÏsettlement€of€damages€made€on€behalf€of€theÏplaintiff€by€another,€in€exchange€for€a€releaseÏexecuted€by€or€on€behalf€of€the€defendant€[sic],Ïshall€constitute€no€bar€to€the€plaintiff's€action,Ïand€proof€by€the€defendant€of€such€settlementÏand€release€shall€be€inadmissible,€unless€it€beÏshown€that€such€settlement€made€on€behalf€ofÏthe€plaintiff€was€with€the€express€consent€ofÏthe€plaintiff€given€in€writing,€after€the€cause€ofÏaction€arose.ÌÌÓÓBy€its€terms,€this€statute€is€applicable€where€a€plaintiff€is€sought€toÏbe€charged€with€a€settlement€made€on€his€or€her€behalf€in€a€suit€inÏwhich€he€or€she€was€a€defendant.€€A€prime€example€is€a€tort€suitÏagainst€an€insured€that€is€handled€by€the€liability€insurance€carrier.€€ItÏis€common€knowledge€that€liability€insurance€companies,€by€the€termsÏof€their€policies,€have€the€authority€to€settle€cases€on€behalf€of€theirÏinsureds,€and€this€statute€prevents€such€a€settlement€from€being€a€barÏto€the€insured's€cause€of€action€against€an€alleged€tortfeasor€unless€itÏis€shown€that€the€insured€expressly€consented€to€the€settlement€inÏwriting.€€This€is€not€the€situation€we€have€in€the€case€at€bar.€€We€do€notÏhave€a€prior€settlement€made€on€behalf€of€anyone€by€a€third€party,€andÍthis€statute€is€simply€not€applicable€to€the€case€before€us.Ìà àThe€judgment€of€the€trial€court€is€affirmed,€the€case€is€remandedÏto€the€trial€court€for€such€other€proceedings€as€may€be€necessary,€andÏcosts€of€the€appeal€are€assessed€against€the€appellant.ÌÓÓà àà àà àà àà àà à____________________________________Ìà àà àà àà àà àà àò òW.€FRANK€CRAWFORD,€Ìà àà àà àà àà àà àPRESIDING€JUDGE,€W.S.Ìó óÌò òCONCUR:ÌÌÌó ó_________________________________Ìò òALAN€E.€HIGHERS,€JUDGEó óÌÌò ò________________________________ÌDAVID€R.€FARMER,€JUDGEÌó ó