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A? /@ ?@ Q@a@a@ i@ @\\IB01S08\KNOXCLERK4,,,,0\y~1 (`$.8dd8    ("  Z6Times New Roman RegularփF1:i+00 C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wpt3|x U   сLevel 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5\  `&Times New Roman } Rd$      1    _TheSupremeCourthasnotedthattheterms intentionalmisrepresentation, fraudulentmisrepresentation  and fraudaresynonymous.ConcreteSpaces,Inc.v.Sender,2S.W.3d901,904(footnote1)(Tenn.1999).(#$  0  *+ (_2623  ..*G+G (_25   /%` ` hp x /23  ../%` ` hp x /   *8+8 (_24  ," hp x ,23  ..," hp x ,  *5+5 (_23 ` ) hp x )23  ..) hp x ) ` *2+2 (_22  &hhp x &23  ..&hhp x &  */+/ (_21  #p x #23  ..#p x #  *,+, (_20 h  p x 23  .. p x h *)+) (_19  pp x 23  ..pp x   *&+& (_18   x 23  .. x   *AA (_17  5+ ` hp x 523  Ԁ5+ ` hp x 5  *GG (_16   /%` ` hp x /23  Ԁ/%` ` hp x /   *88 (_15  ," hp x ,23  Ԁ," hp x ,  *55 (_14 ` ) hp x )23  Ԁ) hp x ) ` *22 (_13  &hhp x &23  Ԁ&hhp x &  *// (_12  #p x #23  Ԁ#p x #  *,, (_11 h  p x 23  Ԁ p x h *)) (_10  pp x 23  Ԁpp x   (&& &_9   x 23  Ԁ x   (AA &_8  5+ ` hp x 523  5+ ` hp x 5  (GG &_7   /%` ` hp x /23  /%` ` hp x /   (88 &_6  ," hp x ,23  ," hp x ,  (55 &_5 ` ) hp x )23  ) hp x ) ` (22 &_4  &hhp x &23  &hhp x &  - -(// &_3  #p x #23  #p x #  (,, &_2 h  p x 23   p x h ()) &_1  pp x 23  pp x   0AA.Normal  5+ ` hp x 55+ ` hp x 5  &&& $_   x 23   x   <AA:Definition T  5+ ` hp x 55+ ` hp x 5  <AA:Definition L , 5+ ` hp x 5  5+ ` hp x 586Definition(hh&H1  5+ ` hp x 5      5+ ` hp x 5  (]]&H2  5+ ` hp x 5  5+ ` hp x 5  (]]&H3  5+ ` hp x 5  5+ ` hp x 5  (]]&H4  5+ ` hp x 5 XXX 5+ ` hp x 5  (]]&H5  5+ ` hp x 5  5+ ` hp x 5  (]]&H6  5+ ` hp x 5  5+ ` hp x 5  2DD0Address  5+ ` hp x 55+ ` hp x 5  8MM6Blockquote , , 5+ ` hp x 5   5+ ` hp x 5,*CITE,dl*CODEKS<6X9`(Courier NewKS\  `&Times New RomanS42Emphasis64Hyperlink    <:FollowedHype    4go2Keyboard KS<6X9`(Courier NewKS\  `&Times New RomanS <:Preformatted  /%  ,Kk %#/KS<6X9`(Courier NewKS\  `&Times New RomanS/%  ,Kk %#/  <:zBottom of 7H(X7    5+ ` hp x 5?T%2A`Arial?  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S\  `&Times New RomanS7Z(X75+ ` hp x 5  G)2dxd0KS.SampleKS<6X9`(Courier NewKS\  `&Times New RomanS0.Strong 8dl6TypewriterKS<6X9`(Courier NewKS\  `&Times New RomanS42Variable: 8HTML MarkupB      2 0CommentB   !"#$%&' 35;AGMSY_11.1.1.1.1.1.1.1.(|G2d$ !.8dd8         0  <6X9`(Courier New%2A`Arial3#37=CIQYag1.a.i.(1)(a)(i)1)a) dUi)(|3Gw$ !.8dd8     VVVV'dxd)!dxdx( $ Figure  1  SDU_5^_X`YE<<CLevel 1Level 2Level 3Level 4Level 5(|3Gw$ !.8dd8     ($$   1  X[Z&OLE 2.0 Box <=8C HKKKKSDU_8SDU_30SDU_6 SearchTermSR;7077 !.8dd8     _  8RXXdd8   j@ dINTHECOURTOFAPPEALSOFTENNESSEE  @WW$ATKNOXVILLE#d#Ԉ &    @ September20,2004Session L XRX #XXR#ALANGARDNER0 @ v.ANESTHESIA&PAINCONSULTANTS,P.C.XRX  J @@ AppealfromtheChanceryCourtforSullivanCounty  J @@No.28472(L)RichardE.Ladd,Chancellor  6 @@*AV) ` dE<` A   @@TTNo.E200303027_COA_ԄR3CVFILEDNOVEMBER30,_2004_   AV) ` dE<|` A }       #XXR#XRXThisappealarisesfromthedecisionofAnesthesia&PainConsultants,P.C.( A&PC)to x  terminatetheemploymentofDr.AlanGardner.AfterA&PCfiredDr.Gardner,hebroughtthis d actionallegingbreachofemploymentcontract,fraudulentandnegligentmisrepresentation, P promissoryestoppel,andpromissoryfraud.ThetrialcourtgrantedA&PCsummaryjudgmentonthe < misrepresentationclaims.AtthecloseofDr.Gardnersproofattrial,thetrialcourtgrantedA&PC (x adirectedverdictonhisclaimsofbreachofcontractandpromissoryestoppel.Thejuryreturneda d verdictinfavorofA&PConthepromissoryfraudclaim.Weaffirmthejudgmentofthetrialcourt P inallrespects. <  Tenn.R.Civ.P.3AppealasofRight;JudgmentoftheChanceryCourtAffirmed;Case  Remanded     SharonG.Lee,J.,deliveredtheopinionofthecourt,inwhichHerschelP.Franks,P.J.and  CharlesD.Susano,Jr.,J.,joined. t RobertL.ArringtonandStevenC.Huret,Kingsport,forAppellantAlanGardner,M.D. L  FrankA.JohnstoneandAndrewT.Wampler,Kingsport,forAppelleeAnesthesiaandPain $"t! Consultants,P.C. #`" 8  OPINION  $8 $  I.FactualBackground  &"&     Atallmaterialtimes,theDefendantAnesthesiaandPainConsultantswasagroupof (#( anesthesiologistspracticingmedicineinthetricitiesareaofEastTennessee.Inthefallof1996, )$) PlaintiffDr.GardnerrespondedtoA&PCsadvertisementseekingtohireananesthesiologist.Dr. l*%* GardnerflewtoKingsportandinterviewedwithDr.JamesCottrell,whowasthenDefendantsVice X+&+ President.Dr.CottrellexplainedthatA&PChadrecentlytakenoveracontracttoprovide D,', anesthesiologiststoIndianPathHospitalinKingsport,andthatA&PCwasseekingsomeoneto 0-(- becometheChiefofAnesthesiologyatIndianPath.Dr.GardnertestifiedthatDr.Cottrelltoldhim  thattherewoulddefinitelybeawrittenemploymentcontractgoverningthetermsofthisposition.    Followingthejobinterview,negotiationscontinuedbetweenPlaintiffandDefendant t (throughDr.Cottrell)aboutemploymentterms.OnNovember25,1996,Dr.CottrellsentDr. ` Gardneraletterstatingthefollowing: L  8  8`   DearAlan,$ t` x` x 8  8`   Asproposedinourconversationoflastevening,weareofferingyou  ` apositionatIndianPathMedicalCenterHospitalinKingsport,TN.  L  Thisofferincludessix(6)monthsprobationaryperiod,attheendof  8  whichbymutualagreementwillautomaticallycontinue(ifneither $  partygivesathirty(30)daywrittennotice)astheresidualofourfirst   yearcontract. ` x` x 8  8`   Wetrulylookforwardtoworkingwithyouandwearefirmly   committedtoalongtermrelationship.Lookingforwardtohearing   fromyousoon.p` x` x ThesixmonthsprobationaryperiodwasapparentlyduetosomeconcernofA&PCsdoctorsraised H byDr.Gardnerslettersofrecommendation.Dr.Gardnertestifiedthat therewassomequestion 4 aboutpeopleskillsandmy,mywillingnesstocompromiseoncertainissues...Attachedand  p includedwiththisletterwasaprintedcontractformstyled EmploymentAgreement[:]Non  \ ShareholderPhysicianwhichstated,amongotherthings,that theEmployeeherebyacceptssuch H employmentuponthetermsandconditionsspecifiedintheAgreementandprovidedtermsonsuch 4 itemsasemployeesduties,professionalstandards,compensation,term,restrictivecovenants,and   thelike.Theemploymentagreement,whichcontainedsignaturelinesattheend,providedunderthe    terminationsectionthateithertheemployeeoremployermayterminateemployment without  cause,uponthirty(30)dayswrittennoticetotheother.    OnDecember18,1996,Dr.CottrellsentDr.Gardnerthefollowingletter: l 8  8`   DearAlan,D!` x` x 8  8`   Itisapleasuretoofferyouemploymentinourpractice.Thegroup 0"  wasimpressedwithyou,yourcredentialsandlettersofreference.If #l! thesearrangementsareacceptabletoyouwewoulddesireyoutostart $X" assoonasconvenient.$D #` x` x 8  8`    Ouroffertoyouisasfollows:&"%` x` x 8  8`       $150,000.00annualfor1997'#&` x` x 8  8`      $170,000.00annualfor1998(#'` x` x 8  8`      $3,000.00CME)$(` x` x 8  8`      $3,000.00relocationexpense|*%)` x` x 8  8`      $1,500.00MedicalandDentalreimbursementh+&*` x` x 8  8`    OtherBenefits:` x` x 8  8`    0 ` x` x0 x xHealthInsurancexx 8  8`      LifeInsurance` x` x 8  8`      MalpracticeInsurancet` x` x 8  8`      PensionPlan`` x` x Anonshareholderphysicianemploymentagreement,nearlyidenticaltothefirst,butwithsome 8  changessuchasa$3,500allowanceforcontinuingmedicalexpensesinsteadoftheoriginal$3,000 $ t allowance,wasincludedwiththeaboveletter.Thisagreementformincludedthesamethirtydays  ` writtennoticeforterminationprovision.  L    OnDecember20,1996,Dr.GardnersentDr.Cottrellahandwrittenletterthatbeganby $  stating, Asyourequested,IwritetospecifythemodificationsIwouldpreferinmyproposed   EmploymentAgreementwithyourgroup.Dr.Gardnersletterspecifiedsomesevenrequested   amendmentstotheagreement,andrequestedclarificationofothertermsofemploymentaboutwhich   hewasapparentlyunsure.Thisletterincludedthefollowingproposedamendments:   8  8`   3.Amend81and82toprovideforaprogressiveincreasetosix \ monthsnoticerequirementforterminationbyeitherpartywithout H causeoverthefirstsixmonthsofemployment!onemonthnotice 4 afteronemonthemployment,twomonthsaftertwomonths  p employment...andsixmonthsnoticeaftersixmonthsemployment. \` x` x 8  8`    Furtheramend82toprovideforemploymentatanother 4 Groupworksite,shouldthecontractbetweenIPH[IndianPath   Hospital]andA[&]PCterminate. ` x` x 8  8`      *0h` x` x0hxhx*0xx0pxx*pxpx 8  8`   Pleaseincludeaclauseatleastanticipating,withoutcommitting,that l IambeinghiredultimatelytobeChiefofAnesthesiologyatIndian X  Pathaftersixmonths;andmemorializingourdiscussionsthatIwould D! receiveatleasta$20,000.00payincreaseplusanextrashareof 0"  profitsharingoverandabovewhatIwouldreceiveasastaff #l! anesthesiologist.$X"` x` x 8  8`   Wealsoneedtodiscussthediscrepancyaboutpensionparticipation %0!$ youhavediscussedwithmeversuswhatyouraccountantsaysis &"% allowableunderthetermsofyourplan!thisisasignificantproblem '#& asitrepresentssome$45,000.00ofcompensationoverthenext1 (#' years.)$(` x` x Ѐ(Emphasisinoriginal). h+&* Ї  OnJanuary2,1997,Dr.GardnerreceivedaletterfromA&PCspresident,Dr.AlanH.Pugh,  whichstatedasfollows:  8  8`   DearDr.Gardner:t` x` x 8  8`   Thankyouforyourresponsetoouremploymentoffer.However,I ` regrettoinformyouthatthecorporationwillnotbeabletograntyour L  requestedchangestothecontract.Imusttemporarilysuspendour 8  offerpendingafinalrecommendationfromtheBoard.$ t` x` x 8  8`   Ifyouhaveotheropportunities,pleasefeelfreetopursuethem. `` x` x Dr.GardnergotonthetelephonetoDr.Cottrellimmediatelyafterreceivingtheaboveletter,andhe  8  receivedanotherletter,datedthefollowingday,January3,1997,stating: $  8  8`   DearDr.Gardner: ` x` x 8  8`   Perourconversationofyesterdayevening,weanticipateyouworking   MondayJanuary6,1997pendingoutcomeofcontractnegotiations.   Wewillreimburseyouasperthecontractforwardandprovide p malpracticeinsurance.\` x` x Dr.GardnerdidbeginworkonJanuary6,1997,andastheaboveletteranticipated,negotiationsdid 4 continueonanemploymentagreementbetweentheparties.ThenextletterfromDr.CottrelltoDr.  p Gardner,datedJanuary13,1997,statedasfollows:  \ 8  8`   DearAlan,4` x` x 8  8`    ` x` x 8  8`   Aspertheaccompanyingletterthegroupistryingtocomeupwitha   faircommonlanguagecontractforallouremployedphysicians,we  feelthiscontractgivesusastart.` x` x 8  8`    AsperyourmemoofDecember20,1996item` x` x 8  8`     ` x` x 8  8`    1.Wewillagreetothatchange.X ` x` x 8  8`   8 ` x` x2.Wewillagreetopaytail[malpracticeinsurance D! coverage]ifyouleaveatourrequest,withoutcause.0"    8  8`    3.8.1Wewillagreeto30daysmutualnoticeforfirst6 #l! months,90daysthereafter.$X"` x` x 8  8`    8.2Thegroupwouldcertainlyattemptthisbutcouldgive $D # noguarantee.%0!$` x` x 8  8`    [4].SeverancepayisdefinitelynotanoptionandIhavenever &"% seenorheardofitinaprivatecontract.'#&` x` x 8  8`    ` x` x 8  8`   Aspreviouslydiscussedyourtargetincomeforthefirstyearis )$(  150,000withperdiemscalculatedtoreflectthatifyouworkafair |*%) shareoftheschedule,ifyouworkmoreyoumakemore;workless  andmakeless...` x` x  8  8`   Thesecondyeartargetincomeis170,000.` x` x 8  8`   TheJr.Partneryearwillbe178,500orpercentofnetbasedupon t shiftsworked.`` x` x 8  8`   ThepensionplandocumentsarefiledandhavereceivedIRS L  approval.WithaJanuary1stemploymentdate(Wewilldatethe 8  agreementJanuary1,1997)Ifeelweareinagreement.$ t` x` x 8  8`   IfyouarechosenwhichwehopewilloccurastheMedicalDirector  ` atIndianPath,ajointhospitalandA&PCappointment,thenthese  L  addendumstoyourcontractwilloccur. 8 ` x` x 8  8`    1.1,500permonthstipend.$ ` x` x 8  8`    2.AshareofnetIndianPathincomeatleast100%greater   thananyotherphysicianpracticingatIndianPath. ` x` x 8  8`    ` x` x     8  Dr.GardnercontinuedworkingasananesthesiologistatIndianPath8@  Hospitalfor    =severalmonths;A&PCpaidhimonaperdiembasis.OnMarch27,1997, p A&PC,throughDr.Pugh,sentDr.Gardnerthefollowingterminationletter: \ 8  8`   DearDr.Gardner:4` x` x 8  8`    ` x` x   8  8`   AnesthesiaandPainConsultants,P.C.,herebygivesnoticethatyour  \ employmentwillbeterminatedasofApril27,1997.Aswehave H discussed,youwillbepaidyournormalperdiemrateforthedays 4 youwerescheduledforthemonthofApril.Wewillnotrequireyour   servicesaftertoday,March28,1997.Thankyouforyourtimeof   servicewithus.8h` x` x8hphp @  >8  8`    ` x` x Dr.CottrelltestifiedasfollowsregardingthedecisiontoterminateDr.Gardnersemployment:    8  8`   [T]hegroupwasgrowingincreasinglyconcernedaboutthe,these X  issuesthathadbeenbroughtforth.Dr.IanDarling,oneofthe D! partnersinthegroup,wentupto,tospendsometimeatIndianPath 0"  toactuallyobservetheinteractionsandobserveDr.Gardners #l! behaviorandfunctioningintheoperatingroom.$X"` x` x A8  8`    ` x` x 8  8`   Q:WasadecisionmadeconcerningDr.Gardnerscontinued %0!$ employ!continuedassociationwithA&PC?&"%` x` x 8  8`    ` x` x 8  8`   A:Yes,butourhandwaskindof,wasstimulatedaswell.(#'` x` x 8  8`    ` x` x 8  8`   Q:Okay.Wouldyoupleasetellthejurywhatyoumean?|*%)` x` x 8  8`   h+&*` x` x   8  8`   A:TheAdministratoratIndianPathcalledandsaidthathewasso  concernedaboutthefunctioningofDr.Gardnerintheoperatingroom  thathe,perouragreement,thathecouldaskustoremoveaphysician  frompracticinginhisoperatingroom,wasexercisingthatoptionand t nolongerwantedDr.Gardnerto,toworkinhisoperatingrooms.It ` wasbecomingtoodisruptive.L ` x` x hF8  8`    ` x` x     Dr.GardnerfiledtheinstantactiononSeptember24,1997.Hisinitialcomplaintalleged $ t breachofanemploymentcontract.Helateramendedthecomplainttwicetoincludeclaimsof  ` fraudulentmisrepresentation,negligentmisrepresentation,promissoryestoppel,andpromissory  L  fraud.Thetrialcourt,aftertwicedenyingA&PCsmotionforsummaryjudgment,granteditsthird  8  motionforsummaryjudgmentonDr.Gardnersmisrepresentationclaims.Thecaseproceededto $  jurytrial,andatthecloseofPlaintiffsproof,thecourtgrantedadirectedverdictinA&PCsfavor   onallotherclaimsexceptforpromissoryfraud.ThejuryreturnedaverdictinfavorofA&PCon   thepromissoryfraudclaim.   H  II.IssuesPresented p  iL  0  Dr.Gardnerappeals,raisingthefollowingissuesforourreview:@(#(#   1.DidthetrialcourterringrantingA&PCsummaryjudgmentonhisclaimsoffraudulent h andnegligentmisrepresentation? T   2.DidthetrialcourterringrantingadirectedverdictinA&PCsfavoronthebreachof , contractandpromissoryestoppelclaims?  0  3.IstherematerialevidencesupportingthejuryverdictforA&PConthepromissory(#(# fraudclaim?  L  III.SummaryJudgment:FraudulentandNegligentMisrepresentation d  SO    WefirstaddressDr.Gardnerscontentionthatthetrialcourterredingrantingsummary 4! judgmenttoA&PConhismisrepresentationclaims.Ourstandardofreviewregardingsummary  "p  judgmentiswellsettled.X XXXRAmotionforsummaryjudgmentshouldbegrantedwhenthemovant  #\! demonstratesthattherearenogenuineissuesofmaterialfactandthatthemovingpartyisentitled #H" toajudgmentasamatteroflaw.Tenn.R.Civ.P.56.04.Thepartymovingforsummaryjudgment $4 # bearstheburdenofdemonstratingthatnogenuineissueofmaterialfactexists.#XRX XXP#X XXXRBainv.Wells,#XRX XXR#X XXXRԀ936 % !$ S.W.2d618,622(Tenn.1997).Onamotionforsummaryjudgment,thecourtmusttakethestrongest & "% legitimateviewoftheevidenceinfavorofthenonmovingparty,allowallreasonableinferencesin '"& favorofthatparty,anddiscardallcountervailingevidence.#XRX XX S#X XXXRId.#XRX XXT#X XXXRԀIn#XRX XXT#X XXXRByrdv.Hall,#XRX XX&U#X XXXRԀ847S.W.2d208 (#' (Tenn.1993),ourSupremeCourtstated:% b #XRX XXxU#%bUX XXXR )$( O2 ?+ ` hp x X?  `   0  0` xx  2gV   Onceitisshownbythemovingpartythatthereisnogenuineissue X+&*  j      ofmaterialfact,thenonmovingpartymustthendemonstrate,by  affidavitsordiscoverymaterials,thatthereisagenuine,materialfact  disputetowarrantatrial....Inthisregard,Rule56.05[nowRule  56.06]providesthatthenonmovingpartycannotsimplyrelyuponhis t pleadingsbutmustsetforth#XRX XX#V#X XXXRspecificfacts#XRX XXY#X XXXRԀshowingthatthereisa ` genuineissueofmaterialfactfortrial. L  #XRX XXY#X XXXR2gVW݌ ` x` x Ќ XX   ` VV2 ?+ ` hp x X?  23[  Id.#XRX XXZ#X XXXRԀat211(citationsomitted)(emphasisinoriginal). $ t 23[[݌̌ XX       Summaryjudgmentisonlyappropriatewhenthefactsandthelegalconclusionsdrawnfrom  L  thefactsreasonablypermitonlyoneconclusion.#XRX XX[#X XXXRCarvellv.Bottoms,#XRX XXw]#X XXXRԀ900S.W.2d23,26(Tenn.1995).  8  Sinceonlyquestionsoflawareinvolved,thereisnopresumptionofcorrectnessregardingatrial $  court'sgrantofsummaryjudgment.#XRX XX]#X XXXRBain,#XRX XX^#X XXXRԀ936S.W.2dat622.Therefore,ourreviewofthetrial   court'sgrantofsummaryjudgmentis#XRX XX,_#X XXXRdenovo#XRX XX_#X XXXRԀontherecordbeforethiscourt.#XRX XX-`#X XXXRWarrenv.Estateof   Kirk,#XRX XX`#X XXXRԀ954S.W.2d722,723(Tenn.1997).   \   #XRX XXa#  TheSupremeCourthasstatedtheelementsofaclaimofintentionalorfraudulent p misrepresentation #  1      ׀asfollows: \ X XXXR8  8`   Whenapartyintentionallymisrepresentsamaterialfactorproduces 4 afalseimpressioninordertomisleadanotherortoobtainanundue  p advantageoverhim,thereisapositivefraud.Therepresentationmust  \ havebeenmadewithknowledgeofitsfalsityandwithafraudulent H intent.Therepresentationmusthavebeentoanexistingfactwhich 4 ismaterialandtheplaintiffmusthavereasonablyrelieduponthat   representationtohisinjury. ` x` x kaFirstNat.BankofLouisvillev.BrooksFarms,821S.W.2d925,927(Tenn.1991)#XRX XXb#.  Dr.Gardnersallegationsofmisrepresentationarestatedinhisamendedcomplaintasfollows: l   8  8`   [Dr.Gardner]wasexpresslytoldbyanauthorizedrepresentativeof D! theDefendantthatthePlaintiffandDefendantwoulddocumentthe 0"  employmentarrangementwithawrittencontractprovidingforatwo #l! yearemploymenttermwiththecompensationandfringebenefitsas $X" outlinedintheDefendantsletterdatedJanuary13,1997.Those $D # representationsinducedPlaintifftomovetoKingsportandstartwork %0!$ fortheDefendantinadvanceofexecutingawrittencontract.Plaintiff &"%  aversDefendantwasguiltyofmisrepresentationanddeceitin '#& promisingPlaintiffatwoyearcontractasaninducementforPlaintiff  tomovetoKingsportandstartwork.` x` x  If8   `     h             AtthetimeitconsideredA&PCsmotionforsummaryjudgment,twoaffidavitsofDr. t Gardnerhadbeenfiledwiththecourt.Neitherofthemcontainsanallegationoffraudor ` misrepresentation.TheonlyevidencebeforethetrialcourtsupportingDr.Gardners L  misrepresentationclaimswasatwopageexcerptfromhispretrialdiscoverydeposition,inwhich 8  hetestified: $ t `j  8  8`   [T]hewholegistofhis[Dr.Cottrells]conversationwas, Thiswill  L  onlybeafourdayperiod,whereyouareanatwillemployee,and  8  thatafterthismeeting, wewillbeabletohammeroutthefinal $  detailsofyourcontract. ` x` x 8  8`    ` x` x 8  8`   Q:Whatdidhesayaboutpayment? ` x` x 8  8`    ` x` x 8  8`   A:Essentially,hesaid, YoucomeandstartonMonday,becausewe p havescheduledyoutoworkonMonday,andjustassumethatthis \ letterofthe[December]18thiswhatweareofferingyou.H` x` x 8  8`    *0` x` x0hxx0hxhx*  0xx0pxx0pxpx* pxx 8  8`   A:...[_E]ssentially_Ԁhe[Dr.Cottrell]said, Youtrustthisletter.This H ishowwearegoingtopayyou.Wewillworkoutthelanguagewhen 4 yougethere,andIthinkliterally,Ithinkwewillhaveitworkedout   bythisThursdaymeetingandthenwewillmeetafterthisThursday   meetingandseeifwecancometothefinalwording.` x` x el    Anessentialelementofthetortoffraudisthatthedefendantsmisrepresentationrelatesto  anexisting(present)orpastfact.X XXXRFirstNat.BankofLouisvillev.BrooksFarms,821S.W.2d925, l 927(Tenn.1991)#XRX XXs#;Stacksv.Saunders,812S.W.2d587,592(Tenn.App.1990).ConstruingDr. X  Gardnerstestimonyinthemostfavorablelight,forsummaryjudgmentpurposes,thereisstillno D! evidencethatA&PCmadeanymisrepresentationsofanexistingfact. 0"  r    Althoughintentionalmisrepresentationandnegligentmisrepresentationareobviouslynot $X" identicalclaims,ouranalysisoftheminthepresentcaseissimilar.Tennesseehasadoptedthe $D # Restatement(2d)ofTorts552asthe guidingprincipleinnegligentmisrepresentationactions %0!$ againstotherprofessionalsandbusinesspersons.Robinsonv.Omer,952S.W.2d423,427 &"% (Tenn.1997).TheRobinsoncourtstatedinpertinentpartasfollows:0  S ([#'# SS^(# ([#^(#& (# (# su Q !"#$%&'(03U?+ ` hp x X?  8  8`   X XXXRIndiscussingtherequirementsforrecoveryunderSection552,this )$' Courthasstatedthatliabilityintortwillresult,despitethelackof *%( contractualprivitybetweentheplaintiffanddefendant,when, u+&) (1)thedefendantisactinginthecourseofhisbusiness,profession,  oremployment,orinatransactioninwhichhehasapecuniary(as  opposedtogratuitous)interest;and  (2)thedefendantsuppliesfaultyinformation#XRX XXy#X XXXRmeanttoguideothers t intheirbusinesstransactions;#XRX XXy{#X XXXRԀand ` (3)thedefendantfailstoexercisereasonablecareinobtainingor L  communicatingtheinformation;and 8  (4)theplaintiffjustifiablyreliesupontheinformation. $ t #XRX XX|# ` x` x x SX XXXRRobinson,952S.W.2dat427(Emphasisinoriginal). O       Similarlytointentionalmisrepresentationclaims,ourcourtshaveuniformlyrequiredthata 'w  negligentmisrepresentationclaim mustconsistofastatementofamaterialpastorpresentfact. c  McElroyv.BoiseCascadeCorp.,632S.W.2d127,130(Tenn.App.1982).Thetortofnegligent O  misrepresentationcannotbebasedonconjecture,statementsofopinion,puffingandsalestalk,or ;  representationsoffutureevents.Cumminsv.OprylandProductions,2001WL219696at*8,2001 ' Tenn.App.LEXIS139,C/ANo.M199800934COAR3CV(Tenn.App.M.S.filedMar.7,2001).  Dr.GardnercitesandreliesonCumminsasprecedentforhisposition,buttheCumminscourtfound  representationsconcerning existingagreementswhich _involve[d_]apresentorpastfact,2001  WLat*9,andtherearenosuchexistingfactshere.    ThecaseofHenleyv._Labat_ԄAnderson,Inc.,1991WL120403,1991Tenn.App.LEXIS522, _ C/ANo.03A019104CV126(Tenn.App._E.S._ԀfiledJuly9,1991)is,inouropinion,acasecloser K tothepresentone.InHenley,theplaintiffwasgivenassurancesbyhisemployer: youhaveajob 7 and,inwrittencorrespondence, weexpecttohavejobsforalloftheincumbentemployeesand #s stating intentionsofhiringyouasoneofthoseemployeeswhohavecontributedtothesuccessof _ [defendant]_OSTI_.Id.at*12(emphasisinoriginal).TheHenleyplaintiffsuedforfraudulentand K negligentmisrepresentationafterhesubsequentlyreceivedaletterdecliningtomakehimajoboffer. 7 Id.TheHenleycourt,findingnoevidenceofamisrepresentationofanexistingorpastmaterialfact, # stated, [_a]lthough_Ԁanactionfornegligentmisrepresentationreplacesthe_scienter_Ԁrequirementin  fraudulentmisrepresentationwithalessstringentreasonablecarestandard,themisrepresentation   stillmustconsistofastatementofamaterialpastorpresentfact.Id.at*2. !   Aswehavealreadynoted,inthiscasethereisnoevidenceofafalserepresentationregarding o#! anexistingfact.Theallegedmisrepresentations,whichweacceptastrueunderoursummary [$" judgmentstandard,involvestatementsofconjectureandfutureintentions.Theseallegationssupport G% # aclaimforpromissoryfraud,atheorythetrialcourtallowedDr.Gardnertopursuetoajuryverdict. 3&!$ WefindnoerrorinthetrialcourtsdecisiongrantingsummaryjudgmenttoA&PConthe 'o"% misrepresentationclaims.  ([#&  + '* }   IV.DirectedVerdict:BreachofContract     AtthecloseofDr.Garnersproof,thetrialcourtgrantedA&PCadirectedverdictonhis  claimofbreachofcontract. SInrulingonamotionfordirectedverdict,trialcourtsmusttakethe p strongestlegitimateviewoftheevidenceinfavorofthenonmovingparty,construingallevidence \ inthatparty'sfavoranddisregardingallcountervailingevidence.#XRX XX}#X XXXRGastonv.TennesseeFarmersMut. H  Ins.Co.,120S.W.3d815,819(Tenn.2003);#XRX XXP#X XXXREatonv._McLain_,#XRX XX#X XXXRԀ891S.W.2d587,590% c #XRX XXm#%cX XXXR(Tenn.1994). 4  Acourtmaygrantthemotiononlyifreasonablemindscouldreachonlyoneconclusionfromthe  p evidence.#XRX XX#X XXXRId.#XRX XXŏ#X XXXRԀAppellatecourtsapplythesamestandardinreviewingthetrialcourt'sdecisionona  \ directedverdict.#XRX XX #X XXXRSaulsv.Evans,#XRX XXϐ#X XXXRԀ635S.W.2d377,379(Tenn.1982).#XRX XX##X XXXR  H  #XRX XX#  Dr.Gardnersbreachofcontractclaimisbasedonhisassertionthatthepartiesreachedan v  agreementthathewouldbeemployedforatwoyearterm,andthereforeA&PCbreachedthealleged b  contractbygivinghimthirtydaysnoticebeforeterminatinghisemployment.Wenoteattheoutset N  thatalthoughA&PCsentDr.Gardneracontractformheaded EmploymentAgreementNon :  ShareholderPhysicianonatleastthreeseparateoccasionsoverthecourseofnegotiations,neither &v partyeversignedanywrittenemploymentagreement.X XXXR b    ` ThecourtintheCumminscase,supra,setforththebasicaspectsofcontractlaw  applicabletothiscaseasfollows: | 8  8`   S^ #XRX XXh#?+ ` hp x X?X XXXRAcontractmaybeexpressedorimplied,writtenororal,but,tobe ^ % \ #XRX XX#%\mX XXXRenforceable,itmust,amongotherelements,resultfromamutual J assenttoitsterms,bepredicateduponsufficientconsideration,and 6 besufficientlydefiniteforitstermstobeenforced.#XRX XX#X XXXRJohnsonv. " Central_Nat'l_ԀIns.Co.,#XRX XXٗ#X XXXRԀ210Tenn.24,3435,356_S.W_Ԁ.2d277,281  (1962);#XRX XXt#X XXXR_Jamestowne_ԀonSignal,Inc.v.FirstFed._Sav_.&Loan_Ass'n_,#XRX XX!#X XXXR  807S.W.2d559,564(Tenn.Ct.App.1990).Withrespecttooral  contracts,thecourtin#XRX XX#X XXXR_Jamestowne_,#XRX XXƚ#X XXXRԀ807S.W.2dat564,alsocitedthe  RestatementSecondofContracts#XRX XX6#X XXXR#XRX XXϛ#X XXXR33forthepropositionthat n  [_e]ven_Ԁthoughamanifestationofintentionisintendedtobe Z! understoodasanoffer,itcannotbeacceptedsoastoformacontract F" unlessthetermsofthecontractarereasonablycertain.Thetermsof 2# acontractarereasonablycertainiftheyprovideabasisfor $n  determiningtheexistenceofabreachandforgivinganappropriate  %Z ! remedy.Thefactthatoneormoretermsofaproposedbargainareleft %F!" openmayshowthatamanifestationofintentionisnotintendedtobe &2"# understoodasanofferorasanacceptance.Further,thebasicrulesof '#$ contractformationinTennesseearewellestablished:Anacceptance, ( $% tobeeffectual,mustbeidenticalwiththeofferandunconditional. )$& Whereapersonofferstodoadefinitething,andanotheraccepts *%' conditionallyorintroducesanewtermintotheacceptance,hisanswer ~+&( iseitheramereexpressionofwillingnesstotreat,oritisacounter  proposal,andinneithercaseisthereanagreement....% d #XRX XX#%d@X XXXR  Inorderthattheremaybeameetingofthemindswhichisessential  totheformationofacontract,theacceptanceoftheoffermustbe t substantiallyasmade.Theremustbenovariancebetweenthe ` acceptanceandtheoffer.Accordinglyaproposaltoaccept,oran L  acceptance,upontermsvaryingfromthoseoffered,isarejectionof 8  theofferandputsanendtothenegotiationunlessthepartywhomade $ t theoriginalofferrenewsit,orassentstothemodificationssuggested.  ` #XRX XX#X XXXRCantonCottonMillsv.BowmanOverallCo.,#XRX XXG#X XXXRԀ149Tenn.18,31,257  L  S.W.398,402(1924)(citationsomitted).Therefore,itispossiblethat  8  partiescanmakeanoralagreementtobindthemselvestoprepareand $  executeafinalwrittencontract,buttheoralagreementmustinclude   allessentialtermstobeincorporatedinthefinaldocument.#XRX XX#X XXXR ` x` x 8  8`   _Engenius_ԀEntertainment,Inc.v._Herenton_,#XRX XXt#X XXXRԀ971S.W.2d12,17(Tenn. ;  Ct.App.1997).Additionally,[_t]hat_Ԁdocumentisunderstoodtobea ' merememorialoftheagreementalreadyreached.Ifthedocumentor  contractthatthepartiesagreetomakeistocontain#XRX XXa#X XXXRanymaterialterm#XRX XX٨#X XXXR  thatisnotalreadyagreedon,nocontracthasyetbeenmade;theso  called"contracttomakeacontract"isnotacontractatall.` x` x QCummins,2001WL219696at*2. U #XRX XX/#X XXXR  Dr.Gardnersfirstaffidavitoffersthefollowingtestimonyabouttheallegedcontractof  employment: o 8  8`   Thetermsoftheoffer(s)andacceptance(s)[and]thecounteroffer(s) = andtheiracceptance(s)whichtogetherresultedinthecontractIsued ) theDefendantforbreachingarefoundinmultipleconversationsIhad   withrepresentativesoftheDefendant,inwritingsexchanged(below ! identified)bytheparties,andarefoundintheactionsoftheparties " inresponsetotheconversationsandwritings.#` x` x Theaffidavitthenlistssevenpiecesofcorrespondence,fiveofwhichhavebeenincludedinSection &W!! Iofthisopinionabove,as writingsreliedonbytheAffiantasthesourceofthecontractterms. &C"" +#XRX XX#X XXXR  Dr.Gardnersequallyilluminatingsecondaffidavitstatesthefollowing: 2(##   8  8`   OntheeveningofJanuary2,1997,Ihadaphoneconversationwith q)$$ Dr.Cottrell.Duringthatconversationitwasimplicitlyorexplicitly ]*%% recognizedallthetermsofanemploymentcontracthadnotbeen I+&& negotiated.IndeedbyletterthatdateIwasadvisedbyDr.Pugh I  musttemporarilysuspendourofferpendingafinalrecommendation  fromtheBoard.` x` x 8  8`    *0` x` x0hxx*0hxhx0xx* Vxx 8  8`   IrecognizedtherewasariskifIcommencedworkingforA&PC,   withouthavingnegotiatedalltheimportanttometermsofan p  employmentcontract,thatImightbeunsuccessfulinprocuringa \  satisfactorycontract.Ialsorecognizedthatuntiltheterm(duration) H  ofmyemploymenthadbeenagreedtoIwasanatwillemployee.4 ` x` x 8  8`   ButbecauseofthenegotiationsthatprecededJanuary3,1997,and s  thereforepriortothephoneconversationdescribedinparagraph1 _  above,andaftertheconversationthatevening,IconcludedA&PC K  wasnegotiatingingoodfaithandwasgenuinelyinterestedinatleast 7 atwo(2)yeartermemploymentrelationship.IviewedDr.Cottrells #s lettertomedatedDecember18,1996,tohaveunequivocallyoffered _ that.K` x` x 8  8`      *0h` x` x0hxhx*0xx0pxx*ypxpx 8  8`   Contracttermssufficientlyimportanttometohavecausedmetobe G unwillingtorelocatetotheTriCities,ifnotofferedbyA&PC,were 3 thosecontainedinDr.CottrellsDecember18,1996,letter.Letteris  definedtoexcludethepreprintedcontractenclosurethat   accompaniedit.Iviewedthetermsofthatformastalkingpointsand  negotiable.(Emphasisadded).` x` x #XRX XX#AX XXXR   ЀDr.Gardnerstestimonyattrialabouttheallegedcontractisnearlyasobfuscatedasthe ! affidavittestimonyabove.Butwhatisclearisthathisefforttoprovetheexistenceofanemployment " contracthasconsistedoflatchingontoeverypieceofcorrespondencethatremotelysuggeststhe # conceptofatwoyearemploymentterm,allegingthatthepartiesreached ameetingoftheminds $ asregardsthatterm,andrecognizingthatmosteveryothertermwasstillbeingnegotiated.Thisis n%  clearlyshownbytheitalicizedportionoftheaffidavitabovedefining letterasthecoverletteronly, Z&!! anddisregardingtheattachedandincludedtwelvepagecontractformsentbyDr.Cottrellon F'"" December18,1996. 2(## =    BasedonDr.Gardnerstestimony,andthecorrespondencebetweenthepartiesincludedin *&% therecordandreproducedinSectionIabove,weareoftheopinionthatthetrialcourtwascorrect +&& indeterminingthat,takingthestrongestlegitimateviewoftheevidenceinDr.Gardnersfavor,#XRX XX#X XXXR  reasonablemindscouldonlyreachtheconclusionthattherewasnocontractualagreementbetween  thepartiesforatwoyeartermofemployment.ThecorrespondencefromA&PCwasunequivocal  ineitherincludingathirtydayterminationterminanyoffer,orstatingthatnegotiationswould t continue.ThetrialcourtdidnoterringrantingA&PCadirectedverdictonthecontractclaim.  `   V.JuryVerdict:PromissoryFraud   e   ThejuryreturnedaverdictinfavorofA&PConDr.Gardnersclaimofpromissoryfraud.   Thestandardofappellatereviewwhenreviewingajuryverdictapprovedbyatrialcourtiswhether {  thereisany% g #XRX XXx#%gX XXXRmaterialevidencetosupporttheverdict.Tenn.R.App.P.,Rule13(d);% h #XRX XX$#%hX XXXRԀBarnesv. g  GoodyearTireandRubberCo.,48S.W.3d698,704(Tenn.2000).Dr.Gardnerarguesonappealthat S  thereisnomaterialevidencesupportingthejuryverdict.Wedisagree. ?    Toproveaclaimbasedonpromissoryfraudtheclaimantmustshowthatthealleged   misrepresentationembodies apromiseoffutureactionwithoutthepresentintentiontocarryoutthe  promise.Stacksv.Saunders,812S.W.2d587,592(Tenn.App.1990).Wefindamplematerial  evidenceintherecordsupportingtheconclusionthatDr.Cottrelldidnothavetheintentionnotto  carryoutanypromiseshemayhavemade,ifindeedhemadeany.SuchevidenceincludesDr. m Cottrellsowntestimonytopreciselythateffect.ThejurywasatlibertytobelieveDr.Cottrellon Y thispoint,andapparentlyitdid.WeaffirmthejuryverdictinA&PCsfavor. E   #XRX XX#X XXXR VI.Conclusion      Fortheaforementionedreasons,thejudgmentofthetrialcourtisaffirmedinitsentirety. 9 CostsonappealareassessedtotheAppellant,Dr.AlanGardner,forwhichexecutionmayissue,if % u necessary. !a #XRX XXK#__   `     h     ___________________________________ <#    `     h     SHARONG.LEE,JUDGE  {$    `  #XXR%#