’WPC –€–³²’O‰§ØNŃ)5+VR”›ć„†v»ü%_ÜÖż?•KĪ<9(‰C4·ŒÆ]ó©µNĢ}˜za_¶ ŒØŚmõšj­Åh Ńe$ʛį ŠØńPu- ćŽeńģ¤WŹö\@ŒĻŹöĆHv4^b¤³æ_lśņY­£W}ˆå²ŪJéo.@ß+w;£˜øćZęōĢx.į$/D ęo25œqB-ŌĆH|(øšQpżč³-²y‹±^ŅbĶ:.F©Ō‰āĄA¶+øéĀPŠIč ~5u©^£ć[-”jŽz¬ų’Róśś µ’äƒŹcÜ —æH•ųŽĻÓč_ÅHB4hƒ2*ie·éGµK”)æėŽ”¼–Ę€ źżtĢeµ±‹/™’æi­„Žö»)ĮčyįūB­!ž,¤:›€^Ÿq¤’‰ŽźAvßøćIņ{ż¦Q5Óį$õīwīEŁĪ>„¶LUūŃō„Ž“ŗdąYW4Ć”Qr®×€Ž×bpXćžśķ²„-Ņ˜ŚV‹čo0ī­č<ŅQ‘A}eé@¦ˆ/)y ķ ž÷/†łDŽNĖfX÷­IMēkĄę7¶Ģļ7‚tAž š$ŲXQb %\^ b 0ˆnUNöwD4H\ zkŅå· m¹ #ĮŠ ‘ ʙ Ę_ Ę% Ęė űNv 0DxUN¼E                        b                                     0ė B’’ 0¤ D3Ą D-ó 0K   ASkĘ¾ 0¤„ 0D( A«l»u”^+ā (`£Ŗ$””Ń€.ŃŃ8€½­»»d»»d8ŃŃ ż ŃÓ  Ó(ķ€"  Z6Times New Roman RegularņK+¢Ų+003|x ˜C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wpt’U‹’ĄĄĄ˜HP LaserJet 8000 Series PSŲŚŲŚŚŲŲŚ0 Level 1Level 2Level 3Level 4Level 5‚Level 1Level 2Level 3Level 4Level 5„Level 1Level 2Level 3Level 4Level 5…Level 1Level 2Level 3Level 4Level 5 »Ż ƒRó$ŻÓ  Óą  ąņņŚ  Ś1Ś  ŚóóŌ€ōŖŃ ņ»»ŌŻ  ŻŌ_ŌŌ_ŌT.C.A.Ō_Ō€šš€27„1„122€provides€as€follows:Š ° ŠĢą  ąą8 ` ąWhen€it€appears€to€any€reviewing€court€that€the€appeal€from€any€court€of€record€wasŠ 8ˆ Šfrivolous€or€taken€solely€for€delay,€the€court€may,€either€upon€motion€of€a€party€orŠ üL Šof€its€own€motion,€award€just€damages€against€the€appellant,€which€may€include,€butŠ Ą Šneed€not€be€limited€to,€costs,€interest€on€the€judgment,€and€expenses€incurred€by€theŠ „Ō Šappellee€as€a€result€of€the€appeal.(#Ć$ņņŚ  Ś0Ś  Śóó(ĘśI Z‹6Times New Roman Regular- ł-(|G2ó$¤¤Ż ƒ£Ŗ!ŻŃ€.ŃŃ8€ ü»»d d 8ŃŃ ż ŃÓ  ÓŻ  Żą  ąņņŚ  Ś0Ś  ŚóóŌ€ōh°ņ»»Ō d(|3Åü$££Ż ƒ£Ŗ!ŻŃ€.ŃŃ8€ ü»»d d 8ŃŃ ż ŃÓ  ÓŻ  ŻVVVV'’’dxd)!ČČČČdxdx( ±ž$’’ņ ņFigure€Ś  Ś1Ś  Śó ó^_X`YEž’<<C’’ƒLevel 1Level 2Level 3Level 4Level 5(|3Åü$¢¢Ż ƒ£Ŗ!ŻŃ€.ŃŃ8€ ü»»d d 8ŃŃ ż ŃÓ  ÓŻ  Ż($$””ņ ņŚ  Ś1Ś  Śó óX[Z&OLE 2.0 Box <=8’’’’’’’’’’C’’ HKKKKŻ ƒ£Ŗ!ŻŃ€.ŃŃ8€ »»d dČ8ŃŃ ż ŃÓ  ÓŻ  ŻŌ_ŌŃ  ŃŌ€¼ I»»»ŌŃ8€dōXXdź»»d 8ŃŃ  Ńą@ü ü ģąŌ‡ī(ī»¼ IŌIN€THE€COURT€OF€APPEALS€OF€TENNESSEEˆŠ ° Šą@WW$ģąAT€KNOXVILLEŌ#†¼ I»īī( #ŌˆŠ Ö& ŠÓ  ÓAugust€27,€2001€SessionŠ üL ŠŌ‡XIuX»¼ IŌĢņ ņŌ#†¼ I»XXIuō#ŌDAN€MCCOY,€ņņet€al.óó€v.€SUZI€MIZELLņņóóŌ‡XIuX»¼ IŌó óŠ śJ ŠĢą@@½½ģąņ ņAppeal€from€the€Circuit€Court€for€Blount€CountyŠ ś J Šą@@ųųģąNo.€L„12414€€€€€€W.€Dale€Young,€JudgeŠ ę 6 ŠĢFILED€OCTOBER€30,€2001Š ¾   Šą@@ģģ*ģąßA€V) °°` d€÷E<©` Aߊ Ŗś  ŠĢą@@TTģąNo.€E2001„00008„COA„R3„CVŠ „õ  ŠĢßA€V) °°` dE<|` Aߊ }Ķ  Šó óĢÓ  ÓThis€appeal€involves€the€application€of€T.C.A.€šš€47„29„101,€a€statute€dealing€with€civil€liability€forŠ xČ  Šdishonored€checks€and€drafts.€The€lessors€of€a€residence€sued€their€lessee€alleging€that€the€latter€actedŠ d“ Šwith€š šfraudulent€intentšš€when€she€stopped€payment€on€a€rent€check€given€to€the€plaintiffs.€Š P  ŠFollowing€a€bench€trial,€the€court€below€found€that€the€defendantššs€action€in€stopping€payment€onŠ <Œ Šthe€$650€rent€check€triggered€the€provisions€of€T.C.A.€šš€47„29„101.€€The€court€awarded€the€plaintiffsŠ (x Šthe€face€amount€of€the€check,€as€well€as€interest,€treble€damages€capped€at€$500,€and€attorneyššs€feesŠ d Šof€$1,500€š!š€a€total€of€$2,720.52.€€In€the€same€judgment,€the€court€also€awarded€the€plaintiff€damagesŠ P Šfor€breach€of€the€lease,€finding€these€damages€š!š€before€the€allowance€of€a€credit€to€avoid€a€doubleŠ ģ< Šrecovery€š!š€to€be€$1,483.25.€€The€defendant€only€appeals€the€judgment€awarded€under€Ō#†¼ I»XXIuf#ŌŌ‡XIuX»¼ IŌT.C.A.€ššŌ#†¼ I»XXIuÕ#ŌŌ‡XIuX»¼ IŌ€47„Š Ų( Š29„101.€€She€argues€that€the€trial€court€erred€in€its€application€of€that€statute€to€the€facts€of€this€case.€Š Ä ŠThe€plaintiffs€contend€that€the€defendantššs€appeal€is€frivolous,€thus€entitling€them€to€damagesŠ ° Špursuant€to€the€provisions€of€Ō#†¼ I»XXIu" #ŌŌ‡XIuX»¼ IŌT.C.A.€ššŌ#†¼ I»XXIu” #ŌŌ‡XIuX»¼ IŌ€27„1„122.׃ׯ ƒ#ĆŻņņŚ  Ś1Ś  ŚóóŻ  Ż×  ׀€We€modify€the€judgment€below€to€delete€theŠ œģ Šaward€of€$2,720.52€to€the€plaintiffs€under€Ō#†¼ I»XXIuį #ŌŌ‡XIuX»¼ IŌT.C.A.€ššŌ#†¼ I»XXIuģ #ŌŌ‡XIuX»¼ IŌ€47„29„101.€€This€modification€also€requires€usŠ ˆŲ Što€modify€the€trial€courtššs€award€for€breach€of€the€lease€so€as€to€increase€that€award€to€$1,493.25.€Š tÄ ŠAs€modified,€the€trial€courtššs€judgment€is€affirmed.Š `° ŠÓsÓĢņ ņTenn.€R.€App.€P.€3€Appeal€as€of€Right;€Judgment€of€the€Circuit€CourtŠ 8!ˆ  ŠAffirmed€as€Modified;€Case€Remandedó óŠ $"t! ŠĢņņÓ  ÓCharles€D.€Susano,€Jr.,€J.,Ō#†¼ I»ąXIu9 #ŌŌ‡XIuX.¼ IŌóó€delivered€the€opinion€of€the€court,€in€which€ņņHouston€M.€Goddard,Š ü#L# ŠP.J.,óó€and€ņņD.€Michael€Swiney,€J.óó,€joined.Š č$8 $ ŠĢR.D.€Hash,€Maryville,€Tennessee,€for€the€appellant,€Suzi€Mizell.Š Ą&"&ż Š‡John€L.€McCord,€Knoxville,€Tennessee,€for€the€appellees,€Dan€and€Jan€McCoy.Š ° ŠÓÓĢņ ņOPINIONó óŌ#†¼ I»XXIu[#ŌŌ‡XIuX»¼ IŌŠ ˆŲ ŠĢI.€€ņņFacts€and€Procedural€HistoryóóŠ `° ŠĢÓ  Óą  ąOn€November€1,€1998,€the€lessors,€Dan€McCoy€(š šMr.€McCoyšš)€and€Jan€McCoy€(š šMrs.Š 8 ˆ ŠMcCoyšš)€(collectively€referred€to€as€š šthe€McCoysšš),€and€the€lessee,€Suzi€Mizell€(š šMizellšš),€enteredŠ $ t Šinto€an€agreement€for€a€month„to„month€lease€of€a€residence€on€the€McCoysšš€property.€€Under€theŠ  ` Šterms€of€the€agreement,€Mizell€was€to€pay€rent€of€$650€per€month€on€the€first€day€of€the€month.€€TheŠ ü L  Šlease€also€provided€that€Mizell€would€pay€for€her€propane€and€utility€services,€said€payments€to€beŠ č 8  Šmade€directly€to€the€service€providers.Š Ō$  ŠĢą  ąOn€September€1,€1999,€Mizell€received€written€notice€from€the€McCoys€to€vacate€the€subjectŠ ¬ü  Šproperty€no€later€than€October€1,€1999.€€Because€Mizell€was€unable€to€immediately€find€a€newŠ ˜č  Šresidence,€she€continued€to€reside€in€the€property€beyond€the€October€1,€1999,€deadline.€€AccordingŠ „Ō  Što€Mizellššs€testimony,€Mr.€McCoy€had€contacted€Mizell€on€September€30,€1999,€and,€when€sheŠ pĄ Šinformed€him€of€her€situation,€he€told€her€that€she€had€to€be€out€of€the€house€by€October€15,€1999.€Š \¬ ŠMr.€McCoy€also€told€Mizell€to€deal€directly€with€Mrs.€McCoy€about€any€other€issues€involving€theŠ H˜ Šlease€and€her€move.€€€On€October€1,€1999,€the€day€following€Mizellššs€conversation€with€Mr.€McCoy,Š 4„ ŠMizell€placed€a€$650€check€in€the€McCoysšš€mailbox€for€the€full€amount€of€the€October€rent.€€ThreeŠ  p Šdays€later,€on€October€4,€1999,€Mrs.€McCoy€called€Mizell€to€confirm€that€the€latter€would€vacate€theŠ  \ Špremises€by€October€15,€1999.€€At€that€time,€ņņaccording€to€the€testimony€of€Mrs.€McCoyóó,€sheŠ ųH Šinformed€Mizell€that€the€McCoys€would€prorate€the€rent€for€October.€€When€Mizell€left€the€residenceŠ ä4 Šon€October€15,€1999,€she€placed€a€check€in€the€amount€of€$315,€her€estimate€of€the€prorated€rent€forŠ Š  Š15€days,€in€the€McCoysšš€mailbox.€€Then€š!š€because€she€had€paid€what€she€believed€to€be€the€proratedŠ ¼  Šrent€for€October€š!š€she€stopped€payment€on€the€$650€check€written€on€October€1,€1999.€€Mizell€failedŠ Øų Što€inform€the€McCoys€of€her€stop€payment€order.Š ”ä Šą  ąĢą  ąAfter€receiving€the€$315€check€from€Mizell,€Mrs.€McCoy,€on€October€18,€1999,€depositedŠ l¼ Šthe€$650€check.€€Furthermore,€on€October€25,€1999,€Mrs.€McCoy€cashed€the€$315€check.€€Also€onŠ X Ø Šthat€day,€Mrs.€McCoy€sent€Mizell€a€certified€letter€containing€a€detailed€breakdown€of€charges€forŠ D!” Šwhich€Mizell€was€allegedly€responsible.€€The€letter€reflected€charges€totaling€$700.61.€€TheseŠ 0"€  Šcharges€were€for€October€rent€($325),€trash€collection,€propane,€and€utilities.€€The€breakdown€in€theŠ #l! Šletter€also€allowed€Mizell€a€credit€of€$965€for€the€two€checks.€€Transmitted€with€the€letter€was€aŠ $X" Šcheck€to€Mizell€for€the€difference€of€$264.39.€€This€letter€was€returned€to€the€McCoys€unclaimed€onŠ ō$D # ŠNovember€13,€1999.€€Shortly€after€sending€the€detailed€invoice€to€Mizell,€Mrs.€McCoy€learned€ofŠ ą%0!$ Šthe€š šstop€paymentšš€order€on€the€$650€check€and€she€retained€an€attorney€to€send€a€letter€to€MizellŠ Ģ&"% Šdemanding€payment.€€Mizell€responded€to€this€letter€by€stating€that€because€she€had€already€fullyŠ ø'#& Špaid€the€prorated€rent€on€October€15,€1999,€she€did€not€owe€the€McCoys€the€$650€check.Š ¤(ō#' ŠĢņņóóŌ#†¼ I»XXIu#ŌŌ‡XIuX»¼ IŌą  ąOn€February€3,€2000,€Ō#†¼ I»XXIuO#ŌŌ€XIuX»¼ IŌthe€McCoys€filed€suit€against€Mizell€in€the€General€Sessions€Court€forŠ |*Ģ%) ŠBlount€County.€€The€McCoys€sued€to€recover€a€total€of€$2,473.25€plus€court€costs€in€an€action€basedŠ h+ø&* Šupon€two€claims:€1)€alleged€property€damage€in€the€amount€of€$823.25,€resulting€from€a€breach€ofŠ ° Šthe€lease€by€Mizell;€and€2)€collection€of€the€dishonored€$650€check,€plus€10%€interest;€attorneyššsŠ œģ Šfees;€treble€damages€capped€at€$500;€and€court€costs,€pursuant€to€T.C.A.€šš€47„29„101.€€As€a€resultŠ ˆŲ Šof€Mizell's€failure€to€appear€in€General€Sessions€Court,€a€default€judgment€was€entered€against€herŠ tÄ Šon€June€5,€2000,€ordering€her€to€pay€$2,517.58€plus€costs.Š `° ŠĢą  ąMizell€appealed€the€judgment€to€the€Circuit€Court€for€Blount€County.€€Following€a€benchŠ 8 ˆ Štrial€on€November€2,€2000,€the€trial€court€entered€an€order€finding€Mizell€liable€to€the€McCoys€forŠ $ t Šdamages€in€the€amount€of€$1,483.25€caused€by€Mizell's€breach€of€the€lease.€€As€for€the€McCoysššŠ  ` Šdishonored€check€claim,€the€court€found€that€"the€$650.00€check€was€stopped€in€bad€faith€withŠ ü L  Šfraudulent€intent,€and€in€accordance€to€T.C.A.€šš€47„29„101€awarded€the€[McCoys]€the€face€amountŠ č 8  Šof€the€check,€interest,€and€treble€damages€[limited€to€$500]€in€the€total€sum€of€$1220.52;€andŠ Ō$  Šreasonable€attorneyššs€fees€of€$1,500.00,€for€a€judgment€thereunder€in€their€favor€in€the€sum€ofŠ Ą  Š$2,720.52.šš€€In€order€to€avoid€a€double€recovery€for€the€plaintiffs,€the€trial€court€gave€the€defendantŠ ¬ü  Ša€credit€of€$720.52€against€the€damage€award€of€$1,483.25,€said€credit€representing€the€$650€rentŠ ˜č  Šcheck€and€interest€thereon.€€This€resulted€in€a€damage€award€of€$762.73.Š „Ō  ŠĢą  ąMizell€appeals€the€judgment€of€the€trial€court€raising€the€issue€of€whether€the€trial€court€erredŠ \¬ Šin€its€application€of€T.C.A.€šš€47„29„101.€€ņ ņó óOn€appeal,€however,€Mizell€does€not€contest€the€trialŠ H˜ Šcourtššs€damage€award€of€$762.73€to€the€McCoys€for€breach€of€the€lease.€€Therefore,€the€only€relevantŠ 4„ Šfacts€to€be€considered€on€this€appeal€are€those€relating€to€Mizellššs€liability€under€T.C.A.€šš€47„29„101.€Š  p ŠĢą  ąBy€way€of€a€separate€issue,€the€McCoys€argue€that€Mizell€does€not€have€a€š šrightšš€to€bringŠ ųH Šthis€appeal€because€it€is€not€a€š švalid€or€appropriate€issue€of€law€or€fact€to€be€considered€or€reviewedŠ ä4 Šby€the€appellate€court€on€appeal.šš€€Mizellššs€issue€on€appeal€is€phrased€as€follows:€€š šWhether€the€trialŠ Š  Šcourt€erred€in€its€application€of€T.C.A.€47„29„101€(et€seq.)€to€the€facts,€by€awarding€$3,483.25€to€theŠ ¼  ŠPlaintiffs€when€the€Plaintiffs€had€only€sued€for€$2,473.25,€plus€court€costs,€which€the€Circuit€CourtŠ Øų Šawarded€under€the€ššbad€checkšš€remedies€under€T.C.A.€47„29„101€et€seq.šš€€The€McCoys€argue€thatŠ ”ä Šthis€is€š šan€erroneous€statement€because€the€trial€court€did€not€award€Plaintiffs€a€judgment€ofŠ €Š Š$3,483.25€under€T.C.A.€šš€47„29„101.šš€€We€agree€that€the€phrasing€of€defendantššs€issue€is€somewhatŠ l¼ Šconfusing;€however,€the€substance€of€Mizellššs€appeal€focuses€on€the€trial€courtššs€award€of€$2,720.52Š X Ø Šunder€T.C.A.€šš€47„29„101.€The€McCoys€further€argue€that€Mizellššs€appeal€is€š šfrivolous€and€isŠ D!” Šlacking€in€any€justiciable€issues€and€devoid€of€any€merit,€and€there€is€no€legal€basis€or€disputeŠ 0"€  Šinvolving€a€legal€issue.ššŠ #l! Šą  ąą ` ąą ø ąą  ąą h ąą Ą ąĢą@TTģąII.€€ņņStandard€of€ReviewˆŠ ō$D # ŠóóĢą  ąIn€this€non„jury€case,€our€review€is€ņņde€novoóó€upon€the€record€of€the€proceedings€below;€butŠ Ģ&"% Šthe€record€comes€to€us€with€a€presumption€of€correctness€as€to€the€trial€court's€factual€determinationsŠ ø'#& Šthat€we€must€honor€unless€the€evidence€preponderates€otherwise.€Tenn.€R.€App.€P.€13(d);€ņņņ ņWrightŠ ¤(ō#' Šv.€City€of€Knoxvilleóóó ó,€898€S.W.2d€177,€181€(Tenn.€1995);€ņņņ ņUnion€Carbide€Corp.€v.€Huddlestonóóó ó,€854Š )ą$( ŠS.W.2d€87,€91€(Tenn.€1993).€€The€trial€court's€conclusions€of€law,€however,€are€given€no€suchŠ |*Ģ%) Špresumption.€ņņņ ņCampbell€v.€Florida€Steel€Corp.óóó ó,€919€S.W.2d€26,€35€(Tenn.€1996).Š h+ø&* Š‡ą@——&ģąIII.€€ņņLawóóˆŠ ° ŠĢą  ąThe€McCoys€brought€the€claim€that€is€the€subject€of€this€appeal€pursuant€to€T.C.A.€šš€47„29„Š ˆŲ Š101€(2000),€which€is€a€statute€dealing€with€civil€liability€for€dishonored€checks€and€drafts.€€ItŠ tÄ Šprovides,€in€pertinent€part,€as€follows:Š `° ŠĢÓ  ÓÓ  Óą  ąą8 ` ą(a)€A€person€who,€having€executed€and€delivered€to€another€personŠ 8 ˆ Ša€check€or€draft€drawn€on€or€payable€at€a€bank€or€other€financialŠ $ t Šinstitution,€ņņwith€fraudulent€intentóó€either€stops€payment€on€the€checkŠ  ` Šor€draft,€or€allows€the€check€or€draft€to€be€dishonored€by€a€financialŠ ü L  Šinstitution€because€of€lack€of€funds,€failure€to€have€an€account,€or€lackŠ č 8  Šof€an€authorized€signature€of€the€drawer€or€necessary€endorser,€is,€ifŠ Ō$  Šfound€liable€to€the€holder€on€the€check€or€draft€in€a€civil€action,€liableŠ Ą  Šfor:Š¬ü ` x` x ŠĢą  ąą8 ` ą(1)€The€face€amount€of€the€check€dishonored;Š„Ō ` x` x ŠĢą  ąą8 ` ą(2)€Interest€at€the€rate€of€ten€percent€(10%)€per€annum€on€the€faceŠ \¬ Šamount€or€the€remaining€unpaid€balance€of€the€check€or€draft€fromŠ H˜ Šthe€date€of€its€execution€until€payment€is€made€in€full;Š4„` x` x ŠĢą  ąą8 ` ą(3)€Any€reasonable€service€charges€incurred€by€the€payee€inŠ  \ Šattempting€to€obtain€payment€by€the€bank€or€other€financialŠ ųH Šinstitution;Šä4` x` x ŠĢą  ąą8 ` ą(4)€Court€costs€incurred€in€bringing€the€civil€action€which€is€broughtŠ ¼  Šby€the€holder€to€collect€on€the€check€or€draft;€€andŠØų` x` x ŠĢą  ąą8 ` ą(5)€Reasonable€attorney€fees€incurred€by€the€holder.Š€Š` x` x ŠĢą  ąą8 ` ą(b)€This€section€does€not€apply€to€a€person€who€has€so€allowed€aŠ X Ø Šcheck€or€draft€to€be€dishonored€if,€within€ten€(10)€days€after€theŠ D!” Šholder€has€given€notice€that€the€check€or€draft€has€not€been€paid€byŠ 0"€  Šthe€financial€institution,€the€person€pays€to€the€holder€the€full€amountŠ #l! Šof€the€check€or€draft.€€Such€a€payment€is€effective€for€all€purposes€asŠ $X" Šof€the€date€it€is€made.Šō$D #` x` x ŠĢą@ŽŽ%ģą*€€€€*€€€€*ˆŠ Ģ&"% ŠĢą  ąą8 ` ą(d)€If€the€person€who€executed€and€delivered€the€check€does€not€payŠ ¤(ō#' Što€the€holder€the€full€amount€of€the€check€or€draft€within€thirty€(30)Š )ą$( Šdays€following€certified€mailing€of€written€notice€that€the€check€orŠ |*Ģ%) Šdraft€has€not€been€paid€and€that€treble€damages€will€be€sought,€uponŠ h+ø&* Šfinding€of€fraudulent€intent,€the€person€is€liable€for,€and€the€courtŠ ° Šshall€award€judgment€for,€treble€the€face€amount€of€the€check€or€draft.€Š œģ ŠHowever,€the€amount€awarded€in€addition€to€the€face€amount€of€theŠ ˆŲ Šcheck€or€draft€may€not€exceed€five€hundred€dollars€($500).ŠtÄ` x` x Šą  ąĢą  ąą8 ` ą(e)€A€person€must€elect€whether€to€pursue€the€claim€either€under€thisŠ L œ Šsection€or€under€title€39,€chapter€14,€part€1.Š8 ˆ` x` x ŠĢ(Emphasis€added).Š  ` ŠĢą@ƒƒ#ģąIV.€€ņņDiscussionóóˆŠ č 8  ŠĢą  ąIt€is€undisputed€that€Mizell€issued€a€stop€payment€order€on€the€$650€check.€€It€is€alsoŠ Ą  Šundisputed€that€Mizell€failed€to€pay€the€McCoys€the€full€amount€of€the€check€within€30€days€afterŠ ¬ü  Šreceiving€notice€from€the€McCoys.€€ņņSeeóó€T.C.A.€šš€47„29„101(d).€€On€appeal,€the€real€issue€is€whetherŠ ˜č  Šthe€evidence€preponderates€against€the€trial€courtššs€determination€that€Mizell€acted€with€š šfraudulentŠ „Ō  Šintentšš€in€stopping€payment€on€the€$650€check.€€In€this€connection,€it€is€important€to€note€thatŠ pĄ Šš šT.C.A.€šš€47„29„101€on€its€face€requires€fraudulent€intent€before€its€provisions€come€into€play.šš€Š \¬ Šņņņ ņLMI„Tennessee,€Inc.€v.€J&B€Co.óóó ó,€C/A€No.€01A01„9306„CV„00246,€1993€WL€496849,€at€*2€(Tenn.Š H˜ ŠCt.€App.€M.S.,€filed€December€3,€1993);€ņņseeóó€T.C.A.€šš€47„29„101(a).Š 4„ ŠĢą  ąWe€examined€the€subject€statute€in€the€case€of€ņņņ ņThompson€v.€Adcoxóóó ó,€C/A€No.€E2000„01843„Š  \ ŠCOA„R3„CV,€2001€WL€914004,€at€*6€(Tenn.€Ct.€App.€E.S.,€filed€August€13,€2001).€€In€that€case,Š ųH Šwe€found€that€the€defendant€had€acted€with€š šfraudulent€intentšš€under€T.C.A.€šš€47„29„101€when€heŠ ä4 Šstopped€payment€on€his€check.€€We€made€this€determination€because€the€defendant€wrote€a€postdatedŠ Š  Šcheck€to€the€plaintiff€as€a€guarantee€of€repayment€for€a€loan€made€by€the€plaintiff€to€a€third€party.€Š ¼  ŠWhen€the€third€party€failed€to€repay€the€loan€when€due,€the€defendant€stopped€payment€on€the€checkŠ Øų Šafter€receiving€notice€from€the€plaintiff€of€its€nonpayment€and€he€refused€to€make€any€paymentŠ ”ä Štoward€the€amount€owed.€€ņņņ ņId.óóó ó€€The€Court€found€that€it€was€reasonable€to€infer€š šfraudulent€intentššŠ €Š Šbased€upon€defendantššs€order€to€stop€payment,€and€his€refusal€to€pay€the€money€for€which€he€hadŠ l¼ Šoriginally€contracted.€€ņ ņņņIdó óóó.Š X Ø ŠĢą  ąIn€the€instant€case,€Mizell€refused€to€satisfy€the€$650€check€after€receiving€notice€ofŠ 0"€  Šnonpayment;€however,€unlike€the€defendant€in€ņņņ ņThompsonóóó ó,€the€evidence€presented€at€trial€reveals€thatŠ #l! Šat€the€time€Mizell€stopped€payment,€and€at€the€time€she€received€notice€demanding€that€she€pay€theŠ $X" Šfull€$650€or€face€the€penalties€of€the€statute,€Mizell€did€not€owe€the€McCoys€on€the€obligation€š!šŠ ō$D # ŠOctober€rent€š!š€for€which€the€$650€check€was€originally€written.€€First,€it€is€undisputed€that€MizellŠ ą%0!$ Šand€the€McCoys€agreed€in€the€lease€that€Mizell€would€pay€rent€to€the€McCoys,€and€that€she€wouldŠ Ģ&"% Špay€for€utilities€and€propane€usage€directly€to€the€service€providers.€€Second,€Mizell€did€not€owe€theŠ ø'#& Šfull€$650€rent€for€October.€€It€is€undisputed€that€the€McCoys€sent€Mizell€an€invoice€for€a€proratedŠ ¤(ō#' Šrental€amount€of€$325,€not€$650.€€Third,€it€is€undisputed€that€Mizell€gave€the€McCoys€a€$315€checkŠ )ą$( Šā ābefore€leaving€the€property€and€stopped€payment€on€the€$650€check.€€Given€the€fact€that€Mizell€onlyŠ |*Ģ%) Šowed€$325€in€rent€and€that€she€left€the€McCoys€a€$315€check,€Mizell,€at€most,€owed€$10€in€rentŠ ° Šwhen€she€moved€out€of€the€rental€house€and€stopped€payment€on€the€$650€check.Š œģ Šā āĢą  ąDuring€his€ruling,€the€trial€judge€commented€that€Š tÄ ŠĢą  ąą8 ` ąthe€fact€that€Ms.€Mizell€testified€that€she€had€a€conversation€with€DanŠ L œ ŠMcCoy€on€September€30ņņthóó€about€giving€her€15€days€that€it€did€notŠ 8 ˆ Šmake€sense€that€she€would€give€a€$650.00€check€the€next€dayŠ $ t Šknowing€the€above€and€the€fact€that€she€stopped€payment€withoutŠ  ` Šnotice€showed€bad€faith.€€Šü L ` x` x ŠĢUnlike€the€trial€court,€we€find€that€the€proof€at€trial€does€not€indicate€fraudulent€intent€or€bad€faithŠ Ō$  Šon€the€part€of€Mizell.€€Rather,€the€evidence€shows€that€on€the€day€that€Mizell€spoke€with€Mr.€McCoyŠ Ą  Šabout€an€extension,€there€was€no€mention€of€a€reduction€in€rent.€€Furthermore,€Mr.€McCoy€toldŠ ¬ü  ŠMizell€to€talk€to€his€wife€about€the€termination€of€the€lease,€but€he€gave€no€indication€that€anyŠ ˜č  Športion€of€the€rent€for€October€would€be€abated.€€As€a€result,€just€as€Mizell€had€done€every€monthŠ „Ō  Šof€the€entire€year€of€her€lease,€she€placed€a€$650€check€in€the€McCoysšš€mailbox€on€October€1,€theŠ pĄ Šfirst€day€of€the€month.€€At€that€time,€she€knew€that€she€was€going€to€remain€on€the€property€for€15Š \¬ Šdays,€but€there€was€nothing€in€the€lease€providing€for€a€daily€amount€of€rent.€€Furthermore,€MizellŠ H˜ Šhad€not€yet€spoken€with€Mrs.€McCoy.Š 4„ ŠĢą  ąMrs.€McCoy€testified€that€on€October€4,€1999,€three€days€after€Mizell€had€spoken€with€Mr.Š  \ ŠMcCoy,€she€notified€Mizell€that€š šupon€Ms.€Mizell€vacating€the€property€that€she€would€prorate€theŠ ųH Šrent,€balance€out€any€of€the€utilities€and€any€other€amounts€or€remedies€owed€under€the€lease,€andŠ ä4 Šdetermine€at€that€time€any€credits€or€debits€between€the€parties.šš€€Based€on€the€statement€of€theŠ Š  Ševidence,€there€is€no€indication€that€either€Mrs.€McCoy€or€Mizell€made€any€mention€of€the€McCoysŠ ¼  Šretaining€the€$650€check€at€that€time,€or€at€any€time€thereafter.Š Øų ŠĢą  ąThe€evidence€reveals€that€on€October€25,€1999,€Mrs.€McCoy€sent€Mizell,€by€certified€mail,Š €Š Šan€itemized€list€of€all€amounts€allegedly€owed€by€Mizell.€€The€list€included€$325€as€the€pro€rataŠ l¼ Šamount€of€rent€from€October€1€through€October€15,€1999;€a€bill€of€$262.50€for€propane€use;€two€billsŠ X Ø Šfrom€the€electric€company€totaling€$97.11;€and€a€bill€of€$16€for€trash€disposal.€€Apparently,€theseŠ D!” Šthree€bills€had€already€been€paid€by€the€McCoys.€€On€the€invoice,€Mrs.€McCoy€indicated€that€afterŠ 0"€  Šsubtracting€the€amount€owed€by€Mizell€from€the€$650€check€and€the€$315€check,€Mizell€wouldŠ #l! Šreceive€a€$264.39€refund.€€However,€Mizell€never€agreed€to€pay€for€utilities€or€propane€use€directlyŠ $X" Što€the€McCoys.€€According€to€the€terms€of€the€lease€agreement,€Mizell€agreed€to€pay€monthly€rentŠ ō$D # Što€the€McCoys,€and€she€agreed€to€directly€pay€the€utility€and€propane€companies€any€amount€owed.€Š ą%0!$ ŠIn€fact,€the€evidence€at€trial€revealed€that€on€October€30,€1999,€€Mizell€attempted€to€pay€the€utilityŠ Ģ&"% Šcompany€for€her€October€usage,€but€her€payment€was€returned€with€a€statement€saying€that€the€billŠ ø'#& Šhad€already€been€paid.€€Instead€of€allowing€Mizell€to€pay€both€the€utility€and€propane€companiesŠ ¤(ō#' Šdirectly,€the€McCoys€took€it€upon€themselves€to€change€the€terms€of€their€agreement€by€paying€theŠ )ą$( Šutility€company€and€then€trying€to€collect€the€money€directly€from€Mizell.€€Nevertheless,€it€shouldŠ |*Ģ%) Šbe€noted€that€Mizell€does€not€dispute€that€she€was€responsible€for€paying€for€propane€use,€and€sheŠ h+ø&* Šagreed€in€court€to€satisfy€that€payment€which€is€part€of€the€$762.73€portion€of€the€judgment€fromŠ ° Šwhich€she€did€not€appeal.Š œģ ŠĢą  ąWe€believe€it€is€inappropriate€to€infer€from€the€proof€that€Mizell€acted€with€fraudulent€intentŠ tÄ Šin€stopping€payment€on€the€check.€€The€evidence€preponderates€that€she€was€merely€trying€to€complyŠ `° Šwith€the€agreement€proposed€by€her€landlord.€€The€evidence€preponderates€that€Mizellššs€trueŠ L œ Šmotivation€for€stopping€payment€was€based€on€her€understanding€that€the€McCoys€were€going€toŠ 8 ˆ Šprorate€the€October€rent,€which€Mrs.€McCoy€had€agreed€to€do€and€which€the€McCoys€in€fact€did.€Š $ t ŠFurthermore,€Mizell€did€not€know€that€the€McCoys€were€going€to€alter€the€terms€of€the€leaseŠ  ` Šagreement€by€paying€for€her€utilities€and€propane€usage,€and€then€try€to€obtain€reimbursement€fromŠ ü L  Šher.€That€had€not€been€done€in€the€entire€year€of€Mizellššs€tenancy.Š č 8  ŠĢą  ąWe€find€that€the€trial€court€was€in€error€in€applying€the€penalties€of€T.C.A.€šš€47„29„101€toŠ Ą  Šthe€facts€of€this€case.€€The€penalties€should€only€be€applied€if€there€is€a€finding€of€š šfraudulent€intent.šš€Š ¬ü  ŠWe€hold€that€the€evidence€preponderates€against€the€trial€courtššs€finding€that€Mizell€acted€withŠ ˜č  Šš šfraudulent€intentšš€when€she€stopped€payment€on€the€$650€check.Š „Ō  ŠĢą  ąIn€view€of€our€decision€in€this€case,€we€obviously€do€not€find€this€appeal€to€be€frivolous.Š \¬ ŠĢą@‘‘#ģąV.€€ņņConclusionóóˆŠ 4„ ŠĢą  ąThe€judgment€of€the€trial€court€is€modified€so€as€to€vacate€that€portion€of€the€decree€awardingŠ  \ Šthe€plaintiffs€damages€of€$2,720.52€under€T.C.A.€šš€47„29„101.€€The€judgment€will€be€furtherŠ ųH Šmodified€to€reinstate€the€original€award€for€breach€of€the€lease€plus€the€$10€still€due€for€October.€Š ä4 ŠThus€the€final€judgment€for€the€plaintiffs€is€$1,493.25.€€As€modified,€the€judgment€is€affirmed.€€OnŠ Š  Šremand,€the€trial€court€will€enter€an€order€consistent€with€this€opinion.€€Costs€on€appeal€are€taxed€toŠ ¼  Šthe€appellees,€Dan€and€Jan€McCoy.Š Øų ŠÓĪ3ÓĢĢą  ąą ` ąą ø ąą  ąą h ąą Ą ąą  ą_______________________________Š l¼ Šą  ąą ` ąą ø ąą  ąą h ąą Ą ąą  ąCHARLES€D.€SUSANO,€JR.,€JUDGE