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Volume 15, Edition 9, cases

Goss v. Estate of Jennings

Court of Special Appeals of Maryland.

Wayne H. GOSS, et al.

v.

The ESTATE OF Bertha JENNINGS, et al.

 

No. 1931, Sept. Term, 2010.

Aug. 31, 2012.

Walter E. Gillcrist, Jr. (Anne K. Howard, Budow & Noble PC, on the brief) Bethesda, MD, for appellant.

 

Lisa Schertler, Washington, DC (Schertler & Onorator, LLP, Laura Mullally, Douglas F. Gansler, Atty. Gen., Pikesville, MD, Joseph Mallon, Marshall N. Perkins, Mallon & McCool, LLC, Baltimore, MD), on the briefs, for appellee.

 

Panel: ZARNOCH, JAMES R. EYLER FN* (Retired, Specially Assigned), and LAWRENCE F. RODOWSKY (Retired, Specially Assigned), JJ.

 

ZARNOCH, J.

*1 The principal issue in this case is whether the non-economic damage cap imposed by Md.Code (1974, 2006 Repl.Vol.), Courts & Judicial Proceedings Article (CJP), § 11–108 applies separately or collectively to damages awarded in a wrongful death and a survival action.FN1 This and additional questions arise from a $1.37 million judgment entered in a wrongful death and survival action stemming from the death of Rodney Jennings (“Jennings”), an inmate in the custody of the Maryland Division of Corrections (“DOC”).

 

While working on a litter pickup detail on the Capital Beltway (I–495) in Landover in Prince George’s County, Jennings was struck and killed by a dump truck owned by W.H. Goss Trucking, LLC and operated by Wayne H. Goss (“Goss” or “appellants”). Jennings’ estate, the estate of his mother, and three beneficiaries (“appellees”) FN2 filed a wrongful death/survival action against Goss in the Circuit Court for Prince George’s County. Later, they amended their complaint to include claims against the DOC and the State Highway Administration (“SHA”) (collectively, “the State”). In turn, Goss filed a third-party complaint against the State, and the State filed a cross-complaint against him, with both parties seeking contribution or indemnification against the other.

 

In the jury trial that followed, Goss and the State moved for judgment at the end of plaintiffs’ case and at the close of all the evidence. The court initially denied the motions, but reserved judgment on the renewed motions made at the close of all the evidence. The jury then returned a verdict against Goss and the State in the amount of $2,025,000, which represented the sum of the damages awarded in the survival action ($350,000) and the wrongful death action ($1,675,000).

 

Goss and the State moved for judgment notwithstanding the verdict (JNOV). Goss also moved for a new trial and remittitur. The court granted the State’s motion, denied Goss’ motions and reduced the damage award to $1.37 million, prompting this appeal and cross-appeal.

 

Factual Background

At the June 14, 2010 trial, the evidence adduced that, on the morning of August 23, 2007, Jennings and at least two other inmates, Denard Thomas (“Thomas”) and Christian Taylor (“Taylor”) were driven by a correctional officer in a DOC van to pick up litter along the southbound shoulder of I–495. Another SHA employee accompanied the crew in an SHA dump truck. Upon arriving at the intersection of I–495 and Route 202, the inmates were discharged from the van, donned bright green flourescent safety vests and began walking southbound on the shoulder of I–495. Shortly thereafter, Jennings, Taylor and Thomas crossed the exit ramp by foot and entered into the gore FN3 area of the beltway.

 

I. The Accident

Lee Bayersdorfer, who was driving a tractor-trailer in the lane closest to the exit ramp, observed that immediately before the accident, Goss accelerated, passed him on the left, and cut in front of him to take the Route 202 exit. At this time, and when he was at a distance of approximately 75 feet from the exit, Goss saw the inmates walk across the exit ramp and into the gore and sounded his horn to “warn” them.

 

*2 Upon hearing the horn, the inmates in the gore turned around to see both Goss’ dump truck and Bayersdorfer’s tractor-trailer “bearing down on [them] at a high amount of speed.” Thomas observed Goss’ dump truck “speeding up [and] trying to get over” to the exit lane and then “speed[ing] … up in front of the other truck,” as it “cut all the way over to the right.” Both men believed that the dump truck was going to enter the gore where they were standing. Nonetheless, they remained stationary because the horn put them in a “state of shock,” freezing them in place. Although Taylor thought about escaping Goss’ apparent path by “slip[ping] between [the vehicles],” the trucks were so close to the gore that he was afraid he would be “suck[ed] in….” He “thought [he] was going to die” and would have run if he had been positioned closer to the exit ramp. But, given his position in the gore, “there was nowhere to run.”

 

When Goss’ dump truck was about five to eight feet away from him, Jennings ran from the gore back across the exit ramp. According to Taylor:

 

[W]e was [sic ] in the middle [of the gore] when we saw the trucks coming, there was really nowhere for us to run to, you know, but [Jennings] tried to—he did a movement like this and he tried to go back across the ramp where we had come from. And I grabbed after him, but he was a little bit bigger than me so he got away from me. And [Goss’ dump] truck just came right through and met him.

 

At that point, Goss “really” applied the truck’s brakes, but was unable to avoid striking Jennings, who later died from accident-related injuries.

 

II. The Post–Accident Inspection

After the accident, Maryland State Troopers Mallon and Sliffer directed Goss to drive to a nearby shopping center where they could conduct a post-accident inspection. Mallon slid underneath the truck on his back, looking up at the bottom of the truck to inspect its brakes. Sliffer remained outside of the dump truck and recorded the brake measurements on 3×5 cards, as Mallon shouted out the measurements to him.

 

The State Troopers then directed Goss to drive to a weigh station, where they determined that the truck weighed 78,400 pounds, in violation of the 70,000 pound weight limit imposed by Md.Code (1977, 2009 Repl.Vol.), Transportation Article (TA) § 13–919.FN4 Using a computer at the station, Sliffer entered the data from the 3×5 cards and prepared a report which reflected Mallon’s finding that three of Goss’ brakes were out of adjustment. Mallon reviewed the inspection report for accuracy and confirmed that it contained the same measurements he had orally conveyed to Sliffer. He then provided the report to the police crash team, which transferred the data into its post-collision inspection report. Over Goss’ objection, both reports were admitted into evidence as plaintiffs’ exhibits.

 

III. Expert Testimony

David Stopper, who testified as an expert in commercial trucking, accident reconstruction, and the proper operation of commercial motor vehicles, opined that, based on his review of the police paperwork, depositions, accident scene photos, safety manuals, and Mallon and Sliffer’s post-accident inspection reports, on the day of the accident, the truck was in “an out-of-service condition which mean[t] that … the vehicle … [was] likely to cause an accident or breakdown.” Stopper concluded that the two largest brakes on Goss’ dump truck were “significantly” out of adjustment, resulting in a loss of more than 25% of the truck’s braking efficiency. As a result, the truck was “not safe to operate” on the day of the accident, which should have been apparent to Goss during a pre-trip inspection. According to Stopper, Goss’ failure to maintain his brakes in proper working order was a violation of the standard of care applicable to commercial vehicle operators.

 

*3 Stopper also testified that the weight of Goss’ truck on the day of the accident violated standard limits, and, together with the defective brakes, “decreased [the] truck’s ability to stop.” Stopper opined that Jennings “would have cleared the truck” if Goss’ brakes had been in working order and the truck weighed 8400 pounds less. In making this conclusion, Stopper assigned to Jennings a speed of 7.5 feet per second, which approximates the pace of a 60–year–old male jogger. Stopper explained that, though Jennings was 28 years old at the time of the accident, this pace was appropriate because Jennings was heavyset.

 

IV. The Horn Demonstration

Additionally, Stopper testified that the way in which Goss used his truck’s air-horn on the day of the accident violated the applicable standard of care. Over Goss’ objection, Stopper conducted an outdoor demonstration of the same kind of air horn that was on Goss’ truck and blew it at a distance of 75 feet from the jury. In Stopper’s opinion, Goss created the dangerous condition which required him to use his horn:

 

[I]f Goss had been slowing down appropriately and fallen in behind the other vehicle and used the exit ramp and had been coming on it at the appropriate speed … there would be no reason for him to be sounding his horn and warning others because he should have been able to stop in the distance he could see.

 

V. The Post–Trial Motions

At the close of all the evidence, Goss and the State renewed their earlier motions for judgment, and the court reserved ruling until after the jury returned a verdict against both parties in the amount of $2,025,000. This award represented the sum of $350,000 and $1,675,000 in noneconomic damages for the survival action and wrongful death claim, respectively. Thereafter, Goss asserted that he was entitled to cross-judgment against the State and filed motions for JNOV, a new trial, and a remittitur. With respect to the remittitur, Goss argued that under CJP § 11–108, when there are two or more beneficiaries in a death claim, the cap is set at 150% of $680,000 or $1,020,000.FN5 He also urged the court to reduce the entire damage award to that amount, essentially eliminating the $350,000 award in the survival action, along with more than $650,000 for the wrongful death.

 

The State also moved for JNOV, arguing that it breached no duty to Jennings, that it was not the proximate cause of his death and that he was contributorily negligent. It also argued that under the Maryland Tort Claims Act (“MTCA”), Md.Code (1984, 2009 Repl.Vol.), State Government Article (SG), § 12–101, et seq. and particularly § 12–104(a)(2), its liability could not exceed a total of $200,000 for any and all claims made against it.

 

On September 24, 2010, the court heard and denied Goss’ motions and granted the State’s motion for JNOV. Specifically, the circuit judge noted:

 

I don’t see where the State was negligent as a matter of law. Now, I’ll contrast this later with the other case, but the fact is he was moved from the one side and across the ramp to the gore area.

 

*4 If we look at from your blocking vehicle or moving in the ramp while they cross or if we look at putting them in a van to take them across, it’s a moot point. They got from point A to point B without a problem. They did. It’s a fact. They moved from point A to point B without issue.

 

If we say, okay, we need to have a blocking vehicle then at the gore area to protect them there, that’s moot because they weren’t hit in the gore area. He wasn’t hit in the gore area. He was hit on the ramp. The State did nothing in this case that was negligent. It’s incontrovertible. They got him across the ramp. He wasn’t hit in the gore area. The State did nothing negligent and I’m going to grant [its’] Motion for Judgment…. [FN6]

 

The court’s rulings left the $350,000 survival action judgment intact and reduced the wrongful death awards to 150% of $680,000 or $1,020,000. Goss noted this appeal. The State and the other appellees cross-appealed.FN7

 

QUESTIONS PRESENTED

Goss presents four questions for our consideration:

 

1. Did the trial court erroneously deny Goss’ motion for JNOV when the undisputed evidence established Jennings’ negligence by suddenly darting into the path of Goss’ truck, and the absence of proximate causation between Goss’ negligence and Jennings’ death?

 

2. Did the trial court commit reversible errors in allowing irrelevant evidence of the truck’s gross weight, hearsay evidence of the condition of its brakes, and an irrelevant horn demonstration?

 

3. Did the trial court erroneously impose two statutory caps in granting Goss’ requested remittitur when only one cap applied?

 

4. Did the trial court improperly grant the State’s motion for JNOV and deny Goss’ cross-judgment against the State?

 

The appellees’ cross-appeal presents this additional issue:

 

Whether the Circuit Court erred by (A) granting judgment notwithstanding the verdict to the State of Maryland, where the jury’s findings that the State’s negligence proximately caused Jennings’ injuries and death were supported by the evidence, and (B) ruling that the State’s total liability to all claimants is capped at $200,000, when the plain language of the Maryland Tort Claims Act applies the $200,000 cap to each “single claimant.”

 

For the following reasons, we answer all of Goss’ questions in the negative. We answer part A of appellees’ question in the negative and decline to reach part B. Thus, we affirm the rulings of the circuit court.

 

DISCUSSION

I. Motion for Judgment Notwithstanding the Verdict

Goss’ challenge to the jury verdict is premised on two grounds. First, he argues that Jennings’ decision to run from the gore made him contributorily negligent as a matter of law. Second, he asserts that Jennings’ flight into the exit ramp was a superseding cause of the accident that relieves him of liability for negligence. We reject both contentions and hold that the evidence was legally sufficient to support the jury’s conclusions.

 

A. Standard of Review

*5 [1][2][3] Maryland has a “very restrictive rule” about removing negligence cases from the jury. Campbell v. Montgomery County Bd. of Education, 73 Md.App. 54, 62, 533 A.2d 9 (1987). If there is “any evidence, however slight, legally sufficient as tending to prove negligence,” then the trial judge must leave the weighing and evaluating of that evidence to the jury. Moore v. Myers, 161 Md.App. 349, 363, 868 A.2d 954 (2005). Upon review of the circuit court’s denial of a motion for JNOV, we apply the same standard, and “consider all the evidence, including inferences reasonably and logically drawn therefrom, in a light most favorable to the non-moving party.” Romero v. Brenes, 189 Md.App. 284, 290, 984 A.2d 346 (2009). We will affirm the court’s decision to submit the issue to the jury if we find that “evidence and the reasonable inferences to be drawn from it in the light most favorable to the party opposing the motion” sufficiently supports the jury’s verdict.   Campbell, 73 Md.App. at 63, 533 A.2d 9.

 

B. Contributory Negligence

[4][5] When a defendant raises a claim of contributory negligence against a plaintiff who has died in the underlying action, a presumption applies that the decedent “exercised ordinary care for his own safety in accordance with the natural instinct of human beings to guard against danger.”   Baltimore Transit Company v. State, 194 Md. 421, 434, 71 A.2d 442 (1950). Contributory negligence will not be decided as a matter of law unless the evidence overcomes this presumption and demonstrates “some prominent and decisive act which directly contributed to the accident and which was of such a character as to leave no room for difference of opinion thereon by reasonable minds.” Id.

 

[6] Here, whether Jennings exercised proper caution in running across the exit ramp is not so obvious that we can say as a matter of law that the jury was unjustified in finding him free from fault. Although Taylor “grabbed after” Jennings to prevent him from leaving the gore, Taylor testified that he, too, would have run he had been standing closer to the exit ramp. Moreover, contrary to Goss’ assertion that Thomas and Taylor remained in the gore because they appreciated their relative position of safety, both men testified that they were “stuck” or “frozen” in the gore after hearing the horn and watching the truck barrel down on them. The fact that Jennings was struck on the exit ramp does not establish his negligence as a matter of law. Whether his decision to run was negligently or carelessly made was a question for the jury. It was not error for the circuit court to rule otherwise.

 

C. Proximate Cause

[7][8] Goss’ next contention is that Jennings’ dash into the travel portion of the roadway was an intervening cause of the accident that relieves the appellants of liability for negligence. Generally, intervening conduct will break the chain of causation when the act is neither intended by the initial actor nor foreseeable as the probable result of his conduct. See Stone v. Chicago Title Ins. Co., 330 Md. 329, 337, 624 A.2d 496 (1992). Accordingly, the linchpin of whether an intervening act breaks the causal chain is foreseeability. Id. at 338, 624 A.2d 496.

 

*6 [9] Here, we find sufficient evidence to support the jury’s finding that Jennings’ death was the reasonably foreseeable consequence of Goss’ negligence. The jury heard evidence that Goss was speeding, traversing lanes, sounding a loud horn, and apparently heading directly toward the inmates. The totality of this evidence created a jury question as to the foreseeability of Jennings’ flight, and it was permissible for them to conclude that Goss’ conduct created the chain of events that caused Jennings’ death. Accordingly, the trial court did not err in denying Goss’ motion for JNOV on this basis. FN8

 

II. Evidentiary Rulings

We are similarly unpersuaded by Goss’ argument that the court abused its discretion by (1) admitting evidence of a gross weight violation; (2) allowing the horn demonstration; and; (3) admitting evidence of post-crash brake measurements.

 

A. Standard of Review

We review a trial court’s ruling on the admissibility of evidence under an abuse of discretion standard. Brown v. Daniel Realty Co., 409 Md. 565, 583, 976 A.2d 300 (2009). We will not set aside the court’s ruling unless the error “cause[s] substantial injustice.” Crane v. Dunn, 382 Md. 83, 92, 854 A.2d 1180 (2004). Accordingly, an evidentiary ruling, even if manifestly erroneous, will not be disturbed if it was harmless. See Md. Rule 5–103(a). To the extent an evidentiary ruling involves resolution of a question of law, we review that decision de novo. Id.

 

B. Evidence of Weight Violation

[10] Goss argues that his violation of TA § 13–919 should not have been disclosed to the jury because Jennings was not a member of the class the statute was designed to protect. Given the totality of the evidence regarding the manner in which Goss approached and entered the ramp, loaded his truck, and maintained his brakes, we believe that the introduction of the weight violation cannot reasonably be understood as the pivotal evidence that tipped the verdict in favor of the appellees. In short, assuming an error did occur, we conclude that it was harmless as a matter of law. Therefore, we cannot conclude that the judge abused his discretion in admitting the evidence or that the evidence so prejudicially affected Goss’ rights that he is entitled to a new trial.

 

C. Horn Demonstration

[11] Citing Andrews v. State, 372 Md. 1, 25, 811 A.2d 282 (2002), Goss next contends that the court’s failure to require appellees to establish “substantial similarity” between the horn demonstration and the actual event renders the demonstration irrelevant, misleading, and grounds for new trial. We disagree.

 

The record reflects that the purpose of the horn demonstration was to assist the jury in understanding the difference in decibel levels between an average car horn and the air-horn on Goss’ truck. The test was intended for the jurors to “hear what this horn is and how it’s different than the horn in their common experience.” Appellees simply wanted the jury to hear the “loud blast of a loud horn.” With this purpose, it would make no difference whether the horn demonstration occurred inside the courtroom, at the scene of the accident, or at a location determined by the trial court. We cannot say that the horn demonstration significantly affected the outcome of Goss’ case, particularly when he, too, acknowledged: “It’s a truck horn. It’s supposed to be loud.”

 

D. Hearsay

*7 [12] Goss next submits that the lower court committed reversible error in allowing appellees to introduce inadmissable hearsay testimony and documentary evidence regarding the dump truck’s purportedly faulty brakes (the post-accident reports). He argues that the “record is replete with indicia of untrustworthiness” which preclude the admission of that evidence.

 

Even if State Trooper Mallon’s testimony was inadmissible hearsay evidence, we find that any such error in its admission was harmless. Even without this testimony, appellees presented sufficient evidence to support the jury’s verdict. Appellees’ expert witness testified that two of the truck’s largest brakes were out of adjustment, resulting in a 25% loss in braking efficiency, and he opined that these defects should have been apparent to Goss. Eyewitness testimony indicated that Goss was negligent in the angle, speed, and direction at which he entered the exit ramp. In light of all the evidence, we hold that the jury verdicts were not substantially swayed by the admission of Mallon’s testimony.

 

[13][14] Moreover, although the post-accident reports were hearsay, they were admissible under the business records exception to the hearsay rule. FN9 See Md. Rule 5–803(b)(6). The rule provides that records kept in the ordinary course of business are admissible as an exception to the hearsay rule. Id. The nature of the records may be established by a “qualified witness” who has sufficient knowledge of the record-keeping system and the creation of the contested record to establish their trustworthiness. See id.; see also Davis v. Goodman, 117 Md.App. 378, 417, 700 A.2d 798 (1997).

 

Here, Mallon testified that he routinely inspected vehicles and made such reports; that the reports “are generated as part of [his] function as [a member of] the police department,” that they are kept in the “ordinary course of business;” and that he had personal knowledge of the process involved in making them. Hence, Mallon was a qualified witness who properly authenticated the post-accident reports.

 

[15] We note further that a record of a regularly conducted activity that meets the foundational requirements of Md. Rule 5–803(b)(6) is presumptively trustworthy, and the burden to prove that the proffered evidence was generated under untrustworthy circumstances rests upon the party opposing its admission.   Owens–Illinois, Inc. v. Armstrong, 326 Md. 107, 116, 604 A.2d 47 (1992).

 

Contrary to Goss’ assertion, the presumption of trustworthiness is particularly robust here because the reports were prepared as part of the official duties of Maryland State Police employees. In addition, Mallon testified that he reviewed the post-accident reports, verified their accuracy, and was “positive” that the brake measurements were correct. We fail to see any basis for concluding that the reports were so untrustworthy that the court abused its discretion in admitting them.

 

III. Non–Economic Damage Cap

Goss’ next contention is that the court’s decision to apply separate statutory caps to the survival and wrongful death actions was not authorized by CJP § 11–108. His claim hinges on the notion that, while the survival action and wrongful death claims are two separate causes of action, they result in one loss that should be subject to one cap.

 

A. Standard of Review

*8 Our review of the trial court’s interpretation of a statute is de novo. Maryland–National Capital Park & Planning Comm’n v. Anderson, 395 Md. 172, 181, 909 A.2d 694 (2006). We often resolve issues of statutory construction by considering “three general factors: 1) text; 2) purpose; and 3) consequences.”   Town of Oxford v. Koste, 204 Md.App. 578, 585–86, 42 A.3d 637 (2012).   Koste notes that: “[t]ext is the plain language of the relevant provision, typically given its ordinary meaning, viewed in context, considered in light of the whole statute, and generally evaluated for ambiguity.” Id. (Citations omitted). Legislative purpose, either manifested in the text or gleaned from other sources, often informs, and may even control, our interpretation of the statute. Id. at 586, 42 A.3d 637. Finally, our examination “of interpretive consequences, either as a comparison of the results of each proffered construction, or as a principle of avoidance of an absurd or unreasonable reading, grounds the court’s interpretation in reality.” Id. (Citations omitted). This is one of those cases where the text of the relevant provisions is the predominate factor.

 

B. Analysis

When first enacted in 1986 in response to an insurance crisis, the noneconomic damage cap applied in “any action for damages for personal injury.” Although several years later, this Court concluded that this statutory language covered a wrongful death action, Potomac Electric v. Smith, 79 Md.App. 591, 558 A.2d 768, cert. denied 317 Md. 393, 564 A.2d 407 (1989), in 1993, the Court of Appeals disagreed. In United States v. Streidel, 329 Md. 533, 620 A.2d 905 (1993), noting, among other things, the absence of any reference to wrongful death in the damage cap statute and the limited nature of the damages subject to the cap, the Court concluded that CJP § 11–108 did not apply in a wrongful death case. In passing, the Court noted:

 

The damages referenced in the cap statute would be recoverable in a survival action because a survival action allows for compensation for the pain and suffering endured by the deceased, as well as for loss of earnings and medical expenses, between the time of injury and the time of death. Damages recoverable under the Wrongful Death Act are measured by the value, pecuniary and otherwise, of the life of the deceased to the person entitled to damages. The cap statute does not reference this latter type of damage, either expressly or by implication.

 

329 Md. at 544, 620 A.2d 905.FN10

 

The General Assembly quickly responded to Streidel in 1994 with legislation that can only be described as a compromise. See Chapter 477, Laws of 1994. FN11 Rather than redefining an “action … for personal injury” in CJP § 11–108 to include a wrongful death action, the Legislature distinguished between the two causes of action in all key sections of the cap statute. For example, in the definitional section, § 11–108(a)(2)(i), the statute defined noneconomic damages as:

 

1. In an action for personal injury, pain, suffering, inconvenience, physical impairment, disfigurement, loss of consortium, or other nonpecuniary injury; and

 

*9 2. In an action for wrongful death, mental anguish, emotional pain and suffering, loss of society, companionship, comfort, protection, care, marital care, parental care, filial care, attention, advice, counsel, training, guidance, or education, or other noneconomic damages authorized under Title 3, Subtitle 9 of this article.

 

Nothing in this definition changed the nature of the damages recoverable in a survival action, see n. 10 and accompanying text, or altered the specific statutory provisions, see n. 1 supra, or caselaw on the distinctions between a wrongful death and a survival action. Although overruling Streidel ‘s holding that the cap could not apply to a wrongful death action, the General Assembly left undisturbed the Court of Appeals’ conclusion that a survival action was one for “personal injury.” 329 Md. at 544, n. 9, 620 A.2d 905.

 

[16] A key battleground in this case is the impact of the Legislature’s addition of the following language in § 11–108(b)(3):

 

(i) The limitation established under paragraph (2) of this subsection shall apply in a personal injury action to each direct victim of tortious conduct and all persons who claim injury by or through that victim.

 

(ii) In a wrongful death action in which there are two or more claimants or beneficiaries, an award for noneconomic damages may not exceed 150% of the limitation established under paragraph (2) of this subsection, regardless of the number of claimants or beneficiaries who share in the award.[FN12]

 

[17] Goss argues that this language requires the aggregation for cap purposes of the damages in survival and wrongful death actions. Such a contention does violence to the text of the statute. Because the 1994 legislation did not erase the distinction between the two causes of action to reach Goss’ proffered solution, we would have to somehow merge both paragraphs of § 11–108(b)(3), contrary to the intention of the Legislature and applicable caselaw.FN13 Each paragraph of § 11–108(b)(3) stands alone, with a survival action falling under paragraph (i) and a wrongful death action being confined to paragraph (ii). Although paragraph (i) deals with multiple claimants in a personal injury case, it has no impact here because no “direct victim” is suing along with a derivative party. There is and could only be one plaintiff in the survival action—Jennings’ personal representative.

 

This construction of § 11–108 in no way offends the general purpose of the statute in promoting the availability and affordability of liability insurance in Maryland. See Oaks v. Connors, 339 Md. 24, 34–35, 660 A.2d 423 (1995). While the 1994 legislature, like its 1986 predecessor, focused in part on this rationale in capping wrongful death damages, the State made no fundamental change to damage awards in personal injury cases, including a survival action.

 

Finally, our conclusion that the § 11–108 damage cap applies separately to damage awards in survival and wrongful death actions, does not conflict with our recent decision in Leake v. Johnson, 204 Md.App. 387, 40 A.3d 1127 (2012).FN14 There we said that for purposes of the Local Government Tort Claims Act (“LGTCA”), CJP §§ 5–301 et seq., and its $200,000 limitation on liability, damages for survival actions and for wrongful death were required to be aggregated. However, that conclusion turned on the particular language of the LGTCA, where the cap was keyed to claims that arise from “the same occurrence.” CJP § 5–303. Quite simply, Leake ‘s holding flowed from the extremely narrow language of the LGTCA. The text and history of CJP § 11–108 are vastly different and they account for a different result in this case.

 

*10 Accordingly, under CJP § 11–108(b)(3)(i), the $350,000 personal injury/survival action award here remains intact because it did not exceed the cap. Under § 11–108(b)(3)(ii), the combined wrongful death awards of $1,675,000 were properly reduced to 150% of the applicable cap. Thus, the circuit court did not err in establishing the total damage award at $1.37 million.

 

IV. The State’s Motion for JNOV

[18] Finally, both Goss and appellees assert that the circuit court erred in granting the State’s motion for JNOV because the State: (1) mishandled the work crew and work zone safety; (2) failed to provide the inmates with proper protection; and (3) did not adequately train the inmates on how to safely cross the roadway. We disagree.

 

Again, upon review of the grant of a motion for JNOV, the sole issue before us is whether substantial evidence supports the jury’s verdict. See Romero, 189 Md.App. at 290, 984 A.2d 346. In this case, it is apparent that the evidence was legally insufficient to establish that State personnel were negligent. Although some evidence was presented to suggest that it was unsafe for an inmate to cross the ramp into the gore on foot, it is undisputed that Jennings was fatally injured after he finished crossing the ramp, entered the gore and then ran back across the exit ramp into the path of Goss’ dump truck. Thus, none of Jennings’ evidence about the State directing an allegedly improper ramp crossing into the gore, or the methods used to train inmates or protect them while crossing the ramp into the gore and while working in the gore constituted evidence from which the jury could reasonably determine that State personnel were negligent. Accordingly, the court properly granted the State’s motion for JNOV.

 

V. MTCA Damage Cap

Although conceding the issue was moot as a result of his ruling on the State’s Motion for JNOV, the circuit judge went on to interpret the language of SG § 12–104(a)(2), which provides that under the MTCA, “[t]he liability of the State and its units may not exceed $200,000 to a single claimant for injuries arising from a single incident or occurrence.” The court concluded that under this provision, if the State were liable, a damage award would be limited to $200,000 despite the presence of multiple plaintiffs in the case. The court focused on the fact that there was one victim and one accident.

 

Appellees and Amicus Curiae Maryland Association for Justice argue that the plain language of § 12–104(a)(2) establishes the cap for each “claimant” and that this case involves multiple claimants who are each entitled to a $200,000 award. The State emphasizes the word “single” in the statute and relies on a regulation of the State Treasurer, COMAR 25.02.02.02(D)(1) (“[A]ll persons claiming damages from … [b]odily injury to, or the death of, any one person shall be considered to be one claimant”) and decades of State Budget Bill language declaring that the appropriation of State monies for MTCA judgments is “limited by State Treasurer’s regulations” to payments of no more than $200,000 to a single claimant for injuries arising from a single incident or occurrence. See, e.g., Chapter 482, Laws of 2010 at Section 9(A).

 

*11 The parties have not devoted a great deal of attention to the impact of this budget bill language and no one has argued that a limitation like Section 9(A) would constitute impermissible “legislating in the budget.” See Bayne v. Secretary of State, 283 Md. 560, 576, 392 A.2d 67 (1978) (Although the budget bill is a “law” under Article III, § 52 of the Maryland Constitution, a budget condition may not amend substantive legislation).

 

Needless to say, our affirmance of the circuit court’s granting of the State’s motion for JNOV obviates any need to address these important questions. We will not consider them prematurely.

 

JUDGMENT OF THE CIRCUIT COURT AFFIRMED. FOUR–FIFTHS OF THE COSTS TO BE PAID BY APPELLANT; ONE–FIFTH OF THE COSTS TO BE PAID BY CROSS–APPELLANTS.

 

FN* Eyler, James R., J., participated in the hearing and conference of this case while an active member of this Court; he participated in the adoption of this opinion as a retired, specially assigned member of this Court.

 

FN1. A wrongful death action is authorized by CJP §§ 3–901–3–904. The statutory sources for a survival action are CJP § 6–401 and Md.Code (1974, 2011 Repl.Vol.), Estates & Trusts Article § 7–401(y).

 

FN2. For ease of reference, we will use the term “appellees” to refer to these parties, who were the plaintiffs below.

 

FN3. A gore is a narrow, triangular area of land where an exit lane veers away from the travel portion of the lane and becomes an exit ramp. The triangular area is typically separated from the travel portion of the roadway by two solid white lines along its borders.

 

FN4. Section 13–919(c)(2) provides that the maximum gross weight limitation for a four-axle dump truck is 70,000 pounds.

 

FN5. Under § 11–108(b), the cap increases by $15,000 each year. The $680,000 figure was the one applied at the time of this action.

 

FN6. Although acknowledging that the issue was moot, the circuit court addressed arguments concerning the MTCA damage cap, finding that if State liability were imposed in this case, it could not exceed $200,000:

 

If you start from the theory that the State has sovereign immunity, then any recovery has to come by statute, and starting with no recovery and then moving to whatever the statute gives you would appear to me that there has to be something clear and unambiguous in the statute that would make this a multiple cap … or a multiple of $200,000. I don’t see that. When I see a single claimant per occurrence if Mr. Goss had hit three people, for example, then we would have three claimants. In fact, he hit one person. I don’t have to get to the issue, but it seems to be clear that the $200,000 cap would apply if the State were negligent.

 

FN7. The State has abandoned its cross-appeal.

 

FN8. We note briefly that the cases upon which Goss relies are inapplicable to the facts at hand. Unlike in Trader v. White, 10 Md.App. 703, 272 A.2d 84 (1971) and Belle Isle Cab Co. v. Pruitt, 187 Md. 174, 49 A.2d 537 (1946), we are not asked to decide whether the evidence was sufficient to raise the issue of vehicle speed as a jury question. And in E.H. Koester Bakery Co. v. Poller, 187 Md. 324, 332, 50 A.2d 234 (1946), the cause of a collision between a streetcar and a truck was “clearly the unexpected, and unforeseeable, entry of the truck upon the tracks at a point where the collision could not have been avoided.” Given the facts before us, we cannot state with similar decisiveness that Jennings’ entry onto the exit ramp was as “clearly” unforeseeable.

 

FN9. Because we find that these records were properly admitted under the business records exception to the hearsay rule, we need not address whether they were also properly admitted under the public records exception. See Md. Rule 5–803(b)(6).

 

FN10. This Court has also noted these key differences between survival and wrongful death actions in Jones v. Flood, 118 Md.App. 217, 702 A.2d 440 (1997):

 

In Maryland, two separate actions arise from a death caused by the negligence of another: a survival action and a wrongful death action. In a wrongful death action, specified persons may recover for injury to them as a result of the death of the tort victim. In a survival action, the personal representative may bring suit to recover for pain and suffering sustained by the decedent between the time of injury and death….

 

Although originating in the same wrongful act or neglect, the two claims are quite distinct, no part of either being embraced in the other. One is for the wrong to the injured person and is confined to his personal loss and suffering before he died, while the other is for the wrong to the beneficiaries and is confined to their pecuniary loss through his death. One begins where the other ends, and a recovery upon both in the same action is not a double recovery for a single wrong but a single recovery for a double wrong.

 

Id. at 223–24, 702 A.2d 440. (Citations omitted).

 

FN11. For a comprehensive discussion of the legislative history of the 1994 legislation, see Green v. N.B.S., Inc., 180 Md.App. 639, 654–55, 952 A.2d 364 (2008), aff’d. 409 Md. 528, 976 A.2d 279 (2009).

 

FN12. See also CJP § 11–108(d) for provisions governing the reduction of a damage award when there are multiple claimants in a wrongful death action.

 

FN13. There is no doubt that the principal purpose of the change to § 11–108(b)(3) is to deal with multiple claimants in a wrongful death action. See Green, 180 Md.App. at 655, 952 A.2d 364.

 

FN14. Our holding is likewise not inconsistent with the decisions in Figgie International, Inc. v. Tognocchi, 96 Md.App. 228, 624 A.2d 1285 (1993), and John Crane, Inc. v. Scribner, 369 Md. 369, 800 A.2d 727 (2002). In Figgie, which was tried before Streidel was decided, a manufacturer unsuccessfully argued in the circuit court that awards in a survival and wrongful death action should have been aggregated for purposes of applying the cap. 96 Md.App. at 235, 244, 624 A.2d 1285. Because by the time the case arrived here, Streidel had been decided and the 1994 legislation was not yet in place, we remanded the case for the circuit court to reinstate the full damage verdict and expressed no view on the aggregation issue.

 

In Scribner, a post- Streidel mesothelioma case, a circuit court applied the cap separately to damage awards in a wrongful death action and a survival action. After indicating that the wrongful death damages were appropriately capped under the 1994 legislation, the Court determined that damages in the survival action were impermissibly capped because the injury occurred before the enactment of the 1986 statute. Id. at 375, 620 A.2d 905. At no time did the Court suggest that if the cap had applied to the survival action, the two awards would have to have been aggregated and subjected to a single cap.

Hartford Cas. Ins. Co. v. Ewan

United States District Court,

W.D. Tennessee,

Western Division.

HARTFORD CASUALTY INSURANCE COMPANY, Hartford Underwriters Insurance Company, Plaintiffs,

v.

Deshon EWAN, Patrick Ewan, John Mosley d/b/a M & W Tree Service, Defendants.

 

No. 10–02828–WGY.

Sept. 4, 2012.

 

Annie Tauer Christoff, John C. Speer, Bass Berry & Sims PLC, Nolan M. Johnson, Baker Donelson Bearman Caldwell & Berkowitz, Andre B. Mathis, John I. Houseal, Jr., Michael D. Tauer, Glankler Brown, PLLC, Memphis, TN, H. Lee Barfield, II, Bass Berry & Sims PLC, Nashville, TN, for Plaintiffs.

 

Charles Michael Weirich, Jr., Law Office of James Gulley, Daniel Frederick Peel, Law Office of Daniel Peel, Daniel Alan Seward, Law Office of Daniel Seward, Robert M. Fargarson, Fargarson & Brooke, Ted S. Angelakis, Angelakis Law Firm, Memphis, TN, for Defendants.

 

MEMORANDUM OF DECISION

WILLIAM G. YOUNG, District Judge.

I. INTRODUCTION

*1 The current dispute arises out of an accident on March 25, 2005, in Collierville, Tennessee, where the driver of a 1990 Mack MR6 truck with an attached tree spade allegedly disregarded a red light and struck the driver’s side of DeShon Ewan’s car, causing her severe injuries. Hartford Casualty Insurance Company (“Hartford Casualty”) and Hartford Underwriters Insurance Company (“Hartford Underwriters”) (collectively the “Hartford Plaintiffs”) subsequently brought this diversity action for declaratory judgment seeking a determination whether the commercial general liability policy issued by Hartford Casualty provides coverage for the damages to DeShon Ewan and her husband, Patrick Ewan (collectively the “Ewans”) allegedly resulting from this collision. The Ewans filed a motion for summary judgment and the Hartford Plaintiffs each filed a cross-motion for summary judgment. The parties agreed to proceed on a “case stated” basis.

 

A. Procedural Posture

On November 18, 2010, the Hartford Plaintiffs filed a complaint for declaratory judgment against the Ewans and John Mosley d/b/a M & W Tree Service. Compl. Declaratory J., ECF No. 1. The Ewans filed an answer on December 14, 2010. Answer Defs. DeShon Ewan Patrick Ewan Compl. Declaratory J., ECF No. 15. John Mosley d/b/a M & W Tree Service (“Mosley”) filed an answer on January 11, 2011. Answer Def. John Mosley d/b/a M & W Tree Service Compl. Declaratory J., ECF No. 20.

 

On September 15, 2011, the Ewans filed a motion for summary judgment along with a statement of facts and a supporting memorandum. Ewan Defs.’ Mot. Summ. J. (“Ewans’ Mot.”), ECF No. 45; Ewans’ Mot., Attach. 1, Ewan Defs.’ Statement Undisputed Material Facts (“Ewans’ SOF”), ECF No. 45–1; Ewans’ Mot., Attach. 2, Mem. Supp. Ewan Defs.’ Mot. Summ. J. (“Ewans’ Mem.”), ECF No. 45–2.

 

On September 30, 2011, Hartford Casualty filed a cross-motion for summary judgment along with a supporting memorandum and a statement of undisputed facts. Hartford Casualty Ins. Co.’s Mot. Summ. J. (“Hartford Casualty Mot.”), ECF No. 50; Hartford Casualty Mot., Attach. 1, Mem. Supp. Hartford Casualty Ins. Co.’s Mot. Summ. J. (“Hartford Casualty Mem.”), ECF No. 50–1; Hartford Casualty Mot., Attach. 2., Statement Undisputed Material Facts Supp. Hartford Casualty Ins. Co.’s Mot. Summ. J. (“Hartford Casualty SOF”), ECF No. 50–2. On September 30, 2011, Hartford Underwriters also filed a cross-motion for summary judgment. Hartford Underwriters Ins. Co.’s Mot. Summ. J. (“Hartford Underwriters Mot.”), ECF No. 51; Hartford Underwriters Mot., Attach. 1, Hartford Underwriters Ins. Co.’s Mem. Law Supp. Mot. Summ. J. (“Hartford Underwriters Mem.”), ECF No. 51–1; Hartford Underwriters Mot., Attach. 2, Hartford Underwriters Ins. Co.’s Statement Material Facts No Genuine Issue Trial (“Hartford Underwriters SOF”), ECF No. 51–2.

 

On October 17, 2011, the Hartford Plaintiffs filed a joint response to the Ewans’ motion for summary judgment along with a response to the Ewans’ list of undisputed facts. Joint Resp. Pls. Hartford Underwriters Ins. Co. Hartford Casualty Ins. Co. Ewan Defs.’ Mot. Summ. J. (“Hartford Pls.’ Resp.”), ECF No. 52; Hartford Pls.’ Resp., Attach. 1, Joint Resp. Pls. Hartford Underwriters Ins. Co. Hartford Casualty Ins. Co. Ewan Defs.’ Statement Undisputed Material Facts (“Pls.’ Resp. SOF”), ECF No. 52–1. That same day, Mosley filed a response to the Ewans’ motion for summary judgment. Resp. Def. John Mosley d/b/a M & W Tree Serv. Ewan Defs.’ Mot. Summ. J., ECF No. 54.

 

*2 On October 31, 2011, the Ewans filed responses to the Hartford Plaintiffs’ motions for summary judgment along with responses to the Hartford Plaintiffs’ statements of undisputed facts.FN1 Ewan Defs .’ Resp. Hartford Casualty Ins. Co. Mot. Summ. J. (“Ewans’ Resp. Hartford Casualty”), ECF No. 63; Ewans’ Resp. Hartford Casualty, Attach. 1, Ewan Defs.’ Resp. Hartford Casualty Ins. Co.’s Statement Undisputed Material Facts Statement Additional Facts (“Ewans’ Resp. SOF Hartford Casualty”), ECF No. 63–1; Ewan Defs.’ Resp. Hartford Underwriters Ins. Co. Mot. Summ. J. (“Ewans’ Resp. Hartford Underwriters”), ECF No. 64; Ewans’ Resp. Hartford Underwriters, Attach. 1, Ewan Defs.’ Resp. Hartford Underwriters Ins. Co.’s Statement Undisputed Material Facts Statement Additional Facts (“Ewans’ Resp. SOF Hartford Underwriters”), ECF No. 64–1. On October 31, 2011, Mosley filed his responses to the Hartford Plaintiffs’ motions for summary judgment. Resp. Def. John Mosley d/b/a M & W Tree Serv. Hartford Casualty Ins. Co.’s Mot. Summ. J., ECF No. 59; Resp. Def. John Mosley d/b/a M & W Tree Serv. Hartford Underwriters Ins. Co.’s Mot. Summ. J., ECF No. 61.

 

On November 3, 2011, the Ewans filed a reply brief. Ewan Defs.’ Reply Pls.’ Resp. Mot. Summ. J. (“Ewans’ Reply”), ECF No. 65. On November 17, 2011, the Hartford Plaintiffs filed their reply brief. Pls.’ Joint Reply Supp. Mots. Summ. J. (“Hartford Pls.’ Reply”), ECF No. 70.

 

On May 29, 2012, the case was reassigned to this Court through the visiting judge program. Clerk’s Notes, ECF No. 77. Following a telephone conference on June 18, 2012, the parties notified the Court that they wished to proceed on a case stated basis and waived oral argument. See Clerk’s Notes, June 21, 2012, ECF No. 83.

 

B. “Case Stated” Procedure

In lieu of summary judgment, the parties have agreed to proceed on a “case stated” basis. Derived from the procedures of the courts of the Commonwealth of Massachusetts, see, e.g., Parker v. Morrell, 59 Mass.App. Dec. 34 (Mass.Dist.Ct.1976), the “case stated” procedure is firmly established in the jurisprudence of the First Circuit. See, e.g., Continental Grain Co. v. Puerto Rico Mar. Shipping Auth., 972 F.2d 426, 429 n. 7 (1st Cir.1992); Boston Five Cents Sav. Bank v. Secretary of Dep’t of Hous. & Urban Dev., 768 F.2d 5, 11–12 (1st Cir.1985); Bunch v. W.R. Grace & Co., 532 F.Supp.2d 283, 286–87 (D.Mass.2008). This is a most helpful procedural device, applicable even in the most complex cases where the parties file cross motions for summary judgment. See Aspex Eyewear, Inc. v. Altair Eyewear, Inc., 818 F.Supp.2d 348 (D.Mass.2011). The procedure has also found favor in the Southern District of New York. See J.G. v. Kiryas Joel Union Free Sch. Dist. ., 777 F.Supp.2d 606, 636 & n. 25 (S.D.N.Y.2011); M.F. v. Irvinaton Union Free Sch. Dist., 719 F.Supp.2d 302, 306 & n. 2 (S.D.N.Y.2010); Adrianne P. v. Lakeland Cent. Sch. Dist., 686 F.Supp.2d 361 (S.D.N.Y.2010); Bryant v. Europadisk. Ltd., No. 07 Civ 3050(WGY), 2009 WL 1059777, at *1 (S.D.N.Y. Apr. 15., 2009); J . G. v. Briarcliff Manor Union Free Sch. Dist., 682 F.Supp.2d 387, 389 n. 2 (S.D.N.Y.2010); New York SMSA Ltd. P’ship v. Town of Clarkstown, 603 F.Supp.2d 715 (S.D.N.Y.2009).

 

*3 “In a case stated, the parties waive trial and present the case to the court on the undisputed facts in the pre-trial record.” TLT Constr. Corp. v. RI, Inc., 484 F.3d 130, 135 n. 6 (1st Cir.2007). In contrast to summary judgment, where the Court must draw all reasonable inferences in favor of the nonmovant, in a case stated, the Court is “entitled to ‘engage in a certain amount of factfinding, including the drawing of inferences.’ “ Id. (quoting United Paperworkers Int’l Union Local 14 v. International Paper Co., 64 F.3d 28, 31 (1st Cir.1995)).

 

In this session of the Court, it works as follows: whenever cross motions for summary judgment reveal that the relevant facts appear without significant dispute, the courtroom deputy clerk offers the parties to treat the case as a case stated. Should they accept, as was the case here, the Court treats the undisputed facts as the established record and draws the reasonable inferences therefrom without the necessity of drawing adverse inferences against each moving party. See Fed.R.Civ.P. 56. The facts of the case being established, the Court affords each party thirty minutes for final argument (not the usual ten minutes per party when hearing argument on a motion).FN2 In due course, the Court enters findings and rulings as required by Rule 52(a) of the Federal Rules of Civil Procedure.

 

II. FINDINGS OF FACT

Mosley runs M & W Tree Service, a landscaping company which grows and transplants trees. See Ewans’ Resp. SOF Hartford Casualty ¶ 5. Mosley owns a 1990 Mack MR6 truck (the “Mack truck”) with an attached tree spade. Id. ¶¶ 3–4. With the use of the Mack truck and the spade, the company creates a hole in the ground at the job site, transports the dirt to the nursery, extracts a tree from the nursery, and transports and plants the tree at the job site. Id. ¶ 6. The Mack truck is also used to transport the workers that perform the tree transplanting. Id. ¶ 8. The truck has a cab with two seats, one for the driver and one for the helper. Id.

 

When Mosley purchased the tree spade, he personally removed it from the truck where it had previously been located and transferred it to the Mack truck. Id. ¶¶ 10–11. Mosley attached the tree spade to the Mack truck with U-bolts and at one time, welding, which broke after approximately two weeks. Id. ¶¶ 13, 16. Mosley then attached steel rods from the Mack truck to the tree spade to provide additional stability. Id. ¶ 17.

 

Mosley had secured two liability insurance policies: a commercial automobile policy (the “Auto Policy”), issued by Hartford Underwriters, see Hartford Casualty SOF, Ex. C, Special Multi–Flex Policy Hartford (“Auto Policy”), ECF No. 50–5, and a commercial general liability policy (the “CGL Policy”) issued by Hartford Casualty, see Hartford Casualty SOF, Ex. D, Hartford Spectrum Bus. Ins. Policy (“CGL Policy”), ECF No. 50–6. Hartford Casualty and Hartford Underwriters are affiliated companies. Ewans’ Resp. SOF Hartford Casualty ¶ 44.

 

*4 Mosley purchased the Auto Policy to insure the Mack truck. Id. ¶ 21. The Mack truck, together with the tree spade, is specifically identified in the Auto Policy as the only covered auto. Id.; Ewans’ Resp. SOF Hartford Underwriters ¶ 3. Mosley purchased the CGL Policy to insure his landscaping business, M & W Tree Service. Ewans’ Resp. SOF Hartford Casualty ¶ 22. Mosley purchased both policies at the same time, from the same agent, and they were delivered to him in Mississippi. Id. ¶¶ 23–24.

 

On March 25, 2005, Jason Whitby (“Whitby”), a subcontractor of M & W Tree Service, was involved in an automobile accident with DeShon Ewan while leaving a job site (the “Auto Accident”). Id. ¶¶ 1–2. Whitby was driving the Mack truck with the attached tree spade when he allegedly ran a red light and struck the driver’s side of DeShon Ewans’ car. Id. ¶¶ 1–3; Pls.’ Resp. Ewans SOF ¶ 1.

 

Following the Auto Accident, the Ewans filed suit against Mosley and Whitby seeking $7,500,000.00 in compensatory damages and $7,500,000.00 in punitive damages. Ewans’ Resp. SOF Hartford Casualty ¶ 36; Pls.’ Resp. SOF ¶ 3. The parties ultimately settled this lawsuit on June 9, 2006. Ewans’ Resp. SOF Hartford Casualty ¶¶ 37–38. The Ewans allege that prior to entering into the settlement agreement, their attorney was told that there was only one applicable insurance policy, i.e., the Auto Policy, with a limit of $500,000.00 of coverage. Id. ¶ 37. They claim they were not informed of the existence of the CGL Policy, which provided up to $1,000,000.00 of coverage. Id.

 

On April 4, 2008, the Ewans filed suit in the Chancery Court of Shelby County, Tennessee, to rescind the June 9, 2006, Release and Settlement Agreement, arguing that the CGL Policy provided coverage to which they are entitled for the Auto Accident. Ewans’ Resp. SOF Hartford Underwriters ¶ 14. The Hartford Plaintiffs removed the suit to federal court.

 

III. RULINGS OF LAW

A. Applicable Law

“In the absence of an enforceable choice of law clause [in an insurance policy], Tennessee courts apply the substantive law of the state in which the policy was issued and delivered.” Hollis v. Travelers Indem. Co. of Conn., No. 08–2350–STA, 2010 WL 1050991, at *4 (W.D.Tenn. Mar.19, 2010) (quoting Standard Fire Ins. Co. v. Chester O’Donley & Assocs., Inc., 972 S.W.2d 1, 5 (Tenn.Ct.App.1998)). The two insurance policies at issue here do not contain a choice of law provision, but were issued and delivered to Mosley in Mississippi, Ewans’ Resp. SOF Hartford Casualty ¶ 24; thus, Mississippi law will apply.

 

When interpreting insurance contracts, Mississippi courts consider the policy language through the lens of the substantive contract law of Mississippi.   Architex Ass’n, Inc. v. Scottsdale Ins. Co., 27 So.3d 1148, 1157 (Miss.2010). Mississippi contract law includes the following principles:

 

[I]f a contract is clear and unambiguous, then it must be interpreted as written. A policy must be considered as a whole, with all relevant clauses together. If a contract contains ambiguous or unclear language, then ambiguities must be resolved in favor of the non-drafting party. Ambiguities exist when a policy can be logically interpreted in two or more ways, where one logical interpretation provides for coverage. However, ambiguities do not exist simply because two parties disagree over the interpretation of a policy. Exclusions and limitations on coverage are also construed in favor of the insured. Language in exclusionary clauses must be “clear and unmistakable,” as those clauses are strictly interpreted. Nevertheless, “a court must refrain from altering or changing a policy where terms are unambiguous, despite resulting hardship on the insured.”

 

*5 Id. (quoting U.S. Fid. & Guar. Co. v. Martin, 998 So.2d 956, 963 (Miss.2008)).

 

B. The Auto and CGL Policies: The Dovetail Theory

The Hartford Plaintiffs make the general point that the Auto and CGL Policies are designed to provide “dovetailed coverage” so that no risk the policies together seek to insure is excluded and no risk is insured twice. Hartford Casualty Mem. 12; Hartford Underwriters Mem. 9. The Hartford Plaintiffs argue that the Court ought construe the Auto Policy together with the CGL Policy because the two were executed at the same time by the same agent. As a result, the Hartford Plaintiffs contend that DeShon Ewan’s injuries cannot be covered both by the Auto Policy issued by Hartford Underwriters and the CGL Policy issued by Hartford Casualty. Hartford Casualty Mem. 10; Hartford Underwriters Mem. 9–10.

 

The Ewans argue that the policies ought not be construed together because the policies were not executed between the same parties, and there is insufficient proof that they executed contemporaneously. Ewan’s Resp. Hartford Underwriters 9. The issue at bar is whether this Court ought construe the two existing policies together or determine the issue of coverage exclusively pursuant to the terms of the CGL Policy.

 

The Mississippi Supreme Court asserted that “when separate documents are executed at the same time, by the same parties, as part of the same transaction, they may be construed as one instrument.” Sullivan v. Mounqer, 882 So.2d 129, 135 (Miss.2004). When the individual agreements are “integral and interrelated parts of … one deal,” those individual contracts should be treated as part of a single transaction. Id. at 134; see also Salcedo v. Evanston Ins. Co., 797 F.Supp.2d 760, 776 (W.D.Tex.2011) (noting that where a commercial general liability policy and auto policy were purchased by the same insured, from the same insurer, at the same time, using identical language, “[s]uch facts plausibly gave rise to an inference that the parties intended the two policies to dovetail and not overlap or have gaps”). Construing in concert contracts that were executed as part of the same transaction allows a court to ascertain the true intent of the parties. See One South, Inc. v. Hollowell, 963 So.2d 1156, 1164 (Miss.2007) (explaining that the intent of the parties and the meaning of the two documents ought not be construed from isolated portions).

 

It is undisputed that both policies were executed at the same time. Ewans’ Resp. SOF Hartford Casualty ¶¶ 23–24. The two policies were executed as part of the same transaction. The parties agree that Mosley purchased the CGL Policy to insure his landscaping business. Id. ¶ 22. Indeed, the CGL Policy identified the insured as “John Mosley, d/b/a M & W Tree Service.” The Auto Policy also identified the insured as “John Mosley, d/b/a M & W Tree Service,” and insured the Mack truck and the attached tree spade, which be used exclusively in his landscaping business. Id. ¶ 5. Accordingly, the purpose of the two policies was to create full coverage for any liability arising in relation to M & W Tree Service. See Neal v. Hardee’s Food Sys., Inc., 918 F.2d 34, 37 (1st Cir.1990) (“Although the parties used multiple agreements to delineate their relationship, each agreement was dependent upon the entire transaction. [The purchase agreement] existed to further the single goal of making [the plaintiff a franchisee of the defendant.] The individual agreements were integral and interrelated parts of the one deal.”); Dexter Axle Co. v. Baan USA. Inc., 833 N.E.2d 43 (Ind.Ct.App.2005) (holding that two separately executed contracts, a software agreement and a consulting agreement were part of a single transaction). This Court thus holds that the Auto and CGL Policies were part of a single transaction.

 

*6 The parties dispute whether the policies were executed between the same parties. Ewans’ Resp. Hartford Casualty 6. It is true that the two policies were signed by separate legal entities: Hartford Casualty and Hartford Underwriters. The two companies, however, were represented by the same agent and belong to the same insurance group. Ewans’ Resp. SOF Hartford Casualty ¶¶ 23–24; 44. As a result, in the eyes of the insured, Mosley, the two insurance companies appeared as a single insurance entity. Significantly, the Auto and CGL Policies contain the same logos and same structural form. Also, each policy acknowledges the existence of the other policy stating: “In recognition of the multiple coverages insured with the Hartford, your policy premium includes an account credit.” Auto Policy, Common Policy Declarations; CGL Policy, Spectrum Policy Declarations. By signing two insurance policies at the same time with two insurance companies belonging to the same insurance group, an insured avoids paying for double coverage and buys policies with dovetailing but not overlapping coverage.FN3 Since the two policies were executed at the same time, by the same (affiliated) parties, and constituted the same transaction, the Court construes the two policies together.

 

Construing the policies together, the Court rules the policies were meant to provide a full scope of coverage, without overlapping each other or leaving any gaps. See Stevens v. Fireman’s Fund Ins. Co., 375 F.3d 464, 467 (6th Cir.2004) (acknowledging as “better view” the principle that automobile policies and general liability policies are usually deemed to be complementary rather than overlapping) (internal quotations omitted); see also Middlesex Mut. Assurance Co. v. Fish, 738 F.Supp.2d 124, 132–33 (D.Me.2010) (“[A] standard form CGL policy should mesh with a standard form [commercial] auto policy so that no risk the policies together seek to insure is excluded and no risk is insured twice”); cf. Delta & Pine Land Co. v. Nationwide Agribusiness Ins. Co., 530 F.3d 395 (5th Cir.2008) (noting that under Mississippi law, a court reads an insurance policy as a whole, considering all the relevant portions together and, whenever possible, should give operable effect to every provision in order to reach a reasonable overall result); Standard Mut. Ins. Co. v. Bailey, 868 F.2d 893, 899 n. 7 (7th Cir.1989) (describing the “dovetail theory” that “any one occurrence can only be covered by either the automobile or the homeowner’s policy—but not both”).

 

Importantly, the Auto and CGL Policies also mirror each other’s coverage and exclusions. While the Auto Policy provides coverage for accidents involving an “auto,” Auto Policy 2, the CGL Policy explicitly excludes from coverage damage arising from the use of an “auto.” CGL Policy 6. Also, pursuant to the Auto Policy, the only time “mobile equipment” covered by the CGL Policy FN4 is covered under the Auto Policy is when it is “being carried or towed by a covered ‘auto.’ “ Auto Policy 2. Per the exclusions in the CGL Policy, however, mobile equipment is not covered under the CGL Policy during “transportation of ‘mobile equipment’ by an ‘auto’ owned or operated by or rented or loaned to any insured.” CGL Policy 7. Thus, the two policies are demonstrably designed to provide comprehensive coverage without “double covering” any specific incident. See Travelers Indem. Co. v. Citgo Petroleum Corp., 166 F.3d 761, 769 (5th Cir.1999) (holding that the policies were “interlocked and mutually exclusive” where “[t]he applicable language in the business auto policy providing its coverage [was] virtually identical to the language of the CGL excluding coverage”).

 

*7 The Ewans argue that the Mack truck and tree spade could be both a “covered auto” under the Auto Policy and “mobile equipment” under the CGL Policy, relying on a line of cases where the insurer declined coverage for a vehicle specifically identified as a covered auto in an automobile policy—on the ground that the vehicle was in fact mobile equipment excluded elsewhere in the policy. Ewans Resp. Hartford Underwriters 16–17. For instance, the Ewans rely on Scottdale Insurance Co. v. National Security Fire & Casualty Insurance Co., 741 So.2d 424 (Ala.Civ.App.1997). In Scottsdale Insurance Co., there was a direct conflict in the language of the policy—the same truck that was expressly listed as a covered automobile was also expressly excluded from coverage under another portion of the policy. Id. at 426. The court concluded that the truck was covered by the insurance policy because “the declarations page of the policy includes the truck, which is a piece of ‘mobile equipment’ … and shows that a substantial premium was charged for liability insurance on the truck.” Id.

 

Scottsdale Insurance Co. and its progeny are inapposite, however. Here, the Hartford Plaintiffs do not contend that the Mack truck and the tree spade are not covered by the Auto Policy. Rather, they argue that the Mack truck and the tree spade are covered by the Auto Policy because they are expressly identified as a covered “auto,” and the Mack truck and tree spade are excluded from the CGL Policy because the two existing policies are construed together.

 

C. The Scope of the CGL Policy

Relying on Alpine Insurance Co. v. Planchon, 72 Cal.App.4th 1316, 85 Cal.Rptr.2d 777 (Cal.Ct.App.1999), the Ewans argue that the Mack truck and the tree spade fall within the “mobile equipment” exception to the auto exclusion pursuant to the CGL Policy and are thus covered under both the Auto and CGL Policies. Ewans’ Mem. 8, 10–11. Specifically, the Ewans contend that the tree spade is “permanently mounted” to the Mack truck and that the Mack truck was “maintained primarily for purposes other than the transportation of persons or cargo.” Id. at 7–8, 85 Cal.Rptr.2d 777.

 

The Court is not persuaded. In Alpine, contrary to this case, the California court determined that a standard pick-up truck modified with a hydraulic scissors-lift was “mobile equipment” in a commercial general liability policy. Alpine, 72 Cal.App.4th at 1324, 85 Cal.Rptr.2d 777. The Ewans emphasize the Alpine court’s reasoning that

 

[t]his is not the case where the rose is a rose is a rose…. What Alpine appears not to appreciate is that the category of “auto” may not immediately be self-obvious, but may have some overlap with the category of “mobile equipment.” … [T]he same vehicle could satisfy common understandings of both auto and mobile equipment.

 

Id. at 1321, 85 Cal.Rptr.2d 777. In Alpine, contrary to this case, the parties did not identify the pick-up truck either as an auto or as mobile equipment. Rather, the court was construing the definitions of the commercial liability policy to decide whether the truck was covered or not. Here the Court need not construe the definitions of the CGL Policy because the parties expressly agreed that both the Mack truck and the tree spade constitute an “auto” and are both covered under the Auto Policy.

 

*8 It is important to note—that after the Auto Accident, the Hartford Underwriters accepted coverage for the Auto Accident under the Auto Policy and paid out to the limits of its liability. Pls.’ Resp. Ewans SOF ¶ 25. Mosley, pursuant to the settlement agreement, agreed to the disbursal of the money without suggesting that the Mack truck was actually “mobile equipment” instead of an “auto,” and thus that greater coverage limits applied. Ewans’ Resp. SOF Hartford Casualty ¶¶ 36, 38–39.

 

Construing the contracts together, the intent of the parties and the meaning of the two documents must be determined from the entire transaction. See Sullivan, 882 So.2d at 135. Reading the Auto and the CGL Policies in tandem, the key fact is that the parties expressly agreed that the Auto Policy would provide insurance for the Mack truck and attached tree spade. Hartford Underwriters SOF ¶¶ 21, 28. Since the Court’s role is to “render a fair reading and interpretation of the policy by examining its express language and applying the ‘ordinary and popular meaning’ to any undefined terms,” Corban v. United Servs. Auto. Ass’n, 20 So.3d 601, 609 (Miss.2009) (quoting Noxubee Cnty. Sch. Dist. v. United Nat’l Ins. Co., 883 So.2d 1159, 1165 (Miss.2004)), it follows that this Court is bound by the parties’ defined terms and identified objects. See also Bradley v. Old Republic Life Ins. Co., 712 F.Supp. 90, 94–95 (S.D.Miss.1988) (asserting that a court ought not give an insurance policy “a strained, forced, or unreasonable interpretation, but a fair reasonable and sensible construction, compatible with the apparent object and plain intention of the parties as expressed in the words of the agreement” (quoting Gulf Bldg. Servs., Inc. v. Travelers Indem. Co., 435 So.2d 477, 478 (La.Ct.App.1983))).

 

Pursuant to the express agreement in the “Schedule of Covered Autos You Own” in the Auto Policy, Mosley and the Hartford Underwriters agreed that the Mack truck and the tree spade together constitute an “auto.” Hartford Underwriters SOF ¶¶ 21, 28. Here, where the Mack truck together with attached tree spade is listed as the only covered auto on the Auto Policy, it follows logically that the parties intended that the CGL Policy not cover the Mack truck and the tree spade.FN5 See United Farm Family Mut. Ins. Co. v. Pearce, No. 2–08–07, 2008 WL 4615795, at *5 (Ohio Ct.App. Oct.20, 2008) (holding that the execution of a separate automobile policy to cover the dump truck, together with the fact that the commercial general liability policy did not list the dump truck on the scheduled list of equipment, “certainly indicate that it was parties’ intention that the dump truck not be covered under the CGL policy”). None of the parties to this lawsuit dispute that the Mack truck and the tree spade are covered under the Auto Policy.

 

IV. CONCLUSION

Because the CGL Policy explicitly excludes from coverage damages “arising out of the ownership, maintenance, use or entrustment to others of any … auto … owned or operated by … any insured,” CGL Policy 6, and because the Auto Policy expressly identifies the Mack truck and the tree spade as a “covered auto,” this Court declares that the CGL Policy issued by Hartford Casualty does not provide coverage for alleged damages to the Ewans resulting from the Auto Accident. The Auto Accident was covered exclusively under the Auto Policy with its attendant $500,000.00 limit on liability.

 

*9 IT IS SO ORDERED.

 

FN1. It appears that the Ewans’ responses to Hartford Casualty and Hartford Underwriters’ motions are identical, thus, for ease of reference, when discussing arguments raised by the Ewans in their responses, the Court will cite to the Ewans’ response to Hartford Underwriters’ motion for summary judgment.

 

FN2. As stated above, here the parties waived oral argument.

 

FN3. It makes commercial sense to both insurers and insured, of course, to issue two dovetailing policies with differing policy premiums and liability limits since the underwriting risks of insuring an auto on the nation’s highways are markedly different from the risks that inhere in the operations of a specific business.

 

FN4. The Court infers that “mobile equipment” as defined in the CGL policy is meant to include, without limitation, riding lawnmowers, small off-road tractors, and earth moving equipment.

 

FN5. By reaching the conclusion that the Mack truck together with the attached tree spade are covered under the Auto Policy and thus not covered by the CGL Policy, the Court does not need to attempt the analysis of whether the tree spade was mobile equipment because it was permanently mounted to the Mack truck or whether it was maintained primarily for purposes other than the transportation of persons or cargo.

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