__________________________________________________________________
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Frank P. Bush, Jr., Esq.
Bush & Bush
Elkins, West Virginia
Attorney for the Taylors
Stephen Godfrey Jory, Esq.
Jessica M. Baker, Esq.
Jory & Smith
Elkins, West Virginia
Attorneys for Elkins Home Show
JUSTICE MAYNARD delivered the Opinion of the Court.
CHIEF JUSTICE MCGRAW dissents and reserves the right to file a dissenting
opinion.
1. In
determining whether there is sufficient evidence to support a jury verdict
the court should: (1) consider the evidence most favorable to the prevailing
party; (2) assume that all conflicts in the evidence were resolved by the
jury in favor of the prevailing party; (3) assume as proved all facts which
the prevailing party's evidence tends to prove; and (4) give to the prevailing
party the benefit of all favorable inferences which reasonably may be drawn
from the facts proved. Syllabus Point 5, Orr v. Crowder, 173
W.Va. 335, 315 S.E.2d 593 (1983).
2. In
an ongoing action, in which no final order has been entered, a trial judge
has the authority to reconsider his or her previous rulings, including an
order granting a new trial. Since a trial court has plenary power to reconsider,
revise, alter, or amend an interlocutory order, the court has the power to
take any action with respect to an order granting a new trial.
3. Failure
to comply with the requirements of Rule 52(a), W.Va.R.C.P. authorizes the
appellate court to make independent factual determinations without resorting
to remand where the record contains sufficient dispositive facts for decision.
Syllabus Point 1, Tomkies v. Tomkies, 158 W.Va. 872, 215 S.E.2d 652
(1975).
4. In
this jurisdiction the burden of proving damages by a preponderance of the
evidence rests upon the claimant[.] Syllabus Point 4, in part, Sammons
Bros. Const. Co. v. Elk Creek Coal Co., 135 W.Va. 656, 65 S.E.2d 94 (1951).
5. '[T]he
proper measure of damages in . . . cases involving building contracts is the
cost of repairing the defects or completing the work and placing the construction
in the condition it should have been if properly done under the agreement
contained in the building contract.' Steinbrecher v. Jones, 151 W.Va.
462, 476, 153 S.E.2d 295, 304 (1967). Syllabus Point 2, Trenton Const.
Co., Inc. v. Straub, 172 W.Va. 734, 310 S.E.2d 496 (1983).
6. The
general rule with regard to proof of damages is that such proof cannot be
sustained by mere speculation or conjecture. Syllabus Point 1, Spencer
v. Steinbrecher, 152 W.Va. 490, 164 S.E.2d 710 (1968).
7. Compensatory
damages recoverable by an injured party incurred through the breach of a contractual
obligation must be proved with reasonable certainty. Syllabus Point
3, Kentucky Fried Chicken of Morgantown v. Sellaro, 158 W.Va. 708,
214 S.E.2d 823 (1975).
Maynard, Justice:
Delmar and Helen Taylor,
the appellants and plaintiffs below, appeal the August 1, 2000 order of the
Circuit Court of Randolph County which granted post-verdict judgment as a
matter of law on behalf of the appellee and defendant below, Elkins Home Show.
The Taylors raise several issues on appeal to this Court. After careful consideration
of these issues, we affirm the judgment of the circuit court.
Delmar and Helen
Taylor purchased a double-wide mobile home from Elkins Home Show for $55,569.35.
This price included installation, the laying of a concrete footer, and construction
of a non-weight-bearing perimeter block wall around the bottom of the home.
Defendant below, United Contracting, Inc., was hired by Elkins Home Show to
install the home.
(See footnote 1)
After moving into their new
home, the Taylors complained to Elkins Home Show about several alleged defects
in both the interior and foundation of the home.
(See footnote 2) On May 22, 1998, the Taylors
sued Elkins Home Show and United Contracting alleging breach of express and
implied warranties and violation of the Magnuson-Moss Warranty Act, 15 U.S.C.
§2301, et seq.
(See footnote 3) Specifically, the complaint
alleged that the footer was not installed below the frost line; the perimeter
block wall was cracked; the heating system was inadequate; several doors were
not properly aligned; and some roof shingles were loose.
At a two-day trial on August
17 and 18, 1999, the Taylors testified of various problems with their home.
They also presented the testimony of Leff Moore, Executive Director of the
West Virginia Manufactured Housing Association, a private, nonprofit group,
who testified of various defects in the home's interior. He testified further,
however, that all of these defects, except one, were the responsibility of
the manufacturer, not the retailer. The one problem which he deemed the responsibility
of Elkins Home Show, concerned an overlapping carpet seam. However, he was
prevented by the circuit court from giving an estimate of the cost of repair
of the seam because the estimate was not earlier disclosed to Elkins Home
Show. The Taylors also presented the testimony of E.J. Merritt, a general
contractor, who testified that he gave Mr. Taylor an estimate of $26,907.00
for completely replacing the footers and perimeter block wall.
At the close of the Taylors'
case, United Contracting and Elkins Home Show moved for judgment as a matter
of law, and the circuit court took the motions under advisement. The defendants
then put on evidence that Mr. Taylor caused the footer's inadequate depth
by removing dirt off the top of the footer in order to smooth the land and
provide greater crawl space under the house. The defendants also presented
evidence that Mr. Taylor cracked the perimeter block wall with the bucket
of his backhoe while installing a drain.
The defendants renewed their
motions for judgment as a matter of law at the close of all of the evidence.
The motions again were taken under advisement by the circuit court. Also,
at this time, the circuit court granted the defendants' motion to exclude
Mr. Merritt's written repair estimate because of its speculative nature. In
addition, due to the insufficiency of the evidence on the alleged interior
defects, the parties agreed to exclude these items from the verdict form,
and to include only alleged damage to the footers, piers, perimeter block
work, as well as annoyance and inconvenience damages. The jury returned
a verdict in favor of United Contracting, and it is not a party on appeal.
(See footnote 4)
However, the jury found that Elkins Home Show violated express and implied
warranties made to the plaintiffs, and also failed to make repairs to defects
in the home after repeated demands.
(See footnote 5) The jury awarded damages
of $4,000 for the perimeter block wall and aggravation and inconvenience damages
of $14,142.00.
On August 23, 1999, Elkins
Home Show filed a renewed motion for judgment as a matter of law. The jury
verdict order was entered on September 3, 1999. On October 20, 1999, the circuit
court denied Elkins Home Show's motion for judgment as a matter of law but
granted a new trial on the sole issue of the block wall. On November 3, 1999,
Elkins Home Show filed a W.Va.R.C.P. Rule 60(b)(6) motion for reconsideration
in which it argued, inter alia, that the circuit court failed to specify
grounds for a new trial, improperly awarded a new trial where none of the
parties had moved for a new trial, and failed to address the sufficiency of
the Taylors' case-in-chief. At a November 29, 1999 hearing, Elkins Home Show's
motion for reconsideration was taken under advisement. On May 24, 2000, Elkins
Home Show filed its second renewed motion for judgment as a matter of law.
On August 1, 2000, the circuit court granted Elkins Home Show's second renewed
motion for judgment as a matter of law. The Taylors now appeal this order.
When this Court reviews
a circuit court's grant of post-verdict judgment as a matter of law, we are
mindful that,
In
determining whether there is sufficient evidence to support a jury verdict
the court should: (1) consider the evidence most favorable to the prevailing
party; (2) assume that all conflicts in the evidence were resolved by the
jury in favor of the prevailing party; (3) assume as proved all facts which
the prevailing party's evidence tends to prove; and (4) give to the prevailing
party the benefit of all favorable inferences which reasonably may be drawn
from the facts proved.
Syllabus Point 5, Orr v. Crowder, 173 W.Va. 335, 315 S.E.2d 593 (1983).
Concerning our standard of reviewing a circuit court's grant of post-verdict
judgment as a matter of law, we recently stated:
We
apply a de novo standard of review to the grant . . . of a . . . post-verdict
motion for judgment as a matter of law. After considering the evidence in
the light most favorable to the nonmovant party, we will sustain the granting
or denial of a . . . post-verdict motion for judgment as a matter of law when
only one reasonable conclusion as to the verdict can be reached.
Gillingham v. Stephenson, 209 W.Va. 741, ___, 551 S.E.2d 663, 667 (2001)
(citation omitted). We now proceed to consider the Taylors' arguments with
the above standard as our guide.
Further, we reject the Taylors
argument that the rules of civil procedure do not provide for a motion for
reconsideration under these circumstances. This Court has stated,
In
an ongoing action, a trial judge has the authority to reconsider his or her
previous rulings, including an order granting a new trial. . . . Since [a
trial] court has plenary power to reconsider, revise, alter, or amend an interlocutory
order, the court has the power to take any action with respect to an order
granting a new trial.
Id. Therefore, we believe that the circuit court had plenary authority
to reconsider its October 20, 1999 order granting a new trial. In light of
this authority, Elkins Home Show's May 24, 2000 motion may best be viewed
as a routine request for reconsideration of an interlocutory . . . decision.
. . . Such requests do not necessarily fall within any specific . . . Rule.
They rely on the inherent power of the rendering . . . court to afford such
relief from interlocutory judgments . . . as justice requires. State
ex rel. Crafton v. Burnside, 207 W.Va. 74, 77, 528 S.E.2d 768, 771 (2000),
quoting Greene v. Union Mutual Life Ins. Co. of America, 764 F.2d 19,
22 (1st Cir. 1985). We therefore find that the circuit court clearly retained
its authority to vacate its order granting a new trial and to grant judgment
as a matter of law on behalf of Elkins Home Show.
Second, the Taylors complain
that the circuit court's August 1, 2000 order fails to set forth findings
of fact and conclusions of law and is, therefore, inadequate under Fayette
County Nat'l Bank v. Lilly, 199 W.Va. 349, 484 S.E.2d 232 (1997). Because
of this alleged inadequacy, the Taylors contend that the order should be reversed
and remanded for the requisite findings. Elkins Home Show responds that the
reasons for the circuit court's order are amply set forth in the trial judge's
colloquy in the record, and there is no need to reverse and remand.
Although the Taylors cite
to Fayette v. Lilly to support their position, Lilly applies
specifically to orders granting summary judgment and not to orders granting
post- verdict judgments as a matter of law pursuant to Rule 50(b). In addition
to Lilly, Rule 52 of the West Virginia Rules of Civil Procedure requires
findings of fact and conclusions of law in several instances including actions
tried upon the facts without a jury or with an advisory jury, the granting
or refusal of preliminary injunctions, and partial judgments as a matter of
law in trials without a jury.
(See footnote 8) None of these circumstances
are present here. Otherwise, Rule 52(a) provides that findings of fact and
conclusions of law are unnecessary on decisions of motions.
(See footnote 9) While it may be the preferred
practice, we do not believe that the circuit court was required under Lilly
or Rule 52(a) to set forth findings of fact and conclusions of law in
its August 1, 2000 order.
However, even if Rule 52(a) required findings of fact and conclusions of law in the circuit court's order, we held in Syllabus Point 1 of Tomkies v. Tomkies, 158 W.Va. 872, 215 S.E.2d 652 (1975), that [f]ailure to comply with the requirements of Rule 52(a), W.Va.R.C.P. authorizes the appellate court to make independent factual determinations without resorting to remand where the record contains sufficient dispositive facts for decision. Our review of the record indicates that it contains sufficient dispositive facts for this Court to make independent factual determinations without resort to remand. (See footnote 10)
Accordingly, we find no merit to the Taylors' second assignment or error.
As their final assignment of error, the Taylors challenge the circuit court's grant of judgment as a matter of law on behalf of Elkins Home Show. The Taylors argue that when viewed in the light most favorable to them, the evidence clearly establishes that the interior of their home contained several defects, they made numerous complaints to Elkins Home Show, and Elkins Home Show failed to repair the defects within a reasonable time. The Taylors assert that this establishes a prima facie case under the Magnuson-Moss Act. Concerning the block perimeter wall, the Taylors point to evidence that the block wall contained numerous cracks which permitted drainage water to accumulate under their home. Further, Mr. Merritt estimated that it would cost $2,500.00 to replace the wall. Because Mr. Merritt could not separate the cost of the cement to replace the wall with the cement to replace the footers, the Taylors' conclude that the jury had sufficient evidence to determine that an additional $1,500.00 was a necessary cost to complete the repair of the block wall, bringing the total amount of damages for the block wall to $4000.00.
We conclude, first, that the
circuit court was correct in granting judgment as a matter of law on the Taylors'
Magnuson-Moss Warranty Act claim for defects in the interior of the home.
Although the Taylors alleged several defects in the home's interior, they
completely failed to adduce evidence either that the alleged defects existed,
that the alleged defects were the responsibility of Elkins Home Show to repair,
or the amount of damages caused by the alleged defects. Mr. Moore, the Taylors'
only expert on the alleged interior defects, testified that there were defects
in the front door, kitchen floor, and cabinet knobs but that these defects
were the responsibility of the manufacturer, not the retailer, to repair.
Mr. Moore testified further that he found nothing wrong with the allegedly
defective bathroom floor and back door. While Mr. Moore could not testify
with certainty concerning the existence of an alleged crack in the skylight,
he opined that any such defect would be the manufacturer's responsibility
to repair. Concerning alleged defects in the heating and cooling system, Mr.
Moore concluded that if the repair person sent by Elkins Home Show
modified the duct work, as reported by Mr. Taylor, without prior approval
by the system's design engineer, the system may no longer be in compliance
with federal standards. Finally, Mr. Moore testified that there was a defect
in the carpet seam which was the responsibility of Elkins Home Show to remedy,
but he did not testify to the estimated cost to repair the defect.
(See footnote 11)
Most significantly, the record
indicates that during the trial, counsel for the Taylors agreed that he presented
no evidence on the cost of repair of the alleged interior defects. In light
of this, all parties agreed that only claims for the footers, piers, perimeter
block wall, and aggravation and inconvenience damages would be placed on the
verdict form for the jury's consideration. Accordingly, issues concerning
alleged interior defects were extinguished prior to the case going to the
jury and will not be reconsidered by this Court.
The next issue for our consideration
is the $4000.00 awarded by the jury for defects in the block wall. Mr. Taylor
testified that the block wall was cracked and that, as a result, water came
in under the house. E.J. Merritt testified that he saw cracks in the block
wall and water underneath the house. Leff Moore testified that water is not
supposed to run underneath a house because it can cause sinking, sweating,
and deterioration. He also testified, however, that he did not know the source
of the water underneath the Taylors' house. Other evidence indicated that
Mr. Taylor improperly installed the perimeter drain pipes which may have contributed
to water collection under the house. Finally, Elkins Home Show adduced evidence
that Mr. Taylor accidentally damaged the block wall himself while using his
backhoe to correct the drain pipes, and that he allowed water to stand along
the perimeter of the house.
Concerning the cost of repairing
alleged defects in the block wall, the record indicates that at Mr. Taylor's
request, Mr. Merritt gave an estimate for complete replacement of the footer,
support piers, and perimeter block wall, in the amount of $26,907.00. $2,500.00
of this amount was specifically for replacement of the block wall. The circuit
court ruled that Mr. Merritt's written estimate was too speculative and, therefore,
inadmissible, but did allow the jury to consider Mr. Merritt's oral testimony
on this issue.
In this jurisdiction
the burden of proving damages by a preponderance of the evidence rests upon
the claimant[.] Syllabus Point 4, in part, Sammons Bros. Const. Co.
v. Elk Creek Coal Co., 135 W.Va. 656, 65 S.E.2d 94 (1951).
[T]he
proper measure of damages in . . . cases involving building contracts is the
cost of repairing the defects or completing the work and placing the construction
in the condition it should have been if properly done under the agreement
contained in the building contract. Steinbrecher v. Jones, 151 W.Va.
462, 476, 153 S.E.2d 295, 304 (1967).
Syllabus Point 2, Trenton Const. Co., Inc. v. Straub, 172 W.Va. 734,
310 S.E.2d 496 (1983) (per curiam). Further, [t]he general rule with
regard to proof of damages is that such proof cannot be sustained by mere
speculation or conjecture. Syllabus Point 1, Spencer v. Steinbrecher,
152 W.Va. 490, 164 S.E.2d 710 (1968). Rather, [c]ompensatory damages
recoverable by an injured party incurred through the breach of a contractual
obligation must be proved with reasonable certainty. Syllabus Point
3, Kentucky Fried Chicken of Morgantown v. Sellaro, 158 W.Va. 708,
214 S.E.2d 823 (1975).
The problem with the Taylors'
evidence on the allegedly defective block wall concerns the proof of damages.
Neither Mr. Merritt, nor any other witnesses, opined that complete replacement
of the wall was necessary to put the wall in the condition it should have
been if properly constructed. As a result, the possibilities remain that the
wall could have been repaired at a lesser cost, or perhaps not repaired at
all since the wall was not weight-bearing, and the evidence was disputed whether
cracks in the wall were the cause of water collecting under the house. We
believe, therefore, that the cost of complete replacement of the wall, absent
any evidence that complete replacement was necessary, constituted an improper
measure of damages. As such, any amount of damages based on the cost of complete
replacement of the perimeter block wall is mere speculation and fails under
our rule which requires proof of damages with reasonable certainty. Accordingly,
viewing the evidence in the light most favorable to the Taylors, we conclude
that the Taylors failed to produce sufficient evidence on damages to the block
wall to sustain a verdict on their behalf.
This leaves us to consider
whether the circuit court properly granted judgment as a matter of law to
Elkins Home Show on the jury award of $14,142.00 for aggravation and inconvenience.
We have thus far determined that the Taylors failed to present sufficient
evidence to sustain verdicts on both the alleged interior defects and alleged
defects in the block wall. Absent sufficient proof that Elkins Home Show breached
contractual duties owed to the Taylors or that any alleged breach damaged
the Taylors, there is no basis under the law for an award of aggravation and
inconvenience damages. Accordingly, we find that the circuit court properly
granted judgment as a matter of law to Elkins Home Show on the issue of aggravation
and inconvenience damages.
Affirmed.
We
have nothing on the door frame as far as cost to repair -- we have the carpet
seam, but we have no cost to repair that. Mr. Moore said that the vinyl in
the bathroom was okay. We have the -- perhaps crack in the skylight which
we don't know when it occurred or even if it exists, but your witness says
that it is the responsibility of the manufacturer. But even if it's the responsibility
of the retailer we have no cost to repair in this case do we? We have the
back door which Mr. Moore says is okay -- we have the kitchen floor which
your evidence says is the responsibility of the manufacturer, and even if
we did we have no cost to repair that. We have the door knob on the kitchen
cabinet which your evidence says is the responsibility of the manufacturer,
and even if we hold the retailer to that we have no cost to repair. We have
the duct system which your evidence says is the . . . responsibility of the
manufacturer, and even if we hold the retailer there's no cost to repair or
do anything or certify or anything else.
We
have the footings which your evidence says . . . was caused by the Plaintiff
to begin with and also which your evidence says can be repaired by putting
dirt over it which the Defendants offered to do, and which your evidence says
you refused to do -- or your clients refused to do. Why should I let this
case go to the Jury? Aren't we just playing with the lottery?
Later in the trial, the court characterized the case as a mess. Finally, prior to submitting the case to the jury, the court remarked to counsel, [y]ou know I believe very strongly in a person's right to present a legitimate claim to the Court and have their claim litigated, but I think I've done a very poor job in this case by not dismissing the Plaintiffs' claim long, long ago.