3 S Inc., Co. v. Zarek

504 N.W.2d 153, 1993 Iowa App. LEXIS 75, 1993 WL 286867
CourtCourt of Appeals of Iowa
DecidedMay 25, 1993
Docket91-2007
StatusPublished
Cited by2 cases

This text of 504 N.W.2d 153 (3 S Inc., Co. v. Zarek) is published on Counsel Stack Legal Research, covering Court of Appeals of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
3 S Inc., Co. v. Zarek, 504 N.W.2d 153, 1993 Iowa App. LEXIS 75, 1993 WL 286867 (iowactapp 1993).

Opinion

DONIELSON, Judge.

The plaintiff, 3 S Inc., and cross-defendant, Marlin Brown, appeal from a judgment of the district court which awarded the defendant, Bill Zarek, partial attorney fees, overruled 3 S Inc.’s motion for new trial, and dismissed additional claims filed against Zarek.

Zarek is the owner of a farm and surrounding land in Adams County. 3 S Inc. is an Iowa corporation which entered into a farm lease with Zarek on October 19, 1988. Marlin Brown is an agent of 3 S Inc.

In July 1990, 3 S Inc. filed a petition requesting injunctive relief to keep Zarek from allegedly interfering with 3 S Inc.’s use of the property under the lease. In August 1990, 3 S Inc. amended the petition and claimed damages for the alleged interference by Zarek of 3 S Inc.’s use and occupancy of the leased premises. Zarek subsequently counterclaimed, alleging nonpayment of rent and expenses.

On October 2, 1991, 3 S Inc. and Brown mailed a document entitled “Offer for *155 Peace by Way of Offer to Confess Judgment and Payment under Iowa Code section 677.4-6.” to Zarek and to the presiding trial judge. The letter offered to confess judgment in the amount of $2,421.44 together with 3 S Inc.’s waiver of its right to be reimbursed for any court costs it had already advanced. In return, Zarek was to release and dismiss all claims against 3 S Inc., Brown, and any others involved in the leasing of the farm. This offer was not answered.

A jury trial was held between October 8 and October 11, 1991. Prior to the case’s submission to the jury, 3 S Inc. requested Zarek’s claim for attorney fees be submitted to the jury as an issue of damages. The district court denied the motion. The jury returned a verdict in favor of Zarek on his claims against 3 S Inc. in the amount of $2375, and on his claims against Marlin Brown in the amount of $350. The district court awarded Zarek costs in the amount of $368.89, and ordered a hearing be held on the issue of attorney fees.

3 S Inc. and Brown filed a motion for new trial. They argued the district court should have submitted the issue of attorney fees to the jury. They also alleged the jury had engaged in misconduct by considering exhibits not introduced into evidence. On November 5, 1991, 3 S Inc. and Brown also filed a new counterclaim, cross-claim, and third-party petition as an amendment, adding claims of “champerty and maintenance” and of “extortion.”

That same day, the hearing on the issue of attorney fees and the posttrial motions was held. 3 S Inc. called three jurors, who testified several jurors had requested help in reading a portion of exhibit 1, the lease. The portion which was illegible was paragraph 27, which dealt with attorney fees and costs. As a result, the bailiff and the clerk’s office enlarged the lease on a copy machine. The jury also attempted to get a magnifying glass to aid in reading the lease. Another juror testified the bailiff had brought the jury a blank lease form. Upon discovering the blank form was not the same as exhibit 1, the jury then requested the enlargements.

On November 27, the district court entered its ruling and order. The court overruled the motions for a new trial and awarded Zarek $4903 in attorney fees. The court also dismissed the new claims which 3 S Inc. and Brown had raised. 3 S Inc. and Brown filed a notice of appeal.

3 S Inc. argues the district court: (1) abused its discretion by refusing to order a new trial based on jury misconduct, (2) denied 3 S Inc. its right to trial by jury by refusing to submit the issue of attorney fees to the jury, (3) abused its discretion in awarding attorney fees, and (4) erred in dismissing the counterclaims and third-party claims filed after the jury verdict. Za-rek requests appellate attorney fees. Brown did not file a separate brief.

Our scope of review is for the correction of errors of law. Iowa R.App.P. 4.

I. Jury Misconduct 3 S Inc. first contends the jury’s consideration of exhibits not introduced into evidence constituted misconduct and the district court erroneously denied 3 S Inc. a new trial.

The district court has considerable discretion in determining whether to grant or refuse a new trial based on jury misconduct. Moore v. Vanderloo, 386 N.W.2d 108, 118 (Iowa 1986) (citing Pease v. Zazza, 295 N.W.2d 43, 49 (Iowa 1980)). “ ‘In order to justify a new trial on the basis of misconduct of jurors it must appear the misconduct was calculated to, and it is reasonable probable it did, influence the verdict.’ ” Id. (quoting In re Estate of Cory, 169 N.W.2d 837, 845 (Iowa 1969)). In other words, it must appear there is a reasonable probability the misconduct influenced the verdict.

In this case, there was no evidence the enlargements or the blank lease form influenced the jury’s decision in any way. The portion of the lease which was illegible, paragraph 27, dealt with attorney fees. The jury was advised by the court that attorney fees and costs were for the court to decide and were not to be addressed in their deliberations.

*156 We find no reasonable probability the enlargement of paragraph 27 or the production of a blank lease form influenced the verdict. The district court did not abuse its discretion in refusing to grant a new trial on the basis of jury misconduct.

II. District Court’s Refusal to Submit the Issue of Attorney Fees to the Jury. 3 S Inc. contends it was denied its right to trial by jury and procedural due process by the district court’s refusal to submit the claim for attorney fees to the jury.

The right to a jury trial is not a fundamental right in proceedings created by statute. Smith v. ADM Feed Corp., 456 N.W.2d 378, 382 (Iowa 1990) (citing State ex rel. Bishop v. Travis, 306 N.W.2d 733, 734 (Iowa 1981)). Attorney fees generally are not recoverable as damages in the absence of a statute or a provision in a written contract. Suss v. Schammel, 375 N.W.2d 252, 256 (Iowa 1985). Therefore, a right to recover attorney fees as costs does not exist as a right under common law.

In this case, the right to attorney fees is controlled by Iowa Code section 625.22 (1991). Section 625.22 provides, in relevant part: “When judgment is recovered upon a written contract containing an agreement to pay an attorney’s fee, the court shall allow and tax as a part of the costs a reasonable attorney’s fee to be determined by the court.” (Emphasis added.)

A statute is presumed to be constitutional, and any invalidity must be clearly shown. State ex rel. Keasling v. Keasling, 442 N.W.2d 118, 122 (Iowa 1989) (citation omitted). 3 S Inc.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Golden Circle Air, Inc. v. Sperry
543 N.W.2d 629 (Court of Appeals of Iowa, 1995)
Federal Land Bank of Omaha v. Woods
520 N.W.2d 305 (Supreme Court of Iowa, 1994)

Cite This Page — Counsel Stack

Bluebook (online)
504 N.W.2d 153, 1993 Iowa App. LEXIS 75, 1993 WL 286867, Counsel Stack Legal Research, https://law.counselstack.com/opinion/3-s-inc-co-v-zarek-iowactapp-1993.