Arkansas State Highway Commission v. Wood

285 S.W.3d 256, 102 Ark. App. 348, 2008 Ark. App. LEXIS 421
CourtCourt of Appeals of Arkansas
DecidedMay 28, 2008
DocketCA 07-1118
StatusPublished
Cited by3 cases

This text of 285 S.W.3d 256 (Arkansas State Highway Commission v. Wood) is published on Counsel Stack Legal Research, covering Court of Appeals of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arkansas State Highway Commission v. Wood, 285 S.W.3d 256, 102 Ark. App. 348, 2008 Ark. App. LEXIS 421 (Ark. Ct. App. 2008).

Opinion

Sarah J. Heffley, Judge.

In this eminent-domain case, the Arkansas State Highway Commission (Commission) brings an appeal from the trial court’s order granting a new trial on the issue of just compensation to appellees, Wallace F. Wood and Evelyn F. Wood, trustees of the Wood Revocable Trust (Trust). For reversal, the Commission argues that the trial court erred in concluding that the jury’s verdict was clearly contrary to the preponderance of the evidence. We affirm the trial court’s decision.

The Trust owns land on either side of Highway 63 in Poinsett County. Specifically, it owns a triangular-shaped, 15.69-acre tract to the north and east of the highway, and an elongated, 528-acre tract directly across the road to the south and west. In 2004, the Commission made plans to convert Highway 63 into a non-access facility in connection with the Highway 118 Interchange project near Tyronza in preparation for Interstate 554. It then commenced proceedings to condemn the access rights of the 15.69-acre tract to Highway 63, but not the access rights lost by the 528-acre tract. In a separate action, the Trust obtained an injunction to prohibit the Commission from taking the access rights of the 528-acre tract to Highway 63 without bringing a condemnation action. By agreement, the two cases were consolidated, and the injunction was dissolved.

At trial, Donald Bearden, the Commission’s appraiser, testified that the project left the 15.69-acre tract landlocked and completely without access. His opinion was that the highest and best use of the property was commercial and that before the taking the land had a value of $3,200 an acre, and after the taking it had a value of $250 an acre. Accordingly, his estimate of just compensation in before-and-after value was $46,250.

Mr. Bearden stated that the highest and best use of the 528-acre tract was agricultural, and he assigned a value of $1,800 an acre for the tract. However, he maintained that the value of this parcel was not affected by the loss of access to Highway 63 because the property could be accessed at its south end by Highway 322. He did estimate $5,000 as a “cost to cure” for replacing a culvert for the access point at Highway 322.

Bearden further testified that regulations required the landowner to be given the opportunity to inspect the property with him, but no one representing the Trust was afforded that privilege when he inspected the 528-acre tract. Bearden said that when he inspected this property he only went a short distance into the field because he did not want to damage the wheat crop growing on the land. He had no knowledge of how the tract was farmed or how farming equipment entered and left the field during planting and harvesting seasons.

Lewis Wood farmed the land for the family trust for almost thirty years until 1998 when he retired after suffering a second heart attack. To summarize his testimony, the 528-acre tract was divided in two parts by a slough that held water and remained wet, especially in the spring and fall. Although Highway 322 provided easy access to the southern portion of the tract, that highway did not provide access to the northern 378 acres because of the slough, the distance (a mile and three quarters), and the lack of a road connecting the two parts. Because of these obstacles, Highway 63 had been depended upon to access the 378 acres to the north with heavy equipment and trucks that were necessary to service water wells and other farming vehicles.

Mr. Wood valued the 15.69-acre tract before the taking at $4,000 an acre and said that it was worth only $100 an acre after the taking because of the complete loss of access. Thus, he estimated the cost of just compensation to be roughly $61,200. He believed that the northern 378 acres of the larger tract had been damaged by the loss of access from Highway 63. He placed a value on the 378 acres at $2,750 before the taking and said that its value had been reduced to $1,500 an acre after the taking. He asked for just compensation in the amount of $472,500 for the loss of access to the larger tract.

The Trust’s appraisers offered no opinion on the before- and-after value of the 15.69-acre tract. They agreed with Mr. Wood that the northernmost 378 acres of the larger tract had been severely damaged by the loss of access from Highway 63, and they both agreed that the 378 acres was valued at $1,750 an acre before the taking, or $663,000, and that it had a value of $1,159 an acre after the taking, or $439,000. Thus, they stated that the 378 acres had been damaged in the amount of $224,000.

The jury returned a verdict of $51,250 for the loss of access to both tracts. The Trust filed a motion for a new trial, in which it argued that the assessment of damages by the jury was clearly the result of passion or prejudice because of inflammatory comments made by the Commission during closing arguments; that the jury’s assessment of the amount of recovery was erroneous because it was outside the range of the value testimony; and that the jury’s verdict was clearly contrary to a preponderance of the evidence. After conducting a hearing, the trial court concluded that the jury’s verdict was clearly against the preponderance of the evidence. The Commission has brought this appeal from the order granting a new trial.

Rule 59 of the Arkansas Rules of Civil Procedure governs motions for a new trial and provides in relevant part:

A new trial may be granted to all or any of the parties and on all or part of the claim on application of the party aggrieved, for any of the following grounds: ... (5) error in the assessment of the amount of recovery, whether too large or too small; (6) the verdict or decision is clearly contrary to a preponderance of the evidence ....

When determining whether a new trial is merited pursuant to the rule, the trial court has limited discretion because it may not substitute its view of the evidence for the jury’s except when the verdict is clearly against the preponderance of the evidence. Switzer v. Shelter Mutual Ins. Co., 362 Ark. 419, 208 S.W.3d 792 (2005). In reviewing the trial court’s granting of a motion for a new trial, the test is whether the trial court abused its discretion. Carlew v. Wright, 356 Ark. 208, 148 S.W.3d 237 (2004). We have noted that a showing of abuse of discretion is more difficult when a new trial has been granted because the party opposing the motion will have another opportunity to prevail. Id.

The Commission contends that the trial court abused its discretion by granting the new-trial motion because it substituted its judgment for that of the jury. Appellant points out that the jury’s verdict was consistent with the testimony of Mr. Bearden and that the jury rejected the opposing evidence presented by the Trust.

The jury found that $51,250 would compensate the Trust for the loss of access to both tracts. We agree with the Commission’s assessment that the jury’s verdict comports with the testimony of its appraiser, Mr. Bearden.

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Cite This Page — Counsel Stack

Bluebook (online)
285 S.W.3d 256, 102 Ark. App. 348, 2008 Ark. App. LEXIS 421, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arkansas-state-highway-commission-v-wood-arkctapp-2008.