Branam v. Crowder (In Re Branam)

226 B.R. 45, 98 Cal. Daily Op. Serv. 7900, 98 Daily Journal DAR 10993, 1998 Bankr. LEXIS 1313, 1998 WL 735956
CourtUnited States Bankruptcy Appellate Panel for the Ninth Circuit
DecidedOctober 7, 1998
DocketBAP No. NC-98-1262-RPMe, Bankruptcy No. 96-58954-JRG, Adversary No. 97-5076
StatusPublished
Cited by51 cases

This text of 226 B.R. 45 (Branam v. Crowder (In Re Branam)) is published on Counsel Stack Legal Research, covering United States Bankruptcy Appellate Panel for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Branam v. Crowder (In Re Branam), 226 B.R. 45, 98 Cal. Daily Op. Serv. 7900, 98 Daily Journal DAR 10993, 1998 Bankr. LEXIS 1313, 1998 WL 735956 (bap9 1998).

Opinion

OPINION

RUSSELL, Bankruptcy Judge.

This appeal addresses the preclusive effect of a state court civil jury verdict for assault and battery in a nondischargeability proceeding under § 523(a)(6). 1 Appellee Keith Crowder won a tort judgment against his co-employee, appellant Steven Scott Branam. In a subsequent bankruptcy case, the bankruptcy court concluded that the findings contained in the jury’s special verdict precluded Branam from relitigating the issue of whether the judgment arose from a willful and malicious injury. The court entered summary judgment in Crowder’s favor.

Branam filed a motion for reconsideration and a motion for joinder of his employer’s workers’ compensation insurance carrier as an additional plaintiff in the adversary proceeding. The court denied the motions, and Branam appeals. We AFFIRM.

I. FACTS

Appellant Steven Scott Branam was employed as a salesman and appellee Keith Crowder was employed as an assistant service manager by Allison Bavarian, Inc., dba Allison BMW (“Allison”), a BMW auto dealership located in Sunnyvale, California. On February 19, 1993, Branam and Crowder became involved in an altercation on Allison’s business premises over the installation of windshield wiper blades on a BMW.

Their descriptions of the incident were vastly different. According to Branam, Crowder, who Branam claims instigated the incident, refused his request for help with the wiper blades, followed him to the showroom floor while yelling at him, dared Bra-nam to hit him, and bumped up against him. Branam grabbed Crowder’s shirt after their supervisor stepped between them, and then went outside. 2 According to Crowder, Bra-nam, who Crowder claims instigated the incident, became enraged when Crowder refused to help, grabbed him by the throat with his left hand, and pushed and twisted him against a vehicle on the showroom floor. 3

In January 1994, Crowder filed a complaint in the Superior Court for the State of California, County of Santa Clara, seeking *48 damages against Branam for personal injury, assault and battery, and intentional tort, and against Allison for ratification of the intentional tort (the “state court action”). In his answer, Branam asserted as an affirmative defense the exclusive remedy provision of Cal. Labor Code § 3601(a)(1), which limits recovery for an assault in the workplace to compensation under the workers’ compensation laws unless the injury resulted from the other employee’s “willful and unprovoked physical act of aggression.”

A two-day arbitration hearing was held in January 1995. The arbitrator issued an Award of Arbitration in February 1995, denying Crowder’s claims and awarding statutory costs to Branam and Allison. The court denied a motion for summary judgment by Allison in April 1996, however, stating, inter alia, that “There are material inconsistencies between the version[s] of the subject incident provided by [Allison and its employees]; the inconsistencies are such that both reports cannot be true and accurate.”

A two week trial began in the state court action on June 3, 1996. The jury returned a special verdict in Crowder’s favor on June 18, 1996, following sworn testimony by witnesses, argument by counsel, receipt of jury instructions from the court, and deliberations. The jury awarded Crowder $750,000 in economic damages, and held Branam and Allison jointly and severally liable on the judgment. The jury did not award punitive damages.

On June 19,1996, the state court entered a Judgment on Special Verdict, which incorporated the jury’s special verdict. The Judgment included the following findings by the jury:

Question No. 1: Did defendant BRA-NAM intend to cause a harmful or offensive contact with Plaintiff?
Answer “yes” or “no.”
Answer: YES
Question No. É: Did Plaintiff CROW-DER suffer injury as a result of Defendant BRANAM’S actions?
Answer “yes” or “no.”
Answer: YES
Question No. 3: Did Plaintiff CROW-DER consent to defendant BRANAM’S actions?
Answer “yes” or “no.”
Answer: NO
Question No. U: Did the conditions of compensation set forth in labor Code § 3600 concur?
Answer: YES
Question No. 5: Were plaintiff CROW-DER’S injuries proximately caused by Defendant BRANAM’S willful, unprovoked, physical act of aggression?
Answer “yes” or “no.”
Answer: YES
Question No. 6: Did defendant BRA-NAM honestly and reasonably believe Plaintiff CROWDER was about to inflict harm on him?
Answer “yes” or “no.”
Answer: NO
Question No. 7: Did defendant BRA-NAM use only such force against Plaintiff CROWDER as appeared reasonably necessary under the circumstances?
Answer “yes” or “no.”
Answer: NO
Question No. 8: Did Defendant ALLISON BMW ratify Defendant BRANAM’s actions?
Answer “yes” or “no.”
Answer: YES
Question No. 10: Do you find by clear and convincing evidence that Defendant Branam committed malice in the conduct upon which you base your finding of liability for assault and battery?
Answer “yes” or “no.”
Answer: NO

*49 In August 1996, the state court held a hearing on Branam’s motion for a new trial and to tax costs, Allison’s motion for a judgment notwithstanding the verdict and new trial, and Crowder’s motion for attorneys’ fees. On September 6¡ 1996, the state court entered an order denying all of the motions and authorizing Crowder to recover costs in the amount of $125,172.85 from Branam and $130,253.25 from Allison. The judgment against Branam thus totaled $875,172.85. Branam and Allison filed separate appeals with the California Court of Appeal.

Branam filed a voluntary chapter 7 case on November 20, 1996, listing Crowder’s $875,-172.85 judgment as an unsecured debt on his schedules. Crowder filed an adversary proceeding against Branam on February 13, 1997, seeking to have the debt determined nondisehargeable under § 523(a)(6). On the same day, Branam’s appeal to the California Court of Appeal was dismissed. 4

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226 B.R. 45, 98 Cal. Daily Op. Serv. 7900, 98 Daily Journal DAR 10993, 1998 Bankr. LEXIS 1313, 1998 WL 735956, Counsel Stack Legal Research, https://law.counselstack.com/opinion/branam-v-crowder-in-re-branam-bap9-1998.