Chavez-Rey v. Miller

658 P.2d 452, 99 N.M. 377
CourtNew Mexico Court of Appeals
DecidedDecember 22, 1982
Docket5660
StatusPublished
Cited by31 cases

This text of 658 P.2d 452 (Chavez-Rey v. Miller) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chavez-Rey v. Miller, 658 P.2d 452, 99 N.M. 377 (N.M. Ct. App. 1982).

Opinion

OPINION

DONNELLY, Judge.

Plaintiffs, as husband and wife, appeal from an order of the trial court granting remittitur of an award for punitive damages entered following trial by jury. Defendants also pursue a cross-appeal herein.

On appeal the issues asserted by plaintiffs are: (1) jurisdiction of trial court to grant remittitur; (2) whether there was abuse of discretion in granting remittitur and (3) claim of error in not permitting plaintiffs an option to agree to either a new trial or the remittitur. For their cross-appeal, defendants have raised a single issue, alleging the trial court erred in refusing to grant their motion for directed verdict. We reverse on plaintiffs’ appeal and affirm on defendants’ cross appeal.

The underlying facts essential to the disposition of this appeal are undisputed. Plaintiffs filed suit alleging that they placed certain items of personal property in storage at defendants’ warehouse facilities in Alamogordo. In their complaint, plaintiffs alleged that defendants either breached a contract, or, in the alternative, wrongfully converted goods in violation of the terms of a written lease agreement when they sold the items of property owned by plaintiffs. Plaintiffs prayed for both compensatory and punitive damages. Defendants denied liability for loss of plaintiffs’ property and any damages ensuing therefrom.

Following a trial by jury on the issues raised therein, the jury returned a verdict awarding plaintiffs the sums of $1,200.00 as compensatory damages and $3,550.00 as punitive damages against the defendants.

On December 15, 1981, the trial court entered judgment in favor of plaintiffs in accordance with the jury verdict. Later, on the same day that judgment was entered, defendants filed a motion for remittitur, a motion for judgment NOV, and a motion seeking a new trial.

On February 23, 1982, over two and one half months following the filing of defendants’ post-trial motions, the trial court entered an order denying the motion for a new trial and motion for judgment NOV, and further providing that “the Motion to Alter or Amend a Judgment ... is granted to the Plaintiffs [sic] [Defendants] as to the punitive damages only, and the Plaintiff [sic] [Defendants] are therefore granted a remitter [sic] as to all punitive damages.” In all other respects defendant’s motion for remittitur was denied.

On March 4, 1982, plaintiffs filed notice of appeal from the order granting the remittitur. Defendants filed their notice of cross-appeal on March 16, 1982, from the “Order of the trial Judge failing to direct a .verdict in favor of the Defendants at the conclusion of the case presented by the Plaintiffs at the time of trial as to the issue of punitive damages.”

Plaintiffs’ Appeal

Plaintiffs contend that the trial court lacked jurisdiction to enter the order granting remittitur of the award of punitive damages, that he abused his discretion, and that he failed to allow plaintiffs the option to either accept the remittitur or obtain a new trial. We hold that the trial court lacked jurisdiction to enter the order.

Where a party prays for an award of punitive damages and the evidence is sufficient to permit the issue of punitive damages to be considered by the jury, the amount of such damages is left to the sound discretion of the jury based on the nature of the wrong, the circumstances of each case, and any aggravating or mitigating circumstances as may be shown. See N.M.U.J.I.Civ. 18.27, N.M.S.A.1978 (1980 Repl. Pamph.). The amount of an award of punitive damages must not be so unrelated to the injury and actual damages proven as to plainly manifest passion and prejudice rather than reason or justice. Christman v. Voyer, 92 N.M. 772, 595 P.2d 410 (Ct.App. 1979); Galindo v. Western States Collection Company, 82 N.M. 149, 477 P.2d 325 (Ct. App.1970). The trial court may, in proper cases, grant a motion for remittitur as to both actual and punitive damages. Hudson v. Otero, 80 N.M. 668, 459 P.2d 830 (1969); Marler v. Allen, 93 N.M. 452, 601 P.2d 85 (Ct.App.1979). In determining whether a jury verdict is excessive, the court does not weigh the evidence, but determines the ex-cessiveness as a matter of law. Transwestern Pipe Line Company v. Yandell, 69 N.M. 448, 367 P.2d 938 (1962). The decision of whether a new trial should be granted or denied is within the sound discretion of the trial court and is not reviewable except for an abuse of that discretion. Sierra Blanca Sales Co., Inc. v. Newco Industries, Inc., 84 N.M. 524, 505 P.2d 867 (Ct.App.1972). Here, there was evidence upon which the jury could properly award punitive damages and they were instructed thereon.

New Mexico follows the rule adhered to by a majority of jurisdictions that an order granting a remittitur or new trial is not appealable since it is not ordinarily a final judgment disposing of the merits of the action. Hudson v. Otero, supra. See generally Annot., 16 A.L.R.3d 1327 (1967). In the instant case, the court’s order granting remittitur did not permit plaintiff the alternative of either submitting to a new trial or accepting the remittitur, and plaintiffs appeal from the order entered February 23,1982, was timely and proper in order to determine whether the trial court had lost jurisdiction to enter such order.

Where the trial court determines that a jury award of damages is manifestly excessive, thereby necessitating remittitur, it should require the party which recovered damages to either remit a specific amount or submit to a new trial. See Schofield v. Territory ex rel., etc., 9 N.M. 526, 56 P. 306 (1899); see also Marks v. District Court, etc., 643 P.2d 741 (Colo.1982), cert. denied, - U.S. -, 102 S.Ct. 3486, 73 L.Ed.2d 1368 (1982). Otherwise, a remittitur would invade the province of the jury and violate the constitutional right to trial by jury. See generally 6 J. Moore, Moore’s Federal Practice, ¶ 59.12[1] (3d ed. 1982). It would then constitute not the verdict of the jury, but that of the court. W.T. Raleigh Co. v. Hannon, 32 Ala. 147, 22 So.2d 603; 53 A.L.R. 771 (Ct.App.1945); see N.M. Const. Art. II, § 12; see also Sanchez v. Gomez, 57 N.M. 383, 259 P.2d 346 (1953); Carver v. Missouri-Kansas-Texas R. Co., 362 Mo. 897, 245 S.W.2d 96 (1952).

Did, however, the trial court lose jurisdiction to enter its order granting remittitur? This question must be answered affirmatively. The trial court lacked jurisdiction because defendants’ motion to alter and amend the judgment was deemed overruled by operation of law. Having been overruled by operation of law, the trial court lost its power to act upon the motion. As set out in N.M.R.Civ.App.P. 3, N.M.S.A. 1978:

(a) ...

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Bluebook (online)
658 P.2d 452, 99 N.M. 377, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chavez-rey-v-miller-nmctapp-1982.