City of Gulf Shores v. HARBERT INTERN.

608 So. 2d 348, 1992 WL 180698
CourtSupreme Court of Alabama
DecidedJuly 31, 1992
Docket1901241
StatusPublished
Cited by30 cases

This text of 608 So. 2d 348 (City of Gulf Shores v. HARBERT INTERN.) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of Gulf Shores v. HARBERT INTERN., 608 So. 2d 348, 1992 WL 180698 (Ala. 1992).

Opinion

[EDITORS' NOTE: THIS PAGE CONTAINS HEADNOTES. HEADNOTES ARE NOT AN OFFICIAL PRODUCT OF THE COURT, THEREFORE THEY ARE NOT DISPLAYED.] *Page 350

The plaintiffs, the City of Gulf Shores and the Governmental Utility Services of the City of Gulf Shores (collectively referred to as "Gulf Shores") present 9 issues for our review: whether the trial court erred in (1) instructing the jury on the defense of impossibility; (2) allowing the defendants to present evidence of the City of Gulf Shores's wealth; (3) refusing to admit evidence of inconsistent admissions by defendant Harbert International ("Harbert") from a prior lawsuit arising from the same transaction; (4) excusing a juror for being a citizen of Gulf Shores (Gulf Shores claims this violated § 12-16-3, Ala. Code 1975); (5) submitting the applicability of the parol evidence rule to the jury; (6) admitting large quantities of evidence that allegedly served only to inflame the passion of the jury; (7) refusing to grant the plaintiffs a new trial based on the jury verdict's being against the great weight of the evidence; (8) giving jury instructions regarding assumption of the risk, equitable estoppel, and an engineer's ability to choose between two or more professionally recognized methods or procedures; and (9) refusing to enter a default judgment against defendant A.A. Wickliffe Company ("Wickliffe").

Facts
This case involves the wastewater treatment system in Gulf Shores, Alabama. A few preliminary explanations are necessary for a full understanding of the case. First, the National Pollutant Discharge Elimination System ("NPDES") is a federal program or plan, administered by the Environmental Protection Agency ("EPA"), that limits or controls the quantity and quality of pollutant discharge that can be dumped into natural bodies of water. Second, the EPA delegates, to a great extent, although not completely, its enforcement authority under the NPDES to qualified state agencies. Alabama's qualified agency is the Alabama Department of Environmental Management ("ADEM"). Third, the NPDES plan calls for the state agencies to issue permits to any municipality, or other pollutant discharger, that wishes to dump *Page 351 effluent (treated waste) into a stream. In this case, the stream is the Intracoastal Waterway and the municipality is Gulf Shores.

In the 1960s, Gulf Shores built a "lagoon type, aerated" wastewater treatment system. This type of system has several lagoons into which wastewater is funneled and into which oxygen is added to help break down the waste. During the 1970s, Gulf Shores experienced enormous growth as a resort community. As a result of this rapid growth, Gulf Shores quickly outgrew its lagoon type system. ADEM cited Gulf Shores numerous times during the late 1970s and early 1980s for noncompliance with its effluent permit limits (i.e., its effluent levels and quality were not in keeping with allowed limits according to its NPDES permit). In the mid-1980s, Gulf Shores began to seek professional help in dealing with its wastewater management problems.

In May 1984, ADEM issued an administrative order that required Gulf Shores to meet specified interim and final limitations on wastewater effluent levels. Harbert and Engineering Service Associates ("ESA"), as a joint venture called Harbert/ESA, became Gulf Shores's wastewater treatment engineering team. The plan was for Harbert/ESA to plan, design and construct a new, modern wastewater treatment plant that would bring Gulf Shores into compliance with its NPDES permit standards. With the deadline for the interim limitations approaching, Gulf Shores officials asked Harbert/ESA to investigate the use of several filters that were scheduled to be placed into the new plant to lower Gulf Shores's effluent level on a short-term basis. Frank Lindstrom, president of ESA, agreed to, and did, contact several filter companies to see if their filters could be used as an interim measure to meet ADEM's effluent limitations. DynaSand filters made by Parkson Filter Company ("Parkson") were finally chosen. Parkson, Harbert, and ESA all stress in their briefs that the final contracts on this interim package contained provisions stating that Gulf Shores was to provide certain quantities and qualities of influent.1

The DynaSand filters were installed as part of the lagoon-type system sometime in June 1985. On August 30, 1985, the EPA imposed a sewer connection and hook-up moratorium on Gulf Shores because of its failure to comply with its NPDES permit effluent limitations and ADEM's administrative order.

Gulf Shores sued Harbert, ESA, Parkson, and Wickliffe, Parkson's sales agent. Harbert was sued for negligence, breach of contract, and breach of warranty; ESA was sued for negligence and fraud; and Parkson was sued for breach of contract, negligence, breach of warranty, and fraud.

The case was submitted to a jury. The jury returned a verdict for all the defendants and against Gulf Shores. The trial court entered a judgment consistent with the jury's verdict and denied Gulf Shores's subsequent motion for a new trial. Gulf Shores appeals.

As stated above, Gulf Shores submits nine issues for appellate review, and asserts that any one issue, standing alone, requires a reversal of the trial court's judgment. We examine each issue in turn, and conclude that the trial court's judgment is due to be affirmed.

The Impossibility Defense Issue
Gulf Shores argues that Alabama does not recognize the contractual defense of impossibility of performance. Thus, Gulf Shores argues, the trial court clearly erred in instructing the jury on this defense.2 Parkson argues that Gulf Shores misinterprets the type of impossibility that it seeks to invoke. The type of impossibility that Parkson seeks to invoke is existing impossibility or frustration as stated in § 266, Restatement (Second) of Contracts *Page 352 (1981). Parkson asserts that this Court has never squarely rejected the use of this doctrine, although Parkson admits that this Court has never endorsed the doctrine either.

We need not determine whether Parkson, in fact, invoked the frustration doctrine, nor whether the frustration doctrine should be adopted by this Court. Although we have repeatedly rejected the impossibility defense, Alabama Power Co. v.Harmon, 483 So.2d 386 (Ala. 1986), Silverman v.Charmac, Inc., 414 So.2d 892 (Ala. 1982), andPoughkeepsie Sav. Bank v. Highland Terrace Apts.,352 So.2d 1108 (Ala. 1977), we conclude that Gulf Shores failed to properly preserve as error the trial court's giving of the impossibility instruction.

Rule 51, Ala.R.Civ.P., states, in pertinent part:

"No party may assign as error the giving or failing to give a written instruction, or the giving of an erroneous, misleading, incomplete, or otherwise improper oral charge unless he objects thereto before the jury retires to consider its verdict, stating the matter to which he objects and the grounds of his objection."

(Emphasis supplied.)

After the trial court's oral charge to the jury, Gulf Shores objected to the impossibility defense instruction by stating, "We object to the giving of Parkson's requested charges No. 1; No. 8; No. 11; and the one requested by Parkson on the impossibility of performance, No. 5, Parkson No. 5, Judge." (R.

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Bluebook (online)
608 So. 2d 348, 1992 WL 180698, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-gulf-shores-v-harbert-intern-ala-1992.