Conrad v. Suhr

274 N.W.2d 571, 1979 N.D. LEXIS 241
CourtNorth Dakota Supreme Court
DecidedJanuary 17, 1979
DocketCiv. 9373-A
StatusPublished
Cited by33 cases

This text of 274 N.W.2d 571 (Conrad v. Suhr) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Conrad v. Suhr, 274 N.W.2d 571, 1979 N.D. LEXIS 241 (N.D. 1979).

Opinions

ERICKSTAD, Chief Justice.

The basic issue in this case is whether or not the trial court erred in ordering and entering judgment in favor of the defendant, Versatile Manufacturing Company, denying the defendant Curtis Suhr’s motion and cause of action for attorneys’ fees, costs and expenses in conjunction with Suhr’s defense to an action for damages brought by William J. Conrad, arising out of injuries which Conrad incurred while operating a grain auger manufactured by Versatile and sold by Suhr. We affirm.

In his complaint, Conrad asserted in Count I that the defendants were strictly liable in tort, in Count II that the defendants had breached both express and implied warranties and were accordingly liable, and in Count III that in the design, manufacture, inspection, testing, servicing, advertising, and sale of the auger, and in failing to guard, instruct, or warn so as to prevent injury to persons using or working near it, the defendants were negligent, that their negligence was a proximate cause of his injuries and that they were accordingly liable.

Each of the defendants separately answered the complaint, alleging that Conrad was contributorily negligent and that he assumed the risk, and each of the defendants cross-claimed against the other for indemnity. The cross-claims were severed from the main trial to be determined later by the court.

The case went to the jury on the strict liability count only and the jury rendered a verdict assessing damages in the amount of $300,000. It attributed 50 percent of the cause of the damages to Versatile and 50 percent of the cause of the damages to Conrad. The jury attributed none of the cause of the damages to Suhr. Consequently, judgment was subsequently entered dismissing the complaint against Suhr.

This appeal was precipitated by the trial court’s decision arising out of the motion made by Suhr for an order directing Versatile to pay all costs and attorneys’ fees incurred by or on behalf of Suhr for his defense, which motion the trial court denied. The pertinent part of the motion reads:

“The grounds for this motion are that as a matter of law the defendant Suhr is entitled to full indemnity from Versatile for such costs and attorneys’ fees because:
(1) Suhr’s potential liability was derived vicariously from the misconduct of Versatile in the manufacture, assembly and sale of a machine found by the jury to have been in a defective condition unreasonably dangerous to the user.”

In the concluding part of the trial court’s memorandum opinion denying Suhr’s motion for indemnification for attorneys’ fees and costs, the trial court stressed the view that Suhr did not defend only on the basis of a derivative liability, but that Suhr defended in his own behalf because of his own alleged liability. The court said:

“The trial of the action was commenced on January 24, 1977. The testimony was concluded on February 4, 1977. The defendant Suhr, through his counsel, actively participated and introduced twenty of the sixty-eight exhibits in the case. After completion of the testimony at 2:26 P.M. on February 4, the plaintiff by motion withdrew the counts of his complaint as to negligence and breach of warranty and submitted his case to the jury on the [573]*573one issue of strict liability as to both defendants.1 After the Court denied Motions of the plaintiff and each of the defendants for directed verdicts, summations to the jury were made by all parties.
“As hereinbefore stated, the verdict of the jury found that the auger was in a defective condition when it was delivered by the defendant Versatile to the dealer Suhr; that Suhr assembled the machine and the jury found that it was defective when he sold it to the plaintiff. The defect, said the verdict, was the proximate cause of the plaintiff’s injuries, but attached liability only as to the defendant Versatile.
“From this record, it is the opinion of the Court that the defendant Suhr engaged in the trial for the purpose of defending against any claim of the plaintiff that he, the said defendant Suhr, was liable as a seller under the law of products or strict liability. It was not a case where Suhr had only a derivative liability, Suhr assembled the auger and sold it to the plaintiff in a defective condition. Suhr did not defend in the interest of, at the direction of or in reliance upon Versatile but rather in his own behalf because of his own alleged liability as a seller. Suhr did not defend merely because of his failure to discover or prevent the misconduct of Versatile but rather in his own behalf to establish nonliability in his assembly of the machine. Suhr defended as to allegations of the plaintiff which encompassed separate and independent charges of wrongful acts on his part.
“For the above and foregoing reasons the motion and claim of the defendant Suhr for indemnity as to his co-defendant Versatile is denied.”

In response, no doubt, to the trial court’s views, Suhr asserts that he was at no time charged separately or independently with wrong-doing in the complaint; that counsel for Conrad in closing argument at the trial said that there was no way that the manufacturer could hold the dealer responsible for the accident and that the jury would probably find the dealer’s responsibility to be zero; and that counsel for Versatile in his summation to the jury said that the cause of the injuries should be apportioned 90 percent to Conrad and 10 percent to Versatile.

Versatile responds by asserting that it is immaterial that the complaint charges the defendants jointly and that if the transcript is examined, it will disclose that Suhr defended against the charges of negligence, specifically conceding that he could have assembled the auger in a manner different from the manner in which it was sent to him so that the set-screw would have been covered by the shield.

So that we may better understand the facts of this case, we draw upon the statement of the case submitted by Suhr in his brief.

This lawsuit involves injuries sustained by Conrad resulting from the defective condition of a grain auger. Versatile, the manufacturer of the grain auger, sold it to the dealer, Suhr, who in turn sold it to Conrad. Conrad was injured when his jacket sleeve was caught by a set-screw which protruded above the drive shaft and beyond a fixed shield.

Versatile’s design drawing, exhibit E, provided for the set-screw to be guarded at the top by the fixed shield. The part of the auger directly involved in the accident, consisting of the shield, brackets, bearings, locking collars, and shaft with set-screw, was assembled at the factory with the setscrew protruding beyond the fixed shield, the bearings locked into place at a pre-de-termined distance from the end of the shaft, then paint-dipped and, with the other two sections, shipped to Versatile’s dealers for final connection.

The design drawing was not furnished to the dealer nor was the dealer instructed by the manufacturer to reassemble the shield, brackets, bearings, locking collars, and set[574]*574screw, or change their relative locations in any way from the factory assembly.

Approximately 6,000 augers of the model involved in this lawsuit had been manufactured and sold by Versatile up to the time of the Conrad sale. The manufacturer’s assembly instruction manual, exhibit D, accompanied each auger.

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Bluebook (online)
274 N.W.2d 571, 1979 N.D. LEXIS 241, Counsel Stack Legal Research, https://law.counselstack.com/opinion/conrad-v-suhr-nd-1979.