FGA, INC. v. Giglio

278 P.3d 490, 128 Nev. 271, 128 Nev. Adv. Rep. 26, 2012 WL 2154469, 2012 Nev. LEXIS 65
CourtNevada Supreme Court
DecidedJune 14, 2012
Docket54187
StatusPublished
Cited by51 cases

This text of 278 P.3d 490 (FGA, INC. v. Giglio) is published on Counsel Stack Legal Research, covering Nevada Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
FGA, INC. v. Giglio, 278 P.3d 490, 128 Nev. 271, 128 Nev. Adv. Rep. 26, 2012 WL 2154469, 2012 Nev. LEXIS 65 (Neb. 2012).

Opinion

OPINION

By the Court,

Douglas, J.:

In this appeal, we consider whether the “mode of operation” approach to premises liability, under which the plaintiff does not have to prove the defendant’s knowledge of a particular hazardous condition if the plaintiff can prove that the nature of the defen *276 dant’s business tends to create a substantial risk of the type of harm the plaintiff suffered, extends beyond the self-service context. Because the mode of operation approach is premised on the idea that business owners should be held responsible for the risks that their choice to have customers serve themselves creates, we conclude that it does not extend to “sit-down” restaurants. Therefore, the district court abused its discretion by giving a mode of operation instruction in this case. We further conclude that the district court abused its discretion by excluding certain evidence. Therefore, we reverse and remand.

FACTS

This case involves respondent Debbie Giglio’s June 2004 fall at Carmine’s Little Italy, a “sit-down” restaurant, where servers attended to the needs of patrons, operated by appellant FGA, Inc. FGA is owned by appellant the Carmine and Ann M. Vento Revocable Trust (the Trust). The Trust is also FGA’s landlord. Appellant Carmine Vento is the sole officer of FGA and a trustee of the Trust. Carmine’s son, Frank Vento, is the president of FGA and the general manager of Carmine’s Little Italy.

On the day of the fall, Giglio was on a date with her future husband, Raymond Schrefel. The two were at the restaurant for 45 minutes to an hour before the fall, during which time they consumed four beers and two glasses of wine. Schrefel later indicated that he thought that he and Giglio consumed two beers each and that he had consumed the two glasses of wine. Giglio was on her way to the restroom when she fell. She claimed to have slipped on a greasy or oily substance. Schrefel did not see the fall but corroborated the fact that there was an oily substance on the floor. However, the managers who assisted Giglio after she fell stated that the floor was clean and that she fell without slipping. Although the restaurant had video surveillance cameras, no video footage of the fall was available because the camera system was inoperable on the night in question.

After the fall, Giglio had an intervertebral disc removed in her neck and two discs removed in her lower back. Giglio required pain medications and extensive physical therapy, resulting in medical damages of over $400,000. Giglio’s pain was not alleviated by her surgeries, and she claims that in the future, she will need a spinal stimulator and injections for pain management.

Giglio filed suit in district court against FGA and the Trust (collectively, FGA) alleging negligence and requesting over $3.3 million in damages.

Giglio filed a motion in limine to exclude evidence of her prior and subsequent accidents and injuries because they were not causally related to the injuries sustained in the accident, which the district court granted. During the 11 years prior to her fall, Giglio *277 had seen several doctors about moderate to severe back pain. Giglio had been taking prescription pain medications consistently from 1997 through 2004, when her fall occurred. These medications were for pain in her upper back. However, Giglio had also been treated for pain in her lower back.

Giglio filed a motion in limine to exclude evidence of her alcohol consumption on the night of the fall, arguing that there was no basis to infer that she was intoxicated when she fell. The district court granted the motion. During trial, FGA attempted to question Schrefel about his alcohol consumption on the night of Giglio’s fall. Giglio objected, and the district court sustained the objection.

When the fact that there was no surveillance video of Giglio’s fall became an issue at trial, Giglio requested that the district court take judicial notice of Nevada Gaming Regulation 5.160, which requires nonrestricted gaming licensees to maintain operable video surveillance equipment. 1 However, FGA had a restricted gaming license, so this regulation did not apply to it. The district court took judicial notice of the regulation but did not allow FGA to present certain evidence to clarify that the regulation did not apply to it.

After the close of Giglio’s evidence, FGA moved for judgment as a matter of law under NRCP 50(a), arguing that the Trust, as a mere landlord, cannot be held liable for physical harm caused by a dangerous condition on the premises. The motion was denied, and the trial proceeded.

The jury was instructed on alternative theories of negligence. The instructions stated that FGA was negligent if Giglio’s slip and fall was caused by a foreign substance on the floor that FGA or one of its employees (1) caused to be on the floor, or (2) had actual or constructive notice of and failed to remedy. The jury was additionally instructed on the “mode of operation” approach to premises liability, in which notice (i.e., of a “food hazard”) is established by proof that an injury resulted from a reasonably foreseeable dangerous condition related to the nature of the owner’s business, or mode of operation, such as self-service. 2 Sheehan v. *278 Roche Bros. Supermarkets, Inc., 863 N.E.2d 1276, 1283 (Mass. 2007). Over FGA’s objection, the district court allowed the instruction. 3

The jury found that FGA was 51 percent negligent and Giglio was 49 percent at fault. No interrogatories were given to the jury for it to indicate under which theory of liability it found FGA to be negligent. The jury awarded damages of $5,551,435, which the court reduced by 49 percent. The court entered a $3,526,545.19 judgment against FGA, which included costs, attorney fees, and prejudgment interest. FGA timely filed this appeal.

DISCUSSION

On appeal, FGA argues that (1) the district court abused its discretion by giving a “mode of operation” instruction in a case involving a fall in a sit-down restaurant; (2) the district court abused its discretion by excluding evidence of Giglio’s preexisting injuries, evidence of alcohol consumption, and evidence to clarify the applicability of a gaming regulation; and (3) the district court erred by denying the motion for judgment as a matter of law.

We conclude that the district court abused its discretion by giving the mode of operation instruction and by excluding evidence of Schrefel’s alcohol consumption and evidence to clarify the applicability of the gaming regulation. However, we find no error in the district court’s evidentiary rulings regarding preexisting injuries or Giglio’s alcohol consumption. We further conclude that the basis for its denial of the motion for judgment as a matter of law no longer exists. Accordingly, we reverse and remand.

Mode of operation jury instruction

FGA argues that the district court abused its discretion by giving a “mode of operation” jury instruction.

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Bluebook (online)
278 P.3d 490, 128 Nev. 271, 128 Nev. Adv. Rep. 26, 2012 WL 2154469, 2012 Nev. LEXIS 65, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fga-inc-v-giglio-nev-2012.