Fields v. Volkswagen of America, Inc.

1976 OK 106, 555 P.2d 48, 84 A.L.R. 3d 1199, 1976 Okla. LEXIS 536
CourtSupreme Court of Oklahoma
DecidedJuly 27, 1976
Docket46805
StatusPublished
Cited by182 cases

This text of 1976 OK 106 (Fields v. Volkswagen of America, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fields v. Volkswagen of America, Inc., 1976 OK 106, 555 P.2d 48, 84 A.L.R. 3d 1199, 1976 Okla. LEXIS 536 (Okla. 1976).

Opinion

*52 HODGES, Vice Chief Justice.

This is an action for damages for personal injuries sustained by appellee, David Fields (Fields), when his 1971 Volkswagen overturned while he was attempting to negotiate a left hand curve. Fields contends the steering wheel locked while he was driving and he was unable to keep the car on the road. The automobile was equipped with an ignition lock system that prevented the steering wheel from being turned while the ignition was off. It is alleged this system was faulty due to a defect in the locking mechanism which was present when the car left the factory and that the failure of this system was the actual and proximate cause of the accident.

Appellants, Volkswagen of America, the importer of the car, and Volkswagen South Central Distributor, Inc., who sold the car to the Texas Dealer where Fields purchased it, denied the jurisdiction of the court and thát there was defect as alleged, raising the defense that the sole and proximate cause of the accident was Fields’ own negligence and misuse of the automobile.

The court, with the concurrence of the parties, ordered a bifurcated trial. The case was first tried to a jury on the issue of liability prior to any consideration by the jury of the issue of damages, and the jury returned a verdict for Fields. In the subsequent damage trial, the jury returned a verdict for $150,000.00.

The court denied appellants’ motions for a judgment notwithstanding the verdict or a new trial. Appellants appeal, raising several propositions of error which are questions of first impression in this jurisdiction.

The appellants first assert the trial court lacked jurisdiction because neither of the appellants is licensed to do business in Oklahoma and the cause of action did not arise from their doing business in Oklahoma.

The applicable Oklahoma statute upon which in personam jurisdiction of non-resident defendants is based is 12 O. S.1971, § 1701.03(a)(4). 1 Jurisdiction under the long-arm statute is predicated on foreign state activity which results in forum state harm. 2 The intention in Oklahoma is to extend the jurisdiction of Oklahoma courts over nonresidents to the outer limits permitted by the due process requirements of the United States Constitution. 3 The Oklahoma statute gives the courts of Oklahoma personal jurisdiction over any non-domiciliary who can be reached constitutionally as having had sufficient state contacts measured by the jurisdictional yardstick established by the United States Supreme Court in International Shoe Co. v. Washington, 326 U.S. 310, 316, 66 S.Ct. 154, 90 L.Ed. 95 (1945). 4 Marathon Battery v. Kilpatrick, 418 P.2d 900 (Okl.1965), accorded this decision and *53 determined the test of jurisdiction of the courts of the State of Oklahoma over a non-domesticated, foreign corporation is not solely or necessarily premised on whether the acts of the corporation amount to doing business within this state, but whether the non-resident had significant contacts with the State. 5 This concept was expanded under B. K. Sweeney Co. v. Colorado Interstate Gas Co., 429 P.2d 759, 763 (Okl.1967), where the court held the State of Oklahoma may obtain personal jurisdiction over non-resident defendants in suits resulting from voluntary acts or transactions which have either directly or indirectly created minimum contacts with the forum state, however limited or transient such contacts may be since the state has a manifest interest in providing effective means of redress when harm is caused within its territory. 6 The result of these decisions is that significant contacts which result in a tortious episode in this state render persons answerable in Oklahoma courts in accordance with Oklahoma laws.

The appellee met the burden of proving jurisdiction. It is not necessary to jurisdiction that the car be sold in Oklahoma. At the time of distribution, the appellants could reasonably have anticipated that the car might be used or sold in Oklahoma. Appellants advertise in national magazines, on network television and participate in an advertising fund for the State of Oklahoma which clearly involves engaging in the active solicitation of business in this state and subjects them to the provisions of 12 O.S.1971 § 1701.03(a)(4).

An action in strict liability or manufacturers’ products liability is available against both manufacturer and retailer. Processors, assemblers and all other persons who are similarly situated in processing and distribution are included in the definition of manufacturer. 7

We hold that the court had jurisdiction over both defendants.

The parties agreed the trial should be bifurcated. Bifurcation is a time saving device which allows the issue of liability to be tried initially. The trial proceeds to the second stage concerning damages only if the jury finds in favor of the plaintiff on the issue of liability.

Oklahoma does allow a new trial to be granted on the issue of damages only. 8 This procedure has been followed in subsequent cases where it is clear the error in assessing damages did not affect the entire verdict. 9

In 1963, Oklahoma adopted two statutes that might be construed to permit this type of trial in multiple claims actions, 12 O.S. *54 1971 §§ 323 and 243. 10 None are similar to Federal Rule 42 (b), 11 allowing the trial judge on his own initiative to order separate trials in all cases, and we do not reach the validity of that practice at this time.

Although there is a wide diversity among jurisdictions regarding the propriety of separate trials on the issues of liability and damages, 12 there seems to be no reason not to allow separate trials where it would not be prejudicial to either side, and where both sides are in agreement. Separation of the damages issue promises convenience, potential economy, clearer jury understanding of the issues, less embracive closing arguments, and a shorter jury-charge at each stage of the trial. 13 Appellants did not challenge and concurred in separation. Where both parties agree to bifurcation, we hold it to be valid.

Appellants do not appeal the fac-tum of bifurcation, they do, however, allege a violation of the Okl.Const, art. 2 § 19 14 because, although ten jurors returned a verdict for appellee on the question of liability, they were not the same ten jurors who fixed his recovery at $150,000.00 damages.

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1976 OK 106, 555 P.2d 48, 84 A.L.R. 3d 1199, 1976 Okla. LEXIS 536, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fields-v-volkswagen-of-america-inc-okla-1976.