Franklin v. Mazda Motor Corp.

704 F. Supp. 1325, 1 Am. Disabilities Cas. (BNA) 1547, 1989 U.S. Dist. LEXIS 1153, 1989 WL 7628
CourtDistrict Court, D. Maryland
DecidedFebruary 2, 1989
DocketCiv. PN-87-2203
StatusPublished
Cited by62 cases

This text of 704 F. Supp. 1325 (Franklin v. Mazda Motor Corp.) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Franklin v. Mazda Motor Corp., 704 F. Supp. 1325, 1 Am. Disabilities Cas. (BNA) 1547, 1989 U.S. Dist. LEXIS 1153, 1989 WL 7628 (D. Md. 1989).

Opinion

OPINION AND ORDER

NIEMEYER, District Judge.

In this case the Court is presented with the question whether the limitation of $350,000 that is imposed by Maryland on personal injury awards for noneconomic damage (such as for pain and suffering) violates the constitutions of the United States and Maryland.

On May 13, 1987, Barbara Lynn Franklin was driving to work on the Capital Beltway around Washington, D.C. (Interstate 495) in her 1982 Mazda automobile when she heard a hissing noise inside her car. As she began to pull her car over onto the highway shoulder, she suddenly felt an ex *1327 tremely hot spray of water and antifreeze liquid on her feet and lower extremities. She reacted by removing her foot from the brake, which caused her to strike another automobile in front of her. As the result of the incident she sustained personal injuries, including second and third degree burns to her feet and ankles which have required skin grafting. She filed this lawsuit against Mazda Motor Corporation (“Mazda”) on the basis of strict liability, seeking $750,000 in damages for her medical costs, pain and suffering, permanent injuries, loss of income and loss of use of the car. All but approximately $20,000 are claimed by her as compensation for noneco-nomic damage such as pain and suffering.

Less than a year before Franklin’s injury, Maryland adopted legislation that limited any award for noneconomic damages in a personal injury action to $350,000. Courts Art., § ll-108(b), Md.Code. Confronted with this limitation, she filed a motion for partial summary judgment challenging its constitutionality. At the time she filed her motion, the complaint consisted of one count in strict liability. After Mazda argued that a declaratory judgment claim would be the appropriate procedural vehicle by which to challenge the limitation, she filed a motion to amend her complaint to add a claim for declaratory judgment that the Maryland statute is unconstitutional. That motion to amend, which is unopposed, will be granted, and the motion for summary judgment will be treated as having been filed on that claim also.

Because the constitutionality of a Maryland statute has been raised, the Court granted the motion of the State of Maryland to intervene.

Plaintiff challenges the cap on noneco-nomic damages on a number of constitutional grounds. She argues that it violates the civil jury trial right guaranteed by the Seventh Amendment to the United States Constitution. She also argues that the cap violates several sections of the Declaration of Rights of the Maryland Constitution, including Article 23 (jury trial right), Article 20 (trial of facts where they arise), Article 8 (separation of powers), and Arti-ele 19 (access to courts). Mazda and the State of Maryland contend, on the other hand, that the adoption of the cap was a permissible legislative function, violating no constitutional provision, and should be applied to limit damages in this case.

The Court has received well written and thoroughly researched memoranda from the parties and heard oral argument on December 16,1988. It has also studied the further submissions of the parties based on recent decisions reported since argument.

For the reasons that are given hereafter, the Court has concluded that the enactment by Maryland of the cap on noneconomic damages in personal injury actions was a lawful and constitutional exercise of legislative power, both under the U.S. Constitution and the Constitution of Maryland, and therefore it will deny plaintiff’s motion for summary judgment.

I.

THE CAP STATUTE

Section ll-108(b) of the Courts Article, Md.Code, provides that “[i]n any action for damages for personal injury in which the cause of action arises on or after July 1, 1986, an award for noneconomic damages may not exceed $350,000.” Noneconomic damages include pain, suffering, inconvenience, physical impairment, disfigurement, loss of consortium, or other non-pecuniary injury, but it does not include punitive damages. Id. § ll-108(a).

Section 11-108 was enacted by the Maryland legislature on the recommendations of two government task forces, the Governor’s Task Force to Study Liability Insurance (issued Dec. 20, 1985) and the Joint Executive/Legislative Task Force on Medical Malpractice Insurance (issued Dec. 12, 1985). These groups were formed in response to what the Maryland Governor and legislature perceived to be a crisis in the availability of insurance in Maryland. After conducting hearings, meetings, and considerable research, both groups concluded that a cap on noneconomic damages should be enacted by the Maryland legislature. *1328 The Governor’s Task Force report concluded:

The justification for limiting damages for noneconomic loss, also known as “pain and suffering”, lies in the need to reduce this presently uncontrolled element of damages in order to introduce some stability in the civil [justice] system. It is not recommended that compensation for out-of-pocket losses, known as “special damages” be limited; however, the civil justice system can no longer afford unlimited awards for pain and suffering.
The ceiling on noneconomic damages will help contain awards within realistic limits, reduce the exposure of defendants to unlimited damages for pain and suffering, lead to more settlements, and enable insurance carriers to set more accurate rates because of greater predictability of the size of judgments. The limitation is designed to lend greater stability to the insurance market and make it more attractive to underwriters.
A substantial portion of the verdicts being returned in liability cases are for noneconomic losses. The translation of these losses into dollar amounts is an extremely subjective process as these claims are not easily amenable to accurate, or even approximate, monetary valuation. There is a common belief that these awards are the primary source of overly generous and arbitrary liability claim payments. They vary substantially from person to person, even when applied to similar cases or similar injuries, and can be fabricated with relative ease.
A cap on allowable pain and suffering awards will help reduce the incidence of unrealistically high liability jury awards, yet at the same time protect the right of the injured party to recover the full amount of economic losses, including all lost wages and medical expenses.

The proposals were submitted to the legislature, and after numerous amendments by both houses, the statute in its final form was enacted, effective July 1, 1986, as part of Chapter 639, Laws of 1986.

II.

RIPENESS

Mazda and the State of Maryland contend, as a threshold matter, that the issue of the statute’s constitutionality is not sufficiently ripe to present a case or controversy and that it will not become ripe until a jury returns a verdict for noneconomic damages greater than $350,000. Plaintiff responds that the question must be resolved now. Because the law, as it now stands, limits Franklin to a claim of $350,000 for noneconomic damages, her counsel’s presentation to the jury might well be affected.

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Bluebook (online)
704 F. Supp. 1325, 1 Am. Disabilities Cas. (BNA) 1547, 1989 U.S. Dist. LEXIS 1153, 1989 WL 7628, Counsel Stack Legal Research, https://law.counselstack.com/opinion/franklin-v-mazda-motor-corp-mdd-1989.