Harding v. United States Figure Skating Ass'n

851 F. Supp. 1476, 1994 U.S. Dist. LEXIS 5789, 1994 WL 172268
CourtDistrict Court, D. Oregon
DecidedMay 3, 1994
DocketCV No. 94-238-PA
StatusPublished
Cited by1 cases

This text of 851 F. Supp. 1476 (Harding v. United States Figure Skating Ass'n) is published on Counsel Stack Legal Research, covering District Court, D. Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Harding v. United States Figure Skating Ass'n, 851 F. Supp. 1476, 1994 U.S. Dist. LEXIS 5789, 1994 WL 172268 (D. Or. 1994).

Opinion

OPINION, INCLUDING FINDINGS OF FACT AND CONCLUSIONS OF LAW, FOLLOWING SUMMARY BENCH TRIAL, AND DIRECTING ENTRY OF JUDGMENT FOR PLAINTIFFS

IMBROGNO, United States Magistrate Judge.

On June 7, 1992, due to the negligence of Defendants, Peggy A. Chappie died in a mo­tor vehicle accident in Okanogan County, Washington. Additionally, Ms. Chappie’s ten year-old son, Christopher, the only passenger in the car driven by his mother, was injured severely. A wrongful death and survival ac­tion ensued in Okanogan County Superior Court, and was removed to federal court under diversity of citizenship jurisdiction, 28 U.S.C. § 1332. Plaintiffs, represented by at­torneys Robert L. Parlette and Malcolm McLellan and Guardian ad Litem Donald C. Bell, are domiciliarles of the State of Wash­ington. Attorneys Gregory Arpin and Mi­chael Love represent Defendants, residents of British Columbia, Canada.

On July 29, 1993, pursuant to 28 U.S.C. § 636(c), the parties consented to proceed before the undersigned United States magis­trate judge. (Ct.Rec. 14.) More recently, the parties stipulated to an abbreviated bench trial. Specifically, Defendants con­ceded liability and the parties waived then-­right to trial by jury. It was agreed the undersigned would determine damages based upon a review of deposition testimony sub­mitted by the parties, their experts and wit­nesses, as well as expert reports, briefing, and argument of counsel. The parties pre­sented the evidence to the court during two days of formal proceedings.

The parties further agreed the under­signed would enter a final, non-appealable judgment for an amount of damages. The judgment is to be satisfied upon payment by Defendants of an agreed sum of money, a sum which has not been revealed to the undersigned. (Ct.Rec. 109, Stipulation for Abbreviated Trial Procedure.) These stipu­lations were reached after notice to and with­out opposition from, the court-appointed guardian ad litem.

The court is satisfied the procedure is con­sistent with the undersigned’s constitutional and statutory authority and is consistent with a magistrate judge’s judicial capacity, as ana­lyzed in DDI Seamless Cylinder Int’l., Inc. v. General Fire Extinguisher Corp., 14 F.3d 1163, 1166 (7th Cir.1994). As a result, the anticipated two weeks of trial distilled to two days.1

APPLICABLE LAW

Three legal claims are before the court: (1) A claim for damages by the estate of Peggy Chappie under the survival statutes of the State of Washington; (2) wrongful death claims under the applicable state law by Ms. Chappie’s statutory beneficiaries: spouse Mi­chael Chappie; her minor son, Christopher Chappie, as well as adult children Russell Chappie, Greg Chappie, and April Chappie; and (3) a personal injury claim for damages in tort by Christopher Chappie.

SURVIVAL CLAIM

The parties agree that under Wash­ington law, the special survival statute allows the personal representative of a deceased person’s estate to recover damages for the estate, if the injury resulted in death. RCW 4.20.060;2 Benoy v. Simons, 66 Wash.App. 56, 61, 831 P.2d 167, rev. denied, 120 Wash.2d 1014, 844 P.2d 435 (1992). The purpose of damages under the survival statute is to [1486]*1486reimburse the decedent’s estate for the mon­etary losses it sustained as a result of the untimely death. Wooldridge v. Woolett, 28 Wash.App. 869, 871, 626 P.2d 1007, affirmed, 96 Wash.2d 659, 638 P.2d 566 (1981).

The first type of damage is the loss of net earnings that would have been accumu­lated by the estate. This amount is calculat­ed by establishing the deceased’s future net earnings, less all probable deductions for personal and family expenses and any other adjustments required, and reducing that fig­ure to its present value. Wagner v. Flight­craft, Inc., 31 Wash.App. 558, 568, 643 P.2d 906, rev. denied, 97 Wash.2d 1037 (1982).

Here, the evidence discloses Ms. Chappie had worked in restaurants as a food server for most of her adult life. At times, she was the sole support of her family. On the date of her death, she was employed as a food server at the Edelweiss Restaurant in Oroville, Washington. She was earning $4.90 an hour, averaging 38 to 40 hours per week as a permanent employee. Plaintiffs contend Ms. Chappie’s hourly wage should be in­creased to reflect alleged tips of approxi­mately $200 per week and the promise of a promotion to assistant manager at a salary of $1,500 per month. Thus, Plaintiffs calculate the estate’s loss of economic benefits as $227,200.

Defendants contend the amount of tips was not reflected in Ms. Chappie’s income tax return and, therefore, is speculative. They further argue the position of assistant man­ager never became a reality. Historically, Ms. Chappie’s annual income averaged near $10,000. (Donald A. Reddington, CPA, Dep. at 38.) Furthermore, Defendants note the Edelweiss Restaurant has closed since the accident.

The court concludes the estate’s loss of economic benefits should be based on Ms. Chappie’s proposed salary of $1,500 per month. Because of the management respon­sibilities and the lack of evidence that tip income would be available in that position, the court does not include an amount for tips. Accordingly, the assumptions made by Plain­tiff’s economic expert are modified to reflect an annual income of $18,000, rather than $18,400. The court also is convinced, based on the evidence of Ms. Chappie’s personal traits and work habits, that she would have remained employed to the age of 65, rather than choosing to retire at 62. Also accepted is the assumption that despite the closure of the Edelweiss Restaurant, given Ms. Chap-­pie’s capabilities and work history, she would have been able to secure a new position with comparable earnings and no significant time loss. Therefore, the total loss of earnings sustained is $291,600.

Having determined that amount, the court must deduct the personal and family ex­penses that would have been paid by Ms. Chappie from her estate. Relying on the testimony of Defendants’ economist, the court finds 32% of Ms. Chappie’s income would have been expended and, therefore, should be deducted from the gross earnings. Finally, the court is required to reduce the remainder to its present value; however, based again on the Plaintiffs expert, the total offset method will be used. Having made the necessary calculations, the award for loss of net earnings to the estate is $198,288.3

In addition to loss of net earnings, a survival action also authorizes an award to the estate for those damages recoverable in a garden variety tort action:

(1) Medical and hospital expenses. See Orcutt v. Spokane County, 58 Wash.2d 846, 857-58, 364 P.2d 1002 (1961).

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Related

Harding v. US Figure Skating Ass'n
851 F. Supp. 1476 (D. Oregon, 1994)

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Bluebook (online)
851 F. Supp. 1476, 1994 U.S. Dist. LEXIS 5789, 1994 WL 172268, Counsel Stack Legal Research, https://law.counselstack.com/opinion/harding-v-united-states-figure-skating-assn-ord-1994.