In re Hagan v. Farmers Insurance Exchange In re Ewald v. Farmers Insurance Exchange In re Mayfield v. Farmers Insurance Exchange

2015 CO 6, 342 P.3d 427
Supreme Court of Colorado·Decided January 26, 2015·No. 14SA266, 14SA267 & 14SA313·Published·Cited by 5 cases

Opinion

JUSTICE HOOD

delivered the Opinion of the Court.

T1 These original proceedings involve plaintiffs who filed separate actions against the same defendant, Farmers Insurance Exchange ("Farmers"), in Boulder County District Court. In each case, Farmers moved to change venue under C.R.C.P. 98(F)(2), alleging that a change would promote "the convenience of witnesses and the ends of justice." Farmers supported its motions with attorney affidavits that purport to demonstrate-based on Google Maps printouts alone-that the transferee court is a more convenient venue for the plaintiffs and their medical treatment providers. The trial court granted the motions in all three cases.

12 The plaintiffs asked this court to issue a rule to show cause why the orders granting a change of venue should not be vacated and venue transferred back to Boulder County. Their petitions under C.A.R. 21 exposed an inconsistency in how judges within the same district have applied Rule 98. Recognizing the need to promote a uniform application of the venue rules, we issued our rules to show cause.

13 We now make our rules absolute. We hold that the trial courts abused their discretion when they changed the venue in these cases. First, Boulder County District Court is a proper venue for all three cases; under C.R.C.P. 98(c)(1), the plaintiffs were allowed to file their complaints in the county of their choice because Farmers is a nonresident defendant. Second, the trial courts granted the motions without the requisite evidentiary support. The affidavits that Farmers submitted improperly foeus on convenience to the plaintiffs and do not satisfy the standard set forth in Sampson v. District Court, 197 Colo. 158, 160, 590 P.2d 958, 959 (1979). Sampson requires a party seeking to change venue under Rule 98(F)(@2) to support the motion with evidence indicating "the identity of the witnesses, the nature, materiality and admissibility of their testimony, and how the witnesses would be better accommodated by the requested change in venue." Id. Consequently, we direct the transferee courts to return the cases to Boulder County District Court.

I. Facts and Procedural History

A. Hagan and Ewald

T 4 In 2011, Deanna Hagan (a driver) and her mother-in-law, Cynthia Ewald (her passenger), were involved in a car accident in Weld County. A third party, Abdi Abdullahi, allegedly collided with them after running a red light. Both Hagan and Ewald were hurt in the collision and received medical treatment for their injuries. Hagan asserts that she incurred over $11,000 in medical expenses and lost income because of her injuries. Ewald asserts that she incurred almost $68,000 in medical expenses and also lost income because of her injuries.

15 Hagan and Ewald were insured by Farmers and had underinsured motorist ("UIM") coverage up to $250,000 and medical payments coverage up to $25,000. Abdullahi was insured by Young America Insurance *431 ("Young America"), with a policy limit of $25,000. Young America paid Ewald $25,000 to settle her claim. It paid Hagan $15,000 to settle her claim and held $10,000 in reserve for additional exposure. Hagan and Ewald contend that they also were entitled to UIM benefits, which Farmers has refused to pay.

T6 Represented by the same counsel, Ha-gan (together with her husband) and Ewald filed separate lawsuits against Farmers in Boulder County District Court on the same day. The lawsuits asserted claims for breach of contract, bad faith breach of insurance contract, and improper denial of insurance claims in violation of sections 10-8-1115(1)(a) and 10-8-1116(1), C.R.S. (2014). The Ha-gans also asserted a loss of consortium claim.

T7 In both cases, Farmers filed a motion to change the venue to Arapahoe County District Court under Rule 98(F)(2), emphasizing that "[nlo potential witnesses have any connection to Boulder County." Farmers supported its motions with affidavits by its attorney, which contained Google Maps printouts and estimated distances and travel times for the plaintiffs and their potential witnesses. 1

T8 The trial courts granted Farmers' motions to change venue. The trial court in Ewald's case ruled first. It determined that Boulder County was not a proper venue. Then, noting that Ewald's medical treatment providers were "substantially closer" to the transferee court, it concluded that "a change in venue would promote the convenience of witnesses and the ends of justice." Relying on the order in Ewald, the trial court in the Hagans' case followed suit.

B. Mayfield

9 In 2012, James Mayfield was involved in a car accident in El Paso County with an underinsured motorist, Mark Merriman, who allegedly failed to stop at a traffic light. Mayfield was hurt in the collision and received medical treatment for his injuries. He asserts that he incurred over $73,000 in medical expenses, had to drop out of school, and suffered a loss of earning capacity and substantial non-economic losses.

1 10 Mayfield was insured by Farmers and had UIM coverage up to $100,000. Merri-man was insured by GEICO, with liability coverage up to $100,000. Mayfield filed a lawsuit against Merriman and settled it for $95,000. Claiming that his damages far exceeded $100,000, Mayfield then sought UIM benefits from Farmers. Farmers offered him $15,000 and refused to pay more.

1 11 Represented by different counsel than the Hagans and Ewald, Mayfield filed a lawsuit against Farmers in Boulder County District Court. In response to a motion to change venue, Mayfield's counsel filed an affidavit in which he stated that "[the reason that Plaintiffs Complaint was filed in Boulder was that Colorado's new Civil Access Pilot Project rules (CAPP) are not applicable in Boulder County District Court" and that he and his co-counsel "do not feel that this would be a good case to litigate under the CAPP rules." 2 Mayfield asserted claims for breach of contract and improper denial of insurance claims in violation of sections 10-3-1115(1)(a) and 10-8-1116(1). Mayfield's case was assigned to the same trial judge as the Hagans' case.

{12 Represented by the same defense counsel, Farmers filed a motion to change *432 the venue to El Paso County District Court under Rule 98(f)(2), again emphasizing that "[njo potential witnesses have any connection to Boulder County." Farmers once more supported its motion with an attorney affidavit with attached Google Maps printouts and estimated distances and travel times for the plaintiff and his potential witnesses. The trial court granted the motion. 3

II. Original Jurisdiction

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In re Hagan v. Farmers Insurance Exchange In re Ewald v. Farmers Insurance Exchange In re Mayfield v. Farmers Insurance Exchange, 2015 CO 6, 342 P.3d 427 (Colo. 2015).

2015 CO 6 (In re Hagan v. Farmers Insurance Exchange In re Ewald v. Farmers Insurance Exchange In re Mayfield v. Farmers Insurance Exchange) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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