Kinetics, Inc. v. El Paso Products Co.

653 P.2d 522, 99 N.M. 22
CourtNew Mexico Court of Appeals
DecidedOctober 19, 1982
Docket5559
StatusPublished
Cited by27 cases

This text of 653 P.2d 522 (Kinetics, Inc. v. El Paso Products Co.) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kinetics, Inc. v. El Paso Products Co., 653 P.2d 522, 99 N.M. 22 (N.M. Ct. App. 1982).

Opinion

OPINION

LOPEZ, Judge.

The plaintiff, Kinetics, appeals the directed verdict granted against it. We affirm.

The issues for our decision are: 1. the authority of the trial court to order a directed verdict when the order was made subsequent to a jury deadlock and subsequent to twice denying such a motion; 2. the propriety of the directed verdict. FACTS

Kinetics, plaintiff, seeks money damages from El Paso Products, defendant, for supplying defective resins. Kinetics used the resins to manufacture filament-wound polyester pipe. Kinetics alleged in their amended complaint that El Paso Products was liable for the defective pipe produced by Kinetics because the pipe was defective due to the substandard resin obtained from El Paso Products or its agents.

Kinetics alleged that El Paso Products’ liability was based on negligence, and breach of express and implied warranties.

The plaintiff’s amended complaint was filed on July 7, 1978 against the following defendants: A1 Albarian, individually and d/b/a Dawn Enterprises and Dawn Industries, Robinson and Lamey, a partnership, and El Paso Products Co. It alleged that El Paso Products was liable for money damages and that defendant’s liability arose vicariously through the acts of A1 Albarian, individually and doing business as Dawn Enterprises and Dawn Industries; and Robinson and Lamey, a partnership. Kinetics asserted that El Paso Products’ vicarious liability arose because A1 Albarian, Dawn Enterprises, Dawn Industries, and Robinson and Lamey were agents, servants, employees, wholly owned subsidiaries, or the alter ego, of El Paso Products. The record shows that at the time of the resin sales El Paso Products Company wholly owned the El Paso California Company, Inc. The El Paso California Company participated in a partnership, pursuant to written agreement, with Dwain Morse. The partnership name was El Paso Morse of California, and it operated under the name of Robinson and Lamey. Robinson and Lamey sold resin that was supplied to it by A1 Albarian. Dwain Morse and El Paso Morse of California were not joined in this action and all defendants but El Paso Products were dismissed with prejudice by the trial court upon motion of Kinetics.

The case was tried to a twelve person jury. Plaintiff’s witnesses testified that defendant’s resin was the cause of their harm and this is shown by looking to when the resin was bought, when it was used, what projects the finished product was probably used on, and when complaints about the pipe were received. At the conclusion of plaintiff’s case-in-chief defendant moved for a directed verdict.

In support of the motion defendant alleged that: (1) plaintiff failed to establish that El Paso Products Company was vicariously liable for the conduct of El Paso California Company, Robinson and Lamey, or for A1 Al.barian; (2) plaintiff did not establish a prima facie case of negligence because they failed to show a standard of care, a duty owed to the plaintiff, breach of the duty, or causation.

The court denied defendant’s motion, stating that plaintiff had proved “negligence and breach of warranty; and that, further, they have proved loss or injury.”

At the conclusion of the evidence the case was submitted to the jury by special interrogatories. The jury found that Al Albarian was an agent of Robinson and Lamey and that El Paso California was a “mere instrumentality” of El Paso Products Company. The jury also advised the court that it was deadlocked six to six on the liability issue. The court then advised counsel it would not declare a mistrial, and, upon defendant’s renewed motion, directed a verdict for the defendant.

AUTHORITY OP THE TRIAL COURT TO ACT ON A MOTION FOR A DIRECTED VERDICT.

The plaintiff argues that the court erred in directing a verdict for the defendant because there was conflicting evidence which should have been resolved by a jury. The plaintiff further argues that a directed verdict based upon the dismissal with prejudice of all the parties, including Robinson and Lamey, does not inure to the benefit of the defendant because Robinson and Lamey was merely a trade name.

Defendant moved for a directed verdict three times during the trial. The first motion was made at the close of plaintiff’s case-in-chief. The motion was renewed at the close of all evidence, and was made again when the jury failed to reach a verdict on the liability issue. The motion was made pursuant to Rule 50 of the New Mexico Rules of Civil Procedure. Rule 50(b) provides, in pertinent part, as follows:

Whenever a motion for a directed verdict made at the close of all the evidence is denied or for any reason is not granted, the court is deemed to have submitted the action to the jury subject to a later determination of the legal questions raised by the motion. Not later than ten days after entry of judgment, a party who has moved for a directed verdict may move to have the verdict and any judgment entered thereon set aside and to have judgment entered in accordance with his motion for a directed verdict; or if a verdict was not returned, such party, within ten days after the jury has been discharged, may move for judgment in accordance with his motion for a directed verdict.

N.M.R.Civ.P. 50(b), N.M.S.A.1978 (1980 Repl.Pamph.) (Emphasis added).

The rule indicates that any ruling on a motion for a directed verdict by the trial court which was not granted, is subject to reconsideration of the legal issues raised by the motion. This portion of New Mexico’s rule is an adaptation of Rule 50(b) of the Federal Rules of Civil Procedure. Cases construing Federal Rule 50(b) show that the reason for the wording is that at common law courts were required to expressly reserve questions of law arising during jury trials, and to take jury verdicts subject to the ultimate ruling on the questions reserved. See Baltimore & C. Line v. Red-man, 295 U.S. 654, 55 S.Ct. 890, 79 L.Ed. 1636 (1935). The effect of the wording is that now trial courts can rule on a motion for a directed verdict when the motion is made, and yet the court can, without express reservation, reexamine its ruling in a subsequent motion for a directed verdict or for a judgment non obstante veredicto. This is the position that courts which have considered this issue have adopted.

In Hill v. W.E. Brittain, Inc., 405 S.W.2d 803 (Tex.Civ.App.1966), an automobile wrongful death case was tried to a jury. Defendants were operators of an overtaking and an overtaken truck. The overtaking truck struck and killed plaintiff’s decedent. The driver of the overtaken truck moved for a directed verdict (an “instructed verdict” in Texas) at the close of plaintiff’s case, and the close of all evidence. That order was later changed to a judgment non obstante veredicto. On appeal, the court in Hill addressed the trial court’s authority to grant the subsequent motion as follows:

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Cite This Page — Counsel Stack

Bluebook (online)
653 P.2d 522, 99 N.M. 22, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kinetics-inc-v-el-paso-products-co-nmctapp-1982.