Kozeny-Wagner, Inc. v. Shark

752 S.W.2d 889, 1988 Mo. App. LEXIS 653, 1988 WL 45303
CourtMissouri Court of Appeals
DecidedMay 10, 1988
DocketNo. 52878
StatusPublished
Cited by5 cases

This text of 752 S.W.2d 889 (Kozeny-Wagner, Inc. v. Shark) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kozeny-Wagner, Inc. v. Shark, 752 S.W.2d 889, 1988 Mo. App. LEXIS 653, 1988 WL 45303 (Mo. Ct. App. 1988).

Opinion

SIMON, Presiding Judge.

Appellant, Kozeny-Wagner, Inc. (hereafter Kozeny), appeals from a judgment entered in the Circuit Court of St. Louis County on respondent’s, Joseph Shark (hereafter Shark), counterclaim for damages resulting from the alleged unwork-manlike construction of a building. The case proceeded to trial on the issue of damages only, following the trial court’s ruling on Kozeny’s liability. In ruling on the liability issue the trial court found:

Defendant’s [Shark] Motion for Summary Judgment on the issue of Plaintiff’s [Kozeny] liability is hereby sustained for the reason that this Court is of the opinion that Plaintiff is collaterally estopped to deny its liability by virtue of the fact that the issue of liability was litigated in favor of Defendant as to Plaintiff’s liability in the case in chief.

At the conclusion of the case, the jury returned a verdict in favor of Shark and against Kozeny in the amount of $97,-000.00.

On appeal, Kozeny maintains that the trial court committed prejudicial error in: (1) giving Instructions Nos. 3, the burden of proof instruction (MAI 3.02 [1981 Revision] ), and 6, the damage only issue verdict directing instruction patterned after MAI 31.07 [1978 Revision]; (2) sustaining Shark’s motion for summary judgment on the issue of liability; (3) sustaining objections to questions posed to Shark on cross-examination as to why Kozeny left the job site in 1974; and (4) overruling Kozeny’s objections to, and motion to strike, expert testimony concerning the cost of repair. We reverse and remand.

This is the second time that this case comes before us. See Kozeny-Wagner, Inc. v. Shark, 709 S.W.2d 149 (Mo.App.1986) (hereafter Kozeny I). We borrow freely, without benefit of quotations, from Kozeny I in setting forth the facts.

[891]*891The instant appeal arises out of a contract executed by the parties in 1972, whereby Kozeny was to construct a two story pharmacy and office building on Shark’s land in Florissant, Missouri. Specific plans were made to accommodate the building’s structure to a flooding creek located near Shark’s land. Plans for the structure provided that the building be set at an elevation of 512.75 feet based upon the 50 and 100 year high water levels of the creek. Construction of the building began in 1973 and continued through the spring of 1974. The building was actually constructed at an elevation 21V2 inches below the level provided for by contract. Both parties were unaware of the mistake in elevation until a surveying crew in the area of the jobsite surveyed Shark’s land, at Shark’s request, and informed him of the mistake in elevation. Subsequently, Kozeny confirmed the mistake.

In May of 1974, Kozeny offered to construct an earthen terrace around the building to remedy water problems caused by the improper construction of the building. Shark rejected this remedy as an unacceptable solution.

The contract provided that Kozeny be paid on a monthly basis for 90% of the cost of labor and materials at the jobsite. Koz-eny discontinued construction in July of 1974. Kozeny subsequently sued for breach of contract for Shark’s refusal to pay the alleged balance due. Shark counterclaimed alleging Kozeny’s failure to substantially perform the contract in a workmanlike manner in accordance with the plans and specifications.

On November 14, 1984, Kozeny obtained a jury verdict in its favor on its claim for breach of contract. Kozeny’s motion for a directed verdict on Shark’s counterclaim was sustained and judgment was entered in Kozeny’s favor. On December 7, 1984, Shark’s motion for a new trial on Kozeny’s claim was granted. Shark’s motion for a new trial on his counterclaim was denied, and on December 17, 1984, Shark filed his notice of appeal of the denial of his counterclaim.

On February 4, 1985, the trial court granted Shark’s motion for a stay of the new trial of Kozeny’s claim, pending appeal of the denial of his counterclaim. Over the objections of both parties and upon its own motion, the trial court set aside the stay of the new trial on March 6, 1985. The court ordered the parties to proceed on the retrial of Kozeny’s claim, stating that the appeal of the directed verdict on Shark’s counterclaim was premature. On March 20, 1985, the jury returned a verdict on Kozeny’s claim in favor of Shark and judgment was entered accordingly. Subsequently, Koz-eny appealed.

In Kozeny I, we affirmed the judgment in favor of Shark on the second trial of Kozeny’s breach of contract claim. However, we reversed the directed verdict in favor of Kozeny on Shark’s counterclaim and remanded for trial because Shark had made a submissible case based on breach of contract for Kozeny’s alleged failure to substantially perform in a workmanlike manner. The instant appeal only concerns the jury trial on Shark’s counterclaim.

As Kozeny’s second point is dispositive of the instant appeal, we first address its claim that the trial court erred in sustaining Shark’s motion for summary judgment regarding liability. Because we conclude that the trial court did so err, it is unnecessary to consider Kozeny’s first point as to whether instructional error was committed in the giving of Instruction Nos. 3 and 6, as that issue most likely will not appear on retrial.

As noted, the trial court granted summary judgment in favor of Shark on the issue of Kozeny’s liability for failure to substantially perform its agreement in a workmanlike manner. The trial court found that the matter had been litigated during the second trial of Kozeny’s claim and, therefore, Koz-eny was estopped to deny its liability.

In determining whether the trial court erred in entering summary judgment in favor of Shark, this court must view the record in the light most favorable to Koz-eny. Summary judgment is a drastic reme[892]*892dy and is proper only when there are no material issues of fact and the movant is entitled to a judgment as a matter of law. Union Electric Company v. Clayton Center Ltd., 634 S.W.2d 261 (Mo.App.1982); Gunning v. State Farm Mut. Auto Ins. Co., 598 S.W.2d 479 (Mo.App.1980).

Here, the trial court’s ruling was premised on the doctrine of collateral estoppel. No other basis is apparent from the record. We recognize that if a summary judgment is sustainable on any theory it must be affirmed. City of Wright City v. Cencom of Eastern Missouri, 699 S.W.2d 41 (Mo.App.1985). The only other ground suggested by Shark is that our opinion in Koz-eny I establishes Kozeny’s liability. Accordingly, we confine our review to the question of whether the trial court’s ruling is supported by the two grounds advanced as no others are apparent on the record.

Initially, we determine whether the doctrine of collateral estoppel supports the trial court’s ruling. The basic rule of collateral estoppel by a prior verdict is stated in Abeles v. Wurdack, 285 S.W.2d 544 (Mo.1956): “[a] judgment between the same parties on a different cause of action is binding as to the facts actually decided, and

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Bluebook (online)
752 S.W.2d 889, 1988 Mo. App. LEXIS 653, 1988 WL 45303, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kozeny-wagner-inc-v-shark-moctapp-1988.