L.D.G., Inc. v. Robinson

290 P.3d 215, 2012 Alas. LEXIS 168, 2012 WL 6217021
CourtAlaska Supreme Court
DecidedDecember 14, 2012
DocketNo. S-14427
StatusPublished
Cited by1 cases

This text of 290 P.3d 215 (L.D.G., Inc. v. Robinson) is published on Counsel Stack Legal Research, covering Alaska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
L.D.G., Inc. v. Robinson, 290 P.3d 215, 2012 Alas. LEXIS 168, 2012 WL 6217021 (Ala. 2012).

Opinion

OPINION

WINFREE, Justice.

I. INTRODUCTION

A bar allowed a man to consume aleohol while he was visibly intoxicated, and the man murdered a woman later in the evening. The lawyer representing the bar in the subsequent dram shop action did not attempt to [216]*216add the murderer as a party for apportionment of fault. Following entry of a large judgment against the bar, the bar brought a legal malpractice suit against its attorney. The attorney moved to dismiss for failure to state a claim upon which relief could be granted, arguing that where case law is unsettled, as a matter of law an attorney cannot be held liable for an error in judgment. The superior court granted the motion and the bar appeals. Because the existence of unsettled law does not excuse an attorney from fulfilling a duty of care, we reverse and remand for further proceedings.

II. FACTS AND PROCEEDINGS

A. Facts

Larry Gjovig was the sole shareholder of L.D.G., Inc., a corporation which owned and operated a bar. One night in 1998 the bar served RV. Freeman alcohol; later that night Freeman shot and killed Tracy Eason.1 Freeman subsequently was convicted of first-degree murder.2

In 2000 the personal representative of Ea-son's estate filed a wrongful death suit against L.D.G. and Gjovig (collectively LD.G.), alleging L.D.G. violated Alaska's dram shop act when it served alcoholic beverages to Freeman while visibly intoxicated, proximately causing Eason's death.3 The estate did not sue Freeman.4

L.D.G. retained Arthur S. Robinson to defend the suit. Robinson did not seek to join Freeman to the action or assert a third-party claim against him for allocation of fault.5 The case proceeded to trial and was submitted to a jury. The jury found "an employee of the [bar] with criminal negligence allow[ed] RV. Freeman to consume an aleoholic beverage in the bar when he was a drunken person."6 The jury also found it was "more likely true than not true that, if R.V. Freeman had not been intoxicated, he would not have killed Tracy Eason."7 Despite these findings, the jury declined to find that "the intoxication of RV. Freeman [was] so important in bringing about the death of Tracy Eason that a reasonable person would regard it as a cause and attach responsibility to it," and therefore did not reach the question of damages.8

Following the jury's verdict, the estate moved for judgment notwithstanding the verdict and a damages trial. The superior court granted the motion, finding that "fair-minded jurors could not have concluded that the intoxication of the murderer, who they found would not have killed Tracy Eason but for that very intoxication, was not a substantial factor in this wrongful death."9 The court noted difficulty impaneling a jury willing to find a liquor licensee liable, stating that "firmly held concepts of personal responsibility of the consuming patron, coupled with a perceived disparity in fault between a liquor provider and a murderer, troubled many potential jurors." The court also noted the problem "was exacerbated by a legal error of the defense" in failing to include the murderer as a party for allocation of fault.10

The superior court's decision effectively attributed 100% of the fault to L.D.G. After a trial on damages, the superior court entered judgment of $945,911.95 against L.D.G. We [217]*217affirmed the judgment after LD.G.'s appeal.11 Robinson represented L.D.G. at all stages of the lawsuit and appeal.

B. Proceedings

L.D.G. sued Robinson, alleging that Robinson's representation fell below the standard of care for an attorney practicing in Alaska when he did not attempt to add Freeman to the underlying action for allocation of fault. Robinson moved to dismiss for failure to state a claim.12 Robinson argued that following Loeb v. Rasmussen,13 Alaska's dram shop case law was unsettled whether alcohol sellers could apportion fault to consumers, and that an attorney cannot be liable for an error in judgment regarding an unsettled proposition of law.

L.D.G. opposed the motion, contending that this argument was rejected in Doe v. Hughes, Thorsness, Gantz, Powell & Brundin.14 Robinson replied, in a manner somewhat contrary to his argument about unsettled law, that at the time of the underlying litigation Alaska's dram shop act "was an exceptional statute, intended to place the entire responsibility for the harm which occurred upon the liquor licensee," and that Robinson followed this existing law in L.D.G.'s representation. Robinson asserted that Doe was inapplicable because "the Doe attorneys knowingly failed to comply with existing law," but he again argued that other jurisdictions provide immunity for judgment errors regarding unsettled propositions of law.

At oral argument on the motion, Robinson argued that his duty was to "act in a manner consistent with the existing law," and because he did so, as a matter of law he was not liable for malpractice. L.D.G. argued that Doe requires an attorney to "weigh the benefit and the possible harms and see which course" to take, and that it was inappropriate to dismiss L.D.G.'s claim without granting the parties an opportunity to present expert evidence on the standard of care or an opportunity to determine Robinson's considerations (if any) in making the decision not to add Freeman.

The superior court granted Robinson's motion to dismiss. The court noted that the applicability of several liability to the dram shop statute was unsettled at the time of the underlying trial and was not resolved until ten years later in Sowinski v. Walker.15 After noting that Sowinski did not "represent the standard of care as it existed" at the time of Robinson's representation, the superior court stated "[this issue is particularly suited for decision in a rule of law order as the court does not have to be concerned with a jury using hindsight to analyze [Robinson's] decision-making." The court concluded that "lalt the time of the trial, Loeb was the effective law and Mr. Robinson did not, as a matter of law, breach his duty of care to his clients in applying that law to their case." The court mentioned but did not apply Doe.

L.D.G. moved for reconsideration, arguing that the court should reconsider its decision in light of Doe's holding and Loeb's express reservation for future consideration all issues related to multiple defendants and the several Hability framework.16 Robinson opposed, arguing that Loeb broadly precluded licensees from allocating fault to the consumer.17

The superior court denied L.D.G.'s reconsideration motion. It clarified that it did "not know whether [Robinson] vigorously re[218]

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Bluebook (online)
290 P.3d 215, 2012 Alas. LEXIS 168, 2012 WL 6217021, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ldg-inc-v-robinson-alaska-2012.