Martinez v. Teague

631 P.2d 1314, 96 N.M. 446
New Mexico Court of Appeals·Decided April 2, 1981·No. 4750·Published·Cited by 22 cases

Opinions

OPINION

LOPEZ, Judge.

On May 16, 1978, when driving her automobile on State Highway 84 shortly after midnight near Medenales, Mrs. Martinez collided with a horse owned by Mr. Teague and suffered injuries. The defendant, Mr. Teague, has horses on his land along this highway. A jury found the defendant’s negligence caused Mrs. Martinez’ injuries and awarded her $250,000.00 in damages. Mr. Teague appeals on five grounds: 1. that the court should have declared a mistrial when the plaintiff informed the jury that the defendant had insurance; 2. that the jury should not have been instructed on res ipsa loquitur; 3. that the jury should not have been instructed that violation of certain statutes was negligence per se; 4. that the jury award was excessive; and 5. that the cumulative errors committed deprived the defendant of a fair trial. Finding no error, we affirm the judgment of the trial court.

Mention of insurance. A blanket rule against the inclusion of evidence that a party is insured does not exist in New Mexico. Evidence that a person is insured is not admissible to show that he acted negligently or wrongfully. N.M.R. Evid. 411, N.M.S.A. 1978. In certain other circumstances, however, it is admissible, as when used to show proof of agency, ownership, or control. Id. In extreme circumstances, the exclusion of evidence of insurance is reversible error. See, Mac Tyres, Inc. v. Vigil, 92 N.M. 446, 589 P.2d 1037 (1979). The propriety of admitting the evidence depends on the reason it was'proffered. In Grammer v. Kohlhaas Tank & Equipment Co., 93 N.M. 685, 692, 604 P.2d 823, 830 (Ct.App. 1979), cert. denied, 94 N.M. 628, 614 P.2d 545 (1980), this court set out the following rules for determining the admissibility of evidence of insurance coverage:

(1) Evidence that a person was or was not insured against liability is not admissible upon the issue whether he acted negligently or otherwise wrongfully.
(2) Evidence that a person was or was not insured against liability is admissible when offered for any other purpose which is relevant and basic to a fair trial.
(3) The trial court may, in its discretion, admit evidence of insurance coverage if it believes that its probative value is not substantially outweighed by the danger of unfair prejudice, confusion of the issues, or misleading the jury. Contrariwise, in its discretion, the trial court may exclude evidence of insurance coverage.
(4) The trial court’s ruling can only be held to be reversible error in the event of an abuse of that discretion.

The evidence that Mr. Teague was protected by insurance was mentioned by plaintiff’s counsel when he read a portion of Dr. Wood’s report to Dr. Egelman. The portion read contained Dr. Wood’s observation that Mrs. Martinez did not trust her attorney because she thought he was siding with the insurance company. The portion was read aloud, not to show that the insured, Mr. Teague, acted wrongfully, but to show why Mrs. Martinez was increasing her demands for compensation. The explanation of why Mrs. Martinez was increasing her demands was relevant to discredit Dr. Egelman’s earlier opinion that Mrs. Martinez was trying to solve her financial problems through lawsuits. This evidence is not barred by Rule 411, the first rule in Grammer, and is admissible under the second rule enumerated in that case. Evidence of insurance, not used to show the wrongful acts of the insured, is admissible to rebut the discrediting effect and correct any wrong impression of earlier testimony by the witness. See, Wood v. Dwyer, 85 N.M. 687, 515 P.2d 1291 (Ct.App.1973). This was the legitimate purpose for which the testimony was elicited and admitted in the case before us. The evidence was also admissible under the third rule in Grammer. It was introduced in the context of workmen’s compensation, and, although Dr. Egelman subsequently clarified the testimony slightly by explaining that Mrs. Martinez was involved in two cases simultaneously — one for workmen’s compensation benefits and the present negligence suit — the court could have found the prejudicial effect very minimal. The jury could have missed the reference altogether, or it could have thought the insurance was workmen’s compensation insurance. There is no abuse of discretion under the third rule in Grammer, and no reversible error under the fourth rule.

Res ipsa loquitur. Mere proof of an accident is insufficient to invoke the doctrine of res ipsa loquitur. Tapia v. McKenzie, 85 N.M. 567, 514 P.2d 618 (Ct. App.1973). In order for the doctrine to be applicable, the following must be true:

(1) [T]he accident [must] be of the kind which ordinarily does not occur in the absence of someone’s negligence.
(2) [The accident] must be caused by an agency or instrumentality within the exclusive control and management of the defendant.

Renfro v. J. D. Coggins Co., 71 N.M. 310, 316, 378 P.2d 130, 134 (1963).

The defendant does not dispute that the second test was met. The horse, which was the cause of the accident, was within the defendant’s exclusive control and management. He does challenge the applicability of the first test, claiming that Akin v. Berkshire, 85 N.M. 425, 512 P.2d 1261 (Ct. App.1973) controls in the circumstances of this case. In Akin, a cow on the road caused an automobile accident. In suing the owner of the cow, the plaintiff relied on res ipsa loquitur. This court said that res ipsa did not apply because the plaintiff failed to prove that the accident was of the kind which ordinarily does not occur in the absence of someone’s negligence; see also, Tapia, a similar case. Akin and Tapia do not stand for the proposition that in cases involving a collision with livestock on the road, res ipsa is never applicable. In Mitchell v. Ridgway, 77 N.M. 249, 421 P.2d 778 (1966), the Supreme Court, finding that a count of the complaint invoking res ipsa stated a cause of action in a negligence suit arising out of a collision with a horse on the road, reversed the trial court’s dismissal. Akin, Tapia and Mitchell read together indicate that each case must be decided by considering its own unique facts.

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Martinez v. Teague, 631 P.2d 1314, 96 N.M. 446 (N.M. Ct. App. 1981).

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Martinez v. Teague
631 P.2d 1314 (New Mexico Court of Appeals, 1981)