Morton Buildings, Inc. v. Rezultz, Inc.

603 A.2d 946, 127 N.J. 227, 1992 N.J. LEXIS 27
CourtSupreme Court of New Jersey
DecidedMarch 24, 1992
StatusPublished
Cited by16 cases

This text of 603 A.2d 946 (Morton Buildings, Inc. v. Rezultz, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morton Buildings, Inc. v. Rezultz, Inc., 603 A.2d 946, 127 N.J. 227, 1992 N.J. LEXIS 27 (N.J. 1992).

Opinion

The opinion of the Court was delivered by

POLLOCK, J.

This case raises the question whether a representative of a party that is not a natural person, e.g., a corporation, may be excluded at trial from the courtroom pursuant to a witness-sequestration order. We hold that such a representative may not be so sequestered, but that the sequestration in this case was harmless error.

-I-

Although the sole issue before us raises a procedural point, a brief description of the underlying facts will aid comprehension of the case. Sometime in 1986 appellant, Rezultz, Inc. (hereinafter Rezultz), decided to add office and garage space to its existing building in Vineland. An architect prepared a blueprint that was used to obtain bids from contractors. The blueprint showed a concrete building of specified dimensions with a “garage,” office space, and a three-hour fire wall to separate the two areas.

One of the bidders was respondent, Morton Buildings, Inc. (hereinafter Morton), which designs, fabricates, and erects prefabricated steel buildings. Morton’s representative, Dennis Russum, visited the Rezultz facility and discussed the project with several employees of Rezultz, including Gregory Call, Rezultz’s vice president, and Tom Siciliano, its president. Call gave Russum a copy of the blueprint, which Morton used in preparing its bid.

Morton’s buildings were made of steel instead of concrete. Consequently, Russum used the architect’s blueprint as a guide only to the size and dimensions of the addition. Notwithstanding the deviation, Rezultz accepted Morton’s bid of $42,500. The parties signed a contract, which described the addition as *230 consisting of an office area and “repair shop,” not as an office area and “garage” as shown on the blueprint. After the contract had been signed, Morton prepared its own blueprint with no interior details. The blueprint showed the two areas separated by a “partition wall,” not a fire wall. Apparently Rezultz did not notice the discrepancy.

Under the basic building code (BOCA Code), which was in effect in Vineland, the difference between a “repair shop” and a “public garage” is significant. A “repair shop” is a storage area to be used for only one vehicle, but an area for the storage of two or more vehicles is a “public garage.” A public garage, unlike a repair shop, must be separated from an adjoining office building by a fire wall. At trial, the substantive dispute centered on whether the addition was a repair shop, as the agreement indicated, or a garage, as indicated on Morton’s plans.

When Rezultz applied for a building permit, it submitted the Morton blueprint without any additional plans for the interior of the building. Consequently, the Vineland construction office approved the blueprint with a notation “shell only,” apparently indicating that the office had not reviewed the interior partition wall.

Morton constructed the addition without a fire wall. Siciliano, on behalf of Rezultz, accepted the building, in writing. The building inspector, however, determined that the garage area was a “public garage” under the building code, and refused to issue a certificate of occupancy. At a cost of $14,235, Rezultz subsequently hired another contractor to remove the wall constructed by Morton and to build the fire wall. Consequently, Rezultz withheld the final payment of $17,000 owed Morton. Morton sued Rezultz for that payment, and Rezultz counterclaimed for breach of warranty and fraud.

The case was tried in the Law Division by the court sitting without a jury. Much of the dispute at trial centered on the terms of the agreement between the parties. The court found *231 that the written contract did not completely encompass their agreement. Thus, to clarify the terms of the agreement, the court allowed testimony of conversations among representatives of the corporate parties. The key issue was whether Morton knew or should have known that Rezultz’s intended use of the garage area fell within the building code’s definition of a “public garage.”

When the trial commenced, Call was seated at the defense table with Rezultz’s counsel. Russum testified as Morton’s only witness on its direct case. Rezultz then called the building inspector, during whose testimony both Russum and Call were present. Then Call testified about his conversations with Russum. After Call had finished his direct testimony, the court adjourned the matter until the next day.

On the second day, before cross-examining Call, Morton’s counsel noticed that Siciliano, who was scheduled to testify for Rezultz, was in the courtroom. He thereupon moved to sequester all witnesses scheduled to testify. Rezultz’s counsel objected, stating that because Siciliano was Rezultz’s president, sequestering him was the same as sequestering a party. Noting that Siciliano was not a named party, the court granted the motion to sequester. Accordingly, Siciliano left the courtroom during the cross-examination of Call. Russum, who was a possible rebuttal witness for Morton, also left. To appreciate the significance of that ruling and others concerning the sequestration of witnesses, we summarize the testimony of the witnesses for both sides, indicating who was present during their testimony.

After his cross-examination had been completed, Call remained to hear the testimony of Rezultz's building code expert. On completion of that testimony, Morton's counsel stated that Call should be barred from testifying further because he had not obeyed the sequestration order. The court then directed Call to leave, adding that it assumed Call had remained because Rezultz’s counsel had no intention of recalling him. Once Call *232 left, the only person present on behalf of Rezultz was its counsel. Neither Call nor Russum remained in the courtroom.

Rezultz’s next witness was Siciliano, who testified about his conversations with Russum before signing the contract. Siciliano also testified that although, he was Rezultz’s president, his duties were “absolutely nothing at all,” and that Call actually ran the company. The final defense witness was the builder Rezultz had hired to construct the fire wall.

On the third day, Morton presented the testimony of Russum and two other witnesses in defense of Rezultz’s counterclaim. Russum’s testimony centered on conversations between the parties. Rezultz’s counsel cross-examined Russum without requesting a recess to confer with Call or Siciliano about Russum’s testimony. Morton then concluded its case with the testimony of its engineer, who had approved the plans, and a building code expert.

Finally, Call testified as a rebuttal witness despite his earlier violation of the sequestration order. He stated that Russum had been told of Rezultz’s intended use of the garage area. When Call had finished testifying, he sat at the counsel table, and Rezultz called a final witness to testify about the conversations between the parties.

On the following day, the court entered judgment in favor of Morton for approximately $30,000, plus attorney’s fees and costs. Relying on testimony of discussions between the parties, particularly those among Call, Siciliano, and Russum, the court found that Morton had not agreed to build a three-hour fire wall.

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Cite This Page — Counsel Stack

Bluebook (online)
603 A.2d 946, 127 N.J. 227, 1992 N.J. LEXIS 27, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morton-buildings-inc-v-rezultz-inc-nj-1992.