Observatory Corp. v. Daly

780 P.2d 462, 13 Brief Times Rptr. 1084, 1989 Colo. LEXIS 274, 1989 WL 106394
CourtSupreme Court of Colorado
DecidedSeptember 18, 1989
DocketNo. 88SC174
StatusPublished
Cited by30 cases

This text of 780 P.2d 462 (Observatory Corp. v. Daly) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Observatory Corp. v. Daly, 780 P.2d 462, 13 Brief Times Rptr. 1084, 1989 Colo. LEXIS 274, 1989 WL 106394 (Colo. 1989).

Opinions

Chief Justice QUINN

delivered the Opinion of the Court.

We granted certiorari to review the court of appeals’ decision in Daly v. Observatory Corporation, 759 P.2d 777 (Colo.App.1988), which reversed a directed verdict in favor of a tavern owner in a negligence case [463]*463arising out of injuries sustained by the plaintiff, a tavern patron, in the course of a vehicular assault caused by another patron in the tavern parking lot after the tavern had closed. The court of appeals, in reversing the judgment and remanding the case for a new trial, held that evidence of an earlier physical confrontation inside the tavern, in which the injured plaintiffs friend made a threatening remark while grabbing and shuffling the patron who ultimately caused the vehicular assault, was sufficient to establish the foreseeability element of legal duty, in that the tavern owner could reasonably have foreseen that the earlier confrontation inside the bar “could lead to further confrontation in the parking lot resulting in injury to one of its patrons.” 759 P.2d at 779. We conclude that the evidence was not sufficient to establish that the tavern proprietor had either actual or constructive notice that the tavern patron causing the injury to the plaintiff constituted an unreasonable risk of harm to others legitimately on the tavern premises, and that, therefore, the tavern proprietor had no legal duty to protect the injured plaintiff from bodily harm under the particular circumstances of this case. We accordingly reverse the judgment of the court of appeals and order the reinstatement of the directed verdict in favor of the tavern proprietor.

I.

In this case, the plaintiff, Raymond F. Daly, filed a tort action against the Observatory Corporation, which owned and operated a tavern, and a tavern customer, Russell Sheard, for damages resulting from an incident in which Sheard, in the early morning hours of January 28, 1984, while leaving the parking lot of the tavern, drove his automobile into the rear of a car occupied by the plaintiff, Daly, and. operated by Daly’s companion, Michael Fitzpatrick, and pushed the car across the parking lot and over an embankment, thereby causing injuries to Daly. Sheard settled with Daly prior to trial.1 Daly’s claims against the Observatory Corporation (hereinafter referred to as the Observatory), as pertinent here, were based on the Observatory’s negligence in breaching its statutory and common-law duty not to serve alcoholic beverages to a visibly intoxicated person, see § 12-47-128(5)(a)(I), 5 C.R.S. (1985), and, independently of that claim, on the Observatory’s negligent failure to protect Daly from the physical harm inflicted on him by Sheard while Daly was on the Observatory’s premises. The Observatory asserted that the complaint failed to state a claim for relief and denied any negligence on its part.

The case was tried to a jury in July 1985, and the evidence established the following sequence of events. At approximately 7:30 p.m. on Friday, January 27, 1984, Daly arrived at the Observatory, which holds a tavern license to sell malt, vinous, and spirituous liquors for consumption by customers on its premises in Evergreen, Colorado. The tavern is small, with a bar and several bar stools, and twelve tables around the bar. There were three persons, a bartender and two waitresses, who were working at the tavern on the night in question. The Observatory provided entertainment by a band on weekend evenings.

After his arrival, Daly met several of his coworkers at the tavern, including Michael Fitzpatrick, and spent the evening drinking and socializing. Sheard entered the tavern at approximately 8:30 p.m. He had nothing to drink prior to his arrival and was not familiar to those working at the tavern. Sheard ordered a beer at the bar from the bartender, Peri Eringen, and .paid for the drink in cash. Sheard, who described himself at trial as having an outgoing personality toward women in bars, struck up a “flirtatious” conversation with bartender Eringen. The conversation, however, re-, suited in a minor argument when Sheard asked the bartender for some paper on which to write and the bartender told him she was too busy to get him the paper. Sheard became upset and grabbed a billing tab from a waitress. Because the waitresses were required to account for each of their billing tabs, Eringen, who was some[464]*464what irritated over Sheard’s behavior, told him not to write on the tab and to use a napkin for that purpose. Sheard returned the tab to the waitress and subsequently apologized to Eringen for his behavior. Eringen, who left the tavern at approximately 1:00 a.m., did not pay any particular attention to Sheard during the evening, but, because of this incident with the ticket, told the other waitresses to watch him.

Sheard sat at the bar until approximately 9:00 p.m., when he met Stacy Spielberger, and then • both Sheard and Spielberger moved to a table. Spielberger spent about two hours with Sheard at the table and found him to be “overly friendly” and “flirtatious.” During the two hours at the table, Sheard ordered a drink for Spielber-ger and himself, both of which were placed on his tab by a waitress. Spielberger’s friend, Richard Roth, joined Spielberger and Sheard at the table around 10:30 p.m. Roth spoke with Sheard for approximately one-half hour before leaving the Observatory and found him to be an “extroverted, overfriendly” person. Neither Roth nor Spielberger was of the opinion that Sheard showed any signs of intoxication during their conversations with him. Sheard testified at trial that during the entire evening he had consumed about three or four beers and one or two coffees with brandy.

At approximately 1:00 a.m., Sheard asked his waitress, Cheryl Ann Pope, who was there working as both a waitress and a bartender, for his tab. Pope testified that she had been “keeping an eye” on Sheard “because he .was being so friendly” and that, in the course of the evening, he had asked each of the three women working at the tavern — Pope, Eringen, and the other waitress — for a date. Pope calculated the tab at $17.00, of which approximately $8.50 was for drinks and the balance for food Sheard had ordered during the evening. Sheard gave his credit card to Pope in payment of the bill. Pope ran the card through a credit card machine and placed a pen, the credit card, and the charge slip at Sheard’s table for his signature. When Pope returned for the signed charge slip, however, all three items were missing. Sheard said that he did not know what happened to the items, and Pope again took his credit card and prepared a new charge slip for Sheard’s signature. When Pope returned the second time, she discovered the charge slip burning in a candleholder on the table. Pope decided to make a third attempt at completing Sheard’s charge transaction, but discovered that the credit card machine was missing. Pope then informed Sheard that she could not find the credit card machine and asked him if he would pay his bill in cash. Sheard agreed to pay the bill in cash, but Pope did not return his credit card to him.

Sheard was concerned about his credit card and went downstairs to a telephone in order to call the police to report that the credit card machine was missing and that his credit card had not been returned to him.

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Bluebook (online)
780 P.2d 462, 13 Brief Times Rptr. 1084, 1989 Colo. LEXIS 274, 1989 WL 106394, Counsel Stack Legal Research, https://law.counselstack.com/opinion/observatory-corp-v-daly-colo-1989.