Paz v. Carman Industries

860 F.2d 977
CourtCourt of Appeals for the Tenth Circuit
DecidedNovember 1, 1988
Docket86-2101
StatusPublished

This text of 860 F.2d 977 (Paz v. Carman Industries) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Paz v. Carman Industries, 860 F.2d 977 (10th Cir. 1988).

Opinion

860 F.2d 977

Prod.Liab.Rep.(CCH)P 11,961
Julio PAZ, Plaintiff-Appellant,
Utah State Insurance Fund, Plaintiff,
v.
CARMAN INDUSTRIES, Defendant-Appellee.
Standard Oil Company of California, Ford, Bacon & Davis, and
W.C. Grant, Defendants.

No. 86-2101.

United States Court of Appeals,
Tenth Circuit.

Nov. 1, 1988.

Jackson Howard (Danielle Eyer Davis of Howard, Lewis & Petersen, with him on the brief), Provo, Utah, for plaintiff-appellant.

Gary B. Ferguson and Gary L. Johnson of Richards, Brandt, Miller & Nelson, Salt Lake City, Utah, for defendant-appellee.

Before LOGAN, MOORE, and McWILLIAMS, Circuit Judges.

McWILLIAMS, Circuit Judge.

On March 7, 1982, Julio Paz, an employee of American Gilsonite Company (the Company), was severely burned in an explosion at the Company's gilsonite processing plant in Bonanza, Utah.1 At the time of the explosion Paz was acting in the course and scope of his employment with the Company.

On March 18, 1983, Paz brought suit in the United States District Court for the District of Utah seeking damages for the injuries sustained in the explosion. Under local Utah law, Paz received worker's compensation benefits, and the Utah State Insurance Fund was joined as a party plaintiff. Named as defendants were Ford, Bacon & Davis, a New York corporation; Carman Industries, an Indiana corporation; and W.C. Grant, also an Indiana corporation. Standard Oil of California, a Delaware corporation, was later added as a defendant. Jurisdiction was based on diversity of citizenship. 28 U.S.C. Sec. 1332.

The original complaint set forth three causes of action based on negligence, express and implied warranties, and strict products liability. Each of the four defendants filed a separate answer denying generally, and specifically, liability.

In the pretrial order, it was agreed that in 1978 the Company entered into a written contract with Ford, Bacon & Davis for construction of the processing plant, that Ford, Bacon & Davis entered into a subcontract with Carman Industries for a part of the work, and that Carman entered into a subcontract with W.C. Grant for a part of its work.2 It was further agreed that the Company also entered into a "technical assistance agreement" with Standard Oil of California.

A short time prior to trial, Paz entered into an out-of-court settlement with all defendants except Carman, whereby Paz dismissed his claims against all defendants except Carman in exchange for $1,000,000.

Paz's claim against Carman proceeded to trial before a jury and was based solely on Paz's third cause of action, i.e., strict products liability. An eight-day trial ended with both Paz and Carman moving for a directed verdict. Those motions were denied and the case was submitted to the jury with a series of special interrogatories, the first interrogatory reading as follows:

1. Was the fluid bed dryer or accessories manufactured by defendant Carman Industries in a defective condition?

The jury, after 16 hours of deliberation, answered the above interrogatory, "No." Based on the trial court's instructions, the jury was not required to answer the remaining interrogatories. Then, based on the "No" answer by the jury, the district court entered judgment in favor of Carman. Paz subsequently filed a motion for judgment n.o.v. or, in the alternative, for a new trial, which motion was denied in its entirety. Paz appeals the judgment thus entered. We affirm.

I. Motion for Judgment N.O.V. or New Trial

Paz argues that the district court erred in denying his motion for judgment n.o.v. or new trial. Based on the record, we find no error.

Jury verdicts are not to be lightly overturned as courts recognize that a "traditional sanctity" attaches to the solemn verdict of a jury. Mid-West Underground Storage, Inc. v. Porter, 717 F.2d 493, 501 (10th Cir.1983). In reviewing a district court's denial of a motion for judgment n.o.v., we may find error only when that evidence points but one way, i.e., in favor of the mover and is susceptible of no reasonable inferences supportive of the nonmover's position. Although a scintilla of evidence sustaining the position of the nonmover is not enough, an appellate court must affirm if there was evidence before the jury upon which it could properly find against the mover. Cooper v. Asplundh Tree Expert Co., 836 F.2d 1544, 1547 (10th Cir.1988); see also Joyce v. Atlantic Richfield Co., 651 F.2d 676, 680 (10th 1981).

A motion for a new trial, on the other hand, is committed to the informed discretion of the district court which is generally in a better position to evaluate a claim of jury confusion. In reviewing the denial by the district court of a motion for a new trial, we do not make a de novo determination of the sufficiency or weight of the evidence. Appellate inquiry is limited to whether the district court's refusal to set aside the jury's verdict and order a new trial constitutes a manifest abuse of discretion. Karns v. Emerson Electric Co., 817 F.2d 1452, 1456 (10th Cir.1987) (citing Brown v. McGraw-Edison Co., 736 F.2d 609, 616 (10th Cir.1984); Ryder v. City of Topeka, 814 F.2d 1412, 1424 (10th Cir.1987).

In our view, the record supports the jury's answer to special Interrogatory No. 1 that the fluid dryer and accessories manufactured by Carman were not in a defective condition when given to the Company and its prime contractor, Ford, Bacon & Davis. There was conflicting testimony on the question of defect and a jury's choice "between two permissible views of the evidence" does not mean that its verdict is vulnerable to post-trial motions. Rasmussen Drilling v. Kerr-McGee Nuclear Corp., 571 F.2d 1144, 1148-49 (10th Cir.), cert. denied 439 U.S. 862, 99 S.Ct. 183, 58 L.Ed.2d 171 (1978).

In support of our conclusion that there was conflicting testimony on the question of defect, we refer, by way of illustration, to the testimony of Dr. Geoffrey Germane, an expert witness called by Paz, and David Lee, an expert witness called by Carman. Dr. Germane testified, inter alia, that there were eight defects in the drying system manufactured by Carman for the Company and its representative, Ford, Bacon & Davis.

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