Peabody N.E., Inc. v. Department of Transportation

735 A.2d 782, 250 Conn. 105, 1999 Conn. LEXIS 276
CourtSupreme Court of Connecticut
DecidedAugust 10, 1999
DocketSC 16072
StatusPublished
Cited by39 cases

This text of 735 A.2d 782 (Peabody N.E., Inc. v. Department of Transportation) is published on Counsel Stack Legal Research, covering Supreme Court of Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Peabody N.E., Inc. v. Department of Transportation, 735 A.2d 782, 250 Conn. 105, 1999 Conn. LEXIS 276 (Colo. 1999).

Opinions

Opinion

KATZ, J.

General Statutes § 52-592 (a),1 which is part of our state’s “saving statute,” allows a plaintiff to bring [107]*107an action that otherwise would be barred by an applicable statute of limitations, within one year after the determination of a prior action or after the reversal of a judgment, if the “original action” has failed to be tried on the merits for any of several reasons enumerated in the statute, and if the original action was for the same cause as the later action. Although the parties to this appeal raise several issues, the dispositive issue is whether the plaintiff, who has brought two separate actions within the applicable statute of limitations period, may bring a third action, under § 52-592 (a), when: (1) the third action is brought after the applicable [108]*108statute of limitations period has expired; (2) the third action is brought within one year of the determination of the last action filed within the applicable limitations period; and (3) the third action is not brought within one year of the determination of the first action filed within the applicable limitations period. We conclude that such an action is, as a matter of law, time barred.

I

THE BACKGROUND FACTS AND PROCEDURAL HISTORY

The following facts, which reasonably could have been found by the trial court, and the following procedural history, are relevant to this appeal. On November 30,1983, the plaintiffs, Peabody, N.E., Inc., and Peabody International Corporation (collectively, Peabody), entered into a contract with the defendant, the department of transportation (state), for the reconstruction of Route 8 and the Commodore Hull Bridge over the Housatonic River from Shelton to Derby (project). In turn, on February 8,1984, Peabody, as general contractor, entered into a subcontract with Standard Structural Steel Company (Standard), primarily for the project’s structural steel work, in the amount of $8,765,000. The project was originally scheduled to be completed by January 21, 1987, or 1104 days after the project’s commencement. During the project, however, as a result of various factors which, according to the trial court, were caused by the state — for instance, changes in the bridge’s design — Standard’s contractual obligations were severely altered. Consequently, the length of the contract extended to 2562 days and Standard’s subcontract price increased to $11,968,612.05. A certificate of acceptance of the project was finally issued on September 23, 1991.

Prior to the completion of the project, on or about August 31, 1990, Standard submitted to Peabody a two [109]*109volume written claim, with an accompanying six page summary, for additional compensation for extra work and expenses caused by the design changes. The total amount of this claim was $15,104,244.71. Peabody notified the state of Standard’s claim and forwarded two copies of Standard’s two volume claim to the state’s director of construction for the bureau of highways.

Negotiations took place between the state and Peabody, and between Peabody and Standard, to determine the cause and legitimacy of Standard’s extra costs. Eventually, on June 20, 1991, the state and Peabody reached a partial settlement which provided, inter alia, that the state would pay to Peabody $886,424, which Peabody would, in turn, pay to Standard.

On July, 2, 1991, Standard filed an action against Peabody in the United States District Court for the District of Connecticut (federal action). See Standard Structural Steel Co. v. Peabody N.E., Inc., Docket No. 2-91-CV-586. On July 29, 1991, Peabody filed an answer and third party complaint. By way of the third party complaint, Peabody sought to implead the state as a third party defendant, essentially denying liability to Standard and alleging that, “[t]o the extent that [Peabody is] found responsible to Standard for all or part of the claims set forth in the [complaint],” the state is liable to Peabody.

The state moved for a dismissal of Peabody’s third party action on the ground that the federal district court lacked jurisdiction over the action because the action was barred by the eleventh amendment to the United States constitution.2 On June 12,1992, the District Court [110]*110granted the motion to dismiss, concluding that the court lacked jurisdiction over the action because, although General Statutes (Rev. to 1991) § 4-61 (a)3 constitutes an abrogation of eleventh amendment immunity for purposes of suit in state court, it does not do so for purposes of suit in federal court.

Standard, which had become insolvent during the pendency of its federal action, was placed into bankruptcy and, eventually, the Federal Deposit Insurance Corporation (FDIC) became its successor in interest as to any claims pertaining to the project. On May 20,1993, the FDIC filed an action against Peabody in. state court, based upon essentially the same allegations that Standard had asserted in its federal action. See Federal Deposit Ins. Corp. v. Peabody N.E., Inc., Superior Court, judicial district of Hartford-New Britain at Hartford, Docket No. CV93-525754-S (January 22, 1996).

On June 2, 1993, Peabody filed an answer and third party complaint, impleading the state into the state action and marking the commencement of Peabody’s [111]*111state action (first state action). Peabody’s third party complaint is virtually identical to its analogous complaint in the federal action, with the addition of a paragraph providing: “To the extent [Standard/FDIC] incurred the damages and expenses as alleged, such damages and expenses were caused by acts and/or omissions of the State of Connecticut and not by any acts and/or omissions of Peabody.” Again, Peabody alleged that the state is liable to Peabody “ [t] o the extent that [Peabody is] found responsible to Standard . . . .”

On January 13, 1995, the state filed a motion to dismiss on the grounds that: (1) Peabody had not given to the state sufficient notice of a claim of the kind or in the manner required under § 4-61; and (2) Peabody’s complaint did not allege facts sufficient to make out a disputed claim under Peabody’s contract with the state because the claims asserted by Peabody were actually those of Standard. On January 22, 1996, the trial court denied the state’s motion, holding, inter alia, that the court did have jurisdiction over the action under § 4-61.4

The state appealed from the trial court’s judgment to this court upon the granting of certification by the Chief Justice pursuant to General Statutes § 52-265a,5 as to the following issue: “Whether sovereign immunity bars, and deprives the court of subject matter jurisdiction over, a general contractor’s construction claim under ... § 4-61, when that claim’s purpose is to pass [112]*112through to the State the general contractor’s potential liability to a subcontractor, even though: (a) the general contractor has denied any liability to the subcontractor, (b) no such liability has been proven, and (c) the subcontractor has no contractual privity with the State?”

We answered this certified question in Federal Deposit Ins. Corp. v. Peabody, N.E., Inc., 239 Conn.

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Bluebook (online)
735 A.2d 782, 250 Conn. 105, 1999 Conn. LEXIS 276, Counsel Stack Legal Research, https://law.counselstack.com/opinion/peabody-ne-inc-v-department-of-transportation-conn-1999.