PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, ETC. VS. RYAN, INC. (L-2449-15, UNION COUNTY AND STATEWIDE)

CourtNew Jersey Superior Court Appellate Division
DecidedJanuary 9, 2019
DocketA-4890-16T1
StatusUnpublished

This text of PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, ETC. VS. RYAN, INC. (L-2449-15, UNION COUNTY AND STATEWIDE) (PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, ETC. VS. RYAN, INC. (L-2449-15, UNION COUNTY AND STATEWIDE)) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, ETC. VS. RYAN, INC. (L-2449-15, UNION COUNTY AND STATEWIDE), (N.J. Ct. App. 2019).

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION DOCKET NO. A-4890-16T1

PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, a/s/o DAVID MUNZ,

Plaintiff-Appellant,

v.

RYAN, INC.,

Defendant-Respondent. ____________________________

Submitted September 13, 2018 – Decided January 9, 2019

Before Judges Simonelli and DeAlmeida.

On appeal from Superior Court of New Jersey, Law Division, Union County, Docket No. L-2449-15.

Crawford and McElhatton, attorneys for appellant (Brian J. James, and on the brief).

Hardin, Kundla, McKeon & Poletto, PA, attorneys for respondent (Janet L. Poletto and Robert E. Blanton, Jr., on the brief). PER CURIAM

In this insurance subrogation matter, plaintiff Philadelphia

Contributionship Insurance Company appeals from the April 13, 2017 Law

Division order barring its experts' reports and testimony and granting summary

judgment to defendant Ryan, Inc. Plaintiff also appeals from the June 9, 2017

order denying its motion for reconsideration. We affirm.

I.

Defendant is a fuel oil company that provided fuel for the oil-fired furnace

located in the home of David Munz. Defendant also serviced the furnace for

many years. Approximately one month before December 16, 2013, and again

on that date, defendant's service technician, Anthony Perriello, serviced the

furnace after Munz reported having no heat.

On January 4, 2014, a fire occurred at Munz's home, which originated

inside the furnace. Munz submitted a property damage claim to plaintiff, which

plaintiff paid. On July 6, 2015, plaintiff filed a complaint for subrogation

against defendant to recover the sum paid to Munz.

The discovery deadline was July 21, 2016. On May 20, 2016, the parties

consented to a sixty-day extension. On August 30, 2016, defendant filed a

motion to further extend discovery and fix a date certain for plaintiff to furnish

A-4890-16T1 2 expert reports. In a September 16, 2016 order, the trial court extended discovery

to November 18, 2016, and ordered as follows, in pertinent part:

Plaintiff shall furnish all written reports or written summaries of oral reports from all proposed expert witnesses on liability, causation, and/or damages by September 26, 2016[;]

The testimony of the experts for [p]laintiff whose written reports are supplied by September 26, 2016 shall be specifically limited to the scope of the reports[;] and

The testimony of any expert witnesses on behalf of [p]laintiff whose reports are not supplied by September 26, 2016 shall be barred at the time of trial.

Plaintiff did not seek relief from this order and does not challenge it on appeal.

On September 26, 2016, plaintiff amended its interrogatory answers to

include the following written summary of the oral reports of its proposed origin

and cause expert, John Goetz, and furnace expert, Edward Carey:

John Goetz – Origin and Cause Expert

[] Goetz conducted an inspection of [Munz's] property . . . to determine the origin and cause of the fire at the subject property. No exterior fire or smoke damage was observed. An interior examination disclosed smoke and heavy soot damage throughout the first and second floor. The soot damage was observed to be coming from the hot air ducts for the oil fired furnace located in the basement. The basement was observed to have sustained smoke, soot, fire and water

A-4890-16T1 3 damage. Fire damage was observed in the area of the oil-fired, hot air furnace.

Fire patterns observed in the structure place the area of origin as the oil-fired, hot air furnace. Above the furnace was the duct system for the furnace as well as some electrical lines. These electrical lines sustained no damage, and no malfunctions were observed. The duct system contained large amounts of soot.

An examination of the oil-fired, hot air furnace was conducted. The furnace sustained fire and heat damage. The fire and heat damage was observed mainly in the burner area of the furnace. Various components of the furnace had been removed and placed on top of the furnace. There was large amount of soot in the flue for the chimney. The burner section of the furnace displayed heavy heat damage. From the fire patterns observed on the furnace, the furnace is the point of origin of the fire. The only fire damage observed within the basement was within the oil-fired, hot air furnace.

Ed Carey – Furnace Expert

[] Carey conducted an evidence examination of the oil-fired, hot air furnace. The furnace is a Thatcher [TM] Low Boy designed furnace, Model No. V120G, Series I which was approximately [forty-six] years old. The furnace sustained a fuel release in the burden vestibule (front) of the furnace, which fire and burn patterns indicate resulted in a hostile fire in the burner vestibule.

The chimney connector pipe is the pipe from the breach/outlet of the furnace to the chimney. It is presumed that the chimney connector pipe was

A-4890-16T1 4 removed from the furnace by the fire department personnel’s fire suppression efforts.

Examination of the chimney pipe disclosed heavily corroded holes through the chimney connector pipe that would have been visible by any professional working on the subject furnace. Further inspection of the subject furnace revealed that the oil furnace also had large holes corroded through the metal surfaces of the heat exchanger. The extent and condition of the corrosion of the metal surfaces of the chimney connector pipe and heat exchanger indicate that said condition was not the result of the events of the subject fire. Rather, the holes corroded through the chimney connector pipe and heat exchanger were obviously preexisting, prior to the services performed by defendant, within a few weeks of the fire.

The subject furnace is long past its useful life expectancy. Also, it clearly appears that the subject oil furnace, chimney pipe and heat exchanger would not have been in safe and serviceable condition when the services were performed by defendant, within a few weeks of the fire.

The subject furnace should not have been repaired and returned to service when defendant worked on said furnace a few weeks prior to the incident. At that time, the subject furnace should have been declared unsafe and removed from service by the defendant’s service personnel.

The court entered two more orders extending the discovery deadline for

the parties to complete specified discovery, which did not include serving

supplemental or rebuttal expert reports. On January 10, 2017, plaintiff filed a

A-4890-16T1 5 motion to extend discovery for thirty days to serve rebuttal expert reports and

complete specific depositions, including Perriello's deposition. Perriello's

deposition occurred on January 19, 2017. Thereafter, in a February 3, 2017

order, the court extended discovery for thirty days, to March 6, 2017, 1 for the

parties to complete the specified deposition and denied plaintiff’s request to

serve rebuttal expert reports. The court also scheduled trial for May 15, 2017.

Plaintiff did not seek relief from this order and does not challenge it on appeal.

Without leave of court, on March 1, 2017, plaintiff amended its answers

to interrogatories to include a supplemental expert report from Carey that gave

an entirely new opinion as to the cause of the fire.

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PHILADELPHIA CONTRIBUTIONSHIP INSURANCE COMPANY, ETC. VS. RYAN, INC. (L-2449-15, UNION COUNTY AND STATEWIDE), Counsel Stack Legal Research, https://law.counselstack.com/opinion/philadelphia-contributionship-insurance-company-etc-vs-ryan-inc-njsuperctappdiv-2019.