Premier Members Federal Credit Union v. Block

2013 COA 128, 312 P.3d 276, 2013 WL 4779011, 2013 Colo. App. LEXIS 1408
CourtColorado Court of Appeals
DecidedAugust 29, 2013
DocketCourt of Appeals No. 12CA0906
StatusPublished
Cited by13 cases

This text of 2013 COA 128 (Premier Members Federal Credit Union v. Block) is published on Counsel Stack Legal Research, covering Colorado Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Premier Members Federal Credit Union v. Block, 2013 COA 128, 312 P.3d 276, 2013 WL 4779011, 2013 Colo. App. LEXIS 1408 (Colo. Ct. App. 2013).

Opinion

Opinion by

JUDGE LICHTENSTEIN

¶ 1 Defendant, Darrell Einspahr, appeals the judgment entered after a bench trial, on the fraud claim of plaintiff, Premier Members Federal Credit Union (Premier). He contends the trial court erred by denying him a jury trial. He also appeals the court's dismissal of his cross-claim that sought indemnification from Broadway Automotive Group, Inc., doing business as Quality Mitsubishi, Inc., and its owner Henry Block (collectively Quality). We affirm.

¶ 2 As an issue of first impression, we consider whether C.R.C.P. 6(b)-the civil rule governing enlargements of time-gives a court discretion to grant a party's request for a jury trial upon a showing of excusable neglect for that party's untimely payment of a jury fee. Because C.R.C.P. 6(b) does not apply to the statutory deadline for payment of jury fees, we conclude it does not.

¶ 3 We also address whether an employee who knowingly engages in fraud may have a right to indemnification from his or her employer under a theory of vicarious liability. We conclude such an employee is precluded from seeking indemnification, irrespective of any authorization by the employer.

I. Background

¶ 4 Einspahr was the manager of the special finance department of Quality's car dealership. He and another employee in the department recommended high risk buyers for car loans from Premier. The fraud claim was based on their conduct of "power booking," in which they artificially inflated the values of vehicles (which would create a better loan to value ratio) to induce Premier to approve the car loans.

¶ 5 After Premier learned that Einspahr and the other employee had "power booked" several of its loans, it sued Einspahr, the other employee, and Quality for fraud.1 Quality filed cross-claims against Einspahr, and Einspahr filed cross-claims against Quality.

[278]*278T6 Premier and - Quality | subsequently reached a settlement and the court "dismissed with prejudice" Premier's claims against Quality and Quality's eross-claims against Einspahr. Premier's only remaining claim-its fraud claim against Einspahr-proceeded to a bench trial, The trial court entered judgment against Einspahr and dismissed Einspahr's cross-claims against Quality.

1 7 This appeal followed.

II. Jury Demand

[ 8 Einspahr contends the trial court erred when it denied his request for a jury trial on the basis that he had failed to timely pay his jury fee. He asserts the trial court should have applied C.R.C.P. 6b), which governs enlargements of time, and gives courts the discretion to permit an act to be performed after the expiration of a deadline upon a showing of excusable neglect. Because the jury fee deadline is governed by section 13-TI-144(1)(c), C.R.S.2012, we conclude that C.R.C.P. 6(b) does not apply. Consequently, we perceive no error.

A. Standard of Review

T9 Ordinarily, we review a trial court's denial of an enlargement of time within which to perform an act for an abuse of discretion. State Farm Fire & Cas. Co. v. Weiss, 194 P.3d 1063, 1069 (Colo.App.2008) (citing C.R.C.P. 6(b)). However, we review the application of the rules of civil procedure de novo. Luebke v. Luebke, 148 P.8d 1088, 1092 (Colo.App.2006). We may affirm a trial court's ruling on any ground that is supported by the record. Thyssenkrupp Sof-way, Inc. v. Hyland Hills Parks & Recreation Dist., 271 P.3d 587, 589 (Colo.App. 2011).

B. Trial Court Proceedings

[ 10 When Quality filed its answer to Premier's fraud claim and cross-claim against Einspahr, it included a general jury demand and paid the jury fee. Einspahr, who at the time was represented by an attorney, did not pay a jury fee in response to Quality's jury demand, as required by C.R.C.P. 38(c). Subsequently, Einspahr, through counsel, filed an answer and cross-claim (against Quality), which included a jury demand. Again, he did not pay the jury fee, as required by C.R.C.P. 38(b).

4 11 At the final pretrial conference, Quality withdrew its jury demand but Einspahr, who was now proceeding pro se, informed the court that he still sought a jury trial. He supplemented this oral request with a written motion asking the court to allow him to pay the jury fee out of time, asserting that his attorney had negligently failed to pay the fee.

T 12 The court issued a written order denying his request:

Although Einspahr timely filed his jury demand ... after the [clourt granted him leave to file the cross-claims ... Einspahr did not pay the requisite jury fee at any time.
[[Image here]]
Therefore pursuant to Rule 38(b), (c) and (e), Einspahr has waived his right to a jury trial.
[[Image here]]
With no other party demanding trial by jury and paying a jury fee, Quality's withdrawal of its jury demand ... is effective, and the ... trial will be to the [clourt.

{13 Einspahr filed two motions to reconsider this ruling, additionally alleging that the court staff and the e-filing system should have charged the fee upon his attorney's filing of the jury demand.

[ 14 The trial court issued a second ruling, again denying a jury trial:

Since defendant Einspahr hald] made a timely jury demand, but did not pay the jury fee as required under Rules 38(b), (c) and (e), the [clourt is not able to reinstate defendant Einspahr's right to a jury trial without the written authorization of the other parties in the case ....

Premier and Quality filed a response, stating that they would not authorize the reinstatement of a jury trial.2 The case then proceeded to a bench trial.

[279]*279C. Applicability of C.R.CP. 6(b)

¶ 15 Colorado Rule of Civil Procedure, Rule 6(b) provides:

When by these rules or by a notice given thereunder or by order of court an act is required or allowed to be done at or within a specified time, the court for cause shown may, at any time in its discretion ... upon motion made after the expiration of the specified period permit the act to be done where the failure to act was the result of excusable neglect ....

¶ 16 Einspahr contends that the trial court should have allowed him to pay his jury fee out of time because under Rule 6(b), the court had discretion to permit an act to be performed after the expiration of a deadline upon a showing of exeusable neglect, and he established excusable neglect.

¶ 17 As an initial matter, Premier contends that Einspahr did not preserve this issue because, even though he requested permission to file the jury fee out of time, he never cited Rule 6(b), much less asked the court to decide whether Rule 6(b) applied. Even assuming the substance of Einspahi's motions sufficiently identified Rule 6(b) as the basis for his request, we conclude that, under the applicable statute, the court lacked discretion to enlarge the jury fee filing deadline and hence the case properly proceeded to a bench trial.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Marriage of Coward
Colorado Court of Appeals, 2026
Sysco Denver v. White Winston
Colorado Court of Appeals, 2025
Insight Surgery v. WSi Healthcare
Colorado Court of Appeals, 2025
Brinkerhoff v. Thurber
Colorado Court of Appeals, 2025
Baker v. Safadi-Chamberlain
2025 COA 63 (Colorado Court of Appeals, 2025)
Dayton Green v. Fymbo
Colorado Court of Appeals, 2025
Estate of Gebhardt
Colorado Court of Appeals, 2025
Oberstar v. PRCP-CO Governors Park
Colorado Court of Appeals, 2024
y Centerra v. Poag & McEwen
2021 COA 2 (Colorado Court of Appeals, 2021)
Willie v. Amerada Hess Corp.
66 V.I. 23 (Superior Court of The Virgin Islands, 2017)
Keim v. Douglas County School District
2015 COA 61 (Colorado Court of Appeals, 2015)
People v. Campos
2015 COA 47 (Colorado Court of Appeals, 2015)
Moss v. Bd. of Cnty. Comm'rs for Boulder Cnty.
411 P.3d 918 (Colorado Court of Appeals, 2015)
Taylor Morrison of Colo., Inc. v. Bemas Constr., Inc.
411 P.3d 72 (Colorado Court of Appeals, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
2013 COA 128, 312 P.3d 276, 2013 WL 4779011, 2013 Colo. App. LEXIS 1408, Counsel Stack Legal Research, https://law.counselstack.com/opinion/premier-members-federal-credit-union-v-block-coloctapp-2013.