Ramrattan v. Burger King Corp.

656 F. Supp. 522, 1987 U.S. Dist. LEXIS 2234
CourtDistrict Court, D. Maryland
DecidedMarch 23, 1987
DocketCiv. Y-86-37
StatusPublished
Cited by32 cases

This text of 656 F. Supp. 522 (Ramrattan v. Burger King Corp.) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ramrattan v. Burger King Corp., 656 F. Supp. 522, 1987 U.S. Dist. LEXIS 2234 (D. Md. 1987).

Opinion

MEMORANDUM

JOSEPH H. YOUNG, District Judge.

Plaintiff Radhica Ramrattan suffered serious injuries when her car collided with a truck. She and the man driving her car have sued the truck driver and three corporate entities. Numerous motions in limine are now ripe for resolution. This Memorandum will address each motion seriatim.

I. Plaintiffs Motion to Preclude Evidence of Annuities

Plaintiff Ramrattan alleges that she sustained permanent injuries which left her totally disabled, and that she will require round-the-clock nursing care. Defendants plan to produce an expert witness at trial to testify about the cost of an annuity which would provide an income over the remainder of plaintiff’s life equal to the damages that are claimed. Plaintiff seeks an order precluding evidence regarding annuities, arguing that if she prevails on the issue of defendants’ liability for the accident, then she will be entitled to a lump sum damage award, and not be obliged to purchase an annuity, and therefore evidence of the cost of annuities is irrelevant, prejudicial and misleading.

In diversity cases such as this, a federal district court must apply the substantive law of the forum state. Erie R. Co. v. Tompkins, 304 U.S. 64, 58 S.Ct. 817, 82 L.Ed. 1188 (1937). Thus, Maryland law governs the question of whether the defendants may introduce evidence of the cost of an annuity in order to establish the present value of any future economic losses for which the plaintiff should be compensated.

Section 11-109 of the Maryland Courts and Judicial Proceedings Code provides for the use of annuities in personal injury actions:

(b) ... As part of the verdict in any action for damages for personal injury in which the cause of action arises on or after July 1, 1986, the trier of fact shall itemize the award to reflect the monetary amount intended for:
(1) Past medical expenses;
(2) Future medical expenses;
(3) Past loss of earnings;
(4) Future loss of earnings;
(5) Noneconomic damages; and
(6) Other damages.
*524 (c) ... (1) The court ... may order that all or part of the future economic damages portion of the award be paid in the form of annuities or other appropriate financial instruments, or that it be paid in periodic or other payments consistent with the needs of the plaintiff, funded in full by the defendant or the defendant’s insurer and equal when paid to the amount of the future economic damages award.

Md.Cts. & Jud.Proc.Code Ann. § 11-109 (emphasis added). Subsection (b), requiring itemization of the damages award, applies only to cases in which the cause of action arose on or after July 1, 1986. Subsection (c), which explicitly authorizes the use of annuities in personal injury cases, has no such limiting language. Therefore, although the cause of action in the instant controversy arose on November 9, 1985, the day the accident occurred, this Court construes § 11-109 to allow the use of an annuity in this case.

The same day the Maryland legislature enacted § 11-109, it also enacted § 11-108 to provide a cap of $350,000 for noneconomic damages in personal injury cases wherein the cause of action arose on or after July 1, 1986. “Noneconomic damages” are defined as pain, suffering, inconvenience, physical impairment, disfigurement, loss of consortium, or other nonpecuniary injury. Although the legislature chose to establish a clearly-defined date after which the $350,000 limit would take effect, it did not do so on the issue of the propriety of employing annuities in personal injury actions. This distinction makes sense, given that the common law prior to July 1, 1986, did not establish a cap for noneconomic damages, but did allow the use of annuities to provide compensation for future economic losses.

In Baltimore Transit Co. v. Worth, 188 Md. 119, 52 A.2d 249 (1946), Worth suffered injuries that left him totally disabled. The Maryland Court of Appeals affirmed defendant’s introduction of testimony regarding the cost of an annuity that would provide Worth a given income per week in order to compensate him for lost future earnings. 188 Md. at 143-44, 52 A.2d 249. Thus, § ll-109(e)(l) explicitly articulates what had already been available under the common law.

Defendants’ evidence regarding the cost of annuities is relevant to the issue of plaintiff’s future economic damages. Accordingly, plaintiff’s motion to exclude such evidence is denied.

II. Plaintiffs Motion to Preclude Evidence of the Cost of Nursing Home Facilities

Plaintiff Ramrattan seeks an order to preclude evidence regarding the cost of a nursing home facility for her future care. She argues that defendants have produced no evidence which suggests that the care provided in a nursing home would be superior to the care available through private duty nurses at plaintiff’s residence. Plaintiff also contends that she is not obliged to mitigate future medical expenses by submitting to the least costly form of care. Defendants oppose plaintiff’s motion to exclude on the ground that evidence associated with the expense of nursing home care is relevant to the issue of damages.

The Federal Rules govern the admissibility of evidence in this diversity case. Ballou v. Henri Studios, Inc., 656 F.2d 1147 (5th Cir.1981). For evidence to be admissible, it must be relevant, and its probative value may not be outweighed by the danger of unfair prejudice, confusion of the issues, or misleading the jury. Rule 403, Fed.R.Evid. While the Federal Rules govern the admissibility of evidence, Maryland law prescribes the elements and measure of damages to be awarded, and thus defines what is relevant.

The fundamental goal of tort recovery is compensation of the injured party. A damages award should place the victim, insofar as money may do so, in the position she would have occupied absent the tort. Tucker v. Calmar Steamship Corp., 356 F.Supp. 709, 711 (D.Md.1973). In a personal injury action, Maryland courts consider, inter alia, the medical and other expenses which, with reasonable probability, may be expected in the future. Burke v. United *525 States, 605 F.Supp. 981, 988 (D.Md.1985). Plaintiff Ramrattan will likely need full-time care for the rest of her life. Although she retains her cognitive abilities, she is dependent upon others to tend to her physical needs. Plaintiff would prefer to remain as independent as possible and, if she is capable, live at home with full-time attendants. Plaintiff will no doubt introduce evidence regarding the cost of such care, which information is relevant to the issue of damages.

Defendants want to introduce evidence of the cost of a nursing home facility, which would be less expensive than in-home care.

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Bluebook (online)
656 F. Supp. 522, 1987 U.S. Dist. LEXIS 2234, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ramrattan-v-burger-king-corp-mdd-1987.