State Farm Fire & Casualty Co. v. C & A Construction Co.

412 N.W.2d 52, 1987 Minn. App. LEXIS 4778
CourtCourt of Appeals of Minnesota
DecidedSeptember 15, 1987
DocketNo. C6-87-866
StatusPublished

This text of 412 N.W.2d 52 (State Farm Fire & Casualty Co. v. C & A Construction Co.) is published on Counsel Stack Legal Research, covering Court of Appeals of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Farm Fire & Casualty Co. v. C & A Construction Co., 412 N.W.2d 52, 1987 Minn. App. LEXIS 4778 (Mich. Ct. App. 1987).

Opinion

OPINION

A. PAUL LOMMEN, Acting Judge.

The trial court granted summary judgment in favor of respondents C & A Construction Company and Arcade Concrete Construction Company based on the two-year statute of limitations set forth in Minn.Stat. § 541.051. On appeal, appellant State Farm claims the court erred by applying a two-year statute of limitations instead of a six-year statute of limitations and by determining the statute of limitations began to run on the date the fire occurred. We affirm.

FACTS

In 1978, respondent C & A Construction Company built a house for John and Carol Cincotta. C & A subcontracted the masonry work, including the “roughed-in” fireplace called for in the house plans, to re[53]*53spondent Arcade Concrete Construction Company. After moving in, the Cincottas hired Ric Williams, an apprentice bricklayer, to finish the fireplace.

On January 10, 1982, a fire occurred in the Cincottas’ home. The Vadnais Heights Fire Department extinguished the fire and dismantled the fireplace to determine the cause of the fire. Fire Chief Lorenz concluded the fire was caused by improper installation of the fireplace. However, Lorenz did not submit a written report until February 2, 1982.

The Cincottas filed their property loss claim with State Farm Fire and Casualty Company on January 11, 1982. Merle Ha-gen, State Farm’s fire claims specialist, made his on-site examination of the fire on January 11, 1982 and determined that the fire originated in the fireplace. In his deposition, Hagen stated it “was pretty obvious where the origin of the fire was.”

State Farm retained fire consultant expert Bruce Ryden and the Cincottas retained Ray Vaala of the Suppornick Adjusting Company to investigate the cause of the fire. Vaala first inspected the fire damage on January 12, 1982 and determined the fire originated around the fireplace. On January 15,1982, Ryden inspected the fire damage and concluded that the fire was caused by defective masonry work in the construction of the fireplace.

Gerald Theis, Building Inspector for the City of Vadnais Heights, also inspected the fire damage. On January 25, 1982, Theis informed the Cincottas the fire was caused by faulty fireplace construction. In its reply brief, appellant claims the Cincottas never received the January 25, 1982 letter.

In their February 5, 1987 affidavit, John and Carol Cincotta stated:

[T]he first time they were informed or discovered that the fire apparently was caused by improper installation of the fireplace was sometime after the contractor removed the stone and block from the front of the fireplace with the inspectors present, which apparently happened on February 4, 1982.

The Cincottas later amended their affidavit, stating:

John and I wish to state that our first recollection of the fire marshall tearing apart the fireplace was March 4, 1982 and not February 4, 1982. No one prior to that time would definitely state the exact cause of the fire until after the fire marshall made his statement. We also have no recollection of receiving written material from anyone stating “possible” or “probable” cause of our fire except that it probably started in the fireplace. The trial court found:
The Vadnais Heights fire department arrived soon after receiving the call, and extinguished the fire. Fire fighters then partly dismantled the fireplace and surrounding structure to determine how the fire started. The cause was found to be extreme heat radiating from the sheet metal on the rear of the fireplace insert. The Fire Chief noted that the installation of the fireplace appeared improper.
John Cincotta hired an adjuster to help settle his claim with his insurer, the Plaintiff herein (“State Farm”). The adjuster cooperated with State Farm’s investigator. The Fire Chief’s opinion reached State Farm’s investigator on February 5, 1982.

On March 4,1982, State Farm settled the Cincottas’ fire damage claim and received an assignment of their rights against third parties. State Farm commenced this action against Arcade on January 31, 1984 and against C & A on February 2, 1984.

ISSUE

Did the trial court err by granting summary judgment?

ANALYSIS

In reviewing a summary judgment, this court must determine whether there are any genuine issues of material fact and whether the trial court erred in its application of the law.. Betlach v. Wazyata Condominium, 281 N.W.2d 328, 330 (Minn.1979). As the facts of this case are not in dispute, the only issue for our consideration is whether the trial court erred in its application of the law.

[54]*54 Applicable statute of limitations

First, appellant claims the trial court erred by applying the two-year statute of limitations set forth in Minn.Stat. § 541.051 (1982), instead of the six-year statute of limitations set forth in Minn.Stat. § 541.05 (1982). Appellant premises its argument on the last paragraph of Minn.Stat. § 541.-051, subd. 1, which provides:

Nothing in this section shall apply to actions or damages resulting from negligence in the maintenance, operation or inspection of the real property improvement against the owner or other person possession.

Id. (emphasis added).

It is appellant’s position that because C & A was the owner of the materials used in the home’s construction, C & A, not the Cincottas, was the “owner or other person in possession” within the meaning of Minn. Stat. § 541.051.

We recently interpreted the second paragraph of Minn.Stat. § 541.051, subd. 1. In Sullivan v. Farmers & Merchants State Bank of New Ulm, 398 N.W.2d 592 (Minn.Ct.App.1986), pet. for rev. denied (Minn. Mar. 13, 1987), we stated:

The second paragraph of Minn.Stat. § 541.051, subd. 1 specifically excludes actions for damages against owners and persons in possession of property improvements from the limitations imposed by the first paragraph when the cause of the injury results from negligent maintenance, operation or inspection of the property improvement. The inclusion of this paragraph in the 1980 version of the statute evinces a legislative intent to hold owners and possessors to the standard of care required at common law.

Id. at 595 (emphasis added.) While appellant’s argument may be valid if a third party had been injured at the Cincottas’ home, it is not valid when applied to the facts of this case.

The relevant part of Minn.Stat. § 541.-051, subd. 1, provides:

LIMITATION OF ACTION FOR DAMAGES BASED ON SERVICES OR CONSTRUCTION TO IMPROVE REAL PROPERTY.
Subdivision 1. Except where fraud is involved, no action by any person in contract, tort, or otherwise to recover damages for any injury to property, real or personal, or for bodily injury or wrongful death, arising out of the defective and unsafe condition of an improvement to real property, nor any action for contribution or indemnity for damages sustained on account of the injury,

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Related

Sullivan v. Farmers & Merchants State Bank of New Ulm
398 N.W.2d 592 (Court of Appeals of Minnesota, 1986)
Betlach v. Wayzata Condominium
281 N.W.2d 328 (Supreme Court of Minnesota, 1979)
Citizens Security Mutual Insurance Co. of Red Wing v. General Electric Corp.
394 N.W.2d 167 (Court of Appeals of Minnesota, 1986)
Greenbrier Village Condominium Two Ass'n v. Keller Investment, Inc.
409 N.W.2d 519 (Court of Appeals of Minnesota, 1987)

Cite This Page — Counsel Stack

Bluebook (online)
412 N.W.2d 52, 1987 Minn. App. LEXIS 4778, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-farm-fire-casualty-co-v-c-a-construction-co-minnctapp-1987.