The Lofts Essex, LLC, and The Wilson Inn, Inc. v. Strategis Floor Décor Inc.

2019 VT 82
Supreme Court of Vermont·Decided November 8, 2019·No. 2019-103·Published·Cited by 16 cases

Opinion

NOTICE: This opinion is subject to motions for reargument under V.R.A.P. 40 as well as formal revision before publication in the Vermont Reports. Readers are requested to notify the Reporter of Decisions by email at: JUD.Reporter@vermont.gov or by mail at: Vermont Supreme Court, 109 State Street, Montpelier, Vermont 05609-0801, of any errors in order that corrections may be made before this opinion goes to press.

2019 VT 82

No. 2019-103

The Lofts Essex, LLC, and The Wilson Inn, Inc. Supreme Court

On Appeal from

v. Superior Court, Chittenden Unit, Civil Division

Strategis Floor and Décor Inc. September Term, 2019

Robert A. Mello, J. (summary judgment); Helen M. Toor, J. (final judgment)

Adam P. Bergeron of Bergeron, Paradis & Fitzpatrick, LLP, Essex Junction, for Plaintiffs-Appellants.

Marc Heath and William T. Clark, Burlington, for Defendant-Appellee.

PRESENT: Reiber, C.J., Robinson, Eaton and Carroll, JJ., and Skoglund, J. (Ret.), Specially Assigned

¶ 1. CARROLL, J. Plaintiffs, Lofts Essex, LLC and the Wilson Inn, Inc. (collectively the Lofts),1 appeal the trial court’s pretrial denial of summary judgment and the court’s final decision ruling in favor of defendant, Strategis Floor and Décor, Inc. We conclude that the trial court’s pretrial denial of summary judgment is not reviewable and affirm the final decision granting judgment to Strategis.

1 The Wilson Inn is owned by Roger Villemaire and the Wilson Inn is the “single member of the Lofts Essex [LLC].” The Lofts Essex, LLC added the Wilson Inn as a plaintiff to avoid any confusion.

I. Facts

¶ 2. The evidence viewed in the light most favorable to Strategis indicates the following.2 In 2013, the Lofts built a fifty-four-unit upscale apartment building in Essex, Vermont. During the construction of the building, Roger Villemaire—the Lofts owner—and Joseph Villemaire—the Lofts property manager—approached Crowley Floors, a local Vermont flooring retailer, about purchasing flooring for the Lofts. Crowley Floors provided the Villemaires with a marketing brochure for a Strategis flooring product called “Inspira High Performance Luxury Vinyl Plank” (LVP), which described LVP as a “[s]pectacular, lifelike wood” product with a “ ‘[t]ough-as-nails’ finish.”

¶ 3. LVP is a laminate wood product “designed to look like real wood flooring, but to be more durable.” LVP consists of six layers. The top layer is a “[s]cratch [r]esistant [c]oating” designed “primarily . . . to give the product a uniform gloss level and an enhanced resistance to minor abrasions.” Immediately beneath the scratch resistant coating is an additional 0.5 millimeter wear layer that “gives the floor . . . its long-term resistance to abrasion and day-to-day wear and tear.” The next layer down is the “printed decor layer,” which is a synthetic film designed to replicate the look of real wood. Beneath the printed decor layer is a high-density vinyl that makes up the product’s core. The final bottom layer consists of polyvinyl chloride (PVC), which is a vinyl-based plastic “used extensively in plastic pipe, plastic wrap, electrical insulation, [and] carpeting.” See J. Luddington, Annotation, Products Liability: Polyvinyl Chloride, 59 A.L.R.4th 129, § 2(a) (1988).3

2 Because we conclude that the trial court’s pretrial denial of summary judgment is unreviewable, see infra, ¶¶ 11-14, we view the trial court’s factual findings in the light most favorable to Strategis. See Finley v. Williams, 142 Vt. 153, 155, 453 A.2d 85, 86 (1982) (“[F]indings of fact . . . by the trial court will not be disturbed on appeal unless clearly erroneous when viewed in the light most favorable to the prevailing party.”).

3 We take judicial notice of the definition of PVC. See V.R.E. 201(b).

¶ 4. The Villemaires decided to purchase approximately 30,000 square feet of LVP flooring from Crowley Floors to install in “the entries, kitchens, dining areas and hall closets of the 54 apartment units.”4 About a year after the LVP flooring was installed, Joseph Villemaire began noticing problems: the floor was separating and small blue spots were appearing in the flooring. In the summer of 2015, the Lofts contacted Sean Ryan—the owner of Elegant Floors, another local flooring retailer—for assistance in dealing with these problems.5

¶ 5. On behalf of the Lofts, Mr. Ryan filed a warranty claim with NRF distributors, the regional distributor for Strategis’ LVP product. On August 10, 2015, John Kimball, NRF’s Claim Manager, forwarded the Lofts’ warranty claim to Strategis’ vice president, William Friend. Mr. Kimball also arranged for Richard Reed, a professional flooring inspector, to inspect the LVP flooring at the Lofts. On August 25, 2015, Mr. Reed inspected one unit at the Lofts and noticed “a number” of spots in the kitchen and dining room. During this inspection, Mr. Reed cut open a few pieces of LVP flooring with the spots, “peeled back the wear layer,” and found a dense “powdery substance” underneath the wear layer that he scraped out.

¶ 6. In March 2016, Mark Reagan, Strategis’ flooring expert, inspected eighteen to twenty apartments at the Lofts. Mr. Reagan thereafter issued a report in which he concluded that the cause of dots was unknown. In June 2016, Mr. Reed returned to the Lofts and inspected around ten units. Each apartment had from thirty to fifty spots randomly placed in the floor in no observable pattern. Following Mr. Reed’s second inspection, he filed a report in which he concluded that “the discoloration and the material under the wear layer was foreign matter. And anything that’s foreign matter . . . is a manufacturing-related issue.”

4 The parties dispute the exact amount of flooring the Lofts purchased, but this fact has no relevance to our decision.

5 At that point, Crowley Floors had gone out of business.

¶ 7. On June 27, 2016, the Lofts filed its initial complaint, alleging claims of breach of express and implied warranties, violation of the Vermont Consumer Protection Act (VCPA), and negligent misrepresentation.6 On July 14, 2017, the Lofts filed a motion for partial summary judgment on the express warranty claim. The Lofts contended it was entitled to summary judgment because it demonstrated that the LVP “failed to conform to [its] express warranty.” Strategis argued, however, that the Lofts was also required to prove the blue spots were “caused by a product defect and that the defect existed in the product at the time it left Strategis’ possession and control.” After an extensive discussion of the relevant case law, the court concluded that “the burden remain[ed] on [t]he Lofts to prove that” the blue spots were caused by a manufacturing defect. Applying this standard, the trial court denied the Lofts’ motion for summary judgment because, although the Lofts had produced “compelling evidence that the [spots] must be due to a manufacturing issue,” “Strategis ha[d] come forward with sufficient evidence to create a genuine dispute as [their] cause.”

¶ 8. On February 5, 2019, the trial court held a bench trial and heard testimony from several witnesses, including: Richard Reed, William Friend, and Mark Reagan. On February 11, 2019, the court entered judgment for Strategis. On the breach-of-warranty claims, the court assumed, without deciding, that Strategis had the burden of demonstrating the blue spots were not the result of a manufacturing defect. The court nevertheless concluded that Strategis had met its burden by producing enough evidence to demonstrate that it was “more likely than not that the spots on the flooring occurred after manufacturing.” Finally, the court held that Strategis could not be liable under the VCPA because “there [was] no evidence that Strategis knew or should have known of the problem.”

6 The Lofts subsequently twice amended its complaint. On October 28, 2016, the Lofts added the Wilson Inn as a plaintiff. Then, on November 9, 2018, the Lofts removed its allegations relating to the separation occurring between the flooring planks.

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The Lofts Essex, LLC, and The Wilson Inn, Inc. v. Strategis Floor Décor Inc., 2019 VT 82 (Vt. 2019).

2019 VT 82 (The Lofts Essex, LLC, and The Wilson Inn, Inc. v. Strategis Floor Décor Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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