Vista Resorts, Inc. v. Goodyear Tire & Rubber Co.

117 P.3d 60, 2004 Colo. App. LEXIS 2119, 2004 WL 2609563
CourtColorado Court of Appeals
DecidedNovember 18, 2004
Docket02CA1690
StatusPublished
Cited by28 cases

This text of 117 P.3d 60 (Vista Resorts, Inc. v. Goodyear Tire & Rubber Co.) 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
Vista Resorts, Inc. v. Goodyear Tire & Rubber Co., 117 P.3d 60, 2004 Colo. App. LEXIS 2119, 2004 WL 2609563 (Colo. Ct. App. 2004).

Opinion

WEBB, J.

In this product liability action, defendant, Goodyear Tire & Rubber Co., appeals a judgment entered on a jury verdict in favor of *65 plaintiff, Vista Resorts, Inc., for breach of implied warranty, strict product liability, failure to warn, negligence, fraud, and violation of the former version of § 6-1-113 of the Colorado Consumer Protection Act (CCPA). We affirm the judgment and remand for a hearing on attorney fees.

Vista built and sold six luxury residences in Beaver Creek. The homes included similar hydronic radiant heating systems, installed by Vista or its subcontractors, which circulated heated water and antifreeze through rubber hoses in the floors. Chiles Power Supply, d/b/a Heatway Radiant Floors and Snowmelting, contracted with Goodyear to supply rubber hose for use in the hydronic heating systems, called “Entran II.” Vista purchased this hose from Heatway.

When the Entran II hose leaked and caused major damage in one of the homes, the six homeowners replaced all the Entran II hose in their residences. They sued Vista, Heatway, and Goodyear.

Through a settlement agreement, the homeowners assigned all their claims against Heatway and Goodyear to Vista. On Goodyear’s motion to dismiss the homeowners, the trial court substituted Vista for the homeowners under C.R.C.P. 25(c) as the sole plaintiff. Heatway filed for bankruptcy and was dismissed, leaving Goodyear as the sole defendant.

The jury found for Vista on all claims, awarding compensatory and punitive damages. Goodyear appeals two evidentiary rulings, but does not contest the sufficiency of the evidence. The trial court entered judgment for compensatory damages, trebled under the CCPA (which Vista accepted in lieu of punitive damages), attorney fees, costs, and prejudgment interest. Goodyear challenges the constitutionality of treble damages as applied, but does not otherwise contest the amount of the judgment.

I. Assignment of Punitive and Treble Damages

Goodyear contends the trial court erred by allowing the jury to consider punitive damages and awarding treble damages under the CCPA because those claims were not assignable by the homeowners to Vista. We conclude the doctrine of invited error precludes our considering the merits of this contention.

The invited error doctrine prevents a party from inducing an erroneous ruling and then seeking to benefit by appealing that error. A party’s affirmative action during litigation triggers this doctrine and usually bars appellate review of alleged error arising from such action. Horton v. Suthers, 43 P.3d 611 (Colo.2002).

Here, Goodyear moved for the complete substitution of Vista as the real party in interest under C.R.C.P. 25(c) and for dismissal of the homeowners under C.R.C.P. 56. Goodyear quoted from the homeowners’ settlement agreement with Vista and asserted that the homeowners “assigned, transferred and conveyed all their interests in claims and causes of action, together with any remedies” against Goodyear. Goodyear further asserted that the homeowners should be dismissed because their continued inclusion “as straw plaintiffs ... would only be misleading and confusing.” According to Goodyear, the homeowners had “ulterior motives — to pose [themselves] as injured homeowners (albeit extremely wealthy multi-home owners now more than fully compensated), or to not have a jury trial between the real parties — the developer and two manufacturers.”

The homeowners opposed Goodyear’s motion, noting that “joinder or substitution under Rule 25(e) does not alter substantive rights of the parties.” They did not dispute that the settlement agreement assigned all their claims to Vista.

Goodyear orally argued to the trial court that it did not seek to dismiss any claims, but rather to “clean up the caption” of the case. The court asked, “So there’s no sub rosa purpose?” Goodyear answered, “No.”

In granting Goodyear’s motion under C.R.C.P. 25, the court explained, “I also want the record to be made clear, though, in case I’m not here, that the individual homeowners’ claims remain intact as Goodyear concedes ... these are the claims of individual homeowners.” The court denied Goodyear’s C.R.C.P. 56 motion.

*66 At the time of Goodyear’s motion, the pleadings included claims for punitive damages and treble damages under the CCPA. Goodyear did not raise the assignability issue in the trial management order. Nevertheless, Goodyear challenged assignability of these damage claims in its motion for a directed verdict.

Even if the trial court erred in treating these claims as assignable to Vista, Goodyear induced this error through its motion and supporting argument to substitute plaintiffs. Therefore, Goodyear is precluded from arguing on appeal that this assignment did not transfer claims for punitive damages and treble damages.

II. Other Incident Evidence

Goodyear next contends the trial court erred by permitting Vista to introduce evidence of approximately 950 complaints about Entran II made to Heatway, despite Goodyear’s hearsay and relevancy objections. We disagree.

A trial court enjoys substantial discretion in admitting evidence of prior incidents, and absent a clear abuse of discretion, its ruling will not be disturbed. Morgan v. Bd. of Water Works, 837 P.2d 300 (Colo.App.1992). In determining whether a court abused its discretion, the appellate court should give the evidence its maximum probative value as weighed against its minimum prejudicial effect. City of Englewood v. Denver Waste Transfer, L.L.C., 55 P.3d 191 (Colo.App.2002). Admissibility depends on the particular facts at issue. People v. Arrington, 843 P.2d 62 (Colo.App.1992).

Prior incident evidence may be admitted if it is offered to establish a material fact, if it is logically relevant, if it contains no inference of the opposing party’s bad character, and if it does not result in unfair prejudice. Scharrel v. Wal-Mart Stores, Inc., 949 P.2d 89 (Colo.App.1997).

Here, the trial court denied Goodyear’s motion in limine to exclude evidence of the complaints, holding that this evidence would be admissible to prove notice and whether Goodyear acted willfully for purposes of punitive damages. However, the court did not resolve how the complaints would be proven.

At trial, Goodyear objected to documents maintained by Heatway concerning complaints that it had received. Over Goodyear’s objection, Vista then elicited testimony from a Heatway officer that Heatway received 950 complaints about “hard and leaking” Entran II hose. He also testified that Heatway reported these complaints to Goodyear from 1992 through 1996, even though Goodyear ceased manufacturing Entran II in 1993.

This testimony did not include any details about the contents of the complaints, and the Heatway documents were never reoffered.

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Cite This Page — Counsel Stack

Bluebook (online)
117 P.3d 60, 2004 Colo. App. LEXIS 2119, 2004 WL 2609563, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vista-resorts-inc-v-goodyear-tire-rubber-co-coloctapp-2004.