FOR PUBLICATION
ATTORNEY FOR APPELLANT: ATTORNEY FOR APPELLEES:
TERRY A. WHITE ROBERT A. DASSOW
Olsen, Labhart, White & Hambridge, LLP Hovde Law Firm
Evansville, Indiana Indianapolis, Indiana
IN THE
COURT OF APPEALS OF INDIANA
WARRICK COUNTY by and through its Board )
Of Commissioners: W. David Rector, Larry Barr )
And Jack Pike, )
)
Appellant-Plaintiff, )
)
vs. ) No. 82A04-9909-CV-423
)
WASTE MANAGEMENT OF EVANSVILLE, )
WASTE MANAGEMENT OF EVANSVILLE, )
INC., a Delaware Corporation, and BRYCE )
BEHRMAN, )
)
Appellees-Defendants. )
APPEAL FROM THE VANDERBURGH SUPERIOR COURT
The Honorable J. Douglas Knight, Judge
Cause No. 82D03-9708-CP-2756
August 14, 2000
OPINION - FOR PUBLICATION
RILEY, Judge
STATEMENT OF THE CASE
Appellant-Plaintiff Warrick County Board of Commissioners appeals the trial courts grant of Summary
Judgment in favor of Appellees-Defendants Waste Management of Evansville, Inc. (hereinafter individually referred
to as Waste Management) and Bryce Behrman (hereinafter individually referred to as Behrman)(hereinafter
collectively referred to as Defendants).
We reverse and remand.
ISSUES
Warrick County raises three issues on appeal which we consolidate and restate as:
1. Whether the trial court erred in granting Defendants motion for summary judgment.
2. Whether the doctrine of comparative fault is applicable when a governmental entity is
prosecuting a tort claim.
FACTS AND PROCEDURAL HISTORY
When reviewing the grant or denial of a motion for summary judgment, we
view the facts in a light most favorable to the party opposing the
motion for summary judgment. Kottlowski v. Bridgestone/Firestone, Inc., 670 N.E.2d 78, 82
(Ind. Ct. App. 1996), trans. denied. On August 14, 1995, Behrman was
employed by Waste Management, and was driving a Waste Management vehicle on Heim
Road in Warrick County, Indiana. As Behrman approached Bridge 210 on Heim
Road, he passed a sign that was knocked down and not visible, indicating
that the bridge was closed and had a two-ton weight limit. The
Waste Management vehicle weighed in excess of 43,000 pounds. Prior to crossing
the bridge, Behrman stopped the truck, looked at the bridge and then attempted
to cross the bridge in the truck. The bridge collapsed and the
truck fell through the wooden floor of the bridge.
On May 27, 1997, Warrick County filed a complaint against Waste Management and
Behrman in the Warrick Superior Court, alleging that Behrman negligently operated a heavy
truck on and over Bridge 210, causing damage to the bridge and that
Waste Management was liable for the acts committed by its agent. In
its complaint, Warrick County requested damages to fully compensate it for the replacement
of the bridge, plus all other incidental and consequential damages, pre-judgment interest, the
costs of the action and post-judgment interest.
On June 9, 1997, the trial court granted the Defendants motion for change
of venue. On July 28, 1997, by agreement of the parties, the
venue of the cause was changed from Warrick County to Vanderburgh County.
On September 23, 1997, the Defendants answered the complaint and requested a jury
trial. On April 19, 1999, Defendants Motion for Summary Judgment on the
Issue of Damages was filed. On April 20, 1999, Warrick County filed
a Motion for Summary Judgment and Motion for Extension of Time to Provide
Subsequent Designation of Facts and Brief In Support Thereof. Finally, on May
28, 1999, Warrick County filed its response to the Defendants Motion for Summary
Judgment on the Issue of Damages and also moved for summary judgment on
the issue of comparative fault. On August 16, 1999, the trial court
granted Defendants Motion for Summary Judgment. This appeal ensued.
DISCUSSION AND DECISION
Motion for Summary Judgment.
The purpose of summary judgment is to terminate litigation about which there can
be no factual dispute and which may be determined as a matter of
law. Kottlowski, 670 N.E.2d at 82. We review the order on
a motion for summary judgment by applying the same standard as the trial
court. Id. We may consider only those portions of the pleadings,
depositions, answers of interrogatories, admissions, matters of judicial notice, and any other matters
designated to the trial court by the moving party for purposes of the
motion for summary judgment. Indiana Limestone Co. v. Staggs, 672 N.E.2d 1377,
1379-80 (Ind. Ct. App. 1996). Any doubt of the existence of an
issue of material fact, or an inference to be drawn from the facts
is to be resolved in favor of the non-moving party. Id.
A genuine issue of material fact exists where facts concerning an issue which
would dispose of the litigation are in dispute or where the undisputed facts
are capable of supporting conflicting inferences on such an issue. Scott v.
Bodor, Inc., 571 N.E.2d 313, 318 (Ind. Ct. App. 1991). Summary judgment shall
be rendered if the designated evidentiary material shows that there is no genuine
issue of material fact and that the moving party is entitled to judgment
as a matter of law. Ind.Trial Rule 56(C). We note that
[s]ummary judgment is rarely appropriate in a negligence action. Kottlowski, 670 N.E.2d
at 82 (citing Frye v. Trustees of Rumbletown Free Methodist Church, 657 N.E.2d
745, 747 (Ind. Ct. App. 1995)). Finally, we scrutinize the trial courts
grant of summary judgment to assure that the losing party is not improperly
prevented from having its day in court. Butler v. City of Indianapolis,
668 N.E.2d 1227, 1228 (Ind. 1996).
In its complaint, Warrick County alleged that the Defendants were negligent in the
operation of their garbage truck that resulted in damage to Bridge 210, property
of Warrick County. In order to obtain damages from the Defendants as
a result of the negligence action, Warrick County was required to show: 1)
that the Defendants owed a duty to conform their conduct to a standard
of care arising from its relationship with Warrick County, 2) that the duty
was breached, and 3) that an injury resulted by the breach of that
duty.
See Benton v. City of Oakland City, 721 N.E.2d 224, 232
(Ind. 1999). The trial court granted summary judgment in favor of the
Defendants after the Defendants argued that Warrick County had failed to establish that
it suffered an injury as a result of the alleged breach of an
alleged duty.
The Defendants successfully argued in their motion for summary judgment and now argue
on appeal, that Warrick County did not suffer any damages as a result
of their negligence. Specifically, the Defendants argue that the bridge that was
destroyed by the garbage truck had no value. Further, they argue that
because the bridge needed to be replaced, the County did not suffer any
damages when it was required to re-route traffic and replace the bridge.
On appeal, Warrick County argues that a factual dispute exists regarding whether the
County suffered an injury as a result of the alleged negligence, and therefore,
the trial court erred in granting the Defendants motion for summary judgment.
We agree.
Our review of this cause is limited to the issue of whether a
municipality is injured, when a bridge, which is approaching the end of its
useful life, is damaged to the extent that it must be replaced.
Generally under Indiana law, there are two measures of damages applied when measuring
a tortious injury to property attached to real estate. Terra Products, Inc.
v. Kraft General Food, Inc., 653 N.E.2d 89, 91 (Ind. Ct. App. 1995).
In the case of a permanent injury to property, that is where
the cost of the restoration exceeds the value of the property before the
injury, the measure of damages is the value of the property before the
injury. Neal v. Bullock, 538 N.E.2d 308, 309 (Ind. Ct. App. 1989).
In cases where the injury is temporary or repairable, the measure of
damages is the cost of repair. Id. However, the measures of
damages developed by Indiana law are ill equipped to handle situations involving bridges
because there is no market for determining the fair market value of the
bridge.
See footnote
We note that the issue of what is the proper measure of damages
when a bridge is damaged is a question of first impression in Indiana.
Determination of this issue is further complicated because the cost of the
replacement bridge will reflect the costs of modern design with maximum load capacity
and safety features that were not present in the damaged bridge.
Although we are not bound by the holdings of other state courts, we
find their rulings on this issue instructive. The Pennsylvania Commonwealth Court found
that the proper measure of damages is the replacement cost of the bridge
when a garbage truck, exceeding the load capacity of a bridge, was driven
across the bridge. Shippen Township v. Portage Township, 575 A.2d 157, 158
(Pa. Commw. 1990). The Pennsylvania Commonwealth Court had previously found:
[w]here concepts of value in a commercial sense cannot be applied because a
particular structure in the public domain simply doesnt have any such value, speculative
or otherwise, the measure of damages must be the reasonable cost of replacement
by a similar structure consistent with current standards of design.
Id. (quoting Commonwealth v. Estate of Crea, 483 A.2d 996, 1002 (Pa. Commw.
1977)). The Pennsylvania Commonwealth Court also found that even where the condition
of the bridge itself contributed to the damage, the Defendant was liable for
the damage if the Defendants acts were a substantial factor in causing the
damage. Shippen Township, 575 A.2d at 159.
The Alabama Supreme Court found a similar method of valuing a bridge after
enactment of a statute that imposed liability on an individual for damage to
a highway or structure resulting from illegal operation of a vehicle. Ala.
Code § 32-5-9;
Tuscaloosa County v. Jim Thomas Forestry Consultants, Inc., 613 So.2d
322, 323 (Ala. 1992). The
Alabama Supreme Court specifically rejected a measure of damages based on the value
of the property damaged, finding:
that the
County in its corporate capacity anticipated no tangible benefit from a
bridge at this location. On the contrary, any benefit to be derived
from such a structure inured to the areas residents, while the responsibility for
the cost devolved upon the County. Because the Countys only interest in
the Whittson bridge was a vicarious interest, attempts to ascertain its value to
the County could rest only upon speculation and conjecture.
Id. at 326 (citing Estate of Crea, 483 A.2d 1001). The Alabama
Supreme Court further noted that [w]here damage calculations under such formulas are inapplicable
or otherwise fail to compensate the owner of a destroyed structure adequately for
his injury, the owner may recover the costs of its replacement. Id.
(citing D. Dobbs, Handbook on the Law of Remedies § 5.1 (1973)).
The Alabama Supreme Court therefore adopted the Pennsylvania Commonwealth Courts measure of damages
for the destruction of a bridge: the reasonable costs of replacement by a
similar structure consistent with current standards of design. Id.
The Iowa Supreme Court has also addressed the issue of how to value
a bridge, arriving at a wholly different result than the Pennsylvania and Alabama
Courts. In Vlotho v. Hardin County, 509 N.W.2d 350 (Iowa 1993), the
Iowa Supreme Court affirmed the trial courts award of damages for the actual
or real value of the bridge when a county engineer demolished a bridge
without proper authorization. The court found that market value is the usual
standard for determination of damages because one can make a loss good by
going into the open market and buying an equivalent substitute. Id. at
357. The court noted that under Iowa law, when the fair market
value of a good cannot be determined, the courts are to resort to
the actual or real value approach which considers the original cost, the age
of the property, its use and utility, its condition, and the costs of
restoration or replacement. Id. Thus, the Iowa Supreme Court concluded that
the proper measure of damages for the destruction of a public structure is
the actual or real value. Id.
In
Town of Fifield v. State Farm Mutual Automobile insurance Co., the Wisconsin
Supreme Court arrived at a conclusion similar to that of the Iowa Supreme
Court. 349 N.W.2d 684 (Wis. 1984). The Wisconsin Supreme Court found
that sufficient evidence supported the jurys award of damages caused to a bridge,
when the jury considered the testimony of various witnesses with regard to the
bridges value, its utility to the town, its state of repair, and its
usefulness from both an economic and social viewpoint. Id. at 691.
We agree with the Pennsylvania and Alabama courts, that a bridge, which is
serving the public, has value without regard to the condition of the bridge,
and that the municipality charged with maintaining or replacing the bridge suffers an
injury when the bridge is damaged.
See Estate of Crea, 483 A.
2d at 1002; Jim Thomas Forestry Consultants, Inc., 613 So.2d at 326.
However, we are persuaded by the Iowa and Wisconsin Courts method of measuring
damages when a bridge is destroyed by considering factors in addition to the
replacement cost of the bridge.
Without comment on the specific facts before us, a bridge, which in some
capacity is serving the public, has a value. The governmental entity charged
with maintaining and or replacing the bridge suffers a loss when the bridge
is damaged or the life of the bridge is shortened as a result
of the negligent acts of another.
Estate of Crea, 483 A.2d at
1002. We are also aware that the award of damages should not
create a windfall for the injured party. Chaiken v. Eldon Emmor &
Co., Inc., 597 N.E.2d 337, 347 (Ind. Ct. App. 1992). Thus, when
a bridge must be replaced as a result of the negligent acts of
another, the governmental entity is injured to the extent of the value of
the bridge, when considering such factors as the original cost, the age of
the property, its use and utility from both an economic and social viewpoint,
its condition, and the costs of restoration or replacement. Vlotho, 509 N.W.2d
at 357; Town of Fifield, 349 N.W.2d at 691.
Substantial evidence of damages in the form of testimony regarding the condition of
the bridge, its utility to the residence of Warrick County, its age and
the cost of the bridges replacement was submitted for the trial courts consideration
in ruling on the motion for summary judgment. In the present case,
the bridge was a steel structure with a wooden roadbed. At the
time the Defendants damaged Bridge 210, the bridge was closed to traffic over
two tons, but open to local traffic not exceeding the posted weight limit.
In response to Defendants interrogatories, Warrick County asserted that it suffered the
following damages:
a. Replacement of bridge 210;
b. County labor costs associated with collapsing of bridge deck, signage and monitoring after
accident;
c. Wetland/upland monitoring costs;
d. Engineering costs;
e. Preparation costs;
f. Design fee;
g. Additional mileage incurred by Warrick County residents as a result of bridge being
out.
(R. 569). The Affidavit of Richard Bennitt, a professional engineer of the
firm of Bernardin Lochmueller & Associates, Inc., was also submitted stating that the
total cost of replacing Bridge 210 was $1,626,912.00.
The determination of damages is a function of the finder of fact when
it requires an assessment of the credibility of witnesses and the weighing of
evidence. Amos v. Keplinger, 397 N.E.2d 1010, 1011 (Ind. App. 1979).
The question of the bridges value is a question of fact for determination
by the trial court.
Comparative Fault
On appeal, Warrick County argues that the Indiana Comparative Fault Act is not
applicable to the present cause of action due to the governmental entities and
public employee exception. We disagree.
The Comparative Fault Act provides that: In an action based on fault, any
contributory fault chargeable to the claimant diminishes proportionately the amount awarded as compensatory
damages for an injury attributable to the claimants contributory fault . . .
Ind. Code § 34-51-2-5. The legislature has however provided a governmental
entity and public employee exception stating that, [t]his chapter does not apply in
any manner to tort claims against governmental entities or public employees. . .
under Indianas Tort Claims Act. Ind. Code § 24-52-2-2.
We are cognizant that there are inequalities occasioned by the application of the
governmental entity exception contained in Indianas Comparative Fault Act. Governmental Interinsurance Exchange
v. Khayyata, 526 N.E.2d 745, 747 (Ind. Ct. App. 1988). However, when
interpreting the meaning of a legislative enactment that is clear and unambigious, our
duty is to give effect to the plain and manifest meaning of the
language used, and to apply the provisions as the legislature intended. Id.
The legislature excepted the applicability of the Act only for those cases
against governmental entities under the Indiana Tort Claims Act. Ind. Code §
34-51-2-2; See Governmental Interinsurance Exchange v. Khayyata, 526 N.E. at 747. The
exception to Indianas Comparative Fault Act has no application to the situation at
hand where the governmental entity has sued a private entity.
Our interpretation of Indianas Comparative Fault Act is consistent with outside jurisdictions decisions
addressing this same issue. A majority of states that have addressed this
issue allow the defensive use of contributory fault where the state initiates suit.
See Missouri Highway and Transportation Commission v. Kansas City Cold Storage, Inc.,
948 S.W.2d 679, 683 (Mo. Ct. App. 1997), rehg denied, trans. denied.
It has long been held that when a governmental entity comes into court
and institutes a suit for damages, not based on an infringement of its
sovereignty, or its prerogatives, it submits the claim in the nature of a
private litigant and its adversary is entitled to any defense available to him
were his opponent another private litigant.
United States v. Moscow-Idaho Seed Co.,
92 F. 2d 170, 173 (9th Cir. 1937); See also State v. Young,
151 N.E.2d 697, 700, 238 Ind. 452 (Ind. 1958) (noting that where the
State brings an action it consents to the ordinary rules of pleading and
practice of the forum and is subject to a cross action arising out
of the same transaction); United States v. Mottolo, 605 F. Supp. 898, 910
(D.N.H. 1985) (holding that the government acting as plaintiff constitutes a waiver of
the Eleventh Amendment and sovereign immunity to any claims raised defensively). In
Dept. of Public Safety v. Parker, the Florida Court of Appeals identified two
theories supporting the contention that the government is subject to the defense of
comparative fault:
Some courts allow the said defense [contributory fault] on the theory that the
government, when it files an action like a private litigant, impliedly waives any
immunity as sovereign and its adversary is entitled to set up any defense
available to him if his opponent were another private citizen. . . .
The second theory . . . [is w]here the state employs the machinery
of justice to enforce a claim and yet it seeks to deny the
defendant a defense which would be available to him as against any other
plaintiff. There is an appearance of unfairness in the states position the
spectacle of a participant in a contest rejecting the ordinary rules of the
game by which others must play. . .the fact that the state initiates
the proceeding puts the matter in a setting which runs counter to generally
accepted notions of fair play. The state as the creator of laws
should not present such an image of injustice.
161 So.2d 886, 888-889 (Fla. Dist. Ct. App. 1964). In addressing the
same issue, the Montana Supreme Court found that [t]he better rule is to
recognize that whenever the state brings an equitable action it waives any applicable
sovereignty and opens the door to a defense or counterclaim germane to the
matter in controversy. Lima School Dist. No. 12 v. Simonsen, 683 P.2d
471, 477 (Mont. 1984) (citing People v. Barenfeld, 203 Cal.App.2d 166, 21 Cal.Rptr.
501 (1962)).
In the present case, Warrick County, a governmental entity, brought an action against
Waste Management. Under the circumstances in the present case, where the government
has initiated suit against a private party, this court agrees with the holding
in the
Missouri Hwy & Trans. Comm. case:
defendants use of comparative fault as a defense against the state is permitted
so long as the allegations supporting a comparative fault submission arise out
of the same transaction upon which the state initially filed suit and the
defense does not result in an affirmative judgment against the state.
Id. at 684. Therefore, Waste Management shall be allowed to use comparative
fault.
CONCLUSION
We reverse the trial courts grant of the Defendants summary judgment motion and
remand the matter for the finder of fact to determine the value of
the bridge considering the bridges original cost, the age of the property, its
use and utility from both an economic and social viewpoint, its condition, and
the costs of restoration or replacement. We also instruct the trial court
that any award of damages resulting from this cause shall be adjusted to
give full effect of the Comparative Fault Act.
Reversed and remanded.
KIRSCH, J., and BAKER, J., concur.
Footnote:
Fair market value is defined as the value a willing seller
will accept from a willing buyer for a good.
Campins v. Capels,
461 N.E.2d 712, 719 (Ind. Ct. App. 1984).