539 S.W.3d 667
Mo. Ct. App.2018Background
- LeBron Gaither, a confidential informant, was murdered in 1996; his Estate sued the Kentucky State Police (KSP) in the Board of Claims for negligence.
- The Board found KSP 30% liable and awarded damages; KSP appealed.
- The Franklin Circuit Court (Jan. 5, 2011) vacated the Board award, dismissing the Estate's claim based on sovereign immunity.
- This Court (2014) reversed the dismissal, held some police duties ministerial, and remanded with instructions to reduce the Board award to $148,787.12; the Board entered a conforming order (Jan. 2015) and KSP paid that amount.
- The Estate sought post-judgment interest from the date of the circuit court’s initial (erroneous) Jan. 5, 2011 judgment through payment; the trial court denied interest, the Court of Appeals awarded interest from Jan. 5, 2011, and the Supreme Court affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether post-judgment interest on a Board of Claims award runs from the date of the trial court's initial (erroneous) judgment or from the corrected/remand judgment | Interest should accrue from the original circuit-court judgment date (Jan. 5, 2011) because appellate reinstatement/modification merely corrected an award that should have been entered then | Interest should not run from an initial judgment that was adverse to the claimant and vacated; interest should run from the corrected/new judgment date | Interest accrues from the date of the initial trial-court judgment (Jan. 5, 2011) where the appellate correction reinstates and/or modifies the award without reopening the record; affirmed the Court of Appeals |
| Whether the Board award and subsequent circuit-court proceedings permit application of the post-judgment interest statute against the Commonwealth | Board awards, when reduced/confirmed on appeal and entered as a circuit-court judgment under KRS 44.140, are treated as ordinary judgments and attract post-judgment interest under KRS 360.040 | KSP argued sovereign immunity and that the adverse Jan. 5, 2011 judgment cannot give rise to interest in favor of the Estate | The Board of Claims Act and precedent treat circuit-court judgments entered under the Act like other judgments; the statutory waiver permits interest in these circumstances |
Key Cases Cited
- Commonwealth, Dep't of Highways v. Young, 380 S.W.2d 239 (Ky. 1964) (Board awards affirmed on appeal bear post-judgment interest like ordinary judgments)
- Elpers v. Johnson, 386 S.W.2d 267 (Ky. 1965) (reinstated verdicts following erroneous JNOV bear interest from the date the correct judgment should have been entered)
- DeLong Equip. Co. v. Washington Mills Electro Minerals Corp., 997 F.2d 1340 (11th Cir. 1993) (equity favors awarding interest from original judgment when appellate reinstatement occurs)
- Kaiser Aluminum & Chem. Corp. v. Bonjorno, 494 U.S. 827 (1990) (post-judgment interest compensates plaintiff for loss of use of money during appeal-related delay)
- Emberton v. GMRI, 299 S.W.3d 565 (Ky. 2009) (purpose of post-judgment interest is to compensate judgment creditor for deprivation of funds)
- Commonwealth, Transp. Cabinet v. Esenbock, 200 S.W.3d 489 (Ky. App. 2006) (post-judgment interest begins from the initial trial-court award date when appellate adjustment is made on the existing record)