e Trust Life Ins. Co. v. Estate of Casper
2018 CO 43
| Colo. | 2018Background
- Michael D. Casper sued Guarantee Trust Life (GTL) for breach of contract, bad-faith breach of insurance contract, and statutory unreasonable delay/denial of benefits under CO Rev. Stat. § 10-3-1116(1).
- A jury returned a verdict for Casper on July 15, 2014, awarding compensatory, non-economic, and substantial punitive damages; the trial court orally indicated it would enter judgment that day.
- Casper died nine days later, before a written, signed final judgment was entered under C.R.C.P. 58; his Estate was substituted as plaintiff.
- The trial court entered a written final judgment on Oct. 30, 2014, nunc pro tunc to July 15, 2014; the judgment included attorney fees and costs awarded under § 10-3-1116(1).
- GTL moved to reduce the verdict, arguing Colorado’s survival statute limited recoverable damages after the plaintiff’s death and that attorney fees under § 10-3-1116(1) are not "actual damages" for punitive-damage calculation; the trial court and court of appeals rejected GTL’s arguments.
- The Colorado Supreme Court granted certiorari to decide (1) application of the survival statute to damages when plaintiff dies after verdict but before judgment, (2) whether § 10-3-1116(1) fees are "actual damages" for punitive-damage limits, and (3) whether entering judgment nunc pro tunc to verdict date was proper.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does the survival statute (§ 13-20-101) limit damages when plaintiff dies after jury verdict but before entry of final judgment? | Casper: The causes of action and damages fixed by the jury survive; limitations in the survival statute do not reduce the jury's awards. | GTL: Survival statute limits damages (esp. punitive/personal-injury categories) if plaintiff dies before judgment, requiring reduction. | Held: The statute operates claim-by-claim; limitations apply only as text states. Because Casper recovered damages by jury verdict while alive, the statute did not reduce his jury awards. |
| Does the survival statute bar punitive damages when plaintiff dies before judgment? | Casper: Punitive damages survive because defendant (GTL) is alive; penalty limitation applies only if defendant is deceased. | GTL: Punitive damages fall under the personal-injury limitation when the suit involves personal-injury torts and are barred after plaintiff’s death. | Held: Punitive damages limited only when the person against whom they are claimed has died. Here GTL was alive, so punitive award survived. Kruse interpretation to contrary is overruled. |
| Are attorney fees and costs awarded under § 10-3-1116(1) "actual damages" (countable when setting punitive damages)? | Casper: Fees/costs are statutory remedies and legitimate consequences under § 10-3-1116(1), therefore constitute "actual damages." | GTL: Fees/costs are penalties or not "actual damages," so should not be included when calculating punitive damages. | Held: Attorney fees and costs under § 10-3-1116(1) are part of "actual damages" (legislatively authorized, mandatory relief) and may be considered when calculating punitive damages. |
| Could the trial court enter final judgment nunc pro tunc to the verdict date when attorney fees (actual damages) had not yet been fixed? | Casper: Judgment nunc pro tunc to verdict date was proper because verdict established entitlement. | GTL: Nunc pro tunc was improper because full damages (fees) were not fixed at verdict; thus final judgment could not have existed on the earlier date. | Held: Trial court abused discretion entering judgment nunc pro tunc to July 15, 2014, because attorney fees and costs (actual damages) were not fixed on that date; final judgment was not ripe then. |
Key Cases Cited
- Kruse v. McKenna, 178 P.3d 1198 (Colo. 2008) (addressed survival statute; court narrows/overrules aspects inconsistent with statute's text)
- Publix Cab Co. v. Colorado National Bank of Denver, 338 P.2d 702 (Colo. 1959) (discussed common-law abatement and Colorado survival statute's purpose)
- Bunnet v. Smallwood, 793 P.2d 157 (Colo. 1990) (American Rule on attorney fees; fees not recoverable absent contract/statute)
- Baldwin v. Bright Mortgage Co., 757 P.2d 1072 (Colo. 1988) (appealability when attorney-fee amounts not yet determined)
- Ferrell v. Glenwood Brokers, Ltd., 848 P.2d 936 (Colo. 1993) (discusses hybrid character of attorney-fee awards)
- Perdew v. Perdew, 64 P.2d 602 (Colo. 1936) (nunc pro tunc entry rests in trial court's discretion)
- Robbins v. A.B. Goldberg, 185 P.3d 794 (Colo. 2008) (uses nunc pro tunc to remedy court delay or clerical error)
- Burron’s Estate v. Edwards, 594 P.2d 1064 (Colo. App. 1979) (punitive damages barred under personal-injury limitation where entire case was assault/battery tort)