McReynolds v. Krebs
290 Ga. 850
| Ga. | 2012Background
- Krebs sued McReynolds and GM for injuries from a collision where McReynolds's car struck the GM vehicle in Krebs's care; McReynolds cross-claimed against GM for contribution and set-off.
- After Krebs settled with GM for an undisclosed amount, the trial court dismissed McReynolds's cross-claims under OCGA § 51-12-33 as amended by the Tort Reform Act of 2005.
- The jury found McReynolds liable to Krebs and awarded about $1.246 million, with judgment entered for the full amount.
- Court of Appeals affirmed the dismissal of cross-claims.
- Georgia Supreme Court granted certiorari to address (1) whether apportionment applies when the plaintiff is not at fault and (2) whether the insurer’s settlement response was a counteroffer.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does OCGA § 51-12-33 require apportionment when plaintiff is not at fault? | McReynolds argues subsection (a) limits apportionment to plaintiff fault. | Krebs argues the statute applies to multiple tortfeasors regardless of plaintiff fault. | Yes; apportionment applies even if plaintiff is not at fault. |
| Was McReynolds's insurer counteroffer or unconditional acceptance to Krebs's settlement offer? | McReynolds contends there was no binding settlement due to counteroffer. | Krebs argues it was an acceptance with a condition. | Insurer's response was a counteroffer; no binding settlement formed. |
Key Cases Cited
- Frickey v. Jones, 280 Ga. 573 (Ga. 2006) (extrinsic evidence can show counteroffer in settlement)
- Herring v. Dunning, 213 Ga. App. 695 (Ga. App. 1994) (illustrates settlement concepts and acceptance vs counteroffer)
- Weller v. Brown, 266 Ga. 130 (Ga. 1996) (no contribution where no joint or joint and several liability)
- Broda v. Dziwura, 286 Ga. 507 (Ga. 2010) (set-off/applicability principles for fault allocations)
