Norton v. BUDGET RENT a CAR SYSTEM, INC.
307 Ga. App. 501
| Ga. Ct. App. | 2010Background
- Norton rented a truck May 19, 2007 to move; McKelvey and others helped; truck returned undamaged to Budget lot with windows secured and keys placed in drop box; Budget later claimed the truck was wrecked over the weekend and Norton was responsible; Budget sued Norton for breach of contract alleging liability for damage caused by an unauthorized driver; Norton argued damages were not proximately caused by her breach and that post-return damages are not recoverable by Budget under the contract; Budget admitted customers are not responsible for post-return damage and that a drop box and after-hours return policy could support returning the vehicle in the same condition.
- Budget admitted after-hours return could be compliant and that McKelvey may have been unauthorized; no contrary evidence showed damages traced to McKelvey's unauthorized driving; the issue is whether damages resulted from the alleged breach.
- The district court (Court of Appeals) reviews summary-judgment denials de novo; here, disputed element is whether the damages arose from Norton’s breach.
- Budget failed to present evidence linking the post-return damage to Norton’s breach; under Georgia law, damages must be the natural and probable result of the breach and traceable to it.
- Court held Norton was entitled to summary judgment; Budget failed to show the claimed damages resulted from the breach; reversal of judgment for Norton.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether damages were causally connected to the breach | Norton | Budget | Yes; budget failed to tie damages to breach |
Key Cases Cited
- Talbot County Bd. of Commrs. v. Woodall, 275 Ga. 281(1), 565 S.E.2d 465 (2002) (establishes general standard for review and contract damages)
- Kuritzky v. Emory Univ., 294 Ga.App. 370, 669 S.E.2d 179 (2008) (elements of breach of contract and damages)
- Budget Rent-A-Car, etc. v. Webb, 220 Ga.App. 278, 279(1), 469 S.E.2d 712 (1996) (recovery for breach of contract elements)
- Simmons v. Boros, 176 Ga.App. 346, 335 S.E.2d 662 (1985) (damages for breach must be tied to breach and be foreseeable)
- Gist v. Ferguson Constr. Co., 197 Ga.App. 625, 398 S.E.2d 862 (1990) (example of breach damages scope)
- Ellis v. Brookwood Park Venture, 161 Ga.App. 242, 288 S.E.2d 308 (1982) (implied contractual provisions and duty to effect full purpose)
- Latson v. Boaz, 278 Ga. 113-114, 598 S.E.2d 485 (2004) (evidence standard for breach-of-contract damages)