Opinion ID: 1058054
Heading Depth: 2
Heading Rank: 3

Heading: Expert Witness Designation

Text: CSI argues that the circuit court erred in permitting FOA's expert to testify regarding amounts of tax-related damages. CSI contends that FOA's interrogatory answer regarding the proposed expert testimony concerning tax penalties and interest was inadequate. FOA responds that its expert designation was sufficient and complied with Rule 4:1(b)(4). FOA contends that the fact that the designation did not contain the precise amounts of penalties and interest does not make the designation deficient because the types of damages were clearly disclosed. This Court reviews a trial court's decision to admit or exclude expert testimony under an abuse of discretion standard. John Crane, Inc. v. Jones, 274 Va. 581, 591, 650 S.E.2d 851, 856 (2007); Blue Ridge Serv. Corp. v. Saxon Shoes, Inc., 271 Va. 206, 212, 624 S.E.2d 55, 58 (2006) (citing Tarmac Mid-Atlantic, Inc. v. Smiley Block Co., 250 Va. 161, 166, 458 S.E.2d 462, 465 (1995)). This Court must give deference to a trial court's ruling to exclude or admit expert testimony and that ruling will not be disturbed on appeal unless it is plainly wrong and amounts to an abuse of discretion. See Grattan v. Commonwealth, 278 Va. 602, 620, 685 S.E.2d 634, 644 (2009). Rule 4:1(b)(4)(A)(i) requires a party, when asked in an interrogatory, to identify its trial experts and to state the subject matter on which the expert is expected to testify, and to state the substance of the facts and opinions to which the expert is expected to testify and a summary of the grounds for each opinion. When applying Rule 4:1(b)(4)(A)(i), this Court begins by determining whether the opinion at issue was disclosed in any form. John Crane, Inc., 274 Va. at 591, 650 S.E.2d at 856. FOA's expert designation for Reitberger, its accounting expert, stated: Mr. Reitberger will opine that the failures of CSI resulted in the underpayment of taxes and that the Association will now incur interest and penalties as a result of the failures of CSI as well as expenses in the form of fees paid to Mr. Reitberger's firm to correct the errors of CSI and to resolve the claims of the IRS and the Commonwealth of Virginia. . . . Mr. Reitberger's opinions are based upon his experience and expertise, his review of correspondence between the IRS and the Commonwealth of Virginia and the Association, his review of W-2s, general ledgers, and other financial documents of the Association relating to payroll withholdings and payment of payroll taxes. Although FOA did not itemize the specific amounts of penalties and interest, the interrogatory response disclosed that it was Reitberger's opinion that CSI's failures resulted in underpayment of taxes and FOA incurring interest and penalties. It was within the discretion of the circuit court to determine whether the interrogatory response sufficiently disclosed the subject matter on which Reitberger was going to testify, the substance of Reitberger's opinions and a summary of the grounds for Reitberger's opinions. Compare John Crane, Inc., 274 Va. at 592-93, 650 S.E.2d at 856-57 (expert designations were insufficient because opinion was not disclosed in any form). There is evidence to support the circuit court's determination that FOA's designation was sufficient to satisfy the purpose of Rule 4:1(b)(4)(A)(i), which is to allow the litigants to discover the expert witnesses' opinions in preparation for trial. Woodbury v. Courtney, 239 Va. 651, 654, 391 S.E.2d 293, 295 (1990). The circuit court did not abuse its discretion in finding the expert designation sufficient and permitting Reitberger to testify.