Opinion ID: 1802819
Heading Depth: 2
Heading Rank: 2

Heading: whether the damages are supported by evidence in the record.

Text: ¶ 30. The assessment of damages is a finding of fact, and the appellate court reviews an award of damages under the clearly erroneous standard. Texaco, Inc. v. Addison, 613 So.2d 1193, 1202 (Miss.1993). This Court has stated that [d]amage awards are only overturned when the trial judge has abused his discretion or `in exceptional cases where such awards are so gross as to be contrary to right reason.' Id. (quoting Johnson v. Offshore Express, Inc., 845 F.2d 1347, 1356). The appellate court must review the damages award by looking to the facts of each case. Id. (citations omitted). ¶ 31. Pursuant to Rule 55(b) of the Mississippi Rules of Civil Procedure, the trial court may hold a hearing to determine the amount of damages to award in a default judgment. Miss. R. Civ. P. 55(b). If the damages are unliquidated, the court must hold a hearing on the record. Capital One Servs., Inc. v. Rawls, 904 So.2d 1010, 1018 (Miss.2004) (holding the trial court must conduct an on-the-record hearing regarding unliquidated damages where the trial court failed to hold any hearing on damages); Journey v. Long, 585 So.2d 1268, 1272 (Miss.1991) (holding the trial court must conduct a hearing on the record where the trial court held a hearing that was not on the record). This Court has previously warned plaintiffs in default-judgment cases that damages awards must be supported by evidence, and such evidence must be reflected in the record if it is to be affirmed on appeal. Rich ex rel. Brown v. Nevels, 578 So.2d 609, 617 (Miss. 1991) (holding the trial court must conduct a hearing on the record where the trial court held a hearing that was not on the record). In the context of default-judgment cases, this Court has held that the record must also reflect how [the] damages are calculated. Bailey v. Beard, 813 So.2d 682, 686-87 (Miss.2002) (remanding for a proper damages hearing so the record would reflect how the trial court calculated actual and punitive damages). ¶ 32. Greater Canton argues the record contains no evidentiary support for the actual, non-economic, and punitive damages the trial court awarded to Lane. Greater Canton contends the trial court should have conducted a hearing on the record to determine the amount of unliquidated damages. ¶ 33. Conversely, Lane argues the averments and supporting facts contained in her complaint entitle her to the awarded damages. In support of her argument, Lane states that Greater Canton is barred from contesting the facts on appeal. While Greater Canton cannot dispute the factual allegations of the complaint, it may contest those facts relating to the amount of damages. Journey v. Long, 585 So.2d 1268, 1272 (Miss.1991). ¶ 34. Lane also argues that Greater Canton failed to show the trial court that she was not entitled to the awarded damages. The Court does not find merit in Lane's argument, since Greater Canton was not present at the damages hearing to submit evidence of damages. Furthermore, the burden of proof was upon Lane to show the trial court she was entitled to a certain amount of damages. ¶ 35. Lane notified the court that she sought unliquidated damages in her Application to Clerk for Entry of Default and Supporting Affidavit and in her Motion for Default Judgment and to Set Damages. The language in the default judgment verifies that a hearing was, in fact, held to determine the amount of unliquidated damages. However, no record exists of the hearing, and the default judgment is devoid of any explanation concerning the damages. ¶ 36. The cost of the extended warranty, $1,060, is the only evidence of damages reflected in the record before this Court. The trial court awarded Lane $15,000 in actual damages, $10,000 in non-economic damages, $135,000 in punitive damages, and $120 in costs, for a total of $160,120. Because this Court has no evidence before it to judge whether the awarded damages are reasonable and supported by the evidence, we vacate the judgment as to damages and remand for a damages hearing on the record.