Opinion ID: 531232
Heading Depth: 2
Heading Rank: 2

Heading: Directed Verdict on the Issue of Damages to Coursey's Tractor

Text: 24 In reviewing a directed verdict, we use the same standard on appeal as the trial judge used to pass on the motion below. A directed verdict should be granted only when, considering all evidence in a light most favorable to the nonmovant, the facts and inferences point so strongly and overwhelmingly in favor of one party that the Court believes that reasonable men could not arrive at a contrary verdict. Boeing Co. v. Shipman, 411 F.2d 365, 374 (5th Cir.1969) (en banc). If there is no evidentiary basis to support a jury's verdict on an issue, the court may properly exclude that issue from the jury's consideration in order to save time and expense. Moreover,  '[a] jury may not rest its verdict on speculation and conjecture,' and the jury's freedom to draw inferences from the evidence does not extend so far as to allow a wholly 'unreasonable inference' or one which amounts to 'mere speculation and conjecture.'  Mack v. Newton, 737 F.2d 1343, 1351 (5th Cir.1984) (citations omitted). 25 In the instant case, the trial court concluded at the close of all evidence that Coursey's proof on the issue of damages to his tractor unit was insufficient as a matter of law. After reviewing the trial transcript, we agree with the district court. 26 In this diversity action, the law of Mississippi applies to the issue of damages. Under Mississippi law, there are two generally recognized methods of determining damages to personal property. When property is repairable, fair compensation encompasses the reasonable costs of repair plus the depreciation in fair market value of the property caused by the accident, even with repairs. Thomas v. Global Boat Builders & Repairmen, Inc., 482 So.2d 1112, 1115 (Miss.1986). When property, such as a vehicle, is so badly damaged that the cost of repair exceeds its fair market value before the accident--a total loss--courts apply the before and after rule: Damages equal the fair market value of the vehicle before the collision less its fair market value immediately thereafter. Harper v. Hudson, 418 So.2d 54, 57 (Miss.1982). To prove a total loss, a plaintiff must introduce evidence to show: (1) the value of the property before the accident; (2) that the costs to repair the property would exceed this value; and (3) the value after the accident, which requires proof of either (a) the salvage value of the damaged property if not repaired, or (b) that the property was demolished or destroyed and, thus, has no salvage value. See id.; Caskey v. Treadwell, 299 So.2d 691, 693 (Miss.1974); Thrash v. State Farm Mut. Auto. Ins. Co., 254 Miss. 682, 182 So.2d 586, 587 (1966); accord Volkswagen of America, Inc. v. Robertson, 713 F.2d 1151, 1168 (5th Cir.1983) (applying Louisiana law). 27 In the trial of this case, Coursey offered the testimony of Ken Strange (Strange), an insurance adjuster and Coursey's expert on damages, to establish the first two elements of a total loss theory. Strange testified that, in his opinion, the fair market value of the tractor at the time of the accident was in the range of $23,000 to $26,000. This amount took into consideration improvements made by Coursey prior to the accident, such as an engine and transmission overhaul and a new set of tires. Strange also testified that the exterior cab was almost completely demolished and that the cost to repair the tractor as a unit would exceed its fair market value. There is no evidence in the record from any source, however, to establish the after, or salvage, value of the tractor as a whole. 8 28 The evidence is uncontroverted that the tractor still had some value after the collision. Coursey and Strange testified that Farris Wrecker Service, the company that stored Coursey's damaged tractor and trailer, dismantled the unit, leaving the cab exposed to the elements outdoors, and housing the frame, engine, transmission and tires inside a storage building. This fact alone creates the inescapable inference that these parts had some market value. 9 Coursey testified that he had invested approximately $10,000 to rebuild the tractor's engine in 1985, and that the engine had only 4,000 miles on it at the time of the accident. Strange testified on cross examination that the stored tractor parts had salvage value, that he was unaware of any internal damage to the engine, and that if the engine were rebuilt it would be in good condition to sell. He also testified that, although it was his regular custom when assessing property damage to deduct salvage value from value at the time of loss to obtain actual loss, Coursey's attorney did not request him to calculate any such salvage value when Strange was asked to testify as an expert witness. 29 Coursey maintains on appeal that he did not gain any benefit from the salvage value of the tractor because he was financially unable to pay the wrecker and storage fees to obtain possession of his truck parts. Therefore, he argues, the trial court should have shifted the burden of proof to Broadhurst regarding salvage value. Coursey has cited no Mississippi case law to support this equitable proposition, and we have been unable to find any. Rather, the Mississippi cases we have referenced in this opinion indicate that salvage value is an element of a plaintiff's prima facie case. We have reviewed the cases Coursey cites from other jurisdictions and conclude that the legal propositions of these cases are inapposite to the present factual situation. 30 The only case Coursey cites that is reasonably analogous to the facts of this case is Southern County Mut. Ins. Co. v. Green Motor Co., 248 S.W.2d 959 (Tex.Civ.App.--Austin 1952, writ ref'd n.r.e.). In Green Motor Co., defendants-appellants contended that the plaintiffs-appellees had failed to establish the value of a demolished automobile after the accident at issue in the case and, thus, had failed to satisfy their burden of proof under the before and after rule. The appellate court affirmed the judgment in favor of plaintiffs, which was entered after a nonjury trial. Id. at 960. The court found that the plaintiffs had established that the automobile was damaged beyond repair and that it had no value except as junk, which the court defined as old iron, glass, ... valueless refuse, ... trash to discard as worthless. Id. 31 In the present case, the evidence established that the salvage value of Coursey's tractor was greater than that of mere junk. Therefore, this is not a case where a factfinder is needed to resolve the conflict between a plaintiff's evidence of no salvage value and a defendant's evidence to the contrary. Coursey bore the burden of going forward with sufficient evidence to prove his damages by a preponderance of the evidence. Harper, 418 So.2d at 57. He was required to introduce such proof of damages as the nature of his case permitted, with as much accuracy as was reasonably possible. Thomas, 482 So.2d at 1116. The salvage value of a tractor is an element of damages that, by its nature, is capable of reasonable approximation and is not extremely difficult to prove at trial. When a plaintiff has available to him sources and means whereby damages may be calculated to a fair degree of certainty, and he does not secure for trial such available proof, he risks a directed verdict in favor of his opponent. Cf. id. at 1117. We hold that the district court correctly granted Broadhurst's motion for directed verdict on the issue of tractor damages because Coursey failed to establish the value of his tractor after the collision.