Opinion ID: 2548616
Heading Depth: 1
Heading Rank: 1

Heading: facts

Text: This action arose from a February 22, 1994 motor vehicle accident on Kaua'i. Taylor-Rice I, 91 Hawai'i at 65, 979 P.2d at 1091. The single-car accident occurred when Leigh drove his car off of Kuhio Highway, striking the buried end of a guardrail maintained by the State and vaulting his vehicle into a utility pole. Id. at 64, 979 P.2d at 1090. The accident resulted in the death of two passengers, Alexa and Darlene, and caused serious injuries to a third passenger, Rudolphus Verdoorn. Id. Taylor-Rice, Blasie, Verdoorn, and Carol K. Blasie [3] brought separate actions against the State, Leigh, and others. [4] Id. Leigh defaulted, and the cases were subsequently consolidated and tried. Id. Following a bench trial, the circuit court apportioned fault among the parties as follows: (1) Leigh  65%; (2) the State  20%; and (3) Alexa, Darlene, and Verdoorn  15%. Id. at 69, 979 P.2d at 1095. On March 5, 1998, judgment was entered in favor of the plaintiffs. The judgment stated: Pursuant to the Findings of Fact, Conclusions of Law and Decision and Order, filed herein on January 23, 1998, Plaintiffs [Taylor-Rice and Blasie] have judgment against Defendants [Leigh and the State] jointly and severally, on all claims asserted in this action, as follows: 1. As to Plaintiff Debbie Taylor-Rice, Individually: General Damages in the amount of $136,000.00 ($160,000 less 15%). 2. As to Plaintiff Debbie Taylor-Rice, as Special Administrator of the Estate of Alexa Dawn Taylor: General Damages in the amount of $616,250.00 ($725,000.00 less 15%); Special Damages in the amount of $11,709.49 ($13,775.88 less 15%). 3. As to Plaintiff Edward J. Blasie, Sr.: General Damages in the amount of $119,000 ($140,000.00 less 15%). 4. As [t]o Plaintiff Edward Blasie, Sr., as Special Administrator of the Estate of Darlene T.K. Blasie: General Damages in the amount of $510,000.00 ($600,000.00 less 15%). .... 6. As to all Plaintiffs against Defendants Kenneth Richard Leigh and State of Hawai'i: Costs of court, costs of suit, ... and post-judgment interest. Plaintiffs have judgment against Defendant Kenneth Richard Leigh for statutory pre-judgment interest from February 22, 1994, the date of the accident. (Bold emphases added.) (Underscored emphasis in original.) In sum, the State and Leigh were jointly and severally liable for the plaintiffs' damages, costs, and post-judgment interest, whereas Leigh was solely liable for pre-judgment interest on the plaintiffs' damages. On September 28, 1999, the circuit court ruled that the plaintiffs were entitled to costs in the amount of $9,507.03. On June 30, 1999, upon appeal by the State, this court affirmed the judgment of the circuit court. Taylor-Rice I, 91 Hawai'i at 64, 979 P.2d at 1091. Specifically, this court held, inter alia, that: (1) the State was not immune from liability, id. at 77, 979 P.2d at 1103; and (2) the trial court did not err in concluding that the State was jointly and severally liable for the plaintiffs' damages. Id. at 79, 979 P.2d at 1105. This court entered judgment on the initial appeal on July 16, 1999. By letter dated January 13, 2000, Deputy Attorney General Nelson Nabeta informed plaintiffs' counsel that the judgment had been submitted to the legislature and that an appropriation had been requested to satisfy the judgment. In its entirety, the letter stated: Please be advised that the final judgment against the State of Hawai'i was submitted to the legislature for review and appropriation of funding to satisfy judgment. Please be aware that our office believes that the Chapter 662, Haw.Rev.Stat.[ [5] ] specifically applies to all final judgments paid by the State of Hawai'i. Therefore, the requested appropriation submitted to this legislative session was calculated at the rate of interest of 4%, as provided under section 662-8 [(1993) [6] ], Haw.Rev.Stat. (Emphases added.) In response, plaintiffs' counsel informed Nabeta that the plaintiffs expect [ed] payment in full from the State of Hawai'i of any and all damages owed by Kenneth Leigh[,] including (1) pre-judgment interest on Leigh's apportioned damages computed at 10% per annum and (2) post-judgment interest on Leigh's apportioned damages computed at 10% per annum. The letter further explained that [p]ayment of anything less than this amount shall not be considered satisfaction of the judgment on appeal. On July 25, 2000, the State tendered payments of (1) $805,129.06 to Taylor-Rice and (2) $654,810.51 to Blasie. These amounts included: (1) the plaintiffs' total damages; (2) post-judgment interest on the damages computed at 4% per annum; (3) the plaintiffs' total costs; and (4) interest on the costs computed at 4% per annum. The State did not pay pre-judgment interest on the plaintiffs' damages. Unsatisfied with the State's tender, the plaintiffs filed motions for enforcement of judgment on December 15, 2000. Therein, the plaintiffs alleged that, [a]s a joint tortfeasor, [the State] must pay Plaintiffs the sums that Plaintiffs would otherwise have recovered from Leigh[,] which includes pre-judgment and post-judgment interest at the rate of 10% per annum[ with respect] to Leigh's portion of the liability on the [j]udgment. On May 8, 2001, after a hearing on the matter, the circuit court denied the plaintiffs' motions. The court reasoned as follows: 3. Under the State Tort Liability Act, the State of Hawai'i is not liable for prejudgment interest, pursuant to [HRS §] 662-2 [(1993) [7] ], and post judgment interest is limited to 4% after the entry of final judgment, pursuant to Section 662-8, Haw.Rev.Stat. For purposes of the instant motion[s], interest began to run upon the entry of the final judgment on appeal on July 16, 1999. Littleton v. State, 6 Haw.App. 70, 708 P.2d 829 (1985), aff'd 68 Haw. 220, 708 P.2d 824 (1985). 4. The limitations on liability of the State of Hawai'i contained in both Section 662-2 and 662-8, Haw.Rev.Stat., referenced in the immediately preceding paragraph, are limitations on the State of Hawai'i's waiver of its sovereign immunity. These limitations are clearly applicable to direct actions by claimants against the State of Hawai'i.... 5. Since the State Tort Liability Act was modeled after the Federal Tort Claims Act, cases and treatises interpreting the Federal Tort Claims Act are instructive as to the interpretation of the State Tort Liability Act. Figueroa v. State of Hawai'i, 61 Haw. 369, 384-85, 604 P.2d 1198 (1979). This court concludes that the instant lawsuit against the State of Hawai'i is a direct action brought under the State Tort Liability Act and is subject to the limitations contained in Sections 662-2 and 662-8, Haw.Rev.Stat. On June 5, 2001, the plaintiffs timely appealed.