Opinion ID: 574972
Heading Depth: 2
Heading Rank: 2

Heading: The Damages Trial

Text: 34 At a telephonic pretrial conference held two months before trial, the parties were informed by the court that the bifurcated issues of the validity of the release and damages would be tried to the same jury. Neither party objected. However, on the first day of trial, Burlington filed a motion requesting separate jury panels for the two trials. This motion, renewed several times, was denied. Counts argues that because Burlington did not object to the procedure of using the same jury at the time of the preliminary pretrial conference, or when the final pretrial order was entered one week before trial, it has waived any grounds for appeal of this issue. Burlington argues that it made the motion at the beginning of the release trial, as soon as BN realized the full prejudicial impact of the evidence Counts intended to introduce in the release trial. 35 Burlington was ordered in July, 1989, to produce six documents from its claims file, including the settlement data close-out sheet containing Maser's assessment of the value of the case in comparison to the settlement. However, Burlington argues that even after the pretrial order was filed, the parties were still disputing what evidence would be admitted in the release trial. Burlington argues that it cannot be held to have waived its objection to the use of the same jury before it knew the evidence that Counts intended to introduce in the release trial and how prejudicial that evidence would be. 36 We hold that under the circumstances, Burlington preserved its objection to the use of the same jury for both phases of the trial. Early on, there may have been no reason to suspect separate juries might be called for. While Burlington's objection to using the same jury for both trials was made at the eleventh hour, it was made prior to the start of the first trial. However, as discussed below, Burlington's dispute in reality is also based on the court's ruling that the exhibits from the first trial would be submitted to the jury in the second trial. We must consider whether this objection was preserved. 37 Early on in the damages trial, there was an indication that under the circumstances, the damages trial might better be held before a different jury. The settlement data sheet, containing Burlington's internal exposure assessment, was admitted during the first trial. Counsel for Counts underscored this assessment in the damages trial, noting in opening argument that the jury, like the BN, will feel that Silas could have had an easy chance at a large verdict in court. During closing argument, Counts' counsel reminded the jury that [t]he railroad admits that [Counts] would be entitled to a large verdict in court. These statements were not objected to by Burlington. 38 At the conclusion of closing arguments in the damages trial, the court informed the jury that the exhibits introduced in the damages phase, as well as any of the pertinent exhibits in the first part of the trial, would be permitted in the jury room. The court then reminded the jury of the instruction that the jury was to disregard all of the exhibits in the former case with the exception of the medical records. 39 This prompted the following response from Counts' counsel: 40 It is my understanding that the Court has stated that it is contemplating not giving the jury all of the exhibits that have already gone into evidence and that they have seen in the--in validity of the release case. And it is my position that I think they ought to have all of the exhibits. 41 It is going to be very difficult to break out those exhibits from what contains medical and what contains mitigation of damages, what contains admissions by the railroad. And if we try to take those out now quickly, it's just--I think it is a problem. 42 And I just see no reason not to give them all of the exhibits which are already in evidence. Because they are relying on them and our proof in this damage case relies on those exhibits extensively.... Counsel for Burlington responded: 43 Your Honor, we can do it quickly and we can do it completely. We can break out the reports of Smith and Noteboom and the one hospital report. When Zander now talks about the advances for and realizes it has no relevancy at all, no bearing at all on this damage case, Ward Maser's letter of June 17, 1985, when there is talk about Silas' calling Hoyt and the other lawyer and all of this, what relevancy does that have. And it's prejudicial. It is prejudicial to the defendant. [Emphasis added.] 44 And then you get to the mitigation. Mitigation is what was or was not done really after the release. Because he wasn't even released to go to work. So I think we can give them what the Court has already instructed them that they will consider. And I think that will--it should settle the issue. The court responded: 45 Okay. I'm going to backtrack a little and I think I'll give them all of the exhibits. I have given that last instruction, it's a cautionary instruction that they are not to consider them. They have already seen them. They have already deliberated over them, and I think to go back and try to segregate it out probably would be an unjust comment on the evidence and unduly--if they remember some of them, they don't have them now, they are going to wonder why. So I'll give them ... all of [the] exhibits. 46 It appears that the court was initially not going to allow exhibits from the first trial, such as the settlement data sheet, to go to the jury in the second trial. Counsel for Counts convinced the court otherwise, and while Burlington did not make a clear objection to this change in procedure, its objections, couched in terms of relevancy and prejudice, are on the record. We hold that this issue has been preserved for appeal. 47 Under the circumstances of this case, the district court abused its discretion in permitting all of the exhibits from the first trial to go to the jury in the second trial. The court's cautionary instruction to ignore any of the nonmedical evidence was inadequate to cure the prejudice. The settlement data sheet was not reintroduced in the damages portion of the case and its submission to the jury was inconsistent with the court's cautionary instruction. No attempt was made to segregate or redact the documents from the first trial that went to the jury in the second trial. Even if we assume that Burlington's internal exposure assessment memorandum was admissible in the first trial, this information concerning what Burlington thought of the case was not relevant in the damages phase and was very prejudicial. 48 On remand, the district court should carefully screen and redact any exhibits from the first trial that are used in the damages trial and carefully instruct the jury to disregard the evidence presented in the first trial. The jury's mere exposure to the evidence in the first trial does not necessarily require using a separate jury for the damages trial. Redacting the exhibits and instructing the jury may minimize any prejudice resulting from the evidence presented in the first trial. However, if prejudice would result, the district judge should use a separate jury for the damages trial.