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Arundel Valley, LLC v. Branch River Plastics, Inc.

Citations: 2016 ME 175; 151 A.3d 938; 2016 Me. LEXIS 199

Court: Supreme Judicial Court of Maine; November 30, 2016; Maine; State Supreme Court

Original Court Document: View Document

Narrative Opinion Summary

The Maine Supreme Judicial Court reviewed an appeal stemming from a construction dispute between Arundel Valley, LLC and Branch River Plastics, Inc. Arundel Valley alleged breaches of implied warranties due to defective roofing panels supplied by Branch River. Following a jury trial, which found in favor of Arundel Valley, Branch River appealed, challenging the denial of its motion for a new trial. It claimed unfair surprise from expert testimony and disputed the court's handling of implied warranty disclaimers. Initially, the court had deferred ruling on the disclaimer issue, suggesting it would be addressed post-verdict. Despite Branch River's assertions, the court ruled that the jury's verdict should stand unless the disclaimer was found effective, necessitating a remand for further examination of the disclaimer's validity. The appellate court upheld the trial court's denial of a new trial, emphasizing that Branch River had failed to preserve objections during the proceedings and the trial court had not abused its discretion. The case was remanded to determine the effectiveness of the disclaimer, which would dictate whether the jury's verdict would be reinstated or a judgment entered in favor of Branch River. The judgment was otherwise affirmed.

Legal Issues Addressed

Court's Authority on Warranty Issues

Application: The court reserved authority to rule on the disclaimer's validity post-verdict, leading to a remand for further determination on the disclaimer's effectiveness based on existing evidence.

Reasoning: The analysis revealed that the court had led the parties to believe it would decide the disclaimer issue. The appropriate remedy was not a new trial but a ruling on the disclaimer based on existing evidence.

Expert Testimony and Unfair Surprise

Application: Branch River claimed unfair surprise from the expert testimony, but the court found no intentional or unfair surprise, and the issues could have been addressed without a new trial.

Reasoning: Branch River argued that DeStefano's testimony constituted 'unfair surprise,' but the court's decision to deny the new trial motion was reviewed deferentially, recognizing the trial court's superior ability to gauge the proceedings' fairness.

Implied Warranties under Contract Law

Application: The court addressed the breach of implied warranties, focusing on whether Branch River effectively disclaimed these warranties through contractual terms or an express warranty document.

Reasoning: Regarding the disclaimer of implied warranties, if Branch River effectively disclaimed all implied warranties through its initial contract or an express warranty, it could not be liable for breach of the implied warranty of merchantability or fitness for a particular purpose, per statutory provisions.

Jury Verdict and Motion for a New Trial

Application: Branch River's motion for a new trial was denied, as the court found no clear or manifest abuse of discretion and concluded that Branch River had not preserved its objections during the trial.

Reasoning: The court denied this motion, stating that Branch River failed to establish grounds for a new trial. It noted that the validity of the disclaimer was partly a factual question that could have been addressed in jury instructions, which Branch River did not request.