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Roche v. Young Brothers8/10/1998
Davis Adv. Sh. No. 28 S.E. 2d
Catherine Roche, as Personal Representative for the Estate of George Roche, Petitioner, v. Young Brothers, Inc., of Florence, d/b/a Days Inn East, Respondent.
ON WRIT OF CERTIORARI TO THE COURT OF APPEALS
Appeal From Florence County Daniel E. Martin, Sr., Circuit Court Judge
Heard May 27, 1998
REVERSED
This case involves a default judgment in a negligence action. George Roche originally brought this negligence action against Respondent Young Brothers, d/b/a Days Inn East ("Young Brothers"), as a result of a slip-and-fall accident in Young Brothers' motel parking lot. Petitioner Catherine Roche, as personal representative of her husband's estate, appeals the Court of Appeals' decision that Young Brothers' consent was required prior to the circuit court appointing a special referee to consider the damages matter. We reverse and reinstate the special referee's order.
FACTUAL/PROCEDURAL BACKGROUND
On March 19, 1990, Roche slipped and fell in the parking lot of Young Brothers' motel located in Florence, South Carolina. Roche filed suit against Young Brothers in circuit court on August 31, 1990. Young Brothers failed to answer Roche's complaint. A default was entered against Young Brothers on November 2, 1990. Without notice to Young Brothers, a damages hearing was held before the circuit court on February 6, 1992. The circuit court awarded Roche $15,000.00 in actual damages and $30,000.00 in punitive damages.
On February 14, 1992, Young Brothers filed a motion to set aside the default judgment under Rule 60(b), SCRCP. Young Brothers argued that the judgment should be set aside because service of process was not perfected, and, in the alternative, a new damages hearing should be granted because it did not receive notice of the hearing. The circuit court denied the motion. In July 1992, Young Brothers appealed the judgment to the Court of Appeals. The Court of Appeals reversed the circuit court's default judgment, finding service of process had not been perfected. Roche v. Young Bros., Inc. of Florence, 313 S.C. 356, 437 S.E.2d 560 (Ct. App. 1993) ("Roche I"). We reversed the Court of Appeals and reinstated the entry of default. Roche v. Young Bros., Inc. of Florence, 318 S.C. 207, 456 S.E.2d 897 (1995) ("Roche II"). However, we vacated the default judgment and awarded a new damages hearing because Young Brothers had failed to receive notice. Thus, the case was remanded back to the circuit court for a new damages hearing.
In April 1995, Roche filed an ex parte motion with the circuit court requesting that the damages matter be referred to Eugene A. Fallon, Jr., as special referee. The circuit court granted the motion. Young Brothers did not receive notice of Roche's motion prior to the circuit court issuing its order of reference. Young Brothers later made a motion before the circuit court to have the reference withdrawn. The motion was denied.
The damages hearing was held before special referee Fallon on June 19, 1995. Young Brothers appeared and was represented by counsel. On July 28, 1995, the special referee, by written order, awarded Roche $25,000.00 in actual damages and $75,000.00 in punitive damages.
On appeal before the Court of Appeals, Young Brothers raised seven issues challenging the special referee's order. The Court of Appeals only addressed the issue concerning the circuit court's authority to refer the case to a special referee without the consent of the defaulting party. The Court of Appeals reversed, finding consent was necessary since Young Brothers made an appearance in the case. Roche v. Young Bros., Inc.
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