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Richardson v. Sport Shinko8/29/1994
OPINION OF THE COURT BY MOON, C.J.
Plaintiffs-appellants Renee and Thaddeus Richardson (the Richardsons) appeal from a judgment entered in favor of defendant-appellee Sport Shinko dba Queen Kapiolani Hotel (Sport Shinko) subsequent to a post-arbitration trial de novo and from the trial court's order granting sanctions in favor of Sport Shinko. At trial, the Richardsons sought damages for the personal injury sustained by Renee Richardson (Mrs. Richardson) allegedly as a result of Sport Shinko's negligent maintenance of the premises at the Queen Kapiolani Hotel. After the jury rendered its verdict in favor of Sport Shinko, the trial court imposed monetary sanctions against the Richardsons pursuant to Rule 26 of the Hawaii Arbitration Rules (HAR), which authorizes such sanctions against parties who fail at trial to improve the non-binding arbitration award they had obtained earlier in the proceedings through the Court-Annexed Arbitration Program (CAAP).
On appeal, the Richardsons claim that the circuit court erred in denying their motions for: (1) a directed verdict on the issue of liability; and (2) a judgment notwithstanding the verdict (JNOV), or in the alternative, for new trial. The Richardsons also maintain that the trial court erred in instructing the jury on the issue of Sport Shinko's duty and in failing to instruct the jury on other matters. We hold that: (1) liability in this case was a question of fact; (2) the circuit court did not abuse its discretion in instructing the jury; and (3) there is substantial evidence to support the jury's verdict. Accordingly, we reject each of the Richardsons' claimed errors and affirm the judgment.
The Richardsons further argue that the award of sanctions must be reversed because the sanctions authorized by HAR 26: (1) may be imposed against a non-prevailing party only when its pursuit of a trial de novo is frivolous; (2) may be imposed only as a set-off against a recovery; and (3) violate their constitutional rights to a civil jury trial and equal protection of the laws. Based on the Discussion below, we reject each of these arguments and affirm the award of sanctions.
II. BACKGROUND
On October 21, 1989, Mrs. Richardson, a self-employed disc jockey, entered the Queen Kapiolani Hotel at mid-day to set up stereo equipment in the hotel's Akala Room prior to a wedding reception for which she had been hired to provide music. Mrs. Richardson positioned the equipment in the room and ran cords toward an electrical outlet on the wall behind "a plant or something." When she knelt down to plug the cords in, a metal staple, imbedded in the carpet, pierced the inside of her left knee through the cartilage down to the bone.
Mary Louise Guerrero, the hotel's banquet manager and immediate supervisor of the Akala Room, called an ambulance. Paramedics arrived shortly thereafter and removed the staple. Mrs. Richardson's knee was later examined and treated at Kaiser Hospital's emergency room.
As a result of the incident, the Richardsons filed a complaint for general and special damages on August 29, 1990, alleging various theories of negligence against Sport Shinko, the owner and operator of the hotel. In general, the Richardsons complained that they suffered injuries as a result of Mrs. Richardson kneeling on the staple, which injuries were legally caused by Sport Shinko's negligent maintenance of the hotel premises. The case was subsequently assigned to the CAAP.
On June 14, 1991, the arbitrator found Sport Shinko liable and made the following award:
Special Damages:
Renee Richardson $23,269.33
Thaddeus Richardson 1,17
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