1. Costs--attorney fees--offer of judgment--findings
The trial court did not abuse its discretion in a negligence
action arising from an automobile accident by awarding attorney
fees pursuant to N.C.G.S. § 6-21.1 where the court found that
defendants made a settlement offer of $1,000 and that the jury
verdict was for $1,930. Although the court did not make any
findings regarding the timing of the settlement offer or the
exercise of superior bargaining power, the date was shown by the
undisputed evidence and the court made adequate findings on the
whole record to support an award of attorney fees. Additionally,
it was noted that there is nothing in N.C.G.S. § 6-21.1 that
limits the trial court's consideration of unwarranted refusals to
settle by individual defendants.
2. Appeal and Error--appealability--order not reduced to
writing
An assignment of error to an oral order denying the return
of a filing fee after arbitration was overruled where no written
order was entered. A trial court order not reduced to writing
cannot support an appeal.
Armstrong & Baggett, by Talmage S. Tal Baggett, Jr., for
plaintiff-appellees.
Walker, Clark, Allen, Herrin & Morano, L.L.P., by Gay Parker
Stanley, for defendant-appellants.
GREENE, Judge.
Reginald V. McMillian (Reginald) and Willie McMillian (Willie)
(collectively, Defendants) appeal from a judgment filed 12 May 2000
awarding attorney's fees to Marissa A. Olson (Marissa).
The record shows that on 15 October 1999, Marissa, Michael A.Olson, and Marlene A. Olson (collectively, Plaintiffs)
filed a
complaint against Defendants alleging claims for negligence.
Plaintiffs' claims arose out of an 18 October 1996 automobile
accident in which a vehicle driven by Marissa was allegedly struck
by a vehicle driven by Reginald and owned by Willie. On 16
December 1999, Defendants filed an answer to Plaintiffs' complaint
denying any alleged negligent conduct. Additionally, on 16
December 1999, Defendants filed an Offer of Judgment (settlement
offer) in which they offered Plaintiffs $1,000.00 for settlement of
their claims. The settlement offer stated if this offer is not
accepted within ten (10) days following service, it shall be deemed
withdrawn. Plaintiffs did not accept the settlement offer.
On 29 December 1999, Plaintiffs' case was selected for court-
ordered, nonbinding arbitration pursuant to N.C. Gen. Stat. § 7A-
37.1. On 10 March 2000, subsequent to an arbitration hearing, an
arbitration award and judgment was filed awarding Plaintiffs
$4,000.00. On 15 March 2000, Defendants requested a trial de novo
pursuant to Rule 5(a) of the Court-Ordered Arbitration Rules. A
jury trial was therefore held on Plaintiffs' claims. Subsequent to
trial, the jury found Marissa was injured by the negligence of
Reginald and it awarded Marissa $1,930.00 for personal injuries.
After the jury verdict was returned, Defendants made an oral
motion requesting that the filing fee for the trial de novo be
returned to them pursuant to Rule 5(b) of the Court-Ordered
Arbitration Rules (filing fee returned to demanding party if
position of demanding party is improved subsequent to trial denovo). The trial court orally denied this motion; however, no
written order was entered. Additionally, Marissa made a motion for
an award of attorney's fees pursuant to N.C. Gen. Stat. § 6-21.1.
In a judgment filed 12 May 2000, the trial court made the following
pertinent findings of fact:
That . . . Defendant[s] made [a
settlement offer] in the amount of $1,000.00
in this case.
That this case was arbitrated according
to the local rules of District Court within
Cumberland County, North Carolina; that the
arbitrator made an award of $4,000.00, which
in the opinion of the [c]ourt, included
attorney['s] fees; that . . . Defendant[s]
appealed this award to a jury trial in
District Court.
That the [c]ourt makes a finding that
virtually no settlement negotiations were made
by . . . Defendants; that such inaction by
. . . Defendants constitutes an unwarranted
refusal by . . . Defendants to pay the claimwhich constitutes the basis of such suit.
Based on these findings, the trial court concluded Marissa is
entitled to an award of attorney['s] fees under [N.C. Gen. Stat. §]
6-21.1 and costs incurred in the trial of this matter in addition
to the jury award of $1,930.00. The trial court, therefore,
awarded Marissa $1,930.00 in compensatory damages, $2,100.00 in
attorney's fees, and $378.10 in costs.
Defendants also argue in their brief to this Court that any unwarranted refusal by Defendants to settle Plaintiffs' claims is not relevant because Defendants are not an insurance company; therefore, the trial court erred by considering any unwarranted refusal. We disagree. While a trial court must consider any unwarranted refusal by the defendant insurance company under section 6-21.1, there is nothing in section 6-21.1 that limits the trial court's consideration of unwarranted refusal[s] by individual defendants. N.C.G.S. § 6-21.1.
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