Amco Insurance Company v. Eureka Oxygen Company

MEMORANDUM

The parties each appeal the district court’s denial of their respective motions following a jury award of $48,900 in a negligence action resulting from damage caused by a fire. We have jurisdiction under 28 U.S.C. § 1291 .

The district court did not err in denying AMCO’s motion for additur of $674,300. Courts may not award damages in excess of a jury verdict unless the defendant consents, DePinto v. Provident Sec. Life Ins. Co., 323 F.2d 826 , 838 (9th Cir.1963), which did not occur here.

The district court erred in denying AMCO’s motion for a new trial. At trial, AMCO’s claims adjustor testified that the costs to repair or replace the building exceeded the policy limit of $689,400, and the total damages of $718,200 included lost rental income of $28,800. While the claims adjustor stated on cross-examination that she did not know how the contractors had derived the repair or replacement cost estimates they provided her, Eureka did not adduce any evidence that damages were less than the $718,200 or that AMCO could have mitigated the damages. Because the jury’s award of $43,900 was not supported by any evidence in the record and was grossly inadequate, the district…