Cheryl L’Esperance, Matthew and Kyle L’Esperance, Scott and Daryl Simpson v. Wayne Benware and Sandra Lebo (Vermont 2003)

Summary

The court affirmed a jury verdict and related attorney-fee award in favor of tenants who rented a home with contaminated drinking water and serious structural and electrical deficiencies. It held that the evidence supported negligence and causation, that renting property in violation of law established Consumer Fraud Act liability without proof that the landlord knew of the violations, and that the evidence supported exemplary damages. The court also upheld the lodestar-based attorney-fee award because the claims arose from a common core of facts and the tenants achieved substantial success.

Holding

Negligence and sufficiency of the evidence. The evidence was sufficient to support the jury's finding that the landlord negligently failed to provide safe and potable drinking water and that this breach caused the tenants' illnesses.

Consumer Fraud Act liability. The trial court properly granted summary judgment establishing Consumer Fraud Act liability because renting property in violation of law may constitute a deceptive act, and the landlord's lack of knowledge of the violations was not material.

Consumer Fraud Act exemplary damages. The evidence supported submitting exemplary damages to the jury because the landlord's conduct could reasonably be viewed as reckless or wanton disregard for the tenants' safety and rights.

Attorney's fees. The trial court did not abuse its discretion in awarding attorney's fees based on the lodestar calculation without allocating fees claim by claim, reducing the award for the tenants' unsuccessful claims, proportioning fees to damages, or considering the landlord's financial hardship.

Summary

Holding

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