On appeal from the Superior Court of New Jersey, Law Division, Passaic County,
L-1024-99 and L-1034-99.
Francis X. Garrity argued the cause for appellant (Garrity, Graham, Favetta & Flinn,
attorneys; June Garrity Glass, on the brief).
Daniel J. McCarthy and Christopher L. Troy argued the cause for respondent Francis
E. Jobes, Jr. (Rogue McCarthy, attorneys; Mr. McCarthy, on the brief).
Neil M. Cohen argued the cause for respondent Gerald L. Rifenbark (Gill &
Cohen, attorneys; Mr. Cohen, on the joint brief filed by respondents).
The opinion of the court was delivered by
PRESSLER, P.J.A.D. (retired and temporarily assigned on recall)
By these consolidated actions plaintiffs Francis E. Jobes, Jr. and Gerald Rifenbark each
sought compensatory and punitive damages based on causes of action sounding in defamation,
malicious prosecution and false-light invasion of privacy causes of action. The gravamen of
their complaint was that defendant Albert Evangelista, the Chief of the Pompton Lakes
Volunteer Fire Department,
See footnote 1 without probable cause and with reckless disregard of the truth,
had signed criminal complaints against each of them charging them with arson under
N.J.S.A. 2C:17-1c (failure to control or report dangerous fire) and had granted interviews
to the media in which he verbally repeated that accusation and elaborated on
it with facts that were untrue.
Following a lengthy trial, the jury returned a verdict in favor of each
plaintiff, awarding Jobes $250,000 on his defamation claim and $50,000 on his false-light
and malicious prosecution claim and awarding Rifenbark $200,000 on his defamation claim and
$600,000 on his false-light and malicious prosecution claim. Each plaintiff was also awarded
punitive damages in the amount of $20,000. Defendant appeals, and plaintiffs cross-appeal with
respect to punitive damages. We affirm the judgments entered upon the jury verdict
in their entirety.
On October 27, 1997, a strip mall shopping center located in Pompton Lakes
was completely destroyed by a fire which began in one of the anchor
stores, an Acme supermarket. Because of the bow string wood truss construction of
the shopping mall roof, the fire rapidly spread throughout the entire mall, making
it impossible for the volunteer fire department, which had quickly responded to the
911 call, to extinguish it. Plaintiffs were both Acme employees. Jobes was a
customer service representative also acting as head cashier on the day of the
fire. Rifenbark was the meat department manager. When the Acme opened for business
at 7:00 a.m. on the day of the fire, John Visser, the grocery
department manager, was in charge pending the 8:00 a.m. arrival of the store
manager.
The proofs permitted the jury to find that when Jobes arrived at the
store at about 7:00 a.m., he noticed that a set of lights was
out and detected a smell of electrical burning, not an unusual occurrence as
the store had been having recurring problems with the ballast of the fluorescent
lighting system. Jobes informed Visser, who instructed him to call maintenance. As Jobes
was doing so, he saw a flame coming from the lighting fixture. He
immediately directed that the store be evacuated and called 911. As he was
doing so, he saw Rifenbark standing on the register counter spraying the flame
with a fire extinguisher handed to him by Visser. Believing the problem had
been dealt with, Jobes nevertheless asked for an emergency response. The first fire
engine arrived at about 7:20 a.m.
As to Rifenbark, when he first arrived at the store sometime before 7:00
a.m., he too smelled what he believed to be a burnt ballast but
did not believe anything more unusual was happening and did not realize there
was a problem until some minutes later when he climbed onto the register
counter to check on the ballast. It was then that he saw a
red glow in the ceiling and asked Visser for a fire extinguisher. After
a second spraying from the extinguisher failed to put out the red glow,
Rifenbark told Visser that they should also hasten to leave the store. By
that time, the 911 call had already been made and the fire engines
were on their way.
When the firefighters arrived, within minutes thereafter, the flames had already spread through
the bow string roof covering the entire mall and its collapse was imminent.
Although there was evidence suggesting that the fire, which had started in an
Acme lighting fixture, may have been burning for a hour to an hour
and a half before the 911 call was made, defendant Evangelista conceded that
once it had started there was nothing that could have been done to
contain it because of the roof construction.
Law enforcement officers both from the Passaic County Prosecutor's Office (PCPO) arson squad
and the Pompton Lakes Police Department investigated the fire. The report of Detective
Seifried of the Pompton Lakes Police Department included a summary of his conversation
at the scene of the fire with Rifenbark, generally of the tenor heretofore
indicated. Jobes, on the advice of Acme's lawyers, did not speak with Seifried.
The PCPO's arson squad report was prepared by Senior Investigator Powell, who relied
on arson squad notes made at the scene and who also interviewed Jobes
by telephone. Powell's report included the information furnished by both Jobes and Rifenbark.
It was Powell's conclusion that the fire had been entirely accidental, its rapid
spread was due to the roof construction, and that the case file should
be closed. Her recommendation was concurred in by the chief assistant prosecutor, the
commander of the major crimes unit, and the arson squad's original investigator.
Defendant Evangelista was not, however, satisfied, apparently believing that someone had to be
blamed for the fire and the consequent loss of the shopping mall. In
reviewing both Seifried's report and Powell's report and noting some slight time discrepancies
respecting the Acme employees' arrival at the store, he came to the conclusion
that there had been a failure of proper reporting of the fire. He
asked Detective Seifried to research the law for him. Seifried responded by giving
him a copy of the police department charging manual. The manual correctly described
the elements of N.J.S.A. 2C:17-1c, the fourth-degree crime of failing to control or
report a dangerous fire. That statute reads as follows:
A persons who knows that a fire is endangering life or a substantial
amount of property of another and either fails to take reasonable measures to
put out or control the fire, when he can do so without substantial
risk to himself, or to give prompt fire alarm, commits a crime of
the fourth degree if:
(1) He knows that he is under an official, contractual, or other legal
duty to prevent or combat the fire; or
(2) The fire was started, albeit lawfully, by him or with his assent
or on property in his custody or control.
Based solely on Seifried's report and on his conversation with him, Evangelista decided
that Jobes and Rifenbark were in control and custody of the Acme store
and should be criminally charged under that statute.
The jury was at liberty to conclude from the evidence that Seifried's report
was largely based on hearsay and was, in several significant respects, inaccurate. Nevertheless,
Evangelista chose to rely on it to the exclusion of all other available
sources of information. He did not seek the advice of the PCPO arson
squad, or any other member of the Prosecutor's Office, or the municipal attorney,
or any other lawyer or municipal official. He did not himself interview either
of the plaintiffs and was, apparently, not concerned by the fact that Seifried
had also not interviewed Jobes or the fact that it was Visser, not
either plaintiff, who was in charge of the store at the time. Nor,
apparently, was he concerned about the precise time that either plaintiff realized or
should have realized that there was a fire emergency or about the lapse
of time from that realization until the 911 call was made. Rather, Evangelista
simply asked Seifried to prepare criminal complaints against both plaintiffs, which he, Evangelista,
then signed as Chief of the Fire Department.
Both plaintiffs were arrested, fingerprinted, and eventually released on their own recognizance. There
was considerable local media coverage of the criminal charges based on information given
the press by Evangelista, information, largely inaccurate and inculpatory of plaintiffs. In any
event, about three weeks after the charges were filed and publicized, they were
dismissed because of the Prosecutor's refusal to proceed with them. There was, in
fact, evidence that the Prosecutor had called both Seifried and Evangelista to remonstrate
with them for filing the charges under what he told them was a
patently inapplicable statute and in circumstances in which there was no reasonable suggestion
of criminality. Finally, although the charges were outstanding for less than a month,
both plaintiffs testified to the damage caused them and their reputations as a
result of being subject to criminal proceedings and being blamed, as a matter
of criminal liability, for so extensive a loss of property. It suffices to
say that both plaintiffs required psychiatric therapy to deal with the severe emotional
distress each suffered and continued to suffer.
As noted, the jury found defendant Evangelista liable for malicious prosecution, false-light invasion
of privacy, and defamation. Defendant challenges the liability verdict as to all three
causes of action as well as the damages verdict, which he contends is
excessive, was based on an erroneous charge to the jury, and was contrary
to the limitations of the Tort Claims Act, N.J.S.A. 59:1-1, et seq.
Before addressing these challenges, we consider defendant's claim that in respect of all
these causes of action, he was entitled to qualified immunity under the Tort
Claims Act, N.J.S.A. 59:1-1, et seq., and hence that the trial judge erred
in denying his motion, made under R. 4:37-2(b) for dismissal of the complaint
at the close of plaintiff's proofs.
Defendant's claim of qualified immunity is based primarily on N.J.S.A. 59:3-3, which reads
in full as follows:
A public employee is not liable if he acts in good faith in
the execution or enforcement of any law. Nothing in this section exonerates a
public employee from liability for false arrest or false imprisonment.
We are in full agreement with the trial judge's analysis respecting the applicability
of that statutory immunity. In sum, Judge Brogan was of the view that
actual malice, as defined by New York Times v. SullivanSee footnote 2 as an utterance
made with knowledge of its falsity or with reckless disregard of whether it
was false or not, was not only an element of plaintiffs' substantive causes
of action as to which they had demonstrated a prima facie case but
was also dispositive of the qualified immunity issue. That analysis comports with
Burke
v. Deiner,
97 N.J. 465, 475-477 (1984), in which the Supreme Court made
clear that in a defamation case the qualified privilege of a non-constitutional public
officer is lost by actual malice as defined by New York Times. Simply
put, good faith as a condition of the qualified immunity afforded by N.J.S.A.
59:3-3 and actual malice in the New York Times sense are mutually exclusive.
The jury was, moreover, instructed, with respect to the defamation cause of action,
that actual malice had to be found by clear and convincing evidence, and
the appropriate definitions of actual malice were also given to the jury in
respect of the malicious prosecution and false-light causes of action. The jury's finding
of defendant's liability on these causes of action was necessarily, therefore, based on
its findings of actual malice, and those findings, in turn, necessarily and directly
resulted in contradiction of defendant's claim of good faith upon which his assertion
of qualified immunity depended.
We are further satisfied that the jury's actual-malice finding resulted in defendant's loss
of the immunity granted by N.J.S.A. 59:3-8, which provides that "[a] public employee
is not liable for injury caused by his instituting or prosecuting any judicial
or administrative proceeding within the scope of his employment." SeePitts v. Newark
Bd. of Ed.,
337 N.J. Super 331, 338-339 (App. Div. 2001), making clear
that that immunity too is lost by actual malice.
We address now defendant's specific objections to Judge Brogan's rulings respecting each of
the substantive causes of action. As to the defamation cause, defendant contends that
his motion for dismissal was erroneously denied, claiming that plaintiffs had failed to
prove actual malice in the New York Times sense, that they also failed
to prove specific pecuniary or reputational damage, and that the judge erred in
permitting the jury to find presumed damages. As to the malicious prosecution cause,
defendant asserts that plaintiff failed to prove the elements of absence of probable
cause and actual malice, that the trial judge erred by submitting the probable
cause issue to the jury, by permitting plaintiffs to adduce expert testimony on
that issue, and by barring his expert from testifying. He also challenges the
damages verdict. Finally, he claims that plaintiffs failed to prove a prima facie
case of false-light invasion of privacy. We reject each of these arguments.
We consider first the defamation cause of action. With respect to the actual
malice component of the defamation cause of action, required to be proved by
clear and convincing evidence, it is clear that New Jersey follows the New
York Times standard of knowledge of falsity or reckless disregard for the truth,
further defining reckless disregard for the truth as a high degree of awareness
of its probable falsity or serious doubts as to the truth of the
statement. See, e.g., Lynch v. New Jersey Educ. Ass'n,
161 N.J. 152, 165
(1999); Ricciardi v. Weber,
350 N.J. Super. 453, 472 (App. Div. 2002), certif.
denied,
175 N.J. 433 (2003); Gray v. Press Communications, L.L.C.,
342 N.J. Super. 1, 11 (App. Div.), certif. denied,
170 N.J. 390 (2001). Judge Brogan was
satisfied that plaintiffs had met that standard sufficiently to submit the issue to
the jury, and we agree. As we have pointed out, defendant relied only
on Seifried's report without having himself spoken to either plaintiff or conducted any
kind of investigation. Beyond that, he made statements to the press purporting to
be the actual facts surrounding the fire, which were not in Seifried's report
and had no basis in any information available to defendant, including the assertion
that both plaintiffs had waited fifty-eight minutes after the fire started to call
it in, that customers already in the store had smelled something burning and
had asked plaintiffs to call the fire department, that if the 911 call
had been made at 6:20 a.m., when Rifenbark was asserted to have arrived
at the store, the fire could have been extinguished, and, obviously, the implication,
entirely false, that both plaintiffs were aware of the fire or should have
been substantially aware before the 911 call was made. We think it plain
that this complex of false statements squarely asserted plaintiffs' criminal liability, if not
for the fire itself, then surely for the extent of the property loss.
We also reject defendant's challenges to the defamation damages allowed by the jury.
We are first satisfied that Judge Brogan correctly instructed the jury with respect
to presumed damages. It is clear that ordinarily the slandered plaintiff is required
to prove "special damages in the form of pecuniary or economic harm to
his reputation." Ricciardi v. Weber, supra, 350 N.J. Super. at 475. It is
also clear that neither plaintiff adduced such proofs. But as we further held
in Ricciardi, this "element of the slander plaintiff's prima facie case is waived
if the statement is deemed slander per se, because damage to reputation is
presumed to flow from such statements." Ibid. It is also well settled that
accusation of criminal conduct constitutes slander per se. Ibid.; McLaughlin v. Rosanio, Bailets
& Talamo, Inc.,
331 N.J. Super. 303, 314 (App. Div. 2000); Biondi v.
Nassimos,
300 N.J. Super. 148, 154 (App. Div. 1997). We are aware that
in Rocci v. Ecole Secondaire,
165 N.J. 149 (2000), the Supreme Court modified
the presumed-damages rule where the defamatory utterance involves a matter of public concern,
and we acknowledge that the Pompton Lakes fire was such a matter. But
the Court nevertheless made clear in Rocci, that in effecting the balance between
private reputational interest and free speech relating to matters of public concern, the
presumed-damages rule will continue to obtain if the defamatory utterance was attended by
actual malice in the New York Times sense. 165 N.J. at 156. The
jury's actual malice finding here subsumed, therefore, its right to accord and plaintiff'
right to receive presumed damages. We therefore affirm the judgment entered on the
jury's verdict respecting defamation.
With respect to the malicious prosecution cause of action, it is clearly settled
that it requires proof of four elements, the defendant's institution of a criminal
action against the plaintiff; the defendant's motivation by malice; the absence of probable
cause; and termination of the action favorably to the plaintiff. As noted, only
actual malice and probable cause are in dispute. We think it plain that
the actual malice component of the cause of action is properly defined, as
Judge Brogan defined it for the jury, as the intentional doing of a
wrongful act without just cause or excuse. See, e.g., Muller Fuel Oil Co.
v. Ins. Co. of No. Amer.,
95 N.J. Super. 564, 576 (App. Div.
1967). In a substantial sense, therefore, malice is inferrable from the finding that
the defendant had neither probable cause for the criminal complaint nor a reasonable
belief in probable cause.
We are, moreover, satisfied that the question of probable cause was properly submitted
to the jury. While we agree with defendant that the existence of probable
cause is ordinarily a question of law, nevertheless, it becomes a mixed question
of law and fact when the underlying facts, as here, are in dispute.
See, e.g., Helmy v. City of Jersey City,
178 N.J. 183, 191 (2003);
Liptak v. Rite Aid, Inc.,
289 N.J. Super. 199, 215 (App. Div. 1996).
We are also satisfied that the trial judge did not abuse his discretion
in permitting plaintiffs' two probable-cause experts to testify. One had served as fire
chief in various cities and counties and as a management consultant for a
number of fire departments and testified as an expert in the standards and
protocols applicable to the conduct and performance of fire chiefs not merely in
firefighting but in administrative matters as well. The other expert was a licensed
private detective and public safety director who had daily experience with probable cause
issues. The sum of their testimony was that the statute defendant had relied
on was wholly inapplicable to plaintiffs' circumstances respecting the fire, and neither the
report of Powell or of Seifried provided defendant with sufficient probable cause to
make the criminal complaint, and that defendant had acted recklessly as a fire
chief, a law enforcement officer, and an ordinary citizen. Judge Brogan was persuaded
that the testimony of these witnesses, given their background and experience, would assist
the jury in determining the factual issues involved in determining whether defendant had
probable cause for making the complaints, that is, a well-grounded suspicion that plaintiffs
had committed a crime. See, e.g., State v. Dangerfield,
171 N.J. 446, 456
(2002). We agree that the conditions for allowing expert testimony prescribed by N.J.R.E.
702 were clearly met.
The barring of defendant's proffered probable-cause expert was also, in our view, a
reasonable discretionary determination. The report was woefully late despite the extension of discovery,
and we affirm that decision for the reasons stated by Judge Brogan in
denying defendant's new trial motion.
Defendant's challenge to the malicious prosecution damages is based on his assertion that
plaintiffs failed to meet the threshold of N.J.S.A. 59:9-2d, which provides that:
No damages shall be awarded against a public entity or public employee for
pain and suffering resulting from any injury; provided, however, that this limitation on
the recovery of damages for pain and suffering shall not apply in cases
of permanent loss of a bodily function, permanent disfigurement or dismemberment where the
medical treatment expenses are in excess of $3,600.00. For purposes of this section
medical treatment expenses are defined as the reasonable value of services rendered for
necessary surgical, medical and dental treatment of the claimant for such injury, sickness
or disease, including prosthetic devices and ambulance, hospital or professional nursing service.
The issue, of course, is whether the actual malice component of each of
the three causes of action relieved plaintiffs of the restrictions of the statutory
pain and suffering threshold. We agree with Judge Brogan that they were so
relieved by reason of N.J.S.A. 59:3-14b, providing that "[n]othing in this act shall
exonerate a public employee from the full measure of recovery applicable to a
person in the private sector if it is established that his conduct was
outside the scope of his employment or constituted a crime, actual fraud, actual
malice or willful misconduct."
We think it plain that the "actual malice" proviso of N.J.S.A. 59:3-14b encompasses
actual malice as an element of plaintiffs' three causes of action. We are
also in full agreement with the holding of Taglieri v. Moss,
367 N.J.
Super. 184, 196 (App. Div. 2004), that the threshold limitations of N.J.S.A. 59:9-2d
do not apply to such causes. See alsoDelacruz v. Borough of Hillsdale,
365 N.J. Super. 127, 147 (App. Div.), certif. granted, ___ N.J. ___ (2004),
similarly holding with respect to the good-faith exoneration of a public employee accorded
by N.J.S.A. 59:3-3. And compareVelez v. City of Jersey City,
358 N.J.
Super. 224, 239-240 (App. Div.), certif. granted,
177 N.J. 224 (2003), with Bonitsis
v. New Jersey Inst. of Tech.,
363 N.J. Super. 505, 519 (App. Div.
2003). Consequently, we are persuaded that plaintiffs were relieved of the limitations of
N.J.S.A. 59:9-2d by reason of the jury's finding of actual malice.
As to the third cause of action, false-light invasion of privacy, we need
merely note that New Jersey has recognized that cause of action since Romaine
v. Kallinger,
109 N.J. 282, 293 (l988). See alsoRestatement (Second) of Torts,
§652A. Defendant claims that plaintiffs failed to prove a prima facie case and
that the trial court erred in its instructions to the jury. These claims
are based essentially on the same arguments on which defendant relied in challenging
the defamation and malicious prosecution verdicts, and we reject them for essentially the
same reasons for which we sustained those verdicts.
Defendant raises various other challenges to the verdict, including the contentions that the
jury should not have been able to consider plaintiff Jobes' future medical expenses,
that plaintiffs' attorneys made improper comments during summation, that the court erred in
instructing the jury on actual malice during the punitive damages phase of the
trial, that plaintiffs failed in their burden to prove punitive damages, and that
the damages awards, both compensatory and punitive, were excessive. We are satisfied from
our review of the record and the applicable law that none of these
issues is of sufficient merit to warrant disposition by written opinion. SeeR.
2:11-3(e)(1)(A), (B), (C), and (E).
The gravamen of plaintiffs' cross-appeal is the assertion that the trial judge erred
in not advising the jury during the punitive damages phase of the trial
that defendant was being indemnified by the Borough and hence that it was
the Borough's resources, rather than defendant's, which were relevant to the admeasurement of
exemplary damages. The short answer to this argument rests upon Lockley v. State
of N.J. Dept. of Corrections,
177 N.J. 413, 430 (2003), in which the
Supreme Court held that the financial condition of a public entity is not
admissible in evidence when punitive damages are sought against it. If not admissible
when the public entity is the defendant, such proofs are, a fortiori, not
admissible when the public entity is only the indemnitor. We are also satisfied
that the Borough's insurance coverage for punitive damages in the circumstances was appropriately
not regarded as an asset of Evangelista. We therefore affirm the punitive damage
award as well as the denial of plaintiffs' additur motion.
The judgment appealed from under Docket No. A-6657-01T3 is affirmed in its entirety.
The appeal under Docket No. A-89-02T3 is dismissed with prejudice and without costs
by reasons of the parties' stipulation.
Footnote: 1
The complaint against the other named defendants, the Volunteer Fire Department, the
Borough of Pompton Lakes, and a law enforcement officer, Sgt. Stephen Seifried, was
dismissed by summary judgments entered prior to trial. Plaintiffs appealed from those orders
of dismissal under Docket No. A-89-02T3, and we consolidated that appeal with this
appeal. Thereafter, however, plaintiffs stipulated to the withdrawal of A-89-02T3, and, accordingly, we
hereby dismiss the appeal under that Docket Number with prejudice and without costs.
Footnote: 2New York Times v. Sullivan,
376 U.S. 254, 279-280,
84 S. Ct. 710,
725-726,
11 L. Ed.2d 686, 706 (1964)