Colorado Tort Laws

While some people today may link tort law with personal injury claims, its scope is actually broader. In essence, torts comprise actions that undermine or violate individuals' rights, even if physical harm is not involved. One example is bad faith insurance, where an insurance provider treats a policyholder unfairly or unreasonably.

Consider the 2018 American Family Mutual Insurance Company v. Barriga case. The state declared the insurance company liable for breach of contract and unreasonable delay in providing benefits, awarding the policyholder a significant sum. Such legal battles illustrate how tort law can penalize malicious insurers and protect policyholders from financial hardship.

This article gives a comprehensive overview of the torts recognized in Colorado. It aims to explore how they are categorized and cover relevant topics, like damage caps, statutes of limitations, and the difference between torts and crimes.

Basic Tort Categories in Colorado

Negligent Torts

Negligent torts are the most common type of torts. Basically, negligence takes place when a person’s carelessness causes harm to another person. When filing a negligent tort claim, four elements must be established. The table below examines how these manifest in a car accident scenario:

Intentional Torts

When individuals deliberately engage in conduct that inflicts harm upon others, they may become guilty of intentional torts. These are distinct from criminal offenses and encompass a range of actions, from physical assault to defamation.

Some actions, such as assault and wrongful death, may constitute both intentional torts and criminal offenses, leading to both civil and criminal consequences. In such cases, the injured party can pursue compensation through a lawsuit, while the state may initiate criminal proceedings against the perpetrator.

However, remember that not all intentional torts have corresponding criminal charges. For example, while intentionally causing emotional distress can be considered a tort, it is typically not prosecuted as a crime.

Strict Liability Torts

Unlike regular lawsuits, where proving someone was at fault is key, strict liability torts focus on preventing certain types of harm. So in some situations, Colorado law holds someone responsible not because they did something wrong but because they were in a position where they could cause serious harm.

For instance, dog owners are considered inherently responsible for their pets' actions, so they must take extra care to prevent bite incidents. Similarly, manufacturers are held accountable for their products' safety because they can control factors like quality and potential risks.

Other Tort Categories in Colorado

Business Torts

In civil law, business torts are wrongful actions that cause financial or reputational damage to businesses. These can be perpetrated by competitors motivated by market dominance, disgruntled employees harboring grievances, or even fiduciaries entrusted with safeguarding business interests.

The spectrum of actionable business torts is extensive and includes, but is not limited to:

• Misrepresentation in contract formation: Intentional misstatements or omissions of material fact at the time of contract negotiation, rendering the agreement invalid.

• Misappropriation of trade secrets: Unlawful acquisition or use of confidential business information, conferring an unfair advantage to the infringing party.

• Unfair competition: Unethical business practices that undermine fair competition and harm competitors, such as predatory pricing or false advertising.

• Breach of contract: Failure to fulfill the obligations outlined in a legally binding agreement, resulting in economic loss for the non-breaching party.

• Breach of fiduciary duty: Violation of the trust and loyalty owed by individuals in positions of authority, such as directors or corporate officers, to the business entity they represent.

• Intentional interference with contractual relations: Unlawful disruption of existing or potential business agreements through malicious acts, such as committing a breach of contract or sabotaging negotiations.

The legal ramifications of business torts can be significant, often culminating in monetary damages awarded to the injured party and, in certain instances, injunctive relief to prevent further harm. Therefore, businesses need to understand what these wrongful actions are and how they can impact them. This knowledge helps businesses protect themselves and compete fairly.

Nuisance Torts

Within the legal landscape of Colorado, nuisance claims play a prominent role in addressing disturbances that infringe upon the rights and well-being of individuals and the public. There are two types of nuisance claims: public nuisance and private nuisance.

Public nuisance encompasses actions that negatively affect the general public's comfort, safety, or health. This category finds its foundation in codified statutes and regulations, covering excessive noise, environmental pollution, and unlicensed business operations. Whenever such activities unreasonably interfere with the public's use and enjoyment of common spaces or facilities, a public nuisance claim may be pursued.

In contrast, private nuisance focuses on the substantial and unreasonable interference with an individual's use and enjoyment of their own real property. While this concept lacks a codified definition within Colorado state law, the Supreme Court has established several key principles for determining liability in private nuisance cases:

• Intentional or negligent invasion: The defendant must have purposely or carelessly violated the plaintiff's property rights. This includes both direct actions on the property itself and activities that indirectly affect the plaintiff's use and enjoyment.

• Outlandish or dangerous conduct: The defendant's behavior must be sufficiently extreme or dangerous to rise to the level of a private nuisance. To determine this, courts look at how serious the interference is, how often it happens, how long it lasts, and how much it affects the plaintiff's ability to use their property normally.

• Strict liability: In exceptional cases where the defendant's conduct is deemed particularly outrageous or hazardous, strict liability may be imposed. As previously discussed, this means the defendant can be held liable for damages regardless of their intent or negligence.

Tort vs. Crime in Colorado

Although intentional torts and crimes share similarities, they also have distinct legal principles and procedures. In an intentional tort case, the injured party initiates a civil lawsuit against the perpetrator. In contrast, criminal proceedings involve the state pressing charges against the defendant based on a violation of public law.

Moreover, the goals and outcomes of each system differ. A civil lawsuit in an intentional tort case seeks monetary compensation for the harm suffered by the plaintiff, potentially encompassing both economic and non-economic damages. Meanwhile, the primary objective of a criminal case is to punish the defendant for the public offense committed, with restitution to the victim often limited to repaying tangible economic losses.

Mass Torts in Colorado

Mass torts, legal situations where a single act harms numerous people, are often complicated and financially significant. While product liability cases like the 2010 Toyota faulty accelerator issue are common, man-made disasters such as the 2010 BP Oil Spill also fall under this umbrella.

The 2021 Marshall Fire in Colorado, allegedly sparked by Xcel Energy power lines, is another example. Over 1,000 homes were destroyed, leading to billions in damages and at least eight lawsuits against the company, one of which was filed by 150 insurance companies seeking compensation.

Litigating mass torts is complex due to the number of plaintiffs and intricate legal issues involved. However, they can enable victims to achieve justice. The Marshall Fire case's outcome could financially impact Xcel Energy and set a precedent for future wildfire-related lawsuits.

Mass Torts vs. Class Actions

Both mass torts and class actions offer legal remedies for many injured plaintiffs, but their approaches are very different. Here are some key distinctions:

• Individualized control: Mass torts empower each plaintiff, while class actions prioritize collective bargaining through a representative.

• Settlement flexibility: Mass torts cater to varied damages through individual settlements, while class actions deliver a uniform outcome for all members.

• Procedural timeline: Class actions typically conclude faster due to centralized proceedings, whereas mass torts navigate individual trials.

Both mass torts and class actions offer valuable avenues for collective redress, each with distinct pros and cons. Thus, being familiar with these intricacies may help individuals make informed decisions regarding their legal pursuits.

The Mass Tort Process

In Colorado, initiating a mass tort claim involves several steps:

1. Seeking expert guidance: Consulting a mass tort lawyer is ideal. Their expertise helps assess the individual claim's suitability for inclusion in existing litigation or potential future mass tort actions.

2. Joining existing litigation or building support: The plaintiff can join an established multidistrict litigation, or MDL, for streamlined proceedings or wait for the lawyer to investigate and gather claims, paving the way for future litigation.

3. Compiling evidence and initiating legal action: Once sufficient evidence is gathered, the lawyer files a formal complaint on the plaintiff's behalf, officially launching the legal process.

4. Resolving the dispute: The defendant then has the choice to settle the case through negotiations or proceed to trial.

5. Consolidating similar cases: If the mass tort is part of an MDL, a federal judge presides over the proceedings, and additional cases from various jurisdictions may be consolidated for efficiency.

6. Conducting a bellwether trial: In some cases, select representative trials called "bellwethers" may be held. These serve as test cases, offering valuable insights into the potential outcomes of the broader litigation and potentially influencing settlement negotiations.

Colorado Tort Liability Insurance Requirements

The risks that come with running a business every day make it necessary to have different types of insurance for protection. These include mandatory workers' compensation insurance for businesses with even a single employee, regardless of their employment status (full-time, part-time, or family member). This coverage protects businesses from financial burdens arising from employee work-related injuries or illnesses.

For companies operating commercial vehicles, the 25/50/15 minimum liability insurance model applies. In other words, the chosen policy must cover at least $25,000 per person injured, $50,000 total injury per accident, and $15,000 for property damage caused by the insured vehicle in any incident.

Trucking companies must have certain levels of insurance depending on what kinds of goods they carry. Within Colorado, the minimum mandated liability insurance amounts for different categories are:

• $300,000 for household goods.

• $750,000 for general freight.

• $1 million for oil.

• $5 million for hazardous materials.

In light of the potential for multiple plaintiffs in truck accident-related torts, brokers and shipping companies may require at least $1 million in liability insurance, irrespective of the transported goods. This extra layer of protection reduces financial risks for trucking companies and their clients.

The Statute of Limitations for Tort Cases in Colorado

The table below summarizes the statute of limitations for some common torts in Colorado:

For torts involving minors, the clock only starts ticking once they turn 18. This applies to all tort claims. If the defendant is a government entity, such as public transportation services or health facilities, the plaintiff faces a significantly shorter window of 180 days to file their claim.

In some cases, the “discovery rule” applies. This means that the deadline to file a claim starts when the victim finds out about their injury, not when the injury actually happened. This applies to cases where the injury's nature or cause is initially concealed. Furthermore, Colorado imposes a "statute of repose," acting as a second deadline beyond which legal action is barred, regardless of when the injury is discovered.

Product liability claims, for example, are subject to the discovery rule but also have a statute of repose of seven years for manufacturing defects and 10 years (with a rebuttable presumption) for other product defects. Similarly, medical malpractice claims have a three-year statute of repose, except for cases involving minors or deliberate concealment by the healthcare provider.

How Much Can Someone Sue in a Tort Case in Colorado?

Depending on the case, tort claims can range from tens of thousands to as high as $1 million. In a successful tort lawsuit in Colorado, plaintiffs are entitled to economic and non-economic damages. Except for medical malpractice and dram shop cases, the state does not place caps on economic damages. Economic damages are losses that can be easily measured and calculated, like medical bills, lost wages, and the cost to replace damaged property.

On the other hand, non-economic damages compensate for more abstract concepts related to injuries, like pain and suffering, mental anguish, and loss of consortium. The statutory damage caps imposed by the Centennial State have been summarized as follows:

The Colorado Governmental Immunity Act limits the amount of compensation recoverable in tort claims against government entities and their employees, subject to specific exceptions and conditions outlined in the statute. For a single incident with one injured party, the maximum recoverable damages are capped at $424,000. If two or more parties are injured in the same incident, the total liability cap is $1,195,000, with a per-person limit of $424,000.

Keep in mind that Colorado follows a comparative negligence system, meaning the plaintiff's share of fault for the incident can reduce the amount of damages they receive. If a jury finds the plaintiff 30% responsible for their own injuries, for instance, their $100,000 damage award would be reduced to $70,000. Furthermore, if the plaintiff's fault exceeds 50%, they are barred from recovering damages.

Other Legal Remedies in Tort Cases in Colorado

Some torts, like those characterized by ongoing harm or imminent danger, may call for court-ordered remedies that restrict the defendant's behavior. Injunctions are legal tools employed in such situations, with Colorado courts offering three options:

• Temporary restraining orders: Issued shortly after a lawsuit is filed, a TRO aims to provide immediate protection to the plaintiff from harm inflicted by the defendant. Its duration is limited to 14 days, requiring a hearing for a preliminary injunction if granted without prior notice.

• Preliminary injunctions: A preliminary injunction is used to keep things as they are while a lawsuit is going on. It can be used if the case might take months to resolve. This prevents additional harm or aggravation before the final ruling.

• Permanent injunctions: Granted upon concluding a lawsuit, a permanent injunction restricts the defendant's behavior indefinitely unless challenged through a petition for revocation. Its issuance is determined during court proceedings.

Alongside injunctive remedies, in some cases where an intentional tort also leads to a criminal conviction, the court may order restitution as part of the criminal sentence. Unlike broader damages obtainable through civil lawsuits, restitution solely covers quantifiable expenses incurred by the victim, such as medical bills, funeral costs, and insurance deductibles.

Legal Resources for Tort Victims in Colorado

Overall, navigating the legal complexities of a tort case can be tedious, especially in the aftermath of emotional distress and potential financial hardship. As such, the state offers resources to guide victims seeking recompense.

Colorado Legal Services

Colorado Legal Services is a nonprofit agency that helps low-income community members resolve their civil law-related issues. Victims of domestic violence can ask for assistance in obtaining a civil protection order. CLS also handles cases related to housing law, including unlawful evictions, landlord/tenant issues, and foreclosures in select offices.

One can get in touch with CLS using the details provided below:

• Alamosa: 719-589-4993

• Boulder: 303-449-7575

• Colorado Springs: 719-471-0380

• Craig: 1-800-521-6968

• Denver: 303-837-1313

• Dillon: 1-800-521-6968

• Durango: 970-247-0266

• Ft. Collins: 970-493-2891

• Grand Junction: 970-243-7940

• Greeley: 970-353-7554

• La Junta: 719-384-5438

• Pueblo: 719-545-6708

• Salida: 719-539-4251

Rocky Mountain Victim Law Center

Established in 2010, Rocky Mountain Victim Law Center is a nonprofit that dedicates its services to crime victims across the Centennial State. It provides legal representation regarding privacy protection and empowers victims by educating them about their rights. It also offers Title IX legal services through referrals and assistance in accessing safe accommodations. One can reach the organization by emailing info@rmvictimlaw.org or calling 303-295-2001. RMVLC’s eligibility survey and intake forms are available in English, Spanish, and French.

Justice and Mercy Legal Aid Center

Since its foundation in 2006, Justice and Mercy Legal Aid Center has helped more than 20,000 low-income individuals in the Denver metro. JAMLAC offers legal consultations, advocacy programs for survivors, and full civil legal representation. Victims and survivors of domestic violence can obtain civil protection orders. One can contact JAMLAC by calling 303-839-1008 or sending an email to jamlac@jamlac.org.