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Case Law Alerts

New Jersey Supreme Court Rules Out-of-State Alleged Tortfeasor Cannot Be Allocated Fault Under Comparative Negligence Act

Estate of Crystal Walcott Spill v. Jacob E. Markovitz, M.D., 2025 WL 758318

April 1, 2025

In this appeal before the New Jersey Supreme Court, the court held that an out-of-state alleged tortfeasor was not a party subject to allocation of fault by a jury pursuant to Comparative Negligence Act in a wrongful-death action. In this action, the estate of Crystal Walcott Spill and her surviving family members individually sued various physicians and medical providers for negligently sedating and performing surgery on Spill without first sufficiently examining her recent medical history, thereby causing her death.

In civil actions, the Comparative Negligence Act (CNA) and the Joint Tortfeasors Contribution Law (JTCL) provide for allocations of fault against, or contributions from, individuals and entities. However, the court recognized that the language of the CNA and the JTCL differ in important respects: the CNA allows allocation of fault during a trial only to a “party” or “parties,” N.J.S.A. 2A:15-5.2(a), whereas the JTCL allows “joint tortfeasors” to seek contribution after a trial from other “persons” alleged to be “liable in tort for the same injury,” N.J.S.A. 2A:53A-1, -3. 

Therefore, upon dismissal of an individual or entity for lack of jurisdiction, that individual or entity has never been and may never be a party to that action within the definition of the CNA. Hence, the individual or entity as a non-party alleged tortfeasor who is outside the jurisdictional arm of New Jersey courts is not a “party” subject to allocation by the jury pursuant to the CNA. The same is not true, however, under the JTCL. Accordingly, if a judgment is rendered against defendant(s), they may then pursue any available contribution claims in a jurisdiction relevant to any additional alleged tortfeasors. 


 

Case Law Alerts, 2nd Quarter, April 2025 is prepared by Marshall Dennehey to provide information on recent developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Copyright © 2024 Marshall Dennehey, all rights reserved. This article may not be reprinted without the express written permission of our firm.

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Appellate Division Affirms Dismissal of Legal Malpractice Counterclaim Against Martin Law Firm

In Martin v. Loury, 2026 N.J. Super. Unpub. LEXIS 1617 (App. Div. July 15, 2026), Martin Law Firm represented Kirk Loury in an employment matter Mr. Loury filed against his former employer, Concord Equity Group Advisors LLC (“Concord”). The allegations included, among other things, that Loury was not fairly compensated for his employment with Concord. After a bench trial finding in Loury’s favor, the Appellate Division remanded this matter in February 2016 for a second trial. During the second trial, Concord CEO, Lee Argush, testified to lower compensation estimate than first trial. On remand, the second trial judge awarded Mr. Loury the same damages as the first judge, finding Mr. Argush not credible. After the findings during the second trial, Martin Law Firm filed an action against Mr. Loury to recover legal fees and costs of representing Mr. Loury in a second bench trial and Mr. Loury filed a counterclaim against Martin Law Firm for legal malpractice, alleging he should have received an even higher award in the second bench trial. In this allegation, Mr. Loury, through his expert, claimed that Martin Law Firm should have recalled Mr. Loury to the stand to rebut Mr. Argush’s testimony to allege an alternative theory of damages. Mr. Loury’s expert admitted that the second judge already rejected Mr. Argush's theory and accepted Loury's damages theory. The trial court barred Mr. Loury’s expert and dismissed Loury's counterclaim with prejudice before convening the collection trial, and the jury ruled in Martin Law Firm’s favor. Mr. Loury appealed the trial court's pretrial rulings barring his liability expert from testifying in support of his legal malpractice counterclaim, denying his motion for summary judgment on that counterclaim, and denying his motion to amend his counterclaim by adding attorney Joseph A. Martin as a codefendant. In affirming the trial court’s decision, the Appellate Division held that the trial court properly excluded Loury’s expert testimony in the counterclaim against Martin Law Firm because the expert could not explain how calling Loury as a rebuttal witness would have increased damages when the second judge already rejected Mr. Argush's testimony and accepted Loury's damages theory, making the expert’s causation opinion speculative. The Appellate Division also held that the trial court properly denied Mr. Loury's summary judgment motion on his malpractice counterclaim because reasonable minds could differ on whether Mr. Martin's alleged failures would have changed the second judge's damages award, given the judge already found Mr. Argush not credible, creating genuine factual disputes precluding summary judgment. Also, the Appellate Division held that the trial court properly denied Loury's May 2023 motion to add Joseph Martin individually because the statute of limitations expired in February 2022, six years after the 2016 appellate remand when Mr. Loury incurred new legal costs, and relation back did not apply because Mr. Loury knew Mr. Martin's identity throughout and strategically chose to sue only Martin Law Firm in his 2019 counterclaim.