Separate trials or bifurcation of a trial keeps a lawsuit intact, but allows the judge or jury to hear and determine one or more issues without trying all of the issues at the same time. This is often done to avoid unnecessarily prejudicing or inflaming the jury with evidence related to one issue that is not related to another issue. For example, courts sometimes order separate trials or bifurcation of a trial when a party is seeking punitive or exemplary damages, and the court does not want evidence of the person’s net worth or the entity’s valuation or revenue—which are relevant to punitive damages—to influence the jury’s decision on whether the person or entity is liable for the breach of contract, negligence, or other claim. In such a bifurcated trial, the jury does not hear evidence of the net worth, valuation, or revenue unless it first finds the defendant liable on the underlying claim.
In Montana, the practice of bifurcation or holding separate trials is recognized as a tool to ensure fair and efficient proceedings. Under Rule 42(b) of the Montana Rules of Civil Procedure, the court has the discretion to order a separate trial of one or more separate issues, claims, crossclaims, counterclaims, or third-party claims, or of any separate issue or issues when it believes such an action would be in the interests of convenience or would avoid prejudice, or when separate trials would be conducive to expedition and economy. This means that in cases where the presentation of evidence regarding one issue, such as a party's net worth for the purpose of determining punitive damages, might unfairly influence the jury's decision on another issue, such as liability for breach of contract or negligence, the court may decide to bifurcate the trial. The jury would then only consider the defendant's financial status after determining liability. This procedural mechanism is designed to prevent the jury from being prejudiced by information that is not relevant to the determination of liability but may become relevant in a subsequent phase of the trial concerning damages.