Justia Idaho Supreme Court Opinion Summaries
Articles Posted in Labor & Employment Law
Melaleuca, Inc v. Foeller
In 1999, Rick and Natalie Foeller entered into an agreement with Melaleuca of Canada, Inc., under which the Foellers would serve as independent marketing executives in exchange for monthly commission payments. In 2008, the Foellers breached this agreement but Melaleuca continued to pay them commissions because it was unaware of the breach. Upon learning of the breach, Melaleuca sued to recover the payments it had made to the Foellers after they breached. The district court granted Melaleuca’s motion for summary judgment, finding that under the forfeiture clause of its agreement with the Foellers, Melaleuca was simply excused from performing once the Foellers breached and ordered the Foellers to refund Melaleuca the commissions they received after their breach. The Foellers appealed, arguing that the district court erred because the forfeiture clause was an illegal penalty and Melaleuca was required to prove damages. Agreeing with the Foellers, the Supreme Court vacated the district court’s judgment and remanded the case for further proceedings.
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Verdene Page v. McCain Foods, Inc.
Attorney L. Clyel Berry argued that he was entitled to a 40% attorney fee award, based on a contingent fee agreement he entered into with Claimant VerDene Page. The Industrial Commission awarded Berry a 30% attorney fee award pursuant to Idaho Code 72-804, which requires an employer to pay reasonable attorney fees when it unreasonably withholds compensation from an injured employee. Upon review of the matter, the Supreme Court held: (1) the Commission's approval of a 30% attorney fee award under I.C. 72-804 was supported by substantial and competent evidence; (2) the Commission properly exercised its discretion in fixing the 30% fee; and (3) counsel's fee agreement with Claimant did not guarantee a certain attorney fee award.
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Rule Steel Tanks, Inc. v. Dept of Labor
This appeal involves the transfer of the experience rating account for unemployment tax purposes from one employer to another pursuant to Idaho Code section 72-1351A(1)(a). After an investigation, the Department of Labor determined that the experience rating account of Diamond Z Trailer, Inc. (Diamond Z), which ceased operating in the spring of 2010, was transferred to Rule Steel Tanks, Inc. (Rule Steel), which hired the majority of the employees who were laid off by Diamond Z and which commenced marketing and manufacturing the same product that was manufactured by Diamond Z. Rule Steel appealed that determination. Finding no reversible error, the Supreme Court affirmed.
View "Rule Steel Tanks, Inc. v. Dept of Labor" on Justia Law
Black v. Idaho State Police
This appeal arose from the termination of Jeffry Black, the former Executive Director of the Idaho Peace Officer Standards and Training Council (POST). Black asserted that the Idaho State Police (ISP) violated two provisions of the Idaho Protection of Public Employees Act ("the "Whistleblower Act") when it terminated him. The district court granted summary judgment in favor of ISP, holding that Black failed to engage in activity protected under the Act. Black appealed the district court's decision to the Supreme Court. Finding no reversible error, the Supreme Court affirmed. View "Black v. Idaho State Police" on Justia Law
Stringer v. Robinson
Defendant-Respondent Russell Griffeth, a licensed physical therapist, operated a clinic in Idaho Falls. He received no training as a contractor and was never licensed as a contractor. He did, however, act as a general contractor in the construction of his two homes. He organized and supervised various subcontractors. In early 2009, Griffeth decided to remodel his physical therapy clinic by constructing an addition to the existing building. Griffeth intended to be the general contractor for the project, but the city required a licensed commercial contractor. Consequently, Griffeth hired Bryan Robinson, a friend with construction experience, to serve as the general contractor. Robinson obtained a commercial contractor license for the project. Near the end of the project, Robinson hired Claimant Geff Stringer as a carpenter. As the clinic project neared completion, the construction workers used a hoist attached to the roof to move heavy beams into position in the attic. Unfortunately, on or near the last day of the project, the ceiling collapsed, and a beam fell on Stringer. The impact from the beam fractured Stringer's left ankle. At the time of the accident, Robinson did not have worker's compensation coverage. Stringer filed worker's compensation complaints against both Robinson and Griffeth. Following an evidentiary hearing, the Commission held that Robinson was Stringer's direct employer and that Griffeth was his category one statutory employer. Because Robinson did not pay worker's compensation benefits to Stringer, Griffeth, as the statutory employer, normally would be liable for such benefits. However, the Commission held that Griffeth was exempt from worker's compensation liability because Stringer's employment with Griffeth was "casual" under I.C. 72-212(2). Stringer appealed to the Supreme Court. Finding no reversible error, the Supreme Court affirmed the Commission's decision. View "Stringer v. Robinson" on Justia Law
Frogley v. Meridian Joint School Dist 2
Plaintiff Wade Frogley appealed the district court's grant of summary judgment in favor of Respondents Meridian Joint School District No. 2, Aaron Maybon, and Linda Clark, on Frogley's complaint of retaliation in violation of Title VII of the Civil Rights Act and the Idaho Human Rights Act. Plaintiff also appealed the district court's grant of summary judgment in favor of Respondents on his claim of negligent infliction of emotional distress. Plaintiff's claims stemmed from his work as an Assistant Principal at Mountain View High School within the Meridian School District. He alleged that within weeks of his hire, he was subject to continuous sexual harassment at the school from the principal and other assistant principals. Upon review, the Supreme Court concluded genuine issues of material facts existed with regard to both of Plaintiff's claims. As a result, the Supreme Court reversed the district court's judgment and remanded the case for further proceedings.
View "Frogley v. Meridian Joint School Dist 2" on Justia Law
Clark v. Shari’s Management Corp
Claimant-Appellant Dallas Clark appealed an Industrial Commission order that denied her workers' compensation benefits. Claimant worked for Shari's Management Corporation as an experienced server. During a graveyard shift, she suffered a herniated disc in her back while lifting a heavy tray onto a high shelf. She would later be diagnosed with sciatica attributed to the lifting injury from work. Shari's completed a Report of Injury, interviewing Claimant in the process. The investigator testified that Claimant attributed the injury as "standing wrong" at a salad bar, which left her unable to lift the tray. The Commission concluded after a hearing that Claimant was unable to prove an industrial accident had occurred. The Supreme Court agreed with the Commission and affirmed its order.
View "Clark v. Shari's Management Corp" on Justia Law
Taft v. Jumbo Foods, Inc.,
This appeal stemmed from litigation involving a motor vehicle accident. Passenger Trevor Taft was injured when driver Derek Gummersall, the son of Clay Gummersall, lost control of his vehicle. At the time of the accident, Clay was an employee of Jumbo Foods, Inc., in whose name the vehicle was titled. David, Wendy, and Trevor Taft sued Jumbo Foods under theories of negligent entrustment and imputed negligence, arguing that Jumbo Foods owned the vehicle, and thus had a right to control it. Jumbo Foods countered that it sold the vehicle to Clay Gummersall before the accident occurred, and thus could not be held liable. The district court granted summary judgment in favor of Jumbo Foods and the Tafts appealed. The Supreme Court concluded the district court erred in granting summary judgment on the issue of imputed liability, an reversed with respect to that issue. The Court affirmed in all other respects, and remanded the case for further proceedings.
View "Taft v. Jumbo Foods, Inc.," on Justia Law
Idaho v. Ruck
The issue on appeal before the Supreme Court in this case arose from an order denying an employer's motion to have a laptop returned that had been seized from its employee during a search conducted at the employee's home by a probation officer. The Court affirmed the order denying the return of the laptop, but held that the laptop could not be searched without a search warrant issued upon a judicial finding of probable cause.
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Hatheway v. Bd of Regents – UI
Appellant Lillian Hatheway appealed a district court's grant of summary judgment in favor of the Board of Regents of the University of Idaho and the University of Idaho. Appellant worked for the University as an administrative assistant for nine years before she resigned. She sued for age discrimination, hostile work environment, retaliation, constructive discharge and negligent infliction of emotional distress. Upon review, the Supreme Court concluded the district court correctly dismissed all of Appellant's claims. View "Hatheway v. Bd of Regents - UI" on Justia Law