Justia North Dakota Supreme Court Opinion Summaries

WSI appealed a judgment ordering payment of death benefits to Gloria Felan. In 2017, Fred Felan was injured when driving a loaded truck that tipped on its side. Julie Schulz of KBO Farms, Fred’s employer, arrived at the scene a short time later. Fred declined an ambulance but agreed to allow Schulz to drive him to the hospital. At the hospital Fred complained of left chest and rib pain. X-rays taken at the hospital did not reveal any fractures. The next morning, Schulz picked Fred up from the hotel. She noted Fred was falling asleep during the meal and expressed concern he should return to the hospital to get checked again. Fred declined. Fred was discovered dead in his hotel room two days after the accident. WSI accepted Fred’s claim for injuries relating to his truck accident for contusion of thorax. WSI also did not believe Fred died from his work-related injury because Fred had multiple health problems including some related to his heart and diabetes. An autopsy confirmed Fred died of congestive cardiomyopathy and arteriosclerotic heart disease. Gloria thereafter filed a claim for death benefits. WSI would deny this claim, but an ALJ reversed the agency’s denial. WSI argued the ALJ and the district court misapplied the law by failing to properly apply N.D.C.C. 65-01-02(11)(a)(3). The North Dakota Supreme Court reversed the ALJ and district court, finding the ALJ was not provided objective evidence of the claimed injury: Fred died of a cardiac arrhythmia caused by blunt force trauma to his chest cavity. However, a medical expert admitted there was no objective medical evidence that an arrhythmia occurred. Rather, the conclusion the expert reached was a result of deductive reasoning. “As our precedent indicates, objective medical evidence may be established by a physician’s medical opinion based on an examination, a patient’s medical history, and the physician’s education and experience. However, objective medical evidence may not be established solely by deductive reasoning. On this record, the ALJ erred in concluding there was objective medical evidence of a cardiac arrhythmia.” View "WSI v. Felan, et al." on Justia Law

Jordan Morsette appealed an amended judgment ordering him to pay $242 million in compensatory damages and $885 million in punitive damages to Plaintiffs Shayna Monson; Lee Zander, individually and on behalf of Taylor Goven, deceased; and Jason Renschler, individually and on behalf of Abby Renschler, deceased. In June 2015, while driving on the wrong side of the Bismarck Expressway, Morsette’s vehicle collided head on with Monson’s vehicle. Monson suffered serious bodily injuries, and Goven and Renschler died at the crash scene. Morsette’s blood alcohol concentration was 0.295 percent at the time of the collision. The Plaintiffs sued Morsette for negligence, seeking damages for their injuries. Morsette answered and admitted liability for the accident. The Plaintiffs moved to amend their complaint to add a punitive damages claim, alleging Morsette’s conduct was oppressive and malicious. The district court granted the Plaintiffs’ motion, finding they “met the threshold of malice necessary to amend the complaint to request punitive damages.” Morsette argued the district court erred in admitting evidence of his intoxication, erred in its instructions to the jury, and erred by granting the Plaintiffs’ motion to amend their complaint to add a punitive damages claim. Morsette also argued the jury’s verdict was excessive. After review, the North Dakota Supreme Court reversed the amended judgment, finding the district court erred by admitting irrelevant evidence, failing to properly instruct the jury, and in concluding there was sufficient evidence to support a punitive damages claim. The matter was remanded for a new trial. View "Zander, et al. v. Morsette" on Justia Law

Biron D. Baker Family Medicine, PC and Biron D. Baker, M.D. (collectively, "Baker Medicine") appealed a district court judgment awarding Big Pines, LLC attorney’s fees and costs. In 2011, Baker Medicine signed an agreement to lease commercial property from Phoenix M.D., L.L.C. Baker executed the lease personally and for Baker Medicine as its president. Baker Medicine allegedly vacated the premises several months prior to the end of the lease and in a damaged condition. Phoenix subsequently sold the building to Big Pines, and assigned its interest in the lease to Big Pines as part of the sale. Big Pines sued alleging breach of the lease by Baker Medicine and breach of the personal guaranty by Baker. A jury found Baker Medicine and Baker breached the lease and awarded Big Pines $18,750 in damages. Big Pines later moved for an award of attorney’s fees under the personal guaranty. The district court denied Big Pines’ request, concluding the personal guaranty was not assigned to Big Pines. The district court's judgment with respect to the fees was reversed by the North Dakota Supreme Court on Big Pines' appeal. On remand, Big Pines again moved for attorney's fees, "as well as any future fees and costs until the case is “fully and finally dismissed." This motion was granted, and Baker Medicine appealed, arguing the district court erred in calculating the recoverable amount of attorney's fees incurred by Big Pines. Concluding the district court provided it with a discernible basis for the fee award, the Supreme Court found the district court did not abuse its discretion in issuing its judgment on fees. Accordingly, judgment was affirmed. View "Big Pines, LLC v. Baker, et al." on Justia Law

Karen and Jerome Schirado appealed a judgment granting the City of Glen Ullin and the Glen Ullin Park District permanent injunctive relief and awarding the Park District attorney’s fees. The Schirados owned land near both Park District and City property. In 2013, the Park District sued the Schirados to enjoin them from fencing and allowing their horses to graze on Park District lots. The Park District was granted default judgment. In 2019, the Park District and the City sued again, alleging the Schirados violated the 2013 judgment. The suit contained claims similar to the 2013 suit, with additional claims involving the City’s streets and alleys which were not involved in the original action. The Schirados conceded they placed fencing on the properties and allowed their horses to graze, but alleged they were given permission by the City. The district court granted a preliminary injunction in favor of the City and the Park District. The court found the Schirados in contempt of court because of their violation of the 2013 judgment, and awarded attorney’s fees and costs to the City and the Park District. The North Dakota Supreme Court reversed the judgment in favor of the City, and reversed and remanded the fee award for the district court to explain its rationale for the award, including which amount is a sanction for contempt, and which portion is allocated to each plaintiff. On remand, the Schirados moved a new trial, claiming Karen Schirado possessed additional testimony and evidence “necessary to allow her to fully present her case.” The district court denied the motion for trial and concluded the Schirados had two opportunities to present evidence of an oral or written agreement to use the City property and failed to do so. The court granted the City’s motion for summary judgment, concluding the Schirados failed to present admissible evidence in resistance to the City and Park District’s motion for summary judgment. The court also granted the City and the Park District permanent injunctive relief and awarded the Park District $5,460.00 in attorney’s fees. The Schirados appeal from the amended judgment. Finding no reversible error in the amendment judgment, the North Dakota Supreme Court affirmed. View "City of Glen Ullin, et al. v. Schirado, et al." on Justia Law

Melissa Oster and N.B. appealed two orders denying motions for a new trial after a jury awarded a verdict in N.B.’s favor. Oster and her daughter, N.B., were staying at a residence owned by Kevin Terwilliger. Josh and Samantha Terwilliger were formerly married and lived at the residence. Samantha Terwilliger (nka Seewalker), was Oster’s cousin. In 2015, N.B. was playing with another child outside the Terwilliger residence while Oster and Seewalker were in the house. Josh and Kevin Terwilliger were not present. A horse on the Terwilliger property kicked N.B. in the head, seriously injuring her. The parties disputed the nature and extent of N.B.’s injuries. At trial, both sides provided testimony of expert medical witnesses to establish the extent of N.B’s injuries. A jury returned a verdict i favor of N.B. The jury did not award Oster damages and found her 45% at fault for N.B.’s accident. The jury attributed 0% fault to Kevin Terwilliger. Of the remaining fault, 30% was attributed to Josh Terwilliger and 25% to Seewalker. After the trial, two motions for a new trial were filed on behalf of N.B., not Oster. The district court denied the motions. N.B. and Oster appealed. Finding no reversible error, the North Dakota Supreme Court affirmed the district court's orders denying the motions for a new trial. View "N.B. et al. v. Terwilliger, et al." on Justia Law

Terpsichore Maras appealed a default judgment issued as a sanction for discovery abuses, and a judgment dismissing her counterclaim for lack of jurisdiction. The case arises out of the Attorney General’s investigation of Maras for violation of consumer fraud protection laws. In January 2018, in a separate case, the Attorney General sought to enforce various subpoenas he issued under his power to investigate consumer fraud. The North Dakota Supreme Court affirmed the default judgment, concluding the district court did not abuse its discretion. The Supreme Court also affirmed the judgment dismissing Maras’s counterclaim, concluding she failed to comply with notice requirements for claims against the State of North Dakota, which were jurisdictional. View "North Dakota ex rel. Stenehjem v. Maras, et al." on Justia Law

In March 2019, the North Dakota State Board of Chiropractic Examiners (the “Board”) issued an administrative complaint against Dr. Jacob Schmitz, a chiropractor licensed by the Board. The administrative complaint initiated an administrative proceeding against Schmitz, which resulted in the administrative law judge (“ALJ”) issuing a recommended order granting summary judgment to the Board. The ALJ declined recommending the disciplinary action that the Board should take against Schmitz. Instead, he noted six observations to aid the Board’s determination of disciplinary action against Schmitz. In April 2020, the Board noticed a special meeting, with Schmitz listed in the notice and agenda, including a footnote stating, "The governing body anticipates this topic may be discussed in Executive Session." Schmitz alleged the Board discussed and established sanctions against him in the executive session. In May 2020, the Board held a regular meeting. Soon after the meeting began, the Board went into executive session for approximately thirty-five minutes. After the executive session, the Board voted to confirm the sanctions against Schmitz. Schmitz requested the recording of this executive session, and was denied by the Board. Thereafter, Schmitz filed this lawsuit, alleging the Board violated the law on access to public records and meetings. The Board moved to dismiss for failure to state a claim upon which relief can be granted. After a hearing, the district court granted the Board’s motion and dismissed the complaint. Schmitz argued to the North Dakota Supreme Court that the trial court misapplied the law. The Supreme Court reversed, concluding the district court erred in its application of Rule 12(b)(6), and remanded for further proceedings. View "Schmitz v. State Board of Chiropractic Examiners" on Justia Law

Earl Schwartz Company and the co-personal representatives of the Estate of Earl N. Schwartz (amongst others, together “ESCO”) and SunBehm Gas, Inc. appealed a judgment quieting title to oil and gas interests in Great Plains Royalty Corporation. Great Plains cross appealed, arguing the district court erred when it denied its claims for damages. Great Plains’ creditors filed an involuntary petition for bankruptcy under Chapter 11 of the Bankruptcy Code in 1968. The case was converted to a Chapter 7 liquidation proceeding. The bankruptcy trustee prepared an inventory and published a notice of sale that listed various assets, including oil and gas interests. Earl Schwartz was the highest bidder. Schwartz entered into an agreement with SunBehm to sell certain interests described in the notice, and the district court order approved the transfer of those interests directly from the bankruptcy estate to SunBehm. The bankruptcy case was closed in 1974. Great Plains’ creditors were not initially paid in full; the bankruptcy case was reopened in 2013, Great Plains’ creditors were paid in full with interest, and adversary proceedings were brought to determine ownership of various oil and gas interests, to which ESCO was a party. ESCO argued the bankruptcy sale transferred all of the interests owned by Great Plains, regardless of whether they were listed in the notice of sale. The bankruptcy court rejected ESCO’s argument and determined title to various properties (not the subject of the present appeal). Then in 2016, Great Plains brought this quiet title action against ESCO and SunBehm; ESCO and SunBehm brought quiet title cross claims. The district court held a bench trial and found the bankruptcy trustee intended to sell “100%” of all of the oil and gas interests Great Plains owned at the time of the bankruptcy. But the North Dakota Supreme Court reversed, finding the district court erred when it determined the bankruptcy trustee intended to sell all of Great Plains’ interests, including those not listed in the notice of sale. On remand, ESCO and SunBehm claimed they held equitable title to oil and gas interests in various tracts identified in the notice of sale, interest which were confirmed by the bankruptcy court. The Supreme Court reversed the district court’s ruling on collateral estoppel as a misapplication of the law, and vacated the court’s title determination and its denial of Great Plains’ conversion claim. The case was remanded for the court to determine whether ownership of any interests in the tracts identified in the notice of sale passed to ESCO or SunBehm by virtue of the bankruptcy sale and confirmation order. View "Great Plains Royalty Corp. v. Earl Schwartz Co., et al." on Justia Law

Glenn Solberg appealed a district court judgment dismissing his complaint against Richard McKennett. This action was related to Solberg’s litigation involving the Estate of Lyle Nelson. Lyle Nelson was married to Solberg’s mother Lillian (Solberg) Nelson, who died in 2003. Lyle died in 2012, and McKennett was the attorney for the personal representative of Lyle's estate. In June 2013, Solberg filed a petition for allowance of claim against Lyle's estate, asserting that under his mother’s 1985 will and 1997 codicil he was entitled to 100 mineral acres and had an option to purchase certain property. The district court dismissed Solberg’s claim, concluding the 100 mineral acres and the option property were never held by the estate, and were never under the control of or owned by Lyle Nelson. The North Dakota Supreme Court affirmed the dismissal of Solberg’s claim. In April 2020, Solberg sued McKennett for fraud and injury to person. Solberg alleged McKennett committed fraud by misleading him during the probate of Lyle Nelson’s estate and by dismissing his claim against Nelson’s estate. Solberg requested $400,000 in damages. McKennett moved to dismiss the lawsuit, claiming Solberg’s complaint did not specify the circumstances constituting fraud, and on statute of limitations grounds. The district court concluded Solberg's claims were time-barred because Solberg was aware of McKennett's alleged wrongdoing before April 2014. The North Dakota Supreme Court concurred Solberg's claims against McKennett were time barred, thus the district court did not err in granting McKennett's motion to dismiss. View "Solberg v. McKennett" on Justia Law

Jason Ryberg appealed the dismissal of his complaint with prejudice after the district court granted Defendant Darren Landsiedel’s motion to enforce a settlement agreement. Nodak Insurance Company (“Nodak”) appealed the court’s order denying its motion to intervene in the case. In November 2016, Ryberg’s wife, Heather Ryberg, was killed when Landsiedel’s vehicle hit her on a rural Burleigh County highway in the early morning hours. In March 2018, Ryberg sued Landsiedel for the wrongful death of his wife. Landsiedel was insured by Allstate Insurance Company and had liability policy limits of $25,000. Ryberg was insured by Nodak, with “substantial” underinsured motorist (“UIM”) limits. Allstate offered Ryberg policy limits to settle his wrongful death claim. Ryberg notified Nodak of Allstate’s offer of the policy limits for “full and final settlement” of the wrongful death claim. Nodak agreed to advance payment of $25,000 to Ryberg to maintain its reimbursement or subrogation rights under N.D.C.C. 26.1-40-15.5. A week before the scheduled trial on Ryberg’s wrongful death action against Landsiedel, Nodak and Ryberg agreed to settle Ryberg’s UIM claim for $100,000, in addition to the $25,000 Nodak already paid under the statute. After being notified, Landsiedel’s counsel filed a notice of settlement with the district court, and the case was taken off the calendar. Because no closing documents were filed, the court set a status conference for February 27, 2020. On the day of the status conference, Nodak moved to intervene in the action, seeking to preserve its right of reimbursement or subrogation. Landsiedel filed a substitution of counsel, moved for an extension of time, and subsequently opposed the motion to intervene. The court denied Nodak’s motion to intervene, finding it was untimely. In June 2020, Landsiedel filed a motion to enforce a settlement agreement. Ryberg opposed the motion and requested oral argument. The district court granted Landsiedel’s motion. Judgment was entered dismissing the case with prejudice. The North Dakota Supreme Court found no evidence established the terms by which the parties intended to settle Ryberg’s action, thus, the district court erred in granting Landsiedel’s motion seeking to enforce a settlement agreement. The Court vacated the order denying intervention and reversed the judgment of dismissal. View "Ryberg, et al. v. Landsiedel" on Justia Law