Justia North Dakota Supreme Court Opinion Summaries

Appellant Beverly Fetzer appealed a district court judgment that affirmed a Workforce Safety and Insurance (WSI) order denying her request for benefits. While walking down a hallway on her employer's premises and during work hours, Appellant thought she heard someone call her name. Turning in response, she caught her foot and fell, fracturing her left hip and wrist. No cause of the fall was apparent. Appellant filed a claim for workers' compensation benefits with WSI, and WSI denied her claim. Appellant submitted a request for reconsideration; WSI issued an order consistent with its prior decision, determining Appellant’s injury "occurred in the course of, but did not arise out of" her employment. WSI added, "Mere walking, without more, is not an activity that is sufficiently linked to Claimant's employment so that the injury can be deemed to have arisen from employment." Upon review, the Supreme Court affirmed: “If merely being at work was sufficient to show causation, the legislature need not have required the 'arising out of' test." Appellant was unable to prove a causal connection between her employment and injury. View "Fetzer v. Workforce Safety & Insurance" on Justia Law

Richard and Elaine Benson, Bill and Mary Bliven, Don and Annette Feist, Pat Lynch, and Lloyd and Donna Tribitt ("Bensons") appealed the grant of summary judgment that dismissed their claim that SRT Communications, Inc.,was contractually obligated to provide them post-retirement health and medical benefits. The Bensons are four retired employees of the Minot telephone business, their spouses, and Pat Lynch, the widow of a deceased retiree, Thomas Lynch. Richard Benson, Bill Blevin, Don Feist, Lloyd Tribitt, and Thomas Lynch worked for NSP before it sold its telephone business to Minot Telephone in 1991, and they all retired from Minot Telephone between 1991 and 1994, before Souris River purchased Minot Telephone from Rochester. With the exception of Don Feist, the retired employees belonged to Local Union No. 949 of the International Brotherhood of Electrical Workers when the labor union and NSP entered into a collective bargaining agreement in 1991. Feist previously had been a member of the labor union, but did not belong to the union when it entered into the 1991 collective bargaining agreement with NSP. The district court concluded the 1991 collective bargaining agreement expired on December 31, 1993, and although SRT Communications continued to provide post-retirement health benefits to the Bensons for over fourteen years after the expiration of the collective bargaining agreement, it did so as a matter of business discretion and not because of a contractual obligation. The district court dismissed the Bensons' claims against SRT Communications. Upon review, the Supreme Court affirmed the judgment, concluding the Bensons' action was governed by federal law and they failed to raise a disputed issue of material fact. View "Benson v. SRT Communications, Inc." on Justia Law

Appellant Valerie Joy Tronnes appealed a judgment that affirmed the Job Service of North Dakota's decision to deny her claim for unemployment benefits. In 2002, Appellant began working part-time at the Wal-Mart Vision Center. In 2010, Appellant received her paycheck (via a debit-card style card), and purchased a few items at Wal-Mart's customer service center. The amount of the purchase was mistakenly credited to Appellant's account by a different employee rather than deducted, which resulted in a substantial benefit to Appellant. Appellant met with the vision center manager about the extra money on her card, but later testified she believed the amount to be correct. The store gave Appellant the option of resigning as a result of her spending the extra money, but believed the paid time off she was given ( a "D-day"-- so named to give Appellant a day to decide whether to remain employed at Wal-Mart) meant she would be fired soon. Store management negotiated a payment plan for Appellant to repay the amount she was credited and allowed her to return to work. Ultimately the "repayment plan" took the form of the store withholding Appellant's subsequent paychecks to cover the indebtedness. Appellant did not report to work after that payday, and subsequently filed for unemployment benefits. The Job Service determined Appellant was ineligible for benefits because she voluntarily quit her job. Upon review, the Supreme Court concluded the evidence in the record supported the Job Service's denial of benefits to Appellant. View "Tronnes v. Job Service" on Justia Law

Appellant Richard Dregseth appealed a district court's judgment that dismissed his equitable claims against Appellee Randy Brown. Appellant argued that the district court erred in failing to make findings of fact, failed to reject testimony and dismissed his promissory estoppel, equitable estoppel and unjust enrichment claims. In 1999, Appellant left his job at Bremer Bank to work for Appellee Brown at Capital Harvest, Inc., a captive finance company for AGSCO, Inc., a corporation owned Brown. Appellant worked for Brown until 2003, first at Capital Harvest then at AGSCO. In 2005, Appellee and two former Capital Harvest employees, John D. Erickson and Jon A. Ramsey, sued Brown and Capital Harvest for breach of contract, fraud, deceit, promissory estoppel, equitable estoppel, unjust enrichment and breach of fiduciary duty. Appellee claimed he was entitled to be paid the value of an ownership interest in Capital Harvest that Brown promised to provide as part of his compensation. Prior to trial, the district court dismissed all of Appellant's claims except for breach of contract and fraud. The Supreme Court affirmed in part, and reversed in part of the first appeal. The case was remanded for further proceedings on Appellant's deceit and equitable claims. On rehearing, the district court then dismissed the remaining claims, and the Supreme Court affirmed. In this case before the Supreme Court, the Court found that the district court's findings and conclusions were based on evidence from all of the witnesses, including Appellant, Brown and the economists who testified on behalf of both parties. Therefore the Court concluded the district court did not err relying on that evidence, nor did it err concluding under the facts of this case that Brown was not unjustly enriched by not paying Appellant for the value of the ownership interest in Capital Harvest that was not transferred by Brown. The Court affirmed the district court's judgment, finding no error to make findings of fact, to reject testimony or in dismissing Appellant's claims. View "Erickson v. Brown" on Justia Law

Appellant Edith Johnson appealed a district court judgment that affirmed an administrative law judge's (ALJ) order dismissing her claim for benefits from Workforce Safety and Insurance (WSI). On appeal, Appellant argued the ALJ improperly set aside the parties' stipulated specification of issues and abused its discretion by dismissing her claim for benefits as a sanction for failing to comply with discovery. Upon review, the Supreme Court affirmed: the ALJ dismissed the action as a sanction after Appellant refused to comply with WSI's discovery request and the ALJ's decision granting WSI's motion to compel discovery. In deciding to dismiss Appellant's claim, the ALJ noted Appellant did not offer a defense for failing to comply with discovery and made it clear that she would rather have the matter dismissed than comply with discovery. The ALJ found Appellant almost invited dismissal by failing to respond to WSI's motion for sanctions, moving to reconsider the order granting WSI's motion to compel, and submitting two proposed orders with one granting the motion to reconsider and the other granting WSI's motion to dismiss. "While the ALJ should not be guided solely by the parties' requests and must exercise its own judgment in determining an appropriate sanction, under the facts of this case [the Court] conclude[d] the ALJ did not abuse its discretion in dismissing [Appellant's] claim." View "Johnson v. N.D. Workforce Safety and Insurance" on Justia Law

Defendant-Appellant Nodak Mutual Insurance Company appealed from a judgment awarding Plaintiff-Appellee Barry Myaer $34,933.24 plus interest in his breach of contract action against Nodak. Upon review, the Supreme Court concluded the district court did not err in ruling Plaintiff was entitled to deferred commissions payable to him in December 2009, but did err in ruling those commissions could exceed 10 percent under the terms of the parties' contract. View "Myaer v. Nodak Mutual Insurance Co." on Justia Law

Plaintiff-Appellant Leah Richard appealed the dismissal of her claims for negligent hiring, supervision and retention, and assault and battery against Washburn Public Schools (the District). Petitioner, a sixteen-year-old student at Washburn High School, began working as a part-time custodian for the District. Gary Fuchs was the head custodian and her supervisor. Plaintiff alleged that during her employment with the District, which ended in 2003, Fuchs subjected her to "inappropriate conduct . . . including sexual comments and touching." In April 2006, Plaintiff sued the District seeking damages based on claims of negligent hiring, supervision and retention of Fuchs, and assault and battery. The court dismissed the negligent hiring claim, concluding Fuch's conduct was not foreseeable as a matter of law because Plaintiff produced no evidence showing the District knew or should have known Fuchs would harass or physically touch co-workers. The court dismissed the assault and battery claim, concluding it was barred by a two-year statute of limitations. Although the court determined genuine issues of material fact existed regarding Plaintiff's claims for negligent supervision and retention, the court dismissed those claims on the ground they were precluded by the exclusive remedy provisions of the Workforce Safety and Insurance Act. Upon review, the Supreme Court affirmed the district court's dismissal of Plaintiff's claims for negligent hiring and assault and battery, which she did not challenge on appeal. The Court reversed the dismissal of Plaintiff's claims for negligent supervision and retention because the trial court erred in concluding those claims were barred by the exclusive remedy provisions of the Workforce Safety and Insurance Act. View "Richard v. Washburn Public Schools" on Justia Law

Petitioner Wanda Gottus appealed a district court judgment that affirmed a decision of Job Service North Dakota denying her unemployment benefits and concluding she was discharged for actions constituting misconduct. In January 2008, Petitioner began working as a cashier for Service Oil Inc. d/b/a Stamart. In addition to acting as a cashier, Petitioner's job duties included attending to the store's shelves, light cleaning, and other similar tasks. Petitioner's employment with Stamart ended in August 2010 when she was discharged for poor job performance. Petitioner subsequently filed for unemployment insurance benefits. Job Service initially approved Petitioner for unemployment benefits indicating she was not discharged for misconduct. Stamart appealed this decision, and a telephone hearing was held before an appeals referee. Testimony and evidence presented during the hearing revealed there were at least sixteen instances when Petitioner's job performance fell below the level expected of Stamart employees. The Job Service reviewed the record and affirmed the referee's decision. Petitioner argued on appeal her job performance was merely unsatisfactory but did not constitute misconduct. The district court rejected her argument and affirmed Job Service's decision. The Supreme Court concluded Job Service's findings of fact were supported by a preponderance of the evidence, and its conclusion that Petitioner's actions constituted disqualifying misconduct was supported by the findings. View "Gottus v. Job Service North Dakota" on Justia Law

Claimant Claud Sloan appealed a district court judgment that affirmed a Workforce Safety & Insurance (WSI) order awarding him additional permanent impairment benefits. In December 1985, Sloan sustained a compensable work-related injury while employed at a coal gasification plant in Beulah, North Dakota. WSI awarded Sloan permanent impairment benefits for his injury and has issued several permanent partial impairment orders since his original injury. Effective April 1, 2009, WSI promulgated N.D. Admin. Code 92-01-02-25(4) to address pain impairment ratings. Based on the newly adopted rule, WSI reviewed Sloan's pain rating and determined he had sustained an eight percent impairment for pain which, when combined with his prior impairment ratings, totaled a whole body impairment rating of 38 percent. On June 11, 2009, WSI issued an order awarding Sloan additional permanent impairment benefits, based on his combined whole body impairment of 38 percent for his cervical spine, depression, dysphagia, and chronic pain. Sloan requested a rehearing. At a November 2009, hearing before an administrative law judge, a staff attorney for WSI appeared as the only witness and testified regarding the WSI's promulgation of N.D. Admin. Code 92-01-02-25. The ALJ subsequently issued an order affirming WSI's June 2009 order awarding Sloan additional permanent impairment benefits. Sloan appealed to the district court, which affirmed the order. Upon review, the Supreme Court concluded WSI's promulgation of administrative rules for assessing pain impairment did not conflict with its statutory authority and was not arbitrary, capricious, or unreasonable. View "Sloan v. N.D. Workforce Safety & Insurance" on Justia Law

Plaintiffs Lee Brandvold, Steve Bigelow, Dwight Johnson, Nikki Johansen, and Bruce Peterson (collectively "Brandvold") appealed a district court judgment dismissing their petition for declaratory and injunctive relief. In 2009, the school board of the District voted to close the elementary school located in Ryder as part of an overarching reorganization plan. In February 2010, Brandvold filed a petition in district court alleging that the reorganization process had been tainted by fraud because the Berthold Public School District had not disclosed during its reorganization process information about certain outstanding debts it owed on lease-purchase transactions. Brandvold sought a declaration that the reorganization was invalid and that the District be dissolved and the former districts be reinstated. Brandvold also sought an injunction prohibiting the District from closing any school within the District. The District moved for judgment on the pleadings for Brandvold's failing to state a claim upon which relief could be granted. The district court granted the motion, and judgment was entered dismissing the petition. On appeal, Brandvold challenged only the dismissal of the request for declaratory relief, not the dismissal of the request for injunctive relief. The Supreme Court affirmed, concluding the district court did not err in granting judgment on the pleadings dismissing the petition for failure to state a claim upon which relief could be granted because the alleged irregularities in the reorganization process were rendered moot by the completion of a District-wide election: "[c]onstruing the petition in the light most favorable to Brandvold and accepting the allegations in the petition as true, we conclude no justiciable controversy was presented and the district court did not err in dismissing the petition ." View "Brandvold v. Lewis &Clark Public Sch. Dist." on Justia Law