Articles Posted in Civil Procedure

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Claimant Elvia Garcia-Solis was injured in a work-related accident. Farmers Insurance Company and Yeaun Corporation (collectively, “Insurer”) accepted a workers’ compensation claim and certain specified medical conditions associated with the accident. Because claimant also showed psychological symptoms, her doctor recommended a psychological referral to diagnose her for possible post-traumatic stress disorder (PTSD). Insurer argued, and the Court of Appeals agreed, that the cost of the psychological referral was not covered by workers’ compensation because claimant had failed to prove that it was related to any of the medical conditions that insurer had accepted. The Oregon Supreme Court reversed both the Court of Appeals and the Workers’ Compensation Board: “’injury’ means work accident is context-specific to exactly two uses in the first and second sentences of ORS 656.245(1)(a). It does not apply to the second use in the first sentence of ORS 656.245(1)(a). We do not decide or suggest that it applies to any other statute in the workers’ compensation system.” View "Garcia-Solis v. Farmers Ins. Co." on Justia Law

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Acting as the personal representative of his father’s estate, plaintiff Dennis Sloan brought a medical negligence action against defendants Providence Health System-Oregon and Apogee Medical Group, P.C. Plaintiff claimed defendants were negligent in their care of plaintiff’s father because they failed to diagnose and treat the father's rib fractures and internal bleeding. On November 3, the father, then 85 years old, came to Providence’s hospital after falling at home and was initially treated at the emergency room. He was later admitted to the hospital, where he was treated by Apogee’s doctors. On November 7, Apogee’s doctors discharged Sloan to a skilled nursing facility, Three Fountains. On November 17, Sloan’s condition worsened significantly. Two days later, Three Fountains returned Sloan to the hospital. At the hospital, Sloan was found to have multiple displaced rib fractures and bleeding in his right chest cavity, which had caused his right lung to collapse. Later that same day, Sloan died of respiratory failure due to the bleeding in his chest cavity and the collapse of his lung. Plaintiff claimed the trial court erred in refusing to give his requested jury instruction concerning a tortfeasor’s liability for the subsequent conduct of another. The Court of Appeals agreed and reversed the trial court’s judgment in part and remanded the case to the trial court for a new trial. On defendant’s petition, the Oregon Supreme Court granted review of the appellate court's judgment, and finding no reversible error, affirmed the Court of Appeals decision, which reversed the trial court’s judgment in part. The case was remanded for a new trial. View "Sloan v. Providence Health System-Oregon" on Justia Law

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Defendant Double Press Manufacturing, Inc. petitioned for review of a Court of Appeals decision affirming a trial court judgment against defendant that included an award of noneconomic damages to plaintiff Zeferino Vasquez, in the amount of $4,860,000. In the course of his employment with a feed dealer, plaintiff was responsible for operating and cleaning a machine used in hay baling. One day in 2010, plaintiff did not follow the machine's shut-down procedure; to remove jammed material, plaintiff climbed into an area of the machine where a hydraulic ram was located. The machine, still in automatic mode, pinched plaintiff between a hydraulic ram and the frame of the machine, crushing his spine and causing other injuries. As a result of those injuries, plaintiff was rendered paraplegic. Defendant contended the Court of Appeals erred in concluding that the remedy clause of Article I, section 10, of the Oregon Constitution precluded a reduction of plaintiff’s noneconomic damages to $500,000 in accordance with the statutory damages cap set out in ORS 31.710(1). Plaintiff requested review of another aspect of the decision, arguing that the Court of Appeals erroneously rejected his statutory argument that his claim was exempt from the damages cap. The Oregon Supreme Court agreed with plaintiff, and affirmed the judgment of the trial court and the decision of the Court of Appeals, but on different grounds, namely, that plaintiff’s claim fell within a statutory exception to the damages cap for “claims subject to * * * ORS chapter 656.” View "Vasquez v. Double Press Mfg., Inc." on Justia Law

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In the three months plaintiff Ashley Schutz worked for Defendant O’Brien Constructors and project manager Keely O’Brien, she had declined multiple invitations by Keely O’Brien to join him and other coworkers for drinks after work. Plaintiff nevertheless felt pressured to accept an invitation so that she would advance in the firm. Plaintiff sued her employer and its agent, alleging that she had been seriously injured in an auto accident after she was pressured to attend a work-related event where she had become intoxicated. The trial court granted summary judgment for the defendants, concluding that they were entitled to statutory immunity under ORS 471.565(1) and that that grant of immunity did not violate the remedy clause of Article I, section 10, of the Oregon Constitution. The Court of Appeals disagreed with the trial court’s remedy clause analysis and reversed. On review, the Oregon Supreme Court concluded defendants were not entitled to statutory immunity under ORS 471.565(1). The Court of Appeals’ judgment was vacated, the trial court reversed, and the matter remanded for further proceedings. View "Schutz v. La Costita III, Inc." on Justia Law

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Shriners Hospitals for Children brought this action against defendant Michael Cox to collect on a note and obtained a default judgment against him. Shriners’ argument that defendant was judicially estopped from moving to set aside the default judgment was based on Shriners’ claim that defendant used the default judgment to his advantage in two other judicial proceedings: a dissolution action between defendant and his wife and a malpractice action that defendant brought against one of his lawyers in the dissolution proceeding. The primary question before the Oregon Supreme Court in this case was whether defendant was judicially estopped from setting aside the default judgment that, he contends, resulted from improper service. The trial court found that, even if service were improper, defendant knew about the default judgment shortly after it was entered and used it to his benefit in two judicial proceedings. The trial court ruled that, in those circumstances, defendant waited too long to set it aside. The Court of Appeals reached a different conclusion, reasoning the default judgment was void; as a result, neither the passage of time nor other circumstances barred defendant from seeking to set the judgment aside. The Supreme Court concluded that, in the circumstances of this case, defendant was judicially estopped from setting the default judgment aside, and reversed the Court of Appeals decision. View "Shriners Hospitals for Children v. Cox" on Justia Law

Posted in: Civil Procedure

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In 2009, DISH Network Corporation (DISH) received an assessment order from the Oregon Department of Revenue showing that its property in Oregon for tax purposes was valued at an amount that exceeded the previous year’s valuation by nearly 100 percent. The increase came about because the department had subjected DISH’s property to central assessment and thus, also, to “unit valuation,” a method of valuing property that purported to capture the added value associated with a large, nationwide business network that, by statute, was available for central, but not local, assessments. Although DISH objected to the change from local to central assessment, the department insisted that central assessment was required because DISH was using its property in a “communication” business. When DISH was forced to concede defeat on that issue based on DIRECTV, Inc. v. Dept. of Rev., 377 P3d 568 (2016), another issue arose: whether the drastic increase in the assessed value of DISH’s property starting in the 2009-10 tax year violated Article XI, section 11 of the Oregon Constitution. The department argued that, because DISH’s property had been newly added to the central assessment rolls in 2009, the property fell into an exception to the three-percent cap on increases in assessed value - for “new property or new improvements to property.” The Tax Court rejected the department’s “new property” theory and held that the department’s assessments of DISH’s property in the tax years after 2008-09 was unconstitutional. The Oregon Supreme Court agreed with the department that the exception applied and therefore reversed the Tax Court’s decision to the contrary. View "DISH Network Corp. v. Dept. of Rev." on Justia Law

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Sixteen years after he had been sexually abused by an Oregon Youth Authority (OYA) employee, plaintiff filed suit; the issue on review was plaintiff’s 42 U.S.C. section 1983 claim against defendant Gary Lawhead, former superintendent of the OYA facility where the abuse had occurred. Plaintiff alleged defendant had violated his federal constitutional rights through deliberate indifference to the risk that the OYA employee would sexually abuse youths housed at the facility. The trial court granted defendant’s motion for summary judgment on plaintiff’s section 1983 claim on the basis that the claim accrued at the time of the abuse in 1998 and, consequently, was untimely. The Court of Appeals reversed, relying on T. R. v. Boy Scouts of America, 181 P3d 758, cert den, 555 US 825 (2008). The Oregon Supreme Court allowed defendant’s petition for review to address when plaintiff’s cause of action under section 1983 accrued. Applying federal law, the Court held that an action under section 1983 accrues when a plaintiff knows or reasonably should know of the injury and the defendant’s role in causing the injury. Therefore, the trial court erred by dismissing plaintiff’s claim in reliance on the principle that a section 1983 claim accrues when the plaintiff knows or has reason to know of the injury alone, which, in this case, it determined was necessarily when the abuse occurred. Accordingly, the Supreme Court affirmed the Court of Appeals, reversed the trial court's judgment, and remanded the case to the trial court to reconsider its summary judgment decision under the correct accrual standard. View "J. M. v. Oregon Youth Authority" on Justia Law

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The Oregon Department of Transportation (ODOT) owned driver records, which were considered as assets of the State Highway Fund and subject to use restrictions set out in Article IX, section 3a, of the Oregon Constitution. Pursuant to ORS 366.395, ODOT sold the Department of Administrative Services (DAS) an exclusive license to provide real-time electronic access to those driver records. Plaintiffs challenged both ODOT’s statutory authority to grant the license and the use to which DAS put it. The license permitted DAS to sublicense its rights and obligations to others; DAS sub-licensed its rights to NICUSA, the company that DAS enlisted to build the state internet portal. Through that portal, NICUSA provided electronic access to driver records and, pursuant to the sublicense agreement, charged a fee equal to what DAS paid for the license ($6.63 per record) plus an additional $3.00 per record convenience fee. The former amount/fee ultimately went to ODOT and into the highway fund to be used in accordance with Article IX, section 3a, and was predicted to produce $55 million dollars over the life of the license. The latter amount/fee was retained by NICUSA at least in part to recoup its costs in creating and maintaining the state internet portal. The end result was that disseminators pay $9.63 per record, $6.63 of which goes to ODOT and $3.00 of which NICUSA kept. Plaintiffs, which included nonprofit corporations representing their members’ interests, claimed the licensing agreements harmed them because, among other adverse effects, they had to pay disseminators an increased amount for driver records. Plaintiffs sought a declaration that ODOT did not have statutory authority to sell the license to DAS, and that the licensing agreements violated Article IX, section 3a. The Oregon Supreme Court determined ODOT lawfully transferred the license in question to DAS, and that neither the use to which DAS put the license, nor the value DAS paid for it it "ran afoul" of the Oregon Constitution. View "Oregon Trucking Assns. v. Dept. of Transportation" on Justia Law

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In juvenile dependency cases consolidated for review, the issue centered on the permanency plans for two children and half-siblings, L and A, under the jurisdiction of the juvenile court. The Department of Human Services (DHS) arranged for the children to be placed in relative foster care with their maternal aunt. The juvenile court held hearing in accordance with statutory timelines after L had been in relative foster care for about 15 months and A for about 12 months. At the hearing, DHS asked the juvenile court to change the permanency plans for the children from reunification to adoption. The juvenile court did so, but the Court of Appeals reversed, in two separate opinions. DHS sought review, arguing the Court of Appeals had erroneously interpreted the statutes pertaining to changing permanency plans for children within the jurisdiction of the juvenile court. The Oregon Supreme Court agreed with DHS that the Court of Appeals incorrectly construed the statutory requirements at issue. Because DHS met its burden to show that the requirements in ORS 419B.476 for changing the permanency plans away from reunification had been met, it was parents’ burden, as the parties seeking to invoke the escape clause, to show that there was a “compelling reason” under ORS 419B.498(2) for DHS not to proceed with petitions to terminate parental rights. The Supreme Court also rejected parents’ arguments that evidence in the record did not support the trial court’s findings in these cases. Accordingly, the decisions of the Court of Appeals were reversed and the judgments of the juvenile court were affirmed. View "Dept. of Human Services v. S. J. M." on Justia Law

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Plaintiffs, former Starbucks baristas, sued the company claiming it improperly calculated state and federal tax withholding, and as a result, improperly deducted those withholdings from plaintiffs’ paychecks. As a result, plaintiffs claimed they were not paid the full wages they had earned, violating state wage-and-hour laws. After the case was removed to federal court and then remanded back to state court, the trial court ruled on numerous issues. Starbucks moved the trial court to dismiss plaintiffs’ claims. Starbucks petitioned the Oregon Supreme Court for an alternative writ of mandamus, raising questions of whether plaintiffs’ claims were prohibited by the AIA, and whether they were prohibited by the statutory immunity provisions. The trial court issued an alternative writ of mandamus. After the trial court declined to vacate its order, the matter returned to the Supreme Court. To determine whether direct appeal provided Starbucks with an adequate remedy, the Supreme Court would have had to resolve numerous complex issues of both state and federal law, not all of which had been briefed adequately. The Court therefore dismissed the alternative writ of mandamus as improvidently allowed, and remanded the case for further development of the record. View "Fredrickson v. Starbucks Corp." on Justia Law