Justia Mississippi Supreme Court Opinion Summaries
Articles Posted in Labor & Employment Law
White v. Targa Downstream, LLC
Andy White, an independent contractor, worked for Ergon Trucking, Inc. (Ergon), loading and hauling chemicals. Another Ergon, Inc., subsidiary, Lampton-Love, Inc., contracted with Targa Downstream, LLC to store Lampton-Love’s propane at Targa’s facility in Petal, Mississippi. Targa owned and operated the facility in Petal, which consisted of propane storage as well as equipment to load and unload the propane. Prior to operating the propane loading equipment at the Targa facility and hauling the propane, White was required to load and unload the trailer with propane during several supervised training sessions. White testified he operated the Targa loading equipment exactly as he had done on all previous occasions but that when he was returning the Targa hose to its resting tray, the valve on the Targa hose opened, and liquified propane began spilling out of the hose. White testified that he tackled the hose, grabbed the detachable handle, placed it back on the Targa hose valve and, eventually, closed the valve, stopping the flow of propane. Following the incident, White stated he left the Targa facility with no feeling or indication that he had been injured by coming in contact with the liquified propane. White went to the Ergon yard, removed his “propane soaked clothes,” took a shower and put on fresh clothes. White then proceeded to his trailer to complete the propane delivery. White did not seek medical attention until the following day, January 15, 2017. By the time White did seek medical treatment, he stated that blisters had formed on his legs and that he was in excruciating pain. This case presented for the Mississippi Supreme Court's review an issue of the scope of the intimately connected doctrine, which immunizes a premises owner against claims of an independent contractor for injuries that arise out of or are intimately connected with the work that the independent contractor was hired to perform. The circuit court granted Targa's second summary judgment motion based on this doctrine. The circuit court initially denied Targa’s first motion, holding that a genuine issue of material fact existed as to whether Targa modified its equipment in a manner that constituted a dangerous condition and whether White knew or should have known of the alleged dangerous condition. After a careful review of the law, the Supreme Court reversed the circuit court’s grant of summary judgment in favor of Targa and remanded the case for further proceedings. View "White v. Targa Downstream, LLC" on Justia Law
Saunders v. National Collegiate Athletic Association
A Mississippi trial court dismissed David Saunders’s claims against the National Collegiate Athletic Association (NCAA) based on judicial estoppel because Saunders did not list these claims in his prior Chapter 7 bankruptcy. Until December 2010, Saunders served as football operations coordinator at the University of Mississippi. From January 2011 to October 2014, Saunders worked as an assistant football coach for the University of Louisiana. Based on Saunders’s alleged rule violations while at each institution, the NCAA conducted separate investigations and enforcement proceedings against both schools. The NCAA concluded Saunders had violated NCAA rules while at Louisiana. As punishment, the NCAA issued a show-cause directive to any NCAA member institution that may want to employ Saunders in an athletics position from January 2016 to January 2024. Saunders retained an attorney to represent him in NCAA proceedings. The attorney insisted financial strain prevented Saunders from traveling to defend himself personally. After a second show-cause directive, Saunders and his attorney discussed suing the NCAA, but at that time he did not pursue a lawsuit. Months later, Saunders filed a voluntary petition for Chapter 7 bankruptcy averring he had no claims against third parties. Saunders received a bankruptcy discharge in July 2018. Almost two years later, Saunders sued the NCAA: it was not until another football coach sued the NCAA, and made it past the summary judgment stage, that Saunders believed he had an actual shot at taking on the NCAA in court. The NCAA simultaneously filed an answer and a motion for summary judgment. In both, it asserted Saunders’s claims were barred by the doctrine of judicial estoppel because Saunders had not disclosed these claims against the NCAA in his 2018 bankruptcy proceedings. The court ruled that Saunders’s claims against the NCAA belonged to Saunders’s bankruptcy estate, so the bankruptcy trustee was substituted as the real party in interest and plaintiff in the action. Further, while judicial estoppel did not bar the trustee from pursuing these claims for the benefit of the bankruptcy estate, Saunders himself was barred by judicial estoppel from pursuing his claims against the NCAA, including the declaratory-relief claim abandoned by the bankruptcy trustee. The Mississippi Supreme Court concluded the trial court erred for two reasons: (1) the trial judge erred by estopping Saunders from pursuing this type of declaratory relief; and (2) it was error for the trial court to presume Saunders should be estopped based on his mere knowledge of the facts giving rise to his claims against the NCAA, coupled with his failure to list these claims on his bankruptcy schedule. View "Saunders v. National Collegiate Athletic Association" on Justia Law
Watercolor Salon, LLC v. Hixon
A Mississippi trial court denied Watercolor Salon LLC’s motion for a temporary restraining order and preliminary injunction filed against Watercolor’s former employee Nealie Hixon. The motion was based on an employment, confidentiality, and noncompetition agreement. Because Nealie was twenty years old and thus legally a minor when she entered the agreement, the trial court held the agreement was unenforceable. On appeal, Watercolor argues its employment agreement meets the statutory exception that permits minors eighteen years or older to enter into enforceable contracts “affecting personal property.” The Mississippi Supreme Court found Watercolor's logic was flawed and stretched the statutory minor disability exception too far. "Just because an employment contract restricts an employee from taking intellectual property or covers what happens upon breach or termination does not completely change the fundamental nature of the contract. And here the fundamental nature of the contract was a noncompetition agreement that Nealie would give up her ability to work in a certain geographical area for a fixed time in exchange for continued employment at a higher hourly wage. So this employment contract was simply a contract affecting Nealie’s right to work, not her personal property. Thus, the statutory exception does not apply. And because Nealie disaffirmed the contract, it is unenforceable against her." The Court affirmed the denial of Watercolor's motion for injunctive relief, which was based solely on the unenforceable agreement. Whether Watercolor had any remaining claims against Nealie that were not based on the contract, such as the taking of trade secrets, remained to be determined on remand. View "Watercolor Salon, LLC v. Hixon" on Justia Law
Thornhill v. Walker-Hill Environmental, et al.
In 2017, Jeremy Thornhill said that he had injured his back while working. He sought workers’ compensation benefits from his employer, Walker-Hill and its insurance carrier, Zurich American Insurance Company of Illinois, but the Employer/Carrier denied that Thornhill had sustained a compensable injury. Ultimately, the parties agreed to compromise and settled pursuant to Mississippi Code Section 71-3-29 (Rev. 2021). Thornhill submitted the settlement to the Mississippi Workers’ Compensation Commission for approval. After examining the application, the Commission approved the settlement and dismissed Thornhill’s case with prejudice. Pursuant to the settlement, Thornhill signed a general release, which reserved his right to pursue a bad faith claim. Believing he had exhausted his administrative remedies, Thornhill filed a bad faith suit against the Employer/Carrier; the Employer/Carrier moved to dismiss the case, arguing the circuit court lacked jurisdiction because the Commission never made a factual finding that he was entitled to workers’ compensation benefits. The trial court concurred it lacked jurisdiction and dismissed the case. The Court of Appeals reversed and remanded, finding that Thornhill had exhausted his administrative remedies and that the circuit court had jurisdiction to hear his bad faith claim. The appeals court determined that “Thornhill exhausted his administrative remedies because he fully and finally settled his workers’ compensation claim against the Employer/Carrier, the Commission approved the settlement, and there is nothing left pending before the Commission.” To this, the Mississippi Supreme Court agreed. The circuit court judgment was reversed and the matter remanded for further proceedings. View "Thornhill v. Walker-Hill Environmental, et al." on Justia Law
Thornhill v. Walker-Hill Environmental, et al.
In July 2017, Jeremy Thornhill said that he had injured his back while working. He sought workers’ compensation benefits from his employer, Walker-Hill and its insurance carrier, Zurich American Insurance Company of Illinois (collectively, Employer/Carrier), but the Employer/Carrier denied that Thornhill had sustained a compensable injury. Ultimately, the parties agreed to compromise and settled pursuant to Mississippi Code Section 71-3-29 (Rev. 2021). Thornhill submitted the settlement to the Mississippi Workers’ Compensation Commission for approval. After examining the application, the Commission approved the settlement and dismissed Thornhill’s case with prejudice. Pursuant to the settlement, Thornhill signed a general release,” which reserved his right to pursue a bad faith claim. Believing he had exhausted his administrative remedies, Thornhill filed a bad faith suit against the Employer/Carrier. The Employer/Carrier moved to dismiss, arguing that Thornhill had not exhausted administrative remedies—and that the circuit court lacked jurisdiction—because the Commission never made a factual finding that he was entitled to workers’ compensation benefits. The trial court granted the motion on that basis. The Court of Appeals reversed and remanded, finding that Thornhill indeed exhausted his administrative remedies and that the circuit court had jurisdiction to hear his bad faith claim. Finding no reversible error in the appellate court’s decision, the Mississippi Supreme Court affirmed. View "Thornhill v. Walker-Hill Environmental, et al." on Justia Law
Catholic Diocese of Jackson, Mississippi v. De Lange
The Catholic Diocese of Jackson, Mississippi filed an interlocutory appeal of its motion to dismiss claims stemming from its termination of Arie Mattheus de Lange. The Diocese argued that, pursuant to the ecclesiastical abstention doctrine found in the First Amendment of the United States Constitution, Lange's employment action be dismissed for lack of subject-matter jurisdiction. The circuit court disagreed and determined that “the resolution of these claims will not require immersion into the faith, discipline and doctrine of the Catholic Church or the Code of Canon Law.” After careful review, the Mississippi Supreme Court concluded the circuit court erred and that the First Amendment demanded dismissal. View "Catholic Diocese of Jackson, Mississippi v. De Lange" on Justia Law
Posted in:
Constitutional Law, Labor & Employment Law
Bufkin v. Geico Insurance Agency, Inc.
The question presented for the Mississippi Supreme Court in this case “boils down to one of statutory interpretation:” whether plaintiff Crystal Bufkin was “legally entitled to recover” damages from her employer under the uninsured motorist statute, Mississippi Code Section 83-11-101(1) (Supp. 2021). The Supreme Court previously held that employees are not legally entitled to recover from their employers and thus could not make a claim under uninsured motorist coverages. Bufkin acknowledged that precedent precluded her claim, but she argued Medders v. U.S. Fid. & Guar. Co., 623 So. 2d 979 (Miss. 1993 )and its progeny were wrongly decided because the uninsured motorist law should be liberally construed in her favor. The Supreme Court concluded it already rejected the arguments Bufkin presented here, and declined to overrule Medders. View "Bufkin v. Geico Insurance Agency, Inc." on Justia Law
Gamma Healthcare Inc., et al. v. Estate of Sharon Burrell Grantham
The Workers’ Compensation Commission and an Administrative Judge (AJ) had ordered Gamma Healthcare and Employers Insurance Company of Wausau (Employer/Carrier) to replace Sharon Grantham’s septic and HVAC systems and to pay for insurance on a handicapped-accessible van. The Commission, sua sponte, issued a separate order sanctioning the Employer/Carrier for causing an unnecessary delay by appealing the AJ’s order to the full Commission without reasonable grounds. The Employer/Carrier appealed. While this case was pending before the Court of Appeals, Sharon Grantham died. Thereafter, the Court of Appeals dismissed the case as moot. The Court of Appeals applied the general rule followed by federal courts by vacating the outstanding Commission and AJ orders. The appeals court reversed and rendered the Commission’s sanctions order against the Employer/Carrier, determining that the Commission had abused its discretion by its imposition of the sanction, reasoning that the Employer/Carrier had a reasonable legal argument for its appeal. Grantham’s estate filed a petition for a writ of certiorari, which the Mississippi Supreme Court granted. The Supreme Court concluded that in light of Grantham’s untimely death and the concession by her estate, it agreed with the Court of Appeals that this case was moot. "However, the main issue is not whether the case is moot. Rather it is whether the Court of Appeals erred by vacating the Commission’s and the AJ’s valid orders to replace the septic and HVAC systems in a case that became moot on appeal due to circumstances beyond the control of the parties. Additionally, did the court err by following federal vacatur law instead of existing Mississippi law?" These were issues of first impression. the Supreme Court found that the Court of Appeals did not err and that the federal vacatur rule was appropriate. The Commission’s orders were vacated properly. Furthermore, the Supreme Court affirmed the Court of Appeals’ reversing and rendering of the Commission’s sanctions award. View "Gamma Healthcare Inc., et al. v. Estate of Sharon Burrell Grantham" on Justia Law
Mississippi Department of Employment Security v. Dover Trucking, LLC
The Mississippi Department of Employment Security (MDES) appeals from the circuit court’s order reversing the MDES Board of Review’s determination that Danny Leeton was an employee of Dover Trucking, LLC (Dover). Because the agency’s decision was supported by substantial evidence and was not arbitrary or capricious, the Mississippi Supreme Court concluded the circuit judge erred by reversing it. Accordingly, judgment was reversed and MDES' decision was reinstated. View "Mississippi Department of Employment Security v. Dover Trucking, LLC" on Justia Law
Spiers v. Oak Grove Credit, LLC, et al.
A circuit court denied Brittany Spiers leave to amend her complaint, and granted a motion to dismiss brought by Oak Grove Credit, LLC (OGC), and other companies, including, Columbia Credit, LLC, Pine Belt Credit, LLC, and “John Does Business 1-5” (collectively, “the Creditor Companies”). Spiers worked for OGC, a creditor business located just outside Hattiesburg, Mississippi, until February 2019. At that time, OGC terminated Spiers for reasons Spiers alleged were discriminatory. According to Spiers, OGC terminated her because of her gender and her pregnancy. Specifically, Spiers alleged that her supervisor raised concerns about her pregnancy in regards to work and childcare and even called her pregnancy a “disease.” Spiers also alleged that her supervisor declined to hire another person because that person was pregnant. In February 2020, Spiers filed her complaint primarily alleging pregnancy and sex discrimination under Title VII of the Civil Rights Act of 1964. Even though Spiers only worked for OGC, she brought her lawsuit collectively against OGC and the Creditor Companies because she alleged that these companies “constitute an integrated enterprise/joint employer in relation to Spiers as employees from each location are fluid and work for and between the sister companies.” Alternatively, Spiers alleged that “the Defendant’s actions constitute the torts of negligence, negligent infliction of emotional distress, intentional infliction of emotional distress, termination in violation of public policy, gross negligence, and negligent supervision.” OGC and the Creditor Companies removed the case to federal district court, which issued an order as to Spiers’s Title VII claim, finding that Spiers “did not plead sufficient facts for the Court to infer that Defendants meet Title VII’s definition of an employer.” The district court “dismiss[ed] Plaintiff’s Title VII claims without prejudice.” The district court, however, “declin[ed] to exercise pendent jurisdiction over Plaintiff’s remaining state-law claims and remand[ed] the case [back] to the Circuit Court of Lamar County, Mississippi.” Upon remand to the circuit court, Spiers filed a motion for leave to amend her complaint. The Mississippi Supreme Court affirmed the state circuit court's order dismissing the state-law claims, but reversed to the extent that the order denied Spiers leave to amend her complaint. The case was remanded for further proceedings. View "Spiers v. Oak Grove Credit, LLC, et al." on Justia Law