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OPINION
STEPHENSON, Justice.
The issue here is whether Mr. Stein effectively disqualified the Honorable Nils T. Kjellstrom, Small Claims Court Judge and predecessor of Judge Speer.
Mr. Stein was sued on an account by Texaco, and attempted to disqualify Judge Kjellstrom by an "Affidavit of Disqualification” in which he said that he did “hereby disqualify Judge Nils T. 'Kjellstrom, Small Claims Court judge, from this case for the reason that I do not believe that Judge Kjellstrom can or will preside over this action or proceeding with impartiality.”
Judge Kjellstrom promptly entered an order pursuant to which he “refuses to disqualify.” Further proceedings, the nature of which are not now pertinent, were then had or threatened by Judge Kjellstrom and his successor in office, Judge Speer.
Mr. Stein then applied to the District Court of Bernalillo County for a writ of prohibition. An alternative writ was issued commanding Judge Speer to desist and refrain from further proceedings which, after diverse proceedings, was by order made permanent. Judge Speer has appealed.
Assuming, without deciding, that common law disqualification of judges can still be had in New Mexico notwithstanding constitutional and statutory provisions on the subject, it is clear that at common law a judge was disqualified for a direct pecuni ary interest and for nothing else. State v. Chavez, 70 N.M. 289, 373 P.2d 533 (1962). No common law grounds of disqualification are asserted in this case.
The New Mexico Constitution, art. VI, § 18 disqualifies judges from sitting in cases in which a party is related to him within certain degrees, or in which he was counsel, or in the trial of which he presided in an inferior court, or in which he has an interest. The affidavit here states no constitutional grounds for disqualification.
We observe that the affidavit does not even state or allege that the judge could not or would not preside over the case with impartiality. It merely stated that Mr. Stein did not believe that he could or would. The affidavit was in such form as might comply with § 21-5-8, N.M.S.A. 1953, which provides for disqualification of judges by filing an affidavit stating that the judge “ * * * cannot, according to the belief of the party making the affidavit, preside over the action or proceeding with impartiality, * * * We are not concerned with whether it does or does not because that statute applies only to district judges. Cf. State v. Chavez, supra.
We are thus left solely with the question of whether or not Judge Kjellstrom, and hence his successor, was effectively disqualified under the provisions of § 16-5-7, N.M.S.A. 1953, which makes specific provisions for disqualification of judges of the small claims court. That statute provides:
“Whenever any small claims court judge shall, for any reason, be interested in any cause or disqualified from acting in any cause or proceedings coming under the jurisdiction of his court, he shall, upon his own motion or that of any interested party, forthwith enter an order transferring such proceeding or case to the district court having jurisdiction in that county * *
The language of § 16-5-7, supra, resembles that of an earlier statute relating to disqualification of probate judges, § 16-4-12, N.M.S.A.1953. The latter statute provides :
“Whenever the probate judge shall, for any reason, be interested or disqualified from acting in any proceeding coming within the jurisdiction of the probate court, he shall upon his own motion or that of any interested party, forthwith enter an order transferring such proceeding to the district court having jurisdiction in that county * *
The language of the two quoted statutes is so similar that no sensible distinction can be drawn between them so far as we are here concerned.
In In Re Estate of Tarlton, 84 N.M. 95, 500 P.2d 180 (1972) we had a question before us in respect to § 16-4 — 12, much like that presented here. In Tarlton, the appellant relied on § 16-4-12, claiming that the pleading there in question made the transfer of the case to district court mandatory, and that the probate court lacked jurisdiction to proceed. There, as here, the pleading in question made no “ * * * allegations of interest or disqualification in the motion, nor did [he] tender any proof of such.”
In Tarlton our ultimate holding was that § 16-4-12, supra, was a statutory declaration of art. VI, § 18 of the New Mexico Constitution, and that it was necessary to direct the court’s attention to a specific constitutional ground for disqualification. We now extend that holding to § 16-5-7. We have already said that the affidavit in this case fell short of stating any constitutional grounds for disqualification.
Our ruling makes consideration of other matters argued by the parties unnecessary.
The case is reversed and remanded to the District Court of Bernalillo County with instructions to set aside the order appealed from, quash the writ of prohibition and dismiss Mr. Stein’s application for writ of prohibition.
It is so ordered.
MONTOYA and -MARTINEZ, JJ., concur. | [
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OPINION
BIVINS, Judge.
Following denial of defendant’s motion to suppress physical evidence, the parties stipulated to the facts and to defendant’s right to appeal the order denying his motion. Pursuant to the stipulation, defendant was convicted of possession of cocaine after a bench trial. He now appeals from the judgment, sentence and denial of his motion to suppress.
ISSUES:
Defendant raises the following issues on appeal:
1) Whether the arresting officer, Lt. Casey, had probable cause to believe that defendant was committing a misdemean- or in the officer’s presence;
2) If Lt. Casey had probable cause to arrest defendant, whether the officer delayed unreasonably in executing the arrest;
3) Whether the misdemeanor arrest was a pretext for a warrantless search for drugs; and
4) If the arrest of defendant was lawful, whether the search of his personal belongings was unlawful.
A fifth issue raised in the docketing statement but not briefed is deemed abandoned. State v. McGill, 89 N.M. 631, 556 P.2d 39 (Ct.App.1976).
Because the first two issues are dispositive and require reversal, we do not reach the remaining issues. We hold that because the misdemeanor of drinking in public was not committed in the presence of the arresting officer, a warrantless arrest could not be made, and, even if it could, an unreasonable period of time elapsed between the commission of the misdemeanor and the execution of the arrest.
FACTS:
Several days before defendant’s arrest, the Albuquerque Police Department received a tip from a confidential informant that a large black man, driving a county service vehicle, had been selling drugs in Dennis Chavez Park. The police placed the park under surveillance and identified de fendant as matching the informant’s description. Two police officers, Lt. Casey and Officer Wadley, followed defendant for several hours on September 13 or 14, 1984, but observed no criminal activity. The police apparently then ceased their investigation; however, on the morning of September 18, 1984, Lt. Casey telephoned Officer Ramkowski to inform him of defendant’s name.
On September 18, 1984, Officer Ramkowski was assigned by Lt. Casey to conduct a surveillance of Dennis Chavez Park. At around 10:30 a.m., he observed the defendant, driving a county road service vehicle, arrive at the park. The officer then watched the defendant get out of the vehicle and drink a beer with another individual who supplied the beer to the defendant. Drinking in public is a misdemeanor, in violation of an Albuquerque city ordinance. Officer Ramkowski recognized the defendant.
Upon viewing the defendant drinking the beer in public, Officer Ramkowski telephoned Lt. Casey to inform Casey that defendant was drinking in public. Testimony conflicted as to why Officer Ramkowski did not arrest the defendant on the spot. Ramkowski testified that he did not arrest defendant because he “guessed" that the police were going to watch for defendant to do something else, namely, sell narcotics. Lt. Casey, however, testified that Ramkowski did not arrest the defendant because Ramkowski was not in uniform.
Following receipt of Officer Ramkowski’s telephone call, Lt. Casey said that he drove to the park, stopped upon the shoulder of the road adjoining the park and observed the defendant drinking from an off-colored or smoke-colored glass container. He could not identify what defendant was drinking. (Conversely, Officer Ramkowski testified that, to the best of his knowledge, Lt. Casey had not gone to the park.) After observing the defendant drinking from the container, Lt. Casey did not arrest him but proceeded to the county road department, one and one-half miles from the park. Casey’s decision not to arrest the defendant immediately was prompted by his concern over what to do with the county vehicle which the defendant was driving. The vehicle, which carries fuels, is used for heavy equipment servicing. When county machinery runs out of gasoline, this “huge” vehicle is used to refuel the machinery. Casey testified that he did not want to take responsibility for the vehicle, partly, at least, out of concern that the police department could be civilly accountable for the vehicle or articles in the vehicle. Rather, Casey preferred to wait for the defendant to return with the vehicle to the county yard or to enlist the aid of the county supervisor.
In the meantime, the defendant left the park, followed by Officer Ramkowski, and travelled to an apartment complex where he left the vehicle, entered an apartment, and remained for approximately half an hour. Defendant left the apartment at approximately 12:15 p.m. to return to the county yards where he arrived at around 12:20 p.m. Ramkowski followed the defendant back to the county yards where Ramkowski’s surveillance ended. (Lt. Casey, on the other hand, testified that the defendant arrived at the county yards at about 2:00 p.m.)
Lt. Casey arrested the defendant at the county yards at about 2:15-2:30 p.m. Officer Ramkowski was not directly involved in the arrest. The defendant was outside of the county vehicle when he was arrested. He was approximately 6-7 feet away from the vehicle when he was handcuffed. The defendant’s person as well as the vehicle was searched. An “Igloo” cooler was removed from the vehicle and placed on the hood of a law enforcement vehicle, approximately 5-6 feet away from the defendant. The officers began “inventorying” and discovered a quantity of marijuana, some controlled substances, and a small amount of cocaine. Lt. Casey justified the search on the bases of a valid search incident to a lawful arrest as well as a departmental safeguard due to the Albuquerque Police Department’s being sued for failure to account properly for the safeguard of prisoners’ belongings.
PROCEEDINGS BELOW:
Defendant moved to suppress the evidence on the basis of an unlawful search. The court found the following:
1) The delay between the observed misdemeanor and arrest was reasonable in light of the attending circumstances, including: Officer Ramkowski was not in uniform and assigned to monitor the park generally; and an on-the-spot arrest would have necessitated seizure of a “unique, important County Government vehicle,” the destination of which to the county yards was known to the officers;
2) The arrest was valid and proper;
3) The searched area was within the area accessible to the defendant; therefore, the search was a reasonable search incident to arrest, the scope of which being within permissible limits;
4) The search of the cooler was reasonable, partly because the officers could reasonably expect to find evidence of the misdemeanor, beer, within the cooler;
5) The search, arrest, and seizure were done under the exclusive supervision of Lt. Casey whose reasons and motives were proper. The understandings of assisting officers were irrelevant; and
6) The removal of personal items was reasonable, due to custodial concerns, with the court finding a similarity to automobile inventory searches.
On appeal, a trial court’s denial of a motion to suppress will not be disturbed if supported by substantial evidence, unless it also appears that the determination was erroneously premised. State v. Boeglin, 100 N.M. 127, 666 P.2d 1274 (Ct.App.1983). We view the evidence in a light most favorable to the trial court’s ruling, indulging all inferences in support of that ruling, and disregarding all evidence to the contrary. Id.; State v. Rivera, 85 N.M. 723, 516 P.2d 694 (Ct.App.1973).
DISCUSSION:
ISSUE I: WARRANTLESS MISDEMEANOR ARREST.
A. The Presence Requirement
The rule in New Mexico is that a police officer may. make a warrantless misdemeanor arrest if the misdemeanor is committed in the officer’s presence. Cave v. Cooley, 48 N.M. 478, 152 P.2d 886 (1944); City of Roswell v. Mayer, 78 N.M. 533, 433 P.2d 757 (1967). The arrest must be based upon facts known to the officer at the time of the arrest. State v. Luna, 93 N.M. 773, 606 P.2d 183 (1980).
The defendant argues that Lt. Casey had no probable cause to believe that the defendant was drinking beer in a public place in Casey’s presence. Casey only observed from a distance the defendant drinking from an off-colored or smoked-colored container. The state argues, however, that the combination of Officer Ramkowski’s telephone call to Lt. Casey, informing Casey that the defendant was drinking beer in the park, and Lt. Casey’s observation of the defendant drinking in the park from an off-colored or smoke-colored container gave Lt. Casey probable cause to believe that the defendant was committing a misdemeanor in the lieutenant’s presence. The first inquiry, therefore, is to determine what standard of sensory perception is necessary to satisfy the “in presence” requirement.
Some jurisdictions have concluded that the felony/misdemeanor distinction is outmoded and have eliminated the “in presence” requirement for warrantless misdemeanor arrests. See, Comment, The Presence Requirement and the “Police Team” Rule in Arrest for Misdemeanors, 26 Wash. & Lee L.Rev. 122 (1969). Other jurisdictions, however, strictly adhere to the distinction requiring that, based upon his or her sensory perceptions, an officer must be able to testify to acts comprising each material element of the misdemeanor before a misdemeanor can be said to have been committed in the officer’s presence. See, e.g., In re Alonzo C., 87 Cal.App.3d 707, 151 Cal.Rptr. 192 (1978) (officer smells odor of paint on defendant’s breath and sees traces of silver paint in defendant’s nostrils but does not see defendant sniff the paint; therefore, misdemeanor was not committed in officer’s presence); T.L.M. v. State, 371 So.2d 688 (Fla.App.1979) (police receive call concerning juveniles creating disturbance in a hospital; police arrive, smell alcohol on juveniles’ breaths and observe actions characteristic of being under the influence of alcohol but could not arrest juveniles because statute stipulated that public drunkenness must be accompanied by acts constituting public disturbance, and police witnessed no such disturbance); and Raymer v. City of Tulsa, 595 P.2d 810 (Okla.Crim.App.1979) (arresting officers observed prostitution solicitation but did not hear solicitation so warrantless arrest was unlawful).
New Mexico, in acknowledging the felony/misdemeanor dichotomy, recognizes the “in presence” requirement. Cave v. Cooley. Accordingly, the “probable cause” required to justify a warrantless misdemean- or arrest is considerably more specific than the probable cause necessary for a felony arrest. Id. This court recently ruled, however, that an arresting officer need not perceive through his or her senses each material element of the misdemeanor, but may combine the sensory perceptions with “reasonable inferences which may be legitimately drawn from the circumstantial evidence” to give rise to probable cause or reasonable suspicion that a misdemeanor had been committed in the officer’s presence. State v. Boone, Ct.App.No. 8093 (Filed September 12, 1985).
In Boone, an officer on patrol was called at 11:10 p.m. to investigate a car with its lights out stopped in the middle of the road. Upon arriving at the scene, the officer talked to the defendant, detected the odor of alcohol, and noticed that the defendant’s speech was “kind of slurred.” The officer subsequently observed the defendant walking unsteadily. The officer administered a field sobriety test which, for the most part, the defendant failed. On these bases, the officer charged the defendant with driving while intoxicated (DWI).
This court ruled that even though the officer did not observe the defendant drive the vehicle, the misdemeanor occurred in the presence of the officer. Id. In reaching such a conclusion, this court reasoned that from facts and senses presently available to the officer, the officer could reasonably conclude that the defendant was driving while intoxicated. Id.
Applying the Boone standard to the case at bar, we conclude that Lt. Casey did not have probable cause or reasonable grounds to believe that the defendant was drinking in his presence. In Boone, the following indicia of driving while intoxicated were before the arresting officer: the car was stationary in the middle of the road with its lights off and its motor running; the defendant was in the driver’s seat; the defendant spoke with slurred speech and smelled of alcohol; and finally, the defendant’s walk was unsteady. On the other hand, in this case, Lt. Casey only observed from a distance the defendant drinking from an off-colored or smoke-colored container. If Casey could have identified the container as a beer bottle, it might have been reasonable to infer that the defendant was drinking in a public park, even if Casey had not seen the defendant actually take a drink. Because Casey did not identify the container as a beer bottle, however, it is difficult to conclude that a misdemean- or took place in Casey’s presence. He observed no facts which were in themselves sufficiently indicative of a misdemeanor in the course of commission. Miller v. State, 462 P.2d 421 (Alaska 1969).
The next inquiry is what impact, if any, Officer Ramkowski’s observation of the defendant actually drinking a beer in the park might have on satisfying the presence requirement. This discussion will involve an analysis of whether this court’s recent adoption of the “police-team” qualification to the “in the presence of” requirement of the misdemeanor arrest rule applies in this case. State v. Lyon, 103 N.M. 305, 706 P.2d 516 (Ct.App.) (cert. denied, 103 N.M. 287, 705 P.2d 1138 (1985); State v. Marquez, 103 N.M. 265, 705 P.2d 170 (Ct.App.1985).
B. “The Police-Team Qualification”
In State v. Lyon, this court ruled that a misdemeanor need not be committed in the presence of the arresting officer if certain circumstances are met. First, the misdemeanor must be committed in the presence of a police officer. Second, that police officer must promptly communicate to other police officers via police radio or other communication device such information and a description of the misdemeanant. Third, the misdemeanant must be arrested within a reasonable time from the receipt of the information and description. See also State v. Marquez, supra.
Implicit in Lyon and Marquez, as well as cases from other jurisdictions which have adopted the “police-team qualification,” are guidelines as to when the qualification should be applied. Generally, “police-team” cases fall into one of two categories: first, situations in which the police officer must call in assistance for such reasons as inherent danger or criminal flight and, second, situations involving cooperative police efforts.
Marquez falls within the first classification. In Marquez, the officer was- assaulted by the defendant as the officer attempted to quell a fight between two women. While the officer responded to the fight, the defendant fled into a crowd. The officer then ordered a newly arriving officer to arrest the defendant. The second officer radioed to a third officer to arrest the defendant. Neither the second nor the third officer saw the assault. Neither officer knew the reason for the arrest. Therefore, in some situations, an officer may be simply outnumbered and require assistance. Marquez. In other circumstances, apprehension of an offender in flight necessitates that the police work as a team. State v. Bryant, 678 S.W.2d 480 (Tenn.Crim.App.1984), cert. denied, — U.S.-, 105 S.Ct. 967, 83 L.Ed.2d 971 (1985); Robinson v. State, 4 Md.App. 515, 243 A.2d 879 (1968). In both of these instances, the “team qualification” should satisfy the presence requirement of warrantless misdemeanor arrests. Such application is simply a legitimate response to the exigencies inherent in police work.
In applying this “assistance” justification for the police-team rule to our facts, it is clear that the defendant’s situation did not merit calling in assistance. Officer Ramkowski was not outnumbered, and the defendant was not in flight. Officer Ramkowski testified that he did not arrest the defendant because he “guessed” that the police were waiting for the defendant to sell narcotics. Lt. Casey testified, on the other hand, that Officer Ramkowski did not execute the arrest because Ramkowski was not in uniform. Cf. NMSA 1978, § 66-8-124; State v. Ray, 91 N.M. 67, 570 P.2d 605 (Ct.App.1977). The trial court adopted Lt. Casey’s rationale. In so doing, the trial court failed to apply the “in presence” requirement.
The second line of cases which adopt the “police team” qualification involve situations where police officers are working collectively. These cases usually involve traffic surveillance. See, State v. Cook, 194 Kan. 495, 399 P.2d 835 (1965) (aircraft surveillance of traffic with offenses radioed to earthbound officer); State v. Coustenis, 233 A.2d 449 (Del.Super.Ct.1967) (police officer takes radar reading; another officer executes arrest); Henry v. Commissioner, 357 N.W.2d 121 (Minn.App.1984) (one officer observed that the offender was intoxicated; another officer observed that the offender was speeding). For other cases “illustrative of collective police investigation, see Prosser v. Parsons, 245 S.C. 493, 141 S.E.2d 342 (1965) (approximately ten game wardens working together to apprehend night hunters); Howes v. State, 503 P.2d 1055 (Alaska 1972) (one officer described package containing candle with concealed hashish to arresting officer who observed defendants pick up package).
The link connecting these cases is that, in each of these cases, two or more officers are combining efforts in one investigation. In each case, the arresting officer relied upon information and observations made by other officers to establish the probable cause for his belief that an offense was being committed in his presence. Howes v. State. When the officers combined efforts for one investigation,
[a]n act taking place within view of one officer was in legal effect within the view of the other cooperating officers and, if the combination of acts committed within the view of the cooperating officers furnished probable cause for believing that an offense * * * was being committed in their presence, then the arrest was lawful.
Prosser v. Parsons, 245 S.C. at 500-501, 141 S.E.2d at 346.
The facts in our case do not indicate that Officer Ramkowski and Lt. Casey were participating in a cooperative investigation when Ramkowski observed the defendant drinking beer in the park. Lt. Casey had assigned Officer Ramkowski to observe the park for drug trafficking. Casey was at home, not on duty, when Ramkowski phoned Casey to inform the lieutenant that the defendant was drinking in the park. There were no indicia of a cooperative investigation. The crime was complete when Ramkowski observed defendant drinking in the park. Ramkowski had probable cause to arrest defendant. Lt. Casey’s further observation of defendant added nothing to Ramkowski’s investigation. There are no collective perceptions in this case.
We, therefore, hold that the police-team qualification to the presence requirement cannot be applied in this case. In the absence of some exigency or cooperative police effort, the police team exception probably should not be invoked. To randomly apply the exception would effectively emasculate the felony-misdemeanor distinction.
ISSUE II: UNREASONABLE DELAY.
Even if we were to find that Lt. Casey had independent probable cause to believe that a misdemeanor was being committed in his presence or if we applied the “police-team” qualification, in order to affirm the trial court’s ruling, we still must be able to find that a 2!4 — 3 hour delay in effecting the arrest was reasonable. State v. Calanche, 91 N.M. 390, 574 P.2d 1018 (Ct.App.1978); State v. Lyon, 103 N.M. 305, 706 P.2d 516 (Ct.App.), cert. denied, 103 N.M. 287, 705 P.2d 1138 (1985). The state acknowledges a two to three hour delay between the time Lt. Casey observed defendant in the park and the time of the arrest.
The general rule is that a warrantless misdemeanor arrest must be made at the time of the offense or within a reasonable time following the commission of the offense. Smith v. State, 228 Miss. 476, 87 So.2d 917 (1956). The issue of what is a reasonable delay is one of law. Jackson v. Superior Court, 98 Cal.App.2d 183, 219 P.2d 879 (1950); see also Annot., 58 A.L.R.2d 1056 (1958). In order to justify a delay in executing the arrest, the officer must show a continued attempt to make the arrest. Jackson. The officer may not postpone the arrest for any reason foreign to the arrest. Id.
In New Mexico, it is no different. In State v. Calanche, this court, ruled:
“It is a general rule that once an officer has the right to arrest without a warrant for a misdemeanor or breach of the peace committed in his presence he must do so as soon as he reasonably can, and if he delays for purposes disassociated with the arrest or for such a length of time as to necessarily indicate the interposition of other purposes, he cannot arrest without a warrant.”
91 N.M. at 393, 574 P.2d at 1021, quoting Annot., 58 A.L.R.2d 1056 (1958).
Accordingly, the first inquiry is to determine when Lt. Casey reasonably could have arrested the defendant. Legitimate justifications for delaying the arrest are such exigencies as time elapsed in the pursuit of the offender or time spent summoning assistance. For example, in Calanche, this court upheld the reasonableness of a 2-3 hour delay in making an arrest when the officer was called upon to investigate a multiple-vehicle accident in which nineteen people were injured. For additional cases upholding the legitimacy of a delay, see Schindelar v. Michand, 411 F.2d 80 (10th Cir.), cert. denied, 396 U.S. 956, 90 S.Ct. 426, 24 L.Ed.2d 420 (1969) (forty-five minute delay permissible when necessitated by town marshall’s requiring assistance); State v. Carr, 2 Conn.Cir.Ct. 247, 197 A.2d 663 (1963) (one-hour delay justifiable when awaiting arrival of additional officers to assist in apprehension of offenders); United States v. Comi, 336 F.2d 856 (4th Cir.1964), cert. denied, 379 U.S. 992, 85 S.Ct. 704, 13 L.Ed.2d 611 (1965) (delay for a few moments permissible in order for officer to secure his badge and identification as well as protective assistance).
On the other hand, courts have ruled that delays are unreasonable when the officer engaged in an activity completely divorced from the arrest during the period between the commission of the misdemeanor and the arrest. For example, in Smith v. State, a deputy sheriff bought liquor from the defendant at the defendant’s home. Rather than arrest the defendant at the time of the sale, the deputy left and transacted other duties, returning 30-40 minutes later to execute the warrantless arrest. The court ruled that the delay was unreasonable and that the arrest was illegal, stating:
If, however, the officer witnesses the commission of an offense and does not arrest the offender, but departs on other business, or for other purposes, and afterwards returns, he cannot arrest the offender without a warrant; for then the reasons for allowing the arrest to be made without a warrant have disappeared.
228 Miss. at 480, 87 So.2d at 919; see also, Jackson v. Superior Court, 98 Cal.App.2d 183, 219 P.2d 879 (1950).
The present case falls somewhere in the middle of the continuum separating reasonable and unreasonable delays. Clearly, Lt. Casey’s concerns were not motivated by the fear of the defendant’s flight. Lt. Casey also did not fear for his own safety, or desire the assistance of other officers. At the same time, however, Lt. Casey’s concerns were not completely disassociated from the arrest. He was apparently worried about what to do with the county vehicle. According to his testimony, from the time he received Officer Ramkowski’s phone call to the time of the arrest, he never ceased occupation with this case. He did not turn his attention to other matters. Nevertheless, he could have effectuated the arrest immediately. His concern about the county vehicle was mainly administrative or one of “convenience.” Such a concern does not fall in the same category as fear of flight or need for police back-up.
Even if we could conclude that Casey’s concern about the disposition of the county vehicle justified the lieutenant’s failure to immediately arrest the defendant, we must still find that the concern merited a 2V2 — 3 hour delay in executing the arrest. Calanche, supra. We cannot. This delay was patently unreasonable. Within this 2V2-3 hour time frame, there were absolutely no exigencies, i.e., high speed chase or calls for assistance, which would justify the lieutenant’s failure to obtain a warrant. As the U.S. Supreme Court stated in Coolidge v. New Hampshire:
[The warrant requirement] is not an inconvenience to be somehow “weighed” against the claims of police efficiency. It is, or should be, an important working part of our machinery of government, operating as a matter of course to check the “well-intentioned but mistakenly overzealous executive officers” who are a part of any system of law enforcement.
403 U.S. 443, 481, 91 S.Ct. 2022, 2045, 29 L.Ed.2d 564 (1971).
For these reasons, we conclude that Lt. Casey delayed unreasonably in arresting the defendant. Because the arrest was unlawful, the fruits of the search which followed must be suppressed. Wong Sun v. United States, 371 U.S. 471, 83 S.Ct. 407, 9 L.Ed.2d 441 (1963).
The order denying defendant’s motion to suppress is reversed; the judgment and sentence is set aside; and the case is remanded for further proceedings consistent with this opinion.
IT IS SO ORDERED.
ALARID and GARCIA, JJ., concur. | [
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OPINION
BIVINS, Judge.
Respondent appeals from an order holding him in contempt for failing to obey an earlier order “to deliver the two minor children of the parties * * * in conformance with the Order of the Court.” The trial court fined respondent $9,291.85, representing petitioner’s attorney fees and costs “up to the contempt citation hearing,” plus $300 a day for each day the children are not returned to petitioner. The trial court issued a bench warrant for respondent’s arrest, and ordered that respondent be held in jail until he purges himself of the contempt.
Respondent raises six issues, claiming (1) violation of due process right of access to the courts; (2) error in construing requirements of order for change of custody; (3) error in refusing introductin into evidence of minor children’s depositions; (4) error in method of setting the fine; (5) excessiveness of the amount of fine; and (6) violation of the Code of Professional Responsibility by petitioner’s Texas counsel giving testimony. We find error in refusing the depositions, and therefore reverse and remand. Because of the likelihood of several issues arising again on rehearing, we also discuss the order changing custody, the fine which may be assessed for civil contempt, and requirements for purging oneself from contempt.
The parties divorced in 1973, and since that date the custody of the children has passed back and forth. Three sons were born of this marriage, Lance, Bryce, and Gregory. Gregory died and the proceedings concern only Lance and Bryce, who at the time of the hearing were 17 and 14, respectively.
After one of many hearings since the divorce involving custody, the trial court, on April 27, 1984, entered an order awarding temporary custody of the two children to respondent until the end of the then current school year. The same order specified that after school let out the petitioner was to have custody until August 1, 1984, at which time, the court would honor the wishes of the children as to permanent custody.
Respondent lives in Texas; petitioner in New Mexico. School let out on May 25, 1984. Because the children were not returned to her, petitioner moved on June 4, 1984 for an order to hold respondent in contempt. Prior to that motion, respondent moved on May 29, 1984 for a change of custody, alleging that the children did not wish to return to their mother.
The order to show cause hearing was scheduled for July 11, 1984. Respondent did not appear, and his attorney moved for leave to take respondent’s testimony by telephone. Respondent alleged that he could not attend because of financial and business reasons. The trial court denied the motion.
Prior to the hearing respondent gave notice that he would take the depositions of the two children in Austin, Texas. Petitioner moved for a protective order to preclude the taking of the depositions or to require respondent to pay her attorney’s fees and costs incident to the taking of the depositions. The trial court authorized the taking of the depositions of the two children in Texas and awarded petitioner her costs.
1. Admission of depositions.
Respondent offered the depositions of the two children taken by respondent on July 2, 1984 in Austin, Texas, apparently for the contempt hearing as well as the custody change matter. Although petitioner objected on other grounds, the trial court stated that respondent had not laid a proper foundation, since he had not shown that the witnesses were then beyond 100 miles from the place of the hearing. Respondent noted that the depositions, taken only nine days earlier, reflected that both children were then in Texas and lived in that state with their father. The trial court ruled that showing insufficient, since it did not establish where the children were at the time of the hearing.
Respondent asked for a recess during which time attorney Strother, who had previously represented respondent and had just finished testifying, placed a call to Texas to verify that the children were still there. The trial court rejected Strother’s sworn testimony because he had not talked directly to the children. Respondent then called petitioner who testified she had no idea where the children were. The trial court refused the depositions. Respondent then made a tender of the depositions, which the court noted.
NMSA 1978, Civ.P. Rule 32(A)(3) (Repl. Pamp'.1980) provides for the use of the deposition of a witness if the court finds that the witness “is at a greater distance than 100 miles from the place of trial or hearing,” unless the absence was procured by the party offering the deposition. Under Rule 32(A)(3), depositions of witnesses living more than 100 miles from the place of trial or hearing are freely admissible unless it appears that the absence of the witness was procured by the party offering the deposition. Starr v. J. Hacker Co., 688 F.2d 78 (8th Cir.1982). No contention is made that respondent procured the children’s absence from the hearing and the trial court did not base its ruling on that ground. Thus, the question presented is what showing must be made in order to meet the foundational requirement that the children were beyond 100 miles of the place of the hearing.
The parties cited no New Mexico rule precisely on point and we have found none. Since New Mexico’s rule is identical to Fed. Rule Civ.P. 32(a)(3), we look to federal law in construing the rule. Benavidez v. Benavidez, 99 N.M. 535, 660 P.2d 1017 (1983). Compare Niederstadt v. Ancho Rico Consolidated Mines, 88 N.M. 48, 536 P.2d 1104 (Ct.App.1975) (construing former Rule 26(d), Rules of Civil Procedure and noting that implicit in subparagraph 3, is the condition that the witness be unavailable to testify in person).
In their treatise, 4A J. Moore, J. Lucas & D. Epstein, Moore’s Federal Practice, Section 32.05 (2d ed.1984) the authors state: “[A] showing that the witness resided beyond the 100-mile distance at some recent earlier time will usually be sufficient to admit the deposition, in the absence of evidence to the contrary.” Id. at 32-28. Federal cases support this statement. In Ikerd v. Lapworth, 435 F.2d 197 (7th Cir.1970), the court held that the trial court could take judicial notice that Madisonville, Kentucky, the place of the deposition, was more than 100 miles from Terre Haute, Indiana, the place of trial, and further held that the showing made by the deposition, on its face, that the witness was a resident of Madisonville at a time only eight months before trial constituted, in the absence of a specific challenge to its veracity, a sufficient basis for the admission of the deposition. Accord, Hartman v. United States, 538 F.2d 1336 (8th Cir.1976).
In addition, statements of counsel may provide a sufficient basis as to the unavailability of witnesses, absent a showing to the contrary. See Castilleja v. Southern Pacific Co., 445 F.2d 183 (5th Cir.1971). Here we have the statement of respondent’s counsel of his belief that the children were in Texas and the sworn testimony of a witness attorney that he made a call to verify that fact. While he did not talk directly with the children, the inquiry, presumably to their father’s house, should suffice in the absence of evidence to the contrary.
The trial court, in making a preliminary determination as to the admissibility of evidence, is not bound by the Rules of Evidence. NMSA 1978, Evid.R. 104(a) (Repl. Pamp.1983); NMSA 1978, Evid.R. 1101(d)(1) (Repl.Pamp.1983). Thus, hearsay statements of counsel or from a sworn witness would suffice to establish the foundational requirement, absent a specific challenge. Here, there was no challenge.
Therefore, we adopt the rule of the federal courts that a showing that the witness resided beyond 100 miles at some recent earlier time is sufficient to admit the deposition, in the absence of evidence to the contrary. Here that showing was made by the depositions and by the statement of counsel and the testimony of Strother. The trial court could take judicial notice of the distance. See Annot., Absent Witness-Deposition, 94 A.L.R.2d 1172, 1182 (1964).
Ordinarily, an appellate court will not upset an evidentiary ruling by a trial court absent abuse of discretion, see State v. Stout, 96 N.M. 29, 627 P.2d 871 (1981); however, here the evidence offered through the depositions was critical to respondent’s defense to the contempt charge and its absence prejudiced his case.
The elements necessary for a finding of civil contempt are: (1) knowledge of the court’s order; (2) an ability to comply, Niemyjski v. Niemyjski, 98 N.M. 176, 646 P.2d 1240 (1982); In re Hooker, 94 N.M. 798, 617 P.2d 1313 (1980); coupled with (3) willful noncompliance of the order. Respondent’s position was that he could not make the two children return to petitioner. In his deposition Lance denied any pressure exerted by the respondent, and said his father did not stop him from going. Bryce also denied any pressure from his father, and confirmed Lance’s statement that respondent did not impede their returning to petitioner. While it is up to the trial court to accord testimony the weight it deserves, we are not at this point concerned with that issue; only the admissibility of evidence bearing on the question. Respondent was prejudiced by not having the deposition testimony before the court. We hold the trial court erred in refusing to admit the deposition testimony of the two children.
2. Requirements of the order changing custody.
Respondent in his second issue contends that the order of April 27, 1984 does not require him to “deliver the two children to New Mexico,” and that the trial court erred in so finding. The order provides:
IT IS HEREBY ORDERED AND DECREED that the respondent, Benjamin P. Dial, is granted temporary custody of the minor children of the parties, Lance Dial and Bryce Dial, until the conclusion of their school year in the State of Texas in May, 1984.
Thereafter, petitioner, Carolyn Rose Kitchens, shall have custody of the minor children until August 1, 1984. At that time, the Court will honor the wishes of the minor children as to their permanent custody.
Respondent misreads the trial court’s findings and the contempt order. The trial court did not require the children be delivered or returned to New Mexico; only that they be returned to petitioner. Petitioner testified that she had arranged for Lance to fly to Las Cruces to receive a 4-H award, but that he did not show. She tried to talk to the children by phone to arrange their return, but received no cooperation.
3. The fine.
The trial court found that petitioner had incurred attorney fees of $9,291.85, which “will be considered a civil contempt fine.” It also found that the fine represents petitioner’s attorney fees and costs “up to the contempt citation hearing.”
In re Hooker approves the award of attorney fees to a party aggrieved by the contempt, limited to that incurred in investigating and prosecuting the contempt. See also Royal International Optical Co. v. Texas State Optical Co., 92 N.M. 237, 586 P.2d 318 (Ct.App.1978).
The fine was undoubtedly arrived at by adding the amount of Texas counsel’s fee of $7,791.85 to New Mexico counsel’s estimated fee of $1,500 to the date of the hearing. Several problems are immediately apparent. Texas counsel estimated that $2,500 of his fee represents work prior to the April 27, 1984 order. Since respondent was given temporary custody on April 27, 1984, any fees incurred before that date would not be proper. In fact, only fees incurred from and after May 25, 1984, the date the children were to be released by petitioner, could be considered. We also note that an exhibit introduced by petitioner through Texas counsel reflects a petition to the district court of Williamson County, Texas to hold respondent in contempt for failing to deliver the children to petitioner. That petition was filed on May 11, 1984, when respondent had custody of the children under the New Mexico order of April 27, 1984. We also note that Texas counsel did not inform the Texas court of that fact in his petition. In any event, work in connection with that petition could not be considered as part of the fine. Thus, on remand, if the trial court should find respondent in contempt, any fine representing attorney fees must be limited to a period commencing May 25, 1984, and not before. Also, proof in support of attorney fees must reflect what was reasonably necessary in prosecuting the contempt before the New Mexico court. See generally First National Bank of Clovis v. Diane, Inc., 102 N.M. 548, 698 P.2d 5 (Ct.App.1985).
4.Purging.
Respondent argues that the trial court must fashion its order to allow him the opportunity to purge himself of the contempt. Respondent claims the trial court assessed the fine of $9,291.85 plus $300 a day without regard to his ability to pay. Thus, he argues in effect a due process violation by imposing incarceration without regard to his ability to pay.
? is correct that inability to pay is a defense to contempt proceeding, Nelson v. Nelson, 82 N.M. 324, 481 P.2d 403 (1971), but the burden rests with him to prove it. Id. What respondent fails to note is that he made no showing as to his financial inability to pay the fines assessed. He did not appear at the hearing. In support of the motion to take his testimony by telephone respondent attached an affidavit stating that he could not appear for the hearing “[d]ue to severe financial and business considerations.” This does not, however, prove inability to pay the fine. Compare Nelson where the husband unsuccessfully argued that fact of unemployment established an inability to pay.
Thus, on rehearing, if the trial court should find respondent in contempt and assess a fine, the burden will rest on him to prove his inability to pay. If he fails to do so, he cannot be heard to complain.
5. Conclusion.
The case is remanded for further proceedings, as may be directed by the trial court, consistent with this opinion. No cost or attorney fees are awarded in connection with this appeal.
IT IS SO ORDERED.
DONNELLY, C.J., and ALARID, J., concur. | [
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] |
OPINION
RIORDAN, Chief Justice.
Superior Construction, Inc. (Superior) brought suit against Thomas and Nancy Linnerooth (Linnerooths) on a debt and money due for breach of contract and against American Service Corporation (American) to have a deed by American to the Linnerooths declared null and void, and for specific performance under a real estate purchase agreement, claiming a one-third interest in the property involved. Superior also filed a notice of lis pendens against the land in question. The Linnerooths counterclaimed against Superior for negligence, slander of title and for quiet title. Linnerooths also brought a third-party action against Clifford and Frances DeWent (DeWents) for slander of title. Clifford DeWent was president of Superior. After a non-jury trial, judgment was entered dismissing Superior’s complaint against Linnerooths and American, dismissing Linnerooths’ counterclaim and third-party claim with regard to negligence, and quieting title in Linnerooths and awarding damages to them for slander of title. Superior and DeWents appeal. We reverse.
The issues raised on appeal are:
I. Whether the filing of the notice of lis pendens in connection with this case was within the absolute privilege accorded judicial proceedings and thus, could not form the basis for a slander of title action.
II. Alternatively, whether the filing of the notice of lis pendens in connection with this case should have been accorded a conditional privilege and, since there was not showing of actual malice, it could not form the basis for a slander of title action.
III. Whether substantial evidence supported the district court’s finding that the statement in the notice of lis pendens was malicious.
IV. Whether the Linnerooths failed to prove damages with reasonable certainty-
Because our handling of Issue I is dispositive, we find it unnecessary to address the remaining issues.
In September 1980, Mr.- DeWent met with the Linnerooths and their real estate agent to discuss the possibility of Superior constructing a house for the Linnerooths. The Linnerooths were interested in having their house built on a particular lot held by another builder. After this first meeting, Mr. DeWent attempted to purchase the lot in order to contract with the Linnerooths to build their home, but was unable to do so.
In December 1980, Mr. DeWent learned that the lot the Linnerooths had wanted earlier might now be available. Mr. DeWent called the Linnerooths and confirmed that they were still interested in the lot and in having Superior build their home. Mr. DeWent told the Linnerooths that they needed ten percent down ($2,600.00) to purchase the lot, plus another $1,000.00 to have the owner release the lot. Mr. DeWent then called the owner of the lot and told them that he would pay $1,000.00 if they would turn the lot back to American (who had previously owned the lot). The owner agreed to this and Mr. DeWent paid the $1,000.00.
On December 24, 1980, Mr. DeWent and Mrs. Linnerooth met at American in order to sign the purchase papers for the lot. At this meeting, Mrs. Linnerooth was informed that she would have to pay all of the accrued interest on the lot ($3,000.00). Mrs. Linnerooth agreed to make this additional payment, and she and Mr. DeWent signed the the purchase agreement. Mr. Linnerooth signed the purchase agreement at a later time. Mrs. Linnerooth then gave Mr. DeWent a check for $3,600.00.
In February 1981, Mr. DeWent met with the Linnerooths to discuss plans for the Linnerooths’ house. At that meeting, the Linnerooths paid Superior $1,500.00 for the plans. Over the next fifteen months, Mr. DeWent and the Linnerooths met several times and the plans for the Linnerooths’ home underwent many changes. During that fifteen months, Superior sent the Linnerooths several bills for changes in the drawings. The Linnerooths met with Mr. DeWent about discrepancies in the bills, but they continued to pay the bills. Finally, in July 1982, the Linnerooths met with Mrs. DeWent, who acted as Superior’s bookkeeper, about a further discrepancy in the billing. At that time, the Linnerooths asked for the blueprints to their house and told the DeWents that they were going to seek other bids for construction of their home. The Linnerooths subsequently contracted with Pargin Construction Company to build their home. On November 23, 1982, Superior initiated the instant suit against the Linnerooths and American. At that time, Superior also filed a notice of lis pendens against the Linnerooths’ property.
I. Absolute privilege.
Superior and DeWents assert that the district court erred in allowing judgment for the Linnerooths on the slander of title claim because the filing of a notice of lis pendens should be accorded the absolute privilege given to judicial proceedings. We agree. NMSA 1978, Section 38-1-14 states in pertinent part:
In all actions in the district court of this state or in the United States district court for the district of New Mexico affecting the title to real estate in this state, the plaintiff, at the time of filing his petition or complaint, or at any time thereafter before judgment or decree, may record with the county clerk of each county in which the property may be situate a notice of the pendency of the suit containing the names of the parties thereto, the object of the action and the description of the property so affected and concerned ... and [this] shall be constructive notice to a purchaser or encumbrancer of the property concerned; and any person whose conveyance is subsequently recorded shall be considered a subsequent purchaser or encumbrancer and shall be bound by all the proceedings taken after the recording of the notice to the same extent as if he were made a party to the said action.
The issue of whether the filing of a notice of lis pendens is absolutely privileged is a matter of first impression in New Mexico. However, the majority of cases from other jurisdictions that have dealt with the question have held that such filing enjoys the absolute privilege that is accorded to judicial proceedings. Albertson v. Raboff, 46 Cal.2d 375, 295 P.2d 405 (1956); Stewart v. Fahey, 14 Ariz.App. 149, 481 P.2d 519 (1971); Hauptman v. Edwards, Inc., 170 Mont. 310, 553 P.2d 975 (1976); Hansen v. Kohler, 550 P.2d 186 (Utah 1976); Wendy’s of South Jersey, Inc. v. Blanchard Management Corp. of New Jersey, 170 N.J.Super. 491, 406 A.2d 1337 (1979); Zamarello v. Yale, 514 P.2d 228 (Alaska 1973); Procacci v. Zaceo, 402 So.2d 425 (Fla.App.1981). The rationale of those courts that have decided the question is as follows:
(1) With few exceptions, any publication made in a judicial proceeding enjoys absolute privilege from later charges of defamation.
(2) The sole purpose of recording a notice of lis pendens is to give to prospective buyers • constructive notice of the pendency of the proceedings.
(3) The notice of lis pendens is purely incidental to the action wherein it is filed, and refers specifically to such action and has no existence apart from that action.
(4) The recording of a notice of lis pendens is in effect a republication of the proceedings in the action and therefore, it is accorded the same absolute privilege as any other publication incident to the action.
The court in Albertson succinctly stated:
It would be anomalous to hold that a litigant is privileged to make a publication necessary to bring an action but that he can be sued for defamation if he lets anyone know that he has brought it, ... particularly when he is expressly authorized by statute to let all the world know that he has brought it____
46 Cal.2d at 380, 295 P.2d at 409 (citation omitted).
New Mexico courts have long recognized the absolute privilege accorded judicial proceedings. See Penny v. Sherman, 101 N.M. 517, 684 P.2d 1182 (Ct.App.), cert. denied, 101 N.M. 555, 685 P.2d 963 (1984); Romero v. Prince, 85 N.M. 474, 513 P.2d 717 (Ct.App.1973); Stryker v. Barbers Super Markets, Inc., 81 N.M. 44, 462 P.2d 629 (Ct.App.1969). Further,
[i]t is not absolutely essential, in order to obtain the benefits of absolute privilege, that the language claimed to be defamatory be spoken in open court or contained in a pleading, brief, or affidavit____ If the alleged defamatory statement is made to achieve the objects of the litigation, the absolute privilege applies even though the statement is made outside the courtroom and no function of the court or its officers is invoked.
Romero v. Prince, 85 N.M. at 477, 513 P.2d at 720 (citation omitted).
As previously noted, Section 38-1-14 authorizes the filing of a notice of lis pen-dens. Further, under our statute the notice of lis pendens serves merely for constructive notice to subsequent purchasers and encumbrancers. It is therefore merely a republication of the pleadings filed in the pending judicial proceeding and it should enjoy the same absolute privilege accorded those proceedings.
It is “[o]nly in extreme cases [that] a publication made in connection with a judicial proceeding [will] serve as the basis for a defamation action.” Penny v. Sherman, 101 N.M. at 520, 684 P.2d at 1185. The kinds of extreme circumstances that allow for a defamation action arising from publication of material in a judicial proceeding are those in which the defamatory material is irrelevant or immaterial to the cause or subject of inquiry. 53 C.J.S. Libel and Slander § 104c(a) (1948). If the defamatory matter is revealed during the course of the judicial proceeding, and it is relevant or material to the subject of inquiry, then no action of defamation will lie — regardless of how false or malicious the defamatory statement might be. Id. Thus, it appears that even under the exception, the facts of the instant case do not support a denial of the claim of absolute privilege. “[A] notice of lis pendens may be properly filed only if plaintiff pleads a cause of action which involves or affects the title to, or any interest in or a lien upon, specifically described real property.” Rehnberg v. Minnesota Homes, Inc., 236 Minn. 230, 233-234, 52 N.W.2d 454, 456 (1952). The filing of the lis pendens, no matter how malicious or false, was relevant and material to the claim by Superior and DeWents of an ownership interest in the land.
Thus, given the foregoing analysis, we determine that the filing of a lis pen-dens is absolutely privileged and cannot support an action for slander of title. We note, however, that although slander of title may not provide a remedy to persons in the Linnerooths’ position who have been wronged by a filing of a notice of lis pen-dens, such wrongful filing may support an action for abuse of process. See e.g., Hertz Corp. v. Paloni, 95 N.M. 212, 619 P.2d 1256 (Ct.App.1980) (describing elements of abuse of process). In this case, however, the Linnerooths failed to assert that claim; and since Superior’s filing of the notice of lis pendens enjoys absolute privilege, the judgment in favor of Linnerooths for slander of title must be reversed.
IT IS SO ORDERED.
SOSA, Senior Justice, and FEDERICI and WALTERS, JJ., concur.
STOWERS, J., dissents.
. The basis of the slander of title action was that the lis pendens clouded their title and thereby delayed the closing on the property.
. The evidence shows that DeWent's signature was placed on the purchase papers because American was interested in selling only to buyers that it could be assured would build within a certain time. DeWent's signature, as a builder, was therefore attached to the purchase papers. | [
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OPINION
WALTERS, Justice.
Plaintiffs Robert S. and Viola Barela sued defendant George B. Locer for breach of contract, alleging that Locer had violated a realty purchase agreement containing an option of first refusal to mineral rights in the realty. The trial court granted summary judgment in favor of Locer, but allowed the Barelas to amend their complaint to allege mistake and misrepresentation, and to ask for reformation of contract. After a bench trial, the court entered judgment for Locer. The Barelas appeal and we reverse.
On May 7, 1970, the Barelas, as purchasers, and Locer, as seller, signed a purchase agreement for certain real estate. Under the agreement, Locer retained all mineral rights, but also agreed “to grant to purchaser an option of first refusal to acquire mineral rights on said premises and such option shall survive and be enforceable for a period of one year after death of seller.” On June 22, 1970, Locer executed and delivered to the Barelas a warranty deed for the surface rights of the property. The deed reserved to Locer, as grantor, “all minerals of every type, character and description,” but made no reference to the Barelas’ right of first refusal to acquire mineral rights. The Barelas accepted the deed.
In May 1979, Locer leased to Alex Phillips all of his mineral rights in the realty. The Barelas became aware of the Phillips lease in late 1979. In January, 1981, claiming that the lease to Phillips constituted a breach of their right of first refusal, Barelas sued. Both parties filed motions for summary judgment.
The trial court concluded that the terms of the warranty deed extinguished the earlier purchase agreement provision for first refusal under the doctrine of merger, and granted summary judgment for Locer. At the same time, it allowed the Barelas to amend their complaint to request equitable reformation of contract based on legal theories of mistake and misrepresentation. Following a trial without a jury, the court found that Locer had made no misrepresentations or fraudulent statements and that there had been no mutual mistake of fact. The court concluded not only that the doctrine of merger applied to the right of first refusal, but also that the lease to Phillips did not constitute an acquisition of mineral rights by Phillips. Finally, the court decided that the Barelas had no rights in the subject mineral interests and entered judgment for Locer.
I. The Purchase Agreement and the Deed
The Barelas argue that their right to have first refusal of the mineral rights did not merge into the subsequent lease, that the mineral lease was indeed a violation of that right, and that they are therefore entitled to damages and reformation of their deed. We agree that the lease breached the agreement between Locer and the Barelas. We discussed the doctrine of merger in El Sol Corp. v. Jones, 97 N.M. 645, 642 P.2d 1104 (1982), where a prior agreement that the buyer would reconvey the minerals to the seller after a certain period was held to be of no effect because it had merged into the subsequent mineral deed conveying title to the minerals in fee simple absolute, without reservation or reference to the prior agreement. We there stated the doctrine of merger, quoting from Continental Life Insurance Co. v. Smith, 41 N.M. 82, 88-89, 64 P.2d 377, 381 (1936), as follows:
In the absence of fraud, mistake, etc., the following stipulations in contracts for the sale of real estate are conclusively presumed to be merged in a subsequently delivered and accepted deed made in pursuance of such contract, to wit: (1) Those that inhere in the very subject-matter of the deed, such as title, possession, emblements, etc.; (2) those carried into the deed and of the same effect; (3) those of which the subject-matter conflicts with the same subject-matter in the deed. In such cases, the deed alone must be looked to in determining the rights of the parties.
But where there are stipulations in such preliminary contract of which the delivery and acceptance of the deed is not a performance, the question to be determined is whether the parties have intentionally surrendered or waived such stipulations. If such intention appears in the deed, it is decisive; if not, then resort may be had to other evidence.
El Sol Corp. v. Jones, 97 N.M. at 647, 642 P.2d at 1106.
Locer contends that his ownership of mineral rights was covered in both the purchase agreement and the deed. He relies on the following language from the Continental Life case to assert that the deed’s absolute reservation of mineral rights in himself governs the entire transaction and that the right of refusal merged into the deed:
If convenants regarding the same subject-matter, consistent or inconsistent, [sic] with those in the contract appear in the deed, they are conclusively presumed to have merged therein * * *.
Continental Life Insurance Co. v. Smith, at 88, 64 P.2d at 380-381. We note that the quoted material continues:
but if the deed contain no evidence of intention on the subject, then the question is open to other evidence to determine such intention, and in the absence of evidence there is no presumption that either party intended to waive stipulations in the contract by the delivery or acceptance of a deed.
Id. We find the latter language more applicable to the present case.
Although both the purchase agreement and the subsequent deed address the subject matter of Locer’s mineral ownership by expressly reserving that interest to Locer, only the purchase agreement refers to Locer’s future disposition of any mineral rights. A contract granting a right to refuse a future purchase is not equivalent to a contract of sale; at best, it gives only the right to purchase upon the terms of the agreement. Keefer v. United Electric Coal Companies, 292 Ill.App. 36, 10 N.E.2d 836 (1937); Kenton Coal & Oil Co. v. Petroleum Exploration, Inc., 287 Ky. 563, 154 S.W.2d 556 (1941). See also Master Builders, Inc. v. Cabbell, 95 N.M. 371, 622 P.2d 276 (Ct.App.1980), cert. denied, 95 N.M. 426, 622 P.2d 1046 (1981). See generally III American Law of Property § 11.-17 (1952).
We have stated that “[a]n option to purchase is a contract where the property owner, in exchange for valuable consideration, agrees with another person that the latter shall have the privilege of buying property within a specific time on terms and conditions expressed in the option.” Hueschen v. Stalie, 98 N.M. 696, 698, 652 P.2d 246, 248 (1982). See also Northcutt v. McPherson, 81 N.M. 743 at 745, 473 P.2d 357 at 359 (1970) (option is right of optionee to comply or not comply with option’s terms, at sole choice and election of optionee). By contrast, a right of first refusal shifts the initiative back to the promisor; the holder of the right has no opportunity to exercise it until the promisor/seller decides to offer up the property for sale. Although denominated an “option,” the true nature of the promise in the purchase contract was a bargained-for right of first refusal. For a general discussion of the comparison between a right of first refusal and an option, see 1A Corbin on Contracts § 261 (1963).
Thus, the nature of an option, and even more so of a right of first refusal, differs fundamentally from an outright sale of fee simple ownership. “A lease with an option to purchase real estate creates no estate in the lessee beyond his leasehold interest.” Hueschen v. Stalie, 98 N.M. at 698, 652 P.2d at 248. No sale occurs until the option is exercised in accordance with its terms. Id. In El Sol, we held that “title to the minerals was the very subject matter of both the agreement and the deed.” El Sol Corp. v. Jones, 97 N.M. at 647, 642 P.2d at 1106. By contrast, in the present case not only does the provision in the purchase agreement relate to a different subject matter—possible conveyance of mineral rights—than does the broad reservation of mineral rights in the deed, but the two provisions do not conflict. The deed covers what both parties contemplated concerning the current ownership of the mineral rights. The purchase agreement covered what both parties contemplated would be the Barelas’ right if Locer ever decided to convey the mineral rights. The right to acquire the mineral rights could be exercised only at Locer’s discretion and the provision relating to future alienation, as expressed in the purchase agreement, was consistent with the seller’s ownership of those rights as expressed in the deed. By its terms, the right was enforceable until one year after Locer’s death and, thus, was clearly intended to coexist with Locer’s ownership interest. See also Sanchez v. Dickinson, 551 S.W.2d 481 (Tex.Civ.App.1977). As a consequence, the right of first refusal was not such a stipulation as would be conclusively presumed to have merged in the subsequent deed, under El Sol.
Moreover, delivery and acceptance of the deed to the surface rights was not a performance of the second part of the purchase agreement which dealt with mineral rights, especially since there was no evidence, contrary to Locer’s contention, that the Barelas surrendered or waived the right of first refusal. Relying on its conclusion of merger, the trial court made no specific finding on that matter. Because we disagree with the court’s application of merger, it is necessary also to examine the evidence in accordance with the Continental Life analysis regarding waiver.
The survival clause in the purchase agreement, as well as the following evidence, is insufficient to show any such intent: the absence of any negotiations in the time period between execution of the purchase agreement and the deed; the letter sent to Locer by his own attorney after the deed was executed to remind him that he had given to “Mr. Barela the right of first refusal in case you [Locer] decide to sell your mineral rights”; and the Barelas’ offer to purchase the minerals one month before Locer leased the minerals to Phillips. As we have already stated, the grant of a right of first refusal and the deed’s subsequent reservation of mineral rights to the grantor are not inconsistent; acceptance of the deed could not indicate an intent by the Barelas to waive their right. The deed was a partial performance of the first of two terms agreed upon in the purchase agreement: the conveyance of the surface rights. The second term of the agreement—the right of first refusal to acquire the mineral rights—was denied -the Barelas by the promisor of that term. Under the El Sol standards, as well as under contract law, the doctrine of merger does not apply and waiver may not be shown by mere acceptance of the deed. Corbin, supra. In the absence of any evidence of waiver or surrender, the right of first refusal stands as part of the initial agreement between the parties, and it was breached by Locer.
II. The Lease
? further contends that even if the “option” remains effective, the trial court was correct in concluding that the mineral lease to Phillips did not constitute an acquisition of mineral rights such as would breach the agreement. That assertion makes no sense. “This Court, since 1922, has consistently held that oil and gas and mineral leases are [conveyances of] real property.” Padilla v. Roller, 94 N.M. 234, 235, 608 P.2d 1116, 1117 (1980) (citations omitted). See Vanzandt v. Heilman, 54 N.M. 97, 214 P.2d 864 (1950) (oil lease conveys an interest in real property). Locer discounts Padilla and Vanzandt by arguing that the specific holdings in those cases were limited to leases of community property or specific performance disputes only, and contending that a lease of mineral interests is not equivalent to an outright sale of the ownership of those interests. We cannot understand the import of that observation. We have clearly stated that, in general, mineral leases convey a realty interest and, whether it be a conveyance for a term or a deed absolute, a document such as was executed in favor of Phillips does in fact represent an “acquisition of mineral interests” by someone other than the Barelas. That conveyance to someone else was violative of the agreement between the Barelas and Locer. Since the Locer-Barela agreement was unrecorded, Phillips took without notice of the Barelas’ rights, and no liability, therefore, attaches to him. But his non-liability has no affect on the facts of Locer’s breach and Locer’s liability therefor.
Because we now hold that the Barelas are entitled to damages on their breach of contract claim, it is unnecessary to address their equitable contentions of mistake or misrepresentation. The matter is reversed and remanded to the trial court for a determination of damages and entry of judgment against Locer and in favor of the Barelas.
IT IS SO ORDERED.
FEDERICI, C.J., and SOSA, Senior Justice, concur.
RIORDAN, J., dissents.
STOWERS, J., concurs with dissenting opinion. | [
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OPINION
GARCIA, Judge.
Defendant was convicted of aggravated burglary with a firearm enhancement, NMSA 1978, Sections 30-16-4(A) (Repl. Pamp.1984) and 31-18-16 (Repl.Pamp. 1981); aggravated assault with a firearm, NMSA 1978, Sections 30-3-2(A) (Repl. Pamp.1984) and 31-18-16, and larceny over $100.00 in violation of NMSA 1978, Section 30-16-1 (Repl.Pamp. 1984). In his pro se docketing statement defendant claimed some thirty-nine points of error. Of the issues briefed, defendant’s complaints can be divided into three main categories: 1) sufficiency of the evidence; 2) whether the trial court abused its discretion in denying defendant’s motion to discharge his attorney; and 3) whether the trial court abused its discretion in denying defendant’s request for a continuance. Other issues raised in the docketing statement were not briefed; they are deemed abandoned. State v. Henderson, 100 N.M. 260, 669 P.2d 736 (Ct.App.), cert. denied, 100 N.M. 259, 669 P.2d 735 (1983). We affirm the convictions.
SUFFICIENCY OF EVIDENCE
This court has previously articulated the test for sufficiency of the evidence in a criminal case. “[W]e must determine whether there is sufficient evidence to justify a rational trier of fact to find beyond a reasonable doubt with respect to every element essential to a conviction.” State v. Carter, 93 N.M. 500, 503, 601 P.2d 733, 736 (Ct.App.) cert. denied, 93 N.M. 683, 604 P.2d 821 (1979). Defendant argues that there is insufficient evidence to sustain his conviction, and directs our attention to the claimed absence of evidence. Specifically, defendant argues that fingerprints which should have been on the gun and radio were neither taken nor preserved, and that the state failed to trace the ownership of the weapon. This court does not weigh the evidence, but reviews the record to determine whether the evidence supports a conviction. We must view the evidence in the light most favorable to the prevailing party, resolving all conflicts therein and indulging all permissible inferences in favor of the jury’s verdict. State v. Tovar, 98 N.M. 655, 651 P.2d 1299 (1982); State v. Lankford, 92 N.M. 1, 582 P.2d 378 (1978); State v. Lucero, 88 N.M. 441, 541 P.2d 430 (1975).
FACTS
The facts favorable to the state disclose that during the late evening hours of August 2, 1984, John Eder, security guard for Albuquerque North Auto Sales, found a door to the office trailer unlocked. As he began to investigate the exterior of the trailer, defendant stepped out of the darkness, pointed a gun at him and threatened to kill him. Defendant was holding a radio in one hand and a cocked gun in the other. Defendant told Eder to “give him a break” a:,-’ said he needed money because his wife had cancer. A noise distracted defendant, and Eder was able to disarm him and, following a scuffle, subdued and handcuffed defendant. At the time of defendant’s arrest, he had in his possession a money bag containing cash and checks in excess of $100.00, keys, a radio and other items all belonging to Albuquerque North Auto Sales.
The investigation disclosed that entry into the victim’s office had been accomplished by breaking a window. Blood was found on the window curtains and inside the office. At the time of arrest, defendant’s hand was lacerated and bleeding. Testimony presented by the state’s expert serologist showed the existence of characteristics common to blood samples taken at the crime scene and defendant’s blood. Defendant was identified as the assailant by Mr. Eder. Another witness saw and identified defendant as the individual who fought with Eder, and the arresting officer identified defendant as the person arrested at the crime scene. The owner of the business establishment testified that defendant was not authorized to be on the premises on the night of the burglary. Considering the evidence under the appropriate standard of review, we conclude that there is ample evidence to support the convictions.
WHETHER THE TRIAL COURT ERRED IN REFUSING DEFENDANT’S REQUEST TO DISCHARGE HIS ATTORNEY
Prior to his arraignment, defendant filed an entry of appearance and relying on Faretta v. California, 422 U.S. 806, 95 S.Ct. 2525, 45 L.Ed.2d 562 (1975), sought to represent himself in the criminal proceedings. The court examined defendant on his request to waive counsel, State v. Montler, 85 N.M. 60, 509 P.2d 252 (1973), and obtained information concerning his education, training, experience and familiarity with court proceedings. Defendant represented that he had earned his G.E.D. and had completed one year of college. He had studied and was familiar with criminal procedural rules, and had previously represented himself on felony charges. The trial court determined that defendant was competent to act as his own attorney and, pursuant to defendant’s request, allowed him to appear in a pro se capacity. During a subsequent motion hearing, the court reminded defendant that he was under no obligation to represent himself, but was entitled to court appointed counsel if he could not afford his own attorney. The court inquired about defendant’s self-representation, and learned that defendant was satisfied. The case was set for jury trial on April 1, 1985. Two working days prior to the commencement of the trial, defendant filed a motion to withdraw as his own attorney and for a continuance. Defendant represented that he had been ill and was unable to handle his own defense. He informed the court that he had retained the services of Counselor Edward Chavez. Pri- or to allowing Mr. Peterson to withdraw as his own attorney, and due to the court’s concern that the request may have been motivated by defendant’s intent to delay the trial, the court spoke with attorney Chavez:
Court: Understand the rules of a case like this, Mr. Chavez, once you enter your appearance, you are in it for the duration, in other words, until it is all over. I won’t be receptive to any motion to withdraw if your financial arrangements with Mr. Peterson don’t pan out as anticipated or if you have any personality problems with him, or anything else, not that I anticipate you will.
Similarly, the court spoke with Mr. Peterson:
Court: Mr. Peterson, I want you to know that Pm pleased that you got yourself a lawyer, but I’m not going to be interested in any attempt to fire Mr. Chavez or delay the trial or horse the matter around.
Defendant: No, no. Mr. Chavez is a good man. I have confidence in him.
Court: That’s fine.
The court granted defendant’s request for withdrawal and a continuance and rescheduled the trial. Shortly before the date of the rescheduled trial, Mr. Chavez filed a motion to withdraw as counsel asserting that he had been fired by defendant. Defendant represented that fee arrangements, personality conflicts and disputes around trial strategy compelled him to fire his attorney. The court conducted a hearing on defendant’s motion on April 19, 1985, at which time defendant stated that he had recovered from his illness and now wished to represent himself, and further, that he would need another continuance to prepare for trial. The court reminded defendant and counsel of the conditions imposed on them at defendant’s previous request for a continuance, and indicated the trial would proceed as scheduled. Defendant objected to having Mr. Chavez represent him, and wanted to represent himself. The court consented to allow defendant to conduct his own defense, but directed that Mr. Chavez remain available as standby counsel in the event defendant wished to consult with him. Defendant again objected to having Mr. Chavez remain as standby counsel. While the court and the attorneys were discussing the propriety of allowing Mr. Chavez to be excused altogether, defendant once again changed his mind and stated that he would be prejudiced by not having Mr. Chavez present. The following colloquy ensued:
Defendant: At this late point in the game, your honor, I feel that I would be at a disadvantage and I would be denied due process of law if he [Mr. Chavez] didn’t remain.
Court: Well now, are you asking the court to have Mr. Chavez remain? You have to make up your mind. Are you asking the court—
Defendant: Yes. Let Mr. Chavez, allow Mr. Chavez, I have no other alternative other than allowing Mr. Chavez to remain. I have no alternative in the matter because he had me off half-cocked in this thing.
Court: [I] don’t know what he [defendant] wants to do either. In one breath he says he doesn’t want Mr. Chavez around, and in the next breath he says he wants him.
Defendant: I don’t like to seem like I’m fickle, in regards to this, but he had me on a string.
Court: I want to know. Do you want me to keep him [Chavez] here?
Defendant: Keep him, your honor, its too late to change now.
Pursuant to this last request, the court did not allow Mr. Chavez to leave. Mr. Chavez remained available for consultation on a standby basis. Defendant proceeded to conduct his own defense, but did consult with Mr. Chavez at various times during the course of the proceedings.
Defendant complains that the court erred in refusing to allow Mr. Chavez to withdraw. This complaint is frivolous. One ought not be heard to complain because the very relief he requested was granted. Proper v. Mowry, 90 N.M. 710, 568 P.2d 236 (Ct.App.1977) (where error claimed arose out of plaintiff’s requested instructions, plaintiff will not profit from own error on appeal); Platero v. Jones, 83 N.M. 261, 490 P.2d 1234 (Ct.App.1971) (plaintiff may not complain on appeal that his requested findings were accepted).
The Sixth Amendment grants an accused the right to assistance of counsel. The amendment contemplates that counsel will be an aid or benefit to a willing defendant. Just as surely as a defendant has a right to counsel, he has the right to be free from unwanted counsel. A waiver of one’s right either to have counsel or to represent oneself must be clearly stated. It must be knowing, intelligently and voluntarily made. Faretta v. California. Here, the record shows defendant’s position on proceeding pro se changed at least four times. Conduct indicating that defendant is vacillating on self-representation may constitute a waiver of his right. Brown v. Wainwright, 665 F.2d 607 (5th Cir.1982); United States v. Bennett, 539 F.2d 45 (10th Cir.1976).
Defendant initially chose to waive counsel and the court ruled he was competent to represent himself. He subsequently withdrew his waiver and retained counsel. Later, he fired his attorney and indicated a preference to proceed pro se. When the court indicated that counsel would remain available in a standby capacity, defendant initially objected, but thereafter, indicated he would be prejudiced if his attorney were allowed to leave. Defendant’s position is reminiscent of Socrates’ cross-examination of Euthyphro, who became so entangled in his own conflicting position and statements, that he finally told his examiner: “But, Socrates, I really don’t know how to explain to you what is in my mind. Whatever statement we put forward always somehow moves round in a circle, and will not stay where we put it.” Plato’s Dialogues, Euthyphro, Apology and Crito translated by F.J. Church (1983). Similarly, defendant’s position moves round in a circle and does not stay put. We find no error in the trial court’s ruling.
WHETHER THE COURT ERRED IN DENYING DEFENDANT’S REQUEST FOR A CONTINUANCE
In pretrial proceedings, the court specifically reminded defendant of his obligation to subpoena witnesses and to have then available for court proceedings. Three days prior to the first trial date, defendant requested the court vacate the proceedings and grant a continuance so that his newly retained attorney have an opportunity to prepare for trial. The court granted defendant’s motion, but was careful to lay the ground work to prevent further delays in the court proceedings. Prior to vacating the first trial setting, the court specifically discussed with defendant and his attorney the likely result of other requests to delay the trial. Defendant had approximately four months to prepare his defense, and was on bond for at least one-half that time. While free on bond, defendant had access to, and was provided discovery information by the state. Defendant was free to contact his witnesses and to arrange for their testimony. Prior to his re-arrest, he had access to whatever re-' search materials were appropriate or necessary. Under these circumstances; the court’s denial of defendant’s motion for an additional month’s continuance was not an abuse of discretion. See United States v. Lamb, 575 F.2d 1310 (10th Cir.1978), cert. denied, 439 U.S. 854, 99 S.Ct. 165, 58 L.Ed.2d 160 (1978) (no abuse of discretion when attorney for accused has five weeks to prepare for trial). Defendant had ample time to prepare for his own defense. Any lack of preparedness on his part was due to his own dilatoriness. State v. Deats, 82 N.M. 711, 487 P.2d 139 (Ct.App.1971). We have previously determined that it was not error for a trial court to refuse defendant’s request for a continuance when “[a] review of the record shows that the circumstances upon which he bases his claim can only indicate that the defendant alone was responsible for whatever transpired.” Id. at 714, 487 P.2d 139. Defendant did not raise an alibi defense nor does he demonstrate how the absence of any key witness was critical to his defense. State v. Perez, 95 N.M. 262, 620 P.2d 1287 (1980). He fails to demonstrate how the state is in any way responsible for his own inability to locate research materials which were purportedly stored at his girl friend’s residence. Finally, defendant argues that lack of access to the detention center’s law library precluded him from adequate case preparation. The record, however, indicates defendant’s own lack of due diligence in seeking to obtain access to research materials. See State v. Pruett, 100 N.M. 686, 675 P.2d 418 (1984). Upon defendant’s request for access, the court granted his motion.
The trial court has dual responsibilities. Not only should the court grant defendant a right to a fair trial, but the court is also required to provide for the orderly and expeditious processing of litigation. In meeting this second responsibility, the court seeks to avoid delays which prevent the efficient and expeditious disposition of cases. In this case, the court clearly met both its responsibilities in providing defendant with a fair and full trial, and insuring that cases assigned to the court’s docket were brought to an early and orderly disposition.
The trial court is affirmed in all respects.
IT IS SO ORDERED.
WOOD and ALARID, JJ., concur. | [
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OPINION
BIVINS, Judge.
Plaintiff Rhoda Ann Strickland, as personal representative, brought this wrongful death action against a utility and farm owner for damages resulting from death of plaintiff’s husband, Joseph Strickland. For factual background, see Strickland v. Roosevelt County Rural Electric Cooperative, 99 N.M. 335, 657 P.2d 1184 (Ct.App.1982). In that case this court affirmed the judgment against the utility company and the order of the trial court that the worker’s compensation carrier be reimbursed out of the judgment.
Upon remand following that appeal, the utility company paid the amount of the judgment into court. It is not a party to this appeal. Reimbursement was then made to the compensation carrier for the compensation benefits paid to plaintiff, as decedent’s widow, and to Patrick Strickland, decedent’s natural child, less the compensation carrier’s proportionate share of attorney fees and costs. No appeal was taken from that order.
The trial court then entered an order determining that plaintiff and Patrick were equally entitled to the proceeds of the wrongful death award, and that “each of these distributees shall have deducted from their respective one-half (V2) of the judgment that portion of the reimbursement representing sums paid by the compensation carrier to that distributee * * *.” Plaintiff appeals from this order of distribution. (Plaintiff also appealed from an order excluding her son, Paul Strickland, from sharing in the wrongful death proceeds, but later abandoned that claim.)
Plaintiff contends that after reimbursing the compensation carrier the balance of the judgment should be distributed equally to herself, as surviving wife, and to Patrick, as surviving child. On the other hand, while Patrick agrees that the amount of the wrongful death proceeds should be divided equally between plaintiff and himself, he disagrees as to the amount to be divided equally. He argues that the total judgment should have been divided into two equal shares, and each should be required to reimburse the compensation carrier from an equal share the amount of benefits that each distributee received from the compensation carrier. The method adopted makes a significant difference in the net recovery that each party will receive.
Before illustrating this difference, we first set out the undisputed facts as to the respective rights of the parties to participate in the worker’s compensation benefits and in the wrongful death proceeds. As a result of an appeal in Cunnan v. Blakley and Sons, Inc., 93 N.M. 217, 598 P.2d 1177 (Ct.App.1979), it was determined that plaintiff and her son, Paul (decedent’s stepson), were entitled to 55% of the decedent’s average weekly wage and Patrick, as the natural son, was entitled to 5% thereof. Based on these percentages, the trial court in its order deducted from plaintiff’s share the sum of $38,578.69, and from Patrick’s share the sum of $3,809.49. The parties do not dispute that under the Wrongful Death Act, each is entitled to one-half of the judgment proceeds. See NMSA 1978, § 41-2-3 (Repl.Pamp.1982). Nor do the parties dispute the compensation carrier’s right to reimbursement.
Thus, the sole issue on appeal is whether equal distribution of net proceeds is to be made among these beneficiaries under the Wrongful Death Act after reimbursing the compensation carrier from the total wrongful death award, or should each wrongful death beneficiary reimburse the compensation carrier from his and her equal share of the total judgment the amount of compensation benefits received by that beneficiary. This is a matter of first impression in this state.
We answer the question by holding that each wrongful death beneficiary should reimburse the compensation carrier from his or her share of the wrongful death award the amount of benefits received by that beneficiary pursuant to the Workmen’s Compensation Act. NMSA 1978, §§ 52-1-1 to -69 (Orig.Pamp. and Cum.Supp. 1984). In so holding, we affirm the trial court.
To graphically illustrate the difference in the two approaches and using round figures without deductions for costs or attorney fees, the facts before us would produce these results:
Plaintiff’s method:
Total available $120,000
Less reimbursement $ 42,000
$ 78,000
Distribute to each beneficiary one-half $ 39,000
The court’s method:
Total available $120,000
Distribution to each beneficiary $ 60,000
Plaintiffs net recovery $ 22,000 ($60,000-$38,000)
Patrick’s net recovery $ 56,000 ($60,000-$4,000)
Under plaintiff’s approach she and Patrick would each receive net $39,000, whereas as under the court’s method she would receive only $22,000.
While conceding a disparity in wrongful death benefits would result under her approach, plaintiff argues that the Workmen’s Compensation Act contemplates this disparity by allowing a widow more benefits than children. While this is true, what plaintiff overlooks is that under the Workmen’s Compensation Act, there can be but one recovery. Section 52-l-56(C) reserves the right of any worker, or in the case of death, those entitled to receive payment or damages occasioned to the worker, to pursue claims against third parties, but clearly provides that “he or they, as the case may be, shall not be allowed to receive payment or recover damages therefor, and also claim compensation from the employer # * * >>
In Britz v. Joy Manufacturing Co., 97 N.M. 595, 597, 642 P.2d 198, 200 (Ct.App.1982), we said:
Where a .claimant has sought relief from a third party the amount of the recovery is for the full loss or detriment suffered by the injured party and makes him financially whole, and thus any subsequent compensation claim is barred. Castro v. Bass, 74 N.M. 254, 392 P.2d 668 (1964); Seminara v. Frank Seminara Pontiac-Buick, Inc., 95 N.M. 22, 618 P.2d 366 (Ct.App.1980).
We also stated in Britz the two-fold purpose of Section 52-l-56(C): “to prevent dual recovery, Brown v. Arapahoe Drilling Co., 70 N.M. 99, 370 P.2d 816 (1962), and to provide reimbursement for employers, Reed v. Styron, 69 N.M. 262, 365 P.2d 912 (1961).” 97 N.M. at 597, 642 P.2d at 200.
To adopt plaintiff’s method of distribution would allow her double recovery. This we cannot do. Brown v. Arapahoe Drilling Co. Plaintiff argues that “[wjhat Judge Martinez’s Order did was allow the son to make up through the wrongful death judgment for the inequality of benefits mandated by the Compensation Act, at the expense of the widow.” This is incorrect. What the order did was allow each wrongful death beneficiary to receive his or her statutory amount, subject to reimbursing the compensation carrier for benefits received under the Workmen’s Compensation Act. This makes each beneficiary whole and avoids double recovery by either.
Relying on language in the original judgment, affirmed in Strickland, that required reimbursement to the compensation carrier out of the entire judgment, plaintiff also argues that this became the “law of the case” so that the trial court had no authority to order reimbursement out of the parties’ respective shares. The trial court did order reimbursement out of the entire judgment. This did not, however, preclude apportionment between the recipients of the award. The trial court had authority to do what it did.
Plaintiff relies on cases from other jurisdictions to support her contentions. We have reviewed those cases and find that none actually addresses the question presented in this appeal or applies to a statutory provision similar to those adopted by this state.
We affirm the trial court’s order making distribution. Appellate costs shall be borne by plaintiff.
IT IS SO ORDERED.
DONNELLY, C.J., and MINZNER, J., concur. | [
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OPINION
OMAN, Justice.
On about October 5, 1957, defendant kidnapped, had carnal knowledge of, and murdered a five year old child. He was first convicted of kidnapping, of having carnal knowledge of a child under the age of 10 years, and of first degree murder. On appeal to this Court, his convictions were reversed and the cause remanded for a new trial. State v. Padilla, 66 N.M. 289, 347 P.2d 312 (1959).
On retrial in April 1960, defendant was again convicted of kidnapping, of having carnal knowledge of a child under the age of 10.years, and of murder. He was sentenced to life imprisonment for the murder, to life imprisonment for the act of carnal knowledge and to not more than 20 years imprisonment for the kidnapping, with the three sentences to run consecutively. No appeal was taken from these convictions or sentences.
On June 6, 1966, defendant filed a motion to vacate judgment and sentences pursuant to Rule 93, Rules of Civil Procedure [§ 21-1-1(93), N.M.S.A.1953 (Repl.Vol. 4 1970)]. On July 5, 1967, defendant filed another motion to vacate judgment and sentences. These motions were denied without hearing by Order entered January 13, 1972. An appeal was taken from that Order. Before the appeal was fully perfected, another motion under Rule 93, supra, was filed on his behalf by his attorney. An Order without hearing was then entered denying this motion. An appeal was taken from this Order. The cause is now before us on these appeals. We affirm.
Defendant relies upon four points for reversal. The first is his claim that he was denied a fair and impartial trial by the State’s use of his confession as evidence. Specifically, his complaint is that his confession, which was recorded on tapes and later reduced therefrom to typewritten form, was not voluntarily given in that he did not fully understand the terms being used by his interrogator, the district attorney, and he was harassed and coerced to such an extent that he was incapable of making a rational and effective choice as to whether or not he should waive his right to remain silent.
The admissibility of the confession was an issue considered and decided by this Court in State v. Padilla, supra. In our decision on that appeal we stated:
“As to the confession itself, we have many times considered the duty of the trial court with respect thereto, and the rule is well stated in State v. Lindemuth, 1952, 56 N.M. 257, 243 P.2d 325, 331, as follows:
Whether or not confessions should go to the jury “is in the first instance •a question of law for the determination of the court.” (Citations).’
“The record at the trial is clear that the period of interrogation was not unduly long, being only two and a half hours, during which time the defendant was given food and drink. There was no showing of any threat, promise or abuse in any sense or that the defendant did not understand English, and, although it is not contended that the defendant was ‘any mental giant,’ he was advised of his rights, and under our prior holdings we see no error on the part of the trial court in the admission of the confession in evidence.”
The issue as to the admissibility of the confession having been heretofore decided, it may not be relitigated in these postconviction proceedings. Baca v. United States, 383 F.2d 154 (10th Cir. 1967); Miller v. State, 82 N.M. 68, 475 P.2d 462 (Ct.App.1970); Patterson v. State, 81 N.M. 210, 465 P.2d 93 (Ct.App.1970); Nance v. State, 80 N.M. 123, 452 P.2d 192 (Ct.App.1969); Roessler v. State, 79 N.M. 787, 450 P.2d 196 (Ct.App.1969), cert. denied, 395 U.S. 967, 89 S.Ct. 2115, 23 L.Ed.2d 754 (1969).
If defendant was trying in some way to bring himself within the rule announced in Miranda v. Arizona, 384 U.S. 436, 86 S.Ct. 1602, 16 L.Ed.2d 694, 10 A.L.R.3d 974 (1966), he has failed. This rule applies only to cases in which the trials began, after June 13, 1966. Johnson v. New Jersey, 384 U.S. 719, 86 S.Ct. 1772, 16 L.Ed.2d 882 (1966). For a recent discussion by the United States Supreme Court of the criteria held to be guiding in the resolution of the question as to whether new constitutional rules of criminal procedure announced by that Court are to be given retroactive or only prospective application, see Adams v. Illinois, 405 U.S. 278, 92 S.Ct. 916, 31 L.Ed.2d 202 (1972).
In his second point, defendant asserts he was denied his right to a speedy trial because of the failure of the trial court to rule until January 13, 1972 upon his motions filed May 27, 1966 and June 30, 1967. Just why the trial court failed to sooner rule on these motions is not made to appear by the record or the briefs. In any event, the constitutional right to a speedy trial is not applicable to post-conviction proceedings under Rule 93, supra, and defendant was not prejudiced by the delay. He had long since been convicted and was and still is serving his sentences in the New Mexico State Penitentiary, and, as above announced, we affirm the trial court’s order denying the motions.
In his third point, defendant claims to have been denied his constitutional right to a fair and impartial trial because of adverse publicity in Lea County where he was tried. His convictions with which we are here concerned were entered upon his retrial, which took place about 21/2 years after the commission of the offenses. The offenses were committed in Chaves County and venue was changed to Lea County upon stipulation. No efforts were made to change the venue from Lea County on the second trial, and it is admitted that defendant is unable to show prejudice by reason of adverse publicity in Lea County.
In his fourth point, defendant claims the imposition of the three sentences to run consecutively rather than concurrently constituted a denial of his constitutional rights against the infliction of cruel and unusual punishment as provided in the Eighth Amendment to the United States Constitution and in Art. II, § 13 of the Constitution of New Mexico. The provision in the Eighth Amendment to the Constitution of the United States is made applicable to states under the due process clause of the Fourteenth Amendment to the Constitution of the United States. Robinson v. California, 370 U.S. 660, 82 S.Ct. 1417, 8 L.Ed.2d 758 (1962).
At common law, two or more sentences are served concurrently unless otherwise ordered by the court. Swope v. Cooksie, 59 N.M. 429, 285 P.2d 793 (1955). In State v. Miller, 79 N.M. 392, 444 P.2d 577 (1968), cert. denied, Miller v. Baker, 394 U.S. 1002, 89 S.Ct. 1597, 22 L. Ed.2d 779 (1969), defendant was given two sentences for murder, and these sentences were to run consecutively. In our opinion in that case, § 42-1-59, N.M.S.A.1953 (2d Repl.Vol. 6, 1972) was construed as converting the two consecutive sentences into “one continuous sentence.” This section of our statutes provides:
“Whenever any convict shall have been committed under several convictions with separate sentences, they shall be construed as one continuous sentence for the full length of all the sentences combined.”
The effect of this statute is to reverse the common law rule. It is, however, consistent with the rule that “ * * * ‘a court may impose one sentence on * * * conviction on two or more offenses charged in the same indictment without apportioning the sentence to the respective counts in the indictment * * * provided the gross sentence imposed is not in excess of the maximum allowed by law for all the offenses of which the defendant is guilty.’ Levine v. Hudspeth, 127 F.2d 982, 984 (10 CA 1942) cert. den. 317 U.S. 628, 63 S.Ct. 39, 87 L.Ed. 507; accord, Morrison v. Hunter, 161 F.2d 723 (10 CA 1947) * * Baca v. United States, supra.
The New Mexico courts very often order sentences to run concurrently, as demonstrated by reference to recent criminal cases in which multiple sentences for convictions on multiple charges have been imposed. However, defendant recognizes that whether multiple sentences for multiple offenses run concurrently or consecutively is a matter resting in the sound discretion of the trial court. United States v. Butler, 149 U.S.App.D.C. 300, 462 F.2d 1195 (D.C.Cir.1972); Dublin v. Osborne, 388 S.W.2d 588 (Ky.1965). The imposition of consecutive sentences of life imprisonment is proper. State v. Grimm, 461 S. W.2d 746 (Mo.1971); Annot., 33 A.L.R.3d 335, § 9 at 368 (1970) and cases therein cited.
Defendant recognizes that the imposition of separate sentences to run consecutively is lawful and violates no federally protected right Trujillo v. Patterson, 266 F.Supp. 901 (D.Colo.1966). Compare the quotation above from Baca v. United States, supra, and cases therein cited.
He also recognizes that the imposition of multiple valid sentences to run consecutively does not, as such, constitute cruel and unusual punishment as contemplated by the Eighth Amendment to the Constitution of the United States [Smith v. United States, 273 F.2d 462 (10th Cir. 1959)] or by Art. II, § 13. Constitution of New Mexico [State v. Matthews, 79 N.M. 767, 449 P.2d 783 (1969); State v. Peters, 78 N.M. 224, 430 P.2d 382 (1967)].
However, to avoid misunderstanding of any of the language in this regard appearing in the decisions in the Smith, Matthews or Peters cases, excessively long punishments, as well as those which are inherently cruel, are objectionable. See concurring opinion of Justice Marshall in Furman v. Georgia, 408 U.S. 238, 92 S.Ct. 2726, 33 L.Ed.2d 346 (1972); Weems v. United States, 217 U.S. 349, 30 S.Ct. 544, 54 L. Ed. 793 (1910); Annot., 33 A.L.R.3d, supra, § 3 at 349 and cases therein cited. In the present case we are unable to find the consecutive sentences imposed to be excessively long under the facts.
We find no error on the part of the trial court in ordering the sentences to run consecutively. Besides, we agree with the decisions in United States v. Butler, supra, and Irby v. United States, 129 U.S.App. D.C. 17, 390 F.2d 432 (1967) wherein it was stated:
“An attack on consecutive sentences is one which should be made at the time the sentences are imposed, when there is the opportunity to make a meaningful inquiry into the facts. It is not suited to the vehicle of belated collateral attack.”
The order of the trial court should be affirmed.
It is so ordered.
MONTOYA and MARTINEZ, JJ., concur. | [
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ORDER
This appeal questions the authority of New exico to tax income and gross receipts of Indians residing on a reservation when the income and gross receipts involved are derived solely from activities within the reservation. All Judges of the panel are of the opinion that New Mexico may not tax gross receipts under’ the above circumstances. A majority are of the opinion that New Mexico may not tax income under the above circumstances. The Judges’ opinions are attached.
Accordingly, the Commissioner’s Decision and Order applying these taxes to the Hunts’ income and gross receipts is reversed.
It is so ordered.
(s) JOE W. WOOD
Chief Judge
OPINION
WOOD, Chief Judge.
The issues are: (1) disclaimer of authority to tax; (2) absence of authority; and (3) infringement on the right to self-government. In my opinion, New Mexico may tax the income but, may not tax the gross receipts.
Hunt and his wife, Mary, are members of the Pueblo of Laguna. They reside on the lands of the Pueblo within the boundaries of the Pueblo. Their income is derived from three sources — business, salary and interest.
The business is a sole proprietorship. It consists of hauling water by truck within the boundaries of the Pueblo and is carried on solely on Pueblo lands. All real and personal property of the business is located within the Pueblo boundaries. The water is hauled pursuant to agreement between Hunt and the operator of two uranium mines. The water which is hauled is water owned by the Pueblo and obtained from water sources owned by the Pueblo. The operator of the uranium mines does so pursuant to a lease from the Pueblo which has been approved by the Secretary of the Interior pursuant to the laws of the United States.
The salary of Hunt is as director of the Pueblo of Laguna Neighborhood Youth Corps. This is a program sponsored by the Pueblo pursuant to a contract with the United States Department of Labor. The program is funded by money contributed jointly by the Pueblo and the federal government.
The interest is that paid on savings accounts. It is conceded that the savings accounts are not located on the reservation, and the interest is not earned on the reservation. It is conceded that this interest is taxable. The appeal has been abandoned as to this income.
The gross receipts which New Mexico proposes to tax are the gross receipts from the business identified above.
The Pueblo has a Constitution which has been approved .by the Secretary of the Interior.
There is no issue as to the amounts of the proposed tax liability, the procedures for assessment of liability or the protests of no tax liability. The issue is New Mexico’s authority to impose the two taxes.
Disclaimer of authority.
It is asserted that New Mexico Constitution, Art. XXI, § 2 “ * * * contains a disclaimer of jurisdiction over Indian lands, the title to which has not been extinguished. The lands of the Pueblo of Laguna * * * fit this definition precisely.” On this basis, it is contended that New Mexico has disclaimed any authority to impose the taxes. I disagree.
The constitutional disclaimer “ * * * is a disclaimer of proprietary interest * * * and not a disclaimer of governmental control. * * * ” Sangre De Cristo Development Corporation, Inc. v. City of Santa Fe, 84 N.M. 343, 503 P.2d 323 (1972); Ghahate v. Bureau of Revenue, 80 N.M. 98, 451 P.2d 1002 (Ct.App.1969) and cases therein cited. See Kake Village v. Egan, 369 U.S. 60, 82 S.Ct. 562, 7 L.Ed.2d 573 (1962). “The disclaimer is a disclaimer of all right, title and interest to Indian lands until the title of the Indian tribes has been extinguished. The disclaimer provision is not applicable where there is no issue concerning Indian lands. * * *” Ghahate, supra. The imposition of a tax is the exercise of a governmental function. Ghahate, supra, n. 1. Thus, the constitutional disclaimer presents no obstacle to New Mexico’s authority to tax. Sangre De Cristo Development Corporation, Inc., supra.
Absence of authority.
The issue presented under this point is stated in various ways — that the Pueblo has inherent sovereignty, see Your Food Stores, Inc. (NSL) v. Village of Espanola, 68 N.M. 327, 361 P.2d 950 (1961), cert. denied. 368 U.S. 915, 82 S.Ct. 194, 7 L.Ed.2d 131 (1961); that it has aboriginal title; that the issue is political and not judicial; that the history of the Pueblo is inconsistent with New Mexico’s asserted right of taxation; that Congress has consistently acted on the assumption that states have no power to tax reservation Indians, see Williams v. Lee, 358 U.S. 217, 79 S.Ct. 269, 3 L.Ed. 2d 251 (1959); that Congress has not given its consent to the taxes involved; that taxation of Indians by the federal government does not implicitly authorize taxation by the states; that the Pueblo is self-governing. There are other variations; but there is one theme. The theme is that New Mexico has no authority to tax absent specific authority from the federal government. We disagree.
It is not claimed that Congress has authorized New Mexico to impose the taxes involved or provided that New Mexico may not do so. Williams v. Lee, supra, states:
“ * * * Essentially, absent governing Acts of Congress, the question has always been whether the state action infringed on the right of reservation Indians to make their own laws and be ruled by them. . . . ”
Kake Village v. Egan, supra, discussed several of the viewpoints outlined above and stated:
“ * * * [E]ven on reservations state laws may be applied to Indians unless such application would interfere with reservation self-government or impair a right granted or reserved by federal law. . . . ”
The general approach stated in Kake Village v. Egan, supra, was followed by this court and applied to a tax matter in Ghahate v. Bureau of Revenue, supra. A later opinion of the United States Supreme Court applied the language from Williams v. Lee, supra. Kennedy v. District Court of Montana, 400 U.S. 423, 91 S.Ct. 480, 27 L. Ed.2d 507 (1971). Arizona has taken the same approach in tax matters. McClanahan v. State Tax Commission, 14 Ariz.App. 452, 484 P.2d 221 (1971), proba ble jurisdiction noted by U. S. Supreme Court, see McClanahan v. State Tax Commission of Arizona, 406 U.S. 916, 92 S.Ct. 1763, 32 L.Ed.2d 115 (1972); Kahn v. Arizona State Tax Commission, 16 Ariz.App. 17, 490 P.2d 846 (1971). See also Makah Indian Tribe v. Tax Commission, 72 Wash.2d 613, 434 P.2d 580 (1967). I am aware that a contrary approach has been taken in some states. Commissioner of Taxation v. Brun, 286 Minn. 43, 174 N.W.2d 120 (1970); Pourier v. Board of County Com’rs of Shannon County, 83 S.D. 235, 157 N.W.2d 532 (1968); Makah Indian Tribe v. Clallam County, 73 Wash. 2d 677, 440 P.2d 442 (1968).
The approach I follow in this case is that stated in Williams v. Lee, supra, and followed in Kennedy v. District Court of Montana, supra. The question is whether the New Mexico taxes infringe on the right of the Indians of Laguna to make their own laws and be ruled by them. This question is concerned with infringement upon the Pueblo’s right to self-government and not upon infringement of the rights of an individual Indian. McClanahan v. State Tax Commission, supra. Contrary statements in Your Food Stores, Inc. (NSL) v. Village of Espanola, supra, are inapplicable; that case is limited to its particular facts. Ghahate v. Bureau of Revenue, supra.
Infringement.
The Pueblo of Laguna has an approved Constitution and that Constitution authorizes the Pueblo Council, in the exercise of its legislative power, to levy and collect taxes and to regulate trade. These rights are clearly part of the Pueblo’s powers of sel f-go vernment.
Whether the two New Mexico taxes infringe on the Pueblo’s right of self-government depends on the nature of the taxes.
(a) Income tax.
An income tax is a personal tax assessed upon the income of the person. It is not levied upon property or the operations of business but upon the acquisitions of the taxpayer, whatever the source. Mc-Clanahan v. State Tax Commission, supra. New Mexico’s tax fits this definition. See §§ 72-15A-3 and 72-15A-10, N.M.S.A.19S3 (Repl.Vol. 10, pt. 2, Supp.1971).
McClanahan v. State Tax Commission, supra, applied the Arizona income tax to income of reservation Indians after considering that “ * * * an income tax by the Federal Government or a state upon the employee of the other does not interfere with the essential function of the government whose employee is being taxed. * * *” Compare: (1) Northwestern Cement Co. v. Minn., 358 U.S. 450, 79 S.Ct. 357, 3 L.Ed.2d 421, 67 A.L.R.2d 1292 (1959) where it is stated that “* * * a net income tax on revenues derived from interstate commerce does not offend con stitutional limitations upon state interference with such commerce. * * * ”; (2) Bradbury & Stamm Const. Co. v. Bureau of Revenue, 70 N.M. 226, 372 P.2d 808 (1962) where collection of a sales tax from one rendering services to the United States was held not to be a tax upon the United States or its agencies.
The Hunts assert: “ * * * The mere fact that the State attempts to impose the tax is of itself, an interference with the governmental powers of the Tribe. * * * ” I fail to see in what way there is an interference. The Pueblo’s right to tax has not been tampered with. The fact that New Mexico seeks to tax the income and the Pueblo has authority to do so does not make the New Mexico tax objectionable as “double taxation.” Pure Oil Co. v. State, 244 Ala. 258, 12 So.2d 861, 148 A.L.R. 260 (1943); Fox v. Board for Louisville & Jefferson County C. Home, 244 Ky. 1, 50 S.W.2d 67 (1932). No property of the Pueblo is involved. There is no interference with or tax upon an activity within the reservation. The tax is solely on the Hunts’ net income. Section 72-15A-3, supra.
New Mexico’s tax on the personal income of the Hunts does not interfere with Pueblo self-government. In my opinion, New Mexico has authority to impose the tax.
It has been suggested that authority to tax is lacking because New Mexico has no authority to collect the tax in its courts. Assuming, but ■ not deciding, that New Mexico courts lack this jurisdiction, the suggestion presupposes non-compliance with the law. It fails to consider that there may be alternative methbds of collection such as withholding by employers or possible enforcement in federal courts. See § 72-15-51, N.M.S.A. 1953 (Repl.Vol. 10, pt. 2) and § 72-13-71, N.M.S.A. 1953 (Repl.Vol. 10, pt. 2, Supp. 1971). The specific answer to the suggestion is that no question is presented in this case concerning collection of the tax. See Bell Telephone Laboratories v. Bureau of Revenue, 78 N.M. 78, 428 P.2d 617 (1966).
(b) Gross receipts tax.
The Constitution of the United States, Art. I, § 8, clause 3, gives the Congress authority: “To regulate Commerce * * * among the several States, and with the Indian Tribes.” We are not concerned here with the phrase “with the Indian Tribes.” Our concern is with the power to regulate interstate commerce.
“ * * * [T]he Commerce Clause gives exclusive power to the Congress to regulate interstate commerce, and its failure to act on the subject in the area of taxation nevertheless requires that interstate commerce shall be free from any direct restrictions or impositions by the States. * * *" Northwestern Cement Co. v. Minn., supra. Cases cited in Northwestern, supra, are to the effect that a state may not tax the “privilege” of engaging in interstate commerce. Footnote 7 of the Northwestern opinion, 358 U.S. 463, 79 S.Ct. 365, concludes : “ * * * This Court has consistently held that the ‘privilege’ of engaging in interstate commerce cannot be granted or withheld by a State, and that the assertion of state power to tax the ‘privilege’ is, therefore, a forbidden attempt to ‘regulate’ interstate commerce. * * * ”
The applicable principle in this case is that a tax on the privilege of engaging in interstate commerce is an attempt to regulate such commerce. The analogy is that a tax on the privilege of a reservation Indian to engage in business exclusively on reservation land would be an attempt to regulate that business. In practical application, such is an attempt to regulate the activity of Indians on an Indian reservation and, thus, is an attempt to interfere with the Pueblo Council’s authority to regulate activities on the reservation. Compare Williams v. Lee, supra.
Section 72-16A-2, N.M.S.A. 1953 (Repl. Vol. 10, pt. 2, Supp. 1971) states the purpose of New Mexico’s gross receipts tax is to provide revenue “ * * * by levying a tax on the privilege of engaging in certain activities. * * * ” Section 72-16A-4, N. M.S.A. 1953 (Repl.Vol. 10, pt. 2, Supp. 1971) imposes the tax on gross receipts “[f]or the privilege of engaging in business. * * * ” New Mexico’s attempt to tax the gross receipts of an Indian whose business is carried on exclusively upon reservation land is an attempt to determine what business may be carried on within the reservation. Such an attempt is an attempt to interfere with Indian self-government. This is particularly so since the business which New Mexico desires to regulate is the business of hauling, within the boundaries of the Pueblo, water which is owned by the Pueblo. New Mexico does not have the authority to tax the privilege of an Indian to engage in business on an Indian reservation.
The distinction between the income tax and the gross receipts tax is this: the income tax does not regulate or interfere with activities of Indians within a reservation; the gross receipts tax does.
I would affirm the Commissioner’s Decision and Order applying the New Mexico income tax to the Hunts’ income. I would reverse his Decision and Order applying New Mexico’s gross receipts tax to the Hunts’ business receipts.
OPINION
HENDLEY, Judge.
The applicable facts and contentions are set forth in Chief Judge Wood’s opinion. Under those facts, I hold that the State cannot tax gross-receipts or income.
Neither Congress nor the Pueblo has surrendered jurisdiction to the State of New Mexico. The Pueblo is self-governing subject only to the authority of Congress.
The question of a tax on income of Pueblo Indians is a purely political matter for Congress to resolve. I think the matter most unfortunate since the Pueblo receives so many benefits which are directly attributable to the State of New Mexico. However, the Federal government’s long standing policy has been that of affirmative Congressional action before permitting State action.
I would reverse the decision and order of the Commissioner.
OPINION
HERNANDEZ, Judge.
I concur in the opinion of Judge Wood as it relates to the issue of gross receipt tax. I disagree with the opinion of Judge Wood as it relates to the issue of income tax. The opinion of Judge Wood states that “It is not claimed that Congress has authorized New Mexico to impose the taxes involved or provided that New Mexico may not do so.” It is on this point that I disagree. The state would be able to tax such income if it had assumed civil and criminal jurisdiction over the reservations by enacting the enabling provisions required by federal law, 25 U.S.C. §§ 1321, 1322 (1970). New Mexico has not done so; therefore New Mexico may not impose its income tax on members of Indian Tribes living on reservations.
Indian tribes have historically occupied a unique status in our framework of government. In Worcester v. Georgia, 6 Pet. 515, 8 L.Ed. 483 (1832), Chief Justice Marshall held that an Indian tribe possess all the powers of any sovereign state. Referring specifically to the Cherokee Nation he said, “The whole intercourse between the United States and this nation, is by our constitution and laws, vested in the government of the United States.” This doctrine has been subjected to only minor modifications “in cases where essential tribal relations were not involved and where the rights of Indians would not be jeopardized. * * * ” Williams v. Lee, 358 U.S. 217, 79 S.Ct. 269, 3 L.Ed.2d 251, (1959).
In explaining the reasoning of Williams Justice Black, writing for the Court, pointed out that:
“Congress has also acted consistently upon the assumption that the States have no power to regulate the affairs of Indi ans on a reservation. To assure adequate government of the Indian tribes it enacted comprehensive statutes in 1834 regulating trade with Indians and organizing a Department of Indian Affairs [citations omitted]. Not satisfied solely with centralized government of Indians, it encouraged tribal governments and courts to become stronger and more highly organized, [citation omitted]. Congress has followed a policy calculated eventually to make all Indians full-fledged participants in American society. This policy contemplates criminal and civil jurisdiction over Indians by any State ready to assume the burdens that go with it as soon as the educational and economic status of the Indians permits the change without disadvantage to them.” [Emphasis mine].
Our own Supreme Court has stated that the holdings of Williams, supra, and Organized Village of Kake v. Egan, 369 U.S. 60, 82 S.Ct. 562, 7 L.Ed.2d 573 (1962) mean that “state law can be made applicable to reservation Indians unless such applicability interferes with the internal self-government of the tribe or contravenes an express grant or reservation by Federal law.” Natewa v. Natewa, 84 N.M. 69, 499 P.2d 691 (1972).
But there can be no doubt that the imposition of an income tax does interfere with the internal self-government of the tribe. The Laguna Pueblo, operating under a constitution approved by the United States Secretary of the Interior, gives the power to impose an income tax.on Pueblo members to the Pueblo Council. In a 1969 decision, Ghahate v. Bureau of Revenue, 80 N.M. 98, 451 P.2d 1002 (Ct.App.1969), we held that New Mexico could impose an income tax on members of the Zuni Pueblo reservation; but we permitted such taxation only because the parties there entered into a stipulation providing that “The Zuni Indian Tribe itself is not inconvenienced, nor is it interfered with in any way, because of the fact Barton Ghahate and Evangeline R. Ghahate have been required to pay the individual income tax in question to the State of New Mexico.” There was no such stipulation made by the Laguna Pueblo here and Ghahate, supra, is thereby distinguishable.
Moreover, I concluded that the attempted imposition of the state income tax “contravenes an express grant or reservation by Federal law.” New Mexico has had the opportunity to assume civil and criminal jurisdiction over the Laguna Pueblo as well as all other pueblos and tribes in the State since 1953. The Act of August 15, 1953, ch. 505, § 6, 67 Stat. 590 (repealed 1968), provided in part:
“* * * the consent of the United States is hereby given to the people of any State to amend, where necessary, their State constitution or existing statutes, as the case may be, to remove any legal impediment to the assumption of civil and criminal jurisdiction in accordance with the provisions of this Act * * * ”
The current statute, the Indian Civil Rights Act of 1968, 25 U.S.C. § 1322 (1970), now provides, in part:
“The consent of the United States is hereby given to any State not having jurisdiction over civil causes of action between Indians or to which Indians are parties which arise in the areas of Indian country situated within such State to assume, with the consent of the tribe occupying the particular Indian country or part thereof which would be affected by such assumption, such measure of jurisdiction over any or all such civil causes of action arising within such Indian country or any part thereof as may be determined by such State to the same extent that such State has jurisdiction over other civil causes of action, and those civil laws of such State that are of general application to private persons or private property shall have the same force and effect within such Indian country or part thereof as they have elsewhere within that State.”
Section 1321(a) of 25 U.S.C., sets out similar provisions for state criminal offenses and criminal jurisdictions. The crucial distinction between the 1953 legislation and the 1968 Civil Rights Act is that the assumption of jurisdiction by the State now requires not only legislative action by the State but also consent by the tribe or reservation concerned. New Mexico, of course, has adopted neither and exercises neither criminal nor civil jurisdiction over the reservations.
Taxation is largely a matter of jurisdiction. As early as 1819 the Supreme Court pointed out that there are limits to a State’s power to tax, that taxation power, flowing from jurisdiction,
“ * * * is an incident of sovereignty, and is co-extensive with that to which it is an incident. All subjects over which the sovereign power of a State extends, are objects of taxation; but those over which it does not extend, are, upon the soundest principles, exempt from taxation.”
M’Culloch v. Maryland, 4 Wheat. 315, 4 L.Ed. 579 (1819). Similarly, a noted authority on Indian law has commented, “To the extent that Indians and Indian property within an Indian reservation are not subject to State laws, they are not subject to State tax laws.” F. Cohen, Handbook of Federal Indian Law 254 (1970).
As recently as 1971, in a suit to recover a debt owed by some members of the Blackfeet Tribe on some purchases made in a store located within the boundaries of the Blackfeet Reservation the Supreme Court, citing §§ 1321 and 1322, supra, ruled that the Montana State court did not have jurisdiction to entertain such a suit because “ * * * Montana never took ‘affirmative legislative action’ — concerning either civil or criminal jurisdiction — with respect to the Blackfeet Reservation.”
In spite of the fact that the Blackfeet Tribe had enacted a provision giving concurrent jurisdiction to both tribal courts and the Montana State courts over any member of the tribe, the Court held:
“With regard to the particular question of the extension of state jurisdiction over civil causes of action by or against Indians arising in Indian country, there was, at the time of the Tribal Council resolution, a ‘governing Act of Congress’ [the Act of 1953, supra]. Section 7 of that statute conditioned the assumption, of state jurisdiction on ‘affirmative legislative action’’ by the State; the Act made no provision whatsoever for tribal consent, either as a necessary or sufficient condition to the assumption of state jurisdiction. Nor was the requirement of affirmative legislative action an idle choice of words; the legislative history of the 1953 statute shows that the requirement was intended to assure that state jurisdiction would not be extended until the jurisdictions to be responsible for the portion of Indian country concerned manifested by political action their willingness and ability to discharge their new responsibilities.” [Emphasis mine]
Kennerly v. District Court of Montana, 400 U.S. 423, 91 S.Ct. 480, 27 L.Ed.2d 507, (1971).
Under neither the 1953 nor the 1968 Acts, supra, has New Mexico manifested its willingness and ability to assume these responsibilities. Absent such affirmative legislative action together with the consent of the members of Laguna Pueblo, New Mexico does not have the authority to impose an income tax on the members of the Laguna Pueblo living on the reservation for income earned from employment or business conducted wholly within the boundaries of the Laguna Pueblo reservation. | [
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Original Proceeding on Certiorari
Ordered that motion for extension to complete filing of Petition for Writ of Certiorari be and the same is hereby denied.
Further ordered that Petition for Writ of Certiorari directed to the Court of Appeals, 85 N.M. 491, 513 P.2d 1273, be and the same is hereby denied as not being timely. | [
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OPINION
OMAN, Justice.
Plaintiff, Groendyke Transport, Inc., hereinafter called Groendyke, appeals from a judgment of the district court affirming an order of the New Mexico State Corporation Commission, hereinafter called the Commission. By this order, entered on March 4, 1971, the Commission dismissed Groendyke’s complaint filed with the Commission on February 6, 1970, by which it sought to have the Commission declare as invalid the Commission’s certificate of public convenience and necessity No. 953-1, hereinafter referred to as the certificate. This certificate is now held by defendant in intervention, Steere Tank Lines, Inc., hereinafter called Steere.
Groendyke’s position before the Commission, the district court and this court on this appeal was and is that the certificate is null and void because notice of the hearing on the application for the certificate, conducted by the Commission on December 5, 1950 failed to comply with the requirements of Art. XI, § 8 of the Constitution of New Mexico and §§ 64-27-8 and 17, N. M.S.A.1953 (2nd Repl.Vol. 9, pt. 2, 1972). We disagree and affirm the judgment of the district court.
Briefly the pertinent facts are:
(1) On October 26, 1950, Steere’s predecessor filed application for the certificate. On October 27, 1950, the Commission mailed to the applicant a notice with a request that this notice be published in some newspaper one time, not less than five days before the hearing date. This notice recited that the Commission had set November 17, 1950 as the date for the public hearing to be held on the application.
(2) On November 13, 1950, the Commission gave notice by telegram and letter to the applicant that the setting oh November 17 had been vacated, that the hearing would be conducted on December 5, and that: “All interested parties are being notified of this postponement.” Notice of the hearing on December 5 was mailed by the Commission to a number of common carriers operating in the area proposed to be served by the applicant, as well as to other interested parties. One of the common carriers so notified was Groendyke’s predecessor, who appeared at the hearing on December 5, along with many others, and participated in the proceedings.
(3) The notice of hearing, which the Commission had requested be published in some newspaper, was published in a newspaper on November 21, 1950, but the date of hearing as shown therein was not changed from November 17 to December 5.
(4) The Commission entered its order effective December 13, 1950, by which it granted the application for the certificate. It was this order which Groendyke attacked in its complaint filed with the Commission on February 6, 1970.
(5) Upon the entry of the Commission’s order of March 4, 1971, dismissing its complaint, Groendyke filed suit in the district court pursuant to § 64-27-68, N.M.S.A. 1953 (2nd Repl.Vol. 9, pt. 2, 1972), whereby it sought to have this March 4 order of the Commission vacated and set aside. The district court entered judgment affirming the Commission’s order of March 4, and Groendyke has taken this appeal from that judgment.
Groendyke predicates its position solely upon the fact that the notice published in a newspaper on November 21, 1950 erroneously recited that the hearing would be conducted on November 17, 1950, rather than on the rescheduled date of December 5, 1950. It relies primarily for support of its position upon the above stated sections of our constitution and statutes and the opinions of this court in Groendyke Transp., Inc. v. New Mexico St. Corp. Com’n, 80 N.M. 509, 458 P.2d 584 (1969) and Groendyke Transp., Inc. v. New Mexico St. Corp. Com’n, 79 N.M. 60, 439 P.2d 709 (1968).
The relevant portions of our constitutional and statutory provisions are:
“The commission [State Corporation Commission] shall determine no question nor issue any order in relation to the matters specified in the preceding section, until after a public hearing held upon ten [10] days’ notice to the parties concerned, except in case of default after such notice. * * * ”
N.M. Constitution, Art. XI, § 8.
“ * * *. The commission, upon the filing of an application for such certificate, shall fix a time and place for hearing thereon, which shall be not less than ten (10) days after such filing. The commission shall cause notice of such hearing to be served at least five (5) days before the hearing upon any officer or owner of every common carrier that is operating, or has applied for a certificate to operate, in the territory proposed to be served by the applicant, and on other interested parties as determined by the commission, * *
Section 64-27-8, supra. Section 64-27-17, supra, contains a substantially identical provision.
It is apparent, and Groendyke concedes, that neither the constitution nor the statutes require notice by newspaper publication. The requirements are that notice be given to or served upon “the parties concerned,” which, under the statutes, consists of “every common carrier that is operating or has applied for a certificate to operate in the territory proposed to be served by the applicant, and on other interested parties as determined by the commission.”
However, Groendyke contends that: “Although not yet codified, in December of 1950 when the application of Steere Tank Lines, Inc. was first proposed before the Commission, the Commission had already adopted a firm and standard practice of requiring all carrier applicants to publish notice of the time and place of the hearing on their applications * * * in a newspaper of general circulation in the counties in which they proposed to start operations.”
The record before us fails to support this contention. In fact it affirmatively appears from the record that the rules and regulations of the Commission which were effective in 1950 had been adopted July 1, 1949, and did not provide for publication of notice in a newspaper. The first rule of the Commission to require such publication was adopted in 1956.
As indicated above, notice of the hearing was given by letter to the parties concerned, to wit, common carriers operating in the territory proposed to be served by the applicant (including Groendyke’s predecessor) and other interested parties as determined by the Commission. It is true the record before us does not reflect that “every common carrier” then operating, or which had applied for a certificate to operate, in the territory proposed to be served by the applicant was served with notice by letter, but neither does it reflect that they were not so served. Groendyke offered no evidence to show that any common carrier then operating, or which had applied for a certificate to operate in the territory, or any other interested party, was not given notice of the hearing by letter.
Insofar as notice of hearing is concerned, we held in Groendyke Transp., Inc. v. New Mexico St. Corp. Com’n, 79 N.M. 60, 439 P.2d 709, supra, that a failure to give any notice to interested parties renders an order of the Commission void and subject to collateral attack. In the case now before us, notice was given to interested parties by letter, and there is no evidence to show that any interested party failed to receive notice. We do not in any way base our decision upon an absence of right in Groendyke to collaterally attack the order of December 13, 1950.
The question 'as to notice of hearing with which we were concerned in Groendyke Transp., Inc. v. New Mexico St. Corp. Com’n, 80 N.M. 509, 458 P.2d 584, supra, was that of inadequacy of content of the notice to support the order entered by the Commission. No such question is before us in the present case. We do not base our decision upon the notice published in the newspaper. The defect in the content of the present notice was the mistake as to the date of hearing. This is entirely different from the defect of content in the notice in the earlier case.
The question now before us is simply whether Groendyke established by its evidence that notice, as required by our constitutional and statutory provisions above quoted, was not given to concerned or interested parties. It is obvious that many, if not all such parties, were given notice. The burden was on Groendyke, who was alleging the invalidity of the notice, to at least show that some concerned or interested party or parties had not received the notice. This it failed to do.
As to the adequacy of notice by mail of an administrative hearing, when no prescribed manner of giving notice has been established by law, or by rules adopted pursuant to law, the Minnesota Supreme Court stated:
“We believe that the service upon relator was sufficient. The labor conciliator is authorized by law to adopt rules regulating the conduct of hearings. M. S.A. § 179.05. Such rules have been adopted and are on file pursuant to law. The rules so adopted do not prescribe any particular manner of service of notice, but simply provide for notice of the hearing. Neither is there any provision in the law prescribing any method of service of a notice of such hearing. It is apparent that the notice mailed by the conciliator actually came into the possession of relator. Where actual notice is received by mail, it is equivalent to personal service. In re Estate of Nelson, 180 Minn. 570, 231 N.W. 218; In re Estate of Devenney, 192 Minn. 265, 256 N.W. 104. In the absence of proof to the contrary, it is presumed that mail properly addressed and posted, with postage prepaid, is duly received by the addressee. Melby v. D. M. Osborne & Co., 33 Minn. 492, 24 N.W. 253; In re Estate of Devenney, supra. * * * ”
Nemo v. Local Joint Executive Board, Etc., 227 Minn. 263, 35 N.W.2d 337, 339 (1948). See also the following as to the adequacy of notice by mail: National Labor Relations Board v. Wiltse, 188 F.2d 917, 926 (6th Cir. 1951); Elk River Coal & Lbr. Co. v. Funk, 222 Iowa 1222, 271 N.W. 204 (1937); Borgnis v. Falk Co., 147 Wis. 327, 133 N.W. 209 (1911); 2 Am. Jur.2d, Administrative Law § 361 at 174 (1962).
The inclusion in the notice published in the newspaper of the wrong date set for the hearing is of no consequence here. It is apparent that the following quoted findings made by the district court, which are attacked by Groendyke, are supported by the record, and they in turn support the judgment of the court affirming the order of the Commission.
“7. That as appears from the record of said proceedings before the Commission, plaintiff failed to prove that the hearing on the subject application had not been preceded by notice as required by the Constitution or Laws of New Mexico.
“8. That the record of the proceedings before the Commission affirmatively reflects that there was prior, sufficient notice of the aforesaid hearing by mailing thereof [to] interested parties, and, in addition, a publication correct in material particulars except [for] the date of the hearing.
“9. That there is substantial and competent evidence of record to support the said Order of the State Corporation Commission of New Mexico dated March 4, 1971.
“10. That the said Order of the State Corporation Commission of New Mexico dated March 4, 1971, is in all respects reasonable and proper and is not in any way arbitrary, capricious or unlawful.”
The judgment of the trial court affirming the order of the Commission should be affirmed.
It is so ordered.
McMANUS, C. J., and MONTOYA, J., concur. | [
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OPINION
LOPEZ, Judge.
Defendant was charged with the rape of one Judy Brady. The trial ended in a hung jury. The defendant was then tried for assault with intent to commit a violent felony, to wit: rape, contrary to § 40A-3-3, N.M.S.A.1953 (2d Repl.Vol. 6). The alleged victim was one Mary Cross, Judy Brady’s companion on the night in question. Defendant was convicted.
Defendant raises nine points for reversal. In this case, we review only two.
The first is that the trial court failed to instruct the jury as to the essential elements of the crime charged. The instruction complained of states:
“The material allegations of the indictment necessary to be proven to your satisfaction and beyond a reasonable doubt before you can find the defendant guilty are that at the County of Bernalillo in the State of New Mexico on the 23rd day of June, 1972, the defendant did assault Mary Cross with intent to rape.”
Defendant’s contention is that the court nowhere attempted a definition of the word “assault.” Therefore, the jury was allowed to guess or speculate as to its meaning. This question is raised for the first time on appeal. Therefore, the error, if any, must be jurisdictional to be reviewable. State v. Gunzelman, 85 N.M. 295, 512 P.2d 55 decided July 6, 1973.
The state relies upon our decision in State v. Bell, 84 N.M. 133, 500 P.2d 418 (Ct.App.1972), where we stated:
“The trial court instructed the jury in the language of the statute. This is sufficient. State v. Lopez, 80 N.M. 599, 458 P.2d 851 (Ct.App.1969). If Bell desired any amplification or definition of words, he should have presented a request therefor. . . .”
The record in the Bell case indicates that it is factually distinguishable. Although Bell involved the same statute, the trial court explicitly defined assault in terms of the statutory definition found in § 40A-3-1, N.M.S.A.1953 (2d Repl.Vol. 6).
We believe that the failure of the trial judge to define assault in the instant case was jurisdictional error. The failure to instruct on an essential element of the crime is jurisdictional error. State v. Gunzelman, supra; State v. Walsh, 81 N.M. 65, 463 P.2d 41 (Ct.App.1969). The definition of assault found in § 40A-3-1, supra, contains essential elements of the crime of which defendant was convicted, assault with intent to commit a violent felony. Were we to hold otherwise, a person charged with simple assault would have the benefit of the statutory definition of assault, assuming the judge charged in terms of the statute. But the person charged with assault with intent to commit a violent felony would not have the benefit of a definition of assault. We see no reason to introduce such an anomaly into the law.
Of course, when the element involved is one of common usage or understanding or where the terms of the statute define the element, further definition is unnecessary. State v. Gunzelman, supra; State v. Puga, 84 N.M. 751, 508 P.2d 26 (1973). However, assault is a term of art, susceptible to different meanings. The Attorney General at oral argument defined assault as, “Putting a person in apprehension of receiving a battery.” The statute defines assault as follows:
“A. an attempt to commit a battery upon the person of another;
“B. any unlawful act, threat or menacing conduct which causes another person to reasonably believe that he is in danger of receiving an immediate battery; or [Emphasis added]
“C. the use of insulting language toward another impugning his honor, delicacy or reputation.”
What might be termed the lay definition of assault includes a connotation of attack or striking. See Webster’s Third New International Dictionary 130 (15th Ed. 1966). We do not think that the jury should be allowed to speculate as to which meaning applies. Failure in this regard is jurisdictional error.
Finally, we must consider defendant’s contention of double jeopardy since it would prevent a remand for a new trial, if accepted. Defendant was first tried for the rape of Judy Brady. The trial ended in a hung jury. Then he was tried and convicted of the charges involved here. He contends that jeopardy attached after the first trial and that he could not be tried again on charges stemming from the same incident. The law is clear that a mistrial caused by a hung jury cannot form the basis for a plea of former jeopardy absent a gross abuse of discretion in discharging the jurors. State v. Brooks, 59 N.M. 130, 279 P.2d 1048 (1955). Further, since the two trials involved different offenses in connection with different victims, the facts were sufficiently different that no double jeopardy is involved. Woods v. State, 84 N.M. 248, 501 P.2d 692 (Ct.App.1972); State v. Anaya, 83 N.M. 672, 495 P.2d 1388 (Ct.App.1972); State v. Mares, 79 N.M. 327, 442 P.2d 817 (Ct.App.1968).
The judgment and sentence of the lower court is reversed and the cause is remanded for a new trial consistent with this opinion.
It is so ordered.
WOOD, C. J./and HENDLEY, J., concur. | [
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OPINION
OMAN, Justice.
Plaintiff, Loco Credit Union, brought suit against defendant, Fred A. Reed, to recover on a note executed on March 10, 1972, and to foreclose Loco’s claimed interest in collateral purportedly pledged by Fred to Loco as security for payment of the note. Janet Reed, the former wife of Fred, claimed an interest in the said collateral, and, therefore, was made a party defendant. The collateral consisted of funds on deposit in a shares account with Loco. The position of Loco was that these funds were held in a joint account by Fred and Janet, and so much thereof as was necessary to satisfy the indebtedness of Fred on the note was subject to Loco’s lien. Janet’s position was that the funds constituted a trust res; that Fred was the trustee at the time of the execution of the note on March, 10, 1972; that she had been named as successor trustee on June 2, 1972; and that as such successor trustee she was entitled to all funds on deposit with Loco in the shares account.
Fred defaulted and judgment was entered against him for the balance owing on the principal and interest of the note and for attorney fees. This portion of the judgment is not in question on this appeal.
The trial court held that the funds on deposit in the shares account were owned jointly by Fred and Janet; Loco had a valid first lien against one-half thereof; and Janet was entitled to the other half. Judgment was entered accordingly. It is from this portion of the judgment that Janet has appealed and Loco has cross-appealed. We reverse.
The questions to be resolved on this appeal are:
(1) Whether a trust was created;
(2) If a trust was created, whether it was revocable; and
(3) If an irrevocable trust was created, was a breach of this trust proven.
Fred and Janet were divorced by final decree entered on June 16, 1969 in a prior suit. They were the parents of three minor children. They were represented by counsel in these divorce proceedings and entered into a detailed written stipulation, subject to the approval of the trial court, concerning the custody and support of the children, division of community property, etc. The stipulation was approved by the trial court and incorporated into and made a part of its said final decree. No appeal was ever taken from this decree or from any portion thereof. One of the provisions of the stipulation and, consequently, of the final decree, was:
“That it is understood by and between plaintiff [Fred] and defendant [Janet] that they have on deposit with the L. O. Co. Credit Union [Loco] the sum of approximately $2,018.00, said account being deposited in the name of the plaintiff; that said sum shall be retained in trust by the plaintiff for the expenses for the college education of Bruce Allen Reed, the minor son of the parties, and so much of said sum as shall not be used for the college education of Bruce Allen Reed shall be used toward the expense of the college education of the minor daughter, Nancy Lynn Reed; * *
Loco received a letter and a copy of the stipulation and final decree on December 29, 1970 from Janet’s attorney. These were reviewed by Loco’s manager. Thereupon there was typed across the face of Loco’s ledger covering the account in question for the period ending December 31, 1970 the following: “NO SHARE WITHDRAWALS EXCEPT FOR COLLEGE SEE LETTER IN FILE.”
No further action was taken by anyone to transfer or have transferred the funds in the account from the names of Fred and Janet. Apparently some dispute arose between Fred and Janet over the management of the account, and under date of March 24, 1971 Loco’s attorney wrote a letter to Janet, with copies thereof to Loco, Fred and Janet’s attorney, in which it was stated in part :
“* * * Neither L.O.CO. Credit Union nor myself can settle this dispute for you. It is my opinion, based on the language used in the Final Decree, that Mr. Reed has the authority as trustee to withdraw sums from this account.”
On March 10, 1972, Fred executed a promissory note in favor of Loco and undertook to pledge the funds in the account, as security for the payment thereof.
The district judge, who had presided over the divorce proceedings and who had undertaken to establish the trust by the decree entered in the divorce proceedings on June 16, 1969, recused himself and another district judge was designated by the Chief Justice of this Court to preside over that case. By order entered in that case on June 22, 1972, Fred was removed as trustee of the account and Janet was appointed as trustee.
In addition ■ to the foregoing recited facts, the trial court found: ■
(a) That pursuant to the final decree entered in the divorce action on June 16, 1969, Fred was to hold the funds in the account “for the minor children of the parties.”
(b) Loco had knowledge that the funds in the account were pledged by defendant as collateral for a personal loan.
(c) Loco acknowledged at trial that it understood the duties and obligations of a trustee as to trust funds.
The trial court refused to find that Loco knew the funds were held in trust by Fred for the children as beneficiaries, and refused to conclude that a trust existed or that Janet was entitled to the balance in the account as successor trustee. As stated above, the trial court concluded that the funds were held and owned by Fred and Janet jointly, even though it found these funds were to be held by Fred for the minor children.
Janet’s position, concerning the existence of the trust, is that the trust was clearly created by the stipulation and the court decree approving the same. Loco contends that no trust was established because of (1) lack of necessary intent on the part of Fred and Janet to establish a trust and (2) lack of necessary certainty as to the essential elements of a trust.
As to the matter of intent to create a trust, the evidence is that an eight page written agreement in the form of a stipulation was executed and acknowledged under oath by both Fred and Janet whereby they agreed as to the division of their obligations and community property and upon the custody, support and educational expenses of and hospital and surgical insurance for their minor children. One of these agreements, which is quoted above, was that the funds they had in the account with Loco “ * * * shall be retained in trust by the plaintiff [Fred] * * * ” for educational expenses for two of the children. Fred and Janet were each represented by a reputable attorney. It is apparent that these attorneys either prepared, or very largely prepared, the stipulation, and that they certainly approved and filed it in the divorce proceedings with the request that it be approved by the district court. It was approved by the district judge presiding over those proceedings and was incorporated into the decree entered by the court in that cause. This decree was approved by the attorneys for Fred and Janet.
It is true, as found by the trial judge presiding over the cause now before us on this appeal, that subsequent to the entry of the decree in the divorce proceedings on December 20, 1970, Fred and Janet treated the account as a joint account. At least they did so to some extent. However, we fail to understand how this subsequent treatment by them of the account can be held to establish a lack of intent on their part to create the trust which they had so clearly created and intended to create by their written stipulation, which had been approved at their request by the court and made a part of the court’s decree, and which neither of them has ever claimed they did not create or intend to create. The language creating the trust was clear and unequivocal, and as of June 22, 1972, upon the written motion of Janet, the trial judge in the divorce proceedings entered a written modification of the decree previously entered in those proceedings on December 20, 1970. This modification order related entirely to the trust, and, among other things, removed Fred as trustee and appointed Janet as successor trustee. Both Fred and Janet, through their respective attorneys, participated in these modification proceedings and approved the modification order as did Fred personally. No attack upon this modification order has ever been made, attempted or even encouraged by either Fred or Janet, whose intent is being questioned by Loco.
Loco relies upon the cases of Quattlebaum v. Hendrick, 179 Ark. 494, 16 S.W.2d 591 (1929); People v. Pierce, 110 Cal.App.2d 598, 243 P.2d 585 (1952); Ward v. Buchanan, 22 N.M. 267, 160 P. 356 (1916); Fleck v. Baldwin, 141 Tex. 340, 172 S.W.2d 975 (1943). Neither the factual situation nor the principles announced in any of these cases supports the position of Loco under the facts of this case.
Loco’s contention, that the trust must fail because it lacked the necessary certainty as to essential elements of a trust, is predicated upon its claim that the instrument creating the trust — the stipulation in the divorce proceedings — failed to detail the disposition to be made of the interest to be paid by Loco on the principal of the trust account — the amount of $2,018.00 on deposit in the account at the time of the execution of the trust instrument — and of any additional deposits which might be made in this account; failed to provide whether or not it was intended to be a revocable or an irrevocable trust; failed to detail the rights and duties of the trustee; failed to provide “how directly a withdrawal must be related to [the children’s college education] in order to be a valid withdrawal”; and failed to specify when the trust was to terminate.
As to the matter of interest on the principal amount of the trust property, it would appear obvious that interest paid for the use of trust funds, unless expressly provided otherwise, would become a part of the trust property. The earning power of the funds was not reserved by settlors or excluded from the property interests the beneficiaries were to enjoy. It is the usual duty of trustees to cause a trust to produce income for the benefit of the trust. Bogert, Trust and Trustees, § 611 (2d ed. 1960); Restatement, Second, Trusts, § 181 (1959). See also Revised Uniform Principal and Income Act, being §§ 33-5-18 to 33-5-32, N.M.S.A.1953 (Supp.1971).
No additional funds were deposited in the account. Thus, no question is presented as to whom such additional deposits would belong or for what purposes they might properly be used.
There was no provision in the written instrument evidencing the creation of the trust reserving unto the settlors the power to revoke the trust. Therefore, the trust was irrevocable. 4 Scott on Trusts, § 330.1 (3d ed. 1967) and cases cited therein holding in accord.
The rights and duties of the trustee not detailed in the trust instrument are sufficiently detailed in the law of trusts. No claim has been made by either of the settlors, who are the only ones who have served as trustees, or by the beneficiaries or anyone on their behalf, that there has been any question as to the rights and duties of the trustee, except as to the extent above indicated. The use to be made of the trust property is clearly stated in the written instrument evidencing the creation of the trust. Minute details, as to the precise items for which funds in an educational trust must be used, are not necessary for the trust’s validity. In fact, a detailed limitation upon the expenditures to be made for precisely anticipated items would be far more likely to defeat the beneficial purposes of an educational trust than would the general provision that the trust funds are to be used for the college education of the beneficiary.
Since the written instrument evidencing the trust’s creation fails to show an agreement as to the date of the termination of the trust, it will continue until the trust purposes have been accomplished. The time of the ending of the trust need not appear in the writing. Bogert, Trust and Trustees, supra, § 87 at 489.
The manifestation of the intent of the settlors, Fred and Janet, was clear and certain. It consisted of a written, acknowledged and court approved stipulation, which was also approved by their attorneys. This manifestation of their intent, and the legal effect given thereto by the court to which it was presented at their request, places that legal effect beyond question in the present suit. See 1 Scott on Trusts, supra, § 23 generally as to the requirement of manifestation of intent.
The claimed deficiencies in the trust writing as to details of the administration of the trust have presented no great problems to the trustees or to the judge charged with the administration thereof.
Loco next contends the trust was revocable and was revoked by Fred and Janet by making or attempting to make withdrawals from the trust account. They rely upon cases involving a Totten trust— first so called and recognized in the case of Matter of Totten, 179 N.Y. 112, 71 N.E. 748 (1904). The trust with which we are here concerned is not a Totten or a tentative trust which could have been revoked by Fred or Janet at their will had they sought to revoke it. For a discussion generally on Totten trusts, tentative trusts, or savings bank trusts, as they are usually called, see 1 Scott on Trusts, supra, §§ 58, 58.1 and 58.2.
Loco finally contends that even if an irrevocable trust was created, no breach of the trust was proven. The breach, with which we are here concerned, was the pledging'of the shares, or trust funds, with Loco as security for a personal loan by Loco to Fred, when Loco had full knowledge of the existence of the trust and acknowledged that it understood the duties and obligations of a trustee as to trust funds.
Loco contends the record is not clear on this question of a breach. However, Loco’s manager, who was the only witness called at trial and whose testimony on this particular issue is the only evidence thereon,, testified on direct examination:
“Q. Now, do you know what the loan proceeds were used for by the defendant, Fred A. Reed?
“A. No, sir.”
On cross-examination she testified:
“Q. Mrs. Green, I read the final decree and in the stipulation that you knew that Mr. Reed was the trustee only of the funds on deposit with LOCO.
“A. Right. Yes, sir.
“Q. And your attorney, further, told you in exhibit no. 3 that Mr. Reed was only the trustee of these funds.
“A. Yes, sir.
“Q. And I am sure he also explained to you the duties of a trustee and the fact that a trustee cannot pledge funds deposited with you in a trust.
“A. Yes, sir. I’m sure that he did.
“Q. Regardless of this then, you still loaned the money to Mr. Reed in March of 1972, knowing full well that he was only the trustee of funds on deposit with you ?
“A. Yes, sir.
“Q. And you then allowed him to pledge the trust funds for his own personal use?
“A. Yes.
"Q. He told you the time that he borrowed the money in 1972, that it was for a business venture in Arizona that he was interested in, motor vehicle, small-parts business, or something like that, and he needed additional money, and this was the use of it ?
“A. He just told me it was for business expansion.
“Q. Of his own personal use ?
«¡Is * *
“ * * *. Q. He wanted it for his own personal use, didn’t he ?
“A. Yes, sir.”
On redirect examination she testified:
“Q. Now, Mrs. Green, as far as the loan proceeds obtained by Mr. Fred Reed, as indicated on the note introduced into evidence as plaintiff’s exhibit no. 1, those loan proceeds, you have no personal knowledge or do'you have any personal knowledge, of what those funds were used for?
“A. No, sir.”
The testimony of Mrs. Green is not necessarily inconsistent. It is clearly consistent with the fact, as found by the trial court, that Loco knew the funds on deposit (the trust funds) were pledged as security for a personal loan to Fred. Mrs. Green may not, as she testified, have known the precise use made by Fred, of the borrowed funds, but she did know the trust funds were pledged as security for a personal loan to him and she knew this was wrong as evidenced by her following testimony:
“Q. To sum up your testimony, then, at the time you loaned the money to Mr. Reed in March of 72, you, at that time, knew that he was the trustee only for funds that were on deposit, didn’t you ?
“A. Yes, sir.
“Q. And it had been explained to you by your attorney that a trustee cannot pledge his funds ?
“A. Yes, sir.”
The trial court found, as shown above, that Loco “ * * * had knowledge that the funds on deposit with the Plaintiff [Loco] were pledged by Defendant, Fred A. Reed as collateral for a personal loan.” This finding is not challenged by Loco and is thus a fact in this case. Trinidad Industrial Bank v. Romero, 81 N.M. 291, 466 P.2d 568 (1970); Goodyear Tire and Rubber Company v. Williams, 76 N.M. 509, 416 P.2d 521 (1966); Begay v. First National Bank Of Farmington, 84 N.M. 83, 499 P.2d 1005 (Ct.App.1972). This act of pledging trust funds by the trustee for his personal benefit, which was concurred in and approved by Loco, was wrong. See Garcia v. Sanchez, 64 N.M. 114, 325 P.2d 289 (1958); Bogle v. Bogle, 51 N.M. 474, 181 P.2d 181 (1947).
The judgment of the trial court should be reversed and the cause remanded with directions to vacate those portions of the judgment whereby it awarded Loco a valid lien on one-half of the funds in the share account, awarded Janet the remainder of the funds in the share account, and ordered that Loco and Janet should bear their respective costs, and to take such other and further action as is required to fully dispose of all issues raised by the pleadings in this cause.
It is so ordered.
STEPHENSON and MONTOYA, JJ., concur. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1031, 85 N.M. 627, 515 P.2d 146 be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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] |
OPINION
SUTIN, Judge.
The defendant appeals from a judgment and plaintiff cross-appeals.
The sole question on defendant’s appeal is: When does the period of limitation begin to run on a cashier’s check? If a cause of action does not accrue against a bank until demand for payment is made, then the defendant’s action is within the period of limitation since the demand did not occur until 1968 and suit was filed in 1970. On the other hand, if a cause of action accrues immediately upon issuance of the cashier’s check or within a reasonable period of time after issue, then the period of limitation under §§ 23-1-1 and 23-1-3, N.M.S.A.1953 (Vol. 5) has expired and the plaintiff’s action is barred.
The trial court concluded as a matter of law that plaintiff’s claim was not barred by the statute of limitations and defendant appeals. We affirm.
The plaintiff cross-appeals for failure of the trial judge to award actual and consequential damages as a result of defendant’s wrongful dishonor of plaintiff’s cashier’s checks. We reverse.
A. The statute of limitations did not run.
2 Anderson, Uniform Commercial Code, 2nd Ed., p. 612, § 3-104:18 (1971) defines a cashier’s check:
A cashier’s check is a draft drawn by the bank upon itself which is accepted by the act of issuance. * * * A cashier’s check is a primary obligation of the bank, * * * and is an obligation to pay which ordinarily cannot be countermanded. It is issued by an authorized officer of a bank, directed to another person, evidencing the fact that the payee is authorized to demand and receive from the bank, upon presentation, the amount of money represented by the check. * * * [Emphasis added]
10 Am.Jur.2d, Banks, § 544 says:
A cashier’s check is a bill of exchange, drawn by the bank upon itself, and is accepted by the act of issuance. * * * [Emphasis added]
There is no legal difference in the meaning of the terms “draft” and “cashier’s check.” Montana-Wyoming Assn. v. Commercial Bk., 80 Mont. 174, 259 P. 1060 (1927); Advance-Rumley Thresher Co., Inc., v. Hess, 85 Mont. 293, 279 P. 236, 237 (1929); The People v. Miller, 278 Ill. 490, 116 N.E. 131, L.R.A.1917E 797 (1917); Cochrane, as Liqdr. v. F.E.C. Ry. Co., 107 Fla. 431, 145 So. 217 (1932).
In legal effect, as between the bank and payee, a cashier’s check is the same as a certificate of deposit or a certified check. Walker v. Sellers, 201 Ala. 189, 77 So. 715 (1918); Middlekauff v. State Banking Board, 111 Tex. 561, 242 S.W. 442 (1922); Clark v. Chicago Title & Trust Co., 186 Ill. 440, 57 N.E. 1061, 53 L.R.A. 232, 78 Am.St.Rep. 294 (1900).
Bank of America v. Cranston, 252 Cal.App.2d 208, 217, 60 Cal.Rptr. 336, 342 (1967) followed Walker v. Sellers, supra, and then stated:
The substance of a certificate of deposit and of bank drafts, cashier’s checks, certified checks and money orders thus appears to be the same. Each is issued in consideration of the placing, or transfer or deposit of money or credit, in or to a bank. Each is a negotiable instrument pledging the credit of the bank to the holder. And in each case the relationship of debtor and creditor arises between the holder and the bank.
We emphasize the nexus between “cashier’s checks” and “drafts,” “bills of exchange,” and “certificates of deposit.” Drafts, bills of exchange and certificates of deposit are covered by the Uniform Commercial Code. One of the purposes of this code is “ * * * to simplify, clarify and modernize the law governing commercial transactions; * * * ” Section 50A-1-102(2) (a), N.M.S.A.1953 (Repl.Vol. 8, pt. 1).
Section 50A-3-104(2) (a), (c), N.M.S.A. 1953 (Repl.Vol. 8, pt. 1) pertains to form of negotiable instruments, such as “draft” and “certificate of deposit.”
Section (2)(a) and (c) read:
(2) A writing which complies with the requirements of this section is
(a) a “draft” (“bill of exchange”) if it is an order;
sfi ‡ % ijs iji
(c) a “certificate of deposit” if it is an acknowledgment by a bank of re ceipt of money with an engagement to repay it;
Section 50A-3-122(2) and (3) pertain to the accrual of a cause of action for (1) a demand “certificate of deposit” and (2) “draft.” The cause of action accrues (1) upon demand and (2) a demand following dishonor of the instrument. We have found no judicial interpretation of this section. But it is apparent that this section has hammered out an exception to the general rule that a cause of action on a demand “instrument” accrues at the time of its issuance.
We hold that a “cashier’s check” falls within the category of a “draft” (“bill of exchange”) and a “certificate of deposit.” It has long been the rule in New Mexico that the statute of limitations does not begin to run against a certificate of deposit until presentation and demand of payment. Bank of Commerce v. Harrison, 11 N.M. 50, 66 P. 460 (1901).
The only case to the contrary is Dean v. Iowa-Des Moines Bank, 227 Iowa 1239, 281 N.W. 714, 720 (1938), modified on other grounds, 227 Iowa 1239, 1247, 290 N.W. 664, 128 A.L.R. 137 (1940). The court looked upon the cashier’s check as a bill of exchange; and “ * *' * At all times after the issuance defendant owed the debt, and there was a duty to pay. So far as the statute of limitations is concerned a cause of action had accrued. * * * ” We believe the court would have held to the contrary under the Uniform Commercial Code.
National banks are instrumentalities of the federal government, created for a public purpose. We have no knowledge from this record or from any source that a national bank throughout its corporate existence asserted the statute of limitations against a tardily presented cashier’s check on the theory that it was a demand instrument, the cause of action of which accrued at the time of issuance and therefore covered by the six year, or any, statute of limitations. This may be declared to be a usage or custom in national banks for the protection of the public and not subject to the statute of limitations.
National banks must know “ * * * that cashier’s checks ordinarily pass current as money in everyday business transactions. * * *” First Nat’l Bank v. Noble et al., 179 Or. 26, 38, 168 P.2d 354, 359, 169 A.L.R. 1426 (1946); see also Causey v. Eiland 175 Ark. 929, 1 S.W.2d 1008, 56 A.L.R. 529 (1928); Nat. Newark & Essex Bank v. Giordano, 111 N.J.Super. 347, 268 A.2d 327, 329 (1970). “Money” is a synonym for “cashier’s check.” Public policy and good faith should remove “cashier’s checks” from accrual of a cause of action at the time of issuance because they are accepted on the faith and credit of the bank issuing them. Kohler v. First National Bank, 157 Wash. 417, 289 P. 47, 50 (1930).
Finally, where a person purchases cashier’s checks to be preserved as money and as a means of avoiding possession of currency, it is a cash transaction. The assets of the bank are increased to the amount of the cashier’s checks, and the relation of trustee rather than that of debtor and creditor is created between the parties. Cochrane, as Liqdr. v. F.E.C. Ry. Co., supra.
Where a fiduciary relationship exists, the statute of limitations is not applicable. Bank of America v. Cranston, supra.
A national bank is the guarantor of payment of its cashier’s checks. It should not be allowed to avoid payment by use of a technical defense such as the statute of limitations.
We affirm the judgment for plaintiff.
B. Plaintiff was entitled to damages for defendant’s wrongfil dishonor of plaintiffs checks.
The trial court made the following findings of fact:
6. That on September 30, 1968, defendant bank refused to honor the above numbered cashier’s checks.
7. That defendant’s dishonor of said checks was zvrongful in that the checks had not been paid and were not void. [Emphasis added]
8. The plaintiff has not shown any consequential loss or damage resulting to him by reason of the refusal of First National Bank in Albuquerque to pay in 1968 the cashier’s checks issued to him in March, 1953, and is entitled to actual damages of $5,000.00.
Section 50A-4-402, N.M,S.A.1953 (Repl.Vol. 8 pt. 1) is entitled “Bank’s liability to customer for wrongful dishonor”.
A payor bank is liable to its ctistomer' for damages proximately caused by the wrongful dishonor of an item. When the dishonor occurs through mistake liability is limited to actual damages proved. If so proximately caused and proved damages may include damages for an arrest or prosecution of the customer or other consequential damages. Whether any consequential damages are proximately caused by the wrongful dishonor is a question of fact to be determined in each case. [Emphasis added]
“Wrongful dishonor” has not been defined by the Code. Official comment states that the above “ * * * section does not attempt to specify a theory. * * * ” It is different from “ ‘ * * * failure to exercise ordinary care in handling an item * * * ’ ” It “ * * * excludes any permitted or justified dishon- or. * * * ” Uniform Commercial Code, § 4-402, Comments 2, 3 and 4.
“Wrongful dishonor” means a dishonor done in a wrong manner, unjustly, unfair, in a manner contrary to justice. See “Wrongful” 46 Words and Phrases, p. 488. It excludes negligence or permitted or justified dishonor.
“Mistaken dishonor” means a dishonor done erroneously, unintentionally, a state of mind that is not in accord with the facts. See “Mistake” 27 Words and Phrases, p. 568.
This section does not deal with “intentional or wilful or malicious dishonor.” This type of dishonor permits an award of punitive damages. In fact, we have also held that a bank “* * * wrongfully dishonored the checks through mistake.” Loucks v. Albuquerque National Bank, 76 N.M. 735, 745, 418 P.2d 191, 198 (1966).
In the instant case, on three separate occasions, from September 30, 1968 through January 6, 1969, the defendant dishonored the checks (1) by informing a Mexico bank that the checks were not outstanding; (2) that the checks had been paid by reissuance of new cashier’s checks and requested the cashier’s checks held by plaintiff be returned for cancellation; (3) again returning the checks unpaid. The bank failed to prove the reasons for its dishonor. This dishonor was not permitted or justified. This certainly created at least an issue for the trial court to decide. The trial court correctly found the dishonor was wrongful.
“Consequential damages” are not defined in terms in the Uniform Commercial Code, but are used in the sense given them by the leading cases on the subject. 1 Anderson, Uniform Commercial Code, 2nd Ed., p. 48.
Jn 3 Anderson, Uniform Commercial Code, 2nd Ed., p. 306, the author makes this comment with reference to § 50A-4-402:
Damages for Wrongful Dishonor. A payor bank is liable to its customer for the damages proximately caused by the wrongful dishonor of an item. The damages may include consequential damages (such as those sustained in connection with an arrest and prosecution), provided they are proximate damages. Whether the consequential damages are proximately related to the wrongful dishonor is a question of fact and not of law.
“ ‘Consequential damage’ is defined in Black’s Law Dictionary, Third Edition, as: ‘Such damage, loss or injury as does not flow directly and immediately from the act of the party, but only from the consequences or results of such act.’ ” Food Corporation v. Dawley, 202 Va. 543, 546, 118 S.E.2d 664, 667 (1961). “Consequential damage” includes injuries to credit as a result of wrongful dishonor. Loucks supra. It includes “ * * * any * * * consequential harm, loss or injury proximately caused by a wrongful dishonor. * * * ” A.F.N.B. v. Flick, 146 Ind.App. 122, 132, 252 N.E.2d 839, 845 (1969). See also, Skov v. Chase Manhattan Bank, 407 F.2d 1318 (3rd Cir. 1969); “Consequential Damages”, 8A Words and Phrases, p. 222. For dishonor due to mistake, see Bank of Louisville Royal v. Sims, 435 S.W.2d 57 (Ky.1968).
As a consequence of the dishonor (1) An attachment lien was filed against 54 items of personalty of the plaintiff in Mexico seizing all his personal assets for purposes of satisfying his debts owed to the Mexican bank. (2) Plaintiff was personally threatened with imprisonment if the checks were invalid. (3) His credit standing was ruined. (4) He was placed under a cloud of suspicion in his Mexican community. Plaintiff had an excellent professional reputation.
Plaintiff is entitled to reasonable and temperate damages determined by the sound discretion and dispassionate judgment of the trial court. Loucks, supra.
Plaintiff’s judgment is affirmed. Plaintiff’s cross-appeal is sustained. This cause is remanded to the trial court solely to determine the amount of consequential damages plaintiff is entitled to.
It is so ordered.
LOPEZ, J., concurs.
WOOD, J., dissents. | [
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OPINION
OMAN, Justice.
Pursuant to a petition filed by plaintiff, the district court issued an alternative writ of mandamus whereby defendants were directed to appear and show cause, if any they had, why they had not conducted an election to recall Intervenor, a municipal judge of the City of Albuquerque.
After a hearing on the merits, the district court entered a judgment commanding that the alternative writ be made permanent; that defendants order a recall election of Intervenor; and, in the event either the defendants or Intervenor should appeal from the judgment, that the portion thereof commanding the calling of a recall election should be stayed until the decision thereon by this court shall have issued.
Intervenor has appealed from that portion of the judgment commanding defendants to order a recall election. Plaintiff has filed a cross-appeal from that portion of the judgment permitting the intervention of Intervenor. We affirm the action of the trial court in permitting the intervention and reverse its action in commanding the calling of a recall election.
On November 24, 1972, plaintiff filed with the clerk of the City of Albuquerque a petition seeking the recall by election of Intervenor. On March 2, 1973, plaintiff filed his petition for writ of mandamus to compel defendants, the governing body of the City, to forthwith conduct a recall election, or appear and show cause why they had not done so. On the same date the alternative writ of mandamus issued.
On March 5, the district court entered an order granting leave to attorneys Lorenzo A. Chavez and Melvin Robins “to introduce evidence, file briefs and argue as amicus curiae.” The attorneys for plaintiff and defendants filed a stipulation on March 8 wherein, among other things, they agreed and consented:
“* * * to the entry of the Law firm of Chavez and Robins into this cause as amicus curiae, for the limited purpose of introducing argument, authority, or evidence to protect the interests of Albuquerque Municipal Judge Harry Robins [Intervenor].”
On March 8 the district court found and ordered that:
“* * * the terms and conditions of the Stipulation are fair and reasonable, and they are hereby adopted by reference as the order of this Court, as though fully set forth herein.”
The case was tried on March 20 upon the issues presented by the allegations contained in the alternative writ and defendants’ answer or response thereto. At the conclusion of these proceedings, the district court announced it would:
“* * * find as a matter of law and direct as a matter of law, that the City Commission for the City of Albuquerque [defendants] shall forthwith call or provide for a recall election, and in the alternative shall * * * within twenty days from this date recheck the petitions and give formal notification of any signatures that they shall purge * *
On March 27, Intervenor moved for leave to intervene on the grounds that (1) “* * * as a Municipal Court Judge for the City of Albuquerque he has a direct interest relating to the claims set forth in the Petition for Writ of Mandamus filed herein on 2 March 1973, and is so situated that the final disposition of the action may, as a practical matter, impair or impede his ability to continue sitting as a Municipal Court Judge”; and (2) “* * * his interest in the pending litigation is not adequately represented and protected” in that “the defendants have not indicated that they will appeal the Court’s ruling” of March 20.
On April 10, by way of supplemental findings of fact and conclusions of law, the district court found and concluded:
“The Court hereby finds as follows:
“1. That the intervenor Harry D. Robins has an interest which can be adversely affected by the subject matter of this action.
“2. That the interest of Harry D. Robins was being protected by the Defendant Albuquerque City Commission throughout the first hearing.
“3. That the Defendant Albuquerque City Commission has through its attorney indicated in open court that it did not intend to appeal a decision by the Court which could be adverse to the interests of Harry D. Robins.
“THE COURT CONCLUDES AS A MATTER OF LAW:
“1. The Petition for Intervention by Harry D. Robins should be granted because Petitioner has an interest which would be adversely affected by enforcement of the judgment and which interest would not otherwise be protected.”
None of these supplemental findings of fact have been challenged. The supplemental conclusion has been challenged by plaintiff in all his points relied upon for reversal in his cross-appeal.
Thereafter, but on the same date of April 10, there was filed the judgment from which this appeal and the cross-appeal have been taken.
Since plaintiff’s cross-appeal concerns itself with claimed error on the part of the district court in permitting the Intervenor to intervene as a party to this cause, we shall first dispose of the cross-appeal. Plaintiff raises three points upon which he relies for reversal of the district court in permitting the intervention. The first of these is:
“The trial court abused its discretion by allowing cross-appellee to intervene after the Court had called for requested findings of fact and conclusions of law from the parties.”
It is apparent from the above recited facts that the motion to intervene was filed on March 27 and the final judgment was not entered until April 10. However, it is also apparent that the motion was not filed until after the trial was concluded and the trial court had announced on March 20 the substance of the judgment it proposed to enter. It was not until this announcement by the trial court that defendants had any reason to indicate, or had indicated, they had no intention of appealing from that judgment upon its entry. If defendants did not appeal — and they did not — then obviously they were no longer representing the interests of Intervenor.
Plaintiff contends the application for intervention was untimely, since it came after the trial had been concluded and the trial court had announced what it proposed to include in its judgment. Plaintiff relies upon Speer v. Sierra County Commissioners, 80 N.M. 741, 461 P.2d 156 (1969); Tom Fields, Ltd. v. Tigner, 61 N.M. 382, 301 P.2d 322 (1956); Encino State Bank v. Tenorio, et al., 28 N.M. 65, 206 P. 698 (1922); Annot, 5 A.L.R.Fed. 518 (1970); Annot., 37 A.L.R.2d 1306 (1954).
Those portions of our rule governing intervention of right and by permission are Rule 24(a) and (b) of the Rules of Civil Procedure for the District Courts [§ 21-1-1(24) (a) and (b), N.M.S.A.1953 (Repl. Vol. 4, 1970)]. Insofar as here pertinent, these portions of our rule are identical with Rule 24(a) and (b) of the Federal Rules of Civil Procedure.
In Speer v. Sierra County Commissioners, supra, a peremptory writ of mandamus was entered in August 1966. Several months thereafter and “after the litigation between relator and respondents was to all intents and purposes concluded,” the intervenor filed his motion to intervene. The motion was granted and intervenor filed a motion “ ‘for an order herein setting aside the judgment previously rendered by the Court and dismissing the petition of the relator.’ ” The trial court kept this motion under advisement for over two years, and “on December 23, 1968, entered an order purporting to withdraw the writ of mandamus * * In reversing this order of December 23, 1968, this court stated at 80 N.M. 742, 461 P.2d 157: “* * * At the time the intervention order was entered, there was no controversy existing between the relator and respondents. This controversy was ended after the order of the court [entered in August 1966] was followed by the action * * * ” of the county commissioners in making a tax levy.
In the case now before us, the controversy had not ended when Intervenor filed his motion on March 27 for leave to intervene. Thereafter requested findings of fact and conclusions of law were submitted to the court and the court’s decision, consisting of findings of fact and conclusions of law, as well as the final judgment, were entered. The motion ‘ for leave to intervene was prompted by a statement of defendants to the effect that they had no intention of appealing the judgment of the trial court, if it should be — and they then understood it likely would be — adverse to them.
In Tom Fields, Ltd. v. Tigner, supra, the motion to intervene was .filed in a foreclosure suit after the trial had been concluded, the trial court had announced what its decision would be, and the parties had submitted their requested findings of fact and conclusions of law. However, it was filed prior to the entry of the judgment.
The trial court denied the petition to intervene on the ground that the motion was untimely. In affirming this action of the trial court, we quoted the following from 7 Cyclopedia of Federal Procedure, § 24:31 (3d Ed. 1951):
“ ‘In each instance, timely application must be • made. * * * However, whether as of right or by permission of the court, Rule 24 is silent as to what constitutes timely application, and the question must be answered in each case by the exercise of sound discretion by the Trial Court. There is, therefore now, as formerly, latitude for the court to allow intervention within what time scope the justice of the case may appear to warrant.’ ”
We then further stated:
“As disclosed by some of the cases, just when an application to intervene is timely must depend on the circumstances of each case. * * * Counsel for plaintiff in error has made no explanation below, nor here, as to why it delayed from June, 1955, to January, 1956, in asking intervention.
“In the meantime trial had been completed and decision on the merits announced. * * * We are not prepared to say there was an abuse of discretion in his [the trial court’s] action,
Until Intervenor in the present case learned that defendants did not intend to appeal from the threatened adverse ruling, he had no reason to intervene. As found by the trial court, and which findings have not been attaéked: “* * * [T]he intervenor * * * has an interest which can be adversely affected by the subject matter of this action.” “ * * * [T]he interest of [Intervenor] was being protected by [defendants] throughout the first hearing [the trial at the conclusion of which the trial court announced its intention to order a recall election].” “ * * * [T]he [defendants] through [their] attorney indicated in open court that [they] did not intend to appeal a decision by the Court which could be adverse to the interests of [Intervenor].”
Under these circumstances, we are unable to say the trial court abused its discretion in granting the intervention. We do not speculate on what our decision might have been on this issue had the trial court denied the motion to intervene.
We are of the opinion that an attempt to intervene after final judgment has been entered should fail in the absence of extraordinary or unusual circumstances. See Wright and Miller, Federal Practice and Procedure: Civil, § 1916 at 579, n. 9 (1972), and cases therein cited. However, we are also of the opinion that intervention should not automatically be denied simply because a final judgment has been entered. One valid reason for granting intervention at this late date is the fact that an existing party to the suit has determined not to take an appeal, and the person seeking intervention will be adversely affected by the final judgment. See Wright and Miller, Federal Practice and Procedure: Civil, supra, at 582-583 and particularly n. 14 and cases therein cited.
Nothing stated in Encino State Bank v. Tenorio, et al, supra, or in the annotation in. 37 A.L.R.2d, supra, compels, or even suggests, that the trial court, under the facts of this case, was obliged in the exercise of sound discretion to deny the application for intervention.
The annotation in 5 A.L.R.Fed., supra, does not in any way concern itself with this issue.
In his second point, plaintiff asserts that assuming Intervenor “originally had a right to intervene in the pending litigation, [he] waived that right when he elected to have his interest represented by amicus curiae at the trial.”
As shown above, the trial court found that the interest of Intervenor was protected by defendants throughout the trial. It was after the trial that the district court announced its intended decision. Shortly thereafter Intervenor learned that defendants had no intention of appealing from this threatened adverse ruling. Thereupon he had reason for concern and cause to intervene for the protection of his interests by appeal, if necessary. It has proven necessary, as evidenced by this appeal.
We agree with plaintiff that a waiver is the intentional relinquishment or abandonment of a known right, and that the act of waiver may be evidenced by conduct as well as by express words. Ed Black’s Chevrolet Center, Inc. v. Melichar, 81 N.M. 602, 471 P.2d 172 (1970); Clovis National Bank v. Thomas, 77 N.M. 554, 425 P.2d 726 (1967). However, since Intervenor had no reason to seek intervention so long as his interests were being protected by defendants and the amicus curiae, we fail to understand how he waived his right to intervene by accepting this protection of his interests. It is true that he could have sought intervention long before he did, but once defendants failed and the amicus curiae was no longer able to adequately represent and protect his interests, he promptly filed his motion to intervene.
In the final point of his cross-appeal, plaintiff contends:
“The trial court erred as a matter of law in granting intervention, because the unchallenged supplemental Findings of Fact and Conclusions of Law show affirmatively that [Intervenor’s] interest was adequately represented by an existing party.”
There was no question about the adequacy of the representation of the interests of Intervenor, until defendants announced they were not going to appeal from the judgment which very seriously affected his rights. At that point he had no party to the litigation upon whom he could rely for representation on appeal. Therefore, he sought intervention as a party to secure unto himself the right of appeal. We have hereinabove stated that a valid reason for granting intervention may be the decision of an existing party to the suit not to appeal. This is a particularly persuasive reason if there is a significant difference between the interests of the absentee and the party upon whom the absentee relies for representation of his interests.
As stated in Wright and Miller, Federal Practice and Procedure: Civil, supra, at 533:
“ * * * A discriminating appraisal of the circumstances of the particular case is required [to determine the adequacy of the representation], but since the rule is satisfied if there is a serious possibility that the representation may be inadequate, all reasonable doubts should be resolved in favor of allowing the absentee, who has an interest different from that of any existing party, to intervene so that he may be heard in his own behalf.”
It cannot be seriously questioned that a recall election directed at the removal of Intervenor from his office of municipal judge places him in a position which is considerably different from that of defendants as the governing body of the municipality.
We now turn our attention to Intervenor’s appeal from the peremptory writ of mandamus by which defendants were commanded to conduct an election for the recall of Intervenor. He first contends the exclusive jurisdiction to remove a municipal court judge is vested in the New Mexico Supreme Court by Art. VI, § 32 of the Constitution of New Mexico.
Plaintiffs position is that Art. VI, § 32 neither expressly nor by implication limits the power of the Legislature to provide for the recall of judges of legislatively created courts, and, therefore, Intervenor is subject to the recall provisions of § 14-13-16, N. M.S.A.1953 (Repl.Vol. 3, 1968). This section of our statutes provides in part: “In any commission-manager municipality, any elective officer is subject to a recall election. * * * ” This statute was enacted in its present form in 1965. Insofar as the point presently under consideration is concerned, there is no question about Albuquerque being a commission-manager municipality or about Intervenor being an elected officer thereof.
The pertinent provisions of Art. VI, § 32, supra, are:
“There is created the ‘judicial standards commission,’ * * *.
“In accordance with this section, any justice, judge or magistrate of any court may be disciplined or removed for willful misconduct in office or willful and persistent failure to perform his duties or habitual intemperance, * * *. The commission may, after investigation it deems necessary, order a hearing to be held * * *. After hearing * * *, if the commission finds good cause, it shall recommend to the Supreme Court the discipline, removal or retirement of the justice, judge or magistrate.
“The Supreme Court shall review the record of the proceedings on the law and facts and may permit the introduction of additional evidence, and it shall order the discipline, removal or retirement as it finds just and proper or wholly reject the recommendation. * * *
“ * 4c 4=
“This section is alternative to, and cumulative with, the removal of justices, judges and magistrates by impeachment and the original superintending control of the Supreme Court. * * * ”
This section of the judicial article of our constitution was overwhelmingly adopted by the people at a special election held November 7, 1967. The Judicial Standards Commission, as provided for in this section, came into being on July 1, 1968. See § 16-8-1, N.M.S.A.1953 (Repl.Vol. 4, 1970).
Several other jurisdictions have been faced with similar issues. In Alabama State Bar ex rel. Steiner v. Moore, 282 Ala. 562, 213 So.2d 404 (1968), the issue presented to the Supreme Court of Alabama was whether a judge could be disciplined or disbarred by the Board of Bar Examiners during his term of office for acts performed in his judicial capacity. Under the constitution of Alabama a judge could be impeached, if guilty of impeachable conduct, or removed from office by the Governor, on the address of two-thirds of each House of the General Assembly, if guilty of willful neglect of duty or any other reasonable cause not sufficient for impeachment.
The Alabama court held that the constitutional methods for impeachment and removal were exclusive. It relied upon the maxim of “expressio unius est exclusio alterius” [at times worded as “inclusio unius est exclusio alterius]. This simply means the expression or inclusion of one thing is the exclusion of another. Board of Com’rs of Guadalupe County v. State, 43 N.M. 409, 94 P.2d 515 (1939).
The California Supreme Court in People v. Craig, 61 P.2d 934 (Cal.1936), relied upon this same maxim. In holding that the only ways in which an Associate Justice of the District Court of Appeal could be removed from his office were by one of the three methods provided by the California constitution, the court stated that: “ * * * [T]he people intended to and have designated [in the constitution] the only means by which such officers may be ousted for misdemeanor in office.”
In Cusack v. Howlett, 44 Ill.2d 233, 254 N.E.2d 506 (1969), the question presented to the Illinois Supreme Court was whether a resolution by the Illinois House of Representatives to investigate allegations of judicial impropriety by a member or members of the Illinois Supreme Court was repugnant to provisions of the Illinois constitution relative to the separation of powers of the executive, legislative and judicial branches of the State’s government, and to the retirement for disability, suspension without pay or the removal for cause of judges by a commission comparable to the New Mexico Judicial Standards Commission.
The Illinois court held that the House resolution was unconstitutional as a violation of the separation of powers provision of the constitution. It also stated at 44 Ill.2d 244, 254 N.E.2d 511:
“The authority to remove judicial officers by legislative address that was formerly given to the legislative department of the government has now been given to the judicial department, and it is the Supreme Court, as the head of that department, which is now authorized to prescribe standards of judicial conduct. * * * ”
The Utah Supreme Court concluded that a statute, providing that the public welfare commission shall have “the general control and supervision over juvenile courts,” offended the provision in the Utah constitution relating to the separation of powers, and that judges are amenable only to constitutional sanctions for removal. In Re Woodward, 14 Utah 2d 336, 384 P.2d 110 (1963).
We agree with the results reached by the Alabama, California, Illinois and Utah courts in those cases and generally with their reasoning. We agree with the principles relied upon by the Illinois and Utah courts. We do, however, find some difficulty in relying on the maxim of ex-pressio unius est exclusio alterius. We have held that the Legislature has plenary legislative authority limited only by the State and Federal constitutions. Albuquerque Met. Arroyo Flood Con. A. v. Swinburne, 74 N.M. 487, 394 P.2d 998 (1964).
Thus, we prefer to rely upon the principle of constitutional interpretation which recognizes that when a power, together with the express means of its execution, are constitutionally granted and determined, it is reasonable to infer therefrom that other means of exercising this power were intentionally excluded and should not be permitted or allowed. The difference between this principle of construction and the principle of construction expressed by the maxim of expressio unius est exclusio alterius lies in the fact that in the one expressed by the maxim all other means of exercising the power are held to have been denied simply because they were not expressly granted or included, whereas in the other, a reasonable inference or implication of denial arises from that which is expressly included.
This principle of construction is expressed by plaintiff in his answer brief as a limitation clearly and necessarily implied. In Robison v. First Judicial District Court, 73 Nev. 169, 175, 313 P.2d 436, 440 (1937), it was expressed as follows by the Nevada Supreme Court:
“ * * *. This [a concession that a constitutional provision relating to impeachment of certain public officers renders the legislature powerless to provide other means of removal from office of these officers] results from the well recognized rule that an express constitutional provision requiring a certain thing to be done in a certain way is exclusive to like extent as if it had included a negative provision to the effect that it may not be done in any other way. ‘Negative words are not indispensable in the creation of limitations to legislative power * * *. [I]mplied as well as express restrictions must be regarded * * State v. Arrington, 18 Nev. 412, 415, 4 P. 735, 737.”
In Scoggins v. Southwestern Electric Service Company, 434 S.W.2d 376, 380 (Tex.Civ.App. 1968), the Court of Civil Appeals of Texas expressed this principle of construction as follows:
“ * * *. In this jurisdiction, we follow the rule that ‘ * * * where a power is expressly given by the Constitution, and the means by which, or the manner in which it is to be exercised, is prescribed, such means or manner is exclusive of all others. * * * ’ Houchins v. Plainos, 130 Tex. 413, 110 S.W.2d 549, 553 (1937). Thus, when a right or cause of action is created specifically by the Constitution, the Legislature cannot attempt by statute to enlarge or diminish that right. * * * ”
Article VI, § 32, supra, spells out in detail, the grounds, as well as the procedures, for removal of a judge from office. It further provides that the removal of judges for the reasons stated and in the manner provided “is alternative to, and cumulative with, the removal * * * by impeachment [as provided in Art. IV, §§ 35 and 36, Constitution of New Mexico] and the original superintending control of the Supreme Court [as provided in Art. VI, § 3, Constitution of New Mexico].”
By creating a Judicial Standards Commission and explicitly providing for the grounds for and general procedures to be followed in disciplining and removing judges from office, and then making express reference to the other two constitutional provisions pursuant to which judicial officers may be disciplined or removed from office, it can and should be fairly implied that no legislatively created means of disciplining or removing judicial officers was contemplated or should be recognized. This position is clearly consistent with the constitutional history of New Mexico, and particularly with the history of judicial recall. See Opinion No. 73-3 issued January 9, 1973 by the Attorney General of New Mexico; Robert W. Larson’s New Mexico’s Quest for Statehood (1846-1912), University of New Mexico Press (1968).
It is unnecessary for us to consider the validity of the other points relied upon by Intervenor for reversal of the trial court’s judgment making the alternative writ of mandamus permanent and thereby commanding defendants to conduct a recall election.
The judgment of the trial court should be reversed and the permanent writ of mandamus quashed.
It is so ordered.
MONTOYA and MARTINEZ, JJ., concur. - | [
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OPINION
HERNANDEZ, Judge.
Plaintiff as widow of Robert Carter, deceased, and in behalf of their minor child filed a claim for workmen’s compensation benefits. The trial court granted defendant’s motion for summary judgment and plaintiff appeals.
The ultimate issue is whether the trial court erred in deciding that the accident, which resulted in Robert Carter’s death, did not arise out of and in the course of his employment, as a matter of law. Section 59-10-2, N.M.S.A.1953 (Repl.Vol. 9, pt. 1).
The essential facts are undisputed. The deceased was employed by the defendant, Burn Construction Company, Inc., as a “grease monkey”. The truck that he was driving at the time of the accident was furnished him for the purposes of his employer and incidental to his work he was required to drive it home. At the time of the accident he was following what was the most direct and convenient route home. The exact time he left work is not known, however, it is known that at about 5:30 p. m. he arrived at the Red Carpet Lounge where he joined two other employees. He spent the next four and one-half hours there drinking beer, playing pool, and conversing with his friends. The exact amount of beer consumed by the deceased is not known. However, the record does disclose that at the time the deceased started to leave, which was about 10 p. m., one of his co-employees offered to drive him home because he thought he was too intoxicated to drive. The question of the deceased’s intoxication, as a defense, is not before us. We mention this incident because we do believe that it is a factor, which together with the length of time spent by the deceased at the Lounge, must be considered in determining whether he had abandoned his employment or whether these events could be considered a minor deviation so that when he resumed his journey home he was once again within the scope of his employment. The accident occurred on Friday, May 29, 1970 at about 10:15 p. m. The truck, for no apparent reason, went out of control, rolled over and burned.
The applicable rules are well established: Ordinarily injuries sustained by an employee while on his way to work or after leaving are not compensable. Rinehart v. Mossman-Gladden, Inc., 77 N.M. 470, 423 P.2d 991 (1967); Martinez v. Fidel, 61 N.M. 6, 293 P.2d 654 (1956). But there are exceptions to the rule. One such is where the employer agrees to and does furnish transportation to and from work. Barrington v. Johnn Drilling Co., 51 N.M. 172, 181 P.2d 166 (1947). An employee, who while on a trip in the course of his employment, makes a minor deviation for personal reasons, is outside the scope of his employment during the deviation. However, once he returns to the route of the business trip he re-enters the scope of his employment and responsibility attaches. Lockwood v. Board of Trustees, Speedway Meth. Ch., 144 Ind.App. 430, 246 N.E.2d 774 (1969); Woodley v. Rossi, 152 Conn. 1, 202 A.2d 136 (1964). Very minor deviations are disregarded or considered as part of the employment agreement. Sullivan v. Rainbo Baking Company, 71 N.M. 9, 375 P.2d 326 (1962); Whitehurst v. Rainbo Baking Company, 70 N.M. 468, 374 P.2d 849 (1962). However, if in the course of a business trip an employee makes a major deviation, major because of its duration in time or because of its nature, or both, it can be said that as a matter of law he has abandoned his employment.' Then, regardless if he returns to the route of the business trip, this does not in and of itself return him to the scope of employment and an injury occurring after this does not arise out of or in the course of his employment. Johnson v. McGehee Brothers Furniture Company, 256 So.2d 741 (La.App.1972); Alford v. Quality Chevrolet Co., 246 N.C. 214, 97 S.E.2d 869 (1957); Dooley v. Smith’s Transfer Co., 57 A.2d 554, 26 N.J.Misc. 129 (1948).
This record demonstrates a major deviation and compels the conclusion that the deceased had abandoned his employment and was merely pursuing his own pleasure.
Plaintiff argues that there were several errors committed by the trial court, which had they not occurred would have allowed the consideration of evidence that could have materially influenced its decision in granting defendant’s motion for summary judgment.
The first of these is that the trial court erred in granting defendant’s motion to strike subpoena duces tecum issued pursuant to Rule 45(b), (§ 21-1-1(45)(b) N. M.S.A.1953 (Repl. Vol. 4)), and an affidavit by plaintiff’s counsel in opposition to defendant’s motion for summary judgment. The motion for summary judgment was filed September 29, 1971 and was set for hearing on October 19, 1971. On October 18, 1971 plaintiff’s attorney filed his affidavit in opposition to the motion which related in part that:
“In the course of his representation of the plaintiff, deponent has spoken with several witnesses and related here is the substance of the information gathered.”
He then went on to recite what they had told him and that they had stated they would be willing to testify if asked. Attached to the affidavit were copies of the accident report, the death certificate, and the copy of a statement of a witness taken by defendant’s insurance carrier. The affidavit also recited that deponent had taken various pictures of the scene of the accident which would be presented at the hearing and that an examination of an El Paso map would show that the deceased had traveled several miles before the accident without incident. It also recited that “deponent believes that the defendants and their counsel have among the papers in their files various statements from persons having knowledge concerning the accident. They are being subpoenaed for production on the return of this motion.”
Section 21-1-1(56) (e) N.M.S.A.1953 (Repl. Vol. 4) provides in part:
“Supporting and opposing affidavits [referring to motions for summary judgment] shall be made on personal knowledge, shall set forth such facts as would be admissible in evidence, and shall show affirmatively that the affiant is competent to testify to the matters stated therein. Sworn or certified copies of all papers or parts thereof referred to in an affidavit shall be attached thereto or served therewith.” § 21-1-1 (56) (e), N. M.S.A.1953 (Repl. Vol. 4). [Emphasis ours] Rekart v. Safeway Stores, Inc., 81 N.M. 491, 468 P.2d 892 (Ct.App.1970).
Clearly this affidavit did not comply with the provisions of rule (56) (e) supra, and the trial court did not err in striking it.
A copy of the subpoena duces tecum does not appear in the record. However, other documents in the record reflect that plaintiff’s counsel sought to subpoena defendant’s counsel and any statements in his possession made by certain individuals concerning this case. Our rules of civil procedure like the federal rules after which they are patterned, are designed to enable parties to easily discover all of the relevant facts and therefore the discovery provisions should be given as liberal an interpretation as possible in order to effectuate this design. Davis v. Westland Development Company, 81 N.M. 296, 466 P.2d 862 (1970). However, confronting the desire not to stultify the purposes of discovery is the equally compelling desire to protect our adversary system of litigation. Under our system it is important that the privacy of a lawyer be protected in doing whatever is necessary to properly prepare his case. Equally important is the preservation of the competitiveness of our system which we believe would be adversely affected should a lawyer be compelled to disclose his work to opposing counsel without some compelling reason. We are speaking here of nonprivileged facts. The statements which plaintiff sought fall outside the scope of the privilege of attorney-client. However, they were the statements of witnesses whose identity was known and who could have been deposed by plaintiff or their statements obtained directly. There was no showing of necessity for the production of statements or alternatively that injustice would result if they were not made available. We therefore hold that a burden rests upon the party, who seeks the production and inspection by subpoena or court order of any information, memoranda, briefs, communications, reports, statements or other writings prepared by a lawyer or at his direction for his own use in prosecuting his client’s case, to establish that there is good cause why the desired material should be made available to him. To establish good cause a party must show that the material sought is not available upon the exercise of diligent effort and that it is necessary for the preparation of his case, or that the denial of the production and inspection of the material sought will unfairly prejudice his case or cause him undue hardship or injustice. Hickman v. Taylor, 329 U.S. 495, 67 S.Ct. 385, 91 L. Ed. 451; Ford Motor Company v. Havee, 123 So.2d 572 (Fla.App.1960); Alltmont v. United States, 177 F.2d 971 (3rd Cir.1949); United States v. 6.82 Acres of Land, etc., 18 F.R.D. 195 (D.N.M.1955).
The trial court did not err in striking the subpoena duces tecum.
Plaintiff argues that there was evidence that the deceased received a phone call just before he left the Red Carpet Lounge and that he probably left in response to this call because he did not even wait to eat a hot dog he had ordered. The testimony as to the phone call came from the deposition of John Harrison Poor one of the deceased’s fellow employees who was with him at the Lounge. Poor testified that the barmaid at the Lounge told him that the deceased had ordered a hot dog and then he received a phone call and that he left immediately without eating it. The deceased’s wife, when questioned concerning this phone call, denied having made it. There was no evidence as to who made the call. Plaintiff then goes on to argue that it was defendants’ affirmative duty to prove that the call had not been made by one of deceased’s suprevisors call ing him “out of the bar for duty purposes”. Plaintiff then concludes that since defendants failed to make this proof that there remained the possibility that the deceased left in response to a call from his employer and was in the course of his employment when he was killed. He goes on to contend that this then presented a genuine issue as to a material fact and the granting of the motion for summary judgment was error on this ground as well as the others previously stated. Plaintiffs contention is novel to say the least. He would have the law impose the considerable burden of proving the negative upon the defendants on the basis of a hearsay statement and then penalize them for failing to meet the burden by denying their motion for summary judgment. The law in New Mexico still remains that “the party alleging the affirmative has the burden of proof”. J. A. Silversmith, Inc. v. Marchiondo, 75 N.M. 290, 404 P.2d 122 (1965).
Plaintiff also contends that during the taking of depositions that the questioning by defendants’ counsel were leading and intimidating regarding decedent’s intoxication. Having decided the issue as a matter of law on undisputed facts not involving intoxication we need not decide plaintiff’s contention.
We affirm.
It is so ordered.
HENDLEY, J., concurs.
SUTIN, J., dissents. | [
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OPINION
MARTINEZ, Justice.
Plaintiffs filed suit on April 28, 1971 in the District Court of Hidalgo County, New Mexico alleging that the defendants had failed to make the necessary payments due under the terms of a purchase and sales contract for land in Hidalgo County. Plaintiffs prayed for a judgment of the balance due under the terms of the contract. On June 18, 1971, a default judgment was entered against two of the defendants, J. Max Beene and Charlotte J. Beene, his wife, in the amount of $38,391.84.
The pleadings and record reveal the following facts. On July 8, 1971, the defendant, J. Max Beene, through his partner and co-defendant, Bobby M. Mayfield, consented to an oral agreement with the plaintiffs, which provided for a release of judgment in part against Beene and Mayfield, termination of the contract of sale, and immediate possession of the land by the plaintiffs. The defendant, J. Max Beene, subsequently filed a voluntary petition of bankruptcy in the United States District Coúrt for the District of New Mexico on December 6, 1971. Shortly thereafter, on December 17, 1971, J. Max Beene and Bobby M. Mayfield filed a joint stipulation for release of judgment in the District Court of Hidalgo County.
On May 5, 1972, the trial court, by its judgment, approved the stipulation entered into between the plaintiffs and the May-fields and, by the terms of which, J. Max Beene and his wife were released from the June 18, 1971 default judgment. The said 1972 judgment, pursuant to the stipulation between the plaintiffs and the Mayfields, provided for judgment against the May-fields only and, pursuant to the stipulation, granted possession of the lands to the plaintiffs.
In July 1972, the trustee in bankruptcy of the estate of the defendants, J. Max Beene and Charlotte J. Beene, moved to intervene in this action and set aside the May 5, 1972 court action. After a hearing, both motions were denied and trustee in bankruptcy (appellant) appealed.
The appellant has raised two points on appeal. His first point is that the trustee in bankruptcy is a necessary and indispensable party where any interest in real estate of the bankrupt is sought to be terminated.
The right to intervene • is embodied in Rule 24(a) Rules of Civil Procedure [§ 21-1-1 (24) (a), N.M.S.A.1953 Comp. (Repl.Vol. 4, 1970)], which reads as follows:
“Upon timely application anyone shall be permitted to intervene in an action: (1) when a statute confers an unconditional right to intervene; or (2) when the applicant claims an interest relating to the property or transaction which is the subject of the action and he is so situated that the disposition of the action may as a practical matter impair or impede his ability to protect that interest, unless the applicant’s interest is adequately represented by existing parties.”
State v. Reese, 78 N.M. 241, 430 P.2d 399 (1967) stated that intervention is the proceeding whereby a person is permitted to become a party in an action between other persons after which litigation proceeds with both original and intervening parties. The timeliness of such an application depends upon the circumstances of each case, Tom Fields, Ltd. v. Tigner, 61 N.M. 382, 301 P. 2d 322 (1956), and in the absence of a specific statutory provision fixing the time within which the right to intervene must be exercised, the timeliness is governed by equitable principles. State v. Chavez, 45 N.M. 161, 113 P.2d 179 (1941). Generally speaking, an intervention must take place while an action is pending, see Hofheimer v. McIntee, 179 F.2d 789 (7th Cir. 1950), and will not be permitted after commencement of trial. Therefore, it is the general rule that intervention will not be allowed after a final judgment or decree has been entered. Encino State Bank v. Tenorio, 28 N.M. 65, 206 P. 698 (1922).
In certain instances, however, intervention will be allowed, even after a final judgment where it is necessary to preserve a right which cannot otherwise be protected. Pellegrino v. Nesbit, 203 F.2d 463 (9th Cir. 1953); United States Casualty Co. v. Taylor, 64 F.2d 521 (4th Cir. 1933). That is, the trial judge must find that the right or interest cannot otherwise be protected, except by intervention.
Rule 60(b) Rules of Civil Procedure [§ 21-1-1 (60) (b) N.M.S.A., 1953 Comp. (Repl.Vol. 4, 1970)] establishes the grounds upon which a trial court may vacate a final judgment and reads as follows:
“On motion and upon such terms as are just, the court may relieve a party or his legal representative from a final judgment, order, or proceeding for the following reasons: (1) mistake, inadvertence, surprise, or excusable neglect; (2) newly discovered evidence which by due diligence could not have been discovered in time to move for a new trial under Rule 59(b); (3) fraud (whether heretofore denominated intrinsic or extrinsic), misrepresentation, or other misconduct of an adverse party; (4) the judgment is void; (5) the judgment has been satisfied, released, or discharged, or a prior judgment upon which it is based has been reversed or otherwise vacated, or it is no longer equitable that the judgment should have prospective application; or (6) any other reason justifying relief from the operation of the judgment.”
Furthermore, § 21-1-1(60) (b), supra, provides that the motion shall be made within a reasonable time after a judgment is entered by the trial court. This Court, in Conejos County Lbr. Co. v. Citizens Savings & L. Ass’n, 80 N.M. 612, 459 P.2d 138 (1969), has interpreted this provision in relation to a default judgment and has held that the vacating of a default judgment for good cause is a matter within the sound discretion of the trial court. This Court further stated that the trial court’s ruling will not be reversed unless an abuse of discretion is present. Discretion, in this sense, is abused only when the judge has acted arbitrarily or unreasonably under the particular circumstances. See Weisberg v. Garcia, 75 N.M. 367, 404 P.2d 565 (1965); Gilmore v. Griffith, 73 N.M. 15, 385 P.2d 70 (1963).
Mindful of this Court’s approach toward granting motions to vacate and intervene, it is necessary to examine the facts as presented to the trial court in order to determine whether or not it erred in denying appellant’s motions. property, and such title relates bade to the date the bankruptcy petition was filed. Appellant trustee qualified and was appointed on February 1,1972 as trustee of Beene’s estate while Beene filed his petition for bankruptcy on December 6, 1971. This Court in Home Fire & Marine Insurance Company v. Schultz, 80 N.M. 517, 458 P.2d 592 (1969) defined an indispensable party as one whose interests will necessarily be affected by a judgment in a particular case. Therefore, if the party is indispensable and he has not been joined, the failure to join renders the suit defective. Am. Trust & Sav. Bnk. of Alb. v. Scobee, 29 N.M. 436, 224 P. 788 (1929). However, in order for the appellant trustee to be deemed an indispensable party, he must have been vested with the title to the bankrupt’s property at the time the judgment was rendered and satisfaction was made.
The Bankruptcy Act, 11 U.S.C.A. § 110 (1966) provides that the trustee of the bankrupt’s estate upon his appointment and qualification shall be vested by operation of law with the title to the bankrupt’s
The oral agreement between the plaintiffs and the Mayfields, hereinbefore mentioned which was later reduced to writing and filed as a stipulation in the cause, was predicated upon Mayfield’s authority, as co-partner with Beene, to bind Beene to the agreement. Testimony elicited at the motions hearing is to the following effect. Mayfield and Beene intended to work the land as partners, each contributed capital to purchase the land, the land was owned by the partnership, each partner had management powers, there was equal division of profits and losses, and Beene had granted Mayfield authority to negotiate and execute a settlement of his default judgment with the plaintiffs. It is both Mayfield’s and Beene’s uncontradicted testimony that May-field executed the stipulation with the knowledge and consent of Beene. Almost immediately after the agreement was reached on July 8, 1971, plaintiffs entered and took possession of the land. In contrast, appellant trustee was not qualified and appointed until February 1, 1972.
It is clear to this Court that Mr. Beene’s interest in the land subject to the purchase and sales contract was partnership property which was transferred to Richins in satisfaction of Richins’ judgment against the defendants. . Therefore, because the appellant had no interest in this property, as of December 6, 1971, the trial court was correct in denying appellant’s motions to intervene and vacate judgment.
The appellant’s second point on appeal is that the court’s action on May 5, 1972 was a judgment different in kind from that prayed for in the demand for judgment and, therefore, is void and should be set aside as a matter of law.
Rule 54(c), Rules of Civil Procedure [§ 21-1-1(54) (c) N.M.S.A.1953 Comp. (Repl. Vol. 4, 1970)] reads as follows:
"A judgment by default shall not be different in kind from or exceed in amount that prayed for in the demand for judgment. Except as to a party against whom a judgment is entered by default, every final judgment shall grant the relief to which the party in whose favor it is rendered is'entitled, even if the party has not demanded such relief in his pleadings.”
Appellant alleges that the trial court’s action of May 5, 1972 granted the plaintiffs immediate rights of re-entry of the land and voided the contract, thereby varying in kind the relief prayed for in the plaintiff’s demand for money due on the contract.
We disagree.
The parties to the contract, Richins, May-field, and Beene took independent action on July 8, 1971 and satisfied the judgment of June 18, 1971. Richins took immediate possession of the land. This transpired subsequent to the default judgment and prior to trial court’s action of May 5, 1972. Furthermore, this transaction was complete and independent of any trial court order.
Rule 54(c), supra, is derived from Rule 54(c), Federal Rules of Civil Procedure, and refers to problems of amending pleadings in a default judgment. The statute applies to the situation in which an action is commenced, default occurs, and the 'plaintiff subsequently amends his pleadings. Under these circumstances, no default judgment can be entered unless the defendant is notified of the amended pleading. See Anno. 84 A.L.R.2d 1077 (1962). The statute’s purpose is to allow for free amendment to pleadings at any stage of the proceeding which do not substantially change fhe plaintiff’s pleadings, State v. Fireman’s Fund, 67 N.M. 360, 355 P.2d 291 (1960), while protecting the defendant from any amendments subsequent to his default. This modifies the strict rule applied in Campbell v. Hollywood Race Ass’n, 54 N.M. 260, 221 P.2d 558 (1950) where this Court held that testimony supporting a recovery in quantum meruit could not be admitted in an action on express contract. Clearly, Rule 54(c), supra, does not ■ apply to the instant case. The default judgment of June 18, 1971 was not changed in kind or exceeded by the trial court’s action of May 5, 1972, nor did the plaintiff attempt to substantially amend his pleadings. The trial court did not grant Richins possession of the partnership land since possession already had occurred, and therefore Rule 54(c), supra, does not apply:
The action of the trial court denying the motions 'filed by the trustee in bankruptcy is affirmed.
It is so ordered.
STEPHENSON and MONTOYA, JJ., concur. | [
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OPINION
WOOD, Chief Judge.
The appeal is concerned with an allegedly defamatory statement made by an attorney and the defense that the statement was absolutely privileged.
Lucy and A. J, Romero, are wife and husband. Lucy is the administratrix of her parents’ estates. Administration proceedings were begun in 1967 and were pending at the time of the alleged defamation in May, 1971. Albert Martinez is a brother of Lucy. Albert had a claim against the estates which was reduced to judgment in 1969. At the time of the alleged defamation, this judgment had not been paid.
A dispute arose as to whether a tract of land — La Elfega — had been the property of the deceased parents. Lucy asserted it belonged to the parents; Albert claimed it belonged to him. Lucy, as administratrix, brought suit. This suit, filed and at issue in 1968, involved the ownership of La Elfega. This suit was also pending at the time of the alleged defamation.
Lucy, as administratrix, orally leased La Elfega to Feliberto Maestas. Two receipts for rent paid by Maestas were signed by or on behalf of Lucy. These receipts do not show they were signed as administratrix or on behalf of the estates.
The oral lease of La Elfega to Maestas began in the fall of 1970. During the term of the lease, and while Maestas had his cattle on La Elfega, Albert informed Maestas “* * * that the land on which I was grazing my cattle belonged to him and not the estate for which Lucy Romero was administratrix. * * * ”
Disturbed by the conversation with Albert, Maestas went to defendant Prince for advice, knowing “ * * * that Mr. Prince represented Mr. Albert Martinez in a lawsuit over the land in question. I was seeking Mr. Prince’s advice because, as lessee of the land, I was directly affected by that lawsuit. * * * ”
Prince represented Albert in the proceedings as a result of which Albert became a judgment creditor of the estates. Prince also represented Albert in the suit involving the ownership of La Elfega. Mr. J. H. Burttram was the attorney for the administratrix, both in the administration of the estates and in the suit involving ownership of La Elfega.
After Maestas conferred with Prince, Prince wrote a letter to Burttram with a copy to Maestas. This letter referred to the lease, the ownership of La Elfega, and the way the rent receipts had been signed. It asked for an accounting of money received by the administratrix. It also asked that plaintiffs return the rent money paid by Maestas.
The foregoing facts come from depositions and affidavits and are undisputed.
Prince’s letter also contained statements which plaintiffs claim amount to libel per se. We do not decide this contention; we assume the statements are a libel per se.
Plaintiffs sought damages for libel and for interference with the business and contractual relations of plaintiffs and Maestas. The trial court granted summary judgment for defendant. Plaintiffs’ appeal abandons the “interference” claim. The issue is the propriety of summary judgment for defendant on the libel claim.
Ill Restatement of Torts, § 586 (1938) states:
“An attorney at law is absolutely privileged to publish false and defamatory matter of another in communications preliminary to a proposed judicial proceeding, or in the institution of, or during the course and as a part of a judicial proceeding in which he participates as counsel, if it has some relation thereto.”
Comment (a) to § 586, supra states: “The privilege stated in this Section is based upon a public policy of securing to attorneys as officers of the court the utmost freedom in their efforts to secure justice for their clients. Therefore the privilege is absolute. It protects the attorney from liability in an action for defamation irrespective of his purpose in publishing the defamatory matter, his belief in its truth or even his knowledge of its falsity. * * *” Compare Stryker v. Barbers Super Markets, Inc., 81 N.M. 44, 462 P.2d 629 (Ct.App. 1969).
The trial court granted summary judgment on the basis that Prince’s letter was absolutely privileged. In doing so, it ruled that Prince’s letter related to proposed and ongoing judicial proceedings and was written in the course of Prince’s legal representation of Maestas.
Plaintiffs assert the trial court’s ruling is wrong for two reasons. First, they challenge the ruling that the letter was written in the course of Prince’s representation of Maestas. The undisputed showing is that Prince wrote the letter on behalf of his client, Albert, and also on behalf of Maestas. The argument is that the showing is insufficient to show that Prince was acting as attorney for Maestas. Second, plaintiffs contend that even if Prince was acting as attorney for Maestas, the letter was not a communication either preliminary to, in the institution of or during the course of a judicial proceeding. As a part of this second reason, plaintiffs assert a defamatory communication by an attorney preliminary to a proposed judicial proceeding is not absolutely privileged.
It is not necessary to answer the foregoing contentions. As plaintiffs point out, if the trial court “ * * * reached the right result for the wrong reason, this Court may affirm the judgment of the District Court. * * *” See Beall v. Reidy, 80 N.M. 444, 457 P.2d 376 (1969).
It is undisputed that Prince was the attorney for Albert and that the letter was written on Albert’s behalf.- Plaintiffs agree that a defamatory statement of an attorney is absolutely privileged if the statement is made during the course of and as a part of judicial proceedings and is related to those proceedings. Thus, if the absolute privilege applies in connection with Prince’s representation of Albert, the trial court is to be affirmed even if its reasoning as to Maestas and to defamation preliminary to judicial proceedings should be wrong.
Plaintiffs contend Prince’s letter was not written during the course of or as a part of judicial proceedings because: (1) the letter was written “well after” the administration proceedings and the lawsuit involving La Elfega had been instituted and (2) a copy of the letter had been sent “ * * * to a third party [Maestas] who had noth ing to do with either pending legal proceeding. * ■* * ” Neither contention defeats application of the privilege in this case.
“ * * * It is not absolutely essential, in order to obtain the benefits of absolute privilege, that the language claimed to be defamatory be spoken in open court or contained in a pleading, brief, or affidavit. * * *” Zirn v. Cullom, 187 Misc. 241, 63 N.Y.S.2d 439 (1946). If the alleged defamatory statement is made to achieve the objects of the litigation, the absolute privilege applies even though the statement is made outside the courtroom and no function of the court or its officers is invoked. Smith v. Hatch, 271 Cal.App.2d 39, 76 Cal.Rptr. 350 (1969). Negotiation of a settlement is part of a judicial proceeding. Petty v. General Accident Fire & Life Assurance Corp., 365 F.2d 419 (3rd Cir. 1966). The showing in this case, from the deposition of A. J. Romero, is that Burttram and Prince “ * * * had been discussing this case back and forth and exchanging letters. They were trying to obtain a settlement.”
We need not decide whether Prince’s letter can be characterized as part of the settlement negotiations because it clearly was written to achieve Albert’s object in the pending litigation. The letter was written during the course of and as a part of judicial proceedings.
In Theiss v. Scherer, 396 F.2d 646, 36 A.L.R.3d 1321 (6th Cir. 1968), the attorney defendant wrote the allegedly defamatory letter to the attorney for plaintiffs in regard to the administration of an estate. Copies of the letter were sent to persons who had an interest in the estate referred to in the letter. Distribution of the copies of the letter did not defeat the privilege because the copies went only to persons who had a direct financial interest in the settlement of the estate. Absolute privilege was applied because the letter and its copies were relevant to and made during the course of a judicial proceeding.
Our case is similar to Theiss v. Scherer, supra. Prince’s letter went to opposing counsel Burttram. A copy went to Maestas who was “directly affected” by the lawsuit over La Elfega. The letter was “relevant” to that lawsuit. We do not, however, adopt the “relevancy” test for application of the privilege. In Stryker v. Barbers Super Markets, Inc., supra, concerning defamatory matter in judicial pleadings, we held the defamatory matter must be “reasonably related” to the subject of inquiry. We see no reason for a different rule in connection with statements by attorneys. Such statements, to be privileged, must be “reasonably related” to the judicial proceeding in the course of which the statement is made. See Smith v. Hatch, supra.
We hold the allegedly defamatory letter of Prince was made during the course of and as a part of a judicial proceeding and was reasonaby related to that proceeding. Accordingly the letter was absolutely privileged. The trial court properly granted summary judgment for defendant.
The summary judgment is affirmed.
It is so ordered.
HENDLEY and LOPEZ, J„ concur. | [
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] |
OPINION
HERNANDEZ, Judge.
The defendant appeals his conviction of burglary § 40A-16-3, N.M.S.A.1953 (2d Repl. Vol. 6) alleging four points of error: (1) The trial court abused its discretion by not excusing a juror for cause; (2) the defendant was illegally searched and seized and items taken illegally used against him or in the alternative that he was illegally arrested and illegally stopped and frisked; (3) the court erred in not granting defendant’s motion for a directed verdict and his motion to set aside the verdict; and (4) the court erred in denying defendant’s motion to suppress the evidence obtained as a result of the illegal search and seizure.
We affirm.
The facts pertinent to point one are: that at the time of the voir dire examination of the prospective jurors it was brought out that the home of juror Davis had been broken into on Christmas eve, just nine days before trial and many items were taken. Defendant’s request that Davis be excused for cause was rejected. The questions asked and the answers given by juror Davis are not shown in the record, but the following summary given by the trial court in response to defendant’s challenge is shown:
“In answer to the questions asked by counsel and the court, Mr. Davis said he could decide the case fairly and impartially. He said he would not hesitate to vote for a verdict of acquittal if the evidence failed to convince him beyond a reasonable doubt. The court feels that there was nothing in that question and answer period that showed he would be prejudiced.”
The trial court then went on to say,
“I think if we had to excuse everyone who' has been a victim of a crime just because they were victims of a crime and may be prejudiced, we would never be able to get a jury in this case, so the court is going to deny your request to challenge him for cause.”
Defendant argues that the trial court based its decision on this last statement and that it was more interested in getting a jury than in protecting defendant’s rights. We do not agree. The court stated unequivocally why it believed that juror Davis could serve impartially. See State v. Fransua, 85 N.M. 173, 510 P.2d 106 (Ct.App.1973); State v. Pace, 80 N.M. 364, 456 P.2d 197 (1969). The trial court did not abuse its discretion.
The issue, basic to defendant’s second and fourth points, is whether Officer Edwards’ actions in seizing and searching the defendant were reasonable under the circumstances. These points involve the initial stop and frisk and the subsequent search prior to defendant’s arrest.
As to the stop and frisk the facts are these: At about 3:48 a. m., on August 8th, Police Officer Edwards was dispatched by radio to an office building to investigate a burglary which had been reported. As he drove up to the building he saw the defendant walking north on the sidewalk next to the building. The officer stopped him and asked for identification. The defendant stated that he could produce no identification because his wife had washed his wallet. He told the officer that he was on his way home at 125 Slate Street, S. W. Officer Edwards then “patted down” the defendant to see if he was armed. He felt some objects in defendant’s pants pocket and asked him to take them out, which he did. They were a penknife, four rolls of stamps and two plastic stamp dispensers. The officer then returned the items. Terry v. Ohio, 392 U.S. 1, 88 S.Ct. 1868, 20 L.Ed.2d 889 (1968) provides that the reasonableness of a “stop and frisk” must be judged against an objective standard. The question then is, what a reasonably prudent police officer would have done under the same circumstances. We believe he would have done as Officer Edwards did-—stop the defendant, question him and determine if defendant was armed. See State v. Lewis, 80 N.M. 274, 454 P.2d 360 (Ct.App.1969).
As to the search and seizure prior to the arrest, the facts are these: After returning the items viewed during the stop and frisk, Officer Edwards went into the building with the janitor; defendant remaining outside. While in the building, the officer talked with Mr. Overholt, the person whose office had been entered. During this conversation, the officer learned that Mr. Overholt had had a penknife in his desk drawer with his name inscribed on it. The officer went outside to the defendant and asked to see the penknife again. Opening the knife, the officer found Mr. Overholt’s name inscribed on it. The officer then arrested defendant.
The foregoing are facts most favorable to the State. Although there is conflicting evidence, we view the facts in the light most favorable to the state. State v. Gregg, 83 N.M. 397, 492 P.2d 1260 (Ct.App.1972).
After viewing the penknife during the stop and frisk for weapons, and after the conversation with Mr. Overholt, the officer had probable cause to either search or arrest defendant. State v. McAdams, 83 N.M. 544, 494 P.2d 622 (Ct.App.1972). With probable cause established in the record, we need not determine whether defendant “consented” to the search and seizure after the conversation with Mr. Overholt.
A related question under defendant’s fourth point is that the trial court erred in not conducting a hearing on defendant’s motion to suppress prior to trial, rather than holding the hearing out of the presence of the jury during the trial. The record shows the trial court was not advised of the pendency of the suppression motion until the morning of the trial. The trial court pointed out that the motion was not timely under § 41 — 23—33(f), N.M.S.A. 1953 (2d Repl. Vol. 6, Supp.1973), but nevertheless held the hearing before the evidence sought to be suppressed was introduced at the trial. Defendant has not shown how he was prejudiced by a procedure that accorded him a hearing on an untimely motion.
Defendant bases his third point on the contention that the State failed to prove: (1) that the defendant had entered the burglarized premises; (2) that he entered without permission; (3) that at the time he entered he had the specific intent to commit a theft. Mr. Overholt testified that a window and the glass door of his office were broken when he inspected it on August 8th; that a penknife with his name engraved upon it was missing; that the premises were in good condition when he closed his office on August 7th at 5:00 p. m., and that the penknife was in his desk drawer. He also testified that he had not given the defendant or anyone else permission to enter during the early morning hours of August 8th. Granted the evidence that it was the defendant who had entered and that he had the requisite intent is circumstantial but his presence outside of the building with the stolen penknife in his pocket is strong circumstantial evidence. It is our opinion that this evidence points unerringly to the defendant as the person who broke into the building and took the penknife. See State v. Slade, 78 N.M. 581, 434 P.2d 700 (Ct.App.1967). We are mindful that, “ ‘The unexplained possession by one of goods belonging to another does not raise the presumption that a larceny has been committed, and that the possessor is a thief; additional evidence is necessary to establish the corpus delicti’ ”. State v. White, 37 N.M. 121, 19 P.2d 192 (1933). The additional evidence in this case is considerable: the fact a robbery had been committed; the early hour of the morning; the lack of identification; the giving of a false name (the name the defendant gave the officer proved to be false); defendant’s statement that he was on his way home which was in the southwest quadrant of the city when he was walking north. It is our opinion that the State sustained the burden of proving the elements of the crime of burglary § 40A-16-3, supra. See State v. Madrid, 83 N.M. 603, 495 P.2d 383 (Ct.App.1972).
It is so ordered.
WOOD, C. J., and LOPEZ, J., concur. | [
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OPINION
WOOD, Chief Judge.
The appeal is concerned with the variance between the offense charged and the offense for which defendant was convicted iti a trial to the court without a jury. The indictment charged homicide by vehicle on the basis of reckless driving. Sections 64-22-1 and 64-22-3, N.M.S.A.1953 (2d Repl. Vol. 9, pt. 2). The trial court found defendant guilty of “. . . driving his automobile on the left side of the roadway within a legally designated no passing zone contrary to the provisions of Section 64— 18-4, [64-18-14] ...” N.M.S.A.1953 (2d Repl. Vol. 9, pt. 2).
The trial court convicted defendant of violating § 64-18-14, supra, on the theory that the “no-passing” violation was a lesser included offense. Defendant asserts, and the State agrees, that a violation of § 64-18-14, supra, is not a lesser included offense. We also agree that it is not a lesser included offense. State v. Trujillo (Ct.App.), 85 N.M. 208, 510 P.2d 1079, decided May 16, 1973.
The State did not rely on a lesser included offense theory. After the oral finding of guilt and oral pronouncement of sentence, but before entry of a written judgment, the State moved to amend the indictment by adding a second count. This second count would have charged defendant with a violation of § 64-18-14, supra. The trial court noted the pendency of this motion in entering its written “Judgment and Sentence” but did not rule on this motion.
Could the State’s motion, if granted, validate defendant’s conviction? State v. La Rue, 67 N.M. 149, 353 P.2d 367 (1960) states: “ . . . a person cannot be convicted of an offense of which he is not charged. . . .” Smith v. Abram, 58 N.M. 404, 271 P.2d 1010 (1954) states: “That a person may not be punished for a crime without a formal and sufficient accusation even if he voluntarily submits to the jurisdiction of the court cannot be questioned. Such is the undisputed law in all jurisdictions. . . .”
Sections 41-6-37 and 41-6-39, N.M.S.A. 1953 (2d Repl. Vol. 6), subsequently repealed, were in effect at the time the indictment was filed in this case. Section 41-6-37(2), supra, pertains to variance between the “ . . . allegations of an indictment . . . which state the particulars of the offense . . . and the evidence offered in support thereof. . . .” Under § 41-6-37(2), supra, the indictment may be amended to conform to the evidence. Section 41-6-39, supra, authorizes amendment of the indictment after verdict and before sentence is pronounced, “ . . . so as to state the particulars of the offense, as proved. . . . ”
Neither § 41-6-37(2), supra, nor § 41-6-39, supra, apply to the situation in this case. Both sections go to amendment of the indictment to conform to evidence introduced in support of the charge made in the indictment. See State v. Ardovino, 55 N.M. 161, 228 P.2d 947 (1951). Neither apply to the situation of first convicting a defendant of an offense without charging him with that offense and then moving to amend the indictment by adding that charge subsequent to conviction. Section 41-6-37(2), supra, and § 41-6-39, supra, do not authorize amendments to accuse a defendant of a crime different from the crime originally charged. Annot., 17 A.L. R.3d 1181, § 15 at 1223 (1968).
As stated in State v. Loveless, 39 N.M. 142, 42 P.2d 211 (1935):
“ . . . [I]t was error for the court to instruct the jury that the defendant was on trial for an offense distinct from the one of which he was charged. Of what good would be the constitutional guaranty to the accused 'to demand the nature and cause of the accusation’ [N.M.Const. Art. II, § 14] if the court may instruct the jury that the accused, is charged with an offense of which he is not charged? We regard it as fundamental that the accused must he tried only for the offense charged in the information. . . . ” (Our emphasis)
The State’s motion to amend, even if granted, could not validate defendant’s conviction.
Defendant was not convicted of homicide by vehicle. Instead, he was impliedly found not guilty of that offense when he was erroneously found guilty of the “no-passing” offense on the theory that it was a lesser included offense. Defendant’s “no-passing” conviction cannot stand because, at this point, he has never been charged with that offense. See State v. Chacon, 62 N.M. 291, 309 P.2d 230 (1957). The “Judgment and Sentence” is reversed. The cause is remanded with instructions to dismiss the homicide by vehicle charge, and for such further proceedings as may be appropriate.
It is so ordered.
HENDLEY and HERNANDEZ, JJ., concur. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1081, 85 N.M. 191, 510 P.2d 515, be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1096, 85 N.M. 397, 512 P.2d 970, be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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] |
OPINION
WOOD, Chief Judge.
The trial court awarded occupational disease disablement benefits in each of these cases. The appeal by Kaiser (Kaiser Steel Corporation) raises issues as to (1) physical incapacity; (2) notice; and (3) attorney fees.
Physical incapacity.
The right to compensation for occupational disease depends on disablement. Section 59-11-7, N.M.S.A.1953 (Repl.Vol. 9, pt. 1). Disablement is defined by § 59-ll-4(a), N.M.S.A.1953 (Repl.Vol. 9, pt. 1) to mean:
“ * * * total physical incapacity by reason of an occupational disease as defined in this act to perform any work for remuneration or profit in the pursuit in which he was engaged. * * * ”
The four plaintiffs worked as underground coal miners. The occupational disease is coal worker’s pneumoconiosis. Section 59-11-21(32), N.M.S.A.1953 (Repl. Vol. 9, pt. 1, Supp.1971). The trial court found each of the men to be disabled by reason of this occupational disease. Kaiser does not contend, in the ■ appeal, that the men do not have the disease. Kaiser does not challenge the finding of disablement as to Scarafiotti. Kaiser asserts the evidence is insufficient to support a finding of disablement as to Garcia, Salazar and Tovar.
In answering Kaiser’s contention we consider only the evidence and inferences therefrom which support the findings of the trial court. Ojinaga v. Dressman, 83 N.M. 508, 494 P.2d 170 (Ct.App.1972). Our review does not consider much of the evidence discussed by Kaiser because that evidence is to the effect that Garcia, Salazar and Tovar did have some physical capacity to perform work for remuneration as underground coal miners on the dates the trial court found them to be disabled. Thus, we do not consider medical testimony favorable to Kaiser, the evidence of Kaiser employees that the men performed their work satisfactorily, the evidence that the union to which the men belonged assisted them in preparing their occupational disease claims or the evidence that two of the men had made plans for retirement prior to the dates they were found to be disabled.
We note, however, that receipt of retirement benefits would not prevent, a workman from receiving occupational disease benefits if disablement has been established. See Beth-Elkhorn Corporation v. Hillman, 465 S.W.2d 281 (Ky.App.1971); Lumsden v. Despatch Shops, 5 A.D.2d 242, 171 N.Y.S.2d 189 (1958).
Kaiser claims the evidence of disablement is insufficient because the evidence is insufficient to show that Garcia, Salazar and Tovar were totally physically incapacitated to work for pay as underground coal miners. In advancing this contention, Kaiser asserts the phrase “total physical incapacity” means a “total physical inability.” There is evidence that Salazar worked for more than a week after the date he was found to be disabled; Garcia worked about three and one-half months and Tovar worked approximately six months.
Kaiser states: “If a person is physically capable of performing work for remuneration as an underground coal miner, and in fact performs work for remuneration as an underground coal miner, he cannot be totally physically incapacitated from performing any work for remuneration in that pursuit. * * * ” Support for this view, with which we disagree, appears in LaCoste v. J. Ray McDermott & Co., 250 La. 43, 193 So.2d 779 (1967) and Muniak v. ACF Industries, Inc., 7 A.D.2d 258, 182 N.Y.S.2d 539 (1959).
“Total physical incapacity” may or may not have the meaning which Kaiser would give to that phrase. The words are not defined in the statute. However, they are “ * * * presumed to be used in their ordinary and usual sense. * * * ” Bettini v. City of Las Cruces, 82 N.M. 633, 485 P. 2d 967 (1971). We look to the dictionary for this ordinary and usual meaning. Webster’s Third New International Dictionary (1966) defines “incapacity” in terms of “incapable.” In turn, “incapable” is defined as “not able or fit for the doing or performance.” Thus, “disablement” under § 59-11-4(a), supra, giving an ordinary meaning to “incapacity,” may mean total physical unfitness, by reason of occupational disease, to perform any work for remuneration in the pursuit in which the workman was engaged. Under such a meaning, the evidence of Dr. Phelps clearly supports the trial court’s findings of disablement.
Alternatively, applying another ordinary meaning to “incapacity,” disablement may have the meaning asserted by Kaiser; that of total physical inability, by reason of occupational disease, to perform work for remuneration in the pursuit in which the workman was engaged. In this appeal, we assume that disablement requires a total physical inability to perform work.
Even with this assumption, it does not necessarily follow that the performance of work for pay prevents a finding of total physical inability to work. In a workmen’s compensation case, the New Mexico Supreme Court stated that “ * * * to suffer an entire loss of. wage earning ability does not mean that a workman must be in a state of absolute helplessness, or unable to do work of any kind. * * * ” Lozano v. Archer, 71 N.M. 175, 376 P.2d 963 (1962). We recognize that the requirements of § 59-ll-^l(a), supra, are more definite and specific than the requirements for total disability under our workmen’s compensation law. Holman v. Oriental Refinery, 75 N.M. 52, 400 P.2d 471 (1965). Nevertheless, the concept of absolute helplessness, or inability to do work of any kind, has been rejected in cases dealing with occupational disease. The workman “ * * * may, from a clinical standpoint, be totally and permanently disabled but through sheer drive of will power and habit continue for some time at his job. * * * ” Babcock & Wilcox, Inc. v. Steiner, 258 Md. 468, 265 A.2d 871 (1970).
In Alexander v. Ford Motor Co., 329 Mich. 535, 46 N.W.2d 369 (1951) the statute involved defined “disability” as “. . . ‘the state of being disabled from earning full wages at the work in which the employe was last subjected to the conditions resulting in disability’. * * * ” An award to Alexander on the basis of an occupational disease was sustained although he had subsequently worked for another company for a short time. Disability was upheld on medical evidence that his occupational disease . . reduce[s] his vital capacity to the point that he cannot carry on heavy physical work. It would be dangerous for him to work with silica dust again. * * * ’ ”
The fact that Garcia, Salazar and Tovar worked for varying periods of time after the date the trial court found them to be disabled does not require a ruling that the men were not disabled as a matter of law. We now consider whether there was evidence to support the factual determination that the three men were disabled.
In asserting the evidence is insufficient to support a finding of disablement, Kaiser relies on the testimony of Dr. Phelps, the principal medical witness for the plaintiffs. Kaiser asserts Dr. Phelps testified the three men should not, from a medical viewpoint, continue to work as underground coal miners. Kaiser claims evidence that it is medically inadvisable to work is not evidence of total physical inability to work. Support for this view appears in Ferguson & Lange Foundries, Inc. v. Industrial Com., 380 Ill. 185, 43 N.E.2d 684 (1942); LaCoste v. J. Ray McDermott & Co., supra; Muniak v. ACF Industries, Inc., supra.
Kaiser’s characterization of Dr. Phelps’ testimony is too limited. Dr. Phelps testified the men were permanently and totally disabled. His testimony makes it clear that he used "disability” and “physical incapacity” as identical terms. He testified the men could not physically do the work, were physically incapable of exertion, and they “should not work, period.” When reminded that Salazar had in fact worked subsequent to his alleged date of disablement, he stated: “ * * * he’s doing it at the ex pense [sic] of something else in his body * * * probably his heart. He can come to work, but he’s going to be paying a price for it.” Similar testimony applies to Garcia and Tovar. Dr. Phelps explained that work could be performed by a person incapacitated from a medical viewpoint; that such work depended on motivation.
Garcia testified that he had some of the lightest work in the mine and was “forcing myself to do it ’til I can get by.” Salazar testified to his “inside pains” and “short breathings;” that he was sick “but I tried my best to keep up all day through the shift.” Tovar testified to “weak” breathing conditions, tiring easily and forcing himself to work because he needed money.
The company medical director testified it would be unlikely that he would recom mend employment of any of the three men as “new hires.”
The evidence of the three men that they forced themselves to work, and the evidence of Dr. Phelps that the men physically could not do the work, is substantial evidence of total physical inability. The findings of disablement are affirmed. Babcock & Wilcox, Inc. v. Steiner, supra; Alexander v. Ford Motor Co., supra.
Notice.
The notice provision applicable in each of the four cases provides that a claimant “ * * * shall give notice in writing to his employer of the occupational disease within thirty (30) days after the beginning of such disablement. * * * ” Section 59-11-16.1, N.M.S.A.1953 (Repl. Vol. 9, pt. 1, Supp.1971). Written notice was given in each case. The issue is whether that notice was given within thirty days after the beginning of disablement.
In each case the trial court found the date of disablement. It also found that written notice was given on the same date. Thus, notice was timely if the trial court’s findings as to the dates of disablement were proper.
Substantial evidence supports the trial court’s findings. This evidence is the testimony of each of the men that they had no knowledge of their disablement until contacted by a representative of their union. This contact date was the disablement date found by the trial court.
Kaiser would place the beginning of each man’s disablement at an earlier date. Specifically, Kaiser would have us hold, as a matter of law, that the date of disablement is the date of the medical examination of Dr. Phelps. At the conclusion of the examination, Dr. Phelps told each of the men they should get out of the mine. Dr. Phelps did testify the men were disabled on that date.
Kaiser states: . '. the period of limitation for giving notice to the employer begins when the employee is given some indication by a doctor sufficient to appraise him of the nature of his disease and that the resultant (if any) disability is employment-related.” Thus, Kaiser argues that each of the men knew or should have known of their disablement at the conclusion of their respective examinations by Dr. Phelps. The consequence, if this contention is correct, is that notice would not have been given in any of the cases within thirty days of the disablement.
Kaiser’s contentions cannot be upheld as a matter of law because of the evidence. Dr. Phelps told the men to get out of the mine but he did not tell the men they were disabled. He did not tell the men they were disabled because he felt this was confidential information which should go to the union which requested the men be evaluated. In his report to Dr. Dorsey, for the union, he did mention the disability. Each of the men has a limited formal education. The foregoing evidence, together with evidence of the men’s reliance on the union for assistance in matters of this kind, supports the findings of the trial court. The trial court found that the men were neither aware of the nature of their disease, nor of their disablement, until the date the trial court found their disablement occurred.
Since substantial evidence supports the findings of the trial court, and since the question of notice could not be determined as a matter of law, there is no merit to Kaiser’s notice contentions. See Butler v. United States Steel Corporation, 205 Pa. Super. 508, 211 A.2d 35 (1965).
Attorney fees.
The trial court awarded an attorney fee of $3,750.00 in each case, for a total of $15,000.00. Kaiser asserts the trial court abused its discretion in making these awards.
Kaiser’s contention has two aspects — union involvement and the similarity of the lawsuits. The union arranged for a medical examination, handled the notice requirements and, according to Kaiser, saw to it the men obtained an attorney. Thus, Kaiser asserts the preparatory work was largely done by the union. Although four lawsuits were filed, the suits are related, have identical legal issues and substantially similar factual issues. The four cases were tried at the same time. The trial took two days.
Kaiser does not claim the four cases should be treated as a single case in the matter of attorney fees. It does claim “ * * * they cannot, in all fairness, be treated as four separate cases.” Kaiser suggests the total of the attorney fees be reduced to no more than $4,000.00.
Section 59-11-35 (D), N.M.S.A. 1953 (Repl.Vol. 9, pt. 1, Supp.1971) provides for attorney fees in occupational disease cases. The provisions of § 59 — 11— 35(D), supra, are similar to the provisions for attorney fees in workmen’s compensation cases. See § 59-10-23(D), N.M.S.A. 1953 (Repl.Vol. 9, pt. 1). An award of an attorney fee is authorized in each of the cases. The award is for an amount the trial court deems “reasonable and proper.” The amount awarded will not be disturbed except for ah abuse of discretion. Adams v. Loffland Brothers Drilling Company, 82 N.M. 72, 475 P.2d 466 (Ct.App.1970).
The fact that the union aided the plaintiffs in matters preliminary to suit does not show, as a matter of law, that the trial court abused its discretion. The fact of similar pleadings and issues, depositions applicable to all four cases, combined hearings on motions, pre-trial and trial, does not show, as a matter of law, that the trial court abused its discretion.
Section 59-11-35 (D), supra, requires the trial court, in setting the amount of attorney fees, to consider sums offered by the employer and the present value of the award in the workman’s favor. See Keyser v. Research Cottrell Company, 84 N.M. 173, 500 P.2d 997 (Ct.App.1972). The showing in this record is that no sum was offered by Kaiser at any stage of the proceedings. The judgment for each plaintiff awards $48.00 per week for 500 weeks, a total of $24,000.00. The only showing in this record, based on the date disability began and the date of judgment, is of a present cash value at time of judgment of approximately $21,000.00. The attorney fee award is approximately 18% of the only showing as to the present value of the judgment and less than 16% of the total amount of the judgment. On the basis of the mandatory factors of § 59 — 11— 35(D), supra, we cannot say the trial court abused its discretion.
The issues in each case were the nature of the disease, whether that disease resulted in a job related disablement, when any disability began and notice. In Scarafiotti’s case, Kaiser stipulated to a permanent disability but it did not admit the nature of the disease causing the disability. Kaiser’s concession came only after the case was called for trial. Kaiser’s stipulation does not require, as a matter of law, that the attorney fees in Scarafiotti’s case be an amount different from the fees in the other cases.
The issues were hard fought and well tried. Kaiser seriously asserted and presented evidence that the disease was silicosis and not pneumoconiosis. The medical testimony is extensive. Not only was the diagnosis of pneumoconiosis disputed, the tests used in reaching that diagnosis were challenged, as well as the method used in conducting the tests. The trial court’s remarks indicate the court found difficult legal considerations applying to each of the issues, was aware “there’s been a lot going on” and that the cases were unusual.
The considerations in the two preceding paragraphs affirmatively indicate an absence of an abuse of discretion.
The judgment of the trial court in each case is affirmed. Plaintiffs ask for an award of $1,000.00 for their attorneys’ services in each case on appeal. The four cases were consolidated for the appeal; we deal only with one case. Plaintiffs are awarded a total of $2,000.00 for the services of their attorneys in the consolidated appeals.
It is so ordered.
HENDLEY and LOPEZ, JJ., concur. | [
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OPINION
WOOD, Chief Judge.
Convicted of forgery and of unlawful possession of a depressant, stimulant or hallucinogenic drug, defendant appeals. The issues submitted for decision are: (1) sufficiency of the evidence of knowledge and intent on the forgery charge and (2) sufficiency of the evidence of knowledge on the drug charge. A third point, concerning denial of a motion for a new trial, was abandoned at oral argument.
Forgery knowledge and intent.
Under § 40A-16-9(B), N.M.S.A.1953 (2d Repl.Vol. 6), forgery consists of “knowingly issuing or transferring a forged writing with intent to injure or defraud.”
There is evidence that a physician’s signature had been forged on one of his prescription blanks, that defendant presented this forged prescription to a pharmacist and obtained the drug identified in the prescription. Defendant asserts that the evidence was insufficient to show she knowingly transferred a forged prescription and insufficient to show she transferred the forged prescription with an intent to injure or defraud. We disagree.
The forged prescription is dated November 22, 1971. The prescription was presented'to the pharmacist on December 11, 1971. The prescription blank was that of a San Juan County physician. The pharmacist was in Lea County. The pharmacist queried defendant about the delay in filling the prescription. According to the pharmacist, defendant stated: “‘. . . my doctor gave this to me, because I was going to be out of town. I was going on a trip. He gave me this in case I ran out and needed to get it filled while I was gone. . . .’” The physician testified that he had given defendant a prescription for the same drug orí November 20, 1971, and that the supply from this valid prescription would have lasted until the first of the year. The physician did not prescribe the drug on November 22, 1971, the date of the forged prescription.
The evidence that the prescription of November 22, 1971, was forged; that defendant told the pharmacist this prescription had been given to her by her physician ; evidence that the physician had not prescribed the drug on November 22, 1971; and that defendant had a supply of the drug from the prescription of November 20, 1971, is substantial evidence that defendant knowingly transferred a forged writing.
For there to be an “intent to defraud,” an injury or loss need not have actually resulted. State v. Weber, 76 N.M. 636, 417 P.2d 444 (1966). For such an intent “. . . it is immaterial that no one was in fact deceived, or that the defendant did not intend to or did not make any financial gain. ...” 2 Wharton’s Criminal Law and Procedure § 623 (1957). “. . . It is sufficient if the intent was to defraud . . . any person on whom the counterfeit is passed. . . . ” 2 Wharton, supra, § 623.
In this case, there is evidence that defendant passed the forged prescription as one that was genuine and received the drug; that the name on the forged prescription was that of “Mary Hall;” that defendant gave the pharmacist an address for Mary Hall. This is substantial evidence of an intent to defraud. See State v. Booton, 85 Idaho 51, 375 P.2d 536 (1962); compare State v. Gregg, 83 N.M. 397, 492 P.2d 1260 (Ct.App.1972). Specifically, defendant’s intent to defraud could be inferred from the foregoing acts and conduct of the defendant. See State v. Andrada, 82 N.M. 543, 484 P.2d 763 (Ct.App.1971).
Admittedly, there is conflicting evidence. Our review, however, is in the light most favorable to sustain the conviction. State v. Gregg, supra. Where, as here, the evidence on the question of intent is conflicting, and determination of “intent” depended on the credibility of the witnesses, the matter was to be resolved by the jury. Maxey v. Quintana, 84 N.M. 38, 499 P.2d 356 (Ct.App.1972).
Knowledge under the drug charge.
Section 54-6-38(B) (3), N.M.S.A.1953 (Repl.Vol. 8, pt. 2, Supp.1971) provides in part: “No person . . . shall possess any depressant, stimulant, or hallucinogenic drug unless such drug was obtained upon a valid prescription, and held in the original container in which such drug was delivered. ...” Section 54-6-51, N.M.S. A. 1953 (Repl.Vol. 8, pt. 2, Supp.1971) provides a penalty for a person who “knowingly violates” § 54-6-38(B) (3), supra.
Defendant contends that the State “. . . failed to prove knowledge on the part of the defendant that the prescription was forged . . .” and, thus, has failed to prove that defendant knowingly violated § 54 — 6-38(B) (3), supra. The answer is that there is substantial evidence that defendant knowingly transferred a forged prescription and this evidence is also substantial evidence of knowingly possessing the drug here involved, Eskatrol, by obtaining the drug without a valid prescription.
The judgment and sentence is affirmed.
It is so ordered.
HENDLEY and LOPEZ, JJ., concur. | [
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OPINION
HERNANDEZ, Judge.
Defendant appeals his conviction on one count of burglary (§ 40A-16-3, N.M.S.A. 1953 (2d Repl.Vol. 6)). Prior to and during the trial the defendant had court-ap- . pointed counsél. Counsel was also appointed to prosecute this appeal, but the defendant filed a motion requesting permission to represent himself, which motion was granted.
The essential facts are uncontradicted. During the early hours of January 11, 1972, Police Officer Pena, on routine patrol, observed a man walking across a parking lot near a shopping center; the man was carrying two bags. All of the businesses in the center were closed for the night. As the man reached the sidewalk the officer flashed the patrol car’s spotlight on him. The man dropped the bags and ran; Officer Pena pursued him into a construction area. The man jumped into an excavation where Officer Pena and two other officers who had been summoned by radio found the defendant and placed him under arrest.
The police officers then, retrieved the dropped bags and found that they contained several watches, six pairs of slacks, a boy scout watch, compass and knife, two shirts and some socks. Almost all these items bore the price tags of one of the stores in the center and there were also some loose price tags in the bottom of the bags. A search of the general area of the incident revealed some other items hidden under a trailer, also bearing the price tags of the same store. The manager of the store was called and an inspection of the store showed evidence of a burglary. A broken window was discovered which the store manager testified had been intact at the close of business the evening before. The manager identified both the items found in the bags and the items hidden under the trailer as coming from his store.
Defendant’s appeal is based on a claim of fundamental error.
“The doctrine of fundamental error is to be resorted to in criminal cases only for the protection of those whose innocence appears indisputably, or open to such question that it would shock the conscience to permit the conviction to stand.” State v. Rodriguez, 81 N.M. 503, 469 P.2d 148 (1970).
Defendant argues that all of the evidence against him is circumstantial. He claims that the state did not submit any direct evidence whatsoever to show that he had been inside the store or that he had touched any of the items found in the bags or the items discovered under the trailer. That the evidence used to convict is circumstantial does not alter the requirement that we view the evidence upon conviction in a manner most favorable to support the verdict. State v. Sedillo, 82 N.M. 287, 480 P.2d 401 (Ct.App.1971).
“It is axiomatic that the burden rests upon the state to prove each and every essential element of the offense charged beyond a reasonable doubt. It is not necessary, however, that the charge be established only by direct evidence. Circumstantial evidence is sufficient if the circumstances point unerringly to the defendant and are incompatible with and exclude every reasonable hypothesis other than that of his guilt.” State v. Slade, 78 N.M. 581, 434 P.2d 700 (Ct.App.1967).
The crime of burglary “consists of the unauthorized entry of any vehicle, watercraft, aircraft, dwelling or other structure, movable or immovable, with the intent to commit any felony or theft therein”. § 40A-16-3, supra. The store manager testified that he had checked the building just before he left the previous evening and that it was securely locked. He further testified that a window found broken shortly after defendant’s apprehension had not been broken the evening before and that no one, including the defendant, was authorized to enter the store after closing time.
The defendant was seen near the store in the early morning when all the businesses were closed. He ran when a police officer attempted to stop him for questioning and while running dropped two bags which were found to contain merchandise taken from the store. We conclude that this evidence was sufficient, albeit circumstantial, for the jury to infer that defendant was the one who entered the store and took the merchandise.
Notice of appeal in this case was filed on April 5, 1972 and on the 6th, H. Gregg Privette was appointed to represent the defendant on appeal. A thirty day extension to file the transcript was granted and it was filed on July 25th. Defendant’s brief-in-chief, submitted pro se was filed on August 2 and the State’s answer brief on September 1. On September 5 defendant’s court appointed attorney filed a supplemental brief which the State moved to strike on the grounds that it was not timely filed and that a request to do so by way of motion and supporting brief had not been filed. Action on the motion was reserved until the case was considered on its merits. There is nothing contained in the supplemental brief which would or should compel our disregarding the rules of this court. The State’s motion is sustained and the supplemental brief is stricken.
Defendant had a fair trial. There is substantial evide'nce in the record to support the conviction and none of his essential rights were violated. We can find no fundamental error.
We affirm.
It is so ordered.
HENDLEY, J., concurs.
SUTIN, J., specially concurring. | [
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] |
OPINION
WOOD, Chief Judge.
This is a malicious prosecution case. One of the elements to be proved, by a preponderance of the evidence, is that no probable cause existed for the prosecution. Meraz v. Valencia et al., 28 N.M. 174, 210 P. 225 (1922). The trial court dismissed plaintiff’s complaint, with prejudice, at the close of all the evidence. It did so on the basis that "... Plaintiff did not prove that the Defendants [Preston and Rhodes Department Store] acted without probable cause in initiating or procuring the arrest of the Plaintiff. ...” Defendant Gutierrez had been dismissed previously on plaintiff’s motion. The issue is the propriety of the trial court’s probable cause ruling as to Preston and Rhodes.
Rhodes, through its employees, had gathered information indicating that plaintiff had falsely used a Rhodes credit card issued to the husband of Mrs. Gutierrez. One of Rhodes’ employees had notified the police.
A police detective investigated the false use of the Gutierrez credit card. On the basis of his investigation, the detective concluded that plaintiff was guilty of falsely using the credit card and that criminal charges should be filed.
A criminal charge was filed by Mrs. Preston on behalf of Rhodes. The charge was subsequently dismissed on motion of the assistant district attorney. Plaintiff then sued for damages for malicious prosecution.
At the close of the evidence the defendants moved either for a non-suit or a directed verdict on the basis that plaintiff had failed to establish lack of probable cause.
All parties agreed that the question of probable cause was a matter to be determined by the court. The court then ruled the defendants did not act without probable cause. There was no argument from plaintiff as to what might establish the lack of probable cause, either as a matter of fact or as a matter of law, prior to the trial court’s ruling.
Rhodes, in gathering its information about the false use of the Gutierrez credit card had asked for, and Mrs. Gutierrez had supplied, samples of plaintiff’s handwriting. Rhodes did not have an analysis made of these samples. Plaintiff asserts the trial court’s ruling on probable cause was erroneous ; she contends Preston and Rhodes had “ . . .a duty to have a comparison handwriting analysis done before they could have probable cause to initiate criminal proceedings. ...”
In gathering its information, Rhodes obtained Mrs. Gutierrez’ written statement in which she stated she “believed” plaintiff was the one who used the credit card. Mrs. Gutierrez had also indicated that the guilty party might be someone other than plaintiff. Rhodes attempted once, by phone, to contact plaintiff but was unable to reach plaintiff because her phone had been disconnected. On the basis of the foregoing— the failure to have a handwriting analysis, Mrs. Gutierrez’ equivocal identification of plaintiff and the failure to contact plaintiff before charges were filed- — -plaintiff asserts Preston and Rhodes “ . . . were on notice that they should have made further investigation before filing criminal charges.
On the basis of the contentions stated in the two preceding paragraphs, plaintiff asserts the trial court’s ruling as to probable cause was erroneous. We disagree for two reasons.
First, the contentions relied on by plaintiff were stated after the trial court’s ruling. The transcript shows that when these contentions were stated, plaintiff was speaking “[f]or the record.” The transcript does not show that a ruling of the trial court was invoked on these contentions. The trial court had ruled before the contentions were stated; there was no further ruling after they were stated. “ . . . No ruling of the trial court having been invoked on this issue, it is not before us for review. Barnett v. Cal M, Inc., 79 N.M. 553, 445 P.2d 974 (1968) . . . . ” Dahl v. Turner, 80 N.M. 564, 458 P.2d 816, 39 A.L.R.3d 207 (Ct.App.1969).
Second, the essence of plaintiff’s appellate argument is that the absence of a comparative handwriting analysis and the asserted need for further investigation shows a lack of probable cause as a matter of law. The answer is that there is substantial affirmative evidence that Preston and Rhodes had probable cause; that is, an honest belief in the guilt of the accused, based on reasonable grounds. Marchbanks v. Young, 47 N.M. 213, 139 P.2d 594 (1943). One item of this evidence is that Mrs. Vigil, a saleslady, had identified plaintiff as the person who used the Gutierrez credit card. At most, the items relied on by plaintiff raise a conflict in the evidence on the issue of probable cause. With this conflict, the trial court could not have properly ruled there was an absence of probable cause as a matter of law.
Plaintiff’s appeal is without merit. In so holding, we caution that we express no opinion on the procedure followed in this case. It is not clear on what basis the trial court determined probable cause. The judgment recites that having considered all the evidence, the trial court “finds and concludes as a matter of law” that plaintiff failed to prove Preston and Rhodes acted without probable cause. We do not know whether this ruling was on the basis (a) of a finding of fact from disputed facts or (b) as a matter of law from undisputed facts. We only know that the trial court ruled after the parties agreed it should do so, and that no issue is raised as to whether the ruling was one of fact or law. See Yucca Ford, Inc. v. Scarsella (Ct.App.), 85 N.M. 89, 509 P.2d 564, decided March 16, 1973, certiorari denied April 10, 1973, 85 N.M. 86, 509 P.2d 561.
The judgment is affirmed.
It is so ordered.
LOPEZ, J., concurs.
SUTIN, J., specially concurs.
SUTIN, Judge
(specially concurring).
I specially concur in the majority opinion.
On April 10, 1973, the Supreme Court 85 N.M. 86, 509 P.2d 561 denied certiorari in Yucca Ford, Inc. v. Scarsella (Ct.App.) 85 N.M. 89, 509 P.2d 564, decided March 16, 1973. By denying certiorari, the Supreme Court decided the Yucca opinion is not in conflict with a decision of the Supreme Court. Section 16-7-14, N.M.S.A. 1953 (Repl. Vol. 4).
The majority opinion in Yucca said:
In our opinion, there is no conflict in the above cited New Mexico decisions.
The concurring opinion in Yucca sets forth citations from four cases which are in direct conflict with Yucca. A suggestion was made that certiorari “be granted to establish a clear and sensible rule, and not leave the rule vague and indefinite.” The Supreme Court refused.
In the present case, the following proceedings occurred at the close of all the evidence on the issue of whether the defendant acted without probable cause:
COURT: Now, gentlemen, the defendants claim that this is a matter to be determined by the court as opposed to a matter for the jury to determine.
MR. PAULANTIS: Some of the cases so indicate—
MR. ROEHL: Yes, two New Mexico cases indicate that. They are Hughes versus—
COURT: Are they malicious prosecution cases?
MR. ROEHL: Yes. They are Hughes versus Van Bruggen.
MR. BEATY: I believe it does, that case does say that.
[Bokum v. Elkins is also cited]
* * * * * *
THE COURT: So you both concur then that this is a matter to be determined by the court?
MR. BEATY: Under the existing case law. . . .
A famous quotation says, “The law protects everybody who can hire a good lawyer.” But a good lawyer can be misled by four Supreme Court opinions rendered from 1943 to 1960, so that the law does not protect anybody.
Unfortunately, in this court, the parties cannot change “positions as nimbly as if dancing a quadrille.” | [
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] |
OPINION
WOOD, Chief Judge.
This appeal involves an alleged conspiracy to defraud in connection with a car sold to plaintiff. The issues presented are: (1) evidence of a conspiracy; (2) an instruction as to how conspiracy may be proved; and (3) different jury verdicts against the alleged co-conspirators.
The car involved was obtained by Dodge (Dodge Country, Inc.) from the manufacturer. Dodge sold the car to Leasing (New Mexico Leasing Company). Leasing leased the car to a rental agency, who rented the car to its customers. Upon expiration of the lease, the rental agency returned the car to Leasing. Leasing then sold the car back to Dodge. Dodge, through its employee Hahn, sold the car to plaintiff. According to plaintiff, representations as to the car’s history differed substantially from the history outlined in this paragraph. In addition, the mileage on the car was represented as 728 miles. The evidence is that the car’s mileage was 9150 miles when sold to plaintiff.
Plaintiff sued for damages, alleging fraud on the part of Dodge and Hahn and a conspiracy to defraud on the part of all three defendants. The jury’s verdict was in favor of Hahn. Its verdict was against Dodge and Leasing.
No question is raised in this appeal as to the existence of fraud; the issues raised go to the conspiracy aspect of the case.
Evidence of conspiracy.
For a conspiracy to exist there must be a common design or a mutually implied understanding; an agreement. First National Bank of Dodge City, Kansas v. Perschbacher, 335 F.2d 442 (10th Cir. 1964); Hedrick v. Perry, 102 F.2d 802 (10th Cir. 1939); State v. Deaton, 74 N.M. 87, 390 P.2d 966 (1964); State v. Farris, 81 N.M. 589, 470 P.2d 561 (Ct.App.1970). A conspiracy may be established by circumstantial evidence; generally, the agreement is a matter of inference from the facts and circumstances, including the acts of the persons alleged to be conspirators. State v. Deaton, supra. The question is whether the circumstances, considered as a whole, show that the parties united to accomplish the fraudulent scheme. Hedrick v. Perry, supra. In answering this question, we consider the evidence in a light most favorable to support the verdict, disregarding evidence and inferences to the contrary. Mascarenas v. Gonzales, 83 N.M. 749, 497 P.2d 751 (Ct.App.1972).
Leasing asserts there is no evidence that it was a part of any conspiracy to defraud. Plaintiff asserts the “ . conspiracy . . . involved the common design of increased profits resulting from sale of an automobile misrepresented as to both prior use and true mileage . . . .” Plaintiff claims the evidence permits the inference that Leasing was a part of this conspiracy.
Plaintiff’s theory of a common design is based on the relationship between Dodge, Leasing and Lloyd McKee. McKee was a stockholder and director of both Dodge and Leasing^ and an officer of Leasing. Leasing did a substantial amount of business purchasing cars from and selling cars back to both Dodge and McKee. There is evidence showing a very close relationship between Leasing and McKee. There is no evidence showing a similarly close relation ship between McKee and Dodge or between Dodge and Leasing. When Dodge went out of business, several of Dodge’s employees went to work for McKee.
Thus, the evidence of conspiracy between Dodge and Leasing is three items: (1) McKee was a stockholder and director of both; (2) there were substantial business dealings between Dodge and Leasing; and (3) after Dodge went out of business, Dodge employees went to work for McKee.
From this evidence plaintiff asserts three inferences may be drawn:
1. Dodge and Leasing shared a motive to increase profit by lowering mileage on automobiles. Dodge and Leasing were separate businesses. Assuming both had a profit motive, that motive does not show an agreement as to how profit was to be increased. Further, this claim assumes mileage was lowered on more than one automobile. There is no evidence that mileage was lowered on any but the car purchased by plaintiff.
2. Leasing was aware of and participated in a scheme to increase the return from sale of its “used” cars by increasing attractiveness to buyers by lowering the odometer reading and disguising prior use. No such inference arises from the evidence. The only evidence is to the contrary. That evidence is that when Leasing resold the car to Dodge the odometer reading was correct and Leasing was paid wholesale value. There is no evidence that Leasing participated in any way from the proceeds of the sale by Dodge to plaintiff.
3. “ . . . The nature of the acts done is such that a reasonable man could infer that all of the transactions involved were intended to increase profits and turn-over rate on these rental agency cars, for the benefit of the common owner of the corporations, Lloyd McKee . . . .” Again plaintiff assumes acts, in the plural, from the evidence of one act of mileage tampering. Again plaintiff would infer increased profits to Leasing as a result of mileage tampering when the only evidence is that the tampering occurred after Leasing resold the car to Dodge.
The evidence of conspiracy on the part of Leasing was insufficient to raise a jury question. Its motion for a directed verdict should have been granted.
Instruction as to how conspiracy may he proved.
Dodge and Leasing assert an instruction was erroneous which informed the jury how a conspiracy may be proved. Two objections presented to the trial court are argued here. The first is that there is no evidence of conspiracy on the part of Leasing. We agreed with this view in the first issue discussed. The second is that the instruction applied a “wrong rule” to conspiracy. Objections must be made to an instruction if error is to be preserved for appeal. Section 21-1-1(51) (1) (i), N. M.S.A. 1953 (Repl.Vol. 4). Further, the objection must specifically point out the claimed defect. Scott v. Brown, 76 N.M. 501, 416 P.2d 516 (1966); McBee v. Atchison, Topeka and Santa Fe Railway Co., 80 N.M. 468, 457 P.2d 987 (Ct.App.1969). The objection, “wrong rule,” is similar to an objection that an instruction is an incorrect statement of the law. Such an objection is insufficient, no.t being specific. McBee, supra.
Different verdicts against alleged co-conspirators.
The verdicts against Dodge and Leasing differed in the amount of punitive damages awarded. By cross-appeal, plaintiff asserts the trial court should have granted its motion to combine the verdicts and enter one joint and several verdict against both Dodge and Leasing. We do not reach this question since there is no evidence to support any verdict against Leasing.
The judgment against Leasing is reversed. The judgment against Dodge is affirmed. The cause is remanded for further proceedings consistent with this opinion.
It is so ordered.
HERNANDEZ, J., concurs.
SUTIN, J., dissents. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1076, 85 N.M. 389, 512 P.2d 962, be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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OPINION
MONTOYA, Justice.
Plaintiffs, owners of the property in Albuquerque, New Mexico, known as “The National Building,” hereinafter called “appellants,” brought an action against the State Board of Education, its Vocational Rehabilitation Division, and various of its officers, hereinafter called “appellees.” Appellants allege that appellees breached a contract to lease certain office space and, by reason thereof, are entitled to damages or specific performance of the contract.
After the filing of certain affidavits and requests of admissions, both appellants and appellees filed a motion for summary judgment. The appellees’ motion for summary judgment was granted and this appeal ensued.
Appellees entered into a lease with appellants, which commenced on September IS, 1966. The lease provided for, inter alia, a renewal at the end of each state fiscal biennium for four successive bienniums, resulting in a ten-year lease. That portion of the lease pertinent to the issue before us provides:
“4. It is expressly covenanted and agreed, however, that in the event the Legislature of New Mexico fails to make sufficient appropriations for the operation of the agency occupying the said premises, or the Legislature fails to provide sufficient appropriations for the payment of the rentals provided for herein, or in the event the agency occupying such premises is directed to move its offices by virtue of action of the Legisla ture of New Mexico or pursuant to order of any Court of competent jurisdiction in any action instituted against said agency or the State of New Mexico or any of the officers or agencies of the State of New Mexico, or in the event the agency occupying these premises is abolished by the Legislature of the State of New Mexico, then Lessee shall have the right to terminate this lease upon sixty days notice in writing by Lessee to the Lessor, prior to the end of any state fiscal biennium, which termination date may not take effect sooner than the end of the first state fiscal biennium following the commencement of this lease.”
In 1971 the New Mexico Legislature passed its general appropriations bill, ch. 327, Laws 1971, which provided, inter alia, that:
“ * * *. The Department [Vocational Rehabilitation Division of the' State Board of Education] shall relocate its Albuquerque office to a site more accessible to its clients.”
Pursuant to this provision, appellees vacated the premises which they had leased from the appellants and refused to make further payments under the terms of the lease.
It is appellants’ position that the portion of ch. 327, Laws 1971, quoted above, is null and void, being violative of the contract clause of both the federal and state constitutions.
Article I, § 10, Constitution of the United States, provides that “No State shall * * * pass any * * * Law impairing the Obligation of Contracts, * * Furthermore, Art. II, § 19, Constitution of New Mexico, states that “No * * * law impairing the obligation of contracts shall be enacted by the legislature.”
These constitutional provisions concerning legislative impairment of obligations created by contract are deeply imbedded in our judicial system, and rightly so, but appellants have not demonstrated in what manner ch. 327, Laws 1971, operates to impair the obligation of contract entered into by the respective parties.
Appellants do not deny entering into the lease. By signing, appellants “ * * * expressly covenanted and agreed * * * that * * * in the event the agency occupying such premises is directed to* move its offices by virtue of action of the Legislature of New Mexico * * * then Lessee shall have the right to terminate this lease * *
Thus by its very terms, the lease contemplates exactly what came to pass: “ * * * the agency occupying such premises * * * [was] directed to move its office by virtue of action of the Legislature of New Mexico * * Rather than violate the federal or state constitutional proscription against governmental impairment of contracts, ch. 327, Laws 1971, merely fulfilled one of the terms expressly contracted for by the parties. We, therefore, hold that ch. 327, Laws 1971, does not violate federal or state constitutional provisions impairing the obligation of contracts.
Appellants next contend that the statutory authorization for appellees to vacate the premises as set forth in ch. 327, Laws 1971, is null and void because it violated art. IV, § 16, New Mexico Constitution, which provides that matters contained in the body of the bill must be clearly expressed in the title of the bill and that only appropriations be contained in the general appropriations bill.
Chapter 327, Laws 1971, is entitled with notable generality:
“MAKING GENERAL APPROPRIATIONS AND AUTHORIZING EXPENDITURES FOR LEGISLATIVE, JUDICIAL AND EXECUTIVE AGENCIES, DEPARTMENTS AND INSTITUTION, INTEREST, SINKING FUNDS, PAYMENT OF PUBLIC DEBT, PUBLIC SCHOOLS, PUBLIC BUILDINGS AND OTHER EXPENSES REQUIRED BY LAW FOR THE SIXTIETH AND SIXTY-FIRST FISCAL YEARS AND MAKING DEFICIENCY APPROPRIATIONS FOR THE FIFTY-NINTH FISCAL YEAR.”
In City of Albuquerque v. Garcia, 84 N.M. 776, 778, 508 P.2d 585, 587 (1973), we stated:
“Article IV, § 16 has often been considered by this court. No useful purpose would be served by reviewing those decisions. We are not disposed to broaden its operation. * * *”
Quoting from Grant et al. v. State, 33 N.M. 633, 636, 275 P. 95, 96 (1929), the Court in Garcia, supra, continued:
“ ‘A title need not disclose the means and instrumentalities provided in the body of the act for accomplishing its purpose. Provisions reasonably necessary for attaining the object of the act embraced in the title are considered as included in the title. [Citation omitted.]’ ”
In State ex rel. Whittier v. Safford, 28 N.M. 531, 534-535, 214 P. 759, 760 (1923), we stated:
“ * * * . To sustain appellant’s contention would result in holding that nothing but bare appropriations shall be incorporated in such general appropriation bill. This is neither the purpose nor spirit of the constitutional provision under consideration. The details of expending the money so appropriated, which are necessarily connected with and related to the matter of providing the expenses of the government, are so related, connected with, and incidental to the subject of appropriations that they do not violate the Constitution if incorporated in such general appropriation bill. It is only such matters as are foreign, not related to, nor connected zvith such subject, that are forbidden. Matters which are germane to and naturally and logically connected with the expenditures of the moneys provided in the bill, being in the nature of detail, may be incorporated therein. Otherwise everything connected with the expenditure of money provided in the general appropriation bill would have to be provided in separate and special acts of the Legislature — a condition which was never intended.” (Emphasis added.)
See also State v. State Board of Finance, 69 N.M. 430, 367 P.2d 925 (1961); and State v. State Board of Finance, 59 N.M. 121, 279 P.2d 1042 (1955).
For the foregoing reasons, we view the legislature’s directive, ordering the Vocational Rehabilitation Division to “ * * * relocate its Albuquerque office to a site more accessible to its clients” to be a matter that is germane to and naturally connected with the expenditures of moneys provided by ch. 327, Laws 1971. We further hold that there is no violation of the provisions of art. IV, § 16, New Mexico Constitution, by including the foregoing provision in the general appropriations act.
Finally, appellants allege error in the lower court’s determination that the “lease sought to be enforced in this cause violates public policy, and is therefore unenforceable.”
Though the court below did not elaborate on the above statement, its decision being an order granting summary judgment, it appears that the public policy determination was based on contentions that were raised in appellees’ answer as follows :
“4. The agreements [the lease] in issue are void inasmuch as a public agency may not enter into a lease for a period of time which extends beyond the period for which legislative appropriations are made.
“5. The agreements [the lease] appropriate to the questions in controversy in this cause are overly restrictive upon the state and its duty to serve her people, and should be declared void as violative of public policy.”
This Court has held that a public agency may not enter into a lease for a period of time which would extend beyond the period for which legislative appropriations are made. State Office Bldg. Commission v. Trujillo, 46 N.M. 29, 120 P.2d 434 (1941). Appellants do not disagree with this proposition and cite State v. Griffith, 135 Ohio St. 604, 22 N.E.2d 200 (1939), and Boswell v. State, 181 Okl. 435, 74 P.2d 940 (1937), in support thereof. Appellants then argue that: “What these courts are saying is that if the terms of the lease purport to bind future Legislatures to appropriate funds to pay under the terms of the lease, that the lease will be held in violation of public policy.” Appellants then state in their brief in chief that in the lease in issue here, which contains provisions for its termination, that:
“This is a clear expression of the intent of the parties to the contract not to bind future Legislatures, and to provide for terms only insofar or as approved by each and every Legislature. In the event that a Legislature should fail to appropriate, or deem it unwise, or unnecessary to continue the existence of the agency, or for whatever reason decides that a different course of events need to be pursued, then the contract by its own terms is of no effect, and the lessee would have the right to terminate the lease. This clearly indicates that it was not the intentions of the parties to bind a future Legislature to any particular course of action, and whatever course a future Legislature might deem appropriate, * * *.”
We agree with this statement. There is no indication that the lease must extend beyond the period for which legislative appropriations are made, nor is it overly restrictive upon the state. On the contrary, the lease, by its expressed terms, provides that the state shall have the right to terminate the lease.
We have already determined that the state exercised its right under the lease and, in doing so, there was no impairment of the parties’ right to contract. Therefore, the trial court’s order, finding the lease in question void as against public policy, is reversed. Appellees cite Fort Worth Cavalry Club v. Sheppard, 125 Tex. 339, 83 S.W.2d 660 (1935), in support of the conclusion that the lease herein is against public policy. That case can be distinguished on the basis of differing provisions of Texas law from ours, and does not persuade us to find the lease unenforceable or against public policy in the instant case.
Having held that the appellees had the right to terminate the lease, pursuant to the directive contained in the general appropriations act, the remaining obligations of the parties herein need to be determined. The provision of the lease specifying the manner in which it may be terminated states in part that:
“ * * * Lessee [State of New Mexico] shall have the right to terminate this lease upon sixty days notice in writing by Lessee to the Lessor, prior to the end of any state fiscal biennium, which termination date may not take effect sooner than the end of the first state fiscal biennium following the commencement of this lease.”
The lease provided that it shall commence on September 15, 1966. It is alleged that appellees vacated the leased premises on October 31, 1971. The trial court made no finding concerning this date, nor did the court make a finding concerning the 60-day-written notice, or of any other terms of the contract concerning the termination procedure, which it naturally would not do having concluded that the lease violated the public policy of the State and was, therefore, unenforceable.
Such determination involves questions of fact and since the present posture of this case is an appeal from an order granting summary judgment, those questions can only be answered by remanding the cause to the trial court to make findings on such matters.
This cause is reversed and remanded to the district court to hear evidence, if necessary, make appropriate findings, and proceed in a manner consistent with the view expressed herein.
It is so ordered.
McMANUS, C. J., and OMAN, J., concur. | [
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OPINION
HERNANDEZ, Judge.
The original opinion by the court in this cause appears in State v. James, 83 N.M. 263, 490 P.2d 1236 (Ct.App.1971).
Defendant on the retrial was convicted of burglary (§ 40A-16-3, N.M.S.A.1953 (2d Repl.Vol. 6)) and buying, procuring, receiving or concealing stolen property (§ 40A-16-11, N.M.S.A.1953 (2d Repl.Vol. 6)) and the enhancement of his sentence pursuant to § 40A-29-5, N.M.S.A.1953 (2d Repl.Vol. 6) the Habitual Criminal Act. He appeals.
Defendant asserts two points for reversal: (1) “The trial court erred in its refusal to sustain defendant’s motion for a directed verdict of not guilty by reason of insanity,” and (2) “The defendant committed no crime for which a life sentence may be imposed.”
We affirm.
At the trial defendant called only one witness, a psychiatrist. The doctor, as an expert, was asked a hypothetical question as to whether at the time of the two incidents in question, defendant was capable of knowing the nature and quality of his acts and whether he was capable of preventing himself from committing those acts. Part of his answer is as follows:
“ . . . I believe that while he may many times appear to be quite well-organized, that other times he is so preoccupied with the thoughts that I have tried to describe to you, of a defective self-image, of his differences from other people, that he considered normal, that I believe then that at the time of commit-' ting the act for which he is being tried, he was so preoccupied with these thoughts and feelings, that he was unable to — that he didn’t perceive the nature and quality of the act, and that he was very probably unable to prevent himself from committing it in any case.”
He had previously testified in part:
“I believe that he — that the stress of his life became 'such that he periodically would verge on psychosis. That is, in a world which would become so preoccupied and so overwhelming that he would lose touch with what was going on around him. Well, there’s a diagnosis in psychiatry called Borderline Syndrome. That means a person who isn’t clearly psychotic, and definitely not clearly neurotic, but periodically acts in a way that would — that’s very close to being psychotic. By psychotic I mean unable to perceive the extent of the world clearly, and act in an organized and effective way.”
The state offered no expert testimony on the issue of defendant’s sanity. However, the prosecution did call two lay witnesses who testified about their observations of defendant’s behavior at various times both before and after the time of the two offenses.
The first of these witnesses testified in part as follows:
“Q. Mr. Jaramillo, I believe you testified that you have known Johnny James for ten years, ábout that time ?
“A. Yes, sir.
“Q. You have seen him often over that period of time?
“A. Yes, sir, I have.
“Q. Well, during the time that you have known him, and specifically during the time that you were working on this case, did he seem well-organized to you, well-oriented ?
“A. Yes, he has.
“Q. Did he know where he was when you talked to' him ?
“A. Yes, sir.
“Q. Did he know why he was there ?
“A. Yes, sir.
“Q. Did he know who you were ?
“A. Yes, sir.
“Q. (By Mr. Rich) During the times that you interviewed him, did he show any signs of insanity?
“A. No, sir.”
The second witness was a deputy sheriff who had an opportunity to observe defendant quite frequently after his arrest and while he was incarcerated awaiting trial. He testified that:
“The old jail was divided into two separate parts. There was a drunk tank and a felony tank in which all persons that were awaiting felony charges, or bound over for District Court were kept, and Mr. James was more or less the ring leader. He was the boss at the felony tank. He did what he wanted to do, you know, and he told everybody else, you know, how they were going to do it.”
When asked specifically about defendant’s mental state — whether the witness saw “any manifestations of insanity during that period?” — the response was “No sir, I can’t say that I did.” And when he was asked a similar question he responded “No, he did not appear to be insane.”
At the conclusion of the trial defendant moved for a directed verdict of not guilty by reason of insanity, which was denied. Defendant contends that this was error because the testimony of state witnesses “deals only with the general question of defendant’s sanity and not with his state of mind on the dates of the offenses alleged.” He goes on to argue “Their testimony not only does not rebut but in fact does not in any way conflict with Dr. Ellis’ testimony that defendant was not commitable.” Defendant concludes by saying “that once evidence of insanity has been introduced sufficient to create a reasonable doubt as to his sanity, the state must prove beyond a reasonable doubt that the defendant was sane at the time of the act charged.”
This last statement is, of course, a correct statement of the burden of proof on the issue of insanity in criminal cases (See State v. James, supra, overruled in part on other grounds, State v. Victorian, 84 N.M. 491, 505 P.2d 436 (1973); State v. Roy, 40 N.M. 397, 60 P.2d 646 (1936)); but defendant’s contentions do not compel a reversal for the trial court’s failure to direct a verdict of not guilty by reason of insanity. A directed verdict is not proper where there is substantial evidence to support the conviction, or, as here, to support a determination of sanity. State v. Torres, 78 N.M. 597, 435 P.2d 216 (Ct.App.1967), and “in ruling on a defense motion for a directed verdict, the evidence must be viewed in the light most favorable to the State.” State v. McKay, 79 N.M. 797, 450 P.2d 435 (Ct.App.1969).
On the record presented here, could defendant’s sanity be resolved by the trial court as a matter of law without submitting the issue to the jury? We conclude it could not. Defendant’s arguments disregard the rule in New Mexico that a jury is not required to accept expert opinion and to reject contradictory non-expert opinion. State v. Victorian, supra. “Insanity is a question of fact which ordinarily is decided by the trier of facts.” State v. Victorian, supra. State v. Gardner, 85 N.M. 104, 509 P.2d 871 decided Mar. 23, 1973; State v. Botello, 80 N.M. 482, 457 P.2d 1001 (Ct.App.1969). In State v. Moore, 42 N.M. 135, 76 P.2d 19 (1938), the Supreme Court held that:
“It is for the jury to reach a conclusion as to the sanity or insanity of the accused. The province of the experts is to aid the jury in reaching a conclusion. Their opinions are not to be taken as conclusive. The judgments of experts or the inferences of skilled witnesses, even when unanimous and uncontroverted, are not necessarily conclusive .... The testimony of an expert is purely his opinion and is not testimony as to facts and is not conclusive, even when uncontradicted.”
Clearly, the trial court in ruling on defendant’s motion for a directed verdict, any more than the jury, was not required to rely exclusively on the expert testimony to the exclusion of all other testimony on the subject of defendant’s sanity. The testimony of the psychiatrist was at best equivocal. He testified that the defendant “was very probably unable to prevent himself from committing [the act].” Later, he testified that the defendant was “unlikely” to be able to prevent himself from committing the act. His testimony with respect to a specific diagnosis for defendant’s mental condition was that defendant suffers from a personality disorder and a “borderline” psychosis and that defendant’s psychotic symptoms appear only “periodically.”
This testimony was contradicted by two lay witnesses one of whom had known defendant for “ten years” and who agreed that defendant’s behavior over that period of time seemed “well-organized” and “well-oriented.” The second lay witness stated that he had observed defendant in jail sometime after the crime and that defendant “did not appear to be insane.” See State v. Victorian, supra.
Having reviewed both the testimony of the expert and the testimony of the two lay witnesses we cannot conclude that the defense testimony on defendant’s sanity was so persuasive or compelling, in the face of the lay testimony offered by the prosecution, that defendant’s sanity could have been resolved by the trial court as a matter of law. The issue of sanity was properly submitted to the jury and the motion for directed verdict of acquittal by reason of insanity was properly refused.
As a collateral matter in his discussion of the issue of the court’s refusal to direct a verdict, defendant appears to argue that the trial court’s instructions Number 14 and 19 were incorrect. Instruction Number 14 is not properly before this court since the objection to that instruction was raised by the State and not by defense counsel. At trial defense counsel did not object to the instruction but instead deemed it “an appropriate instruction.”
Instruction Number 19 reads as follows: “You are instructed that the testimony of' laymen who observed the defendant’s conduct may be received on the question of the defendant’s sanity.”
Defendant contends that this instruction “deals only with the defendant’s present or permanent insanity and not with his state of mind at the time of the offenses charged.” However, even if this instruction were defective, its defects were cured by the trial court’s giving defendant’s requested instruction Number 3 which stated :
“The question of the defendant’s sanity or insanity has reference to his mental condition at the time of the act charged. Therefore, although you may consider evidence of his mental condition before and after that time, such evidence is to be considered only for the purpose of aiding you in determining his mental condition as it was at the time of the act charged.”
There was no error in the trial court’s instructions.
Defendant’s second point on appeal goes to the propriety of the life sentence imposed on defendant under the Habitual Criminal Act, § 40A-29-5, supra. Defendant argues that his sentence is a punishment for the “status” of being a habitual offender rather than a sentence imposed after the commission of some unlawful act. Defendant contends that Robinson v. California, 370 U.S. 660, 82 S.Ct. 1417, 8 L. Ed.2d 758 (1962) makes the punishment for a “status” unconstitutional because it violates the cruel and unusual punishment clause of the United States Constitution. We do not agree. We have previously held that the Habitual Criminal Act is constitutional and that sentences imposed under it are valid and proper. State v. Gonzales, 84 N.M. 275, 502 P.2d 300 (Ct.App.1972). The “status” issue was thoroughly discussed in that case and we see no need for further comment here.
Affirmed.
It is so ordered.
HENDLEY and SUTIN, JJ., concur. | [
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OPINION
SUTIN, Judge.
Following a plea of guilty, the defendant was sentenced for attempting to distribute a controlled substance (LSD). See §§ 40A-28-1, N.M.S.A.1953 (2nd Repl.Vol. 6) and 54-11-22, N.M.S.A.1953 (Int.Supp. 1972).
On this appeal, defendant contends that the judgment and sentence imposed are invalid because he did not understandingly and voluntarily enter his plea of guilty.
The record discloses nothing to support defendant’s contention.
Affirmed.
It is so ordered.
WOOD, C. J., and HENDLEY, J., concur. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 955, 85 N.M. 230, 511 P.2d 556, be -and the same is hereby returned to the Clerk of the Court of Appeals. | [
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OPINION
McMANUS, Chief Justice.
On June 14, 1971 Southern Union Gas Company (Company) filed an advice notice with the Public Service Commission (Commission) which gave notice to the public and to the Commission of certain revised rate schedules. The purpose of this filing was to propose that the Company’s preferred rule 20 (Adjustment of Rates to Compensate for Changes in Cost of Purchased Gas) should govern the Company’s rate schedules, excepting therefrom seven special contract customers. The rule was properly filed with the Commission and its contents are as follows:
(a) The provisions of this Section 20 shall be applicable only to those rate schedules of the Company (herein called “Affected Rate Schedules”) containing substantially the following statement as one of the conditions of service thereunder : “The rates set forth herein shall be subject to adjustment to compensate for changes in the Company’s cost of purchased gas, as provided in Section 20 of the Company’s rules and regulations on file with the New Mexico Public Service Commission.”
(b) Within forty-five (45) days after each March 31, June 30, September 30 and December 31, beginning with June 30, 1971, the Company shall file with the Commission a written report indicating (1) the total number of Mcf of gas, calculated on a pressure base of 14.73 pounds per square inch absolute, which were purchased by the Company during the three-month period then ended for distribution and sale to New Mexico consumers, (2) the total purchase [and] the average purchase price paid by the Company for such gas, calculated to the nearest Jioth of a cent per Mcf (herein called “Current Cost of Gas”). Such statement shall be accompanied by such detailed supporting data as the Commission may request from time to time.
(c) Whenever the Current Cost of Gas for any three-month period shall be greater or less than the average cost of gas to the Company during the three-month period ending March 31, 1971, namely, 19.20 per Mcf (herein called the “Base Cost of Gas”), then, commencing with bills rendered on the first day of the month after the date the report reflecting such Current Cost of Gas is filed with the Commission and ending with bills rendered on the last day of the third month after said date of filing, the price per Mcf specified in each step of each of the Affected Rate Schedules shall be increased or decreased, as the case may be, by an amount equal to the difference between the Current Cost of Gas and the Base Cost of Gas.
(d) In the event the Current Cost of Gas for any three-month period is affected by a change in the Company’s gas purchase costs which occurs after March, 1971 and is subsequently set aside or disallowed, in whole or in part, by the action of any court or regulatory authority so as to result in the receipt of a refund by the Company, the Current Cost of Gas for the four three-month periods next following the one during which such refund was received by the Company shall be appropriately reduced to the end that the consumers served under the Affected Rate Schedules shall receive, in the aggregate, during said four three-month periods, the full benefit of so much of the refund received by the Company as related to gas sold by it under the Affected Rate Schedules.
As further background, the Company purchases its gas from several sources, including two wholly-owned subsidiaries, Southern Union Producing Company and Southern Union Gathering Company. The record reflects that these subsidiary companies provide the Company with approximately 26% of its natural gas needs.
On January 4, 1972 the Commission issued its order allowing Company rule 20 to become a part of the Company’s rules and regulations, and modifying the general service rate schedules, making them subject to rule 20. Following an exhaustion of administrative procedures, intervenors Maestas and Nunn appealed to the district court which found for the Commission and affirmed its order of January 4, 1972. Intervenors then appealed to this Court from the lower court’s decision.
The appellants base their appeal on two points, reading as follows:
POINT I. The order of the District Court upholding the approval by the Public Service Commission of Southern Union Gas Company’s Rule 20, cost-of-gas adjustment clause, is unreasonable and unlawful given the unique vertical integration of the Southern Union corporate structure operating within New Mexico which allows the company to function in part free from regulation and in a manner inimical to the public interest.
POINT II. The Order of the District Court upholding the approval by the Public Service Commission of Southern Union Gas Company’s Rule 20, cost-of-gas adjustment clause, should be reversed for lack of substantial evidence regarding the parent-subsidiary relationship between Southern Union Gas Company and its two wholly-owned subsidiaries.
To begin with, the stated purpose of the Company’s proposed rule 20 is to increase or decrease its revenues from time to time as is necessary to compensate for increases or decreases in its actual average cost of purchased gas. The consumers of gas will be required to pay the increase in the cost of gas if, and only if, an increase occurs, and they will be given the benefit of a decrease in such cost if a decrease occurs. A majority of commissions have found great practical justification for approving adjustment clauses similar to these. See Foy, Cost Adjustment in Utility Rate Schedules, 13 Vand.L.Rev. 663, 668 (1960) ; Trigg, Escalator Clauses in Public Utility Rate Schedules, 106 U.Pa.L.Rev. 964, 996 (1958). Furthermore, the courts of several jurisdictions have not seen fit to invalidate such commission-approved clauses. See City Of El Dorado v. Arkansas Public Service Com’n., 235 Ark. 812, 362 S.W.2d 680 (1962); City of Chicago v. Illinois Comm. Comm’n, 13 Ill.2d 607, 150 N.E.2d 776 (1958); United Gas Corp. v. Mississippi Public Service Com’n, 240 Miss. 405, 127 So.2d 404 (1961); City Of Akron v. Public Util. Comm’n, 5 Ohio St.2d 237, 215 N.E.2d 366 (1966); City Of Norfolk v. Virginia Elec. Light & Power Co., 197 Va. 505, 90 S.E.2d 140 (1955).
As to appellants’ first contention, a summary of the Commission’s findings reflects the following: because of supply and demand, the wholesale price of gas will increase more rapidly than it has in the past ; the Company’s net income will not be changed by the operation of rule 20; the rule will have no adverse effect upon the Commission’s supervisory control over the Company’s rates; and no more than the actual increased cost of purchased gas will be passed on to the customers. The record reflects that all of these findings are supported by substantial evidence.
Appellants argue that while the Company is subject to regulation by the Commission, its Producing and Gathering subsidiaries are subject to neither Commission nor Federal Power Commission regulation. Therefore, appellants argue that there is a potential for abuse in that the Company could negotiate contracts with its subsidiaries at favorable rates, and thereby accrue hidden profits. We disagree. Section 68-5-4 (A), N.M.S.A.1953 (Supp. 1971), provides that the “* * * commission shall have general and exclusive power and jurisdiction to regulate and supervise every public utility in respect to its rates and service regulations * * * and to do all things necessary and convenient in the exercise of its power and jurisdiction.”
Section 68-5-4(B), N.M.S.A.1953 (Supp. 1971), amplifies this power with respect to the specific subject of contracts between utilities and suppliers, as follows:
The sale, furnishing or delivery of gas, * * * by any person to a utility for resale to or for the public shall be subject to regulation by the commission, but only to the extent necessary to enable the commission to determine that the cost to the utility of such gas, * * * at the place where the major distribution to the public begins shall be reasonable and that the methods of delivery thereof shall be adequate; Provided, however, that nothing' herein contained shall be construed to permit regulation by the commission of production or sale price, at the well head, of gas or petroleum.
The above provision makes it abundantly clear that the Commission can disallow, for rate-making purposes, any portion of a price paid by a utility which the Commission finds to be unreasonable unless well head transactions are involved. Here, the subsidiary Producing Company is involved in such well head transactions and thus is not covered by Commission regulation. However, since the legislature has not seen fit to extend the Commission’s rate-making jurisdiction to such transactions, we, too, should not interfere unless there is shown to be some public harm involved. No harm was shown to have been present here. In fact, prices paid to the subsidiaries by the parent Company were shown to have been lower than the average wholesale cost of gas.
It is true that there might be some potential for abuse here between the parent and its producing subsidiary, but the record indicates that it is unlikely to occur. The parent Company buys gas from non-affiliated companies, and the subsidiaries sell gas to non-affiliated companies. Therefore, unless both choose to illegally break their binding long-term contracts with the non-affiliated companies, it will not be possible for the parent and its subsidiaries to increase dealings with each other, and thereby increase the possibility of abuse. [Note: at the present time, the parent purchases % of its gas from non-affiliated suppliers and the subsidiaries sell 70-80% of their gas to non-affiliated purchasers.] Furthermore, it is unlikely that increased dealings between the parent and its subsidiaries can be physically achieved since the record indicated that the Company is not geographically connected with the subsidiaries through interstate pipelines.
Appellants’ second contention that the Commission’s finding that rule 20 is in the public interest is not supported by substantial evidence is refuted by the record. That the Company had the burden of proof at the hearing cannot be denied. International Min. & C. Corp. v. New Mexico P. S. Com’n, 81 N.M. 280, 466 P.2d 557 (1970). However, that burden was carried when the- Company presented a prima facie case.
In New Mexico, the requirement for annulling an order of the Commission is to establish, to the satisfaction of the reviewing court, that the order is unreasonable or unlawful. § 68-9-5, N.M.S.A.1953 (Repl.Vol. 10, pt. 1, 1961). The burden of so establishing is on the party appealing from the order. § 68-9-4, N.M.S.A.1953 (Supp.1971). As stated in Llano, Inc. v. Southern Union Gas Company, 75 N.M. 7, 11-12, 399 P.2d 646, 649 (1964):
This court has consistently held that on appeals from administrative bodies the questions to be answered by the court are questions of law and are restricted ' to whether the administrative body acted fraudulently, arbitrarily or capriciously, whether the order was supported by substantial evidence and, generally, whether the action of the administrative body was within the scope of its authority. The district court may not substitute its judgment for that of the administrative body.
Here, the potential for abuse is a matter of fact and we hold that the Commission had substantial evidence from which to make its findings, i. e., that there was such relevant evidence as a reasonable man might find adequate to support a conclusion. See Otero v. New Mexico State Police Bd., 83 N.M. 594, 495 P.2d 374 (1972); Young v. Board of Pharmacy, 81 N.M. 5, 7, 462 P.2d 139, 141 (1969). In other words, the Commission did not act fraudulently, arbitrarily or capriciously, and the order was supported by substantial evidence. We therefore agree with the trial court and are of the opinion that under rule 20, at least as far as the facts presented are concerned, the public interest against abuse will be protected. Affirmed.
It is so ordered.
OMAN and MARTINEZ, JJ., concur. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1104, 85 N.M. 146, 509 P.2d 1341 be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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OPINION
LOPEZ, Judge.
Defendant was charged with residential burglary pursuant to § 40A-16-3, N.M.S. A.1953 (2d Repl.Vol. 6). The state intro duced undisputed evidence that defendant had entered a dwelling without authorization and aided in removing a television set therefrom. Throughout the trial defendant contended that he had no idea the television and other items removed were stolen. He merely thought he was helping a former employer, one Rita Blea, remove items belonging to her.
From an adverse judgment and sentence, defendant asserts the following contentions for reversal: (1) there was insufficient evidence on the issue of intent to allow an inference by the jury; (2) the prosecuting attorney prejudiced defendant by an improper comment during summation; and (3) the court erred in refusing certain instructions.
We affirm the conviction.
(1) There was sufficient evidence to permit the jury to draw an inference that the defendant intended to commit theft.
On the issue of intent, defendant makes two arguments. The first is that the evidence required the jury to make an inference on an inference to find that the defendant had the requisite intent. See State v. Serrano, 74 N.M. 412, 394 P.2d 262 (1964). Defendant was tried on an accessory theory for helping Rita Blea remove a television from a dwelling. Defendant contends that before the jury could conclude the element of criminal intent was ptoved beyond a reasonable doubt, they would have to infer that defendant shared Rita Blea’s criminal intent which they would in turn have inferred from the circumstances of the case. We disagree.
A close reading of State v. Serrano, supra, indicates that the argument must fail. There the court, quoting 22A C.J.S. Criminal Law § 579, with approval stated:
“ * * the rule that an inference cannot be based on an inference merely means that an inference cannot be based on evidence which is uncertain or speculative or which merely raises a conjecture or possibility. A fact established by circumstantial evidence may serve as the basis for an inference or presumption. * * * >»
The inference that defendant had a common criminal purpose with Blea is hardly speculative or conjectural. The jury did not agree. If we read the rule as rigidly as defendant suggests, we would be ignoring the admonition in State v. Serrano, supra, that the rule is not to be used to inhibit a logical progression of ideas. Furthermore, there was ample evidence of intent not based on the inference that defendant was aiding Blea.
The fact of the victim’s house being broken into; defendant entering the house; defendant helping to carry off various items; defendant helping to carry the items over a four foot fence in the back of the house rather than going by way of the sidewalk at the front of the house; defendant being recognized by the victim’s neighbor while carrying some of the items taken during the burglary; concealment of some of the taken items; and defendant fleeing when discovered, although subsequently returning to the vicinity of the victim’s house is evidence sufficient to sustain an inference of criminal intent. State v. Lott, 40 N.M. 147, 56 P.2d 1029 (1936); State v. Madrid, 83 N.M. 603, 495 P.2d 383 (Ct.App.1972); State v. Ortega, 79 N.M. 707, 448 P.2d 813 (Ct.App.1968).
Defendant next contends that “the state relies solely upon circumstantial evidence which is not incompatible with the innocence” of the accused. The circumstantial evidence rule is set forth in State v. Easterwood, 68 N.M. 464, 362 P.2d 997 (1961) as follows:
“Where circumstantial evidence alone is relied upon for a conviction such evidence must be incompatible with the innocence of the accused upon any rational theory and incapable of explanation upon any reasonable hypothesis of the defendant’s innocence. * * *”
See also State v. Borunda, 83 N.M. 563, 494 P.2d 976 (Ct.App.1972); State v. Beachum, 82 N.M. 204, 477 P.2d 1019 (Ct.App.1970).
However, the circumstantial evidence rule does not apply where direct evidence is used to support any part of the conviction. State v. Hinojos, 78 N.M. 32, 427 P. 2d 683 (Ct.App.1967). That there is substantial, direct evidence in the record to support the conviction is obvious from our preceding comments.
Further, defendant’s hypothesis on innocence, that he was merely helping a friend, in light of the foregoing direct evidence is not considered a reasonable hypothesis. The jury, by its verdict, did not believe defendant’s story. See State v. Atwood, 83 N.M. 416, 492 P.2d 1279 (Ct.App.1971) ; State v. Madrid, supra.
As we stated in State v. Madrid, supra:
“Although we have answered defendant’s ‘reasonable hypothesis’ contentions, we point out that the circumstantial evidence rule is not a concept independent of the question of whether there is substantial evidence to support the verdict. As stated in State v. Clements, 31 N.M. 620, 249 P. 1003 (1926) : ‘The rule in a circumstantial evidence case is but a special application of the general rule of reasonable doubt. The jury having been properly instructed as to the defendant’s rights, its decision is final if supported by substantial evidence. * * ”
(2) The defendant did not preserve error on the prosecutor’s ref erence to a prior conviction.
Defendant admitted to a prior conviction for burglary on direct examination. In his closing argument the prosecuting attorney commented on the evidence as follows:
“I want you to remember that we don’t have a person here who is completely naive in the elements of crime. We have a person who by his own admission — ”
At this point the court interrupted the prosecutor. A conference was held at the bench where the prosecutor was apparently admonished, because he continued on a different line of argument. After the jury retired, defense counsel moved for a mistrial. We do not think that the motion was timely. In order to secure a review of an improper argument to the jury after an admonition by the trial court, such further relief as is desired should be immediately requested and, in any event, before the jury retires. Territory v. Torres, 16 N.M. 615, 121 P. 27 (1911).
(3) Defendant’s requested instructions were properly refused.
We find that defendant’s requested instructions Nos. 1 and 2 were given by the court in substance, if not verbatim. Defendant claims that the court’s instruction No. 6 is confusing and not a correct statement of the law. In view of defendant’s lack of specificity in this regard, the objection was not sufficient to alert the trial court to any possible error. Therefore, defendant has not preserved error. Castillo v. Juarez, 80 N.M. 196, 453 P.2d 217 (Ct.App.1969).
Affirmed.
It is so ordered.
HENDLEY and J. SUTIN, JJ., concur. | [
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Original Proceeding on Certiorari
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 994, 85 N.M. 150, 509 P.2d 1345 be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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OPINION
McMANUS, Chief Justice.
Suit was brought in the District Court of Santa Fe County to recover damages for breach of a highway construction contract. The court granted summary judgment in favor of defendant State of New Mexico, New Mexico State Highway Commission, as to Counts One, Two, Three, Six and parts of Five, in plaintiff Vinnell Corporation’s First Amended Complaint. The court found, pursuant to Rule 54(b) [§ 21-1-1(54)(b), N.M.S.A.1953], that there was no just reason for delay in entering final judgment as to the counts above. From this final judgment, plaintiff appeals.
Count One of the First Amended Complaint alleged that the defendant induced plaintiff to rely on misinformation contained in the contract, plans, and other bid documents. Specifically, it is alleged that there was misrepresentation or negligent representation of the existence of usable materials at a particular site. Materials had to be obtained from a different site, and plaintiff was caused extra work and expense.
Count Two alleged that through misrepresentation or negligent representation by defendant, plaintiff was misinformed concerning the ease of excavation for the roadway of the project. Plaintiff was thereby forced to perform extra work under the contract.
The inclusion of Count Three in the final judgment was possibly the result of inadvertence. Neither party requested that it be included and it does seem to be of a different nature from the rest. Also, the disposition of that count would not affect the result of this opinion and therefore we will not discuss it.
Count Six alleged that defendant made false and erroneous statements about subsurface soil tests in project specifications which were incorporated into the contract and which, when relied upon by plaintiff, resulted in loss to plaintiff.
Count Five alleges additional overhead and indirect expenses resulting from extra work caused to plaintiff by acts of defendant alleged in Counts One and Two, among others.
Summary judgment was granted because it appeared to the trial court that the counts above sounded in tort rather than contract. Relying upon § 22-23-1, N.M.S.A.1953 (1971 Pocket Supp.), the court reasoned that a suit against the state may only be maintained if it is based on a written contract. Section 22-23-1, supra, states, in part: “Actions not otherwise provided by law may be maintained and any judgment enforced against the state and any of its agencies when based on a written contract.”
We believe plaintiff’s action is based on a written contract and therefore must reverse the judgment entered below. We agree with the following reasoning of the California Supreme Court in Souza & McCue Const. Co. v. Superior Court of San Benito County, 57 Cal.2d 508, 20 Cal.Rptr. 634, 635-636, 370 P.2d 338, 339-340 (1962):
“A contractor of public works who, acting reasonably, is misled by incorrect plans and specifications issued by the public authorities as the basis for bids and who, as a result, submits a bid which is lower than he would have otherwise made may recover in a contract action for extra work or expenses necessitated by the conditions being other than as represented. (E. g., United States v. Spearin, 248 U.S. 132, 136-137, 39 S.Ct. 59, 63 L.Ed. 166; Christie v. United States, 237 U.S. 234, 239-242, 35 S.Ct. 565, 59 L.Ed. 933; McCree & Company v. State, 253 Minn. 295, 91 N.W.2d 713, 721-722; see Gogo v. Los Angeles, etc. Flood Control Dist., 45 Cal.App.2d 334, 341, 114 P.2d 65; 43 Am.Jur. 852; Annotation 76 A.L.R. 268.) This rule is mainly based on the theory that the furnishing of misleading plans and specifications by the public body constitutes a breach of an implied warranty of their correctness. The fact that a breach is fraudulent does not make the rule inapplicable. (Jackson v. State, 210 App.Div. 115, 205 N.Y.S. 658, 664 (affd. 241 N.Y. 563, 150 N.E. 556); cf. Chapman v. State, supra, 104 Cal. [690] at p. 695, 38 P. 457; Hersey Gravel Co. v. State, 305 Mich. 333, 9 N.W.2d 567, 569, 173 A.L.R. 302.) Souza’s proposed pleading states causes of action in contract on the basis of the alleged fraudulent breach by Salinas.”
Since 1962, the California Supreme Court has quoted from Souza, supra, with approval. E. H. Morrill Company v. State, 65 Cal.2d 787, 56 Cal.Rptr. 479, 423 P.2d 551 (1967).
In the case before us plaintiff’s characterization of defendant’s representations as “negligent” does not determine the nature of the cause of action. What is determinative is the allegation that conditions to be found in the area of the project were not as warranted. The reasons why misinformation was given are of secondary importance. Thus, this action is based on a written contract, within the meaning of § 22-23-1, supra, and may be maintained against the state and its highway commission.
Proposing an alternative theory upon which the judgment of the trial court might be sustained, the state argues that, as a matter of law, no representations were made in the contract or in documents incorporated therein. The argument seems to be: Even though alleged representations of conditions may appear in the contract documents, they are accompanied by sufficient exculpatory language to keep the state safe, as a matter of law, from having warranted any conditions. Therefore, the argument concludes, no representations were made and plaintiff’s action must be based on something other than the written contract. We do not accept this reasoning, because there are possible issues of fact.
We hereby reverse and remand to the District Court of Santa Fe County for further action consistent with this opinion.
It is so ordered.
STEPHENSON and MONTOYA, JJ., concur. | [
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OPINION
MARTINEZ, Justice.
This Court, upon its own motion, withdraws its opinion previously filed on October 19, 1973 and substitutes therefor the following opinion.
Appellant, The Mutual Building & Loan Association of Las Cruces, New Mexico, sued appellees, Thomas and Helen Collins, in the District Court of Dona Ana County to foreclose the lien of a judgment against the interest in land which the appellees owned as purchasers under an escrow contract. Appellant held a judgment against appellees for $5,620.90, a transcript of which was recorded in the office of the Dona Ana County Clerk. Appellant prayed for the foreclosure and that appellees’ right, title, interest, and equity in the land be sold to satisfy appellant’s judgment.
Appellees answered that appellant failed to state a cause of action upon which relief might be granted. After appellant’s motion to amend was granted and completed, the trial court, on May 30, 1972, determined that the present case was governed by Warren v. Rodgers, 82 N.M. 78, 475 P.2d 775 (1970), and dismissed with prejudice the appellant’s claim to foreclose its judgment lien against the appellees’ equitable interest in land. The trial court determined that appellant had failed to state a claim upon which relief could be granted and appellant thereafter appealed.
Appellant has raised one point on appeal, that being that a judgment lien attaches to an equitable interest in real estate of a conditional vendee.
We agree.
Ordinarily an equitable interest in real estate is not subject to execution or judgment lien, 46 Am.Jur.2d Judgments § 260 (1969), 49 C.J.S. Judgments § 479a (1947), unless there exists a statute broad enough to include equitable interests. An-not. 1 A.L.R.2d 727. Under statutes broad enough to include equitable interests, a judgment debtor’s interest in real property is subject to the judgment lien recovered against him. See McFarran v. Knox et al., 5 Colo. 217 (1880); Rand v. Garner, 75 Iowa 311, 39 N.W. 515 (1888); Brant v. Robertson, 16 Mo. 129 (1852); Fridley v. Munson, 46 S.D. 532, 194 N.W. 840, 30 A.L.R. 501 (1923); Eckley v. Bonded Adjustment Co., 30 Wash.2d 96, 190 P.2d 718, 1 A.L.A.2d 717 (1948). This Court, in Warren v. Rodgers, supra, stated that only legal interests, unlike equitable interests, were subject to judgment liens. In declaring its position, the Court in Warren, supra, recognized a substantial split of authority on this' question, see McDonald v. Senn, 53 N.M. 198, 204 P.2d 990 (1949), and adopted the limiting California rule. We, however, prefer and adopt the more liberal rule embodied in decisions such as Eckley v. Bonded Adjustment Co., supra, and Fridley v. Munson, supra, and declare that both legal and equitable interests in real estate are subject to judgment liens. Therefore, Warren v. Rodgers, supra, is overruled insofar as it held that judgment liens cannot attach to equitable interests.
§ 21-9-6, N.M.S.A.1953 Comp. (Repl. Vol. 4, 1970) reads as follows:
“Any money judgment rendered in the Supreme Court, court of appeals, district court or small claims court shall be docketed by the clerk of the court, in a judgment docket book and, shall be a lien on the real estate of the judgment debtor from the date of the filing of a transcript of the docket of the judgment in the judgment record book in the office of the county clerk of the county in which the real estate is situate. Upon approval and filing of a supersedeas bond upon appeal of the cause as provided by law, the lien shall be void.” (Emphasis added)
§ 24-1-22, N.M.S.A.1953 Comp, states the following:
“Any person holding a judgment lien on any real estate situated in this state may subject said real estate to the payment of his judgment by a foreclosure suit in any court of competent jurisdiction, such suit to be instituted and prosecuted in the same manner as ordinary suits for the foreclosure of mortgages, and the sale thereunder to be held in the same manner and subject to the same rights of redemption as in sales held under mortgage foreclosure decrees.” (Emphasis added)
A judgment lien on real property did not exist at common law, but is a right established by statute. Curtis Manufacturing Company v. Barela, 76 N.M. 392, 415 P.2d 361 (1966). § 24-1-22, N.M.S.A.1953 Comp, establishes such a right and together with § 21-9-6, N.M.S.A.1953 Comp. (Repl. Vol. 4, 1970) make no distinction between legal and equitable interests in real estate. Both provisions broadly refer to “real es tate” of the judgment debtor and, therefore, seem broad enough to include equitable interests within their purview.
This Court in Warren, supra, considered § 21-9-6, N.M.S.A.1953 Comp. (Repl. Vol. 4, 1970) and determined that it “ . . . is not susceptible of construction that would permit the judgment lien to attach to the equitable interest of a conditional vendee. The Court views this section as requiring that the judgment debtor shall be the owner, or have a vested interest in the real estate . . .” Warren v. Rodgers, 82 N.M. at 79, 475 P.2d at 776. If such a determination were valid at that time, it no longer can be so held today. A fair reading of the above cited provisions and § 24-6-1, N.M.S.A.1953 Comp. (Supp.1971) will lead to the conclusion that the rule adopted by this Court in Warren, supra, has been modified by the New Mexico Legislature in 1971. § 24-6-1, N.M.S.A.1953 Comp. (Supp.1971) reads as follows:
“A married person, widow, widower oi person who is supporting another person may hold exempt a homestead in a dwelling-house and land occupied by him, or in a dwelling-house occupied by him although the dwelling is on land owned by another, provided that the dwelling is owned, leased or being purchased by the person claiming the exemption. Such a person may claim a homestead of ten thousand dollars ($10,000) exempt from attachment, execution, or foreclosure by a judgment creditor, and from any proceeding of receivers or trustees in insolvency proceedings, and from executors or administrators in probate.” (Emphasis added)
Under this statute, a purchaser of a dwelling-house under an escrow contract can claim $10,000.00 of his equity as exempt from foreclosure by a judgment creditor. If Warren v. Rodgers, supra, were permitted to govern this case, the statutory provision cited above would be contravened; the equitable interest of a purchaser of real estate under an escrow contract would be exempt completely from the judgment creditor’s claims in a homestead situation. This result obviously was not intended by the Legislature in enacting § 24-6-1, N.M. S.A.1953 Comp. (Supp.1971).
In conclusion, the three statutes cited above, provide that a judgment lien attaches to the equitable interest of a purchaser of real estate under a contract; that the judgment lien may be foreclosed in the same manner as ordinary suits for the foreclosure of mortgages; and that if the land in question is the judgment debt- or’s homestead, he may claim an exemption of $10,000. Such a reading, as this Court adopts, prevents a debtor from placing his assets beyond his creditor’s reach and precludes the possibility of fraud being perpetrated upon the commercial community.
Therefore, the decision of the trial court is reversed and the case remanded with instructions to grant appellant a new trial.
It is so ordered.
STEPHENSON and MONTOYA, JJ„ concur. | [
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OPINION
McMANUS, Chief Justice.
This suit began in the District Court of Bernalillo County. Sutton, respondent, sought damages for death by wrongful act pursuant to § 22-20-1 et seq., N.M.S.A. 1953, against petitioner, Chevron Oil Company (Chevron), Lee Sharp (lessee for Chevron) and Herbert R. Buss (Sharp’s employee). Sutton’s wife had died from injuries sustained in a car accident when a wheel of a car repaired by Buss came off the vehicle. The district court granted Chevron’s motion for a summary judgment. On appeal to the Court of Appeals, the summary judgment was reversed. Sutton v. Chevron Oil Co., 85 N.M. 604, 514 P.2d 1301 (Ct.App., June 6, 1973). The matter is now before this court on certiorari to the Court of Appeals.
One of the grounds upon which the Court of Appeals based its decision was that of strict liability. We discussed this doctrine at length in Stang v. Hertz Corporation, 83 N.M. 730, 497 P.2d 732 (1972). Nothing we said in our decision in that case can properly be enlarged or extended to embrace the factual situation here.
The main issue before this court is whether Chevron asserted enough control over its lessee to constitute a master-servant relationship. If such relationship is present, then Chevron could be found liable under the doctrine of respondeat superior. The district court granted Chevron a summary judgment on this issue and the Court of Appeals reversed on grounds that there were sufficient indicia of control to warrant the submission of the issue to a jury.
In the present case, there are two important contract provisions which must be considered. The first provided that Sharp was “ * * * engaged in an independent business, and nothing herein contained shall be construed as granting to [Chevron] any right to control [Sharp’s] business or operations, or the manner in which the same shall be conducted.” This agreement, on its face, tends to show that there was no master-servant relationship present, but that Sharp was merely an independent contractor. However, the majority rule is that the manner in which the parties designate a relationship is not controlling, and if an act done by one person on behalf of another is in its essential nature one of agency, the one is the agent of the other, notwithstanding he is not so called. See Board of Trade v. Hammond Elevator Co., 198 U.S. 424, 25 S.Ct. 740, 49 L.Ed. 1111 (1904); Pritchard v. Smith (8th Cir. 1961), 289 F.2d 153, 88 A.L.R.2d 1146; Green v. Jones-Murphy Properties Inc., 232 Ark. 320, 335 S.W.2d 822 (1960); Van Pelt v. Paull, 6 Mich.App. 618, 150 N.W.2d 185 (1967); Nat. Mut. Bldg. & L. Assn. v. Brahan, 80 Miss. 407, 31 So. 840 (1902); McCarty v. King County Medical Service Corp., 26 Wash.2d 660, 175 P.2d 653 (1946).
Furthermore, it has long been the rule that a third person who deals with an agent is not bound by any secret or private instructions given to an agent by the principal. See Sterling v. B. & E. Constructors, Inc., 74 N.M. 708, 397 P.2d 729 (1964); South Second Livestock Auction, Inc. v. Roberts, 69 N.M. 155, 364 P.2d 859 (1961); Douglass v. Mutual Ben. Health & Accident Ass’n, 42 N.M. 190, 76 P.2d 453 (1937); Echols v. N. C. Ribble Co., 85 N.M. 240, 511 P.2d 566 (Ct.App.1973).
When such agreements do not control, “whether a station operator is an employee of an oil company or an independent contractor depends on the facts of each case, the principal consideration being the control, or right to control, of the operation of the station.” (Emphasis added.) Shaver v. Bell, 74 N.M. 700, 704, 397 P.2d 723, 727 (1964). In Shaver, supra, the court granted summary judgment for the defendant when the defendant did not send its personnel to check the premises or deal directly with the operator of the station, but did allow the station operator to display the defendant’s trade mark and signs, and use its credit card facilities. However, the court noted that “slight changes in facts may result in different conclusions as to the presence of an issue for determination by the jury.” In addition, the court stated that when oil company personnel check the station for cleanliness and worthless check frequency, and suggest gas prices and ways to increase the business of the station, then these additional facts are enough to submit the case to a jury. This analysis is in line with Goodman v. Brock, 83 N.M. 789, 792, 498 P.2d 676, 679 (1972), which interpreted rule 56(c), New Mexico Rules of Civil Procedure, to mean,
“ * * * that the party opposing the motion [for summary judgment] is to be given the benefit of all reasonable doubts in determining whether a genuine issue exists. If there are such reasonable doubts, summary judgment should be denied. A substantial dispute as to a material fact forecloses summary judgment.”
In the present case, there is a substantial dispute as to a material fact, and this should foreclose summary judgment. The fact in dispute is whether or not Chevron exercised such control over Sharp as to bring the doctrine of respondeat superior into play. Independent stations of the appellant were required to: (1) diligently promote the sale of Chevron’s brand products; (2) remain open for certain hours and days and “meet the operating hours of competitors”; (3) keep the premises, restrooms and .equipment in a “clean and orderly condition”; (4) present a “good appearance”; and (5) promote Chevron’s image to the motoring public. In addition, Sharp also (6) sold Chevron products and dispensed gasoline and oil provided by the Chevron organization; (7) received the benefit of Chevron advertising; (8) wore uniforms containing the Chevron emblem; (9) used calling cards which billed the station as “Lee Sharp Chevron and Four Wheel Drive Equipment” (apparently with Chevron’s consent) ; and (10) the customers of the Sharp station were permitted to charge purchases of both products and repairs on Chevron credit cards. No one of these factors is controlling, but all are useful in determining whether or not control was present. By using all of these factors, there is a sufficient factual question as to whether or not there was an actual master-servant relationship.
Even if there were not a material issue as to whether or not Chevron asserted enough control as to create an actual master-servant relationship, there still exists a material issue as to whether or not Chevron had clothed the lessee with apparent authority.
In 3 Am.Jur.2d, Agency, § 74, at 477 (1962), it is stated:
“The apparent authority of an agent is to be determined by the acts of the principal, and not by the acts of the agent; a principal is responsible for the acts of an agent within his apparent authority only where the principal by his acts or conduct has clothed the agent with the appearance of authority. * * * The apparent authority of an agent results from statements, conduct, lack of ordinary care, or other manifestation of the principal’s consent, whereby third persons are justified in believing that the agent is acting within his authority. * * * The acquiescence of the principal in an extention of his authority by an agent in the transaction in question may be sufficient to create the appearance of authority in the agent to such act. * * * In such case, the appearance of authority is created because of the fact that the third person is entitled to assume that the principal is cognizant of authority and would forbid it if it were unauthorized.”
Also see Gizzi v. Texaco, Inc., 437 F.2d 308 (3rd Cir. 1971), cert. denied, 404 U.S. 829, 92 S.Ct. 65, 30 L.Ed.2d 57; McNutt Oil & Refining Co., Inc. v. Mimbres Valley Bank, 174 F.2d 311 (10th Cir. 1949); South Second Livestock Auction v. Roberts, supra; Raulie v. Jackson-Horne Grocery, 48 N.M. 556, 154 P.2d 231 (1944); Standard Oil Co. v. Gentry, 241 Ala. 62, 1 So.2d 29 (1941); Clark v. Texaco, Inc., 382 S.W.2d 953 (Tex.Civ.App.1964).
Here, Chevron knew of and allowed Sharp to conduct his Four Wheel Drive Fixit Shop and it would be reasonable to assume that if Chevron did not want Sharp to continue such a business, it should have forbidden such activities or at least have put the public on notice that Sharp did not have the authority to make repairs and that it would not be responsible for such repair activities. Instead of putting the public on notice that Sharp did not have the authority to make such repairs, Chevron advertised in the telephone directory that its stations performed auto repairs, and that its repairmen were skillful. Sutton relied on such statements, in addition to relying on signs, uniforms and credit card privileges which indicated to the public that Sharp was under the control of and was an agent of Chevron. See Gizzi v. Texaco, Inc., supra, for similar facts. Thus, because Sutton relied on such statements and indicia of authority, there is a material question of fact present as to whether or not Sharp had been clothed with apparent authority by Chevron to act as Chevron’s agent.
The second contractual provision is to the effect that Chevron “ * * * has no right to exercise any control over any of [Sharp’s] employees, all of whom are entirely under the control and direction of [Sharp] who shall be responsible for their actions and omissions.”
The general rule is that a principal is not liable for the wrongful act of an assistant who has been procured by his agent unless the latter can be said to have been clothed with authority to employ help. See Gibbons v. Naritoka, 102 Cal.App. 669, 283 P. 845 (1929); Carter v. Bishop, 209 Ga. 919, 76 S.E.2d 784 (1953); Thyssen v. Davenport Ice & Cold Storage Company, 134 Iowa 749, 112 N.W. 177 (1907); Byrne v. Pittsburg Brewing Company, 259 Pa. 357, 103 A. 53 (1918). Such authority may, however, be implied from the nature of the work to be performed. As stated in Monetti v. Standard Oil Co., 195 So. 89 (La.App.1940) :
“We find that * * * where the work for the performance of which the contract is entered into is such as to indicate the necessity of the employment of a subagent, there is liability in the principal for the acts of the subagent. * * %»
Here, the record shows that it would be quite impracticable for Sharp to have operated the Chevron gas station by himself. In fact, various clauses in the contract show clearly that the parties contemplated that such an assistant, or possibly more, should be employed. Furthermore, Gulf Refining Co. v. Brown, 93 F.2d 870, 116 A.L.R. 449 (4th Cir. 1938) states:
“It is clear that a principal may not escape liability to third persons for the torts of a subagent, appointed by his agent with his consent, merely by entering into a contract with his agent under which the latter assumes sole responsibility for the subagent’s conduct.”
Therefore, if a master-servant relationship in fact existed, the liability of the subagent may be imputed to Chevron regardless of the language in the written contract to the contrary.
The cause is reversed and remanded to the District Court of Bernalillo County for action consistent with this opinion.
It is so ordered.
OMAN, MONTOYA and MARTINEZ, JJ-, concur.
STEPHENSON, J., not participating. | [
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] |
OPINION
LOPEZ, Judge.
On September 8, 1969, the defendant was indicted on charges of armed robbery, contrary to § 40A-16-2, N.M.S.A.1953 (2d Repl. Vol. 6); kidnapping, contrary to § 40A-4 — 1, N.M.S.A.1953 (2d Repl. Vol. 6); aggravated assault, contrary to § 40A-3-2 (A), N.M.S.A.1953 (2d Repl. Vol. 6); and aggravated battery, contrary to § 40A-3-5, N.M.S.A.1953 (2d Repl. Vol. 6). A letter dated October 28, 1969, received on October 30, 1969, notified the Bernalillo County District Attorney that defendant was incarcerated on other charges in California, and informed the District Attorney of the name and address of the California institution where defendant was being held. After a delay of twenty-six months, defendant was returned to New Mexico for trial. The defendant was tried by a jury and convicted on all counts. From an adverse judgment and sentence, defendant appeals claiming denial of his right to a' speedy trial under U.S.Const. Amend. VI and N.M.Const, Art. II, § 14.
We reverse.
The issues presented in this case are governed by the United States Supreme Court’s decision in Barker v. Wingo, 407 U.S. 514, 92 S.Ct. 2182, 33 L.Ed.2d 101 (1972). As an aid to evaluation of the rather amorphous speedy trial right, the court in Barker, indicated that the following four factors should be weighed: length of delay, the reason for the delay, the defendant’s assertion of his right and prejudice to the defendant. At oral argument the Attorney General did not contest defendant’s assertion that three of the factors — length of delay, reason for delay and assertion of the right — weighed heavily against the state. The only issue contested by the state was prejudice. The approach of the state was, in sum, that if it could show that the defendant suffered no prejudice from the delay, his speedy trial claim must be denied.
Our review of the most recent authorities indicate that this approach is not correct. In State v. Mascarenas, 84 N.M. 153, 500 P.2d 438 (Ct.App.1972), we adopted a test whereby the court would weigh each of the four factors mentioned above. There we stated:
“In our opinion, we need not decide whether any one of the factors is controlling. We reach our decision by considering all of the factors. * * *”
Similarly the court in Barker v. Wingo, supra, stated:
“We regard none of the four factors identified above as either a necessary or sufficient condition to the finding of a deprivation of the right of a speedy trial. Rather, they are related factors and must be considered together with such other circumstances as may be relevant. In sum, these factors have no talismanic qualities; courts must still engage in a difficult and sensitive balancing process. * *
Applying the requisite balancing process, and considering the relevant circumstances shown in this record, the three factors conceded by the state clearly outweigh the state’s contention as to the absence of prejudice. Therefore, we are compelled to reverse. However, because the state did make arguments on two of the other three factors in its brief, and because this case presents our first opportunity to resolve a speedy trial claim in light of Barker v. Wingo, supra, we will analyze the four factors as they relate to this case.
(1) Length of the delay.
Twenty-six months transpired between the time the district attorney’s office was notified of defendant’s whereabouts and the time he was returned to New Mexico for trial. The Supreme Court of New Mexico has set a policy generally allowing only six months’ delay between indictment and trial. See § 21-1-1(95), N.M.S.A.1953 (Repl.Vol. 4, Supp.1971). Although the rule is not applicable here, the policy is. See State v. Mascarenas, supra. A delay of over four times the acceptable period presently allowed will suffice to “trigger further inquiry.” See Barker v. Wingo, supra.
(2) Reason for the delay.
The state asserts that: “The primary reason for the delay was Appellant’s flight from New Mexico. * * * ” We agree that delay occasioned by the accused will weigh heavily against him. Raburn v. Nash, 78 N.M. 385, 431 P.2d 874 (1967), cert. dismissed 389 U.S. 999, 88 S.Ct. 582, 19 L.Ed.2d 613 (1967). It is apparent from the record, however, that the delay brought on by the defendant’s alleged flight was relatively short. If the state did not know of defendant’s whereabouts before, they knew with certainty on October 30, 1969. Defendant’s numerous demands for a determination of the pending charges are inconsistent with the state’s assertion. It is clear from the record that the real reason for the delay was the defendant’s incarceration in California and the alleged lack of convenient administrative machinery for his return. At a preliminary hearing on defendant’s pretrial motion to dismiss, the district attorney stated:
“Our position in this matter is when Mr. Harvey was picked up in California and held by the California authorities on the armed robbery offense, he was subsequently incarcerated. We did nothing more at that time because he was already in the California jurisdiction and control. * * * ”
* x
“So, as far as the Detainer Act, [Agreement on Detainers Act, §§ 41-20-19 through 41-20-23, N.M.S.A.1953 (2d Repl. Vol. 6)] which New Mexico became a party to last June or July, that, of course, was not in effect at the time the requests were made by Mr. Harvey. When the Act did become in effect, and it was apparent Mr. Harvey still wanted to come back to New Mexico, he was brought back. * * *”
Is incarceration in a foreign jurisdiction and the nature of administrative machinery an adequate reason for delay? New Mexico law is uncertain. The court in Raburn v. Nash, supra, states:
“A prisoner does not forfeit his right to a speedy trial solely because he is confined in the penitentiary under sentence for another offense. * * * [Citations omitted] This is particularly true when the state that holds him in prison is the same state that presents 'the indictments. * * *”
The court in Raburn only alluded to the foreign jurisdiction question, it did not decide it. The state argues that the question was resolved in State v. Crump, 82 N.M. 487, 484 P.2d 329 (1971). The defendant in Crump claimed the loss of alibi witnesses resulted from a fourteen month delay between indictment and trial. All but one month of this delay was due to incarceration in Michigan. The reason for the denial of the speedy trial claim was that Crump’s claim of loss of alibi witnesses was incredible. Crump was decided on the basis that no prejudice was shown by the delay and that under the facts of that case there was no denial of a speedy trial. Our facts are different.
Despite the lack of controlling New Mexico law, we find ourselves bound by the decision of the United States Supreme Court in Smith v. Hooey, 393 U.S. 374, 89 S.Ct. 575, 21 L.Ed.2d 607 (1968), where petitioner sought dismissal of a pending charge. The state attempted to excuse the delay by the fact that petitioner was incarcerated in a federal prison. The court noted that incarceration in a foreign jurisdiction would aggravate and compound the problems which any prisoner has in defending himself. Therefore, it held:
“* * * Upon the petitioner’s demand, Texas had a constitutional duty to make a diligent, good faith effort to bring him before the Harris County Court for trial.”
The only significant distinction between Smith and the instant case is that in Smith a demand by Texas would have been quickly complied with. Here, the only available method to bring the accused to New Mexico was the Uniform Criminal Extradition Act, §§ 41-19-1 through 41-19-30, N.M.S.A.1953 (2d Repl. Vol. 6) to which California is a party. Cal.Ann.Penal Code §§ 1547-1558 (West 1970). Defendant cites ample authority to the effect that where the demanding and holding states are both parties to the Act, there is a duty upon the prosecutor to seek extradition. Renton v. State, 480 P.2d 624 (Okl.Cr.App.1970); People v. Bryarly, 23 Ill.2d 313, 178 N.E.2d 326 (1961); and Pellegrini v. Wolfe, 225 Ark. 459, 283 S.W.2d 162 (1955). Although it could be argued that the presence or absence of administrative machinery is immaterial to defendant’s constitutional rights, we need not reach this question. We hold that where the machinery exists, the prosecutor has a constitutional duty to attempt to use it. No such attempt was made here.
The state seeks to justify the delay by arguing that defendant really did not attempt to waive extradition, as he claimed. The court in Thompson v. State, 482 P.2d 627 (Okl.Cr.1971) responded to a similar contention as follows:
“We, therefore, hold that a criminal accused confined in a penal institution outside Oklahoma need not waive his right to extradition in order to request a speedy trial on a pending criminal charge in Oklahoma. The accused’s refusal to execute an extradition waiver does not obviate the obligation of the prosecuting authorities to seek custody through extradition. * * * ”
The fact that New Mexico was not a party to the Agreement on Detainers Act until these proceedings had been pending for some time is not an answer. Similar arguments have been rejected in State v. Otero, 210 Kan. 530, 502 P.2d 763 (1972), and People v. Winfrey, 20 N.Y.2d 138, 281 N.Y.S.2d 823, 228 N.E.2d 808 (1967). The fact that a less cumbersome method of vindicating a prisoner’s rights is not available does not excuse the failure to use available means. We find that this failure is the reason for the delay and it weighs heavily against the state.
(3) Assertion of the right to speedy trial.
The record shows that defendant, several times, made demands on various New Mexico officials, that there be a speedy resolution of the charges. The state agrees that these demands were made. Thus, this case is different from Barker v. Wingo, supra, where the defendant did not want a speedy trial. The demands for a speedy trial weigh heavily in favor of defendant.
(4) Prejudice to the accused.
Since both parties have introduced actual evidence to bolster their claims of prejudice or the lack of it, we need not consider the issue of presumptive prejudice further. See State v. Mascarenas, supra. Defendant relies largely upon the factors mentioned in Smith v. Hooey, supra. There the court states:
“ * * * the possibility that the defendant already in prison might receive a sentence at least partially concurrent with the one he is serving may be forever lost if trial of the pending charge is postponed. * * * ”
Defendant argues that if he had been tried within six months of his sentence, he would have had an opportunity to sever over twenty months from his New Mexico sentence. The state contends that defendant was not actually sentenced to concurrent New Mexico and California terms and that, therefore, he was not prejudiced. Both parties interpret defendant’s sentence differently. We find this dispute immaterial. The fact that defendant was denied the opportunity to sever a substantial portion of his New Mexico sentence is enough to prejudice him.
Although this type of prejudice is entitled to some weight, we do not think it is overly important. The worst type of prejudice is that which bears on the guilt or innocence of the accused. In this respect defendant once again cites Smith v. Hooey, supra, which states:
“ * * * Confined in a prison, perhaps far from the place where the offense covered by the outstanding charge allegedly took place, his ability to confer with potential defense witnesses, or even to keep track of their whereabouts, is obviously impaired. And, while ‘evidence and witnesses disappear, memories fade, and events lose their perspective,’ a man isolated in prison is powerless to exert his own investigative efforts to mitigate these erosive effects of the passage of time.”
The defendant contends that he was prejudiced because he lost track of several witnesses who could substantiate his alibi that he was in Las Vegas, Nevada, at the time when the events involved occurred. However, we have little to go on other than the defendant’s assertions. Furthermore, the state introduced and relies on evidence which tends to rebut defendant’s alibi. There was the positive and unequivocal identification of the defendant by six witnesses. Three of these witnesses were with the defendant for more than four hours. This evidence casts great doubt upon the credibility of defendant’s alibi and, therefore, his assertion of prejudice.
The defendant’s final claim of prejudice is the loss of evidence, specifically a telephoto from which he was identified. Witnesses were shown five pictures, four of which were glossy prints. The telephoto in question was on xerox paper. Defendant contends that it was suggestive and that he should have been able to cross-examine with it. See Simmons v. United States, 390 U.S. 377, 88 S.Ct. 967, 19 L.Ed.2d 1247 (1968).
Defendant’s contention, however, is again weakened by the strength of the identification. It could be argued that the positive nature of the identification was attributable to the fact that defendant was denied the opportunity to demonstrate its weakness. However, the record indicates that not all of the witnesses initially identified defendant from the telephoto.
We think that defendant has made a minimal showing at best on the issue of prejudice. He has not really demonstrated prejudice on the identification and alibi issues. We find the record on this issue to be equivocal, and, in our opinion, weighs as much in favor of a conclusion of no prejudice as it does in favor of a conclusion of prejudice.
In summary, we have a twenty-six month delay, no adequate reason for the delay and a repeated assertion by defendant that he be tried; an assertion which, under Barker v. Wingo, supra, is entitled to “strong evidentiary weight.” Despite the equivocal showing on the question of prejudice all the factors, weighed together,
establish that defendant was denied his right to a speedy trial. See State v. Mascarenas, supra.
We reverse the judgment and sentence of the lower court and remand to the district court with instructions to set aside the judgment and sentence and dismiss the charges against defendant. The Attorney General of New Mexico is instructed to inform California penal officials of such dismissal. See Thompson v. State, supra.
It is so ordered.
WOOD, C. J., and HENDLEY, J., specially concur. | [
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OPINION
McMANUS, Chief Justice.
This appeal concerns the New Mexico Implied Consent Act, § 64-22-2,4 et seq., N.M.S.A. 1953. Gober, Grisolano, Lee, Stivers and Warren (“appellees”) refused to submit to chemical tests to determine the alcoholic content of their blood. Pursuant to the above statutory provisions, and because of their refusals to submit to tests, each appellee’s license was revoked. Each appellee then obtained a hearing before an agent of appellant Commissioner of Motor Vehicles (“Commissioner”) at which testimony was received in support of and in opposition to the revocation. From the Commissioner’s subsequent order sustaining the revocation, appellees appealed to the District Court of San Juan County where the cases were consolidated and heard on stipulated facts. One such stipulation was that the Commissioner’s agent required only a preponderance of evidence to prove that reasonable grounds existed for the revocations.
The district court made findings concerning each appellee, one of which findings was:
“3. The degree of proof required for the administrative hearing officer of the Department of Motor Vehicles to sustain the revocation is not merely a preponderance of the evidence but should be ‘clear and convincing.’ ”
Without examining the record of the administrative hearing, the court then ordered that the decisions of the Department of Motor Vehicles sustaining the revocations be reversed on the sole ground that an improper degree of proof was accepted by the hearing officer. We reverse the district court’s judgment, and hold that a preponderance of evidence is all that is required to establish reasonable grounds for license revocation.
The statute regulating appeals to the district court under the Act, supra, is § 64— 22-2.12(F), N.M.S.A. 1953, which states, in pertinent part:
“On appeal, it is for the court to determine only whether reasonable grounds exist for revocation or denial of the person’s license or privilege to drive.”
As we view it, the term “reasonable grounds” refers to portions of § 64-22-2.11 and § 64-22-2.12 of the Act. In both sections four grounds for revocation are enumerated: (1) the law enforcement officer must have had reasonable grounds to believe that the person was driving or in actual physical control of a motor vehicle within this state while under the influence of intoxicating liquor; (2) the person must have been under arrest; (3) the person must have refused to submit to a chemical test upon request of the law enforcement officer, and (4) the law enforcement officer must have advised that the failure to submit to a test could result in revocation of his privilege to drive.
Proceedings for the revocation of a driver’s license are civil in nature and generally the burden of proof in such proceedings is preponderance of the evidence. State v. Pandoli, 109 N.J.Super. 1, 262 A.2d 41 (App.Div.1970); Commonwealth v. Royer, 213 Pa.Super. 17, 245 A.2d 716 (1968); 14 Blashfield, Automobile Law and Practice 141, § 468.41 (3rd ed. 1969). We therefore hold that in license revocation proceedings a preponderance of the evidence is sufficient to prove existence of reasonable grounds. However, we still recognize that in a limited number of civil matters clear and convincing evidence is required. In re Sedillo, 84 N.M. 10, 498 P.2d 1353 (1972); Durrett v. Petritsis, 82 N.M. 1, 474 P.2d 487 (1970); Bell v. Ware, 69 N.M. 308, 366 P.2d 706 (1961); White v. Mayo, 35 N.M. 430, 299 P. 1068 (1931).
Because of our intention to remand this case to the district court, it becomes necessary to decide two further issues raised by cross-appellant Grisolano. On appeal to the district court, should the licensee be given a de novo hearing, or is the hearing to be confined to the record of the administrative proceedings? Section 64— 22-2.12, supra, does not expressly grant a trial de novo and the conclusion that a trial de novo is contemplated is reached only through extended inference. The preferred rule is that, absent a specific statutory provision, the court is confined to the record made in an administrative proceeding. Swisher v. Darden, 59 N.M. 511, 287 P.2d 73 (1955).
The second issue raised by cross-appellant is whether a tape recording is an acceptable method of preserving the record of the administrative proceedings. It is an acceptable method. Utilization of sound recordings as evidence is contemplated by the New Mexico Rules of Evidence, Rule 1001 et seq., effective July 1, 1973. Also, sound recordings are apparently acceptable under the Administrative Procedures Act, particularly § 4-32-10 (E), N.M.S.A. 1953 (1971 Pocket Supp.). Rule 55 of the New Mexico Rules of Criminal Procedure specifically authorizes the use of “any mechanical, electrical or other recording” if the method has been approved by the Director of the Administrative Office of the Courts. Used properly, a tape recorder can be an efficient, accurate means of providing a record of administrative proceedings, such as those under • discussion. Therefore, no general objection to the use of such recordings prevails, and specific objections in individual cases should be made in the same manner that objections would be made to records preserved stenographically. In this case, no ruling was made by the district court on whether this particular tape recording was authentic or reliable, so that question was not preserved for review. § 21-2-1(20) (2), N.M.S.A. 1953.
Appellees argue that the case is moot. We disagree. The actual licenses are still in the hands of the appellees after the stay of revocation of same was ordered by the trial judge.
Accordingly, the cause is reversed and remanded to the trial court for further proceedings consistent with this opinion.
It is so ordered.
MONTOYA and MARTINEZ, JJ., concur. | [
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OPINION
HERNANDEZ, Judge.
Defendant was convicted of voluntary manslaughter after a jury trial in Bernalillo County. He appeals his conviction on three grounds: (1) that the trial court erred in admitting a statement by the victim related by a witness as a res gestae exception to the hearsay rule; (2) that the trial court erred in overruling defendant’s motion to strike any jury instructions on either first or second degree murder because the evidence did not support any instructions on murder; (3) and that, even if harmless in themselves, these two errors were cumulative and “in the aggregate constituted prejudicial error” to the defendant.
We affirm.
Sometime in the afternoon of July 19, 1971, the defendant drove his car into an Albuquerque service station for some gaso line. He parked the car at a self-service pump, apparently to put some gas into the tank and left the car in order to use the service station’s restroom facilities. According to the testimony, defendant was somewhat of a regular patron of that service station and was known for buying only small amounts of gasoline and leaving his car parked in such a manner that the gasoline pumps could not be used by other patrons. When he emerged from the restroom, the victim, who was an employee of the service station, approached the defendant and an argument ensued. The victim, in addition to yelling at the defendant, also made an attempt to kick the defendant as the defendant was moving away from the restroom toward his car.
When the defendant reached his car, he leaned into the front seat and pulled out a pistol making various verbal threats to “kill” the victim. The victim then went'to the service station office and returned carrying a baseball bat. When the victim moved toward the left front door of the defendant’s automobile still carrying the baseball bat, defendant who had apparently been sitting on the driver’s side of the car, raised the pistol and shot the victim. The victim fell to the ground and began crawling away from the automobile toward the station office. As he moved toward the office, the defendant got out of his car and fired several more shots into the victim’s body. The victim died almost immediately; the defendant left the service station and was apprehended sometime later that same day.
(1) The hearsay testimony.
At trial the prosecutor examined an eyewitness to the shooting. The witness testified as follows:
“Q. Did you hear the man [the defendant] say anything to the attendant [the victim] ?
“A. When he said at the gas, he said, ‘Put that gun down.’
“Q. Who said that?
“A. The attendant. ?
“Q. Told him to put the gun down?
“A. Yeah.
“Q. Did he say it just once ?
“MR. TAYLOR: I’m going to have to object, if the Court please .
“MR. JELSO: This is the res gestae of what occurred at the scene.
“THE COURT: I think that it is, also. You may proceed.”
The defendant argues that this statement was hearsay and not properly admissible under the res gestae exception to the hearsay rule. The state contends that the testimony properly fits within the res gestae exception, and it appears from the transcript that the trial court admitted the statement as being part of the res gestae. We conclude that the evidence is admissible but that it is not hearsay. We therefore need not undertake an analysis of the res gestae exception.
Hearsay is generally defined as “a statement, other than one made by the declarant while testifying at the trial or hearing, offered in evidence to prove the truth of the matter asserted.” Rule 801, Proposed Rules of Evidence for the United States Courts. However, all statements of third persons related by witnesses need not be hearsay because they need not be offered to prove the truth of the statement. A statement made may be admitted merely to prove that it was made and not to prove that it is true. Such statements have never been regarded as hearsay but rather have been characterized by the authorities as “verbal acts”, and admissible irrespective of any limitations on hearsay testimony. State v. Lipker, 16 Ohio App.2d 21, 241 N.E.2d 171 (1968). See also Isbell v. People, 158 Colo. 126, 405 P.2d 744 (1965). As our Supreme Court pointed out, Glass v. Stratoflex, Inc., 76 N.M. 595, 417 P.2d 201 (1966).
“If the fact that a statement was made becomes relevant to an issue in the case, evidence of an out-of-court utterance of the statement is admissible, not for the purpose of proving the truth of the matter stated, but merely for the purpose of establishing the fact that the statement was made.”
Here, the testimony of the eyewitness relating to statements made by the victim were not related to prove the truth of the statements but were admissible as part of his narrative of the altercation between defendant and victim. Just as the physical behavior of both defendant and victim were testified to, the statements that also comprised part of the altercation were similarly admissible, not as hearsay, but as verbal acts. The testimony of the witness on this point was admissible.
(2) The instructions on first and second degree murder.
The defendant asserts that “the Trial Court’s instructions on first and second degree murder were unwarranted by the evidence and as a result confused the jury and deprived the Defendant of a fair trial.” However, the trial court was required to instruct the jury as to “every degree of the crime charged when there is evidence in the case tending to sustain such degree.” State v. Ulibarri, 67 N.M. 336, 355 P.2d 275 (1960).
The statutory definitions of both first and second degree murder are set out in § 40A-2-1, N.M.S.A.1953 (2d Repl.Vol. 6) and state, in pertinent part:
“A. Murder in the first degree consists of all murder perpetrated:
(1) by any kind of willful, deliberate and premeditated killing;
“B. Murder in the second degree consists of all other murder.”
The distinction between first and second degree murder has generally been viewed as the difference in the “kind of malice present.” Torres v. State, 39 N.M. 191, 43 P.2d 929 (1935). Further, second degree murder is generally considered as murder without deliberation. “Murder in the second degree is murder without deliberation but it is murder with premeditation or with malice aforethought. . . . ” State v. Sanchez, 27 N.M. 62, 196 .P. 175 (1921).
Given these definitions of first and second degree murder, the sole question before this court is whether the record contains evidence adduced at defendant’s trial sufficient to support the two murder instructions. In other words, might the jury reasonably deem defendant’s acts in shooting the victim murder in either degree? A brief re-examination of the facts leads inescapably to the conclusion that there is evidence in this record to support both murder instructions. During the course of the argument defendant threatened to kill the victim. The victim left the scene of the argument briefly after defendant pulled the pistol out of his car. The defendant had time to evade further argument and ample time for deliberation while the victim was inside the service station office procuring the baseball bat. He did not leave’but instead remained in or near his car until the victim returned. After the victim was shot once by the defendant, a shot which apparently only wounded him, the victim was knocked to the ground and attempted to crawl away from the defendant’s automobile. Defendant then got out of his car, and fired several more shots into the victim’s body.
Depending on how they interpreted the testimony given at the trial, the jurors could have found that defendant had time to deliberate. They might have found the shooting was done with malice and premeditation or they might have found, as they did, that the shooting was merely voluntary manslaughter. Irrespective of the verdict, however, there was evidence presented which tended to indicate that sufficient time elapsed during which the defendant could have weighed his actions and considered their consequences and that the shooting was not in the heat of argument. Torres v. State, supra.
We conclude that the instructions on first and second degree murder were proper.
(3) The assertion of cumulative error.
As his final contention on appeal, defendant asserts that even if the two assignments of error were not sufficient, in and of themselves, to constitute grounds for reversal that the cumulative effect of both errors warrants a reversal. We need not reach this argument since we have concluded that both the admission of the testimony and the giving of the first and second degree murder instructions were proper. We find no reversible error in this case.
Affirmed.
It is so ordered.
HENDLEY and SUTIN, JJ., concur. | [
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OPINION
LOPEZ, Judge.
Plaintiff filed suit to replevy certain pieces of equipment which were bought at a sheriff’s sale by the defendants. The case was tried by the court without a jury and the court awarded judgment in favor of the plaintiff on certain items of equipment, and granted judgment against the plaintiff on certain other pieces of equipment. The defendants appeal and the plaintiff cross-appeals.
We reverse on the defendants’ appeal and we dismiss plaintiff’s cross-appeal.
The issues are: (1) whether a Whealand rotary table and a Waukesha gasoline engine were included in a certain security agreement executed between Lucky Drilling Company as debtor and plaintiff as secured party and, therefore, whether the court erred in holding that these two items of equipment were subject to a replevin action by the plaintiff; (2) question of jurisdiction on cross-appeal.
(1) The court erred in granting judgment to plaintiff on the Whealand rotary table and the Waukesha gasoline engine.
The case arose out of a sheriff’s sale in which certain pieces of equipment belonging to Lucky Drilling Company were sold to the defendants. At the sheriff’s sale, Dugan Production Corporation d/b/a Pot-win Supply Company (defendant) purchased the Whealand rotary table in question. The defendant, George McDonald, purchased the Waukesha gasoline engine. Prior to the sheriff’s sale, Lucky Drilling Company mortgaged certain equipment to plaintiff and plaintiff took a security agreement and mortgage on March 31, 1970. A review of the record reveals that this security agreement, together with an unsigned financing statement with exhibits was filed on April 27, 1970 in the office of the County Clerk of San Juan County, New Mexico and on April 24, 1970 in the office of the New Mexico Secretary of State.
Examination of the transcript and the security agreements reveals that the two items in question were not specifically described in the security agreement or in the financing statement or in the exhibits. The exhibits do not list the items in ques tion. The financing statement was not signed by the debtor or the secured party as required by § 50A-9-402, N.M.S.A.1953 (Repl.Vol. 8, pt. 1).
The financing statement contains the wording: . . all hand tools, drill collars, drill pipe, equipment, accessories, parts,. exchanges, substitutions, additions, accretions, betterments, supplies and items that Debtor may now have or hereafter acquire and use with or as part of such collateral or in connection therewith. .” The financing statement further contains the wording: “Debtor’s seven complete rotary drilling rigs identified as No. 1 ...” through “No. 7 ., including all components as described on Exhibit ‘A’ and Exhibit ‘B’ attached hereto. . . .” This financing statement is not signed by the debtor or the mortgagee.
The security agreement which is signed by all the parties contains the wording: “Debtor’s seven rotary drilling rigs Nos. 11 thru 7 including all components as described on Exhibit ‘A’ (6 pages) and Exhibit ‘B’ (7 pages), both of which are attached hereto and made a part hereof by this reference, . . ., together with all hand tools, drill collars, drill pipe and together with all equipment, accessories, parts, exchanges, additions, betterments, and appliances that Debtor may hereafter acquire and use with or as a part of the above described goods. . . .” The security agreement does not contain the language “equipment, parts, supplies and items which the Debtor may now have” as does the financing statement.
The undisputed testimony is that the Whealand rotary table in question had been bought with Rig No. 2 originally and prior to the giving of the security agreement had been replaced by a Brewster rotary table. The Whealand rotary table was returned to the parts inventory in the Bloomfield yard and never used again. The inventory mentioned in the Exhibits “A” and “B” lists the Brewster rotary table as a component part of Rig No. 2. In respect to the V-12 gasoline Waukesha engine, the testimony reveals that this engine was purchased with Rig No. 3 and later on was replaced by V-12 Waukesha diesel engine before the security agreement was executed. The inventory mentioned in the Exhibits “A” and “B” shows the V-12 diesel engine as a component of Rig No. 3 and not the engine in question.
Plaintiff would have the two disputed items included within the security agreement on the basis of the “used with” language of the security agreement and on the basis of similar language included in certain of the exhibits referred to in the security agreement. This argument is without merit for two reasons. First, the “used with” phrase in the security agreement applies only to after-acquired property and the disputed items are not in that category. Second, the “used with” phrase in the exhibits applies only to rigs 4 through 7, and the evidence is undisputed that the disputed items were not used with those rigs. The disputed items cannot be included in the security agreement on the basis of “used with” language in the security agreement or the exhibits.
The financing statement was not signed pursuant to the provisions of § 50A-9-402, supra. There is a conflict in the language of the security agreement and the financing statement. We follow the reasoning in the Anderson Uniform Commercial Code, Vol. 4 at 124 (2d Ed. 1971) referring to Uniform Commercial Code which states:
Ҥ 9-110. Sufficiency of Description.
“§ 9-110:17. — Conflicting descriptions in security agreement and financing statement.
“When there is a conflict between the financing statement on file and the security agreement as to the property involved, the latter prevails for the reason that no security interest can exist in the absence of a security agreement, and therefore a financing statement which goes beyond the scope of the agreement has no effect to that extent.”
Cain v. Country Club Delicatessen of Saybrook, Inc., 25 Conn.Sup. 327, 203 A.2d 441 (1964). Thus, the “may now have” language of the unsigned financing statement does not provide plaintiff with a security interest in the disputed items.
Plaintiff contends the disputed items were included within the security agreement because they were reasonably described therein. See § 50A-9-110, N.M.S. A.1953 (Repl.Vol. 8, pt. 2). Plaintiff contends this reasonable description is provided by “external evidence.” This “external evidence” consists of the unsigned financing statement and evidence at trial to the effect that Lucky Drilling Company mortgaged and plaintiff took, pursuant to the mortgage, security on all of the equipment of Lucky Drilling Company.
Plaintiff relies on Mountain Credit v. Michiana Lumber & Supply, Inc., 498 P.2d 967 (Colo.1972) and Security Bank & Trust Co. v. Blaze Oil Company, 463 P.2d 495 (Wyo.1970). Neither decision aids plaintiff because in each case the security agreement contained general language which reasonably described the items in dispute. In Mountain Credit the disputed item was a log-loader; the security agreement covered logging equipment and machinery used in logging operations. In Security Bank & Trust Co. the disputed items were miscellaneous items; the security agreement covered all machinery and equipment owned or subsequently acquired. In our case the security agreement does not contain expansive language as does the security agreement in the above two cited cases. Plaintiff’s security agreement neither refers to “now owned equipment” or to “all” equipment of Lucky Drilling Company.
A security agreement is effective according to its terms. Section 50A-9-201, N.M.S.A.1953 (Repl.Vol. 8, pt. 1). A security interest is not effective against third parties unless the debtor has signed a security agreement which contains a description of the collateral. Section 50A-9-203(1) (b), N.M.S.A.1953 (Repl.Vol. 8, pt. 1). The disputed items cannot be included within the security agreement by the “outside evidence” relied on by plaintiff because the disputed items are not described in the security agreement.
It is true, as the trial court found, that the filing of the financing statement was sufficient to put defendants on inquiry as to plaintiff’s security interest. This avails plaintiff nothing when the security agreement did not cover the disputed items. We hold that the security agreement did not cover the two disputed items.
(2) Jurisdictional issue on cross-appeal.
The cross-appeal by the plaintiff was not timely filed as required by Supreme Court Rule 7(2) [§ 21-2-1(7)(2), N.M.S.A.1953 (Repl.Vol. 4)].
“If such notice be served after, or within fifteen [15] days before, expiration of the time within which appeals may be allowed, the party so served may himself have an appeal or writ of error if he shall make application therefor within fifteen [15] days after such service.”
The final judgment in this case was entered in San Juan County District Court on May 19, 1972. The defendants’ appeal was filed on June 16, 1972, and served by mail on the same day. This service added three days to plaintiff’s time. Section 21-1-1 (6) (e), N.M.S.A.1953 (Repl.Vol. 4). Plaintiff’s notice of cross-appeal was mailed to opposing counsel on July 10, 1972 and filed with the court clerk on July 13, 1972. Plaintiff concedes the notice of cross-appeal was not timely. Daughtrey v. Carpenter, 82 N.M. 173, 477 P.2d 807 (1970).
The cross-appeal is dismissed and the case is remanded to the lower court for proceedings consistent with this opinion with respect to the defendants’ appeal.
It is so ordered.
WOOD, C. J., and HERNANDEZ, J., concur. | [
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ORIGINAL PROCEEDING ON CERTIORARI
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 948, 85 N.M. 240, 511 P.2d 566 be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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] |
OPINION
McMANUS, Chief Justice.
This case is before us on a writ of certiorari to the New Mexico Court of Appeals. In Hunt v. O’Cheskey, 512 P.2d 954 [Ct.App., 1973] it was decided that the State of New Mexico may not tax income and gross receipts of Indians residing on a reservation when the income and gross receipts involved are derived solely from activities within the reservation.
In McClanahan v. State Tax Commission of Arizona, 406 U.S. 916, 92 S.Ct. 1763, 32 L.Ed.2d 115 (1973), the court held that by imposing a tax on the income of Navajo Indians residing on the Navajo Reservation the State of Arizona had interfered with matters which the relevant treaty and statutes leave to the exclusive province of the federal government and the Indians themselves. Such a tax on income derived wholly from reservation sources was declared unlawful.
We believe the rule announced in Mc-Clanahan, together with logical inferences therefrom, is supportive of the action of the Court of Appeals, both with regard to taxation of income and gross receipts. The fact that the Hunts are Pueblo Indians is not a basis upon which Hunt should be distinguished from McClanahan. Mescalero Apache Tribe v. Jones, 411 U.S. 145, 93 S. Ct. 1267, 36 L.Ed.2d 115 (1973), may be distinguished because all activities in that case took place off the reservation. Also, the issues there were resolved by reference to Section 5 of the Indian Reorganization Act, 25 U.S.C. § 465, not here applicable.
Therefore, the writ of certiorari heretofore issued is hereby quashed.
OMAN, STEPHENSON, MONTOYA and MARTINEZ, JJ., concur. | [
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ORIGINAL PROCEEDING ON CERTIORARI
Ordered that petition for writ of certiorari be and the same is hereby denied.
Further ordered that the record in Court of Appeals Cause No. 1039, 85 N.M. 246, 511 P.2d 572 be and the same is hereby returned to the Clerk of the Court of Appeals. | [
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OPINION
HENDLEY, Judge.
Plaintiff, a quadriplegic as a result of a stroke, was awarded total disability benefits, medical expenses, and attorney fees under the Workmen’s Compensation Act. Defendants’ appeal raises the following issues: 1) whether there was substantial evidence to support the trial court’s finding on causation; 2) whether the plaintiff’s injury arose out of his employment; 3) whether the award of medical expenses for the care provided by plaintiff’s wife was excessive; 4) whether the district court erred in making evidentiary findings; 5) whether the district court clerk taxed costs inconsistently with the trial court’s ruling; and 6) whether the attorney fee award was an abuse of discretion. We affirm.
Defendants challenge the district court’s findings as being unsupported by substantial evidence. We review the evidence in accordance with the appropriate appellate standard regarding substantial evidence. That standard requires us to review the evidence in the light most favorable to support the findings. Duran v. New Jersey Zinc Co., 83 N.M. 38, 487 P.2d 1343 (1971).
Plaintiff worked as a construction worker at a power plant. He had high blood pressure before he began working for defendant Schneider, Inc. Plaintiff began to experience difficulties at Schneider when McMillan became the foreman. Plaintiff testified that he and McMillan had repeated disagreements over McMillan’s failure to follow safety rules. This testimony was corroborated by the testimony of Labossiere, a co-worker. Plaintiff claimed McMillan rushed the crew; plaintiff and McMillan also argued over the lack of “chokers” on the rigging, the overloading and positioning of cranes, the use of apprentices for tasks “in the air” for which they were inadequately trained, and the failure of McMillan to oversee the work and guard against unsafe situations. Plaintiff con fronted McMillan with his concerns and then tried to have something done through the shop steward.
Plaintiff also testified that he was extremely concerned about the safety situation because he had seen others killed in this type of work. About one and one-half weeks after McMillan became foreman, plaintiff started to have headaches. These headaches followed incidents where he became angry or upset at work. On one occasion, after a crane nearly tipped over, plaintiff got a severe headache and vomited.
On the day before Thanksgiving, plaintiffs crew was given the task of installing a large duct. The duct weighed seven or eight tons. According to plaintiff and Labossiere, McMillan insisted on using an improper method of installing the duct. Finally, on the third attempt, the duct was properly installed. The crew was so upset by this incident that they decided to walk off the job.
Before the crew had left the work site, the superintendent approached and attempted to calm them down, telling them that everything would be worked out when they returned on Monday. At that pont, McMillan approached and said, “Let’s settle this right now.” There was a verbal confrontation between plaintiff and McMillan. Plaintiff started to walk away and then suddenly collapsed. No issue was raised at trial or on appeal that plaintiff comes within the “going and coming” rule. See NMSA 1978, § 52-1-19. Plaintiff was taken to the hospital and, within twenty-four hours, was completely paralyzed.
Causation
Defendants claim there was insufficient evidence to support the trial court’s findings on causation. Defendants’ theory is that the cause of plaintiff’s stroke cannot be identified. They contend that the medical evidence established that there were certain “risk factors” that might have contributed to the stroke and that no one factor can be proved to have been the direct cause. Defendants also claim that plaintiff did not actually have a stroke at work. They contend that plaintiff was only suffering from the temporary effects of a transient ischemic attack when he collapsed at work, that he fully recovered from this event, and that the actual stroke, which was inevitable and which was not work connected, occurred while plaintiff was in the hospital. There was sufficient evidence upon which the trial court could have relied to reject these arguments.
Dr. Miller, a neurosurgeon, testified for plaintiff. Dr. Miller based his opinion upon the depositions and plaintiff’s medical history. Dr. Miller knew of plaintiff’s working conditions, his personal life, and his hypertension. Dr. Miller viewed plaintiff as a young man with hypertension who reacted severely to certain work episodes. Plaintiff’s headaches were transient episodes produced by painful spasms of the cerebral artery. On plaintiff’s last day of work, he “had the episode which has left him in his present condition.” Each transient episode contributed to plaintiff’s present condition, but the events on the last day of work produced “the straw which broke the camel’s back.” The plaintiff suffered a stroke at work, the effects of which progressed after he was taken to the hospital.
Dr. Miller felt that plaintiff was susceptible to stroke because of hypertension aggravated by work stress. It was probable, but not inevitable, that a stroke would have eventually occurred. However, if plaintiff had not been subject to acute stress at work, the stroke would certainly have been delayed and possibly averted altogether.
Dr. Miller described in detail the physiological process he believed produced plaintiff’s stroke. Anger produces “acute stress” which can cause blood vessels to spasm, raise blood pressure, and increase the coagulability of the blood. The blood flow is retarded when the thickened blood is forced to run through the narrowed blood vessel. In this event, a clot may form, and the area supplied by the blood vessel will die. In Dr. Miller’s opinion, this process began at work and continued after plaintiff had been taken to the hospital.
On cross-examination, Dr. Miller rejected defendants’ theory of causation. Defense counsel attempted to get Dr. Miller to admit that none of the risk factors for stroke could be isolated as a direct cause. Dr. Miller disagreed, stating that although various factors played a role in plaintiff’s stroke, the precipitating episode was the series of stressful events on the day of the stroke. Dr. Miller also expressly rejected the defense theory that plaintiff experienced only a transient attack at work. True, there was some recovery after plaintiff was taken to the hospital, but it was only superficial, due, perhaps, to some temporary collateral circulation. Even during this temporary recovery, plaintiff continued to have numbness, indicating that the stroke had begun at work.
Defendants’ appellate issues on causation are answered by existing New Mexico case law. A stroke causally connected to the worker’s job is compensable. Salazar v. County of Bernalillo, 69 N.M. 464, 368 P.2d 141 (1962). If work stress creates a physical injury, the injury is compensable. Little v. J. Korber & Co., 71 N.M. 294, 378 P.2d 119 (1963) (emotional upset caused heart attack); Salazar; Crane v. San Juan County, New Mexico, 100 N.M. 600, 673 P.2d 1333 (Ct.App.1983) (work stress caused high blood pressure which caused hemorrhage in eye). A preexisting condition, such as hypertension, which makes the workman more susceptible to injury, does not preclude recovery. Little v. J. Korber & Co. (arteriosclerosis); Salazar (hypertension); Bufalino v. Safeway Stores, Inc., 98 N.M. 560, 650 P.2d 844 (Ct.App.1982) (arteriosclerosis). If medical experts disagree on causation, it is up to the trier of fact to resolve the conflict. Crane (defendants argued that work and family stress were equally probable causes); Turner v. New Mexico State Highway Department, 98 N.M. 256, 648 P.2d 8 (Ct.App.1982); Bufalino.
Defendants also argue that when anger produces an injury, there has been no accident within the terms of the Act. This is incorrect. Little; Salazar. This argument would have merit if plaintiff’s anger had not been reasonably related to his employment (i.e., if it did not “arise out of” his employment or if it was not “in the course of” his employment). The trial court found that “[t]he tension and disputes were not a matter of personality conflicts personal to Mr. Shadbolt, but were disputes in good faith concerning what was in the best interest of the job and the men from a safety standpoint.” This finding is supported not only by the testimony of the plaintiff and Labossiere but also by the fact that the entire crew walked off the job on the day of the stroke. Given the court’s findings, there is no difference between this case and Little v. J. Korber & Co., where the workman was “storming” over an error in a charge ticket, or Salazar, where the workman threw a “tantrum” over the conduct of one of his probationers.
“Arising out of’
Defendants argue that the “[tjhreshold question in this case is whether plaintiff’s walking off or termination of his job was a ‘risk’ incident to plaintiff’s employment.” Defendants rely upon Kern v. Ideal Basic Industries, 101 N.M. 801, 689 P.2d 1272 (Ct.App.1984). In Kern, this Court held that a mental breakdown caused by termination from a job did not arise out of employment and, thus, was not compensable. A physician testified that Kern’s illness was caused “by the trauma that he suffered at the loss of the job, not based on the job itself.” The Court reasoned that, in order to satisfy the “ ‘arising out of’ ” requirement, the disability must have resulted from a risk that was “ ‘incident to’ ” the work itself, or “ ‘peculiar to the employment,’ ” or “increased by the circumstances of the employment.” Because termination of employment is something faced by all those who are employed, the risk of termination is not peculiar to any particular employment.
Defendants’ reliance on Kern is misplaced. If the trial court had found that the stress leading to plaintiff’s stroke was solely the result of anxiety over termination, the defendants’ argument would have merit. However, the trial court found that the stroke was a result of “on the job stress” resulting from a “safety-related incident.” The testimony set out above, that plaintiff’s stress was due to the dispute over the placement of the duct and prior disputes over other aspects of the job, is substantial evidence to support these findings. These disputes were not inevitable consequences of employment, but, rathér, were peculiar to plaintiff’s employment; i.e., the disputes were based on the work itself. Thus, unlike the situation in Kern, the stress arose from the performance of plaintiff’s duties of employment.
Compensation for Care Provided by Plaintiffs Wife
The judgment awarded $125,776.00 for “sub-professional nursing type care and maintenance to the date of trial ... as remdered [sic] by Darlene Shadbolt, wife of the claimant.” The trial court also directed the defendants to pay for all future reasonable medical and nursing/maintenance expenses arising from the stroke. Defendants do not dispute that Mrs. Shadbolt’s services are reasonable medical services, NMSA 1978, Section 52-l-49(A), for which they are obligated to pay. Under the majority view, a disabled workman can recover for necessary medical services rendered by a spouse. 2 A. Larson, The Law of Workmen’s Compensation § 61.13(d) (1983). Defendants dispute only the reasonableness of the amount awarded. They concede that Mrs. Shadbolt should be compensated for one eight-hour shift on the basis of the cost of licensed care, but they contend that, for the remainder of the day, she should be compensated only at a lower rate and only for the actual care provided. The argument that Mrs. Shadbolt should be compensated at a lower amount is based upon the contention that her services are unskilled. The argument that Mrs. Shad-bolt should be compensated only for actual work done is based upon the fact that, although care is required twenty-four hours a day, Mrs. Shadbolt is not actually performing tasks for her husband for the entire twenty-four-hour period.
Dr. Miller testified that plaintiff cannot take care of his personal needs. He needs help in communication, in being moved to prevent pressure sores, in washing and dressing, in being fed, and in being cleaned after bowel and urine evacuations. He also testified that plaintiff requires physical therapy. If plaintiff did not have a wife to care for him, he would require an attendant twenty-four hours a day. Dr. Miller testified that trained personnel would be preferable. In his opinion, Mrs. Shadbolt had done a good job in caring for her husband.
Dr. Cilo testified that plaintiff requires “total care” twenty-four hours a day. Dr. Cilo thought that plaintiff needed a caring, mature person who had common sense and who could learn the “basic skills” that were required. He believed that plaintiff did not require “professional nurses,” but that the level of care provided by a licensed practical nurse was appropriate. Dr. Cilo thought that it was inappropriate in a marital relationship for a wife to provide total care for a totally dependent husband because the wife should be able to have a life outside of the home. Without a wife to care for him, plaintiff would need someone there twenty-four hours a day.
Mrs. Shadbolt testified as to the care she provides for her husband. When plaintiff first returned home from the hospital, a nursing service took care of him for eight hours a day. Mrs. Shadbolt was working outside the home at that time, but cared for her husband for the remaining sixteen hours of the day. The Shadbolts could not afford the requisite $800 a week for the nursing service, so the service was discontinued, and Mrs. Shadbolt was forced to quit her job. Since then, she has provided care for plaintiff around the clock. Mrs. Shadbolt was trained at the Craig Rehabilitation Institute in tracheotomy and gastrostomy care, physical and speech therapy, bladder and bowel care, skin care, and oral hygiene. Every day, Mrs. Shadbolt cooks for, feeds, shaves, bathes, and dresses her husband. In addition, throughout the day, she exercises him, moves him from the bed to the couch and back again, administers physical therapy and breathing treatments (every four hours), takes care of his bladder and bowel functions, and shifts his position to prevent .pressure sores from forming. During the night, she awakens every three hours to turn him. Mrs. Shad-bolt testified that the care she provides for her husband has left her very tired, that she has little time left over to devote to her children, and that she has no time left for herself.
Defendants do not challenge the trial court’s finding on the hourly rate for semiskilled nursing services. Defendants do argue that plaintiff does not require a semi-skilled nursing attendant and that, therefore, it is inappropriate to compensate Mrs. Shadbolt at the rate a semi-skilled nurse would receive. The reasonableness of the cost of medical services is a question of fact. See Valdez v. McKee, 76 N.M. 340, 414 P.2d 852 (1966); Gregory v. Eastern New Mexico University, 81 N.M. 236, 465 P.2d 515 (Ct.App.1970).
The evidence set forth above supports the trial court’s finding that plaintiff required the assistance of a trained nursing assistant and that Mrs. Shadbolt provides those services. Indeed, defendants admit that compensating Mrs. Shadbolt at the rate for semi-skilled nursing care for one shift would be appropriate. Mrs. Shad-bolt’s testimony was that these services are required throughout the entire day. The trial court awarded $4 per hour for the period during the night when Mrs. Shad-bolt only has to turn her husband every three hours. The trial court’s determination of the rate of compensation of Mrs. Shadbolt’s services was supported by substantial evidence. See Novotny v. St. Paul United Methodist Church, 338 N.W.2d 266 (Minn.1983) (proper to compensate wife based upon applicable rate of skilled nursing care); City of Kosciusko v. Graham, 419 So.2d 1005 (Miss.1982) (appropriate to compensate wife for care of paraplegic husband at rate applicable to licensed practical nurses); Mamone v. Griege, 74 A.D.2d 656, 424 N.Y.S.2d 782 (1980) (award that compensated worker for two nursing shifts per day at rate applicable to registered nurses and one nursing shift per day at rate applicable to practical nurses affirmed).
Defendants’ next argument is that, even if the rate of compensation is reasonable, it was error to order compensation based upon eight-hour shifts instead of upon the time it actually takes to perform the necessary tasks. One problem with this argument is. that defendants did not request an appropriate finding. The more fundamental problem with this argument is that it ignores the reality of the situation: a semiskilled nursing assistant would be compensated at an hourly rate irrespective of how much care plaintiff required during that time.
In rejecting this same argument, the court in Texas Employers Insurance Association v. Choate, 644 S.W.2d 112 (Tex. App.1982), stated:
Mrs. Choate cannot set aside 40 minutes a day, take care of Choate and then go on to other things. She must be available to meet his needs during the entire time he is at home and awake. As the company’s own witness admitted, a third person hired to do what Mrs. Choate does could not be hired or compensated on the 40 minutes per day basis now advanced by the company; instead such a person would be hired by the day or the week and paid for the time during which he or she is available, not just the time spent actually helping Choate.
The court in Filion v. Art Himbault Trucking Co., 103 Mich.App. 471, 302 N.W.2d 892 (1981), rejected a similar argument with respect to a plaintiff’s parents:
Even if the specific functions performed by plaintiff and her husband could be accomplished in less than 8 hours a day, the parents must nonetheless be available throughout the day and night. There was no error in the award to plaintiff of compensation based on eight-hour periods.
The trial court properly awarded compensation based upon eight-hour shifts because that is how those services would have to be purchased if Mrs. Shadbolt refused to provide them. “That a ‘conscientious’ spouse may in fact perform these services does not diminish the employer’s duty to compensate him or her as the person who discharges the employer’s duty to provide them.” Kushay v. Sexton Dairy Co., 394 Mich. 69, 228 N.W.2d 205 (1975). See also Davis v. Stuart, 414 So.2d 593 (Fla.App.1982).
Improper Findings
Defendants ask that findings six through thirteen be stricken because they are evidentiary findings, not ultimate findings. Significantly, defendants do not claim that any specific ultimate fact was not found; they complain only that the trial court erred in making detailed evidentiary findings. Assuming that findings six through thirteen are merely evidentiary findings, reversal is not necessary. In a complicated case, it is not error for the trial court to include some evidentiary findings in the findings and conclusions. Stroope v. Potter, 48 N.M. 404, 151 P.2d 748 (1944). What are the ultimate and what are the evidentiary facts often presents a close question.
Defendants next complain that the trial court did not exercise independent judgment. Although most of the court’s findings were taken verbatim from plaintiff’s requested findings, the fact that some of defendants’ requested findings were adopted demonstrates that the judge read the requested findings and exercised independent judgment. Absent some indication of the abdication of judicial responsibility, even the adoption of verbatim findings is not error if they are supported by the record. Coulter v. Stewart, 97 N.M. 616, 642 P.2d 602 (1982); In re Hamilton, 97 N.M. 111, 637 P.2d 542 (1981); United Nuclear Corp. v. General Atomic Co., 93 N.M. 105, 597 P.2d 290 (1979).
Other Issues
Defendants challenge the amount of the costs which were taxed. We do not reach this issue because the docketing statement did not raise any issue with respect to costs. See State v. Aranda, 94 N.M. 784, 617 P.2d 173 (Ct.App.1980); State v. Jacobs, 91 N.M. 445, 575 P.2d 954 (Ct.App.1978).
Defendants challenge the award of $62,-500 attorney fees on three grounds: first, that the trial court’s finding number forty-eight contains incorrect present value figures, and that only one figure can be used; second, the evidence will not support the hourly rate utilized; and, third, the award is excessive when considered in light of awards in similar cases.
As to the first contention, the trial court found that “the present value of the award is $582,377.00 for compensation and accrued medical and related benefits, together with $5,260,879.00 as the present value of future medical and related care over the life expectancy of plaintiff * * * assuming a 40-year life expectancy.” The $582,377 represents the total of the present value of compensation of $112,503, accrued and unpaid medical expenses of $344,098, and accrued and unpaid nursing care provided by plaintiff’s wife of $125,776, discussed above.
While acknowledging that recovery of medical expense provides a basis for an award of attorney fees, Schiller v. Southwest Air Rangers, Inc., 87 N.M. 476, 535 P.2d 1327 (1975), defendants argue that eases considering present value have not included the value of medical expenses. One of the factors to be considered in awarding attorney fees is “the present value of the award.” Jennings v. Gabaldon, 97 N.M. 416, 640 P.2d 522 (Ct.App.1982). We do not understand that factor to include medical expense only where it represents the sole basis of the award. The present value relates to all benefits, including medical and related expenses.
We agree with defendants that the trial court could not consider future medical expenses. Board of Education of the Espanola Municipal Schools v. Quintana, 102 N.M. 433, 697 P.2d 116 (1985). However, the trial court’s independent determination of the present value of the award, $582,377, was correct and supported by the evidence. Thus, the portion of the finding reciting future medical expense of $5,260,-879 was unnecessary to support the judgment and its inclusion does not require reversal. See Specter v. Specter, 85 N.M. 112, 509 P.2d 879 (1973).
Defendants’ second challenge regarding the hourly rate requires a review of the tapes. The tapes of the attorney fee hearing have not been sent up. Even though it is the obligation of the district court clerk to transmit the tapes to this Court, NMSA 1978, Crim., Child.Ct., Dom. Rel. & W/C App.Rule 208(b) (Repl.Pamp. 1983), it is still the burden of the appellant to ensure that the tapes necessary for review are sent up. Berlint v. Bonn, 102 N.M. 394, 696 P.2d 482 (Ct.App.1985). In the absence of a record, there is nothing to review. State v. Hall, 103 N.M. 207, 704 P.2d 461 (1985).
Defendants’ third challenge invites comparison with awards in similar cases. Without citing to any authority, defendants claim there “are dozens of cases reported” in which lesser amounts have been awarded. We do not agree that comparison with other cases is the proper means to determine the reasonableness of the amount awarded. Each case must be judged on its own merits. We are satisfied that all of the Fryar I (Fryar v. Johnsen, 93 N.M. 485, 601 P.2d 718 (1979)) factors were considered and justified the award made. The complexity and intensity with which the case was tried prompted the trial court to note in one finding that “the adaquacy [sic] of the presentation in court tends to rise to the level of competition, and this was from both sides one of the most diligently researched and professionally presented New Mexico workmen’s compensation case [sic] to date.” Moreover, we observe that the award represents sixteen percent of the total present value which falls within the range discussed in Woodson v. Phillips Petroleum Co., 102 N.M. 333, 695 P.2d 483 (1985).
We will not overturn the award of attorney fees.
Plaintiff is awarded $4,000 plus gross receipts tax for attorney fees on appeal. Defendants shall bear the costs on appeal.
Affirmed.
IT IS SO ORDERED.
BIVINS and MINZNER, JJ., concur. | [
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OPINION
NEAL, Judge.
The children’s court dismissed an abuse and neglect petition against respondents. We reverse.
The dispositive issue in this case is whether a stipulation between the parties, which was approved by the children’s court judge, constitutes a consent decree under NMSA 1978, Child.Ct. Rule 59 (Repl.Pamp. 1982), or a temporary custody order under NMSA 1978, Child.Ct. Rule 54 (Repl.Pamp. 1982). The court below ruled that the stipulation was a temporary custody order, and because the state did not seek an adjudicatory hearing on the petition within the time limit of NMSA 1978, Child.Ct. Rule 60 (Cum.Supp.1984), it was required to dismiss the petition.
The Human Services Department (HSD) was given custody of the child by Las Cruces law enforcement officers on January 25, 1984. Two days later an ex parte custody order giving custody of the child to HSD was entered by the children’s court. The order was entered based on an affidavit by an HSD social worker stating the child, one year old at the time, was in critical medical condition, chronically malnourished, and neglected. The same day, an abuse and neglect petition was filed, naming the parents as respondents. A hearing was set for February 1, 1984. At the hearing, a stipulation was entered on the record. Respondents agreed to temporary custody in HSD, subject to the six-month statutory review of the children’s code. Respondents were given limited visitation rights. The purpose of the stipulation was to allow the child to receive required medical treatment. The court approved the stipulation, and granted custody to the state for a period not to exceed six months by an order entitled “Temporary Custody Order.”
On July 16, 1984, the children’s court attorney filed a motion for periodic review, including a statement of facts to request an extension of the custody and treatment plan. At the hearing on the motion, re spondents moved to dismiss the abuse and neglect petition, under Rule 60. Although the motion was opposed by the guardian ad litem and the children’s court attorney, it was granted by the court. The basis for the ruling was that the order based on the stipulation of February 7, 1984, was a temporary custody order under Rule 54, rather than a consent decree, and the state failed to hold a hearing within sixty days as required by Rule 60. The petition was dismissed with prejudice.
The court stated:
THE COURT: I think it’s tragic, but I don’t think I am in a position to ignore what the clear law is. The purpose of the hearing that was held on February 1st was for temporary custody. There was a notice sent out, not properly served, incidentally, but the notice said, We will have a hearing for temporary custody.
At that hearing, Mr. Arrieta made this statement — Well, first Mr. Suina said, “Yes, your Honor, I believe we have reached a stipulation as to temporary custody.” And he said that again. Nowhere was there any statement made to the Court that this was an adjudicatory hearing.
I would not have even given temporary custody had I not asked Dr. Galvan, or somebody, to assure me that there had been abuse, because you can’t even give temporary custody absent an abuse situation.
The law is clear that the only way you can extend the 60 days provided by Rule 60 is by order of the Supreme Court. I don’t have that authority. There was no adjudicatory hearing held within that time set forth in the Supreme Court rules. And the rule provides that if the adjudicatory hearing is not begun within the time specified, then the petition will be dismissed with prejudice.
I feel I have no choice except to dismiss the petition with prejudice. I do that with reluctance. I do not think that it’s in the best interest of this child, but Mr. Arrieta is legally correct. The petition will be dismissed.
The guardian ad litem filed a motion for rehearing which was orally denied by the court on August 9, 1984. Both the guardian ad litem and HSD appeal, and the two appeals were consolidated by this court. The sole issue is the effect of the stipulation of the parties transferring custody of the child to HSD. HSD and the guardian ad litem contend that the order was a consent decree under Rule 59, and had the effect of suspending proceedings in the case. Respondents argue that the order was under Rule 54, which provides for a hearing on the custody of the child pending an adjudicatory hearing. We hold that the order in effect was a consent decree under Rule 59.
Rule 59 provides for the entry of a consent decree in neglect cases subject to specified requirements. Rule 59(b) defines a consent decree as
an order of the court, after an admission has been made, that suspends the proceedings on the petition and in which, under terms and conditions negotiated and agreed to by the respondent and the children’s court attorney:
(1) the legal custody of the child is transferred to the department for a period not to exceed six months from the date of the consent decree; and
(2) the child is allowed to remain with the respondent or other person and that the respondent will be under supervision of the department for a period not to exceed six months.
The oral stipulation and temporary custody order meet the requirements of Rule 59(b)(1) in that legal custody of the child is given to HSD for a period not to exceed six months. The oral stipulation and temporary custody order also meet the requirements- of Rule 59(b)(2) in that the order provides that the child remain with HSD or another person (foster parents) and provides that respondents have supervised and limited visitation with the child during that six-month period.
The rule requiring an admission by the respondents, Rule 59(a), states: “The respondent may make an admission by: (1) admitting sufficient facts to permit a finding that the allegations of the petition are true; or (2) declaring his intention not to contest the allegations in the petition.” Before the children’s court accepts an admission or approves a consent decree, the court must address the respondent personally in open court and determine that:
(1) he understands the allegations of the petition;
(2) he understands the dispositions the court may make if the allegations of the petition are found to be true;
(3) he understands he has a right to deny the allegations in the petition and to have a trial on the allegations;
(4) he understands that if he makes an admission or agrees to the entry of the consent decree, he is waiving the right to a trial;'
(5) the admission or provisions of the consent decree are voluntary and not the result of force or threats or of promises other than any consent decree agreement reached.
Rule 59(c).
Respondents argue that the hearing and subsequent order did not comply with the dictates of Rule 59. They argue that they neither admitted to the allegations of the petition nor declared an intent not to contest the allegations of the petition; they simply appeared for a temporary custody hearing, and entered into a stipulation granting temporary custody to HSD.
At the hearing, the children’s court judge addressed the parties, asking them if they understood that they were entitled to a trial and if they were agreeing to the state’s taking custody of their child. The court asked respondents’ attorney if he was satisfied that respondents understood that by making the agreement, they were not going to have a trial. Further, the trial court explained to the parents:
The State is saying, You neglected this child, and that in neglecting this child you have in effect hurt her, and that because of that the child should be put m the custody of the State of New Mexico. That’s the purpose of this.
Soon after this statement, the children’s court judge directed respondents’ attorney to visit with his clients to determine if they fully understood the proceedings. After the recess, respondents’ attorney stated:
Your honor, I think the on part of [Mr. Doe], he has problems communicating. And he didn’t understand the big words you were using. I explained to him that it’s up to a period of six months. And when they are financially able to take care of her and have a home and are in a position to provide the attention that she needs, they will wish to file a petition for a hearing wishing to return custody to them at that time.
The children’s court also asked the pediatrician responsible for the care of the child whether he was satisfied that there had been neglect and abuse in the case. Dr. Galvan, a pediatrician who examined the child when she first arrived at the hospital, replied, “Yes.”
The record of the oral stipulation reveals that the court made numerous inquiries of respondents to insure that they understood the nature of the proceedings. The court recessed to allow them to consult with their attorney. In open court, the court determined that they understood the allegations of the petition, and the dispositions the court could make if the allegations were found to be true, that they had a right to deny the allegations and have a trial on the petition, that by agreeing to the stipulation they waived their right to trial, and that their agreement was voluntary. The court’s questions substantially satisfied the inquiry requirements of Rule 59(c).
Rule 59(e) states that the court must be satisfied that a factual basis exists for the current decree before entering judgment on the consent decree. This requirement was satisfied by the testimony of Dr. Galvan. He stated the child’s condition was the result of neglect.
Respondents, however, argue that they entered into a temporary custody order under Rule 54. Under Rule 60, such a hearing must be held within sixty days after the petition is served when the child is in the custody of HSD. As the hearing was not held within that time limit, they contend the court below was correct in dismissing the petition. NMSA 1978, Child. Ct.R. 60(e).
The hearing was for the purpose of determining temporary custody, according to the notice of hearing. Rule 54 requires a hearing within ten days of the filing of the petition; the hearing was held on February 1, 1984, and the petition was filed January 27, 1984. The children’s court attorney stated that the purpose of the hearing was to reach a stipulation on the temporary physical and legal custody of the child. Although nothing in Rule 59 prohibits the parties from entering a consent decree at the time of the temporary custody hearing, from the face of it, the hearing was for the ostensible purpose of determining temporary custody. Custody under a Rule 59 consent decree or adjudication is also temporary, however, as it is subject to the six-months review scheme of the statutes.
Respondents argue that the inquiries regarding the allegations of the petition were for the purpose of establishing the probable cause required under Rule 54 to grant temporary custody to HSD. They contend that the inquiries did not establish an admission under Rule 59. In this position they are incorrect. The parties entered a stipulation in which respondents did not contest the allegations of the petition. They agreed with the court’s assessment that “in neglecting this child you have in effect hurt her.” Rule 59(a)(2) defines an admission as a declaration not to contest the allegations of the petition. We hold the admission requirement was satisfied. See State v. Doe, 92 N.M. 354, 588 P.2d 555 (Ct.App.1978), in which a motion for a consent decree in a delinquency proceeding stating that the child did not object to the decree was deemed an admission sufficient to authorize a consent decree.
Respondents also argue that the order and stipulation could not be a consent decree because a disposition under NMSA 1978, Child.Ct. Rule 62 (Repl.Pamp.1982) was not entered. However, because there was a consent decree, no adjudicatory hearing was needed, and no disposition other than the stipulation and order were required.
In construing the decree, we must consider the record as a whole. See Lemon v. Hall, 97 N.M. 429, 640 P.2d 929 (1982). In context, we are persuaded the order should be construed as a consent decree under Rule 54. Rule 54 allows custody dispositions pending an adjudication on the petition. Only a consent decree or a disposition following a hearing is subject to a six-month review as set out in the agreement of the parties. Respondents agreed to place the child in the state’s custody “subject to the six-month statutory review process of the Children’s Code.” The stipulation clearly indicates the parties agreed to a hearing before the child could be returned to respondents. Consent judgments are construed as a contract between the parties, not as a judicial determination. Owen v. Burn Construction Co., 90 N.M. 297, 563 P.2d 91 (1977). A temporary custody order requires an adjudicatory hearing within sixty days. Had that been the intent of the parties at the time of the stipulation, it is difficult to understand why they agreed to the longer six-month review process.
Respondents also point to the title of the order, “Temporary Custody Order,” and argue the fact that HSD’s attorney sought the six-month review under NMSA 1978, Child Ct. Rule 45 (Repl.Pamp.1982) disqualifies the stipulation as a consent decree. Such an argument puts form over substance. Reviews under NMSA 1978, Section 32-1-38.1 (Cum.Supp.1984) and Rule 45 are substantially the same. The motion was made within six months, as provided in both the statute and the rule. The fact that the order was called a temporary custody order is not dispositive, when all the circumstances are taken into account.
We, therefore, remand to the children’s court for proceedings consistent with our determination that the order in question is a consent decree under Rule 59.
IT IS SO ORDERED.
ALARID and MINZNER, JJ., concur. | [
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] |
OPINION
ALARID, Judge.
Kathy Roney (plaintiff) appeals the trial court’s dismissal of her complaint against Siri Yogi, Siri Brotherhood, 3HO Foundation, and the 3HO Foundation of New Mexico (defendants). The complaint was dismissed, with prejudice, on the basis that it was not timely filed under the applicable statute of limitations, NMSA 1978, Section 37-1-8. We reverse and remand.
ALLEGATIONS OF THE COMPLAINT
Plaintiff filed suit on November 23, 1983. She alleged that she was a former member of the Sikh Dharma Brotherhood religion (Sikhs). Siri Yogi, according to the complaint, is the religious and administrative head of the Sikhs; the Siri Brotherhood manages the religion’s activities and instruction; and the 3HO Foundations also supervise and carry out the religion’s activities and instructions.
Plaintiff alleges that a specific teaching of Siri Yogi held that women were inferior to men, and must be submissive to men. Plaintiff was specifically indoctrinated with these teachings of “female submissiveness.” Furthermore, Siri Yogi told plaintiff that her “personal, spiritual and psychological ... problems were centered in her ovaries, and that they therefore must be cut____”
The Complaint relates that “on or about the month of December, 1976, plaintiff was personally directed by Siri Yogi to have an operation called a laparoscopic tubal ligation,” which she had performed. As a result of the procedure, plaintiff claims she was made irreversibly sterile.
The order given by Siri Yogi to have the operation was made during a thirty-day food fast, also ordered by Siri Yogi, which fast continued through the day of surgery. Additionally:
[Pjlaintiff was further physically and psychologically debilitated at said time and place by the physical regimen, isolation, manipulation, indoctrination, and mind and psychological control tactics of defendant Yogi, which were carried out both by himself and by other members of the Sikh religion, and the defendants Brotherhood and 3HO, under Yogi’s direction and control, and which tactics in fact rendered plaintiff incapable of understanding or perceiving the nature of what she was doing or its consequences, and which deprived her of free will. (Emphasis added).
Plaintiff alleges that her lack of free will and comprehension concerning “the damages defendant had caused her initially occurred and then continued for at least a year and a half after she left the Sikhs on November 25, 1980” as a result of the indoctrination and other mind and body control techniques practiced upon her.
Plaintiff concludes that defendants’ conduct was fraudulent, outrageous, and in breach of their duties as “spiritual counselors” of plaintiff. As a direct and proximate result of defendants’ conduct, plaintiff alleges she has suffered severe and permanent physical injury “in the nature of a tubal ligation, irreversibly rendering her sterile, and she has suffered and will continue to suffer severe psychological and mental pain, anguish and distress attendant to her physical injury____”
DISCUSSION
The sole issue on appeal is the propriety of dismissal of the complaint on the basis of the statute of limitations, Section 37-1-8. Section 37-1-8 provides that “[ajctions must be brought ... for an injury to the person ... within three years.” Neither party disputes that plaintiff’s claim for relief falls within this section. Defendants’ argument, which the trial court accepted, is that the injury complained of, the compelled ligation, occurred in 1976, but that the complaint was not filed until 1983, or almost four years after the statute had run. Plaintiff argues, however, that the complaint alleges defendants’ fraudulent concealment of her cause of action. Plaintiff contends that the face of the complaint alleges that the statute of limitations did not begin to run until a year and a half after November 25, 1980, when she regained her “free will and comprehension concerning the damages defendants caused her____” Plaintiff concludes that it was improper for the trial court to dismiss under these allegations.
Defendants’ motion to dismiss was filed under NMSA 1978, Civ.P.R. 12(b) (Repl.Pamp.1980). Because the motion tests the legal sufficiency of the claim, as opposed to the facts which support it, we treat the allegations of the complaint as true for the purpose of reviewing the dismissal. See Roybal v. White, 72 N.M. 285, 383 P.2d 250 (1963); Hardin v. Farris, 87 N.M. 143, 530 P.2d 407 (Ct.App.1974). The allegations depict a relationship between plaintiff and defendants based on the Sikh religion. Defendant Yogi directed the lives of religious members, and preached the spiritual directives of the religion personally, and through the activities of the other defendants. Plaintiff was a believer and follower of the religion, and submitted herself to the spiritual guidance of defendants. Plaintiff alleges a confidential relationship existed between herself and defendants.
To toll the statute of limitations under the doctrine of fraudulent concealment where a confidential relationship exists, plaintiff has the burden of showing (1) that defendant, or defendants, knew of the alleged wrongful act, and concealed it from plaintiff, or had material information pertinent to its discovery which they failed to disclose, and, (2) that plaintiff did not know, or could not have known, through the exercise of reasonable diligence, of her cause of action within the limitation period. Kern v. St. Joseph Hospital, Inc., 102 N.M. 452, 697 P.2d 135 (1985); Hardin. We look to the complaint to see if fraudulent concealment has been alleged under this standard.
? claims that defendants knew of the ligation because they ordered her to undergo the operation. Plaintiff also alleges that she did not comprehend that any wrongful actions had been taken against her until a year and a half after leaving the Sikhs. Because she alleges that the continuation of her “lack of free will and comprehension” was a direct and proximate result of defendants’ mind and body control techniques, she is, in effect, also alleging that she could not have reasonably known of her cause of action within the statutory period. The allegation that defendants’ techniques rendered her “incapable of understanding or perceiving the nature of what she was doing or its consequences ...” demonstrates, on the face of the complaint, that plaintiff was unaware of the function and effects of a litigation, and was also in no mental condition to perceive the extent and effects of defendants’ mind and body control techniques. It is clearly alleged, furthermore, that defendants knowingly engaged in their control techniques in order to implement the doctrine of “female submissiveness.” The face of the complaint does, therefore, allege that defendants concealed plaintiff’s cause of action through mind and body control.
Under these circumstances, and in the absence of an evidentiary hearing, the trial court erroneously dismissed plaintiff’s complaint on the basis of the statute of limitations. The trial court has not considered whether a cause of action exists for the alleged wrongs complained of, nor have we, and we express no opinion.
Reversed and remanded with instructions to reinstate plaintiff’s complaint on the trial docket. Defendants shall bear the costs on appeal.
IT IS SO ORDERED.
NEAL and BIVINS, JJ., concur. | [
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OPINION
DONNELLY, Chief Judge.
Defendant appeals his conviction of attempted criminal sexual penetration in the second degree, aggravated assault, and false imprisonment. Two issues are raised on appeal: (1) whether defendant was denied a fair trial when the trial court refused to grant a continuance to enable defendant to pursue discovery; and (2) whether the trial court erred in refusing to allow defendant to impeach the victim with her prior criminal convictions. We affirm.
FACTS
Defendant was indicted on October 18, 1983 for attempted rape, aggravated assault, and false imprisonment committed on October 6, 1983. On March 6, 1984, defense counsel wrote a letter to the attorneys representing Hubbard Broadcasting (KOB) requesting that KOB disclose all videotapes and information they had about the case. Mai Pham, a reporter for KOB, had interviewed the victim shortly after the incident and KOB aired a one-minute segment about the incident sometime thereafter on the evening news.
Numerous pre-trial hearings were held on the question of whether defendant was entitled to information about the case obtained by news reporter Mai Pham. The chronology of pertinent events is as follows:
October 18, 1983: Defendant indicted for alleged offenses committed on October 6, 1983.
March 6, 1984: Letter to KOB attorneys from defense counsel requesting disclosure of information.
March 13, 1984: Trial setting on trailing docket for week of April 2, 1984.
March 27, 1984: Motion for discovery of KOB information; Hearing on the motion set for March 30.
March 29, 1984: Subpoena duces tecum for Mai Pham pertaining to the March 30th hearing.
March 30, 1984: Motion for discovery and subpoena duces tecum of Pham declared moot by defense counsel because KOB agreed to make videotape news report available to defense counsel; Videotape subsequently viewed by defense counsel.
April 10, 1984: Motion to compel Mai Pham to make a statement; Hearing on the motion set for April 11, 1984.
April 11, 1984: Subpoena of Mai Pham for April 11 hearing; Judge does not rule on whether the April 11 subpoena was properly served; Judge ruled that interview of Pham by defense counsel should be arranged immediately but refused to order that a deposition be taken; Interview with Pham held April 11.
April 13, 1984: Subpoena duces tecum of Pham issued for April 16 trial; Motion filed to quash subpoena by KOB.
April 16, 1984: Motion to take Pham’s deposition; Motion hearing held; Judge refused to order Pham to do anything but stated that she would be subject to any subpoenas requested by defense counsel.
April 17, 1984: Defendant failed to show up for trial.
April 20, 1984: Trial judge ruled (in open court) that all of defendant’s motions filed before April 17 are moot due to defendant’s failure to show up for trial on April 17; Judge warned that formal discovery was not requested until April 10 and that Pham may be deposed, but it is defense counsel’s burden to request it; Judge allowed deposition of Pham to be scheduled the morning before trial on April 23; Arrangements made for Pham’s deposition to be conducted at 4:00 p.m. that day — defense counsel failed to appear; Defense counsel decided not to reschedule for April 21.
April 23, 1984: Trial commenced; Judge ordered Pham to be available for trial.
April 24, 1984: Court ordered Pham to appear at the second day of trial; Defense counsel decided not to call Pham as a witness; Defendant found guilty of charged offenses.
I. DISCOVERY
Defendant argues that the trial court’s denial of his motion for a continuance denied him of a fair trial. Defendant claims that he is entitled to depose Mai Pham and compel her to disclose any notes she might have concerning her interview with the victim.
Discovery in criminal cases is governed by NMSA 1978, Crim.P.Rule 29 (Cum.Supp.1984). Rule 29(a) provides:
[wjithin ten days after request by a party, any person other than the defendant, whose testimony may be material and relevant to the offense charged shall give a statement. * * * If the district court finds that the testimony of the witness may be material and relevant to the offense charged, the district court may issue a subpoena compelling the witness * * * [to] give a statement relating to the offense charged. [Emphasis added.]
Rule 29(a) vests the trial judge with discretion in compelling discovery of witnesses. The rule states that a witness “shall” give a statement within ten days of a request by counsel to do so, but also provides that the court “may” order a witness to make a statement if it may be material and relevant to the offense charged. The judge is thus left with discretion to order or not to order a statement from a witness.
The granting of discovery in a criminal case is a matter peculiarly within the discretion of the trial court. State v. Beard, 74 Wash.2d 335, 444 P.2d 651 (1968). A trial judge’s denial of a defendant’s discovery requests will be reviewed according to an abuse of discretion standárd. State v. Pruett, 100 N.M. 686, 675 P.2d 418 (1984). The defendant must show that the trial court’s denial of a continuance for further discovery (1) was an abuse of discretion, and (2) injured or prejudiced him. Id.
The supreme court in State v. Pruett found that because the defendant failed to show that information from potential witnesses would assist his defense, the trial court had not abused its discretion in failing to grant a continuance. The defendant in the present case has failed to meet this burden. He has failed to show how further information from Pham would assist his defense. In addition, the record shows that defense counsel was allowed to fully interview Pham on April 11, but later decided not to call Pham as a witness at trial after the judge ordered her to be available at trial. Defense counsel’s decision not to call Pham at trial indicates that her testimony would not have assisted the defense. Whether Pham knew of matters not touched on in the interview which may have benefited the defense is pure speculation. A judge’s judicial discretion is circumscribed by the reasonableness of counsel’s request since “mere ‘fishing expeditions’ are not to be countenanced * * *. [Discovery is proper where the information] would be seriously considered by the trier of fact in determining guilt or innocence.” State ex rel. DeConcini v. Superior Court, Pima County, 20 Ariz.App. 33, 509 P.2d 1070, 1072, 1074 (1973), overruled, State v. Superior Court, Pima County, 132 Ariz. 374, 645 P.2d 1288 (1982).
Furthermore, criminal defendants do not have a constitutional right to discovery. Weatherford v. Bursey, 429 U.S. 545, 97 S.Ct. 837, 51 L.Ed.2d 30 (1977); see also State v. Herrera, 92 N.M. 7, 582 P.2d 384 (Ct.App.), cert. denied, 91 N.M. 751, 580 P.2d 972 (1978). Pre-trial discovery in favor of a criminal defendant is not required by due process. Jones v. Superior Court of Nevada County, 58 Cal.2d 56, 22 Cal.Rptr. 879, 372 P.2d 919 (1962) (en banc); see also State v. Orona, 92 N.M. 450, 589 P.2d 1041 (1979).
In the present case, defense counsel has not made any showing that further discovery of Pham would in any way benefit the defense. Defendant's argument that the court’s failure to order that Mai Pham be deposed constituted prejudicial error is without merit. The burden is upon defendant to establish prejudice. See State v. Perrin, 93 N.M. 73, 596 P.2d 516 (1979).
Defense counsel was allowed a full interview of Pham on April 11, 1984. At that time, defense counsel was permitted to ask Pham any questions they wished about the case. Defendant does not make any claim on appeal that Pham refused to cooperate during this interview. Defendant’s claim of prejudice arises from the court’s refusal to order the deposition of Pham and continue the trial to a future date. NMSA 1978, Crim.P.Rule 29(b) (Cum.Supp.1984) provides:
Upon motion * * * the district court may order the taking of the deposition of any person * * * upon a showing that his testimony may be material and relevant to the offense charged, that it is necessary to take his deposition to prevent injustice, that the taking of a statement is inadequate to preserve the testimony in question, and that the person may be unable to attend trial or a hearing. [Emphasis added.]
Rule 29(b) vests the trial judge with ample discretion in finding that he “may order” a deposition subject to many considerations: materiality, relevancy, necessity, justice, and witness availability.
New Mexico appellate courts have also ruled that, in criminal cases, depositions are only to be used in exceptional circumstances. McGuinness v. State, 92 N.M. 441, 589 P.2d 1032 (1979); State v. Barela, 86 N.M. 104, 519 P.2d 1185 (Ct.App.1974). In addition, defendant’s right to depose a witness is not a constitutional right. Annot., 2 A.L.R.4th 704 (1980). Courts may deny a defendant’s request to depose a witness if there was an unreasonable delay in filing a motion for a deposition. Id.
Defense counsel was assigned to the case on March 1, 1984. They initiated discovery requests in a letter to KOB on March 6, 1984. Defense counsel was informed of the case’s trial setting of April 2 on March 13, 1984. Although defense counsel formally requested discovery through a motion to the court on March 27, 1984, defense counsel informed the court on March 30, 1984 that this motion was moot due to KOB’s promise to make Pham’s videotaped report available to defense counsel.
Defense counsel then filed a motion on April 10, 1984, to compel Pham to make a statement. After a hearing in front of the trial judge on April 11, 1984, the court refused to order a deposition of Pham but stated that defense counsel should be allowed to interview her as soon as possible.
It was not until April 16, 1984 that defense counsel filed a motion to take Pham’s deposition. The original trial was set for April 17, 1984, but was rescheduled for April 23, when defendant failed to appear for the first trial. Although the judge never ordered the deposition of Pham, the court allowed a deposition of Pham to be scheduled between the discovery hearing on April 20, 1984 and the first day of trial April 23, 1984.
A deposition of Pham was scheduled the afternoon of Friday, April 20. Defense counsel failed to appear. When counsel for the respective parties attempted to reschedule for the 21st, defense counsel stated that they were not interested in deposing Pham that weekend. The court ordered Pham to appear at the trial on April 24, 1984. Defense counsel did not call her as a witness at anytime during the trial.
The above facts indicate defendant’s claim of error is without merit. Formal discovery was not requested until April 10 and the motion for Pham’s deposition was not made until April 16. The case was to go to trial in April. Defense counsel was appointed on March 1.
The trial judge voiced a concern about the six-month speedy trial rule when he ruled against a continuance. Defendant was indicted October 18, 1983 and the six-month period would have lapsed on April 18, 1984. The judge properly acted within his discretion in denying the continuance. State v. Pruett; see also State v. Perez, 95 N.M. 262, 620 P.2d 1287 (1980). Defendant has failed to show that the continuance prejudiced his defense. He failed to take advantage of the trial judge’s willingness to expedite the case (all pre-trial hearings were held within twenty-four hours of their request), and defense counsel decided not to proceed with Pham’s deposition a few days before trial or call Pham as a witness at trial. Defendant failed to pursue the avenues of discovery that were offered by the judge and other counsel in the case, or to show the existence of further information beneficial to the defense. We will not speculate as to prejudice to the defendant concerning information from Pham which was not elicited during her interview and not pursued by defense counsel a few days prior to trial.
Documents & Notes
Defendant also argues that he was prejudiced due to the court’s refusal to grant a continuance because he was unable to pursue finding out if Pham had notes from her interview with the victim. Defendant’s argument is without merit.
Documents in the hands of third parties, which are material and relevant to the case, may be inspected. State ex rel. DeConcini v. Superior Court, Pima County. However, discovery is allowed in a criminal case “after request” by a party. Crim.P.R. 29(a). Defendant could have served a subpoena duces tecum on Pham to force disclosure of all documents material and relevant to the case. A subpoena duces tecum must be obeyed if it is shown that the documentary evidence is relevant. C. Torcia, Wharton’s Criminal Procedure, § 382 (12th ed.1975).
Pham was served with three subpoenas:
1) Subpoena duces tecum for March 30th hearing, served March 29, 1984.
2) Subpoena for April 11 hearing, served April 11, 1984.
3) Subpoena duces tecum for April 16th trial, served April 13, 1984.
Without deciding if any of these subpoenas were properly served, the record indicates that defense counsel failed to fully utilize a subpoena duces tecum of Pham.
The March 29th subpoena was declared moot by defense counsel at the March 30th hearing. The hearing was discontinued due to defense counsel’s acknowledgement that KOB’s agreement to disclose the videotaped news report was sufficient for their discovery demands at the time.
The April 11th subpoena was not a subpoena duces tecum. Defense counsel merely wanted Pham to attend the April 11th hearing concerning defendant’s discovery motions. KOB argued that this subpoena was not properly served. The court did not rule on this issue and it was not contested by defense counsel.
The April 13th subpoena duces tecum was served to compel Pham’s appearance at the April 16th trial. The trial was continued to April 23rd because the defendant failed to appear. On April 20, the trial judge ordered that all motions filed before April 17 were now moot due to defendant’s failure to appear at trial.
We do not need to decide if the judge’s order concerning all motions prior to April 10th affected the validity of the April 13th subpoena. Pham was available as a witness on April 24, during trial. Defense counsel chose not to call her as a witness and question her about notes from the victim’s interview. Defense counsel also forfeited the opportunity to enforce a valid subpoena duces tecum of Pham during trial by not calling her to testify. Disclosure of prior statements by witness in criminal cases has only been compelled when witnesses are called to testify at trial. State v. Vigil, 87 N.M. 345, 533 P.2d 578 (1975) (defendant entitled to order directing the prosecutor to produce a statement made by a witness to the grand jury, when the witness is called to testify at trial).
The judge’s refusal to order a continuance was within his discretionary power. Defendant has made no showing that this was an abuse of discretion or prejudicial to his defense.
II. PRIOR CRIMINAL CONVICTIONS
Defendant argues that the trial court abused its discretion when it prevented defense counsel from questioning the victim at trial about her prior criminal record.
At a motion in limine hearing about the propriety of cross-examining the victim about her prior criminal convictions, the victim testified about her criminal record. Her convictions included:
1)July 1, 1981: DWI; Reckless driving; Allowing herself to be served alcohol as a minor ($200 fine, DWI school).
2) December 18, 1981: Allowing herself to be served alcohol as a minor (10-day incarceration).
3) January 18, 1982: Allowing herself to be served alcohol as a minor ($10 fine, 30-day incarceration).
NMSA 1978, Evid.Rule 609 (Repl.Pamp. 1983), enunciates the rule applied to the admissability of prior criminal convictions,
(a) For the purpose of attacking the credibility of a witness, evidence that he has been convicted of a crime shall be admitted * * * only if the crime (1) was punishable by death or imprisonment in excess of one year * * * and the court determines that the probative value of admitting this evidence outweighs its prejudicial effect to the defendant, or (2) involved dishonesty or false statement, regardless of the punishment.
Evidence Rule 609(a)(1) does not apply. None of the victim’s three convictions were punishable by death or imprisonment in excess of one year. Section (c), juvenile adjudications, also is not applicable. The victim testified at the motion in limine hearing that all of the offenses occurred after she had turned eighteen years old.
Defendant relies on Rule 609(a)(2) and argues that the three convictions were crimes involving dishonesty or false statement. He argues that either verbally or non-verbally, the witness asserted to another that she was above the legal drinking age and this is why she was served alcohol as a minor.
First, we must determine the meaning of “dishonesty or false statement” within the context of Rule 609(a)(2). The appellate courts in New Mexico have not fully defined the term or discussed the problem of how narrowly or broadly it will be used in particular cases.
In State v. Melendrez, 91 N.M. 259, 261, 572 P.2d 1267 (Ct.App.1977), the court defined crimen falsi as “[aj-crime less than [a] felony that by its nature tends to cast doubt on the veracity of one who commits it.” Albertson v. State, 89 N.M. 499, 554 P.2d 661 (1976). Prior misdemeanor convictions, not bearing on the witness’ veracity, are irrelevant to a witness’ credibility. Id. Also, it should be noted that erroneously admitting such evidence is reversible error. Judges must carefully rule on evidence to be admitted under Rule 609(a)(2) because an admonition of improperly admitted 609(a)(2) evidence cannot rectify the prejudices created in the minds of jurors. Id.
Examples of crimen falsi are acts of deceit, fraud, cheating, or stealing. State v. Melendrez; State v. Day, 91 N.M. 570, 577 P.2d 878 (Ct.App.1978). The Report of the Senate Committee on the Judiciary about federal evidence rule 609 (identical to the New Mexico rule) stated that:
[b]y that phrase [offense of false statement or dishonesty], the committee means crimes such as perjury * * * false statement, criminal fraud, embezzlement or false pretenses, or any other offense in the nature of crimen falsi the commission of which involves some element of untruthfulness, deceit or falsification bearing on the accused’s propensity to testify truthfully.
Federal case law embodies a comprehensive discussion of Rule 609(a)(2). The pivotal issue in the present case is whether the victim’s three criminal convictions involved crimes of dishonesty and false statement. Two approaches have been developed. First, an offense fits this definition if dishonesty or false statement is an element of the crime. United States v. Lewis, 626 F.2d 940 (D.C.Cir.1980). In the alternative, an offense meets the requirements of Rule 690(a)(2) if it is committed by fraudulent or deceitful means. United States v. Grandmont, 680 F.2d 867 (1st Cir.1982).
In the present case, we do not need to adopt either approach. Defendant failed to offer to the district judge copies of the statutes or Artesia city ordinances which were the basis of the three convictions and also did not offer evidence that the means of committing the offenses were dishonest or false. Without this tender before the trial court, the district judge could not have used either method of applying Rule 609(a)(2). See State v. Shafer, 102 N.M. 629, 698 P.2d 902 (Ct.App.), cert. denied, 102 N.M. 613, 698 P.2d 886 (1985) (judicial notice of a law which is incomplete or confusing is properly refused). Defense counsel is under the obligation to make an offer of proof in cases where the judge rules to exclude evidence. NMSA 1978, Evid.R. 103(a)(2) (Repl.Pamp.1983). When error is based' on the improper exclusion of evidence, an offer of proof is essential to preserve the error for appeal. Williams v. Yellow Checker Cab Co., 77 N.M. 747, 427 P.2d 261 (1967).
However, we do agree that “ ‘[dishonesty or false statement,’ was clearly intended by Congress ‘to denote a fairly narrow subset of criminal activity.’ ” United States v. Fearwell, 595 F.2d 771, 775 (D.C.Cir.1978). In addition, the unlawful possession or use of alcohol or drugs has been explicitly excluded from Rule 609(a)(2) classification by several federal and state courts. United States v. Lewis; United States v. Millings, 535 F.2d 121 (D.C.Cir.1976); Otto v. State, 398 N.E.2d 716 (Ind.App.1980); State v. Woolridge, 224 Kan. 480, 580 P.2d 1350 (1978).
The trial court did not err in refusing to allow defendant to impeach the victim concerning the three convictions proffered.
Defendant’s convictions are affirmed.
IT IS SO ORDERED.
BIVINS and ALARID, JJ., concur.
. Crimes in the nature of perjury, false statement, criminal fraud, embezzlement, and false pretense which involve some element of deceitfulness, untruthfullness, or falsification bearing on the witness’ propensity to testify truthfully. H. Black, Black's Law Dictionary, 335 (5th ed. 1979).
. NMSA 1978, Section 60-7B-l(B) (Repl.Pamp. 1981), provides that “[i]t is a violation of the Liquor Control Act for any minor to ... be served with any alcoholic beverages" without any requirement that the minor act dishonestly to make false statement. | [
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OPINION
FEDERICI, Chief Justice.
Plaintiffs-appellants, David and Sheila Roe (Roes), filed this action in the District Court of Chaves County in inverse condemnation to recover damages, including reasonable attorney fees and expenses, from defendants-appellees, the New Mexico State Highway Department (SHD), the New Mexico Commissioner of Public Lands (Commissioner) and Kent Nowlin Construction Company. Buena Vida, Inc. and United Continental New Mexico, Inc., also plaintiffs-appellants, joined the Roes in the suit, seeking damages for partial condemnation of their subdivision, which lies immediately adjacent to the gravel pit created by defendants on the land of the Roes.
After some discovery and various motion hearings, the trial court granted the Commissioner’s motion for summary judgment, in which the other defendants joined. The trial court held that the gravel belonged to the State of New Mexico under a reservation of “minerals” and ordered that any claim of plaintiffs not based on ownership of the gravel be dismissed without prejudice. Plaintiffs appeal. We reverse.
The issue we decide on appeal is whether the gravel on the subject property belongs to the surface estate owner or was reserved to the State of New Mexico under a general mineral reservation contained in the contract of purchase and the patent for the property.
The property is legally described as the Ek SE V4 of Section 4, Township 11 South, Range 22 East, N.M.P.M. in Chaves County, New Mexico. This land was conveyed to the State of New Mexico by the United States Government by Clear List No. 5748, dated March 27, 1915, approved by the Secretary of the Interior under Clear List No. 121, dated April 16, 1920. In August 1964, New Mexico Patent for State Land No. 2863 issued to Glaze M. Sacra pursuant to a contract for purchase. The Roes are the successors in interest to Glaze M. Sacra’s rights and interests in the subject land.
The “Application to Purchase” made by Mr. Sacra encompassing the subject property contained the following statement:
I further state that the land applied for herein is essentially non-mineral land, and that this application is not made for the purpose of obtaining title to mineral, including but not limited to caliche, sand and gravel, coal, oil or gas lands fraudulently but with the sole object of obtaining title to the surface of the land applied for. (Emphasis added.)
The purchase contract, however, simply stated that “the minerals therein shall be and are reserved,” and the patent reserved “to the State of New Mexico all minerals of whatsoever kind.”
In February 1981, the SHD obtained a Materials Lease from United Continental New Mexico, Inc., the Roes’ immediate predecessor in interest, which granted the SHD permission to enter upon the land and remove gravel, in return for compensation on a tonnage basis. This agreement was subsequently voided by the SHD. Later in 1981, the Commissioner issued a Sand and Gravel Lease on the subject land to the SHD. In return, the SHD agreed to pay the Commissioner fifty cents per ton of gravel removed. The SHD entered into a highway construction contract with Kent Nowlin Construction Company, which purportedly granted the company the right to enter upon the land to remove gravel. The gravel was used for highway building purposes. According to the SHD’s records, a total of approximately 174,000 cubic yards of processed gravel was expected to be removed.
The gravel is located on the surface of the land. There is no overburden. It is of “fair quality” and is quite common to the area which is the old watercourse of three rivers — the Pecos, the Hondo, and Black-water Draw. Gravel has been removed from the land to a depth of approximately 30 feet, and the bottom of the gravel deposit has not yet been reached. Prior to the destruction of the surface, natural vegetation grew on the land.
The Roes contend that they are the owners of the gravel removed from the surface; that the Sand and Gravel Lease issued by the Commissioner to the SHD is invalid; that the SHD could not grant to Kent Nowlin Construction Company any rights to the gravel; and that the actions of each defendant in connection with the removal of the gravel are wrongful, and constitute conversion and condemnation of the Roes’ property.
The Commissioner and the SHD have denied that the Roes own the gravel and allege that the gravel was reserved to the State in State Patent No. 2863. The Commissioner asserts that this reservation was made pursuant to 43 U.S.C. Section 870 (1982). Each defendant has denied that its actions in connection with the removal of the gravel were wrongful.
The trial court granted defendants’ motion for summary judgment for the follow ing reasons: first, the court believed that the conveyance of this property by the State was subject to a federal statute, 43 U.S.C. Section 870 (1982), which requires a state to reserve “coal and other minerals” when conveying the numbered sections granted to the states in support of the common schools; second, the trial court determined that the United States Supreme Court’s decision in Watt v. Western Nuclear, Inc., 462 U.S. 36, 103 S.Ct. 2218, 76 L.Ed.2d 400 (1983), which interpreted a similar mineral reservation under the Stock-Raising Homestead Act of 1916, 43 U.S.C. Sections 291-301 (1982), controlled on the issue of the proper interpretation of “coal and other minerals” under Section 870. The trial court erred in applying federal law rather than state law to the issues of this case.
The conveyance of this land is not subject to the provisions and limitations of Section 870. Section 870 provides, in pertinent part:
Subject to the provisions of subsections (a), (b), and (c) of this section, the several grants to the States of numbered sections in place for the support or in aid of common or public schools be, and they are, extended to embrace numbered school sections mineral in character, unless land has been granted to and/or selected by and certified or approved, to any such State or States as indemnity or in lieu of any land so granted by numbered sections. (Emphasis added.)
sfc $ * ¡{s *
(b) The additional grant made by this section is upon the express condition that all sales, grants, deeds, or patents for any of the lands so granted shall hereafter be subject to and contain a reservation to the State of all the coal and other minerals in the lands so sold, granted, deeded, or patented,- together with the right to prospect for, mine, and remove the same.
By its express terms, Section 870 applies only to the specific sections of land granted to the states for support of public schools, and does not apply to land which has been granted to and/or selected by and certified or approved * * * as' indemnity or in lieu of” school land. The limited application of Section 870 is emphasized in the following section, 43 U.S.C. Section 871 (1982):
Nothing contained in section 870 of this title is intended or shall be held or construed to increase, diminish, or affect the rights of States under grants other than for the support of common or public schools by numbered school sections in place, and said section shall not apply to indemnity or lieu selections or exchanges or the right after January 25, 1927, to select indemnity for numbered school sections in place lost to the State under the provisions of said section or any Acts, and all existing laws governing such grants and indemnity or lieu selections and exchanges are continued in full force and effect. (Emphasis added.)
The reasoning behind the limited application of Section 870 was explained by the Secretary of the Interior in a letter dated January 8, 1927, and addressed to the Chairman of the House Committee on Public Lands. This letter is quoted in full in the report of that Committee on Senate Bill 564, later enacted and now codified as 43 U.S.C. Sections 870, §71 (1982). H.R.Rep. No. 1761, 69th Cong., 2d Sess. (1927). In his letter, the Secretary says, referring to Section 2 of Senate Bill 564 (now codified as 43 U.S.C. § 871):
The concluding section of the substitute bill is designed to preserve and continue in full force and effect, and without change, the rights of the States under grants other than for the purpose of common or public schools, and as to indemnity, lieu selections, or exchanges. These matters are adequately covered by existing law, and if and when selections, indemnity, or exchanges are found by the Secretary of the Interior to be of the character and subject to the provisions of existing law governing same, same are approved or certified to the State by the Secretary of the Interior. This certifica tion or approval has been construed by this department and by the Attorney General as equivalent to a patent; that is, that after approval or certification it cannot be set aside except by proceedings in the courts on the ground of fraud. There is therefore no uncertainty as to such titles, but it was deemed advisable to make it clear in this bill that the provisions of all existing laws affecting such matters remain in full force and effect.
H.R.Rep. No. 1761 at 2.
The primary purpose in the enactment of Section 870 was to resolve disputes in the title to common school lands caused by the Interior Department’s policy of challenging a state’s title to any such land whenever minerals were later discovered thereon, regardless of how long ago the state’s title had vested. See S.Rep. No. 603, 69th Cong., 1st Sess. (1926); H.R.Rep. No. 1617, 69th Cong., 2d Sess. (1926). As the Secretary explained, however, there was no such uncertainty regarding the title to in lieu land. Section 870 therefore need not, and does not, apply to such lands.
The Committee report again emphasizes the limited scope of Senate Bill 564, stating:
It will be further noted that under the provisions of the act only those lands granted to the States for the benefit of their common or public schools are affected; that is to say, the numbered sections that were granted by Congress to the States are the only lands affected by the provisions of the bill.
H.R.Rep. No. 1761 at 3 (emphasis added).
? "numbered sections” which New Mexico was granted "for the support or in aid of common or public schools,” Section 870, as specified in Section 6 of the Enabling Act For New Mexico are Sections 2, 16, 32, and 36 of each township. Ch. 310, 36 Stat. 557 (1910) (codified as amended at NMSA 1978, Pamphlet 3) (Enabling Act). In this case the land on which the gravel pit is located is in Section 4. This land is not in one of the numbered “school” sections, and is therefore not subject to the provisions of Section 870.
The land was selected by the State in lieu of or as indemnity for, common school land. See Enabling Act § 6; 43 U.S.C. §§ 851, 852 and 854 (1982) (providing for such selections). This Court has not found any federal prohibition of, or limitation on the State’s right to sell or otherwise convey such lieu lands, comparable to the limitation which Section 870 imposes on the sale of numbered sections of common school land. Regardless of precisely how the State’s title arose, however, it is obvious that the land, simply by virtue of being in Section 4, is not a “numbered school section in place.” § 870. The express terms of Sections 870 and 871 clearly provide that Section 870 does not apply to this land. Since Section 870 does not apply, Watt v. Western Nuclear, Inc., 462 U.S. 36, 103 S.Ct. 2218, 76 L.Ed.2d 400 (1983), which construes under another federal act a mineral reservation similar to that contained in Section 870, is not controlling.
The question of the proper interpretation of the mineral reservation in the subject land is therefore not one of federal law, but solely of state law. Thus, this question is not controlled by a federal decision on a federal statute, but rather by the New Mexico Constitution, the Enabling Act, New Mexico statutes and New Mexico case law. N.M. Const, art. XII, § 2; The Enabling Act; NMSA 1978, §§ 19-1-1 to 19-15-10 (Repl.1985); Jensen v. State Highway Commission, 97 N.M. 630, 642 P.2d 1089 (1983), cert. denied, 459 U.S. 838, 103 S.Ct. 86, 74 L.Ed.2d 80 (1983). See also Burguete v. Del Curto, 49 N.M. 292, 163 P.2d 257 (1945); State ex rel. Otto v. Field, 31 N.M. 120, 241 P. 1027 (1925) (New Mexico Commissioner of Public Lands has complete control over State lands).
Generally, the cases in New Mexico are in agreement that sand and gravel are not included within the scope of a general mineral reservation contained in a contract of sale or patent. Jensen; Rickelton v. Universal Contractors, Inc., 91 N.M. 479, 576 P.2d 285 (1978); State ex rel. State Highway Commission v. Trujillo, 82 N.M. 694, 487 P.2d 122 (1971). Recently this Court overruled Trujillo to the extent that it conflicts with the United States Supreme Court’s Western Nuclear, because the land at issue in Trujillo was subject to the mineral reservation contained in the Stock-Raising Homestead Act of 1916, 43 U.S.C. Sections 291-301 (1982), which was construed in Western Nuclear. Champlin Petroleum Co. v. Lyman, 103 N.M. 407, 708 P.2d 319 (1985). As already explained, the property at issue in the present case is not subject to a federal act that would bring it within the scope of federal case law.
New Mexico case law is somewhat unsettled, however, as to the significance to be given the statement in the Application to Purchase. In Burris v. State ex rel. State Highway Commission, 88 N.M. 146, 538 P.2d 418 (1975), largely because of a similarly worded application, the Court held that the parties intended to reserve sand and gravel to the Commissioner of Public Lands. Rickelton, holding that gravel was not reserved, distinguished Burris based upon the specific provision concerning sand and gravel contained in the original “application to purchase” that apparently was not present in Rickelton. In Jensen this Court held that absent a specific contractual provision reserving sand and gravel, common sand and gravel were not “minerals” under a general mineral reservation contained in a contract of purchase or patent. Although Jensen distinguished Burris upon the mistaken belief that the specific sand and gravel provision in Burris was contained in the purchase contract, when in fact it was in the original application, the Jensen Court clearly intended that the language of a purchase contract or patent should control. An application is merely a request to purchase, and its provisions do not affect the title to the property. The title that passes is determined by the conveyances themselves, the purchase contract and the patent. For the State to reserve sand and gravel, a provision so specifying must be included in these conveyances. To the extent that Burris may be construed to be inconsistent with this opinion, it is hereby overruled.
In the instant case, we determine that although the original applicant for the Roes’ property did not apply for title to sand and gravel, such title nevertheless passed with the surface estate since sand and gravel were not specifically reserved by the purchase contract and patent. Based upon the undisputed facts in this case and the applicable New Mexico law, the trial court’s summary judgment in favor of defendants-appellees is reversed and the cause remanded for proceedings consistent with this opinion.
IT IS SO ORDERED.
SOSA, Senior Justice, and RIORDAN, J. | [
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OPINION
FEDERICI, Chief Justice.
This case arose as a diversity action in the United States District Court for the District of New Mexico. Plaintiffs Herbert and Margaret Tondre, husband and wife, brought the action to recover damages incurred as a result of husband’s fall from a loading dock on defendant’s premises. The complaint alleges that husband suffered permanent injuries from the fall, including the amputation of both legs. In addition to husband’s claim for damages, plaintiff wife claims damages for loss of consortium, sometimes stated as loss of normal society and companionship, of her husband.
Defendant moved the federal court to dismiss wife’s loss of consortium claim, or in the alternative for partial judgment, on the theory that New Mexico does not, under the facts in this case, recognize a cause of action for loss of consortium.
The federal court issued a certification request to this Court pursuant to NMSA 1978, Section 34-2-8 (Repl.Pamp.1981), requesting this Court to answer the question of whether New Mexico would recognize a claim for loss of consortium based on negligent injury to a spouse. The federal court also entered an order taking under advisement defendant’s motion to dismiss or for partial summary judgment pending the response of this Court to the certification request. This Court accepted the certification.
The question accepted by this Court on certification from the federal district court is as follows: Would New Mexico recognize one spouse’s claim for loss of consortium based on negligent injury to the other spouse? The answer under the facts in this case is that New Mexico would not recognize such a cause of action.
New Mexico courts have not in the past recognized a cause of action for loss of consortium under facts similar to those which exist in this case. In Roseberry v. Starkovich, 73 N.M. 211, 387 P.2d 321 (1963) the precise issue before this Court was whether a wife had a cause of action for loss of consortium for negligent injury to her husband. The Court in Roseberry stated,
So far as we have discovered, we have never been called upon to consider the right of either the husband or wife to recover for negligent injury to or loss of consortium * * *.
Appellant argues that if an intentional interference with consortium is actionable, why should not a negligent injury be equally cognizable at law? The best answer to the question is that while the one is a direct injury to consortium, a relationship entitled to protection under the law, the other is purely a coincidental result occurring without purpose or intent of the tortfeasor. * * * Most states, while allowing recovery by a wife for intentional interference with consortium, have no difficulty denying a recovery for negligent injury thereto.
73 N.M. at 215, 387 P.2d at 324 (emphasis added).
This Court, after reviewing numerous authorities further stated,
When the foregoing logic and reasoning, which we find . most convincing, is considered along with the uncertain and indefinite nature of a wife’s claim for negligent interference with her right of consortium; the nature of the recovery as discussed above; the possibilities opened for double recovery if the right is recognized; the fact that the legislature has not seen fit to speak on the subject; and the great weight of authority developed since 1950, we must conclude that the trial court was correct in dismissing the action.
73 N.M. at 218, 387 P.2d at 326. The Court recognized that the wife is an equal partner with the husband in modern society, and strongly implied that the same rule would apply for either spouse.
The Court reaffirms the result reached in Roseberry v. Starkovich and holds that New Mexico would not recognize a spouse’s claim for negligent injury to the other spouse.
IT IS SO ORDERED.
RIORDAN and STOWERS, JJ., concur.
SOSA and WALTERS, JJ., dissenting. | [
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] |
OPINION
RIORDAN, Chief Justice.
Curtis R. Foster (Foster) appeals the suspension of his dental license by the Board of Dentistry (Board). A hearing was held before the Board and Foster’s dental license was subsequently suspended for a period of fourteen days. Foster filed for review in the district court and his petition for review was subsequently denied and the Board’s decision upheld. We reverse.
Foster raises four issues on appeal. However, because the first issue is dispositive we do not address issues three and four. We address issue two in order to give guidance in future litigation of this type.
Foster’s first point on appeal is that the Board lacked jurisdiction to render its decision in suspending his license. A hearing was held before the Board on April 25, 1984 and subsequently concluded on May 3, 1984. On August 6, 1984, the Board issued its findings of fact, conclusions of law and decision and order suspending Foster’s license. On appeal, Foster argues that the Board lacked jurisdiction to issue its decision because under NMSA 1978, Section 61 — 1—13(B) (Repl.Pamp.1981) of the Uniform Licensing Act, the Board only had authority to render and sign its decision within ninety days after the hearing was completed. In Foster’s case, the Board’s decision was rendered and signed ninety-five days after the completion of the hearing.
Section 61-1-13(B) reads in pertinent part:
A decision based on the hearing shall be made by a quorum of the board and signed by the person designated by the board within sixty days after tfye completion of the preparation of the record or submission of a hearing officer’s report, whichever is later. In any case the decision must be rendered and signed within 90 days after the hearing. (Emphasis Added).
Foster argues that the Board’s failure to render and sign its decision under the terms of the Uniform Licensing Act, Section 61-1-13(B) makes its decision null and void. We agree.
The Board in the instant case is an administrative agency having only the power and authority delegated to it by the legislature. See e.g., Public Service Co. of New Mexico v. New Mexico Environmental Improvement Board, 89 N.M. 223, 549 P.2d 638 (Ct.App.1976). The language of Section 61-1-13(B) is unambiguous. It states that any decision of the Board must be rendered and signed within ninety days after the hearing date. It is undisputed that this was not done.
The Board reasons that its failure to render and sign its decision within ninety days was not prejudicial to Foster since Foster was served with the decision within the fifteen day time period prescribed under NMSA 1978, Section 61-1-14 (Repl. Pamp.1981). The Board suggests that, reading Section 61 — 1—13(B) and Section 61-1-14 together, it has a period of one hundred five days in which to render and sign a decision and notify the licensee of such decision. The Board argues that in the instant case Foster was served with a copy of the Board’s decision only ninety-seven days after completion of the hearing. The Board further argues that under Section 61-1-13(B) the requirement that the decision be signed within ninety days after the completion of the hearing is merely procedural, not jurisdictional, and to argue that the Board lost jurisdiction over Foster merely for failing to sign the decision within ninety days leads to the unintended result of having to start the proceedings against Foster all over again. The Board argues that such unnecessary duplication was not intended by the legislature for the mere failure by the Board to sign its decision within the ninety day time period prescribed by Section 61 — 1—13(B). We disagree.
It has been stated that:
Legislative intent is to be determined primarily by the language of the statute, and words will be given their plain and ordinary meaning unless a different intent is clearly indicated. When no contrary intent is indicated and the words are free from ambiguity, no other means of interpretation should be resorted to and there is no room for construction.
State v. Lujan, 103 N.M. 667, 670, 712 P.2d 13,16 (Ct.App.1985), cert. denied, 103 N.M. 740, 713 P.2d 556 (1986) (citations omitted).
The words of Section 61-1-13(B) are mandatory. There is no room for construing Section 61-1-13(B) and Section 61-1-14 together to give the Board one hundred five total days in which to render, sign and serve their decision upon Foster. Where rulings by administrative agencies are not in accord with the basic requirements of the statutes relating to those agencies, the decisions of the agencies are void. La Jara Land Developers, Inc. v. Bernalillo County Assessor, 97 N.M. 318, 639 P.2d 605 (Ct.App.1982). The ninety day period required under Section 61-1-13(B) expired on August 1, 1984. The Board’s decision was not signed until August 6, 1984, five days after the statutory requirement ended. Because the Board failed to take action within the required ninety day period, its decision is void and must be reversed. To rule otherwise would ignore the plain language of Section 61-1-13(B).
Foster also argues on appeal that the standard of proof utilized by the Board in determining that his license should be suspended was inappropriate. Foster argues that the charges against him should have been proven by clear and convincing evidence rather than a preponderance of the evidence. We disagree.
In New Mexico the standard of proof applied in administrative proceedings, with few exceptions, is a preponderance of the evidence. See e.g., State Department of Motor Vehicles v. Gober, 85 N.M. 457, 513 P.2d 391 (1973); Seidenberg v. New Mexico Board of Medical Examiners, 80 N.M. 135, 452 P.2d 469 (1969). As the above-cited cases illustrate, it is only where allegations such as fraud are involved or where the clear and convincing burden has been established by statute that such a higher burden is allowed in civil cases. See e.g., NMSA 1978, § 61-5-31(D) (Repl.Pamp. 1981); NMSA 1978, § 61-7-8(D) (Repl. Pamp.1981); NMSA 1978, § 32-l-55(H) (Cum.Supp.1985). We note that the above-cited cases and statutes are examples of the exception rather than the rule. We are not inclined to enlarge the area of the exception’s application. Therefore, we determine that the appropriate standard of proof for a hearing under Section 61-1-13 is by a preponderance of the evidence. We note again that we address this issue only to provide guidance in future litigation of this type. It is not necessary to our determination of the instant case.
The suspension of Poster’s license is reversed.
FEDERICI and WALTERS, JJ., concur. | [
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OPINION
NEAL, Judge.
This is an interlocutory appeal from a district court probate decision authorizing payment of estate taxes from the residuary of the estate. We reverse.
Anastasia T. Kyreazis died on November 26, 1981, leaving two executed wills, which divided her not insubstantial estate differently. At the time of her death, decedent was unmarried and her only survivors were seven nieces and nephews and a grandnephew. Under decedent’s first will dated September 3, 1981, she left property to her nephews and nieces and to the Anagnostou family. Under the second will dated November 18, 1981, decedent left real estate located in New Mexico and Greece to her nephew John Anagnostou and to Andreas Anagnostou and provided that proceeds from the sale of a hotel in Colorado should go to certain other nieces and nephews. Decedent’s second will specifically disinherited her niece Anna Anagnostelis. Decedent was an aunt to these litigants. Appellant Sultana Rounds is a residuary legatee. The two families entered into an agreement following decedent’s death in which they agreed to avoid a will contest and “pay the proportionate amount of estate and other taxes on the property which they actually receive whether by Will or under this agreement.” Rounds was not a party to the agreement.
The personal representative moved, on September 11, 1984, for an order authorizing payment of federal, state, and Greek estate taxes, as well as other costs, from the residuary of the estate. The taxes were in the approximate amounts of $67,-000.00 in United States tax and $30,000.00 in Greek estate tax for property owned in that country. The personal representative’s attorney, Charles Glass, appeared at the hearing and outlined the history of the case, which he indicated “is a factual background without objection and one that might even be stipulated to for the purposes of this motion.” No stipulation was formally agreed to. Rounds’ attorney had “nothing to say on the matter” at the hearing. No evidence was offered at the hearing — the entire history consisted of counsel’s statements. Rounds’ attorney objected to the motion on the grounds that it would deplete the residuary and that such payment would not carry out the intent of the will.
The district court found that “[bjased on the reading of the will and such,” the testator intended the taxes and debts be paid solely out of the residuary. The order, entered September 28, reads:
IT IS ORDERED that the payment of taxes heretofore made by the Personal Representative be and the same are herewith ratified and approved, the Court finding that the Will provides that all debts be paid by the estate; that the Testatrix intended debts to include taxes; that the Testatrix further intended the personal property consisting of cash be used to pay these debts rather than the real property or the Real Estate Contract and therefore the provision of § 45-3-916 [sic] N.M.S.Af.] 1978 relating to apportionment of taxes among devisees is not applicable.
Rounds moved for reconsideration of the order, and a second hearing was held on November 19, 1984. The parties presented argument and memoranda of law on the issues. The district court denied the motion for reconsideration on January 7, 1985, and certified the issue for interlocutory review. See NMSA 1978, § 39-3-4(A). Interlocutory review was granted on January 23, 1985.
Issue.
The legal issue raised on appeal is whether a direction in a will directing “that my funeral expenses and just debts be paid by my Personal Representative as soon after my death as is practicable,” alone or in conjunction with a series of specific bequests, is sufficient to overcome the statutory directive contained in NMSA 1978, Section 45-3-916(B), that, unless otherwise provided in the will, taxes shall be apportioned among all persons interested in the estate in proportion to the value of the interest each receives. This is an issue of first impression in New Mexico. We hold the language of the will directing payment of decedent’s “just debts” is insufficient to contravene the provisions of the statute, and that the district court erred in authorizing payment of estate taxes solely from the residuary estate.
Discussion.
The will in question contains no explicit provision as to the payment of taxes. It does contain a clause providing that funeral expenses and debts be paid as soon after death as is practicable. The will has various explicit bequest provisions.
Section 45-3-916(B) provides:
Unless the will otherwise provides, the tax shall be apportioned among all persons interested in the estate. The apportionment is to be made in the proportion that the value of the interest, subject to tax of each such person interested in the estate, bears to the total value of the interests, subject to tax of all such persons interested in the estate. The values used in determining the tax are to be used for that purpose. If the decedent’s will directs a method of apportionment of tax different from the method described in the Probate Code [45-1-101 to 45-7-401 NMSA 1978], the method described in the will controls.
This statutory provision was first adopted in 1975 N.M.Laws, ch. 257, § 3-916 as part of the Probate Code, and is identical to the analogous Uniform Probate Code provision. The Uniform Probate Code provision was based on an identical provision first adopted in 1958 in the Uniform Estate Tax Apportionment Act. An-not., 71 A.L.R.3d 247, 265-67 (1976). Several states have now enacted identical or similar clauses. Apportionment statutes have been enacted to relieve residuary estates from the entire burden of tax payments and to equitably apportion taxés among all persons benefited. In re Estate of Benton, 191 Neb. 324, 215 N.W.2d 86 (1974); In re Estate of Kelly, 41 Colo.App. 316, 584 P.2d 640 (1978); In re Estate of Ogburn, 406 P.2d 655 (Wyo.1965). The common law rule had provided that, unless otherwise provided by the testator, the residuary would, if sufficient, bear the entire tax burden. Ibid.
The statute is mandatory (“shall”) in requiring apportionment “[u]nless the will otherwise provides.” Other courts interpreting similar statutes have held that the apportionment statute is applicable unless the testator expresses a clear and unambiguous intent that legacies and devises be transferred without deduction for taxes. An intent to shift the burden of the tax will not be inferred from vague and uncertain language, and ambiguous language will be interpreted in favor of apportionment. In re Estate of Kelly; In re Estate of Armstrong, 56 Cal.2d 796, 17 Cal.Rptr. 138, 366 P.2d 490 (1961). The burden is upon the party contending against apportionment, here the personal representative, to establish that the testator intended no apportionment. In re Estate of Ogburn.
In construing wills the intent and meaning of a testator must be ascertained from the instrument itself. Gregg v. Gardner, 73 N.M. 347, 388 P.2d 68 (1963). This will does not even mention taxes, much less evidence a clear and unambiguous attempt to modify apportionment. In the absence of such language in the will, the case law is unanimous that apportionment applies. In re Estate of Armstrong; In re Estate of Kelly; In re Estate of Obgurn.
The language in the will relied upon by the personal representative states: “I direct that my funeral expenses and just debts be paid by my Personal Representative as soon after my death as is practicable.” Several courts have held that this language is insufficient to overcome the provision for apportionment. In re Doerfler’s Estate, 348 Ill.App. 347, 109 N.E.2d 230 (1952); In re Walbridge’s Estate, 170 Misc. 127, 9 N.Y.S.2d 907 (1939).
The personal representative argues that the court must not only look at the language of the will, but also the scheme of distribution, the circumstances of the testator when she wrote the will, and the modified distribution scheme reflected in the difference between the two wills. We disagree. Extrinsic evidence may not be considered when the will does not mention taxes, and so clearly falls within the operation of the statute.
Nothing in the statute or this opinion giving effect to the statute should be construed as limiting a testator’s right to modify the scheme of apportionment. The statute recognizes the testator’s right to modify. This testator could have easily evidenced an intent to modify by including a provision in the will directing the payment of all estate taxes first from the residuary estate. See Rasmussen v. Wedge, 190 Neb. 818, 212 N.W.2d 637 (1973). There was no such language in this will.
The personal representative’s reliance on Wollard v. Sulier, 55 N.M. 326, 232 P.2d 991 (1951), is misplaced. Wollard was decided under the common law rule which provided that tax liability was to be borne by the residuary, absent other direction. The Wollard court was not called upon to decide whether, under an apportionment statute, a direction to pay “just debts” intends payment of estate taxes solely out of the residuary. To the extent that the case does stand for this proposition, it was rendered inapplicable by the legislature’s adoption of the apportionment statute in 1973.
Finally, there is a procedural issue. The personal representative contends that the sole issue on appeal is whether the trial court abused its discretion in denying the motion to reconsider. We disagree. The district court certified the question addressed in the September 28 order, whether the will directives render Section 45-3-916 inapplicable insofar as payment of taxes is concerned. The fact that the certification language is contained in the order denying the motion for reconsideration is irrelevant. The legal consequence of this court’s review is the same even if the personal representative is correct. In view of the law on apportionment of estate taxes and the clear language of the statutes, the court should have denied the motion to pay taxes and granted the motion for reconsideration. As the court’s decision was contrary to law, it was an abuse of discretion not to have granted the motion for reconsideration.
Other related arguments raised by the personal representative are without merit. We reverse and remand for proceedings consistent with this opinion. Costs on appeal are to be borne by the appellees.
IT IS SO ORDERED.
DONNELLY, C.J., and WOOD, J., concur. | [
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OPINION
This matter having come before this Court after disciplinary proceedings conducted pursuant to NMSA 1978, Rules Governing Discipline (Repl.1985), wherein Attorney Torrence B. Harrison was found to have committed violations of nine (9) rules of the Code of Professional Responsibility, involving carelessness, negligence, invasion of a trust account and the failure to maintain appropriate records, the Court adopts the Disciplinary Board’s findings and conclusions and accepts the Board’s recommendation to place Harrison on indefinite suspension.
In September 1984, Harrison settled a medical malpractice case for his client, Ezekiel Gonzales. He sent Mr. Gonzales the $5,000 settlement check, asked his client to endorse and return the check to him, and promised to remit two-thirds of the amount to Mr. Gonzales as soon as the check had cleared. When Mr. Gonzales did not receive the two-thirds portion of the $5,000 settlement amount by early December 1984, and was unable to locate Harrison, he filed a complaint with the Disciplinary Board. Shortly after being contacted by disciplinary counsel, Harrison sent Mr. Gonzales a check for $3,500 and subsequently sent him an additional check in the amount of $573.34. In a. letter responding to disciplinary counsel’s inquiry, Harrison blamed the delay on changes in staff and office arrangements.
In the meantime, disciplinary counsel subpoenaed the bank records of Harrison’s trust account for the period of October through December 1984. The records indicated that the Gonzales check had been deposited in the trust account on October 4, 1984, and that no other deposits had been made until mid-December. The balance in the trust account as of November 30, 1984, was $28.67. The bank records also showed that during this period Harrison had written forty-one (41) checks for his personal use to pay rent, buy groceries, dine at various restaurants and meet other personal expenses. These checks totaled $4,677.76.
Harrison filed no answer to the charges as specified before the Disciplinary Board and the allegations were deemed admitted by the Board pursuant to NMSA 1978, Disc.Brd. P.R. 10(c)(2) (Repl.1985). Harrison’s conduct is violative of NMSA 1978, Code of Prof.Resp.Rules 1-102(A)(3), (4) and (6) 7-101(A)(3), 9-102(A), 9-102(B)(l), (3) and (4) (Repl.1985).
A hearing was conducted to consider facts in mitigation of Harrison’s conduct and he appeared at that time. Harrison’s response to the charges was that during this same period, he was suffering from alcoholism and simply was not keeping any records of his accounts. He had no other bank account at the time and wrote checks on the trust account for his own use against the portion of the settlement check constituting his fee. He allegedly forgot that he had not forwarded Mr. Gonzales’ mone.y to him and because of his failure to maintain records did not realize that he had withdrawn his client’s money as well as his own. When he did realize this, he borrowed money and sent it to Mr. Gonzales immediately. Harrison also stated that he had obtained some treatment for his alcoholism after this occurred, but he also admitted he had not become totally abstinent.
Of concern to the Disciplinary Board and this Court are the violations of NMSA 1978, Code of Prof.Resp., Rule 9-102. As a fiduciary, an attorney holds a position of trust and must segregate and keep meticulous records pertaining to all funds belonging to his clients. Even if Harrison had not invaded his client’s funds, he would have still been in violation of this rule for his failure to promptly forward Mr. Gonzales his share of the settlement proceeds, comingling these funds, and his lack of any records regarding the money in this account.
Ordinarily, such misconduct would warrant disbarment. The hearing committee and the Disciplinary Board in this instance, however, found that Harrison’s actions were mitigated by several factors. He had had no other complaints filed against him for any reason. He did not deny his misconduct and, as soon as he realized what had occurred, promptly took steps to forward to his client the money he was owed. There is also some evidence that Harrison’s misconduct was directly related to his alcoholism. While none of these factors excuse this kind of unethical conduct, the Disciplinary Board may consider these matters when determining the type of sanction to be imposed. For this reason, the Court accepts the Disciplinary Board’s recommendations in this case.
IT IS THEREFORE ORDERED that Torrence B. Harrison be and hereby is suspended indefinitely from the practice of law pursuant to NMSA 1978, Rules Governing Discipline, Rule 11(a)(3) (Repl.1985).
IT IS FURTHER ORDERED that should Harrison seek readmission to the practice of law pursuant to NMSA 1978, Rules Governing Discipline, Rule 19(b)(2) (Repl.1985), he must first file with this Court a petition and affidavits showing (a) that he is a recovering alcoholic and is participating in an Alcoholics Anonymous program on a regular basis or other approved alcohol treatment program on a regular basis (b) that he has taken and received a passing grade on the Multi-State Professional Responsibility Examination given in New Mexico, and (c) that if readmitted, he will be practicing law under the control and supervision of a member of the State Bar of New Mexico approved by the Disciplinary Board for a period of not less than one year.
IT IS FURTHER ORDERED that the Clerk of the Supreme Court forthwith strike the name of Torrence B. Harrison from the roll of those persons permitted to practice law in New Mexico and that this Opinion be published in the New Mexico Reports and in the State Bar of New Mexico News and Views.
The costs of this proceeding in the amount of $345.67 are assessed against Harrison and must be paid to the Disciplinary Board on or before January 1, 1986.
IT IS SO ORDERED.
WILLIAM R. FEDERICI, Chief Justice
DAN SOSA, JR., Senior Justice
WILLIAM F. RIORDAN, Justice
HARRY E. STOWERS, Jr., Justice
MARY C. WALTERS, Justice | [
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OPINION
SOSA, Senior Justice.
The district court granted a motion by defendant Montgomery Ward & Co. to dismiss plaintiff Fred Jones’ personal injury action for failure to prosecute under NMSA 1978, Civ.P.Rule 41(e) (Repl.Pamp.1980), and for failure to substitute parties as required by NMSA 1978, Civ.P.Rule 25(a) (Repl.Pamp.1980). The Court of Appeals affirmed in a memorandum opinion. We granted certiorari and now reverse.
The sole issue we address is whether dismissal of plaintiff’s action was proper under Rule 41(e).
Plaintiff originally filed a personal injury action pro se on July 8, 1977 seeking damages for injuries arising out of an accident involving a tractor-trailer truck he was driving. Essentially, plaintiff alleged that defendant’s employees had improperly changed a tire inner tube by installing the tube with small creases. Plaintiff further alleged that the creases caused a slow leak which in turn caused overheating of a tire and a blowout. Plaintiff lost control of the truck after the blowout and the vehicle overturned resulting in substantial injury to plaintiff.
Within two weeks after suit was filed, plaintiff sought the assistance of counsel and filed a first amended complaint. On May 5, 1978, a second amended complaint was filed. These amendments dealt primarily with the addition of certain insurance carriers as party plaintiffs.
Prior to pursuing his New Mexico action, plaintiff had filed a personal injury action in Texas arising out of the same accident. The defendants in Texas included the manufacturer of the tractor-trailer, the manufacturer of a stabilizer assembly on the truck, and the tire manufacturer. Substantial discovery was obtained by plaintiff in both the Texas and New Mexico actions.
On June 18, 1981, almost four years after plaintiff had filed in New Mexico, defendant moved to dismiss for failure to prosecute under Rule 41(e). Plaintiff opposed this motion on grounds that extensive discovery had taken place, that resolution of the Texas suit could potentially render moot the New Mexico action, and that plaintiff’s counsel had previously notified the district court that plaintiff and counsel were fully prepared to try the New Mexico case first. Plaintiff also requested an immediate trial date in connection with his opposition to defendant’s motion. On February 18, 1982 the district court denied the motion to dismiss on grounds that plaintiff had actively engaged in substantial discovery and litigation in the Texas lawsuit. Plaintiff was later given a tentative trial date in March, 1982.
Plaintiff died in June, 1982 without either the New Mexico or Texas cases having been tried. On learning of plaintiff’s death, defendant filed a suggestion of death pursuant to Rule 25(a), and notified plaintiff’s counsel of this action.
Approximately one year later, defendant again moved to dismiss for failure to prosecute under Rule 41(e). Defendant also urged dismissal for failure to comply with the Rule 25(a) requirement that parties be substituted on suggestion of death. On August 16, 1983 the district court dismissed with prejudice on both grounds. The Court of Appeals affirmed the dismissal solely on the basis that the action had not been actively prosecuted and thus did not reach the Rule 25(a) issue. We therefore address only the propriety of dismissing plaintiff’s action for failure to prosecute.
Rule 41(e)(1) provides that where it appears that a plaintiff in a civil proceeding has “failed to take any action to bring such action or proceeding to its final determination for a period of at least three years after the filing of said action or proceeding ... any party to such action or proceeding may have the same dismissed with prejudice to the prosecution.” This Court in State ex rel. Reynolds v. Molybdenum Corp. of America, 83 N.M. 690, 697, 496 P.2d 1086, 1093 (1972) held that in considering a motion to dismiss under Rule 41(e), the district court “should determine, upon the basis of the court record and the matters presented at the hearing, whether such action has been timely taken by the plaintiff ... and, if not, whether he has been excusably prevented from taking such action.” This Court further held that a motion to dismiss under Rule 41(e) is directed at the discretion of the district court and its ruling will not be overturned but for an abuse of discretion. Id.
Many factors must be considered by the district court in ruling on a motion to dismiss pursuant to Rule 41(e), whether or not they are made a part of the court file. These factors include 1) all written and oral communications between the court and counsel; 2) actual hearings by the court on motions; 3) negotiations and other actions between counsel looking toward the early conclusion of the case; 4) all discovery proceedings; and 5) any other matters which arise and the actions taken by counsel in concluding litigation. See id. at 694-95, 496 P.2d at 1090-91; Sewell v. Wilson, 97 N.M. 523, 527, 641 P.2d 1070, 1074 (Ct.App.), cert. denied, 98 N.M. 50, 644 P.2d 1039 (1982).
In affirming the district court dismissal, the appeals court looked only to the one and one-half year period that transpired between the district court’s February 18, 1982 order refusing to dismiss and the August 16, 1983 dismissal order. During this period the appeals court found only discovery activity initiated by defendant which, the court reasoned, did not qualify as activity by plaintiff sufficient to avert dismissal under Rule 41(e). See Gilman v. Bates, 72 N.M. 288, 383 P.2d 253 (1963). Accordingly, the court concluded there was no abuse of discretion in dismissing the action due to the one and one-half year period of relative inactivity on plaintiff’s part. The effect of focusing analysis only on the one and one-half year period was to obscure prior discovery and other trial preparation efforts on plaintiff’s behalf which were directed at concluding the litigation.
Although discovery alone is not sufficient to avert dismissal under 41(e), Carter Farms Co. v. Hoffman-LaRoche, Inc., 91 N.M. 132, 571 P.2d 124 (Ct.App.1977), discovery should be considered along with other factors indicating activity to bring litigation to a final determination. Reynolds v. Molybdenum Corp. of America. Through February, 1982 plaintiff had en gaged in substantial discovery and other trial preparation. Discovery included almost 1,000 pages of deposition testimony. Expert witnesses were retained. Plaintiffs counsel made arrangements with local counsel for trying the New Mexico case. In addition, counsel informed the court by letter dated November 26, 1980 that the ease would be tried at the court’s direction although counsel preferred to proceed with the Texas matter first.
Furthermore, in opposing defendant’s first motion to dismiss, plaintiff submitted a written request for an immediate jury trial. This request, made after the defendant’s first motion to dismiss but before the hearing on the motion, may nonetheless be considered. Sewell v. Wilson, 97 N.M. at 530, 641 P.2d at 1077. This request, together with the November 26, 1980 letter to the district court and counsel’s prior activity indicate that plaintiff was prepared to try the case. That the district court was well aware of the adequacy of plaintiff’s activities and preparation is amply demonstrated by the court’s February, 1982 denial of defendant's first motion to dismiss after a full hearing on this motion.
Plaintiff’s readiness to try the case does not appear to have been diminished during the intervening one and one-half year period. To the contrary, plaintiff was even given a tentative trial date in March, 1982 after defendant’s first motion was denied. Although no firm trial date was set, defendant subsequently initiated discovery in the form of a deposition of an expert witness for plaintiff. This of course was primarily for defendant’s benefit but it does not indicate that plaintiff’s counsel was not prepared to try the case. The only other significant activity which took place after the first motion to dismiss was denied was negotiation between counsel regarding possible dates for future discovery.
In Dollison v. Fireman’s Fund Insurance Co., 77 N.M. 392, 423 P.2d 426 (1966), the plaintiff had participated in a pre-trial conference and had been given a trial setting which was subsequently vacated by the district court. In reversing a dismissal under Rule 41(e), this Court reasoned that such activity, initiated prior to the defendant’s motion to dismiss, indicated effort by the parties and the district court to expedite the proceedings. On examining the status of the instant litigation at the time defendant’s present motion to dismiss was considered, it is apparent that the case was ready for trial. Plaintiff and defendant, together with the district court, had engaged in substantial activities directed at concluding the litigation.
Having been apprised of plaintiff’s readiness to try the case and having set a tentative trial date, the district court abused its discretion in subsequently dismissing for failure to prosecute. The Court of Appeals is therefore reversed and the cause remanded to that court for further proceedings consistent with this opinion, including determination of the remaining issue appealed to that court.
IT IS SO ORDERED.
FEDERICI, C.J., and RIORDAN, STOW-ERS and WALTERS, JJ., concur. | [
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] |
OPINION
RIORDAN, Justice.
The petitioner, Robert James Tafoya (Tafoya) has been charged with numerous crimes and remains in custody, awaiting trial in the second judicial district. This action arose when Tafoya’s attorney obtained an ex-parte order allowing Tafoya to be transported for the purpose of taking a polygraph test. The order contained provisions directing the clerk to seal it and further directing the transporting officer (who was specifically named in the order) not to disclose its contents or existence. However, the transporting officer disclosed its existence to a member of the district attorney’s staff. Whether the disclosure was intentional or inadvertent has not yet been determined by the district court, but it does not effect our analysis of the legal question before us.
After learning of the existence of the order, the assistant district attorney sought discovery of the results of the polygraph test. Tafoya’s attorney refused to disclose whether the examination had taken place, but based on the available evidence, the district court found that a polygraph test had occurred. Relying on State v. Harrison, 90 N.M. 439, 564 P.2d 1321 (1977), the district court held that the State was entitled to discover the existence and results of the polygraph test, if the defendant testified and if the court conducted in camera review to determine relevance.
Tafoya petitioned this Court for a writ of prohibition to prohibit the district court from requiring disclosure of whether a polygraph test was taken, and, if taken, from requiring production of the polygraph test results. We granted the alternative writ which we now make permanent.
The issue before this Court is whether such polygraph test results are discoverable by the State absent notice by defendant of an intent to use such evidence at trial.
Prior to adoption of NMSA 1978, Evid. Rule 707 (Repl.Pamp.1983) , neither this Court nor the Court of Appeals ever determined that an expert opinion based upon polygraph test results was a scientifically reliable measure of truthfulness or deception. Indeed, there continues to be a great deal of debate in the scientific community as to its validity.
Expert opinions based upon polygraph test results were first discussed by this Court in State v. Trimble, 68 N.M. 406, 362 P.2d 788 (1961). In Trimble, the defendant voluntarily signed a statement agreeing to take a polygraph test and agreeing that the results could be used against him. None theless, Chief Justice Compton, writing for this Court, reversed the conviction. This Court adopted the standard which was enumerated in Frye v. U.S., 293 Fed. 1013 (D.C.Cir.1923), and is used by most courts in determining whether “scientific” evidence can be admitted. While not reviewing or discussing whether the polygraph test was scientifically reliable, this Court reversed the defendant's conviction and held that admission of the polygraph test evidence over objection was error, regardless of the signed statement. The reliability of the polygraph test was not discussed, perhaps because the evidence was introduced by way of signed stipulation rather than by the trial court after a foundation was presented. This Court, in denying its use in New Mexico courts, apparently was satisfied with the fact that no state admitted polygraph test evidence at that time.
The next New Mexico case to discuss polygraph test results was State v. Chavez, 80 N.M. 786, 461 P.2d 919 (Ct.App.1969). The Court of Appeals was faced with an appeal in which the defendant not only stipulated the test results into evidence but also did not object to their admission at trial. The Court held that failure to object to inadmissible evidence prevents reversal of that point on appeal. The Court of Appeals did state, however:
The rule in New Mexico is that regardless of whether there is a stipulation, or regardless of the contents of the stipulation, evidence as to polygraph examinations and results is not admissible over objection.
Id. at 787, 461 P.2d at 920 (emphasis added).
In 1974, the Court of Appeals (with two judges who were not on the bench when the Chavez case was decided) again addressed the admission of polygraph test results in State v. Alderete, 86 N.M. 176, 521 P.2d 138 (Ct.App.1974). While it affirmed the conviction over the defendant’s contention that an excluded polygraph test was admissible, the Court stated that under certain circumstances the results of a polygraph test would be allowed. Judge Sutin stated, without revealing the basis of his opinion, that “[scientific recognition of polygraphic tests has now arrived.” ' Id. at 178, 521 P.2d at 140. Judge Wood, specially concurring, with Judge Lopez concurring, avoided recognizing “ ‘general scientific acceptance’ ” as the basis for admission but rather stated that in order for the results to be admissible, there needs to be “evidence that the tests are reasonably reliable, reasonably precise and evidence that the tests are substantially accepted by experts whose competence includes the subject matter of the tests.” Id. at 179, 521 P.2d at 141.
In State v. Lucero, 86 N.M. 686, 688, 526 P.2d 1091, 1093 (1974), this Court overruled Alderete and stated:
This court has held to the rule which admits polygraph test results when each of these requirements are met: 1. The tests were stipulated to by both parties to the case; 2. When no objection is offered at trial; 3. When the court has evidence of the qualifications of the polygraph operator to establish his expertise; 4. Testimony to establish the reliability of the testing procedure employed as approved by the authorities in the field; and 5. The validity of the tests made on the subject.
This Court did not address the question of whether polygraph test evidence had reached the level of scientific reliability, and the opinion caused a conflict in the then existing law. Chavez held that if requirements 1 and 2 restated in Lucero were met, admission of polygraph test results was not reversible error and could not be raised for the first time on appeal.
The next year, the Court of Appeals reversed the conviction of the defendant in State v. Dorsey, 87 N.M. 323, 532 P.2d 912 (Ct.App.), cert. granted, 88 N.M. 184, 539 P.2d 204 (1975) (Dorsey I and II). Judge Wood, writing for the Court of Appeals, held that the trial court erred in not allowing the defendant’s polygraph test results in evidence. Rather than challenge Lucero, which was a Supreme Court case (but authored by a district judge and concurred in by two justices), he purported to distinguish it. Judge Wood pointed out that the New Mexico Rules of Evidence had been adopted but did not apply to Lucero. He held that under the doctrine announced by the United States Supreme Court in Chambers v. Mississippi, 410 U.S. 284, 93 S.Ct. 1038, 35 L.Ed.2d 297 (1973), the defendant’s constitutional rights were violated by excluding the results of the polygraph test since the requirements of Chambers had been met. The two Chambers requirements were: 1. that the evidence was reliable, and 2. that it was critical to the defense. The Court of Appeals reasoned that since there was no challenge to requirements 3, 4 and 5 announced in Lucero, that requirements 1 and 2 could not be applied to exclude the evidence considering the Rules of Evidence and Chambers. This Court granted certiorari and affirmed the Court of Appeals, but upon slightly different grounds (Dorsey II). We pointed out that only requirements 1 and 2 announced in Lucero were being addressed. This Court held that the requirements announced a year earlier were: “(1) [mjechanistic in nature; [and] (2) [ijnconsistent with the concept of due process.” Id. 88 N.M. at 185, 539 P.2d at 205. Relying on the “announced purpose and construction of the New Mexico Rules of Evidence,” this Court overruled Lucero and threw out requirements 1 and 2. Id. This Court was apparently satisfied to let the trial courts admit polygraph test evidence if requirements 3, 4, and 5 under Lucero could be met.
In State v. Harrison (the case on which the district court relied in the instant case), this Court held that the results of a polygraph test requested by an indigent defendant and administered at public expense could be used to impeach the defendant when he took the stand on his own behalf.
The next few cases involving polygraph tests all dealt with the question of the qualifications of the operator and the validity of the test under requirements 3, 4 and 5 from Lucero that were still in effect. State v. Bell, 90 N.M. 134, 560 P.2d 925 (1977), upheld the exclusion of the results of an “inconclusive” test on the ground that it would not be relevant and restated the three requirements for admission still in effect under Lucero. State v. Brionez, 91 N.M. 290, 573 P.2d 224 (Ct.App.), cert., denied, 91 N.M. 249, 572 P.2d 1257 (1977), and State v. Fuentes, 91 N.M. 554, 577 P.2d 452 (Ct.App.), cert. denied, 91 N.M. 610, 577 P.2d 1256 (1978), both upheld the exclusion of test results because the operator was not qualified or the results not valid. State v. Gallegos, 92 N.M. 370, 588 P.2d 1045 (Ct.App.), cert. denied, 92 N.M. 353, 588 P.2d 554 (1978), was a case involving a polygraph examination of the victim admitted over defendant’s objection. Judge Wood, again writing for the Court of Appeals, stated that on review, the Court would not reverse admission or exclusion of polygraph tests, except for abuse of discretion, and that a polygraph test is really the opinion of a witness (the operator) that was admissible in that case under NMSA 1978, Evid. Rule 608(a), apparently because the victim’s credibility was attacked on cross-examination.
A second issue discussed in Gallegos concerning polygraph tests was whether the trial court erred in requiring the defense to disclose the report of a polygraph examiner furnished to the defense to aid in cross-examination of the State’s witness. The Court held that the trial court’s error in ordering disclosure was harmless.
The final case in this twisted history was State v. Anthony, 100 N.M. 735, 676 P.2d 262 (Ct.App.1983). The Court of Appeals reversed the defendant’s conviction for failure of the trial court to follow the requirements of Rule 707.
That brings us to the current status of the admission of polygraph test results under New Mexico law. This Court adopted Rule 707 in an attempt to standardize the admission of such test results and to supercede the various requirements and holdings of prior cases that were inconsistent with the rule. We also announced to the district judges our frustration in dealing with polygraph test evidence and our reservations as to its continued use. Our aim was that by the application of Rule 707 and NMSA 1978, Crim.P. Rule 28 (Cum.Supp.1984) , we could lay some of these issues to rest and assure the reliability of polygraph test evidence that was to be admitted.
Under Rule 707(d), any party intending to use polygraph test evidence at trial must give written notice to the opposing party of his intention. Under Rule 707(g), once such notice has been given, the court may compel, for good cause shown, a witness who has previously voluntarily taken a polygraph test to submit to another polygraph test by an examiner of the other party’s choice. If such witness refuses to submit, no polygraph test evidence is admissible at trial. Under Rule 28(a)(2), a defendant must disclose only those results of a polygraph test which the defendant intends to use at trial. Thus, under each of these rules, polygraph test results are only discoverable by the State after the defendant has given notice of defendant’s intent to introduce such results into evidence at trial. Since these rules were promulgated by this Court after our opinion in Harrison, they supercede that opinion and are controlling in this case. Therefore, the alternative writ of prohibition is now made permanent, and the district court is prohibited from requiring disclosure of the existence of or results of any polygraph test that might have occurred absent notice being given by the defendant of his intent to use such polygraph test evidence.
IT IS SO ORDERED.
FEDERICI, C.J., and SOSA and WALTERS, JJ., concur.
STOWERS, J., specially concurs.
. Rule 707 was adopted effective June 1, 1983.
.Supreme Court memorandum to the Court of Appeals judges, district court judges, district attorneys and chief public defender dated April 21, 1983, wji'ich states:
Attached is Rule 707 that has been adopted by the Supreme Court for cases filed on or after June 1, 1983.
The Court's adoption of this rule is in response to complaints and serious problems that we presently have in relation to polygraph testimony in New Mexico. We have adopted this rule on an interim basis in the hope that it solves the problems.
If not, we will consider amending Rule 707 in the future to specifically eliminate polygraph testimony in New Mexico.
. Rule 28 was amended to include polygraph tests effective October 1, 1983.
. At the time we granted the alternative writ, we directed the parties to brief the issue of whether Rule 707 should be amended to preclude use of polygraph test evidence in New Mexico courts. We also allowed various amicus briefs on the subject. This question remains under study by this Court. | [
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OPINION
WALTERS, Justice.
Rudolph Sena, convicted of first degree “depraved mind” murder, appeals the denial of his motion for a new trial. His motion was brought pursuant to NMSA 1978, Crim.P.R. 45 (Repl.Pamp.1980); as grounds he claims newly discovered evidence based upon the retraction of testimony by a key State witness.
The witness, a doorman at an Albuquerque bar, testified at Sena’s trial that Sena, a woman and another man approached the bar. Because the woman had a drink in her hand, the doorman refused to let them enter. An argument ensued. According to the doorman, Sena hit him; he then “maced” Sena, struck him with a flashlight, and threw him out of the bar. A few seconds later, Sena returned with a gun, shot and wounded the doorman, and shot and killed an innocent bystander. Sena’s conviction was affirmed in State v. Sena, 99 N.M. 272, 273, 657 P.2d 128 (1983).
Upon reinvestigation by Sena’s new attorney following Sena’s imprisonment, the doorman retracted part of his testimony, telling the attorney that he “maced” the defendant before any physical contact occurred. When the doorman was called to testify at the hearing on Sena’s motion for a new trial, however, he pleaded his Fifth Amendment privilege. His statement of recantation was admitted into evidence as a statement against interest, but the trial court nevertheless denied the motion for new trial.
Defendant argues now that, because the doorman was the aggressor by “macing” Sena first, the doorman’s act could be considered provocation and a new jury could find second degree murder instead of depraved mind murder, or a jury could find provocation sufficient to reduce the verdict to voluntary manslaughter. Since a different verdict would be possible under the new evidence, he contends, it was improper to deny a new trial.
The Court today does not reach two of the State’s answers: that the statement of retraction is inadmissible hearsay, and that the fact of perjury was not established in a clear and convincing manner. We hold that there is no newly discovered evidence within the meaning of the rule, thus effectively disposing of the appeal.
We recently reiterated the requirements for newly discovered evidence in State v. Volpato, 102 N.M. 383, 384-385, 696 P.2d 471, 472-473 (1985):
Such a motion [for a new trial] will not be granted unless the newly discovered evidence is such that it fulfills all of the following requirements: 1) it will probably change the result if a new trial is granted; 2) it must have been discovered since the trial; 3) it could not have been discovered before the trial by the exercise of due diligence; 4) it must be material; 5) it must not be merely cumulative; and 6) it must not be merely impeaching or contradictory.
Recanted testimony frequently is difficult to fit within the rubric of “newly discovered evidence.” If a witness lies on the stand, the defendant may have within his knowledge not only the truth of the matter, but also the fact of the witness’s perjury. In such a case, it is not “new” evidence in a second trial that is sought to be introduced, but the correction of earlier allegedly perjurious evidence. But it is not “evidence” that could not have been earlier discovered by the exercise of due diligence. That is the case here.
? the doorman’s trial testimony was false, Sena, as a participant, must have known the doorman “maced” him before any physical contact ensued. He must therefore have known the doorman was lying on the witness stand at trial. Nevertheless, he declined to rebut the doorman’s version of the sequence of events. Two companions were with Sena at the crucial time; the barroom was full of people. Neither companion was called to testify regarding the allegedly correct sequence of events. Other corroborating witnesses may have been discovered with the exercise of due diligence. When, in the face of what he now describes as known perjury, the defendant has .ample opportunity to elicit the truth but fails to do so, and elects to remain silent himself, a new trial will not be granted upon recantation of the allegedly false testimony. See e.g. State v. Valdez, 95 N.M. 70, 618 P.2d 1234 (1980), State v. Mabry, 96 N.M. 317, 630 P.2d 269 (1981).
The judgment of the trial court is AFFIRMED..
FEDERICI, C.J., and RIORDAN, J., concur. | [
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ORDER
This matter having come before this Court after completion of disciplinary proceedings conducted pursuant to NMSA 1978, Rules Governing Discipline (Repl. 1985), wherein Attorney Gilbert H. Frith (Frith) was found to have engaged in several acts of misconduct, the Court adopts the findings and recommendations of the Disciplinary Board.
In the Fall of 1983, Frith filed a lawsuit on behalf of Houston Lumber Co. against Campbell Housing Corporation, Inc., (CHC) to collect on an alleged debt. At the time, Frith was not only the attorney for Houston Lumber, but also its president and a substantial shareholder of the company. During the pendency of the action against CHC, Frith contacted certain state agencies and other organizations to question CHC's fitness to do business in New Mexico and wrote to the attorney for CHC regarding its various pending applications, asserting that certain criminal penalties could be imposed against CHC.
Frith also called an employee at CHC and identified himself as “Bob Smith”. During the course of the telephone conversation, Frith implied that criminal charges were or would be pending in New Mexico against CHC. One purpose of the call was to gain an advantage in the pending civil litigation against CHC. When later deposed by CHC’s attorney and while under oath, Frith falsely stated that he could not recall having made such a telephone call.
Such conduct is prejudicial to the administration of justice, adversely reflects on Frith’s fitness to practice law and involves dishonesty, deceit and misrepresentation in violation of NMSA 1978, Code of Prof. Resp. Rules 1-102(A)(4), 1-102(A)(5), and 1-102(A)(6) (Repl.1985).
IT IS THEREFORE ORDERED that:
1. Frith shall be suspended from the practice of law for a period of 120 days commencing on January 10, 1986.
2. Frith must take and receive a passing score on the Multi-State Professional Responsibility Examination.
3. If Frith does not pass the Multi-State Professional Responsibility Examination within the suspension period, the suspension shall be extended until such time as Frith passes the examination.
4. Frith shall pay the costs of this action in the amount of $658.72.
This order shall be published in both the New Mexico Reports and the News and Views of the State Bar of New Mexico.
IT IS SO ORDERED. | [
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OPINION
' DONNELLY, Chief Judge.
Defendant, Kenneth P. Thompson, Co., Inc., employer, appeals from a criminal conviction imposed against it for failing to allow an employee time to vote contrary to NMSA 1978, Section 1-12-42. On appeal, employer challenges the propriety of its conviction and raises two issues: (1) whether an employer has a right to adjust an employee’s hours of work on election day to come within an exception provided by Section 1-12-42(B); and (2) the constitutionality of the statute. We reverse and remand.
FACTS
Defendant, Kenneth P. Thompson, Co., Inc., is a construction company that engages in general building and construction business and employs a large number of personnel. On Tuesday, November 6, 1984, the date of a statewide general election, defendant was engaged in several different construction projects located at various sites in Albuquerque. One of its employees, Joseph M. Lujan, a qualified voter, reported for work at 8:00 a.m. on election day and at approximately 2:30 p.m., informed the job foreman, Jerry Patterson, that he was leaving to go vote. The foreman notified Lujan not to leave until shortly before 4:00 p.m. The foreman further explained that because it was election day, the company had ordered work to stop a few minutes before 4:00 p.m. so that everyone could go vote.
The foremen on each of defendant’s jobs in Albuquerque had been instructed by the general superintendent for the company that all work at various job locations would be shut down shortly before 4:00 p.m. to allow employees sufficient time to vote. This information was communicated to company employees. The adjusted work schedule for election day conformed to a practice followed by a number of other construction firms in Albuquerque. Defendant paid all of its employees for a full, eight-hour day on November 6, 1984.
Despite the foreman’s admonition, Lujan left the jobsite at 2:30 p.m. He returned home, cleaned up and arrived at his voting precinct at 3:15 p.m. Lujan did not return back to work until the following morning. Lujan was the only employee of defendant to leave the jobsite prior to 3:55 p.m. on election day.
When Lujan returned to work the day following the election, he was informed that he was being terminated for leaving the jobsite on election day without authorization. Defendant’s normal working hours were 8:00 a.m. to 4:30 p.m.; however, on election day its work schedule was adjusted from 8:00 a.m. to 4:00 p.m. The polls on that day were open from 8:00 a.m. to 7:00 p.m.
Following Lujan’s termination, charges of violating Section 1-12-42 were filed against defendant. Defendant was convicted of violating the statute and fined $50. Thereafter, defendant appealed its conviction to the district court; after a trial de novo, he was again convicted of violation of the statute and a similar fine was assessed.
DISCUSSION
The issue raised on appeal is whether this state’s statute, Section 1-12-42, requiring employers to allow their employees to absent themselves from their place of work in order to vote, without penalty or deduction in pay, is violated if the employer adjusts its customary daily work schedule in order to come within an exception provided by the act. This is a matter of first impression in New Mexico.
Defendant contends that its adjustment of its employees’ work schedule on election day constituted compliance with the exception provided in the statute mandating release of employees for voting purposes. Section 1-12-42 provides:
A. On election day any voter may absent himself from employment in which he is engaged for two hours for the purpose of voting between the time of opening and the time of closing the polls. The voter shall not be liable to any penalty for such absence; however, the employer may specify the hours during this period in which the voter may be absent.
B. The provisions of subsection A of this section do not apply to any employee whose work day begins more than two hours subsequent to the time of opening the polls, or ends more than three hours prior to the time of closing the polls. [Emphasis added.]
Defendant contends that its release of all employees on election day prior to 4:00 p.m., when the polls did not close until 7:00 p.m., provided defendant and its other employees three full hours to vote. The state asserts that defendant’s practice of adjusting working hours on election day is not in compliance with the statute. The state further asserts that defendant was obligated to authorize its employees to absent themselves no later than 2:30 p.m. on election day in order to furnish two fully paid hours away from the work on election day.
Section 1-12-42(B) provides that any employee whose workday ends more than three hours prior to the closing of the polls need not be allowed to absent himself from employment for two hours on election day, as mandated in Section 1-12-42(A). The statute is silent as to whether an employer may readjust its prescribed working hours on election day, so as to satisfy the voting time requirement under Section 1-12-42(B). However under Section 1-12-42(A), the employer is permitted to specify the hours of employee absence for voting, but he may not penalize the employee for such absence.
A majority of states have enacted legislation commonly referred to as “pay-while-voting” statutes, designed to require employers to give their employees time for voting during regular working hours, without making a deduction from their usual salary or wages. See Note, Pay While Voting, 47 Colo.L.Rev. 135, 137 (1947). Although the language of the individual statutes varies from jurisdiction to jurisdiction, the intent of such legislation is to safeguard the right of suffrage by preventing employers from depriving workers of their opportunity to vote because of economic necessity. Day-Brite Lighting Inc. v. Missouri, 342 U.S. 421, 72 S.Ct. 405, 96 L.Ed. 469 (1952). The United States Supreme Court has upheld the validity of “pay-while-voting” statutes similar to that adopted by this state as a safeguard to the right of suffrage and has analogized such legislation to a form of statutory minimum wage requirement. Id.
The principal objective of this state’s statute is two-fold: (1) to assure adequate opportunity for employees who are in fact qualified and registered voters to vote on election day; and (2) to provide an incentive for workers to vote, without deduction of salary or penalty by the employer for exercising the right to vote. Section 1-12-42. A secondary objective of the statute is to allow the employer flexibility in arranging work hours in order to reduce the disruption caused by the absence of employees. Section 1-12-42(A).
In the instant case, defendant adjusted its daily work schedule in order to release its employees from work more than three hours prior to the closing of the polls. No wage deduction was effected due to the shortened workday, and each employee was paid for the normal, full eight-hour workday. No contention is asserted that defendant was precluded under any collective work agreement from adjusting the work period on election day, so long as employees were not penalized or paid less than their standard wages for a full eight-hour day. New Mexico’s statute provides for an exception to the two-hour voter absence where the workday ends prior to “more than three hours prior to the time of the closing of the polls.” Section 1-12-42(B). The procedure under Section 1-12-42(B) complies with the objectives of the statute by according at least a three-hour period in which employees may vote, without any diminishment of their usual eight-hour pay.
Balanced against this objective of insuring employees’ right to vote is the correlative interest of an employer in structuring his workday so as to minimize any disruption. See Nikolaus v. Pandick Press, Inc., 22 Misc.2d 908, 194 N.Y.S.2d 381 (1959). Adjustment of the workday period by defendant on election day to accord its employees more than three hours time within which to vote prior to the closing of the polls was not contrary to law. See id.
Defendant’s adjustment of its workday schedule on election day does not violate Section 1-12-42. Since there is no violation of the statute, the court does not reach the issue of wrongful discharge.
Defendant challenges the constitutionality of Section 1-12-42, arguing that: (1) the statute is overbroad, vague and ambiguous; and (2) it is a violation of the due process and equal protection clauses of the state and federal constitution. See also Recent Decisions, Constitutional Law—Pay-While-Voting Statutes, 27 Notre Dame L.Rev. 456 (1952). A court will not decide constitutional questions unless necessary to a disposition of the case. In re Bunnell, 100 N.M. 242, 668 P.2d 1119 (Ct.App.1983). Because we find defendant in compliance with Section 1-12-42, we do not reach defendant’s constitutional argument.
Defendant’s conviction is reversed.
IT IS SO ORDERED.
ALARID and MINZNER, JJ., concur. | [
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OPINION
MINZNER, Judge.
Plaintiff title company sued to quiet title to a Los Alamos duplex and asked the court for an order directing distribution of a fund held in escrow after the duplex was sold. The complaint alleged that all of the named defendants “may claim a lien or interest in the subject real estate by reason of their claims in and connection with Bernalillo County Consolidated Cause No. CV-77-0142 and CV-77-02209 and may claim an interest in the funds held in escrow by plaintiff.” The litigation to which the complaint refers has been before this court on three other occasions. See Robison v. Katz, 94 N.M. 314, 610 P.2d 201 (Ct.App.1980) (Robison I); Robison v. Campbell, 99 N.M. 579, 661 P.2d 479 (Ct.App.1983) (Robison II); Robison v. Campbell, 101 N.M. 393, 683 P.2d 510 (Ct.App.1984) {Robison III).
In the present case, the trial court denied a motion by Beverly Katz (appellant) to dismiss for lack of jurisdiction and granted summary judgment in favor of Dixie Dee Campbell Hinton and the law firm of Threet and King (appellees). On appeal, appellant first contends that the trial court erred in denying her motion to dismiss, because the matter arises out of a levy under a Bernalillo County writ of execution. See NMSA 1978, §§ 39-4-1 and -3. She also contends that if the trial court had jurisdiction, it erred in granting summary judgment, because the escrow fund secures a money judgment in her favor. In our view, the record does not support either argument, and we affirm.
BACKGROUND.
In 1976, appellant owned real property located in Los Alamos County on which a duplex was located. In July of that year, Katz exchanged the duplex for a trailer park pursuant to a real estate contract with Opal Campbell, her son Sam Campbell, and her daughter Dixie Hinton. Appellant rented an apartment in the duplex from the Campbells, and they rented a trailer space from her. Controversy over the transaction developed by December 1976, and two related lawsuits were filed and then consolidated in 1977.
In Bernalillo County Cause No. CV-77-1421, Bud Robison, the realtor who represented the Campbells and Ms. Hinton in the transaction, sought declaratory judgment as to his liability for misrepresentation. Appellant counterclaimed against Robison and cross-claimed against the Campbells on the basis of fraud, misrepresentation, and breach of fiduciary duty, seeking rescission and consequential and punitive damages. Campbells cross-claimed against Robison for damages for abuse of privacy. In Bernalillo County Cause No. CV-77-2209, Campbells sued appellant for rent. After the two cases were consolidated, the trial court found that both Robison and Campbell had negligently misrepresented the park’s condition. However, the court refused to grant rescission; he concluded that appellant’s inability to return the trailer park barred that remedy. The trial judge awarded appellant damages, other than consequential and punitive damages, and awarded Campbells various setoffs, thereby reducing appellant’s total award to $26,789 plus costs. In addition, the trial court granted appellant’s attorneys, Sutin, Thayer & Browne, a charging lien and awarded the Campbells damages against Robison for abuse of privacy. Judgment was entered March 13, 1978. Appellant, Robison, and the Sutin law firm appealed.
Appellant had filed a notice of lis pen-dens in 1977. She filed a transcript of judgment on April 5, 1978, and on August 3, she filed pro se two additional notices of lis pendens, which referred to the prior litigation and the unpaid judgment.
While Robison I was pending, the trial court entered an order prohibiting Camp-bells from selling the Los Alamos duplex pending disposition of the appeal. However, they secured a writ of prohibition from the supreme court, and the duplex was sold in May 1979. At that time, the title company set aside $35,586.28 of the sale proceeds after an exchange of letters with Threet, Threet, Glass, King and Hooe, who represented the Campbells. In that correspondence, the Campbells agreed that sum should be held in escrow, and the title company agreed that the money would be repaid to Ms. Campbell if the 1978 judgment were reversed and the cause remanded for a new trial. The check evidencing the deposit bears the notation that it is “[mjoney held for Bud Robison Realty Mortgage * * * and Katz lien.”
In July 1979, Threet, Threet, Glass, King and Hooe filed an attorney’s lien, which related back to December 6, 1976, in the sum of $28,362.02 against any recovery due the Campbells. In November 1979, the Campbells moved for an order requiring a release of the funds held in escrow to the registry of the district court. The motion was denied.
In March 1980, the court of appeals issued its decision in Robison I. The court reversed, on the ground that under the special circumstances presented by the facts, rescission would be allowed. The court remanded for further proceedings, including an accounting. The court noted that although special and punitive damages could be awarded against Robison, double recovery was to be avoided. The court also held that the Campbells had no cause of action against Robison.
Trial on remand occurred in March 1981. The trial court dismissed as to Sam Camp bell and Dixie Hinton and awarded appellant a money judgment based on the accounting, consequential damages against Opal Campbell and Robison, and punitive damages against Robison. Because the Los Alamos duplex had been disposed of prior to the date mandate issued, the trial court included its value at the time of sale, plus interest and rental value, in calculating the gross sum due appellant from the Campbells. The judgment included an attorney’s charging lien in favor of Sutin, Thayer & Browne against their client’s recovery. The second judgment was entered July 21, 1981. On July 20, the Campbells had assigned their interest in the fund held by the title company to Threet and King. The record indicates that at that time the Campbells owed Threet and King over $50,-000. It is undisputed that Threet and King is the successor to Threet, Threet, Glass, King and Hooe.
Appellant again appealed; Sutin, Thayer & Browne, Opal Campbell, and Robison cross-appealed. See generally Robison II. On appeal, this court first determined that it was error to dismiss the claim against Sam Campbell. The court also held that the charging lien was valid because it attached to the second judgment; although appellant’s personal liability for attorney’s fees had been discharged in bankruptcy, the lien was not affected. This court affirmed the trial court’s decision that a reasonable fee was $25,000. As to the gross sum due appellant on the basis of the accounting, there were errors requiring remand, but this court affirmed the trial court’s decision to include the value of the duplex in the gross sum due appellant. This court also affirmed the trial court’s calculation of the setoff due the Campbells. The court reversed the award for damages made jointly against Opal Campbell and Robison, affirmed the sum awarded appellant against Robison for consequential damages, but because that award was reduced significantly, reversed the award of punitive damages and remanded for reconsideration.
On September 13, 1983, the trial court entered judgment on the mandate, again awarding appellant $10,000 in punitive damages. Robison appealed and the Camp-bells cross-appealed. On September 21, appellant obtained a writ of execution from the Bernalillo County district court addressed to the sheriff of Los Alamos County. According to the sheriff’s return of service, he served a copy on the title company. Shortly after he served the copy, the present suit was filed in Los Alamos County. Apparently the present lawsuit, as well as execution on the 1983 judgment, was held in abeyance until after mandate had issued in Robison III. In 1985, several motions were filed in Los Alamos district court. Plaintiff, Sutin, Thayer & Browne and appellees moved for summary judgment. The evidence before the trial court consisted of affidavits and copies of documents attached as exhibits. Appellant moved to dismiss for lack of jurisdiction. She also asked that the Los Alamos duplex be returned to her. While she acknowledged the validity of her former attorney’s charging lien, she contended that it did not preclude her right to restitution of the land itself. After a hearing, at which the trial court heard arguments by counsel, the court denied the motions made by appellant, awarded plaintiff counsel fees, and granted appellees’ motion for summary judgment.
Although there are four arguments on appeal, the first challenges the trial court’s jurisdiction and the others address the priority of appellees’ rights in the fund. For this reason, we discuss the appellate issues under two headings.
WHETHER THE TRIAL COURT HAD JURISDICTION.
Appellant contends that under Section 39-4-1, the Bernalillo County district court had exclusive jurisdiction over the fund. Therefore, she concludes that the Los Alamos district court lacked jurisdiction.
Section 39-4-1 provides that:
The party in whose favor any judgment, order or decree in any court may be returned, shall have execution therefor in conformity to the order, judgment or decree. Said execution may be issued to the sheriff of any county of the state, and levy and sale made in any county wherein the judgment debtor may have property subject to execution.
The court where the judgment or decree was rendered shall have jurisdiction over all matters growing out of the levy or sale under any execution.
Under Section 39-4-3, the officer in whose hands the writ is placed for execution:
* * * shall call upon the defendant for payment thereof, or to show him sufficient goods, chattels, effects and lands, whereof the same may be satisfied; and if the officer fail to find property sufficient to make the same he shall notify all persons who may be indebted to said defendant not to pay said defendant, but to appear before the court, out of which said execution issued * * *.
However, the record does not support a conclusion that the title company was indebted to the Campbells within the meaning of Section 39-4-3 or that the sheriff to whom the writ was entrusted for execution completed the steps that result in the Bernalillo County district court acquiring jurisdiction. Under our cases, the debt must be absolutely and unconditionally owing and payable at the time of the summons, and the obligation must not be dependent on the existence or performance of contractual conditions. Garland v. Sperling Bros., 6 N.M. 623, 30 P. 925 (1892), aff'd, 7 N.M. 121, 32 P. 499 (1893); see also Jemko, Inc. v. Liaghat, 106 N.M. 50, 738 P.2d 922 (Ct.App.1987). Further, substantial compliance with the statute authorizing garnishment is essential to jurisdiction over the garnishee. Garland v. Sperling Bros. In this case, for example, there is no evidence that the sheriff made demand on the judgment debtor. For these reasons, the first issue is without merit.
WHETHER THE TRIAL COURT ERRED IN GRANTING SUMMARY JUDGMENT.
The facts are not in dispute, but rather the legal effect of the facts is at issue. Under these circumstances, on appeal the question is whether the claimants in whose favor the trial court ruled were entitled to judgment as a matter of law. See Koenig v. Perez, 104 N.M. 664, 726 P.2d 341 (1986).
In effect, all of appellant’s arguments are variations on a single theme: it is inequitable not to allow her to reach the fund ahead of appellees because that fund stands in place of the Los Alamos duplex to which Robison I ruled she was entitled. We note with great regret that the legal process did not resolve the dispute among the parties expeditiously, and that appellant has yet to recover all of the money awarded her. Nevertheless, the record does not support a conclusion that she has a superior right to the fund.
The March 13, 1978 judgment provided that all notices of lis pendens previously filed were dissolved. There is no evidence that a supersedeas bond was filed or a stay obtained. Appellant claims that because the 1978 judgment was reversed on appeal, the effect of the notice continued until 1984, when the supreme court denied certiorari in Robison III. There seems to be a split of authority on the question of whether a notice of lis pendens continues to be effective pending appellate review of a final judgment without regard to the filing of a bond or securing a stay. See 54 C.J.S. Lis Pendens § 36(e) (1948); cf. Higgins v. Fuller, 48 N.M. 215, 148 P.2d 573 (1943) (a self-executing judgment order or decree is not within statute providing for supersede-as bond).
Appellant also contends that because the notice was never cancelled pursuant to NMSA 1978, Section 38-1-15, it continued in effect after the March 13, 1978 judgment. It is undisputed that in March 1985, the notices of lis pendens had not been cancelled by court order pursuant to Sec tion 38-1-15. We assume, but need not decide, that the 1977 notice was effective until 1984.
Under our statute, a notice of lis pendens provides constructive notice to subsequent purchasers and encumbrancers of litigation affecting the title to real property. Superior Constr., Inc. v. Linnerooth, 103 N.M. 716, 712 P.2d 1378 (1986). It is a republieation of the pleadings filed in the pending judicial proceedings. If judgment is in favor of the one filing the notice, the rights of that party relate back to the date of the notice. Cf. Bell v. Gaylord, 6 N.M. 227, 27 P. 494 (1891) (analyzing the effect of lis pendens filed in connection with a writ of attachment).
Appellant ultimately recovered a money judgment, rather than the land, which was affirmed in Robison II. Under New Mexico law, a money judgment becomes a lien on the judgment debtor’s realty when the transcript of the judgment docket is filed and recorded with the county clerk of the county in which the realty is located. Ranchers State Bank of Belen v. Vega, 99 N.M. 42, 653 P.2d 873 (1982). Although separate rights and causes of action arise from a judgment and a judgment lien, the existence of a valid judgment is a prerequisite to the existence of a judgment lien. Western States Collection Co. v. Shain, 83 N.M. 203, 490 P.2d 461 (1971). Thus, the transcript of judgment filed in 1978 was not effective to create a lien on the Los Alamos duplex after the judgment was reversed in Robison I. Id.
We conclude that appellant is attempting to establish a judgment lien by a method other than the method provided by the legislature. The notice of lis pendens was not effective in itself to create a lien. Cf. Bell v. Gaylord. Additionally, under the New Mexico statute, notices of lis pen-dens do not give special protection where the ultimate recovery, as here, is a money judgment. See NMSA 1978, § 38-1-14; Tate v. Sanders, 245 Mo. 186, 149 S.W. 485 (1912); cf. In re Lafayette Houses, City of New York, 220 N.Y.S.2d 109 (1961). While the object of an attachment is to create a prior lien on the property of the attachment debtor as security on any judgment that may be obtained thereafter on the demands covered by the attachment, see Staab v. Hersch, 3 N.M. (Gild., E.W.S. ed.) 209, 3 P. 248 (1884), we need not decide whether appellant had statutory grounds for attachment, see NMSA 1978, Sections 42-9-1 and -39. The record does not support a conclusion that the statutory procedures were invoked. See NMSA 1978, § 42-9-4; see Southern California Fruit Exch. v. Stamm, 9 N.M. 361, 54 P. 345 (1898).
Appellant also argues that she is a third-party beneficiary of the written contract between the title company and the Camp-bells. But see McKinney v. Davis, 84 N.M. 352, 503 P.2d 332 (1972). The correspondence between the title company and the Campbells on which Katz relies and other documents in the file support a conclusion that the fund was created to satisfy the lien Katz obtained in 1978. Because that judgment was reversed, we construe appellant’s argument on appeal as a claim that the arrangement between the title company and the Campbells should be viewed as giving rise to an equitable lien in her favor based on an implied-in-fact agreement. See 53 C.J.S. Liens § 4(b)(1) (1948). Under our cases, however, the particular funds must have been appropriated by the debtor to the satisfaction of the debt or the agreement must clearly disclose the intent to create a lien on that fund. See Reserve Plan, Inc. v. Peters, 71 N.M. 25, 375 P.2d 576 (1962). In our view, the requisite intent is not present. See id.
We recognize that there are two kinds of equitable liens. See D. Dobbs, Handbook on the Law of Remedies § 4.3 at 249-50 (1973). One kind is based on agreement, while the other is a remedial device, used to enforce a right to restitution in order to prevent unjust enrichment. Id.; see also G. Palmer, I The Law of Restitution § 1.5 at 20-21 (1978); 53 C.J.S. Liens § 4(a) (1948). Our existing case law concerns the former. See Reserve Plan, Inc. v. Peters. Because appellant basically contends the result below was inequitable, we have considered the question of whether there are particular facts and circumstances present that justify recognition of the second kind of equitable lien.
The particular facts and circumstances argued to the trial court and asserted on appeal include the sale and the assignment. Because the writ of prohibition obtained by the Campbells voided the Bernalillo County district court order denying their right to sell, we are not willing to characterize the sale as wrongful. The Campbells subsequently asked the trial court to allow the fund to be paid into the court registry, but their request was denied. For these reasons, and because our case law recognizes an attorney’s right to a lien against a sum awarded as a setoff, see Forrest Currell Lumber Co. v. Thomas, 82 N.M. 789, 487 P.2d 491 (1971), we also are not willing to characterize the assignment as wrongful. There being no other argument for equitable relief, see 53 C.J.S. Liens § 4(c) (1948), we conclude that appellant has not established a right to the second kind of equitable lien. See generally Restatement of the Law of Restitution § 202 (1937).
Appellant also has argued that the Sutin, Thayer & Browne lien attached to her judgment first, and therefore there was nothing for the Campbells to assign to the Threet law firm. This argument depends on a determination that appellant has an interest in the fund. Under our analysis, she does not. Thus, we do not need to decide whether a charging lien against a judgment has priority over a charging lien against a setoff on that judgment. See Robison I.
CONCLUSION.
For the foregoing reasons, the trial court judgment should be affirmed. Although oral argument was requested, it is the opinion of the panel that oral argument is not necessary. Therefore, appellees’ motion for oral argument is denied. See Garcia v. Genuine Parts Co., 90 N.M. 124, 560 P.2d 545 (Ct.App.1977). No costs are awarded.
IT IS SO ORDERED.
ALARID and APOD ACA, JJ., concur.
. Although the caption used by the parties at trial and on appeal includes Opal A. Campbell and Sam T. Campbell among the group of defendants-appellees, the arguments on appeal concern claims by or on behalf of Ms. Hinton and Threet and King. For this reason, we have designated them in the opinion as appellees.
. Appellant had made all payments due with respect to the trailer park until August 1977, when she defaulted on an underlying real estate contract. The vendor terminated the contract due to this default, during the period after the two complaints were filed and prior to trial.
. The court of appeals decision was filed May 3, 1984. The sheriffs return of service is dated July 7, 1984. In November, the Bernalillo County district court ordered distribution to Sutin, Thayer & Browne in partial satisfaction of their charging lien. Pursuant to the court's order, Robison paid the sum of $14,743, from which $4,315.20 was deducted in favor of appellant for costs.
. It was not clear whether appellant relies on the 1978 notices. Because we assume the 1977 notice was effective as a notice until 1984, we need not analyze the effect of those notices.
. There is no evidence before the trial court of the fund’s present value. However, counsel for Sutin, Thayer & Browne stated at the hearing that it contained over $60,000. There was no dispute. | [
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OPINION
DONNELLY, Chief Judge.
Landowner appeals from a judgment following a jury trial in a condemnation action. The central issue raised on appeal is whether the trial court erred in refusing landowner’s requested jury instruction setting forth the elements of the unity rule for valuation of property in an eminent domain proceeding. We affirm the trial court’s ruling.
The State Highway Department (state) filed eminent domain proceedings to condemn a portion of landowner’s property for a highway interchange at the intersection of Interstate Highway 25 and Los Angeles Boulevard (now Paseo del Norte) in Albuquerque. Landowner owned two tracts, a triangular parcel and a larger tract. The two parcels were separated by a drainage channel owned by the City of Albuquerque. The state condemned all of the triangular parcel and a portion of the larger parcel, for a total of approximately 2.607 acres. Landowner claimed no severance damages to the remaining property as a result of the condemnation.
Three appraisers testified at trial and each gave disparate opinion testimony as to the value of the land taken. Richard Godfrey, an expert witness for the state, testified that the property taken should be valued uniformly at $1.50 per square foot, resulting in a total damage award of $170,-500.00. Armand Smith, another expert appraiser called by the state, calculated the value of the triangular parcel separately from that of the larger tract. He testified that the fair market value of the two parcels was $2.00 and $1.60 per square foot, respectively, for a total of $194,500.00. In contrast, landowner’s appraiser, John Blatnik, valued the triangular parcel at $2.80 per square foot and the land taken from the larger tract at $2.50 per square foot. Blatnik testified that the market value for the combined taking was $293,000.00. The landowner also testified concerning the value of the property, stating that the value of the triangular parcel was $3.00 to $4.00 per square foot and $2.50 to $3.00 per square foot for the larger tract. In landowner’s opinion, the total market value of the land condemned by the state was $299,834.50.
Landowner submitted a proposed jury instruction that provided: “In order to consider two tracts of land as one combined tract, all of the following three factors must be present: (1) physical contiguity, (2) unity of use, and (3) unity of ownership.” The trial court refused the tendered instruction.
The trial court, however, submitted landowner’s requested instruction no. 6 to the jury. This instruction set forth landowner’s theory that the proper method of determining compensation for the property should be based upon the total taking of the “triangle” portion of land, and a partial taking of the remainder. The instruction also provided that the amount of compensation to which landowner is entitled for a total taking is the fair market value of the parcel on the date of the taking, and that the “amount of compensation in a partial taking is the difference between the fair market value of the entire parcel of property immediately before the taking and the fair market value of the remaining portion of that parcel of property immediately after the taking.”
At the conclusion of trial, the jury returned a verdict finding the total value of the condemned property to be $182,500.00. On appeal, landowner argues that the trial court’s failure to give his tendered instruction constituted prejudicial error.
UNITY RULE
Landowner contends that the trial court erred in denying his requested jury instruction setting forth the elements of the unity rule. Landowner argues the evidence at trial indicated that the triangular parcel and the larger tract were two separate parcels, which did not meet the unity test for valuation as one single tract. Landowner also asserts that the trial court’s refusal of his requested instruction prevented the jury from properly determining the damages that should be awarded, because the omission failed to apprise the jury of the appropriate standard to use in determining the value of the property. Underlying landowner’s several contentions is his claim that the tendered instruction was necessary to capsulize the evidence and support, his theory of valuation. The thrust of landowner’s argument is that because the award of damages was below the values testified to by each of the appraisers, except Godfrey, and because Godfrey testified that the value of all the property taken from both tracts should be established at a uniform rate of $1.50 per square foot, presumptively the jury found that the property taken should be valued uniformly as one single tract. We find no error in the court’s denial of the instruction.
It is a well-settled principle that a landowner is entitled to just compensation when his property is taken by condemnation. Mountain States Tel. & Tel. Co. v. New Mexico State Corp. Comm’n, 90 N.M. 325, 563 P.2d 588 (1977); U.S. Const. amend. V; N.M. Const, art. 2, § 20. Where only a single parcel is involved, determination of the condemnation award is made within the analytical framework of whether the taking is “entire” or only “partial”. State Comm’r of Transp. v. Silver, 92 N.J. 507, 457 A.2d 463 (1983). New Mexico law provides for the following mea sure of damages in a “partial” condemnation proceeding:
In any condemnation proceeding in which there is a partial taking of property, the measure of compensation and damages resulting from the taking shall be the difference between the fair market value of the entire property immediately before the taking and the fair market value of the property remaining immediately after the taking.
NMSA 1978, § 42A-1-26 (Repl.Pamp.1981).
This “before and after” rule is designed to compensate the landowner for any diminution in the fair market value of the remaining land caused by the taking. El Paso Elec. Co. v. Pinkerton, 96 N.M. 473, 632 P.2d 350 (1981). The “fair market value” is determined by examining what an unobligated willing purchaser would pay. Id.
On the other hand, where there are two separate parcels of land and only one parcel is condemned in its entirety, the functional unity or combination of the separate parcels is a pertinent consideration in assessing the fair market value of the remaining parcel as an element in the overall award of just compensation. See State Comm’r of Transp. v. Silver. Thus, appraising and valuing two or more parcels as separate and distinct, or deeming them to be a part of one large tract, affects the amount of compensation awarded.
The unity rule is a method commonly used to determine whether two or more parcels of land constitute a single tract for the purpose of ascertaining the market value of the property taken, or for the purpose of determining severance damages to the remaining property not subject to condemnation. See United States v. 40,021.64 Acres of Land, 387 F.Supp. 839 (D.N.M.1975); 4A J. Sackman, Nichols’ The Law of Eminent Domain, § 14.26 (Rev.3d ed. 1985); Annotation, Unity of Ownership Necessary to Allowance of Severance Damages in Eminent Domain, 95 A.L. R.2d 887 (1964); Annotation, Unity or Contiguity of Properties Essential to Allowance of Damages in Eminent Domain Proceedings on Account of Remaining Property, 6 A.L.R.2d 1197 (1949).
Generally, the unity rule permits two or more parcels of land to be deemed one tract for the purpose of condemnation when they are contiguous or in near proximity and are united in use and ownership. Commonwealth, Dep’t of Transp. v. Crafton-Duncan, Inc., 668 S.W.2d 62 (Ky.App.1984). See also Babinec v. State, 512 P.2d 563 (Alaska 1973) (the three factors of physical contiguity, ownership, and use are utilized to determine whether property taken constitutes part of a larger parcel); City of Winston-Salem v. Tickle, 53 N.C.App. 516, 281 S.E.2d 667 (1981) (laying out the test for unity of lands).
Under certain circumstances, however, the presence of each of the three unities is not required. The importance of each factor depends upon the circumstance of each case. See United States v. Evans, 380 F.2d 761 (10th Cir.1967); Ives v. Kansas Turnpike Authority, 184 Kan. 134, 334 P.2d 399 (1959); Barnes v. North Carolina State Highway Comm’n, 250 N.C. 378, 109 S.E.2d 219 (1959); 4A J. Sackman, supra, § 14.26. In State ex rel. State Highway Comm’n v. Gray, 81 N.M. 399, 400-401, 467 P.2d 725, 726-727 (1970), the supreme court noted that “[i]n order to consider two tracts of land as one larger tract, in condemnation proceedings, the three factors of contiguity, unity of use, and unity of ownership must be considered * * *. [A]ll three must generally be present in order to consider two tracts of land to be one combined tract.” (Emphasis added; citations omitted.) As indicated in these opinions, the unity rule is subject to certain exceptions. Landowner’s tendered instruction, however, failed to apprise the jury of applicable exceptions.
A party is entitled to have the jury instructed upon all correct legal theories of his case when the instruction comes within the ambit of the pleadings and there is evidence to support it. Mac Tyres, Inc. v. Vigil, 92 N.M. 446, 589 P.2d 1037 (1979); McNeely v. Henry, 100 N.M. 794, 676 P.2d 1359 (Ct.App.1984). A proffered instruction, however, must be in accord with the evidence and constitute a correct statement of the law. SCRA 1986, 1-051(A), (B), (I). See also Hudson v. Otero, 80 N.M. 668, 459 P.2d 830 (1969); Gerrard v. Harvey & Newman Drilling Co., 59 N.M. 262, 282 P.2d 1105 (1955); Pittard v. Four Seasons Motor Inn, Inc., 101 N.M. 723, 688 P.2d 333 (Ct.App.1984). An instruction defining a legal term must explain the meaning of the term according to the facts of the case, and make clear and understandable the other instructions to which it applies. See Stambaugh v. Hayes, 44 N.M. 443, 103 P.2d 640 (1940); Seamless Floors By Ford, Inc. v. Value Line Homes, Inc., 438 S.W.2d 598 (Tex.Civ.App.1969).
The function of an instruction is to instruct the jury as to the law applicable to the case and to assist it in reaching a fair and impartial verdict based upon the facts presented at trial. See Embrey v. Galentin, 76 N.M. 719, 418 P.2d 62 (1966); see also SCRA 1986, 1-051(F); 13-301; 13-2005. As observed in 75 Am.Jur.2d, Trial Section 613 (1974), an instruction should:
[A]id and assist [the jury] in arriving at a proper verdict, and the instructions given by the trial court should be so drawn as to be easily and readily applied by the jury to the facts of the case under consideration. Such instructions should be clear and understandable, whether they purport to define issues of fact or to state the law applicable to a particular situation. They should be definite and certain as applied to the facts of the case * * *. (Footnotes omitted & emphasis added.)
It is not error to refuse instructions that are incomplete, erroneous or repetitious. Williams v. Cobb, 90 N.M. 638, 567 P.2d 487 (Ct.App.1977) (Hernandez, specially concurring); Goodman v. Venable, 82 N.M. 450, 483 P.2d 505 (Ct.App.1971). See Kinney v. Luther, 97 N.M. 475, 641 P.2d 506 (1982). Landowner’s tendered instruction was unaccompanied by other language or instructions necessary to make the instruction meaningful or understandable to the jury. Under the facts herein, the jury could properly have found that the lands taken were used jointly as one tract despite the fact they were separated by a drainage channel. As observed by 4A J. Sackman, supra, at Section 14.26[1]:
Physical separation by an intervening space between two parcels belonging to the same owner is ordinarily ground for holding that the parcels are independent of each other, but it is not necessarily a conclusive test. If the land is actually occupied or in use, unity of the use is the chief criterion. (Footnotes omitted.)
Landowner responds to the state’s argument that the proposed instruction is abstract, incomplete, and misleading, by asserting that because this objection was not voiced below, the contention cannot now be raised for the first time on appeal. Under the posture of the case before us, however, our appellate review of this issue is not so narrowly restricted. As observed in Melton v. New Mexico Dep’t of Human Services, 97 N.M. 102, 637 P.2d 52 (Ct.App.1981), a correct decision of the trial court will not be reversed if under any reasonable view of the facts and law, the judgment is proper. We follow this rule even if the trial court has reached the correct result for the wrong reason. See H.T. Coker Constr. Co. v. Whitfield Transp. Inc., 85 N.M. 802, 518 P.2d 782 (Ct.App.1974); Holmes v. Faycus, 85 N.M. 740, 516 P.2d 1123 (Ct.App.1973).
The trial court properly instructed the jury as to the law applicable to the facts and its refusal to give landowner’s tendered instruction was not error.
The judgment of the trial court is affirmed. Oral argument is unnecessary. Garcia v. Genuine Parts Co., 90 N.M. 124, 560 P.2d 545 (Ct.App.1977). We do not discuss the state’s cross appeal because it has been abandoned. A cross appeal is considered abandoned where no brief is presented in support thereof. Mercantile Nat. Bank v. Moya, 74 N.M. 521, 395 P.2d 241 (1964).
IT IS SO ORDERED.
GARCIA and APODACA, JJ., concur. | [
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OPINION
GARCIA, Judge.
This appeal concerns a domestic relations dispute. Petitioner, Eusebio Bustos (husband) sought a dissolution of marriage, custody of two minor children and child support. Respondent, Rose Mary Gilroy (wife) counter-petitioned also seeking a dissolution of marriage, custody, support, and an equitable division of the parties’ property and indebtedness. The major dispute in this appeal concerns wife’s attorney fees and legal costs incurred as a result of the divorce. At trial, wife sought to have the parties’ attorney fees and costs declared a community debt and equally divided. In the alternative, she requested an award of her own attorney fees alleging that economic disparity justified a fee award.
The trial court entered a partial decree dissolving the marriage, awarding wife exclusive custody of the children, awarding husband specific visitation rights and ordering him to pay child support. Judgment was reserved on the remaining property, debt and attorney fee issues. In a subsequent letter decision, the trial court determined that the community debts equaled the stipulated value of the communal assets. The assets and corresponding debts were awarded to husband.
The trial court rejected wife’s argument that the parties’ aggregate attorney fees be considered community debts and divided between them. Instead, the court directed that each side pay his or her own attorney fees and costs. The trial court further denied wife’s request for attorney fees based on its determination that there was no economic disparity between the parties and that a fee award was not necessary for the efficient preparation and presentation of wife’s case.
Wife’s appeal raises numerous issues. Many of the claimed errors overlap and concern the trial court’s determinations and rulings on attorney fees. We discuss these issues separately. Additionally, wife contends that the trial court erred in finding that a $2,000 loan was a community debt and lastly, that the court erred in denying wife’s motion for a new trial.
I. Attorney Fees
a. Whether the parties legal expenses incurred pursuant to their divorce are presumed a community debt.
Principally, wife argues that the parties’ legal expenses relating to their divorce were presumptively community debts under NMSA 1978, Section 40-3-9 (Repl.1986) and in the absence of a showing by husband sufficient to overcome the presumption, the court should have declared these costs and expenses community debts and should have divided them equally between the parties.
Wife argues that we are faced with a threshold determination of whether NMSA 1978, Section 40-4-7 (Repl.1986) (expenses of divorce proceedings) or Section 40-3-9 (separate or community debts) is the statute applicable to this proceeding. We disagree that one statute must be considered to the exclusion of the other. Rather, we see the law relating to domestic relations as a mosaic. While composed of separate and distinct pieces, it should be viewed in total, and construed, if possible, so as to produce a harmonious whole. See Mathieson v. Hubler, 92 N.M. 381, 588 P.2d 1056 (Ct.App.1978). Statutes should be construed so that no word and no part of the statute is rendered surplusage or superfluous. Katz v. New Mexico Dep’t of HumaServs. Income Support Div., 95 N.M. 530, 624 P.2d 39 (1981). A review of the proceedings here, including the record proper, the trial court’s decision letter, and findings and conclusions indicate that the trial court considered both Sections 40-3-9 and 40-4-7 in arriving at its final decision.
Wife relies on Christiansen v. Christiansen, 100 N.M. 102, 666 P.2d 781 (1983) to support her argument that legal expenses must be treated as community debts. Wife’s reliance on Christiansen, however, is misplaced. In Christiansen, the trial court treated both husband’s and wife’s litigation expenses as communal debts. Wife challenged the trial court’s refusal to award her attorney fees and costs. On appeal, the supreme court held that the trial court did not abuse its discretion in its rulings concerning the legal fees.
Christiansen neither compels the result wife seeks in the present case nor applies a presumption of community indebtedness. Under the facts of Christiansen, the supreme court simply indicated that the trial court did not abuse its discretion in treating legal expenses as community debts or in denying wife’s request for a fee award.
Although we disagree with wife that legal expenses incurred pursuant to the parties’ divorce are presumptively community debts, we agree with her argument, that the trial court erred in concluding that no portion of her attorney fees constitute a communal expense. Section 40-3-9(B) provides that a community debt means a debt contracted or incurred by either spouse during marriage which is not a separate debt. NMSA 1978, Section 40-3-10.1 (Repl.1986) provides that “[t]he court, at the time of the final decree of dissolution of marriage, may declare, as between the parties, a debt to be unreasonable if it was incurred by a spouse while the spouse was living apart and the debt did not contribute to the benefit of both spouses or their dependents.” (Emphasis added.) It is clear that both conditions must be satisfied before a debt may be considered “unreasonable.” Thus, a debt incurred while the parties were living apart which did not benefit both parties or their dependents may be deemed unreasonable and considered the separate debt of the party incurring such expense.
It is undisputed that wife’s attorney fees were incurred during marriage but while the parties were living apart. Thus, the first portion of the statutory test is satisfied. The trial court further refused to find that wife’s attorney fees contributed in part to the benefit of the children. Accordingly, the trial court found and con- eluded that wife’s attorney fees were unreasonable under Section 40-3-10.1 and, thus, wife was solely responsible for their payment. It is this finding that causes us pause. We can locate no evidence to support the court’s determination that wife’s attorney fees did not, in any respect, benefit the parties’ dependents. To the contrary, the court specifically determined that it was in the best interest of the children that wife retain exclusive legal and physical custody of the children. Thus, the trial court determined both that wife’s expenditures for attorney fees did not benefit the children, but that the settlement negotiated by wife’s New Mexico attorney was in the best interest of the children. Wife argues, and we agree, that there is an inherent conflict in these findings.
Shortly after moving to New York in May 1985, wife retained New York attorney David Kagan (Kagan) to give her legal advice as to the parties’ separation and probable divorce. A week later, husband filed for divorce and sought custody of the children and child support. Wife counterclaimed for custody and child support. Shortly thereafter, but during the pendency of the New Mexico proceeding, Kagan obtained a temporary custody order on behalf of wife.
In late June or early July, Kagan spoke with husband’s attorney concerning contact between husband and wife, the children, and the possibility of a reconciliation or settlement between the parties. Kagan also aided mother in obtaining the services of New Mexico attorney Thomas Patrick Whelan (Whelan).
Husband actively sought custody from June 1985, when his complaint was filed, until approximately March 1986, when Whelan successfully negotiated a favorable settlement whereby husband finally agreed to settle the child custody issue and stipulate that the childrens’ custody should be placed with wife. Moreover, Whelan also helped effect a stipulation and settlement of the thorny issue of child visitation. Unable to agree on the issue of child support, however, wife was required to litigate that matter before the court. Wife succeeded in obtaining an award of child support.
Resolving issues of child custody, visitation and support necessarily require a determination of what is in the best interest of the children. The trial court’s finding that none of wife’s attorney fees, including that portion expended towards resolving issues involving the children, benefited the children, is contrary to the evidence.
A judgment cannot be sustained on appeal unless the conclusion upon which it is based finds support in the findings of fact. Worland v. Worland, 89 N.M. 291, 551 P.2d 981 (1976). A finding of fact, however, will not be upheld on appeal unless it can be sustained by the evidence or inferences made therefrom. Barber’s Super Markets, Inc. v. Stryker, 84 N.M. 181, 500 P.2d 1304 (Ct.App.1972).
Although arguably wife was the primary beneficiary of her legal services, in light of the court’s findings that the custodial arrangements were in the children’s best interest, we hold that those legal fees wife incurred by seeking settlement of child custody and visitation constitute community debts under Section 40-3-10.1. Moreover, those attorney fees wife incurred as a result of litigating the issue of child support likewise constitute a communal expense. Thus, finding nos. 10 and 11 are error. Accordingly, the trial court’s finding and ultimate conclusion that all wife’s attorney fees are excessive and unreasonable is likewise error. Hence, we reverse the court’s determination that no portion of wife’s attorney fees constitute community debts.
We remand this matter to the trial court in order that the court determine what portion of wife’s attorney fees benefited the parties’ dependents. Those fees shall be declared communal debts. Revised findings should be entered and a disposition of these and other community debts shall be made by the trial court. Although a portion of father’s attorney fees were likewise expended towards benefiting the children in both negotiating a settlement and litigating child support, father failed to preserve the issue below. See Hamel v. Winkworth, 102 N.M. 133, 692 P.2d 58 (Ct.App. 1984). Father, likewise, failed to raise the issue on appeal and, thus, we will not consider it. Robison v. Katz, 94 N.M. 314, 610 P.2d 201 (Ct.App.1980).
b. Whether the trial court erred in refusing to award wife attorney fees pursuant to Section 40-4-7(A).
Wife alternatively alleges that the trial court erred in refusing to grant her an award of her attorney fees based upon her period of unemployment when she moved to New York. Wife argues that her unemployment resulted in economic disparity which justified such an award. She further asserts that the trial court erred by speculating on her future income in its determination that there was no economic disparity between the parties which would allow her an award of attorney fees. We disagree.
Section 40-4-7(A) allows the trial court, in its discretion, to make an order, relative to the expenses of the proceedings, as will ensure either party an efficient preparation and presentation of his case. The supreme court has consistently held that it is within the discretion of the trial court to determine whether to award attorney fees and an appellate court may reverse that determination only if there has been an abuse of discretion. Henderson v. Lekvold, 99 N.M. 269, 657 P.2d 125 (1983); Seymour v. Seymour, 89 N.M. 752, 557 P.2d 1101 (1976). If there is economic disparity between the parties in a domestic relations case, such that one party may be inhibited from preparing or presenting a claim, then the trial and appellate courts should be liberal in exercising their discretion to award attorney fees to discourage any potential judicial oppression. Allen v. Allen, 98 N.M. 652, 651 P.2d 1296 (1982). “In determining whether to award attorney fees, a court should consider all factors, including the nature of the proceedings, the complexity of the issues, the relief sought and recovered, the ability of the parties’ attorneys and the ability of both parties to pay.” Fitzsimmons v. Fitzsimmons, 104 N.M. 420, 429, 722 P.2d 671, 680 (Ct.App.1986) (citing Michelson v. Michelson, 89 N.M. 282, 551 P.2d 638 (1976)). The relative financial status of the parties and their ability to employ counsel are further relevant and necessary inquiries. Michaluk v. Burke, 105 N.M. 670, 735 P.2d 1176 (Ct.App.1987); Berry v. Meadows, 103 N.M. 761, 713 P.2d 1017 (Ct.App.1986) (citing Henderson v. Lekvold).
In Fitzsimmons, we noted that both parties were employed and earning their own income at the time of the trial court’s hearing and held that, notwithstanding that husband’s income was more than twice that of wife, the trial court did not abuse its discretion in determining that each party pay their respective counsel. Similarly, in the present case, the trial court found that while the parties were together in New Mexico, wife’s annual income of approximately $21,500 was larger than husband’s income and that wife paid most household expenses. At the time of trial, wife was employed at an annual salary of approximately $28,000 and was to receive child support from husband. Wife’s salary at the time of trial was greater than husband’s. Moreover, due to wife’s superior education, training and experience, her earning potential was greater than husband’s. The trial court noted that since both parties had able counsel and both had an income at the time of the formal hearing, neither had an unfair financial advantage over the other. Accordingly, the trial court found that an award of fees was not necessary and denied wife’s request.
The trial court’s findings regarding the absence of economic disparity are supported by substantial evidence. Although we do not view the trial court’s denial of attorney fees as error, success on the merits is a factor which the trial court may properly consider in awarding attorney fees. See Fitzsimmons v. Fitzsimmons. Thus, in light of wife’s success on appeal, we suggest the trial court reconsider its ruling under Section 40-4-7(A).
II. Whether the trial court erred in its division of community property and community debts.
Wife’s alleges the trial court erred in the division of community property and community debts. Wife submits that the trial court’s finding that a $2,000 debt to James Gilroy, her brother, was a community debt is unsupported by any evidence. Wife further contends that as a result of this error husband was awarded $6,000 worth of community property in return for assuming $4,000 in community debts. Citing Michelson v. Michelson, and Hughes v. Hughes, 91 N.M. 339, 573 P.2d 1194 (1978), wife argues that this result violates the rule of equal division of community property and debts. We note that the general rule to which wife refers is tempered by the longstanding recognition that mathematical exactness in community division is neither expected nor required and that a proper apportionment of community property and debts depends on what is fair considering all of the evidence with reference to the facts and circumstances of each case. Michelson v. Michelson; Laughlin v. Laughlin, 49 N.M. 20, 155 P.2d 1010 (1944). See Sparks v. Sparks, 84 N.M. 267, 502 P.2d 292 (1972).
In this case, although the expenditure of the $2,000 loan is unclear, the uncontroverted evidence is that the debt was incurred while the parties were married and living together. It is presumed that debts incurred during the marriage are debts of the community. First Nat’l Bank v. Abraham, 97 N.M. 288, 639 P.2d 575 (1982). Thus, the burden was on wife, as the party asserting that the loan was husband’s separate debt, to present evidence sufficient to rebut the presumption of community debt. On appeal, wife points to no evidence in the record from which the trial court could have determined that wife overcame that presumption. This unrebutted presumption suffices to support the trial court’s finding of community debt. Considering the above together with the deference generally afforded the trial court in such matters, nothing in the record suggests that the trial court erred in its ruling on the community assets and debts.
Our decision that a portion of wife’s attorney fees constitute a community debt, however, will alter the trial court’s prior distribution of community property and debts. Thus, on remand, the trial court must reconsider its distribution of both community debts and community property.
III. Whether the trial court erred in refusing to grant wife a new trial.
In her final argument, wife submits that the district court abused its discretion when it denied her motion for a new trial. The motion was supported by wife’s affidavit which alleged that subsequent to the final hearing held on February 3, 1986, husband told her that he had lied when he denied, under oath, that he had threatened her and the children with a loaded revolver, and that he did so to protect his brother, a district attorney, from embarrassment. Wife argues on appeal that this alleged occurrence constituted newly discovered evidence of perjury, and that the impact of his lie affected the trial court’s determination that her New York legal expenses were unreasonable.
Husband claims this issue does not appear in the docketing statement; wife replies that it does, either expressly or by necessary implication under the appellate court’s policy of reading docketing statements liberally. See State v. Rael, 100 N.M. 193, 668 P.2d 309 (Ct.App.1983). Even assuming, without deciding, that the issue is properly before this court, based on our holding that the findings and conclusions in the final decree regarding legal fees are supported by substantial evidence, wife’s argument fails to persuade us. Moreover, even if the allegations of wife’s affidavit are assumed true, both parties had already testified about the revolver incident. Therefore, the allegations would not constitute newly discovered evidence, but rather would go only to the credibility of husband’s testimony. Wife presently has exclusive custody of the children and the allegations would not assist her in establishing a basis for the award of her legal expenses under the applicable law. Accordingly, the trial court did not abuse its discretion in denying wife’s motion for a new trial.
CONCLUSION
We remand to the trial court for a determination of what portion of wife’s attorney fees were expended in settling child custody and visitation and litigating child support. Accordingly, we direct the trial court to reconsider both wife’s argument regarding the award of attorney fees under Section 40-4-7(A) and the distribution of community property and debts. We further direct the trial court to enter revised findings consistent with our mandate. We affirm, however, the trial court’s refusal to grant wife a new trial. Wife is awarded costs and attorney fees of $1,500 on appeal.
IT IS SO ORDERED.
DONNELLY, C.J., and ALARID, J., concur. | [
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] |
OPINION
WALTERS, Justice.
Plaintiff Melnick began a State Farm Insurance Agency in Los Alamos in 1946. On May 13,1980, State Farm Mutual Insurance Company terminated Melnick’s insurance agency contract and ordered him to cease operation of his agency. Melnick requested a termination review hearing, and State Farm impaneled a review committee which recommended that Melnick’s termination be upheld. The president of State Farm reviewed the committee’s findings and adopted its recommendation. Melnick subsequently filed actions against State Farm and requested a jury trial.
Evidently, Melnick at one time advanced two arguments in the district court: (1) State Farm breached the agency contract in terminating the insurance agency without a showing of good cause; and (2) State Farm breached an implied covenant of good faith and fair dealing when it terminated the insurance agency. At trial, however, Melnick expressly abandoned the breach of express contract argument, and that claim is not before us. At the close of plaintiff’s evidence, State Farm moved for a directed verdict on the implied covenant issue, and the trial court denied the motion. The next morning, however, the judge did direct a verdict for State Farm, entering a judgment which recited that a duty of good faith attaches to the performance of every contract, including contracts terminable-at-will, but that State Farm did not terminate Melnick’s agency in bad faith. Melnick moved for a new trial; the court denied the motion, and Melnick appeals.
Melnick claims that the trial judge’s reversal of her interlocutory ruling on directed verdict constituted reversible error, arguing that when she initially denied State Farm’s motion, she necessarily found that reasonable minds could differ as to whether State Farm was liable for terminating in bad faith his insurance agency. Without citation to any authority, Melnick claims the trial judge could not thereafter take that issue from the jury by entering a directed verdict in favor of State Farm.
State Farm responds that no covenant of good faith and fair dealing exists or can be implied in an at-will employment relationship of indefinite duration that is defined by a wholly integrated, written contract. In the alternative, State Farm claims that even if a covenant of good faith and fair dealing is implied in an at-will employment contract, it did not terminate Melnick in bad faith. It is State Farm’s position that because it was entitled to judgment as a matter of law, the trial court did not err in directing a verdict in its favor.
Denial of a motion for a directed verdict at the close of a plaintiff’s evidence is interlocutory because it leaves the case in the trial court for further proceedings. But the trial court may revise or rescind an interlocutory order at any time before entry of a judgment that concludes the litigation. See Barker v. Barker, 94 N.M. 162, 165, 608 P.2d 138, 141 (1980); State v. Doe, 99 N.M. 460, 463, 659 P.2d 912, 915 (Ct.App.1983). A trial court may reconsider the denial of any motion for directed verdict based on legal issues raised by the motion. Kinetics, Inc. v. El Paso Products Co., 99 N.M. 22, 24, 653 P.2d 522, 524 (Ct.App.1982) (upholding grant of directed verdict subsequent to jury deadlock and after twice denying such motion); cf. Becker v. Hidalgo, 89 N.M. 627, 629, 556 P.2d 35, 36-37 (1976) (trial court may grant summary judgment despite previous entry of pretrial order listing contested issues of fact). It was not reversible error, therefore, for the court initially to deny State Farm’s directed verdict motion and then later grant it. A trial court has the inherent authority to reconsider its interlocutory orders, and it is not the duty of the trial court to perpetuate error when it realizes it has mistakenly ruled. The focus, then, is whether a directed verdict was warranted in this case.
Our case law consistently has supported the proposition that if reasonable minds can differ on the conclusion to be reached under the evidence or the permissible inferences to be drawn therefrom, the question is one for the jury and it is error to direct a verdict. E.g., Simon v. Akin, 79 N.M. 689, 690, 448 P.2d 795, 796 (1968). Over the years, however, we have stated in at least three different ways the manner in which a court must consider a motion for a directed verdict. One line of cases has declared that in reviewing a motion for a directed verdict, a court must consider only the nonmoving party’s evidence, together with all reasonable inferences which could be deduced therefrom, in a light most favorable to that party. E.g., McGuire v. Pearson, 78 N.M. 357, 358, 431 P.2d 735, 736 (1967).
Second, and similarly, some of our opinions state that courts must accept as true all portions of the nonmoving party’s testimony and all reasonable inferences flowing therefrom which tend to prove that party’s case and must disregard all conflicts and all evidence which tend to weaken or disprove it. E.g., Simon, 79 N.M. at 690, 448 P.2d at 796; Simon Neustadt Family Center v. Bludworth, 97 N.M. 500, 507, 641 P.2d 531, 538 (Ct.App.1982). This, too, could be construed to mean that courts may view only the nonmovant’s evidence.
Third, later New Mexico cases have said that in reviewing a directed verdict judgment, courts must consider all evidence, insofar as the properly admitted evidence is uncontroverted, and all reasonable inferenees deducible therefrom in a light most favorable to the party resisting the motion. That rule was stated by us most recently in Skyhook Corp. v. Jasper, 90 N.M. 143, 146, 560 P.2d 934, 937 (1977), and in Strickland v. Roosevelt County Rural Elec. Coop., 94 N.M. 459, 464, 612 P.2d 689, 694 (Ct.App.1980), cert. denied, 99 N.M. 358, 658 P.2d 433 (1983), and 463 U.S. 1209 (1983). Several earlier cases appear to support this standard of review inasmuch as they reviewed a directed verdict motion granted at the close of all evidence, and in those cases the appellate court said that the trial judge must view “the evidence” in a light most favorable to the nonmoving party.
Oftentimes, when judges consider a directed verdict motion at the close of plaintiff’s evidence, only plaintiff's evidence is available to assess. That is not always the case, however; in fact, that is not the case here. State Farm introduced evidence during its cross-examination of Melnick’s witnesses. In reconciling the conflict in the scope of review standard announced in our cases, we would think it absurd to ignore uncontradicted testimony, because it may be unfavorable to the nonmovant, in ascertaining whether facts exist which might lead reasonable minds to opposing conclusions. We therefore adopt and reaffirm the better reasoned standard announced in Skyhook, applicable to both trial and appellate courts. Archuleta, 86 N.M. at 95, 519 P.2d at 1176. To the extent that other cases state a contrary standard of review, we overrule those opinions.
Skyhook delineates the correct standard as follows:
Neither the trial court in ruling upon a motion for a directed verdict, nor an appellate court in reviewing the evidence on appeal from a judgment entered pursuant to a directed verdict, is authorized to consider only the evidence most favorable to the party opposing the motion. All the evidence must be reviewed, but, if there be conflicts or contradictions in the evidence, these conflicts must be resolved in favor of the party resisting the motion. Insofar as the properly admitted evidence is uncontroverted, it must be considered. However, if any uncontradicted evidence, including the reasonable inferences deducible therefrom, may reasonably be interpreted in different ways, then the interpretation most favorable to the resisting party must be accepted.
90 N.M. at 146, 560 P.2d at 937. See also Blume, Origin and Development of the Directed Verdict, 48 Mich.L.Rev. 555, 581 (1950) (judge must look at all evidence in considering motion for directed verdict); J. Walden, Civil Procedure in New Mexico § 9c(2)(a), at 225 (1973) (in deciding whether to grant directed verdict, judge may grant motion only after considering all evidence in light most favorable to nonmoving party and arriving at conclusion that evidence as matter of law is insufficient to justify verdict in party’s favor). Federal courts have adopted the same standard of review for a directed verdict motion. See 5A J. Moore, Moore’s Federal Practice ¶ 50.02[1], at 50-30 (2d ed. 1987) (federal appellate courts consider all evidence when reviewing directed verdict motion).
To announce a standard of review, however, is far simpler than to apply it. The varying nature of fact situations in each trial prohibits an outline of precise guidelines that would govern the outcome of every directed verdict motion. The principal consideration, however, is recognition that interference with the jury function must be minimized so that erosion of a litigant’s right to a trial by jury is not effected. 9 C. Wright & A. Miller, Federal Practice & Procedure § 2524, at 545 (1971). To remove a case from the jury, it should be clear that the nonmoving party has presented no true issues of fact which that party has the right to have decided by his peers. Sanchez, 57 N.M. at 387, 259 P.2d at 348. If the evidence fails to present or support an issue essential to the legal sufficiency of a legally recognized and enforceable claim, the right to a jury trial disappears. American Employers’ Ins. Co. v. Crawford, 87 N.M. 375, 376, 533 P.2d 1203, 1204 (1975). The basis for a directed verdict, therefore, is the absence of an issue for the jury to resolve. Sanchez, 57 N.M. at 387, 259 P.2d at 348. There is no doubt that a directed verdict enhances judicial efficiency by allowing the trial judge to conclude a jury trial when the facts and inferences are so strongly and overwhelmingly in favor of the moving party that the judge believes that reasonable people could not arrive at a contrary result. Campbell v. Mouton, 373 So.2d 237, 238 (La.App.1979), cert. denied, 415 So.2d 954 (1982). But it is also a drastic measure, and the language of Sanchez v. Gomez is worth including here:
[W]e wish to re-emphasize that where the evidence is as controverted as it is in the case at bar, even though, to the presiding judge, the possibility of a recovery by the plaintiff may appear remote and even though the court may be motivated in its action in directing the verdict by a sincere desire to spare the plaintiff from the further and additional expense which more prolonged proceedings may entail, the party aggrieved may not in such manner be deprived of a jury determination.
57 N.M. at 392, 259 P.2d at 351.
Professors Wright and Miller emphasize that the question is not whether literally no evidence exists to support the party against whom the motion is made, but whether evidence exists upon which a jury properly could return a verdict for that party. 9 C. Wright & A. Miller, § 2524, at 543. Professor Moore suggests that a directed verdict is proper only when it is obvious to the judge that the nonmoving party has no pretense of a prima facie case. 5A J. Moore, II 50.02[1] at 50-16.1. Professor Walden observes that a directed verdict is proper only when no substantial evidence supports one or more essential elements of the nonmovant’s claim. J. Walden, § 9c(3) at 235-36.
Applying the above considerations, we affirm the trial court's judgment entered pursuant to a directed verdict, not because there was a complete absence of evidence of bad faith to support Melnick’s claim, but because we do not recognize a cause of action for breach of an implied covenant of good faith and fair dealing in an at-will employment relationship. See Smith v. Price’s Creameries, Div. of Creamland Dairies, Inc., 98 N.M. 541, 546, 650 P.2d 825, 830 (1982) (motivation of party in cancelling contract terminable-at-will is immaterial); Salazar v. Furr’s, Inc., 629 F.Supp. 1403, 1410 (D.N.M.1986) (no cause of action for breach of implied covenant of good faith and fair dealing in New Mexico). We are not inclined to redefine the law of at-will employment contracts in New Mexico.
When an employment contract is not supported by any consideration other than performance of duties and payment of wages, and there is no explicit contract provision stating otherwise, it is an employment contract for an indefinite period and terminable-at-will by either party. Sanchez v. The New Mexican, 106 N.M. 76, 78, 738 P.2d 1321, 1323 (1987); Vigil v. Arzola, 102 N.M. 682, 685, 699 P.2d 613, 616 (Ct.App.1983), modified, 101 N.M. 687, 687 P.2d 1038 (1984); Garza v. United Child Care, Inc., 88 N.M. 30, 31, 536 P.2d 1086, 1087 (Ct.App.1975). Generally, either an employee or an employer may terminate an at-will employment contract at any time, for any reason, without liability. Sanchez, 106 N.M. at 79, 738 P.2d at 1324; Smith, 98 N.M. at 546, 650 P.2d at 830; Bottijliso v. Hutchison Fruit Co., 96 N.M. 789, 791, 635 P.2d 992, 994 (Ct.App.1981). Exceptions to this general rule are: (1) wrongful discharge in violation of public policy (retaliatory discharge); (2) implied contract that restricts the employer’s power to discharge; and (3) tortious or contractual breach of an implied covenant of good faith and fair dealing. We recognize the first two exceptions. See Boudar v. E.G. & G., Inc., 106 N.M. 279, 283, 742 P.2d 491, 495 (1987) (addressing breach of implied employment contract and public policy tort); Sanchez, 106 N.M. at 78, 738 P.2d at 1323 (noting public policy, retaliatory discharge exception to employment terminable-at-will rule); Forrester v. Parker, 93 N.M. 781, 782, 606 P.2d 191, 192 (1980) (employer’s personnel guide constituted implied employment contract).
Several jurisdictions have permitted suit for breach of an implied covenant of good faith and fair dealing in an employment contract. Courts have defined “bad faith” as conduct by the employer extraneous to the employment contract aimed at frustrating the employee’s enjoyment of contractual rights, Khanna v. Microdata Corp., 170 Cal.App.3d 250, 262, 215 Cal.Rptr. 860, 867 (1985); Hinson v. Cameron, 742 P.2d 549, 553 (Okl.1987); have equated “bad faith” with fraud, deceit, or misrepresentation, A. John Cohen Ins. v. Middlesex Ins. Co., 8 Mass.App. 178, 183, 392 N.E.2d 862, 864 (1979); and have acknowledged it in a termination with the intent to deprive wrongfully the employee of commissions or other benefits, or for any other wrongful or unconscionable purpose, Fortune v. National Cash Register Co., 373 Mass. 96, 105, 364 N.E.2d 1251, 1257 (1977); Dull v. Mutual of Omaha Ins. Co., 85 N.C.App. 310, 354 S.E.2d 752, 757 (1987).
Numerous other jurisdictions, however, as New Mexico, have refused to recognize a cause of action for breach of an implied covenant of good faith and fair dealing in at-will employment contracts. Although Arizona and Connecticut have adopted an implied covenant of good faith and fair dealing in employment at-will contracts, they have rejected the contention that a no-cause termination breaches the implied covenant. See Wagenseller v. Scottsdale Memorial Hosp., 147 Ariz. 370, 385, 710 P.2d 1025, 1040 (1985) (covenant protects employee from discharge based on employer’s desire to infringe on contractual rights such as payment of benefits earned, but does not protect discharge to avoid tenure required to earn pension or retirement benefits); Magnan v. Anaconda Indus., Inc., 193 Conn. 558, 570-71, 479 A.2d 781, 788-89 (1984) (breach of implied covenant of good faith cannot be predicated on absence of good cause for discharge from at-will employment). But see Gerdlund v. Electronic Dispensers Inti, 190 Cal.App.3d 263, 276, 235 Cal.Rptr. 279, 286 (1987) (covenant of good faith and fair dealing sometimes requires showing of good cause for termination when contract silent or ambiguous on subject).
We align also with those courts that have refused to apply an implied covenant of good faith and fair dealing to override express provisions addressed by the terms of an integrated, written contract. We cannot change or modify the language of an otherwise legal contract for the benefit of one party and to the detriment of another. Smith, 98 N.M. at 545, 650 P.2d at 829. “Contractual provisions relating to termination or cancellation of an agreement not arrived at by fraud, or unconscionable conduct, will be enforced by law. [Citations omitted.] Where a contract provides for a manner by which termination can be effected, those provisions must ordinarily be enforced as written.” Id. at 546, 650 P.2d at 830. At least two jurisdictions have held a State Farm Insurance agency contract, similar to, if not identical with the Melnick contract, to be unambiguous and integrated, to be terminable-at-will, and not to require a showing of cause to terminate the insurance agency. See Mooney v. State Farm Ins. Co., 344 F.Supp. 697, 700 (D.N.H.1972); Scola v. State Farm Ins. Co., No. 1 Civ. 46985 (Cal.Ct.App.1981).
The agency contract between Mel-nick and State Farm was fully integrated, clear, and unambiguous, and we decline to rewrite the valid agreement by imposing an obligation not found in its specific, express terminology. It recites that the contract “constitutes the sole and entire Agreement between the parties hereto,” and that “[y]ou or State Farm have the right to terminate this Agreement by written notice delivered to the other * * Upon termination of an agency by State Farm, the agent is entitled to a termination review hearing and to termination payments. Although dissatisfied with the membership of the review panel and the presentation of charges and evidence against him, Melnick concedes that State Farm adhered to all procedures governing the termination review and made all termination payments. Having closely reviewed the entire contract, we are obliged to conclude that Mel-nick is entitled to nothing further. He had an agency agreement with State Farm, the agreement was for an indefinite period, and it was terminable-at-will.
This decision does no injury to the law of contracts or of employment. Parties to a contract may negotiate and bargain for provisions which are beneficial to them. A dissatisfied party to a valid contract should not be allowed to rewrite the provisions to which he initially assented. Although an employer may agree to restrict or limit his right to discharge an employee, to imply such a restriction in an employment-at-will relationship, which by its very nature has no restrictions, is inherently unsound. Thompson, 102 Wash.2d at 228, 685 P.2d at 1086.
Employers are entitled to be motivated by and to serve their own legitimate business interests, and they must have wide discretion and flexibility in deciding who they will employ in an uncertain business world. Fortune, 373 Mass. at 102, 364 N.E.2d at 1256. The employers’ interests in conducting their businesses as they see fit must be balanced with the interests of their employees in keeping their jobs. Thompson, 102 Wash.2d at 227, 685 P.2d at 1086. But to imply in every employment situation a covenant of good faith prohibiting dismissal except for good cause could be likened to a judicial call for collective bargaining. Magnan, 193 Conn. at 570, 479 A.2d at 788; Thompson, 102 Wash.2d at 228, 685 P.2d at 1086-87. Protection of employees does not require such a restriction on an employer’s discretion in managing his work force or such an imposition upon the courts. Parnar, 65 Haw. at 377, 652 P.2d at 629; Brockmeyer, 113 Wis.2d at 569, 335 N.W.2d at 838.
Giving effect, then, to the continued vitality of the employment-at-will doctrine, we hold that in the absence of a showing of improper motivation, overreaching, or discharge for a reason contrary to public policy, Melnick was not entitled to a showing of good cause or an absence of bad faith before State Farm could terminate his agency.
Because Melnick has no cause of action for breach of implied covenant of good faith and fair dealing, and because State Farm was entitled to judgment as a matter of law, the judgment entered pursuant to a directed verdict in the district court is AFFIRMED.
IT IS SO ORDERED.
SOSA, Senior J„ and STOWERS, J., concur.
. See Archuleta v. Pina, 86 N.M. 94, 95, 519 P.2d 1175, 1176 (1974); Sanchez v. Gomez, 57 N.M. 383, 387, 259 P.2d 346, 348 (1953); Morris v. Cartwright, 57 N.M. 328, 332, 258 P.2d 719, 722 (1953); Cavazos v. Geronimo Bus Lines, 56 N.M. 624, 627, 247 P.2d 865, 866 (1952); Sandoval v. Cortez, 88 N.M. 170, 173-74, 538 P.2d 1192, 1195 (Ct.App.1975); Brown v. Hall, 80 N.M. 556, 557, 458 P.2d 808, 809 (Ct.App.), cert. denied, 80 N.M. 607, 458 P.2d 859 (1969).
. See, e.g., Petersen v. First Fed. Sav. & Loan Ass'n of Puerto Rico, Inc., 617 F.Supp. 1039, 1042 (D.V.I.1985) (recognizing cause of action for implied covenant of good faith and fair dealing in at-will employment contract); Mitford v. De Lasala, 666 P.2d 1000, 1007 (Alaska 1983) (same); Cleary v. American Airlines, Inc., 111 Cal.App.3d 443, 453, 168 Cal.Rptr. 722, 728 (1980) (concept of good faith and fair dealing applies to all contracts); Albee v. Wolfeboro R.R. Co., 126 N.H. 176, 179, 489 A.2d 148, 151 (1985) (every contract contains implied covenant of good faith and fair dealing); Association Group Life, Inc. v. Catholic War Veterans, 61 N.J. 150, 153, 293 A.2d 382, 384 (1972) (implied covenant of good faith and fair dealing in every contract).
. See, e.g., Goldblum v. Union Mut. Life Ins. Co., Nos. H-84-1675, H-84-4355, H-85-5156 (S.D.Tex.1987) (WESTLAW, Allfeds library, Dist file [1987 WL 12258]); Scholtes v. Signal Delivery Serv., Inc., 548 F.Supp. 487, 494-95 (W.D.Ark.1982); Pittman v. Larson Distrib. Co., 724 P.2d 1379, 1385 (Colo.App.1986); Parnar v. Americana Hotels, Inc., 65 Haw. 370, 377, 652 P.2d 625, 629 (1982); Morriss v. Coleman Co., 241 Kan. 501, 517, 738 P.2d 841, 851 (1987) (implied covenant of good faith and fair dealing is overly broad and should not apply to employment at-will contracts); Hunt v. IBM Mid Am. Employees Fed. Credit Union, 384 N.W.2d 853, 858 (Minn.1986); Neighbors v. Kirksville College of Osteopathic Medicine, 694 S.W.2d 822, 824, (Mo.App.1985); Jeffers v. Bishop Clarkson Memorial Hosp., 222 Neb. 829, 833, 387 N.W.2d 692, 695 (1986); Murphy v. American Home Products Corp., 58 N.Y.2d 293, 304-05, 461 N.Y.S.2d 232, 239, 448 N.E.2d 86, 89, (1983) (refusing to adopt cause of action for tortious discharge of at-will employment contract); Hillesland v. Federal Land Bank Ass’n, 407 N.W.2d 206, 214 (N.D.1987); Hinson, 742 P.2d at 554 (same); Jones v. Keogh, 137 Vt. 562, 564, 409 A.2d 581, 582 (1979) (no remedy for employee at-will discharged as result of bad faith, malice, or retaliation); Brockmeyer v. Dun & Bradstreet, 113 Wis.2d 561, 579, 335 N.W.2d 834, 838 (1983); Thompson v. St. Regis Paper Co., 102 Wash.2d 219, 227, 685 P.2d 1081, 1086 (1984).
. See Goldblum, supra n. 3 (no implied covenant as to matter specifically covered by written contract); Borbely v. Nationwide Mut. Ins. Co., 547 F.Supp. 959, 975 (D.N.J.1981) (no support for proposition that implied covenant of good faith and fair dealing may impose condition in direct contravention of unequivocal provision in contract covering identical subject); Abrahamson v. NME Hosp., Inc., 195 Cal.App.3d 1325, 1329, 241 Cal.Rptr. 396, 399 (1987) (refusing to engraft upon employment contract covenant of good faith and fair dealing because contract clear and unambiguous, and covenant would rewrite it); Gerdlund, 190 Cal.App.3d at 276, 235 Cal.Rptr. at 286 (no obligation can be implied which would overrule express right conferred in contract); Exxon Corp. v. Atlantic Richfield Co., 678 S.W.2d 944, 947 (Tex.1984) (no implied covenant as to matters expressly and unambiguously covered by written contract); Mann v. American Western Life Ins. Co., 586 P.2d 461, 465 (Utah 1978) (reaffirming strong reluctance to rewrite contracts for litigants because consequences of enforcement of contracts they signed seemed unfair). | [
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OPINION
WALTERS, Justice.
Petitioner Charles R. Smith has requested issuance of a writ of superintending control, directed to Respondent, to prevent enforcement of Respondent’s order requiring Mr. Smith to sign a document requesting and authorizing his personal physician to disclose “any and all information” in the doctor’s possession regarding Mr. Smith, to defense counsel. The order would permit such disclosures out of the presence of Mr. Smith or his attorneys.
Counsel for the real parties in interest argue that the order is necessary because without it, even though the doctor-patient privilege has been abolished as pertains to the rules of evidence (see SCRA 1986, 11-501 through 11-514), physicians jealously guard the confidential relationship existing between a patient and his physician, and consider a breach of such confidentiality without the patient’s consent to be an ethical breach of their Hippocratic oath.
That argument fails as a reason for requiring the consent requested. Mr. Smith’s counsel has agreed in writing that any and all of the information sought may be furnished by his doctor, if his attorneys are present at the time any oral communications are made by the doctor to defense counsel.
Moreover, there are traditional legal means of obtaining medical information through conventional discovery procedures. SCRA 1986, 1-026. Defense counsel urges the necessity of the order compelling Mr. Smith to sign the consent and authorization requested on grounds that the cost of deposing a doctor is prohibitive in many cases. That argument, too, must be rejected. Expenses incurred in depositions by written interrogatories, for instance, surely should not equal the costs of oral depositions. Additionally, the patient here is willing to permit complete disclosure to opposing counsel by his doctor, upon condition that his counsel also be present at the time of disclosure.
This Court has long recognized the relationship of trust and confidence between a physician and patient. Woods v. Brumlop, 71 N.M. 221, 377 P.2d 520 (1962). In Petrillo v. Syntex Laboratories, Inc., 148 Ill.App.3d 581, 102 Ill.Dec. 172, 499 N.E.2d 952 (1986), the Illinois appellate court joined the “growing number of courts which have found that public policy strongly favors the confidentiality of the physician-patient relationship and thereby prohibits, because of the threat posed to the sanctity of that relationship, extra-judicial ex parte discussion of a patient’s medical confidences.” Id. 102 Ill.Dec. at 177, 499 N.E.2d at 957. Further, “we find it difficult to believe that a physician can engage in an ex parte conference with the legal adversary of his patient without endangering the trust and faith invested in him by his patient.” Id. 102 Ill.Dec. at 182, 499 N.E.2d at 962.
Society’s interest in preserving the confidential nature of the physician-patient relationship is, through our decision to bar ex parte conferences, also fostered by members of the public who look to the court system for justice will know that although they have consented to the release of information regarding the condition placed at issue, they have not, by instituting litigation, automatically consented to a complete breakdown of the trust and confidentiality embodied in the physician-patient relationship.
Id. 102 Ill.Dec. at 187, 499 N.E.2d at 967. We agree with Petrillo that public policy dictates that practices and procedures in litigation should not allow for unnecessary breakdown of the trust and confidentiality embodied in the physician-patient relationship. As we have noted, this is not a question of privilege, for there is no longer a physician-patient privilege in New Mexico. Rather, this is a recognition that it is neither good nor necessary, particularly under the facts of this case, that litigants perceive their privacy interests and other personal relationships threatened by court-ordered ex parte encroachments by the opposing party.
We encourage non-formal discovery at its most inexpensive level, and that would appear to be available in this case under the consent form offered by Petitioner. There well may be cases or instances when a party would have no objection to ex parte communications between his doctor and his adversary. But when the patient objects to ex parte communications between his doctor and anyone else, we see no logical reason for ordering that type of discovery, disclosure, or communication — particularly when, as here, the patient willingly agrees that the communication may occur when his attorney is also present. We are not persuaded that a forced intrusion by opposing counsel into the confidential and fiduciary relationship between doctors and patients will provide any relevant information not otherwise available with the added presence of the patient’s attorney during such disclosures. See Wenninger v. Muesing, 307 Minn. 405, 240 N.W.2d 333, 337 (1976).
For the above reasons, a permanent writ of superintending control shall issue forthwith prohibiting Respondent from enforcing the order which compels Petitioner to authorize and consent to his physician’s ex parte communications with counsel for the real parties in interest.
IT IS SO ORDERED.
SCARBOROUGH, C.J., and RANSOM, J., concur. | [
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OPINION
SOSA, Senior Justice.
This case originated when a builder’s supply company (not a party to this appeal) filed a complaint for money due and foreclosure against Michael J. Kirkpatrick and Gail L. Rein (Owners), who are cross-defendants-appellees in the present appeal. The builder’s supply company sought payment for materials it had supplied to the Owners’ contractor for use in building the Owners’ residence. The contractor had filed for bankruptcy, leaving some $33,000 in unpaid claims outstanding against the Owners’ property. Among these claims was that of cross-claimant-appellant Pete Pybum (Pybum), who had provided labor and materials to the Owners’ residence. After a hearing on September 8, 1986, before the trial judge sitting without a jury, the court entered judgment in favor of the Owners against Pyburn. For the reasons stated below, we reverse.
FACTS
The Owners engaged the contractor to build for them a single-family residence in Los Alamos. The contract provided that payment of $91,808 was to be made in five installments. Four installments had been made when the contractor, on January 3, 1985, informed the Owners that he was going to file for bankruptcy and discontinue construction of their home. On the same date the contractor gave the Owners a list of debts totaling some $33,000 which had accrued as a result of labor and/or materials furnished to the Owners’ residence by persons other than the contractor. Pyburn’s name was on this list, and under the heading “invoice to be furnished,” there was a check mark opposite Pyburn’s name. Under “amt. + tax” on the list, the words “estimated [$]4,691.25” appeared opposite Pyburn’s name.
It is undisputed that the Owners did not make the fifth installment payment to the contractor, and that they had to expend their own money to complete the construction of their residence after the contractor abandoned the project. Pyburn contends he was unaware of the communication which took place between the Owners and the contractor on January 3,1985, and that he continued working on the project in good faith until January 23, 1985, running up a total of some $7,000 in expenditures, of which the Owners paid him only $2,000.
Pyburn filed a claim of lien on March 12, 1985. He contends on appeal that NMSA 1978, Section 48-2-6 (Repl.Pamp.1987) is controlling, arguing that since that section requires him to have filed his claim of lien within ninety days, his claim of lien filed on the sixty-eighth day after January 3, 1985 is perfected against the Owners.
CONSTRUCTION OF NMSA 1978, CHAPTER 48
In Armstrong v. C & D Plumbing, Inc., 106 N.M. 155, 740 P.2d 705 (1987), we were confronted with a similar factual situation. In that case a lien-claimant had filed its claim (relying on NMSA 1978, Section 48-2-10.1 (Cum.Supp.1985)) before the Owners made final payment to the contractor (who likewise had abandoned the project and filed for bankruptcy), and the Owners in that case knew of the claim of lien. Here the owners knew of Pyburn’s claim of debt, but not his claim of lien, as none had been filed. In addition, the contractor’s abandonment here takes on the flavor of an agreement, in which he and the owners worked out details by which construction was to be finished and some subcontractors were to be paid and some not.
In Armstrong v. C & D Plumbing, Inc., relying on Aztec Wood Interiors, Inc. v. Andrade Homes, Inc., 104 N.M. 45, 716 P.2d 236 (1986), we defined “innocent owners” as those who have no notice, actual or constructive, of intervening claims of lien asserted by unpaid materialmen. In Aztec Wood Interiors, Inc. v. Andrade Homes, Inc., we also defined “all amounts due and owing” in Section 48-2-10.1(A) as “final payment.” Since final payment was not made here, the Owners cannot avail themselves of Section 48-2-10.1. Further, although there was no intervening claim of lien, the Owners nonetheless had notice that Pyburn had not been paid by the contractor. Unlike the situation in Aztec Wood Interiors, the Owners here are not innocent as to Pyburn’s claim of debt, and thus he is entitled to recover against them for the remaining amount of his claim. Since no notice was given by the contractor as required in Section 48-2-10.1(B), the twenty-day notice requirement of that section is not applicable here, and Pyburn is entitled to rely on the ninety-day notice provision of Section 48-2-6.
Accordingly, we reverse the judgment and remand the ease to the trial court for action not inconsistent with this decision.
IT IS SO ORDERED.
STOWERS and WALTERS, JJ., concur. | [
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OPINION
SOSA, Senior Justice.
Defendant-Appellant, Roberson Construction Co., Inc. (Roberson) appeals from the judgment granted to plaintiffs-appellees, Levon and Elmaise Register (the Registers). The cause of action had been initiated by ten plaintiffs, including the Registers, against four defendants. Eventually a settlement removed all parties from the case except the parties to this appeal. After a trial without jury on a seven-count complaint which, for purposes of this appeal may be considered an action for fraud, the trial court entered judgment in favor of the Registers. We affirm.
FACTS
In April 1979, Roberson began to subdivide certain property which it owned in Albuquerque, known as the Carson-Grande Addition, for the purpose of building and selling residential townhomes. Roberson’s intention was to establish seventy such homes in the subdivision, but by 1980 only ten units had been completed, and several residents, who eventually became plaintiffs in the action against Roberson and the other defendants, were beginning to express doubt that Roberson had the intention of completing the subdivision as promised.
In accordance with NMSA 1978, Sections 47-7-1 through 47-7-28 (Repl.Pamp.1982), the “Building Unit Ownership Act,” and pursuant to Section 47-7-11, Roberson prepared a “Declaration of Covenants, Conditions, and Restrictions Relative to CarsonGrande Addition.” Among other stipulations the declaration stated:
[1] The areas designated on the plan as ‘pool’ and the areas shown adjacent to the lots are designated common areas
[2] Every person or entity who is a record owner of a fee * * * interest in any living unit will be a member of Carson-Grande Homeowners Association***.
[3] Builder will transfer the Common Areas to the Association, free from encumbrances, not later than July 1, 1984
[4] The provisions of the Declaration are ‘covenants running with the land,’ will run with and bind the land, and will bind, inure to the benefit of, and be enforceable by, the Association, or any member, and their respective legal representatives * * * for a term of twenty (20) years from the date this Declaration is recorded * * *.
In spite of the four stipulations set forth above, Roberson never constructed a pool; never activated the homeowners association; did not transfer the common areas to the association, and amended the declaration so as to eliminate the planned construction of a pool.
In August 1981, the Registers (husband and wife) came from out of state and began looking for a home to purchase in Albuquerque. In September 1981, prior to purchasing a home in the subdivision, the Registers were given a Roberson brochure by a Roberson sales representative. Portions of the brochure provided, “In the spirit of Old Town, the essence of the comfortable Southwestern lifestyle has been captured in Villa De Los Castillos [the name given to the subdivision]---- Villa De Los Castillos — the perfect marriage of traditional beauty and contemporary comfort. To live at the Villas is to truly understand the meaning of living the comforta ble life.” Included in the brochure was a site plan showing some sixty-nine numbered units, a pool complex which appears roughly five times the size of each living unit, and a large area designated “future art gallery.”
The Registers testified at trial that Roberson’s sales agent told them that the pool would be completed; that it would be a large, Olympic-sized pool; that Mrs. Register testified that the pool was a crucial item in her decision to buy the house because of her arthritic condition; that the agent further told the Registers that the subdivision would be completed according to the general description on the site plan; that a security wall would be completed and security services provided; and that only well-established persons would be interested in purchasing homes in Villa De Los Castillos, owing to the superior construction of the homes and the various amenities to be provided. Another agent of Roberson told the Registers that when the subdivision was completed according to plan, their house (purchased for $131,000) would likely have a value of $250,000. Finally, Roberson’s agents told the Registers that no homes would be built in the subdivision of a lesser quality or price, so that the exclusivity of the environment and the socio-economic status of the owners would be preserved.
In actuality, none of the promises made to the Registers were realized. The pool was never built and grading was never done, with the result that large “ponds” of rainwater collected in the yards of the homes. Further, rainwater leaked though the Registers’ roof, ruining their carpet. Insulation was not installed — at least not until the Registers threatened to contact federal officials. Two weight-bearing beams in their home showed cracks; weeds collected in the subdivision and were not cut down; the subdivision became a gathering place for people who sat in their cars, drank alcoholic beverages, and threw their refuse into the uncompleted area of the subdivision; a woman was beaten; people crossed over the Registers’ property; and two years after the Registers moved in, during which time Roberson had not completed any further units, Roberson sold the subdivision to another company, which proceeded to offer homes for sale advertised in the local newspaper, “From $72,900.”
The Issue of Fraud
We conclude that the testimony at trial, the depositions on file, and the exhibits of record, especially the photographic and artistic exhibits, are sufficient to support the trial court’s findings of fact and conclusions of law establishing a pattern of commission and omission amounting to fraud. Insofar as omission is concerned, the trial court found that the following information was withheld from the Registers: Roberson did not have sufficient funds to complete the project as promised; at the time of sale Roberson had no intention of completing the project as promised; Roberson had no intention of building the promised swimming pool, and there was no significant resale market for the home purchased by the Registers. Generally speaking, the court’s findings of fact are perhaps best summarized by a statement made by Mrs. Register during her deposition testimony: “We purchased a lifestyle that was serene, quiet. We didn’t get that. We got a slum that was totally abandoned by the builder.”
Scrutiny of the photographic exhibits substantiates Mrs. Register’s testimony. Yet, our conclusions concerning the facts of this case are not based on an original and independent analysis of the record. Rather, we take the trial court’s findings of fact as binding because that is our duty on appeal. Tafoya v. Casa Vieja, Inc., 104 N.M. 775, 727 P.2d 83 (Ct.App.1986); Duke City Lumber Co. v. Terrel, 88 N.M. 299, 540 P.2d 229 (1975). Roberson argues that the findings of fact are not borne out by substantial evidence and urges us to ignore them. We disagree. Substantial evidence is such relevant evidence as a reasonable mind might accept as adequate to support a conclusion. Ruidoso State Bank v. Castle, 105 N.M. 158, 730 P.2d 461 (1986); Toltec Int’l., Inc. v. Village of Ruidoso, 95 N.M. 82, 619 P.2d 186, (1980). There is ample evidence in the record before us to support the factual conclusions reached by the trial court.
Roberson next argues that the court below did not enter conclusions of law sufficient to establish the elements of the tort of fraud. The classic definition of actionable fraud has been stated often as “a misrepresentation of a fact, known to be untrue by the maker, and made with an intent to deceive and to induce the other party to act upon it with the other party relying upon it to his injury or detriment.” Unser v. Unser, 86 N.M. 648, 653-54, 526 P.2d 790, 795-96 (1974). While it is true that the trial court in its conclusions of law did not list these elements in order, and did not specify which facts are related to each of the elements, the court nonetheless defined a general nexus between the findings of fact and conclusions of law sufficient to establish the tort of fraud.
Roberson further argues that there is nothing in the findings which establishes the requisite intent to deceive, suggesting perhaps that the Registers’ theory of recovery should have been based on breach of warranty or similar action, rather than on the tort of fraud. While it is true that an action for fraud will ordinarily not lie as to a pattern of conduct based on promises that future events will take place, there are nonetheless the following well-established exceptions to this rule, all of which are pertinent here, notably, where the promises are based on contrary facts peculiarly within the promisor’s knowledge, see Eade v. Reich, 120 Cal.App. 32, 7 P.2d 1043 (1932), or where the promise is based on a concealment of known facts, see Patterson v. Western Loan & Bldg. Co., 155 Or. 140, 62 P.2d 946 (1936). Further, if the promise as to future events is part of an overall pattern designed to lead a party to act to his/her detriment, and in such a way as harmfully to alter a legal right possessed by the party, then promises as to future actions will support an action for fraud, See Cockrill v. Hall, 65 Cal. 326, 4 P. 33 (1884), especially in a situation where the defendant states an opinion or b.elief as to future occurrences which are shown to have had no support by the facts at the time the opinions or beliefs were given. See White v. Financial Guar. Cory., 13 Cal.App.2d 93, 56 P.2d 550 (1936). See also our own statement as to this issue in Telman v. Galles, 41 N.M. 56, 63 P.2d 1049 (1936).
Damages
Roberson contends that rescission is not a proper remedy because the Registers did not tender their home to Roberson prior to filing this complaint. While ordinarily a tender of the consideration paid is necessary before one can seek a rescission of the contract, here a tender would have been meaningless since it was obvious that Roberson lacked the financial resources to effectuate a repurchase. Further, the Registers had burdened their home with a substantial mortgage, making a tender of the property to Roberson virtually impossible under the circumstances. The trial court properly adjusted the equities between the parties in its final decree. See Woods v. City of Hobbs, 75 N.M. 588, 408 P.2d 508 (1965).
The court computed damages by crediting to the Registers the down payment made on the house at closing, plus the monthly mortgage payments they had made from closing to date of judgment, less the fair rental value of the home for the same period of time. As to the period after judgment, the court added, “Registers deed townhome to Roberson, which assumes mortgage or pays off mortgage. Roberson can sell townhome to recoup all or part of damages.”
Ordinarily, in fraud cases such as this, we have followed the benefit-of-the-bargain rule with respect to damages, in which the defrauded party may recover the difference between the actual and represented values of the property purchased. Stewart v. Potter, 44 N.M. 460, 104 P.2d 736 (1940) Industrial Supply Co. v. Goen, 58 N.M. 738, 276 P.2d 509 (1954). Here, however, while the trial court found the actual value of the Registers’ home to be $125,000, the court did not determine what the represented value was. The court relied instead on our more general statement of the measure of damages by which defrauded purchasers are “entitled to recover such damages as are the direct and natural consequence of their acting in reliance upon [the false representations].” Industrial Supply Co. v. Goen. Id. at 743, 276 P.2d at 512. The trial court thus computed the damages accurately, for the direct and natural consequence of the Registers relying on Roberson’s fraudulent misrepresentations amounted to the Registers losing the down payment they had made, plus their mortgage payments, less the rental value of their house.
Accordingly, the judgment of the trial court is affirmed.
IT IS SO ORDERED.
STOWERS and RANSOM, JJ., concur. | [
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] |
OPINION
GARCIA, Judge.
This appeal comes before this court for decision after the case was submitted to an advisory committee pursuant to an experimental plan. See Patterson v. Environmental Improvement Div., 105 N.M. 320, 731 P.2d 1364 (Ct.App.1986); Stoll v. Dow, 105 N.M. 316, 731 P.2d 1360 (Ct.App.1986); Boucher v. Foxworth-Galbraith Lumber Co., 105 N.M. 442, 733 P.2d 1325 (Ct.App.1986). The committee rendered a unanimous decision and the parties were so notified. Only Dawn Enterprises Inc. (Dawn) filed a response memorandum. This court has considered the transcript and briefs in this case, together with the opinion of the advisory committee and Dawn’s response thereto. It is the decision of this court that the opinion of the advisory committee should be adopted, in modified form, as follows.
Defendant Dawn appeals from the judgment rendered against it in favor of Morris Oil Company, Inc. (Morris), based upon a determination that Rainbow Oilfield Trucking, Inc. (Rainbow) was Dawn’s agent when it incurred indebtedness with Morris. We affirm the trial court.
FACTS
Appellant Dawn, the holder of a certificate of public convenience and necessity, is engaged in the oilfield trucking business in the Farmington area. Rainbow was a New Mexico corporation established for the purpose of operating an oilfield trucking business in the Hobbs area. Defendant corporations entered into several contracts whereby Rainbow would be permitted to use Dawn’s certificate of public convenience and necessity in operating a trucking enterprise in Hobbs. Dawn reserved the right to full and complete control over the operations of Rainbow in New Mexico. Dawn was to collect all charges due and owing for transportation conducted by Rainbow and, after deducting a $1,000 per month “clerical fee” and a percentage of the gross receipts, was to remit the balance to Rainbow. Under a subcontract entered into by defendants, Rainbow was to be responsible for payment of operating expenses, including fuel; further, the subcontract provides that all operations utilizing fuel were to be under the direct control and supervision of Dawn. All billing for services rendered by Rainbow would be made under Dawn’s name, with all monies to be collected by Dawn.
Defendants also entered into a terminal management agreement which provided that Dawn was to have complete control over Rainbow’s Hobbs operation. The agreement further recited that Rainbow was not to become the agent of Dawn and was not empowered to incur or create any debt or liability of Dawn “other than in the ordinary course of business relative to terminal management.” The agreement recited that Rainbow was to be an independent contractor and not an employee, and that liability on the part of Rainbow for creating charges in violation of the agreement would survive the termination of the agreement. Dawn was to notify Rainbow of any claim of such charges whereby Rainbow would assume the defense, compromise or payment of such claims.
Rainbow operated the oilfield trucking enterprise under these contractual documents, during which time Rainbow established a relationship with plaintiff Morris, whereby Morris installed a bulk dispenser at the Rainbow terminal and periodically delivered diesel fuel for use in the trucking operation. The enterprise proved unprofitable, however, and Rainbow ceased its operations and ultimately declared bankruptcy, owing Morris approximately $25,000 on an open account.
When Morris began its collection efforts against Rainbow, it determined that Rainbow had ceased its operations, everyone associated with Rainbow had moved back to Texas and it did not appear likely that the account would be paid. Morris was directed by Rainbow’s representative in Texas to Dawn for payment of the account.
When Rainbow ceased its operations, Dawn was holding some $73,000 in receipts from the Hobbs operation. Dawn established an escrow account through its Roswell attorneys to settle claims arising from Rainbow’s Hobbs operation. When Morris contacted Dawn with regard to the outstanding account, it was notified of the existence of the escrow account and was asked to forbear upon collection efforts, indicting that payment would be forthcoming from the escrow account. Dawn’s representatives indicated that it was necessary to wait for authorization from Rainbow’s parent Texas corporation before paying the account. At no time did Rainbow or Dawn question the amount or legitimacy of Morris’ open account balance.
Dawn’s principal further testified that the subcontract and terminal management agreement were cancelled by Dawn when he learned that Rainbow was incurring debts in Dawn’s name. The charges owing to Morris, however, were incurred in the name of Rainbow and not Dawn.
Although some claims were paid from the attorneys’ escrow account established by Dawn, there was no explanation at trial why the Morris claim was not paid. When Morris learned that the escrow funds had been disbursed without payment of its charges, it instituted this action and also sought to garnish the remaining $13,000 held by Dawn from the impounded funds. Rainbow did not defend, and the trial court entered a default judgment against Rainbow, from which it does not appeal.
DISCUSSION
The trial court found that Dawn retained the right to direct control and supervision of Rainbow’s New Mexico operations, and that in the course of those operations, Rainbow incurred a balance of almost $25,-000 on an open account with Morris for fuel used in the New Mexico operations. The trial court further found that when Rainbow defaulted on payments on Morris’ account, Dawn made representations over a period of time concerning the existence of a fund held by Dawn to settle indebtedness created by Rainbow operating under the subcontract. The court determined that Morris delayed its collection efforts pending disbursement of the funds, and that Dawn was aware that Morris was relying upon Dawn’s representations that payment would be made from the impounded fund. The trial court concluded that Rainbow was at all times in its dealings with Morris the agent of Dawn and, therefore, Dawn was responsible for the account balance.
Dawn urges one point of error on appeal; that the trial court erred in finding liability based on a principal-agent relationship between the defendants. Dawn relies upon the language in the terminal management agreement which states:
4. Rainbow is not appointed and shall not become the agent of Dawn and is not empowered to incur or create any debt or liability of Dawn other than in the ordinary course of business relative to terminal management. Rainbow shall not enter into or cause Dawn to become a party to any agreement without the express written consent of Dawn.
5. Rainbow shall be considered an independent contractor and not an employee of Dawn.
Dawn’s reliance upon these paragraphs of the agreement is unpersuasive for two reasons. First, the agreement specifically states that Rainbow may create liabilities of Dawn in the ordinary course of business of operating the terminal. There is no question that the liability to Morris was incurred in the ordinary course of operating the trucking business. Second, the recitation of the parties in their contractual documents need not bind third parties who deal with one of them in ignorance of those instructions. See South Second Livestock Auction, Inc. v. Roberts, 69 N.M. 155, 364 P.2d 859 (1961); see also Great Northern R.R. Co. v. O’Connor, 232 U.S. 508, 34 S.Ct. 380, 58 L.Ed. 703 (1914).
While Dawn argues from cases discussing apparent authority, we view this as a case of undisclosed agency. Rainbow contracted in its own name and not in the name of Dawn Enterprises, Inc. Thus, this case involves concepts relating to undisclosed agency rather than to apparent authority, and is governed by principles of undisclosed principal-agent contracts. See, e.g., 3 Am.Jur.2d Agency § 316 (1986).
It is well established that an agent for an undisclosed principal subjects the principal to liability for acts done on his account if they are usual or necessary in such transactions. Restatement (Second) of Agency § 194 (1958). This is true even if the principal has previously forbidden the agent to incur such debts so long as the transaction is in the usual course of business engaged in by the agent. Id.
The indebtedness in the instant case is squarely governed by well-established principles of agency where an undisclosed principal entrusts the agent with the management of his business. The undisclosed principal is subject to liability to third parties with whom the agent contracts where such transactions are usual in the business conducted by the agent, even if the contract is contrary to the express directions of the principal. Restatement (Second) of Agency § 195 (1958).
Dawn’s reliance upon Bloodgood v. Woman’s Ben. Ass’n, 36 N.M. 228, 13 P.2d 412 (1932) is misplaced. Indeed, the case stands for the proposition that a principal may limit an agent’s authority, and further, that the limitation will be binding upon a third party dealing with the agent if the third party has knowledge of the limitation of authority. Here there is no evidence that Morris had any actual knowledge of the existence of the Rainbow-Dawn agency, let alone any claimed limitations by Dawn on Rainbow’s authority. It is undisputed that Morris thought it was dealing solely with Rainbow when it sold fuel.
Morris correctly observes that secret instructions or limitations placed upon the authority of an agent must be known to the party dealing with the agent, or the principal is bound as if the limitations had not been made. Chevron Oil Co. v. Sutton, 85 N.M. 679, 515 P.2d 1283 (1973).
Dawn argues that Morris had constructive notice of the alleged limitations because the subcontract between the defendants was filed with the Corporation Commission. The filing of the subcontract does not constitute constructive notice to all third parties of an alleged limitation on an agent’s authority. As stated in NMSA 1978, Section 65-2-81 (Repl.Pamp.1981), the public policy requiring a filing with the Corporation Commission is to implement the transportation policy of the State of New Mexico in furtherance of regulation of common carriers using the state’s highways. The statutes governing common carriers do not state or imply that the filing of documents with the Corporation Commission constitutes constructive notice to all prospective creditors of the specific agency relationship between parties. The mere filing of a document with a public office does not constitute constructive notice of the contents of the document to the public unless the person to be charged with notice should reasonably anticipate that the information will be contained in the documents filed. See Jaquith v. Smith, 112 Vt. 353, 24 A.2d 341 (1942); cf. NMSA 1978, § 14-9-2 (in real estate transactions, a recorded instrument provides construc-
tive notice of its contents). We are not at liberty to supplement the statutory scheme the legislature has provided by adding such a provision.
Finally, Dawn asserts that Morris has made an election to hold Rainbow liable as the agent, and has taken judgment against it. Dawn argues that because Morris has made this election, it cannot now hold Dawn liable.
In Amortibanc Inv. Co. v. Rampart Associated Management, Inc., 6 Kan. App.2d 227, 231, 627 P.2d 389, 394 (1981), the Kansas appellate court succinctly explained the law in this area:
(1) Where a third party enters into a contract with an agent for an undisclosed principal, the third party, upon discovery of the agency, may bring action against both principal and agent. (2) Once the agency has been established, either by admission or by evidence, the third party may be required to elect whether to proceed against the principal or the agent. (3) The right to compel an election belongs to the principal and the agent, though the right to make an election belongs to the third party. (4) If no motion to compel an election is made in the trial court before judgment is entered against either principal or agent, then the matter of election is waived. (5) A judgment on a single contract, entered against both principal and agent, will support but a single recovery. In other words, satisfaction of the judgment by either principal or agent extinguishes the judgment against the other. [Emphasis in original.]
In this case, Dawn did not assert the right to compel an election at trial. For this reason, we consider any right was waived. See Doe v. City of Albuquerque, 96 N.M. 433, 631 P.2d 728 (Ct.App.1981). Additionally, we think it consequential that Dawn was in possession of the proceeds owing to Rainbow. Dawn was the entity making the decisions as to which creditors would be paid. While there were apparently sufficient funds to pay the amount owed to Morris on Rainbow’s open account among Rainbow’s proceeds, Dawn chose not to pay Morris, and in fact, to deduct some $25,000 of the proceeds as its own “clerical fee.” In light of Dawn’s control over Rainbow’s proceeds, we decline to recognize Dawn’s right to compel an election in this matter.
Moreover, assuming arguendo that Dawn was not responsible for the indebtedness to Morris for the reasons urged on appeal, it is clear that Dawn ratified the open account after learning of its existence when Morris contacted Dawn regarding payment. A principal may be held liable for the unauthorized acts of his agent if the principal ratifies the transaction after acquiring knowledge of the material facts concerning the transaction. Ulibarri Landscaping Material, Inc. v. Colony Materials, Inc., 97 N.M. 266, 639 P.2d 75 (Ct.App.1981).
It was undisputed that in several telephone conversations between the principals of Dawn and Morris, the material facts of the Morris open account were disclosed to Dawn. At no time did Dawn dispute the legitimacy or amount of the open account, and indeed assured Morris that payment would be forthcoming from the funds retained from Rainbow’s revenues. Despite this, Dawn used the fund to pay itself a $1,000 per month clerical fee, to pay legal fees incurred as a result of its agency with Rainbow and to settle other claims arising from the Rainbow operations. Where the principal retains the benefits or proceeds of its business relations with an agent with knowledge of the material facts, the principal is deemed to have ratified the methods employed by the agent in generating the proceeds. See id. See also 3 Am.Jur.2d Agency § 194 (1986). The diesel fuel provided by Morris was used in Rainbow’s trucking operation. Dawn collected the receipts due to Rainbow. Dawn seeks to retain the benefits of the agency with Rainbow, and yet at the same time disclaims responsibility for the business of the agent by which the benefits were generated. This it cannot do. Ulibarri Landscaping Material, Inc. v. Colony Materials, Inc.
In sum, for the foregoing reasons, we affirm.
IT IS SO ORDERED.
This court acknowledges the aid of attorneys Chris Key, Thomas B. Stribling, III and Geoffrey D. Rieder in the preparation of this opinion. These attorneys constituted an advisory committee selected by the Chief Judge of this court, and we express our gratitude to them for their voluntary service and for the quality of their work.
BIVINS and MINZNER, JJ., concur. | [
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OPINION
GARCIA, Judge.
We granted defendants’ motion for rehearing to reconsider the issue of whether more than mere ownership is required for a third party to validly consent to a warrant-less search. As a result of the rehearing, we withdraw our opinion filed January 8, 1987 and substitute the following.
Defendants, Craig Hensel (Craig) and Ross Hensel (Ross), appeal the trial court’s order denying their motions to suppress physical evidence obtained as a result of an allegedly illegal search and seizure. Both pled guilty to manufacturing a controlled substance following the trial court’s denial, but expressly reserved the right to appeal the orders. On the state’s motion, we consolidated the cases for appeal. Because the confrontation issue is dispositive of Craig’s appeal, we do not address the remaining issues argued by him. We reverse his conviction for the reasons that follow. The disposition of Ross’ appeal, however, differs from Craig’s. Because we find that Ross does not have standing to challenge the illegal search and seizure, we affirm his conviction.
FACTS
Craig and Ross Hensel are brothers. Along with two other co-defendants, they were arrested following the warrantless search of a house located on the Scully Ranch (Ranch). The police officers conducted the search pursuant to defendants’ mother’s (Mrs. Hensel) consent. Mrs. Hensel is the personal representative of the estate of which the Ranch is an asset. It is undisputed that Mrs. Hensel has never lived in the house or otherwise used the premises for any purpose.
Officer Rogers testified that Mrs. Hensel came to the state police headquarters in Roswell claiming that Craig had stolen her ear and requested assistance in recovering it. Mrs. Hensel indicated that the car could probably be found on the Ranch property where she believed Craig was staying. Mrs. Hensel also told Officer Rogers that Craig would probably be in possession of illegal drugs. She signed an affidavit and a consent to search form, granting the police permission to enter the property to search for the car and drugs. The Ranch is located in the Fort Sumner area, some eighty-seven miles from Roswell. Officer Rogers testified Mrs. Hensel told him the Ranch was abandoned; that Craig did not have permission to be on the property; and that Craig had probably stolen the key to the house from her. Mrs. Hensel did not testify at the hearing.
Craig testified that his mother had given him the Ranch as his share of the estate. He also testified that he resides at the house on a sporadic basis, has items of personal property in the house and has performed repairs and maintenance on the house and surrounding out-buildings. He admitted that he receives no mail at the Ranch and the estate pays all utility bills.
Ross did not testify at the hearing and there is no indication in Craig’s testimony that Ross had his mother’s or Craig’s permission, explicit or implicit, to reside at or otherwise occupy the house. There was no evidence of any kind indicating that Ross was in fact residing at or otherwise occupying the house.
Defendants challenge the admission of Officer Rogers’ testimony concerning Mrs. Hensel’s statements on the grounds of inadmissible hearsay. They argue that Mrs. Hensel’s out-of-court statements concerning her authority to consent were neither reliable nor credible and that she had a motive to lie to Officer Rogers, i.e., she wanted the police to get her car from Craig and to secure the removal of Craig from the house. The trial court admitted Officer Rogers’ testimony on the assumption that it was offered to show Officer Rogers’ state of mind and not to prove the truth of the matters asserted.
At the conclusion of the hearing, the trial court stated that “[t]he resolution of this matter depends upon a determination as to whether or not we have a valid consent to search the [Ranch] home.” The trial court subsequently found that Mrs. Hensel had the authority to validly consent to the warrantless search and that neither Craig nor any of the other defendants arrested at the Ranch had “exclusive use of the property.” The trial court based its findings of valid authority to consent in Mrs. Hensel on the fact that, as personal representative of the estate, she stood in the position of an owner.
DISCUSSION: ROSS’ APPEAL
A defendant may claim the benefits of the exclusionary rule only if he demonstrates a violation of his fourth amendment rights. See State v. Donaldson, 100 N.M. 111, 666 P.2d 1258 (Ct.App.1983). Here, Ross failed to show at the suppression hearing that he had a legitimate expectation of privacy in the premises searched. See State v. Waggoner, 97 N.M. 73, 636 P.2d 892 (Ct.App.1981). A person who is aggrieved by an illegal search and seizure only through the introduction of evidence secured by a search of a third person’s premises or property has not suffered an infringement of his fourth amendment rights. Id. Mere presence is insufficient to give rise to a legitimate expectation of privacy in the premises. Id. (citing Rakas v. Illinois, 439 U.S. 128, 99 S.Ct. 421, 58 L.Ed.2d 387 (1978)). Since Ross did not enjoy a legitimate expectation of privacy in the premises searched, we affirm the court’s denial of his motion to suppress. State v. Beachum, 83 N.M. 526, 494 P.2d 188 (Ct.App.1972) (trial court will be affirmed on appeal if right for any reason).
CRAIG’S APPEAL
As opposed to the situation in Ross’ case, the resolution of Craig’s motion to suppress depends upon a determination of whether Mrs. Hensel, as a third party, could consent to the warrantless search of the house. See United States v. Matlock, 415 U.S. 164, 94 S.Ct. 988, 39 L.Ed.2d 242 (1974); State v. Madrid, 91 N.M. 375, 574 P.2d 594 (Ct.App.1978). The trial court found that the state made a sufficient showing that Mrs. Hensel had authority to consent to the search. We disagree.
The mere fact that Mrs. Hensel stands in the position of an owner of the Ranch is, in itself, not sufficient to support a finding that she had the authority to consent to the warrantless search of the premises. The authority which justifies third party consent does not rest upon the law of property, but rests rather on the mutual use of the property by persons generally having joint access or control. United States v. Matlock, 415 U.S. at 171, n. 7, 94 S.Ct. at 993, n. 7 (1974) (citing Chapman v. United States, 365 U.S. 610, 81 S.Ct. 776, 5 L.Ed.2d 828 (1961)); Stoner v. California, 376 U.S. 483, 84 S.Ct. 889, 11 L.Ed.2d 856 (1964); State v. Madrid. The only other evidence presented to support a finding that Mrs. Hensel had the authority to consent was the testimony of Officer Rogers, which was based exclusively on the out-of-court statements of Mrs. Hensel.
Defense counsel objected to Officer Rogers’ testimony concerning statements made to him by Mrs. Hensel. The trial court initially overruled the objection and allowed Officer Rogers to testify. As the officer continued to relate statements made to him, defense counsel again objected on the grounds of hearsay and that defendant was being deprived of the right of confrontation.
We agree with the state’s argument that the Rules of Evidence are inapplicable to suppression hearings, see SCRA 1986, Rule 11-1101(D)(1), since hearings on motions to suppress require the “ ‘determination of questions of fact preliminary to admissibility of evidence.’ ” J. Weinstein, Federal Rules of Evidence — A Judge’s View, 174 N.Y.L.J. 1, 4 (1975), reprinted in H. Gilmore, Evidence, at 1-14 (1973). This view, however, does not answer defendant’s contention that the statements are still inadmissible. In addition to the hearsay objection, defendant raised a sixth amendment confrontation claim. The fact that the statements were not barred by the Rules of Evidence does not make them per se admissible.
A factual issue is raised as to whether Craig was lawfully utilizing or occupying the premises. Where important facts are to be determined by the factfinder and the burden of proof is on the state, it would be fundamentally unfair to allow the state to prove such facts on purely hearsay evidence, denying the accused the opportunity to cross-examine the declarant. Cf. State v. Asbury, 145 Ariz. 381, 701 P.2d 1189 (App.1984); McLean v. State, 482 A.2d 101 (Del.1984); State v. Wilson, 183 N.J.Super. 86, 443 A.2d 252 (1981); State v. Self, 88 N.M. 37, 536 P.2d 1093 (Ct.App.1975).
By this opinion, we do not intimate that an accused is guaranteed the right to confront all out-of-court declarants in any suppression hearing. The denial of the right of confrontation may be harmless in certain circumstances. State v. Martinez, 99 N.M. 48, 653 P.2d 879 (Ct.App.1982). See also State v. Beck, 97 N.M. 312, 639 P.2d 599 (Ct.App.1982). However, on the facts of this case, it would be fundamentally unfair to find that Craig’s mother validly consented to the warrantless search, while denying Craig the opportunity to confront her in court. The mere fact that Mrs. Hensel stands in the position of an owner of the Ranch, in itself, is insufficient to support a finding that she had the authority to con sent to a warrantless search of the premises. United States v. Matlock.
We hold that Craig was denied his constitutional right to confront the key witness against him. See Mascarenas v. State, 80 N.M. 537, 458 P.2d 789 (1969). As previously noted, the resolution of the motion to suppress depended upon a determination of whether or not Mrs. Hensel validly consented to a search of the Ranch house. The essential part of the case against Craig is contained in allegedly out-of-court statements made by his mother, as related by Officer Rogers. At no time did Craig have an opportunity to cross-examine Mrs. Hensel concerning her authority to consent to a warrantless search. We are hard-pressed to find a more extreme case than this one in which an accused was denied the right of confrontation. See State v. Adrian, 51 Haw. 125, 453 P.2d 221 (1969).
CONCLUSION
We affirm the trial court’s order denying Ross’ motion to suppress and his conviction of trafficking in a controlled substance by manufacture. We reverse Craig’s conviction and the order denying his motion to suppress. Craig’s case is remanded to the district court with instructions to grant him a new suppression hearing and redetermine the lawfulness of Craig’s occupancy of the Ranch house and Mrs. Hensel’s authority to consent to the warrantless search of the Ranch property.
IT IS SO ORDERED.
DONNELLY, C.J., and ALARID, J., concur. | [
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OPINION
GARCIA, Judge.
Respondent, the natural mother of Jason Y., appeals from the order of the children’s court terminating her parental rights to her minor child. We proposed summary affirmance, and mother filed a timely memorandum in opposition. Not persuaded by mother’s memorandum, we now affirm the trial court.
ISSUE
Mother contends that New Mexico’s termination of parental rights statute, NMSA 1978, Section 32-1-54 (Repl.Pamp.1986), is constitutionally defective in that it fails to provide for a defense of mental illness.
FACTS
The facts on appeal are not in dispute. Mother suffers from a chronic mental illness or disorder which has rendered her incapable of being a custodial parent. Her minor child, Jason, was placed in foster care at an early age, and the state initiated a treatment and rehabilitation program for the family. The child was subsequently returned to mother’s physical custody, but despite reasonable efforts by the state to assist mother in adjusting the conditions which made her incapable of caring for her child, the rehabilitation and treatment failed. Mother refused to seek or accept necessary treatment for her condition. The child was again removed from mother’s custody and was ultimately adjudicated an abused or neglected child.
Ultimately, the state petitioned the children’s court to terminate mother’s parental rights, alleging the child had been neglected or abused and that the conditions and causes of neglect were unlikely to change in the foreseeable future despite the state’s efforts to assist respondent in adjusting these conditions. In its petition, the state contended that the child had lived in the home of others for extended periods of time; that the parent-child relationship had disintegrated; and a psychological parent- child relationship had developed between a substitute parent and the child. Finally, the state asserted that the child who was able to express a preference indicated he no longer wished to live with his natural mother.
During the course of proceedings concerning the welfare of the minor child, mother had been involuntarily committed and hospitalized for treatment on at least five occasions. Mother, through counsel, objected to proceeding on the state’s petition for termination of parental rights because she was subject to an involuntary commitment order at the time of the scheduled hearing. Nevertheless, mother, together with counsel, appeared at the hearing, participated in, and presented witnesses and testimony on her own behalf.
Dr. Thomas White, a clinical psychologist, presented evidence that mother is psychotic, she demonstrates paranoid thinking, and thus, is unable to care for her child. He testified that she suffers from a long-term disorder requiring intensive therapy and has little possibility for change in the future. A second psychologist, Dr. Michael Rodriguez, testified that mother was suffering from schizophrenia, that she required medication but refused to take it, and that she was unable to serve as an appropriate parent. He characterized mother as uncooperative. He testified that mother viewed the doctors as part of a plot against her.
A counselor, Joy Flavel, who had worked with the minor child for many months, provided testimony which served as the basis of court findings that the child suffered “night terror” and “day fear.” Ms. Flavel testified that Jason was having bad dreams about his mother kidnapping and hurting him; during the child’s waking hours, he feared that his mother was around. The child was afraid, confused and angry, and felt that he was somehow responsible for his mother’s illness. Ms. Flavel stated that the child had become very anxious and was involved in constant episodes of aggression, including fighting in school and in his foster home. Ms. Flavel related an incident which occurred in the child’s presence, wherein mother physically attacked a Department of Human Services worker. The counselor recommended that Jason have no contact with his mother because he lacked the requisite skills to resolve the feelings and conflicts which resulted from home visits. Other state’s witnesses also provided evidence of mother’s repeated inappropriate, unusual and, at times, violent behavior related to her son.
The mother’s own testimony, as characterized in the docketing statement, was bizarre. She contended that her real child had been abducted by the state. She testified that Jason was not her real child, but only a child who looked like her real son. She testified that since her own mother’s death, she had been unable to face reality. She described the affects of psychotropic medication and why she refused such treatment. The only other witness presented by mother was that of her uncle who testified that mother did a good job of taking care of her children until 1982 or 1983, but since then had been ill.
Based on the testimony, the court concluded that the state had presented clear and convincing evidence that the minor child was abused and neglected and the cause of the child’s status was the behavior of his mother. It also concluded, pertinent to the issue before us, that Section 32-1-54 was not constitutionally defective in failing to provide a defense based on the findings of mental illness. The court determined that the Department of Human Services and other agencies had made reasonable efforts to assist mother but such efforts had failed. Finally, the court determined that mother had been unable to change or adjust the conditions which rendered her unable to properly care for her child and that it was unlikely that those conditions would change in the future. Based on the court’s findings and conclusions, it entered an order terminating mother’s parental rights.
DISCUSSION
Mother’s constitutional attack on the statute is founded upon claims of deprivation of due process and equal protection guarantees under state and federal consti tutions. Mother contends that mental incapacity should be recognized as a defense in termination of parental rights proceedings. She also inferentially argues that proceedings should have been stayed because of her mental incapacity. Mother’s equal protection attack on the statute, while not clearly stated, appears two-pronged: first, defendants in criminal proceedings may assert insanity or mental illness as an affirmative defense. See SCRA 1986, 14-5102 and 14-5103. Because the legislature did not specifically provide for a mental illness defense in the statute, mother claims equal protection violations. Second, New Mexico law grants defendants in criminal cases protections which should be extended to respondents in termination proceedings. We discuss each prong of mother’s argument separately.
In considering constitutional challenges, we first presume the validity of legislative enactments. Espanola Housing Authority v. Atencio, 90 N.M. 787, 568 P.2d 1233 (1977). A court will uphold the efficacy of a statute, unless satisfied beyond all reasonable doubt that the legislature went outside the constitution in enacting the statute. Id. The burden, then, is on the party asserting the unconstitutionality of the enactment to demonstrate to the court that the legislation was clearly arbitrary and unreasonable, not just potentially arbitrary and unreasonable. See Livingston v. Loffland Bros. Co., 86 N.M. 375, 524 P.2d 991 (Ct.App.1974). The court must then review the classification fixed by the legislature to determine whether it violates principles of uniformity or equal protection. See Gallegos v. Homestake Mining Co., 97 N.M. 717, 643 P.2d 281 (Ct.App.1982). Legislative classifications do not violate principles of uniformity or equal protection when they are founded on a reasonable basis or when there is rational justification. Id. “If the objective is legitimate and the classification is rationally related to that objective, it is not unconstitutionally arbitrary.” Id. at 722, 643 P.2d at 286. With these concepts in mind, we turn to mother’s arguments.
EQUAL PROTECTION
Different interests are involved in parental rights termination cases than in criminal cases. Respondent concedes that in proceedings to terminate parental rights, the court is to give primary consideration to the physical, mental and emotional welfare and needs of the child. See In re Adoption of Doe, 99 N.M. 278, 657 P.2d 134 (Ct.App.1982); see also NMSA 1978, Section 32-l-54(A) (Repl.1986). A natural parent’s desire for and a right to the companionship, care, custody and management of his or her child is an important interest that warrants deference and, absent a powerful countervailing interest, protection. Lassiter v. Department of Social Serv. of Durham County, North Carolina, 452 U.S. 18, 101 S.Ct. 2153, 68 L.Ed.2d 640 (1981).
While noting that the parental interests involved are constitutionally protected, Quilloin v. Walcott, 434 U.S. 246, 98 S.Ct. 549, 54 L.Ed.2d 511 (1978), we must also note that these rights are not absolute. They must be balanced together with the rights of children and with the state’s legitimate interest. Parham v. J.R., 442 U.S. 584, 99 S.Ct. 2493, 61 L.Ed.2d 101 (1979). The appropriate balance was discussed by the court in Hernandez v. State ex rel. Arizona Dep’t of Economic Sec., 23 Ariz.App. 32, 35, 530 P.2d 389, 392 (1975), where the court said:
As usual, we are faced with the judicial task of balancing competing interests. We are not only concerned with the rights of the natural parents but also the rights of the minor child, which include the right to good physical care, adequate food, shelter and clothing, the right to emotional security, the right to be free from injury and neglect and the right to be with his natural parents and siblings.
* * * [F]or some parents the loss of a child through this legal process can be as serious as imprisonment in a criminal case. However, we are not dealing solely with the rights of the parents, and the problem must be analyzed with all interests in mind.
There are substantial policy reasons for disallowing a defense of mental incapacity in termination proceedings. To allow such a defense could result in situations where children would be left in the custody of parents who are unable, due to mental illness, to adequately care and provide for their children. In some cases, the child would be left in dangerous situations where, as here, the mentally ill parent exhibited bizarre and violent behavior. Contrary to the rule that the best interest of the child is of paramount importance in a termination proceeding, allowing mental illness as a defense would result in leaving the child in a hostile environment which is detrimental to his physical, mental, and emotional needs.
In the second prong of mother’s equal protection argument, mother argues that NMSA 1978, Section 31-9-1 (Repl.Pamp. 1984) grants other protections to criminal defendants that should be allowed for respondents in termination proceedings. Specifically, Section 31-9-1 provides that if there is a question as to a criminal defendant’s competency to stand trial, the cause is to be suspended pending a determination of the issue. If a defendant does not have the capacity to stand trial, the court may not proceed to trial, but rather, must determine whether the defendant should be committed in accordance with provisions of the law governing involuntary hospitalization for the mentally ill. The proceedings are stayed because one accused of criminal activity cannot be validly tried while mentally incompetent to stand trial. State v. Tartaglia, 80 N.M. 788, 461 P.2d 921 (Ct.App.1969). In contending the difference in treatment constitutes a denial of equal protection of the laws, mother argues “[a]n incompetent defendant does not hold a superior position to an incompetent Respondent from the standpoint of his or her right to constitutional protections under our New Mexico and United States Constitution.”
At first glance, mother’s argument is appealing, but it does not withstand close scrutiny. While criminal proceedings may be suspended where a defendant is not competent, different rules apply in civil cases. An infant or an incompetent person may sue or be sued. SCRA 1986, 1-017(C) provides in part: “[t]he court shall appoint a guardian ad litem for an infant or incompetent person not otherwise represented in an action or shall make such other order as it deems proper for the protection of the infant or incompetent person.” Mother was at all times material to the proceeding represented by counsel. No claim is advanced that the court erred either by failing to enter an order for the protection of respondent or by failing to appoint a separate guardian ad litem. See Roybal v. Morris, 100 N.M. 305, 669 P.2d 1100 (Ct.App.1983).
DUE PROCESS
Mother’s last challenge to the statute is based on her claim that Section 32-1-54 denies her due process of law. We do not agree. The termination procedures specifically provide for notice and an opportunity to be heard. The statute provides for appointment of counsel for any parent who is financially unable to obtain counsel, or if in the court’s discretion, counsel is needed. Finally, the statute provides that the state prove its case by clear and convincing evidence, and a higher standard of proof beyond a reasonable doubt is further provided for children subject to the requirements of 25 U.S.C. Section 1912 (f) (1982) in proceedings under the Indian Child Welfare Act of 1978, 25 U.S.C. Sections 1901 et seq. (1982 ed.). We believe that the termination statute grants parents adequate procedural due process protections and we find no constitutional infirmity on the grounds raised by mother.
SUMMARY
We cannot say that the legislature went outside of the constitution when it enacted Section 32-1-54. Moreover, when giving primary consideration to the welfare of the child, as we are so required under state law, it is apparent that there is a reasonable basis and rational justification for the legislature’s omission of mental illness as a defense to a termination of parental rights proceeding. Mother urges this court to adopt a construction of Section 32-1-54 which would provide additional protections for parents who are mentally ill. This is a public policy issue for the legislature to decide. We need not inquire into the wisdom, the policy or the justness of legislative acts. Gruschus v. Bureau of Revenue, 74 N.M. 775, 399 P.2d 105 (1965). For the reasons stated above and in our calendaring notice, we determine that mother’s equal protection and due process arguments necessarily fail.
Affirmed.
IT IS SO ORDERED.
BIVINS and FRUMAN, JJ., concur. | [
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OPINION
STOWERS, Justice.
This appeal arises from a declaratory judgment action challenging the validity of a rule promulgated by the New Mexico Board of Medical Examiners (Board) that in certain circumstances allows physician’s assistants to dispense dangerous drugs. Under paragraph (D)(4) of Rule 86-2, the Board may give written permission to a supervising physician to delegate to a physician’s assistant the authority to dispense a forty-eight-hour supply of specified prepackaged or unit-of-use drugs controlled by the New Mexico Drug and Cosmetic Act, NMSA 1978, Sections 26-1-1 to -26 (Orig. Pamp. and Cum.Supp.1983), excluding substances controlled by the New Mexico Controlled Substances Act, NMSA 1978, Sections 30-31-1 to -40 (Repl.Pamp.1980 and Cum.Supp.1985), if the patient is located more than twelve miles from the nearest pharmacy open at the time of dispensing.
Plaintiff New Mexico Pharmaceutical Association (Association) brought this action in district court against defendants the State and the Board, seeking a declaration that the rule was void, invalid, and contrary to law. After the district court denied the Association’s request for a preliminary injunction, the parties submitted the issue for determination upon stipulations and briefs. The district court upheld the Board’s action, ruling that the Board acted within the scope of its authority and not contrary to law when it promulgated Rule 86-2. See NMSA 1978, § 61-1-25 (Repl. Pamp.1986) (criteria for determining rule invalid in declaratory judgment action). The Association appeals, contending that Rule 86-2 is contrary to law because NMSA 1978, Subsection 61-6-16(G) (Repl. Pamp.1986) expressly prohibits physician’s assistants from dispensing dangerous drugs. We agree, and we reverse the district court’s judgment.
Subsection 61-6-16(G) provides that the statutes regarding licensing of the practice of medicine shall not apply to:
any act, task or function performed by a physician's assistant at the direction of and under the supervision of a licensed physician, when:
(1) such assistant is certified by and annually registered with the board as one qualified by training or experience to function as an assistant to a physician;
(2) such act, task or function is performed at the direction of and under the supervision of a licensed physician in accordance with rules and regulations promulgated by the board; and
(3) the services of the physician’s assistant are limited to assisting the physician in the particular fields for which the assistant has been trained, certified and registered; provided that this subsection shall not limit or prevent any physician from delegating to a qualified person any acts, tasks or functions which are otherwise permitted by law or established by custom, except the dispensing of dangerous drugs. [Emphasis added.]
The Board has been authorized by the Legislature to adopt reasonable rules and regulations for the purposes of carrying out this statute and others relating to physician’s assistants. See NMSA 1978, § 61-6-8 (Repl.Pamp.1986); see also NMSA 1978, § 61-6-19 (Repl.Pamp.1986); see generally 1973 N.M.Laws, ch. 361, §§ 1 to 10 (presently codified at NMSA 1978, §§ 61-6-4 to -9, -15, and -16 (Repl.Pamp.1986)). It has no power to adopt a rule or regulation that is not in harmony with this statutory authority. See Rivas v. Board of Cosmetologists, 101 N.M. 592, 593, 686 P.2d 934, 935 (1984); New Mexico Bd. of Pharmacy v. New Mexico Bd. of Osteopathic Medical Examiners, 95 N.M. 780, 782, 626 P.2d 854, 856 (Ct.App.1981).
The Board contends that its Rule 86-2 allowing physician’s assistants to dispense dangerous drugs is not inconsistent with the statutory prohibition contained in the final clause of Subsection 61-6-16(G)(3). Under its interpretation, the language following the semicolon prohibits the dispensing of dangerous drugs by “qualified persons” but not by physician’s assistants who act in accordance with the requirements of Subsections 61-6-16(G)(l), (2), and (3). In effect, the Board attempts to define the term “qualified person,” undefined by the Legislature, in a manner that excludes such physician’s assistants.
Because the meaning of the statutory language is unclear, this Court must resort to construction and interpretation in order to ascertain and give effect to the intention of the Legislature. See New Mexico State Bd. of Educ. v. Board of Educ., 95 N.M. 588, 590-91, 624 P.2d 530, 532-33 (1981); Methola v. County of Eddy, 95 N.M. 329, 333, 622 P.2d 234, 238 (1980). Although not binding, the statutory interpretations of the agency charged with administration of the statute are persuasive. City of Raton v. Vermejo Conservancy Dist., 101 N.M. 95, 99, 678 P.2d 1170, 1174 (1984). However, a reviewing court will overturn a clearly incorrect administrative interpretation. See Pharmaceutical Mfrs. Ass’n v. New Mexico Bd. of Pharmacy, 86 N.M. 571, 576, 525 P.2d 931, 936 (Ct.App.), cert. quashed, 86 N.M. 657, 526 P.2d 799 (1974).
We have considered the Board’s argument that the clause of Subsection 61-6-16(G)(3) following the semicolon must be construed as an independent clause that could stand as a separate sentence. See Kerr-McGee Nuclear Corp. v. Property Tax Div. of the Taxation & Revenue Dep’t, 95 N.M. 685, 690-91, 625 P.2d 1202, 1207-08 (Ct.App.) (Hendley, J., concurring in part and dissenting in part), cert. denied, 94 N.M. 674, 615 P.2d 991 (1980). By its terms as well as its punctuation, that clause applies to “this subsection,” that is, to Subsection 61-6-16(G) as a whole, and forbids delegation of the task of dispensing dangerous drugs to “qualified persons.”
In interpreting statutes, we should read the entire statute as a whole so that each provision may be considered in relation to every other part. State ex rel. Newsome v. Aland, 90 N.M. 790, 794, 568 P.2d 1236, 1240 (1977). Various subsections of NMSA 1978, Section 61-6-16 (Repl.Pamp.1986) govern the exception of certain medical professionals from compliance with the licensing requirements for the practice of medicine. See, e.g., NMSA 1978, §§ 61-6-16(C), (F), (H) (Repl.Pamp.1986). Subsection 61-6-16(G) governs only the exception of physician’s assistants, and we believe that when the Legislature used the term “qualified person” in the final clause of that subsection, it meant a physician’s assistant who acts in accordance with the criteria of Subsections 61-6-16(G)(l), (2), and (3).
The Board’s interpretation of its statutory authority is clearly wrong. It acted outside the scope of its authority and contrary to law when it promulgated Rule 86-2 allowing physicians, in certain circumstances, to delegate to physician’s assistants the task of dispensing dangerous drugs. The Board’s administrative rule therefore must yield to the statutory guidelines set by the Legislature. See Family Dental Center v. New Mexico Bd. of Dentistry, 97 N.M. 464, 467, 641 P.2d 495, 498 (1982).
Our conclusion is in no way undermined by the fact that the Legislature expressly prohibited the Board of Osteopathic Medical Examiners from adopting rules allowing osteopathic physician’s assistants from dispensing dangerous drugs, but did not expressly prohibit the Board of Medical Examiners from adopting similar rules regarding physician’s assistants. Compare NMSA 1978, § 61-10A-6(C) (Rep.Pamp. 1986) (osteopathic physician’s assistants) with NMSA 1978, § 61-6-8(C) (Repl.Pamp. 1986) (physician’s assistants); cf. New Mexico Bd. of Pharmacy v. New Mexico Bd. of Osteopathic Medical Examiners, 95 N.M. at 782, 626 P.2d at 856 (express prohibition of dangerous drug dispensing held applicable to controlled substances). In 1973, the Legislature placed its express prohibition of the dispensing of dangerous drugs by physician’s assistants in Subsection 61-6-16(G). In 1979, the Legislature did not enact a provision analogous to Section 61-6-16, but instead placed its express prohibition of the dispensing of dangerous drugs by osteopathic physician’s assistants in the section of the Osteopathic Physicians’ Assistants Act delineating the Board of Osteopathic Medical Examiners’ rule-making authority. See § 61-10A-6(C); see generally 1979 N.M. Laws, ch. 26, §§ 1 to 7 (presently codified at NMSA 1978, §§ 61-10A-1 to -7 (Repl.Pamp.1986)). The Legislature in each case clearly expressed its intention to forbid physician’s assistants from dispensing dangerous drugs. The Board cannot rely upon the form of the Legislature’s express prohibition to circumvent that intention, and we hold Rule 86-2 void.
For the foregoing reasons, the decision of the district court is reversed.
IT IS SO ORDERED.
WALTERS and RANSOM, JJ„ concur. | [
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OPINION
SOSA, Senior Justice.
Consolidated Oil and Gas, Inc. (Consolidated) sued Southern Union Company (SUC), Gas Company of New Mexico (GAS-CO), and Southern Union Gathering Company (Gathering) for breach of a Settlement Agreement from a prior price litigation. SUC responded with a request for a reformation of the contract in question on the grounds of “mistake,” because federal energy regulation rendered the agreement unenforceable as written. Consolidated then amended its complaint, first to allege fraud and subsequently to allege negligent misrepresentation. SUC answered that the relief requested by Consolidated would still conflict with federal price regulation. After Consolidated had abandoned its contract claim, the trial court found no actual fraud, but entered judgment for Consolidated on the claim of negligent misrepresentation.
SUC appeals to this court. We affirm the judgment of the trial court, but remand for recalculation of pre-judgment interest.
The dispute underlying this action involves the intricacies of interstate and intrastate pricing and regulation of natural gas, and the stakes are high. Judgment was for a total of $11,023,967 plus statutory interest. Nevertheless, the primary issue on appeal is simply whether Consolidated reasonably relied on the representations of SUC when it entered into the Settlement Agreement. Put more narrowly, does substantial evidence support the trial court’s finding that Consolidated’s reliance was justified?
SUC raises three additional issues on appeal:
II. Whether the trial court’s decision and damage award are pre-empted by the system of federal regulation of interstate gas sales;
III. Whether the trial court erroneously adopted Consolidated’s damage calculations incorporating stripper well prices in excess of those permitted by state law; and
IV. Whether the trial court erred in calculating pre-judgment interest.
FACTS
In 1953, SUC spun off its subsidiary, Gathering, which purchased gas from producers in the San Juan Basin. Gathering commingled the gas and resold some interstate through the pipeline of El Paso Natural Gas Company (El Paso) and some intrastate through a parallel pipeline of another SUC subsidiary, GASCO. Some thirty years ago Consolidated began to sell gas to SUC, for resale in both interstate and intrastate markets.
There are four contracts at issue here, dated August 24, 1956, January 1, 1958, September 6,1960 and November 26, I960. The 1958 contract was originally between Consolidated and Gathering; SUC assigned the remaining three to Gathering in 1963. At that time, Gathering was reselling most of the gas interstate to El Paso.
FEDERAL JURISDICTION
The Federal Power Commission (FPC or Commission) and its successor, the Federal Energy Regulatory Commission (FERC or Commission) have exercised close control over pricing and other features of interstate gas sales ever since the Natural Gas Act of 1938 (NGA), 15 U.S.C. § 717. In 1954 the United States Supreme Court upheld the authority of the FPC to regulate sales by independent producers for resale interstate. See Phillips Petroleum Co. v. Wisconsin, 347 U.S. 672, 74 S.Ct. 794, 98 L.Ed. 1035 (1954).
To sell gas interstate, a producer must obtain a certificate of public convenience and necessity from the FPC. 15 U.S.C. § 717(c). Once a certificate is issued, the gas is “committed and dedicated” to the interstate market and therefore subject to the price ceilings established by the FPC. The gas cannot then be removed from federal regulation unless the FPC approves abandonment. Finally, if intrastate and interstate gas become commingled, then all the gas in the commingled stream is deemed committed to interstate commerce and thereby subject to federal price ceilings and regulation. See California v. Lo-Vaca Gathering Co., 379 U.S. 366, 85 S.Ct. 486, 13 L.Ed.2d 357 (1965) (Lo-Vaca).
SUC substantially assisted Consolidated in drafting the applications for certification in 1958 and 1963. At that time the interstate market for gas was stronger and more stable than the intrastate market, although prices in both were comparable. Subsequently, Gathering established an entirely separate “nonjurisdictional system,” which originally received deliveries from Consolidated and others for resale interstate. The FPC approved this temporary arrangement for a period of three years. After 1973 this system became exempt from federal regulation as the gas in it was directed to GASCO for resale intrastate.
With the onset of the “energy crisis” in the early 1970’s, the unregulated intrastate prices started to soar, diverging from interstate prices. As a result, in 1974, a number of SUC’s suppliers, including Consolidated, brought suit to enforce the most favored nations clauses in their intrastate contracts. Aztec Oil and Gas (Aztec) was SUC’s greatest supplier and leading litigant.
Gathering intervened in the action, claiming that SUC had partially assigned to Gathering its interest in the contract dated November 26, 1960. Yet SUC admitted in its answer to Consolidated’s complaint that the contract, “certificated” in 1963, involved only intrastate sales. From this and other evidence it can be concluded that SUC possessed the ability to transfer, unilaterally, intrastate gas into a commingled stream subject to certification in interstate commerce.
Consequently, Consolidated grew concerned to learn the ultimate destination of its gas. If it were never commingled with interstate gas, but rather channeled by Gathering into its intrastate or “nonjurisdictional” lines, then federal price ceilings need not apply. The trial court in this case found, and SUC does not seriously challenge, that only SUC could know into which of its parallel pipelines any particular gas was flowing.
SUC obtained a partial summary judgment in the first suit and its producers appealed. While the appeal was pending, in 1976, SUC and Aztec arrived at a settlement in principle to replace the intrastate contracts with new ones giving increased price terms. At the same time, the settlement included a provision for replacing the interstate contracts, not at issue in the litigation, with more modern ones containing pricing and other terms more favorable to producers.
Evidently SUC intended to effectuate similar settlements with Consolidated and the other producers. Accordingly, SUC began to negotiate with Consolidated. Consolidated made repeated inquiries of SUC to learn whether the gas under the four disputed contracts was in fact flowing in interstate commerce.
SUC prepared a draft agreement dated June 3, 1976, providing higher prices for only the six intrastate contracts in dispute in the producer litigation. The draft set forth the following recital by way of introduction:
It is recognized that all the gas sold by the Producer under the Contract was resold and consumed solely within the State of New Mexico and therefore such sales by the Producer were not subject to regulation by the Federal Power Commission.
Consolidated rejected this first offer of settlement because it did not include the disputed contracts.
SUC attorneys revised the draft by inserting two provisions: one added the four disputed contracts to the six previously listed; the second increased the lump sum settlement amount for past sales from $544,164.93 to $641,258.12, reflecting the intrastate price differential. Significantly, SUC did not delete or amend the recital that all the gas covered by the contract was intrastate. Dated June 28, 1976, this draft was signed by Oran L. Haseltine, as vice-president of GASCO and Gathering. Relying on SUC’s representations, Consolidated signed the second draft, releasing all its litigated claims against SUC. Because GASCO was and is a “public utility” under state law, the Settlement Agreement had to be reviewed and approved by the New Mexico Public Service Commission (PSC). On July 22, 1976, with full public hearing and review, PSC issued its Final Order approving the Settlement Agreement. The Final Order noted that “a strong possibility existed]” that the Supreme Court would rule against GASCO on its appeal of the producer litigation and that therefore stockholders and ratepayers would benefit from a settlement. Furthermore, the Final Order concluded that “[t]he proposed settlement of the producer litigation is fair and reasonable and in the public interest.”
Pursuant to the Settlement Agreement and the PSC Final Order, the parties filed a Stipulation of Dismissal in the district court on July 1, 1976. On December 1, 1976, Consolidated demanded payment from SUC of the intrastate price for gas sold under the disputed contracts, consistent with the Settlement Agreement. SUC refused to pay more than the interstate price, stating that federal law dictated such a result.
Consolidated sued, in November 1979, alleging breach of the Settlement Agreement. SUC raised the defense of mutual mistake, and answered that the agreement should be reformed because the gas sold under the disputed contracts had always been, for federal regulatory purposes, “jurisdictional.”
In March 1980, SUC moved the trial court to stay the proceedings while their petition was pending before FERC. Consolidated responded by filing a motion to amend its complaint to add a count for fraud and deceit. On August 4, 1980, the trial court granted Consolidated’s motion to amend, denied SUC’s motion for stay, and referred to the Commission the questions of primary jurisdiction and applicability of interstate price ceilings. The court reserved to itself the “controlling principles of state law with respect to actions at law for fraudulent and deceitful conduct.”
Subsequent to taking depositions of SUC representatives, Consolidated moved again to amend its complaint, in August 1984, to include a count for negligent misrepresentation. The trial court granted the motion, and SUC answered with the affirmative defense that the FERC had determined that interstate price ceilings applied to the commingled gas. Therefore, SUC maintained, to pay the higher prices claimed by Consolidated would be to violate federal law.
After a bench trial, the trial court found that SUC had negligently misrepresented the jurisdictional status of the gas and that Consolidated had released its claims against SUC in reasonable reliance on the misrepresentation. The trial court found that Consolidated was damaged in the amount equal to the difference between the interstate price and the amount SUC should have paid if the representations had been true. SUC timely appealed to this Court.
RELATED PROCEEDINGS
A. In March 1980, Gathering petitioned the Commission to assert primary jurisdiction over the suit and to issue a declaratory order that the disputed contracts concerned interstate sales subject to federal price ceilings and that Consolidated should refund the portion of the lump sum payment in excess of the allowable interstate prices. The FERC did not assume primary jurisdiction, but it did ultimately enter an order declaring that the gas sales in question were subject to federal price ceilings under the NGA. 28 FERC Par. 61, 225 (1984). On rehearing, the FERC affirmed this order. 30 FERC Par. 61,350 (1985).
Consolidated petitioned for review of the FERC orders to the U.S. Court of Appeals for the District of Columbia Circuit. 806 F.2d 275 (C.A.D.C.1986). The appellate court, citing Lo-Vaca, affirmed the Commission, holding that federal jurisdiction attached once the gas in question had become commingled with gas flowing in interstate commerce. It is the fact of commingling, not certification, that confers FERC jurisdiction.
It is by now abundantly clear that commingled gas is subject to price ceilings established by the FERC. Therefore, as a matter of law, parties may not contract for the sale of commingled gas at prices exceeding the FERC ceilings. There is thus no cause of action sounding in contract available to Consolidated to recover the intrastate prices promised in the Settlement Agreement.
B. The Commission itself, however, has consistently declined to entertain this litigation on the merits. After losing in the trial court, SUC petitioned the Commission for a declaratory order that it would violate federal price regulation for Consolidated to collect the damages awarded by the trial court, especially inasmuch as the amount of damages corresponds exactly to the difference between the interstate price ceiling and the intrastate price for the four disputed contracts. On June 19, 1986, the Commission issued an order declaring that the damages awarded by the state court are tort damages and thus do not violate maximum lawful price provisions of the NGPA, nor interfere with the federal regulatory scheme. 35 FERC Par. 61,359 (1986). The Commission rested its decision on the case of Gulftide Gas Corporation, 31 FERC Par. 61,288 (1985) (Gulftide Gas), in which “the Commission declared that the award of tort damages, whether exemplary or actual, does not conflict with NGPA maximum lawful prices.” 35 FERC at Par. 61,822. Furthermore, the order denied SUC’s request for a refund of the allegedly excess lump sum payment. Id.
SUC filed a request for rehearing with the Commission on July 21, 1986. In its request, SUC again urged that FERC was the preferred forum for Consolidated’s claim. By way of its footnote No. 13, SUC suggested that FERC would have had the authority upon a sufficient showing by Consolidated, to approve the prices provided by the Settlement Agreement. Of course this argument runs contrary to the “bright line” of jurisdictional price controls, behind which SUC had sought refuge from its obligations represented in the Settlement Agreement.
Almost summarily, the Commission rejected the request, finding that SUC had presented no new facts or arguments. The Commission explained that it had determined Gulftide Gas to be controlling as precedent, reiterating the principle that the award of damages for misrepresentation in a state law case does not conflict with maximum lawful prices established by the NGA and NGPA.
Finally, in response to SUC’s arguments that Consolidated, through “artful pleading,” was wilfully mischaracterizing its cause of action to avoid federal jurisdiction and that the Commission saw only a “snapshot” of the whole case, the Commission declared that:
In making that determination, the Commission reviewed Consolidated’s state court damage award, including the amount of damages, the basis for the damages, as well as the relevant facts and circumstances and applicable legal principles.
I. JUSTIFIABLE RELIANCE
A. On appeal to this Court, SUC characterizes the entire controversy as the result of a “drafting error” in the Settlement Agreement, contending that Consolidated had sufficient independent knowledge not to be misled by the admittedly negligent representation. At no time, however, has SUC provided, either to the trial court or to this Court, a convincing explanation for why its “mistake” came about, or why it went undetected for so long. Consolidated had rejected the first draft because it did not refer to the disputed contracts. That reference was added and the lump sum augmented unilaterally by attorneys for SUC; the draft was signed by an officer of SUC.
There is evidence in the record that SUC was anxious to settle the producer litigation quickly. It is unquestionable that SUC was in the position of superior knowledge, both of the physical distribution of the gas and of its legal and jurisdictional implications. Conceivably, just as SUC had assisted Consolidated in the original certification, and as it had arranged for Gathering to obtain FPC approval to have one of its pipelines revert to “nonjurisdictional” status, so it might have led Consolidated to believe that similar assistance might be forthcoming to obtain Commission approval to abandon the certification and revert the gas to intrastate sales. The trial court concluded that SUC owed a fiduciary duty to Consolidated to give truthful and accurate information regarding the resale destination of the gas, and that SUC by words and conduct breached that duty.
Furthermore, although the court did not find that Consolidated had proved fraud by clear and convincing evidence as required by law, it did note that there was some evidence of actual or constructive fraud.
B. Finally, it must be emphasized that the events in question occurred in the context of litigation. This was not a simple transaction wherein SUC agreed to buy and Consolidated agreed to sell certain amounts of gas at certain prices. Such a contract, if in fact mistaken, could be rescinded or reformed. Here, however, the consideration given by Consolidated was the value of its claim in the producer litigation. At this juncture it would be impossible to restore the parties to the status quo ante. The Settlement Agreement itself formed but a portion of the overall arrangement approved and authorized by the PSC.
In addition, we observe that SUC has enjoyed for some ten years the use of nearly nine million dollars as a result of its misrepresentations. At some moment an end must be declared to these proceedings. SUC asserts that it would be wrong to award Consolidated a “windfall” for relying on representations which it should have known were impossible as a matter of federal regulation. We agree with the trial court that in light of the legal and factual relationships involved, SUC cannot use Consolidated’s inadvertance to excuse or justify its own. Accordingly, the judgment of the trial court on this point is affirmed.
II. PRE-EMPTION
SUC contends to this Court, as did Gathering to the Commission, that the pervasive scheme of federal price regulation pre-empts a state court award of damages, citing Arkansas Louisiana Gas Co. v. Hall, 453 U.S. 571, 101 S.Ct. 2925, 69 L.Ed.2d 856 (1981) (Arkla). In that case, the Supreme Court struck down the judgment of a state court that awarded contract damages in excess of federally filed rates. The Commission distinguished Arkla because it was decided on the basis of the filed rate doctrine, which is inapplicable to the present proceeding.
We agree. Even more important to our analysis, however, is the distinction established by the Arkla court itself. The damages awarded by the trial court in Arkla constituted simply the contractual price, which was found to exceed the permissible filed rates. The Supreme Court stated that federal regulation would be undermined if state courts could authorize contractual agreements contrary to a congressionally established scheme. There was no finding in Arkla, however, of any intentional misconduct by defendants. In the present case, the trial court awarded damages, not as contract prices, but as consequences for tortious conduct. For this reason, too, Arkla does not provide precedent for the case at bar. We join with the Commission in following instead the rule of Gulftide Gas that tort damages do not conflict with federally regulated pricing. Finally, we conclude from the foregoing that the federal pre-emption argument advanced by SUC has been effectively answered in the appropriate federal forum.
III. STRIPPER WELL CALCULATION
SUC challenges Consolidated’s calculation of damages based on production from “stripper” wells, which were at the time subject to independent price regulation under the New Mexico Natural Gas Pricing Act (NMNGPA). See Laws 1979, Ch. 97, § 3 and Laws 1977, Ch. 73, § 7 (now repealed). The testimony at trial is in conflict as to the legal effect of the Settlement Agreement on the price to be paid for stripper wells. Consolidated’s witness stated that he excluded stripper wells when calculating the price differentials. SUC’s witness testified that the NMNGPA would have prevented Consolidated from receiving the full price for stripper wells in December 1978 and January, February and March 1979. SUC asserts that, as a result, Consolidated overestimated its damages in the amount of $38,415.
Our review of the record does not reveal the clear and obvious error claimed by SUC. Moreover, the nature of the suit and the damages awarded by the trial court are such that our affirmance is based not solely on what prices would have been permissible according to contract, but rather on the values Consolidated thought it would receive when it relied on the representations made by SUC. There is substantial evidence to support all the elements of the trial court’s calculation of damages.
IV. CALCULATION OF INTEREST
SUC contends on appeal that the trial court erred in its award of prejudgment interest. The trial court intended to award 6% simple interest, the statutory amount in effect at the time the suit was filed. See NMSA 1978, § 56-8-4 (Repl. Pamp.1986). Consolidated concedes that the trial court incorrectly computed the interest award from a calculation incorporating monthly compounding. The result was an award of interest in excess of the statutory rate, contrary to the holding of this Court in Shaeffer v. Kelton, 95 N.M. 182, 188, 619 P.2d 1226, 1232 (1980).
Consolidated replies that the overall damages were, if anything, too low in comparison to actual damages incurred. Because of the long time between filing of the lawsuit and the entry of final judgment, Consolidated claims that it was forced to borrow funds at interest rates well in excess of those computed by the trial court in calculating damages. Consolidated requests this Court to remand the cause to the trial court for an upward revision of the damage award. This we decline to do. The cases Consolidated cites from other jurisdictions do not convince this Court to overturn our holding in Shaeffer v. Kelton.
The judgment of the trial court is affirmed and the cause remanded for the sole purpose of recalculating the amount of prejudgment interest.
IT IS SO ORDERED.
STOWERS and WALTERS, JJ., concur.
. In 1976 Southern Union Gas Company became Southern Union Company and the subsidiary supplying gas to New Mexico customers was renamed Gas Company of New Mexico. In January 28, 1985 SUC sold GASCO to Public Service Company of New Mexico (PNM). Effective the same date, SUC transferred the stock of Gathering to a subsidiary of PNM.
. The last contract was severed in 1963 and one part assigned from SUC to Gathering. The portion retained by SUC continued sales entirely intrastate.
. In 1978, Congress passed the Natural Gas Policy Act (NGPA) which continued federal regulation and established prices directly, instead of delegating that function to the FERC. 15 U.S.C. §§ 3313-14.
. In 1972, Consolidated independently applied for and obtained from the Commission a single blanket small producer certificate. | [
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] |
OPINION
SCARBOROUGH, Chief Justice.
The district court of Sandoval County refused to order approval of appellant’s proposed subdivision and refused to rule on appellant’s claim of full legal and public access to the property. We affirm.
We summarize the trial court’s findings of fact. In June 1983, appellant, Dorothy Colborne, sought approval from appellee, Village of Corrales (Village), for a subdivision of land within the planning and platting jurisdiction of the Village. Appellant’s land is adjacent to the Corrales Main Canal. Appellant was informed at the time she requested subdivision approval that it was Village policy to require landowners to dedicate a sixty-foot easement along the canal for a potential north/south road as a condition for subdivision approval. The Village has had such a policy since 1973. The Village has demonstrated an overall and consistent policy of recognizing the need for a north/south road as a means of channeling future Village growth in an orderly manner. From 1973 to the present, the Village has approved nine subdivisions along the canal conditioned upon the dedication of similar easements to the Village.
In July 1983, the Corrales Planning and Zoning Commission voted to approve appellant’s subdivision upon the conditions that appellant publicly dedicate the sixty foot easement (with the option for a reversion to appellant of any land not required for the north/south road), and that the subdivision be permitted without full public access. Appellant initially agreed to dedicate the easement in exchange for subdivision approval. In July 1984, however, appellant notified the Planning and Zoning Commission that she would not dedicate the sixty-foot easement to the Village. Based upon appellant’s refusal to grant the easement, the Planning and Zoning Commission denied her request for approval of the subdivision. The Village Council upheld the decision of the Planning and Zoning Commission. Appellant does not challenge the above summarized findings of fact.
Appellant challenges the trial court’s conclusion of law that appellee, in conditioning approval of appellant’s subdivision upon her dedicating a portion of her land to the Village, acted reasonably, and hence, validly exercised its police power.
In City of Albuquerque v. Chapman, 77 N.M. 86, 91, 419 P.2d 460, 464 (1966), we stated that in order to acquire the advantage of lot subdivision “the property owner must comply with reasonable conditions imposed by the city within its authority.” Consistent with Chapman, we must decide whether it was reasonable for appellee to condition subdivision approval upon dedication of an easement to accomodate the potential north/south road.
Land subdivision regulations of the Village permit requests for dedication of land in exchange for subdivision approval. The Village has demonstrated an overall and consistent policy of recognizing a need for a north/south road along the canal as a means of channeling future growth of the Village in an orderly manner. The Village was prepared to give appellant the option for a reversion of any land not required for the north/south road. Under these circumstances, it was a reasonable, and hence valid, exercise of police power for appellee to condition subdivision approval upon the dedication of an easement to accommodate the potential north/south road.
Appellant also contends that the Village could not require dedication of the easement since the potential north/south road was not a “planned” street, i.e., it was not expressly incorporated into the Village’s master plan, “Every plat approved by the planning authority,” however, “is an amendment, addition or a detail of the master plan.” NMSA 1978, § 3-19-12 (Repl. Pamp.1985). Since the Village approved nine subdivisions along the canal conditioned upon dedication of easements to the Village, the master plan was effectively amended to include the potential north/south road. Therefore, the potential north/south road was a planned street and appellant’s argument fails.
Appellant also argues that the trial court erred in refusing to rule on her claim that there existed full legal and public access to her property. We disagree. The trial court is vested with broad discretion to grant or refuse claims for declaratory relief. NMSA 1978, § 44-6-7. Since a ruling that there existed full legal and public access to appellant’s property would not have terminated the controversy giving rise to this action, the trial court did not abuse its discretion in refusing to rule on the matter.
The judgment of the trial court is affirmed.
IT IS SO ORDERED.
SOSA, Senior Justice, and STOWERS, WALTERS and RANSOM, JJ., concur. | [
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OPINION
CASTILLO, J.
{1} This case requires us to determine whether the New Mexico Water Quality Control Commission (Commission) appropriately adopted a sentence in the water quality standards amended in May 2002. The sentence, contained in 20.6.4.10.G NMAC (2002), reads as follows: “The human health standards for persistent toxic pollutants, as identified in Subsection M of Section 20.6.4.900 NMAC, shall also apply to all tributaries of waters with a designated, existing or attainable fishery use.” Subsection M sets forth numeric criteria for persistent toxic pollutants. The Regents of the University of California (Regents), on behalf of Los Alamos National Laboratory (LANL), challenge the Commission’s adoption of the sentence as arbitrary, capricious, lacking substantial evidence, and being contrary to law. We affirm.
I. BACKGROUND
{2} Several interrelated provisions of state and federal law and regulations form the framework for regulating toxic pollutants in surface water. The federal Clean Water Act requires states to establish criteria for specified toxic pollutants, “the discharge or presence of which in the affected waters could reasonably be expected to interfere with those designated uses adopted by the State, as necessary to support such designated uses.” 33 U.S.C. § 1313(c)(2)(B) (2000). The Clean Water Act further requires the United States Environmental Protection Agency (EPA) to impose its own criteria if a state’s standards fail to comply with the act. 33 U.S.C. § 1313(e)(3). Pursuant to the Clean Water Act, EPA has published its own numeric criteria for priority toxic pollutants and other regulations to implement the act’s statutory requirements.
{3} New Mexico’s Water Quality Act, NMSA 1978, §§ 74-6-1 to -17 (1967, as amended through 2003) establishes the Commission as the “state water pollution control agency ... for all purposes of the federal [Clean Water] act.” Section 74-6-3(E). The Water Quality Act mandates that the Commission “take all action necessary and appropriate to secure to this state ... the benefits of [the] act.” Section 74-6-3(E). The Water Quality Act also authorizes the Commission to adopt surface water quality standards (standards), including water quality criteria to protect designated uses of surface waters. Section 74-6^4(C). The Commission has applied criteria as necessary to “secure to this state ... the benefits of [the federal Clean Water Act].” One such benefit is that a state can adopt its own toxic pollutant criteria, rather than having the criteria imposed by the EPA.
{4} The Commission is administratively attached to the New Mexico Environment Department (Department). Section 74-6-3(F). The Department recommends for the Commission’s approval those revisions to the state’s water quality standards that are necessary to comply with state and federal law and regulations. On November 29, 2001, the Department’s Surface Water Quality Bureau petitioned the Commission to adopt a series of amendments to certain sections of the standards. The amended standards were proposed in response to a warning issued by the EPA that the state would be out of compliance with 33 U.S.C. § 1313(c)(2)(B) of the Clean Water Act unless it adopted numeric criteria for priority toxic pollutants or demonstrated to the EPA’s satisfaction that such criteria were not needed; failure of the state to do so would risk the EPA’s imposing more stringent numeric criteria on New Mexico.
{5} The proposed amended standards included the second sentence of 20.6.4.10.G NMAC, which applied the human health standards for persistent toxic pollutants to all tributaries of waters with a designated, existing, or attainable fishery use. These persistent toxic pollutants include “some of the most ... dangerous chemicals and heavy metals” known to exist, “including dioxins and toxaphene, DDT, PCBs, chlordane, benzopyrene, aldrin/dieldrin, hexacholorbenzene, and tetracholorethylene.”
{6} In accord with proper procedure, the Commission scheduled a public hearing on the proposed amendments; the Department gave timely notice of the hearing through publication and direct notice to interested parties. Prior to the hearing, the Department met with a range of entities, including LANL, and solicited input on the amendments. The Department made certain modifications to the amendments as a result of the meetings. The hearing on the modified amendments was held on March 13 and 14, 2002; representatives of the Department, Regents, the San Juan Water Commission, the Forest Guardians, and a consultant with the Elephant Butte Irrigation District testified on various provisions and submitted written testimony. The New Mexico Mining Association, the United States Department of the Interior, the Pueblo of Isleta, and the New Mexico Municipal Environmental Quality Association submitted written testimony only.
{7} At the Commission’s May 2002 meeting, after deliberation and discussion, the Commission unanimously adopted the amended standards with minor changes not relevant to this opinion. The Commission subsequently issued an order to that effect and a statement of reasons for adopting the amendments. Regents appealed-the adoption of the second sentence of 20.6.4.10.G NMAC to this Court pursuant to the Water Quality Act. See Section 74-6-7(A) (stating that appeals from regulations adopted by the Commission are taken to this Court).
II. DISCUSSION
A. Standard of Review
{8} We are required to set aside the Commission’s action if we find it to be “(1) arbitrary, capricious or an abuse of discretion; (2) not supported by substantial evidence in the record; or (3) otherwise not in accordance with law.” Section 74-6-7(B); see Tenneco Oil Co. v. Water Quality Control Comm’n, 107 N.M. 469, 470-71, 760 P.2d 161, 162-63 (Ct.App.1988).
{9} We first address whether the Commission acted contrary to law. We then analyze whether there was substantial evidence for the Commission’s action. Finally, we determine if the action was arbitrary or capricious.
B. The Commission Acted in Accord with Law
{10} Regents’ arguments that the Commission acted contrary to law fall into two categories. First, Regents argue that the Commission’s statement of reasons does not comport with our case law in City of Roswell v. New Mexico Water Quality Control Commission, 84 N.M. 561, 565, 505 P.2d 1237, 1241 (Ct.App.1972). Second, Regents argue that the Commission failed to comply with statutory requirements of the Water Quality Act, § 74-6-4(0, (D) and § 74^6-6(A), (C), and the Clean Water Act, 33 U.S.C. § 1313(e)(2)(A). We are not persuaded by either set of arguments.
1. Statement of Reasons
{11} The Commission gave the following pertinent reasons for adopting the entire set of amendments to the standards:
4. The changes approved herein to New Mexico’s water quality standards protect public health and welfare, enhance the quality of New Mexico’s waters, and serve the purposes of the Clean Water Act and the New Mexico Water Quality Act.
5. The changes approved herein ... respect the use and value of the water for water supplies, propagation of fish and wildlife, recreational purposes, and agricultural, industrial and other purposes.
6. The regulatory changes affected herein are designed to meet the EPA Guidelines.
{12} Citing our decision in City of Roswell, 84 N.M. at 565, 505 P.2d at 1241, Regents complain that the reasons fail because they provide no insight into why the Commission adopted the second sentence of 20.6.4.10.G NMAC. Regents also assert that the statement of reasons does not specifically respond to the concerns about the sentence raised in the testimony of Regents and others. In City of Roswell, this Court concluded that we were unable to review from the record what the Commission relied upon in adopting the regulations under consideration in that case. Id. at 565, 505 P.2d at 1241. The record “reveal[ed] only the notice of the public hearing, the testimony of the various experts and others, some exhibits and the regulations.” Id. We stated that we could not effectively review a decision “unless the record indicate[d] what facts and circumstances were considered and the weight given to those facts and circumstances.” Id. We held that formal findings were not required but that “the record must indicate the reasoning of the Commission and the basis on which it adopted the regulations.” Id.
{13} We disagree with Regents that the statement of reasons must state why the Commission adopted each individual provision of the standards or must respond to all concerns raised in testimony. Such a requirement would be unduly onerous for the Commission and unnecessary for the purposes of appellate review. City of Roswell does, however, require a record sufficient for appellate review. We observe that the Commission’s statement of reasons for adopting the regulations is quite general, more so than approved in other cases. See Bokum Res. Corp. v. N.M. Water Quality Control Comm’n, 93 N.M. 546, 552-53, 603 P.2d 285, 291-92 (1979) (approving a set of reasons “similar” to the “rather general statements” given in N.M. Mun. League, Inc. v. N.M. Envtl. Improvement Bd.); N.M. Mun. League, Inc. v. N.M. Envtl. Improvement Bd., 88 N.M. 201, 204-05, 539 P.2d 221, 224-25 (Ct.App.1975) (listing the set of reasons for adopting regulations). Nevertheless, we believe it an adequate statement, albeit barely so.
{14} Our review of the entire record in this case reveals it to be thorough and comprehensive; we are able to determine from the record the basis for the Commission’s adoption of the regulations. In this regard, our ease is distinguishable from City of Roswell, where the record was insufficient for appellate review. City of Roswell, 84 N.M. at 565, 505 P.2d at 1241. Here, there are more than one thousand pages in the record proper, including five hundred pages of transcript, all exhibits, and several tapes of deliberations. The record shows that the Department’s staff presented to the Commission substantial explanations of the purposes of the regulations, a section-by-section analysis, including 20.6.4.10.G NMAC, and twenty-one exhibits. The Commission heard Regents’ cross-examination of the Department’s staff, Regents’ own testimony, and the Department’s cross-examination of that testimony. Furthermore, on direct examination, the Department presented to the Commission a point-by-point rebuttal of Regents’ arguments. Regents also presented written testimony and exhibits.' As a result of the hearing, the Department proposed additional changes to certain portions of the proposed amendments; Regents submitted comments on those changes. From the record containing oral testimony, written testimony, exhibits, comments, and statement of reasons, this Court has a sufficient foundation to perform its task of review. See Bokum Res. Corp., 93 N.M. at 552-53, 603 P.2d at 291-92 (rejecting an argument that the Commission failed to comply with City of Roswell when the Commission submitted a general statement of reasons and a record similar to the record presented here).
2. Statutoiy Requirements
{15} We now turn to Regents’ contention that the Commission failed to comply with various statutes when it adopted the second sentence of 20.6.4.10.G NMAC. The entire section reads as follows:
G. Human health standards shall apply to those waters with a designated, existing or attainable fishery use. The human health standards for persistent toxic pollutants, as identified in Subsection M of Section 20.6.4.900 NMAC, shall also apply to all tributaries of waters with a designated, existing or attainable fishery use.
20.6.4.10.G NMAC.
{16} Underlying Regents’ statutory arguments is their concern that the Commission adopted standards to protect humans from consuming fish detrimental to human health but that the second sentence applies the standards to ephemeral tributaries without fish. Ephemeral tributaries, which contain water infrequently and generally as a result of storms or other precipitation events, are, by definition, unable to support a self-sustaining population of fish.
{17} Regents argue that the Commission failed to designate a use for tributaries, as required under Section 74-6-4(C) of the Water Quality Act and 33 U.S.C. § 1313(e)(2)(A) of the Clean Water Act. Additionally, they argue that by applying the human health standards to tributaries, the Commission effectively designates to tributaries an unattainable fishery use. Lastly, they argue that the sentence adopted by the Commission is a regulation, as well as a standard, and that the Commission was therefore required to comply with the requirements for adopting regulations under Section 74-6-4(D), which it did not do. As part of the last argument, Regents contend that the Commission failed to provide statutorily required notice under Section 74-6-6(A), (C) when the Commission did not disclose that it would consider a regulation at its March 2002 hearing.
{18} We consider each argument in turn by starting with the language of the statute. If the statute is clear and unambiguous, we apply its plain meaning. Sims v. Sims, 1996-NMSC-078, ¶17, 122 N.M. 618, 930 P.2d 153. “In construing a statute, we assume that the legislative purpose is expressed by the ordinary meaning of the words used.” Old Abe Co. v. N.M. Mining Comm’n, 121 N.M. 83, 90, 908 P.2d 776, 783 (Ct.App.1995). When more than one section of a statute is involved, we consider the sections together to give effect to the legislature’s intent. High Ridge Hinkle Joint Venture v. City of Albuquerque, 1998-NMSC-050, ¶ 5, 126 N.M. 413, 970 P.2d 599. In addition, “in determining [legislative] intent we look to the language used and consider the statute’s history and background.” Key v. Chrysler Motors corp., 121 N.M. 764, 768-69, 918 P.2d 350, 354-55 (1996).
{19} We turn now to Regents’ first argument, that the Commission must, under state and federal law, designate a use for tributaries in its water quality standards. Section 74-6-4(C) of the Water Quality Act requires the Commission to
adopt water quality standards for surface and ground waters ____ The standards shall include narrative standards and as appropriate, the designated uses of the waters and the water quality criteria necessary to protect such uses. The standards shall at a minimum protect the public health or welfare, enhance the quality of water and serve the purposes of the Water Quality Act.
{20} The Clean Water Act stipulates that standards “shall consist of the designated uses of the navigable waters involved and the water quality criteria for such waters based upon such uses.” 33 U.S.C. § 1313(c)(2)(A).
{21} We are somewhat puzzled with Regents’ argument that the Commission failed to designate a use for tributaries; the preexisting water quality standards do designate such a use. The standards protect water quality in ephemeral streams for livestock watering and wildlife habitat uses. 20.6.4.10.A NMAC. The Department initially contended in its answer brief that it could assign criteria without designating a use. At oral argument, however, the Department clarified that the second sentence of 20.6.4.10.G NMAC provides additional protective criteria for the already existing uses of tributaries, as well as adding further protective criteria for waters with designated fishery uses. We observe that the Department’s testimony to the Commission also referred to the pre-existing designated uses for tributaries. In light of the existence of these designated uses, we need not further address Regents’ contention that a use was not designated or the Department’s initial theory that a designation was not required.
{22} If Regents are implying that Section 74-6-4(C) requires the Commission to designate a fishery use for ephemeral tributaries before applying , the human health standards to them, we disagree. We find nothing in the plain language of Section 74-6-4(C) or 33 U.S.C. § 1313(c)(2)(A) that prohibits the Commission from protecting waters with fishery uses by applying the standards to tributaries of those waters. Regents conceded as much when they testified they did not believe either the Water Quality Act or the Clean Water Act prohibited the Commission from adopting the criteria for ephemeral streams.
{23} The EPA’s approval of 20.6.4.10.G NMAC reinforces our view that the Commission acted properly in adopting the second sentence. In its review of the adopted regu lations, the EPA advised the Department that it was within the state’s authority under the Clean Water Act to apply the numeric criteria to ephemeral tributaries in order to protect downstream uses. The EPA noted that the tributaries may not support permanent fish populations and observed that although the state’s approach is a restrictive one when applied statewide, it is nevertheless legal under the Clean Water Act. The Department informed this Court of the EPA’s decision, pursuant to Rule 12-213(D)(2) NMRA 2004. We conclude that based on the plain language of both the state and federal statutes, the Department did not act contrary to § 74-6-4(C) or 33 U.S.C. § 1313(c)(2)(A) when it adopted the second sentence.
{24} Nor do we believe that the Commission has designated a fishery use for tributaries by applying the human health standards to them. As we discussed above, the standards apply livestock watering and wildlife habitat uses to ephemeral tributaries; there is no indication that the Commission has added to those uses.
{25} We now turn to Regents’ argument that the second sentence is a regulation and that the Commission must therefore comply with Section 76-4-6(D). Section 76-4-6(D) requires the Commission to consider, among other things, the technical practicability and economic reasonableness of a regulation before adopting it. Both parties agree that a standard defines the amount of contaminant in the ambient water and that a regulation defines the conduct necessary for an entity that discharges pollutants to comply with the standard. In this ease, the entity is Regents. Regents contend the “substance, character, and effect” of the second sentence define their conduct because the sentence regulates the effluent Regents may discharge from a pipe.
{26} Criteria are not directly applied to a discharge; they are applied to ambient water. The criteria are just a measure for determining water quality in a stream. Regents reason, however, that since ephemeral streams are frequently dry, at most times, the only water in the ephemeral streams will be the effluent released by dischargers. As a result, they assert, the standard will have to be met at the end of the pipe. An effluent is defined in pertinent part as “[a] discharge of liquid waste, as from [a pipe of] a factory or nuclear plant.” The American Heritage Dictionary of the English Language 570 (4th ed.2000).
{27} We disagree that the second sentence regulates the effluent. As the Department explained, there is quite a distinction between setting water quality standards and setting effluent limits. There is a specific procedure for setting effluent limits for a discharger under the Clean Water Act. Regents’ argument discounts that procedure. Any point source discharging a pollutant into a body of water is required to obtain a permit issued by the EPA, in accordance with the National Pollutant Discharge Elimination System (NPDES). Effluent limits for these permits are typically based on the best available technology. After the technology-based effluent limit is set, the EPA considers a state’s water quality standards in order to determine whether the effluent limit meets those standards. Only if the technology-based limits are insufficient to meet those water quality standards is the NPDES permit required to be changed to impose more stringent effluent limits. Regents speculated at the hearing that the EPA might alter Regents’ NPDES permit to reflect the state’s human health standards for tributaries. That the federal government might ultimately impose more stringent effluent limits in Regents’ permit does not support a conclusion that the state’s standard is consequently a regulation. Regents’ argument fails.
{28} Regents further contend that they received inadequate notice under 74-6-6(A), (C) because the Commission failed to disclose in its published notice that a regulation as opposed to a standard would be considered at the hearing. Section 74-6-6 sets forth the notice and hearing requirements, which are the same for standards or regulations. Regents do not dispute that they received direct as well as constructive notice of the petition and hearing. In addition, as noted above, the Department met with Regents prior to the hearing to discuss the proposed amendments. Regents’ claim, then, is solely that the content of the notice failed to indicate a regulation was under consideration. However, we have concluded that the second sentence is not a regulation. Accordingly, we hold that the Commission complied with Section 74-6-6(A), (C).
C. There Was Substantial Evidence for the Commission’s Action
{29} ’’Substantial evidence supporting administrative agency action is relevant evidence that a reasonable mind might accept as adequate to support a conclusion.” Oil Transp. Co. v. N.M. State Corp. Comm’n, 110 N.M. 568, 571, 798 P.2d 169, 172 (1990); Wolfley v. Real Estate Comm’n, 100 N.M. 187, 189, 668 P.2d 303, 305 (1983). We review the whole record, considering evidence both favorable and unfavorable, to determine the sufficiency of the evidence. Perkins v. Dep’t of Human Servs., 106 N.M. 651, 654, 748 P.2d 24, 27 (Ct.App.1987). We do not reweigh the evidence but decide, on balance, whether there was substantial evidence to support the agency’s decision. Id. at 655, 748 P.2d at 28.
{30} At the March 2002 hearing, the Department emphasized that the purpose of the human health criteria is to protect humans from consuming fish “with toxic pollutants in their flesh.” The Department clarified that the second sentence in 20.6.4.10.G NMAC only applies to fifteen pollutants, “the very worst of the worst of the toxic chemicals.” “There is no good reason to release any of these [fifteen pollutants] into the watersheds of the state,” the Department told the Commission. The Department testified that these persistent toxic pollutants pose a substantial risk over many lifetimes — that they adhere to sediments in ephemeral streams and are transported downstream to waters containing fish consumed by humans. The smallest sediments, which tend to pick up the greatest number of these contaminants, are most easily moved downstream. Some of the pollutants are bioaccumulative; that is, they “accumulate in fish, which absorb them from the water and the aquatic organisms which they eat, who in turn have absorbed them from the water column and from the sediments. Over time, these pollutants bioaccumulate to concentrations which are dangerous to humans [who] consume the fish.” Many of the ephemeral tributaries contain aquatic organisms but generally do not contain fish consumed by humans.
{31} The Department presented data from the EPA that showed the presence of twenty priority toxic pollutants in effluent discharges, including DDT. The Department also presented its findings of high levels of PCBs and dioxin in ephemeral storm waters on LANL property and in fish caught in Cochiti Reservoir. While clarifying that it was not implying a causal relationship between the presence of the pollutants in these two locations, the Department indicated that the findings show the pollutants currently exist in both ephemeral streams and in fishery waters. The Department testified that the second sentence was designed to ensure that certain highly persistent toxics do not reach fishery waters. The Department further explained the inadequacy of the current strategies to control these toxics and that “a different strategy is needed” for persistent toxic pollutants. That strategy, the Department stated, is applying numeric criteria for persistent toxic pollutants to the tributary itself.
{32} Regents countered that existing programs, including the issuance of storm water permits, are effective tools to protect downstream fishery waters; the tools just need to be utilized to the fullest extent possible. However, according to the Department, the existing approaches only apply when discharges routinely reach downstream waters. The Department explained that these approaches create “a very large loophole in the standards” because they exclude discharges that reach the downstream waters during storms or other runoff events. Regents also insisted that the Department’s findings of persistent toxic pollutants rely “on a very narrow and sparse data set,” which can have biased results; Regents requested further data and study. It stated that although PCBs have been found in fish, the level of the toxic is not harmful to human health.
{33} As an alternative to a blanket application of the numeric criteria to tributaries, Regents urged the Department to wait until it finds a risk to human health in fishery waters, then find the source of the problem and work with the discharger to come to a solution. Regents agreed their approach could be described, in their words, “as waiting until the horse is out of the barn before you deal with the problem.” They acknowledged that while studies are pursued, precipitation events continue and rainfall runoff flows down from an ephemeral stream on their property to a fishery water. Regents also conceded that it is essentially a policy choice for the Commission whether to accept their approach to protecting downstream uses or to adopt the Department’s approach.
{34} We reiterate that in reviewing for substantial evidence, although we consider the evidence on both sides of the issue, we affirm if there is substantial evidence supporting the Commission’s decision. We find in the whole record ample evidence to affirm.
D. The Commission’s Action Was Not Arbitrary or Capricious
{35} An action is arbitrary or capricious if it is “unreasonable, irrational, wilful, and does not result from a sifting process.” Oil Tmnsp. Co., 110 N.M. at 572, 798 P.2d at 173. We may find an action arbitrary or capricious if there is “no rational connection between the facts found and the choices made.” Colonias Dev. Council v. Rhino Envtl. Servs., Inc., 2003-NMCA-141, ¶ 5, 134 N.M. 637, 81 P.3d 580 (internal quotation marks and citation omitted), cert. granted, 2003-NMCERT-003, 135 N.M. 52, 84 P.3d 669; Perkins, 106 N.M. at 655, 748 P.2d at 28. Even if a different conclusion might have been reached from the facts, the choice made “is not arbitrary or capricious if exercised honestly and upon due consideration.” Id.
{36} We do not find the adoption of the second sentence arbitrary or capricious. The Commission made the decision to adopt the sentence after evidence was presented that persistent toxic pollutants exist in ephemeral streams in New Mexico, that these pollutants may flow into fishery waters as a result of storms or other precipitation events, and that the pollutants in sufficient quantities are harmful to human health. We find the decision to adopt the sentence both reasoned and rational; that there were possibly other choices available to the Commission to protect downstream waters from persistent toxic pollutants does not make the decision arbitrary or capricious.
III. CONCLUSION
{37} We affirm the Commission’s adoption of the second sentence of 20.6.4.10.G NMAC, which applies the human health standards to tributaries of fishery waters.
{38} IT IS SO ORDERED.
ALARID and VIGIL, JJ., concur. | [
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OPINION
KENNEDY, Judge.
{1} On motion for rehearing, the opinion filed October 28, 2004, is withdrawn, and the following opinion is substituted in its place. The motion for rehearing is otherwise denied.
{2} At what point in criminal proceedings does a defendant waive objection to the constitutionality of a search that produced evidence that is offered against him? Defendant postponed objecting to evidence of the cocaine and methamphetamine he possessed until after testimony was received concerning the search, the drugs’ discovery, their transport, and the analysis confirming their composition and weight. When the State sought the drugs’ admission into evidence, Defendant objected to their admission, alleging that they were the fruits of an unlawful search. The motion was denied, and Defendant was convicted on two counts of possession of drugs. Defendant now appeals. Defendant also appeals the enhancement of his sentence on the grounds that the Habitual Offender Act prohibits the use of his prior convictions more than ten years old. We determine that the search was illegal, and the evidence obtained should have been suppressed. Because of this determination, we do not reach the sentence enhancement issue. We reverse and remand to the district court for appropriate proceedings.
FACTUAL AND PROCEDURAL BACKGROUND
{3} Defendant was charged with one count of trafficking cocaine and one count of possession of methamphetamine. At trial, the State’s first witness, Deputy Gutierrez (no relation to Defendant), testified that on May 28, 2002, the Otero County Sheriffs department responded to a call regarding a drug overdose in La Luz, New Mexico. Upon arriving, he and another deputy found Defendant unconscious on the floor. Defendant’s stepdaughter told the deputies that Defendant had overdosed on cocaine. An ambulance arrived at Defendant’s residence soon thereafter to transport Defendant to the hospital. After the ambulance left, the two deputies talked for awhile at the scene. Deputy Gutierrez decided to go to the hospital, although no one asked him to do so. Deputy Gutierrez testified that in overdose situations, his concern is the safety of the victim.
{4} Deputy Gutierrez testified that at the hospital, he located Defendant in a treatment bay in the emergency room and observed while Defendant, still unconscious, received treatment from the medical personnel at the hospital. Deputy Gutierrez backed out of the bay for a few minutes to give Defendant some privacy, but soon looked back in the bay, where he saw Defendant’s clothes lying on the floor. Without any request for (1) assistance from hospital personnel, (2) consent from Defendant, who was still unconscious, or (3) a search warrant, Deputy Gutierrez picked up Defendant’s pants, searched the pockets, and found two plastic bags in the pockets. Deputy Gutierrez testified that he “didn’t expect to find anything” when he searched Defendant’s pants at the hospital because when he first saw Defendant at Defendant’s residence, it appeared that Defendant’s pants had already been searched because the pocket on the right side was already pulled out. However, he searched the pants at the hospital “Q]ust to see, maybe if there was just a little something, just enough to test to see if there was something to confirm what it was that [Defendant] had consumed.” When asked, Deputy Gutierrez expressed that he had had some concern that Defendant’s clothing might be taken away by Defendant’s family. He said that he was not looking for criminal evidence; he was just helping out and did not expect to find anything. Deputy Gutierrez stated that Defendant looked bad and he didn’t know if Defendant would “make it.”
{5} Deputy Gutierrez believed the contents of the bags he retrieved from Defendant’s pants to be controlled substances. Deputy Gutierrez took the bags to the Sheriffs Department where he field-tested the drugs with positive results for the presence of illegal controlled substances. He called Defendant’s doctor at the hospital, relayed the information about the drugs, and put the drugs in the department’s evidence locker. The drags were later tested by a crime laboratory and found to be approximately eight grams of cocaine and little more than one and a half grams of methamphetamine.
{6} At trial, prior to the opening statements, defense counsel informed the district court that it was his intention to object to the admission of the drugs at the time the State would move to admit them as evidence. Counsel stated that the objection would be “for [the] search and seizure [of the drugs], so basically, it’s a motion to suppress in the middle of the trial, just to let you know that’s what I plan to do.” The State did not object or respond in any way. Trial commenced, and in opening statement, defense counsel left no doubt that Defendant had possessed the drugs but stated to the jury that the defense theory of the case would be that the possession was for personal use, not for trafficking, as charged in Count 1.
{7} The trial began and Deputy Gutierrez was called to the stand. He testified as previously discussed. The State then called a chemist, who testified as to the composition and weight of the drugs taken by Deputy Gutierrez. The State’s next witness was a narcotics agent who discussed the drugs’ chain of custody. At the end of his testimony, the State moved for admission of the drugs into evidence. The defense objected as promised and moved to suppress the evidence on the grounds that the warrantless search of Defendant’s pants was not justified under any exception to the warrant requirement. The State argued that the situation presented an exigent circumstance of imminent danger to Defendant’s life, that Deputy Gutierrez was acting in his capacity as a community caretaker, and that no warrant was needed. Although defense counsel responded that once Defendant arrived at the hospital the exigency disappeared, and the situation did not fit within the community earetaking exception, the district court denied the motion to suppress, ruling that the search was justified under the community caretaker standard. Specifically, the district court found that Deputy Gutierrez had considered that there was some merit in knowing the substance that Defendant had taken, and that the deputy did not believe he would find any substantial amount of controlled substances beside residue in his search because it appeared Defendant’s pants had already been searched. As a result, the district court found that Deputy Gutierrez was acting out of concern for Defendant’s well-being and not under a desire to obtain evidence for use in a prosecution.
{8} The trial continued, and Defendant testified that he possessed and used the drugs, but that he did not deal drugs. Defendant was convicted of two counts of simple possession of controlled substances. The jury did not find Defendant guilty of trafficking.
DISCUSSION
Standard of Review
{9} Resolution of the issue presented concerning the suppression of evidence requires that we determine whether the actions of Deputy Gutierrez implicate a constitutional right or if those actions fall within an exception to that right. State v. Nemeth, 2001-NMCA-029, ¶ 20, 130 N.M. 261, 23 P.3d 936. Reviewing motions to suppress involves an analysis of both law and fact. State v. Gutierrez, 2004-NMCA-081, ¶4, 136 N.M. 18, 94 P.3d 18. The denial of a motion to suppress requires us to determine if the law was correctly applied to the facts. Id. We give deference to the factual findings of the lower court. State v. Soto, 2001-NMCA-098, ¶ 6, 131 N.M. 299, 35 P.3d 304. A “denial of a motion to suppress will not be disturbed if it is supported by substantial evidence unless it also appears that the ruling was incorrectly applied to the facts.” State v. Cline, 1998— NMCA-154, ¶ 6, 126 N.M. 77, 966 P.2d 785. “The trial court must resolve conflicts in the evidence, but [w]hether that evidence complies with constitutional requirements is ... a legal question reviewed by the appellate court on a de novo basis.” Soto, 2001-NMCA-098, ¶ 6, 131 N.M. 299, 35 P.3d 304 (internal quotation marks and citation omitted and alterations in original).
Search of Defendant’s Pants and Seizure of the Drugs
{10} The Fourth Amendment of the United States Constitution and the New Mexico Constitution protect a citizen’s right to be free from unreasonable searches and seizures. U.S. Const, amend. IV; N.M. Const, art. II, § 10. The State also argues on appeal that there was no “search” for constitutional purposes because Defendant failed to meet his burden that Deputy Gutierrez violated his reasonable expectation of privacy. The State did not raise this point before the district court, and it cannot now be relied on as a basis to affirm on the ground that the court was correct for the wrong reason because Defendant did not have a fair opportunity to present evidence on the issue. See State v. Franks, 119 N.M. 174, 177, 889 P.2d 209, 212 (Ct.App.1994). There is no dispute in this case that the search of Defendant’s pants was without consent or a warrant. The State argues that Defendant was not in the custody of the police when his pants were searched, and the search was performed incident to a community caretaking function on the part of Deputy Gutierrez, and therefore the search does not implicate constitutional protections and was justified without a warrant.
Warrantless Searches and Community Caretaking
{11} “Because a warrantless search or seizure is presumed to be unreasonable, the State has the burden of showing that the search or seizure was justified by an exception to the warrant requirement.” Gutierrez, 2004-NMCA-081, ¶ 6, 136 N.M. 18, 94 P.3d 18; State v. Vasquez, 112 N.M. 363, 366, 815 P.2d 659, 662 (Ct.App.1991). Recognized exceptions to the warrant requirement include “exigent circumstances, consent, searches incident to arrest, plain view, inventory searches, open field, and hot pursuit.” State v. Duffy, 1998-NMSC-014, ¶61, 126 N.M. 132, 967 P.2d 807. This Court has also recognized that, so long as certain criteria are met, the community caretaking function “can properly take its place in our jurisprudence as an exception to the Fourth Amendment warrant requirement.” Nemeth, 2001-NMCA-029, ¶ 36, 130 N.M. 261, 23 P.3d 936. Our case law recognizes that there is “a community caretaking function of police officers requiring a specific, articulable concern for the safety of another that does not involve a law enforcement purpose.” Id. ¶ 29. “The primary characteristic of community caretaking that sets this function apart from criminal investigative and enforcement activity is the absence of concern about violations of law on the part of the law enforcement officer.” Id. ¶ 36. These encounters are voluntary, may not involve coercion or detention, and do not invoke constitutional protections, as they may fall outside of the fourth amendment. Id. ¶¶ 26-27; State v. Walters, 1997-NMCA-013, ¶ 10,123 N.M. 88, 934 P.2d 282. “[I]n a community caretaker ease, reasonableness is determined by balancing the public need and interest furthered by the police conduct against the degree of and nature of the intrusion upon the privacy of the citizen.” Nemeth, 2001-NMCA-029, ¶ 29, 130 N.M. 261, 23 P.3d 936 (internal quotation marks and citations omitted and alteration in original).
{12} Thus far, our cases have not had to concern themselves with the issue of “community caretaking” outside the realm of the constitutionality of seizing persons. Walters, 1997-NMCA-013, ¶¶10, 22, 123 N.M. 88, 934 P.2d 282 and State v. Reynolds, 117 N.M. 23, 24-25, 868 P.2d 668, 669-70 (Ct. App.1993), rev’d on other grounds, 119 N.M. 383, 890 P.2d 1315 (1995), allowed police officers to stop and seize persons in a vehicle to assuage their concerns for driver and passenger safety. These stops must be based on a “specific, articulable safety concern.” State v. Munoz, 1998-NMCA-140, ¶8, 125 N.M. 765, 965 P.2d 349 (internal quotation marks and citation omitted). Nemeth extended the community caretaker doctrine to a situation which did not involve a citizen-police encounter in vehicles but instead involved a warrantless entry into a defendant’s residence, a citizen-police encounter concerning a possibly suicidal defendant. Nemeth, 2001-NMCA-029, ¶¶ 3-18, 130 N.M. 261, 23 P.3d 936. It emphasizes that community caretaking exists apart from criminal investigation, stating:
[L]aw enforcement officials have no carte blanche to enter homes to investigate circumstances of suspected criminal activity under a guise or pretext of community caretaking pursuits. Our application here of the community caretaker doctrine carries with it the expectation that law enforcement officers will continue to carry on such service, while at the same time re main subject to judicial scrutiny to assure that their actions are reasonable and not pretextual, and that their conduct is not outside the bounds of legitimate community caretaker activity.
Id. ¶ 41.
{13} Community caretaking can only be invoked when the police are not involved in crime-solving activities. Id. ¶ 38. It is the absence of a concern for violations of the law that characterizes police behavior in such a circumstance. Id. Applying our constitutional yardstick to the police behavior in a case, we look at whether the officers’ actions were objectively reasonable and in good faith, particularly, whether the officer has a “reasonable and articulable belief, tested objectively, that a person is in need of immediate aid or assistance or protection from serious harm.” Id. ¶ 37. Officers’ actions are limited to ascertaining the immediate danger and directly addressing it; investigating other matters of which an officer becomes aware is permissible, but they cannot be the initial motivation for the police involvement. See id. ¶ 38.
The Search of Defendant’s Clothes is Not Justified by Community Caretaking
{14} The search undertaken by Deputy Gutierrez was not a community caretaking encounter with Defendant, consensual or otherwise. Rather, it was a search of his property while Defendant was incapacitated. Deputy Gutierrez looked in the ER examination room, saw the clothing lying on the floor, and of his own volition entered the room, picked up the pants, and searched their pockets. The district court found that Deputy Gutierrez “was acting in a community caretaker function” in that the “exigency was in immediate danger to life of ... Defendant.” Based on the testimony presented in the district court, this finding was not supported by substantial evidence.
{15} No evidence exists that Deputy Gutierrez was acting in concert with medical personnel; his actions were his own. To hold here that Deputy Gutierrez’s course of action was legitimately to ascertain the drugs that affected Defendant to help with his treatment, ignores three things. First, Defendant was already being treated by medical personnel, and had been before Deputy Gutierrez arrived. Medical personnel requested no help from Deputy Gutierrez. Second, he learned what drugs were in the bags only after a span of time in which he left the hospital, went to the station and performed a screening test. Third, Deputy Gutierrez had some concern that Defendant’s family might retrieve the clothing before he had a chance to look at it. The district court’s finding that Deputy Gutierrez considered that there was merit to identifying the substances in the bags is irrelevant absent some evidence that Deputy Gutierrez’s actions would have likely been helpful to medical efforts-that evidence was never offered by the State.
{16} As stated above, Deputy Gutierrez had neither permission nor warrant to search. He testified that he did not think it was important to find out what drug was involved, but that he was at the hospital with Defendant “just to help out.” At the hospital, Deputy Gutierrez recognized the substances as drugs. He did not ascertain the medical utility of his actions. There was no testimony that Deputy Gutierrez showed the bags to the medical personnel at the hospital. He took the drugs to the sheriffs department and performed a field test, called Defendant’s doctor with the results, and tagged the drugs into evidence. There was no testimony that Deputy Gutierrez ever returned to the hospital in connection with Defendant’s continuing treatment at the hospital.
{17} Other jurisdictions have exceptions to the warrant requirement akin to the community caretaker doctrine that we consider in this case. The Supreme Court of Colorado defined a “medical emergency” exception to the warrant requirement in an emergency room situation. People v. Wright, 804 P.2d 866, 869-870 (Colo.1991) (en banc). Under this analysis, two factors predominate the analysis of warrantless searches and seizures. “[F]irst, there must be facts which, when objectively analyzed, establish the existence of a real and immediate danger to the life or safety of another; and second, the officer’s purpose in conducting the search must be to render aid or assistance to the endangered person.” Id. at 870; see also State v. Loewen, 97 Wash.2d 562, 647 P.2d 489, 490-94 (1982) (en banc). Thus, Deputy Gutierrez’s actions in this case fail to demonstrate evidentiary connection to medical needs similar to the lack of connection between warrantless searches and medical emergencies held to be fatal to searches in other jurisdictions.
{18} Nemeth set forth a test for the community earetaking function similar to that used in Wright mentioned above for Colorado’s medical emergency exception to the warrant requirement. Nemeth states that the “test of legitimacy under the community caretaker doctrine is whether the officers’ actions were objectively reasonable and in good faith. More particularly, the officer must have a reasonable and articulable belief, tested objectively, that a person is in need of immediate aid or assistance or protection from serious harm.” Nemeth, 2001-NMCA-029, ¶ 37, 130 N.M. 261, 23 P.3d 936. Deputy Gutierrez’s conduct does not pass this test. Here, Deputy Gutierrez was not asked to go to the hospital. He did not leave Defendant’s residence to go to the hospital for five or ten minutes, and stated no reason for the wait. Upon his arrival, he observed Defendant being disrobed, and waited a few more minutes before searching the pants. Defendant had been under the care of medical personnel. The objective necessity for Deputy Gutierrez’s actions to benefit Defendant was not established.
{19} Therefore, the State did not present substantial evidence as to the reasonableness of Deputy Gutierrez’s belief that his aid and assistance was necessary. We determine that Deputy Gutierrez’s search of Defendant’s clothes was done “for the purpose of investigating possible criminal activity or obtaining incriminatory evidence, rather than pursuant to a non-criminal-related community caretaking function.” Nemeth, 2001-NMCA-029, ¶ 38, 130 N.M. 261, 23 P.3d 936.
Timing of the Motion to Suppress
{20} Although Defendant waited to make an objection on the record until after the State had put on three of its witnesses who discussed the drugs, all parties and the district court were on notice as to what the defense intended because prior to trial, defense counsel informed the district court that he would be raising an issue concerning suppression of the drugs. He called it “a motion to suppress in the middle of trial,” and the State did not object. In fact, when the motion was made after Deputy Gutierrez, the chemist, and the narcotics agent who transported the drugs to the laboratory testified, the State responded to the motion, including citing case law involving community caretaking. As with other cases involving the tactical decisions of trial counsel in other contexts, we do not wish to guess at what defense counsel was doing. Cf. State v. Sanchez, 120 N.M. 247, 254, 901 P.2d 178, 185 (1995) (stating that within the context of an ineffective assistance of counsel claim, this Court will not second guess the tactics or strategy of defense counsel). However, in the absence of an objection from the State to consideration of the motion, and its affirmatively arguing its merits to the district court, we hold that the State waived its objection to the motion. The question is whether the motion was timely.
{21} According to our rules, “[a] person aggrieved by a confession, admission or other evidence may move to suppress such evidence.” Rule 5-212(B) NMRA 2004. The rules further state that “[a] motion to suppress shall be made within twenty (20) days after the entry of a plea, unless, upon good cause shown, the trial court waives the time requirement of this rule.” Rule 5-212(C). Objections to evidence “must be sufficiently timely and specific to apprise the [district] court of the nature of the claimed error and to invoke an intelligent ruling by the court.” State v. Lucero, 104 N.M. 587, 590, 725 P.2d 266, 269 (Ct.App.1986). In State v. Snyder, 1998-NMCA-166, ¶ 4,126 N.M. 168, 967 P.2d 843, defense counsel alleged an unlawful search and moved at trial to suppress photographs of seized marijuana. In Snyder, we ruled that the State’s ability to use evidence at trial depended on the application of an exclusionary rule triggered by the constitutionality of a search and evaluated the constitutional claim. Id. ¶¶ 13-15. Questions concerning the constitutionality of a search and seizure are questions concerning fundamen tal rights of a party, including the right to be free of illegal searches and seizures. State v. Gomez, 1997-NMSC-006, ¶ 31, n. 4,122 N.M. 777, 932 P.2d 1. There is no obligation for Defendant to move for suppression of evidence prior to trial, as we have held that “[t]he committee commentary to Rule 5-212 of the New Mexico Rules of Criminal Procedure specifically states that the Rules do not require [a] motion objecting to illegally seized evidence prior to trial.” State v. Ortega, 114 N.M. 193, 198, 836 P.2d 639, 644 (Ct.App.1992) (internal quotation marks and citations omitted); Rule 5-212 Committee commentary. The fact that Defendant was outside the time limit of twenty days after his plea under Rule 5-212(C) might have served as grounds for not hearing or denying the motion or having it regarded in an unfavorable light, e.g., County of Los Alamos v. Tapia, 109 N.M. 736, 744, 790 P.2d 1017, 1025 (1990). However, that is not the case here. The district court was on notice of the motion, and the court did not penalize Defendant for ignoring the rule. The State was on notice, and the State responded and argued. Defendant preserved the issue for our review.
Admission of Evidence Was Not Harmless Error
{22} The State argues that even if Deputy Gutierrez’s search of Defendant’s pockets was unconstitutional, any error in the admission of the drugs was harmless. Our Supreme Court stated that constitutional errors can only be considered harmless if we are able to “conclude beyond a reasonable doubt that the jury verdict would have been the same absent the error.” State v. Johnson, 2004-NMSC-029, ¶¶ 8-10, 136 N.M. 348, 353, 98 P.3d 998, 1003 (2004) (internal quotation marks and citation omitted). The State has the burden, of demonstrating that the constitutional error was harmless beyond a reasonable doubt. Id. ¶ 9. In ascertaining whether the State has met this burden we must conduct an “objective reconstruction of the record of evidence the jury either heard or should have heard absent the error and a careful examination of the error’s possible impact on that evidence.” Id. ¶ 10.
{23} The only evidence of Defendant’s possession of drugs was the result of the search of Defendant’s pockets. Without the drug evidence or testimony concerning the seizure and the testing of the drugs, the State had no evidence to prove that Defendant possessed the drugs. The remedy for the illegal search is suppressing all the fruits of the search, including the testimony concerning its discovery. See State v. Hawkins, 1999-NMCA-126, ¶ 16,128 N.M. 245, 991 P.2d 989 (stating that evidence obtained as the result of an illegal search is generally barred under the “fruit of the poisonous tree” doctrine).
{24} The procedural posture of this case is not as convoluted as it may seem. Despite the evidence that was presented to the jury by three witnesses, the only charges upon which Defendant was convicted concerned possession of drugs. The drugs Defendant was charged with possessing are the drugs Deputy Gutierrez took out of Defendant’s pocket in the hospital. Therefore, the issue of identification whether these drugs removed from Defendant’s pocket were a controlled substance depends on the legitimacy of the search. But, without the discovery of the drugs, there was nothing to identify or analyze, and there was no independent source for the evidence that Defendant possessed drugs that would not have been tainted by the illegal search. As a result, the failure of the district court to suppress this evidence cannot be considered harmless beyond a reasonable doubt. Suppression resolves the factual issue of the existence of the drugs in the case for all purposes.
CONCLUSION
{25} We therefore reverse the district court. The case is remanded for entry of an order granting Defendant’s motion to suppress and for further proceedings consistent with this opinion.
{26} IT IS SO ORDERED.
WE CONCUR: JAMES J. WECHSLER, Chief Judge and MICHAEL E. VIGIL, Judge. | [
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OPINION
KENNEDY, J.
{1} These cases concern whether the State may appeal non-final orders from the district court. In Defendant Griego’s ease, the State asks this Court to accept its appeal of the district court’s order denying its motion in limine seeking to restrict impeachment of the victim based on (among other things) his admissions that as a paid police informant, he had falsely stated and exaggerated facts in cases which he worked. In Defendant Coffey’s case, the State asks us to review an order allowing Defendant to withdraw his plea. We hold that neither order constitutes a final order from which the State may appeal, and therefore dismiss these appeals owing to our lack of jurisdiction to consider them. These two cases are consolidated for purposes of this opinion only. DISCUSSION
State v. Griego
{2} In Defendant Griego’s case, the State missed the deadline for an interlocutory appeal, conceding in its brief that an interlocutory appeal does not lie in this case. The State now asks us to accept this appeal as a direct appeal from a dismissal of a criminal complaint pursuant to NMSA 1978, § 39-3-3(B)(1) (1972). There was no dismissal or disposition by the district court.
{3} The order from which the State appeals denied the State’s motion in limine to prevent Defendant Griego from impeaching the State’s witness with the use of “extrinsic evidence” of conduct. Rule 11-608(B) NMRA 2004. The order was filed on November 20, 2002; the notice of appeal was filed on December 3, 2002. The district court stated at the time of its order that the prosecutor “can take his interlocutory appeal.” The district court’s granting permission for the State to act, however, does not give us jurisdiction to hear this appeal. Sanchez v. Bradbury & Stamm Constr., 109 N.M. 47, 48, 781 P.2d 319, 320 (Ct.App.1989) (holding that the “court of appeals only has jurisdiction to review matters as provided by law”); see N.M. Const, art. VI, § 29. Twelve days after the order was filed the State appealed it as an appeal from a final order. See § 39-3-3(B)(l). The State thus did not file an interlocutory appeal from the order pursuant to Section 39-3-3(B)(2), which states that an appeal may be taken within ten days, and only from a decision or order of a district court suppressing or excluding evidence or requiring the return of seized property.
{4} The State appealed the court’s order without the case being tried or dismissed. Immediately prior to trial, the State’s victim informed the State that Griego’s eodefendant had actually not been involved in the incident, contrary to his prior identification of him as a perpetrator of the alleged armed robbery against him. The State dismissed the case against the eodefendant. With the jury in the courthouse, just prior to trial, the defense informed the district court that it intended to impeach the victim’s testimony, using his recent problems with identification of the codefendant. Also, the victim’s prior statement that he had been a paid police informant who had made false reports to the police and exaggerated the severity of crimes in which he was informing would be used to impeach his testimony. These statements were made when defense counsel interviewed victim in jail, where victim was incarcerated for other matters. Additionally, the defense intended to impeach the victim with evidence that he had committed other crimes; all of which the defense considered to be legitimate fodder for impeachment under Rule 11-608. The State represented to the district court that if questioned about his activities as an informant, the victim would refuse to testify or commit perjury. It moved for the district court to prohibit the defense from using the victim’s status as a paid informant and his conduct while he was an informant to impeach his testimony. The district court denied the motion, and continued the trial for the State to take an interlocutory appeal, which it did not take.
Interlocutory Appeal in Defendant Griego’s Case
{5} We are allowed by statute to hear interlocutory appeals from non-final or ders. See State v. Ahasteen, 1998-NMCA-158, ¶ 10, 126 N.M. 238, 968 P.2d 328. However, in order for this Court to hear the State’s interlocutory appeal, the requirements of Section 39-3-3(B)(2) must be met. The State concedes that they were not.
{6} First, the State did not appeal within the ten day period allowed by Section 39-3-3(B)(2). Second, the subject matter allowed under Section 39-3-3(B)(2) for such an appeal does not include a denial of a motion that had nothing to do with exclusion or suppression of evidence. Therefore, the type of order on the evidentiary matter at issue in this ease is not considered a final order from which the State may take a direct appeal. See Sims v. Sims, 1996-NMSC-078, ¶ 59,122 N.M. 618, 930 P.2d 153 (stating that “[a]n interlocutory decision is any decision made by the court prior to the final judgment”). The State concedes in its brief that these defects are “fatal to any theory of interlocutory appeal.” Because the State failed to comply with the requirements of Section 39-3-3(B)(2), we lack subject matter jurisdiction and therefore do not accept this as an interlocutory appeal.
The District Court’s Order in Griego’s Case is not a Final Order
{7} Without specific authorization for an interlocutory appeal, the right to appeal is generally limited to final judgments and orders. See High Ridge Hinkle Joint Venture v. City of Albuquerque, 119 N.M. 29, 33, 888 P.2d 475, 479 (Ct.App.1994).
{8} Conceding its failure to establish entitlement to an interlocutory appeal under Section 39-3-3(B)(2), the State urges this Court to hear this appeal under Section 39-3-3(B)(l), which allows the State to appeal “within thirty days from a decision, judgment or order dismissing a complaint, indictment or information as to any one or more counts[.]” However, there must be a final order to appeal under Section 39-3-3(B)(1). “A final order is commonly defined as an order that decides all issues of fact and law necessary to be determined or which completely disposes of the case to the extent the court had the power to dispose of it.” Ahasteen, 1998-NMCA-158, ¶ 10, 126 N.M. 238, 968 P.2d 328. Section 39-3-3(B)(l) requires that the order dismiss the indictment or information. However, our Supreme Court has noted that there are exceptions to this general rule. Ahasteen, 1998-NMCA-158, ¶ 10, 126 N.M. 238, 968 P.2d 328 (noting that “the term finality is to be given a practical, rather than a technical construction”) (internal quotation marks and citation omitted). In this case, the order was not a final order dismissing the case. In fact, the only mention of dismissal in this case came in the prosecutor’s comment to the court of how the State intended to handle the victim’s impending perjury: “The State would have no other option at that point, but in all likelihood to dismiss since I can’t support perjury.” This “likelihood” did not' come to pass.
{9} Under limited circumstances, this Court will review an otherwise non-final order pursuant to the doctrine of practical finality. Id., ¶ 12. The State urges this Court to apply the analysis and reasoning in Ahasteen, which reviewed the State’s appeal under the doctrine of practical finality. See id., ¶ 13. To support its request for us to take this appeal, the State contends that while the order was technically not a dismissal, it was a “practical” dismissal of the case because “the order did effectively dispose of the case because the prosecution no longer had a complaining witness” and it “effectively left the prosecution with no evidence to present.”
{10} We reject the State’s argument. First, the consequences the State asserts did not occur. There has been no dismissal or disposition of the charges, and no dismissal results from the order. The State’s decision to dismiss resulted from its choice not to proceed because of its recognition of its ethical duty not to put perjuring witnesses on the stand to testify.
{11} Second, the reasoning used in Ahasteen in applying the doctrine of practical finality does not apply in this case. We agree with the State that “[i]n determining whether a judgment is final, our courts are instructed to look to the substance and effect of an order and not to its form.” Id., ¶ 10. The doctrine of practical finality is not appli cable to review “one of many routine decisions made during the course of proceedings in one tribunal, such as a ruling on an evidentiary issue.” See In re Larry K, 1999— NMCA-078, ¶ 11, 127 N.M. 461, 982 P.2d 1060. As discussed in Larry K, the decision in Ahasteen was a “concluding decision! ]” of a particular tribunal concerning a decision to end the case’s life before that court, and that the reasoning used in that case was inapplicable in other contexts. Id., ¶¶ 11-12.
{12} The order allowing impeachment by the defense demonstrates its lack of practical finality in another manner: The very impeachment the State sought to prohibit never took place. The district court’s ruling merely opened the gate for the defense to properly impeach the State’s witness with instances of specific conduct. The order appealed from is an evidentiary ruling. It simply allows the defense to impeach a witness with questions about various acts which he has committed. The State’s argument as to the effect of such impeachment is no more than speculation. See Luce v. United States, 469 U.S. 38, 43, 105 S.Ct. 460, 83 L.Ed.2d 443 (1984) (holding that an appellate court cannot review the propriety of allowing impeachment that does not occur).
{13} Rule 11-608 allows for impeachment by questioning the witness concerning evidence of instances of specific conduct. Whether the State’s witness had previously lied to police in connection with being a paid informant or committed crimes is certainly within the ambit of the rule, and the record supports the district court’s recognition of the defense’s right to impeach the witness. Without the State calling the witness and without any action by the defense to cross examine and impeach the victim under the district court’s order, we are in no position to say whether the impeachment would have been proper, or properly conducted. The State’s concern that the witness would decline to answer or commit perjury to avoid answering in the event the defense explored certain areas is nothing over which the district court had any control.
{14} In State v. Augustin M., 2003-NMCA-065, ¶¶ 64-65, 67, 133 N.M. 636, 68 P.3d 182, we held that the State did not have the right to appeal the district court’s ruling that a criminal defendant had the right to present a religious-use defense to a drug charge, although it had the right to appeal a dismissal of the charge on the ground that such a defense was not presented to the grand jury. The inability of the State to immediately appeal the ruling permitting the defendant to assert his religious defense at trial in Augustin M. is directly analogous to the present situation where the defense was allowed to impeach the State’s witness, if the State had called him. On the other hand, the State’s ability to appeal a dismissal in Augustin M. is distinguishable because here the case has not been dismissed at all, let alone by the district court.
{15} In sum, the district court’s order did not dispose of the case in any fashion. Hence, the doctrine of practical finality is inapplicable. That the State had no witness without the victim is not the result of any judicial determination. The State claims it was left without a case due to the district court’s ruling denying its motion in limine. To the contrary, the State was left without a case because its sole witness was unwilling to be exposed as a liar, criminal, and paid police informant, and the State declined to allow him to commit perjury to avoid such exposure.
State v. Coffey
{16} In Defendant Coffey’s case, the State argues that it has a right to appeal the district court’s order allowing Defendant Coffey to withdraw his guilty plea. Defendant Coffey was charged with a total of seven crimes in three separate cases by grand jury indictments. These cases arose from three separate and unrelated violent incidents. Including habitual offender and firearm enhancements, Defendant Coffey faced a possibility of being sentenced to approximately sixty-three years of incarceration if he was convicted of all charges. The cases were consolidated for purposes of a plea agreement. The range of incarceration allowed under the agreement was a minimum of sixteen to a maximum of eighteen years. Approximately five months later Defendant Coffey moved to withdraw his plea, arguing that the plea was not knowingly and voluntarily made. After an evidentiary hearing, the district court granted Defendant Coffey’s motion, finding that Defendant Coffey raised “substantial doubt on whether he sufficiently understood the plea and disposition agreement to knowingly enter it.” The district court then ordered the cases against Defendant Coffey to be set for trial.
{17} In this case, the State acknowledges that generally appeals may only be taken from final judgments and orders or interlocutory orders which practically dispose of an action. The order allowing withdrawal of the plea agreement does not fall within the ambit of Section 39-3-3(B). However, the State argues that the district court’s order allowing Defendant Coffey to withdraw his plea had the effect of being final under the doctrine of practical finality and that this doctrine should be applied to this case as an exception to the final order rule. The doctrine is inapplicable in this case because there is no support for expanding the rule of finality to an order allowing Defendant Coffey to withdraw his plea under the circumstances of this case. See Larry K, 1999— NMCA-078, ¶ 11, 127 N.M. 461, 982 P.2d 1060. The result of withdrawing the plea creates no finality in that the charges against Defendant Coffey have not been dismissed. If anything, all cases are now reinstated and set for trial on the merits. “Not to limit the doctrine of practical finality would allow the exception to fast swallow the rule.” Id., ¶ 12.
State Constitutional Right to Appeal
{18} In addition to the doctrine of practical finality, this Court has permitted a state constitutional exception to the rule that an appeal may only be taken from a final judgment. Id., ¶ 13; see N.M. Const, art. VI, § 2. We have determined that “the State does not always have a right to appeal when it is aggrieved by the trial court’s ruling but rather the right to appeal is only applicable where the interest is especially strong.” Larry K, 1999-NMCA-078, ¶ 14, 127 N.M. 461, 982 P.2d 1060. “[T]he implicated interest must be of the greatest importance to justify the constitutional right to appeal exception to the final judgment rule.” Id. (internal quotation marks and citation omitted). In neither of these two cases does the State present us with a case compelling enough to justify making an exception to the final judgment rule. See id., ¶¶ 14-15; see also State v. Alvarez, 113 N.M. 82, 84-85, 823 P.2d 324, 326-27 (Ct.App.1991) (holding that the State has no constitutional right to appeal from suppression orders).
{19} In Defendant Griego’s case the State provides us with no support for its contention that its interest in preventing impeachment of a certain witness by particular methods is “of the greatest importance” to justify a constitutional right to appeal a non-final order. See Larry K., 1999-NMCA-078, ¶ 14, 127 N.M. 461, 982 P.2d 1060. While the State has an interest in having its witnesses testify and in having the district court make correct rulings on evidentiary matters, district courts have broad discretion in admitting evidence and the State’s interest in preventing impeachment of one of its witnesses “is nonetheless subject to the constraints of proper procedure.” Larry K, 1999-NMCA-078, If 15, 127 N.M. 461, 982 P.2d 1060; see also State v. Worley, 100 N.M. 720, 723, 676 P.2d 247, 250 (1984) (stating that a district court’s ruling on the admission of evidence "will not be disturbed absent an abuse of discretion). Therefore, under these circumstances, the State has no constitutional right to appeal the denial of its motion in limine.
{20} In Defendant Coffey’s case, the State argues that it has a “strong interest in enforcing the plea agreement.” It further argues that allowing Defendant Coffey to withdraw his plea would cause “serious prejudice to the State” to proceed with a trial in three felony eases after witnesses had been excused and possibly had faded memories. In addition, the State argues that the district court’s order allowing Defendant Coffey to withdraw his plea was contrary to law.
{21} We recognize that our constitution guarantees the State’s right to appeal a disposition that is contrary to law if the State is aggrieved by that disposition. See N.M. Const. art. 6, § 2; State v. Griffin, 117 N.M. 745, 747, 877 P.2d 551, 553 (1994).
However, here the State’s interest in enforcing plea agreements and the State’s ability to proceed to trial after a significant lapse of time are not compelling enough to justify an exception to the final judgment rule. Compare id.; State v. Armijo, 118 N.M. 802, 804, 887 P.2d 1269,1271 (Ct.App.1994) with Larry K, 1999-NMCA-078, ¶¶ 14-15, 127 N.M. 461, 982 P.2d 1060. The State’s assertion has no factual basis in the record. The district court specifically found that the State presented no witnesses or evidence to substantiate its claim that its ease would be prejudiced by a loss of witnesses or evidence if the plea was withdrawn. Without a factual basis in the record, the State’s bare assertions of prejudice give us no reason to find such a substantial interest so as to create an exception to our rule requiring appeals be taken only from final orders. State v. Wacey C., 2004-NMCA-029, ¶ 13, 135 N.M. 186, 86 P.3d 611 (“Arguments of counsel are not evidence and cannot be used to prove a fact.”).
CONCLUSION
{22} There was not a final judgment in these cases, and we therefore dismiss these appeals for lack of jurisdiction. Because this Court lacks jurisdiction over these appeals, we decline to reach the other issues raised in the briefs.
{23} IT IS SO ORDERED.
WECHSLER, C.J., and ROBINSON, J., concur. | [
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OPINION
SOSA, Senior Justice.
Plaintiff-appellant, Ramon Mares (Mares), appeals the judgment of the district court in favor of defendant-appellee, Santa Fe Public Schools (School Board). For the reasons stated below, we affirm.
FACTS
On September 22, 1983, Mares filed a complaint with the New Mexico Human Rights Commission (HRC), alleging that he had been fired (May 11,1983) by the School' Board because of his age (50). On September 29, 1983, HRC wrote to Mares explaining that HRC’s rules and regulations specify that in the event a complainant cannot be contacted for a sixty-day period, the complainant’s case would be closed by HRC’s executive director (the Director) without prejudice.
Mares asked HRC to forward his file to the federal Equal Employment Opportunity Commission (EEOC) for a determination of Mares’ rights under the federal Age Discrimination in Employment Act (“ADEA”), 29 U.S.C. Section 621 (1967). On July 12, 1984, the Director advised Mares in writing that the EEOC “has determined that your complaint is not timely, within 300 days of the act of harm, May 11, 1983.” On July 16, 1984, the Director advised the School Board’s superintendent that a formal hearing on Mares’ case had been scheduled for October 9, 1984. On September 18, 1984, HRC tried unsuccessfully to have Mares’ attorney file an entry of appearance; subsequently the hearing set for October 9 was cancelled. On October 15, 1984, HRC tried unsuccessfully to contact Mares to have Mares’ attorney enter an appearance of record. On November 9, 1984, HRC wrote to Mares, stating, “This office needs to set your case for Pre-Hearing Confer ence and Formal Hearing and I still don’t have an Entry of Appearance from your attorney. Please let me know what your intentions are by November 20.” Attached to the bottom of the letter was a handwritten note dated “11/21/84,” which read, “Berardinelli’s secretary called. He will enter appearance.” On November 24, 1984, Mares’ attorney (Berardinelli) formally entered an appearance in the case.
On January 4, 1985, counsel for both parties were advised by HRC to send their respective drafts of a proposed pre-hearing order to HRC by January 14. On April 1, 1985, the Director wrote Mares’ attorney advising him that Mares’ version of the pre-hearing order had not arrived, and requested receipt of the order by April 10. In his letter the Director cited the applicable HRC rule which governs submission of pre-hearing orders. On April 16, the Director wrote Mares’ attorney again, saying, “The pre-hearing order was due in our offices by January 14, 1985. On April 1, 1985 we wrote you and allowed you until April 10 to submit your order. To date we have not received the order nor any other response from you. Please be advised that the formal hearing scheduled for May 6 is now cancelled. As per Section II G 2 of the Rules and Regulations of the Human Rights Commission, we are now closing this case administratively, without prejudice, for your failure to cooperate. It is our opinion that we have been more than fair with your office in trying to accommodate your needs.”
On August 29, 1984, approximately three months before Mares’ attorney had filed entry of appearance in his client’s HRC case, Mares, through his attorney, filed in the United States District Court, District of New Mexico, a “Complaint For Damages For Age Discrimination,” naming the School Board as defendant. On July 31, 1985, Mares, through his attorney, confessed judgment in the federal case in favor of defendant, acknowledging that Mares’ failure to timely file his complaint with the EEOC deprived the federal court of jurisdiction. On July 31 Mares’ attorney wrote the Director asking HRC to reinstate Mares’ complaint. On August 7, 1985, the federal district court entered an order dismissing Mares’ complaint. On August 30, 1985, the Director responded to Berardinelli’s letter of July 31 by writing, “Due to your apparent lack of interest and attention in pursuing this case, we have decided to sustain our decision that the case continue to be administratively closed. Your letter [of July 31] fails to adequately explain the delays in filing a Pre-Hearing Order * * * At no time during this period did you request an extension of time limits as is provided for in the Rules.”
On September 25, 1985, Mares, through his attorney, filed in the District Court of Santa Fe County his “Notice of Appeal of Decision of Human Rights Commission of New Mexico,” in which he appealed “the decision of [HRC] rendered * * * on August 30, 1985,” and asked for “Trial de Novo * * * as provided in Section 28-1-13(A), NMSA 1978 Comp.” On June 19, 1986, after a trial de novo, the trial court ruled, “[T]he action of [HRC] in closing Mares’ file for failure of cooperation was correct and * * * accordingly, Mares’ appeal should be dismissed.” The present appeal then followed.
EFFECT OF THE FEDERAL “ADEA” ON THE HRC ACTION
The only meritorious issue which Mares raises on appeal is that his filing of the complaint in federal court stayed the proceeding before HRC, and thus HRC’s dismissal of and subsequent refusal to reinstate Mares’ case (April 16, 1985) are actions that were void. Mares relies on 29 U.S.C. § 633, which states that a complaint filed under the ADEA “shall supersede any state action.” Mares argues that “supersede” is equivalent to “stay,” and that HRC was prohibited from taking any action during the time that Mares’ case was being considered by the federal court, even though the Director’s action of August 30, 1985 post-dated the federal court’s order of dismissal of August 7, 1985.
While it is mandatory that an aggrieved person in a state with an agency empowered to remedy age discrimination in employment resort to the state’s appropri ate administrative remedies before bringing suit in federal court under the ADEA, Oscar Mayer & Co. v. Evans, 441 U.S. 750, 99 S.Ct. 2066, 60 L.Ed.2d 609 (1979), such requirement does not mean that the state agency must cease consideration of a prior complaint until such time as the federal court has resolved an ancillary lawsuit filed in federal court under the ADEA. Mares cites Pandis v. Sikorsky Aircraft Div. of United Technologies Co., 431 F.Supp. 793 (D.Conn.1977), as support for the opposite proposition, but Pandis merely held that a federal court hearing a case based on the ADEA should not assume pendent jurisdiction in a subsidiary action based on a state age discrimination statute.
Further, the meaning of the words “state action” in 29 U.S.C. § 633 has been held to mean “a trial on the merits.” National Cash Register v. Riner, 413 A.2d 890, 893 (Del.Super.1979). In the case before us there was no state action resembling a trial on the merits. HRC’s actions during the pendency of Mares’ abortive federal cause of action, including HRC’s April 16, 1985 dismissal, were taken only because HRC could not stir Mares or his attorney to notify HRC as to Mares’ intentions concerning the complaint pending before HRC. Thus, even assuming that 29 U.S.C. § 633 requires a stay, HRC’s action during the period of Mares’ federal lawsuit was not the type of action prohibited by Section 633.
There appear to be three general interpretations of the word “supersede” as used in Section 633. The first is to interpret “supersede" as meaning “stay", and has been stated by the Second Circuit as follows: “As the district court correctly found, under the ADEA ‘the Secretary [of Labor] has absolutely no power to extinguish * * * state claims [or] state statutory rights.’ The relevant section of the ADEA, § 14(a), 29 U.S.C. § 633(a), provides only that the commencement of a federal action shall “supersede” state claims. The legislative history is clear that this language only empowers the Secretary to stay state proceedings, not to dismiss them.” (Citations omitted.) Dunlop v. Pan American World Airways, Inc., 672 F.2d 1044, 1049 (2d Cir.1982).
The second interpretation of “supersede” supports the proposition that a federal case filed under the ADEA does not require staying of the state action (thereby construing “supersede” more narrowly than did the court in Dunlop v. Pan American World Airways). This interpretation is found in Hunnewell v. Manufacturers Hanover Trust Co., 628 F.Supp. 759 (S.D.N.Y.1986), where the court found that New York’s equivalent of HRC “usually stays its proceedings while the federal case is pending.” Id. at 761 (emphasis added). The emphasized word “usually” illustrates that “supersede” does not necessarily mean “stay,” and that such “staying” as is done by the administrative agency in New York is optional. Finally, in Mistretta v. Sandia Corp., 639 F.2d 588 (10th Cir.1980), the court interpreted the Supreme Court’s holding in Oscar Mayer & Co. v. Evans as standing for the proposition that it is the federal court, and not the state court, which “ ‘should be held in abeyance,’ so as to give the state agency the opportunity to entertain respondent’s grievance.” Id. at 593 (citations omitted).
None of these interpretations requires us to hold that HRC’s action during the pend-ency of Mares’ federal claim was inconsistent with the federal statute. Further, regardless of the meaning of the word supersede as used in Section 633, Mares is still left with the fact that the Director’s August 30, 1985 refusal to reinstate Mares’ case post-dated the federal court’s August 7 dismissal of Mares’ federal claim. Thus, such arguments as Mares may have made with respect to “staying” before August 7, may not be applied to any action which HRC took after August 7. See Pandis v. Sikorsky Aircraft Div. of United Technologies Co., where the court held, “If at the termination of his federal lawsuit plaintiff thinks that state law would afford remedies not granted in this case, he will be free to resume his action before the [Connecticut equivalent of HRC] and pursue his state appeal if necessary.” 431 F.Supp. at 796. Pursuing his state appeal at the termination of his federal lawsuit is precisely what Mares did here, but the District Court of Santa Fe County found in favor of the school board. Our reading of the record supports the trial court’s decision.
We thus hold that HRC’s action during the pendency of Mares’ federal case did not violate 29 U.S.C. § 633, and that both HRC’s dismissal of Mares’ complaint on April 16,1985 and its refusal on August 30, 1985 to reinstate Mares’ case were within the authority granted to the Director by New Mexico’s Human Rights Act, NMSA 1978, Sections 28-1-1 to -7, 28-1-9 to -14, and not an abuse of discretion.
Accordingly, we affirm the District Court of Santa Fe County.
IT IS SO ORDERED.
SCARBOROUGH, C.J., and RANSOM, J., concur. | [
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OPINION
MINZNER, Judge.
The Taxation and Revenue Department (department) appeals from a judgment declaring all properties owned by Masonic lodges exempt from property taxes under the New Mexico Constitution, article VIII, Section 3. The department contends that the trial court applied an erroneous standard of law in concluding that the properties are tax-exempt, and that under the correct standard, the Masonic lodges are not used for educational or charitable purposes. See id. We reverse and remand with instructions to dismiss the petition for lack of jurisdiction.
BACKGROUND
The record indicates that properties owned by Masonic lodges in New Mexico have not been assessed for a number of years, on the ground that the properties are used for charitable or educational purposes. Beginning with the 1983 tax year, the legislature required that non-governmental entities claim the exemptions by filing proof of eligibility with the county assessor; however, once allowed, the exemptions need not be claimed again until there is a change in eligibility. See NMSA 1978, § 7-38-17(C), (F) (Repl.1986). If claims for exemptions were not filed by the last day of February 1983, the property was presumed not to be exempt and was taxed.
In response to a request for a ruling concerning property owned by Sacramento Lodge No. 24, located in Alamogordo, the department concluded that this property is not used for educational or charitable purposes within the meaning of article VIII, Section 3. The ruling, P.T.D. Ruling No. 83-02, also stated that each request for property tax exemption must be evaluated on its own facts and that other cases, while illustrative, are not controlling. The ruling therefore held that Temple Lodge No. 6, A.F. & A.M. v. Tierney, 37 N.M. 178, 20 P.2d 280 (1933) is not dispositive of the facts presented by the Sacramento Lodge.
Subsequently, four groups of Masons, representing all of the Masonic lodges in New Mexico, filed a petition for declaratory judgment in district court. The petition states that, since the ruling, many county assessors have issued notices to lodges that their properties are no longer exempt, and it is anticipated that such assessments will soon be made on a statewide basis. The petition asked the district court to issue a declaratory judgment that all Masonic lodges affiliated with any of the petitioners are exempt from property taxes, contrary to the ruling. The court issued an order staying any further notices of assessment on Masonic properties, and any administrative proceedings involving notices and protests filed pursuant thereto, until a final determination was made with respect to the taxability of the properties. After trial, the court entered findings and conclusions which did not differentiate among the associated lodges and an order granting petitioners tax-exempt status, on the ground that their operations are both educational and charitable in nature. The department appeals this order.
The record does not reflect that exemptions have been denied to any lodge other than Sacramento Lodge No. 24. In fact, P.T.D. Ruling No. 83-03 states that “[e]ach request for property tax exemption under Article VIII, § 3 of the New Mexico Constitution must be evaluated on its own facts, and other cases, although illustrative, are not controlling.” Fifty-seven other lodges were involved in the litigation in district court. Based on the allegations in the petition, they had not all been assessed.
After this case was submitted to this panel for decision, the court requested supplemental briefing on the jurisdiction of the district court to enter the order from which the department appeals. See State ex rel. Overton v. New Mexico State Tax Comm’n, 81 N.M. 28, 462 P.2d 613 (1969). We asked the parties to discuss the jurisdiction of the district court with respect to the lodges other than Sacramento Lodge No. 24, it appearing that there is at present no actual controversy as to them; and as to Sacramento Lodge No. 24, whether the trial court lacked jurisdiction because this lodge had not exhausted its administrative remedies. For the following reasons, we now reverse.
DISCUSSION
The petition was filed pursuant to the Declaratory Judgment Act. See NMSA 1978, Sections 44-6-1 to -15. Under the act, district courts can declare rights, status, and other legal relations “[i]n cases of actual controversy.” § 44-6-2. There must be an actual controversy before a court has jurisdiction to hear a declaratory judgment action. State ex rel. Overton v. New Mexico State Tax Comm’n. The supreme court has held that the elements of actual controversy for this purpose are:
[(1)] a controversy involving rights or other legal relations of the parties seeking declaratory relief; [(2)] a claim of right or other legal interest asserted against one who has an interest in contesting the claim; [ (3) ] interests of the parties must be real and adverse; and [ (4) ] the issue involved must be ripe for judicial determination.
Sanchez v. City of Santa Fe, 82 N.M. 322, 324, 481 P.2d 401, 402 (1971).
In addition to the statutory requirement of actual controversy, case law holds that the district court does not have jurisdiction over a declaratory judgment action unless the parties have first exhausted any administrative remedies. See State Racing Comm’n v. McManus, 82 N.M. 108, 476 P.2d 767 (1970). This is analogous to the procedural rule which precludes appellate review prior to a final judgment of the trial court. Cf. Illinois Bell Tel. Co. v. Allphin, 60 Ill.2d 350, 326 N.E.2d 737 (1975) (holding that as no hearing had yet been held and no formal final assessment had issued, the revenue department had not reached a final administrative decision; thus, under the state administrative act, the agency’s notice of tax liability will not be reviewable).
Actions for declaratory judgment were not intended as a substitute for statutory judicial review of administrative action. Hays v. City & County of Denver, 127 Colo. 154, 254 P.2d 860 (1953); V-1 Oil Co. v. County of Bannock, 97 Idaho 807, 554 P.2d 1304 (1976). They should not be used to usurp or replace specific administrative relief. City of Cheyenne v. Sims, 521 P.2d 1347 (Wyo.1974). The theory which underlies administrative law is that the issues with which it deals ought to be decided by experts. Weyerhaeuser Timber Co. v. Galloway, 168 Or. 85, 121 P.2d 469 (1942).
The supreme court has held that before resort to a court of equity can be had for relief from discriminatory taxation, the complaining taxpayer must have either no adequate legal or statutory remedy, or he must have first exhausted the same without avail. First National Bank of Raton v. McBride, 20 N.M. 381, 149 P. 353 (1915). This doctrine was extended to declaratory judgments in Associated Petroleum Transp., Ltd. v. Shepard, 53 N.M. 52, 201 P.2d 772 (1949).
Consequently, the declaratory judgment statute must be read in tandem with statutes providing judicial review of administrative actions. Chesapeake and Potomac Co. v. State Tax Dep’t, 161 W.Va. 77, 239 S.E.2d 918 (1977). Whether statutory relief is exclusive depends on legislative intent. See E. Borchard, Declaratory Judgments 344 (2d ed.1941). Where there is a complete remedy otherwise provided by statute, and obviously intended to be exclusive, the issue is not subject to disposition by declaratory judgment. Crews v. Collins, 252 Iowa 863, 109 N.W.2d 235 (1961). See generally 2 F. Cooper, State Administrative Law 605-611 (1965) (discussing the rule that where a statutory method of review is provided, that method is exclusive); Annot., Tax Questions as Proper Subject of Action for Declaratory Judgment, 11 A.L.R.2d 359 (1950).
We doubt that an actual controversy exists as to those lodges other than Sacramento Lodge No. 24. Any injury to those lodges is speculative, based on the assumption that they will be assessed, and they are seeking in effect an advisory opinion. Cf. Sanchez v. City of Santa Fe (where defendants required plaintiffs to pay fee and plaintiffs refused to do so, an actual controversy existed). However, we are persuaded that the dispositive issue is whether there is an adequate remedy other than declaratory judgment, which all petitioners have failed to pursue. We conclude that there is.
The power to grant or deny exemptions lies with the county assessors and the Property Tax Division. See NMSA 1978, §§ 7-38-22, -24 (Repl.1986). The denial of an exemption by the county assessor may be reviewed by a county valuation protests board. NMSA 1978, § 7-38-27 (Repl.1986). Orders resulting from these reviews may be appealed to this court. NMSA 1978, § 7-38-28 (Repl.1986). A property owner also may protest by filing a claim for refund after paying the taxes alleged to be due. See NMSA 1978, § 7-38-21 (Repl. 1986).
The department contends that there is no provision for protesting the denial of an exemption by ruling. See NMSA 1978, § 7-l-5(B)(2) (Repl.1986). The record sup ports a conclusion that petitioners in effect were attempting to protest the ruling by bringing a petition for declaratory judgment. The complaint expressly states, however, that the ruling “constitutes a substantial departure from prior authority and the long standing past practice followed ... statewide ... pursuant to judicial precedent____” For this reason, the complaint also in effect asks the district court to construe the ruling as beyond the department’s authority. See Utah Fuel Co. v. National Bituminous Coal Comm’n, 306 U.S. 56, 59 S.Ct. 409, 83 L.Ed. 483 (1939). A party will not be required to exhaust the administrative procedures if there is no adequate administrative remedy. See State ex rel. Maloney v. Sierra, 82 N.M. 125, 477 P.2d 301 (1970).
Assuming that there is no method for reviewing a ruling, that is not dispositive. A ruling, by its statutory definition, is in the nature of an interlocutory decree or advisory opinion. See § 7-l-5(B)(2). The legislature has provided a comprehensive scheme for protesting department and county actions. In not providing more specifically for judicial review of a ruling, we understand the legislative intent to be that the ruling should be applied before it is reviewed, in the absence of some applicable exception. See § 7-l-5(G). Compare Verkouteren v. Supervisor of Assessments, 38 Md.App. 216, 380 A.2d 642 (1977) (relying on the state statutory provision governing declaratory judgments) with Peterson Properties, Del Rio Plaza Shopping Center v. Valencia County Valuation Protests Bd., 89 N.M. 239, 549 P.2d 1074 (Ct.App.1976) (administrative board’s oral statement of the reasons it was going to make a certain decision was not an appeal-able final order).
Petitioners concede that the Property Tax Code, see NMSA 1978, Section 7-35-1 (Repl.1986), makes tax-exempt status available on an individual basis. See Temple Lodge No. 6 v. Tierney. An exemption dependent on the use of property is solely a question of fact. City of Cheyenne v. Sims. Our cases have been consistent in this respect. See Benevolent and Protective Order of Elks, Lodge No. 461 v. New Mexico Property Appraisal Dep't, 83 N.M. 445, 493 P.2d 411 (1972) (determination whether property is used for charitable purposes must necessarily depend on the uses being made of each property which is claimed to come within the exemption; except to the extent that the facts as to use are so nearly alike as to logically compel like results, no case can be said to constitute a controlling precedent for another case in this area); Santa Fe Lodge No. 460, B.P.O.E. v. Employment Sec. Comm’n, 49 N.M. 149, 159 P.2d 312 (1945) (confining decision to facts); Albuquerque Lodge, No. 461, B.P.O.E. v. Tierney, 39 N.M. 135, 42 P.2d 206 (1935) (decision not making a precedent even for other cases involving properties of the B.P.O.E. except as the proven facts disclose a similar use); Albuquerque Alumnae Ass’n of Kappa Kappa Gamma Fraternity v. Tierney, 37 N.M. 156, 20 P.2d 267 (1933). They argue, however, that the statutory remedy is inadequate when the resolution as to every lodge turns on a single common legal question, rather than one of fact. See Pan American Petroleum Corp. v. El Paso Natural Gas Co., 77 N.M. 481, 424 P.2d 397 (1966).
To be exempt from property taxes, property need not be used exclusively for charitable or educational purposes, but those must be the primary or substantial uses. Temple Lodge No. 6 v. Tierney; NRA Special Contribution Fund v. Board of County Comm’rs, 92 N.M. 541, 591 P.2d 672 (Ct.App.1978); Rutherford v. County Assessor for Bernalillo County, 89 N.M. 348, 552 P.2d 479 (Ct.App.1976). This court has noted, further, that the “direct and immediate use” of the property is the relevant issue. NRA Special Contribution Fund v. Board of County Comm’rs. In addition, it is the actual use of the property, not the owner’s declared objects and purposes, that determines the right to an exemption. See Santa Fe Lodge No. 460 v. Employment Sec. Comm’n; Albuquerque Lodge, No. 461 v. Tierney.
The exemption granted educational and charitable institutions proceeds upon the theory of the public good accomplished by them and the peculiar benefits derived by the public in general from their conduct. State v. Locke, 29 N.M. 148, 219 P. 790 (1923). Property which is exempt from taxation does not share in the burden of the cost of government; thus, in exchange for its exempt status, such property must confer a substitute substantial benefit on the public. NRA Special Contribution Fund v. Board of County Comm’rs.
Thus, under these cases, there must be evidence concerning the primary and substantial use of the property. See United Veterans Org. v. New Mexico Property Appraisal Dep’t, 84 N.M. 114, 500 P.2d 199 (Ct.App.1972). The purposes must be within the standards developed by case law. For example, “used for educational purposes” means the direct, primary, and substantial use of property that embraces systematic instruction in any and all branches of learning from which a substantial public benefit is derived. NRA Special Contribution Fund v. Board of County Comm’rs (quoting McKee v. Evans, 490 P.2d 1226, 1230 (Alaska 1971)). “Substantial public benefit” is “benefit of real worth and importance to any indefinite class of persons who are a part of the public, which benefit comes to these persons from the use of property.” Id., 92 N.M. at 549, 591 P.2d at 680. Any purpose is “charitable” which is one of the types stated in the preamble to the English Statute of Charitable Uses, such as relief of the aged or maintenance of the sick. Santa Fe Lodge No. 460 v. Employment Sec. Comm’n.
The record on appeal supports a conclusion that each lodge operates differently. Their income, expenditures, and percentage of income given to charitable purposes are all different. While records from the various lodges were admitted into evidence, there were no findings concerning any individual lodge or any percentage of income used for charity. Under the relevant standard, separate decisions for each lodge are required. See Temple Lodge No. 6 v. Tierney.
The constitution has provided a charitable exemption for which our cases recognize the propriety of a case-by-case analysis. The statutory scheme provided by the legislature permits an orderly, expert, and consistent resolution of requests for an exemption on a case-by-case basis. The appellate review provided by the legislature ordinarily follows the completion of the process by assessment and allows the appellate court to review an administrative record. See § 7-38-28(A), (B), & (D).
Under these circumstances, we conclude that the legislature, in enacting a comprehensive scheme for administrative and judicial review, has provided the exclusive remedy for the claims presented to the district court, and that the administrative remedies provided by the legislature must be exhausted. See generally Annot., Justiciable Controversy Within Declaratory Judgment Act as Predicable Upon Advice, Opinion, or Ruling of Public Administrative Officer, 149 A.L.R. 349 (1944). To permit judicial review of the ruling by declaratory judgment would eliminate the administrative record or substitute and avoid the standard of review the legislature has provided.
Jurisdiction does not lie in the court until the statutorily required administrative procedures are complete. See Application of Angel Fire Corp., 96 N.M. 651, 634 P.2d 202 (1981). The Declaratory Judgment Act does not enlarge the jurisdiction of the district court. Allstate Ins. Co. v. Firemen’s Ins. Co., 76 N.M. 430, 415 P.2d 553 (1966). The ruling was within the express statutory power of the department. It is consistent with the relevant provision of the state constitution and the cases interpreting that provision. There being no relevant exception, see National Account Sys., Inc. v. Anderson, 82 Ill.App.3d. 233, 37 Ill.Dec. 654, 402 N.E.2d 656 (1980), we hold that the trial court lacked jurisdiction to decide the tax-exempt status of any of the lodges.
CONCLUSION
On these facts, we conclude that an action for declaratory judgment prior to assessment and protest would bypass significant parts of the administrative process and otherwise circumvent the legislature’s intent. We therefore remand to the dis trict court with instructions to dismiss the petition for lack of jurisdiction. No costs are awarded.
IT IS SO ORDERED.
ALARID and APODACA, JJ., concur. | [
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OPINION
BIVINS, Judge.
Plaintiff seeks damages for personal injuries caused when a restraining strap for a spare tire struck him in the eye. He sued Mrs. Rosenwald, the owner of the car on which the strap was being used, Volvo of America Corporation, the manufacturer of the car, and Santa Fe Mazda-Volvo, the dealer that sold the car. From a summary judgment dismissing the action against the manufacturer and dealer, plaintiff appeals. The dispositive issue is whether use of a restraining strap for a spare tire to span the roof luggage rack of a car was reasonably foreseeable so as to render the manufacturer and dealer liable under strict products liability. Under the undisputed facts presented, we hold it was not, and affirm.
The accident occurred on November 5, 1979, while plaintiff was attempting to load wrought-iron curtain rods on the roof luggage rack of Mrs. Rosenwald’s 1978 Volvo station wagon. Plaintiff had made the rods, ranging in length from six to thirteen feet, for Mrs. Rosenwald and she went to his place of business to pick them up. Plaintiff had a pickup truck equipped to carry the rods and other wrought-iron items he fabricated, but decided to load the rods onto the station wagon. Plaintiff had rope available in his shop but decided to use the straps instead. Mrs. Rosenwald handed plaintiff two straps she found in a “cubbyhole” located at the rear of the station wagon, one a rubber “bungy” cord with “S” hooks on each end; the other a strap designed to hold the spare tire secure in a tire well. While the record contained no photographs or diagrams, we understand from the descriptions given that the strap is flat with flat metal “V”-shaped hooks on each end and has a buckle for adjusting the length, which is twenty-five inches overall.
Plaintiff tried to hook the strap on the rack on the passenger’s side, where he was standing, then removed it and handed the strap to Mrs. Rosenwald to hook onto the driver’s side. After Mrs. Rosenwald hooked the strap to the rack, plaintiff reached across the roof and was in the process of pulling the strap toward his side when it came loose and struck him in the eye. The distance between the two racks is thirty-nine and one-eighth inches.
Plaintiff did not notice if the strap had a label, markings or warnings on it. The Volvo came equipped with the strap in place holding the spare tire. In that position, the metal hooks face opposite directions. On the date of the accident, the hooks were facing the same direction. Mrs. Rosenwald had seen the strap once before holding the spare tire. She did not know how it got in the “cubbyhole.” The owner’s manual that came with the Volvo contains no information or directions for use of the restraining strap; however, the metal hooks are specifically designed to fit into slots located on either side of the spare tire well. Mrs. Rosenwald had never read the owner’s manual and plaintiff did not ask to read it before attempting to use the straps. In fact, plaintiff’s answers to interrogatories indicate he was not aware of the strap’s use of securing the tire until after the accident.
Plaintiff claims the trial court erred in granting summary judgment since there are genuine issues of material fact. Here, the material facts are not in dispute, only their legal effect. Thus, summary judgment may be properly granted if required by the facts. Koenig v. Perez, 104 N.M. 664, 726 P.2d 341 (1986).
Plaintiff’s complaint against Volvo and Santa Fe Mazda-Volvo is based on strict products liability. New Mexico adopted that theory in Stang v. Hertz Corp., 83 N.M. 730, 497 P.2d 732 (1972), as set out in Restatement (Second) of Torts, § 402A (1965), which provides:
(1) One who sells any product in a defective condition unreasonably dangerous to the user or consumer or to his property is subject to liability for physical harm thereby caused to the ultimate user or consumer, or to his property, if
(a) the seller is engaged in the business of selling such a product, and
(b) it is expected to and does reach the user or consumer without substantial change in the condition in which it is sold.
(2) The rule stated in Subsection (1) applies although
(a) the seller has exercised all possible care in the preparation and sale of his product, and
(b) the user or consumer has not bought the product from or entered into any contractual relation with the seller.
The concept of strict products liability does not mean the product must be accident proof, or that the supplier will be responsible for every harm caused thereby. See Skyhook Corp. v. Jasper, 90 N.M. 143, 560 P.2d 934 (1977). SCRA 1986, 13-1403 provides:
The supplier has the duty to consider foreseeable risks of injury. This duty is limited to use of the product for a purpose or in a manner which could reasonably be foreseen.
Where an injury is caused by a [risk] [or] [misuse of the product] which was not reasonably foreseeable to the supplier, he is not liable.
While foreseeability is ordinarily a fact question, it may be decided as a matter of law where the use to which the product was put was so unintended and unforeseeable that the case should be taken from the jury. Mata v. Clark Equip. Co., 58 Ill.App.3d 418, 15 Ill.Dec. 980, 374 N.E.2d 763 (1978). In Mata, plaintiff, a forklift operator with seventeen years of experience, was operating a forklift without the benefit of the overhead protective guard that had been installed by the manufacturer. When a bag of walnuts fell and became wedged between the truck and the wall, plaintiff stood up on the seat, an act he would not have been able to accomplish had the guard been in place. He attempted to remove the bag of walnuts while the truck was still in motion, lost his balance and was injured. The appellate court reversed a judgment against the manufacturer on the basis that the injury was so unintended and unforeseeable that the trial judge should have taken the case from the jury. The Mata court said:
Every product need not be accident proof, incapable of causing harm or accompanied by a warning against injury which may ensue from a mishap in its use. (Jonescue v. Jewel Home Shopping Service (2nd Dist.1973), 16 Ill.App.3d 339, 345, 306 N.E.2d 312.) The liability of a manufacturer properly encompasses only those situations where the product is being used for the purpose for which it was intended or for which it is reasonably foreseeable that it may be used. (Winnett v. Winnett, [1974], 57 Ill.2d [7] at 11, 310 N.E.2d 1.) In retrospect, almost nothing is entirely unforeseeable. A test of foreseeability, however, does not bring within the scope of a defendant’s liability every injury that might possibly occur. Foreseeability has been defined by our supreme court in Winnett as that which is objectively reasonable to expect, not merely what might conceivably occur.
Id. at 422, 15 Ill.Dec. at 983, 374 N.E.2d at 766 (emphasis in original).
While it is conceivable that plaintiff here might use the tire restraining strap to stretch across a surface wider than the strap itself, would it not be just as conceivable that someone might attempt to use it to lower a thousand-pound motor into a truck? In either case, the strap would not hold the tension and would fail. In his answer to defendants’ interrogatory as to the basis for the claim that the stap was “unreasonably dangerous and in a defective condition,” plaintiff answered that the “design of the strap would not secure itself to the rail adequately and snapped violently * * *. The strap had no warning to users that it should not be used on the roof rack.” The design of the strap probably would not secure itself to a number of other conceivable objects, nor would it likely hold excessive weight or tension, but this does not make the manufacturer strictly liable. The expected use must be objectively reasonable. Mata v. Clark Equip. Co.
In Newman v. Utility Trailer & Equipment Co., 278 Or. 395, 564 P.2d 674 (1977) (In Banc), the Oregon Supreme Court distinguished between foreseeability of use and foreseeability of risk of harm. As an example, the court discussed a hypothetical shovel used to prop open a heavy door. Because of the shovel’s design, it fails and the door swings shut and crushes the user’s hand. In that case, there is no liability because the shovel was not designed to prop open doors and, thus, it was not reasonably foreseeable by the manufacturer or seller that it would be so used. Although foreseeability of use is ordinarily a jury question, the Newman court stated that reasonable minds could not differ in the above example.
On the other hand, the Newman court said that a shovel being used to dig could strike a rock, causing a piece of steel to fly up and injure plaintiff’s eye. In such a case, the manufacturer or seller is assumed to have had knowledge of the risk occasioned by such use since the shovel was being used for a purpose for which it was manufactured.
In the case before us, had plaintiff been injured while unloading the spare tire as a result of the strap becoming loose from its slot, defendants could be held responsible because such use would’be objectively foreseeable.
We do not wish to be understood as requiring uses only directly related to the intended use of the product. There are instances where an unrelated use could be reasonably anticipated and, thus, require special safety measures or warnings. We do not believe, however, that a fact question is presented in the case before us, unless we wish to make the manufacturer and dealer insurers of any and all risks attendant to the use of their product. This we will not do.
In addressing the question of foreseeable use, the court in Barr v. Rivinius, Inc., 58 Ill.App.3d 121, 126, 15 Ill.Dec. 591, 595, 373 N.E.2d 1063, 1067 (1978) (quoting Winnett v. Winnett, 57 Ill.2d 7, 11, 310 N.E.2d 1, 4 (1974)), said:
“In our judgment the liability of a manufacturer properly encompasses only those individuals to whom injury from a defective product may reasonably be foreseen and only those situations where the product is being used for the purpose for which it was intended or for which it was reasonably foreseeable it may be used. Any other approach to the problem results in making the manufacturer and those in the chain of product distribution virtual insurers of the product, a position rejected by this court in Suvada [v. White Motor Co., 32 Ill.2d 612, 210 N.E.2d 182 (1965)].”
Plaintiff’s claim of defectiveness involves a faulty design for engaging the luggage rack rail. The strap was specifically designed for slots, not for the rail. If plaintiff is correct, then must the manufacturer also design the hooks to withstand the weight of a truck motor or an object even heavier? We do not believe it does and affirm the summary judgment for defendants.
Having concluded that the trial court correctly determined there was no genuine issue of material fact as to foreseeable risk of harm, we need not reach the issue of warning. The summary judgment is affirmed. Oral argument is unnecessary. Garcia v. Genuine Parts Co., 90 N.M. 124, 560 P.2d 545 (Ct.App.1977). Plaintiff shall bear the cost of the appeal.
IT IS SO ORDERED.
ALARID and GARCIA, JJ., concur. | [
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] |
OPINION
SOSA, Senior Justice.
Plaintiff-Appellant Walter Sanchez (Sanchez) filed suit against Defendant-Appellee The New Mexican (Employer), a corporation which publishes a daily newspaper in Santa Fe. In a five-count complaint, Sanchez alleged that, in discharging him from his job, his Employer (1) breached an implied contract of employment set forth in the Employer’s “Employee Policy Handbook”; (2) breached a covenant of good faith and fair dealing; (3) acted in retaliation for his having uncovered the Employer’s illegal non-payment of gross receipts taxes; (4) acted negligently in not warning him of his impending discharge; and (5) intentionally or recklessly inflicted upon him emotional distress.
The trial court granted the Employer’s motion for summary judgment as to count 5 of the complaint; granted the Employer’s motion to dismiss as to counts 2 and 4; and granted the Employer’s motion for directed verdict as to count 1. As to count 3, the jury returned a verdict in favor of the Employer. We affirm both the judgment of the court on the various motions and the verdict reached by the jury. Sanchez appeals, asserting seven errors, only four of which we feel merit discussion.
FACTS:
Sanchez was hired on October 20, 1982 and discharged on December 7, 1983. Initially his job title was “Chief Accountant,” but by the time of his discharge his job title had been changed to “Bookkeeper-Accountant,” a demotion. His supervisor demoted him partially because he had neglected to account for a week’s supply of newsprint. According to both Sanchez and his Employer, the reason given for his eventual discharge was “substandard work.” In his complaint, however, Sanchez contends that the stated reason was merely a pretense, and that he was actually fired in retaliation for his bringing to light his Employer’s nonpayment of gross receipts taxes for its national advertising accounts.
The testimony as to this issue is divided. Sanchez testified that it was he who discovered that his Employer had not been paying the requisite taxes and that he was unable to persuade his supervisors to make the payments, but his immediate predecessor in the position of chief accountant testified that she had trained Sanchez in the method to be used in paying the taxes. In addition, the Employer’s comptroller, Sanchez’s immediate supervisor, testified that she asked him to take care of the payment of taxes, as she had just moved to Santa Fe from out of state and was not informed as to New Mexico tax requirements.
After Sanchez was fired, but before he filed his complaint, the Employer requested an audit by the New Mexico Taxation and Revenue Department. According to the Employer’s comptroller, the audit showed that the amounts required to be paid by the Employer had indeed been paid — both before and during the time that Sanchez was employed. Sanchez’s attorney challenged the comptroller’s testimony on this point, contending that the Employer’s records could be construed to show that the Employer was in arrears on its taxes.
Both the comptroller who was employed during Sanchez’s tenure, and the comptroller who succeeded her, testified that the reason why the Employer did not bill some of its national advertising clients for sales tax, and thus the reason why an anomaly appeared in the Employer’s own gross receipts tax records, was that the Employer billed preferred clients for advertising without identifying the accompanying tax as a tax. In other words, the Employer contends that it billed preferred customers for both sales and sales tax without distinguishing between the two.
Sanchez also contends that the Employer was bound by the language contained in the employees’ handbook, which he contends constituted an implied contract between him and his Employer. The Employer’s personnel director, however, testified that the handbook was merely a “suggested guideline” by which the Employer measured employees’ conduct, and that the “discretion of the supervisor” in every case controlled the material printed in the handbook. Sanchez argues to the contrary by quoting language in the handbook which states that the Employer would attempt to give an employee who is in danger of discharge “repeated warnings,” and that the Employer would fire an employee without having given such warnings only “for cause.” One of these “for cause” reasons was unreported absences from work. Sanchez admittedly missed two days of work without reporting in to his supervisor.
At trial Sanchez admitted that he told his supervisor when she fired him that he “was going to get her” for not having paid the taxes at issue, by which he meant that he was going to report the Employer to the authorities. He also admitted that a document which he alleged to be a key element substantiating his complaints of retaliatory discharge and intentional or reckless infliction of emotional distress (a confidential memo written by the comptroller recommending that his position be terminated for budgetary reasons), was not left lying about for all to see, but was instead uncovered by his own efforts in rummaging through papers on top of the comptroller’s desk during her absence.
Sanchez further admitted that he possessed no signed, written employment contract other than the “implied contract” contained in the handbook, and that the Employer had a right to discharge him for his unreported absences. Further, he testified that after he had complained about the Employer’s non-payment of gross receipts taxes, he had nonetheless received a standard increase in salary. Sanchez raises several issues on appeal which we address in descending order of importance.
I. THE “RETALIATORY DISCHARGE” ISSUE
In order to succeed on this issue, Sanchez would have to come within the confines of the rule established in Vigil v. Arzola, rev’d on other grounds, 101 N.M. 687, 687 P.2d 1038 (1984), 102 N.M. 682, 699 P.2d 613 (Ct.App.1983), which (1) followed the established rule that unless there is an explicit contract of employment stating otherwise, employment is terminable “at will,” and which (2) held that the only exception to this established rule is a situation in which an employee’s discharge results from the employer’s violation of a clear public policy. We adhered to this rule both in Francis v. Memorial General Hospital, 104 N.M. 698, 726 P.2d 852 (1986), and in Boudar v. EG & G, Inc., 105 N.M. 151, 730 P.2d 454 (1986). In Maxwell v. Ross Hyden Motors, Inc., 104 N.M. 470, 722 P.2d 1192 (Ct.App.1986), the court of appeals clarified its holding in Vigil by stating, “Vigil did not sound the death knell of the at-will rule. To the contrary, it simply adopted a limited ‘public policy’ exception to the rule.” Id. at 473, 722 P.2d 1192. Elsewhere the rule established in Vigil is described as “the current trend in this country.” Ellis v. El Paso Natural Gas Co., 754 F.2d 884, 886 (10th Cir.1985). In our opinion both the trial court and the jury possessed sufficient credible evidence to justify the Employer’s claim that Sanchez’s discharge had nothing to do with his complaints about the supposed non-payment of gross receipts taxes. Therefore we need not decide whether an employee’s discharge for “blowing the whistle” on an employer for not making tax payments constitutes the tort of retaliatory discharge according to the rule established in Vigil. We will continue to define on a case-by-case basis violations of public policy in retaliatory discharge suits. Here we simply hold that Sanchez’s discharge was not as a matter of law retaliatory, but could have been based, as the jury apparently decided, on grounds which authorized his Employer to terminate him “at will.”
II.THE “IMPLIED CONTRACT” ISSUE
Sanchez asserts that the employee handbook constituted an implied contract between him and his Employer. In Forrester v. Parker, 93 N.M. 781, 606 P.2d 191 (1980), we recognized that an employee handbook could indeed constitute an implied contract of employment. Here, however, we are not dealing, as in Forrester, with an employee who has passed from a probationary to a permanent status after adhering to certain specific requirements set forth in the handbook in question. Further, in Forrester we were concerned with the issue of whether the procedural requirements for terminating an employee as spelled out in the handbook were followed.
Here we are concerned with the issue of whether the employee handbook is itself the contract, i.e., the written agreement of employment between Sanchez and his Employer. In our opinion, the evidence supports the Employer’s contention that the handbook lacked specific contractual terms which might evidence the intent to form a contract. The language is of a non-promissory nature and merely a declaration of defendant’s general approach to the subject matter discussed. Accordingly, the trial court was justified in granting the employer’s motion for directed verdict.
III. THE “BREACH OF GOOD FAITH” ISSUE
We will allow Sanchez’s brief to speak for itself on this issue. The brief states that the duty to act in good faith and to use fair dealing in a contractual setting is “imposed by law rather than arising from the terms of the contract itself.” This argument, however, ignores that there is no contract of employment upon which the law can impose the stated duty to exercise good faith and fair dealing. Sanchez was an “at will” employee who could be dismissed for any or no reason. Certainly the reason for his discharge was far less malevolent than that given by the employer in Zuniga v. Sears, Roebuck & Co., 100 N.M. 414, 671 P.2d 662 (Ct.App.1983), cert. denied 100 N.M. 439, 671 P.2d 1150 (1983), where an employee was fired for stealing a television set, and not rehired after the accusation of theft was shown to be erroneous. Yet, in that case the court of appeals upheld the employee’s discharge because he lacked a contract for a specific term. As in Zuniga, we continue to follow the “employment-at-will” rule here.
IV. THE “EMOTIONAL DISTRESS” ISSUE
The record fails to disclose facts sufficient to support Sanchez's claim that the employer inflicted emotional distress upon him, either intentionally or recklessly. And since the facts uncovered by pretrial discovery and argued at the hearing on motion for summary judgment were substantiated by the evidence at trial, we conclude that the trial court exercised sound discretion in granting the employer’s motion for summary judgment. SCRA 1986, 1-056(C) requires that there be no genuine issue as to any material fact related to the allegation of emotional distress, and that was in fact the case here.
Sanchez raises several other issues on appeal, none of which is meritorious. Accordingly, we find that there was no contract of employment existing between Sanchez and his Employer; that the Employer breached neither a duty of good faith nor of fair dealing; that Sanchez’s discharge was not retaliatory, and that his contention that the Employer intentionally or recklessly inflicted emotional distress upon him is unfounded. The judgment of the trial court as to all five counts of the complaint is affirmed.
SCARBOROUGH, C.J. and WALTERS, J., concur.
. In his brief on appeal Sanchez’s attorney attached a copy of a case which he asserted as support for his client’s position as well as a copy of the employees’ handbook in the Forrester case, even though neither of these attachments was a part of the record. We discourage such a practice. | [
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OPINION
RANSOM, Justice.
This case is before the Court on a writ of certiorari to the court of appeals to review an opinion on interlocutory appeal which affirmed the ruling of the court below that plaintiffs were not entitled to partial summary judgment of liability. Plaintiffs had sought partial summary judgment on the grounds of claim or issue preclusion arising out of prior action taken by the United States District Court for the District of New Mexico. Also on review is the affirmance of the trial court’s dismissal of a direct action under the Tort Claims Act against the state, the Corrections and Criminal Rehabilitation Department of the State of New Mexico (Corrections Department), and the Secretary of Corrections. This question, as it relates to the applicability of respondeat superior, has been briefed for us by the New Mexico Trial Lawyers Association and the New Mexico Defense Lawyers Association. These excellent briefs by friends of this Court have been of significant aid.
This action was brought seeking damages for the wrongful death of Manuel Silva (Silva) who committed suicide by hanging while incarcerated at a facility'of the Corrections Department. Because of psychiatric problems, Silva was held at a facility where he could receive medication; and it was known that special care was required to prevent his suicide. Negligent failure to provide that care was the alleged cause of Silva’s suicide.
The defendants included the state, the Corrections Department, and the Secretary of Corrections (Francke), and other law enforcement officers and health care providers. Moving the court for partial summary judgment on the issue of defendants’ liability, plaintiffs relied upon the doctrines of res judicata (claim preclusion) or, alternatively, upon collateral estoppel (issue preclusion). The motion was based on an order entered by the federal court in Duran v. Anaya, No. 7-721-JB, on unchallenged findings of a special master who conducted an evidentiary hearing into the events and circumstances surrounding Silva’s death. Duran is a class action in which partial consent decrees and an agreement were approved and adopted on July 14, 1980, requiring the State of New Mexico, its Corrections Department and its Secretary of Corrections to operate by certain standards, procedures and policies for the benefit of a class of inmates to which Silva belonged.
The federal court found that Francke and others connected with the Corrections Department failed to operate by standards and procedures required by the consent decree. These included staffing, training and provision for facilities which would have provided Silva a course of treatment and acute mental health care to address the mental disorder undergirding his basic prison classification and to address his immediate symptoms of depression and suicidal ideation. Also, adherence to required standards and procedures would have caused Silva to be placed on a suicide watch and would have otherwise protected him from a suicide attempt or aided in his resuscitation.
Application of the doctrine of res judicata, or “claim preclusion,” depends upon identity of prior and subsequent actions in four respects: (1) parties or privies, (2) capacity or character of persons for or against whom the claim is made, (3) cause of action, and (4) subject matter. Three Rivers Land Co. v. Maddoux, 98 N.M. 690, 652 P.2d 240 (1982); Adams v. United Steelworkers of Am., AFL-CIO, 97 N.M. 369, 640 P.2d 475 (1982). When the duty sued upon stems from different roots in the prior and subsequent actions, even if both actions involve essentially the same course of wrongful conduct, it is indicated that the suits arise from different causes of action. Adams, 97 N.M. at 373, 640 P.2d at 479. Here, suffice to say, the hearing ordered by the federal court to inquire into whether the defendants in Duran were in compliance with the “consent decree” with respect to the events and circumstances surrounding Silva’s death was not the same cause of action as the personal representatives’ action for wrongful death. Where the ultimate facts necessary for the resolution of two suits are different, and the issues necessarily dispositive in the prior cause are different from those in the subsequent cause, the doctrine of res judicata is inapplicable. Torres v. Village of Capitan, 92 N.M. 64, 68, 582 P.2d 1277, 1281 (1978).
[Wjhere the causes of action in the cases are identical in all respects, the first judgment is a conclusive bar upon the parties and their privies as to every issue which either was or properly could have been litigated in the previous case. But absent the identity of causes of action, the parties are precluded from relitigating only those ultimate issues and facts shown to have been actually and necessarily determined in the previous litigation.
City of Santa Fe v. Velarde, 90 N.M. 444, 446, 564 P.2d 1326, 1328 (1977).
Collateral estoppel bars relitigation of ultimate facts or issues actually and necessarily decided in a prior suit. Under collateral estoppel, or “issue preclusion,” the cause of action in the second suit need not be identical with the first suit. Adams v. United Steelworkers of Am., AFL-CIO; see Torres v. Village of Capitan; City of Santa Fe v. Velarde; and Edwards v. First Fed. Sav. & Loan Ass’n of Clovis, 102 N.M. 396, 400, 696 P.2d 484, 488 (Ct.App.1985) (with analysis of “issues actually and necessarily decided”).
It is clear from the cited New Mexico authorities that, in deciding whether to apply the doctrine of collateral estoppel, the trial judge may determine that its application would be fundamentally unfair and would not further the aim of the doctrine, which is to prevent endless relitigation of issues. Fundamental fairness requires that the party against whom estoppel is asserted had a full and fair opportunity to litigate. To give rise to estoppel, the finding of ultimate facts in the prior action must have been final. See C & H Constr. & Paving Co. v. Citizens Bank, 93 N.M. 150, 160-61, 597 P.2d 1190, 1200-01 (Ct.App.1979). Also, for application of collateral estoppel, New Mexico has adhered to the rule that the parties in the second suit must be the same or in privity with the parties in the first suit. A growing number of jurisdictions hold that, absent fundamental unfairness in a given case, the doctrine of collateral estoppel may be applied against parties or their privies to both suits regardless of whether the party asserting the doctrine was privy to the first suit.
The reason given for the “same parties” requirement is the doctrine of mutuality. The mutuality requirement prevents a litigant from invoking the conclusive effect of a judgment unless that litigant would have been bound if the judgment had gone the other way. Dis satisfaction with the mutuality requirement resulted in a “modern” view of mutuality, which dispenses with the “same parties” requirement. Atencio v. Vigil, 86 N.M. 181, 521 P.2d 646 (1974). The modern view has two aspects — defensive collateral estoppel, see Blonder-Tongue Laboratories, Inc. v. University of Illinois Foundation, 402 U.S. 313, 91 S.Ct. 1434, 28 L.Ed.2d 788 (1971), and offensive collateral estoppel, see Parklane Hosiery Co. v. Shore [439 U.S. 322, 99 S.Ct. 645, 58 L.Ed.2d 552 (1979)].
Edwards, 102 N.M. at 401, 696 P.2d at 489. In Edwards, defensive collateral estoppel was allowed despite defendant’s not having been a party to a prior federal court action brought by Edwards against the United States claiming that a tax was wrongfully levied on First Federal Savings & Loan Association of Clovis.
The Edwards court held that the federal law of collateral estoppel governs the preclusion effect of the federal judgment in a case which decided a federal question, and that the application of collateral estoppel in federal courts is not grounded upon the “mechanical requirement of mutuality,” but is tested by whether a litigant has had a “full and fair opportunity for a judicial resolution” of the issue. In the subsequent suit for damages against First Federal, Edwards claimed First Federal’s response to the levied tax was to unlawfully use trust funds rather than the personal funds of the taxpayer. To the contrary, in his memorandum opinion, the federal judge had stated that, “[b]ecause the Trust is a nullity and sham for tax purposes, property held in the name of the Trust is not shielded from levy by the government.” The showing by First Federal in support of summary judgment based upon the use of collateral estoppel as a complete defense to Edward’s claim consisted of the memorandum and decision in the federal suit. This satisfied movant’s burden of showing a prima facie case for summary judgment. The federal judgment, deciding a federal question, precluded in subsequent state proceedings any issue which was actually and necessarily decided in the federal suit. It was then respondent’s burden to show there was a factual issue as to a full and fair opportunity to litigate. Respondent did not do so. To the extent the court of appeals affirmed the summary judgment on the basis of defensive collateral estoppel, we specifically approve Judge Wood’s excellent opinion in Edwards.
Plaintiffs in the present case, however, assert the offensive use of collateral estoppel as adopted in Parklane Hosiery Co. v. Shore, 439 U.S. 322, 99 S.Ct. 645, 58 L.Ed.2d 552 (1979), a stockholder’s action against a corporation, its officers, directors and others who were claimed to have issued false and misleading proxy statements. Before the action came to trial, the Securities and Exchange Commission sued the same defendants and obtained a declaratory judgment based upon findings that the proxy statement was false and misleading in essentially the same respects claimed by Shore in his suit. As did the plaintiffs in the present case, Shore moved for partial summary judgment asserting that Park-lane, its officers, directors and other defendants were collaterally estopped from relitigating the issues that had been resolved against them in the action brought by the SEC.
In Parklane Hosiery Co., the Supreme Court adopted a general rule that a trial judge may allow the use of offensive collateral estoppel except in cases where a plaintiff could easily have joined in the earlier action or where the application of offensive estoppel would be unfair to a defendant. Unfairness was discussed as arising where a defendant had little incentive to defend vigorously in the first suit, where the judgment relied upon as a basis for the estoppel is itself inconsistent with one or more previous judgments in favor of the defendant, or where the second action affords the defendant procedural opportunities unavailable in the first action that could have easily caused a different result. Id. at 330-31, 99 S.Ct. at 651-52. It was also noted that the presence or absence of a jury as fact finder is basically neutral, quite unlike, for example, the necessity of defending the first lawsuit in an inconvenient forum. Id. at 352 n. 19, 99 S.Ct. at 662. As to constitutional rights to a jury trial, the court held that, regardless of whether the party against whom estoppel is asserted has previously lost because of adverse factual findings in law or in equity, by jury verdict or court decision, there is no further fact-finding function for a jury to perform in the subsequent action, since the common factual issues have been resolved in the previous action. Id. at 335-36, 99 S.Ct. at 653-54; cf. Ex parte Peterson, 253 U.S. 300, 310, 40 S.Ct. 543, 546, 64 L.Ed. 919 (1920) (“No one is entitled in a civil case to trial by jury unless and except so far as there are issues of fact to be determined.” ).
In accordance with the principles discussed herein, we hold that the doctrine of defensive collateral estoppel may be applied when a defendant seeks to preclude a plaintiff from relitigating an issue the plaintiff has previously litigated and lost regardless of whether defendant was privy to the prior suit; and that the doctrine of offensive collateral estoppel may be applied when a plaintiff seeks to foreclose the defendant from litigating an issue the defendant has previously litigated unsuccessfully regardless of whether plaintiff was privy to the prior action.
The trial court is in the best position to decide whether a party against whom estoppel is asserted has had a full and fair opportunity to litigate. Neither the offensive or defensive use of collateral estoppel is to be applied where the record is insufficient to determine what issues were actually and necessarily determined by prior litigation, Howell v. Anaya, 102 N.M. 583, 698 P.2d 453 (Ct.App.), cert. denied, 102 N.M. 613, 698 P.2d 886 (1985), and it is the burden of the movant invoking the doctrine of collateral estoppel to introduce sufficient evidence for the court to rule whether the doctrine is applicable. International Paper Co. v. Farrar, 102 N.M. 739, 700 P.2d 642 (1985). When the movant has made a prima facie showing, the trial court must consider the countervailing equities including, but not limited to, prior incentive for vigorous defense, inconsistencies, procedural opportunities, and inconvenience of forum as discussed in Parklane Hosiery Co. Although the Supreme Court also noted that the presence or absence of a jury is basically neutral, we do not believe such a fact to be altogether immaterial. To be similarly considered is the use of a special master or other alternative or administrative dispute resolution techniques in the prior litigation.
In the present case, we do not know whether, in denying the plaintiffs’ motion for partial summary judgment on defendants’ liability, the trial court determined either finality of issues actually and necessarily decided, or issues of fairness. The court found only that questions of material fact exist. This could be interpreted as meaning that, because the doctrine of offensive collateral estoppel had not been adopted in New Mexico, no fact issues had been precluded. In deciding whether to apply the doctrine of collateral estoppel, the threshold issues of fact are for the court to resolve. It does not appear that the court exercised discretion in deciding finality or fairness because it determined that the decision involved a controlling question of law as to which there is substantial ground for difference of opinion. In due course, leave to file this interlocutory appeal was granted.
We could remand for the trial court to reconsider the motion for partial summary judgment in accordance with the law articulated in this opinion. However, it is the opinion of this Court that, as a matter of law, the federal court did not actually and necessarily make a final determination that any failure of defendants to exercise ordinary care was a proximate cause of Silva’s death. These are the ultimate fact issues in question. Failure to operate by standards and procedures required by the consent decree is not a matter which subjects defendants to offensive use of collateral estoppel. Under the consent decree, the agreement specifically purports not to establish standards of culpability for civil liability.
As to whether a direct action lies against the state and its entities under the Tort Claims Act, NMSA 1978, Sections 41- 4-1 through 41-4-29 (Repl.Pamp.1986 & Cum.Supp.1987), we believe that the court of appeals was correct in Abalos v. Bernalillo County Dist. Attorney’s Office, 105 N.M. 554, 734 P.2d 794 (Ct.App.), cert. quashed, 106 N.M. 35, 738 P.2d 907 (1987), specifically modifying Silva v. State, the case presently before us. A governmental entity is not immune from liability for any tort of its employee acting within the scope of duties for which immunity is waived. NMSA 1978, § 41-4-4(A). When the act of the employee is the act of the public entity, let the master answer. To the extent that prior eases have rejected the applicability of the tort doctrine of respondeat superior under the Tort Claims Act, e.g., Wittkowski v. State, 103 N.M. 526, 710 P.2d 93 (Ct.App.), cert. quashed, 103 N.M. 446, 708 P.2d 1047 (1985), those cases are hereby overruled. As stated in Abalos:
To name a particular entity in an action under the Tort Claims Act requires two things: (1) a negligent public employee who meets one of the waiver exceptions under Sections 41-4-5 to -12; and (2) an entity that has immediate supervisory responsibilities over the employee. If a public employee meets an exception to immunity, then the particular entity that supervises the employee can be named as a defendant in an action under the Tort Claims Act. If the city or state directly supervises the employee, then the city or state can be named.
105 N.M. at 559, 734 P.2d at 799. It is only when a public employee is acting within the scope of his employment and in furtherance of the business of a public entity that immunity and the Tort Claims Act have any relevance. See Garcia v. Albuquerque Pub. Schools Bd. of Educ., 95 N.M. 391, 622 P.2d 699 (Ct.App.1980) (Sutin, J., specially concurring), cert. quashed, 95 N.M. 426, 622 P.2d 1046 (1981); cf. Candelaria v. Robinson, 93 N.M. 786, 606 P.2d 196 (Ct.App.1980). Therefore, it is only when the public entity is itself acting through its employee with thé right to control the manner in which the details of work are to be done, SCRA 1986, 13-403, that the Tort Claims Act comes into play. The public entity can act only through its employees, and the act of the offending employee is the act of the public entity under traditional tort concepts. Cf. SCRA 1986, 13-409.
While the Abalos court has held that, “[i]f the city or state directly supervises the employee, then the city or state can be named,” we believe that traditional tort law requires that statement to be interpreted to include the right of control regardless of whether exercised. Public policy recognizes the inherently unfair and inequitable results which occur in the strict application of the doctrine of sovereign immunity. NMSA 1978, § 41-4-2(A). While the court may apply the doctrine of remoteness in striking the state or city as a named defendant, the court must be constrained in each instance to avoid inherently unfair and inequitable results. Adherence to a principle of “direct supervision” should never be used to defeat totally a claim which otherwise has been brought under traditional concepts of respondeat superi- or. In the present case, we do not know whether the trial court exercised its discretion in granting defendants’ motion for dismissal of the state. The dismissal of the state and the Corrections Department is reversed and, on remand, the trial court may reconsider the motion for dismissal of the state in terms of the doctrine of remoteness.
The trial court erred in concluding that certain statutory waivers of immunity were inapplicable as a matter of law to the acts or omission of Francke while acting within the scope of his duties as Secretary of Corrections. No public employee is immune from tort liability while acting within the scope of duty where immunity has been waived by one or more of the eight sections of specified exceptions. NMSA 1978, § 41-4-4. Of the eight sections, four are arguably applicable here. These include duties in the operation or maintenance of any building, machinery, equipment, or furnishings (41-4-6), duties in the operation of any hospital, infirmary, mental institution, clinic, dispensary, medical care home or like facilities (41-4-9), duties of providing health care services (41-4-10), or depriva tion of any rights, privileges or immunities secured by the constitution and laws of the United States or New Mexico when caused by law enforcement officers while acting within the scope of their duties (41-4-12). This Court has held that the Secretary of Corrections is not a law enforcement officer within the meaning of Section 41-4-12 as defined in Section 41-4-3(D). Anchondo v. Corrections Dep’t, 100 N.M. 108, 666 P.2d 1255 (1983). Therefore, Franke cannot be held liable under the waiver of immunity in that section. However, as pointed out in Anchondo, the duties of the Secretary of Corrections require that he manage all operations of the department, exercise general supervisory authority over all department employees, organize the department into the most efficient organizational units, and issue and enforce orders and instructions. It will be for the finder of fact to determine whether Francke failed to exercise ordinary care in the discharge of these duties as they may be found to include the operation or maintenance of the corrections and medical care facilities and health care services proximately related to the death of Silva.
While Francke may be liable for negligent performance of a duty, he is not subject to liability because of the negligent act or omission of some other employee, merely because of his executive position. See Clark v. Ruidoso-Hondo Valley Hosp., 72 N.M. 9, 380 P.2d 168 (1963). We hold only that Francke’s management and enforcement duties may be found to have included staffing, training and provision for facilities which would have provided Silva a course of treatment, health care and protection to address the mental disorder undergirding his basic prison classification.
Failure of an employee to operate in compliance with practices adopted by a governmental entity for the welfare of persons similarly situated to the plaintiff constitutes evidence of negligence in a tort action. Petznick v. United States, 575 F.Supp. 698 (D.Neb.1983); Dillenbeck v. City of Los Angeles, 69 Cal.2d 472, 446 P.2d 129 (1968). Under the terms of the consent decree, as we have previously noted, the agreement must not be construed to establish or change the standard of culpability for civil liability. That standard is established by the traditional tort concept of duty to exercise ordinary care. Evidence of the breach of that standard may include the failure to operate by practices separately adopted by the Corrections Department unless the court finds, as a threshold issue, that the practice would not have been adopted but for the agreement. Regardless of the adoption of practices, the jury may consider acts and omissions relevant to treatment, health care and protection measured against the standard of ordinary care or the testimony of experts relevant to that standard. Pursuant to the federal order adopting the consent decree, we hold only that no evidence may be adduced through the agreement itself.
We affirm the court of appeals in part, on its affirmance of the ruling of the court below that plaintiffs were not entitled to partial summary judgment of liability. We reverse the court of appeals in part, on its affirmance of the trial court’s dismissal of a direct action under the Tort Claims Act against the state, the Corrections Department, and the Secretary of Corrections, and we remand this case to the district court for further proceedings consistent with this opinion.
IT IS SO ORDERED.
SOSA, Senior Justice, and WALTERS, J., concur.
SCARBOROUGH, C.J., and STOWERS, J., dissent. | [
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] |
OPINION
WALTERS, Justice.
Plaintiffs Howard and Myrtle Shryock were injured in a two-car collision with defendant Steven Madrid. As a result of the accident they filed personal injury and property damage claims against Steven Madrid, joining Steven’s father, Vincent Madrid, under the family purpose doctrine.
Official registration documents showed Steven and Vincent Madrid as titleholders of the automobile Steven was operating when the accident occurred. Evidence was introduced through deposition and affidavits, however, that Steven had initiated and consummated the sales transaction, furnished the down payment, obtained and paid for insurance coverage, made all monthly car payments, paid all vehicle operational and maintenance costs with his own personal funds, and that neither father nor son had requested the title to be applied for in both of their names. Steven was unable to obtain credit from the bank on his own; because of that circumstance, his father co-signed the note that secured the automobile loan.
Steven was twenty-two years old at the time of the accident and lived at the family home with his father, mother, and two sisters. He was employed at his father’s business. There was evidence that Vincent Madrid drove the automobile once, that Steven’s sister also drove it once, but that the vehicle was not otherwise available for the family’s general use. On the day of the accident, Steven was accompanied in the vehicle by his sister and a mutual friend as his passengers.
Vincent Madrid moved for summary judgment, asking to be dismissed as a co-defendant and released from any claim of liability under the family purpose doctrine. The motion was granted, and an appeal was taken by plaintiffs to the court of appeals. That court initially upheld the grant of summary judgment but, acting upon plaintiffs’ motion to reconsider, withdrew its earlier decision, reversed the summary judgment, and remanded the matter for further proceedings. We granted certiorari to review the correctness of the court of appeals’ construction of the family purpose doctrine in its reversal of the district court’s judgment.
The family purpose doctrine is well established in New Mexico. Peters v. LeDoux, 83 N.M. 307, 491 P.2d 524 (1971); Burkhart v. Corn, 59 N.M. 343, 284 P.2d 226 (1955); Pouliot v. Box, 56 N.M. 566, 246 P.2d 1050 (1952); Stevens v. Van Deusen, 56 N.M. 128, 241 P.2d 331 (1951); Boes v. Howell, 24 N.M. 142, 173 P. 966 (1918). The applicable section of the family purpose doctrine to be considered is set out in SCRA 1986, 13-1210:
If you find the motor vehicle operated by_was furnished by its owner for general family use and convenience, then the owner is liable for the negligent operation of the vehicle by a member of the family.
To hold the defendant liable, you must find that the driver [had authority to drive the motor vehicle] [and] [was using the motor vehicle for the pleasure or convenience of the family, or a member of it].
The family purpose doctrine found its genesis in the principles of agency and is based on the legal fiction that the automobile owner makes the pleasure and convenience of his family his business when he provides a vehicle for the use of his family. Annotation, Modern Status of Family Purpose Doctrine with Respect to Motor Vehicles, 8 A.L.R.3d 1191, 1196 and 1201 (1966). Under the agency theory and the doctrine of respondeat superior, the automobile owner becomes liable as principal or master for the negligence of a family member fulfilling the role of agent or servant when the family member negligently operates a vehicle in furtherance of a familial purpose. Id. New Mexico case law has recognized the theoretical foundation of the family purpose doctrine in agency law. See Burkhart v. Corn, 59 N.M. at 346, 284 P.2d at 227-28 (finding sufficient proof of agency to impose family purpose doctrine); Boes v. Howell, 24 N.M. at 148, 173 P. at 967 (father who furnishes a vehicle for customary conveyance of members of his family makes conveyance his affair or his business, and anyone driving furnished vehicle for familial purpose with father’s consent, express or implied, whether a family member or not, is father’s agent); State Farm Mut. Auto. Ins. Co. v. Duran, 93 N.M. 489, 491, 601 P.2d 722, 724 (Ct.App.1979) (family purpose doctrine is grounded on principal-agent, master-servant principles).
We do not purport to overrule any of the prior New Mexico cases that have analogized the family purpose doctrine to the agency theory. In affirming the validity of the family purpose doctrine, however, we should recognize a more accurate justification of family purpose decisions than reliance upon fictional agency principles. See F. Harper, F. James & O. Gray, The Law of Torts § 8.13, at 597 (2d ed. 1986). Accordingly, the family purpose doctrine should not be perpetuated upon the notion that the pleasure of the family is the business of the head(s) of household, but rather upon a recognition of the public policy to require a responsible person to answer for damages caused by the user of the family car. W. Seavey, Handbook of the Law of Agency § 88F, at 155 (1964). We are impressed with the comments of Professors Harper, James and Gray:
The appalling cost of accidents, steadily mounting, affords startling evidence of the hazards owing to the use of high-powered motor vehicles. The dangers to the public from incompetent and financially irresponsible drivers is a menace of such gravity that every precaution is necessary to reduce such perils to the minimum. It is not too much to demand that the parent who provides an automobile for the pleasure and convenience of the family insure society against its negligent use for such purposes.
F. Harper, F. James & O. Gray, § 8.13, at 597; see Paprocki v. Stopak, 213 Neb. 523, 525-26, 330 N.W.2d 475, 477 (1983) (underlying basis of family purpose doctrine is to provide financial responsibility for negligent acts of family members who cause damage to third parties); Staroba v. Heitkamp, 338 N.W.2d 640, 641-42 (N.D.1983) (family car doctrine created to further public policy of giving injured party cause of action against financially responsible defendant); Hasegawa v. Day, 684 P.2d 936, 938 (Colo.App.1983) (specific rationale of family car doctrine is to fasten financial responsibility upon person more likely to respond in damages when family car is used negligently by a person without sufficient assets of his own); Bartz v. Wheat, 169 W.Va. 86, 89-90, 285 S.E.2d 894, 896 (1982) (while agency analogy might be helpful, rationale supporting family purpose doctrine is to enhance possibility of plaintiff’s financial recovery); Lollar v. Dewitt, 255 S.C. 452, 456, 179 S.E.2d 607, 608 (1971) (rationale of family purpose doctrine is to place financial responsibility upon head of family more likely to respond in damages when family member without sufficient assets uses family vehicle negligently).
Although many courts have continued a principal-agent or master-servant analysis in discussing the family purpose doctrine, others have noted that the doctrine is not founded on the law of agency but, rather, on “justice or supposed necessity” or “humanitarian principles designed to protect the public” from financially irresponsible drivers. E.g., First-City Bank & Trust Co. v. Doggett, 316 S.W.2d 225, 229 (Ky.1958). The theory is that the parent, as the person who has made the vehicle available for use and who is ordinarily the only financially responsible person who could be held chargeable, should bear the liability as a matter of public policy. Id.; 6 D. Blash field, Automobile Law and Practice § 255.21 (3d ed. 1966); see Turner v. Hall’s Adm’x, 252 S.W.2d 30, 32 (Ky.1952) (family purpose doctrine is humanitarian principle designed for protection of public generally; results from recognition that generally infant has insufficient property in own right to indemnify one suffering from his negligent conduct).
An automobile is not a dangerous instrumentality that would warrant holding an owner strictly liable, but as a matter of practical justice to those who are injured, it is a fact that a car is a heavy, powerful object, is capable of excessive speeds, can be dangerous to life and limb, and must be operated with care. King v. Smythe, 140 Tenn. 217, 225-26, 204 S.W. 296, 298 (1918). In recognizing the potentiality of injury and concomitant liability as the basis for development of the family purpose doctrine, “the difficulties of the agency theory are avoided. Undesirable and technical distinctions sometimes supposed to be required will be unnecessary, as, for example, that the child is a servant or agent of the parent when driving some other member of the family, but not when driving alone or with strangers.” F. Harper, F. James & O. Gray, § 8.13, at 599. Similarly, it obviates the protracted analysis of whether the driver had authority to operate the vehicle at any specific time. The question would not be whether the head of the family had given the driver express or implied authority to use the vehicle on the moment in question, but simply whether he (or she) had made the vehicle available for use by the driver, or had furnished the vehicle for general use, without restriction, by family members. If automobile owners are to be held liable for the negligent operation of a vehicle which they furnish for family use by a family member who is financially irresponsible, the owner will exercise a greater degree of care in preventing or permitting one to drive the vehicle. King v. Smyth, 140 Tenn. at 226, 204 S.W. at 298.
In the instant case, the family purpose doctrine is inapplicable as a matter of law. It is unnecessary to rely upon it to satisfy the public policy of indemnifying an injured party. Steven had procured and paid for liability insurance on the vehicle. The court of appeals held that the district court erred in granting summary judgment because genuine issues of material facts existed relative to ownership of the vehicle and whether the father had furnished the vehicle for general family use and convenience. Although vehicle registration documents provided prima facie evidence that Vincent Madrid owned or co-owned the vehicle, NMSA 1978, Section 66-3-12 (Repl. Pamp.1984), mere ownership demonstrated by record titleholder status is not conclu-" sive on the issue of liability under the family purpose doctrine. Peters v. LeDoux, 83 N.M. at 309, 491 P.2d at 526. The critical questions are whether in fact Vincent Madrid furnished the car for general family use and convenience, or had the authority to control the use of the car. Id. at 309-10, 491 P.2d at 526-27; See also Stevens v. Van Deusen, 56 N.M. at 130, 241 P.2d at 332-33.
The essential facts are not in dispute. Not only did Vincent Madrid not arrange or encourage Steven's purchase of the automobile, but only Steven expended his own money on the car, and only Steven exercised exclusive authority and control over it. On undisputed evidence, the propriety of summary judgment here becomes one of the scope and extent of the family purpose doctrine as a rule of law. See First-City Bank & Trust Co. v. Doggett, 316 S.W.2d at 230.
The only evidence plaintiffs offered to prove that Vincent furnished the vehicle for general family use and convenience was that the father co-signed the note to secure financing for the purchase of the automobile and was named on the registration certificate. To hold that the co-signing of a loan agreement with a financing agency under the circumstances of this case rises to the level of furnishing, supplying, or providing a vehicle under the family purpose doctrine would be to ignore a pervasive commercial practice which amounts to nothing more than an accommodation when a young person attempts to establish credit. In Smith v. Simpson, 260 N.C. 601, 611, 133 S.E.2d 474, 482 (1963), for example, the North Carolina Supreme Court held that a father who provided his co-signature to help his son obtain financing to purchase a car was not liable under the family purpose doctrine. The court reasoned there that the father’s participation in the transaction was only incidental and secondary, amounting merely to an accommodation for the extension of credit. Id. at 611, 133 S.E.2d at 482. As in this case, the son maintained the vehicle, and no one exercised control or had right of control over the vehicle except himself. The Smith court refused to impose liability under the family purpose doctrine, declaring that the father must be “a principal mover, one who intends to provide for another or others * * * the automobile, and takes steps on his own responsibility to see to the consummation of the transaction, and contributes substantially of his own means toward that end without expectation of reimbursement or compensation.” Id. at 611, 133 S.E.2d at 482.
To the same effect is Mylnar v. Hall, 55 Wash.2d 739, 745-46, 350 P.2d 440, 443 (1960). There the Court held the family purpose doctrine inapplicable to a father who had registered his minor son’s car in his, the father’s name, to help the son obtain financing. Evidence of the father’s “ownership” was stronger in Mylnar because the father had made payments on the vehicle for a short period when the son was unemployed and the father loaned him the money. The son, however, exercised exclusive control over the car. Similarly, in Spindle v. Reid, 277 A.2d 117, 118-19 (D.C.1971), it was held that a mother who took title to her emancipated son’s automobile in her name and executed a note for the balance due on the purchase price of the car, but whose son had made all payments and retained full control of the vehicle, was entitled to a directed verdict relieving her of liability under the family purpose doctrine. See also Porter v. Hardee, 241 S.C. 474, 476-77, 129 S.E.2d 131, 132 (1963) (judgment for father where minor son lived with parents and received income from working on parent’s farm, bought automobile with his own funds, exercised exclusive control over car, but placed title in father’s name); Keith v. Carter, 172 Ga.App. 588, 589, 323 S.E.2d 886, 887-88 (1984) (summary judgment correctly awarded father, excusing him of liability under family purpose doctrine, although he gave car to minor son as graduation gift and kept title in own name, but son paid all operational costs, insurance, and registration fees.)
The evidence was uncontradicted that Vincent Madrid did none of the acts generally required to establish that he furnished the automobile driven by his son for general family use and convenience. Nothing was produced to overcome Vincent Madrid’s denial of authority to control the use of the vehicle. Steven asserted that only he had such authority and, in fact, only he exercised that control over the use of the vehicle. The mere facts that Steven lived in the family home and that a family member was a passenger in the vehicle at the time of the accident are insufficient to establish a “family purpose.” See Duran, 93 N.M. at 493, 601 P.2d at 724.
Plaintiffs failed to meet their burden of showing, as a matter of law, the existence of the essential elements under the family purpose doctrine. The court of appeals, therefore, incorrectly reversed the district court’s entry of summary judgment in favor of Vincent Madrid. We thus reverse the court of appeals and reinstate the district court judgment.
IT IS SO ORDERED.
SCARBOROUGH, C.J., SOSA, Senior Justice, and STOWERS and RANSOM, JJ., concur. | [
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OPINION
WALTERS, Justice.
Plaintiff James Graff appeals the trial court’s grant of summary judgment in favor of defendants on Graff’s complaint for breach of employment contract and violation of civil rights.
Graff principally asserts that the trial court erred when it construed the University’s motion to dismiss as a motion for summary judgment. When considering a 12(b)(6) motion to dismiss, however, if matters outside the pleadings are presented to the trial court under such motion, it shall be treated as a motion for summary judgment. SCRA 1986, 1-012B(7); Runyan v. Jaramillo, 90 N.M. 629, 632-33, 567 P.2d 478, 481-82 (1977); Hern v. Crist, 105 N.M. 645, 648, 735 P.2d 1151, 1154 (Ct.App.), cert. denied, 105 N.M. 644, 735 P.2d 1150 (1987). In addition to reviewing Graff’s first amended complaint and the University’s motion for summary judgment, the trial court considered the Staff Handbook and the Faculty Handbook for Western New Mexico University, and the Board of Regent’s Policy Manual. The standard of review, therefore, is whether there exists a genuine issue of material fact, Koenig v. Perez, 104 N.M. 664, 666, 726 P.2d 341, 343 (1986), instead of accepting all well-pleaded facts as true and ascertaining whether the plaintiff is entitled to relief on the pleadings. Runyan, 90 N.M. at 632, 567 P.2d at 481.
No genuine issue of material fact exists to support a judgment in Graff’s favor. The unequivocal language in correspondence to Graff and in his employment contracts unmistakably represents a year-by- year employment relationship that did not entitle Graff to employment with WNMU beyond the dates stipulated in the contracts. Graff entered into four such agreements with WNMU for four successive years. Each contract was captioned “Temporary Appointment.” The last two contracts contained the clause: “Administrators serve at the pleasure of the President.” The University, then, did not breach Graff’s employment contract; it simply refused to renew any employment arrangement.
Regardless of Graff’s unilateral expectations concerning his future with WNMU, he possessed no legitimate entitlement to employment at the University. See Board of Regents v. Roth, 408 U.S. 564, 577-78, 92 S.Ct. 2701, 2709, 33 L.Ed.2d 548 (1972). Graff, therefore, was not deprived of a “property right” and has no claim under 42 U.S.C. Section 1983 (1982). Unlike Jacobs v. Stratton, 94 N.M. 665, 615 P.2d 982 (1980), in which procedures set forth in a faculty handbook constituted an entitlement to the plaintiff, no termination procedures are applicable in this case. The University did not fire Graff; it eliminated his position as business manager/bursar. Graff has no valid legal entitlement to the renewal of his employment contract. He does not have a property interest sufficient to require University officials to afford him a hearing to review his discharge. See Roth, 408 U.S. at 578, 92 S.Ct. at 2710.
Accordingly, because the University is entitled to judgment as a matter of law, we affirm the trial court’s entry of summary judgment in favor of the University.
SOSA, Senior Justice, and STOWERS, J., concur. | [
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OPINION
GARCIA, Judge.
This is a domestic relations case in which the husband appeals and the wife cross-appeals. The parties were married in 1960 and separated in 1968. In 1970, wife sought and obtained a decree of separation. The Bernalillo County district court divided the parties’ property and awarded wife $250 per month in alimony pursuant to NMSA 1953, Section 22-7-2 (now codified as NMSA 1978, Section 40-4-3 (Repl.1986) without significant changes). Husband made no payments.
In 1972, husband, then in the armed forces and stationed in Alabama, filed a petition for divorce. Wife answered the petition and filed a waiver of notice of further proceedings. A decree dissolving the parties’ marriage was entered by the Alabama circuit court in June 1972. The Alabama court awarded wife $50 per month in alimony. Husband did not make all the required payments, and, in 1977 and 1978, wife filed actions pursuant to the Uniform Reciprocal Enforcement of Support Act (URESA), NMSA 1953, Sections 22-19-28 to -68 (Supp.1975) (now codified as NMSA 1978, Sections 40-6-1 to -41 (Repl.1986)), requesting the court to enforce husband’s $50 per month obligation. The parties reached a settlement and in accordance with their agreement, the Alabama court entered a decree requiring husband pay the $50 per month obligation and to pay an additional $5 per month toward $3350 in accrued arrearages. Since the entry of the URESA judgment in 1978, husband has been paying the stipulated amount of $55 per month.
In 1985, wife commenced the present action by filing a motion in the Bernalillo County district court seeking $44,500 in past alimony based on the $250 per month award in the 1970 New Mexico decree. Wife denied that she appeared in the Alabama action, contended the Alabama court did not have jurisdiction to modify the earlier New Mexico judgment, and sought a reaffirmance of the $250 per month New Mexico alimony award. The trial court agreed with wife, that Alabama lacked jurisdiction to modify the 1970 judgment, but based on laches and estoppel allowed arrearages back only to the date wife filed her motion. The trial court also ruled that husband was to pay wife $250 per month in alimony from the date she filed her motion, and that each party would bear his own costs and attorney fees.
ISSUES
Husband raises the following issues on appeal: (1) whether the trial court erred in failing to rule that the 1972 Alabama decree superseded and extinguished the 1970 New Mexico decree; (2) whether the trial court erred in not admitting into evidence correspondence showing that wife was represented by counsel in the Alabama proceedings; and (3) whether certain findings and conclusions of the trial court are erroneous. Husband also requests attorney fees on appeal. On cross-appeal, wife raises the following issues: (1) whether the trial court erred in applying laches and estoppel to arrearages accrued prior to the date of wife’s motion; and (2) whether the lower court erred in failing to award wife costs and attorney fees. Wife also requests costs and attorney fees on appeal.
Because we agree that the Alabama decree superseded the 1970 New Mexico decree, we do not reach several of the remaining contentions raised by the parties. Our disposition of husband’s first issue makes it unnecessary for us to rule on wife’s first issue. Since the trial court’s ruling on the continued validity of the New Mexico decree was error, there exist no arrearages, and, thus, we need not consider the applicability of equitable doctrines. On the issue of attorney fees, we hold that the trial court did not err in denial of the parties’ request for costs and fees.
I. Controlling Decree
The Bernalillo County district court found that the 1970 New Mexico decree controlled because, in the 1972 Alabama proceedings, husband neither pleaded nor prayed for relief from the New Mexico decree and the Alabama decree did not contain any language modifying the New Mexico award. In challenging this determination, husband relies on numerous cases which hold that, if in a party’s foreign suit for dissolution of marriage the other party is personally served or appears generally so that the court has jurisdiction to adjudicate the question of future alimony, the provision of alimony or silence on the issue effectively terminates the prior alimony provision of a previous court order. See, e.g., Coe v. Coe, 334 U.S. 378, 68 S.Ct. 1094, 92 L.Ed. 1451 (1948); Ex Parte Thornton, 272 Ala. 4, 127 So.2d 598 (1961); Ex Parte Jones, 249 Ala. 386, 31 So.2d 314 (1947); Nowell v. Nowell, 157 Conn. 470, 254 A.2d 889, cert. denied, 396 U.S. 844, 90 S.Ct. 68, 24 L.Ed.2d 94 (1969); Yates v. Yates, 155 Conn. 544, 235 A.2d 656 (1967); Rosa v. Rosa, 296 Mass. 271, 5 N.E.2d 417 (1936); Isserman v. Isserman, 23 N.J.Misc. 174, 42 A.2d 642 (1945), rev’d on other grounds, 138 N.J.Eq. 140, 46 A.2d 799 (1946); Lynn v. Lynn, 302 N.Y. 193, 97 N.E.2d 748, cert. denied, 342 U.S. 849, 72 S.Ct. 72, 96 L.Ed. 641 (1951); Rawitz v. Rawitz, 31 A.D.2d 832, 297 N.Y.S.2d 973 (1969); Vincent v. Vincent, 38 N.C.App. 580, 248 S.E.2d 410 (1978); Morphet v. Morphet, 263 Or. 311, 502 P.2d 255 (1972) (in banc); Brown v. Brown, 249 Or. 274, 437 P.2d 845 (1968); Bouchard v. Bouchard, 119 R.I. 656, 382 A.2d 810 (1978).
In opposition, wife advances several arguments. We are unpersuaded. First, wife argues that, under Alabama law, the 1972 Alabama.decree could not have modified the 1970 New Mexico decree because wife’s form answer and waiver of notice of further proceedings filed by wife in Alabama proceeding did not constitute evidence of any kind and only served to put the allegations of the complaint in issue. Ala.Code § 30-2-7 (1975). Because husband's complaint in Alabama only mentioned the 1970 New Mexico decree and did not request relief from it, wife contends that the Alabama court was not presented with any issue concerning the New Mexico decree. Nonetheless, under the authorities submitted by husband, the Alabama court had jurisdiction over the parties and over the subject matter and ultimately entered a decree of divorce and made an award of alimony. See Wright v. Wright, 230 Ala. 35, 159 So. 220 (1935). The general rule is that the last decree controls. Lynn v. Lynn (citing 2 A. Freeman, Freeman on Judgments, § 629 (5th ed. 1925)). The fact that the Alabama decree may have been vulnerable on appeal for failure to hold a hearing or for awarding relief not specifically requested does not mean that the decree is not entitled to full faith and credit. See Barker v. Barker, 94 N.M. 162, 608 P.2d 138 (1980) (only relief from rule requiring full faith and credit is that the judgment is void).
Wife next argues that Alabama does not permit its orders to supersede foreign orders on the same subject matter. Citing Murphy v. Murphy, 395 So.2d 1047 (Ala.Civ.App.1981), wife argues that, where there is no modification, the earlier decree remains in effect “for whatever it is worth.” Wife contends that the 1970 decree’s “worth” here is equal to all unpaid amounts of alimony within the statute of limitations for judgments. We disagree. We first note that Murphy was a URESA action — a special statutory proceeding. Further, under the cases cited above, the second decree superseded the first decree once it was entered and, thus, the first decree had no “worth”. Murphy did not rule on what the first decree was “worth” and we do not read it as standing for the proposition that the first decree controls over any subsequent decree. The reason for the rule that the last decree controls is that it is not unfair to require the person relying on the earlier decree to inform the second court of the first decree’s existence. The rule is grounded on notions of waiver. Freeman on Judgments, supra. By choosing neither to defend in the Alabama proceedings, nor to appeal from the ruling, wife waived reliance on the 1970 New Mexico decree and consented to the Alabama court’s entry of a lesser alimony amount.
Wife also argues that we should not give full faith and credit to the Alabama decree because Alabama did not give full faith and credit to the New Mexico decree. Wife invites us to accept a “tit for tat” rationale. We decline to do so. See Lynn v. Lynn. If Alabama did not give full faith and credit to the New Mexico decree, it was because the decree was not called to the court’s attention. A second court ought not be faulted for not giving a prior judgment full faith and credit if the second court is not advised of the existence of the prior judgment. See R. Ginsburg, Judgments in Search of Full Faith and Credit: The Last-in-Time Rule for Conflicting Judgments, 82 Harv.L.Rev. 798 (1968). Even in the URESA petitions where wife sought to enforce the Alabama decrees, wife never mentioned the existence of a prior New Mexico decree or order of support. Wife failed to call the New Mexico decree to Alabama’s attention and, hence, the Alabama decree must be given full faith and credit.
Finally, wife argues that all of husband’s cited authority is inapposite. Wife anchors this argument on the claimed uniqueness of New Mexico law. As we understand her argument, it is as follows: New Mexico’s statutory law concerning the property rights of husband and wife is modeled after the civil law system of Spain and Mexico, McDonald v. Senn, 53 N.M. 198, 204 P.2d 990 (1949), rather than the English common law, which serves as the cornerstone of the statutory law of the jurisdictions on which husband’s cases are modeled. Those jurisdictions have statutory separation actions such as limited divorce, divorce a mensa et thoro, or divorce from bed and board. Without citing any authority wife contends that New Mexico does not recognize legal separation. Therefore, she argues, the prior New Mexico proceeding could not have been a separation with a temporary support order which would have ended at divorce. Rather, wife argues pri- or New Mexico action was only a support proceeding which was final, and not subject to being extinguished upon divorce.
Because wife’s argument closely follows the historical rationale of an early New Mexico case, we assume wife implicitly relies on Hodges v. Hodges, 22 N.M. 192, 159 P. 1007 (1916) as authority for her contention that New Mexico does not recognize legal separations. While we agree with wife’s historical analysis, we disagree with her conclusion. Hodges stands for two related propositions: (1) when a party seeks an absolute divorce pursuant to a specific statute, a court may grant or deny the request, but is without authority to decree a limited divorce or legal separation; and (2) the court’s authority in matrimonial matters is to be determined upon the terms of the statute conferring jurisdiction.
Contrary to wife’s argument, New Mexico does recognize court sanctioned separations. At one time, New Mexico only recognized a divorce a vinculo matrimonii, which was a divorce from the bond of matrimony, as opposed to a divorce a mensa et thoro, or a limited divorce from bed and board. See Poteet v. Poteet, 45 N.M. 214, 114 P.2d 91 (1941). In 1901, however, the legislative assembly of the territory of New Mexico enacted a separate maintenance statute which then provided:
Whenever the husband and wife shall have permanently separated and no longer live or cohabit together, as husband and wife, either may institute suit in the district court for a division of property, or for the disposition of the children, without asking for or obtaining in said suit a dissolution of the bonds of matrimony; or the wife may institute suit for alimony alone.
1901 N.M.Laws ch. 62, § 23.
This legislative enactment and its statutory successor, NMSA 1978, Section 40-4-3 (Repl.1986), provide a substitute for limited divorce from bed and board. Poteet v. Poteet. A party may petition the court for a division of property, custody of children, support and maintenance without seeking a divorce, conditioned on the parties’ permanent separation. § 40-4-3. In the alternative, the parties may mutually consent to a separation without court intervention. See NMSA 1978, § 40-2-4 to -9 (Repl.1986). Although § 40-4-3 does not expressly state the court can grant a legal separation, as do the statutes in some of the cases cited by husband, we find the outcome to be the same.
Furthermore, wife’s argument that New Mexico did not contemplate the 1970 decree to be temporary, as do the cases relied upon by husband, is without merit. A majority of cases relied upon by husband also rely on the general rule applicable to all successive judgments, i.e., the latest controls, provided, of course, that it was entered by a court of competent jurisdiction and complied with elementary principles of due process. E.g., Lynn v. Lynn; Morphet v. Morphet.
Thus, while many of husband’s cases are distinguishable on the basis of the unique law of New Mexico, these distinctions are irrelevant to the resolution of the issue at hand. The fact remains that wife had notice of the Alabama proceedings, appeared, and chose neither to contest nor appeal the Alabama court’s decision. The Alabama court entered its decree awarding wife $50 per month in alimony, thus, superseding the 1970 New Mexico judgment. Because of the law on successive judgments, it is the Alabama judgment that controls. We determine that the Bernalillo County district court erred in basing its order of arrearages on the superseded New Mexico judgment.
ATTORNEY FEES
The determination of whether to grant an award of attorney fees rests within the sound discretion of the trial court. Fitzsimmons v. Fitzsimmons, 104 N.M. 420, 722 P.2d 671 (Ct.App.1986). An appellate court will only reverse the trial court’s determination if there has been an abuse of discretion. Michaluk v. Burke, 105 N.M. 670, 735 P.2d 1176 (Ct.App.1987). While the trial court’s discretion must be exercised with a view toward ensuring a party an effective presentation of his case, the trial court must also consider a number of factors other than economic disparity alone. See Berry v. Meadows, 103 N.M. 761, 713 P.2d 1017 (Ct.App.1986). These include the nature of the proceedings, the complexity of the issues, the relief sought and recovered, the ability of the parties’ attorneys and the ability of the parties to pay. Michelson v. Michelson, 89 N.M. 282, 551 P.2d 638 (1976).
Wife argues that there was economic disparity. We agree that wife’s income was substantially less than husband’s. Financial disparity, however, is only one factor which the trial court should consider in determining whether to award attorney fees. In considering the other Michelson factors, we do not find an abuse of discretion. See Fitzsimmons v. Fitzsimmons. We affirm the trial court’s denial of attorney fees.
Because of wife’s lack of success on appeal, we likewise deny her request for appellate attorney fees. See Blake v. Blake, 102 N.M. 354, 695 P.2d 838 (Ct.App.1985). We also deny husband’s request for fees.
CONCLUSION
The order of the trial court granting wife alimony based on the New Mexico decree is reversed. The trial court’s denial of attorney fees to wife is affirmed. This cause is remanded to the trial court with instructions to dismiss wife’s motion. Each party shall bear his own appellate costs and attorney fees.
IT IS SO ORDERED.
DONNELLY, C.J., and ALARID, J., concur. | [
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OPINION
BIVINS, Judge.
The City of Albuquerque (City), a self-insurer under the Workmen’s Compensation Act, appeals from a judgment awarding lump-sum death and other benefits to the widow of a city fireman who died of a heart condition while on the job. The parties’ major arguments address whether or not plaintiff established a causal connection between the worker’s heart attack and job-induced stress. We hold she did not and reverse. In view of this holding, we do not reach the remaining issues.
The issue of causation between the heart attack and job stress necessarily raises the question of whether the heart attack arose out of decedent’s employment. The answer to this issue also requires reversal.
Charles Oliver, a lieutenant with the Albuquerque Fire Department, reported to work at approximately 6:00 p.m. on December 17, 1980. He and his company moved from Station House 10 to Station House 4 for standby duty while the company at Station House 4 responded to a two-alarm tanker fire. Standby duty meant Lt. Oliver and his company were subject to call for backup at the two-alarm fire in progress or to respond to any other fire within the area. During the evening, Lt. Oliver and the other firemen ate popcorn, ordered hamburgers, talked, watched television and retired sometime around midnight. Shortly after Company 4 returned around 5:30 a.m. on December 18, 1980, a fellow fireman attempted to awaken Lt. Oliver; he was dead. An autopsy revealed that Lt. Oliver died of atherosclerotic heart disease with total occlusion of the left anterior descending coronary artery 6.0 centimeters from its origin with a second partial occlusion (80% to 90%) of the same artery at a different location. Additionally, the circumflex artery was occluded 70% to 80% and the right coronary artery was 60% to 70% occluded.
NMSA 1978, Section 52-l-28(B) provides: In all cases where the defendants deny that an alleged disability is a natural and direct result of the accident, the workman must establish that causal connection as a medical probability by expert medical testimony. No award of compensation shall be based on speculation or on expert testimony that as a medical possibility the causal connection exists.
The City denied causation; therefore, it was incumbent on plaintiff to establish a causal connection between Lt. Oliver’s death and job-induced stress as a medical probability by medical expert testimony. Renfro v. San Juan Hospital, Inc., 75 N.M. 235, 403 P.2d 681 (1965); Chaffins v. Jelco, Inc., 82 N.M. 666, 486 P.2d 75 (Ct.App.1971).
Plaintiff’s expert, Dr. Hall, a family practitioner, testified in response to a hypothetical question, as follows:
Counsel: Doctor, I want to ask you a hypothetical question and it’s as follows. Dr. Hall I am going to ask you this question based on certain facts which we are going to state are true and you are allowed to consider them as true to be able to answer because you are the expert and it’s simply this, just assume that what I tell you is true and assume that 46-year-old fire lieutenant, Lt. Oliver, assume further that he had no serious known illnesses, in other words, he didn’t know about this arteriosclerosis ... in the past and that, further, he, himself, had a history of indigestion — before I go on, did you, I better ask you, I think we have that exhibit here, did you have the benefit of the autopsy? Did you review that at one time?
Dr. Hall: Yes, I have the autopsy copy. Counsel: And — that he had a history of indigestion for some years which occurred particularly after eating and he smoked somewhat mildly, I believe, not too much from what I can understand, that he was at work and he was a supervisor, he was a lieutenant of his crew, he had no known history of heart disease that he knew about but was some pounds overweight, kind of stocky build and he reported to work at 6 p.m. on December 17, 1980 for an overnight shift till 8 p.m. [sic] the following morning on the 18th of December 1980, in other words, he’s going to work overnight, or graveyard, as we used to call that sort of thing, he was assigned to Fire House 10, or Station 10, but there was a two-alarm tanker fire in the south area of the city so that Station 10 was required to move over to Station 4, and Station 4 had reported to that alarm fire, and he and his crew were on alert and standby or backup for the tanker fire, for at any time to go to that fire or any other fire that might come in the city in the sense of that they have to cover the whole city. That he went to bed sometime approximately one o’clock until, and was then later discovered dead. Now, doctor, what I want to ask you based upon his being a fire fighter and the tensions that I think you are familiar with from those and what had been testified to that a fire fighter goes through the fright of, if you will, of going to a fire that they might be hurt. Assuming all these facts to be true, do you have an opinion within reasonable medical certainty as to whether or not the condition of Charles, on December 18, 1980, which has now been diagnosed after his death as being an atherosclerotic heart disease, whether or not his work activities has any causation or connection • to that? Do you have an opinion to a degree of medical probability? [Emphasis added.]
Dr. Hall: I feel that it certainly can be related, and most probably was related____ I believe in stress is a factor in cardiac disease.
Counsel: And that would be a contributing cause to this arteriosclerosis, is that correct?
Dr. Hall: Not specifically to the atherosclerosis, but to the whole picture and which the — at the end you get some spasms in the artery that aggravates this condition and — that’s it. — And circulation decreases, you get ischemia and ultimately you can get death.
Counsel: So it would be fatal, then?
Dr. Hall: Yes.
Counsel: And, is that your opinion of what happened to Lt. Oliver in this case?
Dr. Hall: I feel that’s true.
That medical expert testimony satisfies the requirement of Section 52-l-28(B) if the elements of Section 52-l-28(A)(l) and (2) are met. We examine each of these elements.
Section 52-l-28(A)(l) allows compensation only when the worker has sustained an accidental injury “arising out of” and “in the course of” the employment. Assuming an accidental injury, there still could be no recovery if it did not arise out of the employment. “Arise out of” relates to cause. Hernandez v. Home Education Livelihood Program, Inc., 98 N.M. 125, 645 P.2d 1381 (Ct.App.1982). In Williams v. City of Gallup, 77 N.M. 286, 289, 421 P.2d 804, 806 (1966), the supreme court said:
For an injury to “arise out of” the employment, there must be a showing that the injury was caused by a risk to which the plaintiff was subjected by his employment. The employment must contribute something to the hazard of the fall. Compensation has been denied where the risk was common to the public, Martinez v. Fidel, 61 N.M. 6, 293 P.2d 654 [1956], and where the risk was personal to the claimant, Berry v. J.C. Penney Co., 74 N.M. 484, 394 P.2d 996 [1964]; Luvaul v. A. Ray Barker Motor Company, 72 N.M. 447, 384 P.2d 885 [1963],
Section 52-l-28(A)(2) requires that the accident be reasonably incident to the employment. Even before an injury may be said to be compensable as “arising out of employment,” the accident causing the injury must result from a risk reasonably incident to the employment. Gilbert v. E.B. Law & Son, Inc., 60 N.M. 101, 287 P.2d 992 (1955). Both the accident and accidental injury must reasonably relate to the employment.
The term “accident” or “accidental injury” denotes an unlooked for mishap or some untoward event which is not expected or designed. Gilbert v. E.B. Law & Son, Inc. An accident may take the form of exertion, which need not be unusual or extraordinary, but must rise above mere surmise or speculation. Alspaugh v. Mountain States Mutual Casualty Co., 66 N.M. 126, 343 P.2d 697 (1959). Thus, there must be proof of the exertion with particularity as to time, place and circumstance, and the “relation between the effort and the proof of its result must be positive, direct, immediate and easily identifiable, and not of a kind that can be found in the normal progress of every coronary involvement.” Id. at 130, 343 P.2d at 699. The exertion may be either physical, Segura v. Kaiser Steel Corp., 102 N.M. 535, 697 P.2d 954 (Ct.App.1984), Bufalino v. Safeway Stores, Inc., 98 N.M. 560, 650 P.2d 844 (Ct.App.1982), or emotional, Little v. J. Korber & Co., 71 N.M. 294, 378 P.2d 119 (1963). In the present case, the claimed accident was emotional in the form of stress associated with being a fireman on standby duty subject to call.
To summarize, under Section 52-1-28(A)(1), (2) and (3), plaintiff must show three causal connections: (1) between the accidental injury and the employment; (2) between the accident and the employment; and (3) between the disability and the accident. Viewing these three requirements together, plaintiff must necessarily establish a causal connection between the accident and the injury and the injury and the disability. See Alspaugh v. Mountain States Mutual Casualty Co. Proof of these causal connections overlaps.
The parties have argued this case on the basis of a causal connection between the heart attack and job-induced stress. Thus, the parties have combined their arguments to address the causal connection between the job and the stress, and between the heart attack and the stress.
The problem with plaintiff’s proof is that while she developed evidence of a general nature as to stress associated with certain aspects of the occupation of being a fireman, she offered no proof of stress as related to Lt. Oliver individually at or near the time of his death. As to the occupation, Chief Ortega testified:
Fire fighting is a stressful occupation. It’s one where the fire fighter waits for the incident and he sits around in the fire station waiting for the alarm to hit, any type of incident he might respond to. It has been referred to as a stressful job in that waiting period.
Chief Ortega recalled two fire fighters who had died of heart attacks. Mr. Archuleta, a member of Lt. Oliver’s unit, said, “I guess there is some tension there, because you don’t know what to expect.” He stated that he always said a little prayer when the alarm sounded to “help me go there and perform my duties and return back in good health.” Another member of the unit, Mr. Martinez, when asked what it was like when the alarm goes off, said, “You can feel, you know, getting excited, your heart beat comes up.”
While this evidence suggests some stress as to the occupation of fire fighting in general, it proves nothing as far as Lt. Oliver and, more importantly, it does not establish any identifiable stress at or near the time of his death. In fact, the entire evidence is to the contrary.
The record reflects an uneventful evening. The fire fighters ate popcorn, ordered hamburgers, watched television, talked and then went to sleep. According to Chief Ortega, a change of location is a routine procedure; it is done so as to provide coverage for the city when a company is away on call. He said there was nothing stressful in changing quarters. Archuleta testified that Lt. Oliver appeared normal, that he was not upset or excited. With respect to the fire, Archuleta said Lt. Oliver mentioned, “It’s a good one; it’s an oil spill.” Martinez confirmed that nothing out of the ordinary happened on the evening of December 17.
Additionally, the evidence also shows that Lt. Oliver was not an excitable person. The widow, in response to a question from the trial court as to whether Lt. Oliver would “stew about his job,” said, “No, he loved his job, he was not worried.” The same type evidence came from fellow fire fighters. Dr. Hall, while stating that Lt. Oliver was “easy going,” said he suspected that decedent might have been a little uptight; however, he never treated Lt. Oliver for stress.
Absent any evidence of emotional stress, particularized as to time, place and circumstance the evening of December 17 and the morning of December 18, the most that can be said of the medical opinion is that it connects Lt. Oliver’s death to the occupation of fire fighting. This does not meet the standard laid down in Alspaugh v. Mountain States Mutual Casualty Co. and followed in other heart cases. In each case where recovery has been allowed, there has been some easily identifiable exertion, either physical or emotional, that medical testimony connected to the disability or death. See, e.g., Little v. J. Korber & Co. (worker died short time after becoming upset over error in charge ticket); Turner v. New Mexico State Highway Department, 98 N.M. 256, 648 P.2d 8 (Ct.App.1982) (worker suffered fatal heart attack about three minutes after physical exertion in sun); Bufalino v. Safeway Stores, Inc. (while performing heavy lifting work, worker felt sudden disabling pain in chest and suffered myocardial infarction); Segura v. Kaiser Steel Corp. (worker suffered myocardial infarction immediately following strenuous physical exertion). Unlike those cases, the record here is barren of any evidence of stress involving Lt. Oliver.
We note the trial court did make an evidentiary finding that Lt. Oliver “routinely exercised by jumping rope and doing isometrics * * This “finding” would have no bearing on the result reached. While there was no evidence that Lt. Oliver exercised during the evening of December 17 or the morning of December 18, Archuleta said he and Lt. Oliver routinely jumped rope and did isometrics “prior to the incident.” Even if that testimony could be considered under NMSA 1978, Evid.Rule 406 (Repl.Pamp.1983), nevertheless, there is no expert medical testimony causally connecting Lt. Oliver’s heart attack and death with any physical exertion.
Absent evidence of an accident in the form of an identifiable emotional exertion particularized as to time, place and circumstance, the medical opinion as to causal connection lacks probative value and fails to meet the requirement of Section 52-1-28(B).
What plaintiff essentially seeks is a rule that would recognize particular occupations as presumptively stressful or stressful per se. Michigan, by statute, has created a presumption that respiratory and heart diseases or illness suffered by fire fighters arise out of and in the course of their employment. Mich.Comp.Laws Ann., § 418.405 (West 1985); Achtenberg v. City of East Lansing, 421 Mich. 765, 364 N.W.2d 277 (1985). New Mexico has no similar statute. To create such a rule in the present case would contravene the clear standards announced by the supreme court in Alspaugh v. Mountain States Mutual Casualty Co. and followed in later cases. Further, there is no proof in the record of this case that would warrant a presumption or a per se rule that heart disease is related to the occupation of being a fire fighter. The only evidence suggests just the opposite. In response to a question from the trial court, Dr. Ramo, a cardiologist, said that fire fighting is not a high risk occupation in the generic sense. The clear implication of the testimony from both Drs. Ramo and Hall is that each case must be viewed on an individual basis. Some people cope with stress, others do not. That notion fits in with the standards of Alspaugh v. Mountain States Mutual Casualty Co.
In order to be compensable, the accidental injury must arise out of the employment. All we know is that Lt. Oliver spent an uneventful evening and then retired. He died in his sleep. This could, have occurred at home. The fact that Lt. Oliver died at work does not make the claim compensable unless plaintiff proves a causal connection between the employment and the heart attack. Plaintiff failed to prove this connection.
Because of the failure of proof, we reverse and remand for dismissal.
IT IS SO ORDERED.
DONNELLY, J., concurs.
GARCIA, J., dissents. | [
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OPINION
ALARID, Judge.
Plaintiffs appeal from a district court order granting dual motions for summary judgment in favor of defendants Transportation Division of the State Board of Education and Bill G. Loshbough (State), and the Gallup-MeKinley County School District and George Hoover (School District). We affirm as to the State defendants and reverse as to the School District defendants.
Preliminarily, we discuss the State’s claim that plaintiffs’ appeal should fail because their brief neglected to specifically challenge the trial court’s findings that allegations against the State were not actionable under the waiver of immunity provisions of the Tort Claims Act, NMSA 1978, Section 41-4-5 (Repl.1986). It is implicit from plaintiffs’ brief that they attack the reasoning of the trial court’s memorandum opinion and subsequent order granting summary judgment. Similarly, plaintiffs have provided this court with the necessary record for review. See Maynard v. Western Bank, 99 N.M. 135, 654 P.2d 1035 (1982) (rules of appellate procedure will be liberally construed so that causes on appeal may be determined on their merits). We are not persuaded, therefore, that plaintiffs’ appeal is not properly before this court, and we review the decision of the trial court.
FACTS
On the morning of September 14, 1982, 12-year-old Merle Chee Owens was struck by a semi-truck as he attempted to cross State Road 32 to board his school bus, parked off the road on the east side of the highway. Merle had been driven to the bus stop by his aunt, Bernice Skeets. Ms. Skeets approached the school bus in her pickup truck from the south, crossed the road parallel to the bus, and parked on the wrong side of Highway 32 (i.e., facing north on the shoulder of the west side of the highway). Merle’s grandmother, a passenger in the pickup, got out of the truck in order to let Merle out. Merle suddenly began running across the southbound lane of the highway into the path of an on-coming semi-truck driven by defendant Runyon, an employee of Leavitts Freight Services, Inc.
Defendant Hoover, the driver of the school bus, testified by deposition that as the child jumped from the truck, another school bus, northbound on Highway 32, momentarily blocked his view of the boy. As soon as the bus had cleared, Hoover saw the child dart into the road and into the path of the semi-truck. He stated there was no time for either him or the driver of the semi to attempt to avoid the accident.
DISCUSSION
It is an often-repeated rule that summary judgment should only be granted where there is no genuine issue as to any material fact and where the moving party is entitled to a judgment as a matter of law. SCRA 1986, R. 1-056(C). Once the movant has demonstrated a prima facie case of the absence of a genuine issue of fact, the burden rests on the opposing party to refute it. Sweenhart v. Co-Con, Inc., 95 N.M. 773, 626 P.2d 310 (Ct.App.1981).
(a) State Defendants
Plaintiffs’ theory against the State defendants is that they were negligent in enforcing the regulations they are mandated to impose under NMSA 1978, Section 22-16-2 (Repl.Pamp.1986), and NMSA 1978, Section 66-7-365. Specifically, plaintiffs attempt to expand the requirements of Section 22-16-2 to permit an action in negligence under Section 41-4-5 whenever the State defendants fail to enforce their own regulations. In order to find that the State has waived its immunity under the Act, we would have to conclude that the issuance and enforcement of the State’s regulations relating to school bus transportation constitute the “operation” of a motor vehicle. See Section 41-4-5. Moreover, we would have to conclude that if the approved bus route or stop designation were ill-designed, such planning would likewise fall under the meaning of the “operation” of a motor vehicle.
The interpretation of “operation of any motor vehicle” is a matter of first impression in New Mexico. We now discuss it as it relates to the State and School District defendants in the design, planning and enforcement of safety rules for school bus transportation.
When a term is not defined by statute, this court will interpret that term in accordance with its usual and ordinary meaning, unless a different intent is clearly indicated. Wellborn Paint Mfg. Co. v. New Mexico Employment Security Dept., 101 N.M. 534, 685 P.2d 389 (Ct.App.1984). The meaning of a statute is to be ascertained primarily from its terms. Irvine v. St. Joseph Hosp., Inc., 102 N.M. 572, 698 P.2d 442 (Ct.App.1984).
Several out-of-state jurisdictions have defined the “operation of motor vehicles” as a physical operation involving “manipulation of a vehicle’s controls to propel the vehicle,” Visintin v. Country Mutual Ins. Co., 78 Ill.App.2d 75, 222 N.E.2d 550 (1966); Metcalf v. Hartford Accident & Indemnity Co., 176 Neb. 468, 126 N.W.2d 471 (1964); Indemnity Ins. Co. of North America v. Metropolitan Casualty Ins. Co. of New York, 33 N.J. 507, 166 A.2d 355 (1960); State Farm Mutual Automobile Ins. Co. v. Allstate Ins. Co., 154 W.Va. 448, 175 S.E.2d 478 (1970), or “a personal act in working the mechanism” of the car, Feitelberg v. Matuson, 124 Misc. 595, 208 N.Y.S. 786 (1925); Morrow v. Asher, 55 F.2d 365 (N.D.Tex.1932), or in a car accident case, directing and controlling the car as a driver, Maryland Casualty Co. v. Marshbank, 226 F.2d 637 (3rd Cir.1955).
Still more applicable here, some jurisdictions have discussed the operation of school buses. In McNees v. Scholley, 46 Mich.App. 702, 208 N.W.2d 643 (1973), a child was hit by a car while standing on the opposite side of the road from the designated bus stop. The bus had not yet arrived. Plaintiffs argued that his injuries were the result of the defendant school district’s negligence in the operation of its school buses by designating an unsafe location as a bus stop and having its driver stop there. Plaintiffs claimed that the designation of a bus stop constituted the operation of a motor vehicle under a statute similar to New Mexico’s Section 41-4-5. The court rejected this argument, stating that “operation” meant “the vehicle must be in a ‘state of being at work’ or ‘in the active exercise of some specific function’ by performing work or producing effects at the time and place the injury is inflicted.” Id. 208 N.W. 2d at 645. Accord Cobb v. Fox, 113 Mich. App. 249, 317 N.W.2d 583 (1982). Although in these cases the buses were not at the scene of the accident, the allegations of designating unsafe bus stops are identical to the allegations raised in our case. The analyses of McNees and Cobb focus on the fact that the designation of bus stops did not constitute “operating a motor vehicle.” The court in McNees concluded that planning routes and designating bus stops were an essential exercise of the governmental function of education and that the school district was clothed with sovereign immunity. We note that in New Mexico, the distinction between governmental and proprietary functions has been abolished under NMSA 1978, Section 41-4-2(B) (Repl.1986).
The analyses in McNees and Cobb can be extended to the facts here and applied to the State and School District defendants. Under Section 66-7-365, the director of transportation (under the state board of education — Section 22-16-2) shall adopt and enforce regulations to govern the design and operation of all school buses when such buses are owned and operated by a school district or private party. The plain language of this statute states that the director only adopts and enforces regulations; the director does not actually operate the bus.
As the trial court below pointed out in its memorandum opinion:
Mr. Loshbough * * * submitted an affidavit indicating that the defendants had nothing to do with the “operation” of the school bus which the plaintiff was intending to board. The bus was neither driven by any of the State defendants nor any of the State defendants’ employees. The bus in question was owned and operated by the McKinley County School District.
The State defendants should not be held liable under the Tort Claims Act. See generally Gonzales v. State, 29 Cal.App.3d 585, 105 Cal.Rptr. 804 (1972) (where state had no authority to employ bus driver or to operate school buses, state had no liability for injury to plaintiff, who was struck by school bus).
Plaintiffs allege that the State defendants failed in their duty to adopt and enforce procedures for the safe pick up and transportation of school children. The government does not have the duty to do everything that might be done. § 41-4-2. Governmental entities and public employees shall be liable within the limitations of the Tort Claims Act. Id. The design, planning and enforcement of safety rules for school bus transportation do not fall within the meaning of “operation” of a motor vehicle. This court will not look beyond the plain meaning of words of an unambiguous statute. The State defendants were properly dismissed from this lawsuit.
(b) School District Defendants
If application of Section 41-4-5 is correct for the State defendants, it must be correct for the School District defendants, at least as to designing, planning and enforcing school bus transportation procedures. Thus, we affirm the trial court as to all defendants on the design, planning and enforcement issue by interpreting “operation ... of any motor vehicle” in accordance with its plain meaning.
The fact that the School District may be immune from liability for alleged improper design, planning and enforcement of school bus transportation procedures does not answer the question of whether it is immune if its driver, Hoover, negligently operated the bus. If immunity is waived as to Hoover under Section 41-4-5, the particular entity that supervises the negligent public employee can be named as a defendant. Abalos v. Bernalillo County District Attorney, 105 N.M. 554, 734 P.2d 794 (Ct.App.1987). Thus, if Hoover negligently operated the bus, the School District is properly named as a defendant. We have no doubt that Hoover’s operation of the bus falls within the plain meaning of “operation of a motor vehicle” under Section 41-4-5. Whether Hoover negligently operated the bus should have been decided by the jury.
On the date of the accident, defendant Hoover was operating under the regulations defined in the School Bus Driver’s Manual issued by the State Transportation Division of the State Board of Education. The regulations require that School District officials and their bus drivers pick up and deposit children in a manner conducive to the children’s safety. See Archuleta v. Jacobs, 43 N.M. 425, 94 P.2d 706 (1939).
Among other things, the manual directs the driver in the proper use of the bus’ safety equipment, including the flashing lights and stop arm. The manual stresses that “whenever possible, all loading and unloading operations will be done off the traveled portion of the roadway.” Following that instruction, and his normal procedure, Hoover made his usual stop at Skeets Road, pulling the school bus completely off the traveled portion of State Road 32. He did not engage the bus’ flashing lights and stop arm because Figure 6 of the regulations prohibits engaging the flashers and stop arm when the bus is pulled off the traveled portion of the highway. See NMSA 1978, § 66-7-348(B).
However, Figure 6 also carries a legend that says, “Students do not cross highway.” The School Bus Driver’s Manual states, in pertinent part, at page 15:
C. Loading and Unloading on Route:
Circumstances sometimes make it impossible for a bus to pull off the roadway. Therefore, under the following conditions, the bus must stop on the roadway, turn on the alternating flasher lights, and use the stop arm * * *.
D. Single or Two-Lane Roadway:
1. Any time students must cross the roadway (See Figure 4, page 20).
Figure 4 is a diagram of a bus stopped on the roadway and shows a picture of a house on the side of the roadway opposite the school bus. Defendant Loshbough stated that the purpose of the house in the diagram was to signify that students must cross the roadway. He also stated “[t]hat if the bus stop is established where youngsters are required to cross the roadway, then [the bus driver] would be responsible for staying [on] the traveled portion of the roadway and using the school bus flashers and the stop arm.” He indicated that this would be true, even if the driver had room to pull the bus off onto the shoulder.
Defendant Hoover testified that the usual student load at the Skeets Road stop was about 15-20. He also said that some of the children boarding at that stop lived on Skeets Road. Skeets Road runs perpendicular to State Road 32 on the west side. Normally, the children were waiting for him by the time he arrived. The regulation does not focus on whether children would have to cross the roadway on any particular date, but could be interpreted in a more general way to include situations where the driver knew or should have known that students may have to cross the highway coming from their homes to the bus stop.
The fact that the driver made a practice of pulling off the road at the Skeets Road stop is immaterial. While he was required to adhere to the established route stop, the practice was required only as closely as safe operation would allow. A school bus driver has a duty to exercise reasonable care under the circumstances to insure the safety of the children in his charge. Archuleta v. Jacobs.
Whether defendant Hoover knew or should have known that students had to cross the roadway to reach the bus stop was disputed. He testified that he only saw a student waiting on the opposite side of the road from the stop two or three times in four years. Plaintiffs, however, presented the affidavit of Bernice Skeets that indicated approximately 20 children lived across the road from the stop and regularly crossed the roadway, at least in warm weather.
The issue of whether defendant Hoover was negligent by pulling off the pavement on the date in question presents an issue of fact. We do not foreclose the possibility of contributory negligence on the part of an adult who delivers a child across the highway from a bus stop, but such situations are for the jury to decide unless there is no evidence upon which reasonable minds could differ. North v. Public Service Co. of New Mexico, 97 N.M. 406, 640 P.2d 512 (Ct.App.1982). School District defendants argue that there is no causal connection between plaintiffs’ contention of an improper bus route and the accident itself. To the extent that the bus route relates to the design, planning and enforcement of school bus safety rules, defendants are correct. However, because we find that defendant Hoover was “operating” the school bus within the contemplation of Section 41-4-5 at the time of the accident, the question of negligent operation is a matter for the jury to decide. Causal connection in that instance has not been resolved, and summary judgment in favor of defendants School District and Hoover was improper. See Sweenhart v. Co-Con, Inc.
We affirm the judgment of the trial court as to the State defendants and reverse the judgments as to defendants School District and Hoover. The case is remanded for reinstatement on the trial docket.
IT IS SO ORDERED.
BIVINS and APODACA, JJ., concur. | [
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OPINION
RANSOM, Justice.
John L. Padilla (Padilla) appeals from the decision of the district court which affirmed the New Mexico Real Estate Commission (commission) in its revocation of Padilla’s license to sell real estate. The grounds for the revocation were false or fraudulent representations by Padilla with respect to whether any unpaid liens or judgments were filed against him.
Padilla received a license to sell real estate on March 30, 1984. In the winter of 1981 and fall of 1982, the University of New Mexico had filed suits and obtained default judgments against Padilla to recover payment of student loans. Also, a default judgment had been obtained against Padilla in February 1983 with respect to the sale of an automobile.
Between April 1983 and March 1984 Padilla filed five registration forms with the commission prior to taking the real estate licensing examination. In response to the question, “Do you have any unpaid liens or judgments filed against you?” Padilla answered “No” on each form. The judgments were then outstanding. The district court affirmed the commission’s conclusion that the representations were either false or fraudulent in violation of NMSA 1978, Section 61-29-12 (Repl.Pamp.1983 and Cum.Supp.1986).
The standard of review of an administrative finding for the district court is specifically addressed in NMSA 1978, Section 61-1-20:
Upon the review of any board decision under the Uniform Licensing Act [61-1-1 to 61-1-31 NMSA 1978], the judge shall sit without a jury, and may hear oral arguments and receive written briefs, but no evidence not offered at the hearing shall be taken, except that in cases of alleged omissions or errors in the record, testimony thereon may be taken by the court. The court may affirm the decision of the board or remand the case for further proceedings; or it may reverse the decision if the substantial rights of the petitioner have been prejudiced because the administrative findings, inferences, conclusions or decisions are: in violation of constitutional provisions; or in excess of the statutory authority or jurisdiction of the board; or made upon unlawful procedure; or affected by other error of law; or unsupported by substantial evidence on the entire record as submitted; or arbitrary or capricious * * *.
We have previously held that this Court must conduct the same review as the district court while at the same time determining whether the district court erred in the first appeal. Tapia v. City of Albuquerque, 104 N.M. 117, 717 P.2d 93 (Ct.App.1986); Groendyke Transp., Inc. v. New Mexico State Corp. Comm’n, 101 N.M. 470, 684 P.2d 1135 (1984). This Court may set aside an agency order only if it is unreasonable, unlawful, arbitrary, capricious, or not supported by evidence. McDaniel v. New Mexico Bd. of Medical Examiners, 86 N.M. 447, 525 P.2d 374 (1974).
The commission has the power to revoke a license at any time where the licensee has by false or fraudulent representations obtained a license, NMSA 1978, Section 61-29-12, or is deemed to be guilty of making a substantial misrepresentation. NMSA 1978, § 61-29-12(A). To prove a fraudulent representation, the commission must prove a misrepresentation of fact, known to be untrue by the maker, and made with an intent to deceive and to induce the other party to act upon it to his detriment. Cargill v. Sherrod, 96 N.M. 431, 631 P.2d 726 (1981). Evidence of fraud will not be substantial unless it is clear, strong, and convincing. Seidenberg v. New Mexico Bd. of Medical Examiners, 80 N.M. 135, 452 P.2d 469 (1969).
Padilla had not been served in person with process in the student loan cases and the findings that he had notice of the entry of those judgments are supported only by evidence that, since he was “being taken to court,” he worked out monthly payments. “So,” he testified, “I figured there’s no judgment * * Yet, this “notice” came only after Padilla’s completion of the registration forms and resulted from the commission’s investigation. The automobile judgment recited that he had never been personally served in that suit, and he testified that “the way I thought it was, it wasn’t a true judgment against me * * *. I thought that they are just going to take me to a retrial and then get a true judgment against me.” The commission’s findings and conclusions do not resolve in any meaningful way whether Padilla intended to deceive and to induce the commission to act in reliance upon a misrepresentation of fact known by Padilla to be untrue. The district court adopted the findings and conclusions of the commission. The conclusion that there was fraud is stated in the disjunctive with the finding of falsity, i.e., “false or fraudulent.” In the opening statement of the assistant attorney general the situation was characterized basically as one of an allegedly “false response.”
There is no question but that the representations regarding judgments were false. The judgments were filed prior to Padilla’s applications. If the subjects of misrepresentations on application forms are material, i.e., “substantial misrepresentations,” the commission can, absent intervening equities, revoke the license even though there is no actual or intentional fraud. Cf. Modisette v. Foundation Reserve Ins. Co., 77 N.M. 661, 667-68, 427 P.2d 21, 25-26 (1967).
A misrepresentation or concealment of a fact is material if it operates as an inducement to the commission to do that which it should not otherwise have done. This is the test of whether a misrepresentation is substantial. Here, the question of materiality turns on the extent, if any, to which unpaid liens or judgments bear upon the duty of the commission to safeguard the interests of the public. “Licenses shall be granted only to persons who are deemed by the commission to be of good repute and competent to transact the business of a real estate broker or salesperson in such a manner as to safeguard the interests of the public.” NMSA 1978, § 61-29-9(A) (Repl. Pamp.1983) (Qualifications for license). The “good repute” requirement is interpreted by us to relate to honesty and trustworthiness. See NMSA 1978, § 61-29-9(D).
There are no specific findings and conclusions by the commission to afford this Court a clear understanding that the decision was based upon false representations relevant and material to facts bearing upon the good repute and competence of a licensee in the public interest. Being a student loan judgment debtor and being reputable and competent are not mutually exclusive. The same can be said of the automobile judgment. As stated in Mora v. Martinez, 80 N.M. 88, 451 P.2d 992 (1969), “ ‘when findings wholly fail to resolve in any meaningful way the basic issues of fact in dispute, they become clearly insufficient to permit the reviewing court to decide the case at all, except to remand it for proper findings by the trial court.’ ” Id. at 90, 451 P.2d at 994 (quoting from Featherstone v. Barash, 345 F.2d 246, 249 (10th Cir.1965)).
This cause will be remanded to the commission with express directions to enter proper findings of fact and conclusions of law, together with a final order. Thereafter, the said cause will proceed anew for appeal or other purposes according to law.
IT IS SO ORDERED.
SCARBOROUGH, C.J., and SOSA, Senior Justice, concur. | [
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OPINION
GARCIA, Judge.
Defendant appeals from a summary judgment rendered against her in a personal injury action. The sole issue on appeal is whether the decision of Guess v. Gulf Ins. Co., 96 N.M. 27, 627 P.2d 869 (1981), abolishing parental immunity in New Mexico, should be purely prospective in application.
FACTS
This is a suit for personal injury filed by plaintiffs against defendant, their mother, arising out of an automobile, accident occurring in 1970. At the time of the accident, plaintiffs were minors and the statute of limitations was tolled. Suit was filed in 1985, after the supreme court’s decision in Guess.
The parties stipulated that defendant’s negligence proximately caused the children’s injuries, and that if intrafamily immunity did not bar recovery, plaintiffs would be entitled to damages of $109,000, to be paid by defendant’s automobile liability insurer. Based upon the stipulation of facts, both parties filed motions for summary judgment. Defendant filed her motion for summary judgment on the grounds that at the time of the accident there was no cause of action in New Mexico for tort liability between parent and child. Plaintiffs contended that the subsequent change in the law in New Mexico, between the time of the accident and the time for filing the complaint, was binding on the case. The trial court granted plaintiffs’ motion for summary judgment and entered judgment in favor of plaintiffs against defendant.
DISCUSSION
The court in Guess made no comment as to whether its decision would have retroactive or prospective effect. In applying newly-announced rules of law, New Mexico courts have utilized various approaches. For a discussion, see Maxwell v. Ross Hyden Motors, Inc., 104 N.M. 470, 722 P.2d 1192 (Ct.App.1986). Where “the overruling court does not address the retroactive effect of its own decision, the modern trend is to allow lower courts to draw their own conclusion on retroactivity using appropriate guidelines.” Whenry v. Whenry, 98 N.M. 737, 739, 652 P.2d 1188, 1190 (1982). In determining whether a decision should have retroactive effect, “a court must look at each case individually by weighing the merits and demerits, looking at the prior history of the rule in question, considering its purpose and effect and determining whether retrospective application will further or retard its operation.” Lopez v. Maez, 98 N.M. 625, 632, 651 P.2d 1269, 1276 (1982). The Lopez court held that “[i]f the new law imposes significant new duties and conditions and takes away previously existing rights, then the law should be applied prospectively.” Id.
In this vein, defendant argues that the application of Guess would be particularly inequitable because defendant relied on the prior law, and the accident and injuries were not investigated with any anticipation of liability. However, this case was submitted on stipulated facts, including an acknowledgement that defendant was negligent and that the negligence was the proximate cause of plaintiffs’ injuries. There is no assertion that a prompt investigation would have altered this stipulation, nor is there any claim that evidence favorable to defendant was lost. Moreover, no new duty was imposed on defendant by the abolition of the immunity doctrine. At all times, her duty was to drive with ordinary care. See SCRA 1986, 13-1201.
Defendant relies on Hicks v. State, 88 N.M. 588, 544 P.2d 1153 (1975) (prospectively abolishing sovereign immunity in some cases) in urging a purely prospective application to Guess. Hicks presented an unusual situation where retroactive application would cause undue hardship by subjecting state and local governments to liability when they had relied on the previous immunity doctrines and had no insurance. In this case, the parties acknowledge that defendant had adequate insurance to cover plaintiffs’ injuries.
We find the circumstances in Scott v. Rizzo, 96 N.M. 682, 634 P.2d 1234 (1981) more analogous. After considering the preference and desirability of comparative negligence over contributory negligence, the supreme court held that comparative negligence would be applicable to all cases filed subsequent to Scott, and to cases pending both in the trial court and the appellate courts. Similarly, we believe the equities are on plaintiffs’ side in filing their complaint four years after Guess abolished parental immunity. As with contributory negligence, our supreme court, in Guess, held that the doctrine of parental immunity was outmoded and unproductive. In light of the nature of this case and the equities involved, we hold that the decision in Guess should be given modified prospectivity. See, e.g., Navajo Freight Lines, Inc. v. Baldonado, 90 N.M. 264, 562 P.2d 497 (1977). Application of the Guess opinion abolishing intrafamily immunity will not lead to inequitable results where the existence of a valid claim for negligence is conceded and the presence of adequate insurance coverage is acknowledged. Under such circumstances, we are hard pressed to find prejudice. Any hardship defendant might suffer as a result of the modified prospective application of Guess would be negligible. See, e.g., Scott v. Rizzo; Brosseau v. New Mexico State Highway Dep't 92 N.M. 328, 587 P.2d 1339 (1978); Navajo Freight Lines, Inc. v. Baldonado.
Defendant also has relied on authority from other jurisdictions. See, e.g., Schwartz v. U.S. Rubber Corp., 112 N.J. Super. 595, 272 A.2d 310 (1971) (holding that a decision rejecting parental immunity applied only to causes of action arising after the date of that decision). For the foregoing reasons, we have concluded that New Mexico authority dictates a different result.
CONCLUSION
In sum, we agree with the trial court’s conclusion that the doctrine of parental immunity does not apply to this case filed after Guess. Parties shall bear their own costs. We affirm.
IT IS SO ORDERED.
ALARID and MINZNER, JJ., concur. | [
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OPINION
MINZNER, Judge.
Respondent appeals a children’s court order denying his motion to dismiss petitioner’s delinquency petition. Two issues have been briefed on appeal:
(1) Whether a direct appeal from a nonfinal order is an “appeal” within the meaning of SCRA 1986, Rule 10-226(A)(4), which permits an adjudicatory hearing to be commenced within thirty days of the date the dispositive mandate or order is filed in children’s court; and, if not,
(2) Whether the time for commencing an adjudicatory hearing after an order denying a motion to transfer is filed, see Rule 10-226(A)(6), is tolled during the pendency of an improperly-perfected interlocutory appeal.
Because of our disposition of the first issue, we do not reach the second. Another issue, which is stated in the brief-in-chief but not raised in the docketing statement, is not before us. See State v. Hernandez, 95 N.M. 125, 619 P.2d 570 (Ct.App.1980).
This is the second appeal to come before this court in this cause. The state filed a delinquency petition against respondent on September 23, 1986. On the same day, the state moved to transfer him for trial as an adult. Respondent was placed in detention. On October 27, the children’s court denied the state’s transfer motion, and on October 31, the state filed a notice of appeal. On November 26, respondent moved to dismiss the petition with prejudice, on the ground that no adjudicatory hearing had been commenced within thirty days of the court’s order denying the transfer motion. See’ Rule 10-226(E). The children’s court held respondent’s motion to dismiss in abeyance pending disposition of the appeal.
This court summarily dismissed the state’s appeal. We have stated previously that an order denying a motion to transfer from children’s court to district court is not final. Cf. In re Doe, 86 N.M. 37, 519 P.2d 133 (1974) (an order granting the state’s motion to transfer child to district court is a final judgment for purposes of appeal). Because such an order leaves the case in children’s court for further proceedings, it is interlocutory. State v. Doe, 99 N.M. 460, 659 P.2d 912 (Ct.App.1983); see also NMSA 1978, §§ 32-l-29(D) & -30(C) (Repl.1986). Because the order from which the state appealed was not final, it was not appeal-able. Moreover, the state did not comply with the procedural requirements for perfecting an interlocutory appeal which were in effect at the time of the state’s appeal from the children’s court order denying its transfer motion. NMSA 1978, § 39-3-4; NMSA 1978, Crim., Child.Ct., Dom.Rel. & W/C App.R. 203 (Repl.Pamp.1983). For this reason, the prior appeal was dismissed for lack of appellate jurisdiction. See NMSA 1978, § 32-l-39(A) (Repl.1986) (“[a]ny party may appeal from a judgment of the [children’s] court to the court of appeals”).
Mandate was filed in the children’s court on January 23, 1987. On February 4, the children’s court denied respondent’s motion to dismiss, and respondent pled guilty to voluntary manslaughter, expressly reserving his right to appeal the denial of his motion.
Respondent in effect asks us to interpret “appeal” under Rule 10-226 to exclude a request for review over which the appellate court lacks jurisdiction. We conclude that this interpretation is too narrow. See State v. Felipe V., 105 N.M. 192, 730 P.2d 495 (Ct.App.1986). In State v. Felipe V, we held that “ ‘appeal’ * * * should be defined as a seeking of review by a higher court, including seeking supreme court review under a preemptory writ.” Id. at 194, 730 P.2d at 497. We noted that the rule should be read with common sense, not to effect dismissals by technical application of the rule.
In our view, State v. Felipe V. establishes a broad definition of the term “appeal.” In that case, we construed the term to include a writ of superintending control because it was in the nature of an interlocutory appeal. In this case, the term applies because the state sought review in the nature of a premature appeal. See Thornton v. Gamble, 101 N.M. 764, 688 P.2d 1268 (Ct.App.1984). Cf. People v. Morgan, 681 P.2d 970 (Colo.App.), cert. denied, 469 U.S. 881, 105 S.Ct. 248, 83 L.Ed.2d 185 (1984) (a state’s interlocutory appeal, even if ultimately dismissed, tolls the speedy trial statute); contra State v. Grimes, 229 Kan. 143, 622 P.2d 143 (1981) (period of 180 days within which defendant in criminal prosecution must be brought to trial continued to run during unauthorized interlocutory appeal by state of trial court’s granting of motion for new trial). In so doing, we have chosen the result which we hope will tend to reduce the number of questions that will arise under Rule 10-226(A)(4). We believe that such a result is consistent with the purposes of the legislature in establishing the children’s court.
If, during the course of children’s court proceedings, the state deems it necessary to appeal an interlocutory order, then the state should follow the procedures set out by the legislature and the supreme court for perfecting an interlocutory appeal. This is especially true when the child is in detention because otherwise, as in this case, the appeal may delay disposition by the children’s court without obtaining a review on the merits.
However, as we indicated in State v. Felipe V, the relevant rule uses the word “appeal” in such a way as to include “all instances in which issues raised and pending in children’s court are presented to an appellate court.” 105 N.M. at 193, 730 P.2d at 496. There being no evidence that the state requested review by this court other than in good faith, see State v. Doe, 97 N.M. 263, 639 P.2d 72 (Ct.App.1981), cert. denied, 457 U.S. 1136, 102 S.Ct. 2965, 73 L.Ed.2d 1354 (1982), we hold that State v. Felipe V. controls. The trial court properly denied respondent’s motion to dismiss and should be affirmed.
The issue stated in the brief-in-chief but not raised in the docketing statement concerns alternative relief requested by respondent: credit against the length of his commitment for time spent in detention while the state’s appeal was pending. It does not appear that this issue has been addressed by the trial court. For this reason, as well as because the issue was not raised in the docketing statement, we do not reach it here. On remand, the trial court will have jurisdiction to consider the request and all relevant authority.
IT IS SO ORDERED.
DONNELLY, C.J., and GARCIA, J., concur.
. This proceeding originally commenced under NMSA 1978, Child.Ct.Rule 46 (Repl.Pamp.1982). Effective January 1, 1987, the rules of procedure for children's court were amended. SCRA 1986, Rule 10-101(D). Because the relevant rule has not been materially altered, the opinion refers to the current rule. | [
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OPINION
BIVINS, Judge.
From a judgment and final decree dissolving the parties’ marriage, dividing their property and debts, awarding lump sum alimony and attorney fees, holding husband in contempt and from an order appointing a special master to sell husband’s separate real property in Florida, husband appeals. We affirm, except for the sale of the Florida real property.
Husband raises seven issues on appeal: whether the trial court (1) incorrectly declined to grant a continuance of the trial on the merits because husband was undergoing psychiatric treatment in another state; (2) lacked jurisdiction over the wife because she failed to establish a present, good faith intention to reside in New Mexico; (3) erred in refusing to dismiss for lack of jurisdiction due to two prior marriages of husband, neither of which was ever dissolved; (4) had jurisdiction to order the sale by a special master of real property located in Florida; (5) erred in refusing to grant a continuance after allowing an intervenor to intervene on the day of the trial; (6) erred in assigning income tax liability and business debts as husband’s separate responsibility; and (7) abused its discretion in dividing property, assigning debts and awarding alimony. We discuss these issues under four categories: jurisdiction, continuances, Florida property and claimed trial error.
FACTS
Husband and wife married in 1976. During the marriage they lived in Florida, Missouri, Arizona and New Mexico, where they acquired various property. Both parties worked until wife quit her job in 1983. During the marriage, husband earned substantially more than wife. Wife first filed for dissolution of marriage on June 10, 1985, in Cause No. DR-85-02349. At that time, she had resided in New Mexico only five months. Wife then amended the petition to ask for a legal separation. On July 10, 1985, after wife had resided in New Mexico for six months, she filed a new petition for dissolution of marriage in Cause No. DR-85-02816. The two causes were consolidated in July 1985.
On June 13, 1985, the trial court ordered interim relief to wife and ordered several banks to freeze certain accounts of the parties. Contrary to court order, husband left New Mexico sometime in June, taking with him over $50,000 in cash from the frozen accounts. The trial court entered an order to show cause and to account for the missing funds. Husband’s only response was an affidavit in which he claimed to be married to Winefred Duffy Fenner at the time he married wife. Upon husband’s failure to show cause, the trial court imposed a fine of $250 a day until the date of trial. By trial date, husband had accrued $16,000 in fines.
Two days before trial, David Flinchbaugh, an alleged business partner of husband, moved to intervene in the divorce trial, claiming husband owed him money. The trial court granted this intervention to determine “whether intervener’s claim is a community or separate debt.” The inter venor claimed that $35,000 of the frozen assets were business assets belonging to him. Intervenor is not a party to this appeal.
Husband did not appear at trial. His counsel claimed he was undergoing psychiatric treatment in California and produced a doctor’s report to that effect. Counsel, however, failed to arrange a conference call with treating physicians as directed by the trial court. Because of husband’s mental problems, counsel had moved for two continuances, which the trial court denied. Trial proceeded on the merits. At the time of divorce, wife was 62 years old and husband was 63 years old. Other facts relating to husband’s issues will be discussed below.
JURISDICTION
Wife’s Residency
NMSA 1978, Section 40-4-5 (Repl.1986) requires a party who seeks a divorce to reside in New Mexico for six months prior to filing for divorce and to have a domicile here. Domicile is shown by being physically present in the state and having a place of residence here, as well as by demonstrating a present, good faith intention to remain in the state permanently or indefinitely. § 40-4-5(A) and (B).
Although decided under former law, we agree with Davey v. Davey, 77 N.M. 303, 308, 422 P.2d 38, 42 (1967) that “[t]he residence requirement specified by the statute, although jurisdictional, presents a question of fact for determination by the trial court.” We will not overturn such a finding if it is supported by substantial evidence. Id. The evidence shows that wife lived in New Mexico for six months by the time she filed her second petition for divorce. She opened bank accounts here, registered to vote, registered her car and lived here. Such acts demonstrate both her physical presence here and her concurrent intention to make New Mexico her home. See Hagan v. Hardwick, 95 N.M. 517, 624 P.2d 26 (1981). “ ‘[T]o effect a change from an old and established domicile to a new one, there must be * * * a fixed purpose to remain in the new location permanently or indefinitely. For domicile once acquired is presumed to continue until it is shown to have changed * * *.’” Id. at 519, 624 P.2d at 28 (quoting from Shilkret v. Helvering, 138 F.2d 925, 927 (D.C.Cir.1943)).
New Mexico appeared to be the current domicile of wife at the time of filing for divorce. Absent any evidence that she established a domicile in some other state when she filed her divorce action, we uphold the trial court’s determination of jurisdiction over wife.
Husband’s Prior Marriages
Husband contends by two affidavits that he was married to two other women, neither of whom he ever divorced, at the time of his marriage to wife. One affidavit, filed August 14, 1985, alleges that husband was married to Winefred Duffy Fenner on the date that he married wife. The affidavit does not state whether husband divorced Winefred nor is there a copy of a marriage certificate included. The other affidavit, filed on February 11, 1986, along with husband’s jurisdictional objection and response to petitioner’s motion for an order regarding the sale of the Florida property, alleges that husband was married to Margret Rakes Hall Fenner on the date he married wife and that he and Margret never divorced. Included with this affidavit is a copy of a Mexican marriage certificate, dated July 23, 1958.
The general rule in New Mexico is that “[i]n a chain of marriages in which a marriage is claimed to be invalid because of the continued existence of a predecessor, the presumption of validity initially attaches to the later in point of time.” Panzer v. Panzer, 87 N.M. 29, 32, 528 P.2d 888, 891 (1974). “The authorities which we consider to be sound require proof of the prior marriage plus the fact that it has not been terminated by death or divorce.” Id. at 33, 528 P.2d at 892. The challenging party must prove these facts by clear and convincing evidence. Id.
In our case, husband failed to prove even the existence of his marriage to Winefred, much less that the marriage was not dissolved by death or divorce. Other than his self-serving affidavit, husband offered no proof of his marriage to Winefred. The trial court “does not act arbitrarily in disregarding alleged uncontradicted testimony where legitimate inferences may be drawn from the facts and circumstances that contradict or cast reasonable doubt on the truth or accuracy of the testimony.” Alfieri v. Alfieri, 105 N.M. 373, 733 P.2d 4, 9 (Ct.App.1987). “ '[T]he interest of the witness furnishes a proper ground for hesitating to accept his statements[.]’ ” Id. (quoting from Strickland v. Roosevelt County Rural Elec. Coop., 94 N.M. 459, 465, 612 P.2d 689, 695 (Ct.App.1980), emphasis omitted). Given that husband presented evidence of one prior marriage, then six months later presented evidence of a second prior marriage, the trial court could have questioned husband’s credibility. Absent any clear and convincing evidence of the marriage to Winefred, the trial court correctly rejected husband’s claim of this marriage.
As to Margret, while husband may have shown, through an uncertified marriage license, that this marriage existed, he offered no clear and convincing proof that it was not terminated by death or divorce. See Allen v. Allen, 98 N.M. 652, 651 P.2d 1296 (1982). The trial court also correctly rejected husband’s claim of the marriage to Margret.
CONTINUANCES
Trial
The record reflects that husband moved for two continuances, on September 11, 1985, and again on October 18, 1985. The basis of both motions was that husband was undergoing psychiatric treatment in California and was unable to prepare properly for the pending trial. On the day of trial, October 31, 1985, husband did not appear personally, but was represented by counsel. We assume that husband renewed this motion on the day of trial, although husband provides no references of this fact. At trial, husband’s attorney presented a copy of a psychiatric report regarding husband. The report indicated that husband was discharged from the Veterans’ Hospital in Long Beach, California, on October 25, 1985, and would be allowed to return to work on November 4, 1985, three days after trial ended. Although the trial court, before trial, directed a conference call with husband’s doctors, counsel was unable to find any doctors who would participate. The trial court refused to grant a continuance.
The trial court may grant a continuance at its own discretion. Gonzales v. Gonzales, 85 N.M. 67, 509 P.2d 259 (1973). We will overturn only upon a showing of an abuse of that discretion. Id. The record indicates that husband could have appeared at trial and that he was not so mentally incompetent as to be unable to assist with his case. He was diagnosed as having “passive-aggressive behavior” and an “adjustment disorder.” No doctor’s affidavits or testimony indicated that this diagnosis would prevent husband from appearing, participating in the hearing or understanding the nature of the proceedings. The record also indicates that husband transacted business with the intervenor in California during the time of his treatment. For example, the trial court found that husband and intervenor discussed their partnership business and other business at least on a weekly basis since August 30, 1985, and met in California on September 25, 1985, to discuss business.
At a hearing on February 11, 1986, where husband’s counsel presented the second affidavit of husband regarding another marriage, the trial judge said:
I want to state this on the record: * * * to be quite honest with you, I think Mr. Fenner is making a mockery of this court. * * * I’m not going to hear any more motions by him or testimony by affidavit or otherwise by him and will consider him to be in total default until he does the following: he indicates that he is willing to personally appear here and account to this court for the money that he took out of this jurisdiction in violation of a court order and answer to this court for the fines for contempt that have been imposed on him. So far he’s done absolutely nothing to account to this court or to make an effort to personally appear or to answer to the fines that have been imposed by this court for disobeying the court order and taking property * * *. And the only way he can overcome that is a doctor’s statement by a psychiatrist or medical doctor that indicates that due to the physical or psychological reasons, he is totally unable to participate * * *.
We agree with the trial judge that husband had ample opportunity to avail himself of the resources of the court. This he willfully failed to do. Husband cannot now be heard to complain of any unfairness to him by the trial court. His failure to appear and defend himself can only be attributed to his own voluntary actions, and he must suffer the consequences of those actions. See Gonzales v. Gonzales. The trial court did not abuse its discretion in refusing to grant husband a continuance.
Intervenor
Husband also contends that he requested a continuance after the trial court allowed the intervenor to intervene on the day of trial. Husband stated he had no objection and agreed to the intervention, but sought a continuance to investigate and respond to intervenor’s claim. Husband’s counsel cites no transcript references or case authority for this issue in either his brief-in-chief or reply brief. See In re Adoption of Doe, 100 N.M. 764, 676 P.2d 1329 (1984) (issues raised in appellate briefs that are unsupported by cited authority need not be reviewed on appeal).
Further, as we understand the record, the trial court allowed the intervention only to determine whether the claim was a separate or community debt. The merits of intervenor’s claim were to be determined at a later date. As noted above, the granting of a continuance is within the discretion of the trial court. Gonzales v. Gonzales. Absent an abuse of discretion, we will not disturb the trial court’s ruling. In this case, even if counsel had provided us with authority for his argument, we would have found no abuse of discretion by the trial court.
FLORIDA PROPERTY
Husband owns real property located in Florida that was acquired before his marriage to wife. The trial court ordered husband to list this property for sale. When husband refused to sign the necessary documents, the trial court appointed a special master to act in husband’s stead. Husband contends that the trial court’s appointment of the special master was in error. We agree.
It is a well-settled rule that a court may not directly affect title to out-of-state property. Fall v. Eastin, 215 U.S. 1, 30 S.Ct. 3, 54 L.Ed. 65 (1909); Willis v. Willis, 104 N.M. 233, 719 P.2d 811 (1986); see also Annotation, Power of Divorce Court to Deal With Real Property Located in Another State, 34 A.L.R.3d 962 (1970). A court may, however, indirectly affect title to land in an in personam proceeding. Fall v. Eastin; Willis v. Willis. In doing so, it may determine whether property is community or separate. Willis v. Willis. A court may also order a party to convey land in another state and it may enforce that decree by process against the owner. Fall v. Eastin. What the court may not do is appoint someone other than the owner to convey that land. For in so doing, it would be allowing the special master to pass the land, thus directly affecting title. A court has “no jurisdiction to transfer the title to such lands by a sale and conveyance made through its master or commissioner.” Stewart Oil Co. v. Sohio Petroleum Co., 185 F.Supp. 765, 767 (E.D.Ill.1960).
Here it appears undisputed that the trial court had personal jurisdiction over husband. The trial court found husband was properly served with summons and a copy of the petition. Either husband or his attorney was personally served with copies of all motions in this case. Husband was represented by counsel at the numerous hearings and at the trial on the merits. Where the trial court has in personam jurisdiction of the parties, as it did here, the trial court may determine the equities in the out-of-state real estate and order parties to act, or refrain from acting, with regard to the property. Carpenter v. Car penter, 645 P.2d 476 (Okla.1982). Once husband refuses to act, however, the trial court cannot allow another to pass title, thereby divesting the owner of title. Kane v. Kane, 577 P.2d 172 (Wyo.1978). The trial court may find husband in contempt for refusing to obey the order to sell the property. See Hudson v. Hudson, 494 So.2d 664 (Ala.Civ.App.1986).
Wife is not without recourse, however, for she can look to the Florida courts to enforce her judgment against husband. “If the court has entered a decree of specific performance, but the conveyance has not been executed, the majority of states * * * will give effect to the decree.” Rozan v. Rozan, 49 Cal.2d 322, 330, 317 P.2d 11, 15 (Cal.1957) (en banc).
The trial court erred in relying on SCRA 1986,1-070 to appoint a special master to act for husband. Rule 1-070 was not designed to affect jurisdiction and generally operates only as to land within the jurisdiction of the court. 7 Pt. 2 J. Moore, J. Lucas & K. Sinclair, Jr., Moore’s Federal Practice 111170.02 and -.03 (2d ed. 1986). We must, therefore, reverse the trial court on its appointment of the special master in this case for the sale of the Florida property.
CLAIMED TRIAL ERROR
Debts
Husband contends that the trial court erred in assigning income tax liability and intervenor’s claim as his separate debts. Husband’s counsel provides no transcript references or case authority for his argument. Counsel cannot baldly assert that we reverse the trial court “as a matter of fundamental fairness, due process, and equal protection” without providing discussion or authority. Although the trial court, upon dissolution of a marriage, has a duty to determine whether debts and obligations incurred by the parties during coverture are community or separate debts, husband has failed to demonstrate on appeal that the trial court’s ruling was unsupported by substantial evidence, nor has husband shown that he requested a finding of fact on this issue. See NMSA 1978, § 40-3-9(A) (Repl.1986). Wife’s counsel also fails to provide authority for the merits of her discussion on this issue. Under these circumstances, the trial court’s findings will not be disturbed. Gonzales v. Gonzales; In re Adoption of Doe. We note that our decision may not preclude the Internal Revenue Service from a different determination of wife’s income tax liability for the years in which the parties failed to file a return.
Property Division and Alimony Award
Husband finally contends that the trial court erred in its distribution of property and award of alimony. We have reviewed husband’s requested findings of fact and have determined that he wholly failed to request any specific findings on these issues. “A party will waive specific findings of fact and conclusions of law if he fails to make a general request therefor in writing, or if he fails to tender specific findings and conclusions.” SCRA 1986, l-052(B)(l)(f) (emphasis added); Wagner Land & Inv. Co. v. Halderman, 83 N.M. 628, 495 P.2d 1075 (1972). Failure to tender specific findings waives review of the findings on appeal. McNabb v. Warren, 83 N.M. 247, 490 P.2d 964 (1971).
Even if husband had tendered specific findings, he does not appear to challenge the findings based on lack of substantial evidence. Rather, he appears to urge another result. “The test to be applied on appeal is whether there is substantial evidence to support the trial court’s ruling, not whether there is evidence to support a different result.” Alfieri v. Alfieri, 105 N.M. at 377-78, 733 P.2d at 8-9. Because husband failed to request specific findings, we will not review the trial court’s decision on these issues.
In closing, we caution husband’s counsel regarding violations of our appellate rules. Husband provided no citations to the parts of the record and transcript he relied on, a violation of SCRA 1986, 12-213(A)(l)(c) and (A)(2). Technically, we have no duty to entertain any of husband’s contentions on appeal due to this procedural violation. See Bilbao v. Bilbao, 102 N.M. 406, 696 P.2d 494 (Ct.App.1985). Husband’s counsel also failed to provide case authority for several of his issues, a violation of Rule 12-213(A)(3). We remind counsel that we are not required to do his research. In re Adoption of Doe. We will not review issues raised in appellate briefs and unsupported by cited authority. Id. As in Bilbao, counsel would be well advised to read and follow the appellate rules to avoid future violations.
We reverse the trial court’s appointment of a special master, and we affirm on all other issues. Husband shall pay the costs of his appeal, but we award no additional attorney fees to wife.
IT IS SO ORDERED.
DONNELLY, C.J., and GARCIA, J., concur. | [
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OPINION OP THE COURT.
HANNA, J.
— This is a petition for a writ of mandamus directed to the State Auditor, Hon. Wm. G.- Sargent, directing him to draw a warrant in the sum of $17,798.62, against the state road fund, being the whole of said fund. The State Auditor has refused to draw said warrant on said fund upon the ground that the petitioner has no lawful right to draw all of the money to the credit óf said fund, and to permit the drawing of said fund in the manner sought to be availed of would be contrary to public policy, and that therefore he should not be compelled to draw the warrant demanded. The State Auditor further contends that the State Highway Commission has no authority to pay out moneys in any way other than by vouchers presented to the. auditor, showing the exqoress purchases or payments of wages or salaries as provided by law, upon which vouchers the auditor draws warrants on the treasurer.
Other matters are set up by the petition herein relative to the future disbursement of the proceds of a bond sale now under negotiation, which will be deposited in said road fund at an early date if such sale be consummated; but we are unable to consider these matters, as they are not at 'present properly before the court for consideration, although the conclusion arrived at in this case as to- the authority in the State Highway Commission as to the control of said road fund may be decisive of the future right of said commission to draw against said fund until the Legislature shall make other and different provisions for the control of said fund.
No authority is cited to us upon the question presented, and by reason of the fact that the question resolves itself into one purely of construction of local statutes, somewhat novel in their nature, it is not to be expected that, authority in point could be found which might prove of value as a guide to the solution of the question.
'The question presented is essentially whether or not the State- Highway Commission has an absolute right of control over the road fund, and may direct the withdrawal of said fund from the state treasury prior to an accounting therefor, such as i-s usually required by voucher and itemized showingyof expenditure. It is contended that no such control in the Highway Commission exists, and that it has no-authority to pay out moneys other than by drawing voucher showing the express purchase or payments as provided by law. This contention is based upon the original act creating the office of State-Engineer. Chapter 49, Laws of 1907. By section 7 of said act last referred to, as tbe same appears in tbe Code of 1915, § 5660, it is provided:
“All claims for services rendered, expenses incurred, or materials or supplies furnished under the direction of-the State Engineer and which are payable from the funds appropriated for the prosecution of the work under his direction and supervision, shall be approved by the State Engineer and properly vouchered and filed in the office of the State Auditor, who shall, if he finds the same to have been incurred in accordance with the law, audit and allow such claims and issue his warrant on the treasurer in payment ■thereof.”
This provision standing alone would be conclusive in the matter, and clearly show an intention on the part of the Legislature to require an accounting by the State Engineer and his subordinates for all disbursements in the same manner as such accounting is required from other state officers. In fact, by section 5 of the same legislative act it was provided that:
“The salaries and expense of the office of the Territorial Engineer shall be paid at the same time and in the same manner as those of other officers of the territory.”
It is to be borne in mind, however, that this act provided for the creation of the office of Territorial Engineer and Board of "Water Commissioners, and to provide for the - conservation and regulation of the use and distribution of water in New Mexico.
An administrative office, that of Territorial Engineer, for the purpose indicated was created, and ample provision made therefor; but nowhere does it appear in said act that the administration of public roads or highways was then contemplated.
A previous act relating to public highways (chapter 124, Laws 1905) has been passed by the Legislature of New Mexico, comprehensive in its scope, and repealing prior acts in conflict therewith. By this act the main tenance and repair of all public highways was left to the respective counties in which the same were located, and the board of county commissioners was directed to create suitable road districts, and appoint a road overseer for each district. In the year 1909, the Legislature, by chapter 42 of the laws of that session, created a Territorial Loads Commission, to be composed of three members, which commission was given general charge and supervision of all highways and bridges in the territory which were then constructed and maintained in whole or in part by the aid of territorial money; it being further made the duty of such commission to construct, repair, and maintain at the expense of the territory, in whole of in part, such public roads and highways within the territory as in their judgment would best subserve the interests of the general public. To provide for the expenses of carrying out the provisions of that act, the commission was authorized and empowered to cause to be levied annually a tax of not to exceed one mill upon the dollar of taxable property in the territory, to constitute what should be known as the road fund, “which fund shall be subject to the orders of the road commission.” See section 2642, Code 1915.- This act of 1909 was largely amended by chapter 54, Laws of .1912; it being first provided by the latter act that the commission should be known as the State Highway Commission, and that, in addition to the powers and duties prescribed by the act of 1909, the commission “shall have charge of all matters pertaining to the expenditure of the state road fund in the construction, improvement and maintenance of public roads and bridges in the state and shall do all things necessary and expedient in the exercise of such supervision.” Section 2, e. 54, Laws 1912; section 2632, Code 1915. The commission was given larger powers in connection with public highways than had theretofore been granted to the Territorial Commission, and the act of 1912 further provided for the creation of county road boards with certain jurisdiction over county roads; such county road boards, however, being directed, in laying out the county system, to co-operate with, and be advised by, the State Highway Commission. So it would appear that the State Highway Commission was in effect created the highest authority as to public highways in the state; the county road boards being in fact required to make annual report to the Highway Commission, and such other reports as might be called for by such commission. The commission was given authority to employ, remove, and fix salaries of engineers, experts, clerks, stenographers, and temporary employés, as might be necessary to carry on this work. And in this connection it is a matter of common knowledge, which is borne out by the records of the State Highway Commission, that numerous road camps have been established in different parts of the state, and that a large number of employés have been engaged under the direction of the Highway Commission in the construction of highways and bridges. These road camps and employés have entailed the expenditure of large sums of money for supplies and materials which have been purchased from time to time as needed, and at points nearest the place where the supplies and materials were required. The character of this state work has been such as to require the prompt payment for such materials and supplies, and it is apparent that the business could not be conducted in the usual manner required for state business. In other words, it would not be feasible to require that all the items of expenditure made-necessary by the construction of the public roads and bridges should be itemized and vouchered and paid through the State Auditor by a warrant drawn upon the State Treasurer as is ordinarily done in the expenditure of other state funds. The necessities of the public work in question would seem to require a different method for the disbursement of the so-called road fund, and we must assume that the Legislature understood the conditions referred to, and intended to give to the State Highway Commission a larger authority in the matter of the disbursement of the fund in question than has been given to other state officials or institutions with respect to the disbursement of funds placed in their charge.
As pointed out by the petition filed herein, it has been customary for the petitioner to request the auditor to draw warrants payable out of the said road fund in the sum of $10,000, each of which warrants has presumably been placed 'to the credit of the commission, and drafts made upon such deposit for the payment of expenses as required. This has been done by reason of the necessities of the case, if not by reason of the construction of the act in question, by the officers charged with the responsibility for its administration.
We do not believe that the narrow construction contended for, and based upon the act of 1907, creating the office of Territorial Engineer, at which time it is pointed out the Legislature did not have in mind the duties which have since devolved upon the State Engineer and the Highway Commission of which he is a member, with respect to the administration of public roads and highways, should be adopted. The subsequent acts of the Legislature of .1909 and 1912 indicate clearty a legislative intent to enlarge the powers of the Territorial Commission and its successor, the State Highway Commission, in the matter of the control of the so-called' “road fund.” By the act of 1909, it was provided that the road fund should be subject “to the orders of the road commission.” Evidently this authority was not deemed sufficient, and in 1912 the Legislature (section 2, c. 54) enlarged this power and provided that the commission “shall have charge of all matters pertaining to the expenditure of the said road fund in the construction, improvement and maintenance of public roads and bridges in the state, and shall do all things necessary and expedient in the exercise of such supervision.”
Can it be said that the drawing of this fund, and the placing of it in banks throughout the state, subject to chock by the Highway Commission, or its designated officers, in'order that the bills created in connection with the road work in all parts of the state may be promptly met, is not a thing necessary and expedient in the exercise of the supervision ovef such funds? We do not think so. And we are of the opinion that the State Highway Commission, in the exercise of its control over the -said fund, and its authority to do all things necessary and expedient in its supervision of the expenditure of the said fund, may order all of said fund or any part thereof to be drawn from the state treasury by proper warrant of the State Auditor to be disposed of as directed by the State Highway Commission. While a question may be raised as to the public policy involved in permitting what might be termed a loose administration of public funds, yet it is not for us to criticise or construe the acts in question by virtue of our opinion as to such administration. If the administration of the fund in question is objectionable, it is for the Legislature to make different provision therefor, hut as we construe the act of 1909, and the act of 1912 there is at the present time existing in the State Highway Commission ample authority to- claim the right here sought to be invoked, and the petition of said commission that the State Auditor be directed by a writ of mandamus issuing out of this court- to draw the warrant for $17,798.62 must be granted, and it is therefore ordered that the writ issue.
Parker, J., concurs.
Roberts, C. J., being absent, did not participate in this decision. | [
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] |
OPINION OP THE COURT.
PARKER, J.
— -The defendant in error will be referred to as plaintiff, and the plaintiffs in error as defendants, as they were situated in the court below.
One Jennie Schaeffer was the owner of an office building-in the city of Santa Fé, and had employed defendants to install a stationary washstand, and to connect the same with the waterworks system of the city, which was done, and the work accepted by the owner. During said time plaintiff was the tenant of the owner, and maintained his office for the practice of his profession of physician and surgeon in the room where the washstand was installed. In making such installation, it became necessary to remove a board from the floor extending out from rear to front of the washstand. This board was replaced, after the installation, in such a manner that, when plaintiff stepped upon it while attempting to procure a glass of water for a patient, it gave way and injured the plaintiff by allowing his foot and leg to go through the floor. The washstand. was installed April 9, 1912, and the plaintiff, used the same with safety until July 4, 1912, when the accident occurred. The washstand was installed close to the northwest corner of the room and plaintiff ordinarily approached the same from the south side, thus not stepping upon the board in question, at least not with his full weight. On the occasion of the accident he approached the washstand from the east or front of the same, and placed his whole weight upon the board, and it gave way under him. The defect in replacing the board consisted in failing to support the end, which extended out to the front of the washstand, with a cleat nailed to a joist, as was necessary to render it safe; the end of the board not reaching quite far enough to- rest upon the joist. . .The case was tried to a jury and resulted in a verdict for plaintiff.
The theory upon which the case was submitted to the jury is stated, in instruction 8a, and is,to the effect that the defendants were independent contractors, as shown by the pleadings, and that the general rule of law is that they were not liable to third persons for injuries received, due to defective work after the same has been completed, turned over to and accepted by the owner, unless the work was so performed and in such a place as to constitute a nuisance per se, or so negligently defective as to be imminently- dangerous to third persons. In addition to the general verdict, the jury made special findings, among which are the following:
“Question No. 1. State whether you find that, at the time plaintiff fell through the floor, he approached the washstand in an unusual manner, and thereby imposed upon the board alleged to have given way an unusual and extraordinary weight. Answer to Question No. 1. No.”
Question No. 2. State whether you find the board was replaced with sufficient firmness -and security to permit its being used ordinarily without danger to a person of ordinary weight and such person using the same in an ordinary manner. Answer to Question No. 2. No.”
“Question No. 3. State whether you find there was imminent danger resulting from the manner in which the board in the floor was replaced to any person of ordinary weight in approaching and using the basin and stepping upon the said board in a normal and ordinary way. Answer to Question No. 3. Yes.”
“Question No. 5. State whether you find that the defendants knowingly, intentionally, willfully, maliciously, and fraudulently replaced the board so that the same could not sustain the weight of a person of ordinary weight stepping upon it. Answer to Question No. 5. No.”
Defendant moved for a judgment non' obstante veredicto, which motion was denied, and judgment was rendered on the general verdict. The motion for judgment non obstante was based upon the special finding No. 5, above set out.
It thus appears that defendants'were independent contractors, completed their contract, turned over their work to the owner, and the same was accepted by her. They had no contractual relations with the plaintiff, and owed him no contractual duty. It further appears from the special findings that they did not “knowingly, intentionally, willfully, maliciously, and fraudulently” replace the board so that it would not sustain the weight of an ordinary person stepping upon it. This squarely raises the question of the liability of independent contractors to third persons after they have completed their work, and the same has been accepted by the owner.
The general rule upon this subject may be stated as follows: Where an independent contractor is employed to construct or install any given work or instrumentality, has constructed or installed the same, the same has been received and accepted by the employer, and the contractor has been discharged, he is no longer liable to third persons for injuries received as a result of defective construction or installation. 2 Cooley on Torts (3d Ed.) p. 1486; 1 Thompson, Neg. (2d Ed.) § 686; 29 Cyc. 478; 16 A. & E. Ency. Law, 209.
Certain exceptions to the general rule above stated exist, and they may be divided into two general classes, viz.: (1) Those where the thing dealt with is imminently dangerous in kind; and (2) those where the thing dealt with is not imminently dangerous in kind, but is rendered dangerous by defect.
In the first class of cases the thing dealt with is so imminently dangerous in kind as to imperil the life or limb of any person who uses it. In such circumstances, the manufacturer owes a positive duty to every person into whose hands the thing shall lawfully come and be used in the ordinary manner in which it was intended for use. The liability arises out of the public duty to protect every one to whom the thing shall lawfully come for its intended use, against the certain disaster which must result if proper care is not used. The degree of care exer eised must be, at least, in proportion to the peril involved. 2 Cooley on Torts (3rd Ed.) p. 1488. Familiar examples of such things are poisonous drugs incorrectly labeled, patent medicines containing harmful ingredients, hair-dressings which injure health, dangerous chemicals, unwholesome food, a defective gun, explosives,' and the like. See Thomas v. Winchester, 6 N. Y. 397, 57 Am. Dec. 455, which is a leading case; Blood Balm Co. v. Cooper, 83 Ga. 457, 10 S. E. 118, 5 L. R. A. 612, 20 Am. St. Rep. 324; Bishop v. Weber, 139 Mass. 411, 1 N. E. 154, 52 Am. Rep. 715; Faro v. Remington Arms Co., 67 App. Div. 414, 73 N Y. Supp. 788; 2 Cooley on Torts (3rd Ed.) p. 1488; 29 Cyc. 480.
In such cases, not only must the highest degree of care and skill be empkyed by the manufacturer or vendor, but the law will not tolerate the slightest negligence on his part. It is a necessary rule of law, so that the health and lives of the people may not be jeopardized. With this class of cases, however, we have nothing to do in this case; the instrumentality in question here not being inherently dangerous in kind.
The floor board was rendered dangerous by reason of the defective method of replacing and supporting it. The jury found, specially, that the defect rendered it imminently dangerous to use the washstand in the regular and ordinary way.
In this class of cases, entirely different principles govern. In the first place, the defendant must know of the defect and its dangerous character. Under the proofs in this case, the defendants had no actual knowledge' of the defect; the board having been replaced by their employe and servant. Their knowledge of the defect, if they are to be held to have any, must be imputed to them by reason of the act of the employé within the scope of his employment. That knowledge of the defect and the danger in such -cases is necessary, see 29 Cyc. 482, 2 Cooley on Torts (3rd Ed.) p. 1489, 1 Shearman & Eedfield on Negligence (6th Ed.) § 117, and the following cases:
In O’Neill v. James, 138 Mich. 567, 101 N. W. 828, 68 L. R. A. 342, 110 Am. St. Rep. 321, 5 Ann. Cas. 177, a manufacturer of champagne cider sold the same to the employer of the plaintiff, but was not shown to have had knowledge that the bottle, which exploded, was improperly charged with gas, and he was held not liable. The court said:
“It will be observed that, where no contractual relations exist, the doctrine is recognized that there must be knowledge of the dangerous character of the thing sold, before defendant can be held liable, and this doctrine is recognized in all the cases to which our attention has been called. * * * The plaintiff knew that champagne cider, as ordinarily manufactured and sold, was charged with a gas. As we have before stated, there is no proof from which the inference might be drawn that defendant had knowledge that the bottle was improperly charged. •* *• * Under the facts disclosed by the record, a verdict should have been directed in favor of defendant.”
The court refers to and quotes from Weiser v. Holzman, 33 Wash. 87, 73 Pac. 797, 99 Am. St. Rep. 932, which was another case of an exploding champagne cider bottle, and arose on demurrer to the complaint. The complaint alleged that the respondent manufactured, sold, and delivered to one Pratt, under the name of champagne cider, a dangerous explosive, knowing it "to be such, without warning Pratt of its dangerous character, and that the defendants willfully, carelessly, and negligently manufactured and bottled the said champagne cider, and failed to properly charge the said cider with the proper amount of carbonic acid gas, and other substances used in manufacturing and bottling, the same. There was a direct charge of knowledge on the part of the defendant in this ease, and the court held that the complaint stated a cause of action for that reason, and for the further reason that the champagne cider was alleged to be a dangerous explosive. The court cited many cases.
It is to be noted that in the case from Michigan, supra, the bottler of the cider was the only person who had knowledge of the defect, if there ivas one,, and the court refused to impute such knowledge to the manufacturer, and held, in effect at least, that the knowledge must be actual knowledge before liability would arise.
In. the Washington case, supra, as before seen, the question arose on demurrer, and the complaint alleged knowledge.
Slattery v. Colgate, 25 R. I. 220, 55 Atl. 639, arose on demurrer to the declaration, which failed to allege knowledge, on the part of defendant, of the excess of alkali in shaving soap put upon the market by it, and which injured the faces of plaintiff’s customers at his barber shop, whereby he lost his business. The court said:'
“The whole subject of the responsibility of a manufacturer to iDersons using his products, on account of defects therein, has been recently fully discussed by this court in McCaffrey v. Mossberg & Granville Mfg. Co., 23 R. I. 381, 50 Atl. 651, 91 Am. St. Rep. 637. We think the case can only be sustained if it can be brought Avithin the second class referred to there (the article involved not being an inherently dangerous one, but one which may have become so by the acts or neglect of the manufacturer), in which case he is not liable unless he knows of the defect and practices deceit in exposing the defective product for sale. Alkali of some kind is a necessary ingredient of soap; and it is no deceit to include it in the manufacture of the article for the market. It is only the excess of alkali that can render the compound hurtful to the human skin. Unless the defendants knew of this excess, they cannot be held liable. It is not alleged that they had this knowledge, only that they were negligent.”
In the former case of McCaffrey v. Mossberg, etc., Co., the plaintiff was in the employ of a manufacturing jeAVeler, and while engaged in operating a drop press, in which was a heaAry weight held by a hook, the hook broke, and the weight fell upon his hand and injured it. The defendant manufactured the machine and sold it to the employer of the plaintiff. 'The machine was negligently built and defective in this-: That the hook was made of iron of steel of poor quality, and of insufficient size. The hook had been improperly welded, having cracks or crevices through the hook. The defendant knew, or had reason to know, and but for want of reasonable care would have known, that the machine, when it was sold, was .a dangerous appliance. The defendant demurred to the declaration. The -court, in passing upon the sufficiency of the declaration, divides the cases which form the exceptions to the general rule into three classes, as follows :-
“(1) Where the thing causing the injury is of a noxious or dangerous bind; (2) where the defendant has been guilty of fraud or deceit in passing -off the thing; (3) where the defendant has been negligent in some respect with reference to- the salé or construction of a thing not imminently dangerous. The principle that governs the first class of cases is that one who deals with an imminently dangerous ■ article owes a public duty to all to whom it may come, and whose -lives may be endangered thereby, to exercise caution adequate to the peril involved * * * A similar principle governs the second class of cases, in which the degree of danger in the thing itself may be less, but where the seller actually knows of the danger in the article and puts it forth by some fraud or deceit. In such cases the breach of duty grows out of the fraud or deceit in the sale, and it extends to persons injured thereby, who may reasonably be deemed to be within the contemplation of the parties to the transaction. * * * The third class of cases relating to the sale of a thing not in its nature dangerous rests on the principle that as to such things there is no general or public duty, but only a duty which arises from contract, out of which no duty arises to strangers to the contract:”
The court, after an exhaustive review of the cases, summarizes the doctrine as follows:
“We think that the result of the cases on this subject clearly establishes the weight of authority in favor of the rule that where the cause of the injury is not in its nature imminently dangerous, where it does not depend -upon fraud, concealment, or implied invitation, and where the plaintiff is not in privity of contract with, the defendant, an action for negligence cannot be maintained.”
In Marquardt v. Ball Engine Co., 122 Fed. 374, 58. C. C. A. 462, an opinion by Day, Circuit Judge, the same principle is applied to a case of injury by the breaking of a fly-wheel on an engine, by reason of the defective working of a valve. ■ The court points. out that there was an entire lack of proof that the makers knew or ought to have known that the use of such a valve was immediately or imminently dangerous to human life or safety, so as to make it a breach of duty owing to strangers to supply it to a customer who might use it in a business in which third persons would be employed.
In Zieman v. Kieckhefer Elevator Co., 90 Wis. 497, 63 N. W. 1021, the Supreme Court of that state applied the same doctrine to a defective elevator, which fell and injured an employe of the purchaser of the elevator, and, for the lack of proof of knowledge of the defect, denied relief to the plaintiff.
In Heizer v. Kingsland, etc., 110 Mo. 605, 19 S. W. 630, 15 L. R. A. 821, 33 Am. St. Rep. 482, the plaintiff brought an action for damages against the manufacturer of steam threshing machines, to recover damages for the death of her husband, who received injuries from which he died, while assisting in operating a machine sold by the defendant to another person. The injury was caused by the cylinder of the thresher flying into pieces, one of which struck the deceased above the eye and killed him. The petition stated that the defendant knew, when it constructed the machine, it would be used and operated by a number of persons in the employment of the person to whom it should be sold; that the defendant warranted the same to be free from defects and of first-class material; that the cylinder was made of poor material, was defective in construction, and was too weak to stand the ordinary strain — all of which defects were known to the defendant’s agents at the time of the sale. The court held the defendant not liable upon the ground that there was no evidence that it knew that the cylinder was defective, and for that reason dangerous. The case points out that where nothing more than negligence is shown, no right of action arises in favor of strangers to the contract.
The case of Schubert v. Clark, 49 Minn. 331, 51 N. W. 1103, 15. L. R. A. 818, 32 Am. St. Rep. 559; was a case of a defective step-ladder. The defect arose out of the use of poor, crossgrained, and decayed, lumber, and the defendant knew that fact, and that the ladder was not of sufficient strength to stand the weight of a person using-it. Neither the plaintiff nor any of the persons through whose hands the stepladder had passed from the manufacturer down to the user, the plaintiff, knew of the defect, and the same was concealed by the ladder being painted and varnished so that a person could not discover its defects. . A demurrer was interposed to the complaint and overruled, and the defendant appealed, and the declaration was held to state a cause of action.
In Huset v. J. I. Case Threshing Machine Co., 120 Fed. 865, 57 C. C. A. 237, 61 L. R. A. 303, a review is made of the authorities and principles governing this class of cases, and Circuit'Judge Sanborn points out clearly thafc knowledge of the defective and dangerous condition of the instrumentality must be present with the manufacturer when he puts the thing out, in order to create a liability on his part to third persons, in those cases where-the instrumentality is not in and of itself inherently dangerous to human life.
In Tom v. Nichols-Fifield Shoe Machinery Co. (C. C. A.) 215 Fed. 881, plaintiff’s employer purchased a die-cutting machine from defendant, to be set up and operated in his factory, and plaintiff, while operating the machine in the course of his duty, was injured by the fall of a heavy head piece, due to a defect in the machine, or failure to properly adjust same when it was set úp by defendant’s employés. Defendant knew that it was an imminently dangerous instrumentality when it set it up, and not only eoncealed the defect, but gave the purchaser and his employés to understand that it was safe. The ■court cites the Huset case in 120 Fed. 865, 57 C. C. A. 237, 61 L. R. A. 303, and holds the defendant liable upon the ground of knowledge of the defect and its dangerous ■character.
In O’Brien v. American Bridge Co., 110 Minn. 364, 125 N. W. 1012, 32 L. R. A. (N. S.) 980, 136 Am. St. Rep. 503, the court, after an exhaustive review of the English and American cases, held the contractor liable to third parties, because the bridge was an imminently dangerous instrumentality by reason of defects in construction, and because the defendant had actual, at least imputed, knowledge of the defects and the dangers.
The same principles were applied in Pennsylvania Steel Co. v. Elmore & H. Contracting Co. (C. C.) 175 Fed. 176, and in Casey v. Wrought Iron Bridge Co., 114 Mo. App. 47, 89 S. W. 330. These bridge cases might be weLl classified, it.seems to us, as instrumentalities inherently •dangerous in kind, in which case the law will not tolerate even plain negligence in the construction of the same to the damage of the members of the public. In fact they are so classified in Pennsylvania Steel Co. v. Elmore & H. Contracting Co. (C. C.) 175 Fed. 176, supra; the court saying:
.“In my judgment it is immaterial that the" dangerous'thing made and turned over for use by others known to the maker is a structure; such as piers for a bridge, instead of some article of commerce, such as naphtha, or a drug, or a chemical compound.”
See, also, exhaustive notes to Woodward v. Miller, 119 Ca. 618, 46 S. E. 847, 64 L. R. A. 932, 100 Am. St. Rep. 188, and Thornton v. Dow; 60 Wash. 622, 111 Pac. 899, 32 L. R. A. (N. S.) 968.
In this connection it is to be remarked thatknowledge of a defect and its dangerous character often evidences malice, deceit, or fraud. If an independent contractor knowingly puts out an instrumentality so defectively constructed as to be a menace to life, or calculated-to cause great bodily harm to any one who uses it, lie must have some reason for so doing. He may have mal-' ice toward some person or persons who will probably use-the instrumentality; or he may desire to cheat and defraud his employer to his own profit, as in the bridge case, where mud, instead of cement, was used. On the other hand, he may have neither of such bad motives. In either event, with or without bad motives, if he has knowledge of the defect, and its dapger, he will be liable and will be held to intend all the natural, usual, and probable consequences- of his act.
Further in this connection we have said that knowledge of the defect and danger are required. We do not overlook the doctrine that negligence may be so gross and inexcusable as to show wanton disregard of the rights and interests of others. The defendant may not actually know of the defect and danger on account of his negligence, but that negligence may be so aggravated and outrageous, under the circumstances, as to show a willingness, if not an intent, to injure others. Hence we see the expressions “knew or ought to have known,” “should have known,” “must have known,” and the like, in books. The cases are not always clear as to the principle upon which the doctrine rests. The doctrine is not involved in this case, and we do not deem it proper to discuss it or define its limit. It may be suggested, however, that the doctrine might rest upon the consideration that where-the facts are such as to show that the defendant was so situated with reference to the instrumentality that the defect and' its dangerous character must be apparent to him, if he would look, then knowledge may be imputed to him. In other words, such circumstances are evidence of knowledge, and in most cases they will amount to-proof of the sanie.
Tlie words “ought to have known” or “should have known” are more properly applicable to cases of negligence only, while '“must have known” express more nearly and properly the idea we have been discussing. . If the defendant must have known, he did know, in legal contemplation. In discussing this exception to the genera) rule, Judge Cooley says:
“If the defendant knew of the defective construction, then the case falls within the exception last stated; but if the defendant ought to have known and did not, which is all that the complaint positively alleges, then it was a case of simple negligence, and the decision would seem to be at variance with the general rule.” 2 Cooley on Torts (3rd Ed.) 1491.
Another principle or doctrine is sometimes, invoked to create liability to strangers on the part .of an independent contractor, and it is what is mentioned as the doctrine of implied invitation. It is thus stated by Judge Cooley:
“Another exception to the general rule wliich-. the authorities seem to establish is that-where one undertakes with another to construct a place for the doing of certain work, such as a scaffold or staging, he will be liable to any who while, us-, ing the place in the performance of such work, are injured by reason of negligence or defective construction. There is some difference of opinion as to the grounds of liability in these cases, but implied invitation is the prevailing one.”.. 2 Cooley on Torts (3d Ed.) 1491.
For a fine discussion of this doctrine and of the 'cases in which it has been applied, see Bright v. Barnett & Record Co., 88 Wis. 299, 60 N. W. 418, 26 L. R. A. 524.
With this doctrine we have nothing to do in this case. There was no implied invitation here. The instrumentality was not specially prepared for a particular purpose, nor for any particular person. It was an ordinary plumbing job, negligently performed. If the plaintiff: can re cover, then any other tenant of the owner of the building may do the same, now or at any time in the future.
There is a conflict of authority as to the applicability of the doctrine of implied invitation. Some of the cases and text-writers limit its application to the owner of buildings and structures upon his own premises which are negligently constructed so as to become imminently dangerous. See Huset v. J. I. Case, etc., Co., 120 Fed. 865, 57 C. C. A. 237, 61 L. R. A. 303. This limitation is denied in Pennsylvania Steel Co. v. Elmore & H. Co. (C. C.) 175 Fed. 176.
It is further to be observed that, where the contractor constructs a building or an instrumentality of the class here in question, it is doubtful whether the contractor could, in any event, be liable to third persons, after he has turned over the work to . his employer. When the work is completed to the satisfaction of the owner and employer, he takes over the same and adopts the same as his own. Thereupon he assumes a duty, to those whom he invites to use the same, to take care that the thing is free from dangerous defects. If the owner knows, or by the exercise of- reasonable care he could discover tjie defect, in such case, his-negligence intervenes and cuts olí the casual relation between the fault of the contractor and the injury. See Curtin v. Somerset, 140 Pa. 70, 21 Atl. 244, 12 L. R. A. 322, 23 Am. St. Rep. 220; Daugherty v. Herzog, 145 Ind. 255, 44 N. E. 457, 32 L. R. A. 837, 57 Am. St. Rep. 204; Presbyterian Congregation v. Smith, 163 Pa. 561, 30 Atl. 279; Miner v. McNamara, 81 Conn. 690, 72 Atl. 138, 21 L. R. A. (N. S.) 477.
In Presbyterian Congregation v. Smith, supra, it is said:
“The Pennsylvania rule, dedueible from all the the cases$ is that if the employer, at the time he resunies possession of the work, from an independent contractor, knew, or ought to have known, or 'from a careful examination could have known, that there was any defect in the work, he is-responsible for any injury caused to a third person by defective construction.”
In Miner v. McNamara, supra, the owner received from the contractor a building which he knew to be structurally weak by reason of defects and leased,- it to. a tenant. The tenant sued the contractors, and they were held not liable. The decision is based upon the doctrine that the intervention of the negligence of the owner cut off the cs(y{|al relation between the negligence of the contractor and the injury of the plaintiff. It is to- be remarked that in this case both the contractor and the owner knew that the building was structurally weak and dangerous-.
In this connection we wish to say that there seems to be much unnecessary obscurity in the eases, due. we believe, to a lack of discrimination between negligence and tort. If an independent contractor manufactures an instrumentality defectively, and the defect renders the same dangerous, and he does not know of the defect and its dangerous character, by reason of his failure to exercise due care, he is guilty simply of negligence. In such ease he is liable only on his contract. But if he. knows of the defect and its dangerous character, and puts out the thing, in deceit, fraud, malice, or perhaps other bad motive, he is not guilty of negligence at all. In such, circumstances, the transaction leaves the field of negligence and passes into the domain of intentional tort. In such case, he may be liable to strangers to the- contract for the usual, natural, and probable consequences of his act, provided no other conscious human agency intervenes and cuts off the casual relation between the tort and the injury-
Applying the doctrines and principles heretofore outlined to the facts in this case, it is clear that the defendants were not liable. They had no contractual relations with the plaintiff, and owed him no contractual duty. There is no evidence that they knew of the defect and its dangerous character. They were guilty simply of negligence. There is no implied invitation on their part io use a dangerous instrumentality. In such circumstances, the independent contractor is not to be held liable.
For the reasons stated, the judgment of the court below will be reversed, and the cause remanded, with instructions to award a new trial; and it is so ordered.
Roberts, C. J., and Hanna, J., concur. | [
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] |
OPINION OP THE COURT.
HANNA, J.
(after stating the facts as above) — Appellant contends that the question's before us for determination are:' First, did appellant neglect to support appellee, 'his wife, according to his means, ability, and station in life? Second, if appellant did neglect to support h:s wife according to his means, ability, and station' in life, was 'that neglect intentional on the part of appellant? Third, does unintentional neglect to support a wife entitle' her-u-nder the laws of New Mexico to divorce? ■
We believe the first question is fully disposed of by the findings of the court, numbered 7 and 8, there being, in our opinion, alter a very careful consideration of the record, very substantial evidence to support the findings. In these findings the court said:
“(7) While some testimony ivas offered in behalf of the defendant tending to show that he is not strong physically, and unable to perform hard labor, the testimony offered by the plaintiff showed numerous occasions when the defendant refused to work when he was able to work; that ho refused to work when it was offered to him; that he left work that he might have continued; and that he did not make earnest or consistent efforts to find work when he was out of employment.
"(8) I find that the privations which this family has suffered are due, in large degree, to the indolent and shiftless disposition and habits of the defendant, and to his averseness to work, and that, had the defendant been so disposed, he might have provided for his family the necessities of life.”
It might be said that these findings further support the view that the neglect of the defendant was intentional, in that it appears that the privations suffered by his family were due in a large degree to his shiftless disposition and his averseness to work, and had 'he been so disposed he might have provided his family with the necessities of life. This being true, there would be no reason to inquire as to whether unintentional neglect to support a wife entitled her, under our laws, to a divorce: that element of the case not being present.
We are not aware of the fact that it has been quite1 generally held by the authorities in this country that a mere failure to support is not of itself a substantive ground for divorce. Some jurisdictions 'have -held 'that failure to support may, in connection with other circumstances, constitute cruelty, while other states, including New Mexico, have made the husband’s failure to‘support the wife an independent ground for divorce, unless per haps she has forfeited her right to maintenance by her own misconduct.
The sixth ground for divorce, under section 22, c. 62, Laws of 1901, reads as follows:
“(6) Neglect on the part of the husband to support the wife, according to his means, station in life, and ability.”
It is contended by appellant, and is not'disputed by appellee, that such means as appellant had, during the years in cjuestion, or such sums as he earned, he devoted to the support of his familiy. There is no controversy as to whether or not the support provided, such as it was, was in accordance with the station in life of the defendant. But there is serious controversy as to whether or not the failure to support was the result of a lack of ability, or in violation of his ability so to do. Appellant claims that, so far as he has failed to support the appellee and the minor children born of the marriage, this, has been due to his lack of physical ability, in that he has not been a strong man, and that he has worked hard and to the extent of his physical capacity, which has been curtailed at times by reason of his ill health and physical weakness; that his failures have not been due to intentional neglect on his part; and that he has worked to the full extent of his physical capacity. As pointed out, however, this contention is contrary to the findings of the trial court, and is, in our opinion, contrary to the evidence as disclosed by the record. We do not desire to discuss the evidence at large, but will refer to some portions of the evidence tending to contradict this contention of the appellant.
A Mr. Whitehill offered him work fixing fences and plowing, but he'declined for the reason that he was going to cut hay, and for two or three weeks he worked an hour a day, getting rake and mowing machine ready, during which time he might have been earning wages. He left his work with a Mr. Young on account of sickness, but after recovery, in a few days, made no effort to resume work. While he was idle several persons offered him work. One man offered two weeks5 work ?>1'$1.50 a day and.'board, but he would not work for less than $1.75. Another offered him carpenter work, but he refused, saying that he was looking for something better. A Mr. Gorman offered him work at $1.50 a day and 'board, telling him, however, that if he took the job he would have to work. Appellant said he wanted to rest and get ready for haying. He refused a well-drilling job at $2 a day and' board, saying that the job was too hard for $2 a-day. When urged by his wife to look for work, he replied-that the tbwn owed him a living, and if people wanted bin they knew where to find him. :
These instances, we believe, conclusively support the findings of the trial court, which we would therefore, not feel disposed to disturb.
We agree with appellant, were it shown that he" was unable by reason of physical incapacity to perform his duty of providing for the support of his wife and children, he could not be held responsible for his failure so to do.' This was held in the case of Baker v. Baker, 82 Ind. 146. But we are clearly of the opinion that, .under the provisions of section 22, c. 62, Laws 1901, making neglect on the part of the husband to support the wife according to his means, station in life, and ability, a ground for divorce, and it appearing that the husband had the mental and physical ability to provide for such support, and failing so to do by reason of his neglect or indifference, which facts appear from the record in the case, the wife is entitled to a decree of divorce.upon this ground, as set'forth in the statute.
Our attention has not been directed to any cases similar to the one under consideration but we find the following authorities supporting our view of the law,- as thus stated, to a very large degree: Whitacre v. Whitacre, 64 Mich. 232, 31 N. W. 327; Weishaupt v. Weishaupt, 27 Wis. 621; Thompson v. Thompson, 79 Me. 286, 9 Atl. 888.
This leaves perhaps but one element of controversy remaining in the case, at least from the standpoint of appellant, namely, that the failure to support was not intentional. Our answer to this contention is that' the evi deuce and the findings of the court support the conclusion . that .the appellant had the ability to support his family, by which is meant that he was physically able so to do, and mentally qualified so to do. And it likewise appears from the evidence and findings that he had the opportunity so to do, and neglected to avail himself of his opportunities. For which reasons we do not., believe it can be contended that his failure to support was unintentional, although we would be justified in assuming that the state of facts here presented would justify^ the conclusion that the failure was, as a matter of fact, an intentional one on the part of the appellant.
For the reasons stated, the judgment of the trial court is affirmed, and it is so ordered.
Roberts, C.. J., and Parker, J., concur. | [
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OPINION OP THE COURT.
EOBEETS, C. J.
— This is a companion ease to cause No. 1763, between the same parties, decided at the present term of this court, and involves only the right of Mayme E. Alldredge, the plaintiff in the court below, to release and satisfy the judgment entered in the court below, awarding her $1,000 as fees for her counsel, under the stipulation set out in the opinion in cause No. 1763, 151 Pac. 311. After the entry of such judgment, she gave to her husband a formal release and satisfaction of the judgment, which he filed with the clerk of the district court. Messrs. Studley and Spaulding thereupon filed a motion to strike the release from the files, which motion was sustained by the court. From the action of the court this appeal is prosecuted.
In view of our reversal of the judgment entered by the trial court, with directions to strike out the motion upon which it was founded, and our holding in cause No. 1763, the question sought to be raised upon this appeal becomes of no consequence, and our decision thereon would have no effect whatever upon the rights of the parties. Such being the case, we must decline to consider the merits of the controversy. As was said in Mills v. Green, 159 U. S. 651, 16 Sup. Ct. 132, 40 L. Ed. 293:
“The duty of this court, as of every other judicial tribunal, is to decide actual controversies by a judgment which can be carried into effect, and not to give opinions upon moot questions or abstract propositions, or to declare principles or rules of law which cannot affect the matter in issue in the case before it.”
See, also, Kimball v. Kimball, 174 U. S. 158, 19 Sup. Ct. 639, 43 L. Ed. 932; Floyd v. Cochran, 24 Colo. 489, 52 Pac. 676; Horne v. Horne, 73 N. C. 534; Ellison v. Sun Printing & Publishing Ass’n, 41 App. Div. 594, 59 N. Y. Supp. 970; Matter of Strauss, 157 N. Y. 720, 53 N. E. 646; McGill v. Bartman et al. (Ky.), 68 S. W. 1100.
This appeal will therefore be dismissed; and it is so ordered.
Hanna and Parker, J.J., concur. | [
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OPINION
STOWERS, Justice.
Plaintiff Triple B Corporation (Triple B) appeals from the district court’s granting of a motion for directed verdict and entry of judgment in favor of defendant Brown <fe Root, Inc. (Brown <& Root) in this action arising from certain construction contracts. In 1974 and 1975, Triple B, a Texas corporation, entered into two agreements to perform insulation work at the Phelps-Dodge Hidalgo smelter facility in New Mexico for Brown <& Root, a Texas corporation and the general contractor. In the course of construction, a dispute arose as to whether Triple B subsequently had agreed to hold the price for its work to $6.5 million. Brown <& Root paid Triple B more than $6.5 million but, in January 1977, stopped paying invoices submitted by Triple B, which brought this suit. The district court held that Triple B was an independent contractor and was barred, under NMSA 1978, Section 60-13-30 (Repl.Pamp.1984), from bringing any action for the collection of compensation for work done without alleging and proving that it was a duly licensed contractor. The district court accordingly dismissed Triple B’s claims on the contract and in quasi-contract or quantum meruit. We agree with the district court, and we affirm.
Triple B’s first amended complaint alleged that Triple B and Brown <fe Root had entered certain contracts for “subcontracting work,” and sought damages of over $1.6 million under a breach of contract theory or, alternatively, under a quasi-contract or quantum meruit theory. Brown <& Root answered, raising affirmative defenses based upon Triple B’s failure to allege that it was a duly licensed contractor, as required by Section 60-13-30. Although Triple B believed that it was duly licensed in New Mexico at the time it entered the contracts with Brown <& Root and at all other relevant times, and although it had so informed Brown <fe Root, Triple B did not in fact have a New Mexico contractor’s license. Triple B became aware of its predicament in the course of litigation and, in its response to Brown «fe Root’s answer, took a new and somewhat inconsistent position, contending that it was not required to have a license because it was merely an employee of Brown <& Root, not an independent contractor.
Prior to trial, the district court dismissed the complaint for lack of subject matter jurisdiction. Triple B appealed, and this Court reversed. On remand, Brown & Root moved for a directed verdict at the end of plaintiff’s case, after several days of testimony before a jury. The district court granted that motion and entered judgment in favor of Brown & Root. Triple B appeals, raising seven points.
First, Triple B argues that we should not recognize Section 60-13-30 as a bar to a contractor’s action in a case where the plaintiff completely performed its construction work to the satisfaction of the defendant. Second, Triple B asserts that the district court erred in directing a verdict because it presented evidence of unjust enrichment and estoppel as equitable defenses to Brown & Root’s assertion of the statutory bar to suit. Third, Triple B claims that the district court erred in directing a verdict because it presented evidence upon which reasonable minds could differ concerning whether Triple B acted as an employee or an independent contractor.
Fourth, Triple B contests the district court’s exclusion from evidence of a Brown <fe Root internal memorandum on the basis of the attorney-client or work-product privilege. Fifth, Triple B argues that the district court erred in ruling, on a motion for partial summary judgment, that it could not recover attorneys’ fees in this action. Sixth, Triple B argues that the district court’s finding that its quantum meruit or quasi-contract claim was indistinguishable from its contract claim must be reversed. Finally, Triple B contends that the district court made several erroneous evidentiary rulings, excluding evidence that Brown & Root employees damaged Triple B’s insulation materials, admitting the letter that allegedly limited Triple B to a recovery of $6.5 million under the two contracts, and excluding evidence of custom and practice regarding pricing.
Our resolution of points one, two, three, and six are determinative of this appeal. We hold that Section 60-13-30 bars Triple B from recovery in this action. We reject Triple B’s contention that enforcement of that bar may be prohibited under the equitable theory of unjust enrichment, and we hold that Triple B failed to demonstrate that Brown & Root should be estopped from asserting the statutory bar. We affirm the district court’s holding that reasonable minds could not differ in concluding that Triple B was an independent contractor subject to the Section 60-13-30 bar. We also hold that the district court did not err in dismissing Triple B’s quantum meruit or quasi-contract claim. Finally, we conclude that the error presented in Triple B’s remaining points, if any, was harmless. Accordingly, we affirm the judgment of the district court.
I. Applicability of Statutory Bar.
NMSA 1978, Subsection 60-13-30(A) (Repl.Pamp.1984) provides:
No contractor shall act as agent or bring or maintain any action in any court of the state for the collection of compensation for the performance of any act for which a license is required by the Construction Industries Licensing Act without alleging and proving that such contractor was a duly licensed contractor at the time the alleged cause of action arose.
We long have held that this statute bars an unlicensed contractor from bringing or maintaining a suit on the contract, see, e.g., Nickels v. Walker, 74 N.M. 545, 549, 395 P.2d 679, 682 (1964); Fischer v. Rakagis, 59 N.M. 463, 468, 286 P.2d 312, 315 (1955), or in quantum meruit, see, e.g., Campbell v. Smith, 68 N.M. 373, 378, 362 P.2d 523, 526 (1961); Kaiser v. Thomson, 55 N.M. 270, 274, 232 P.2d 142, 144-45 (1951). Our more recent decisions do not alter this rule but, in accordance with the clear implication of the statutory language, allow recovery by a person who is not a contractor within the meaning of the statute, see, e.g., Latta v. Harvey, 67 N.M. 72, 76, 352 P.2d 649, 651 (1960) (employee is not a contractor); cf., e.g., Marsh v. Coleman, 93 N.M. 325, 326-27, 600 P.2d 271, 272-73 (1979) (well driller expressly excluded from definition of contractor) (lien claim), and allow recovery for the performance of acts for which no license is required, see, e.g., Olivas v. SibCO, Inc., 87 N.M. 488, 490, 535 P.2d 1339, 1341 (1975) (cleaning up work site); cf., e.g., B &J Crane & Rigging, Inc. v. Beker Resources Corp., 587 F.2d 1065, 1068 (10th Cir.1978) (rental of equipment) (decided under New Mexico law).
Although we have construed this statute narrowly in order to prevent its use as a “shield against paying a just obligation,” Olivas v. SibCO, Inc., 87 N.M. at 489, 535 P.2d at 1340; cf. Peck v. Ives, 84 N.M. 62, 66, 499 P.2d 684, 688 (1972) (adopting substantial compliance doctrine), and although we have examined statutory purppses when construing the ambiguous provisions of other licensing statutes, we cannot look beyond the express language of Section 60-13-30. Cf. Measday v. Sweazea, 78 N.M. 781, 784, 438 P.2d 525, 528 (Ct.App.1968) (distinguishing Kaiser v. Thomson from plumbing permit requirement); cf. also Dow v. United States ex rel. Holley, 154 F.2d 707, 710-11 (10th Cir.1946); Kennoy v. Graves, 300 S.W.2d 568, 569-70 (Ky.1957); Gene Taylor & Sons Plumbing Co. v. Corondolet Realty Trust, 611 S.W.2d 572, 575 (Tenn.1981); Fillmore Products, Inc. v. Western States Paving, Inc., 561 P.2d 687, 689-90 (Utah 1977) (suit allowed in absence of express statutory bar). It clearly bars suits by unlicensed contractors even when they seek compensation for construction work fully and satisfactorily performed.
II. Equitable Defenses to Application of Statutory Bar.
Triple B argues that this Court should recognize certain equitable defenses to the assertion of the statutory bar. Where the contractor’s failure to obtain a proper license was induced by fraud on the part of the recipients of the work, Section 60-13-30 should not bar recovery by the contractor. See Fischer v. Rakagis, 59 N.M. at 470, 286 P.2d at 316-17 (quoting Kaiser v. Thomson, 55 N.M. at 275, 232 P.2d at 145 (Sadler, J., specially concurring)). Triple B here raises the equitable defenses of estoppel and unjust enrichment.
We need not determine whether a defendant may be estopped from asserting the Section 60-13-30 bar, for in this case it is obvious that Triple B failed to establish the elements of equitable estoppel. The party to be estopped, Brown & Root, did not engage in conduct amounting to a false representation and did not have knowledge of the real facts; the party claiming estoppel, Triple B, did not lack means of ascertaining its own status and did not rely to its detriment upon misleading conduct by Brown & Root. Cf. Capo v. Century Life Ins. Co., 94 N.M. 373, 377, 610 P.2d 1202, 1206 (1980) (elements of equitable estoppel).
We will not recognize an equitable defense of unjust enrichment because the Legislature in Section 60-13-30 necessarily authorized the unjust enrichment of the recipients of work performed by unlicensed contractors. In order to protect the public from irresponsible or incompetent contractors, see Peck v. Ives, 84 N.M. at 63, 499 P.2d at 685, the Legislature chose to harshly penalize unlicensed contractors by denying them access to the courts to collect compensation for work performed. Its policy must override the judicial principle that disfavors unjust enrichment. Cf. Schnoor v. Griffin, 79 N.M. 86, 91, 439 P.2d 922, 927 (1968) (illegal gambling contract held unenforceable).
III. Propriety of Directing a Verdict on Independent Contractor Status.
An independent contractor must allege and prove that it was a duly licensed contractor in order to maintain an action for compensation under Section 60-13-30. See Campbell v. Smith, 68 N.M. at 378, 362 P.2d at 526. An employee, however, need not comply with the statute. See Latta v. Harvey, 67 N.M. at 76, 352 P.2d at 651. In our previous decision in this case, we held that a genuine issue of material fact existed as to whether Triple B performed work at the Hidalgo smelter facility in the capacity of an independent contractor or an employee of Brown & Root, and remanded to the district court for the taking of evidence. At the end of plaintiff’s case, the court ruled that reasonable minds could not differ as to the fact that Triple B was an independent contractor and not an employee of Brown & Root at all material times, and directed a verdict in favor of Brown & Root. Alleging error on appeal, Triple B points to evidence in the record from which, it asserts, reasonable minds could determine that Triple B was an employee.
We often have held that the principal test for finding an employer-employee relationship is whether, aside from mere suggestions and the coordination of a larger undertaking, the employer has the right to exercise control over not only the results to be obtained but also the manner in which the details of the work are to be accomplished. See Campbell v. Smith, 68 N.M. at 377-78, 362 P.2d at 525-26; see also Latta v. Harvey, 67 N.M. at 75, 352 P.2d at 651; cf. Shipman v. Macco Corp., 74 N.M. 174, 177, 392 P.2d 9, 11 (1964) (workmen’s compensation case). In reviewing a judgment entered pursuant to a directed verdict, this Court is not authorized to consider only the evidence most favorable to the party resisting the motion, but must view all the evidence and all reasonable inferences decucible therefrom in the light most favorable to the party resisting the motion. Skyhook Corp. v. Jasper, 90 N.M. 143, 146, 560 P.2d 934, 937 (1977).
Triple B draws our attention to Brown & Root’s detailed specifications for the application of insulation material to piping and equipment; to Brown & Root’s issuance of written releases authorizing Triple B to work on particular pieces of equipment; to Brown & Root’s designation of holidays for the Hidalgo smelter facility; and to Brown & Root’s authority to direct “out of scope” work. Standing alone, this evidence perhaps would present a question for the jury whether Brown & Root merely specified the desired results and coordinated work at the Hidalgo facility or whether Brown & Root controlled the manner in which Triple B did its work. In light of all the evidence concerning Triple B’s relationship with Brown & Root, however, we agree with the district court that reasonable minds could not differ in concluding that Triple B was an independent contractor. The district court therefore did not err in granting Brown and Root’s motion to direct a verdict on this issue of fact.
IV. Dismissal of Quantum Meruit or Quasi-Contract Claim.
In its judgment, the district court found that Triple B’s claim in quantum meruit or quasi-contract was “identical to and indistinguishable” from its contract claims. Triple B argues that this finding is erroneous and should be reversed on appeal.
We have held supra that Section 60-13-30 bars an unlicensed contractor from bringing suit under a breach of contract theory or a quantum meruit or quasi-contract theory. See also Nickels v. Walker, 74 N.M. at 549, 395 P.2d at 682; Campbell v. Smith, 68 N.M. at 378, 362 P.2d at 526; Fischer v. Rakagis, 59 N.M. at 468, 286 P.2d at 315; Kaiser v. Thomson, 55 N.M. at 274, 232 P.2d at 144-45. Triple B’s various claims are indistinguishable in this regard, and the district court did not err in dismissing its quantum meruit or quasi-contract claim.
V. Other Points on Appeal.
We need not reach the evidentiary questions raised by Triple B on appeal, including its attorney-client or work-product privilege claim. The disputed items of evidence were relevant to interpretation of the parties’ contracts and to damages, but not to the determinative issues of Triple B’s status as an independent contractor and estoppel. Any error in the district court’s evidentiary rulings therefore was harmless. Cf. Murphy v. Frinkman, 92 N.M. 428, 431-32, 589 P.2d 212, 215-16 (Ct.App.1978) (no reversible error where liability determined adversely to plaintiff). Nor need we reach the question whether the district court erred in granting partial summary judgment against Triple B on its claim for attorneys’ fees. Assuming Texas law applies, Triple B would not be entitled to attorneys’ fees because Triple B did not have a valid claim for services rendered or materials provided. See Texas Rev.Civ. Stat.Ann. art. 2226 (Vernon 1971), repealed by 1985 Tex.Sess.Law Serv. ch. 959, § 9(1) (Vernon). Any error in the court's ruling on attorneys’ fees therefore was harmless. Cf. Specter v. Specter, 85 N.M. 112, 113, 509 P.2d 879, 880 (1973) (appellant must demonstrate that his rights were prejudiced by alleged error).
For the foregoing reasons, the judgment of the district court is affirmed.
IT IS SO ORDERED.
SOSA, Senior Justice, and WALTERS, J., concur. | [
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OPINION
RANSOM, Justice.
On November 6, 1986, Citizens Bank of Clovis (Citizens Bank) sued Teel on a note dated September 17, 1979, payable after 60 days in the principle amount of $53,228.44. At issue is whether suit was barred by the six-year statute of limitations, NMSA 1978, Section 37-1-3. The statute would have run on November 16, 1985, unless revived by an admission of the unpaid debt contained in a judgment approved by Teel’s attorney in a prior quiet title action. See NMSA 1978, § 37-1-16, set out below in pertinent part. The trial court granted Teel’s motion to dismiss for failure to state a claim upon which relief could be granted. Because the court considered matters in the prior action, we treat the disposition as a summary judgment as provided for in SCRA 1986, 1-012(C). We reverse.
In the prior quiet title action brought by a third party against Citizens Bank and Teel it was adjudged that, although Teel had previously conveyed to the third party his interest in land subsequently mortgaged by Teel to Citizens Bank, the Bank’s lien was prior to the interest of the third party whose deed to the land had not been recorded. In an affirmative defense to the prior action, Citizens Bank specifically described two successive obligations secured by a mortgage on the land from Teel to Citizens Bank and stated “[t]hat the [mortgage] note has been renewed and now is in the amount of $53,228.44, and is attached hereto. * * *” The original two mortgage notes of 1973 and 1975 were also attached, as were the mortgages by which they were secured.
A stipulated judgment in the prior action specifically provided “that Paul Teel remains personally and individually liable to The Citizens Bank of Clovis on the obligations secured by the mortgage from him to The Citizens Bank of Clovis * *
Section 37-1-16 provides in pertinent part that:
Causes of action founded upon contract shall be revived * * * by an admission that the debt is unpaid, as well as by a new promise to pay the same; but such admission or new promise must be in writing, signed by the party to be charged therewith.
The parties agree that, while the acknowledgement must be unqualified, an admission that the debt is not paid need not be couched in precise and direct terms. It is sufficient if it shows with reasonable certainty that the debt is unpaid. Reymond v. Newcomb, 10 N.M. 151, 61 P. 205 (1900); Joyce-Pruit Co. v. Meadows, 27 N.M. 529, 203 P. 537 (1921); and Romero v. Hopewell, 28 N.M. 259, 210 P. 231 (1922). It is immaterial that no cross complaint existed between the codefendants in the prior action. An acknowledgement is effective notwithstanding it is made to one other than the creditor, and it can be made in judicial proceedings by the debtor’s attorney. Joyce-Pruit Co. v. Meadows, 27 N.M. at 533-34, 203 P. at 538; Smith v. Walcott, 85 N.M. 351, 512 P.2d 679 (1973).
Teel concedes in his answer brief that his attorney in the prior action approved the stipulated judgment and that Teel is bound by the authorized acts of his attorney. However, it is Teel’s position that the admission, if any, cannot be extended to a note not specifically identified in the admission, and that there was no admission that the $53,228.44 note, dated September 17, 1979, was a renewal of a note identified in the “obligations secured by the mortgage” from Teel to Citizens Bank.
It may be inferred from the record of the prior action that there was only one debt owed to Citizens Bank by Teel, and that it was this $53,228.44 debt that was admitted. This was prima facie sufficient to take the case out of the bar of the statute. If there were other obligations and the obligations referenced in the stipulated judgment were not, as a matter of reasonable certainty, the indebtedness which in 1979 amounted to $53,228.44, a trial on the merits would be expected to show that to be so. Here, however, we are governed by the rule that, even where the basic facts are undisputed, if a logical inference in support of respondent can be drawn from those facts, summary judgment should be denied. Fischer v. Mascarenas, 93 N.M. 199, 598 P.2d 1159 (1979).
It has long been recognized that, when the words of acknowledgment or promise do not expressly refer to the debt sought to be recovered, whether they are to be deemed as referring to such debt is usually a question of fact. Morrell v. Ferrier, 7 Colo. 22, 1 P. 94, 95 (1883). If, on motion for summary judgment, Teel were to preclude the court from considering the reasonable inference that the admission was in reference to the $53,228.44 debt described in the pleadings, it was his burden as movant to show conclusively that in fact the admission had reference to some other debt.
It has been urged upon us that we also adopt the general rule stated in Morrell that in a trial on the merits “where there is an acknowledgment of indebtedness it will be taken to relate to the demand in suit, and the burden is upon the defendant to show that it related to another debt, either wholly or in part.” Id. at 96. However, we believe that it is not the burden of persuasion, but rather the burden of going forward with the evidence, that shifts under such circumstances.
We have recently reiterated that a statute which tolls the statute of limitations should be liberally construed to reach the merits if possible. Roscoe v. U.S. Life Title Ins. Co. of Dallas, 105 N.M. 589, 734 P.2d 1272 (1987).
The summary judgment appealed from is reversed, and the case is remanded for trial on the merits in accordance with this decision.
IT IS SO ORDERED.
SCARBOROUGH, C.J., and SOSA, Senior J., concur. | [
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OPINION
DONNELLY, Chief Judge.
Petitioner appeals from a district court judgment interpreting a marital settlement and child custody agreement entered into between the parties and ratified by a divorce decree entered in the Dominican Republic. The dispositive issues are under what circumstances a foreign divorce decree and the agreement of the parties approved therein are subject to enforcement in New Mexico, and whether the judgment of the trial court below is a final judgment subject to appeal. We reverse and remand.
Petitioner and respondent were married in South Carolina in 1976. In 1982, the parties separated while they were residing in Saudi Arabia. Petitioner and the three minor children of the parties returned to South Carolina. Petitioner employed an attorney to prepare a proposed marital settlement and child custody agreement. The agreement was approved and signed by the parties on March 12, 1982. Thereafter, the parties were divorced in the Dominican Republic.
The foreign divorce decree ordered the parties to comply with the provisions of the decree and the agreement. Following the divorce, petitioner remarried and moved to New Mexico with the children. Respondent returned to his employment in Saudi Arabia.
On March 13, 1986, petitioner filed a petition in the district court of Santa Fe County seeking, inter alia, to have the court grant comity to the final divorce decree; to enforce the divorce decree and agreement within New Mexico; to obtain judgment against respondent for child support arrearages; to increase child support; and to award costs and attorney’s fees.
Respondent submitted to the personal jurisdiction of the New Mexico court, opposed the relief sought by petitioner, and counterclaimed, seeking an order requiring petitioner to account for monies previously paid for child support. The parties then stipulated to joint custody and a parenting plan, and requested that the stipulation be incorporated into the court’s final judgment. Thereafter, the parties presented evidence on the issue of child support arrearages, modification of child support, and respondent’s claim for an accounting.
The trial court entered judgment modifying the prior agreement of the parties, ordering joint custody of the three children, directing that respondent pay $1,134 per month for child support, and awarding petitioner the sum of $2,885 in child support arrearages.
I. ENFORCEMENT OF FOREIGN JUDGMENT
On appeal, petitioner challenges the New Mexico court’s interpretation of the prior agreement of the parties, the amount awarded for child support, and the trial court’s refusal to award attorney’s fees and costs. Neither party has raised any issue on appeal concerning the procedure followed by the trial court in modifying their prior agreement. However, since this issue affects the finality of judgment, this court must consider the matter on its own motion. See Pacheco v. Pacheco, 92 N.M. 486, 484 P.2d 328 (1971).
Resolution of the issues raised by petitioner on appeal requires that we consider under what circumstances a New Mexico district court may enforce a foreign divorce decree and marital settlement agreement. Generally, a final divorce decree entered by a court of competent jurisdiction in another state containing provisions for child custody and child support will be enforced in New Mexico courts under the full faith and credit clause of the United States Constitution, where the state in which it was rendered had jurisdiction to act in the case, and the parties were accorded a reasonable opportunity to fully litigate the issues involved. See Corliss v. Corliss, 89 N.M. 235, 549 P.2d 1070 (1976); Lorenzo v. Lorenzo, 85 N.M. 305, 512 P.2d 65 (1973); Altman v. Altman, 101 N.M. 380, 683 P.2d 62 (Ct.App.1984); see also U.S. Const, art. IV, § 1.
The full faith and credit clause, however, does not apply to judgments obtained in foreign countries or to marital agreements approved therein. Golden v. Golden, 41 N.M. 356, 68 P.2d 928 (1937); see also Feinberg v. Feinberg, 40 N.Y.2d 124, 386 N.Y.S.2d 77, 351 N.E.2d 725 (1976), on remand, 96 Misc.2d 443, 409 N.Y.S.2d 365 (1978) (discussing foreign judgment rendered in the Dominican Republic); Southern v. Southern, 43 N.C.App. 159, 258 S.E.2d 422 (1979); Hyde v. Hyde, 562 S.W.2d 194 (Tenn.1978) (involving foreign judgment rendered in the Dominican Republic); see generally United States Practice Concerning the Recognition of Foreign Judgments, 16 Int’l Law. 425 (1982); Judgment of Court of Foreign Country as Entitled to Enforcement or Extraterritorial Effect in State Court, 13 A.L.R.4th 1109 (1982); Restatement (Second) Conflict of Laws, § 98 (1971). Compare NMSA 1978, § 39-1-17 (prohibiting enforcement of foreign judgments based upon confessions of judgment). Recognition of foreign judgments is generally subject to principles of comity. See Hilton v. Guyot, 159 U.S. 113, 16 S.Ct. 139, 40 L.Ed. 95 (1895); Somportex Ltd. v. Philadelphia Chewing Gum Corp., 453 F.2d 435 (3rd Cir.1971), cert. denied, 405 U.S. 1017, 92 S.Ct. 1294; 31 L.Ed.2d 479 (1972); Basiouny v. Basiouny, 445 So.2d 916 (Ala.Civ.App.1984).
Comity has been defined as:
[A] recognition which one nation extends within its own territory to the legislative, executive, or judicial acts of another. It is not a rule of law, but one of practice, convenience, and expediency. Although more than mere courtesy and accommodation, comity does not achieve the force of an imperative or obligation. Rather, it is a nation’s expression of understanding which demonstrates due regard both to international duty and convenience and to the rights of persons protected by its own laws. Comity should be withheld only when its acceptance would be contrary or prejudicial to the interest of the nation called upon to give it effect.
Somportex Ltd. v. Philadelphia Chewing Gum Corp., 453 F.2d at 440.
Under the doctrine of comity, state courts recognize foreign judgments where the proceedings on which the judgment is based are not contrary to the public policy of the forum, where the judgment sought to be recognized was rendered under circumstances wherein the foreign court had jurisdiction over the subject matter and the parties, and where the parties were given an opportunity for a full and fair hearing on the issues. See Hilton v. Guyot; Hyde v. Hyde; Lorenzo v. Lorenzo (finding that New Mexico, as a matter of public policy, does not recognize the validity of a divorce decree rendered by the court of a foreign nation unless at least one of the spouses was a good-faith domiciliary in the foreign nation at the time the decree was rendered). If the elements of the doctrine are satisfied, the judgment will be recognized. See Restatement, supra, § 98. This process, referred to as domestication of a judgment, is the first step in enforcing or recognizing a foreign decree, and must be satisfied. See Biel v. Boehm, 94 Misc.2d 946, 406 N.Y.S.2d 231 (1978). Recognition of a judgment rendered in a foreign country means that this judgment is entitled to the same treatment that a judgment rendered in a sister state would receive. Restatement, supra, § 98, comment b.
Judgments rendered in another state involving child custody, support and visitation are subject to modification where the judgment has been domesticated in the forum state and there has been a material change of circumstances since the rendition of the prior decree. See Allgood v. Orason, 85 N.M. 260, 511 P.2d 746 (1973); Altman v. Altman; see also Worthley v. Worthley, 44 Cal.2d 465, 283 P.2d 19 (1955); Palladay v. Palladay, 422 So.2d 1108 (Fla.App.1982); Blue v. Blue, 243 Ga. 22, 252 S.E.2d 452 (1979). Similarly, judgments rendered in a foreign nation and recognized under principles of comity are subject to modification. See Gonzalez v. Beraha, 449 F.Supp. 1011 (D.C.Z.1978); Mackey v. Mackey, 58 A.D.2d 806, 396 N.Y.S.2d 257 (1977); see also Leitch v. Leitch, 382 N.W.2d 448 (Iowa 1986); cf. Olsen v. Olsen, 98 N.M. 644, 651 P.2d 1288 (1982); Corliss v. Corliss; Altman v. Altman.
II. FINALITY OF TRIAL COURT’S JUDGMENT
Appellate jurisdiction is limited to appeals from final judgments, interlocutory orders which practically dispose of the merits of an action, and final orders entered by a court after entry of a judgment which affect substantial rights of the parties. Mitchell v. Mitchell, 104 N.M. 205, 719 P.2d 432 (Ct.App.1986); Thornton v. Gamble, 101 N.M. 764, 688 P.2d 1268 (Ct.App.1984); see SCRA 1986, 1-054(C)(1). However, where one or more claims for relief is presented, the court may enter a final judgment on less than all of the matters upon which relief was sought, but only upon an express determination that there is no just reason for delay. Rule 1-054(C)(1). In the absence of such determination, any order or other form of decision, however designated, which adjudicates less than all of the claims is not a final order, and hence not appealable. See Rule 1-054(C)(1); Mitchell v. Mitchell; Ortega v. Transamerica Ins. Co., 91 N.M. 31, 569 P.2d 957 (Ct.App.1977).
The judgment entered below modified the divorce decree so as to award joint custody, interpreted the provisions of the prior agreement of the parties which had been ratified by the foreign decree, ordered the payment of monthly child support, and entered judgment against respondent for arrearages in child support. The judgment, however, failed to make three necessary determinations. First, the order omitted any provision concerning whether this state would extend comity to, and domesticate, the foreign decree and the parties’ prior written agreement. The failure to dispose of this issue resulted in a non-final order. See Central-Southwest Dairy Coop. v. American Bank of Commerce, 78 N.M. 464, 432 P.2d 820 (1967); Thornton v. Gamble; Johnson v. C & H Const. Co., 78 N.M. 423, 432 P.2d 267 (Ct.App.1967). Second, the judgment omitted any provision disposing of the relief sought under respondent’s counterclaim for an accounting of child support. An order disposing of the issues contained in the complaint but not the counterclaim is not a final judgment. See Williams v. Bernhardt Bros. Tugboat Serv., Inc., 357 F.2d 883 (7th Cir.1966), appeal after remand, Williams v. Wisconsin Barge Line, Inc., 416 F.2d 28 (7th Cir.1969); cert. denied, 396 U.S. 1060, 90 S.Ct. 755, 24 L.Ed. 2d 753 (1970); see also City of Albuquerque v. Jackson, 101 N.M. 457, 684 P.2d 543 (Ct.App.1984) (although the judgment disposed of all issues in connection with the original complaint and counterclaim, the same order authorized defendant to amend the counterclaim; under these circumstances, all claims were not resolved).
Additionally, the trial court’s order omitted any provision disposing of petitioner’s claim for attorney’s fees. While the trial court adopted a conclusion that each party should pay his or her own costs and attorney’s fees, the judgment entered by the court did not refer to this issue. Findings and conclusions which are not carried forward and incorporated in the judgment generally have no effect. Smith v. City of Albuquerque, 105 N.M. 125, 729 P.2d 1379 (Ct.App.1986). Similarly, where an award of attorney’s fees is authorized by statute or rule, and a request is made for such award, a judgment which does not dispose of the issue of attorney’s fees is not a final order. See Johnson v. C & H Const. Co.; Ring v. Hoselton, 197 Mont. 414, 643 P.2d 1165 (1982).
Because the trial court failed to dispose of these issues in its judgment and order, the judgment sought to be appealed herein is not final. We do not reach petitioner’s claims that the trial court erred in interpreting the marital agreement, erred in awarding $1,134 per month for child support, or failed to properly award costs and attorney’s fees, because resolution of these issues is dependent upon whether the trial court domesticates the foreign divorce decree and thereafter enforces or modifies the parties’ agreement. The matter is remanded to the district court for further proceedings consistent with this opinion and for entry of a final judgment. Each party shall bear their own costs and attorneys’ fees incident to this appeal.
IT IS SO ORDERED.
MINZNER and FRUMAN, JJ„ concur. | [
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OPINION
WALTERS, Justice.
Respondents, City of Albuquerque (City), Sam Baca, Chief of the Albuquerque Police Department (Baca), and Gene Romo, Chief Administrative Officer (CAO), appeal the District Court’s issuance of a permanent writ of mandamus directing the City’s compliance with an administrative order reinstating Petitioner Ryon to employment with the City. Following issuance of the order, the City brought a declaratory judgment action; Petitioner filed an independent petition for writ of mandamus. In her petition, Ryon requested enforcement of the administrative order which mandated the City to reinstate her in a job commensurate with the position she had held before the City wrongfully terminated her on March 2, 1986, and to pay back pay from March 2nd until placement. In its action, the City sought to have the district court require Ryon, as a condition to reinstatement, to provide doctor’s proof that she was able to work from March 2nd to the time of reinstatement or, in the alternative, that she not be reinstated or receive back pay until a worker’s compensation claim filed after her termination had been resolved. The court consolidated the cases and, after evidentiary hearings, dismissed the City’s declaratory action and entered an order and writ of mandamus requiring Baca and the CAO to comply with the previously issued administrative order. We affirm.
Ryon, employed by the City as a civilian security officer with the Albuquerque Police Department (APD), worked for the City for six-and-a-half years. On February 27, 1986, she left work, with permission, and was absent thereafter on March 2, 3, and 4, 1986. The City put her in “automatic resignation” status pursuant to a city regulation that deems an employee who is absent from work for three consecutive days, without authority, to have resigned.
Ryon filed a grievance under the City’s Personnel Ordinances. At the hearing in May of 1987, her supervising sergeant admitted that on the third day of Ryon’s absence her roommate and co-worker had called on her behalf to report that Ryon was sick. Ryon subsequently filed a claim for worker’s compensation alleging stress and resulting injuries suffered on February 27th. The hearing officer concluded on June 10, 1986, that Ryon had obtained the necessary authorization for her absence, had been under a doctor’s care, and that it was error for the police department to have construed Ryon’s absence as an automatic resignation. On the same day, the CAO adopted the hearing examiner’s conclusions and ordered Ryon's reinstatement and back pay.
When the payroll division of APD received the CAO’s administrative order on June 17th and learned of the testimony before the hearing officer, it adopted the view that but for the automatic resignation imposed by the City, Ryon would have been out on sick leave; that once her sick leave ran out, she would have been placed on physical layoff without pay. Rather than to seek an amendment to the order that would adopt its analysis for back-pay calculation, or to appeal the order as provided in the City’s grievance procedure, the City imposed certain conditions on Ryon’s reinstatement and refused to pay any back pay until those conditions had been met. Finally, and on October 16,1986, after Ryon had refused to meet the conditions, the City filed its suit for declaratory judgment.
In compliance with the trial court’s writ of mandamus, the City reinstated Ryon. The City challenges the trial court only as its writ relates to back pay and argues:
1. Mandamus is not proper here because the act Ryon seeks to compel is unclear, disputable and discretionary.
2. Mandamus was improper because Ryon had a plain, speedy and adequate remedy at law.
3. Ryon’s exclusive remedy is under the New Mexico Workmen’s Compensation Laws or, alternatively, she elected that remedy.
We address each argument in turn.
1. Was mandamus a proper remedy in this case?
Mandamus is appropriate only when the petitioner has a clear legal right to be enforced. Lease v. Board of Regents of New Mexico State University, 83 N.M. 781, 498 P.2d 310 (1972); Witt v. Hartman, 82 N.M. 170, 477 P.2d 608 (1970). Ryon had a clear and enforceable legal right. The city ordinance provided a grievance procedure through which she could obtain an order of reinstatement and back pay, which she pursued. Legislatively authorized rules and regulations have the force of law. Jaramillo v. Fisher Controls Co., Inc., 102 N.M. 614, 698 P.2d 887 (Ct.App.1985). The City of Albuquerque Merit System Ordinance No. 52-1978 is promulgated by authority of NMSA 1978, Section 3-13-4 (Repl.Pamp. 1985). That ordinance provides that a decision of the CAO may be appealed to district court within ninety days of the decision. City Merit System Ordinance No. 52-1978, § 2-9-25(8). Upon expiration of the appeal period the order became final. The CAO’s order conferred upon Ryon a clearly enforceable right: reinstatement and back pay. In the absence of an appeal, the order created a binding duty upon the City to reinstate Ryon and upon APD to pay her back pay from March 2, 1986.
The City failed to avail itself of the procedure provided to resolve its perceived quandary regarding calculation of the ordered back pay. Having waived the appellate route, the City may not now be heard to argue that uncertainty in the amount of back pay to be made is a defense to a mandamus action seeking reinstatement and repayment. Mandamus was appropriate to compel Respondents to comply with the June 10, 1986, order.
2. Did Ryon have a plain, speedy and adequate remedy at law?
According to the City, the district court improperly issued its writ because the declaratory judgment action brought by the City provided Ryon with an ade quate remedy at law. It is true that a “writ shall not issue in any case where there is a plain, speedy and adequate remedy in the ordinary course of law.” NMSA 1978, § 44-2-5. Reliance by the City on this rule because of the pending declaratory action completely ignores, however, the finality of the fact that Ryon had exhausted her administrative remedies and had obtained an order mandating the City to reinstate her and pay her back pay long before the City attempted to reach by a declaratory judgment suit what it had waived by failure to timely appeal. Relief appropriate for Ryon was to demand the City’s compliance with the order; mandamus was the appropriate vehicle for Ryon to obtain that compliance.
In this regard, the trial court properly dismissed the declaratory judgment action. The purpose of declaratory judgment is “to settle and to afford relief from uncertainty and insecurity with respect to rights, status and other legal relations * * * * ” NMSA 1978, § 44-6-14. It also serves to relieve litigants of the common-law rule that no declaration of rights may be adjudged absent a violation of a right. 22 Am.Jur.2d Declaratory Judgments § 6 (1965). A declaratory action certainly could have clarified the method of calculating Ryon’s back pay. But declaratory judgment actions are not intended to provide a substitute for other available actions. Id. The City’s attempt to substitute the declaratory action for its expired right to request reconsideration of or to appeal the CAO’s final order warranted dismissal of its suit. Furthermore, declaratory judgment actions are subject to the same limitations as the nature of the action sued upon in the underlying case. Taylor v. Lovelace Clinic, 78 N.M. 460, 432 P.2d 816 (1967). In Taylor, the court dismissed a declaratory judgment action because the statute of limitations had run on the underlying action. Here the City’s right to appeal had expired and with it so had its right to request amendment of the order to accommodate its contention that Ryon, if she had not been wrongfully terminated, might have been too ill to work.
3. Was Ryon’s exclusive remedy under the worker’s compensation act, or did she elect her remedy?
The City finally argues that worker’s compensation laws provide the exclusive remedy to recover benefits from the City for claims arising from an on-the-job injury. NMSA 1978, § 52-1-9 (Repl.Pamp.1987). Alternatively, the City argues that the doctrine of election of remedies bars Ryon’s writ of mandamus action. These arguments have no merit. The effect of the order of reinstatement and back pay upon Ryon’s worker’s compensation claim is not before us, and we are not called upon to determine the validity of any pending worker’s compensation case. What may appear to be a defense in that matter has no bearing upon the issues in this appeal.
We affirm the lower court’s issuance of a writ of mandamus. The City of Albuquerque Police Department is ordered to reinstate Ryon and to pay her all back wages and benefits from the time of her wrongful termination to her reinstatement.
IT IS SO ORDERED.
SCARBOROUGH, C.J., and RANSOM, J., concur. | [
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OPINION
FRUMAN, Judge.
Defendants appeal a judgment awarding worker’s compensation benefits, medical benefits and attorney fees to plaintiff. Defendants raised three issues in their docketing statement. They first assert that plaintiff’s claim is barred by the statute of limitations. Our calendar notice proposed summary affirmance as to this issue, and defendants responded with a timely memorandum in opposition. Based upon the following, we affirm the first issue.
Defendants state in their memorandum in opposition that Owens v. Eddie Lu's Fine Apparel, 95 N.M. 176, 619 P.2d 852 (Ct.App.1980), controls because it was not explicitly overruled in ABF Freight System v. Montano, 99 N.M. 259, 657 P.2d 115 (1982). However, ABF Freight System does specifically state, in footnote 1, that the maximum period of time to file a worker’s compensation claim is two years and thirty-one days from the date of the occurrence of the disability. Thus, ABF Freight System provides a clear indication that the time periods of NMSA 1978, Sections 52-1-30 and -31(A) are to be added together to compute the maximum time period in which a compensation claim may be filed. This construction is consistent with the liberal interpretation to be given the remedial provisions of the worker’s compensation statutes. See, e.g., Malone v. Swift Fresh Meats Co., 91 N.M. 359, 574 P.2d 283 (1978). To the extent that Owens is inconsistent with ABF Freight System, it has been implicitly overruled by ABF Freight System. Although defendants assert that the reference to the time for filing a claim in ABF Freight System was a “throwaway” reference, we may not ignore the precedents established by our supreme court. See State v. Manzanares, 100 N.M. 621, 674 P.2d 511 (1983).
The calendar notice proposed summary reversal of defendants’ second issue regarding the award of medical benefits, since it appeared that defendants had provided reasonable medical services and plaintiff had independently incurred the services of Dr. Verstraete. Plaintiff has not filed a memorandum opposing the proposed summary reversal as to this issue, and the time for doing so has expired. Therefore, we reverse as to this second issue and remand it to the trial court for the entry of a judgment consistent with our calendar notice and this opinion.
In our summary calendar, we proposed to affirm defendants’ third issue regarding the award of attorney fees to plaintiff. In their memorandum in opposition, defendants did not address our proposal except by stating that if we reverse the trial court on the first issue, the award is inappropriate and it, too, should be reversed. Since we are affirming the trial court on the first issue, we now affirm on the third issue as well, based upon the reasons stated in our calendar notice.
Plaintiff is awarded $500.00 for attorney fees on appeal.
IT IS SO ORDERED.
MINZNER and GARCIA, JJ„ concur. | [
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] |
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