Justia Nevada Supreme Court Opinion Summaries
Articles Posted in Labor & Employment Law
Nevada Yellow Cab Corp. v. Eighth Judicial District Court
In Thomas v. Nevada Yellow Cab Corp., published in 2014, the Supreme Court held that the Minimum Wage Amendment to the Nevada Constitution, enacted in 2006, impliedly repealed Nev. Rev. Stat. 608.250(2)(e)’s exemption of taxicab drivers from minimum wage requirements. In two separate cases, taxicab drivers filed class actions against several taxicab companies seeking unpaid taxicab driver wages dating back to the effective date of the Amendment. The taxicab companies moved to dismiss the complaints, asserting that Thomas applied prospectively, not retroactively. Thereafter, the taxicab companies filed writ petitions arguing that Thomas should apply only prospectively. The Supreme Court consolidated the writ petitions for disposition denied the petitions, holding that section 608.250(2)(e) was repealed when the Amendment became effective rather than from the date Thomas was published. View "Nevada Yellow Cab Corp. v. Eighth Judicial District Court" on Justia Law
Posted in:
Constitutional Law, Labor & Employment Law
Poremba v. Southern Nevada Paving
In Employers Insurance Co. of Nevada v. Chandler, the Supreme Court held that an insurer may refuse to pay additional funds when a claimant reopens a workers’ compensation claim until the claimant demonstrates that he or she has exhausted any third-party settlement funds. In the instant case, Appellant, a construction driver, was injured by another driver during the course of his employment. Appellant filed a workers’ compensation claim, which his employer, through a workers’ compensation administrator (collectively, Employer), accepted. Employer eventually closed the claim. When Appellant was unable to return to work, he sought to reopen his claim, but Employer denied it. Appellant filed an administrative appeal. An appeals officer granted Employer summary judgment. At issue on appeal was whether Chandler precluded Appellant from reopening his claim because he spent settlement funds on expenses other than medical costs. The Supreme Court reversed, holding (1) a claimant may reopen his workers’ compensation claim after exhausting his settlement funds on nonmedical expenses; and (2) the appeals officer erred when issuing a decision without detailed findings of fact and conclusions of law. View "Poremba v. Southern Nevada Paving" on Justia Law
Posted in:
Insurance Law, Labor & Employment Law
State, Employment Sec. Div. v. Murphy
Respondent pleaded guilty to possession of stolen property. Because he could not afford bail, Respondent was incarcerated for one year. Respondent was fired by Employer because of his unexcused absences caused by his incarceration. The Nevada Employment Security Division (ESD) and the ESD Board of Review concluded that Respondent was not entitled to unemployment benefits because, by admitting to the criminal conduct that caused his incarceration, Respondent committed disqualifying misconduct. The district court reversed, ruling that the only misconduct connected with work was Respondent’s absenteeism, which was insufficient to deny benefits. The Supreme Court reversed, holding that Respondent’s absence from work was directly caused by his criminal conduct, and therefore, Respondent was disqualified from receiving benefits under Nev. Rev. Stat. 612.385. View "State, Employment Sec. Div. v. Murphy" on Justia Law
Goodwin v. Jones
Appellant was terminated from her employment with Employer for failing to maintain an intern certification or obtain a counselor certification as required by Employer’s employment policy. Appellant applied to the Department of Employment, Training & Rehabilitation, Employment Security Division (ESD) for unemployment benefits. ESD denied Appellant’s claim, finding that she was terminated for misconduct connected with her work. ESD’s Board of Review denied Appellant’s appeal. The district court denied Appellant’s petition for judicial review, concluding that Appellant’s failure to receive her bachelor’s degree within ten years constituted misconduct connected with her employment. The Supreme Court affirmed, holding that because Appellant did not provide sufficient evidence to demonstrate that she made a reasonable, good-faith attempt to maintain her certification or to timely graduate, Appellant’s conduct amounted to disqualifying misconduct. View "Goodwin v. Jones" on Justia Law
Tallman v. Eighth Judicial Dist. Court
Three petitioners sued their former employer and certain of its agents and associates (collectively, “Employer”) asserting minimum wage and overtime claims individually and on behalf of others similarly situated. The district court entered orders compelling individual arbitration of Petitioners’ claims and denying their motions for class certification. Each petitioner signed the same long-form arbitration agreement, which included a clause waiving the right to initiate or participate in class actions. Petitioners sought extraordinary writ relief, contending that Employer’s failure to countersign the long-form agreement made it unenforceable, that the class action waiver violated state and federal law, and, in the case of one petitioner, Employer waived its right to compel arbitration by litigating with him in state and federal court. The Supreme Court denied writ relief, holding that Petitioners’ arguments were unavailing and that the district court did not err in compelling individual arbitration of their claims. View "Tallman v. Eighth Judicial Dist. Court" on Justia Law
Mensah v. CorVel Corp.
Appellant, a self-employed delivery driver who contracted with FedEx Home Delivery for one of its delivery routes, fell and injured his shoulder while delivering packages. Under his FedEx service contract, Appellant was required to maintain workers’ compensation insurance, which he did through CorVel Corporation. Appellant received medical treatment, but with his physical restrictions, he could not complete his delivery route. Appellant hired a replacement driver until he canceled the service contract. Appellant sought temporary disability benefits, which CorVel denied. Appellant administratively appealed. The appeals officer denied both temporary total disability benefits and temporary partial disability benefits on the basis that Appellant could not establish a loss of any income without evidence of a salary. The district court denied Appellant’s petition for judicial review. The Supreme Court reversed, holding (1) for self-employed individuals, the lack of a salary associated with typical employment does not preclude an average monthly wage calculation for the purpose of determining lost income and rendering a workers’ compensation benefit decision; and (2) the appeals officer in this case should have determined the best method for calculating any loss to Appellant’s wages resulting from his industrial injury, taking into account both his business’s income and expenses. Remanded. View "Mensah v. CorVel Corp." on Justia Law
D & D Tire v. Ouellette
Some independent contractors are immune from liability with regard to a person injured in the course of employment under the exclusive remedy provision of the workers’ compensation statutes. At issue in this case was when an independent contractor’s actions are within the scope of a major or specialized repair so as to prevent it from claiming immunity from liability as a statutory employer or coemployee. Respondent was injured during the course of his employment by a tire technician for Appellant, a commercial tire retailer. Respondent filed a personal injury claim against Appellant. Appellant moved for judgment as a matter of law on the grounds that it was a statutory employee and thus immune from liability. The jury returned a verdict in favor of Respondent. The Supreme Court affirmed, holding (1) because there was sufficient evidence that the tire technician was an independent contractor at the time he caused Respondent’s injury, Appellant was not immune from liability for Respondent’s injury; and (2) the district court did not err in refusing to give an incomplete “mere happening” jury instruction because to do so would have been duplicative and/or confusing. View "D & D Tire v. Ouellette" on Justia Law
Posted in:
Injury Law, Labor & Employment Law
Excellence Cmty. Mgmt. v. Gilmore
Krista Gilmore was employed by Excellence Community Management (ECM), an LLC, and signed an employment agreement containing restrictive covenants. The owners and operators of ECM later sold 100 percent of their membership interest in the LLC to First Services Residential Management Nevada (FSRM). Thereafter, Gilmore’s employment with ECM terminated, and Gilmore began working for Mesa Management, LLC. ECM sent Gilmore a cease-and-desist letter alleging that Gilmore violated her employment agreement by contacting ECM’s clients and soliciting them to hire Mesa. ECM filed a complaint seeking damages and injunctive relief against Gilmore and Mesa (collectively, Respondents). The district court denied ECM’s motion for a preliminary injunction, concluding that the agreement was not assignable to FSRM without Gilmore consenting to the assignment. The Supreme Court affirmed, holding (1) the sale of 100 percent of the membership interest in an LLC does not affect the enforcement of an employee’s employment contract containing a restrictive covenant because such a sale does not create a new entity, and therefore, ECM may enforce a restrictive covenant in Gilmore’s employment contract without Gilmore’s consent of assignment; but (2) ECM failed to show that it would suffer irreparable harm for which compensatory damages were not an adequate remedy if the district court did not enter a preliminary injunction. View "Excellence Cmty. Mgmt. v. Gilmore" on Justia Law
Posted in:
Contracts, Labor & Employment Law
Nev. Dep’t of Corr. v. York Claims Servs., Inc.
Jonathan Piper, who was convicted and imprisoned for burglary, was transferred to Casa Grande Traditional Housing, which was operated by Nevada Department of Corrections (NDOC) for offenders participating in NDOC’s work release program, to serve out the remainder of his sentence. Washworks Rainbow, LLC hired Piper to work at its car wash. Piper was severely injured during the course of his employment. York Claims Services, Inc., Washworks’ workers’ compensation insurance provider, denied coverage, asserting that NDOC was financially responsible for Piper’s workers’ compensation coverage under its own insurance program. An appeals officer found York liable for Piper’s workers’ compensation coverage. The district court set aside the decision of the appeals officer, concluding that NDOC was responsible for Piper’s workers’ compensation coverage pursuant to Nev. Rev. Stat. 616B.028(1). The Supreme Court reversed, holding that section 616B.082(1) does not apply to offenders like Piper, who are participating in the work release program. View "Nev. Dep't of Corr. v. York Claims Servs., Inc." on Justia Law
Hohenstein v. State, Employment Sec. Div.
Appellant, then a teacher for the Washoe County School District (WCSD), pleaded guilty to possessing marijuana in his residence. Before Appellant completed his probation, the WCSD terminated his employment for immorality and conviction of a felony or of a crime involving moral turpitude. Appellant sought unemployment benefits. The Employment Security Division (ESD) denied benefits, finding that Appellant’s guilty plea established that the WCSD had terminated him for “workplace misconduct.” Under Nev. Rev. Stat. 453.3363, certain first-time drug offenders may avoid a criminal conviction if the offender pleads guilty and then successfully completes a probationary period, after which time the charges are dismissed. The Supreme Court reversed, holding that unemployment benefits for workplace misconduct were erroneously denied where the WCSD relied on a felony conviction that didn’t exist to establish that Appellant committed disqualifying misconduct for which he was terminated. View "Hohenstein v. State, Employment Sec. Div." on Justia Law