Justia Montana Supreme Court Opinion Summaries

Articles Posted in Government & Administrative Law
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In 2011, the Lower Teton Joint Objectors, water users who hold appropriation rights from the lower Teton River in Chouteau County, commenced an action claiming that the Water Commissioners’ practice of diverting water out of the natural channel of the Teton River and into the Bateman Ditch harmed their appropriation rights by depriving the Teton River aquifer of recharge water. The Water Master issued a report regarding the Bateman Ditch, and the Water Judge issued an “Order Amending Master’s Report and Adopting as Amended.” The Objectors and intervenor Patrick Saylor appealed. The Supreme Court affirmed in part and reversed in part, holding (1) the Water Court erred by concluding that the Bateman Ditch diversion to supply water to Choteau Cattle Company is a private right held by Saylor; and (2) the Water Court acted properly in listing the water rights that can be diverted through the Bateman Ditch. View "Eldorado Co-op Canal Co., Lower Teton Joint Objectors" on Justia Law

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Petitioner, the owner and president of a Montana corporation, stopped paying himself a salary but continued working. Petitioner applied for and received unemployment benefits but reported to the State of Montana Department of Labor and Industry (DLI) that he worked zero hours per week. When DLI discovered that Petitioner worked fifty hours a week, DLI determined that Petitioner had wrongfully received benefits. DLI ordered Petitioner to repay the overpaid benefits and imposed an administrative penalty. The district court reversed in part, concluding that when Petitioner drew no salary he did not need to report the hours he worked and was eligible to receive benefits. The Supreme Court reversed, holding (1) a corporate officer working full-time without pay for his corporation is engaged in employment under Montana’s Unemployment Insurance Law and is required to report his hours of work when seeking unemployment benefits; and (2) DLI correctly imposed a penalty on Petitioner for misrepresenting the amount of hours he worked. View "Sayler v. Dep’t of Labor & Indus., Ins. Div." on Justia Law

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Petitioner, who was injured while performing her work duties, filed a workers’ compensation claim. Liberty Northwest (Liberty), the insurer for the claim, terminated Petitioner’s temporary partial disability (TPD) benefits after Petitioner revoked releases and authorizations she had previously signed allowing Liberty and its agents to have ex parte communications with her medical care providers. Petitioner filed an action asserting that the statutes relied upon by Liberty to terminate her medical benefits, Mont. Code Ann. 39-71-604 and Mont. Code Ann. 50-16-527, were unconstitutional. The Workers’ Compensation Court (WCC) determined that section 39-71-604(3), as applied in Petitioner’s case, violated Petitioner’s constitutional right of privacy. The Supreme Court affirmed, holding that the WCC did not err in concluding that section 39-71-604(3) violated Petitioner’s right of privacy set forth in the Montana Constitution. View "Malcomson v. Liberty Northwest" on Justia Law

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Westmoreland Resources Inc. (WRI) mines coal owned by the Crow Tribe and pays coal severance and gross proceeds taxes to the Tribe. In 2005, WRI filed a tax return with the Department of Revenue for coal produced and sold at its Absaloka Mine, located on the Crow Reservation, during tax year 2004. The return deducted the coal severance and gross proceeds taxes it had paid to the Tribe. The Department disallowed WRI’s deduction. WRI filed a complaint with the State Tax Appeal Board. WRI and the Department later filed a joint petition for an interlocutory adjudication of a substantive question of law with the district court. At issue was whether WRI’s coal severance and gross proceeds deduction was proper. The district court held in favor of the Department, concluding that WRI may not deduct taxes paid to the Tribe as “taxes paid on production” from the “contract sales price” when calculating the Resource Indemnity Trust and Ground Water Assessment Tax. The Supreme Court affirmed, holding that the phrase “any tax paid to the federal, state, or local governments” within Mont. Code Ann. 15-35-102(11) does not include those taxes WRI pays to the Tribe. View "Westmoreland Res., Inc. v. Dep’t of Revenue" on Justia Law

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This case arose from a restriction placed on a certain parcel of real property providing that the land would be used exclusively for agricultural purposes. Greg Hampton, a developer, requested the consent of Lewis and Clark County to revoke the agricultural covenant. The County approved the lifting of the covenant subject to thirteen conditions. Hampton then began working on developing his residence on the parcel. The County later filed a complaint requesting injunctive relief and an order requiring Hampton to complete the conditions. A jury determined that Hampton had notice of the thirteen conditions prior to building his home and that he failed to complete four conditions prior to development. The district court then entered final judgment, ordering Hampton to pay the proportionate share of the cost to upgrade Lodgepole Road to County road requirements, among other orders. The Supreme Court largely affirmed, holding (1) the district court did not err in ruling on summary judgment that the County consented to revocation of an agricultural covenant on Hampton’s property; (2) the district court erred in determining that Hampton was only proportionally responsible for the cost of upgrading Lodgepole Road; and (3) the district court did not err in the remainder of its judgment. View "Lewis & Clark County v. Hampton" on Justia Law

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Petitioners filed a combined petition challenging the legal sufficiency of Initiative No. 171 (I-171), a proposed ballot measure that would prohibit the state and its political subdivisions from using funds, resources, or personnel to administer or enforce the federal Affordable Care Act, among other things. Petitioners sought an order enjoining the Secretary of State from approving petitions for circulation to the electorate for signatures or otherwise submitting the measure for approval by the voters and further sought a declaration that I-171 was unconstitutional and void. The Supreme Court denied the petition, holding (1) the Attorney General correctly determined that I-171 was legally sufficient; and (2) the ballot statements for I-171 satisfy the requirements of law. View "Hoffman v. State" on Justia Law

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Appellant filed an application with the Montana Board of Psychologists to become licensed as a psychologist. The Board denied the application on the ground that Appellant did not meet the education-related qualifications. Following a requested case hearing, the hearing officer entered proposed findings of fact and conclusions of law in favor of Appellant, and accordingly, recommended that the Board grant Appellant’s application for licensure as a psychologist. The Board rejected or modified several of the hearing officer’s findings and conclusions and reinstated its denial of Appellant’s application. The district court affirmed the Board. The Supreme Court affirmed, holding that the Board did not misapply the standards of review in reinstating its denial of Appellant’s application, and the district court did not err in affirming the Board’s final agency decision. View "Mayer v. Bd. of Psychologists" on Justia Law

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Plaintiff, registered voters seeking to invalidate the Montana Districting and Apportionment Commission’s (Commission) assignment of two “holdover senators” in its final 2013 redistricting plan, filed a complaint against the State and Secretary of State (collectively, "State") seeking injunctive and declaratory relief. The district court granted the State’s motion for summary judgment and denied Plaintiff’s motion for summary judgment. The Supreme Court affirmed, holding that the district court did not err in concluding that (1) the Commission did not violate the public’s “right to know”; (2) the Commission is part of the legislative branch and is not an agency, and that it is therefore exempt from statutes promulgating the right of participation; and (3) Plaintiffs’ argument that the Commission violated Plaintiffs’ right of suffrage was without merit. View "Willems v. State" on Justia Law

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From 2003 to 2011, Jasvinder Singh worked for America’s Best Contractors, Inc. (ABC) as a salesperson and estimator. After his employment with ABC ended, Singh filed a claim with the Montana Department of Labor and Industry (DOLI), alleging that he was owed unpaid commissions for the period of June 2010 to June 2011. The DOLI hearings bureau determined that ABC owed Singh unpaid commissions and a penalty totaling $60,575. The district court affirmed DOLI’s final agency decision. The Supreme Court affirmed, holding (1) the hearing officer did not adjudicate collateral matters beyond DOLI’s jurisdiction when he excluded certain payments; and (2) the hearing officer’s factual determinations that certain checks issued to Singh were payments on collateral obligations were supported by the evidence. View "America's Best Contractors, Inc. v. Singh" on Justia Law

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C.S., who turned eighteen in March 2012, received special education services from the Butte School District until June 2013. In January 2013, the Montana Office of Public Instruction directed the School District to obtain appointment of a surrogate parent for C.S., who lived with his Foster Father, for educational purposes. The district court subsequently appointed Mary Jo Mahoney as C.S.’s surrogate parent. In March 2013, C.S. filed a motion to vacate the appointment of Mahoney and to substitute Foster Father as his surrogate parent. The court denied the request. The Supreme Court reversed, holding (1) the district court’s refusal to vacate its appointment of Mahoney was not mooted even though C.S. no longer qualified for special education services from the School District; and (2) the district court erred when it refused to remove Mahoney and appoint Foster Father as C.S.’s surrogate parent for educational purposes. View "In re C.S." on Justia Law