Justia Montana Supreme Court Opinion Summaries

In this fifth case arising from an ongoing dispute between Plaintiffs and Glacier County and certain county officials (collectively, the County), the Supreme Court reversed the district court's grant of Plaintiffs' motion for appointment of a financial receiver for the County, holding that the court abused its discretion.Plaintiffs alleged claims against the County regarding alleged financial mismanagement and non-compliance with government budgeting, auditing, and tax laws. By motion filed prior to filing their complaint, Plaintiffs sought appointment of a financial receiver pendente lite to assure that the budgeting, tax levying, expenditure and disbursement, and accounting laws were strictly complied with. The district court refused to appoint a receiver for the purpose requested by Plaintiffs but appointed a more limited receivership to determine the extent of personal liability for the County officials for deficit spending. The Supreme Court reversed, holding that the district court (1) erred in appointing a receiver for a stated purpose in excess of and unrelated to the limited purpose of a receivership pendente lite; and (2) erred in basing the receivership on a preliminary adjudication of the ultimate merits of its underclass claims for relief and on a reason that did not establish or contribute to the requisite necessity for appointment of a receiver under section 27-20-102(3). View "Gottlob v. DesRosier" on Justia Law

The Supreme Court affirmed the judgment of the district court denying Defendants' motion to dismiss claims asserted against Glacier County officials (collectively, the County) in Plaintiffs' complaint due to lack of subject matter jurisdiction, holding that the district court did not err.This was the fourth case arising from a dispute between Plaintiffs and the County regarding alleged financial mismanagement and non-compliance with government budgeting, auditing, and tax laws. The County sought dismissal of certain claims under Mont. R. Civ. P. 12(b)(1), arguing that subject matter jurisdiction was lacking because no express or implied right to remedy existed. The district court denied the motion on the ground that Mont. Code Ann. 15-1-406 through -408 provided and express private right and related remedies, and thus related subject matter jurisdiction. The Supreme Court affirmed without prejudice to issues properly preserved and raised pursuant to Mont. R. Civ. P. 12(b)(6), holding that the district court did not err in denying the County's Rule 12(b)(1) motion to dismiss. View "Gottlob v. DesRosier" on Justia Law

The Supreme Court affirmed the judgment of the district court upholding the declaratory ruling of the Flathead Conservation District asserting jurisdiction over David and Jacqueline Stalowy's dredging project, holding that the district court did not err.The Stalowys applied for permits with the District to conduct dredging activities on their Flathead County property. For the District to have jurisdiction under the Natural Streambed and Land Preservation Act of 1975 (Act), Title 75, chapter 7, Mont. Code Ann., the proposed dredging work must result in a "change in the state" of a "natural, perennial-flowing stream." At issue was whether North Bear Creek and other waterbodies on the Stalowys' property met the definition of a “stream." The District issued a declaratory ruling asserting jurisdiction over the Stalowys' property and projects. The district court affirmed. The Supreme Court affirmed, holding that the District had jurisdiction over the project. View "Stalowy v. Flathead Conservation District" on Justia Law

The Supreme Court affirmed the judgment of the district court dismissing Appellant's petition for judicial review for failure to exhaust Department of Fish, Wildlife and Parks (FWP) employee grievance remedies, holding that Appellant failed to exhaust administrative remedies.After Appellant, who worked for FWP, was reassigned to a different position, Appellant petitioned for judicial review. The district judge dismissed the petition with prejudice, determining that Appellant had not exhausted all available administrative remedies by filing a grievance regarding his reassignment. Appellant then filed a grievance, which was denied as untimely. Appellant did not file exceptions. Instead, Appellant filed a second petition for judicial review in the district court. The district court granted FWP's motion to dismiss, determining that it lacked subject matter jurisdiction over Appellant's petition based on his failure to exhaust administrative remedies. The Supreme Court affirmed, holding that the district court did not err in concluding that Appellant's failure to file exceptions barred his petition for judicial review. View "Flowers v. Board of Personnel Appeals, Montana Department of Fish, Wildlife & Parks" on Justia Law

The Supreme Court affirmed the order of the district court affirming the administrative decision of the Montana Tax Appeal Board (MTAB) regarding Petitioner's residency status and dismissing his petition for judicial review, holding that Petitioner did not sever his Montana residency during the years 2008 to 2012 for income tax purposes.The Montana Department of Revenue determined that Petitioner was a Montana resident from 2008 to 2012 and assessed Petitioner $515,321 of Montana resident income tax, interest, and penalties. The MTAB affirmed. On review, the district court denied Petitioner's petition regarding the issue of his residency. The Supreme Court affirmed, holding that the district court did not err when it affirmed MTAB's administrative decision that Petitioner did not sever his Montana residency for income tax purposes from 2008 to 2012. View "Greenwood v. Department of Revenue" on Justia Law

The Supreme Court reversed the judgment of the district court voiding a permit issued by the Department of Natural Resources and Conservation (DNRC) allowing the Montana Artesian Water Company (MAWC) to appropriate water, holding that while the DNRC issued its preliminary determination granting MAWC the water use permit based on incomplete data, because the statutory deadline had passed, the application was deemed correct and complete as a matter of law, and DNRC could not require the missing information.DNRC failed to identify defects in the application before the statutory deadline. The district court concluded that DNRC failed to comply with its own rules to determine whether the application was correct and complete and voided the permit without addressing other issues raised on judicial review. The Supreme Court reversed and remanded the case for further proceedings, holding (1) with or without the missing information, MAWC's application became correct and complete as a matter of law after the statutory deadline had passed; and (2) Mont. Code Ann. 85-2-302(5) forecloses an argument regarding compliance with application requirements the agency imposed by rule. View "Flathead Lakers v. Montana Department of Natural Resources & Conservation" on Justia Law

The Supreme Court affirmed the order of the district court granting the Montana Department of Public Health and Human Services' (DPHHS) motion for judgment on the pleadings, holding that the district court did not err in concluding that guardians had the authority to decide whether their wards would return to the At Home Assisted Living and At Home Also (collectively, At Home) facility.In 2017, the DPHHS suspended At Home's license for noncompliance with certain DPHHS rules and regulations and required the At Home residents to be relocated. After DPHHS reinstated At Home's license, some relocated residents who were wards with guardians appointed by DPHHS Adult Protection Services indicated their desire to return to the facility. The APS guardians refused to allow their wards to return. At Home and its owners sued DPHHS alleging intentional interference. The district court granted judgment on the pleadings for DPHHS. The Supreme Court affirmed, holding that the district court did not err in determining that the guardians had the authority to determine where the wards would reside and in thus granting judgment on the pleadings. View "Wingfield v. Department of Public Health & Human Services" on Justia Law

The Supreme Court affirmed in part and reversed in part the judgment of the district court reversing the Montana Commissioner of Political Practices' summary decision of complaint without informal contested case hearing against Montana Board of Regents of Higher Education member Martha Sheehy, holding that Sheehy did not violate the Montana Code of Ethics, that the Commissioner lacks enforcement authority over regents, and that regents are public employees subject to the Ethics Code.The Commissioner concluded that Regents are public employees subject to the Commissioner's Ethics Code enforcement authority and that Sheehy violated the Ethics Code by soliciting support for a ballot issue while suing public time, facilities, and equipment. The district court overruled the Commissioner's summary decision, concluding that the Ethics Code does not apply to regents, that the Commissioner lacked enforcement authority over regents, and that Sheehy's statements did not violate the Ethics Code. The Supreme Court reversed in part, holding (1) the Ethics Code applies to the Board of Regents of the Montana University System; (2) Sheehy did not violate the Ethics Code; and (3) the Commissioner does not have authority to enforce the Ethics Code against members of a state administrative board, like the Board of Regents. View "Sheehy v. Commissioner of Political Practices" on Justia Law

The Supreme Court affirmed in part and reversed in part the order of the Workers' Compensation Court (WCC) reversing in part and affirming in part the order of the Montana Department of Labor and Industry (DLI) directing Petitioner to attend a medical examination for a diagnostic update of Petitioner's medical problems attributable to his industrial injury, holding that the WCC erred.Specifically, the WCC held that New Hampshire must first authorize Petitioner to see a psychiatrist or psychologist before it could obtain a psychiatric examination pursuant to Mont. Code Ann. 39-71-605. New Hampshire provided workers' compensation insurance for Petitioner's employer. The Supreme Court reversed in part, holding (1) the WCC correctly held that Petitioner should not be compelled to attend a psychiatric examination before it was established that his complaints of insomnia and anxiety were causally related to his workers' compensation claim; but (2) the WCC erred in concluding that New Hampshire must pay for a medical examination and treatment of Petitioner's complaints before New Hampshire could obtain a section 605 exam. View "Neisinger v. New Hampshire Insurance Co." on Justia Law

The Supreme Court reversed the decision of the district court ruling that the Department of Environmental Quality (DEQ) had illegally renewed a permit allowing Western Energy Company to discharge rain and snow water into surrounding ditches and creeks from its Rosebud Coal Mine in Colstrip, Montana, holding that further fact-finding was required.In 2012, DEQ renewed a permit, which was modified in 2014, for Western Energy to discharge pollutants contained in waters that were created by ongoing precipitation-driven events. Plaintiffs brought this action alleging that the DEQ's permit renewal violated the Montana Water Quality Act and federal Clean Water Act. The district court granted summary judgment for the defendants. The Supreme Court reversed, holding (1) the Montana Board of Environmental Review was not required to make a new stream classification for the Yellowstone River drainage; (2) DEQ can lawfully allow the mine to monitor a sample of the discharges that are representative of the precipitation water being released, but the district court must determine whether those releases are actually representative of the mining and discharge activities that are taking place at the mine; and (3) remand was required to determine whether a "pollutant-impaired stream" should be monitored with a higher environmental standard than the current permit requires. View "Montana Environmental Information Center v. Western Energy Co." on Justia Law