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| Wyoming Supreme Court Cases |
SUSAN K. KRUCKENBERG and LINDA LEIF V. DING MASTERS, INC.
2008 WY 40
180 P.3d 895
Case Number: S-07-0084
Decided: 04/08/2008
APRIL
TERM, A.D. 2008
SUSAN K.
KRUCKENBERG and LINDA LEIF,
Appellants
(Plaintiffs),
v.
DING MASTERS,
INC.,
Appellee
(Defendant).
Appeal
from the
The
Honorable Edward L. Grant, Judge
Representing
Appellants:
Ronald G. Pretty,
Representing
Appellee:
Robert Carl Jarosh and Richard Grant
Schneebeck, of Hirst & Applegate, P.C.,
Before VOIGT, C.J., and GOLDEN,
HILL, KITE, and BURKE, JJ.
BURKE,
Justice.
[¶1]
Appellants,
Susan Kruckenberg and Linda Leif, appeal the district court’s grant of summary
judgment in Ding Masters’ favor. We
affirm.
[¶2]
Appellants
present the following issues:
1. Even if the Plaintiffs were deemed to
have filed no response at all in opposition to summary judgment, did the trial
court commit an error of law and/or violate the constitutional protections of
due process by granting the motion without a hearing and without notice of
intent to do so, thereby precluding Plaintiffs from arguing at the scheduled
hearing, that the movant’s motion and attached affidavits and depositions did
not establish movant’s right to summary judgment as a matter of
law?
2. Where the Plaintiffs filed their “Motion
to Continue Motion for Summary Judgment Hearing and to Strike Affidavits” in a
timely manner in response to Defendant’s Motion for Summary Judgment, did the
district court commit an error of law or deny Plaintiffs due process of law by
granting summary judgment prior to the court-scheduled hearing, thereby
precluding Plaintiffs from filing “supplemental memoranda or rebuttal
affidavits” in opposition to summary judgment at least one day prior to the
hearing, as allowed by W.R.C.P. Rule 6(c)?
3. Considering only the movant’s materials,
did the trial court commit an error of law when it found that no genuine issues
of material fact remained for trial and that Ding Masters was entitled to
summary judgment as a matter of law?
[¶3]
Ding
Masters states the issues as follows:
1. Does this Court lack jurisdiction over
an appeal from an order that is not identified in Appellants’ notice of appeal,
in violation of W.R.A.P. 2.07(a)(2)?
2. Did the district court correctly rule
that the undisputed evidence before it warranted summary judgment in favor of
Ding Masters?
3. Did the district court properly exercise
the discretion granted to it by Wyo. R. Civ. P. 56(e) by ruling on Defendant
Ding Masters, Inc.’s Motion for Summary Judgment without hearing oral
arguments?
4. Did the district court properly exercise
its discretion by declining to treat Appellants’ Motion for Continuance as a
“response” within the meaning of Wyo. R. Civ. P. 6(c) and
56?
[¶4]
Ding
Masters is an automotive paintless dent removal company based in
[¶5]
[¶6]
Appellants
contend that Ding Masters is vicariously liable for the negligence of Mr.
Gantz. Their claim of vicarious
liability is premised upon their contention that Mr. Gantz was an employee of
Ding Masters at the time of the collision.
Ding Masters denied Appellants’ claim of vicarious liability, contending
that Mr. Gantz was an independent contractor. On October 16, 2006, Ding Masters filed
a motion for summary judgment. Its
motion was supported by depositions, affidavits, and a supporting
memorandum. Ding Masters also
requested a hearing on its motion, and on October 31, 2006, the district court
scheduled a hearing for January 5, 2007.
Appellants did not file an affidavit or other evidence in opposition to
the motion.
[¶7]
Three
days after the district court set the hearing, Appellants filed a Motion to Continue Motion for Summary
Judgment Hearing and to Strike Affidavits. In their motion, Appellants alleged that
Ding Masters had interfered with Appellants’ attempts to depose the two
permanent Ding Masters’ employees.
They also contended that several affidavits and an exhibit that Ding
Masters had attached to its motion for summary judgment should be stricken. Appellants requested a hearing on their
motion, but a hearing was never scheduled.1
[¶8]
Ding
Masters filed a response to Appellants’ motion on November 13, 2006. The response generally denied
Appellants’ allegations of discovery misconduct and attached supporting
exhibits. Ding Masters also
filed—separately from its response to Appellants’ motion—a Motion for Entry of Judgment. In that motion, Ding Masters stated that
“[n]o other arguments, evidence, or affidavits were submitted [by Appellants] or
should be considered, and there are no genuine issues of material fact regarding
any of the claims asserted against Ding Masters.” The district court granted summary
judgment in Ding Masters’ favor on November 17, 2006. Appellants filed a notice of appeal from
that order. We dismissed that
appeal on January 16, 2007 because Appellants’ claims against Mr. Gantz, Hertz
Rent-A-Car, and Dinneen Motors had not yet been resolved, and the order granting
summary judgment was not a final, appealable order. Once those remaining claims were
resolved, Appellants filed a second notice of appeal, and we now consider that
appeal.
[¶9]
We first
address Ding Masters’ jurisdictional issue. Ding Masters contends that Appellants
failed to conform their notice of appeal to the requirements of W.R.A.P.
2.07(a)(2), (b)(1), and (b)(2).2 As a result, it asserts, this Court does
not have jurisdiction to hear this case pursuant to W.R.A.P. 1.03, which states
that “[t]he timely filing of a notice of appeal, which complies with Rule
2.07(a), is jurisdictional.”
[¶10]
The text
of Appellants’ notice of appeal is as follows:
COMES
NOW, the Appellants, Susan E Kruckenberg and Linda Leif, by and through their
attorney Ronald G Pretty, and does hereby give Notice of Appeal as to the Order
of Dismissal with Prejudice entered by the First Judicial District Court on the
15th day of February, 2007, and said appeal is to the Wyoming Supreme
Court.
Additionally,
we note that the caption named “ISAAC S GANTZ and HERTZ RENT-A-CAR, ET AL,
DINGMASTER” as defendants, and the certificate of service indicates that Ding
Masters’ counsel was served with this Notice of Appeal. The only document attached as an
appendix is the Order of Dismissal with
Prejudice, which dismissed Mr. Gantz and Hertz Rent-A-Car from the
suit.
[¶11]
Ding
Masters asserts that Appellants’ Notice
of Appeal did not satisfy Rule 2.07(a)(2) because it identified the Order of Dismissal as the appealable
order rather than the district court’s order granting summary judgment. An appealable order is “[a]n order
affecting a substantial right in an action, when such order, in effect,
determines the action and prevents a judgment.” W.R.A.P. 1.05(a). Generally, interlocutory orders merge
into the final order. See State Farm Mut. Auto. Ins. Co. v.
Shrader, 882 P.2d 813, 820 (
[¶12]
While
the award of summary judgment in Ding Masters’ favor certainly affected a
substantial right, it did not “determine the action” because Appellants still
maintained unresolved claims against several defendants.3 Because the order granting summary
judgment in Ding Masters’ favor was an interlocutory order, it merged with the
Order of Dismissal with Prejudice,
which was the final order in Appellants’ case. Appellants identified and attached the
Order of Dismissal with Prejudice to
their Notice of Appeal and satisfied
the requirements of W.R.A.P. 2.07(a)(2).4
[¶13]
Ding
Masters also contends that the Notice of
Appeal “did not identify Ding Masters as an [A]ppellee, and otherwise failed
to put Ding Masters on notice that the appeal was directed at Ding
Masters.” While Ding Masters is not
mentioned in the body of the Notice, it is named in the caption. Additionally, Ding Masters’ counsel was
served with both the premature and the timely notices of appeal, demonstrating
Appellants’ intention to appeal the summary judgment. Furthermore, Appellants’ claim against
Ding Masters was the only claim resolved on the merits, rather than through a
stipulated settlement. Under the
circumstances, it is difficult to see how Ding Masters could be unaware that it
was the target of the appeal.
[¶14]
Appellants
contend that they were not afforded an opportunity to respond to Ding Masters’
motion for summary judgment. They
also assert that our prior decisions interpreting W.R.C.P. 56 required the
district court to hold a hearing or to inform Appellants, before ruling, that no
hearing would be held.
Interpretation of procedural rules is a question of law that we review de novo. Olsen v. State, 2003 WY 46, ¶ 203, 67
P.3d 536, 606 (Wyo. 2003). If the
district court is not required to hold a hearing, we review its decision to hold
a hearing for abuse of discretion.
See Best v. State, 769 P.2d
385, 389 (
[¶15]
Appellants
primarily rely upon our decision in Lee
v. Board of County Comm’rs of the County of Sweetwater, 644 P.2d 189
(
We hold
here . . . that before motions for summary judgment can be properly
determined, the adverse party must, 1) be advised either by court rule or order that a motion for
summary judgment will be determined without oral hearing, and 2) be given notice
of a cutoff date for filing materials in opposition to a motion for summary
judgment.
Lee, 644
P.2d at 190 (emphasis added). The
point of this holding is that a non-moving party must be afforded a fair
opportunity to present evidence and arguments in opposition to the summary
judgment motion. E.g., McKennan v. Newman, 843 P.2d 602, 604-05
(
(1) Unless these rules or an order of the
court establish time limitations other than those contained herein, all motions,
. . . together with supporting affidavits, if any, shall be served at least 10
days before the hearing on the motion.
. . . [A] party affected by
the motion may serve a response, together
with affidavits, if any, at least three days prior to the hearing on the motion
or within 20 days after service of the motion, whichever is earlier. Unless the court by order permits
service at some other time, the moving party may serve a reply, if any, at least
one day prior to the hearing on the motion or within 15 days after service of
the response, whichever is earlier.
Unless the court otherwise orders, any party may serve supplemental
memoranda or rebuttal affidavits at least one day prior to the hearing on the
motion.
(2) A request for hearing may be served by
the moving party or any party affected by the motion within 30 days after
service of the motion. Absent a
timely request for hearing the court may,
in its discretion, determine the motion without a
hearing.
(Emphasis
added.) The rule provides a 20-day
period for the non-moving party to file a response in opposition to the
motion. Appellants did not file a
response in opposition to the motion within the 20-day time provided. Appellants were also notified by
W.R.C.P. 6(c)(2) that the district court may, “in its discretion, determine the
motion without a hearing.” In
addition, W.R.C.P. 56(e) requires that in the absence of a response from the
non-moving party, “summary judgment, if appropriate, shall be entered against
the adverse party.” In light of
Appellants’ failure to respond to Ding Masters’ motion for summary judgment, the
district court did not abuse its discretion.5
[¶16]
Appellants
also contend that their Motion to
Continue Motion for Summary Judgment Hearing and to Strike Affidavits
constituted a “response” for the purpose of allowing supplementation at least
one day prior to a hearing pursuant to W.R.C.P. 6(c)(1). We do not agree. Rule 56 contemplates two actions that
constitute responses. First, “the
adverse party’s response, by affidavits or as otherwise provided in this rule,
must set forth specific facts showing that there is a genuine issue for
trial.” W.R.C.P. 56(e). Second, Rule 56(f) allows an opposing
party to show, by affidavit, the reasons that the party is unable to present
opposing evidence. In sum: “[W]hen
the movant has met the initial burden required for the granting of a summary
judgment, the opposing party either must establish a genuine issue for trial
under Rule 56(e) or explain why he cannot yet do so under Rule 56(f).” Wright, Miller, & Kane, Federal
Practice and Procedure: Civil 3d § 2740, at 399 (1998)
(footnotes omitted).
[¶17]
Appellants
in this case did neither. Their
motion set out no specific facts supported by affidavits or other evidence. Indeed, their motion did not respond in
any way to the substance of Ding Masters’ summary judgment motion. Appellants cite no authority providing
any reason that we should regard their motion as a “response.” There was therefore nothing to
“supplement” pursuant to W.R.C.P. 6(c)(1).
[¶18]
To
summarize our procedural analysis, W.R.C.P. 6(c) notified Appellants that they
must respond to the summary judgment motion within 20 days. Appellants failed to do so. The rule notified Appellants that the
district court could, in its discretion, rule on the motion without a
hearing. Furthermore, W.R.C.P.
56(e) required that, in the absence of a response from the non-moving party,
“summary judgment, if appropriate, shall be entered against the adverse
party.” The district court did not
abuse its discretion in determining the motion without a
hearing.
[¶19]
We turn
now to Appellants’ substantive claim that Ding Masters failed to establish that
there was no genuine issue of material fact and that Ding Masters was entitled
to judgment as a matter of law.
Whether a district court correctly granted summary judgment is an issue
of law that we review de novo. Linton v. E.C. Cates Agency, Inc., 2005
WY 63, ¶ 7, 113 P.3d 26, 28 (Wyo. 2005).
When conducting our review, we construe the record in the light most
favorable to the party opposing the motion, affording that party the benefit of
all reasonable inferences.
[¶20]
Whether
summary judgment is proper is determined pursuant to the following
framework:
Summary judgment is
proper “if the pleadings, depositions, answers to interrogatories, and
admissions on file, together with the affidavits, if any, show that there is no
genuine issue as to any material fact and that the moving party is entitled to a
judgment as a matter of law.”
W.R.C.P. 56(c). A genuine
issue of material fact exists when a disputed fact, if proven, would establish
or refute an essential element of a cause of action or a defense that a party
has asserted.
[¶21]
The
dispositive issue presented in Ding Masters’ motion for summary judgment was
whether Mr. Gantz was an independent contractor. In determining whether an individual is
an employee or independent contractor, we have previously stated
that:
The
overriding consideration in distinguishing between master-servant relationships
and employer-independent contractor relationships is the employer’s right to
control the means and manner of the work. See, e.g., Stratman v. Admiral
Beverage Corp., 760 P.2d
974, 980 (
Such a
right to control is a prerequisite of the master-servant relationship.
Conversely, the absence of such a right of control is a prerequisite of an
independent contractor relationship. Master-servant and independent contractor
are thus opposite sides of the same coin; one cannot be both at the same time
with respect to the same activity; the one necessarily negatives the other, each
depending on opposite answers to the same right of control
inquiry.
Coates
v. Anderson, 2004 WY
11, ¶ 7, 84 P.3d 953, 957 (Wyo. 2004). When a worker is an independent
contractor, the employer is typically interested only in the results of the work
and does not direct the details of . . . how the work is performed.
Noonan, 713 P.2d at 166;
Natural Gas Processing Co. v.
When an
express contract exists between the parties, it is important evidence in
defining the relationship, although it is not conclusive of the issue.
Coates, ¶ 14;
Noonan, 713 P.2d at 164.
Other factors which are important to the determination include: the method of
payment, the right to terminate the relationship without incurring liability,
the furnishing of tools and equipment, the scope of the work, and the control of
the premises where the work is to be done. Stratman, 760 P.2d at 980; Combined
Insurance, 584 P.2d at
1043. Another factor to be considered is whether the worker devotes all of his
efforts to the position or if he also performs work for others.
With
regard to the “method of payment” criterion, an independent contractor usually
determines the price of his services and bills for his services on a regular
basis. Noonan, 713 P.2d
at 166, citing Simpson,
770 F.2d at 501; Combined Insurance, 584 P.2d at 1043. On the other
hand, when the employer determines the worker’s rate of pay and takes deductions
out of his paychecks for federal income taxes, Social Security, and Medicare
then a master-servant relationship is indicated.
Diamond
B Svcs., Inc. v. Rohde, 2005
WY 130, ¶¶ 28-30, 120 P.3d 1031, 1041-42 (Wyo. 2005).
[¶22]
Ding
Masters submitted affidavits, deposition excerpts, and other materials in
support of its motion for summary judgment. Appellants filed no response in
opposition to the motion and failed to submit any affidavits or other evidence
in opposition to the motion. The
district court concluded that no genuine issue of material fact existed and that
Mr. Gantz was an independent contractor. We agree with the district court’s
conclusion.
[¶23]
The
undisputed facts establish that Ding Masters had only four full-time
employees. Mr. Gantz was not one of
them. Ding Masters had written
employment agreements with the full-time employees. It had no such agreement with Mr.
Gantz. The written agreement with
the full-time employees included a non-compete provision prohibiting them from
working for a competitor for two years.
It is undisputed that Mr. Gantz was free to leave his employment with
Ding Masters at any time with no restrictions on his future employment. Mr. Gantz received nearly double the
commission on work he performed compared to the full-time employees. The full-time employees received
vacation and retirement benefits.
Mr. Gantz did not. Ding
Masters withheld taxes and paid for unemployment insurance for its full-time
employees. It did not withhold any
taxes from Mr. Gantz’s pay and Mr. Gantz was not covered by unemployment
insurance. Ding Masters provided
tools for its full-time employees.
Mr. Gantz was required to provide his own tools. Ding Masters provided training to its
full-time employees but provided no training to Mr. Gantz. There is no evidence in the record
indicating that Ding Masters controlled the manner in which Mr. Gantz performed
the repairs on the vehicles or selected the vehicles for Mr. Gantz to
repair. Appellants do not cite any
evidence in the record indicating that Ding Masters controlled, supervised, or
even required Mr. Gantz to drive any of the repaired vehicles. Mr. Gantz was driving the vehicle
involved in the collision at the request of Mr. Buck Thornley, but it is
undisputed that he was not one of the full-time employees. When we apply the appropriate analysis
mandated by Diamond B, we conclude
that Ding Masters established its prima
facie case that Mr. Gantz was an independent contractor. Once Ding Masters had established its prima facie case that Mr. Gantz was an
independent contractor, the burden shifted to Appellants to come forward with
evidentiary materials creating a genuine issue of material fact. Appellants failed to meet their burden
and made no attempt to submit evidentiary materials in
opposition.
[¶24]
On
appeal, Appellants assert that the evidentiary materials relied upon by Ding
Masters contain information that creates a genuine issue of material fact. Though their argument is less than
clear, we divine it to be a contention that Ding Masters failed to establish its
prima facie case. We note that Appellants failed to point
out these “facts” to the district court, and pursuant to the recently enacted
W.R.C.P. 56.1,6 that may be fatal to their
appeal. Still, under case law
applicable when the district court considered the motion for summary judgment,
we may consider such information in the course of our de novo review. See, e.g., Lawson v. Garcia, 912 P.2d 1136, 1138
(
[¶25]
In the
fact section of their brief, Appellants provide a “bullet” list of facts
relating loosely to the relationship between Ding Masters and
Mr. Gantz. Presumably these
points are intended to demonstrate genuine issues of material fact that should
have precluded summary judgment in favor of Ding Masters. With the single exception discussed in
the next paragraph, Appellants barely mention these bullet points again in the
argument section of their brief.
They provide no pertinent legal authority, and make no cogent argument,
to indicate how or whether the alleged facts suggest that Mr. Gantz was an
employee rather than a contractor.7 We therefore decline to consider these
aspects of their argument any further.
Schultz v. State, 2007 WY 162,
¶ 18, 169 P.3d 81, 87 (Wyo. 2007); Rion
v. State, 2007 WY 197, ¶ 2, 172 P.3d 734, 735-36 (Wyo. 2007).
[¶26]
The
discussion section of Appellants’ brief on this issue relies heavily upon one of
the bullet points: Ding Masters
required Mr. Gantz to wear a Ding Masters’ t-shirt at work. This fact, Appellants urge, “by itself
is sufficient to take this issue to a jury.” We disagree. Appellants do not cite a single case to
inform us whether required work apparel is more indicative of employee status or
of contractor status. Appellants
have simply failed to demonstrate that the mandatory t-shirt raises a genuine
issue of material fact regarding whether Mr. Gantz was an employee or a
contractor.
[¶27]
Ding
Masters successfully presented a prima
facie case that it was entitled to summary judgment. Appellants did not come forward with
evidentiary materials to counter that case, nor have they demonstrated that Ding
Masters’ own materials raised genuine issues of material fact. We therefore uphold the district court’s
grant of summary judgment in Ding Masters’ favor.
[¶28]
Affirmed.
FOOTNOTES
1Appellants
have not appealed the district court’s failure to set their motion for hearing
nor have they appealed the district court’s failure to rule on their
motion.
2W.R.A.P.
2.07 states:
(a) The
notice of appeal shall:
(1)
Specify the party or parties taking the appeal;
(2)
Identify the judgment or appealable order, or designated portion appealed;
and
(3) Name
the court to which the appeal is taken.
(4) Be
accompanied by the certificate or endorsement required by Rule
2.05.
(b) In a
civil case, the notice of appeal shall have as an
appendix:
(1) All
pleadings that assert a claim for relief whether by complaint, counter-claim or
cross-claim and all pleadings adding parties; and
(2) All
orders or judgments disposing of claims for relief and all orders or judgments
disposing of all claims by or against any party; and
(3) The
judgment or final order.
(c) In a
criminal case, the notice of appeal shall have as an appendix the judgment and
sentence or other dispositive order.
3We note
the contrast between this case and Merchant v. Gray, where there were no
remaining defendants or issues, and the order granting summary judgment in the
defendants’ favor was the appealable order. 2007 WY 208, ¶¶ 5-6, 173 P.3d 410, 412
(Wyo. 2007).
4Ding
Masters correctly notes that Appellants failed to satisfy W.R.A.P. 2.07(b)(1)
and (b)(2). Ding Masters, however,
does not claim that the violations of W.R.A.P. 2.07(b) are jurisdictional. Exercising our discretion, we decline to
dismiss this appeal for those violations.
W.R.A.P. 1.03.
5Effective
March 1, 2007, W.R.C.P. 6(c)(2) bars decision on a motion without a hearing if
resolution of that motion “will determine the final rights of a party in an
action.”
6W.R.C.P.
56.1, effective July 1, 2008, states the following:
Upon any
motion for summary judgment pursuant to Rule 56 of the Rules of Civil Procedure,
in addition to the materials supporting the motion, there shall be annexed to
the motion a separate, short and concise statement of the material facts as to
which the moving party contends there is no genuine issue to be
tried.
In
addition to the materials opposing a motion for summary judgment, there shall be
annexed a separate, short and concise statement of material facts as to which it
is contended that there exists a genuine issue to be
tried.
Such
statements shall include pinpoint citations to the specific portions of the
record and materials relied upon in support of the parties’
position.
7We note
that Appellants’ reply brief addressed the summary judgment issue somewhat more
coherently than their opening brief.
Appellants also responded to the jurisdictional question that Ding
Masters first raised in its brief.
We consider Appellants’ reply brief only to the extent that it discusses
the jurisdictional issue. W.R.A.P.
7.03; Furman v. Rural Elec. Co., 869
P.2d 136, 139 (
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