Hamilton v. Alpha Servs., LLC

• Decision Date: 22 June 2015
• Docket Number: No. 42521.,42521.
• Citation: 351 P.3d 611,158 Idaho 683
• Court: Idaho Supreme Court
• Parties: Todd Lawrence HAMILTON, Deceased, Claimant–Respondent, v. ALPHA SERVICES, LLC, Employer, and Dallas National Insurance Co., Surety, Defendants–Appellants.

158 Idaho 683

351 P.3d 611

Todd Lawrence HAMILTON, Deceased, Claimant–Respondent,

v.ALPHA SERVICES, LLC, Employer, and Dallas National Insurance Co., Surety, Defendants–Appellants.

No. 42521.

Supreme Court of Idaho, Boise, May 2015 Term.

June 22, 2015.

Bowen & Bailey, LLP, Boise, for appellants. Nathan T. Gamel argued.

Starr Kelso, Coeur d'Alene, argued for respondent.

J. JONES, Justice.

Todd Hamilton died in an automobile accident while employed by Alpha Services, LLC. The Idaho Industrial Commission found that the accident arose out of and in the course of Hamilton's employment and determined that Hamilton's widow and two children are entitled to statutory death benefits under Idaho's worker's compensation laws. Alpha and its surety, Dallas National Insurance Company, argue on appeal that the Commission's decision is not supported by substantial and competent evidence. We affirm.

I.FACTUAL AND PROCEDURAL BACKGROUND

Todd Hamilton was hired in September of 2011 by Alpha Services, LLC, to work at its logging operation in Wyoming. The operation was located on United States Forest Service land in southern Wyoming approximately forty miles southwest of Laramie and twenty-eight miles northeast of Walden, Colorado, spanning Wyoming Highway 230. The active logging site was located about three-quarters of a mile along a dirt road extending west from Highway 230. Approximately one hundred feet south on Highway 230, another dirt road extends east to an area, roughly a hundred feet from the highway, in which Alpha placed a shipping container to store supplies and equipment. Hamilton was hired primarily to operate logging equipment at the Wyoming site, but was also required to perform services as a mechanic. He moved to Wyoming from his home in Rathdrum, Idaho, to begin work on September 17, 2011, and rented a house on Highway 230 about a mile north of the road leading to the active logging site. Though Alpha provided Hamilton with an advance to help him secure housing, it did not directly compensate Hamilton for his housing and travel expenses.

On December 7, 2011, Hamilton and Leodegardio Cortes de la Cruz ("Leo") were to run back-to-back shifts on the same piece of logging equipment. Leo had worked at the Wyoming site before Hamilton was hired, but was returning there to begin work on December 7 after having worked for Alpha at another logging site. On December 6, Hamilton and Leo discussed by telephone how they would coordinate the double shift. In consultation with Robert Wade Zaharie, Hamilton's supervisor and Alpha's co-owner, they determined that Hamilton would work a morning shift, from two or three to noon, when Leo would begin his afternoon shift.

Hamilton and Leo also discussed how they would share use of the company vehicles. Alpha had three company trucks available at the Wyoming site: a blue Dodge service truck, a white Dodge service truck, and a white Mazda pickup. The service trucks, but not the Mazda, were equipped with a large number of tools for repair and maintenance of the logging equipment. Because of its fuel efficiency, the Mazda was used primarily to retrieve parts from Laramie and elsewhere. Alpha required that service trucks be available for use at the active logging site and prohibited the use of any company vehicles for personal errands. However, Hamilton was permitted to drive the service truck from his rental home to work and back, as long as it could be retrieved by anyone who might need it. Hamilton used the blue service truck during his time with Alpha. Leo had used the same truck when he worked at the Wyoming site. According to Leo, he and Hamilton addressed the use of the blue service truck in their conversation on December 6. A private investigative report submitted as an exhibit by Alpha attributes the following input to Leo:

Mr. Hamilton and Leo were planning to have a service truck at all times at the job site. [Leo] believes that he and Mr. Hamilton were going to trade trucks at some point. [Leo] stated that the service truck has all the tools so it would be needed at the job site. Since this would be their first day working the same job, however, separate shifts, they were attempting to work out the details about who would have what truck and at what time.

Leo later testified that he and Hamilton "were going to see how it was going to work," and were planning to discuss switching trucks at some point, but had no arrangement to meet on December 7 to do so. Leo also claimed that there was no immediate need to switch trucks because he had the white service truck available to him.¹

At around three on the morning of December 7, Hamilton began his shift. At around 6:30 a.m., Hamilton woke Zaharie to tell him that a hydraulic cylinder on the piece of equipment he was operating was leaking. After Hamilton and another employee removed the cylinder, Zaharie took the part to Laramie to be repaired. Zaharie returned with the repaired cylinder at around 11:30 a.m., and Hamilton and another employee reinstalled the part. At about noon, Leo began his shift, and Hamilton left the active logging site in the blue service truck.

There is no evidence concerning Hamilton's activities between noon and 2:00 p.m. At 2:05 p.m., Hamilton called his wife, Tawni, in Rathdrum, Idaho.² According to Tawni, Hamilton told her he had worked an early shift, was tired, felt ill, was frustrated that the logging equipment was malfunctioning, and was driving to purchase groceries. The nearest grocery store was roughly thirty miles away in Walden, Colorado. Though Hamilton's dependents argued below that it was unclear whether he drove his personal vehicle or the blue service truck to Walden, the Commission found that he drove the blue service truck. That finding is not disputed on appeal. By running a personal errand in a company vehicle, Hamilton violated Alpha's policies regarding the use of those vehicles. Hamilton called Tawni again at 2:44 p.m. and that call lasted fourteen minutes. Tawni testified that Hamilton told her he had to return to the job site and seemed frustrated regarding that fact.³

Minutes after ending this conversation, Hamilton was involved in a fatal accident with a semi-trailer truck. According to a report from the Wyoming Highway Patrol, Hamilton backed the blue service truck out of the dirt road leading to the active logging site and travelled south on Highway 230.⁴ The report states that as Hamilton attempted a left-hand turn onto the dirt road leading to Alpha's storage container he was broadsided by a southbound semi-truck that had moved into the left hand lane in an attempt to pass. Hamilton's vehicle was pushed off the road and the trailer of the semi-truck came to rest on the cab of the blue service truck.

Just prior to the accident, Leo drove the white service truck to the storage container to retrieve hydraulic fluid. He was in the storage container and heard the accident when it occurred. Leo recognized the blue service truck and asked a nearby resident to call 911. Hamilton was pronounced dead when police arrived on the scene a short time later.

Tawni filed a worker's compensation complaint in October of 2012. Alpha and Dallas National responded by denying benefits, arguing that the accident did not arise out of and in the course of Hamilton's employment.

A referee held a hearing on July 17, 2013. On January 9, 2014, the referee proposed findings of fact and conclusions of law, and made a recommendation with respect to benefits. The referee determined that, more likely than not, the accident arose out of and in the course of Hamilton's employment. Given these factual findings, the referee recommended awarding Tawni and Hamilton's two children burial and income benefits. Though Hamilton's dependents requested attorney fees pursuant to Idaho Code section 72–804, the referee recommended denying that request. On the same day, the Commission adopted the referee's proposed findings of fact and conclusions of law, as well as its recommendation to award benefits and to decline to award attorney fees.

Alpha and Dallas National filed a motion for reconsideration arguing that there was no substantial and competent evidence to support the finding that the accident arose out of and in the course of Hamilton's employment. The Commission denied that motion. Alpha and Dallas National promptly appealed, making the same arguments they made below. They argue that, at best, the evidence suggests Hamilton was on his way to work, but had not yet arrived. Hamilton's dependents argue that the Commission erred in declining to award fees under Idaho Code section 72–804 and that this Court should award fees on appeal under the same statute.

II.ISSUES ON APPEAL

1. Whether there is substantial and competent evidence to support the Commission's finding that the accident arose out of and in the course of Hamilton's employment.

2. Whether the Commission erred in failing to award attorney fees to Hamilton's dependents under Idaho Code section 72–804.

3. Whether Hamilton's dependents are entitled to attorney fees on appeal under Idaho Code section 72–804.

III.DISCUSSION

A. Standard of Review

When this Court reviews a decision of the Industrial Commission, it exercises free review over questions of law, but reviews questions of fact only to determine whether substantial and competent evidence supports the Commission's findings. Substantial and competent evidence is relevant evidence that a reasonable mind might accept to support a conclusion. Because the Commission is the fact finder, its conclusions on the credibility and weight of the evidence will not be disturbed on appeal unless they are clearly erroneous. This Court does not weigh the evidence or consider whether it would have reached a different conclusion from the evidence presented.

Eacret v. Clearwater Forest Indus., 136 Idaho 733, 735, 40 P.3d 91, 93 (2002) (internal citations omitted). The Court "views all facts and inferences in the light most favorable to the party who...