Justia Alaska Supreme Court Opinion Summaries

Two defendants in a wrongful death suit settled with the decedent’s estate, resulting in a recovery for her minor child’s benefit. The estate’s attorney received payment from the settlement, but the remaining funds were reserved against potential fee awards to the remaining defendants should they prevail in the ongoing litigation. The estate appealed, arguing the remainder of the funds should have been immediately disbursed for the child’s benefit. The non-settling defendants cross-appealed, arguing that the entire settlement fund should have been reserved for their recoverable costs and fees. Because the prevailing defendants would have no other source from which to recover expenses, the Alaska Supreme Court affirmed the superior court’s reservation of settlement funds. But because the Supreme Court construed the common fund doctrine to apply, it also affirmed the court’s distribution of the estate’s attorney’s fees and costs. View "Doan v. Banner Health Inc., et al." on Justia Law

The employee of a subcontractor on a state public works project sued the prime contractor’s surety bond for unpaid labor under Alaska’s Little Miller Act. The trial court ruled the employee failed to give notice to the contractor within the statutorily required 90 days of his last date of labor on the project. The trial court entered a directed verdict against the employee. The employee appealed to the superior court, which denied the appeal, and then petitioned the Alaska Supreme Court for hearing. This case presented two issues of first impression: (1) how to define “labor;” and (2) whether “notice” was effective on the date of mailing or the date of receipt. Under the Little Miller Act, the Supreme Court defined “labor” as work that was “necessary to and forwards” the project secured by the payment bond, and held the effective date of “notice” to be the date notice is sent via registered mail. The superior court judgment denying the employee's appeal was reversed and the matter remanded for further proceedings. View "Dat Luong DBA LVDH Construction v. Western Surety Co." on Justia Law

A federal district court certified two questions of law to the Alaska Supreme Court. Schlumberger Technology Corporation was a Texas corporation providing technology services to the oil and gas industry in Alaska. Travis Buntin worked for Schlumberger in Alaska until early 2016. Shortly thereafter Buntin sued Schlumberger in federal court alleging, among other things, failure to pay overtime compensation in violation of the Alaska Wage and Hour Act (AWHA). Schlumberger responded that Buntin was not entitled to overtime compensation because the AWHA exempts individuals employed “in a bona fide executive, administrative, or professional capacity” from overtime payment. Responding to the federal court's questions, the Alaska Supreme Court concluded that an employer had to prove that an AWHA exemption applied by a preponderance of the evidence, and reversed precedent to the contrary. The Supreme Court also concluded that the interpretive principle in Encino Motorcars v. Navarro, 138 S. Ct. 1134 (2018) that courts must give federal Fair Labor Standards Act (FLSA) exemptions a fair interpretation applied when the AWHA text explicitly requires alignment with FLSA interpretations. View "Buntin v. Schlumberger Technology Corporation" on Justia Law

An Alaska State Commission for Human Rights (State) employee with preexisting medical conditions was involved in a work-related motor vehicle accident in January 2017. The employee consulted with Dr. Teresa Bormann two days after the accident; Dr. Bormann referred the employee to chiropractic treatment. After several month of treatment, Dr. Bormann referred the employee to physical therapy at United Physical Therapy (UPT) for chronic neck pain and headache. After an evaluation UPT recommended eight weeks of twice weekly physical therapy. Dr. Bormann endorsed the treatment plan, and the employee’s symptoms improved enough that she reduced her physical therapy visits to once a week beginning in mid-January. She saw UPT three times in February 2018. Payment for these February visits became the main dispute before the Board. The State arranged an employer’s medical evaluation (EME) with a neurologist and an orthopedist. The EME doctors diagnosed the employee with a cervical strain caused by the accident as well as several conditions they considered preexisting or unrelated to the work injury. After the State filed a retroactive controversion of medical treatment, the employee’s healthcare provider filed a workers’ compensation claim seeking payment for services it provided before the controversion was filed. The State disputed its liability for payment, and after several prehearing conferences, the Alaska Workers’ Compensation Board set a hearing on the merits of the provider’s claim. The Board ordered the State to pay the provider approximately $510.00 for the services. The State appealed, disputing several procedural aspects of the decision, and the Alaska Workers’ Compensation Appeals Commission affirmed the Board’s decision. Finding no reversible error, the Alaska Supreme Court affirmed the Commission’s decision. View "Alaska, Department of Health and Social Services v. Thomas et al." on Justia Law

A patient sued a hospital, arguing the hospital violated the Alaska Health Care Decisions Act (HCDA) when it temporarily assumed decision-making authority over his medical care while he was incapacitated and treated him without his consent or that of his parents, whom he had previously authorized to make medical decisions on his behalf if he were rendered incompetent or incapacitated. The hospital argued it was entitled to immunity under the HCDA because it held a good faith belief that the patient’s parents lacked authority to make medical decisions for him, based on conduct that convinced health care providers at the hospital that the parents were not acting in the patient’s best interest. The superior court agreed with the hospital and granted its summary judgment motion, concluding that the immunity provisions applied. The superior court concluded the hospital was entitled to immunity because its doctors had acted in good faith and in accordance with generally accepted medical standards. In a matter of first impression for the Alaska Supreme Court, it determined the superior court overlooked the requirement for specific good faith as to the authority or lack thereof of the patient’s surrogate or agent. The grant of summary judgment was reversed and the matter remanded for further proceedings. View "Bohn v. Providence Health & Srvs - Washington" on Justia Law

PLC, LLC and its co-party MH2, LLC (collectively PLC) held an overriding royalty interest in an Alaska oil and gas lease in the Ninilchik Unit. The unit operator applied to expand a subset of that unit called the Falls Creek Participating Area. After some back and forth over the extent of the expanded area, the Department of Natural Resources (DNR) approved the expansion. The lease area in which PLC held royalty interests was included in the original application by the unit operator, but it was left out of the approved application. PLC appealed the decision to DNR’s Commissioner (the Commissioner), who dismissed the appeal on the grounds that PLC lacked standing. PLC appealed to the superior court, which affirmed the Commissioner’s decision. Because PLC has a financial stake in DNR’s decision whether to approve the unit operator’s proposal for unit expansion to include the PLC-associated lease, the Alaska Supreme Court concluded PLC had standing, reversed the superior court decision, and remanded to the agency for further consideration. View "PLC, LLC. v. Alaska, Department of Natural Resources" on Justia Law

Homer, Alaska's Advisory Planning Commission (the Commission) approved a conditional use permit for the owners of a bicycle shop seeking to expand their entryway and install a covered porch. An objecting Homer resident appealed a superior court’s decision to affirm the permit approval, raising numerous procedural, legal, and factual issues. His main contentions were grouped into five general categories: (1) the Commission should have used a variance and not a conditional use permit; (2) the approval process violated various constitutional rights; (3) the Commission erred in its findings supporting the project; (4) the City Planner’s participation in the appeal was inappropriate; and (5) the judge was biased against him. The Alaska Supreme Court determined none of his arguments had merit. The Supreme Court concluded the Homer City Council, in an appropriate use of its legislative discretion, chose the conditional permitted use process to grant certain setback reductions. The Commission’s approval process and findings complied with applicable city code requirements and adequately protected the objecting resident’s rights. The City Planner’s participation in the appeals process was appropriate, and the judge displayed no disqualifying bias. Therefore, the decision to uphold the Commission’s approval of the conditional use permit was affirmed. View "Griswold v. Homer Advisory Planning Commission" on Justia Law

For years, a municipality issued, and sought reimbursement for, construction bonds that did not satisfy the equal payments requirement of Alaska's school debt reimbursement program, and the Department of Education and Early Development reimbursed the municipality. But when the municipality, after a several year absence, sought reimbursement for additional bonds that did not comply with the equal payments requirement, the Department denied the reimbursement. The municipality sought administrative review, and the Department’s commissioner upheld the decision. The municipality then appealed to the superior court and requested a trial de novo. The superior court denied the request for a trial de novo and affirmed the Department’s decision. The municipality then appealed both the Department’s and superior court’s decisions. Because neither the Department nor the superior court erred, the Alaska Supreme Court affirmed their decisions. View "North Slope Borough v. Alaska Dept. of Education & Early Devel." on Justia Law

The Alaska Office of Children’s Services (OCS) took custody of three Indian children after reports of substance abuse and domestic violence in their mother’s home. For two years OCS was unable to contact the children’s father, who also struggled with substance abuse issues. Once OCS did contact the father, both he and the mother consented to temporarily place the children with a guardian. OCS then reduced its efforts to reunify the children with their father. Then the children’s mother died. The father was incarcerated for several months; he completed classes and substance abuse treatment. After he was released, he maintained his sobriety and began limited contact with OCS and with his children. Approximately four years after taking custody of the children, OCS moved to terminate the father’s parental rights. After the superior court terminated his rights, the father appealed, arguing OCS failed to make active efforts to reunify him with his children as required by ICWA. To this the Alaska Supreme Court concurred, and reversed the termination of his parental rights. View "C.J. (Father) v. Alaska, DHSS, OCS" on Justia Law

Members of the plaintiff class were former Alaska State employees. When they enrolled in the State employee retirement system, a statute provided that if they left eligible employment, withdrew their contributions to the system, and later returned to eligible employment, they could repay their withdrawn contributions, be reinstated to their original benefits level, and have their credited service time restored. The statute was later repealed. The superior court ruled on summary judgment that this repeal did not diminish or impair the former employees’ accrued benefits and was therefore constitutional. The Alaska Supreme Court concluded the statutory reinstatement right was an accrued benefit of the retirement system protected against diminishment or impairment by article XII, section 7 of the Alaska Constitution. The Court therefore reversed the superior court’s judgment and remanded the case for further proceedings. View "Metcalfe v. Alaska" on Justia Law