Justia Vermont Supreme Court Opinion Summaries

Articles Posted in Labor & Employment Law
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During road-construction operations, a truck owned or operated by Eustis Cable Enterprises, LTD, which was participating in the construction activity, struck and killed a flagger for Green Mountain Flaggers. The truck hit the flagger when the driver began backing it up in the southbound breakdown lane on Route 7 in Middlebury, Vermont. In response to the accident, the Commissioner of Labor investigated and ultimately cited Eustis for two alleged violations of 29 C.F.R. 1926.601: a failure to ensure that the vehicle’s backup alarm was audible above the surrounding noise level; and a failure to assure the safety devices were in a safe condition at the beginning of each shift. The Commissioner assessed $11,340 in fines ($5670 for each violation). Eustis appealed the civil division’s affirmance of the Vermont Occupational Safety and Health Act (VOSHA) review board’s determination that Eustis failed to meet VOSHA’s motor-vehicle requirements and the resulting assessment of a fine for the violations. The Vermont Supreme Court concluded the evidence and findings did not support the board’s conclusion that Eustis was on notice of the violation and accordingly reverse and strike the citation alleging a violation of 29 C.F.R. 1926.601(b)(14) and associated penalty. View "Commissioner of Labor v. Eustis Cable Enterprises, LTD" on Justia Law

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This case arose out of a dispute between an employer, MyWebGrocer, and an employee, David Tanzer, regarding the payment of phantom shares MyWebGrocer promised in an agreement between the parties. MyWebGrocer appealed when the trial court granted summary judgment in Tanzer's favor, finding that MyWebGrocer breached this agreement. The employer also appealed the jury verdict finding that the company breached the covenant of good faith and fair dealing, the jury’s damages awards, and a post-verdict order awarding Tanzer attorney’s fees in connection with the litigation between the parties. Tanzer appealed the trial court’s post-verdict decision on attorney’s fees as well, arguing that the court erroneously limited the amount of fees that he could collect. Tanzer also appealed the trial court’s decision on summary judgment that the amount he was due under the phantom share plan did not fall within the definition of wages for purposes of Vermont’s wage statutes. After review, the Vermont Supreme Court reversed the trial court’s decision regarding whether MyWebGrocer breached the parties’ agreement and vacated the jury’s verdict and damages awards in connection with Tanzer’s claim that MyWebGrocer breached the covenant of good faith and fair dealing. The Supreme Court also reversed the trial court’s decision at summary judgment on Tanzer’s statutory claim and concluded the value of the phantom shares fell within the relevant statutory definition of wages. The Court did not need to address the court’s post-verdict decision regarding whether Tanzer could collect attorney’s fees. View "Tanzer v. MyWebGrocer, Inc." on Justia Law

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Plaintiffs Donald and Preston Sweet, who are father and son, sued defendants Roy and Catherine St. Pierre in June 2014 alleging that defendants failed to pay them wages for their work improving a stand of maple trees on defendants’ land for maple sugaring. Plaintiffs appealed the trial court’s judgment in favor of defendants on plaintiffs’ claim for unpaid wages under the Prompt Pay Act (PPA). Plaintiffs argued the trial court erred in concluding that no contract existed between the parties as required to support a PPA claim. Defendants cross-appealed, arguing the court should have awarded them attorney’s fees because they were the substantially prevailing party and erroneously excluded evidence relevant to their assault claim. The Vermont Supreme Court affirmed the trial court’s decision on the merits, but reversed and remanded for it to award reasonable attorney’s fees to defendants. View "Sweet v. St. Pierre" on Justia Law

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Plaintiff Ira Martel appealed the trial court’s decision granting summary judgment on his personal injury claims in favor of his employer, defendant Connor Contracting, Inc., and two co-employees, defendants Jason Clark and Stephen Connor. This case was about two separate exceptions to the exclusivity rule of workers’ compensation, the first of which applied when an employee is injured other than by accident, and the second of which applied when a person or entity could be held personally liable for an employee’s injuries. In August 2013, plaintiff was part of a four-person crew employed by Connor Contracting to perform roof repair work at the Montpelier Health Center. Defendant Jason Clark was the worksite foreperson, and defendant Stephen Connor was the treasurer of Connor Contracting and one of the company owners. While working on the project, plaintiff and the other members of the roofing crew used a personal-fall-arrest system (PFAS), which was safety equipment provided by Connor Contracting and required by the company’s safety program rules, the federal Occupational Safety and Health Administration, and the Vermont Occupational Safety and Health Administration (VOSHA). Plaintiff was completing the soffit work when he fell from the edge of the roof, hit the ground below, and was injured. He was not wearing a PFAS at the time he fell. The parties disputed whether a complete PFAS system was still at the project site on that day and available for plaintiff’s use. Connor Contracting disputes the removal of the PFAS and states that defendant Clark left two harnesses and lanyards at the project site. The Vermont Supreme Court held plaintiff’s action against Connor Contracting was barred by the exclusive remedy provision of Vermont’s Workers’ Compensation Act. Furthermore, plaintiff’s action against the individual defendants is barred because the acts that plaintiff alleges give rise to liability fell within the scope of a nondelegable corporate duty and defendants, therefore, cannot be held personally liable for plaintiff’s injuries. View "Martel v. Connor Contracting, Inc." on Justia Law

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The State appealed a Vermont Labor Relations Board decision interpreting a collective bargaining agreement between the State and the Vermont State Employees’ Association (VSEA). The question at issue was whether a change made to the agreement’s family-leave provisions in 1999 limited an employee’s right to use more than six weeks of accrued, paid sick leave while on family leave because of the employee’s own serious illness. The Board found that, although the agreement itself was ambiguous, extrinsic evidence showed that the parties did not intend to limit the use of sick leave. The State argued on appeal to the Vermont Supreme Court that the contract was not ambiguous and that the limitation on use of sick leave applies. Finding no reversible error, the Supreme Court affirmed the Board. View "In re Grievance of Kobe Kelley" on Justia Law

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Claimant Lionel Beasley appealed a decision of the Employment Security Board, which denied him unemployment compensation benefits because it found that he performed services for an educational institution and was considered to have a reasonable assurance to perform services in a similar capacity for the next regularly scheduled academic term under 21 V.S.A. 1343(c)(1). Claimant was first employed by Champlain College as an adjunct professor during the 2015-2016 academic year. He taught three classes during both the fall and spring terms. At the end of the spring 2016 term, claimant applied for unemployment compensation benefits. Although his claim was initially denied by a claims adjudicator, on appeal, an administrative judge reversed and granted benefits. In granting benefits, the administrative judge noted that because claimant had not received an employment offer letter for the upcoming academic term and had been notified that at least one of his classes may not be offered due to low enrollment, “the uncertainties for the upcoming term are sufficiently great that [claimant] cannot be said to have a reasonable assurance of returning to the same or similar work that he performed in the previous academic term.” However, at the end of the spring 2017 term, he again applied for unemployment compensation benefits and was denied. The claims adjudicator found he had a reasonable assurance of employment during the following term. The administrative judge agreed with the claims adjudicator that claimant had reasonable assurance to perform the same services during the next academic term and noted that claimant “and his attorney want[ed] to interpret the term ‘reasonable assurance’ as an absolute guarantee of employment, and that simply is not the correct interpretation.” The administrative judge commented that “the Department [of Labor] must only find that it is highly probable that the same job is available, and the credible facts in the record show[ed] that to be the case in this instance.” Claimant appealed the administrative judge’s decision to the Employment Security Board. After hearing and review, the Board issued a decision upholding the denial because it found the administrative judge’s conclusions “factually supported and legally correct.” Finding no reversible error in the Board's adjudication, the Vermont Supreme Court affirmed denial of benefits. View "Beasley v. Department of Labor (Champlain College, Inc., Employer)" on Justia Law

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Jason Lillie appeals the Employment Security Board’s denial of his claim for unemployment benefits. In July 2014, Lillie was an employee of Amerigas Propane, Inc. and suffered an injury while working. He reported the injury to his employer, which in turn reported it to its worker’s compensation insurer. He sought medical attention for his injury shortly after being hurt but was able to continue working for several weeks, most of it on modified or light duty. In October, Amerigas fired Lillie for an alleged safety violation. A few days later, Lillie’s doctor indicated he was medically unable to work. Lillie expressed concern that he was ineligible for unemployment benefits because he was not able to work but was told he must apply in order to receive economic benefits. Lillie then sought workers’ compensation temporary disability benefits, which were initially denied by the insurer. Without any income or compensation disability benefits for several weeks, Lillie sought economic assistance from the Vermont Economic Services Division of the Department for Children and Families. Lillie was told by Economic Services that in order to be eligible for economic assistance he would have to file for unemployment benefits, even if he felt he would not qualify for them. With his workers’ compensation claim still in dispute, and based upon the information he had received from Economic Services, Lillie filed a claim for unemployment benefits. The Unemployment Division found him to be monetarily eligible for unemployment benefits when he sought them in December 2014. While he had the necessary base period wages to make him monetarily eligible for benefits, Lillie was not able to work and available for work, as required by 21 V.S.A. 1343(a)(3), because he was medically unable to work. He was, therefore, denied unemployment compensation. "At a minimum, coordination of the important information between the Unemployment Division and Economic Services concerning monetary eligibility, the establishment of a benefit year, and the use of wages and the use of wages prior to disability in connection therewith in the case of a worker injured on the job may have avoided this quagmire. Following the advice given by Economic Services, which we do not doubt was provided in good faith to Lillie, resulted in the unintended consequence of his loss of unemployment benefits once he regained his ability to work in 2017." The Vermont Supreme Court affirmed the denial of unemployment benefits; the Unemployment Division applied the law properly, and the Court was "not at liberty to rewrite the applicable statutes to obtain a different outcome." View "Lillie v. Department of Labor" on Justia Law

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Claimant Joanne Perrault appealed the Commissioner of Labor’s decision on summary judgment denying her workers’ compensation benefits. On appeal, claimant argued she was an employee of defendant Chittenden County Transportation Authority (CCTA) for the purposes of workers’ compensation and, therefore, was entitled to benefits. Claimant applied to be a driver in CCTA’s volunteer program in 2014. Once through the application process, a volunteer driver was governed by CCTA’s volunteer manual. This manual, in addition to explaining certain restrictions and requirements, also stated that the manual should not be understood to mean that any employment contract existed between CCTA and the volunteer driver. Drivers received money from CCTA based on the miles driven in a given period and calculated at the federal mileage rate. The CCTA manual referred to this monetary payment as reimbursement, and stated that CCTA would perform random checks to verify the accuracy of mileage submissions. This was the only monetary or other exchange between CCTA and drivers in the volunteer program. CCTA provided insurance on drivers’ vehicles on a secondary basis and encouraged drivers to carry more than the minimum required insurance and to name CCTA as an additional insured on their personal vehicle insurance policies. Drivers in the program were required to meet standards set by CCTA and were subject to certain restrictions, which were similar to the restrictions governing CCTA’s regular drivers. On December 1, 2015, claimant had an automobile accident. At the time of the accident, she was driving a CCTA rider to an appointment. Claimant sustained significant injuries in the accident, including a broken neck at the third and fourth vertebrae, a fractured spine, and broken ribs. She subsequently sought workers’ compensation benefits. The Vermont Supreme Court held that, because claimant did not receive wages, she could not be considered a statutory employee as that term was defined for the application of workers’ compensation. View "Perrault v. Chittenden County Transportation Authority" on Justia Law

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Claimant Joanne Perrault appealed the Commissioner of Labor’s decision on summary judgment denying her workers’ compensation benefits. On appeal, claimant argued she was an employee of defendant Chittenden County Transportation Authority (CCTA) for the purposes of workers’ compensation and, therefore, was entitled to benefits. Claimant applied to be a driver in CCTA’s volunteer program in 2014. Once through the application process, a volunteer driver was governed by CCTA’s volunteer manual. This manual, in addition to explaining certain restrictions and requirements, also stated that the manual should not be understood to mean that any employment contract existed between CCTA and the volunteer driver. Drivers received money from CCTA based on the miles driven in a given period and calculated at the federal mileage rate. The CCTA manual referred to this monetary payment as reimbursement, and stated that CCTA would perform random checks to verify the accuracy of mileage submissions. This was the only monetary or other exchange between CCTA and drivers in the volunteer program. CCTA provided insurance on drivers’ vehicles on a secondary basis and encouraged drivers to carry more than the minimum required insurance and to name CCTA as an additional insured on their personal vehicle insurance policies. Drivers in the program were required to meet standards set by CCTA and were subject to certain restrictions, which were similar to the restrictions governing CCTA’s regular drivers. On December 1, 2015, claimant had an automobile accident. At the time of the accident, she was driving a CCTA rider to an appointment. Claimant sustained significant injuries in the accident, including a broken neck at the third and fourth vertebrae, a fractured spine, and broken ribs. She subsequently sought workers’ compensation benefits. The Vermont Supreme Court held that, because claimant did not receive wages, she could not be considered a statutory employee as that term was defined for the application of workers’ compensation. View "Perrault v. Chittenden County Transportation Authority" on Justia Law

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Katherine Heffernan appealed the trial court’s decision dismissing her complaint, which sought indemnification from the State on a default judgment she obtained against a state employee and which claimed that the State was vicariously liable for the employee’s conduct. The State determined that the acts alleged by Heffernan were outside the scope of the employee’s official duties and that, therefore, the State did not have a duty to defend the employee against Heffernan’s action. Heffernan, unable to locate the employee to make service of process, eventually served him through process by publication. Heffernan notified the State that she had served the employee, and the State again declined to take any action. The employee did not appear or offer any defense in Heffernan’s suit, and the trial court eventually issued a default judgment against him. The court subsequently held a hearing on damages and awarded Heffernan both punitive and compensatory damages. The Vermont Supreme Court found that while Heffernan presented complex arguments, its decision regarding both of her theories of State liability was controlled by the plain language of Vermont’s statutory scheme concerning each issue. Pursuant to the clear limitations on liability in Vermont’s Tort Claims Act, the State retains sovereign immunity relative to the actions alleged in Heffernan’s complaint. As such, the trial court did not err in dismissing her case. View "Heffernan v. Vermont" on Justia Law