Mississippi Rep Agreements – Contracts Between Out-of-State Principals and Commissioned Sales Representatives (§§ 75-87-1 — 75-87-7)

Mississippi Rep Agreements – Contracts Between Out-of-State Principals and Commissioned Sales Representatives (§§ 75-87-1 — 75-87-7)

Chapter 87. Contracts Between Out-of-State Principals and Commissioned Sales Representatives (§§ 75-87-1 — 75-87-7)

Table of Contents

 

75-87-1. Definitions.

As used in this chapter:

(a) “Commission” means compensation accruing to a sales representative for payment by a principal, the rate of which is expressed as a percentage of the dollar amount of certain orders or sales.

(b) “Principal” means any person who does not have a permanent or fixed place of business in this state and who:

(i) Engages in the business of manufacturing, producing, importing or distributing a product or products for sale to customers who purchase such product or products for resale;

(ii) Utilizes sales representatives to solicit orders for such product or products; and

(iii) Compensates the sales representatives, in whole or in part, by commission.

(c) “Sales representative” means any person who engages in the business of soliciting, on behalf of a principal, orders for the purchase at wholesale of the product or products of the principal. The term “sales representative” shall not include a person who places orders or purchases for such person’s own account for resale or is engaged in home solicitation sales regulated pursuant to Section 75-66-1 et seq., Mississippi Code of 1972.

History

Laws, 1988, ch. 588, § 1, eff from and after July 1, 1988, and it shall be applicable to contracts entered into after July 1, 1988.

75-87-3. Sales representative contract to set forth means by which commissions shall be computed and paid.

Whenever any principal enters into an oral or written contract with a sales representative for services to be rendered within this state and the contemplated method of compensation of the sales representative involves a commission, the contract shall set forth the means by which the commission shall be computed and paid.

History

Laws, 1988, ch. 588, § 2, eff from and after July 1, 1988, and it shall be applicable to contracts entered into after July 1, 1988.

75-87-7. Action to recover commissions; triple commissions; attorney fees.

Any principal who fails to timely pay the sales representative as provided in Section 75-87-5, shall be liable to the sales representative in a civil action for up to triple the commissions due to the sales representative, plus reasonable attorney’s fees and costs.

History

Laws, 1988, ch. 588, § 4, eff from and after July 1, 1988, and it shall be applicable to contracts entered into after July 1, 1988.

75-89-1. Short Title.

This chapter shall be know and may be cited as the “Mississippi Commodities Enforcement Act.”

History

Laws, 1993, ch. 319, § 1, eff from and after July 1, 1993.


Kansas Independent Sales Rep Laws

Kansas Rep Law – Commission Salespersons (§§ 44-341 — 44-347)

44-342. Same; termination of contractual relationship; penalty and interest for nonpayment, when. 1

44-343. Same; payment of undisputed commissions; effect of acceptance. 2

44-344. Same; deceased salesperson. 2

44-345. Same; corporate employees; liability for violation. 2

44-346. Same; proceedings to enforce act. 3

44-347. Same; collection of commissions not covered by act. 3

44-341. Payment of commissions; definitions.

As used in this act:

(a) “Commission salesperson” means a person who contracts with and is authorized by a principal to solicit within this state wholesale orders for that principal for merchandise to be shipped into this state or services to be performed within this state and who is compensated therefor by commission. Commission salesperson does not include a person who: (1) Places orders or purchases for the person’s own account for resale; (2) is an employee subject to the provisions of K.S.A. 44-313 et seq., and amendments thereto; (3) is a person licensed under the real estate brokers’ and salespersons’ license act; or (4) is engaged in door-to-door sales regulated by K.S.A. 50-640, and amendments thereto.

(b) “Commissions earned through the last day of the contractual relationship” or “earned commissions” means commissions with respect to services or merchandise which actually has been delivered or furnished to, accepted by and paid for by the customer by the last day of the commission salesperson’s contractual relationship.

(c) “Contractual relationship” means the relationship between a principal and a commission salesperson based on a contract between them providing for the commission salesperson to solicit and make sales within this state of merchandise to be shipped into or services to be performed within this state.

(d) “Principal” means any individual, partnership, association, joint stock company, trust, corporation or administrator or executor of the estate of a deceased individual, or the receiver, trustee or successor thereof, contracting with a commission salesperson to solicit and make sales within this state for merchandise to be shipped into this state or services to be performed within this state.

44-342. Same; termination of contractual relationship; penalty and interest for nonpayment, when.

(a) Subject to the provisions of subsection (d), whenever a principal discharges a commission salesperson or whenever a commission salesperson quits or resigns, the principal shall pay, at the usual place of payment, the commission salesperson’s commissions earned through the last day of the contractual relationship not later than 30 days after the last day of the contractual relationship or by mail postmarked within that period.

(b) If a principal knowingly fails to pay a commission salesperson any earned commission as required by subsection (a), such principal shall be liable therefor and shall be additionally liable for damages in the fixed amount of 1% of the unpaid earned commissions for each day, except Sunday and legal holidays, upon which such failure continues after the day upon which payment is required by subsection (a) or in an amount equal to the unpaid earned commissions, whichever is less. For the purpose of such additional damages, the failure to pay shall not be deemed to continue after the date of the filing of a petition in bankruptcy with respect to the principal if such principal is adjudicated bankrupt upon such petition.

(c) If a principal fails to pay a commission salesperson any earned commission as required by subsection (a), such principal may be assessed interest as provided under K.S.A. 16-201, and amendments thereto, on such commissions from the date such commissions are required to be paid pursuant to subsection (a).

(d) Notwithstanding the provisions of subsection (a), if the terminated or resigning commission salesperson was entrusted with the collection, disbursement or handling of money or property during the contractual relationship, such person has 10 days after the termination of the contractual relationship to audit and adjust the accounts of such commission salesperson before the 30-day period required for payment of commissions earned through the last day of the contractual relationship begins. In such cases, the penalty provided in subsection (b) shall apply only after the expiration of the 10-day audit period and the 30-day period required under this subsection.

History:  1987, ch. 185, § 2; July 1.

44-343. Same; payment of undisputed commissions; effect of acceptance.

(a) In case of a dispute over the amount of earned commissions due, the principal shall pay, without conditions and within the 30-day period provided by K.S.A. 44-342, all earned commissions, or parts thereof, believed in good faith by the principal to be due, leaving to the salesperson all remedies that the salesperson might otherwise be entitled to, including those provided under this act, as to any balance claimed.

(b) Unless payment is made by binding settlement agreement, the acceptance by a commission salesperson of a payment under this section shall not constitute a release as to the balance of the salesperson’s claim and any release required by a principal as a condition to payment shall be in violation of this act and shall be null and void.

History:  1987, ch. 185, § 3; July 1.

44-344. Same; deceased salesperson.

In the absence of actual notice of probate proceedings, the principal may pay, upon proper demand, wages due a deceased commission salesperson. Any such payment or payments shall be in the following order of preference: Spouse, children 18 years of age and over in equal shares, father, mother, sisters and brothers in equal shares, or the person to whom funeral expenses are due.

History:  1987, ch. 185, § 4; July 1.

44-345. Same; corporate employees; liability for violation.

In case of violation of K.S.A. 44-342 by a corporate employer, either the corporation or any officer thereof or any agent having the management of the corporation who knowingly permits the corporation to engage in such violation shall be deemed the principal for purposes of this act.

History:  1987, ch. 185, § 5; July 1.

44-346. Same; proceedings to enforce act.

Any proceeding by one or more commission salespersons to assert any claim arising under or pursuant to this act may be brought in any court of competent jurisdiction.

History:  1987, ch. 185, § 6; July 1.

44-347. Same; collection of commissions not covered by act.

Nothing in this act shall be construed to prevent a commission salesperson from collecting commissions on merchandise ordered prior to the last day of the contractual relationship but delivered, accepted or paid for after termination of the contractual relationship but the penalty prescribed in K.S.A. 44-342 shall apply only with respect to the payment of commissions earned through the last day of the contractual relationship.

HistoryL:  1987, ch. 185, § 7; July 1.


Georgia Sales Rep Statutes

10-1-700 Definitions.
As used in this article, the term:

(1) ‘Commission’ means compensation accruing to a sales representative for payment by a principal, the rate of which is expressed as a percentage of the dollar amount of orders or sales or as a specified amount per order or per sale.
(2) ‘Principal’ means a person who does business in this state and who:

(A) Manufactures, produces, imports, or distributes a tangible product for wholesale;
(B) Contracts with a sales representative to solicit orders for the product; and
(C) Compensates the sales representative in whole or in part by commission.

(3) ‘Sales representative’ means a person who contracts with a principal to solicit wholesale orders and who is compensated in whole or in part by a commission, but such term does not include one who places orders or purchases for his or her own account for resale.

10-1-701 Contract for Services In State.
Reserved. Repealed 1992.

10-1-702 Rights of Sales Representatives; Frivolous Actions.

(a) When a contract between a principal and a sales representative is terminated the principal shall within 30 days after the termination of the contract pay all commissions due to the sales representative.

(b) A principal who fails to make timely payment of commissions as required by subsection (a) of this code section shall be liable to the sales representative in a civil action for:

(1) All amounts due to the sales representative according to the terms of the contract;

(2) Exemplary damages in an amount not to exceed double the amount not timely paid as required by subsection (a) of this Code section; and

(3) Reasonable attorney’ fees actually and reasonably incurred by the sales representative in the action.

(c) A person who brings an action under this Code section shall, if the court determines that the action is frivolous, be liable to the defendant for attorney’ fees actually and reasonably incurred by the defendant in defending against such an action.

10-1-703 Waiver of Law Prohibited.
The provisions of this article may not be waived; and, in applying the provisions of this article, the courts of this state shall not recognize any purported waiver of the provisions of this article, whether by expressed waiver or by attempt to make a contract or agreement subject to the laws of another state.

10-1-704 Jurisdiction of Court.
A principal who is not a resident of this state and who enters into a contract subject to this article is declared to be doing business in this state for purposes of the exercise of personal jurisdiction over nonresidents under Code Section 9-10-91.


Hlad v. Hirsch, 2025 U.S. Dist. LEXIS 267967, 2025 LX 611567

To See a Review of this case go to: Plaintiff assumed the risk walking behind an Airbnb and not following the trail.

Hlad v. Hirsch, 2025 U.S. Dist. LEXIS 267967 *; 2025 LX 611567

United States District Court for the Middle District of Pennsylvania

December 31, 2025, Decided; December 31, 2025, Filed

CIVIL ACTION NO. 3:23-CV-00785

Reporter

2025 U.S. Dist. LEXIS 267967 *; 2025 LX 611567

TERESA HLAD and STEVEN HLAD, Plaintiffs, v. YOEL HIRSCH, SARAH HIRSCH, AIRBNB, INC., JOHN DOE 1-10 and ABC CO. 1-10, XYZ CORPORATIONS 1-10, Defendants.

Prior History: Hlad v. Hirsch, 2024 U.S. Dist. LEXIS 49743, 2024 WL 1197516 (Mar. 20, 2024)

Counsel:[*1] For Teresa Hlad, Steven Hlad, Plaintiffs: Christopher Bradley, LEAD ATTORNEY, Brandon J. Broderick, Attorney at Law, LLC, Ewing, NJ; Sami Zeka, LEAD ATTORNEY, Brandon J. Broderick, LLC, Ewing, NJ.

For Yoel Hirsch, Defendant: Kamela Devole, Sarah E Connor, LEAD ATTORNEYS, Wood Smith Henning & Berman LLP, Philadelphia, PA.

For Airbnb, Defendant: Emily Wasserman, PRO HAC VICE, Davis Graham & Stubbs LLP, Denver, CO; Kelly J. Fox, Gerolamo, McNulty, Divis & Lewbart, Philadelphia, PA.

For Sarah Hirsch, Defendant: Kamela Devole, Sarah E Connor, LEAD ATTORNEYS, Wood Smith Henning & Berman LLP, Philadelphia, PA.

Judges: KAROLINE MEHALCHICK, United States District Judge.

Opinion by: KAROLINE MEHALCHICK

Opinion

MEMORANDUM

Plaintiffs Teresa Hlad and Steven Hlad initiated this action by filing a complaint against Defendants Sarah Hirsch, Yoel Hirsch, and Airbnb, Inc. (“Airbnb”) (together “Defendants”) on April 13, 2023. (Doc. 35-3). Before the Court is a motion for summary judgment filed by Sarah and Yoel Hirsch and a motion for summary judgment filed by Airbnb. (Doc. 35; Doc. 39). For the following reasons, Defendants’ motions for summary judgment will be GRANTED.

  1. Factual Background and Procedural History

The following background[*2] is taken from Defendants’ statements of material facts and exhibits.1 Teresa and Steven Hlad were visiting Lackawaxen, PA to spend Christmas with their family and friends from December 22, 2022 to December 28, 2022. (Doc. 37, ¶ 2). Nicole Gignac, a friend of the Hlads’ daughter, rented the subject property (the “Property”) on Airbnb’s platform. (Doc. 37, ¶ 3). Sarah and Yoel Hirsch own the Property and listed it for rent on Airbnb. (Doc. 37, ¶ 4). Airbnb did not operate, own, control, offer, manage, inspect or even have the right to access the Property. (Doc. 41, ¶ 7-8).

On the morning of December 25, 2022, Teresa Hlad and her son decided to go for a walk and take pictures. (Doc. 37, ¶ 5). Teresa Hlad exited out the back door of the house on the Property and saw a bridge in the woods in the distance. (Doc. 37, ¶ 7). Assuming a trail was near the bridge, she started walking towards the bridge. (Doc. 37, ¶ 7). However, as Teresa Hlad entered the woods, she knew she was not walking on a trail and appreciated that the ground was “uneven” and had “leaves, snow, logs, and. . . was hilly.” (Doc. 37, ¶ 8, 9). Before walking over the bridge, Teresa Hlad noticed that there was no trail and[*3] that the ground was uneven, choppy, and leafy. (Doc. 37 ¶¶ 10-11). Teresa Hlad testified that she walked carefully in the woods because “it was pretty lumpy out there,” but the lighting was sufficient, and nothing was obstructing her ability to see where she was walking. (Doc. 37. ¶¶ 12-14).

Teresa Hlad testified that she crossed the bridge and decided to turn around when she realized there was no trail over the bridge. (Doc. 35-4, at 17). When she turned around, she was on a “little bit of a hill” and her left foot “kind of went into the ground” causing her to fall. (Doc. 35-4, at 9). Teresa Hlad testified that the hill was “dingy” and the “dirt was all uneven,” which caused her to fall. (Doc. 35-4, at 18). The fall happened between 11:15 and 11:30 a.m., and the weather was clear and sunny. (Doc. 37, at ¶ 6). Teresa Hlad was unable to provide the location of her fall, stating that if she marked the location, it would be a guess. (Doc. 35-4, at 20).

Teresa Hlad’s daughter, testified that there was a trail opening near the rear of the house on the Property with signs indicating where the trail was. (Doc. 37, ¶ 16). Teresa Hlad never asked her daughter where the trails were on the Property,[*4] and she failed to follow the signs which clearly indicated where the trail was. (Doc. 37, ¶ 17). Teresa Hlad never contacted her Airbnb host to ask where the trail was located. (Doc. 37, ¶ 18).

Airbnb is an online marketplace that provides an opportunity for individuals who wish to offer accommodations to connect with individuals seeking to book accommodations. (Doc. 41, ¶ 2). Airbnb is not a party to or a participant in the agreements for booking entered between hosts and guests. (Doc. 41, ¶ 4). Hosts are solely responsible for listing their accommodations and determining on what material terms they will offer for their accommodations. (Doc. 41, ¶ 5). Airbnb had no notice of any prior incidents involving a fall at the subject property. (Doc. 41, ¶ 11). Regardless, Airbnb does not “guarantee. . . the existence, quality, safety, sustainability, or legality of any Listings or Host Services.” (Doc. 41, ¶ 10).

Teresa and Steven Hlad initiated this lawsuit by filing a complaint in the Pike County Court of Common Pleas on April 13, 2023. Therein Teresa Hlad alleged Count I — Negligence against Defendants, and Steven Hlad alleged Count II — Loss of Consortium against Defendants. (Doc. 35-5,[*5] at 7-9). On May 11, 2023, Sarah and Yoel Hirsch removed the matter to this Court. (Doc. 1). On April 1, 2025, Sarah and Yoel Hirsch filed a motion for summary judgment, brief in support, and statement of facts. (Doc. 35; Doc. 36; Doc. 37). On April 2, 2025, Airbnb filed a motion for summary judgment, brief in support, and statement of the facts. (Doc. 39; Doc. 40; Doc. 41). On May 19, 2025, Teresa and Steven Hlad filed their brief in opposition. (Doc. 43). On June 2, 2025, Defendants filed their respective reply briefs. (Doc 45; Doc. 46). Accordingly, the motions for summary judgment are ripe for disposition.

  1. Legal Standards
  2. Motion for Summary Judgment Standard

Summary judgment should be granted only if “there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed. R. Civ. P. 56(a). A fact is “material” only if it might affect the outcome of the case. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S. Ct. 2505, 91 L. Ed. 2d 202 (1986). A dispute of material fact is “genuine” if the evidence “is such that a reasonable jury could return a verdict for the non-moving party.” Anderson, 477 U.S. at 248. In deciding a summary judgment motion, all inferences “should be drawn in the light most favorable to the non-moving party, and where the non-moving party’s[*6] evidence contradicts the movant’s, then the non-movant’s must be taken as true.” Pastore v. Bell Tel. Co. of Pa., 24 F.3d 508, 512 (3d Cir. 1994). However, a party opposing a summary judgment motion must comply with Local Rule 56.1, which specifically directs the oppositional party to submit a “statement of the material facts, responding to the numbered paragraphs set forth in the statement required[to be filed by the movant], as to which it is contended that there exists a genuine issue to be tried”; if the nonmovant fails to do so, “[a]ll material facts set forth in the statement required to be served by the moving party will be deemed to be admitted.” M.D. Pa. L.R. 56.1.

A federal court should grant summary judgment “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.” Farrell v. Planters Lifesavers Co., 206 F.3d 271, 278 (3d Cir. 2000). In deciding a motion for summary judgment, the court’s function is not to make credibility determinations, weigh evidence, or draw inferences from the facts. Anderson, 477 U.S. at 249. Rather, the court must simply “determine whether there is a genuine issue for trial.” Anderson, 477 U.S. at 249.

The party seeking summary judgment “bears the initial responsibility[*7] of informing the district court of the basis for its motion,” and demonstrating the absence of a genuine dispute of any material fact. Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S. Ct. 2548, 91 L. Ed. 2d 265 (1986). If the movant makes such a showing, the non-movant must go beyond the pleadings with affidavits or declarations, answers to interrogatories, or the like to demonstrate specific material facts which give rise to a genuine issue. Fed. R. Civ. P. 56(c); Celotex, 477 U.S. at 324. The non-movant must produce evidence to show the existence of every element essential to its case, which it bears the burden of proving at trial, because “a complete failure of proof concerning an essential element of the nonmoving party’s case necessarily renders all other facts immaterial.” Celotex, 477 U.S. at 323. Furthermore, mere conclusory allegations and self-serving testimony, whether made in the complaint or a sworn statement, cannot be used to obtain or avoid summary judgment when uncorroborated and contradicted by other evidence of record. See Lujan v. Nat’l Wildlife Fed’n, 497 U.S. 871, 888, 110 S. Ct. 3177, 111 L. Ed. 2d 695 (1990); see also Thomas v. Delaware State Univ., 626 F. App’x 384, 389 n.6 (3d Cir. 2015) (not precedential) (“[U]nsupported deposition testimony, which is contradicted by the record, is insufficient to defeat summary judgment.”); NLRB v. FES, 301 F.3d 83, 95 (3d Cir. 2002) (“[The plaintiff’s] testimony . . . amounts to an unsupported, conclusory assertion, which we have held is inadequate to satisfy the movant’s[*8] burden of proof on summary judgment.”).

III. Discussion

  1. Summary Judgment is Warranted on Teresa Hlad’s Negligence Claim Against Sarah and Yoel Hirsch.

Sarah and Yoel Hirsch contend that they owed no duty to Teresa Hlad, who voluntarily assumed the risk of her actions, arguing that Teresa Hlad should have noticed the risks of walking off-trail in snow, which were open and obvious with an exercise of normal perception, intelligence, and judgment. (Doc. 36, 11-12). Additionally, Sarah and Yoel Hirsch submit that because Teresa Hlad provided no evidence of the location of the fall, Plaintiffs cannot meet their burden of showing a viable claim for negligence. (Doc. 36, at 12-13). Teresa Hlad counters that Sarah and Yoel Hirsch’s motion specifically points to genuine issues of fact in this case to be decided by a jury. (Doc. 43, ¶ 16).

To survive summary judgment on a negligence claim under Pennsylvania law, a plaintiff must demonstrate genuine dispute of material fact regarding “(1) the existence of a duty or obligation recognized by law; (2) a breach of the duty; (3) causal connection between the breach of duty and the resulting injury; and (4) actual loss or damage.” Pace v. Wal-Mart Stores East, LP, 337 F. Supp. 3d 513, 519 (E.D. Pa. 2018). The parties dispute[*9] whether Sarah and Yoel Hirsch owed a duty to Teresa Hlad. (Doc. 36, at 11; Doc. 43, at 6). The standard of care owed by an owner or occupier depends on whether the person on the premises is a trespasser, licensee, or business invitee. See McDowell v. Moran Foods, LLC, 680 F. App’x 72, 72 (3d Cir. 2017). Business invitees are owed the highest standard of care. Falcone v, Speedway LLC, No. 14-2188, 2017 U.S. Dist. LEXIS 7324, 2017 WL 220326, at *2 (E.D. Pa. Jan 19, 2017) (citing Truax v. Roulhac, 2015 PA Super 217, 126 A.3d 991, 997 (Pa. Super Ct. 2015)); Pusateri v. Wal-Mart Stores East, L.P., 646 F. Supp. 3d 650, 653 (W.D. Pa. 2022) (citing Campisi v. Acme Markets, Inc., 2006 PA Super 368, 915 A.2d 117, 119 (Pa. Super Ct. 2006). A business invitee is “a person who is invited to enter or remain on land for a purpose directly or indirectly connected with business dealings with the possessor of the land.” Falcone, 2017 U.S. Dist. LEXIS 7324, 2017 WL 220326, at *2 (quoting Charlie v. Erie Ins. Exch., 2014 PA Super 188, 100 A.3d 244, 253 (Pa. Super Ct. 2014)). An Airbnb guest is considered a business invitee. See Parsons v. Drake, 347 Pa. 247, 32 A.2d 27 (1943) (citing Restatement Second, Torts § 332) (finding guests of inns, hotels, motels, and similar establishments are business invitees); see Montaperto v. Split Rock Resort, 765 F. Supp. 852, 853-54 (M.D. Pa. 1991) (identifying a guest at a resort as a business invitee). A possessor of land must protect a business invitee not only from known dangers, but also from “dangers that might be discoverable with reasonable care.” Truax, 126 A.3d at 997. A possessor of land is subject to liability for physical harm caused to his invitees by a condition on the land only if he:

(a) knows or by the exercise of reasonable care would discover the condition, and should realize that it involves an unreasonable risk to such invitees, and (b) should expect that they will not[*10] discover or realize the danger, or will fail to protect themselves against it, and (c) fails to exercise reasonable care to protect them against the danger.

Neve v. Insalaco’s, 2001 PA Super 71, 771 A.2d 786, 790 (Pa. Super. 2001) (quoting Restatement (Second) of Torts § 343).

Furthermore, a possessor of land will not owe a duty to a business invitee if the business invitee assumed the risk of their actions. Kaplan v. Exxon Corp., 126 F.3d 221, 224-25 (3d Cir. 1997); Dalton v. Little Lion, No. 19-5358, 2021 U.S. Dist. LEXIS 67100, 2021 WL 1293424, at *4 (E.D. Pa. April 7, 2021); Carrender v. Fitterer, 503 Pa. 178, 188, 469 A.2d 120 (Pa. 1983) (“to say that the invitee assumed the risk of injury from a known and avoidable danger is simply another way of expressing the lack of any duty on the part of the possessor to protect the invitee against such dangers”). A defendant is relieved of their duty of care when the plaintiff has voluntarily and deliberately proceeded to take a known and obvious risk. Barrett v. Fredavid Builders, Inc., 454 Pa. Super. 162, 685 A.2d 129, 131 (Pa. Super. Ct. 1996); Restatement (Second) of Torts § 343. A danger is obvious when both the condition and the risk are apparent and would be recognized by a reasonable person, exercising normal perception intelligence and judgment. DeMolick v. United States, 593 F. Supp. 3d 165, 171 (M.D. Pa. 2022) (citing Carrender, 469 A.2d at 123).

Assumption of the risk is analyzed in the context of determining whether a defendant owed a plaintiff a duty. Kaplan, 126 F.3d at 224-25. As such, assumption of the risk is a question for the jury “unless reasonable minds could not disagree.” Kaplan, 126 F.3d, at 225. To grant summary judgment on assumption of the risk, the Court must find—conclusively and beyond question—that: “(1)[the plaintiff][*11] consciously appreciated the risks attending her action; (2) she assumed the risk of injury by engaging in the action despite appreciating its risks; and (3) the injury she sustained was the same as that which she appreciated and assumed.” Dalton, 2021 U.S. Dist. LEXIS 67100, 2021 WL 1293424, at *4; see Bullman v. Giuntoli, 2000 PA Super 284, 761 A.2d 566, 573 (Pa. Super. Ct. 2000); see also Murphy v. Excel Site Rentals, LLC, No. 4:17-CV-02353, 2019 U.S. Dist. LEXIS 125048, 2019 WL 3387661, at *6 (M.D. Pa. July 26, 2019). Summary judgment is appropriate “[o]nly where the evidence reveals a scenario so clear as to void all questions of material fact concerning the plaintiff’s own conduct. . .” Montagazzi v. Crisci, 2010 PA Super 78, 994 A.2d 626, 636 (Pa. Super. Ct. 2010).

For the first element, the evidence must “conclusively[establish] that the plaintiff was subjectively aware of the risk.” Roessing v. United States, No. 3:19-cv-161, 2021 U.S. Dist. LEXIS 81479, 2021 WL 1663590, at *6 (W.D. Pa. April 28, 2021) (citing Barrett, 685 A.2d at 131); Barillari v. Ski Shawnee, Inc., 986 F. Supp. 2d 555, 563 (M.D. Pa. 2013) (citing Handschuh v. Albert Dev., 393 Pa. Super. 444, 574 A.2d 693, 695 (Pa. Super. Ct. 1990)). “The plaintiff must be aware of the ‘particular danger’ from which she is subsequently injured in order to voluntarily assume that risk as a matter of law.” Roessing, 2021 U.S. Dist. LEXIS 81479, 2021 WL 1663590, at *6 (citing Barillari v. Ski Shawnee, Inc., 986 F. Supp. 2d 555, 563 (M.D. Pa. 2013)). For the second element, the plaintiff must voluntarily assume the risk. Kaplan, 126 F.3d at 226 (citing Howell v. Clyde, 533 Pa. 151, 620 A.2d 1107, 1112 (Pa. 1993)). There is no assumption of risk when a plaintiff has no reasonable alternative to encountering the risk. Kaplan, 126 F.3d at 226-27 (citing Prosser and Keeton on Torts § 68 at 490-91); see also Roessing, 2021 U.S. Dist. LEXIS 81479, 2021 WL 16635900, at *7 (citing Howell, 620 A.2d at 1112).

Here, there is no dispute of fact that Teresa Hlad consciously and subjectively appreciated the risks of walking off-trail in the snowy woods. Teresa Hlad knew that she was not walking on a[*12] trail when she entered the woods. (Doc. 37, ¶ 8; Doc. 43-1, at 17). She was aware that the ground was “uneven” and had “leaves, snow, logs, and was hilly. . .” (Doc. 37, ¶ 9, Doc. 43-1, at 17). Teresa Hlad testified that she was walking carefully because “it was pretty lumpy out there” (Doc. 37, ¶ 12; Doc. 43-1, at 27) and that when she was walking, the lighting was sufficient to see where she was going and nothing was obstructing her view. (Doc. 37, ¶¶ 13-14; Doc. 43-1, at 14). Accordingly, reasonable minds could not disagree that Teresa Hlad consciously appreciated the risks attending her action. See Roessing, 2021 U.S. Dist. LEXIS 81479, 2021 WL 1663590, at *6 (finding plaintiff consciously appreciated the risk of slipping and falling when she saw the snow heap prior to stepping on it and affirmatively considered where to cross before stepping on it); see also Kaplan, 126 F.3d at 226 (finding a snow mound was a known and obvious risk).

It is also undisputed that Teresa Hlad voluntarily walked off-trail in the snowy woods despite appreciating the risks. Teresa Hlad’s daughter testified that there were signs marking the trails on the premises. (Doc. 37, ¶ 16). Despite the availability of marked trails, Teresa Hlad voluntarily chose to walk on a path that did not contain[*13] a walking trail. As such, reasonable minds could not disagree that Teresa Hlad’s assumption of risk was voluntary. See Kaplan, 126 F.3d 221, 226 (finding a plaintiff assumes a risk voluntarily she elects to encounter the risk despite the existence of safe alternatives); see also Roessing, 2021 U.S. Dist. LEXIS 81479, 2021 WL 1663590, at *7 (“the question under this factor is whether there was a safe alternative to encountering the risk, not whether the plaintiff was subjectively aware of a safe alternative”).

Finally, it is undisputed that Teresa Hlad’s injury was the result of her assuming the risk of walking off-trail in the snowy woods.2 Teresa Hlad testified that while on her walk she turned around, her left foot went into the ground causing her to fall and injure her ankle. (Doc. 35-4, at 9). The risk of walking off-trail in the snowy woods is the possibility of slipping and falling. See Roessing, 2021 U.S. Dist. LEXIS 81479, 2021 WL 1663590, at *8. As there are no disputes of fact regarding Teresa Hlad’s assumption of risk, Sarah and Yoel Hirsch’s motion for summary judgment on Teresa Hlad’s claim of negligence is GRANTED. (Doc. 35).

  1. Summary Judgment is Warranted on Teresa Hlad’s Negligence Claim Against Airbnb.

Airbnb contends it is entitled to summary judgment on Teresa Hlad’s negligence claim against[*14] it because there is no evidence that Airbnb owed Teresa Hlad any duty of care regarding the condition of the property. (Doc. 40, at 5). Airbnb asserts that it does not own, possess, or control the Property, nor did it have notice of the allegedly dangerous condition on the property (Doc. 40, at 6-7). Teresa Hlad counters that the jury must determine what duty, if any, Airbnb owes to prospective renters to insure the properties they rent are suitable for their purpose and pose no unreasonable hazards. (Doc. 43, at 4).

Under Pennsylvania law, “the duty to protect against known dangerous conditions falls upon the possessor of the land.” Estate of Zimmerman v. SEPTA, 168 F.3d 680, 684-85 (3d Cir. 1999). One is a possessor of land if they occupy the land with the intent to control it. Estate of Zimmerman, 168 F.3d at 684 (citing Restatement (Second) of Torts § 328). Liability is primarily based on possession and control, rather than ownership of land. Brown v. End Zone, Inc., 2021 PA Super 135, 259 A.3d 473, 491 (Pa. Super. Ct. 2021). A possessor of land is only liable if they know or should have known of a dangerous condition on the premises. Gutteridge v. A.P. Green Services, Inc., 2002 PA Super 198, 804 A.2d 643, 656 (Pa. Super. Ct. 2002). Other jurisdictions find that Airbnb’s enforcement of certain policies and guidelines for property owners on its marketplace does not amount to possession or control over their hosts’ properties. Matthew-Ajayi Airbnb, Inc., No. ADC-23-3035, 2025 U.S. Dist. LEXIS 26653, 2025 WL 487572, at *3 (D. Md. Feb. 13, 2025) (finding Airbnb had no liability for slip in fall that occurred[*15] in host’s property because Airbnb did not have possession or control over the property); Carroll v. Am. Empire Surplus Lines Ins. Co., 289 F. Supp. 3d 767, 775 (E.D. La. 2017) (finding Airbnb does not have custody or control over host’s property because they do not have the right to alienate the property, authorize repairs, or access the property at will; comparing Airbnb’s general duty to that of a travel agency); see Hofer v. Gap, Inc., 516 F. Supp. 2d 161, 176-78 (D. Mass. 2007) (finding online travel agents are generally not liable for the negligence or dangerous conditions of third-party hotel or travel operators).

Here, Airbnb provides an affidavit from its legal investigations associate stating that “Airbnb does not own, control, or possess any of the accommodations listed on its marketplace, and does not have the right to access the property where[Teresa] Hlad allegedly sustained injuries.” (Doc. 39-3, at 3; Doc. 41, ¶ 7). Airbnb also provides their terms and conditions, which state that Airbnb “do[es] not and cannot control the conduct of Guests and Hosts.” (Doc. 39-4, at 15). Teresa Hlad failed to respond to Airbnb’s statement of the facts or to provide any evidence controverting Airbnb’s evidence that they do not own, control, or possess the subject property. See M.D. Pa. L.R. 56.1 (“[a]ll material facts set forth in the statement required[*16] to be served by the moving party will be deemed to be admitted.”). Teresa Hlad merely provides unsupported, conclusory statements arguing that Airbnb does have control over the subject property and notice of the hazardous conditions that caused Teresa Hlad’s injuries. (Doc. 43, at 8). See Nat’l Labor Rel. Bd., 301 F.3d at 95. (“[The plaintiff’s] testimony . . . amounts to an unsupported, conclusory assertion, which we have held is inadequate to satisfy the movant’s burden of proof on summary judgment.”). Nevertheless, the court need not address whether Airbnb had possession or control over the subject property creating a duty of care because even if Airbnb did owe Teresa Hlad a duty of care, as explained fully in supra Section III.A, it is undisputed that Teresa Hlad assumed the risk of her actions, negating the duty of care owed by the possessors of the subject property. Accordingly, Airbnb’s motion for summary judgment on Teresa Hlad’s claim of negligence is GRANTED.3 (Doc. 35).

  1. Conclusion

Based on the forgoing, Defendants’ motions for summary judgment are GRANTED. (Doc. 35; Doc. 39). Teresa and Steven Hlad’s claims of negligence and loss of consortium are DISMISSED. The Clerk of Court is directed to[*17] CLOSE this case. An appropriate Order follows.

Dated: December 31, 2025

/s/ Karoline Mehalchick

KAROLINE MEHALCHICK

United States District Judge

ORDER

AND NOW, this 31st day of December, 2025, for the reasons set forth in the Memorandum Opinion concurrently filed herewith, IT IS HEREBY ORDERED that:

  1. Sarah and Yoel Hirsch’s motion for summary judgment (Doc. 35) is GRANTED;
  2. Airbnb Inc.’s motion for summary judgment (Doc. 39) is GRANTED;
  3. Count I and Count II of Teresa and Steven Hlad’s complaint (Doc. 15) are to be DISMISSED; and
  4. The Clerk of Court is directed to CLOSE this case.

BY THE COURT:

/s/ Karoline Mehalchick

KAROLINE MEHALCHICK

United States District Judge

End of Document

Teresa and Steven Hlad have not filed a response to Defendants’ statements of material facts, as required by Local Rule 56.1. Accordingly, “[a]ll material facts set forth in the statement[s] required to be served by the moving part[ies] will be deemed to be admitted.” M.D. Pa. L.R. 56.1; see Fed. R. Civ. P. 56(e)(2); United States v. Alberto, No. 3:18-CV-1014, 2020 U.S. Dist. LEXIS 25049, 2020 WL 730316, at *2 (M.D. Pa. Feb. 13, 2020) (concluding that the “[f]ailure to file this [responsive statement of material facts] results in admission of the moving party’s statement of facts”).

Sarah and Yoel Hirsch assert that because Teresa Hlad was unable to identify exactly where the slip and fall occurred, she cannot meet her burden of showing negligence. (Doc. 36, at 13). Teresa Hlad counters that she identified the location of her fall to the best of her ability, providing a photograph marking where she fell. (Doc. 43, at 8; Doc. 43-3). The exact location of Teresa Hlad’s fall is not a material fact because, as explained fully in supra Section III.A, it is undisputed that Teresa Hlad consciously and subjectively appreciated the risks of walking on uneven, hilly ground covered in logs, leaves, and snow. See Kaplan, 126 F.3d at 227 n.5 (considering exact location of fall in proximate cause analysis of negligence claim; omitting consideration of exact location of fall in assumption of the risk analysis); see also Dalton, 2021 U.S. Dist. LEXIS 67100, 2021 WL 1293424, at *2-*3, *5 (finding parties’ disagreement on the exact location of the fall was immaterial to the assumption of the risk analysis).

Steven Hlad’s loss of consortium claim is a derivate claim, based upon the outcome of Teresa Hlad’s negligence claim. Sprague v. Kaplan, 392 Pa. Super. 257, 572 A.2d 789, 790 (Pa. Super. 1990) (“Loss of consortium has been recognized [Pennsylvania] as a right evolving out of the marriage relationship and is grounded on the loss of a spouse’s service after injury.”); Suniaga v. Downingtown Area Sch. Dist., 504 F. Supp. 3d 430, 455 (E.D. Pa. 2020) (finding a claim for loss of consortium is a derivative claim, meaning it is based upon the outcome of other claims in the suit). As Defendants’ motions for summary judgment on Teresa Hlad’s negligence claims are GRANTED, Defendants’ motions for summary judgment on Steven Hlad’s derivate loss of consortium claim are likewise GRANTED. (Doc. 35; Doc. 39).


Plaintiff assumed the risk walking behind an Airbnb and not following the trail.

Airbnb did not possess the land

Hlad v. Hirsch, 2025 U.S. Dist. LEXIS 267967, 2025 LX 611567

State:        Pennsylvania, United States District Court for the Middle District of Pennsylvania

Plaintiff:  Teresa Hlad and Steven Hlad

Defendants:     SarahHirsch,YoelHirsch,andAirbnb,Inc.

Plaintiff Claims:       Negligence against Defendants, and Steven Hlad, Loss of Consortium

Defendant Defenses:        Assumption of the Risk

Holding:            For the Defendants

Year:                   2025

Summary

Plaintiffs were visiting Pennsylvania for the holidays and staying at an Airbnb rented for them. During the state, one of the plaintiffs went out the back door of the home and proceeded to walk towards a breach and across. She knew she was not walking on a trail and turned to go back when she fell, suffering injuries.

The plaintiff knew she was not on the trail. As such, by proceeding, she assumed the risk of her injuries, relieving the defendants of any duty under Pennsylvania law.

Facts

On the morning of December 25, 2022, Teresa Hlad and her son decided to go for a walk and take pictures. Teresa Hlad exited out the back door of the house on the Property and saw a bridge in the woods in the distance. Assuming a trail was near the bridge, she started walking towards the bridge. However, as Teresa Hlad entered the woods, she knew she was not walking on a trail and appreciated that the ground was “uneven” and had “leaves, snow, logs, and. . . was hilly.” Before walking over the bridge, Teresa Hlad noticed that there was no trail and that the ground was uneven, choppy, and leafy. Teresa Hlad testified that she walked carefully in the woods because “it was pretty lumpy out there,” but the lighting was sufficient, and nothing was obstructing her ability to see where she was walking.

Teresa Hlad testified that she crossed the bridge and decided to turn around when she realized there was no trail over the bridge. When she turned around, she was on a “little bit of a hill” and her left foot “kind of went into the ground” causing her to fall. Teresa Hlad testified that the hill was “dingy” and the “dirt was all uneven,” which caused her to fall. The fall happened between 11:15 and 11:30 a.m., and the weather was clear and sunny. Teresa Hlad was unable to provide the location of her fall, stating that if she marked the location, it would be a guess.

Teresa Hlad’s daughter, testified that there was a trail opening near the rear of the house on the Property with signs indicating where the trail was. Teresa Hlad never asked her daughter where the trails were on the Property,[*4] and she failed to follow the signs which clearly indicated where the trail was. Teresa Hlad never contacted her Airbnb host to ask where the trail was located.

Analysis: making sense of the law based on these facts.

The defense argued that they owed no duty to the plaintiffs because the plaintiff knew or should have known that she was not walking on a trail. The fact that the plaintiff was not on a trial was open and obvious. The plaintiff’s own testimony indicated she knew she was not on a trail, which is why she turned back.

The plaintiffs, under Pennsylvania law and the law of the majority of states, were business invitees. As business invitees, the defendants owed them the highest degree of care.

A business invitee is “a person who is invited to enter or remain on land for a purpose directly or indirectly connected with business dealings with the possessor of the land.”

The defendant owner of the Airbnb’s degree of care to the plaintiff is to protect the plaintiff from known dangers and from dangers that might be discoverable with reasonable care. To be liable, the possessor of land, not necessarily the land owner, must inform the business invitee of the risks that it knows of or could identify by a reasonable inspection.

A possessor of land must protect a business invitee not only from known dangers, but also from “dangers that might be discoverable with reasonable care.”  A possessor of land is subject to liability for physical harm caused to his invitees by a condition on the land only if he:

(a) knows or by the exercise of reasonable care would discover the condition, and should realize that it involves an unreasonable risk to such invitees, and (b) should expect that they will not discover or realize the danger, or will fail to protect themselves against it, and (c) fails to exercise reasonable care to protect them against the danger.

However, no duty is owed if the plaintiff assumed the risk presented by the dangers. “Furthermore, a possessor of land will not owe a duty to a business invitee if the business invitee assumed the risk of their actions.”

A defendant is relieved of their duty of care when the plaintiff has voluntarily and deliberately proceeded to take a known and obvious risk. A danger is obvious when both the condition and the risk are apparent and would be recognized by a reasonable person, exercising normal perception intelligence and judgment.

Normally, whether or not the plaintiff assumed the risk is a question for the trier of fact, the jury. If the court feels that there was no other way a jury could decide, then the court may rule on the issue.

Here, the court found:

(1)[the plaintiff] consciously appreciated the risks attending her action; (2) she assumed the risk of injury by engaging in the action despite appreciating its risks; and (3) the injury she sustained was the same as that which she appreciated and assumed….

The court found the plaintiff’s statements about where she was walking proved she knew and appreciated the risks, relieving the possessor of any liability because she assumed the risk.

Possessor of land is a distinction only a lawyer could love. A possessor of land is not necessarily the landowner. A tenant occupying an apartment does not own the apartment or apartment building, but is the possessor of land. The definition is based on liability and control of the land, not ownership. So an owner of land cannot be liable if he has no control of the land. In most cases, this occurs through a contract with a third party who wants to do something with the land, and the landowner gives up most rights in the land when doing so.

Here, Airbnb was not the possessor of the land. Airbnb did not exercise control over the land. The owner of the land gave that control to the person who rented the Airbnb.

Airbnb does not own, control, or possess any of the accommodations listed on its marketplace, and does not have the right to access the property where[Teresa] Hlad allegedly sustained injuries

So Now What?

The defendant’s motion for summary judgment was granted, and the plaintiff’s lawsuit was dismissed. IF you open your land to others, you need to make sure that any dangers on the land are identified to someone on the land. How they are on the land determines how much you, as the possessor, have to notify that person of the risks.

Consequently, most people feel that not allowing access to their land is the safest way to be. The duty owed to a trespasser is much lower than the duty owed to someone you invite on your land.

The sole issue for a possessor of land then becomes whether that duty is abrogated by some law or statute which might afford protection to them. In most cases, the best protection is the state Recreational Use Act. Generally, these acts say that if you allow someone on your land for recreational purposes and do NOT charge them for that access, then you are not liable for their injuries. However, each state has its own act, and the courts in each state have interpreted that act in numerous ways. If you are the possessor of land and want to have people on the land, you should find out what your duty to those people might be in advance.

More Articles on

In Ohio, Primary Assumption of the Risk is a complete bar to claims for injuries from hiking at night.    https://rec-law.us/ms45krj3

Most references in case law to assumption of the risk are to this California decision. The basis for understanding Assumption of the Risk is this decision based on an injured finger during a pickup football game.   https://rec-law.us/2p8p4p32

Pennsylvania Supreme Court upholds use of an express assumption of the risk agreement to bar a claim for wrongful death during a triathlon   https://rec-law.us/ubfbtt6

Release fails under Florida’s law because it is only an assumption of risk form, not a release in a Go-Kart case.      https://rec-law.us/3stuw6t2

The assumption of risk defense is still available when the claim is based on a condition of the land. This defense is called the open and obvious doctrine.          https://rec-law.us/4huk6hkc

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Jim Moss speaking to group

Jim Moss speaking to group

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, outfitters, both as businesses and individuals, and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers, avalanche beacon manufacturers, and many more manufacturers and the outdoor industry. Contact Jim at Jim@Rec-Law.us

Jim is the author or co-author of six books about the legal issues in the outdoor recreation world; the latest is Outdoor Recreation Insurance, Risk Management and Law.

To see Jim’s complete bio go here and to see his CV you can find it here. To find out the purpose of this website go here.

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I’m Proud to Serve on the Board of Directors of the Greater Colorado Council, Scouting America.

Joe’s acceptance speech was awesome. He thanked the board for helping him through Scouting as a youth. I know that no board members at that breakfast were on the board when Joe was a young scout, but the meaning, the value, was very true, as it was fifty years ago.

I’m extremely proud and honored to serve on the Greater Colorado Council executive board. I am proud and honored to serve on all the boards I serve on. I believe if given that honor, I need to uphold my and the organization’s values. I don’t miss meetings. If they ask me to serve, then my duty is to serve, to attend, listen, follow, and lead. I carry those issues, values, and goals with me everywhere I go. I want to uphold the values and traditions of Scouting and the board, and I want my fellow board members to understand and appreciate my efforts. I truly appreciate theirs!

Joe Black, a friend of mine through Scouting, was awarded the Vale la Pena award this week at the Greater Colorado Council, Scouting America executive board meeting. Joe could not make the award ceremony next week, so he was given the award at the board meeting.

What struck me about Joe’s speech was how it still held value today, based on facts that occurred fifty years ago. Joe did not grow up in a household that had money to send him on scouting adventures or training. Yet, when someone thought he should go, the money appeared. That was what he was thanking the board for, the board leads by its decisions, actions, and with their wallets. The board refers to this as their treasures. The board leadership today, the same as it was fifty years ago, is to make sure all youth have the opportunity, in whatever opportunity that may be.

The Greater Colorado Council board of directors, from their own pockets, raises one million dollars each year. I’m embarrassed because I have the smallest wallet in the group, yet I’m so proud to be part of that group.

Money is not the only thing the members of the board lead with; their time is given freely. Not only time to attend board meetings, trustee meetings and key 6 meetings, but they can be found at our dinners thanking volunteers, at any meeting promoting the values of Scouting, wearing a Scout pin on their suits, at camp working on property issues, raising money from their friends and putting their efforts in, whether by action, wallet or with a shovel in their hand.

The board has made the commitment that no scout will ever be denied the opportunity if they want to take it for any reason. Wallets are opened, and the youth in our council advance.

That is what Joe was talking about in his poignant message. This board is continuing a long tradition of helping the youth of America in whatever way they can. With their time, their talent, and their treasures.

Joe’s speech made one unsaleable point: it is with the time, talent, and treasures of the Executive Boards of Scouting America Councils in the US that we are moving our country forward. In Colorado, we have been doing that for 115 years; the last fifty, we were reminded about this week.

Thank you, Joe. Thank you, members of the Greater Colorado Council, Scouting America Board of Directors. You are making Scouting happen, reaching every scout, to make sure they have every opportunity Scouting presents to them. I’m extremely honored and proud to be a member of the Greater Colorado Council board of directors. I’m proud to have Joe as a friend. I’m a member of the Greater Colorado Council board of directors.


Surfboarder who cut off another Surfboarder already in the wave is protected by the defense of Primary Assumption of the Risk

Unwritten rules of surfing etiquette are not rules of surfing. When you see other surfers breaking those rules all the time, you can’t complain when you are injured by someone breaking the rules.

Olson v. Saville, 2d Civ. B324465 (Cal. App. Jan 17, 2024)

State: California; California Court of Appeals, Second District, Sixth Division

Plaintiff: Mark Olson

Defendant: Patrick Saville

Plaintiff Claims: Negligence

Defendant Defenses: Primary Assumption of the risk

Holding: for the defendant

Year: 2024

Summary

The court found the plaintiff assumed the risk in surfing when the plaintiff admitted seeing other surfers do the things the defendant alleged did to the plaintiff which the plaintiff complained about in his lawsuit. In California, assumption of the risk can be decided by the court and stop a negligence claim.

Facts

Appellant and respondent were surfing in a group at Miramar Beach in Montecito. Respondent was riding a custom longboard without a leash. Appellant caught a wave. Respondent then “appeared out of nowhere” and “dropped in” on the wave without looking in appellant’s direction. This forced appellant “to make a fast turn correction to his left toward the beach” and to “exit into the white water to his left.” Appellant “grabbed both [of] his board rails (aka sides) and pushed himself and the nose of the board slightly down and into the foam pile of whitewater toward the deeper water and away from respondent.” Respondent was still standing on his board heading toward the shore. As appellant made his exit and ducked into the wave, respondent’s board propelled backward and struck appellant’s torso and back.

Appellant sued respondent for negligence. He alleged that respondent “intentionally entered the wave and intentionally cut off appellant’s path of travel, thereby forcing appellant to exit the wave.” He further alleged that respondent’s “failure to use a leash to control [his] longboard” and his use of a “sharpened and deadly fin” was “reckless and displayed a w[a]nton disregard for the safety of others.” Respondent moved for summary judgment on the ground that appellant’s cause of action was barred under the primary assumption of risk doctrine. The trial court granted the motion, finding “the inherent risks of the sport of surfing include surfers ‘dropping in’ on other surfers, not wearing leashes while riding longboards of the type used by respondent, and using surfboards that have sharp fins.”

Analysis: making sense of the law based on these facts.

This was a simple analysis of the risk of Surfing. It was also an argument between two experts and ended being about who did the better job of explaining their position. To some extent, there was also the issue of the plaintiff’s arguments was tenuous at best.

Since the 1992 decision in Knight v. Jewell, 3 Cal. 4th 296; 834 P.2d 696; 11 Cal. Rptr. 2d 2; 1992 Cal. LEXIS 3969; 92 Cal. Daily Op. Service 7261; 92 Daily Journal DAR 11765; 92 Daily Journal DAR 11870 California has maintained that sports and recreational activities have risks and removing those inherent risks from the sport destroys the sport. Thus, you assume the risk of the sport when you engage in the sport or activity.

Here, the plaintiff argued the defendant was negligent in his surfing and those actions gave rise to the plaintiff’s injuries. The defense argued the Plaintiff assumed the risk.

Under California law for a defendant to prove the Plaintiff assumed the risk the defendant must:

A defendant seeking summary judgment on the basis of primary assumption of the risk must establish ‘that the defendant owed no legal duty to the plaintiff to prevent the harm of which the plaintiff complains.’ If the defendant meets this burden, the burden of production shifts to the plaintiff to “set forth the specific facts showing that a triable issue of material fact exists.”

During a trial, there is a burden on one or the other parties. Usually, the burden starts with the plaintiff who must prove the elements of their claim. If the plaintiff is arguing negligence, the burden is on the plaintiff to prove there was a Duty, the defendant breached that Duty, the Plaintiff was injured and that injury can be reduced to damages the court can award. If the plaintiff proves those four elements of negligence, then the burden shifts to the defendant. The defendant’s burden is either to prove the Plaintiff was wrong about the negligence claim or there was a defense such as assumption of the risk so the defendant had no duty to the plaintiff.

In this case, a motion is being argued and there is still a burden on both parties. Here the court defined assumption of the risk and when the burden shifted from one party to the other. the defendant met its duty and proved the plaintiff assumed the risk. If the defendant proved assumption of the risk, the burden then shifted to the plaintiff because there were facts still in dispute to the case would go to trial.

The burden on the plaintiff was to prove a triable issue of fact. Something in dispute that cannot be decided in a motion, but only by the jury.

There is a triable issue of material fact if, and only if, the evidence would allow a reasonable trier of fact to find the underlying fact in favor of the party opposing the motion in accordance with the applicable standard of proof

The court then explored assumption of the risk under California law.

The primary assumption of risk doctrine “precludes liability for injuries arising from those risks deemed inherent in a sport.” It “rests on a straightforward policy foundation: the need to avoid chilling vigorous participation in or sponsorship of recreational activities by imposing a tort duty to eliminate or reduce the risks of harm inherent in those activities. It operates on the premise that imposing such a legal duty ‘would work a basic alteration-or cause abandonment’ of the activity.” The doctrine applies both to sports and recreational activities “‘involving an inherent risk of injury to voluntary participants . . . where the risk cannot be eliminated without altering the fundamental nature of the activity.

If the plaintiff assumes the risk, there is no duty on the defendant to protect the plaintiff from the risks, the plaintiff assumes.

[D]efendants generally do not have a duty to protect the plaintiff from the risks inherent in the sport, or to eliminate risk from the sport, although they generally do have a duty not to increase the risk of harm beyond what is inherent in the sport.

The removal of the duty goes so far that there is no duty short of intentionally injuring or the defendant’s conduct is so reckless to be outside the ordinary risks of the activity.

A coparticipant breaches this duty only if he “intentionally injures another player or engages in conduct that is so reckless as to be totally outside the range of the ordinary activity involved in the sport.

What defines risk in a sport or activity. According to the court:

“[C]onduct is within the range of ordinary activity involved in a sport if that conduct cannot be prohibited without deterring vigorous participation in the sport or otherwise fundamentally altering the nature of the sport.” Determining the nature of a defendant’s legal duty (and the inherent risks that flow from the activity) “depends heavily on the nature of the sport itself.

Under California law, for a judge to decide that the plaintiff assumed the risk based on both case law and their own experience as well as any expert witness opinions.

Judges deciding inherent risk questions under Knight may consider not only their own or common experience with the recreational activity involved but may also consult case law, other published materials, and documentary evidence introduced by the parties on a motion for summary judgment.” Courts generally do not consider the legal conclusions of expert declarations but can receive “expert testimony on the customary practices in an arena of esoteric activity for purposes of weighing whether the inherent risks of the activity were increased by the defendant’s conduct.’

Rarely is a judge’s personal experience allowed to influence an opinion.

In this case, the court compared the risks of surfing to the risks of snow skiing. Skiing had been declared a sport where the plaintiff assumed the risk of the sport so the comparison was valid based on the prior case law.

California courts have applied the doctrine to coparticipants in a variety of sports, such as snow skiing and other non-contact sports, but not yet to surfing [holding the doctrine barred a skier’s negligence claim against another skier who unintentionally injured him in a collision]; [extending the doctrine to apply to the non-contact sport of golf].) We note that snow skiing and surfing have much in common: (1) “both sports involve individual participants that use nature, either a mountain slope or wave, as a propulsion mechanism”; “[b]oth require similar equipment in the form of skis, snowboard, or surfboard to participate”; and (3) “the most important similarity between skiing and surfing is the use of the right-of-way custom to promote safety and order among participants.

In this case, the opinions of the plaintiff’s expert witness and the defendant’s expert witness had similar opinions about the risks of surfing, which did not bode well for the plaintiff.

The plaintiff’s expert brought in the phrase “surfing etiquette” which are “unwritten safety customs and practices“. However, the expert went on to say that surfers violated the rules all the time. Longboard surfers, of which the defendant was one, regularly surfed without a leash.

…[t]hese rules encompass such things as priority, right-of-way, and sharing waves.” Nonetheless, “violating this surfing etiquette is common among surfers.” He further opined it is “not uncommon for surfers to surf without a leash” and “[m]any longboard surfers particularly enjoy the challenge and freedom of surfing without a leash” which otherwise could interfere with their footwork and speed.

It was easy to find the plaintiff’s injuries arose from the risks of surfing.

The court then examined the plaintiff’s claim that the defendant acted “Recklessly or Increased the Inherent Risks of Surfing’” Proving this would shift the burden to the defendant to prove his actions were not reckless or increased the risk, which would eliminate the defense of assumption of the risk.

However, that failed. Proving the defendant did not meet some unwritten rules, did not prove the defendant acted recklessly or increased the risk to the plaintiff.

Showing respondent could have acted with more caution does not establish he acted recklessly. Reckless conduct is more than “‘”inadvertence”‘” or “‘”a failure to take precautions.”‘ It requires a “‘”deliberate disregard” of the “high degree of probability”‘” that an injury will occur. Although both experts acknowledged respondent may not have followed the rules of etiquette, we are wary of relying too heavily on such guidelines when defining the scope of an activity’s inherent risks.

The plaintiff had admitted that he had seen other surfers do all the things that he claimed the plaintiff had done to bar the defense of assumption of risk. Consequently, the court held the plaintiff had assumed the risk.

The undisputed evidence here showed that failure to follow the rules of etiquette is common in the surfing community. Appellant admitted: (1) he has witnessed other surfers riding a longboard without a leash; (2) a leash could obstruct some movement of an advanced surfer; (3) he has witnessed prior collisions between surfers; (4) he has witnessed another surfer failing to maintain control of their board; and (5) he personally has had surfers “drop-in” or “shoulder-hop” on his wave. Respondent’s similar conduct, it follows, was not reckless or outside the range of the ordinary activity in surfing.

If you see others taking risky actions, that is proof you know the risks. If you then go surfing, that is proof you assumed the risks. The plaintiff assumed the risks of surfing and the defendant did not owe the plaintiff a duty.

So Now What?

In most states, assumption of the risk is a valid defense to a negligence claim. In a few states, assumption of the risk is still merged with contributory negligence and only reduces the damages and does not preclude a claim.

In a few states, the courts are allowed to make decisions on assumption of the risk, which is usually reserved for the jury, the trier of fact, if either the jury could not find anything but assumption of the risk or the experience of the court and case law show the actions of the plaintiff proved he or she assumed the risk.

What do you think? Leave a comment.

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Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, and outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers; avalanche beacon manufacturers, and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

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Olson v. Saville, 2d Civ. B324465 (Cal. App. Jan 17, 2024)

For a review of this decision see: Surfboarder who cut off another Surfboarder already in the wave is protected by the defense of Primary Assumption of the Risk

Olson v. Saville, 2d Civ. B324465 (Cal. App. Jan 17, 2024)

MARK OLSON, Plaintiff and Appellant,
v.
PATRICK SAVILLE, Defendant and Respondent.

2d Civ. No. B324465

California Court of Appeals, Second District, Sixth Division

January 17, 2024

Superior Court County of Santa Barbara, No. 20CV02207 Hon. Donna D. Geck, Judge

Law Office of Eric A. Woosley, Eric A. Woosley; The Law Offices of Bradford D. Brown, Bradford D. Brown, for Plaintiff and Appellant.

Freeman Mathis &Gary, Albert K. Alikin, Christian E. Foy Nagy, and Christopher J. Fleissner, for Defendant and Respondent.

CODY, J.

In this personal injury case, we hold the doctrine of primary assumption of the risk bars liability for injuries caused by a negligent surfer to a fellow surfer because those injuries were caused by risks inherent in the sport of surfing.

Mark Olson appeals from the order granting summary judgment for respondent Patrick Saville. Appellant contends that triable issues of material fact exist as to whether respondent is protected by the primary assumption of risk doctrine. We disagree and will affirm.

FACTUAL AND PROCEDURAL BACKGROUND 

Appellant and respondent were surfing in a group at Miramar Beach in Montecito. Respondent was riding a custom longboard without a leash.[2] Appellant caught a wave. Respondent then “appeared out of nowhere” and “dropped in” on the wave without looking in appellant’s direction.[3] This forced appellant “to make a fast turn correction to his left toward the beach” and to “exit into the white water to his left.” Appellant “grabbed both [of] his board rails (aka sides) and pushed himself and the nose of the board slightly down and into the foam pile of whitewater toward the deeper water and away from respondent.” Respondent was still standing on his board heading toward the shore. As appellant made his exit and ducked into the wave, respondent’s board propelled backward and struck appellant’s torso and back.

Appellant sued respondent for negligence. He alleged that respondent “intentionally entered the wave and intentionally cut off appellant’s path of travel, thereby forcing appellant to exit the wave.” He further alleged that respondent’s “failure to use a leash to control [his] longboard” and his use of a “sharpened and deadly fin” was “reckless and displayed a w[a]nton disregard for the safety of others.” Respondent moved for summary judgment on the ground that appellant’s cause of action was barred under the primary assumption of risk doctrine. The trial court granted the motion, finding “the inherent risks of the sport of surfing include surfers ‘dropping in’ on other surfers, not wearing leashes while riding longboards of the type used by respondent, and using surfboards that have sharp fins.”

DISCUSSION

Appellant does not dispute that the primary assumption of the risk doctrine applies to surfing. He contends, however, that summary judgment is not appropriate because triable issues of material fact exist as to whether respondent acted recklessly or increased the sport’s inherent risks.

Standard of Review

“[A] motion for summary judgment shall be granted if all the papers submitted show that there is no triable issue as to any material fact and that the moving party is entitled to a judgment as a matter of law.” (Code Civ. Proc., § 437c, subd. (c).)[4] A defendant moving for summary judgment “bears the burden of persuasion that ‘one or more elements of’ the ’cause of action’ in question ‘cannot be established,’ or that ‘there is a complete defense’ thereto. [Citation.]” (Aguilar v. Atlantic Richfield Co. (2001) 25 Cal.4th 826, 850 (Aguilar); § 437c, subd. (p)(2).)

“A defendant seeking summary judgment on the basis of primary assumption of the risk must establish ‘that the defendant owed no legal duty to the plaintiff to prevent the harm of which the plaintiff complains.’ [Citation.]” (Capri v. L.A. Fitness International, LLC (2006) 136 Cal.App.4th 1078, 1087.) If the defendant meets this burden, the burden of production shifts to the plaintiff to “set forth the specific facts showing that a triable issue of material fact exists.” (§ 437c, subd. (p)(2); Aguilar, supra, 25 Cal.4th at p. 849.) “There is a triable issue of material fact if, and only if, the evidence would allow a reasonable trier of fact to find the underlying fact in favor of the party opposing the motion in accordance with the applicable standard of proof.” (Aguilar, at p. 850, fn. omitted.)

“On appeal from the granting of a motion for summary judgment, we examine the record de novo, liberally construing the evidence in support of the party opposing summary judgment and resolving doubts concerning the evidence in favor of that party.” (Miller v. Department of Corrections (2005) 36 Cal.4th 446, 460.)

Primary Assumption of Risk

The primary assumption of risk doctrine “precludes liability for injuries arising from those risks deemed inherent in a sport.” (Avila v. Citrus Community College Dist. (2006) 38 Cal.4th 148, 161.) It “rests on a straightforward policy foundation: the need to avoid chilling vigorous participation in or sponsorship of recreational activities by imposing a tort duty to eliminate or reduce the risks of harm inherent in those activities. It operates on the premise that imposing such a legal duty ‘would work a basic alteration-or cause abandonment’ of the activity.” (Nalwa v. Cedar Fair, L.P. (2012) 55 Cal.4th 1148, 1156 (Nalwa), quoting Kahn v. East Side Union High School Dist. (2003) 31 Cal.4th 990, 1003 (Kahn).) The doctrine applies both to sports and recreational activities “‘involving an inherent risk of injury to voluntary participants . . . where the risk cannot be eliminated without altering the fundamental nature of the activity.'” (Nalwa, at p. 1156, quoting Beninati v. Black Rock City, LLC. (2009) 175 Cal.App.4th 650, 658.)

“[D]efendants generally do not have a duty to protect the plaintiff from the risks inherent in the sport, or to eliminate risk from the sport, although they generally do have a duty not to increase the risk of harm beyond what is inherent in the sport.” (Kahn, supra, 31 Cal.4th at p. 1004, citing Knight v. Jewett (1992) 3 Cal.4th 296, 315-316 (Knight), italics added.) A coparticipant breaches this duty only if he “intentionally injures another player or engages in conduct that is so reckless as to be totally outside the range of the ordinary activity involved in the sport.” (Knight, at p. 320.) “[C]onduct is within the range of ordinary activity involved in a sport if that conduct cannot be prohibited without deterring vigorous participation in the sport or otherwise fundamentally altering the nature of the sport.” (Freeman v. Hale (1994) 30 Cal.App.4th 1388, 1396.) Determining the nature of a defendant’s legal duty (and the inherent risks that flow from the activity) “depends heavily on the nature of the sport itself.” (Knight, at p. 317.)

Appellant’s Injuries Resulted from the Inherent Risks of Surfing

“Judges deciding inherent risk questions under Knight may consider not only their own or common experience with the recreational activity involved but may also consult case law, other published materials, and documentary evidence introduced by the parties on a motion for summary judgment.” (Nalwa, supra, 55 Cal.4th at p. 1158.) Courts generally do not consider the legal conclusions of expert declarations but can receive “expert testimony on the customary practices in an arena of esoteric activity for purposes of weighing whether the inherent risks of the activity were increased by the defendant’s conduct.’ [Citation.]” (Kahn, supra, 31 Cal.4th at p. 1017.) Our de novo review includes such declarations to the extent they help us understand the sport of surfing. (Towns v. Davidson (2007) 147 Cal.App.4th 461, 472-473, italics omitted [“A court in its discretion could receive expert factual opinion to inform its decision on these issues, particularly on the nature of an unknown or esoteric activity, but in no event may it receive expert evidence on the ultimate legal issues of inherent risk and duty.”]; Kahn, supra, 31 Cal.4th at p. 1017 [same].)

California courts have applied the doctrine to coparticipants in a variety of sports, such as snow skiing and other non-contact sports, but not yet to surfing. (See, Cheong v. Antablin (1997) 16 Cal.4th 1063, 1066 (Cheong) [holding the doctrine barred a skier’s negligence claim against another skier who unintentionally injured him in a collision]; Shin v. Ahn (2007) 42 Cal.4th 482, 486 (Shin) [extending the doctrine to apply to the non-contact sport of golf].) We note that snow skiing and surfing have much in common: (1) “both sports involve individual participants that use nature, either a mountain slope or wave, as a propulsion mechanism”; (2) “[b]oth require similar equipment in the form of skis, snowboard, or surfboard to participate”; and (3) “the most important similarity between skiing and surfing is the use of the right-of-way custom to promote safety and order among participants.” (Caprara, supra, 44 Cal. Western L.Rev. at p. 562.)

Respondent submitted the declaration of Ian Cairns, a champion surfer and coach, who opined that surfing is an “extreme sport” with “many inherent risks.” Cairns stated it is “extremely common for surfers to ‘wipe out'” and lose control of their board given the variability of ocean conditions. “Because ‘wipeouts’ are so common, it is a known risk that a surfer may collide with another surfer, or another surfer’s board.” He explained the sport is largely regulated by unwritten safety customs and practices he referred to as “‘surfing etiquette.'” (citing Caprara, supra, 44 Cal. Western L.Rev. at p. 571.) He stated, “[t]hese rules encompass such things as priority, right-of-way, and sharing waves.” Nonetheless, “violating this surfing etiquette is common among surfers.” He further opined it is “not uncommon for surfers to surf without a leash” and “[m]any longboard surfers particularly enjoy the challenge and freedom of surfing without a leash” which otherwise could interfere with their footwork and speed. Lastly, Cairns noted that surfboards “contain between one and four fins, which assist the board with speed and stability” and that the fins are “very sharp and can inflict significant injury.”

Appellant’s expert did not oppose the core components of Cairn’s opinion. He did not dispute that surfers often violate well-established rules of etiquette. The experts appear to agree that surfers commonly collide and lose control of their boards; that boards have sharp fins that can cause injury; and that some surfers choose to forego leashes because they can inhibit speed and agility. The undisputed evidence shows that appellant’s injuries resulted from these risks. We agree with the trial court that the primary assumption of the risk doctrine bars appellant’s negligence claim absent evidence that respondent recklessly or increased the sport’s inherent risks.

There Is No Evidence Respondent Acted Recklessly or Increased the Inherent Risks of Surfing

Appellant relies primarily upon surfing expert Shaun Tomson to support his contention that respondent’s conduct was reckless. Tomson explained that “[o]ver time, the sport of surfing has adopted the Surfing Code and Rules of Etiquette.” According to Tomson, “surfers have a self-managed obligation to observe the Surfers Code and Rules of Etiquette and not increase the risk of harm to others in the water.” He described the rules of etiquette as follows: (1) observe the right of way of others; (2) look for other surfers before entering the wave; (3) do not interfere with, “drop in” or cut off surfers already riding a wave; (4) hold onto and do not let go of your board; (5) wear a surf leash so you do not lose control of your board; and (6) be aware and communicate with others around you. Tomson opined that respondent’s blatant disregard of these rules constituted a “conscious and wanton reckless disregard” for the safety of fellow surfers, especially considering his experience in the sport.

Tomson supported his conclusions by citing the “Leash/Legrope Policy” found in the International Surfing Association Rule Book (ISA), which he described as “the World Governing Body for [s]urfing and all related activities.” The policy reads: “As a risk management precaution . . . the ISA has a mandatory leash/legrope policy at events, due to the potential risk to other participants.” (ISA Rule Book &Contest Administration Manual, September 2023 Section D Competition Rules, subsection xvii (a), p.34.) The policy further states, “[f]ree surfing with or without a leash is at the rider’s discretion however the ISA recommends the use of a leash if there is a possible danger to third parties.” (Id., subsection xvii (b).)

Appellant analogizes respondent’s failure to use a leash to the snowboarder’s failure to use a retention strap in Campbell v. Derylo (1999) 75 Cal.App.4th 823. Campbell reversed the trial court’s granting of summary judgment for plaintiff on the grounds of primary assumption of risk, finding defendant’s failure to use a retention strap “increased the inherent risk of injury to coparticipants from a runaway snowboard.” (Id., at p. 829.) It noted that a local ordinance as well as a “Skier Responsibility Code” posted at the ski resort required their use. (Ibid.) The court also found that using a strap “would not impede or alter the sport of snowboarding” or “chill or deter vigorous participation.” (Id., at p. 830.) We do not consider Campbell analogous. No law governs the use of surfboard leashes. No signs were posted requiring their use at Miramar Beach. More significantly, appellant does not dispute Cairns’ opinion that a leash can alter the nature of the sport by interfering with a longboard surfer’s “footwork and speed” and by posing a tripping hazard to surfers who “walk” on their board. (Cf. Szarowicz v. Birenbaum (2020) 58 Cal.App.5th 146, 166 [ice hockey expert’s testimony that “open ice check[ing]” in a “no-check” game increased the sport’s inherent risks raised triable issues of fact to defeat summary judgment].)

Appellant’s expert merely described what could be done to reduce the risks inherent in surfing. Showing respondent could have acted with more caution does not establish he acted recklessly. Reckless conduct is more than “‘”inadvertence”‘” or “‘”a failure to take precautions.”‘” (Towns v. Davidson, supra, 147 Cal.App.4th at p. 470, citing Delaney v. Baker (1999) 20 Cal.4th 23, 31-32.) It requires a “‘”deliberate disregard” of the “high degree of probability”‘” that an injury will occur. (Ibid.) Although both experts acknowledged respondent may not have followed the rules of etiquette, we are wary of relying too heavily on such guidelines when defining the scope of an activity’s inherent risks. (See, e.g., Shin, supra, 42 Cal.4th at p. 497, fn. 9 [failure to follow golf etiquette of yelling “fore” to minimize chance of hitting other golfers with ball does not justify imposing liability].)

The undisputed evidence here showed that failure to follow the rules of etiquette is common in the surfing community. Appellant admitted: (1) he has witnessed other surfers riding a longboard without a leash; (2) a leash could obstruct some movement of an advanced surfer; (3) he has witnessed prior collisions between surfers; (4) he has witnessed another surfer failing to maintain control of their board; and (5) he personally has had surfers “drop-in” or “shoulder-hop” on his wave. Respondent’s similar conduct, it follows, was not reckless or outside the range of the ordinary activity in surfing.

“‘By eliminating liability for unintended accidents, the doctrine [of primary assumption of the risk] ensures that the fervor of athletic competition will not be chilled by the constant threat of litigation from every misstep, sharp turn and sudden stop.’ [Citation].” (Cheong, supra, 16 Cal.4th at pp.1071-1072.) No trier of fact could reasonably find that respondent’s conduct fell outside of the protection of the primary assumption of risk doctrine. Vigorous participation in surfing “likely would be chilled if legal liability were to be imposed” in these circumstances. (Knight, supra, 3 Cal.4th at p. 318.)

DISPOSITION

Judgment is affirmed. Respondent shall recover his costs on appeal.

We concur: GILBERT, P. J., YEGAN, J.

———

Notes:

[1] We rely on undisputed facts and allegations in the complaint.

[2] A longboard is a board that is “typically longer than nine feet in length.” (Paul Caprara, Surf’s Up: The Implications of Tort Liability in the Unregulated Sport of Surfing (2008) 44 Cal. Western L.Rev. 557, 573, fn. 90 (Caprara).) Respondent’s longboard was 10 feet 4 inches long. A leash is a cord that attaches the ankle of the surfer to the tail end of the board.

[3] “Dropping in” or “shoulder-hopping” describes a surfer getting in the right of way of another surfer who is surfing the same wave.” (Caprara, supra, 44 Cal. Western L.Rev. at p. 571.)

[4] All unlabeled statutory references are to the Code of Civil Procedure unless otherwise stated.

———

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Manufactures Continuing Obligations about the Products they Create and Sell

1. You must constantly keep your manual and your website up to date. Any changes in how your product is used or any warnings about the product must be communicated as quickly as possible to all past, present, and future buyers and users of your product.

2. In some states, this duty extends to information you find out about how your product is being used or ways it should not be used after the product has been sold. In the past once the product was sold the duty to warn of the ways to be hurt using a product ended. However, many states are extending this duty to all users and how the product may be used or misused now or in the future.

3. You should maintain a list of your purchasers of your product to notify them of changes to the product, new warnings, etc. This is not a marketing list. This is a list to CYA. You may modify your customer agreements to make this possible and to differentiate between legally required notifications and marketing and the difference in opting out of these emails.

4. If you find out your product is being used in a way that it should not be used, you need to notify anyone using the product incorrectly as a group and owners of the product.

5. Product liable manuals and warnings NEVER stop being created or changed. Always be thinking about how a “stupid human” could create a new way to use your product to get on TV, either as a stunt or a news story.

Information to Remember when Creating Warnings and Warning Labels60188_v2.

A. Using a larger, bold, or different front always helps have the warnings noticed.
B. Warnings on the Product or in the manual must be easily identified as such by the use of color, size, type of font, or a symbol.
C. Using Bright Colors like Yellow and Orange helps your customers locate the warnings. If your manual is only going to be in black and white, use bold fonts, symbols, and boxes to catch your customer’s eye.
a. The Black Triangle with a yellow or orange fill with an exclamation point in the triangle is a well-known way to identify a warning.
D. At the same time, make sure the warnings are necessary. Too many warnings and the warnings might be overlooked.
E. Make sure the warnings are located where the information that triggers the warning is located in the manual. Listing warnings at the end of the manual is not sufficient.

After this decision, I’m not sure you could prove assumption of the risk without a written document and a video or more.

Plaintiff was part of a team-building group for her school/employer, she fell off the balance beam and sued for her injuries.

Hazen v. Woodloch Pines Resort, Civil Action 3:21-cv-00174 (M.D. Pa. Feb 16, 2024)

State: Pennsylvania, United States District Court, M.D. Pennsylvania

Plaintiff: Erin Hazen

Defendant: Woodloch Pines Resort d/b/a Woodloch Pines, et al

Plaintiff Claims:

Defendant Defenses: Assumption of the Risk

Holding: For the Plaintiff

Year: 2024

Summary

A middle school assistant principal fell off a low rope’s balance beam, 12″ high, into wood chips suffering injuries to her leg, ankle, and foot. However, under the interpretation of the defense of assumption of the risk by this court, she did not assume the risk of her injuries.

This has got to be appealed!

Facts

Woodloch Pines Resort (“Woodloch”) is an all-inclusive family resort located in Pike County, Pennsylvania. Since the 1990s, it has offered corporate team building activities on an outdoor low ropes challenge course. One of the elements of this challenge course was a “balance beam” or “teeter-totter” device made up of a fulcrum with a plank on top of it. The plank or “beam” is 10-feet long and 10%-inches wide. The fulcrum is 12-inches high and, when at its highest point, the end of the plank or beam is 3 feet above the surface below. The area below and around the balance beam device was covered with wooden mulch, presumably to, cushion the fall of any participants.

In June 2019, the plaintiff, Erin Hazen, was an assistant principal at KIPP TEAM Academy, a public charter school in Newark, New Jersey. She had been working there for about a year. On Saturday, June 22, 2019, Hazen and ten of her colleagues from the “leadership team” at KIPP TEAM Academy were on the third day of a leadership retreat at Woodloch. That morning, they participated in the outdoor challenge course activities as a team. After completing several other activities, they attempted the “balance beam” activity, where Hazen was injured.

The team was instructed by Eric Ranner, Woodloch’s corporate activities director, that the goal of the balance beam activity was to get the entire 11-person leadership team onto the plank without breaking either of two eggs that had been placed under each end of the plank. The parties dispute whether Ranner gave any additional verbal instructions or warnings to the participants. Ranner was the only Woodloch employee present at the time.

After two unsuccessful attempts to complete the activity, the team was able to get ten members on the plank at once during its third attempt. When the eleventh team member mounted the plank, it became unbalanced and Hazen fell off, along with other participants. At least one other participant landed on top of Hazen.

As a result of her fall, Hazen suffered a gruesome ankle injury, including left ankle dislocation, a displaced left ankle trimalleolar fracture with transverse medial malleolar fracture, a transverse distal one-third fibula shaft fracture, syndesmotic rupture, and a minimally displaced proximal fracture in the metaphysis. Her medical treatment included three surgeries and ongoing physical therapy. Due to her injuries, resultant physical limitations, and her course of treatment, Hazen was forced to resign from her job at KIPP TEAM Academy.

Analysis: making sense of the law based on these facts.

The only defense raised in this motion was Assumption of the Risk. Under Pennsylvania law assumption of the risk is defined as:

…assumption of the risk is established by showing that the injured party fully appreciated the nature of the risk it faced and voluntarily assumed it. In addition, the injured party must not have had a meaningful and reasonable alternative path to avoid the risk.

Pennsylvania has an additional requirement to prove assumption of the risk from the majority of other states. Most states require that the plaintiff understood and knowingly assumed the risk. In Pennsylvania, the defendant must also prove that the plaintiff had a reasonable alternative way to avoid the risk.

This court then went on to define the components of the assumption of the risk under Pennsylvania law.

Voluntary assumption of the risk involves a subjective awareness of the risk inherent in an activity and a willingness – to accept it. A plaintiff has voluntarily assumed the risk where he fully understands it and Voluntarily chooses to encounter it.

If the plaintiff assumes the risk, like many states, this removes from the defendant the duty to protect the plaintiff.

Under the doctrine of assumption of the risk, a defendant is relieved of its duty to protect a plaintiff where the plaintiff has voluntarily and deliberately proceeded to face a known arid obvious risk and therefore is considered to have assumed liability for his own injuries.”

The court then went on to define what a risk, or danger as this court defined it, is:

A danger is deemed “obvious” when “both the condition and the risk are apparent to and would be recognized by a reasonable man, in the position of the visitor, exercising normal perception, intelligence, and judgment.” For a danger to be “known,” it must “not only be known to exist, but. . . also be recognized that it is dangerous and the probability and gravity of the threatened harm must be appreciated.”

In all states, the trier of fact, the jury, must determine if the plaintiff assumed the risk. In some states, the court can make that decision in a motion if there is prior case law with similar facts or if the court determines that a jury would find for the defendant.

It is for that reason that Assumption of the Risk as a defense is second to use a release. A properly written release allows the defendant to motion for a summary judgment and the court, the trial judge can decide, there is no need to spend the money to go to trial.

Here the court went further to define the risk working hard to find a definition that would put an increased burden on the defendant, effectively removing the defense of assumption of the risk.

“Whether the plaintiff knows of the existence of the risk, or whether he understands and appreciates its magnitude and its unreasonable character, is a question of fact, usually to be determined by the jury under proper instructions from the court. The court may itself determine the issue only where reasonable men could not differ as to the conclusion.”.

In defining assumption of risk most courts say the plaintiff must knowingly understand the risk. Here the court stated the plaintiff must not only understand the risk but also the “magnitude and its unreasonable character.”

Going deeper into this extensive black hole to support the plaintiff the court stated.

The defendant’s burden to establish assumption of the risk is a tall order, because assumption of the risk requires knowledge of a specific risk, “It is not enough that the plaintiff was generally aware that the activity in which he was engaged had accompanying risks. Rather, the plaintiff must be aware of ‘the particular danger’ from which he is subsequently injured in order to voluntarily assume that risk as a matter of law.

The plaintiff under this ruling must not only know the risk, but the defendant must also prove the plaintiff knew of the particular danger that injured him or her.

The judge is requiring the plaintiff to have a crystal ball to understand every possible injury that could come from assuming the risk.

You are standing on a beam, elevated above the ground 12 inches on a beam that is 10″ wide with 11 other people, and not only must you know that you can fall off, but you must know that you will receive a severe leg, ankle, and foot injury.

Hazen suffered a gruesome ankle injury, including left ankle dislocation, a displaced left ankle trimalleolar fracture with transverse medial malleolar fracture, a transverse distal one-third fibula shaft fracture, syndesmotic rupture, and a minimally displaced proximal fracture in the metaphysis

You need to make a mental note when reading a case when the judge describes the injury as gruesome and then specifically identifies each injury the plaintiff suffered.

The court found the plaintiff understood and assumed that she could fall off the beam and suffer an injury. However, the court went on to say “But “awareness of a general risk does not amount to awareness of a specific risk.””

The judge continued on this track:

Awareness of the specific risk presented by the balance beam activity here includes not just an appreciation of the general possibility that she might fall, but also an appreciation of the likelihood of a fall and the potential for serious injury such as the complex multiple ankle fractures and other injuries that our plaintiff, in fact, suffered.

The next issue the court brought up was whether or not the plaintiff had a real choice to participate or not participate in any part of the team-building exercise.

Here, the parties dispute whether Hazen’s participation in the balance beam activity was voluntary. In her affidavit, Hazen has stated that she felt her participation in this team building activity was required rather than voluntary, noting that she had just finished her first year as an assistant principal at the charter school, she was required in that role to lead by example and thus participate fully in team-building activities, and the purpose of this particular activity was to get the entire team of eleven onto the plank at one time.

At what point in life can you not stop and say I don’t want to do this?

The court proceeded to dismiss the motion by the defendants.

Accordingly, based on the facts and evidence of record, viewed in the light most favorable to the non-moving plaintiff, we find that a reasonable jury could conclude that the plaintiff was not subjectively. aware of the specific risk of serious injury posed by her participation in the balance beam activity that resulted in her injuries, or that she did not voluntarily accept that risk.

So Now What?

I have no idea what a trimalleolar fracture is. Nor does Word or Grammarly recognize trimalleolar as a word. Yet, this court expected a middle school assistant principal to understand the word, and the risk associated with it.

Let alone the ability, as a leader in a school, or assistant principal, that she does not want to participate in an activity because of the risk. If you don’t learn that in middle school, where are you going to learn it?

Here the court went out of its way to find requirements for the defense to prove that were outlandish and impossible. The only way to win anything like this in Pennsylvania in the future is to have the participants sit down and watch a video describing all the possible ways to get hurt, record the participants watching the video, and then sign an agreement, assumption of the risk or release which says the know and understand the risks and the particular dangers of each risk and that the person signing watched the video.

This decision is a little shocking.

What do you think? Leave a comment.

Jim Moss speaking at a conference

Jim Moss

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, and outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers; avalanche beacon manufacturers, and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

Jim is the author or co-author of six books about the legal issues in the outdoor recreation world; the latest is Outdoor

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Outdoor Recreation Insurance, Risk Management, and Law

Recreation Insurance, Risk Management and Law.

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Hazen v. Woodloch Pines Resort, Civil Action 3:21-cv-00174 (M.D. Pa. Feb 16, 2024)

To Read an Analysis of this decision see: After this decision, I’m not sure you could prove assumption of the risk without a written document and a video or more.

ERIN HAZEN, Plaintiff,
v.
WOODLOCH PINES RESORT d/b/a WOODLOCH PINES, et al., Defendants.

Civil Action No. 3:21-cv-00174

United States District Court, M.D. Pennsylvania

February 16, 2024

MEMORANDUM

(SAPORITO, M. J.)

Woodloch Pines Resort (“Woodloch”) is an all-inclusive family resort located in Pike County, Pennsylvania. Since the 1990s, it has offered corporate team building activities on an outdoor low ropes challenge course. One of the elements of this challenge course was a “balance beam” or “teeter-totter” device made up of a fulcrum with a plank on top of it. The plank or “beam” is 10-feet long and 10%-inches wide. The fulcrum is 12%-inches high and, when at its highest point, the end of the plank or beam is 3%4eet above the surface below. The area below and around the balance beam device was covered with wooden mulch, presumably to, cushion the fall of any participants.

In June 2019, the plaintiff, Erin Hazen, was an assistant principal at KIPP TEAM Academy, a public charter school in Newark, New Jersey. She had been working there for about a year. On Saturday, June 22, 2019, Hazen and ten of her colleagues from the “leadership team” at KIPP TEAM Academy were on the third day of a leadership retreat at Woodloch. That morning, they participated in the outdoor challenge course activities as a team. After completing several other activities, they attempted the “balance beam” activity, where Hazen was injured.

The team was instructed by Eric Ranner, Woodloch’s corporate activities director, that the goal of the balance beam activity was to get the entire 11-person leadership team onto the plank without breaking either of two eggs that had been placed under each end of the plank.[1] The parties dispute whether Ranner gave any additional verbal instructions or warnings to the participants. Ranner was the only Woodloch employee present at the time.

After two unsuccessful attempts to complete the activity, the team was able to get ten members on the plank at once during its third attempt. When the eleventh team member mounted the plank, it became unbalanced and Hazen fell off, along with other participants.[2] At least one other participant landed on top of Hazen.

As a result of her fall, Hazen suffered a gruesome ankle injury, including left ankle dislocation, a displaced left ankle trimalleolar fracture with transverse medial malleolar fracture, a transverse distal one-third fibula shaft fracture, syndesmotic rupture, and a minimally displaced proximal fracture in the metaphysis. Her medical treatment included three surgeries and ongoing physical therapy. Due to her injuries, resultant physical limitations, and her course of treatment, Hazen was forced to resign from her job at KIPP TEAM Academy[3]

Hazen brought this federal diversity action asserting state-law negligence claims against each of the defendants. The defendants have answered the complaint, and, following the completion of discovery, they have moved for summary judgment. In support of their motion for summary judgment, the defendants argue that Hazen is barred from all recovery by the doctrine of primary assumption of the risk.

Because this is a diversity action, we must apply Pennsylvania’s substantive law and federal procedural law. See Gasperini v. Cir. for Humans., Inc., 518 U.S. 415, 427 (1996). “Under Pennsylvania law, assumption of the risk is established by showing that the injured party fully appreciated the nature of the risk it faced and voluntarily assumed it. In addition, the injured party must not have had a meaningful and reasonable alternative path to avoid the risk.” Kirschbaum v WRGSB Assocs., 243 F.3d 145, 156-57 (3d Cir. 2001) (citation omitted); see also . Mucowski v Clark, 590 A.2d 348, 350 (Pa. Super. Ct. 1991) (“Voluntary assumption of the risk involves a subjective awareness of the risk inherent in an activity and a willingness – to accept it. A plaintiff has voluntarily assumed the risk where he fully understands it and Voluntarily chooses to encounter it.”) (citation omitted and emphasis added). “Under the doctrine of assumption of the risk, a defendant is relieved of its duty to protect a plaintiff where the plaintiff has voluntarily and deliberately proceeded to face a known arid obvious risk arid therefore is considered to have assumed liability for his own injuries.” Barrett v. FredavidBuilders, Inc., 685 A.2d 129,130 (Pa. Super. Ct. 1996); see also Carrender v. Fitterer, 469 A.2d 120, 125 (Pa. 1983) (holding that, when an invitee assumes the risk of injury from a dangerous condition, the landowner no longer owes the invitee a duty of care).

As the Carrender court explained:

A danger is deemed “obvious” when “both the condition and the risk are apparent to and would be recognized by a reasonable man, in the position of the visitor, exercising normal perception, intelligence, and judgment.” For a danger to be “known,” it must “not only be known to exist, but. . . also be recognized that it is dangerous and the probability arid gravity of the threatened harm must be appreciated.”

Carrender, 469 A.2d at 123-24 (quoting Restatement (Second) of Torts § 343Acmt. b (Am. L. Inst. 1965)) (citations omitted, ellipsis in original).

“Whether the plaintiff knows of the existence of the risk, or whether he understands and appreciates its magnitude and its unreasonable character, is a question of fact, usually to be determined by the jury under proper instructions from the court. The court may itself determine the issue only where reasonable men could not differ as to the conclusion.”. Staymates E ITT Holub Indus., 527 A.2d 140, 146 (Pa. Super. Ct. 1987) (quoting Restatement (Second) of Torts §496D cmt.e); see also Kaplan v. Exxon Corp., 126 F.3d 221, 225 (3d Cir. 1997); Mucowski,
:590.A.2d at 350 (quoting Staymatesf Carrender, 469 A.2d at 124. As this court has previously explained:

Given that its application is a “drastic measure” barring a plaintiffs recovery, to grant summary judgment on assumption of the risk as a matter of law the court must-conclusively and beyond question- find that the plaintiff was subjectively aware of a specific risk, voluntarily accepted it and acted in spite of that risk, and suffered harm contemplated by that specific risk. The defendant’s burden to establish assumption of the risk is a tall order, because . assumption of the risk requires knowledge of a specific risk, “It is not enough that the plaintiff was generally aware that the activity in which he was engaged had accompanying risks. Rather, the plaintiff must be aware of ‘the particular danger’ from which he is subsequently injured in order to voluntarily assume that risk as a matter of law.”

Smerdon v. GEICO Cas. Co., 342 F.Supp.3d 582, 587 (M.D. Pa. 2018) (quoting Bullman v Giuntoli, 761 A.2d 566, 569 (Pa. Super. Ct. 2000), :and Barillari v. Ski Sha wnee, Inc., 986 F.Supp.2d 555, 562-63 (M.D. Pa. 2013)) (footnotes omitted).

Here, it is undisputed that Hazen was generally aware of the risk that she might fall from the balance beam during this activity. But “awareness of a general risk does not amount to awareness of a specific risk.” Smerdon, 342 F.Supp.3d at 588 (citing Barillari, 986 F.Supp.2d at 562-63). Awareness of the specific risk presented by the balance beam activity here includes not just an appreciation of the general possibility that she might fall, but also an appreciation of the likelihood of a fall and the potential for serious injury such as the complex multiple ankle fractures and other injuries that our plaintiff in fact suffered.[4]
See Kirschbaum, 243 F.3d at 157 (finding evidence sufficient to permit a reasonable jury to conclude that office building tenant, who was aware of a broken handrail and that it would not aid him if he were to trip while on the stairs, lacked the necessary appreciation of the likelihood that he could fall and need to rely on the handrail); Rice v. Skytop Lodge Corp., No. 00-2243, 2002 WL 775484, at *3 (M.D. Pa. Apr. 23, 2002) (finding evidence Sufficient to permit a reasonable jury to conclude that a sledder, who was aware of general risks of sledding and who had observed the placement of a plastic fence at the bottom of the sledding hill, did not understand the specific risk of serious injury that might be caused by colliding with the fence); Mucowski, 590 A.2d at 350 (finding evidence sufficient to permit a reasonable jury to conclude that a senior engineering student, who was familiar with a pool and the depth of the water therein, was not subjectively aware of the specific risk that he could Strike his head on the bottom of the pool when diving into 4 feet of water from a railing around the pool). Hazen’s failure to fully appreciate the specific risk of serious injury posed by the balance beam activity is further underscored by the fact that, between herself and all ten of her leadership team colleagues that day, none believed the balance beam activity was so unsafe that they should decline to participate. See Smerdon, 342 F.Supp.3d at 589. “Under Carrender, this issue goes to the jury unless reasonable minds could not disagree.” Kaplan, 126 F.3d at 225.

In addition, We note that, “[a]mong the circumstances to consider in evaluating the voluntariness of the plaintiff’s action is whether the plaintiff had a real ‘choice.'” Kaplan, 126 F.3d at 226 (quoting Howell E Clyde, 620 A.2d 1107 (Pa. 1993) (plurality opinion)). Here, the parties dispute whether Hazen’s participation in the balance beam activity was voluntary. In her affidavit, Hazen has stated that she felt her participation in this team building activity was required rather than voluntary, noting that she had just finished her first year as an assistant principal at the charter school, she was required in that role to lead by example and thus participate fully in team-building activities, and the purpose of this particular activity was to get the entire team of eleven onto the plank at one time. Hazen Aff., Doc. 36’7.[5] Thus, this element of the defendants’ assumption of the risk defense is also subject to a genuine dispute of material fact.

Accordingly, based on the facts and evidence of record, viewed in the light most favorable to the non-moving plaintiff, we find that a reasonable jury could conclude that the plaintiff was not subjectively . aware of the specific risk of serious injury posed by her participation in the balance beam activity that resulted in her injuries, or that she did not voluntarily accept that risk. Accordingly, the motion for summary judgment will be denied.

An appropriate order follows.

———

Notes:

[1] In addition to multiple Woodloch corporate entities, Ranner is a named defendant in this action, along with Robert Filarsky, an assistant social director at Woodloch and Ranner’s supervisor that day.

[2] The evidence suggests that some of the participants may have jumped off the plank, but it is undisputed that Hazen fell.

[3] After a period of unemployment, Hazen is currently employed in a lower-paying position as a teacher at a different charter school in Morristown, New Jersey.

[4] We note that, while Hazen could have visually observed the particular dimensions of the balance beam device and ascertained that it was made of wood, she had no experience performing this or similar activities in the past, and she had no knowledge of the device’s particular construction, including its weight capacity or the fact that the plank was not itself secured to the fulcrum.

[5] In addition to deposition testimony by the parties themselves, deposition testimony by various nonparty witnesses, documentary and photographic evidence, arid expert witness reports, the plaintiff has relied on her owri testimonial affidavit, which is offered as a supplement to her deposition testimony and the other evidence. In their reply brief, the defendants have objected to consideration of this affidavit, arguing that it should be disregarded by the court under the “sham affidavit” doctrine. See generally Daubert E NRA Grp., LLC, 861 F.3d 382, 391 (3d Cir. 2017) (“When a nonmovant’s affidavit contradicts earlier deposition testiiriony without a satisfactory or plausible explanation, a district court -iriay disregard it at summary judgment in deciding if a genuine, material factual dispute exists. This is the sham-affidavit doctrine. In applying it we adhere to a ‘flexible approach,’ giving due regard to the ‘surrounding circumstances.”‘) (citations omitted); Perma Res. & Dev’p Co. v. Singer Co., 410 F.2d 572, 577-78 (2d Cir. 1969) (seminal case on the sham affidavit doctrine). But “the principle does not apply if the deposition and the later sworn statement are not actually contradictory.” Palazzo ex rel. Deimage v. Corio, 232 F.3d 38, 43 (2d Cir. 2000). “To be covered by the sham affidavit doctrine, the affidavit testimony must actually contradict previous deposition testimony, not merely differ from it or be in tension With it.” Ramirez v. Lora, No. 18-11230, 2022 WL 1539176, at *8 (D.N.J. May 16, 2022). Here, the defendants have characterized the plaintiff’s affidavit as “self-serving and boot strapping” and “incredulous,” but they have failed to identify any contradictory testimony whatsoever. See Defs.’ Reply Br. 5-8, Doc. 37. Thus, we decline to disregard the Hazen affidavit as evidence on summary judgment.

———

G-YQ06K3L262


States that allow a parent to sign away a minor’s right to sue.

Unless listed here, your state does not allow a parent or guardian to sign away a minor’s right to sue.

State

By Statute

Restrictions

Alaska Alaska: Sec. 09.65.292 Sec. 05.45.120 does not allow using a release by ski areas for ski injuries
Arizona ARS § 12-553 Limited to Equine Activities
Colorado C.R.S. §§13-22-107
Florida Florida Statute § 744.301 (3) Florida statute that allows a parent to release a minor’s right to sue
Virginia Chapter 62. Equine Activity Liability § 3.2-6202. Liability limited; liability actions prohibited Allows a parent to sign a release for a minor for equine activities
Utah 78B-4-203. Limitations on Liability for Equine and Livestock Activities Limited to Equine Activities
(b) providing a document or release for the participant, or the participant’s legal guardian if the participant is a minor, to sign.
By Case Law
California Hohe v. San Diego Unified Sch. Dist., 224 Cal.App.3d 1559, 274 Cal.Rptr. 647 (1990)
Florida Global Travel Marketing, Inc v. Shea, 2005 Fla. LEXIS 1454 Allows a release signed by a parent to require arbitration of the minor’s claims
Florida Gonzalez v. City of Coral Gables, 871 So.2d 1067, 29 Fla. L. Weekly D1147 Release can be used for volunteer activities and by government entities
Indiana Wabash County Young Men’s Christian Association, Inc. v. Thompson, 2012 Ind. App. LEXIS 428
Maryland BJ’s Wholesale Club, Inc. v. Rosen, 435 Md. 714; 80 A.3d 345; 2013 Md. LEXIS 897 Maryland top court allows a parent to sign away a minor’s right to sue. Release was not fantastic, but good enough.
Massachusetts Sharon v. City of Newton, 437 Mass. 99; 769 N.E.2d 738; 2002 Mass. LEXIS 384
Minnesota Moore vs. Minnesota Baseball Instructional School, 2009 Minn. App. Unpub. LEXIS 299 Minnesota decision upholds parent’s right to sign away a minor’s right to sue.
Nebraska Sinu v. Concordia Univ., 313 Neb. 218 (Neb. 2023) Nebraska Supreme Court upholds release for a minor who was injured as a student athlete at a private college.
North Dakota McPhail v. Bismarck Park District, 2003 ND 4; 655 N.W.2d 411; 2003 N.D. LEXIS 3 North Dakota decision allows a parent to sign away a minor’s right to sue
Ohio Zivich v. Mentor Soccer Club, Inc., 696 N.E.2d 201, 82 Ohio St.3d 367 (1998) Ohio Appellate decision upholds the use of a release for a minor for a commercial activity
Wisconsin Osborn v. Cascade Mountain, Inc., 655 N.W.2d 546, 259 Wis. 2d 481, 2002 Wisc. App. LEXIS 1216, 2003 WI App 1 However the decision in Atkins v. Swimwest Family Fitness Center, 2005 WI 4; 2005 Wisc. LEXIS 2 may void all releases in the state

On the Edge, but not enough to really rely on

Decisions are by the Federal District Courts and only preliminary motions

North Carolina Kelly v. United States of America, 2011 U.S. Dist. LEXIS 89741 North Carolina may allow a parent to sign away a minor’s right to sue for injuries when the minor is engaged in non-profit activities sponsored by schools, volunteers, or community organizations
New York DiFrancesco v. Win-Sum Ski Corp., Holiday Valley, Inc., 2017 U.S. Dist. LEXIS 39695 New York Federal Magistrate in a Motion in Limine, hearing holds the New York Skier Safety Statute allows a parent to sign away a minor’s right to sue.

Check with your local attorney before relying on any information on this website.

Jim Moss speaking at a conference

Jim Moss

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, and outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers, avalanche beacon manufacturers, and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

Cover of Outdoor Recreation Insurance, Risk Management, and Law

Outdoor Recreation Insurance, Risk Management, and Law

Jim is the author or co-author of six books about legal issues in the outdoor recreation world; the latest is Outdoor Recreation Insurance, Risk Management, and Law.

To see Jim’s complete bio go here and to see his CV you can find it here. To find out the purpose of this website go here.

G-YQ06K3L262

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Make sure the person signing the release is the person you have on your trip.

Mother signed her son up for a trip and claimed she signed the release. This invalidated a change of venue because the forum selection clause was not at issue.

Bonnen v. Pocono Whitewater, Ltd., Civil Action 3:20-cv-01532 (M.D. Pa. Sep 17, 2021)

State: Pennsylvania; United States District Court, M.D. Pennsylvania

Plaintiff: CAROLINE BONNEN, et al

Defendant: POCONO WHITEWATER, LTD

Plaintiff Claims: negligent, grossly negligent, and reckless in its conduct

Defendant Defenses: Release containing a forum selection clause

Holding: for the plaintiff

Year: 2021

Summary

The forum selection clause in the release was not upheld because the mother of the deceased claimed she signed the release. Since the deceased did not sign the release the forum selection clause was not valid.

Facts

On September 1, 2019, Christopher Santana was one of nine occupants in an eight-person raft, none of whom were guides, who were Whitewater rafting on the Lehigh River in Jim Thorpe, Carbon County, Pennsylvania. After the raft hit a rock, Santana was thrown from the raft into turbulent and rocky waters. His foot became lodged between rocks causing him to become submerged underwater, which resulted in his death by drowning. The plaintiff, Caroline Bonnen, individually and as Administratrix of the Estate of Christopher Santana, brings this wrongful death and survival action against the defendant, Pocono Whitewater, Ltd.

The defendant has filed a motion to dismiss seeking dismissal on the ground that a forum selection provision contained in a release of liability purportedly signed by the decedent sets the Court of Common Pleas of Carbon County as the appropriate and agreed-upon venue for any dispute “aris[ing] out of th[e] agreement or otherwise between the parties.”

A review of the amended complaint reflects that the plaintiff did not plead whether the release of liability has any relevance to the incident. Rather, the plaintiff has pled that the defendant was negligent, grossly negligent, and reckless in its conduct in a variety of several itemized instances. In her opposition papers, the plaintiff contends that the release of liability, which includes the forum selection clause contained therein, is invalid because the decedent did not execute the release. The plaintiff maintains that it was she who signed the decedent’s name, without authority to contract on behalf of the decedent..

Analysis: making sense of the law based on these facts.

The decision in this case was two paragraphs long. Since the mother claimed she signed the release for the deceased, the validity of the release and the forum selection clause it contained were at issue.

Turning to the motion to dismiss based on enforcement of a forum selection provision under Fed.R.Civ.P. 12(b)(6), when the parties’ agreement contains a valid forum selection clause designating a particular forum for settling disputes arising out of their contract, a Rule 12(b)(6) dismissal is a permissible means of enforcing that forum selection clause.

Here, the plaintiff disputes the validity of the release containing a forum selection clause because it was allegedly signed in the decedent’s name by his mother, the plaintiff, without authorization or consent by the decedent. Based on the factual allegations by the parties, we are unable to conclude that the decedent unambiguously manifested his assent to the forum selection clause, and thus we are unable to find that the forum selection clause is valid. Because the validity of the form selection clause remains in doubt, the defendant’s preferred forum-the Carbon County state courts-is not controlling. Moreover, Pennsylvania law holds that such a release agreement cannot bind non-signatories.

Since there was a dispute as to who signed the release containing the forum selection clause, the issue of the validity of the release and the clause were not something the court could ignore.

So Now What?

Signing releases electronically makes paperwork non-existent and allows the guests to see and sign the release in advance of any trip. This makes sign up or check in at day trips a breeze.

At the same time, it allows for people to argue they did not sign the release. Consequently, you need to modify your release to catch these issues and prevent them.

One way is to verify that the name signing the release is the name on the credit card used to pay for the trip or activity. If not flag the release and have a paper or new electronic version signed at check in.

You can also use the language in the credit card agreement to verify the fact that the person signing the release is the person who owns the credit card.

Another issue is one spouse signing a release online for both spouses and minor children. Dependent upon the state, you make have one spouse sign up online, the second spouse and if eligible minor children sign a paper copy at check in.

No matter what make sure the number of people signing up for your trip or activity are the ones in front of you checking in and you have the correct name on a release for each person checking in.

G-YQ06K3L262

Jim Moss speaking at a conference

Jim Moss

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers, avalanche beacon manufactures and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

 

Jim is the author or co-author of six books about the legal issues in the outdoor recreation world; the latest is Outdoor

Cover of Outdoor Recreation Insurance, Risk Management, and Law

Outdoor Recreation Insurance, Risk Management, and Law

Recreation Insurance, Risk Management and Law.

To see Jim’s complete bio go here and to see his CV you can find it here. To find out the purpose of this website go here.

G-YQ06K3L262

What do you think? Leave a comment.

If you like this let your friends know or post it on FB, Twitter or LinkedIn

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If you are interested in having me write your release, fill out this Information Form and Contract and send it to me.

Author: Outdoor Recreation Insurance, Risk Management and Law

To Purchase Go Here:

Facebook Page: Outdoor Recreation & Adventure Travel Law

Email: Jim@Rec-Law.US

By Recreation Law    Rec-law@recreation-law.com    James H. Moss

@2024 Summit Magic Publishing, LLC

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Bonnen v. Pocono Whitewater, Ltd., Civil Action 3:20-cv-01532 (M.D. Pa. Sep 17, 2021)

Bonnen v. Pocono Whitewater, Ltd., Civil Action 3:20-cv-01532 (M.D. Pa. Sep 17, 2021)

CAROLINE BONNEN, et al., Plaintiffs,
v.
POCONO WHITEWATER, LTD., Defendant.

Civil Action No. 3:20-cv-01532

United States District Court, M.D. Pennsylvania

September 17, 2021

MEMORANDUM

JOSEPH F. SAPORITO, JR., U.S. Magistrate Judge.

This diversity action is before the court on the defendant’s motion to dismiss the amended complaint under Fed.R.Civ.P. 12(b)(6) based on enforcement of a forum selection provision. (Doc. 15). The action arises out of an incident where the plaintiffs decedent died as a result of being thrown from a raft while Whitewater rafting on the Lehigh River in Carbon County, Pennsylvania. For the reasons set forth herein, we will deny the motion.

I. Statement of Facts

On September 1, 2019, Christopher Santana was one of nine occupants in an eight-person raft, none of whom were guides, who were Whitewater rafting on the Lehigh River in Jim Thorpe, Carbon County, Pennsylvania. After the raft hit a rock, Santana was thrown from the raft into turbulent and rocky waters. His foot became lodged between rocks causing him to become submerged underwater, which resulted in his death by drowning. The plaintiff, Caroline Bonnen, individually and as Administratrix of the Estate of Christopher Santana, brings this wrongful death and survival action against the defendant, Pocono Whitewater, Ltd.

The defendant has filed a motion to dismiss (Doc. 15), seeking dismissal on the ground that a forum selection provision contained in a release of liability purportedly signed by the decedent sets the Court of Common Pleas of Carbon County as the appropriate and agreed-upon venue for any dispute “aris[ing] out of th[e] agreement or otherwise between the parties.” (Doc. 14-5).

A review of the amended complaint reflects that the plaintiff did not plead whether the release of liability has any relevance to the incident. Rather, the plaintiff has pled that the defendant was negligent, grossly negligent, and reckless in its conduct in a variety of several itemized instances. (Doc. 9 ¶ 31). In her opposition papers, the plaintiff contends that the release of liability, which includes the forum selection clause contained therein, is invalid because the decedent did not execute the release. (Doc. 20 passim; Doc. 21, at 3-5). The plaintiff maintains that it was she who signed the decedent’s name, without authority to contract on behalf of the decedent. (Id.).

The motion has been fully briefed by the parties and is ripe for disposition. (Doc. 16; Doc. 21).

II. Legal Standard

Rule 12 (b)(6) of the Federal Rules of Civil Procedure authorizes a defendant to move to dismiss for “failure to state a claim upon which relief is granted.” Fed.R.Civ.P. 12(b)(6). “Under Rule 12(b)(6), a motion to dismiss may be granted only if, accepting all well-pleaded allegations in the complaint as true and viewing them in the light most favorable to the plaintiff, a court finds the plaintiffs claims lack facial plausibility.” Warren Gen. Hosp. v. Amgen, Inc., 643 F.3d 77, 84 (3d Cir. 2011) (citing Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 555-56 (2007)). In deciding the motion, the court may consider the facts alleged on the face of the complaint, as well as “documents incorporated into the complaint by reference, and matters of which a court may take judicial notice.” Tellab, Inc. v. Makor Issues & Rights, Ltd., 551 U.S. 308, 322 (2007). Although the Court must accept the fact allegations in the complaint as true, it is not compelled to accept “unsupported conclusions and unwarranted inferences, or a legal conclusion couched as a factual allegations.” Morrow v. Balaski, 719 F.3d 160, 165 (3d Cir. 2013) (quoting Baraka v. McGreevy, 481 F.3d 187, 195 (3d Cir. 2007). Nor is it required to credit factual allegations contradicted by indisputably authentic documents on which the complaint relies or matters of public record of which we may take judicial notice. In re Washington Mut. Inc., 741 Fed.Appx. 88, 91 n.3 (3d Cir. 2018); Sourovelis v. City of Philadelphia, 246 F.Supp.3d 1058, 1075 (E.D. Pa. 2017); Banks v. Cty. of Allegheny, 568 F.Supp.2d 579, 588-89 (W.D. Pa. 2008).

III. Discussion

Turning to the motion to dismiss based on enforcement of a forum selection provision under Fed.R.Civ.P. 12(b)(6), when the parties’ agreement contains a valid forum selection clause designating a particular forum for settling disputes arising out of their contract, a Rule 12(b)(6) dismissal is a permissible means of enforcing that forum selection clause. Salovaara v. Jackson Nat’l Life Ins. Co., 246 F.3d 289, 298 (3d Cir. 2001). Podesta v. Hanzel, 684 Fed.Appx. 213, 216 (3d Cir. 2017); see also Eureka Res., LLC v. Hoden Roots LLC, ___F.Supp.3d.___, 2021 WL 3545068, at * 1 & n.5 (M.D. Pa. Aug. 11, 2021).

Here, the plaintiff disputes the validity of the release containing a forum selection clause because it was allegedly signed in the decedent’s name by his mother, the plaintiff, without authorization or consent by the decedent. Based on the factual allegations by the parties, we are unable to conclude that the decedent unambiguously manifested his assent to the forum selection clause, and thus we are unable to find that the forum selection clause is valid. See Oak Street Printery LLC v. Fujifilm N. Am. Corp., 895 F.Supp.2d 613, 619 (M.D. Pa. 2012). Because the validity of the form selection clause remains in doubt, the defendant’s preferred forum-the Carbon County state courts-is not controlling. See Id. Moreover, Pennsylvania law holds that such a release agreement cannot bind non-signatories. See Valentino v. Philadelphia Triathlon, LLC, 150 A.3d 483, 497 (Pa. Super. Ct. 2016) (noting that a statutory “wrongful death claimant possesses an independent, non-derivative right of action” that cannot be subjected to a forum selection clause, signed by the decedent, without the claimant’s consent); cf. Buttermore v. Aliquippa Hospital, 561 A.2d 733, 736 (Pa. l989)(holding that a wife’s consortium claim was an independent cause of action, and thus not barred by a settlement agreement to which she was not a signatory). Therefore, construing all well-pleaded facts as true, as we must, we are constrained to deny the motion to dismiss.

An appropriate order follows.


Defendant found criminal guilty for failing to have a federal permit to operate on a lake owned by United States Army Corps of Engineers (USACE)

If you are on Federal land or Federal water making money you have to have a Federal Permit

United States v. Warman, 23-MJ-02-EBA, Violation 1062808 (E.D. Ky. Mar 15, 2023)

State: Kentucky; United States District Court, E.D. Kentucky, Northern Division

Plaintiff: UNITED STATES OF AMERICA

Defendant: HEATHER WARMAN

Plaintiff Claims:

Defendant Defenses: She did not own the business and she was out of the country on the day the ticket was issued.

Holding: Defendant was found guilty

Year: 2023

Summary

Defendant Heather Warman is a self-attested “CEO,” “Owner,” “Representative,” and “Manager” of SUP Kentucky. On its website, SUP Kentucky advertises kayak rentals and tours on-site at Grayson Grotto, which is situated on Grayson Lake in Olive, Kentucky. Critically, Grayson Lake is federal property, so a commercial business license issued by the United States Army Corps of Engineers (USACE) is required to lawfully solicit or conduct business on the lake. See 36 C.F.R. § 327.18(a). Warman was advised of the requirement multiple times over the course of several months by USACE Project and Resource Manager Francis Jeffrey. Nonetheless, she never applied for a commercial business license nor ceased her operations on the lake. So, on July 23, 2022, Warman was issued a notice for violating 36 C.F.R. § 327.18(a).

Facts

The United States accuses Warman of engaging in or soliciting business activities on Grayson Lake without authorization from the USACE in violation of 36 C.F.R. § 327.18(a). The regulation prohibits the “engaging in or solicitation of business on project land or waters without the express written permission of the District Commander.” Id. A violator “may be punished by a fine of not more than $5,000 or imprisonment for not more than six months or both[.]” 36 C.F.R. § 327.25. For Warman to be adjudged guilty by this Court, the United States must show beyond a reasonable doubt that Warman knowingly engaged in or solicited business on federal project land or waters, such as Grayson Lake, without the express written permission of the District Commander.

On March 28, 2022, Warman called Jeffrey to inquire about expanding certain mountain bike trails onto federal project land surrounding Grayson Lake. These bike trails were associated with her business, Grayson Getaways. During the conversation, Warman advised Jeffrey that she was also “the owner and CEO of SUP Kentucky, a guided kayak company” which seeks to expand its operations “on Grayson Lake[.]”Jeffrey informed Warman that it is illegal to operate a commercial business on federal project lands or waters without express consent from the District Commander in the form of a written permit. Warman, however, contended that a permit from the District Commander was unnecessary because she already held a permit from the Commonwealth of Kentucky which allowed her to operate a guided kayak business on “any lake in the state.” Jeffrey assured Warman, though, that she needed a permit from the District Commander and explained to her the difference between federal and state lands.

On May 13, 2022, Warman again contacted Jeffrey about expanding Grayson Getaways’ bike trails onto federal project land surrounding Grayson Lake. [Id.]. During the conversation, Jeffrey “reminded her . . . that a permit is needed to continue” her kayak rental and touring operations on Grayson Lake. This constituted her second verbal warning. Once again, Warman “disagreed.”

Five days later, on May 17, 2022, the USACE’s Real Estate Division served a cease-and-desist letter on Warman. The letter advised Warman that she was in violation of 36 C.F.R. § 327.18 for “advertising for and performing guided kayak and standup paddleboard tours on Grayson Lake . . . without the expressed written permission of the District Commander[.]”Warman acknowledged receipt via email, writing “Thank You.”

Thereafter, Warman communicated with the USACE’s Real Estate Division concerning the permit requirements. An in-person meeting was scheduled for May 27, 2022, but was later cancelled. [Id.]. On May 27, 2022, Jeffrey was contacted by Warman’s attorney about the permit requirements and application process.

On July 5, 2022, the USACE’s Real Estate Division informed Jeffrey that Warman’s company continued to operate and advertise tours on Grayson Lake. After investigating, Jeffrey concluded that Warman was, in fact, engaging in or soliciting business on project lands without a permit, in violation of 36 C.F.R. § 327.18(a). So, Jeffrey and Natural Resource Specialist Justine Smith cited Warman for violating the regulation. On September 7, 2022, Jeffrey chronicled his investigation into a Memorandum for Record, which the United States offered as an exhibit at trial.

Analysis: making sense of the law based on these facts.

This is a criminal case, meaning a State or the Federal Government has charged the defendant with committing a crime. If you are found guilty of a crime you can be forced to pay a fine or spend time in jail. In this case, it is a crime to operate a business on Federal Land without a Federal Permit.

Each of the Federal Agencies that have land available to use for recreation has similar requirements for obtaining a permit to operate on federal land. Those agencies include the US Forest Service which is part of the Department of Agriculture, the Bureau of Land Management, the National Park Service, and the Fish and Wildlife Service which is part of the Department of the Interior. And as in this case the Army Corps of Engineers, part of the Department of the Army. Each agency has different rules and regulations on how to obtain permits, how you must operate under the permit, and what the charges and fees are for the permit.

You have to have permission to “be” on proper, real estate, that you don’t own. If you are attempting to make money by using that property, you not only have to have permission to be on the real estate, but if owned by the Federal Government, you must have additional paperwork saying you have the right to make money using the Federal Government’s property.

Here the defendant was operating a SUP (Stand Up Paddleboard) business on a lake owned and controlled by the Army Corporation of Engineers. The defendant first claimed that since she had a permit to operate in Kentucky she did not need an Army Corp of Engineers Permit.

She did not use this argument in court. An analogy would be you can’t stand on your neighbor’s land without their permission and argue that the neighbor across the street told you it was OK to be there.

The Federal Regulation in question is:

§ 327.18 Commercial activities.

(a) The engaging in or solicitation of business on project land or waters without the express written permission of the District Commander is prohibited.

(b) It shall be a violation of this part to refuse to or fail to comply with any terms, clauses or conditions of any lease, license or agreements issued by the District Commander.

At trial the defendant attempted two different legal arguments.

Warman’s defense is two-fold. First, she says she doesn’t “own” SUP Kentucky, so she argues it’s impossible for her to have operated a business on federal project lands or waters without a permit in violation of 36 C.F.R. § 327.18(a). (“Warman did not and has not ever owned the Web-Site presented as evidence by the United States of America and as detailed on the Kentucky Secretary of State official records Mrs. Warman does not and has never owned Sup Kentucky.”). Second, because the citation was issued on July 23, 2022-when she was out of the country, at sea, on her way to Grenada-it was impossible for her to “solicit business or even communicate with anyone other than those physically on board her ship.”

The court went through the first defense quickly noticing all of the times she had told the Army Corp of Engineers that she was operating a SUP business on the lake.

Given Warman’s admissions, Jeffrey’s detailed chronology of his conversations with Warman, and the fact that only Jeffrey’s account has evidentiary support, the Court concludes that Jeffrey’s account of the facts is inherently more credible than Warman’s.

The second argument went down in a similar fashion. The citation was not for operating a business without a permit on one day, but multiple days. Again, the records of the Corp of Engineers and statements made by the defendant shot this argument down.

Through the testimony of Jeffrey, the United States proved that Warman is interested in the success of SUP Kentucky. See Also through the testimony of Jeffrey, and implicitly through the testimony of Warman herself, the United States proved that Warman solicited and conducted guided kayak and standup paddle tours on Grayson Lake without a commercial business license.

The judge found the defendant guilty of violating the federal statute.

Heather Warman was cited with violating 36 C.F.R. § 327.18(a) for soliciting for and operating her guided tour and kayak rental business on Grayson Lake without written permission from the District Commander. Warman pled not guilty. However, the Court concludes beyond a reasonable doubt that Warman violated 36 C.F.R. § 327.18(a). That is, she knowingly engaged in or solicited business on Grayson Lake without the express written permission of the District Commander, despite receiving two prior oral warnings and a formal, written cease-and-desist letter. Therefore, IT IS ORDERED AND ADJUDGED that Heather Warman is GUILTY of violating 36 C.F.R. § 327.18(a).

IT IS FURTHER ORDERED that Heather Warman shall appear for SENTENCING on April 13, 2023 at 10:00 A.M. in the United States District Courthouse at Ashland, Kentucky. On or before Monday, April 10, 2023, the parties shall file memoranda presenting matters that should be considered by the court in calculating an appropriate sentence.

So Now What?

In most of the US this would be called a trespassing case. Someone was on someone’s land without the landowner’s permission. However, when messing with Federal Land Owners the types of cases, damages and jail time escalate.

No matter whose land you are on, if the land is not yours, you need a lease or a permit to be there.

And remember, this is a Federal Criminal Case. It is going to effect the rest of her life.

G-YQ06K3L262

What do you think? Leave a comment.

James H. "Jim" Moss, JD, Attorney and Counselor at Law

James H. “Jim” Moss

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers, avalanche beacon manufactures and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

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United States v. Warman, 23-MJ-02-EBA, Violation 1062808 (E.D. Ky. Mar 15, 2023)

To Read an Analysis of this decision see: Defendant found criminal guilty for failing to have a federal permit to operate on a lake owned by the United States Army Corps of Engineers (USACE)

UNITED STATES OF AMERICA, PLAINTIFF,
v.
HEATHER WARMAN, DEFENDANT.

No. 23-MJ-02-EBA

Violation No. 1062808

United States District Court, E.D. Kentucky, Northern Division

March 15, 2023

MEMORANDUM OPINION & ORDER

EDWARD B. ATKINS, UNITED STATES MAGISTRATE JUDGE

INTRODUCTION

Defendant Heather Warman is a self-attested “CEO,” “Owner,” “Representative,” and “Manager” of SUP Kentucky.[1] [R. 7 at pg. 4]. On its website, SUP Kentucky advertises kayak rentals and tours on-site at Grayson Grotto, which is situated on Grayson Lake in Olive, Kentucky. [R. 6-1 at pg. 3].[2] Critically, Grayson Lake is federal property, so a commercial business license issued by the United States Army Corps of Engineers (USACE) is required to lawfully solicit or conduct business on the lake. See 36 C.F.R. § 327.18(a). Warman was advised of the requirement multiple times over the course of several months by USACE Project and Resource Manager Francis Jeffrey. Nonetheless, she never applied for a commercial business license nor ceased her operations on the lake. So, on July 23, 2022, Warman was issued a notice for violating 36 C.F.R. § 327.18(a).[3] [R. 1].

Warman appeared before the Court on February 23, 2023 for her initial appearance and arraignment. [R. 3]. Warman pled not guilty to the violation. [Id.]. Thereafter, the Court heard testimony from Jeffrey and Warman. After the taking of proof, the Court directed the parties to submit briefing on the matter no later than March 2, 2023. [Id.]. The United States and Warman tendered their briefs, so the matter is ripe for adjudication. [R. 6; R. 7].

ANALYSIS

A

The United States accuses Warman of engaging in or soliciting business activities on Grayson Lake without authorization from the USACE in violation of 36 C.F.R. § 327.18(a). The regulation prohibits the “engaging in or solicitation of business on project land or waters without the express written permission of the District Commander.” Id. A violator “may be punished by a fine of not more than $5,000 or imprisonment for not more than six months or both[.]” 36 C.F.R. § 327.25. For Warman to be adjudged guilty by this Court, the United States must show beyond a reasonable doubt that Warman knowingly engaged in or solicited business on federal project land or waters, such as Grayson Lake, without the express written permission of the District Commander.

B

On March 28, 2022, Warman called Jeffrey to inquire about expanding certain mountain bike trails onto federal project land surrounding Grayson Lake. [Gov. Ex. 1 at pg. 1]. These bike trails were associated with her business, Grayson Getaways. During the conversation, Warman advised Jeffrey that she was also “the owner and CEO of SUP Kentucky, a guided kayak company” which seeks to expand its operations “on Grayson Lake[.]” [Id.]. Jeffrey informed Warman that it is illegal to operate a commercial business on federal project lands or waters without express consent from the District Commander in the form of a written permit. [Id.]. Warman, however, contended that a permit from the District Commander was unnecessary because she already held a permit from the Commonwealth of Kentucky which allowed her to operate a guided kayak business on “any lake in the state.”[4] [Id.]. Jeffrey assured Warman, though, that she needed a permit from the District Commander and explained to her the difference between federal and state lands. [Id.].

On May 13, 2022, Warman again contacted Jeffrey about expanding Grayson Getaways’ bike trails onto federal project land surrounding Grayson Lake. [Id.]. During the conversation, Jeffrey “reminded her . . . that a permit is needed to continue” her kayak rental and touring operations on Grayson Lake. [Id.]. This constituted her second verbal warning. Once again, Warman “disagreed.” [Id.].

Five days later, on May 17, 2022, the USACE’s Real Estate Division served a cease-and-desist letter on Warman. [Id.]; [Gov. Ex. 2]. The letter advised Warman that she was in violation of 36 C.F.R. § 327.18 for “advertising for and performing guided kayak and standup paddleboard tours on Grayson Lake . . . without the expressed written permission of the District Commander[.]” [Id.]. Warman acknowledged receipt via email, writing “Thank You.” [Gov. Ex. 1 at pg. 1].

Thereafter, Warman communicated with the USACE’s Real Estate Division concerning the permit requirements. [Id.] An in-person meeting was scheduled for May 27, 2022, but was later cancelled. [Id.]. On May 27, 2022, Jeffrey was contacted by Warman’s attorney about the permit requirements and application process. [Id. at pg. 2].

On July 5, 2022, the USACE’s Real Estate Division informed Jeffrey that Warman’s company continued to operate and advertise tours on Grayson Lake. [Id.]. After investigating, Jeffrey concluded that Warman was, in fact, engaging in or soliciting business on project lands without a permit, in violation of 36 C.F.R. § 327.18(a).[5] [Id.]. So, Jeffrey and Natural Resource Specialist Justine Smith cited Warman for violating the regulation. [Id.]. On September 7, 2022, Jeffrey chronicled his investigation into a Memorandum for Record, which the United States offered as an exhibit at trial. [Id.].

C

Warman’s defense is two-fold. First, she says she doesn’t “own” SUP Kentucky, so she argues it’s impossible for her to have operated a business on federal project lands or waters without a permit in violation of 36 C.F.R. § 327.18(a). [R. 6 at pg. 2] (“Warman did not and has not ever owned the Web-Site presented as evidence by the United States of America and as detailed on the Kentucky Secretary of State official records Mrs. Warman does not and has never owned Sup Kentucky.”).[6]
Second, because the citation was issued on July 23, 2022-when she was out of the country, at sea, on her way to Grenada-it was impossible for her to “solicit business or even communicate with anyone other than those physically on board her ship.” [Id.].

Warman’s first defense calls for the Court to make a credibility determination. See United States v. Vance, 956 F.3d 846, 853 (6th Cir. 2020) (explaining that during a bench trial, where the district court sits as “the finder of fact,” the district court “is best placed to determine witness credibility”). Is Jeffrey or Warman’s account of the facts most credible?

Jeffrey, as discussed above, documented his interactions with Warman on numerous occasions spanning a period of several months.[7] During these interactions, Warman held herself out as the owner and/or CEO of SUP Kentucky (and admitted that SUP Kentucky was conducting and soliciting business on Grayson Lake). [Gov. Ex. 1 at pg. 1] (noting that Jeffrey explained orally, at least twice, that “she could not continue to guide on Grayson until a permit is issued,” but that Warman “disagreed”). During trial, however, Warman claimed that she never represented to Jeffrey that she owned, operated, or served as CEO of SUP Kentucky.[8] Yet, Warman testified to holding herself out as a “Representative” of SUP Kentucky, that she serves as a “Manager” for SUP Kentucky, and that her husband owns SUP Kentucky. This aligns with her tendency to use personal possessive pronouns on the stand when referring to SUP Kentucky, such as “we” and “our.” Given Warman’s admissions, Jeffrey’s detailed chronology of his conversations with Warman, and the fact that only Jeffrey’s account has evidentiary support, the Court concludes that Jeffrey’s account of the facts is inherently more credible than Warman’s. So, Warman’s defense that it was impossible for her to violate 36 C.F.R. § 327.18(a) for lack of an ownership interest in SUP Kentucky is unavailing.[9]

Warman’s second defense asserts a conclusion of law without reference to any legal authority: that it was legally impossible for Warman to solicit business from a website while at sea without access to the internet. [R. 6 at pg. 2]. Yet, Jeffrey testified that he issued a citation for Warman because of her ongoing, continuous wrongful conduct-conduct that Jeffrey first became aware of by Warman’s voluntary admission, no less. [Gov. Ex. 1 at pg. 1]. It is a coincidence, at best, that Warman happened to be out of the country on the date that Jeffrey and Smith wrote Warman’s citation. This “defense” would be unavailable if Jeffrey or Smith wrote Warman’s citation on any one of the other 116 days that Warman unlawfully solicited and conducted business on Grayson Lake without permission. And it is illogical to argue that Warman’s travel to another country, alone, precludes her from using a website to passively solicit business.

Although neither of Warman’s defenses persuade the Court, the United States must still carry its burden of proving beyond a reasonable doubt that Warman violated 36 C.F.R. § 327.18(a). Here, the United States did so.

Through the testimony of Jeffrey, the United States proved that Warman is interested in the success of SUP Kentucky.[10]
See [Gov. Ex. 1 at pg. 1]. Also through the testimony of Jeffrey, and implicitly through the testimony of Warman herself, the United States proved that Warman solicited and conducted guided kayak and standup paddle tours on Grayson Lake without a commercial business license. See [Id.]; [Gov. Ex. 6; R. 6-1 at pg. 3] (“All Stand Up Paddle Kentucky adventures meet on-site where your trip will take place…. To help you plan your travels: . . . Grayson Grotto is in Grayson Lake State Park in Olive Hill, Kentucky.”) (emphasis added).

Finally, also through the testimony of Jeffrey and Warman, the United States proved that Warman conducted these activities knowingly. See United States v. Davis, 339 F.3d 1223, 1228 (10th Cir. 2003) (holding that receiving “verbal warnings and correspondence from the Corps of Engineers . . . make clear that [Defendant] had actual knowledge of the regulations and that lake management officials considered his actions to be illegal”). Warman was orally warned by Jeffrey twice that she would need to obtain a commercial business license before operating or soliciting business on Grayson Lake and, when she failed to comply with Jeffrey’s oral warnings, Warman was warned again in writing by the USACE’s Real Estate Division that she was in violation of 36 C.F.R § 327.18(a). [Gov. Ex. 1 at pg. 1]. Warman is guilty beyond any reasonable doubt.[11]

CONCLUSION

Heather Warman was cited with violating 36 C.F.R. § 327.18(a) for soliciting for and operating her guided tour and kayak rental business on Grayson Lake without written permission from the District Commander. Warman pled not guilty. However, the Court concludes beyond a reasonable doubt that Warman violated 36 C.F.R. § 327.18(a). That is, she knowingly engaged in or solicited business on Grayson Lake without the express written permission of the District Commander, despite receiving two prior oral warnings and a formal, written cease-and-desist letter. Therefore, IT IS ORDERED AND ADJUDGED that Heather Warman is GUILTY of violating 36 C.F.R. § 327.18(a).

IT IS FURTHER ORDERED that Heather Warman shall appear for SENTENCING on April 13, 2023 at 10:00 A.M. in the United States District Courthouse at Ashland, Kentucky. On or before Monday, April 10, 2023, the parties shall file memoranda presenting matters that should be considered by the court in calculating an appropriate sentence.

Signed.

———

Notes:

[1] When interacting with USACE Project and Resource Manager Francis Jeffrey, Warman introduced herself as the “owner” and “CEO” of SUP Kentucky. But on cross-examination, Warman said that she doesn’t own SUP Kentucky or serve as its CEO, but instead serves as a “Manager” who holds herself out as a “Representative” of SUP Kentucky.

[2] [Gov. Ex. 6; R. 6-1 at pg. 3] (“All Stand Up Paddle Kentucky adventures meet on-site where your trip will take place. . . . To help you plan your travels: . . . Grayson Grotto is in Grayson Lake State Park in Olive Hill, Kentucky.”) (emphasis added).

[3] The notice was served on Warman via USPS Certified Mail at 2478 Glen Cairn Road, Roger, Kentucky 41365. Jeffrey obtained this address directly from SUP Kentucky’s website, and Warman obviously received the notice given her participation in this action.

[4] This alleged permit was never presented to Jeffrey, or anyone else with the USACE, nor was it offered as evidence at trial.

[5] Jeffrey’s investigation included soliciting a guided kayak tour on Grayson Lake from SUP Kentucky.

[6] Warman asserted at trial and in her trial brief that the Kentucky Secretary of State’s official business registry proves that she’s not an owner of SUP Kentucky. [R. 6 at pg. 2]. However, Warman never offered these records into evidence for the Court’s consideration. So, her claim is without factual support.

[7] Warman, on the other hand, did not.

[8] In a footnote, the United States suggests that Warman’s testimony that she “never informed Resource Manager Francis Jeffrey, the Real Estate Division of the USACE, or her SUP Kentucky clientele that she owned this company or that she represented she was one of the owners of the company” might constitute “perjury and obstruction of justice.” [R. 7 at pg. 7 n.1]. The United States bases its claim off a statement located on the SUP Kentucky website. [Id.]. The USACE is investigating the matter.

[9] Again, Warman’s reliance on evidence outside the record-the Kentucky Secretary of State’s official business registry to argue that she’s not an owner of SUP Kentucky fails to rebut evidence within the record that indicates the opposite. See, supra note 6.

[10] Warman’s precise title seems to be something that not even she can discern. See supra note 1 (highlighting that Warman has held herself out as the “CEO,” “Owner,” “Manager,” and “Representative” of SUP Kentucky at various times to different target audiences).

[11] It’s unclear from the record what type of business association SUP Kentucky is. However, even if SUP Kentucky is a Limited Liability Corporation-the most protective of business associations-“under Kentucky law, a member or manager of an LLC can be held personally liable for [her] own wrongful acts or misconduct even if [she] was acting on behalf of the LLC.” 5ifth Element Creative, LLC v. Kirsch, No. 5:10-cv-255-KKC, 2010 WL 5139235, at *2 (E.D Ky. Dec. 9, 2010); Ky. Rev. Stat. Ann. § 275.150(3); see also 4A Ky. Prac. Methods of Prac. § 18.33 (Nov. 2022) (“In fact, KRS 275.150(3) specifically provides that KRS 275.150(1) shall not affect the liability of a member, manager, employee, or agent of a limited liability company for his or her own negligence, wrongful acts, or misconduct.”). Warman never made this argument at trial or in briefing. But even if Warman had advanced such an argument, she remains liable for her wrongful criminal acts.

———

G-YQ06K3L262


Release validity was based on whether brother had authorized brother to sign electronic release for him.

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The issue revolved around the authority of one brother to sign the electronic release on behalf of the other brother.

Marken v. Wachusett Mountain Ski Area, Inc., 21-P-667 (Mass. App. May 02, 2022)

State: Massachusetts; Appeals Court of Massachusetts

Plaintiff: Charles Marken

Defendant: Wachusett Mountain Ski Area, Inc.

Plaintiff Claims: Negligence

Defendant Defenses: Release

Holding: Ski Area Defendant

Year: 2022

Summary

One brother signed the release for himself and his other brother when renting ski equipment at the resort. The non-signing brother was injured and sued. The release was upheld because the non-injured brother stated during his deposition that he had the authority to sign for his brother.

Facts

On January 7, 2017, the plaintiff, a beginner skier, met his brother, Anthony Marken, at Wachusett Mountain for a day of skiing. When Charles arrived, Anthony was at the rental shop. Anthony had already rented ski equipment for both of them by the time Charles arrived.

In order to rent equipment, a renter must agree to the terms of a rental agreement using a digital kiosk system. After reviewing the rental agreement, which contains a release from “any legal liability,” renters must click “I agree” on the screen. The renter then enters personal information including height, weight, age, boot size, and skier type. The system uses this information to calculate the appropriate ski binding release setting. Once the rental agreement is signed, the system prints a sticker with the renter’s information, including the binding release setting. The ski technician uses the information on the sticker to select ski boots that are fitted to match the renter’s boot size and binding release setting. Charles and Anthony obtained their equipment consistent with the foregoing process, and began to ski. Charles, an admitted beginner, fell twice while skiing prior to the injury at issue; on both occasions, his bindings released properly. At some point, Charles decided to ski a black diamond trail which is for expert skiers. During that run, Charles tried to slow down. He fell, sustained serious injuries to his left leg, and was transported to a hospital. Thereafter, the defendants tested the equipment that Charles had used. The equipment passed inspection and testing, and was returned to the rental inventory.

Analysis: making sense of the law based on these facts.

Releases in Massachusetts are supported and normally upheld.

Generally, we will enforce a release disposing of all claims and demands arising out of any transactions between parties. Indeed, “Massachusetts law favors the enforcement of releases. This is true even where, as here, the party signing the release either does not read it or does not understand it.

Since the non-suing brother signed the release for the brother who was injured, the issue became one of authority. Did the brother that got injured authorize his brother to sign the release for him.

The non-injured brother said unequivocally yes his brother gave him the authority to sign. The injured brother argued on appeal he had not given his brother the authority to sign the release.

Charles does not challenge the validity or enforceability of the release itself. Instead, he claims that the release is unenforceable because he did not sign it, and did not authorize Anthony to sign it on his behalf. However, this claim is belied by Charles’s sworn deposition testimony. Charles was asked, “Had you authorized your brother to [complete the rental agreement] for you?” He answered, “Yes.” He did not equivocate and did not amend his deposition answers. Charles cannot now create an issue of material fact by claiming that he did not authorize Anthony to sign the release on his behalf.

Since the non-injured brother was so firm with his answer, that testimony was accepted by the courts and the release was valid.

So Now What?

This is a tough situation that resorts, outfitters, and rental programs face every day. More so with releases being signed online. Who is signing the release.

Your options for solving this problem are multiple, however none of them lend themselves to great customer service.

You can have each person complete their information and sign the release for themselves and only themselves.

You could have the person signing on the computer state they have the legal authority to sign for the other people listed on the release at that point.

To verify who is signing the release, you need to make sure you know who is signing the release. The secure way of doing this is to have the person fill out their credit card information first and then agree to the release. Their contract with the credit card company states that since it is their credit card they are the ones that are using it.

Either way, it is a mess. However, for your releases to be valid, you need to know who has signed the release when they enter your establishment and those who have not signed, complete the information and sign the release.

G-YQ06K3L262

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Marken v. Wachusett Mountain Ski Area, Inc., 21-P-667 (Mass. App. May 02, 2022)

To Read an Analysis of this decision see: Release validity was based on whether brother had authorized brother to sign electronic release for him.

CHARLES MARKEN
v.
WACHUSETT MOUNTAIN SKI AREA, INC., & another.[1
]

No. 21-P-667

Appeals Court of Massachusetts

May 2, 2022

Summary decisions issued by the Appeals Court pursuant to M.A.C. Rule 23.0, as appearing in 97 Mass.App.Ct. 1017 (2020) (formerly known as rule 1:28, as amended by 73 Mass.App.Ct. 1001 [2009]), are primarily directed to the parties and, therefore, may not fully address the facts of the case or the panel’s decisional rationale. Moreover, such decisions are not circulated to the entire court and, therefore, represent only the views of the panel that decided the case. A summary decision pursuant to rule 23.0 or rule 1:28 issued after February 25, 2008, may be cited for its persuasive value but, because of the limitations noted above, not as binding precedent. See Chace v. Curran, 71 Mass.App.Ct. 258, 260 n.4 (2008).

MEMORANDUM AND ORDER PURSUANT TO RULE 23.0

The plaintiff, Charles Marken, filed a complaint in the Superior Court against Wachusett Mountain Ski Area, Inc. and Wachusett Mountain Associates, Inc. (the defendants or Wachusett) for injuries he sustained while skiing.[2] On cross motions for summary judgment, the judge allowed the defendants’ motion and dismissed the complaint. This appeal followed. We affirm.

Background.

As the party against whom summary judgment entered, we recite the facts in the light most favorable to the plaintiff. See Cesso v. Todd, 92 Mass.App.Ct. 131, 132 (2017). On January 7, 2017, the plaintiff, a beginner skier, met his brother, Anthony Marken, at Wachusett Mountain for a day of skiing. When Charles arrived, Anthony was at the rental shop. Anthony had already rented ski equipment for both of them by the time Charles arrived.[3]

In order to rent equipment, a renter must agree to the terms of a rental agreement using a digital kiosk system. After reviewing the rental agreement, which contains a release from “any legal liability,” renters must click “I agree” on the screen. The renter then enters personal information including height, weight, age, boot size, and skier type. The system uses this information to calculate the appropriate ski binding release setting. Once the rental agreement is signed, the system prints a sticker with the renter’s information, including the binding release setting. The ski technician uses the information on the sticker to select ski boots that are fitted to match the renter’s boot size and binding release setting. Charles and Anthony obtained their equipment consistent with the foregoing process, and began to ski. Charles, an admitted beginner, fell twice while skiing prior to the injury at issue; on both occasions, his bindings released properly. At some point, Charles decided to ski a black diamond trail which is for expert skiers. During that run, Charles tried to slow down. He fell, sustained serious injuries to his left leg, and was transported to a hospital. Thereafter, the defendants tested the equipment that Charles had used. The equipment passed inspection and testing, and was returned to the rental inventory.

Discussion.

“We review a motion for summary judgment de novo. … In doing so, we must determine ‘whether, viewing the evidence in the light most favorable to the nonmoving party, all material facts have been established and the moving party is entitled to judgment as a matter of law.'” Psychemedics Corp. v. Boston, 486 Mass. 724, 731 (2021), quoting Augat, Inc. v. Liberty Mut. Ins. Co., 410 Mass. 117, 120 (1991). Here, the defendants claim that the release of liability in the rental agreement is valid and enforceable against the plaintiff. Generally, we will enforce a release disposing of all claims and demands arising out of any transactions between parties. See Leblanc v. Friedman, 438 Mass. 592, 597-598 (2003). Indeed, “Massachusetts law favors the enforcement of releases.” Sharon v. Newton, 437 Mass. 99, 105 (2002). This is true even where, as here, the party signing the release either does not read it or does not understand it. See Id. at 103.

Charles does not challenge the validity or enforceability of the release itself. Instead, he claims that the release is unenforceable because he did not sign it, and did not authorize Anthony to sign it on his behalf.[4] However, this claim is belied by Charles’s sworn deposition testimony. Charles was asked, “Had you authorized your brother to [complete the rental agreement] for you?” He answered, “Yes.”[5] He did not equivocate and did not amend his deposition answers. See Tarn v. Federal Mgt. Co., 99 Mass.App.Ct. 41, 46-50 (2021). Charles cannot now create an issue of material fact by claiming that he did not authorize Anthony to sign the release on his behalf. See O’Brien v. Analog Devices, Inc., 34 Mass.App.Ct. 905, 90 6 (1993) (party cannot create disputed issue of fact by contradicting statements previously made under oath at deposition). As such, summary judgment was properly granted to the defendants.[6] See Tarn, supra (summary judgment proper where plaintiff was bound by deposition testimony and where binding admission established she could not prevail at trial).

Request for attorney’s fees and costs.

The defendants’ request for attorney’s fees and costs is allowed. The defendants may submit a petition for appellate attorney’s fees to this court in the manner prescribed in Fabre v. Walton, 441 Mass. 9, 10-11 (2004), within twenty days of the issuance of this memorandum and order. The plaintiff may respond to the petition within twenty days of said filing.

Judgment affirmed.

Blake, Lemire & Hershfang, JJ. [7]

———

Notes:

[1] Wachusett Mountain Associates, Inc. All claims against third-party defendant Head USA, Inc. were voluntarily dismissed prior to the entry of summary judgment, and it is not a party to this appeal.

[2] The complaint asserted claims for negligence, breach of express and implied warranty, breach of contract, breach of the implied covenant of good faith and fair dealing, and negligent misrepresentation.

[3] Because the plaintiff and his brother share a surname, we use their first names to avoid confusion.

[4] Charles testified that on previous ski trips he had signed a release, and therefore he expected to sign a release at Wachusett.

[5] To the extent that Charles argues that this question and answer must be viewed in context with the entire line of questioning, we agree. In so doing, we conclude that Charles authorized Anthony to sign the rental agreement containing the release on his behalf. See Fergus v. Ross, 477 Mass. 563, 567 (2017) (“Apparent authority exists when the principal, by his . . . words or conduct, causes a third person to reasonably believe that the principal consents to the agent acting on the principal’s behalf”).

[6] Because of the result we reach, we do not consider Charles’s spoliation of evidence claim.

[7] The panelists are listed in order of seniority.


 

G-YQ06K3L262


New Jersey ski area pushes “indemnification” clause in release too far and gets told by court its release is an adhesion contract.

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Indemnification agreements in releases fail. You cannot write the language in a release to qualify for indemnification. Here the ski area tried to get greedy and got slammed.

Vladichak v. Mountain Creek Ski Resort, Inc., A-1367-20 (N.J. Super. App. Div. Apr 13, 2022)

State: New Jersey; Superior Court of New Jersey, Appellate Division

Plaintiff: Andrea Vladichak

Defendant: Mountain Creek Ski Resort, Inc., Defendant-Appellant, and Michael Lavin, Defendant-Respondent.

Plaintiff Claims: Indemnification from the co-defendant

Defendant Defenses: The indemnification clause was not valid.

Holding: for the Defendant-Respondent

Year: 2022

Summary

After winning a lawsuit from a skier injured in a skier v. skier collision, Mountain Creek Ski Area sued the at fault skier in the collision for damages. The appelleate court found the indemnification clause in the release was not written correct and then found Mountain Creek’s release to be an adhesion contract.

Facts

Defendant Snow Creek, LLC d/b/a Mountain Creek Resort, Inc. (Mountain Creek) appeals from a November 9, 2020 order denying its motion for summary judgment and granting summary judgment to defendant Michael Lavin (Lavin) dismissing Mountain Creek’s cross-claims for defense costs and contractual indemnification. Judge David J. Weaver (motion judge) concluded in a thorough opinion that the contractual language was ambiguous and therefore Mountain Creek was not entitled to indemnification from Lavin or defense costs incurred to defend plaintiff’s allegations that Mountain Creek itself was negligent. We affirm.

On December 21, 2017, plaintiff sustained personal injuries while skiing at a ski area owned and operated by Mountain Creek in Vernon Township, New Jersey. Plaintiff was struck from behind by Lavin, another skier. Plaintiff filed a complaint alleging Mountain Creek and Lavin were negligent. Plaintiff’s complaint alleged Mountain Creek was independently negligent for failing to provide appropriate warnings to skiers, failing to appropriately designate the difficulty of ski trails, failing to provide skiers with appropriate information about trail conditions, failing to timely remove obvious manmade hazards, and/or otherwise failing to establish adequate procedures to provide a safe skiing environment. The complaint alleged Lavin was negligent for breaching his duty to others to ski in a reasonably safe manner by skiing in a reckless manner and/or intentionally colliding into plaintiff and causing her injuries.

Prior to the incident, Lavin signed an equipment rental agreement (Rental Agreement) and lift ticket agreement (Release Agreement) in which he agreed to defend and indemnify Mountain Creek from any claims related to his own conduct and use of the property’s equipment facilities. On August 7, 2019, Mountain Creek filed an answer and cross-claims seeking defense and indemnification from Lavin based on the executed Rental and Release Agreements. Mountain Creek previously tendered the defense to Lavin on July 16, 2019.

Plaintiff’s counsel served a report from plaintiff’s liability expert, who concluded that Lavin violated the New Jersey Ski Statute, N.J.S.A. 5:13-1 to -12, and the Skier’s Responsibility Code by failing to control his speed and course and by failing to yield to the skiers ahead of him. The expert opined that Lavin’s reckless conduct caused the accident. On March 27, 2020, Judge Stephan C. Hansbury entered an order granting Mountain Creek’s motion for summary judgment dismissing plaintiff’s claims that Mountain Creek was negligent. Lavin and plaintiff settled and filed a stipulation of dismissal with prejudice dated May 29, 2020.

After plaintiff’s settlement with Lavin, Mountain Creek filed its motion seeking reimbursement from Lavin for defending plaintiff’s allegations and indemnification from Lavin.[1] Lavin filed a cross-motion for summary judgment on September 1. That led to the order under review.

The judge concluded that, as a matter of law, the indemnification provisions were ambiguous and thus unenforceable to compel indemnification in favor of Mountain Creek for claims of its own negligence. The motion judge denied Lavin’s cross-motion for summary judgment in part and granted it in part. The motion judge requested the parties submit the detail and extent of defense costs incurred by Mountain Creek for costs incurred for which liability was only vicarious.

Simply put, Mountain Creek and Michael Lavin were sued by the original plaintiff Andrea Vladichak for injuries received due to a skier v. skier collision between Lavin and Vladichak. Mountain Creek was dismissed from the original lawsuit. Lavin settled with Vladichak.

The day of the collision, Lavin had rented equipment from Mountain Creek and signed a release as part of the rental agreement. The release had a poorly worded indemnification clause in it. After Lavin settled and Mountain Creek was dismissed, Mountain Creek sued Lavin using the indemnification clause in an attempt to recover the money Mountain Creek spent defending the lawsuit. Mountain Creek lost the original lawsuit and this is the result of the appeal of that trial court decision.

Analysis: making sense of the law based on these facts.

The basis for the reasoning on why Mountain Creek made these moves seems to have been a report from the plaintiff’s expert witness that found Lavin liable for the accident.

Plaintiff’s counsel served a report from plaintiff’s liability expert, who concluded that Lavin violated the New Jersey Ski Statute, N.J.S.A. 5:13-1 to -12, and the Skier’s Responsibility Code by failing to control his speed and course and by failing to yield to the skiers ahead of him. The expert opined that Lavin’s reckless conduct caused the accident.

The trial judge ruled that the indemnification language did not meet the necessary requirements to be valid in New Jersey.

The judge concluded that, as a matter of law, the indemnification provisions were ambiguous and thus unenforceable to compel indemnification in favor of Mountain Creek for claims of its own negligence.

The Appelleate court set forth how contracts in general are examined by the courts and the special requirements of indemnification clauses.

The judge’s role “in construing a contractual indemnity provision is the same as in construing any other part of a contract-it is to determine the intent of the parties.” Generally, courts give contractual provisions “their plain and ordinary meaning.” “However, indemnity provisions differ from provisions in a typical contract in one important aspect. If the meaning of an indemnity provision is ambiguous, the provision is ‘strictly construed against the indemnitee.

Meaning indemnification language is not looked at as whether the parties agreed to the provisions, but whether the writer of the clause did so meeting the strict requirements the courts require to create indemnification.

This is known as the bright line test, do the words in the clause meet the “bright line” test required.

One of the tests as to whether the language in an indemnification clause is written correctly is whether the act that triggers indemnification is identified in the agreement.

Our Court affirmed and held that “in order to allay even the slightest doubt on the issue of what is required to bring a negligent indemnitee within an indemnification agreement, we reiterate that the agreement must specifically reference the negligence or fault of the indemnitee.”

Indemnification clauses cannot use general language and be used to recover money for any action that may cost one party money. They are clauses that must be written to cover the specific acts set forth in the clause.

Here the language failed to meet that requirement.

We agree with the motion judge that the indemnity provisions in the agreements are ambiguous as to claims of Mountain Creek’s independent negligence. Although the provisions reference Mountain Creek’s negligence in bold and capitalized letters, the language “arising out of or resulting from my conduct . . . whether or not MOUNTAIN CREEK’S NEGLIGENCE contributed thereto in whole or in part” is insufficient to meet the Azurak standard. One could reasonably interpret the provisions to require indemnification and defense of Mountain Creek for any claims of negligence against it caused by Lavin’s conduct even when Mountain Creek is partially at fault or to require Lavin to indemnify and defend Mountain Creek for separate claims of its own negligence.

The clause also failed because the acts that gave rise to litigation against Mountain Creek, or the claims, were not the acts or claims that were brought against Lavin. Here again the language of the indemnification agreement was too broad to meet the specific language requirements required by New Jersey Law.

An indemnitor may expect to indemnify and defend an indemnitee for claims caused by its negligent conduct when the indemnitee may also be at fault but may not expect to be solely responsible to indemnify and defend the indemnitee when the indemnitee has committed separate acts of negligence.

The indemnification clause did not cover the acts of Lavin which Mountain Creek was claiming were covered. Again, Mountain Creek wrote a clause using broad language when the courts require specific language.

The provisions at issue do not meet the bright line rule requiring “unequivocal terms” that the duty to indemnify extends to the indemnitee’s own negligence. Thus, the provisions are ambiguous and must be strictly construed against Mountain Creek.

Lavin argued and the court agreed that the release was a contract of adhesion.

As a threshold issue, we determine that the Release and Rental Agreements were contracts of adhesion. If a contract is characterized as a contract of adhesion, “nonenforcement of its terms may be justified on other than such traditional grounds as fraud, duress, mistake, or illegality. An adhesion contract is one that “is presented on a take-it-or-leave-it basis, commonly in a standardized printed form, without opportunity for the ‘adhering’ party to negotiate except perhaps on a few particulars.” “Although a contract of adhesion is not per se unenforceable, a [judge] may decline to enforce it if it is found to be unconscionable.”

Contracts of adhesion are still enforceable; however, they are easier to void and cannot be enforced if found to be unconscionable. By making this argument, Mountain Creek put a label on its release which will make it easier in the future to beat.

The court then looked at the four factors to determine if under New Jersey law a contract is unconscionable.

When determining whether an adhesion contract is unconscionable, we evaluate four factors that “focus on procedural and substantive aspects of the contract to determine whether the contract is so oppressive, or inconsistent with the vindication of public policy, that it would be unconscionable to permit its enforcement.” Those factors include “the subject matter of the contract, the parties’ relative bargaining positions, the degree of economic compulsion motivating the ‘adhering’ party, and the public interests affected by the contract.”

Nothing like the appelleate court of your state setting out the requirements to void your release. The court found that this release was not unconscionable only the indemnification language was void.

So Now What?

Go to far. A ski area sues one of its customers to recover money for the actions of the customer against a third party, not the ski area. That went to far and the New Jersey Appelleate Court slammed Mountain Creek in two ways for doing so.

  1. The indemnification clause was void because it was not written correctly.
  2. The release was labeled a contact of adhesion, providing a road map for future lawsuits to follow.

Indemnification agreements in releases have not been upheld. You must either write them correctly, which is difficult to do or take them out.

I’ve only read one decision where the indemnification clause was upheld and it was a little different. A federal district court in Massachusetts upholds indemnification clause in a release.

Most decisions do not uphold indemnification clauses.

New Jersey does not support fee shifting provisions (indemnification clauses) in releases in a sky diving case.

Push a release too far, in a state that is not sure Releases should be valid, and you provide the court with the opportunity to void releases and indemnification in the state.

Indemnification fails again in a release. Parent of child having a birthday at climbing gym signed release for the injured child, not her own child.

G-YQ06K3L262

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Vladichak v. Mountain Creek Ski Resort, Inc., A-1367-20 (N.J. Super. App. Div. Apr 13, 2022)

To Read an Analysis of this decision see: New Jersey ski area pushes “indemnification” clause in release too far and gets told by court its release is an adhesion contract.

ANDREA VLADICHAK, Plaintiff-Respondent,
v.
MOUNTAIN CREEK SKI RESORT, INC., Defendant-Appellant,

and MICHAEL LAVIN, Defendant-Respondent.

No. A-1367-20

Superior Court of New Jersey, Appellate Division

April 13, 2022

This opinion shall not “constitute precedent or be binding upon any court .” Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.

Argued April 4, 2022

On appeal from the Superior Court of New Jersey, Law Division, Sussex County, Docket No. L-0590-18.

Samuel J. McNulty argued the cause for appellant (Hueston McNulty, PC, attorneys; Samuel J. McNulty, of counsel and on the briefs; Edward J. Turro, on the briefs).

Matthew E. Kennedy argued the cause for respondent Michael Lavin (Leary Bride Mergner & Bongiovanni, PA, attorneys; Matthew E. Kennedy, of counsel and on the brief).

Before Judges Fasciale and Sumners.

PER CURIAM

Defendant Snow Creek, LLC d/b/a Mountain Creek Resort, Inc. (Mountain Creek) appeals from a November 9, 2020 order denying its motion for summary judgment and granting summary judgment to defendant Michael Lavin (Lavin) dismissing Mountain Creek’s cross-claims for defense costs and contractual indemnification. Judge David J. Weaver (motion judge) concluded in a thorough opinion that the contractual language was ambiguous and therefore Mountain Creek was not entitled to indemnification from Lavin or defense costs incurred to defend plaintiff’s allegations that Mountain Creek itself was negligent. We affirm.

On December 21, 2017, plaintiff sustained personal injuries while skiing at a ski area owned and operated by Mountain Creek in Vernon Township, New Jersey. Plaintiff was struck from behind by Lavin, another skier. Plaintiff filed a complaint alleging Mountain Creek and Lavin were negligent. Plaintiff’s complaint alleged Mountain Creek was independently negligent for failing to provide appropriate warnings to skiers, failing to appropriately designate the difficulty of ski trails, failing to provide skiers with appropriate information about trail conditions, failing to timely remove obvious manmade hazards, and/or otherwise failing to establish adequate procedures to provide a safe skiing environment. The complaint alleged Lavin was negligent for breaching his duty to others to ski in a reasonably safe manner by skiing in a reckless manner and/or intentionally colliding into plaintiff and causing her injuries.

Prior to the incident, Lavin signed an equipment rental agreement (Rental Agreement) and lift ticket agreement (Release Agreement) in which he agreed to defend and indemnify Mountain Creek from any claims related to his own conduct and use of the property’s equipment facilities. On August 7, 2019, Mountain Creek filed an answer and cross-claims seeking defense and indemnification from Lavin based on the executed Rental and Release Agreements. Mountain Creek previously tendered the defense to Lavin on July 16, 2019.

Plaintiff’s counsel served a report from plaintiff’s liability expert, who concluded that Lavin violated the New Jersey Ski Statute, N.J.S.A. 5:13-1 to -12, and the Skier’s Responsibility Code by failing to control his speed and course and by failing to yield to the skiers ahead of him. The expert opined that Lavin’s reckless conduct caused the accident. On March 27, 2020, Judge Stephan C. Hansbury entered an order granting Mountain Creek’s motion for summary judgment dismissing plaintiff’s claims that Mountain Creek was negligent. Lavin and plaintiff settled and filed a stipulation of dismissal with prejudice dated May 29, 2020.

After plaintiff’s settlement with Lavin, Mountain Creek filed its motion seeking reimbursement from Lavin for defending plaintiff’s allegations and indemnification from Lavin.[1] Lavin filed a cross-motion for summary judgment on September 1. That led to the order under review.

The judge concluded that, as a matter of law, the indemnification provisions were ambiguous and thus unenforceable to compel indemnification in favor of Mountain Creek for claims of its own negligence. The motion judge denied Lavin’s cross-motion for summary judgment in part and granted it in part. The motion judge requested the parties submit the detail and extent of defense costs incurred by Mountain Creek for costs incurred for which liability was only vicarious.

Mountain Creek’s attorneys stipulated that there were no fees or costs incurred from defending vicarious liability claims. On December 14, 2020, Judge Robert J. Brennan entered a consent order resolving all remaining issues as to all parties.

Mountain Creek raises the following arguments on appeal:

POINT I

STANDARD OF REVIEW-DE NOVO[.]

POINT II

THE [MOTION JUDGE] CORRECTLY RULED THAT THE TWO AGREEMENTS WERE NOT CONTRACTS OF ADHESION NOR WERE THEY CONTRARY TO PUBLIC POLICY.

POINT III

THE [MOTION JUDGE] ERRED IN FINDING THAT THE LANGUAGE IN THE AGREEMENTS SIGNED BY . . . LAVIN IS AMBIGUOUS AND INSUFFICIENT TO COMPEL . . . LAVIN TO INDEMNIFY AND DEFEND MOUNTAIN CREEK FOR CLAIMS OF ITS OWN NEGLIGENCE.

A. Special Status Of A Ski Operator.

B. The Two Agreements Were Unambiguous And Should Be Enforced.[2]

Mountain Creek raises the following points in reply, which we have renumbered:

POINT IV

. . . LAVIN’S REQUEST THAT THE APPELLATE DIVISION REVERSE THE [MOTION JUDGE]’S JUDGMENT THAT THE CONTRACTS WERE NOT UNCONSCIONABLE SHOULD BE REJECTED AS NO CROSS-APPEAL WAS FILED.

POINT V

THE AGREEMENTS IN QUESTION ARE ENFORCEABLE AND NOT UNCONSCIONABLE CONTRACTS OF ADHESION.

POINT VI

THE INDEMNIFICATION LANGUAGE IS SUFFICIENT AND EXPRESSLY PROVIDES FOR INDEMNIFICATION FOR CLAIMS ASSERTING MOUNTAIN CREEK’S OWN NEGLIGENCE.

We review the motion judge’s grant of a motion for summary judgment de novo. Branch v. Cream-O-Land Dairy, 244 N.J. 567, 582 (2021). We apply the same standard as the motion judge and consider “whether the competent evidential materials presented, when viewed in the light most favorable to the non-moving party, are sufficient to permit a rational factfinder to resolve the alleged disputed issue in favor of the non-moving party.” Brill v. Guardian Life
Ins. Co. of Am., 142 N.J. 520, 540 (1995).

I.

Mountain Creek contends the motion judge erred in ruling the indemnification provisions in the Release and Rental Agreements were ambiguous and unenforceable to compel Lavin to indemnify Mountain Creek for Mountain Creek’s own negligence. Mountain Creek also contends that it should be permitted to obtain indemnification from Lavin based on its special status as a ski area operator under the Ski Statute.

The judge’s role “in construing a contractual indemnity provision is the same as in construing any other part of a contract-it is to determine the intent of the parties.” Kieffer v. Best Buy, 205 N.J. 213, 223 (2011). Generally, courts give contractual provisions “their plain and ordinary meaning.” Ibid. (quoting M.J. Paquet, Inc. v. N.J. Dep’t of Transp., 171 N.J. 378, 396 (2002)). “However, indemnity provisions differ from provisions in a typical contract in one important aspect. If the meaning of an indemnity provision is ambiguous, the provision is ‘strictly construed against the indemnitee.'” Ibid. (quoting Mantilla v. NC Mall Assocs., 167 N.J. 262, 272 (2001)).

We have characterized this approach as a “bright line” rule requiring “explicit language” when “indemnification includes the negligence of the indemnitee.” Azurak v. Corp. Prop. Invs., 347 N.J.Super. 516, 523 (App. Div. 2002). Azurak involved a contract between a janitorial company (PBS) and a shopping mall owner (the Mall) that contained the following provision:

Contractor [PBS] shall indemnify, defend and hold harmless each Indemnitee [the Mall] from and against any claim (including any claim brought by employees of Contractor), liability, damage or expense (including attorneys’ fees) that such Indemnitee may incur relating to, arising out of or existing by reason of (i) Contractor’s performance of this Agreement or the conditions created thereby (including the use, misuse or failure of any equipment used by Contractor or its subcontractors, servants or employees) or (ii) Contractor’s breach of this Agreement or the inadequate or improper performance of this Agreement by Contractor or its subcontractors, servants or employees.

[Azurak v. Corp. Prop. Invs., 175 N.J. 110, 111 (2003) (alterations in original).]

The plaintiff sued the Mall and PBS for injuries she sustained when she slipped on the Mall’s floor. Ibid. The trial judge granted the Mall’s summary judgment motion on the issue of indemnification based on the contract provision. Ibid. At trial, the jury determined “that plaintiff was 30% negligent; the Mall, 30%; and PBS, 40%.” Ibid. This court disagreed with the trial judge, finding that the indemnification provision did not encompass the Mall’s negligence because the provision’s language was neither explicit nor unequivocal as to claims of the Mall’s own negligence. Id. at 111-12. Our Court affirmed and held that “in order to allay even the slightest doubt on the issue of what is required to bring a negligent indemnitee within an indemnification agreement, we reiterate that the agreement must specifically reference the negligence or fault of the indemnitee.” Id. at 112-13.

Mountain Creek’s Release Agreement contained a provision that states:

INDEMNIFICATION. To the fullest extent permitted by law, I agree to DEFEND, INDEMNIFY AND HOLD HARMLESS Mountain Creek from any and all claims, suits, costs and expenses including attorneys’ fees asserted against Mountain Creek by me or third parties arising or allegedly arising out of or resulting from my conduct while utilizing Mountain Creek’s facilities WHETHER OR NOT MOUNTAIN CREEK’S NEGLIGENCE contributed thereto in whole or in part.

One provision of the Rental Agreement states:

To the fullest extent permitted by law, I also agree to DEFEND, INDEMNIFY AND HOLD HARMLESS Mountain Creek from any and all claims, suits, costs and expenses including attorneys’ fees for personal injury, death or property damage against it by me or third parties arising or allegedly arising out of or resulting from my conduct while utilizing Mountain Creek’s facilities or the use of this equipment whether or not MOUNTAIN CREEK’S NEGLIGENCE contributed thereto in whole or in part.

We agree with the motion judge that the indemnity provisions in the agreements are ambiguous as to claims of Mountain Creek’s independent negligence. Although the provisions reference Mountain Creek’s negligence in bold and capitalized letters, the language “arising out of or resulting from my conduct . . . whether or not MOUNTAIN CREEK’S NEGLIGENCE contributed thereto in whole or in part” is insufficient to meet the Azurak standard. One could reasonably interpret the provisions to require indemnification and defense of Mountain Creek for any claims of negligence against it caused by Lavin’s conduct even when Mountain Creek is partially at fault or to require Lavin to indemnify and defend Mountain Creek for separate claims of its own negligence. See Nester v. O’Donnell, 301 N.J.Super. 198, 210 (App. Div. 1997) (noting that a contract is ambiguous if it is “susceptible to at least two reasonable alternative interpretations” (quoting Kaufman v. Provident Life & Cas. Ins. Co., 828 F.Supp. 275, 283 (D.N.J. 1992), aff’d, 993 F.2d 877 (3d Cir. 1993))).

An indemnitor may expect to indemnify and defend an indemnitee for claims caused by its negligent conduct when the indemnitee may also be at fault but may not expect to be solely responsible to indemnify and defend the indemnitee when the indemnitee has committed separate acts of negligence. That is the case here, as plaintiff’s complaint alleged Mountain Creek was separately negligent for failing to provide adequate instructions to skiers and a safe ski environment. A better-and likely enforceable-provision would explicitly state that the indemnitor indemnifies Mountain Creek for claims arising out of indemnitor’s conduct and for claims of Mountain Creek’s independent negligence.

The provisions at issue do not meet the bright line rule requiring “unequivocal terms” that the duty to indemnify extends to the indemnitee’s own negligence. Thus, the provisions are ambiguous and must be strictly construed against Mountain Creek. The same reasoning and standards apply with equal force to Mountain Creek’s defense costs. The provisions’ ambiguity precludes their enforcement against Lavin for recovery of the costs incurred by Mountain Creek for defending its own negligence claims.

We also conclude Mountain Creek’s argument that the Ski Statute supports enforcement of the indemnification provisions is without merit. While the Ski Act may emphasize the inherent risk that skiers assume when skiing, the Act provides separate duties to the ski operator, which include establishing and posting a system for identifying slopes and their difficulty, ensuring the availability of information to skiers, and removing hazards as soon as practicable. N.J.S.A. 5:13-3(a). The allegations in plaintiff’s complaint, which include failing to provide adequate signage and failing to instruct skiers properly, do not fall under the risks that “are essentially impractical or impossible for the ski area operator to eliminate” defined in the statute. N.J.S.A. 5:13-1(b). In fact, plaintiff’s complaint addressed the responsibilities of a ski area operator as prescribed by the Act. Requiring indemnification in favor of a ski resort for claims of its own independent negligence does not further the Ski Act’s purpose of allocating the inherent risk of skiing between the skier and ski resort. Moreover, the public policy of the Ski Act has no bearing on our interpretation of the indemnity provisions and our conclusion that the provisions are ambiguous.

II.

Lavin argues, on an alternative basis, that the Rental and Release Agreements are unconscionable contracts of adhesion. Lavin was not required to file a Notice of Cross-Appeal to preserve this argument for appeal because “appeals are taken from judgments, not opinions, and, without having filed a cross-appeal, a respondent can argue any point on the appeal to sustain the trial [judge’s] judgment.” Chimes v. Oritani Motor Hotel, Inc., 195 N.J.Super. 435, 443 (App. Div. 1984). Even if Lavin were required to file a cross-appeal, we will address the merits of his argument.

As a threshold issue, we determine that the Release and Rental Agreements were contracts of adhesion. If a contract is characterized as a contract of adhesion, “nonenforcement of its terms may be justified on other than such traditional grounds as fraud, duress, mistake, or illegality.” Rudbart v. N. Jersey Dist. Water Supply Comm’n, 127 N.J. 344, 353 (1992). An adhesion contract is one that “is presented on a take-it-or-leave-it basis, commonly in a standardized printed form, without opportunity for the ‘adhering’ party to negotiate except perhaps on a few particulars.” Vitale v. Schering-Plough Corp., 231 N.J. 234, 246 (2017) (quoting Rudbart, 127 N.J. at 355). “Although a contract of adhesion is not per se unenforceable, a [judge] may decline to enforce it if it is found to be unconscionable.” Ibid.

We agree with the motion judge that “the Agreements at issue evidence characteristics of contracts of adhesion.” The Release and Rental Agreements were standardized form contracts that fit our Court’s definition as “take-it-or-leave-it” adhesion contracts. See ibid. All potential skiers at Mountain Creek’s resort are obligated to sign the Release Agreement, and there is little to no negotiating done before the agreements’ execution. However, an agreement found to be an adhesion contract may nevertheless be enforced if it is not unconscionable. See ibid.

When determining whether an adhesion contract is unconscionable, we evaluate four factors that “focus on procedural and substantive aspects of the contract to determine whether the contract is so oppressive, or inconsistent with the vindication of public policy, that it would be unconscionable to permit its enforcement.” Id. at 247 (internal quotation marks omitted) (quoting Rodriguez v. Raymours Furniture Co., Inc., 225 N.J. 343, 367 (2016)). Those factors include “the subject matter of the contract, the parties’ relative bargaining positions, the degree of economic compulsion motivating the ‘adhering’ party, and the public interests affected by the contract.” Rudbart, 127 N.J. at 356. The first three factors speak to procedural unconscionability, and the last factor speaks to substantive unconscionability. See Rodriguez, 225 N.J. at 367. We consider these factors using a “sliding scale analysis.” Stelluti v. Casapenn Enters., LLC, 203 N.J. 286, 301 (2010).

The motion judge correctly relied on Stelluti in determining the agreements are not procedurally unconscionable. In Stelluti, the plaintiff was injured in a spinning class at a private fitness center and argued that the pre-injury waiver of liability she signed was unenforceable on unconscionability grounds. Id. at 291, 300. The Court found that although the pre-printed form was an adhesion contract, it was not procedurally unconscionable. Id. at 301-02. The Court reasoned the plaintiff was not in a position of unequal bargaining power, despite being a layperson and not being fully informed of the legal effect of an adhesion contract, when she had the ability to take “her business to another fitness club,” to find a form of exercise different than joining a private gym, or to contemplate the agreement for some time before joining the gym and using its equipment. Id. at 302.

Under the Court’s reasoning in Stelluti and applying the four-factor test, the Release and Rental Agreements are not procedurally unconscionable. At the time of the incident, Lavin was twenty years old and a layperson without specialized knowledge of the law. He maintains he did not read the agreements before signing them despite having the opportunity to do so. Lavin also stated that he did not have the opportunity to negotiate the terms of the agreement. However, Lavin was engaging in a recreational activity like the adhering party in Stelluti, and he was under no economic duress or obligation to consent to the agreements. Lavin could have chosen to take his business to another ski resort, rented skis from a different facility, or could have simply read the agreements or contemplated them before signing.

As for the remaining factor-the impact on public interest-Mountain Creek points to the “strong public policy of protecting ski operators and allocating the risks and costs of inherently dangerous recreational activities” under the Ski Statute. The Act’s purpose

is to make explicit a policy of this State which clearly defines the responsibility of ski area operators and skiers, recognizing that the sport of skiing and other ski area activities involve risks which must be borne by those who engage in such activities and which are essentially impractical or impossible for the ski area operator to eliminate. It is, therefore, the purpose of this act to state those risks which the skier voluntarily assumes for which there can be no recovery.

[N.J.S.A. 5:13-1(b).]

We agree that the Agreements are not substantively unconscionable. The agreements do not contain terms that are so “harsh” or “one-sided” to render them unconscionable and unenforceable. See Muhammad v. Cnty. Bank of
Rehoboth Beach, Del., 189 N.J. 1, 15 (2006). Construing the indemnity provision against Mountain Creek due to its ambiguity, the provision requires that Lavin indemnify and defend Mountain Creek for claims arising out of Lavin’s conduct while using Mountain Creek’s equipment and facilities, even when Mountain Creek is partially at fault. This indemnification scheme is consistent with the Ski Act’s purpose to promote “the allocation of the risks and costs of skiing” as “an important matter of public policy.” N.J.S.A. 5:13-1(a). Moreover, in Stelluti, the Court considered that “some activities involve a risk of injury and thus require risk sharing between the participants and operators” and that our Legislature has enacted statutes to address the allocation of risk in those circumstances. 203 N.J. at 308. It would not be against public policy to require indemnification of Mountain Creek by Lavin for claims of vicarious liability due to Lavin’s reckless conduct; however, Mountain Creek stipulated that it did not incur any costs in defending claims of vicarious liability.

Affirmed.

———

Notes:

[1] Mountain Creek did not contribute towards plaintiff’s settlement with Lavin.

[2] To comport with our style conventions, we altered the capitalization of Mountain Creek’s Points A and B but omitted the alterations for readability.

———.

G-YQ06K3L262


Idaho Supreme Court blows the Idaho Skier Safety Act up.

Recreation Law Logo

Ski Area Liability Act now becomes a road map for plaintiffs to sue ski areas

Milus v. Sun Valley Co., 49693-2022 (Idaho Dec 19, 2023)

State: Idaho; Supreme Court of Idaho

Plaintiff: Laura Milus, in her individual capacity and as Guardian of the Minor Child Plaintiff, D.L.J., Plaintiff-Appellant

Defendant: Sun Valley Company, a Wyoming corporation

Plaintiff Claims: 1. Whether the district court erred in holding that the yellow padding on Snow Gun 16 constituted a warning implement.

2. Whether the district court erred in holding that Sun Valley had no duty to provide a conspicuous notice at the top of Lower River Run because no snow was being actively discharged from the snowmaking equipment.

3. Whether Mr. Milus assumed the risk of his ski accident under Idaho Code section 6-1106.

4. Whether Sun Valley is entitled to attorney fees on appeal.

Defendant Defenses: Responsibilities and Liabilities of Skiers and Ski Area Operators Act, (“Ski Area Liability Act“). See I.C. §§ 6-1101 through 6-1109

Holding: for the Plaintiff

Year: 2023

Summary

The Idaho Supreme Court just turned the Ski Area Liability Act into a plaintiff checklist for winning money from Idaho Resorts.

Facts

On November 30, 2019, Stewart Milus (“Mr. Milus”) was skiing at the Sun Valley Ski Resort when he collided with snowmaking equipment identified as Snow Gun 16, located in the middle of the Lower River Run on Bald Mountain. Mr. Milus died as a result of the collision. Snow Gun 16 was not actively discharging snow at the time of the collision.

Laura Milus (“Ms. Milus”) is the widow of Mr. Milus and D.L.J. is the stepson of Mr. Milus. Ms. Milus filed a wrongful death action on behalf of herself and D.L.J. (collectively referred to as “Milus”) against Sun Valley Company (“Sun Valley”), the operator of the Sun Valley Ski Resort. Milus alleged that Sun Valley breached its duties under Idaho Code section 6-1103(2) and (6). Idaho Code section 6-1103(2) imposes a duty on ski operators to mark with a “visible sign” or “warning implement” the location of snowmaking equipment on ski slopes and trails. Idaho Code section 6-1103(6) imposes a duty to place a conspicuous notice at or near the top of a trail or slope that is open to the public when snowgrooming or snowmaking operations are being undertaken.

Sun Valley filed a motion for summary judgment, arguing that it had satisfied its duty to warn of the snowmaking equipment under Idaho Code section 6-1103(2) because Snow Gun 16 was covered in yellow padding, which constituted a “warning implement.” Additionally, Sun Valley argued that it had no duty under Idaho Code section 6-1103(6) to place a notice at the top of the Lower River Run because no snowmaking was being actively undertaken on the day of the collision. Sun Valley further argued that, even if it did have such a duty, it complied with that duty by placing a sign that read “CAUTION SNOWMAKING IN PROGRESS” near what Sun Valley contends is the unloading area of the Lower River Run ski lift. Lastly, Sun Valley argued that, under Idaho Code section 6-1106, Mr. Milus had assumed the risk of injury while skiing.

The district court granted Sun Valley’s motion for summary judgment in part, holding that the yellow padding on Snow Gun 16 satisfied the duty under section 6-1103(2) to mark snowmaking equipment with a “warning implement.” The district court interpreted section 61103(6) as creating a duty only when snowmaking equipment is actively discharging snow and allowed discovery to take place regarding whether snow was being made on the day of the accident. Following discovery, the district court granted Sun Valley’s renewed motion for summary judgment in full regarding section 6-1103(6), holding that Sun Valley had no duty to place a notice at or near the top of the ski run because no active snowmaking was being undertaken when the accident occurred. The district court held that Milus was unable to establish that Sun Valley breached a duty owed to Mr. Milus and therefore Milus’s claim failed. Having resolved the motion on other grounds, the district court did not rule on Sun Valley’s assumption of risk defense.

Milus timely appealed the final judgment.

Analysis: making sense of the law based on these facts.

The Idaho Supreme Court took a very different approach to examining the Ski Area Liability Act. They said the statute creates a list of things a ski resort must do and if they fail to do them they are liable. They also stated that although the Ski Area Liability Act says a skier assumes the risk of skiing, that must mean a jury must examine the risks to see if the risk was assumed. Finally, the court looked at a prior decision and because it was not unanimous it was not valid anymore.

Let’s start with the change in how a prior decision is held by later courts.

Because the majority opinion in Northcutt is only a plurality holding on this issue, it is not binding precedent on this Court.

Stare Decisis —a Latin term that means “let the decision stand” or “to stand by things decided”—is a foundational concept in the American legal system. To put it simply, stare decisis holds that courts and judges should honor “precedent”—or the decisions, rulings, and opinions from prior cases. Respect for precedents gives the law consistency and makes interpretations of the law more predictable—and less seemingly random.

Stare Decisis is accepted and upheld by all courts across the United States, except for the Idaho Supreme Court. Nowhere have I read a decision that states that since the prior decision was less than unanimous it did not count. I would suspect that 90% of the decisions of any court are unanimous.

Stare decisis is the doctrine that courts will adhere to precedent in making their decisions. Stare decisis means “to stand by things decided” in Latin.

When a court faces a legal argument, if a previous court has ruled on the same or a closely related issue, then the court will make their decision in alignment with the previous court’s decision. The previous deciding-court must have binding authority over the court; otherwise, the previous decision is merely persuasive authority. In Kimble v. Marvel Enterprises, the U.S. Supreme Court described the rationale behind stare decisis as “promot[ing] the evenhanded, predictable, and consistent development of legal principles, foster[ing] reliance on judicial decisions, and contribut[ing] to the actual and perceived integrity of the judicial process.”

The doctrine operates both horizontally and vertically. Horizontal stare decisis refers to a court adhering to its own precedent. For example, if the Seventh Circuit Court of Appeals adhered to the ruling of a previous Seventh Circuit Court of Appeals case, that would be horizontal stare decisis. A court engages in vertical stare decisis when it applies precedent from a higher court. For example, if the Seventh Circuit Court of Appeals adhered to a previous ruling from the U.S. Supreme Court, that would be vertical stare decisis. Or, additionally, if the Federal District Court for the Southern District of New York adhered to a previous ruling by the Second Circuit, that would be vertical stare decisis.

Although courts seldom overrule precedent, the U.S. Supreme Court in Seminole Tribe of Florida v. Florida explained that stare decisis is not an “inexorable command.” When prior decisions are “unworkable or are badly reasoned,” then the Supreme Court may not follow precedent, and this is “particularly true in constitutional cases.” For example, in deciding Brown v. Board of Education, the U.S. Supreme Court explicitly renounced Plessy v. Ferguson, thereby refusing to apply the doctrine of stare decisis.

This change by the Idaho Supreme Court is without precedence and will mean that there is no decision from a multi-panel court you can rely on unless that decision is unanimous. This will create havoc in the law in Idaho.

The next issue the court addressed is how sections of the Ski Area Liability Act are to be applied

See I.C. § 6-1103(10) (emphasis added). Rather, a close examination of the language demonstrates that the duties set forth in subsections (1) through (9) and the first clause in subsection (10) are the only duties imposed on operators in section 6-1103, and that ski operators owe no additional duty to eliminate, alter, control, or lessen the risks inherent in skiing. The last clause in subsection (10) simply explains that, to the extent a ski operator undertakes an additional duty (which they are not obligated to), there is no standard of care applicable to the additional duty.

Every other court has interpreted this statute to mean the ski area operator owes no duty to the skier. So, the Idaho Supreme Court interpreted the statute so that it creates a duty.

The plain language of section 6-1103(10) differentiates between the duties enumerated in subsections (1) through (9) and any additional duty to “eliminate, alter, control[,] or lessen such risks[.]” It only eliminates a standard of care for any additional duty not set forth in subsections (1) through (9), which the ski operator voluntarily undertakes. Therefore, we hold that ski area operators are held to a standard of care when acting to fulfill the duties enumerated in section 61103(1) through (9). [emphasize added]

So, what was a safe harbor for ski areas, is now a list of ways they can be sued and stated as such by the court.

The question now becomes what standard of care ski area operators are held to when acting to fulfill their enumerated duties under section 6-1103(1) through (9). “The second element of a negligence cause of action, that of breach of duty by the allegedly negligent party, requires measuring the party’s conduct against that of an ordinarily prudent person acting under all the circumstances and conditions then existing. What circumstances and conditions existed is a factual question to be determined by the trier of fact.” superseded by statute on other grounds as recognized in Therefore, we hold that ski area operators are held to the standard of an “ordinarily prudent person acting under all the circumstances and conditions then existing,” id., when complying with the duties enumerated in subsections (1) through (9). [emphasize added]

From protection to the standard of care of an ordinarily prudent person.

Next, the court looked at the statute affecting snow-making equipment and the definition of snow-making warning: warning implement. I.C. § 6-1103(2). In this case, Sun Valley had placed yellow padding around the snow-making equipment. As defined by the statute the lower court held that yellow padding was a warning implement. The Supreme Court did not see it that way and held that whether or not yellow padding constituted a warning implement is a question for the jury.

We hold that the district court erred because the question of whether the yellow padding around Snow Gun 16 constitutes a warning implement is a question of fact for the jury.

Now based on a broad definition in the statute, warning implement, every case must go to trial so the jury can decide what is a warning implement. This means the cost of insurance for ski areas is going to skyrocket because there is no way to win without a trial. That means larger settlements.

The next two issues were whether Sun Valley placed a warning notice concerning the snow-making equipment where a skier could see it. The court first held that the statute required a warning whether snow-making was going or not.

We are persuaded by Milus’s argument that subsection (6) creates a duty to warn skiers at the top of a ski slope or run of snowmaking equipment located further down the slope. Warning skiers of dangerous obstacles on the ski run or slope gives a skier the opportunity to choose a different ski run or to ski in a more cautious manner.

Then the court looked at whether or not Sun Valley had placed a warning and found it had not. Sun Valley supplied affidavits, pictures, and statements showing that the warning was there. The plaintiff supplied an affidavit stating there was no sign. The court went with the plaintiff.

As screwy as the prior decisions of the court have been, this one is over the top.

Sun Valley argues that, under the plain language of Idaho Code section 6-1106, Mr. Milus expressly assumed the risk and legal responsibility of an injury that occurred from his participation in the sport of skiing at Sun Valley Ski Resort, including any injury caused by snowmaking equipment. In response, Milus argues that the issue is not appropriately before this Court because it was not sufficiently addressed by the district court. Because the district court determined that Sun Valley had no duty or had fulfilled its duties under section 6-1103(2) and (6), the district court did not rule on the applicability of Idaho Code section 6-1106.

The court took the assumption of the risk defense off the table and stated a skier, skiing in Idaho only assumes the risk IF the ski area has met all of its requirements under the act.

For the reasons discussed previously in this opinion, there is a genuine issue of material fact concerning whether the snowmaking equipment was plainly visible or plainly marked in accordance with section 6-1103(2). Because the defense is only available if the equipment was marked in accordance with section 6-1103(2), a jury will have to determine whether the snowmaking equipment met the requirements of that section before Sun Valley may avail itself of this defense. Therefore, Sun Valley is not entitled to summary judgment under section 6-1106.

Again, every ski injury lawsuit is not going to trial. Only the trier of fact, the jury in most cases can determine if a skier assumed the risk causing his injuries.

So Now What?

Either the Idaho legislature has to re-write the Ski Area Liability Act or Idaho ski areas are going to pay. Once moderately priced lift tickets in Idaho are going to climb to cover the increased cost of signage and insurance.

Look for signs, permanent signs, at the tops of all lists and runs stating that skiers might encounter snow-making on a run. Look for larger warning signs and notices around all snow-making equipment, wherever it may be located. Sitting in the maintenance yard I would still pad it now.

Even more interesting, there are five justices on the Idaho Supreme Court and only four justices agreed with this decision. Does that mean it is non-binding?

Chief Justice BEVAN, and Justices BRODY, STEGNER, and MOELLER CONCUR.

What a mess.

G-YQ06K3L262

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Milus v. Sun Valley Co., 49693-2022 (Idaho Dec 19, 2023)

LAURA MILUS, in her individual capacity and as Guardian of the Minor Child Plaintiff, D.L.J., Plaintiff-Appellant,
v.
SUN VALLEY COMPANY, a Wyoming corporation, Defendant-Respondent.

No. 49693-2022

Supreme Court of Idaho, Boise

December 19, 2023

Appeal from the District Court of the Fifth Judicial District of the State of Idaho, Blaine County. Ned C. Williamson, District Judge.

The decision of the district court is reversed.

Rossman Law Group, PLLC, Boise, for Appellant.

Mathew G. Gunn argued.

Lake City Law Group PLLC, Coeur d’Alene, for Respondent.

Katharine B. Brereton argued.

ZAHN, JUSTICE

This case concerns the interpretation of the Responsibilities and Liabilities of Skiers and Ski Area Operators Act. Appellant Laura Milus brought a wrongful death action on behalf of herself and her minor child against Respondent Sun Valley Company after her husband’s death following his collision with snowmaking equipment while skiing at Sun Valley Ski Resort.

Milus alleged that Sun Valley Company had breached a duty arising under Idaho Code section 6-1103(2) and (6). The district court granted Sun Valley’s summary judgment motion, holding that Sun Valley (1) fulfilled its duty under Idaho Code section 6-1103(2) to mark snowmaking equipment by surrounding the snowmaking equipment with yellow padding, and (2) did not have a duty under Idaho Code section 6-1103(6) to place a conspicuous notice at the top of the ski trail because the snowmaking equipment was not actively discharging snow. We reverse the district court’s grant of summary judgment and remand for further proceedings consistent with this opinion.

I. FACTUAL AND PROCEDURAL BACKGROUND

On November 30, 2019, Stewart Milus (“Mr. Milus”) was skiing at the Sun Valley Ski Resort when he collided with snowmaking equipment identified as Snow Gun 16, located in the middle of the Lower River Run on Bald Mountain. Mr. Milus died as a result of the collision. Snow Gun 16 was not actively discharging snow at the time of the collision.

Laura Milus (“Ms. Milus”) is the widow of Mr. Milus and D.L.J. is the stepson of Mr. Milus. Ms. Milus filed a wrongful death action on behalf of herself and D.L.J. (collectively referred to as “Milus”) against Sun Valley Company (“Sun Valley”), the operator of the Sun Valley Ski Resort. Milus alleged that Sun Valley breached its duties under Idaho Code section 6-1103(2) and (6). Idaho Code section 6-1103(2) imposes a duty on ski operators to mark with a “visible sign” or “warning implement” the location of snowmaking equipment on ski slopes and trails. Idaho Code section 6-1103(6) imposes a duty to place a conspicuous notice at or near the top of a trail or slope that is open to the public when snowgrooming or snowmaking operations are being undertaken.

Sun Valley filed a motion for summary judgment, arguing that it had satisfied its duty to warn of the snowmaking equipment under Idaho Code section 6-1103(2) because Snow Gun 16 was covered in yellow padding, which constituted a “warning implement.” Additionally, Sun Valley argued that it had no duty under Idaho Code section 6-1103(6) to place a notice at the top of the Lower River Run because no snowmaking was being actively undertaken on the day of the collision. Sun Valley further argued that, even if it did have such a duty, it complied with that duty by placing a sign that read “CAUTION SNOWMAKING IN PROGRESS” near what Sun Valley contends is the unloading area of the Lower River Run ski lift. Lastly, Sun Valley argued that, under Idaho Code section 6-1106, Mr. Milus had assumed the risk of injury while skiing.

The district court granted Sun Valley’s motion for summary judgment in part, holding that the yellow padding on Snow Gun 16 satisfied the duty under section 6-1103(2) to mark snowmaking equipment with a “warning implement.” The district court interpreted section 61103(6) as creating a duty only when snowmaking equipment is actively discharging snow and allowed discovery to take place regarding whether snow was being made on the day of the accident. Following discovery, the district court granted Sun Valley’s renewed motion for summary judgment in full regarding section 6-1103(6), holding that Sun Valley had no duty to place a notice at or near the top of the ski run because no active snowmaking was being undertaken when the accident occurred. The district court held that Milus was unable to establish that Sun Valley breached a duty owed to Mr. Milus and therefore Milus’s claim failed. Having resolved the motion on other grounds, the district court did not rule on Sun Valley’s assumption of risk defense.

Milus timely appealed the final judgment.

II. ISSUES ON APPEAL

1. Whether the district court erred in holding that the yellow padding on Snow Gun 16 constituted a warning implement.

2. Whether the district court erred in holding that Sun Valley had no duty to provide a conspicuous notice at the top of Lower River Run because no snow was being actively discharged from the snowmaking equipment.

3. Whether Mr. Milus assumed the risk of his ski accident under Idaho Code section 6-1106.

4. Whether Sun Valley is entitled to attorney fees on appeal.

III. STANDARD OF REVIEW

“The standard of review on appeal from an order granting summary judgment is the same standard that is used by the district court in ruling on the summary judgment motion.” Berglund v. Dix, 170 Idaho 378, 384, 511 P.3d 260, 266 (2022) (quoting Hoke v. Neyada, Inc., 161 Idaho 450, 453, 387 P.3d 118, 121 (2016)). The trial court “must grant summary judgment if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” I.R.C.P. 56(a). “All disputed facts are to be construed liberally in favor of the non-moving party, and all reasonable inferences that can be drawn from the record are to be drawn in favor of the non-moving party.” Manning v. Micron Tech., Inc., 170 Idaho 8, 12, 506 P.3d 244, 248 (2022). “A mere scintilla of evidence or only slight doubt as to the facts is not sufficient to create a genuine issue of material fact for the purposes of summary judgment.” Finholt v. Cresto, 143 Idaho 894, 897, 155 P.3d 695, 698 (2007) (quoting Jenkins v. Boise Cascade Corp., 141 Idaho 233, 238, 108 P.3d 380, 385 (2005)). “If the evidence reveals no disputed issues of material fact, then only a question of law remains, over which this Court exercises free review.” Arambarri v. Armstrong, 152 Idaho 734, 738, 274 P.3d 1249, 1253 (2012).

IV. ANALYSIS

A. Ski area operators are held to an ordinarily prudent person standard of care when undertaking the duties enumerated in Idaho Code section 6-1103(1) through (9).

Before addressing the district court’s order dismissing Milus’s claim, we must first discuss the duties in tort and the corresponding standards of care encompassed by Milus’s claim. Milus’s negligence claim is premised on duties arising under the Responsibilities and Liabilities of Skiers and Ski Area Operators Act (“Ski Area Liability Act”). See I.C. §§ 6-1101 through 6-1109.

Idaho Code section 6-1103 is titled, “Duties of ski area operators with respect to ski areas,” and contains ten subsections. Subsections (1) through (9) each state a specific duty that a ski area operator has with respect to its operation of the ski area. Subsection (10) differs from the first nine because, after stating a duty, it then describes exceptions to that duty:

Every ski area operator shall have the following duties with respect to their operation of a skiing area:

….

(10) Not to intentionally or negligently cause injury to any person; provided, that except for the duties of the operator set forth in subsections (1) through (9) of this section and in section 6-1104, Idaho Code, the operator shall have no duty to eliminate, alter, control or lessen the risks inherent in the sport of skiing, which risks include, but are not limited to, those described in section 6-1106, Idaho Code; and, that no activities undertaken by the operator in an attempt to eliminate, alter, control or lessen such risks shall be deemed to impose on the operator any duty to accomplish such activities to any standard of care.

I.C. § 6-1103(10).

This Court interpreted section 6-1103(10) in Northcutt v. Sun Valley Company, 117 Idaho 351, 787 P.2d 1159 (1990). We held that the Ski Area Liability Act limits the liability of ski operators to only the enumerated duties in section 6-1103(1) through (9) when acting to eliminate, alter, control or lessen the inherent risks of skiing. See id. at 354-55, 787 P.2d at 1162-63. Significantly, we also held that the Act eliminates any standard of care for a ski operator when undertaking any of the duties found in subsections (1) through (9). See id. (“We construe the last clause of this portion of [Idaho Code section] 6-1103(10) to eliminate any standard of care for a ski area operator in carrying out any of the duties described in [Idaho Code sections] 6-1103 and 6-1104.”). In other words, even though ski operators owe a duty to perform certain tasks, there is no standard of care applicable to how they perform those tasks.

Sun Valley argues that, under this Court’s holding in Northcutt, if a ski area operator takes any step to fulfill the duties enumerated under Idaho Code section 6-1103(1) through (9), any potential plaintiffs are barred from recovery. Milus argues that this Court’s interpretation in Northcutt makes it nearly impossible to hold a ski area operator liable, in contradiction with the legislature’s intent to “define those areas of responsibility and affirmative acts for which ski area operators shall be liable for loss, damage or injury ….” I.C. § 6-1101. We agree with Milus and hold that the ordinarily prudent person standard applies to the duties set forth in Idaho Code section 6-1103(1) through (9).

A careful reading of Northcutt reveals that the standard of care portion of the decision failed to draw a majority of votes and therefore is only a plurality holding. Justice Bakes’s special concurrence in Part II of the Northcutt opinion explains his disagreement with the plurality’s holding eliminating any standard of care for the duties enumerated in subsections (1) through (9):

Had appellant Northcutt’s injury been proximately caused by an inaccurate description of the relative degree of difficulty of the slope, or had the sign not been sufficiently “conspicuous” so that it could not reasonably have been observed, and as a result Northcutt descended a slope which exceeded his ability to negotiate, then in my view there would have been a violation of the duty provided in [section] 61103(3) for which liability would be imposed under [Idaho Code section] 6-1107, and which would not have been excused by [Idaho Code section] 6-1103(10).

117 Idaho at 358, 787 P.2d at 1166 (Bakes, J., specially concurring) (emphasis added). Because the majority opinion in Northcutt is only a plurality holding on this issue, it is not binding precedent on this Court.

A close reading of the separate clauses contained in section 6-1103(10) demonstrates that it does not eliminate any standard of care for the duties set forth in subsections (1) through (9):

Every ski area operator shall have the following duties with respect to their operation of a skiing area:

….

(10) Not to intentionally or negligently cause injury to any person;

• provided, that except for the duties of the operator set forth in subsections (1) through (9) of this section and in section 6-1104, Idaho Code,

• the operator shall have no duty to eliminate, alter, control or lessen the risks inherent in the sport of skiing, which risks include, but are not limited to, those described in section 6-1106, Idaho Code; and,

• that no activities undertaken by the operator in an attempt to eliminate, alter, control or lessen such risks shall be deemed to impose on the operator any duty to accomplish such activities to any standard of care.

See I.C. § 6-1103(10) (emphasis added). Rather, a close examination of the language demonstrates that the duties set forth in subsections (1) through (9) and the first clause in subsection (10) are the only duties imposed on operators in section 6-1103, and that ski operators owe no additional duty to eliminate, alter, control, or lessen the risks inherent in skiing. The last clause in subsection (10) simply explains that, to the extent a ski operator undertakes an additional duty (which they are not obligated to), there is no standard of care applicable to the additional duty.

The plain language of section 6-1103(10) differentiates between the duties enumerated in subsections (1) through (9) and any additional duty to “eliminate, alter, control[,] or lessen such risks[.]” It only eliminates a standard of care for any additional duty not set forth in subsections (1) through (9), which the ski operator voluntarily undertakes. Therefore, we hold that ski area operators are held to a standard of care when acting to fulfill the duties enumerated in section 61103(1) through (9).

The question now becomes what standard of care ski area operators are held to when acting to fulfill their enumerated duties under section 6-1103(1) through (9). “The second element of a negligence cause of action, that of breach of duty by the allegedly negligent party, requires measuring the party’s conduct against that of an ordinarily prudent person acting under all the circumstances and conditions then existing. What circumstances and conditions existed is a factual question to be determined by the trier of fact.” Brooks v. Logan, 127 Idaho 484, 490-91, 903 P.2d 73, 79-80 (1995) (citations omitted), superseded by statute on other grounds as recognized in Stoddart v. Pocatello Sch. Dist. #25, 149 Idaho 679, 239 P.3d 784 (2010). Therefore, we hold that ski area operators are held to the standard of an “ordinarily prudent person acting under all the circumstances and conditions then existing,” id., when complying with the duties enumerated in subsections (1) through (9).

B. Whether the yellow padding surrounding Snow Gun 16 constitutes a “warning implement” under Idaho Code section 6-1103(2) is a question of fact for the jury.

Having determined the applicable standard of care, we turn to the merits of Milus’s appeal. Milus filed a wrongful death action alleging Sun Valley breached its duty arising under Idaho Code section 6-1103(2). That section requires that ski area operators mark snowmaking equipment located on ski slopes and trails with a visible sign or warning implement. I.C. § 6-1103(2).

Sun Valley concedes that it did not mark Snow Gun 16 with a visible sign. Sun Valley argues that the yellow padding that surrounded Snow Gun 16 constitutes a warning implement under Idaho Code section 6-1103(2) Milus argued that whether the yellow padding constituted a warning implement was a question for the jury. The district court held that interpreting the phrase “warning implement” and whether it included the yellow padding was a question of statutory interpretation for the court and concluded that the yellow padding around Snow Gun 16 met the statutory requirement. We hold that the district court erred because the question of whether the yellow padding around Snow Gun 16 constitutes a warning implement is a question of fact for the jury.

The elements of a negligence action are “(1) a duty, recognized by law, requiring the defendant to conform to a certain standard of conduct; (2) a breach of that duty; (3) a causal connection between the defendant’s conduct and the resulting injury; and (4) actual loss or damage.” Black Canyon Racquetball Club, Inc. v. Idaho First Nat’l Bank, N.A., 119 Idaho 171, 175-76, 804 P.2d 900, 904-05 (1991). The district court treated the question of whether the yellow padding constitutes a warning implement as an issue of duty. “The existence of a duty is a question of law for this Court.” Harrigfeld v. Hancock, 140 Idaho 134, 138, 90 P.3d 884, 888 (2004); see Udy v. Custer County, 136 Idaho 386, 389, 34 P.3d 1069, 1072 (2001).

However, whether the yellow padding effectively constitutes a “warning implement” is not an issue of duty, but rather one of breach. By enacting section 6-1103(2), the legislature imposed on Sun Valley a duty “[t]o mark with a visible sign or other warning implement the location of any hydrant or similar equipment used in snowmaking operations ….” In light of our holding that ski area operators are held to an “ordinarily prudent person” standard of care when performing the duties enumerated in subsections (1) through (9), it is a question of fact for the jury whether the yellow padding met the ordinarily prudent person standard of care to mark the gun with a visible sign or other warning implement. In this instance, breach is a question of fact for the jury. See Stephens v. Stearns, 106 Idaho 249, 256, 678 P.2d 41, 48 (1984) (holding that “it is a jury question as to whether [a] duty was breached”); Freeman v. Juker, 119 Idaho 555, 557, 808 P.2d 1300, 1302 (1991) (reversing the district court’s grant of summary judgment because whether the highway district had breached its duty by not maintaining the runaway escape ramp was a disputed question of fact); Thomson v. Idaho Ins. Agency, Inc., 126 Idaho 527, 530, 887 P.2d 1034, 1037 (1994) (concluding that summary judgment should have been denied solely because triable disputed factual issues existed whether a duty was breached).

“[I]f the evidence reveals no disputed issues of material fact, the trial court should grant the motion for summary judgment.” Duncan v. Long, 167 Idaho 853, 856, 477 P.3d 907, 910 (2020). Sun Valley put forth an Incident Report describing the accident and an Incident Photo Log with pictures of the yellow padding on Snow Gun 16 as evidence that the yellow padding constituted a warning implement. Milus presented a declaration by a ski area safety expert that snowmaking equipment should not be placed in the middle of a beginner level trail such as Lower River Run. There is a genuine issue of material fact whether Sun Valley breached its duty under section 6-1103(2) by wrapping Snow Gun 16 with yellow padding, and this question should go to a jury. Therefore, the district court’s grant of summary judgment is reversed.

C. Idaho Code section 6-1103(6) imposes a duty on ski area operators to place a conspicuous notice at or near the top of the trail or slope when snowmaking equipment is placed on the ski run or slope.

Milus claims Sun Valley also breached its duty under Idaho Code section 6-1103(6), which requires ski operators to place a “conspicuous notice” at or near the top of a ski trail or slope under certain circumstances:

Every ski area operator shall have the following duties with respect to their operation of a skiing area:

….

(6) To place, or cause to be placed, whenever snowgrooming or snowmaking operations are being undertaken upon any trail or slope while such trail or slope is open to the public, a conspicuous notice to that effect at or near the top of such trail or slope[.]

(Emphasis added.)

The district court held that the statutory language “snowmaking operations are being undertaken” is unambiguous and means “when snow is being made.” The district court concluded that the purpose of subsection (6) is to warn skiers of changed snow conditions or reduced visibility due to active snowmaking operations. Because no snow was actively being discharged from Snow Gun 16 on the day of Mr. Milus’s collision, the district court held that Sun Valley had no duty under section 6-1103(6) to place a notice at or near the top of the Lower River Run. Milus argues that the district court’s interpretation is too narrow because snowmaking equipment is dangerous both when actively shooting snow and when not actively shooting snow if the snowmaking equipment is in the middle of a beginner ski run.

“Statutory interpretation is a question of law over which this Court exercises free review.” Est. of Stahl v. Idaho State Tax Comm’n, 162 Idaho 558, 562, 401 P.3d 136, 140 (2017) (quoting Carrillo v. Boise Tire Co., 152 Idaho 741, 748, 274 P.3d 1256, 1263 (2012)). “Statutory interpretation begins with the literal language of the statute. If the statutory language is unambiguous, we need not engage in statutory construction and are free to apply the statute’s plain meaning.” Nordgaarden v. Kiebert, 171 Idaho 883, 890, 527 P.3d 486, 493 (2023) (alteration omitted) (quoting Callies v. O’Neal, 147 Idaho 841, 847, 216 P.3d 130, 136 (2009)). However, if the statutory language is ambiguous, this Court must “look to rules of construction for guidance and consider the reasonableness of proposed interpretations.” Id. (quoting City of Idaho Falls v. H-K Contractors, Inc., 163 Idaho 579, 582, 416 P.3d 951, 954 (2018)). “Statutory language is ambiguous where reasonable minds might differ or be uncertain as to its meaning.” Id. (alteration omitted) (quoting H-K Contractors, Inc., 163 Idaho at 582, 416 P.3d at 954).

The phrase “snowmaking operations are being undertaken” is ambiguous. The phrase “snowmaking operations” is broad and encompasses more than the discharge or production of snow. Interpreting subsection (6) as only applying when the snow was being actively discharged would effectively eliminate the word “operations” from the statute. But the statute does not impose the duty when “snowmaking is being undertaken,” rather the duty applies when “snowmaking operations are being undertaken.” When interpreting a statute, this Court has an obligation to give effect to all the words and provisions so that none are rendered superfluous. Moser v. Rosauers Supermarkets, Inc., 165 Idaho 133, 136, 443 P.3d 147, 150 (2019).

We are persuaded by Milus’s argument that subsection (6) creates a duty to warn skiers at the top of a ski slope or run of snowmaking equipment located further down the slope. Warning skiers of dangerous obstacles on the ski run or slope gives a skier the opportunity to choose a different ski run or to ski in a more cautious manner. The district court reasoned that this interpretation of section 6-1103(6) would be redundant because it would require two warnings for snowmaking equipment-one on the equipment itself, as required by subsection (2), and one at the top of the ski run, as required by our interpretation of subsection (6). This is not redundant- both warnings serve a purpose. Providing a warning at or near the top of the ski run or trail gives a skier the opportunity to choose a different ski run or to ski more cautiously, while a warning on or near the snowmaking equipment itself informs and warns the skier of the actual location of the snowmaking equipment on the ski run.

D. There is a genuine issue of material fact whether Sun Valley placed a conspicuous notice at or near the top of the Lower River Run trail on the day of the accident.

In light of our holding that the duty to place a notice at or near the top of the ski run or trail under section 6-1103(6) applies even when snow is not being actively discharged from snowmaking equipment, the question now becomes whether there is a genuine issue of material fact as to whether Sun Valley complied with that duty.

In support of its motion for summary judgment, Sun Valley submitted evidence that it placed a sign that read “CAUTION SNOWMAKING IN PROGRESS” at what it claims was the top of the River Run lift on the day of the accident. Sun Valley also submitted a declaration by Peter Stearns, the Director of Mountain Operations of Sun Valley Ski Resort, stating that, at all times during the ski season, the CAUTION SNOWMAKING IN PROGRESS sign is posted at the top of each ski lift. Additionally, Sun Valley presented a photograph showing the sign located at what it claims is the unloading area of the Lower River Run lift and a ski trail map showing the location of the sign relative to the top of Lower River Run.

In opposition to the motion, Ms. Milus submitted a declaration stating she did not see the sign on the day the accident occurred. Milus argued that it was possible the sign had been knocked down on the day of the accident. Milus additionally argued that the picture of the sign presented by Sun Valley does not show that the sign was “at or near the top” of Lower River Run.

The district court concluded that Ms. Milus’s statement that she did not personally observe a sign against Mr. Stearns’s declaration that a sign was posted at the top of every ski lift all season at Sun Valley only created a scintilla of evidence that would not preclude summary judgment.

On appeal, Milus argues that the district court erred because the evidence submitted was sufficient to establish a genuine issue of material fact concerning whether Sun Valley breached its duty under section 6-1103(6). We agree with Milus and reverse the district court’s grant of summary judgment on this claim.

For the reasons previously discussed, Sun Valley is held to the standard of care of an ordinarily prudent person when complying with subsection (6). We hold there is a genuine issue of material fact as to whether the “CAUTION SNOWMAKING IN PROGRESS” sign met the applicable standard of care. Sun Valley did not present sufficient evidence that its sign is at or near the top of the Lower River Run. The picture presented by Sun Valley shows the loading area of the Lookout Express lift, not the top of the Lower River Run. The trail map presented by Sun Valley does not show the location of the sign or an accurate distance between the River Run ski lift unloading area and the top of the Lower River Run. Moreover, Ms. Milus testified in her deposition that she did not see the sign on the day of the accident. As a result, there is a genuine issue of material fact whether Sun Valley’s sign complied with the requirements of subsection (6). We reverse the district court’s grant of summary judgment on this issue.

E. There is a genuine issue of material fact whether Sun Valley may avail itself of the assumption of the risk defense provided in Idaho Code section 6-1106.

Sun Valley argues that, under the plain language of Idaho Code section 6-1106, Mr. Milus expressly assumed the risk and legal responsibility of an injury that occurred from his participation in the sport of skiing at Sun Valley Ski Resort, including any injury caused by snowmaking equipment. In response, Milus argues that the issue is not appropriately before this Court because it was not sufficiently addressed by the district court. Because the district court determined that Sun Valley had no duty or had fulfilled its duties under section 6-1103(2) and (6), the district court did not rule on the applicability of Idaho Code section 6-1106.

However, the district court’s failure to address the argument does not prevent us from considering it in this instance.

Idaho formerly required an appealing party to obtain an adverse ruling on an issue to preserve the issue for appeal. However, we have now rejected the adverse ruling requirement in favor of a broader standard where “[i]t is not mandatory for a party-appellant to obtain an adverse ruling from the trial court to preserve an issue for appellate review, so long as the party’s position on that issue was presented to the trial court with argument and authority and noticed for hearing.”

Rich v. Hepworth Holzer, LLP, 172 Idaho 696, 703 n.4, 535 P.3d 1069, 1076 n.4 (2023) (internal citations omitted). Both parties presented their positions to the district court with argument and authority. Therefore, Sun Valley’s assumption of risk argument was preserved for appeal. Additionally, because we apply the same standard as the district court on a motion for summary judgment, we can consider this argument in the first instance because “[w]e review a district court’s grant of summary judgment de novo, and apply the same standard used by the district court in ruling on the motion.” Mattson v. Idaho Dep’t of Health &Welfare, 172 Idaho 66, 529 P.3d 731, 737 (2023) (quoting Marek v. Hecla, Ltd., 161 Idaho 211, 214, 384 P.3d 975, 978 (2016)).

Sun Valley contends that, even if we reverse the district court’s grant of summary judgment on its duties under section 6-1103, it is still entitled to summary judgment under section 6-1106, which describes the duties of skiers and provides that Mr. Milus expressly assumed the risk of injury resulting from skiing, and specifically the risk of injury from snowmaking equipment that was clearly marked in accordance with the provisions of section 6-1103:

Each skier expressly assumes the risk of and legal responsibility for any injury to person or property that results from participation in the sport of skiing including any injury caused by the following, all whether above or below snow surface: variations in terrain; any movement of snow including, but not limited to, slides, sloughs or avalanches; any depths of snow, including tree wells, or any accumulations of snow, whether natural or man made, including snowmaking mounds; freestyle terrain; surface or subsurface snow or ice conditions; bare spots, rocks, trees, other forms of forest growth or debris, lift towers and components thereof; utility poles, and snowmaking and snowgrooming equipment which is plainly visible or plainly marked in accordance with the provisions of section 61103, Idaho Code. Therefore, each skier shall have the sole individual responsibility for knowing the range of his own ability to negotiate any slope or trail, and it shall be the duty of each skier to ski within the limits of the skier’s own ability, to maintain reasonable control of speed and course at all times while skiing, to heed all posted warnings, to ski only on a skiing area designated by the ski area operator and to refrain from acting in a manner which may cause or contribute to the injury of anyone.

I.C. § 6-1106 (emphasis added). Sun Valley argues that the plain language of section 6-1106 bars recovery by Milus as a matter of law because the snowmaking equipment that Mr. Milus collided with was plainly visible or plainly marked in accordance with Idaho Code section 6-1103.

For the reasons discussed previously in this opinion, there is a genuine issue of material fact concerning whether the snowmaking equipment was plainly visible or plainly marked in accordance with section 6-1103(2). Because the defense is only available if the equipment was marked in accordance with section 6-1103(2), a jury will have to determine whether the snowmaking equipment met the requirements of that section before Sun Valley may avail itself of this defense. Therefore, Sun Valley is not entitled to summary judgment under section 6-1106.

F. Sun Valley is not entitled to attorney fees.

Sun Valley requests attorney fees on appeal pursuant to Idaho Code section 12-121, which permits the prevailing party to recover its reasonable attorney fees if the Court finds that the nonprevailing party brought, defended, or pursued the case frivolously, unreasonably, or without foundation. However, Sun Valley is not the prevailing party on appeal and, therefore, is not entitled to an award of attorney fees under the statute.

V. CONCLUSION

We reverse the district court’s grant of summary judgment in favor of Sun Valley and remand for further proceedings consistent with this opinion. As the prevailing party, Milus is awarded costs on appeal pursuant to Idaho Appellate Rule 40.

Chief Justice BEVAN, and Justices BRODY, STEGNER, and MOELLER CONCUR.


Blide V. Rainier Mountaineering, Inc., 636 P.2d 492, 30 Wn. App. 571 (1981)

RICHARD BLIDE, ET AL, Appellants, v. RAINIER MOUNTAINEERING, INC., Respondent.

No. 9474-2-I.

The Court of Appeals of Washington, Division One.

June 15, 1981.

[1] Torts – Disclaimer of Liability – Validity – Test. An agreement releasing a party from liability for negligence is valid unless the activity involves a public interest or the negligent act falls greatly below the standard set by law for protecting persons from unreasonable risks of harm. A specific reference to “negligence” is not necessary to make the agreement effective.

[2] Torts – Disclaimer of Liability – Public Interest – Mountain
Climbing. For purposes of the rule invalidating releases from liability for activities involving a public interest, mountaineering instruction does not involve a public interest.

Nature of Action: A student sought damages from a guide service for injuries sustained during mountain climbing instruction. The student’s application released the guide service from liability for accidents.

Superior Court: The Superior Court for King County, No. 841713, Herbert M. Stephens, J., granted a summary judgment in favor of the guide service on December 6, 1979.

Court of Appeals: Holding that the release did not violate public policy and that the student had knowingly agreed to its terms, the court affirms the judgment.

Gerald G. Day, for appellants.

Don M. Gulliford, for respondent.

[As amended by order of the Court of Appeals November 12, 1981, deleting directions that the opinion should not be published.]

CORBETT, J.

Plaintiff appeals from an order dismissing his action for injuries received while engaged in a mountain climbing seminar.

The defendant, Rainier Mountaineering, Inc. (RMI), operates a guide service on Mount Rainier and provides mountain climbing instruction. RMI employed the plaintiff, a physician specializing in internal medicine, to conduct the medical portion of a mountain climbing seminar. The plaintiff, who did not have any previous mountain climbing experience, also enrolled in the seminar as a student. While being lowered into a crevasse during the rescue practice on Mount Rainier, the plaintiff suffered a serious leg injury.

Before coming to the seminar, plaintiff filled out an application for participation as a student which contained a release and assumption of risk. The application was contained on one page and the release on another. When plaintiff sent the form to RMI, his letter of transmittal stated: “Enclosed you will find my signed release . . .” At his deposition, he testified that he had signed the release but in fact he had not signed it, merely having filled in his name on the application portion. The text of the release is as follows:

I am aware that during the mountain trip, or other trim [sic], that I am participating in under the arrangements of Rainier Mountaineering Inc., certain dangers may occur, including but not limited to, the hazards of traveling in mountainous terrain, accidents or illness in remote places, without medical facilities, and the forces of nature.

In consideration of, and as part payment for, the right to participate in such mountain trips or other activities and the services and food arranged for me by RMI I have and do hereby assume all the above mentioned risks and will hold them harmless from any and all liability, actions, causes of action, debts, claims, demands of every kind and nature whatsoever which may arise out of or in connection with my trip or participation in any activities arranged for me by RMI. The terms thereof shall serve as a release and assumption of risk for my heirs, executor and administrators and for all members of my family, including any minors accompanying me.

(Parent or legal guardian must also sign for all persons under 21 years of age.) We recommend that the summit climb not be attempted by anyone under 15 years of age.

Date: Signature:

The plaintiff contends (1) that such a release should be void as against public policy, (2) lack of reference to negligence in the release renders it ineffective, (3) lack of specificity renders the release ineffective and not applicable to a risk or cause of injury not mentioned in the release, and (4) there were unresolved questions of fact as to whether plaintiff understood the release and agreed to its terms.

[1, 2] We find the case of Hewitt v. Miller,
11 Wn. App. 72, 521 P.2d 244 (1974), controlling with reference to the primary issues. “Absent some statute to the contrary, the generally accepted rule is that contracts against liability for negligence are valid except in those cases where a public
interest is involved“, (italics ours), 57 Am.Jur.2d Negligence § 23, at 366 (1971) (cited with approval in Hewitt,
supra at 77), or where the negligent act falls greatly below the standard established by law for the protection of others against unreasonable risk of harm. McCutcheon v. United Homes
Corp.,
79 Wn.2d 443, 486 P.2d 1093 (1971); Hewitt v. Miller,
supra at 77 n. 1; Restatement of Contracts § 574 (1932). Although a popular sport in Washington, mountaineering, like scuba diving, does not involve public interest and the plaintiff has at no time complained that the alleged negligence here fell greatly below the standard established by law. Therefore the exculpatory clause is valid and enforceable.

The wording of the release in Hewitt, as in the present case, did not specifically refer to “negligence”. However, the hazard experienced was clearly within the contemplation of the release. Failure to use the word “negligence” did not render the release ineffective. Hewitt v. Miller, supra at 79.

The release referred to “the hazards of traveling in mountainous terrain, accidents or illness in remote places . . . and the forces of nature”. Whether the plaintiff had unintentionally fallen or was lowered into the crevasse where his injury occurred, the accident was within the contemplation of the hold harmless which was clear, unambiguous and conspicuous.

There can be no question that plaintiff knowingly agreed to the terms of the release. He read the release and believed that he signed it. He accepted the benefits, including a $500 fee for his services, as well as the course in mountaineering. There was objective manifestation of his understanding of the agreement and intent to execute the release in the prescribed form. There was therefore no unresolved question of fact.

The summary judgment was properly granted.

Affirmed.

RINGOLD, A.C.J., and ANDERSEN, J., concur.

Reconsideration denied November 12, 1981.

Review denied by Supreme Court January 22, 1982.


Florida Appellate court throws out release signed by student-athlete who died because release was not written according to the requirements of Florida law.

Poorly written release that failed to stop claim by the family of a deceased scholarship athlete

Estate of Blakely v. Stetson Univ. (Fla. App. 2022)

State: Florida; Florida Court of Appeals, Fifth District

Plaintiff: THE ESTATE OF NICHOLAS ADAM BLAKELY, BY AND THROUGH MICHELLE WILSON, AS PERSONAL REPRESENTATIVE

Defendant: STETSON UNIVERSITY, INC

Plaintiff Claims:

Defendant Defenses: Release

Holding: For the Plaintiff

Year: 2022

Summary

Stetson University offered an athletic scholarship to the deceased. In return, he had to sign a release. He died during practice and his mother sued the school. The release was ineffective because it was not written correctly under Florida law.

Facts

Nicholas Blakely was a student and scholarship football player at Stetson in 2016 and 2017, his freshman and sophomore years in college. He pulled himself out of an afternoon football practice on August 28, 2017, complaining to an assistant athletic trainer that he was feeling dizzy and that his chest felt tight. The assistant athletic trainer took Blakely to the sideline, took his pulse,[1] gave him water to cool down, removed his helmet, loosened his shoulder pads, and had him stand in the shade. Trainers continued to monitor Blakely’s symptoms. However, after resting on the sideline for approximately forty to forty-five minutes, Blakely collapsed.

In addition to calling 911, Stetson employees attempted various emergency medical procedures in an unsuccessful effort to revive Blakely. Blakely was transported to the hospital, where he ultimately died.

There was record evidence that during an April 2017 practice, Blakely had complained to an assistant athletic director of chest pain. He also advised the trainer that he had experienced one or two incidents of chest pain in high school, but both of those incidents had resolved quickly. The chest pain incident of April 2017 also resolved in just a few minutes. The assistant athletic trainer did not document the April incident or otherwise do anything with the information provided by Blakely. Furthermore, when Blakely returned to school after summer break, Stetson did not have him undergo a physical examination prior to him participating on the football team for the upcoming season.

There is also record evidence that on the morning of August 28, 2017, the day Blakely died, Blakely advised the head football athletic trainer that he was not feeling well, that he had a bad cough, chest congestion, and shallow breathing. The trainer took Blakely’s temperature which was negative for fever. The trainer believed Blakely had a cold and did not refer him to the student health clinic. Blakely was permitted to continue participation in the planned activities for the day without restriction.

The defendant won the case at trial when the judge dismissed the case based on the release. The plaintiff appealed and the appellate court sent it back to the trial court.

Analysis: making sense of the law based on these facts.

Florida, like all states, has requirements for releases to be effective.

An exculpatory clause purports to deny an injured party the right to recover damages from a person negligently causing his injury. They are disfavored in the law because they relieve one party of the obligation to use due care and shift the risk of injury to the party who is probably least equipped to take the necessary precautions to avoid the injury and bear the risk of loss. Such clauses are strictly construed against the party seeking to be relieved of liability. Thus, exculpatory clauses are enforceable only where and to the extent that the intention to be relieved from liability is made clear and unequivocal. The wording must be so clear and understandable that an ordinary and knowledgeable person will know what he is contracting away.

In this case, the release did not use the word release. That alone is not enough to make the release ineffective according to the court, but it is a major factor in looking at the document as a whole.

Although Florida has case law that states the word “negligence” is not needed in a release for the release to be effective. However, here the word negligence was not used and the court found nothing similar, as needed was used. Consequently, the court found the release was ineffective. The issue is was the release unambiguous.

In the present case, the exculpatory clause did not expressly inform Blakely that by executing the document at issue, he would be contracting away his right to sue Stetson for Stetson’s own negligence. Although this omission does not, standing alone, render the exculpatory clause unenforceable, it is a factor for a court to consider in determining whether the exculpatory clause is clear and unambiguous.

Here the court found two other problems with the release. The release had specific requirements the signor must fulfill in order for his scholarship to be provided. Combining multiple different terms or purposes into a release always provides the court with a way to say the release is not valid.

First, immediately preceding the exculpatory clause, Blakely was advised that it was important that he comply with Stetson’s medical staff’s instructions regarding, inter alia, conditioning and treatment and, indeed, was required to obey such instructions.

The court found this combination was fatal in this case.

As was stated in Plancher, this type of language, when coupled with a clause that does not expressly state that the athlete would be waiving a negligence action, could reasonably lead the athlete to believe that the university “would be supervising his training and instructing him properly (non-negligently), and that he was only being asked to sign the exculpatory clause to cover injuries inherent in the sport.

Since the language in the release had specific instructions on how the signor was supposed to act and rules to obey, the court found that narrowed the scope of the release to only those risks inherent in the sport.

The second issue the court found was the language in the release was limiting. In this case, the language said the signor only bound the signor, not the signor’s family. The term “for myself” was used rather than a broader term that would encompass more people.

Second, the final two sentences of the releases state that the releases serve as a release “for myself,” not “by” myself. Specifically, these sentences read, in relevant part: “[T]he terms hereof shall serve as a release and assumption of risk for myself . . .” and “The terms hereof shall serve as a complete release and waiver of liability for myself, . . . .” (emphasis added).

In Florida, as in all other states, contracts are construed against the person making the contract. That means that the person who creates the contract cannot win any argument that it was made properly, the terms will be examined in a way that the writer of the agreement loses that argument.

Those three factors, combined were enough to void the release.

As we have previously observed, exculpatory clauses are to be strictly construed against the party seeking to be relieved of liability. Here, Stetson’s Athletic Participation Release of Liability and Waiver of Liability form: 1) failed to expressly inform Blakely that he was contracting away his right to sue Stetson for Stetson’s own negligence, 2) used language that could reasonably lead one to believe that the university would be supervising and training properly so that he was only being asked to sign the exculpatory clause to cover injuries inherent in a sport, and 3) used language suggesting that the terms of the release were for Blakely’s benefit. The combination of these factors supports a determination that the exculpatory clause was not clear and unambiguous. As a result, we conclude that the exculpatory clause relied upon by Stetson is unenforceable and that the trial court erred in granting summary judgment in favor of Stetson.

There was also a cross-appeal, an appeal issue filed by the party who did not start the appeal, in this case, the university, that the university could not be held liable for gross negligence if the plaintiff amended its complaint to add gross negligence.

Under Florida law, a defendant can only be held liable for gross negligence if the plaintiff proves “the defendant was guilty of intentional misconduct or gross negligence.”

A Florida statute defines gross negligence.

Section 768.72(2)(b) defines “gross negligence” as conduct “so reckless or wanting in care that it can constitute a conscious disregard or indifference to the life, safety, or rights of persons exposed to such conduct.”

After reviewing the claims of the plaintiff, the court found the claims argued were not backed up by facts and the plaintiff could not prove gross negligence.

There is record evidence that supports some of those allegations. However, taking the record evidence and proffered evidence in the light most favorable to Wilson, we conclude that Wilson has not met the threshold necessary to state a claim for punitive damages.

The Florida Supreme Court has placed a heavy burden on a party attempting to prove the other party was grossly negligent. Basically, the party accused of gross negligence has shown no deference to human life or acted in a way that the consequences were almost such that an injury would occur.

The Florida Supreme Court has stated that: “[t]he character of negligence necessary to sustain an award of punitive damages must be of a ‘gross and flagrant character, evincing reckless disregard of human life, or of the safety of persons exposed to its dangerous effects, or there is that entire want of care which would raise the presumption of a conscious indifference to consequences, or which shows wantonness or recklessness, or a grossly careless disregard of the safety and welfare of the public, or that reckless indifference to the rights of others which is equivalent to an intentional violation of them.

Here the plaintiff could not prove and had not proven that level of carelessness on the part of the university.

So Now What?

It appears if the release had been written correctly and ONLY the language of a release in the agreement, the release would have stopped the lawsuit of the survivors.

The first issue you see all the time. Those are the releases that are argued at the appellate courts and recorded and then appear to be heard. You must hire an attorney to write your release who understands release law and the issues you face.

The second issue you also see all the time. Releases include language that the person will obey the rules or actually list the rules. Even found more frequently are releases where the signor is giving up more than just the right to sue, such as a photo release or a medical release in one document.

Releases are rising to the level of insurance policies. The body of law surrounding them and controlling them is separate and distinct from the law of contracts. Like an insurance policy, a release is a contract, but the relationship between the parties and the rights of the consumer creates burdens on the business offering the release that are much greater than a regular contract.

For more articles about releases under Florida law see:

Man sues kayak rental company after falling in Tampa Bay, allegedly catching flesh-eating bacteria

Whitewater rafting case where one of the claims is the employer should have provided eye protecting during the rafting trip.

One box was unchecked in the release which was signed online, and the court would not grant the motion for summary judgment of the defendant because whether or not the release was valid was a decision for the jury.

Negligence Per Se is the violation of a law or regulation created to protect a group of people. If you are Negligent Per Se, you have no defenses.

Release fails under Florida’s law because it is only an assumption of risk form, not a release in a Go-Kart case.

Simple Florida camp case with final sentences that provide insight into how courts look at what influenced their decision.

Trifecta of stupidity sinks this dive operation. Too many releases, operation standards and dive industry standards, along with an employee failing to get releases signed, sunk this ship on appeal.

What do you think? Leave a comment.

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Jim Moss

Jim Moss is an attorney specializing in the legal issues of the outdoor recreation community. He represents guides, guide services, outfitters both as businesses and individuals and the products they use for their business. He has defended Mt. Everest guide services, summer camps, climbing rope manufacturers; avalanche beacon manufactures and many more manufacturers and outdoor industries. Contact Jim at Jim@Rec-Law.us

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Estate of Blakely v. Stetson Univ. (Fla. App. 2022)

To Read an Analysis of this decision see

Florida Appellate court throws out release signed by student-athlete who died because release was not written according to the requirements of Florida law.

Estate of Blakely v. Stetson Univ. (Fla. App. 2022)

THE ESTATE OF NICHOLAS ADAM BLAKELY, BY AND THROUGH MICHELLE WILSON, AS PERSONAL REPRESENTATIVE, Appellant,
v.
STETSON UNIVERSITY, INC., Appellee.

No. 5D21-2547

Florida Court of Appeals, Fifth District

December 30, 2022

NOT FINAL UNTIL TIME EXPIRES TO FILE MOTION FOR REHEARING AND DISPOSITION THEREOF IF FILED

Appeal from the Circuit Court for Volusia County LT Case No. 2018-12178-CIDL, Kathryn D. Weston, Judge.

A. Lance Reins, Rainey C. Booth, Jr., and Joanna Greber Dettloff, of Mendes, Reins & Wilander, PLLC, Tampa, and Christopher Klemawesch, and Jason M. Melton, of Whittel & Melton, LLC, Spring Hill, and Romero Pearson, of Pearson Law Group, LLC, Lawrenceville, GA, for Appellant. Michael R. D’Lugo, and Richard E. Ramsey, of Wicker Smith O’Hara McCoy & Ford, P.A., Orlando, for Appellee.

EVANDER, J.

In this wrongful death case, the Estate of Nicholas Adam Blakely, by and through Michelle Wilson, as personal representative (“Wilson”), timely appeals a final judgment entered after the trial court granted summary judgment for the defendant, Stetson University, Inc. (“Stetson”). The trial court found that two identical releases signed by Blakely in order to play football for Stetson were sufficiently clear to bar claims brought against Stetson arising from Blakely’s cardiac death after participating in a football practice.

On appeal, Wilson raises two issues. First, she contends that the language in the releases was insufficient to be enforceable as a matter of law. Second, she argues that genuine issues of material fact exist concerning the scope of the release and whether Stetson’s alleged tortious conduct fell within that scope. We find merit to Wilson’s first argument and, accordingly, we reverse the final judgment entered in favor of Stetson. Because we find the releases were unenforceable, we find it unnecessary to address Wilson’s second argument.

On cross-appeal, Stetson argues that if this Court reverses the final judgment, it should also reverse the trial court’s order allowing Wilson to add a claim for punitive damages. We find merit to the cross-appeal, and accordingly, we reverse that order as well.

Nicholas Blakely was a student and scholarship football player at Stetson in 2016 and 2017, his freshman and sophomore years in college. He pulled himself out of an afternoon football practice on August 28, 2017, complaining to an assistant athletic trainer that he was feeling dizzy and that his chest felt tight. The assistant athletic trainer took Blakely to the sideline, took his pulse,[1] gave him water to cool down, removed his helmet, loosened his shoulder pads, and had him stand in the shade. Trainers continued to monitor Blakely’s symptoms. However, after resting on the sideline for approximately forty to forty-five minutes, Blakely collapsed.

In addition to calling 911, Stetson employees attempted various emergency medical procedures in an unsuccessful effort to revive Blakely. Blakely was transported to the hospital, where he ultimately died.

There was record evidence that during an April 2017 practice, Blakely had complained to an assistant athletic director of chest pain. He also advised the trainer that he had experienced one or two incidents of chest pain in high school, but both of those incidents had resolved quickly. The chest pain incident of April 2017 also resolved in just a few minutes. The assistant athletic trainer did not document the April incident or otherwise do anything with the information provided by Blakely. Furthermore, when Blakely returned to school after summer break, Stetson did not have him undergo a physical examination prior to him participating on the football team for the upcoming season.

There is also record evidence that on the morning of August 28, 2017, the day Blakely died, Blakely advised the head football athletic trainer that he was not feeling well, that he had a bad cough, chest congestion, and shallow breathing. The trainer took Blakely’s temperature which was negative for fever. The trainer believed Blakely had a cold and did not refer him to the student health clinic. Blakely was permitted to continue participation in the planned activities for the day without restriction.

The operative amended complaint included counts for negligence and breach of fiduciary duty. In its answer, Stetson raised as an affirmative defense that Blakely had signed two identical releases prior to his participation on the football team in 2016 and 2017, which barred the claims brought against Stetson. The releases signed by Blakely read as follows:

STETSON UNIVERSITY DEPARTMENT OF ATHLETICS Athletic Participation Release of Liability and Waiver of Liability

Please Read Carefully

I am aware that playing or practicing to play/participate in any sport can be a dangerous activity involving many risks of injury.

I understand that the dangers and risks of playing or participating/practicing may include, but are not limited to: death, serious neck injury, serious spinal cord injury, which may result in complete or partial paralysis, brain damage, serious injury to virtually all internal organs, serious injury to virtually all bones, joints, ligaments, muscles, tendons, and other aspects of the muscular-skeletal system, serious injury or eye impairment, and serious injury to other aspects of my body, general health and well-being. I understand that the dangers and risks of playing or participating/practicing in the Stetson University Athletic Department programs may result not only In serious injury, but in a serious impairment of my future abilities to earn a living, to engage in other business, social, and recreational activities, and generally to enjoy life.

Because of the dangers and risks involved in participating in intercollegiate athletics, I recognize the importance of following the Coaches and Sports Medicine staff instructions regarding playing techniques, conditioning, rehabilitation/ treatment recommendations and team rules, etc., and agree to obey such instructions.

In consideration of Stetson University permitting me to play/participate for Stetson University intercollegiate athletics in all activities related to the team, including, but not limited to: trying out, practicing, playing/participating or team travel in that sport, I hereby assume all risks associated with participation and agree to hold Stetson University, it’s [sic] trustees, administration, coaches, athletic trainers and athletic training interns from any and all liability, actions, causes of actions, debts, claims or demands of any kind or nature which may arise by or in connection with my participation in any activities related to the Stetson University athletic program. The terms hereof shall serve as a release and assumption of risk for myself, my heirs, estate, executor, administrator, assignees and for all members of my family.

The terms hereof shall serve as a complete release and waiver of liability for myself, my heirs, estate, executor, administrator assignees, and for all members of my family.

(emphasis added).

In its motion for summary judgment, Stetson argued that the releases clearly and unambiguously released Stetson from any and all liability arising from Blakely’s participation in Stetson football activities. In response, Wilson argued, inter alia, that the releases did not mention negligence and contained contradictory and ambiguous provisions rendering the releases unenforceable. In granting Stetson’s motion, the trial court found that the releases were “clear and understandable so that an ordinary and knowledgeable person would know what is being contracted away” and “would be clear to even someone who is not an adult that executing them would release all claims.”

We review orders granting summary judgment de novo. Volusia Cnty. v. Aberdeen at Ormond Beach, L.P., 60 So.2d 126, 130 (Fla. 2000). Here, we are called upon to determine the enforceability of the exculpatory provisions set forth in Stetson’s Athletic Participation Release of Liability and Waiver of Liability.

“An exculpatory clause purports to deny an injured party the right to recover damages from a person negligently causing his injury. They are disfavored in the law because they relieve one party of the obligation to use due care and shift the risk of injury to the party who is probably least equipped to take the necessary precautions to avoid the injury and bear the risk of loss. Such clauses are strictly construed against the party seeking to be relieved of liability. Thus, exculpatory clauses are enforceable only where and to the extent that the intention to be relieved from liability is made clear and unequivocal. The wording must be so clear and understandable that an ordinary and knowledgeable person will know what he is contracting away.” UCF Athletics Ass’n, v. Plancher, 121 So.3d 1097, 1101 (Fla. 5th DCA 2013) (internal citations and quotations omitted), approved in part, quashed in part, 175 So.3d 724 (Fla. 2015).

In the present case, the exculpatory clause did not expressly inform Blakely that by executing the document at issue, he would be contracting away his right to sue Stetson for Stetson’s own negligence. Although this omission does not, standing alone, render the exculpatory clause unenforceable, see Sanislo v. Give Kids the World, Inc., 157 So.3d 256 (Fla. 2015), it is a factor for a court to consider in determining whether the exculpatory clause is clear and unambiguous. Plancher, 121 So.2d at 1101, 1102; see also Sanislo, 157 So.3d at 271 (“Despite our conclusion [that an exculpatory clause can be effective to bar a negligence action despite the absence of expressed language referring to the release of the defendant for its own negligence], we stress that our holding is not intended to render general language in a release of liability per se effective to bar negligence actions.”).[2]

In addition, there are at least two provisions which, combined with Stetson’s failure to expressly inform Blakely that he was contracting away his right to sue Stetson for Stetson’s negligence, render the exculpatory provision unclear and ambiguous. First, immediately preceding the exculpatory clause, Blakely was advised that it was important that he comply with Stetson’s medical staff’s instructions regarding, inter alia, conditioning and treatment and, indeed, was required to obey such instructions. As was stated in Plancher, this type of language, when coupled with a clause that does not expressly state that the athlete would be waiving a negligence action, could reasonably lead the athlete to believe that the university “would be supervising his training and instructing him properly (non-negligently), and that he was only being asked to sign the exculpatory clause to cover injuries inherent in the sport.” Plancher, 121 So.3d at 1102; see also Murphy v. Young Men’s Christian Ass’n of Lake Wales, Inc., 974 So.2d 565, 568- 69 (Fla. 2d DCA 2008) (holding where waiver expressly releasing YMCA from any claims based on YMCA’s negligence also included provision suggesting that YMCA would take “every reasonable precaution” against accidents, waiver was unenforceable because a reasonable reader might be led to believe that waiver of liability only extends to claims for injuries that were unavoidable “even when every reasonable precaution” had been taken by YMCA; “[C]onfusion results from the juxtaposition of the ‘every reasonable precaution’ provision with the provision for the release of ‘any claims based on negligence.'”).

Second, the final two sentences of the releases state that the releases serve as a release “for myself,” not “by” myself. Specifically, these sentences read, in relevant part: “[T]he terms hereof shall serve as a release and assumption of risk for myself . . .” and “The terms hereof shall serve as a complete release and waiver of liability for myself, . . . .” (emphasis added). As Wilson observes, the word “for” is defined to mean “used to indicate the person or thing that something is sent or given to.” In other words, the use of the word “for” can suggest that the terms of the release are for the benefit of Blakely, that is, if he follows the instructions of Stetson’s athletic department personnel and causes injury to another while participating in the dangerous activity of playing football, he is released from liability.

As we have previously observed, exculpatory clauses are to be strictly construed against the party seeking to be relieved of liability. Here, Stetson’s Athletic Participation Release of Liability and Waiver of Liability form: 1) failed to expressly inform Blakely that he was contracting away his right to sue Stetson for Stetson’s own negligence, 2) used language that could reasonably lead one to believe that the university would be supervising and training properly so that he was only being asked to sign the exculpatory clause to cover injuries inherent in a sport, and 3) used language suggesting that the terms of the release were for Blakely’s benefit. The combination of these factors supports a determination that the exculpatory clause was not clear and unambiguous. As a result, we conclude that the exculpatory clause relied upon by Stetson is unenforceable and that the trial court erred in granting summary judgment in favor of Stetson.

Cross-Appeal

A trial court’s order granting or denying a motion to amend complaint to add a claim for punitive damages is reviewed de novo. Est. of Despain v. Avante Grp., Inc., 900 So.2d 637, 644 (Fla. 5th DCA 2005). The appellate court views the record evidence and the proffered evidence in the light most favorable to the plaintiffs and accepts said evidence as true for the purpose of reviewing whether a reasonable basis exists for punitive damages. Id.

A defendant may be held liable for punitive damages only if the trier of fact finds that the defendant was guilty of intentional misconduct or gross negligence. See § 768.72(2), Fla. Stat. (2017). In the instant case, Wilson did not allege that Stetson engaged in intentional misconduct but rather relied solely on allegations of gross negligence.

Section 768.72(2)(b) defines “gross negligence” as conduct “so reckless or wanting in care that it can constitute a conscious disregard or indifference to the life, safety, or rights of persons exposed to such conduct.”

Here, Wilson argues that punitive damages are justified because:

(1) [D]espite being directly put on notice of numerous agency guidelines and best practices to the contrary – Stetson, through its managing agents including its Director of Sports Medicine, failed to implement ECG screening of student-athletes based at least in part on the cost of implementing such screening, failed to implement any emergency action plan or policies and procedures regarding Sudden Cardiac Death, and failed to provide its athletic trainers and coaches with any specialized training dealing with Sudden Cardiac Death.

(a) . . . Stetson athletic trainers and coaches were made aware of [Blakely’s] repeated complaints of chest pain, shortness of breath, congestion, dizziness, and an “alarming” elevated heart rate that, according to a Stetson Athletic Trainer, should have been a red flag when combined with his other symptoms. But, due to the lack of policies and procedures, training, and emergency action plans at Stetson, the athletic trainers and coaches did not treat these textbook signs of cardiac distress as a cardiac emergency as they should have, resulting in [Blakely’s] death. . . .;

(2) [Stetson] actively and knowingly participated in the company’s practice of declining to implement use of ECG screening, specialized training, emergency action plans, and policies and procedures in accordance with numerous guidelines and best practices to protect student-athletes from the leading cause of unexpected deaths in NCAA Athletes and allowing its athletic trainers to train athletes in complete ignorance and disregard of Sudden Cardiac Death while knowing that such a practice was grossly negligent; and

(3) . . . Stetson’s officers, directors or managers – including its Director of Sports Medicine who was the ultimate decision-maker on all matters at issue in this case – knowingly condoned, ratified, or consented to the grossly negligent and recklessly indifferent conduct by failing to respond in any way to the threat of Sudden Cardiac Death despite being put on notice of the life threatening issue, the position of various agencies, and related best practices.

There is record evidence that supports some of those allegations. However, taking the record evidence and proffered evidence in the light most favorable to Wilson, we conclude that Wilson has not met the threshold necessary to state a claim for punitive damages. The Florida Supreme Court has stated that: “[t]he character of negligence necessary to sustain an award of punitive damages must be of a ‘gross and flagrant character, evincing reckless disregard of human life, or of the safety of persons exposed to its dangerous effects, or there is that entire want of care which would raise the presumption of a conscious indifference to consequences, or which shows wantonness or recklessness, or a grossly careless disregard of the safety and welfare of the public, or that reckless indifference to the rights of others which is equivalent to an intentional violation of them.'” Valladares v. Bank
of Am. Corp., 197 So.3d 1, 11 (Fla. 2016) (quoting Owens-Corning
Fiberglass Corp. v. Ballard, 749 So.2d 43, 46 (Fla. 1999)). Wilson’s evidence falls short of meeting that standard. Accordingly, we conclude that the trial court erred in granting Wilson’s motion to amend complaint to add a claim for punitive damages.

REVERSED and REMANDED.

LAMBERT, CJ and HARRIS, J, concur

———

Notes:

[1] The record evidence reflects that when Blakely’s pulse was first checked, it was between 160 and 170 beats per minute. Blakely’s pulse rate started to decrease shortly thereafter.

[2] In its answer brief, Stetson argues that the Florida Supreme Court’s decision in Sanislo renders “meaningless” the absence of the words “negligent” or “negligent acts.” We reject this argument. Sanislo was a 4-3 decision, in which two of the justices in the majority concurred in result only. The other two justices in the majority joined in an opinion that concluded that the ultimate question in this case was whether the exculpatory clause, when considered in its entirety, “clearly conveys that Give Kids the World, Inc. would be released from any liability, including negligence, for damages, losses, and injuries due to transportation, food, lodging, entertainment, and photographs.” The supreme court’s decision in Sanislo affirmed this court’s position that the failure of an exculpatory clause to express the informed designee would not, in and of itself, render the clause unenforceable. Sanislo, 157 So.3d at 258.

Contrary to Stetson’s suggestion, the Sanislo decision did not expressly or implicitly overrule this court’s determination in Plancher that the failure to expressly reference that the defendant was being released for its own negligence could operate with other factors to invalidate an exculpatory clause. Furthermore, none of the seven justices suggested a belief that the absence of the words “negligent” or “negligent acts” was meaningless. To the contrary, the three dissenting justices concluded that the words were required, while the two justices in the majority who opined on the issue agreed “that it may be better practice to expressly refer to ‘negligent’ or ‘negligent acts’ in an exculpatory clause.” Sanislo, 157 So.3d at 270.

———

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