Yellowstone Log Homes, LLC v. City of Rigby
Citation540 P.3d 990
Date Filed2023-12-20
Docket49562
Cited3 times
StatusPublished
Full Opinion (html_with_citations)
IN THE SUPREME COURT OF THE STATE OF IDAHO
Docket No. 49562
YELLOWSTONE LOG HOMES, LLC, )
an Idaho limited liability company, )
)
Plaintiff-Appellant- )
Cross Respondent, ) Rexburg, June 2023 Term
)
v. ) Opinion Filed: December 20, 2023
)
CITY OF RIGBY, a municipal ) Melanie Gagnepain, Clerk
corporation in the State of Idaho, )
)
Defendant-Respondent- )
Cross Appellant. )
Appeal from the District Court of the Seventh Judicial District of the State of Idaho,
Jefferson County. Stevan H. Thompson, District Judge.
The order of the district court is reversed, and the case is remanded.
Nelson Hall Parry Tucker, PLLC, Idaho Falls, for Plaintiff-Appellant-Cross
Respondent, Yellowstone Log Homes, LLC. Weston S. Davis argued.
Hall Angell & Associates, LLP, Idaho Falls, for Defendant-Respondent-Cross
Appellant, City of Rigby. Sam Angell argued.
_____________________
STEGNER, Justice.
This case involves an alleged tort arising from the breach of a sewer lateral. Yellowstone
Log Homes, LLC (âYellowstoneâ), owns a rental home in Rigby, Idaho, that suffered extensive
damage after BorTek Utilities and Construction, LLC (âBorTekâ), bored through a lateral sewer
line connected to Yellowstoneâs rental home. Prior to the project, an agent of the City of Rigby
(âthe Cityâ) marked certain nearby utilities; however, it failed to mark the service lateral sewer
pipe connecting to Yellowstoneâs rental property. As a result of the severing of the sewer lateral,
Yellowstoneâs property sustained significant damage. After the incident, Yellowstone contacted
the City, demanding that it take responsibility for the damages sustained and to compensate
Yellowstone for those damages. The City refused. Yellowstone then filed suit against the City
1
alleging negligence per se and common law negligence for the Cityâs failure to have the service
lateral marked. Both parties subsequently filed cross-motions for summary judgment.
The district court concluded Yellowstone did not have standing under the Idaho
Underground Facilities Damage Prevention Act (Idaho Code sections 55-2201 through 55-2212)
(âthe Actâ), which creates a cause of action for excavators and underground facility owners, but
not explicitly for end users. The district court determined that even if Yellowstone had standing to
pursue its claims, it had failed to prove the City breached any duty owed to Yellowstone. As a
result, the district court granted the Cityâs motion for summary judgment. At the same time, the
district court denied the Cityâs request for attorney fees. Yellowstone appeals the district courtâs
grant of summary judgment to the City and the denial of summary judgment to Yellowstone. The
City cross-appeals the district courtâs denial of its request for attorney fees. For the reasons
discussed below, we reverse the granting of summary judgment and remand the case for further
proceedings.
I. FACTUAL AND PROCEDURAL BACKGROUND
This case began in spring 2020, when Direct Communications Rockland, Inc. (âDirect
Commâ), contacted BorTek, a local excavation company, to bore through ground along Highway
48 in the City and âinstall a fiber communications line on behalf of [Direct Comm].â Prior to
beginning the project, BorTek contacted Idaho Dig Line 1 to begin the process of marking
underground facilities, such as sewer pipes.
Yellowstone owned a rental home near the proposed excavation project (âthe Propertyâ).
Before BorTek began excavating, âRigby [through its agent] marked utilities in the area, but did
not mark [Yellowstoneâs] service lateralâ that connected the home to the Cityâs main sewer system.
During the project, âBorTek drilled through the service lateral leading to [Yellowstone]âs property
and placed the fiber line in the service lateral obstructing the flow of sewage.â Yellowstone alleged
that â[t]his breach of the sewer pipe leading to [the Property] occurred in a public right-of-way.â
As a result of the obstructed lateral, raw sewage backed up into the Property, causing extensive
damage and rendering the Property uninhabitable.
1
Idaho Dig Line is an Idaho corporation that is responsible for notifying underground facility owners, such as the
City, of proposed excavation projects. The purpose of the notification is âto seek [underground facility ownersâ]
assistance in locating their respective subsurface facilities[,]â so those facilities may be marked before underground
digging begins.
2
After the sewer line was breached and the Property sustained significant damage,
Yellowstone contacted the City, demanding that it repair the sewer line and compensate
Yellowstone for the damages it had sustained. The City refused and recommended that
Yellowstone contact Direct Comm, the company with which BorTek had contracted.
In June 2020, Yellowstone again demanded that the City âaccept liability for payment of
the cost of the diagnosis and repair of the line as well as the restoration of the residence[.]â The
City once again denied that it had any duty to mark service lines to Yellowstoneâs property. In
turn, Yellowstone notified the City that it intended to file a tort claim.
Yellowstone filed a Notice of Tort Claim with the City advising it of Yellowstoneâs intent
to seek damages it sustained because of BorTekâs breaching of the sewer line. The City refused to
accept responsibility. As a result, Yellowstone sued the City, alleging negligence per se and
common law negligence. Yellowstone sought no less than $30,797.33 in damages. The City
answered and asserted several affirmative defenses, including that Yellowstone had âfailed to
comply with requirements of the Idaho Tort Claims Act[,] . . . failed to exhaust [its] administrative
remedies[,]â and did not have standing to sue under the relevant provisions of the Idaho Code.
The City later moved for summary judgment, reiterating the defenses identified in its
answer. Yellowstone also moved for summary judgment, arguing that Idaho Code section 55-2202
imposed a duty on the City to mark underground sewer lines in a public right-of-way, which the
City had not done. Yellowstone argued alternatively that if the sewer line was âidentified but
unlocatable[,]â then the City had a duty to use the â âbest information availableâ in order to mark
the lines . . . .â Yellowstone argued that the City had breached those duties when it failed to mark
the sewer lateral. Both parties requested attorney fees.
The district court concluded that Yellowstone did not have standing to sue because
Yellowstone did not have any preexisting rights as provided by Idaho Code section 55-2211(5).
Instead, the district court determined that BorTek was the only entity with âthe âright to receive
compensation from the owner of the underground facility for costs incurred if the owner of the
underground facility does not locate its facility[.]â â The district court then concluded that even if
Yellowstone had standing to sue the City, summary judgment for the City would still be proper
because there was no evidence that the City had breached a duty to â1) locate and mark its locatable
service laterals with reasonable accuracy or 2) . . . locate and mark identified but unlocatable
service laterals with the best information available to the owner of the underground facilities.â
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Alternatively, the district court found that the Cityâs inability to locate the service lateral
qualified as a discretionary function, which entitled the City to statutory immunity. Ultimately, the
district court concluded that BorTek, not the City, was the proper entity for Yellowstone to have
sued. The district court explained: âIt would be nearly impossible for the [c]ourt or a jury to
accurately assess the elements of causation and damages without BorTek as a party which again
bolsters the argument that the statute only provides a cause of action between excavators and
owners.â As a result of its analysis, the district court granted summary judgment to the City and
denied Yellowstoneâs motion for summary judgment. The district court then entered a judgment
dismissing the case with prejudice.
Following the entry of judgment, the City filed a memorandum of costs and fees as the
prevailing party pursuant to Idaho Code sections 12-120(1) and 55-2207(4). Yellowstone filed a
motion for reconsideration and a memorandum opposing the Cityâs request for attorney fees. The
district court denied Yellowstoneâs motion to reconsider. The district court also denied the Cityâs
request for attorney fees under section 55-2207(4) after concluding that statute limits the recovery
of attorney fees to actions initiated under section 55-2207, which Yellowstone could not do
because it was not an underground facility owner, the City was. The district court also declined to
award attorney fees under Idaho Code section 12-120(1) after determining that Idaho Code section
55-2211(5), which grants the court discretion to award attorney fees under the Act, was âmore
specific and newer than [Idaho Code section] 12-120(1)[;]â thus, Idaho Code section 55-2211(5)
was controlling. However, the district court noted that even if the City had cited the correct statute,
the district court would not have exercised its discretion to award fees in this matter. The district
court awarded costs to the City as the prevailing party.
Yellowstone appeals the district courtâs denial of its motion for summary judgment and the
district courtâs grant of the Cityâs motion for summary judgment, Yellowstoneâs subsequent
motion to reconsider, and the district courtâs award of costs to the City. The City cross-appeals the
district courtâs denial of its request for attorney fees.
II. STANDARDS OF REVIEW
In an appeal from an order of summary judgment, this Courtâs
standard of review is the same as the standard used by the trial court in ruling
on a motion for summary judgment. Purdy v. Farmers Ins. Co. of Idaho, 138
Idaho 443, 445,65 P.3d 184, 186
(2003). 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
4
non-moving party. Id. Summary judgment is appropriate if the pleadings,
depositions, 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. Id. If the evidence reveals no
disputed issues of material fact, then only a question of law remains, over
which this Court exercises free review. Id.
Estate of Becker v. Callahan, 140 Idaho 522, 525,96 P.3d 623, 626
(2004).
âThis Court applies a de novo standard of review to questions of
law.â Siercke v. Siercke, 167 Idaho 709, 713,476 P.3d 376, 380
(2020) (citing Zeyen v. Pocatello/Chubbuck Sch. Dist. No. 25, 165 Idaho 690, 694,
451 P.3d 25, 29(2019)). Ware v. City of Kendrick,168 Idaho 795, 798
,487 P.3d 730, 733
(2021).
This Court reviews awards of attorney fees and costs under an abuse of discretion standard.
Dickinson Frozen Foods, Inc. v. J.R. Simplot Co., 164 Idaho 669, 676,434 P.3d 1275, 1282
(2019) (internal quotation marks and citation omitted). When reviewing such an award for an abuse of discretion, the inquiry is â[w]hether the trial court: (1) correctly perceived the issue as one of discretion; (2) acted within the outer boundaries of its discretion; (3) acted consistently with the legal standards applicable to the specific choices available to it; and (4) reached its decision by the exercise of reason.âId. at 675
,434 P.3d at 1281
(alteration in original) (internal quotation marks
and citation omitted).
III. ANALYSIS
A. The district court incorrectly concluded Yellowstone did not have standing to bring
its lawsuit.
Yellowstone first argues that the district court erred in concluding that it did not have
standing to assert a claim of negligence per se under the Act. The district court determined that
section 55-2205(2) creates a cause of action only âbetween excavators and the underground facility
owner,â and that since Yellowstone, an âend user,â is neither an excavator nor an underground
facility owner, the Act does not afford Yellowstone standing to seek recovery.
On appeal, Yellowstone does not dispute the district courtâs classification of it as an end
user. Instead, Yellowstone argues that â[t]he Act does not preclude the standing of the public and
end usersâ because several subsections of the Act acknowledge end users and their rights under
the Act. Yellowstone maintains the district courtâs interpretation of Idaho Code section 55-2205(2)
is too narrow, and the entire Act must be construed when determining whether an end user may
5
sue an underground facility owner, pursuant to the Act. We agree with Yellowstoneâs
interpretation of the Act.
The district court focused on the language in Idaho Code section 55-2205(2)(a), which
states: âExcavators shall have the right to receive compensation from the owner of the
underground facility for costs incurred if the owner of the underground facility does not locate its
facilities in accordance with this chapter.â (Italics added.) Under this provision, BorTek, as the
excavator, has a clear cause of action to recover from the City, the owner of the underground
facility, for the Cityâs failure to locate the service lateral. However, BorTek has not sustained
damages and, therefore, has no right to recover against the City for the Cityâs alleged failure to
adequately mark the service lateral. The district court determined that the existence of this
provision of the Act was enough to bar Yellowstone, an end user, from suing the City for the harm
it sustained because of the Cityâs failure to locate the service lateral in a public right-of-way.
We agree with the district court that there is no provision in the Act that creates a private
right of action between end users and underground facility owners. However, the district courtâs
analysis incorrectly focuses on whether a private right of action was created to impart standing.
We have previously explained that â â[s]tanding is a preliminary question to be determined by this
Court before reaching the merits of the case.â The inquiry âfocuses on the party seeking relief and
not on the issues the party wishes to have adjudicated.â â State v. Philip Morris, Inc., 158 Idaho
874, 881,354 P.3d 187, 194
(2015) (quoting Young v. City of Ketchum,137 Idaho 102, 104
,44 P.3d 1157, 1159
(2002) (alteration original to Philip Morris)). In this case, neither party disputes
the justiciability of the matter. Indeed, the lack of a private right of action in the Act does not
eliminate Yellowstoneâs remaining options for recovery. Rather, the question is whether
Yellowstone was permitted to file a claim for negligence per se in reliance on the Act.
Yellowstone is among those recognized as being within the intended coverage of the Act.
The âLegislative intentâ provision of the Act states:
It is the intent of the legislature in enacting this chapter to create a system
of stakeholder-driven education and enforcement addressing the prevention of
damage to underground facilities, to assign responsibilities for locating and
keeping accurate records of underground facility locations, for preventing and
repairing damage to existing underground facilities, for collecting, storing,
analyzing and disseminating data related to underground facility damage and
excavator downtime events, and for protecting the public health and safety from
great personal harm including death, property damage and interruption in vital
services caused by damage to existing underground facilities.
6
I.C. § 55-2201 (italics added).
Thus, the Act is a legislative effort to prevent precisely what happened in this case. The
Act requires that âthe underground facility owner [the City] or the ownerâs agent shall locate and
mark its locatable underground facilities with reasonable accuracy . . . by surface-marking the
location of the facilities.â I.C. § 55-2205(2). âIf there are identified but unlocatable underground
facilities, the owner of such facilities or the ownerâs agent shall locate and mark the underground
facilities in accordance with the best information available to the owner of the underground
facilities.â Id. Given the duties imposed by the Act, we hold the district court erred in concluding
Yellowstone lacked standing to bring a claim against the City as an underground facility owner.
Accordingly, we hold the district court erred in finding that Yellowstone lacked standing to sue
the City.
B. The district court erred in granting summary judgment to the City.
After concluding that Yellowstone was precluded from suing the City based on the Act,
the district court went on to conclude that even if Yellowstone had standing to sue the City,
summary judgment in the Cityâs favor was still appropriate because: âThere is no evidence that
the City breached the duty to 1) locate and mark its locatable service laterals with reasonable
accuracy or 2) . . . locate and mark identified but unlocatable service laterals with the best
information available to the owner of the underground facilities. I.C. § 55-2205(2).â The district
court concluded that there was âno evidence that the City had the information . . . to field-mark
the service lateral within 24 inches in order to now classify the service lateral as locatable.â The
district court reached this decision even though it concluded the damage sustained by Yellowstone
was âexactly the type of harm the statute was enacted to prevent.â We agree with this statement of
the district court.
This Court has previously recognized that when a complaint alleges negligence and
negligence per se, the latter is simply one manner of proving negligence. Brian & Christie, Inc. v.
Leishman Elec., Inc., 150 Idaho 22, 25 n.1,244 P.3d 166
, 169 n.1 (2010); see also Steed v. Grand Teton Council of the Boy Scouts of Am., Inc.,144 Idaho 848, 853
,172 P.3d 1123, 1128
(2007) (âNegligence per se is simply one manner of proving a common law negligence claim.â). A party is not required to specifically plead negligence per se in its complaint when alleging a cause of action for negligence. Obendorf v. Terra Hug Spray Co.,145 Idaho 892
, 898â99,188 P.3d 834
,
840â41 (2008). However, when a plaintiff does plead both negligence and negligence per se, a
7
plaintiff may only recover under one theory. See Ahles v. Tabor, 136 Idaho 393, 395,34 P.3d 1076, 1078
(2001), abrogated on other grounds by Verska v. Saint Alphonsus Regâl Med. Ctr.,151 Idaho 889
,265 P.3d 502
(2011) (âOnce proved, however, negligence per se does not differ in its legal
consequences from ordinary negligence.â).
Here, Yellowstone asserted a claim for negligence per se under the Act and a claim for
common law negligence. Although a plaintiff may only recover damages under one of these
theories, Yellowstone made separate arguments and alleged the City owed a different duty under
each claim. Accordingly, we will analyze each in turn.
1. Negligence per se
Yellowstone argues the duties set forth in the Act form the basis of a negligence per se
claim because the Act imposed a duty upon the City to mark underground sewer lines in a public
right-of-way with âreasonable accuracyâ and the City did not do so. Yellowstone argues that the
City breached this duty because it had the information it needed to locate the service lateral, but it
chose not to maintain that information. Yellowstone also argues alternatively that if the sewer line
was âidentified but unlocatable[,]â then the City had a duty to use the â âbest information availableâ
to mark the lines. . . .â Yellowstone maintains that the City breached these statutory duties when
it failed to mark the sewer lateral in the way that it did.
The district court found that Yellowstone had not brought forth evidence demonstrating
that the City breached a duty assigned to it by the Act. Therefore, the district court concluded
Yellowstone could not succeed on its claim for negligence per se.
A claim involving negligence per se has been described by this Court as follows:
In order to replace a common law duty of care with a duty of care from a statute or
regulation, the following elements must be met: (1) the statute or regulation must
clearly define the required standard of conduct; (2) the statute or regulation must
have been intended to prevent the type of harm the defendantâs act or omission
caused; (3) the plaintiff must be a member of the class of persons the statute or
regulation was designed to protect; and (4) the violation must have been the
proximate cause of the injury.
Nation v. State, Depât of Corr., 144 Idaho 177, 190,158 P.3d 953, 966
(2007) (internal citations omitted). When the standard of care is defined by statute or regulation, âviolations of such statutes and regulations may constitute negligence per se.âId.
(internal quotation marks and citation
omitted).
The Act requires that
8
the underground facility owner [the City] or the ownerâs agent shall locate and mark
its locatable underground facilities with reasonable accuracy, as defined in section
55-2202, Idaho Code, by surface-marking the location of the facilities. If there are
identified but unlocatable underground facilities, the owner of such facilities or the
ownerâs agent shall locate and mark the underground facilities in accordance with
the best information available to the owner of the underground facilities.
I.C. § 55-2205(2). âReasonable accuracyâ is defined in Idaho Code section 55-2202 as: â(19)
âReasonable accuracyâ or âreasonably accurateâ means location within twenty-four (24) inches
horizontally of the outside dimensions of each side of an underground facility.â I.C. § 55-2202(19)
(Supp. 2019). The City acknowledges it kept no record of service laterals; however, it contends
that as a result it complied with the statutory obligation set out in the Act. We conclude that
whether the City located the underground facilities with âreasonable accuracyâ or used âthe best
information availableâ when it kept no record of the underground facilityâs sewer laterals is a
question of fact as far as the first element of negligence per se is concerned.
The second element of negligence per se is whether a statute or regulation was intended to
prevent the type of harm the act or omission caused. Here again, we must look to the statute for
guidance. As previously noted, the âLegislative intentâ provision of the Act speaks to this question:
It is the intent of the legislature in enacting this chapter to create a system
of stakeholder-driven education and enforcement addressing the prevention of
damage to underground facilities, to assign responsibilities for locating and
keeping accurate records of underground facility locations, for preventing and
repairing damage to existing underground facilities for collecting, storing,
analyzing and disseminating data related to underground facility damage and
excavator downtime events, and for protecting the public health and safety from
great personal harm including death, property damage and interruption in vital
services caused by damage to existing underground facilities.
I.C. § 55-2201 (italics added). To be sure, Yellowstoneâs sewer lateral falls within the statutory
definition of an âunderground facility.â See I.C. § 55-2202(24) (â âUnderground facilityâ means
any item buried or placed below ground for use in connection with the storage or conveyance of .
. . sewage . . . and including, but not limited to, pipes, [and] sewers, . . . .â). There is no doubt the
Act was intended to prevent the type of harm the Cityâs acts or omissions caused. As a result, the
second element of negligence per se has therefore been met.
The third element of negligence per se requires that the plaintiff must be a member of the
class of persons the statute or regulation was intended to protect. Here again, the Act provides the
answer to the question: âIt is further the intent of the legislature that the [S]tate of Idaho, by
adopting this chapter, reaffirms its primacy over underground facility damage prevention
9
programs that protect the health, safety and property of its citizens . . . .â I.C. § 55-2201 (italics
added). âAn underground facility owner who provides any utility service or commodity via a
service lateral [the City] shall locate and mark the service lateral in accordance with the provisions
of subsection (2) of this section.â I.C. § 55-2205(3). Not only is it clear that Yellowstone is a
member of the class or persons the statute is intended to protect, but it is also apparent that the
duty to mark the underground facility with âreasonable accuracyâ falls upon the underground
facility owner, the City. In addition, Idaho Code section 55-2205(3) absolves Yellowstone of any
responsibility to locate its sewer lateral. The statute provides: âAn end user [such as Yellowstone]
shall not be required to locate or mark any service lateral.â Id. The Act places obligations on the
City to do certain things regarding the location and marking of underground facilities and relieves
Yellowstone from doing the same. Because of this, the third element of negligence per se has been
met.
The final question is whether a violation was the proximate cause of Yellowstoneâs injury.
The determination of proximate cause is ordinarily a question for the jury. Considering the four
factors involving establishment of negligence per se, they either have been established, or there
are genuine issues of material fact that must be resolved by a jury in order to determine whether
the City is liable to Yellowstone for negligence per se. Accordingly, we hold the district court
erred in concluding Yellowstoneâs claim of negligence per se should be resolved against
Yellowstone at summary judgment.
2. Negligence
Yellowstone also argues the district court erred in failing to address its common law
negligence claim. Although the district court did not fully analyze Yellowstoneâs common law
negligence claim, it did summarily hold that Yellowstone had failed to point to any ârecognized
preexisting duty the City owedâ when it concluded that Yellowstone lacked standing to bring a
claim under Idaho Code section 55-2205(2). The district courtâs holding denying the existence of
any preexisting duty, which would encompass Yellowstoneâs common law negligence claim
against the City, means that this issue has been sufficiently preserved for review on appeal.
Yellowstone claims that the City has a common law duty to protect its customersâ service
line within a public right-of-way. Thus, when the City has been notified digging will occur within
a public right-of-way and has been further provided the path and dates of excavation, Yellowstone
alleges the City had the common law duty to exercise ordinary care in the management of its
10
property, and because the City did not, it breached the duty it owed Yellowstone under the
circumstances. Because the City was on notice of both the future excavation as well as
Yellowstoneâs use of the Cityâs sewer services, Yellowstone argues the City had a duty to take
necessary precaution, which it did not take. The City counters that because BorTek, not the City,
bored through the service lateral, Yellowstone has not demonstrated that the City âbreached any
common law duty owed to Yellowstone[.]â Further, because Yellowstone âowned, installed, and
maintainedâ the service lateral, the City contends it has no duty to record the location of the lateral.
The elements of a common law 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 defendantâs conduct and
the resulting injury; and (4) actual loss or damage.
OâGuin v. Bingham County, 142 Idaho 49, 52,122 P.3d 308, 311
(2005) (internal quotation marks and citation omitted). Under the common law, the duty owed is that of âa reasonable man[.]âId.
(internal quotation marks and citations omitted); see also negligence, Blackâs Law Dictionary (7th
ed. 1999) (âThe failure to exercise the standard of care that a reasonably prudent person would
have exercised in a similar situation . . . .â).
The question of âwhether a duty existed . . . is generally a question of law[.]â Forbush v.
Sagecrest Multi Fam. Prop. Ownersâ Assân, Inc., 162 Idaho 317, 322,396 P.3d 1199, 1204
(2017) (internal citation omitted). âHowever, whether a duty existed becomes a question of fact if it requires resolution of disputed facts.âId.
(citing Coghlan v. Beta Theta Pi Fraternity,133 Idaho 388
, 401â02,987 P.2d 300
, 313â14 (1999)).
The City argues it had no common law duty to mark the service lateral owned by
Yellowstone when â[i]t is undisputed the City of Rigby has absolutely no information regarding
the location of Yellowstoneâs sewer lateral.â Yellowstone counters that, as the provider of local
sewer services, the City knew or should have known the location of service laterals within public
rights-of-way. The service lateral is, after all, connected to the Cityâs sewer system and apparently
within the public right-of-way. Yellowstone argues that the Cityâs admission that it did nothing to
mark service laterals is not reasonable under the circumstances. Yellowstone alleges that, by
failing to take any action that would notify BorTek of the service laterals, the City breached its
duty to protect its customersâ property and provide continuous service to its customers.
Idaho Jury Instruction 2.20 defines ânegligenceâ as:
[T]he failure to use ordinary care in the management of oneâs property or person.
The words âordinary careâ mean the care a reasonably careful person would use
11
under circumstances similar to those shown by the evidence. Negligence may thus
consist of the failure to do something which a reasonably careful person would do,
or the doing of something a reasonably careful person would not do, under
circumstances similar to those shown by the evidence.
IDJI 2.20.
Yellowstone may have owned the service lateral on its property; however, the location
where that service lateral connects to the Cityâs sewer system is in a public-right-of-way owned
by the City. The City knew or should have known where Yellowstoneâs service lateral joined with
the Cityâs sewer system when the service lateral was added to the Cityâs sewer system. The City
had the common law duty to exercise ordinary care in the management of the public right-of-way
and its sewer system. Whether the City breached this duty by failing to maintain records of the
location of service laterals, failing to adequately mark service laterals, or failing to take other
precautions to protect customersâ service laterals within the public right of way and which were
attached to the Cityâs sewer systems are questions that need to be resolved by a jury. Accordingly,
we hold the district court erred in concluding the City owed Yellowstone no duty under the
common law. The City owed Yellowstone the duty to act as a reasonable manager of its property
under the circumstances. Whether the City did so is a question of fact for a jury to decide.
3. Discretionary function immunity
The district court additionally concluded the Cityâs inability to locate the service lateral
qualified as a discretionary function, which would entitle the City to statutory immunity. Idaho
Code section 6-904âthe statute creating discretionary function immunity for a governmental
entityâprovides that such an entity:
[S]hall not be liable for any claim which:
1. Arises out of any act or omission of an employee of the governmental
entity exercising ordinary care, in reliance upon or the execution or
performance of a statutory or regulatory function, whether or not the statute
or regulation be valid, or based upon the exercise or performance or the
failure to exercise or perform a discretionary function or duty on the part of
a governmental entity or employee thereof, whether or not the discretion be
abused.
I.C. § 6-904(1) (italics added). Whether the Cityâs conduct falls within the purview of the
discretionary function exception to the Idaho Tort Claims Act is dependent on the extent and nature
of the Cityâs duty, if any is found to exist.
We have interpreted this section of the Idaho Tort Claims Act as follows:
12
In Jones v. City of St. Maries, Justice Huntley noted that the first clause of I.C. § 6-
904(1) affords governmental employees immunity if they act with ordinary care
and in accordance with policy decisions. 111 Idaho 733, 745,727 P.2d 1161, 1173
(1986) (Huntley, J., concurring). However, if a governmental employee fails to
exercise ordinary care while carrying out the governmentâs policy, then this
exception would not afford immunity.
Rees v. State, Depât of Health & Welfare, 143 Idaho 10, 20,137 P.3d 397, 407
(2006). As described
above, there remain questions of fact as to whether the City breached a duty owed to Yellowstone.
Without a determination on whether the City breached a duty owed to Yellowstone, we cannot
determine whether the City is entitled to discretionary function immunity. Accordingly, we reverse
the district courtâs decision granting summary judgment to the City on the issue of discretionary
function immunity.
C. The Cityâs cross-appeal concerning the district courtâs refusal to grant attorney fees
is moot.
The City cross-appealed the district courtâs decision denying it attorney fees below.
However, because we have concluded that the district court erred in granting summary judgment
to the City and reversed that decision, the Cityâs cross-appeal has been rendered moot.
D. Neither party is entitled to attorney fees on appeal.
Both parties request attorney fees and costs on appeal pursuant to Idaho Code section 55-
2211(5), which grants the Court discretion to award attorney fees to the prevailing party for a
violation of the Underground Facilities Damage Prevention Act. We conclude neither party is
entitled to attorney fees because neither party has ultimately prevailed on appeal. Although
Yellowstone was successful in having this Court reverse the district courtâs grant of summary
judgment to the City, Yellowstone also appealed the district courtâs denial of summary judgment
to Yellowstone. We decline to reverse the district courtâs denial of Yellowstoneâs motion for
summary judgment. Because questions of fact remain, it has yet to be decided whether the City
has violated Idaho Code section 55-2211(5). As a result, it would be premature to award
Yellowstone attorney fees at this juncture.
I. CONCLUSION
We reverse the district courtâs grant of summary judgment to the City because there remain
genuine issues of material fact to be resolved by the factfinders. We decline to address the Cityâs
cross-appeal regarding the district courtâs refusal to award attorney fees to it because that decision
has been rendered moot by our decision. We also deny attorney fees to either party on appeal
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because doing so would be premature. Yellowstone is awarded its costs on appeal as a matter of
right as the prevailing party.
Chief Justice BEVAN and Justices BRODY, MOELLER, and ZAHN CONCUR.
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