Justia South Dakota Supreme Court Opinion Summaries

James Mordhorst was injured while working for Fischer Furniture. Almost one year later, Dakota Truck Underwriters and Risk Administration Services (collectively, Insurers) terminated all workers’ compensation benefits. The South Dakota Department of Labor subsequently ordered Insurers to pay all past medical bills and interest as well as future medial expenses. Mordhorst then filed an action seeking punitive damages for an alleged bad-faith denial of workers’ compensation benefits. The circuit court granted Insurers’ motion to dismiss for failure to state a cause of action upon which relief could be granted. The Supreme Court reversed, holding that the circuit court erred by granting Insurers’ motion to dismiss because Mordhorst asserted facts that, if true, state a claim for bad faith denial of a workers’ compensation claim and that Insurers’ reliance on an independent medical examiner’s report to deny benefits was not per se reasonable. View "Mordhorst v. Dakota Truck Underwriters" on Justia Law

Westside Gilts RE, LLC submitted an application to the Beadle County Planning Commission for a conditional use permit (CUP) to construct and operate a concentrated animal feeding operation. The Planning Commission recommended approval of the CUP. The Beadle County Board of Adjustment (Board) approved the CUP. Petitioners appealed, arguing that the Board was without authority to issue the CUP because the county zoning ordinances passed in 2011 (Ordinances), which authorized the Board to grant the permit, were improperly enacted. The circuit court reversed the Board’s decision granting the CUP, concluding that the Ordinances were improperly enacted. The Supreme Court (1) affirmed the circuit court’s ruling reversing the Board’s decision to grant the CUP, holding that the Ordinances were invalid because the Planning Commission failed to comply with S.D. Codified Laws 11-2-18, and therefore, the Board lacked jurisdiction to grant a CUP; but (2) reversed the circuit court’s order declaring the Ordinances invalid, as the order exceeded the options available to the court under its limited scope of review on certiorari. View "Wedel v. Beadle County Comm’n" on Justia Law

A county Board of Adjustment granted Developer a conditional use permit for a concentrated animal feeding operation. Petitioners challenged the Board’s decision, arguing that the Board did not have jurisdiction to grant the permit because the county had failed to validly enact the ordinance authorizing the Board to issue permits. The circuit court affirmed the Board’s decision. In so doing, the court refused to consider whether the county validly enacted the ordinance, deciding that such review would be outside the scope of Petitioners’ writ challenging the Board’s decision. The Supreme Court reversed, holding (1) Petitioners had standing to appeal the Board’s decision; and (2) the circuit court erred when it refused to consider the validity of the ordinances enacted by the county, as review in this case was not beyond the scope of the writ. View "Lake Hendricks Improvement Ass’n v. Brookings County Planning & Zoning Comm’n" on Justia Law

The Department of Revenue subjected several corporations owned by North American Truck & Trailer, Inc. (collectively, Taxpayers) to a sales-and-use-tax audit, which uncovered errors regarding Taxpayers’ reporting of use tax. Thereafter, the Department assessed Taxpayers for unpaid use taxes. Taxpayers paid the assessment under protest and requested an administrative hearing. At the hearing, Taxpayers argued that the shop supplies assessed were exempt from use tax and offered exhibits in support of their position. The hearing examiner declined to consider a sales invoice offered by Taxpayers demonstrating a typical transaction that involved the cost of supplies because Taxpayers submitted it more than sixty days after the audit began, in violation of S.D. Codified Laws 10-59-7. The Supreme Court affirmed, holding that the hearing examiner did not err when it (1) affirmed the Department’s refusal to consider the sales invoice; and (2) affirmed the Department’s certificate of assessment of use tax due and owing on transactions where shop supplies, purchased without payment of sales tax, were used and consumed. View "Black Hills Truck & Trailer, Inc." on Justia Law

The Dewey County Commission (the Commission) granted an application to erect a power distribution line in a section line right-of-way bordering Margaret Upell’s property. Upell filed a notice of appeal of the Commission’s decision with the circuit court. Upell served her notice of appeal by mail on counsel for Coop and on the Dewey County State’s Attorney. But she did not serve a member of the board of county commissioners as required by SDCL 7-8-29. She appealed to the circuit court which dismissed her appeal for lack of jurisdiction. She then appealed to the South Dakota Supreme Court. Finding no reversible error, the Supreme Court affirmed the dismissal. View "Upell v. Dewey Cty. Comm'n" on Justia Law

James Leach, a South Dakota attorney who represents clients in workers’ compensation cases, petitioned the Department of Labor for a declaratory ruling regarding the application of a statute under which the Department excludes discretionary bonuses from the earnings used to calculate an injured worker’s average weekly wage. The Department issued a declaratory ruling that discretionary bonuses may not be included in the wage calculation. Leach appealed. The circuit court sua sponte dismissed the appeal for lack of jurisdiction, ruling that, in the absence of an actual case, the Department was without subject matter jurisdiction to issue the declaratory ruling. The Supreme Court reversed, holding that the Department and the circuit court had jurisdiction to consider Leach’s petition for a declaratory ruling. Remanded to consider the appeal on the merits. View "In re Petition for Declaratory Ruling" on Justia Law

Developers obtained a conditional use permit to build a dairy on Owner’s property in Brookings County. The City of Hendricks and others (collectively, City) filed a petition for writ of certiorari in circuit court challenging the permit. The circuit court affirmed the grant of the permit. City appealed. Developers filed a notice of review to challenge City’s standing but did not serve their notice of review on Owner. City moved to dismiss Developers’ notice of review/cross-appeal, arguing that Owner was a party required to be served with the notice of review. The affirmed, holding (1) Owner was a party required to be served with Developers’ notice of review, and Developers’ failure to serve Owner required dismissal of their notice of review/cross-appeal; and (2) neither S.D. Codified Laws 15-6-5(a) nor Developers’ alleged alignment of interests with Owner excused Developers’ failure to serve Owner. View "Lake Hendricks Improvement Ass’n v. Planning & Zoning Comm’n" on Justia Law

USA Tire Management Systems Inc. entered into a contract with Great Western Bank to “take title to, remove, and transport” tires and casings from a foreclosed property that a bank was attempting to sell. After an audit, the South Dakota Department of Revenue issued an assessment on the gross receipts USA Tire received from Great Western under their contract. USA Tire contested the assessment. The circuit court affirmed the assessment. USA Tire appealed, arguing that it was entitled to a trucking services tax exemption. The Supreme Court affirmed, holding that USA Tire did not meet its burden of proving that its services were exempt trucking services under S.D. Codified Laws 10-45-12.1. View "In re Sales Tax Liability of USA Tire Mgmt. Sys., Inc." on Justia Law

High Plains sought a writ of prohibition alleging that the Fall River County Board of Commissioners exceeded its authority by rescinding Resolution No. 2014-09, which approved High Plains’ proposed petroleum contaminated soil farm. High Plains requested that the circuit court order the county to desist and refrain from counting the votes regarding resolution No. 2014-16, a similar, subsequently enacted resolution. The circuit court issued a writ setting aside the rescission of Resolution No. 2014-09 and prohibiting the ballots on the referendum election on Resolution 2014-16 from being counted, concluding that High Plains did not have a plain, speedy, and adequate remedy in the course of law. The Supreme Court reversed, holding (1) the Board’s action in considering the rescission of Resolution No. 2014-09 did not exceed its jurisdiction; and (2) as to the issue of whether the Board complied with S.D. Codified Laws 34A-6-103 or exceeded its powers when it rescinded Resolution No. 2014-09, High Plains had an alternative remedy through an appeal, which precluded the extraordinary remedy of a writ of prohibition. View "High Plains Res., LLC v. Fall River County Bd. of Comm’rs" on Justia Law

Petitioners - four residents of the Westwood Valley Addition to Sioux Falls, which is a part of the Tea Area School District (TASD) - submitted a petition to the Tea Area School Board requesting that the TASD’s boundary be changed to exclude their residences, which would instead be annexed by the Sioux Falls School District. After a publicly noticed meeting at which none of Petitioners appeared, either personally or through counsel, the Board denied the petition. One petitioner appealed. The Supreme Court affirmed, holding (1) Petitioner’s appeal was properly before the Court; and (2) the Board’s denial of the petition for a minor boundary change was not arbitrary, capricious, or an abuse of discretion. View "Schaefer v. Tea Area Sch. Dist." on Justia Law