The Utah Business and Employment Lawyer

In a recent decision written but Justice Lee (with a very well-reasoned dissent by Justice Nehring), the Utah Supreme Court in Graves v. North Eastern Services, Inc ., 2015 UT 28, held that the “fault” to be apportioned under Utah Code Section 78B-5-818 (Utah's comparative negligence statute) is not limited to negligence but extends to intentional torts. Additionally, and perhaps more importantly for Utah employers, the Court held that employers may owe a duty of reasonable care to third-parties in hiring, training and supervising employees in certain circumstances. Lastly, the Court held that expert testimony on the standard of care was not needed with respect to questions of ordinary negligence. Where the standard implicates scientific matters beyond the capacity of an ordinary juror, however, expert testimony may be required, such as in medical malpractice cases. In Graves, the parents of a minor girl who had been assaulted at one of the Defendant's client'' re...

In an opinion issued today the Utah Supreme Court settled the appropriate standard of review for an appellate court's review of a denial of unemployment benefits, holding that in a case of a worker quitting for good cause, the determination is a fact-like mixed question, and appellate courts should apply a deferential standard of review to a lower tribunal’s resolution of this issue, but must be vigilant to ensure that they are based on correct legal principles.  Sawyer v. Dept. of Workforce Services , 2015 UT 33, ¶ 47. The Court further held, in a victory for employees, that the relevant inquiry in a good case quit case is whether a reasonably prudent person would be justified in quitting under the circumstances, and that quitting in order to avoid a discharge does not automatically bar an employee from receiving unemployment benefits. Id . at ¶ 30. In Sawyer , the Dept. of Workforce Services denied Sawyer’s application for unemployment benefits based upon its finding that ...

In a much anticipated decision for Utah employers and employees, the Utah Supreme Court in Heaps v. Nuriche 2015 UT 26, held that the Utah Payment of Wages Act (UPWA) does not include LLC managers as "employers" who are liable for the non-payment of wages under the UPWA. As noted earlier, this ruling is contrary to the Labor Commission's long-standing interpretation of the scope of the UPWA, and its practice of holding officers liable for wage claim violations. At issue in Heaps was whether the UPWA imposed personal liability on managers of a limited liability company for unpaid wages of employees.  The Plaintiffs, Ron Heaps and Phillip Sykes, along with other individuals, founded Nuriche, LLC, a limited liability company formed in Nevada which conducted business in Utah.  Heaps and Sykes brought suit alleging that the other founding members of Nuriche promised them compensation and other benefits in connection with their employment by Nuriche, but that Nuriche and th...