American Bus Lines v. Page

373 N.E.2d 928, 176 Ind. App. 5, 1978 Ind. App. LEXIS 849
CourtIndiana Court of Appeals
DecidedMarch 23, 1978
Docket3-1275A277
StatusPublished
Cited by6 cases

This text of 373 N.E.2d 928 (American Bus Lines v. Page) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Bus Lines v. Page, 373 N.E.2d 928, 176 Ind. App. 5, 1978 Ind. App. LEXIS 849 (Ind. Ct. App. 1978).

Opinions

Hoffman, J.

Robert Page brought an action against his employer, American Bus Lines, a division of Continental Trailways, a division of National Trailways, (American), for wages due on his services performed as a driver and for penalty damages and attorney fees associated therewith because of American’s failure to comply with the provisions of IC 1971,22-2-5-l(Burns Code Ed.) and IC 1971, 22-2-5-2 (Burns Code Ed.).1 The cause was tried to the court without a jury whereupon judgment was entered for appellee Page and against the appellant American.

From this judgment American perfected its appeal contending con[7]*7trary to the trial court’s findings that the Indiana Wage Law is not applicable to American, that the correct law to apply is that of Ohio and that in any event, Page’s request for payment was not made in accordance with the provisions of IC 1971, 22-2-5-1, supra.

The dispute arose out of the following facts. American Bus Lines, Inc. is a wholly owned subsidiary of Continental Trailways, Inc. which is in turn owned by National Trailways, Inc. Continental Trailways through whom American receives its payroll has its office in Dallas, Texas. The appellee Page was hired as a bqs driver by American in Hinsdale, Illinois, on March 28,1969. While living in Illinois, Page was paid on the 12th and 27th of each month apparently in accord with the wage statutes applicable there.2 Thereafter in March, 1971, Page exercised his seniority and moved to Toledo, Ohio, where he acquired a Fort Wayne, Indiana to Detroit, Michigan route with the same employer. While in Ohio appellee received his pay on the 15th and 30th of each month. American unilaterally made this change apparently to take advantage of the statutes in that state requiring payment of employees not later than 15 days after the work performed.3

[8]*8On August 10, 1973, Page again exercised his seniority this time receiving a more preferable Fort Wayne to Detroit route. As a result he moved his residence from Toledo, Ohio to Fort Wayne, Indiana. On September 3, 1973, and September 29, 1973, appellee sent letters to his employer relative to his receipt of wages at his new residence. The second of these states in pertinent part:

“As you know, I have been a resident of Indiana since August 25, 1973. You have a copy of my letter to Tom Donahue, September 3, requesting for my check to reflect Indiana tax deductions and not those from Toledo and Ohio.
“Since this request has been ignored I am turning the matter over to Mr. J. Clifton Hirschman, Director of Indiana Wage Claims and consulting the Ohio and Indiana and Toledo City tax offices.
“Also, as of today I am requesting my pay check on the 10th and 25th of each month in accord with Indiana wage payment statutes (enclosure) This means my wages from September 16-30 are payable October 19, etc. It is important for the company to realize they are subject to a fine (enclosure) for failure to comply with this request.
“Since my home terminal is Fort Wayne I would like my checks sent here in the future, to the Trailways office, on or before the 10th and 25th of each month. The Company’s failure to act has already cost me Toledo City Tax of $6.54 on my check Sept. 15, and now $10.11 on my check for Sept. 30.”

After sending this letter, however, Page continued to receive his pay at Toledo, Ohio at the later time and the company continued to make deductions for Ohio taxes.

[9]*9Accordingly, appellee filed his complaint alleging inter alia that American was doing business in Indiana, that he was a resident of Fort Wayne, and that wage payments to him by the company had been delinquent in contravention of IC 1971, 22-2-5-1, supra, and IC 1971, 22-2-5-2, supra. Page prayed for damages of 10% per day of the amount due between when the pay was received and when it was due under the statute and for allowable attorney fees. Upon trial to the court the following findings and judgment were entered for Page.

“The Court now finds that the defendant is doing business in the State of Indiana for the purpose of the Indiana wage statutes.
“The Court further finds that the plaintiff is a resident of Indiana; and further finds that the plaintiff have [sic] notice as required by the Indiana wage statutes.
“The Court further finds that the parties are bound by the terms of the Indiana wage statutes.
“It is therefore concluded that the law is with the plaintiff and against the defendant.
“It is therefore ordered and decreed that the plaintiff have and recover damages pursuant to the statute in the amount of Ten Thousand Dollars ($10,000.00) together with the attorney fees in the amount of Two Thousand Nine Hundred Dollars ($2,900,00), making a total judgment of Twelve Thousand Nine Hundred Dollars ($12,900.00).”

On appeal American first contends that it entered into an employer-employee agreement with Page outside the State of Indiana thereby precluding the applicability of IC 1971, 22-2-5-1 (Burns Code Ed.) and IC 1971, 22-2-5-2 (Burns Code Ed.) to the case at bar. Thus, if any wage statute should apply, appellant would have it be that of Ohio, the state with which Page is said to have had the most intimate contacts under conflict-of-laws rules. See, W. H. Barber Co. v. Hughes (1945), 223 Ind. 570, 63 N.E.2d 417. American relies for support on the fact that Page was paid in accordance with the laws of Ohio prior to his move, that most of the mileage involved in his bus route was in Ohio and that since 1971, Page had received his assignments, communiques and wages in Toledo, Ohio.

However, this argument in favor of using Ohio law ignores fundamen[10]*10tal characteristics of the case at bar. The question presented does not involve the interpretation of a private contract nor which forum’s laws will apply to the interpretation of that contract. Rather the issue is whether the factual circumstances surrounding the parties come within the confines of IC 1971, 22-2-5-1, supra, and compel its application as a function of the police power of this state. The conflict of laws problem posed by the appellant is not relevant to the facts herein except in this context. Thus, attention must be given to the requirements of the statute and whether the circumstances in the case at bar justified the trial court’s application of the penalty section of IC 1971, 22-2-5-2, supra, to American.

IC 1971, 22-2-5-1, supra, prescribes several essential requirements. The first of these is that the employer must be a “. .. [Person, firm, corporation, or association, their trustees, lessees or receivers appointed by any court whatsoever doing business in this state.. ..” American through Continental Trailways, Inc. had a terminal in Fort Wayne. Employed there is a resident commissioned agent engaged in selling tickets and express for American. A freight office was operated on the premises and taxes were assessed by Wayne Township in Fort Wayne, Indiana, against property owned by the company. The uncontradicted evidence therefore discloses that American is a corporation doing business in Indiana.

Secondly, IC 1971, 22-2-5-1,

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American Bus Lines v. Page
373 N.E.2d 928 (Indiana Court of Appeals, 1978)

Cite This Page — Counsel Stack

Bluebook (online)
373 N.E.2d 928, 176 Ind. App. 5, 1978 Ind. App. LEXIS 849, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-bus-lines-v-page-indctapp-1978.