Blinn v. Beatrice Community Hospital & Health Center, Inc.

708 N.W.2d 235, 270 Neb. 809, 2006 Neb. LEXIS 2
CourtNebraska Supreme Court
DecidedJanuary 6, 2006
DocketS-04-079
StatusPublished
Cited by191 cases

This text of 708 N.W.2d 235 (Blinn v. Beatrice Community Hospital & Health Center, Inc.) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Blinn v. Beatrice Community Hospital & Health Center, Inc., 708 N.W.2d 235, 270 Neb. 809, 2006 Neb. LEXIS 2 (Neb. 2006).

Opinions

Gerrard, J.

I. NATURE OF CASE

The plaintiff in this case, Robert Blinn, was fired by his employer, Beatrice Community Hospital and Health Center, Inc. (Beatrice). Blinn sued Beatrice for breach of contract and promissory estoppel. The district court entered summary judgment against Blinn, but the Nebraska Court of Appeals reversed the judgment, based in part on its determination that although certain evidence was not directly relevant to Blinn’s breach of contract claim as pleaded, it nonetheless gave rise to a genuine issue of material fact because Blinn’s complaint had been constructively amended by implied consent pursuant to Neb. Ct. R. of Pldg. in Civ. Actions 15(b) (rev. 2003). Beatrice petitioned for further review, which we granted. For the reasons that follow, we find insufficient evidence in the record to support the Court of Appeals’ finding that an issue not raised by the pleadings was tried by implied consent of the parties.

II. BACKGROUND

1. Facts

The following facts are taken from Blinn’s deposition testimony, received into evidence at the hearing on Beatrice’s motion for summary judgment. As pertinent, Blinn testified that in June 2002, he had received a job offer from a Kansas hospital. The [812]*812Kansas job would have been at a larger hospital and would have offered more responsibility and income potential than Blinn’s job of executive director, medical staff development, at Beatrice. It was Blinn’s understanding that the Kansas offer was for a position that Blinn could keep until he retired. Blinn was 67 years old at the time he received the offer. Blinn then went to the Beatrice administrator, Larry Emerson, seeking assurances about the permanency of Blinn’s position with Beatrice, and drafted a resignation letter he intended to submit to Beatrice unless he received full assurances that Beatrice wanted him to stay. Blinn said:

Well, I went in and asked him if I could visit, and I shut the door in his office and handed him this letter, and he read it, and he told me that he did not want me to leave. He assured me that I was doing a good job, and most importantly, he said, “Bob, we’ve got at least five more years of work to do.” And I left his office feeling fully assured and fully confident that he had no negatives, ’cause I gave him total opportunity here to tell me.
I left his office feeling he wanted me there, that he wanted me to stay there and that I should stay there and that we had plenty of work to do and that I could get the job done.

Blinn also asked for Emerson’s permission to talk to the chairman of Beatrice’s board of directors to seek similar assurances. Blinn testified that the chairman of the board said:

“We want you to stay,” and I said, “Well, it’s really important to me, because whether I stay here or whether I go to [the Kansas hospital], I want it to be the last job I ever have,” and [the chairman] assured me he wanted me to stay there and I could stay there until I retired.

However, Blinn was asked to resign by Beatrice in January 2003, and his employment with Beatrice was terminated in February.

2. Procedural History

Blinn sued Beatrice, alleging several theories of recovery based upon the termination of his employment. Blinn had been hired by Beatrice as an at-will employee, but alleged that his at-will employment status had been modified by oral agreement [813]*813to a term of employment of “at least five more years,” which was not completed before Blinn’s termination. The substance of Blinn’s petition in the district court was that his at-will employment status had been modified by representations of Beatrice promising Blinn would be employed for a period of at least 5 years, that the representations induced Blinn to forgo another employment opportunity, and that Beatrice then terminated Blinn’s employment approximately 6 months after the alleged representations. As pertinent, Blinn alleged theories of recovery based upon breach of an oral contract and promissory estoppel. Beatrice denied the allegations and additionally alleged Blinn’s claims were barred by the statute of frauds. See Neb. Rev. Stat. § 36-202 (Reissue 2004) (oral agreement that, by its terms, is not to be performed within 1 year from its making, is void).

Beatrice filed a motion for summary judgment. The district court determined the alleged oral modification of Blinn’s contract was not definite or specific enough to modify his at-will employment status, and entered summary judgment for Beatrice. The district court did not decide the statute of frauds issue.

The Court of Appeals reversed the district court’s summary judgment. Blinn v. Beatrice Community Hosp. & Health Ctr., 13 Neb. App. 459, 696 N.W.2d 149 (2005). The Court of Appeals first recognized that Blinn’s pleading did not allege Beatrice made representations that would modify his at-will employment status to anything other than employment for “ ‘at least five more years.’ ” Id. at 461, 696 N.W.2d at 152. However, the Court of Appeals concluded that Blinn’s pleading had been amended by implied consent, pursuant to rule 15(b), which provides, in relevant part:

When issues not raised by the pleadings are tried by express or implied consent of the parties, they shall be treated in all respects as if they had been raised in the pleadings. Such amendment of the pleadings as may be necessary to cause them to conform to the evidence and to raise these issues may be made upon motion of any party at any time, even after judgment; but failure so to amend does not affect the result of the trial of these issues.

The Court of Appeals concluded that because there was evidence that Beatrice had assured Blinn he could work there “ ‘until [he] [814]*814retired,’ ” the alternate theory of employment until retirement could be considered to have been tried by implied consent. Blinn, 13 Neb. App. at 466, 696 N.W.2d at 155. The Court of Appeals further reasoned that the evidence created a genuine issue of material fact about whether Beátrice offered to extend Blinn’s employment until he chose to retire. Id.

Based on that reasoning, the Court of Appeals also concluded that the statute of frauds did not apply, because Blinn could have chosen to retire within 1 year, and that therefore, the amended contract would have been capable of performance within 1 year. Id. Finally, the Court of Appeals concluded that the evidence created a genuine issue of material fact on Blinn’s theory of recovery for promissory estoppel. Id. The Court of Appeals reversed the order granting summary judgment and remanded the cause for further proceedings. Id. We granted Beatrice’s petition for further review.

III.ASSIGNMENTS OF ERROR

Beatrice assigns that the Court of Appeals erred in (1) reaching issues not specifically assigned and argued as error by Blinn; (2) concluding, sua sponte, that the pleadings had been amended by implied consent pursuant to rule 15(b); and (3) concluding that the “amended” pleadings and evidence created a genuine issue of material fact as to Blinn’s claims for breach of an oral contract and promissory estoppel.

IV.STANDARD OF REVIEW

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Cite This Page — Counsel Stack

Bluebook (online)
708 N.W.2d 235, 270 Neb. 809, 2006 Neb. LEXIS 2, Counsel Stack Legal Research, https://law.counselstack.com/opinion/blinn-v-beatrice-community-hospital-health-center-inc-neb-2006.