Craig v. Provo City

2016 UT 40, 389 P.3d 423, 820 Utah Adv. Rep. 12, 2016 Utah LEXIS 95, 2016 WL 4506309
CourtUtah Supreme Court
DecidedAugust 26, 2016
DocketCase No. 20150531
StatusPublished
Cited by21 cases

This text of 2016 UT 40 (Craig v. Provo City) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Craig v. Provo City, 2016 UT 40, 389 P.3d 423, 820 Utah Adv. Rep. 12, 2016 Utah LEXIS 95, 2016 WL 4506309 (Utah 2016).

Opinions

On Certiorari to the Utah Court of Appeals

Associate Chief Justice Lee,

opinion of the Court:

¶1 This is a tort suit under the Governmental Immunity Act, Utah Code title 63G chapter 7. The plaintiffs’ suit against defen[424]*424dant Provo City was timely when initially filed, but the first complaint was dismissed because the plaintiffs failed to submit an “undertaking” or bond as required by statute. See Utah Code § 63G-7-601(2). And by the time the case was refiled (this time "with a bond), it was beyond the one-year filing requirement of the Governmental Immunity Act. Id. § 63G-7-402. Plaintiffs sought to sustain the timeliness of the suit by invoking the so-called Savings Statute, a provision outside the Governmental Immunity Act that generally extends the statute of limitations for plaintiffs when a complaint is dismissed other than “upon the merits.” Id. § 78B-2-111.

¶2 The question presented concerns the interaction between the time-bar provision of the Governmental Immunity Act and the general Savings Statute. We consider, specifically, whether the Immunity Act forecloses the Savings Statute. We hold that it does. We interpret the Immunity Act as speaking comprehensively to the timing of a suit against a governmental entity, in a manner precluding operation of the Savings Statute.

I

¶3 The claims at issue in this case arise out of an alleged false arrest by Provo City police officers in January 2010. Provo police arrested Elizabeth Craig, Brady Harper, and Scott Lazerson for theft. The alleged theft was of personal care products of Provo’s Nu Skin Enterprises, Inc. Craig, Harper, and Lazerson were suspected of acquiring products set aside for Nu Skin employees and selling them outside the Nu Skin distribution network for profit.

¶4 The three charged defendants claimed to have acquired the Nu Skin products in question lawfully. They insisted that Nu Skin employees had donated excess product to them for the benefit of a chaiity. Eventually, the criminal charges against Craig and Harper were dismissed, and this civil suit ensued.

¶5 In the civil suit, Craig and Harper, together with Nu Lite Sales, an entity they formed to facilitate their venture, claimed that Provo City had caused them to lose income and damaged their reputations. Craig, a former Miss Utah, alleged that media reports surrounding the arrest had harmed her business associations with Brigham Young University and Deseret Book, Inc. Craig, Harper, and Nu Lite asserted claims for malicious prosecution, conversion, and tortious interference with prospective business relations,

¶6 As required by the Governmental Immunity Act, Utah Code section 63G-7-402, the plaintiffs submitted a “Notice of Claim” to Provo City before filing a formal action in court. The Notice of Claim was served on Provo City on February 16, 2011. The Notice of Claim was deemed denied on April 17, 2011. There was also a Supplemental Notice of Claim, which was served on March 1, 2011, and deemed denied on April 30, 2011. Plaintiffs filed a complaint in the Fourth District Court, thereafter—-on April 13, 2012. The complaint was timely when filed on that date, as it was filed within one year of the denial of their notice of claim as required by Utah Code section 63G-7-403(2). But it was also defective under the Governmental Immunity Act, as it was filed without the $300 bond required by Utah Code section 63G-7-601(2). The district court dismissed the action without prejudice on that basis, in an order entered on March 27, 2013. By that date, the statute of limitations had run on the plaintiffs’ claims: The district court’s order of dismissal was entered more than a year after the date when Provo City denied the plaintiffs’ Notice of Claim.

¶7 The plaintiffs nonetheless filed a second complaint, this time with the bond required by statute. Because this suit was filed outside the original one-year limitations period under the Governmental Immunity Act, Provo City moved to dismiss.

¶8 In response, the plaintiffs pointed to the Savings Statute in Utah Code section 78B-2-111. That provision states that “[i]f any action is timely filed and ... the plaintiff fails in the action or upon a cause of action otherwise than upon the merits, and the time limited ... by law ... for commencing the action has expired, the plaintiff ... may commence a new action within one year after the reversal or failure.” Id. § 78B-2-ll(l). Plain[425]*425tiffs asserted that this provision excused their failure to file within a year of the denial of their notice of claim by Provo City, as required by the Governmental Immunity Act. They insisted that their claim was timely because the second complaint was filed within one year after the first suit was dismissed “otherwise than upon the merits.”

¶9 The district court granted Provo City’s motion to dismiss. It concluded that “[c]laims against governmental parties are comprehensively governed by” the Governmental Immunity Act. Order of Oct. 28, 2018 at 2-3. And because that Act “does not contain a savings provision,” the district court held that the plaintiffs’ claims were time-barred. Id. at 5. It accordingly entered an order dismissing the plaintiffs’ claims.

¶10 Plaintiffs appealed, and the court of appeals reversed. The court of appeals concluded that the Savings Statute was applicable and thus reversed the dismissal of the plaintiffs’ claims. Craig v. Provo City, 2015 UT App 145, ¶ 14, 352 P.3d 139. In so doing, the court of appeals acknowledged a provision in the Governmental Immunity Act describing that statute as the “single, comprehensive chapter governing] all claims against governmental entities.” Id. ¶ 9 n.3 (quoting Utah Code § 63G-7-101(2)(b) (2013)). But it nonetheless concluded that the Savings Statute could apply to save claims that would otherwise be time-barred under the Governmental Immunity Act. It based that holding on the notion that a “comprehensive” legal regime was not necessarily an “all-inclusive” one. Id. ¶ 10. And it highlighted legal matters not governed expressly by the Governmental Immunity Act, such as the elements of a cause of action against a governmental entity and the standards governing the admissibility of evidence in a proceeding initiated under the Act. Id. ¶ 11.

¶11 With these examples in mind, the court of appeals reasoned that the Governmental Immunity Act cannot literally be an all-inclusive statement of all laws governing claims against the government. Instead, it characterized the Act as merely “complementary” to other laws like the Savings Statute. Id. ¶ 14.

¶12 In so concluding, the court of appeals asserted that the Savings Statute did not interfere with the “purpose” of the Governmental Immunity Act—to provide the government with notice sufficient to afford “the responsible public authorities an opportunity to pursue a proper and timely investigation of the merits of [the] claim.” Id. ¶ 12 (alteration in original) (quoting Shafer v. State, 2003 UT 44, ¶ 7, 79 P.3d 936). And it held the legislature to a requirement of a plain statement. Id. ¶ 13. Relying on Standard Federal Savings & Loan Association v. Kirkbride,

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Cite This Page — Counsel Stack

Bluebook (online)
2016 UT 40, 389 P.3d 423, 820 Utah Adv. Rep. 12, 2016 Utah LEXIS 95, 2016 WL 4506309, Counsel Stack Legal Research, https://law.counselstack.com/opinion/craig-v-provo-city-utah-2016.