Ephraim Dabush v. Seacret Direct LLC

478 P.3d 695, 250 Ariz. 264
CourtArizona Supreme Court
DecidedJanuary 8, 2021
DocketCV-19-0200-PR
StatusPublished
Cited by22 cases

This text of 478 P.3d 695 (Ephraim Dabush v. Seacret Direct LLC) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ephraim Dabush v. Seacret Direct LLC, 478 P.3d 695, 250 Ariz. 264 (Ark. 2021).

Opinion

IN THE

SUPREME COURT OF THE STATE OF ARIZONA EPHRAIM DABUSH, ET AL., Plaintiffs/Appellants,

V.

SEACRET DIRECT LLC, ET AL., Defendants/Appellees.

No. CV-19-0200-PR Filed January 8, 2021

Appeal from the Superior Court in Maricopa County The Honorable Randall H. Warner, Judge No. CV2015-003804 AFFIRMED

Memorandum Decision of the Court of Appeals, Division One 2019 WL 2651082 Filed June 27, 2019 AFFIRMED IN PART, REVERSED IN PART

COUNSEL:

Geoffrey M. Trachtenberg, (Argued) Justin Henry, (Argued) Levenbaum Trachtenberg PLC, Phoenix, Attorneys for Ephraim Dabush and Rachel Dabush

Jonathan D. Schneider, Luane Rosen, ReNae A. Nachman, Charles D. Onofry, (Argued) Schneider & Onofry PC, Yuma, Attorneys for Seacret Direct LLC

Ryan John McCarthy, Jonathan Paul Barnes, Jr., (Argued) Jones Skelton & Hochuli PLC, Phoenix, Attorneys for Prizma Capital LLC JUSTICE GOULD authored the opinion of the Court, in which VICE CHIEF JUSTICE TIMMER and JUSTICES BOLICK, LOPEZ, BEENE, MONTGOMERY and JUDGE EPPICH * joined.

JUSTICE GOULD, opinion of the Court:

¶1 This is a premises liability case. Plaintiff Ephraim Dabush (“Dabush”) was injured when he fell through a skylight on the roof of a multi-tenant commercial building. Dabush asserts that Seacret Direct, LLC (“Direct”) and Prizma Capital, LLC (“Prizma”), who sublet portions of the building at the time of the accident, were possessors of the roof, and therefore owed him a duty to maintain the roof in a safe condition.

¶2 We hold that because Prizma and Direct (“Defendants”) did not have a right to control the roof under their subleases, and did not exercise actual control over the roof, they were not possessors, and therefore owed no duty to Dabush. We further hold that Prizma did not become a possessor by making repairs to the roof. And finally, we hold that Defendants did not assume a duty to protect Dabush from the risk of falling through a skylight. Accordingly, we affirm the trial court’s grant of summary judgment in favor of Defendants.

I.

¶3 At the time of Dabush’s accident, 2619 E. Chambers, LLC (“Chambers”) owned the building, which consists of office space and a warehouse. Chambers leased the entire building to Seacret Spa, LLC (“Spa”). Under Spa’s lease, it was responsible for collecting rents, making all necessary payments associated with the building, and repairing and maintaining the building.

¶4 Spa subleased portions of the building to Seacret Retail, Direct, and Prizma. Prizma leased office space and a storage unit, while Direct leased office space and part of the warehouse. Direct’s section of the

*Chief Justice Robert M. Brutinel has recused himself from this case. Pursuant to article 6, section 3 of the Arizona Constitution, Judge Karl Eppich, Division Two, Arizona Court of Appeals was designated to sit in this matter.

2 EPHRAIM DABUSH, ET. AL. V. SEACRET DIRECT LLC, ET AL. Opinion of the Court

warehouse was separated from Spa’s section by a chain link fence. Chambers, Spa, Direct, and Prizma generally operate as interconnected family businesses. Dabush, however, does not allege they failed to operate as separate and distinct limited liability companies. 1

¶5 At the time of the accident, Elad Gotlib (“Gotlib”) managed the building for Spa. When maintenance issues arose in the building, Gotlib hired Prizma to perform the repairs. Prizma invoiced Spa for the cost of the repairs. However, according to Direct’s manager, David Ben-Shabat (“David”), Direct was responsible for maintaining the roof over its section of the warehouse.

¶6 Dabush, who was a friend and relative of David, would often visit him at the building. According to Dabush, Prizma and Direct were expected to “pitch in” and make repairs to the building. As a result, Dabush would assist David by supervising Prizma’s workers while they performed repairs. Additionally, David would relay instructions to Prizma’s workers through Dabush.

¶7 Before Dabush’s fall, Gotlib discovered the warehouse roof was leaking. He hired Prizma to fix the leaks, which ultimately required replacing the skylights. On the morning of the accident, Prizma’s employees 2 started replacing Skylight 18. The parties dispute why Dabush went on the roof, but it was either to supervise Prizma’s workers or, at David’s request, to inspect and take pictures of their work. After Dabush examined and photographed Skylight 18, he walked to Skylight 10, which was approximately eighty feet from where Prizma’s employees were working. When Dabush put his foot on top of Skylight 10, he fell through the skylight and was severely injured. The skylight where Dabush fell was located over Direct’s portion of the warehouse.

¶8 The trial court granted Defendants’ motions for summary judgment on the grounds that, because they were not the owners or possessors of the warehouse roof, they owed no duty to Dabush. The court of appeals affirmed as to Prizma, but reversed as to Direct, holding that a

1 Dabush has settled his claims against Chambers and Spa.

2 Dabush claims that Valentin Nevarez and Omar Unzueta were Prizma’s employees, while Prizma claims they were independent contractors. Because this issue is not material to our resolution of this appeal, we assume that they were Prizma’s employees. 3 EPHRAIM DABUSH, ET. AL. V. SEACRET DIRECT LLC, ET AL. Opinion of the Court

genuine fact dispute existed as to whether Direct exercised control over the roof. We accepted review because this case involves an issue of statewide importance regarding premises liability.

II.

¶9 To prevail on his premises liability claim, Dabush must prove that Defendants owed him a duty to maintain the roof in a reasonably safe condition. Quiroz v. ALCOA, Inc., 243 Ariz. 560, 563–64 ¶ 7, 574 ¶ 63 (2018). In Arizona, duty “is based on either special relationships recognized by the common law or relationships created by public policy.” Id. at 563 ¶ 2. Here, Dabush claims that a special relationship existed because he was an invitee on Defendants’ premises. See id. at 567 ¶ 23 (stating that a duty exists based on a landowner-invitee and landowner-licensee special relationship); Nicoletti v. Westcor, Inc., 131 Ariz. 140, 143 (1982) (stating that a possessor of land owes a duty of care to entrants on their property); Restatement (Second) of Torts §§ 314A, 341–343A (Am. Law Inst. 1965) (to same effect).

¶10 Whether a duty exists “is a legal matter to be determined before the case-specific facts are considered.” Gibson v. Kasey, 214 Ariz. 141, 145 ¶ 21 (2007). Thus, “we review the existence of duty de novo as a matter of law.” Quiroz, 243 Ariz. at 564 ¶ 7. Further, we review a grant of summary judgment de novo, viewing the evidence in the light most favorable to the party against whom summary judgment was entered. Duncan v. Scottsdale Med. Imaging, Ltd., 205 Ariz. 306, 308 ¶ 2 (2003).

III.

¶11 As we discuss below, Defendants only owe a duty to Dabush if they had legal control of the premises or exercised actual, physical control over it. Here, it is undisputed that Spa, under its lease with Chambers, had the legal right to control and possess the entire building, including the roof. Dabush argues, however, that because Defendants performed repairs on the roof, they exercised control over it, and were therefore possessors. In contrast, Defendants claim that as sublessees, they had no legal right to control the common areas of the building, which included the roof. Additionally, Defendants assert that any repairs they performed did not make them possessors of the roof.

4 EPHRAIM DABUSH, ET. AL. V. SEACRET DIRECT LLC, ET AL. Opinion of the Court

A. Legal Control 1. Direct

¶12 Direct’s sublease expressly provides that Spa retains control over the “common areas” in the building.

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Bluebook (online)
478 P.3d 695, 250 Ariz. 264, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ephraim-dabush-v-seacret-direct-llc-ariz-2021.