F & T CO. v. Woods

594 P.2d 745, 92 N.M. 697
CourtNew Mexico Supreme Court
DecidedApril 23, 1979
Docket12141, 12150
StatusPublished
Cited by58 cases

This text of 594 P.2d 745 (F & T CO. v. Woods) is published on Counsel Stack Legal Research, covering New Mexico Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
F & T CO. v. Woods, 594 P.2d 745, 92 N.M. 697 (N.M. 1979).

Opinions

OPINION

FEDERICI, Justice.

Plaintiff brought this action against defendant F & T Company, doing business as Good Housekeeping Shops, for damages suffered as a result of the rape of plaintiff by Robert Sanders, defendant’s employee. Plaintiff alleged that defendant was negligent in hiring and negligent in retaining Sanders, and that this negligence was the proximate cause of the rape.

Defendant is in the business of selling and servicing home appliances in Santa Fe and other areas. Defendant’s manager, Mr. Houliston, hired Sanders, who was employed by defendant at the time of the incident involved in this case. Sanders was authorized by defendant to deliver and repair appliances sold by defendant at times when customers were at home. Plaintiff purchased a television set from defendant which Sanders delivered to plaintiff’s home on August 30, 1973. During the night of September 2, 1973, Sanders entered plaintiff’s apartment, without her permission, and raped her. At the time of the incident Sanders was on his own time, was not acting within the scope of his employment, was not in defendant’s business vehicle, and had no authority from defendant to enter plaintiff’s apartment. Defendant did not enter plaintiff’s apartment to deliver or repair an appliance. The act did not occur in or near defendant’s place of business.

After all the evidence had been submitted, defendant moved for a directed verdict, alleging that the evidence was not sufficient to submit the case to the jury. Defendant contended that, under the circumstances, it could not have foreseen that its employee would commit the act in question. Stated another way, defendant’s argument was that even if defendant was negligent in the hiring or retention of Sanders, such negligence was not the proximate cause of the incident. The trial court denied the motion for a directed verdict. The jury returned a verdict for plaintiff.

Defendant appealed and the Court of Appeals reversed the trial court for its failure to sustain defendant’s motion for a directed verdict on the negligent hiring theory. However, the Court of Appeals affirmed the trial court’s denial of defendant’s motion for directed verdict on the negligent retention theory. Both plaintiff and defendant petitioned this Court for a writ of certiorari and both petitions were granted.

Plaintiff’s theory that defendant was negligent either in hiring Sanders or in retaining him as a deliveryman is based on plaintiff’s claim that defendant “knew or in the exercise of reasonable care should have known ” of Sanders’ dangerous propensities. Defendant claims it can only be liable for what it knew; that “should have known” is not an element of the tort.

The torts of negligent hiring and negligent retention of an employee are based on the act or omission- of the employer. See Annots., 48 A.L.R.3d 359 (1973); 34 A.L.R.2d 372 (1954). As stated in Restatement (Second) of Torts § 302B (1965):

An act or an omission may be negligent if the actor realizes or should realize that it involves an unreasonable risk of harm to another through the conduct of the other or a third person which is intended to cause harm, even though such conduct is criminal. (Emphasis added.)

N.M.U.J.I. Civ. 12.1 reads:

The term “negligence” may relate either to an act or a failure to act.
An act to be negligent must be one which a reasonably prudent person would foresee as involving an unreasonable risk of injury to himself or to another and which such a person in the exercise of ordinary care would not do.
A failure to act, to be negligent, must be a failure to do an act which one is under a duty to do and which a reasonably prudent person in the exercise of ordinary care would do in order to prevent injury to himself or to another.

As this Court stated in Mahoney v. J. C. Penney Company, 71 N.M. 244, 377 P.2d 663 (1962):

One test for determining the issue of negligence is to consider whether a person of ordinary prudence could or should have foreseen or anticipated that someone might be injured by his action or nonaction. If so, that person is negligent. (Citation omitted.) (Emphasis added.)

Id. at 256, 377 P.2d at 671. See also Stake v. Woman’s Division of Christian Service, 73 N.M. 303, 387 P.2d 871 (1963); Kelly v. Board of Trustees of Hillcrest General Hospital, Inc., 87 N.M. 112, 529 P.2d 1233 (Ct. App.1974), cert. denied, 87 N.M. 111, 529 P.2d 1232 (1974).

In Stake the plaintiff was a nurse who was injured by a patient. The nurse alleged a negligent failure to warn her of the patient’s dangerous propensities. The Court said:

Duty to warn of dangerous propensities of a patient necessarily must arise from knowledge of such propensities . . .

73 N.M. at 305-6, 387 P.2d at 873. However, in Kelly, the knowledge standard set forth in Stake was viewed as meaning “knew or should have known”.

Based on the above authorities we believe it is clear that liability in New Mexico for negligent hiring or retention of an employee is grounded upon the “knew or should have known” standard, and not solely upon “actual knowledge”. This result is consistent with the “knew or should have known” standard applied in other areas of negligence. See Simon v. Akin, 79 N.M. 689, 448 P.2d 795 (1968); Williams v. Herrera, 83 N.M. 680, 496 P.2d 740 (Ct.App.1972).

A substantial portion of the evidence in this case went to Houliston’s inquiry or lack of inquiry before hiring Sanders, and to Houliston’s apparent knowledge of Sanders’ past criminal record. This evidence raised a factual issue as to whether Houliston exercised ordinary care in selecting Sanders as a deliveryman. This evidence is not dispositive, however, because the question of “foreseeability” or “proximate cause” must be resolved before defendant’s liability can be determined. It is not enough that plaintiff prove that defendant was negligent in hiring or retaining Sanders. In addition, plaintiff must prove that the negligent hiring or retention of Sanders was the proximate cause of the rape.

This Court has defined proximate cause in many cases, one of which is Maestas v. Alameda Cattle Co., 36 N.M. 323, 14 P.2d 733 (1932). The definition has been restated in N.M.U.J.I. Civ. 12.10, N.M.S.A. 1978:

The proximate cause of an injury is that which in a natural and continuous sequence . . . produces the injury, and without which the injury would not have occurred.

In Bouldin v. Sategna, 71 N.M. 329, 378 P.2d 370

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Bluebook (online)
594 P.2d 745, 92 N.M. 697, Counsel Stack Legal Research, https://law.counselstack.com/opinion/f-t-co-v-woods-nm-1979.