Johnsen v. Allsup's Convenience Stores, Inc.

1998 NMCA 097, 963 P.2d 533, 125 N.M. 456
CourtNew Mexico Court of Appeals
DecidedApril 21, 1998
DocketNo. 18206
StatusPublished

This text of 1998 NMCA 097 (Johnsen v. Allsup's Convenience Stores, Inc.) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Johnsen v. Allsup's Convenience Stores, Inc., 1998 NMCA 097, 963 P.2d 533, 125 N.M. 456 (N.M. Ct. App. 1998).

Opinions

OPINION

APODACA, Judge.

{1} Plaintiff Robert Johnsen (Employee) appeals the trial court’s judgment entered against him after a bench trial. Employee sued for unpaid overtime wages against Defendant Allsup’s Convenience Stores (Employer) pursuant to the Fair Labor Standards Act of 1938 (the Act), 29 U.S.C. Sections 201 to 219 (1997). Employee raises six issues on appeal: (1) the law of the case doctrine does not apply and the special order items were not transported in interstate commerce, (2) the trial court’s findings were inconsistent with the judgment, (3) transportation of the compressor cores to the distributors was not an interstate shipment, (4) Employee did not perform duties affecting the safety of motor vehicle operations, (5) Employee’s alleged interstate activities were de minimis, and (6) Employer acted in bad faith and against public policy. We hold that Employee’s interstate activities were de minimis and therefore reverse the trial court’s judgment. Because of our disposition, we need not address issues (1), (2), and (4).

I. FACTUAL AND PROCEDURAL BACKGROUND

{2} Employee worked for Employer as a maintenance man. Employer did not compensate Employee at one and one-half times his hourly rate for hours worked in excess of a forty-hour work week. As a result, Employee sued Employer to recover overtime wages under the Act. Section 213(b)(1) of the Act exempts from the overtime requirement employees whose hours are subject to regulation by the Secretary of the Department of Transportation under the Motor Carrier Act, 49 U.S.C.A. § 3102 (West 1994) (current version at 49 U.S.C.A. § 31502 (West 1995)). The exemption includes motor carriers who transport between a place in a state and a place in another state. See 49 U.S.C.A. § 10521(a)(1)(A) (West 1995)(current version at 49 U.S.C.A. § 13501(1)(A) (West 1997)).

{3} Prior to the bench trial, the trial court had granted summary judgment to Employer, holding that Employee was not entitled to receive overtime compensation because he transported goods in interstate commerce. Employee appealed that ruling, and this Court reversed and remanded the case for a determination of the extent of Employee’s job in transporting certain equipment repair parts in interstate commerce. Johnsen v. Allsup’s Convenience Stores, 119 N.M. 245, 251-52, 889 P.2d 853, 859-60 (Ct. App.1994). This determination was necessary because, if Employee’s duties relating to transportation in interstate commerce were de minimis, the exemption to the Act would not be applicable. As a result, Employer would be required to pay overtime wages because Employer would not be exempt from such requirement. On remand, the trial court determined that Employee was not entitled to overtime wages on the basis that Employee’s transportation of interstate goods was not an incidental part of his employment. This appeal followed.

II. DISCUSSION

A. Contested Findings

{4} Before discussing the merits of Employee’s appeal, we address Employer’s preliminary argument to uphold certain findings because of Employee’s failure to attack them. Employer asserts that Employee did not contest Findings 13,17, 19, 20, 26, 31, 37-39, 41, 43, 46, 47, and 51-54 made by the trial court. These findings included:

17. Johnsen’s position is exempt from the overtime provisions of the Act because he transported goods in interstate commerce during the course of his employment, and as more than an incidental part of his employment.
20. Plaintiff, as more than an incidental part of his employment, transported goods in interstate commerce, or in continuation of interstate commerce.
43. The parts, equipment and fixtures which Plaintiff ordered from local wholesalers, which the wholesalers did not have in stock and had to be specifically ordered from out-of-state suppliers clearly remained in interstate commerce until Plaintiffs transportation of said items was completed.
51. The part of the Plaintiffs job that had to do with the transportation of goods in interstate commerce was a significant part of his duties because of its impact on refrigeration and cooling systems in the stores.

Employee did not expressly challenge these findings in his brief in chief. In his reply brief, however, Employee specifically contested Findings 17, 20, 31, 37, 39, 43, 46, 47, and 51-54.

{5} Rule 12-213(A)(3) NMRA 1998 requires that an appellant’s brief in chief contain a summary of proceedings. “A contention that a ... finding of fact is not supported by substantial evidence shall be deemed waived unless the summary of proceedings includes the substance of the evidence bearing upon the proposition[.]” Id. Although Employee technically violated this rule, we hold that Employee’s briefs sufficiently argue against the trial court’s findings and present the issues to allow a proper review on the merits. See Huckins v. Ritter, 99 N.M. 560, 561, 661 P.2d 52, 53 (1983) (holding that transcripts and briefs sufficiently presented the essential question for review where plaintiff failed to specifically challenge certain findings of fact). We address the pertinent findings generally in our discussion of the specific issues.

B. The Compressor Cores

{6} Employee argues that his retrieval of compressors stocked in an in-state warehouse was an act of intrastate commerce. He contends also that his return of salvageable compressor cores to the warehouse was not an interstate shipment. The trial court, however, concluded that “Plaintiff, as a regular part of his duties, was expected to and did transport goods in interstate commerce by motor vehicle on public highways; said goods were transported by Plaintiff prior to the end of the interstate nature of their transportation.” We review this conclusion of law de novo. See Johnsen, 119 N.M. at 251, 889 P.2d at 859 (stating that trial court’s conclusion that Employee engaged in interstate commerce when delivering certain parts was a matter of law); Levenson v. Haynes, 1997-NMCA-020, ¶ 13, 123 N.M. 106, 934 P.2d 300 (applying de novo review to conclusions of law).

{7} We hold that the trial court erred in concluding that Employee’s transportation of the compressor cores was in interstate commerce. “[Pjurely intrastate segments of transportation are not part of interstate commerce if the product comes to rest within the state.” Johnsen, 119 N.M. at 249-50, 889 P.2d at 857-58. Most of the cores, before being picked up by Employee and after their return by Employee to the wholesaler, came to rest in the wholesaler’s warehouse, which was located in New Mexico.

{8} The cores were parts of compressors that could be re-used or re-manufactured. Employee returned the cores to the wholesaler, and the wholesaler purchased them by crediting Employer’s account. After the purchase, the cores belonged to the wholesaler. The wholesaler shipped the cores to the manufacturer for credit.

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Huckins v. Ritter
661 P.2d 52 (New Mexico Supreme Court, 1983)
Levenson v. Haynes
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Johnsen v. Allsup's Convenience Stores, Inc.
889 P.2d 853 (New Mexico Court of Appeals, 1994)

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1998 NMCA 097, 963 P.2d 533, 125 N.M. 456, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johnsen-v-allsups-convenience-stores-inc-nmctapp-1998.