Knudsen v. Agee

918 P.2d 1221, 128 Idaho 776, 11 I.E.R. Cas. (BNA) 1635, 1996 Ida. LEXIS 90
Idaho Supreme Court·Decided July 2, 1996·No. 21784·Published·Cited by 13 cases

Opinion

McDEVITT, Chief Justice.

I.

BACKGROUND AND PRIOR PROCEEDINGS

William Agee, CEO of Morrison-Knudsen Corp. (MK), directed James Cook to secretly record the telephone communications of certain MK executives. Cook recorded phone conversations from March 12, 1991 through March 22, 1991. Cindy Knudsen was the secretary to one of the MK executives whose phone was wiretapped. Although not the target of the investigation and unbeknownst to Knudsen, a number of the recordings contained her work-related and personal telephone conversations made during that time period.

In January of 1992, the FBI contacted Knudsen to inform her of an investigation into MK’s wiretapping. One month later, the FBI asked Knudsen to listen to some tapes containing recorded conversations. Knudsen identified her voice on the tape recordings.

On July 5, 1994, Knudsen filed suit in district court charging MK, Agee, and Cook with violating the Idaho Communications Security Act (ICSA), I.C. § 18-6701, et seq. The respondents moved for summary judgment on the grounds that the three year statute of limitations contained in I.C. § 5- *778 218(1) barred her claim. Knudsen argued that the limitation period should be measured from the moment she discovered her personal telephone conversations were secretly recorded. The district court held it was the legislature’s province to create a discovery exception to the statutory liability limitation period. Since the last instance of wiretapping occurred in March of 1991, the court concluded the three year limitation period expired in March of 1994, some three months before Knudsen filed her complaint. As a result, the district court granted the respondents’ motion for summary judgment.

II.

STANDARD OF REVIEW

Knudsen appeals the entry of summary judgment against her. As such, the Idaho Supreme Court reviews the matter just as the trial court would when ruling on the motion. Thompson v. Pike, 125 Idaho 897, 899, 876 P.2d 595, 597 (1994). When the facts are undisputed, as is this case, all that remains is a question of law which this Court freely reviews. Friel v. Boise City Hous. Auth., 126 Idaho 484, 485, 887 P.2d 29, 30 (1994).

III.

THE DISTRICT COURT CORRECTLY HELD THAT NO DISCOVERY EXCEPTION TO THE STATUTE OF LIMITATIONS WAS CREATED BY THE IDAHO COMMUNICATIONS SECURITY ACT

This Court has held that in the case of foreign objects negligently left in a patient’s body, the statute of limitations does not begin to run until the patient knew or should have known of the presence of the foreign object. Billings v. Sisters of Mercy of Idaho, 86 Idaho 485, 497-98, 389 P.2d 224, 232 (1964). This “discovery exception” was then extended to situations involving physician misdiagnosis. Renner v. Edwards, 93 Idaho 836, 839-40, 475 P.2d 530, 533-34 (1969).

In 1971, the Idaho Legislature amended the statute of limitations applicable to professional malpractice. Idaho Code § 5-219(4) allows a discovery exception in the case of negligently placed foreign objects in the body and in the case of fraudulent concealment,

but in all other actions, whether arising from professional malpractice or otherwise, the cause of action shall be deemed to have accrued as of the time of occurrence, act, or omission complained of, and the limitation period shall not be extended by reason of any continuing consequences or damages resulting therefrom....

I.C. § 5-219(4).

From that time forward, this Court has acted deferentially in the face of legislative action. Martin v. Clements, 98 Idaho 906, 910, 575 P.2d 885, 889 (1978); Owyhee County v. Rife, 100 Idaho 91, 94-95, 593 P.2d 995, 998-99 (1979); Streib v. Veigel, 109 Idaho 174, 178, 706 P.2d 63, 67 (1985); Tingley v. Harrison, 125 Idaho 86, 89-90, 867 P.2d 960, 963-64 (1994). In making its decision, the district court relied on the case of Theriault v. A.H. Robins Co., 108 Idaho 303, 698 P.2d 365 (1985), which stated that “[sjince the 1971 amendment, in deference to the legislative policy expressed therein, this Court has consistently refused to create additional discovery exceptions.” Theriault, 108 Idaho at 308, 698 P.2d at 370.

In Streib, the Court noted that several jurisdictions have applied a discovery rule in similar contexts, and stated that “Idaho’s abrogation of the discovery rule (with two statutorily noted exceptions) renders those decisions of jurisdictions which rely on a discovery rule of no assistance to us.” Streib, 109 Idaho at 178-79, 706 P.2d at 67-68.

Thus, the respondents are correct that Idaho courts have an established history of deference to the Legislature’s abrogation of the discovery rule.

Moreover, it appears that this is not a case where the judiciary is asked to defer in the face of legislative action, but rather one where the Court is asked to create an exception. Both parties concede that the ICSA is modeled after the federal wiretap statute, 18 U.S.C. § 2520. In 1986, Congress amended the federal statute to include the rule that *779 the statute of limitations for wiretapping suits begins once “the claimant first had a reasonable opportunity to discover the violation.” 18 U.S.C. § 2520(e). The Idaho Legislature has not amended I.C. § 18-6709 since its enactment. Given the secretive nature of wiretapping and the fact of this legislative action, this Court is urged to find that a discovery exception to I.C. § 5-218(1) exists for claims brought under the ICSA. Where the negligence is “continuing,” the statute of limitations does not accrue until the plaintiff suffers some damage. In Streib, the Court concluded that the accountant’s negligent act was “continuing in nature until plaintiffs suffer[ed] damage.” Streib, 109 Idaho at 179, 706 P.2d at 68. However, in the case of wiretapping, the damage is immediate. ICSA makes it a crime to willfully intercept, endeavor to intercept, or procure any other person to intercept or endeavor to intercept any wire or oral communication. I.C. § 18-6702(l)(a).

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Knudsen v. Agee, 918 P.2d 1221, 128 Idaho 776, 11 I.E.R. Cas. (BNA) 1635, 1996 Ida. LEXIS 90 (Idaho 1996).

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