Komalestewa v. ica/stoneville pedigree/wausau Ins

Arizona Supreme Court·Decided August 10, 2005·Published

Opinion

SUPREME COURT OF ARIZONA

En Banc

DAVID C. GRAMMATICO, ) Arizona Supreme Court ) No. CV-04-0197-PR

Petitioner, )

) Court of Appeals

v. ) Division One ) No. 1 CA-IC 01-0117

THE INDUSTRIAL COMMISSION, )

)

) ICA Claim

Respondent, ) No. 20001-390571 )

) Carrier

AROK, INC., ) No. AZ 00008522 )

Respondent Employer, )

)

)

)

STATE COMPENSATION FUND, )

)

Respondent Carrier. ) CONSOLIDATED WITH )

__________________________________)

)

AUSTIN KOMALESTEWA, ) Arizona Supreme Court ) No. CV-04-0364-PR

Petitioner Employee, )

) Court of Appeals

v. ) Division One ) No. 1 CA-IC 03-0041

THE INDUSTRIAL COMMISSION, )

) ICA Claim

) No. 20013-370241

Respondent, )

) Carrier

STONEVILLE PEDIGREE SEED, ) No. WC-905 367138 )

Respondent Employer, )

)

)

WAUSAU INSURANCE COMPANIES, ) O P I N I O N )

Respondent Carrier. )

)

GRAMMATICO v. THE INDUSTRIAL COMMISSION

Industrial Commission Award J. Matthew Powell, Administrative Law Judge AWARD SET ASIDE

Court of Appeals, Division One 208 Ariz. 10, 90 P.3d 211 (App. 2004)

AFFIRMED

KOMALESTEWA v. THE INDUSTRIAL COMMISSION

Industrial Commission Award Stephen W. Pogson, Administrative Law Judge AWARD SET ASIDE

Court of Appeals, Division One 209 Ariz. 2ll, 99 P.3d 26 (App. 2004)

REVERSED

ATTORNEYS FOR GRAMMATICO v. THE INDUSTRIAL COMMISSION

JEROME, GIBSON, STEWART, FRIEDMAN, STEVENSON & ENGLE, P.C. Phoenix By Joel F. Friedman Attorneys for David G. Grammatico

STATE COMPENSATION FUND Phoenix By James F. Crane, Vice President and General Counsel

James B. Stabler

Attorneys for AROK, Inc. and State Compensation Fund

JONES, SKELTON & HOCHULI, P.L.C. Phoenix By Randall H. Warner Attorneys for Amici Curiae American Insurance Association, Arizona Association of Industries, Arizona Chamber of Commerce, Arizona Restaurant and Hospitality Association, Arizona Rock Products Association, Greater Phoenix Chamber of Commerce, National Federation of Independent Business Legal Foundation, and Tucson Metropolitan Chamber of Commerce

STEPTOE & JOHNSON, LLP Phoenix By Wendy G. Briggs Attorneys for Amicus Curiae American Insurance Association

LOW & CHILDERS, P.C. Phoenix By S. David Childers Attorneys for Amicus Curiae The Property Casualty Insurers Association of America

ADELMAN GERMAN PLC Scottsdale By Daniel J. Adelman Attorneys for Amicus Curiae Arizona Trial Lawyers Association

HARALSON, MILLER, PITT, FELDMAN & McANALLY P.L.C Tucson By Stanley G. Feldman Attorneys for Amicus Curiae Southern Arizona Workers’ Compensation Claimants Association

ATTORNEYS FOR KOMALESTEWA v. THE INDUSTRIAL COMMISSION

Don A. Fendon Phoenix Attorney for Austin Komalestewa

CROSS & LIEBERMAN P.A. Phoenix By Donald L. Cross Attorneys for Stoneville Pedigree Seed and Wausau Insurance Companies

LOW & CHILDERS, P.C. Phoenix By S. David Childers Attorneys for Amicus Curiae Property Casualty Insurers Association of America

ADELMAN GERMAN PLC Scottsdale By Daniel J. Adelman Attorneys for Amicus Curiae Arizona Trial Lawyers Association

HARALSON, MILLER, PITT, FELDMAN & McANALLY, P.L.C Tucson By Stanley G. Feldman Attorneys for Amicus Curiae Southern Arizona Workers’ Compensation Claimants Association

R Y A N, Justice

¶1 Article 18, Section 8 of the Arizona Constitution mandates that an employee receive workers’ compensation if the employee is injured in “any accident arising out of and in the course of . . . employment,” and the injury “is caused in whole, or in part, or is contributed to, by a necessary risk or danger of such employment, or a necessary risk or danger inherent in the nature thereof, or by failure of such employer or its agents or employee or employees to exercise due care.” The issue in these consolidated matters1 requires us to determine whether Article 18, Section 8 precludes the legislature from requiring proof that the presence of alcohol or illegal drugs in an injured worker’s system was not a contributing cause of the accident before workers’ compensation benefits may be awarded.

I

A

¶2 David C. Grammatico, who installed metal trim on building exteriors for AROK, Inc., performed his work on drywall stilts approximately forty-two inches in height. After working for most of his shift on stilts, Grammatico fell while walking, on stilts, through a cluttered area of the job site. He broke his right wrist and left knee in the fall.

1 By separate order, we consolidated these cases for the purposes of this opinion.

¶3 Grammatico admitted that he had smoked marijuana and ingested methamphetamine on the previous two days, days he was not required to be at work. His post-accident urine test showed positive results for marijuana, amphetamine, and methamphetamine, all of which are illegal to use in Arizona. See, e.g., Ariz. Rev. Stat. (“A.R.S.”) § 13-3401 (Supp. 2003). Grammatico’s employer maintained a certified drug-testing policy under A.R.S. § 23-1021(D) (Supp. 2004). Under the terms of the statute, if an employer maintains such a policy, “an employee’s injury . . . shall not be considered a personal injury by accident arising out of and in the course of employment and is not compensable . . . if the employee fails to pass . . . a drug test for the unlawful use of any controlled substance,” A.R.S. § 23-1021(D), unless the employee proves that the use of an unlawful substance “was not a contributing cause of the employee’s injury.” A.R.S. § 23-1021(D)(1). When Grammatico’s employer’s insurer denied him benefits, he requested a hearing before the Industrial Commission.

¶4 After the hearing, the administrative law judge found Grammatico’s claim noncompensable because Grammatico failed to prove that his use of unlawful controlled substances “was not even a ‘slight contributing cause’” of his injuries. Grammatico then filed a statutory special action in the court of appeals. See A.R.S. § 23-951(A) (1995). The court of appeals set aside

the judge’s award, holding that A.R.S. § 23-1021(D) violates Article 18, Section 8 of the Arizona Constitution. Grammatico v. Indus. Comm’n, 208 Ariz. 10, 16, ¶ 25, 90 P.3d 211, 217 (App. 2004). Judge Barker dissented. Id. at 16–20, ¶¶ 26-44, 90 P.3d at 217-21.

B

¶5 Austin Komalestewa worked for Stoneville Pedigree Seed. Shortly after he began work one morning, Komalestewa, as he and his fellow workers often were required to do, tried to fix a conveyor belt that had “bogged down.” He crawled under the belt to put pressure on the drum, and his arm became caught in the belt, resulting in serious injury. Komalestewa’s employer’s insurance carrier denied his workers’ compensation claim because blood tests taken at the hospital shortly after the accident revealed alcohol in his blood. Komalestwa protested the denial of benefits, and hearings were conducted before an administrative law judge at the Industrial Commission.

¶6 During the hearing, Komalestwa admitted that he had four mixed drinks containing vodka the night before the accident. An expert testified that based on blood drawn after the accident, Komalestewa’s blood-alcohol level at the time of the accident would have been at least 0.176 percent. However, Komalestewa’s wife, the employer’s site manager, and a co-worker testified that Komalestewa did not appear intoxicated the

morning of the accident.

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