Maestas v. Honstein Oil Co.

888 P.2d 962, 119 N.M. 80
CourtNew Mexico Court of Appeals
DecidedNovember 8, 1994
DocketNo. 15401
StatusPublished

This text of 888 P.2d 962 (Maestas v. Honstein Oil Co.) 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
Maestas v. Honstein Oil Co., 888 P.2d 962, 119 N.M. 80 (N.M. Ct. App. 1994).

Opinion

OPINION

MINZNER, Chief Judge.

Worker appeals from a compensation order denying her benefits. Employer successfully relied upon the false representation defense discussed in a number of cases and recently analyzed by this Court in Lamay v. Roswell Independent School District, 118 N.M. 518, 882 P.2d 559 (Ct.App.1994). In Lamay, we fashioned a test to be applied in false representation cases to assist in determining whether all of the elements of the false representation defense have been adequately proved by the employer. Since the worker in Lamay had expressly declined to argue the issue of the sufficiency of the evidence supporting the workers’ compensation judge’s (judge) decision, we did not apply the new test to the facts of that case, but instead remanded it to the workers’ compensation judge for further proceedings. In this case, however, Worker does argue that there was insufficient evidence supporting the judge’s findings. Therefore, the question presented by this appeal is whether, under the test set out in Lamay and considering the standard of review, Employer has adduced sufficient evidence to prove the false representation defense.

When Worker applied for a cashier job with Employer, she filled out an employment application containing the following question and answer:

List any physical limitations or chronic illnesses. None.

The judge found that this answer was false, that Worker knew it was false when she wrote it, and that Employer relied on the answer in hiring Worker. We must determine whether, given the language of the question asked by Employer and the facts of this case, there was substantial evidence to support the judge’s findings. See Lamay, 118 N.M. at 525-26, 882 P.2d at 566-67. We hold there was not.

FACTS

Worker filled out her employment application on January 11, 1990. Therefore, it is Worker’s knowledge and state of mind at that time that is crucial to the determination in this case. Lamay, 118 N.M. at 525-26, 882 P.2d at 566-67 (employer must prove a knowing misrepresentation by a worker to prevail on false representation defense). Important factual issues to be considered are what Worker’s physical condition was at the time she filled out the employment application, what Worker knew about that physical condition, what Worker might have known about Employer’s purpose in asking the specific question at issue here, how a reasonable person would have interpreted the question asked by Employer, and what Worker knew about the tasks of the job for which she was applying. Id.

At the time Worker applied for her position with Employer, she had a degenerative disc condition in her back. There is no evidence, however, that she knew of that diagnosis at the time of the application. It appears that it was first diagnosed in x-rays taken in April 1991, after Worker was injured when an automobile crashed into the cashier’s office at Employer’s place of business. Worker did know that she had problems with her back episodically over the fifteen-year period preceding the application. She had been off work once for approximately two weeks due to a back strain when she was in her late teens or early twenties. Later, in 1985, she was hospitalized for a few days with another back strain. Dr. Caldwell, an orthopaedic surgeon, testified that the hospital records describe Worker as suffering mostly a backache, caused by muscle spasms. The hospital records reveal a final diagnosis of thoracolumbar muscle spasm and lumbosacral strain. There is nothing to indicate that Worker was told at this time that she had degenerative disc disease, or should avoid certain activities, or was at risk for further injury to her back.

Worker’s family physician, Dr. Maley, testified that Worker suffered no more recorded episodes of back difficulties following the 1985 hospitalization until over a year after she began working for Employer. No physician ever restricted her activities in any way. In addition, there is no evidence that Worker herself limited her activities due to back pain or for any other reason. She testified that after starting the job in January 1990 she had no back problems until April 1991; she was “doing great.”

Dr. Maley and Dr. Caldwell agreed that Worker had a long-term back condition caused by her degenerative disc disease. Dr. Maley did not believe that the condition was severe enough to warrant an impairment rating prior to the 1991 accident. Dr. Caldwell, on the other hand, thought that Worker did have a permanent partial impairment prior to that accident. However, she was unaware of this “impairment,” and never sought any workers’ compensation benefits for it.

Worker testified that when she applied for the cashier position, she thought the job entailed only cashier work. She did not realize that it included janitorial side work. Her supervisor, however, testified that the duties of a cashier included light cleaning, sweeping the lot, cleaning up oil or gasoline spills, stocking shelves with oil, and occasionally lifting cases of soda. He also testified that he explained these duties to Worker when she applied for the job. Employer had a form listing the duties, and the manager testified that he went over the form with Worker, and that she seemed to understand it. All employees read and sign such a form, and Worker read and signed it. There is no evidence that Employer specifically discussed the “physical limitations or chronic illnesses” question with Worker at the time she filled out the application.

APPLICATION OF LAMAY TEST

Applying the Lamay test to this case, we must first determine whether the question “List any physical limitations or chronic illnesses” is so overly broad that, as a matter of law, a prospective employee could not be expected to provide an accurate answer. Lamay, 118 N.M. at 525-26, 882 P.2d at 566-67. We hold that this question is not so vague. Under certain circumstances, this question could call for completely factual information. For example, where an applicant has suffered a prior injury and has been assigned a permanent partial impairment rating, or has been precluded by a doctor’s order from performing certain types of work, this information would appear to fall under the category of a “physical limitation.” Similarly, debilitating conditions caused by disease would seem to answer the “chronic illnesses” portion of the question. Therefore, since the question is not vague for all applicants under all circumstances, we cannot hold as a matter of law that a prospective employee could not be expected to provide an accurate answer, and thus that the question could never be the basis for a false application defense.

The next step in the Lamay analysis is to determine whether, given the language of the question, a reasonable person applying for the same job as Worker, knowing the same information about that job, having the same medical history as Worker, and the same knowledge as Worker about that history, would have understood that the question posed in the application called for a disclosure of that medical history. Id In making this determination, we look to the whole record below and resolve all conflicts in the evidence in favor of the judge’s findings. See Tallman v. ABF (Arkansas Best Freight), 108 N.M.

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Related

Tallman v. ABF (Arkansas Best Freight)
767 P.2d 363 (New Mexico Court of Appeals, 1988)
Smith v. Tinley
674 P.2d 1123 (New Mexico Supreme Court, 1984)
Lamay v. Roswell Independent School District
882 P.2d 559 (New Mexico Court of Appeals, 1994)
Gray v. J. P. (Bum) Gibbins, Inc.
408 P.2d 506 (New Mexico Supreme Court, 1965)

Cite This Page — Counsel Stack

Bluebook (online)
888 P.2d 962, 119 N.M. 80, Counsel Stack Legal Research, https://law.counselstack.com/opinion/maestas-v-honstein-oil-co-nmctapp-1994.