Mendoza v. TAMAYA ENTERPRISES, INC.

2011 NMSC 030, 258 P.3d 1050, 150 N.M. 258
CourtNew Mexico Supreme Court
DecidedJune 27, 2011
Docket32,447
StatusPublished
Cited by9 cases

This text of 2011 NMSC 030 (Mendoza v. TAMAYA ENTERPRISES, INC.) 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
Mendoza v. TAMAYA ENTERPRISES, INC., 2011 NMSC 030, 258 P.3d 1050, 150 N.M. 258 (N.M. 2011).

Opinion

OPINION

MAES, Justice.

{1} In this appeal we first address the question of state court jurisdiction in a dram shop action brought under the Tribal-State Class III Gaming Compact (the Compact), negotiated between the State of New Mexico and the Pueblo of Santa Ana pursuant to the Indian Gaming Regulatory Act of 1988, 25 U.S.C. §§ 2701-2721 (2006). There is an apparent conflict between Section 8 of the Compact, 1 which provides for state court jurisdiction where a casino visitor has been injured by the conduct of a casino, and Section 191 of the Pueblo of Santa Ana Liquor Ordinance, which reserves exclusive jurisdiction to tribal courts. See Pueblo of Santa Ana Liquor Ordinance, 71 Fed. Reg. 17,903, 17,910 (Apr. 7, 2006) (Pueblo Liquor Ordinance).

{2} Siblings Michael and Desiree Mendoza attended a wedding reception at the Santa Ana Star Casino operated by Petitioner, Tamaya Enterprises, Inc. (the Casino), where they were served alcoholic beverages and became intoxicated. Casino employees continued to serve Michael and Desiree alcohol despite their apparent intoxication. Michael and Desiree left the Casino and were killed when their vehicle left the roadway and rolled over. Suit was filed in state court against the Casino claiming that the Casino’s delivery of alcohol to Michael and Desiree while they were obviously intoxicated was in violation of Section 184 of the Pueblo Liquor Ordinance and proximately caused their deaths. See 71 Fed. Reg. at 17,909 (“No person shall sell any alcoholic beverage to a person who the seller has reason to believe is intoxicated or who the seller has reason to believe intends to provide such alcoholic beverage to an intoxicated person.”). The Casino sought to dismiss the suit, claiming the state court lacked jurisdiction over a dram shop action where the tavernkeeper’s duty not to serve alcohol to an intoxicated person is imposed by tribal law, not state law, and where the tribal law contains a provision reserving exclusive jurisdiction to the tribal courts.

{3} Pursuant to the Compact, our state courts properly exercise jurisdiction over casino visitors’ personal injury claims. The language of Section 8 reflects the parties’ agreement on this matter and is not susceptible to differing interpretations — the Pueblo of Santa Ana (the Pueblo) consented to suit in state court for personal injury claims proximately caused by the conduct of the Casino. Thus, the exclusive tribal jurisdiction provision cannot change the agreement of the parties expressed in the clear language of Section 8. Moreover, the fact that a previous version of the Pueblo Liquor Ordinance, which included an exclusive tribal jurisdiction provision, was in effect at the time the Pueblo entered into the Compact with the State suggests that the Pueblo knowingly relinquished jurisdiction. See generally Doe v. Santa Clara Pueblo, 2007-NMSC-008, ¶ 18, 141 N.M. 269, 154 P.3d 644; Gallegos v. Pueblo of Tesuque, 2002-NMSC-012, ¶ 7, 132 N.M. 207, 46 P.3d 668. Accordingly, by virtue of Section 8 of the Compact, the Pueblo unambiguously agreed to proceed in state court for claims involving injuries proximately caused by the conduct of the Casino. Therefore, we hold that our state courts may exercise jurisdiction over this case.

{4} The second issue concerns the two types of common law dram shop claims: claims brought by third parties injured by the conduct of the intoxicated patron against a tavernkeeper (third-party claims) and claims brought by the intoxicated patron against the tavernkeeper to recover for his own injuries (patron claims). We consider the status of such common law claims following the codification of dram shop liability in the Liquor Control Act. See NMSA 1978, §§ 60-3A-1 to -12 (1981, as amended through 2009); NMSA 1978, § 41-11-1 (1986). Due to the explicit language of Section 41-11-1, limiting its application to taverns licensed under New Mexico law, we hold that Section 41-11-1 was not intended to preempt all common law claims. Accordingly, because Section 41-11-1 does not preempt all common law claims, we hold that the common law recognizes an action by a third party against a tavernkeeper for over service of alcohol. Additionally, given the Legislature’s adoption of patron claims subject to proof of gross negligence on the part of the liquor licensee, see § 41-11-1(B), we hold that modern public policy supports an analogous common law patron claim. Therefore, we affirm the result reached by the Court of Appeals.

I. BACKGROUND

{5} Because our review is of the Casino’s motion to dismiss pursuant to Rule 1-012(B)(6) NMRA, we accept as true all facts pleaded in the complaint in order to determine whether the plaintiffs “may prevail under any state of the facts alleged.” Callahan v. N.M. Fed’n of Teachers-TVI, 2006-NMSC-010, ¶ 4, 139 N.M. 201, 131 P.3d 51. The following facts were pleaded by the personal representatives (Respondents) of Michael and Desiree Mendoza in their second amended complaint.

{6} On July 9, 2006, Michael and Desiree attended a wedding reception at the Casino. Casino employees served alcoholic beverages to Michael and Desiree at the reception; as a result, Michael and Desiree became intoxicated. Casino employees continued to serve Michael and Desiree alcohol despite their apparent intoxication. Following the reception, Michael and Desiree left the Casino and traveled south on 1-25. North of the Tramway exit, their vehicle left the roadway and rolled over, causing their deaths. No other vehicles were involved in the fatal crash. Respondents also allege that the Casino is licensed by the Pueblo to sell and serve alcoholic beverages. Respondents do not allege which of the siblings was driving the vehicle at the time of the crash.

{7} Respondents filed a suit for wrongful death against the Casino, seeking to impose liability on the Casino for selling or serving alcoholic beverages to intoxicated persons. They claim that the Casino’s delivery of alcohol to Michael and Desiree while they were obviously intoxicated was in violation of Section 184 of the Pueblo Liquor Ordinance and proximately caused their deaths. See 71 Fed. Reg. at 17,909 (“No person shall sell any alcoholic beverage to a person who the seller has reason to believe is intoxicated or who the seller has reason to believe intends to provide such alcoholic beverage to an intoxicated person.”).

{8} Before the district court, the Casino moved to dismiss for failure to state a claim upon which relief can be granted pursuant to Rule 1-012(B)(6). See Mendoza v. Tamaya Enters., 2010-NMCA-074, ¶ 1, 148 N.M. 534, 238 P.3d 903. The district court granted the Casino’s motion to dismiss and subsequently denied Respondents’ motion for reconsideration. Id. ¶ 3.

{9} Respondents appealed, and the Court of Appeals issued an opinion reversing the district court’s dismissal of the complaint and remanding for further proceedings. See id. The Court of Appeals held that claims by casino visitors for “bodily injury or property damage” were within the Compact’s grant of state court jurisdiction and therefore concluded that the district court could properly exercise jurisdiction over the matter. Id. ¶24. The Court also held that “there is a recognized common law cause of action for an injured, third-party passenger,” id.

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Bluebook (online)
2011 NMSC 030, 258 P.3d 1050, 150 N.M. 258, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mendoza-v-tamaya-enterprises-inc-nm-2011.