Merino v. State

320 P.3d 153, 179 Wash. App. 889
CourtCourt of Appeals of Washington
DecidedMarch 11, 2014
DocketNo. 43865-8-II
StatusPublished
Cited by1 cases

This text of 320 P.3d 153 (Merino v. State) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Merino v. State, 320 P.3d 153, 179 Wash. App. 889 (Wash. Ct. App. 2014).

Opinion

Hunt, J.

¶1 Douglas and Kay Merino1 appeal the superior court’s denial of their motion for summary judgment and granting of the State’s motion for summary judgment in their action for disability benefits against the Washington State Patrol (WSP). Merino argues that Washington law entitles him to disability compensation as long as he remains disabled from injuries incurred in the line of duty, even after WSP terminated his employment as a trooper for violating WSP regulations. Holding that under RCW 43.43.040, Merino’s disability benefits vested when he became disabled in the line of duty and that he is entitled to continuing disability payments, we reverse the superior court’s summary judgment rulings and remand for entry of summary judgment in favor of Merino, reinstatement of his disability benefits, and calculation of attorney fees to which he is entitled under RCW 49.48.030.

FACTS

I. Background

A. WSP Disability Status

¶2 The parties agree on the facts. Douglas Merino joined the WSP in 1978 and served as a fully commissioned trooper until October 11, 1988, when he suffered a herniated disc and injuries to his left neck and left shoulder after being ejected from a patrol vehicle while on duty. As a result of these injuries, Merino was unable to meet the physical requirements for his WSP trooper position and went without pay from 1989 through 1991. On February 10, 1994, then-Chief Roger Bruett placed Merino on full job-related disability status, for which he received monthly payments equal to one-half of his previous active-status monthly [893]*893salary. 2 Sometime thereafter, Merino found employment as an investigator with the Department of Labor and Industries (L&I).

¶3 On November 1, 1999, more than five years after becoming disabled, Merino received a certified letter that the WSP sent to all troopers on disability status at that time. This letter (1) confirmed that Merino was an “employee on inactive status due to a disability,” (2) informed him that he must continue to comply with WSP regulations and policies, (3) required him to sign and to return the letter, and (4) threatened potential loss of his disability payments if he did not do so. Clerk’s Papers (CP) at 212. Merino promptly signed and returned the letter.

B. Insurance Fraud; WSP Termination

¶4 In 2005 and 2006, while still on WSP disability status, Merino became involved in an insurance fraud scheme: He attempted to defraud Farmers Insurance of $60,000 and lied to insurance investigators questioning this claim. On January 28, 2008, a jury convicted Merino of two felony counts of fraud based on this false insurance claim. Three days later, WSP received a letter from Merino asking to retire. On February 1, WSP advised Merino that he was not eligible to retire because he had not yet applied for active duty status.

¶5 Merino’s fraud involvement prompted WSP to investigate whether he had violated WSP regulations, and it charged him with several grounds for discipline. On June 2, 2008, WSP Chief John Batiste conducted a predetermina[894]*894tion hearing to give Merino an opportunity to respond to WSP’s administrative disciplinary charges; Merino’s attorney was present, but Merino was not. On August 6, Chief Batiste found that Merino had violated WSP regulations and terminated him from WSP for violating WSP Rules of Conduct Regulation 8.00.010. As a result of Merino’s employment termination, WSP terminated his disability payments.3

II. Procedure

¶6 Merino did not appeal Chief Batiste’s decision.4 On January 31,2011, Merino sued the State ofWashington, the Washington State Department of Retirement Systems, WSP, Chief Batiste, and WSP Deputy Chief David Karnitz.5 Merino and the defendants filed cross-motions for summary judgment under CR 56. Merino argued that WSP had wrongfully terminated his disability payments because he remained disabled from injuries in the line of duty. The defendants sought dismissal of all of Merino’s claims.

¶7 The superior court denied Merino’s summary judgment motion and granted summary judgment to WSP, ruling that RCW 43.43.040 entitled Merino to

a disability benefit so long as he was an officer of [the] WSP and not fit to return to active duty. The fact that he committed a fraud and the fact that he was convicted of a crime did not affect his right to continued receipt of the disability payment; but when he was terminated from the WSP the right to the payment also terminated because he was no longer an officer.

CP at 308. Merino appeals.6

[895]*895ANALYSIS

¶8 Merino argues that (1) his WSP disability benefits vested when he was hired as a state patrol officer in 1978; (2) Washington law requires payment of disability benefits as long as his disability exists and does not allow termination of these vested benefits, regardless of whether he was terminated from WSP for committing a felony; and (3) under Wash. Const, art. I, § 15, his disability compensation qualifies as an “estate,” which cannot be forfeited based on a felony conviction. WSP counters that the superior court ruled properly on summary judgment because (1) Merino’s disability payments were compensation paid by his employer and, thus, were not vested benefits; and (2) the disability compensation that Merino received was specifically provided only to WSP officers, for which Merino no longer qualified when he was terminated from WSP.

¶9 Merino’s first argument fails: His disability benefits did not vest when he was hired as a WSP trooper; rather, he was entitled to such benefits only if and when he became disabled in the line of duty, the point at which these benefits vested. See RCW 43.43.040(1); see also State ex rel. Johnson v. Funkhouser, 52 Wn.2d 370, 373, 325 P.2d 297 (1958). We agree with Merino’s second argument; and, therefore, we do not reach his third, constitutional argument. We hold that the legislature enacted RCW 43.43.040 to provide disability benefits to WSP officers that vested upon injury in the line of duty; Merino’s WSP disability benefits vested when he was injured in the line of duty; and, therefore, they are a vested statutory benefit that continues as long as he remains disabled, including after his termination from WSP.

I. Standards of Review

¶10 We review a summary judgment ruling de novo, “engaging in the same inquiry as the trial court.” Navlet v. [896]*896Port of Seattle, 164 Wn.2d 818, 827, 194 P.3d 221 (2008) (citing City of Sequim v. Malkasian,

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Douglas Merino, V. Dept. Of Retirement Systems
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320 P.3d 153, 179 Wash. App. 889, Counsel Stack Legal Research, https://law.counselstack.com/opinion/merino-v-state-washctapp-2014.