New Mexico State Racing Commission v. Yoakum

829 P.2d 7, 113 N.M. 561, 1991 WL 328629
CourtNew Mexico Court of Appeals
DecidedDecember 31, 1991
Docket12556
StatusPublished
Cited by10 cases

This text of 829 P.2d 7 (New Mexico State Racing Commission v. Yoakum) 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
New Mexico State Racing Commission v. Yoakum, 829 P.2d 7, 113 N.M. 561, 1991 WL 328629 (N.M. Ct. App. 1991).

Opinion

OPINION

BIVINS, Judge.

On a writ of certiorari to review the Respondent New Mexico State Racing Commission’s (SRC) Ruling 571 suspending Petitioner Jesse Lee Yoakum’s (trainer) license to participate in horse racing in New Mexico for five years, the District Court of Lincoln County adjudged the suspension void. The SRC appeals, challenging the district court’s decision that trainer’s procedural due process right to a prompt post-suspension hearing was violated. We reverse in part and remand.

A. BACKGROUND

On December 22, 1988, the SRC received a report from its appointed testing laboratory that a urine sample taken from a horse named “Follow the Fox,” supervised by trainer, tested positive for 3-Hydroxy-N-Methylmorphinan, a metabolite of the potent synthetic morphine painkiller levorphanol. “Follow the Fox” finished first in the eleventh race at Ruidoso Downs on July 16, 1988.

On December 23, 1988, the SRC wrote trainer advising him of the laboratory results and informing him that the SRC would consider these results at its January 19, 1989, meeting. The letter informed trainer that a decision would be reached regarding future action, and advised trainer: “Should you wish to be present or be represented by Legal Council [sic] at that time, please contact [the] investigator * * * as soon as possible.” Trainer received that letter on December 30, 1988. He attended the January 19 SRC meeting without counsel. Trainer did not request an opportunity to respond at that meeting and was not invited to do so.

On January 25, 1989, the SRC sent trainer a copy of its Ruling 520, which summarily suspended trainer’s license pending an informal hearing to be held within ten days if requested within that time. The letter forwarding the Ruling requested trainer to return his license, and advised trainer to contact the SRC if he had any questions. Trainer received that letter on February 3, 1989.

Before receiving the summary suspension, trainer wrote the SRC on January 31, 1989, requesting a hearing “at your next regular meeting.” In that letter, trainer requested a stay of his suspension until he could be heard. On March 14, 1989, trainer’s attorney entered his appearance before the SRC. 1 The letter accompanying the entry of appearance requested notice of any hearing dates. The letter made no request for a hearing date.

On March 15, 1989, the SRC gave notice to trainer that the evidence it had, if not rebutted or explained, constituted probable cause to suspend or revoke trainer’s license. The notice explained the basis for probable cause and notified trainer of his right to a hearing pursuant to SRC Rule 43.57, which allows trainer to be represented by counsel, present evidence, and examine witnesses. The notice further advised trainer that because of the seriousness of the charges, the SRC urged trainer to obtain counsel. This notice, no doubt, crossed with trainer’s attorney’s letter forwarding his entry of appearance, mailed one day earlier.

On June 22, 1989, the SRC conducted a hearing with Dan Myers, a commissioner, acting as hearing officer for the SRC. On July 17, 1989, Mr. Myers filed his report to the SRC. The report contained proposed findings of fact and conclusions of law which determined probable cause to suspend trainer. Trainer and his attorney attended the hearing held on June 22, 1989, and presented evidence. Notice of that hearing had been given to trainer on June 14, 1989.

That hearing considered not only the laboratory tests for “Follow the Fox,” but also for two other horses which tested positive for levorphanol. These horses ran in races on June 15, 1988, and August 27, 1988. The hearing also considered trainer’s suspension by the State of Texas for 180 days which had expired on May 4,1989.

On July 18,1989, the SRC, at a regularly scheduled meeting, suspended trainer’s license for five years. Trainer appealed the suspension by filing a petition for a writ of certiorari in the District Court of Lincoln County. The district court issued a preliminary injunction staying the suspension and later held the suspension void. The district court concluded that substantial evidence supported the suspension, and that the SRC’s decision was not fraudulent, arbitrary or capricious. The sole basis for voiding the suspension, therefore, was denial of procedural due process. This appeal by the SRC followed.

B. DISCUSSION

1. Analysis of Barry v. Barchi

From the briefs, as well as the record, it appears the district court based its decision that trainer had been denied procedural due process on Barry v. Barchi, 443 U.S. 55, 99 S.Ct. 2642, 61 L.Ed.2d 365 (1979). In that case, the New York State Racing and Wagering Board (Board), which is empowered to license horse trainers, summarily suspended Barchi’s license for fifteen days because a postrace test revealed a drug in the system of a horse he trained. Id. at 59, 99 S.Ct. at 2646. Under New York’s racing regulations, when a postrace test of a horse reveals the presence of drugs, the Board will presume — subject to rebuttal— that the horse’s trainer either administered the drug or the presence of drugs in the horse resulted from the trainer’s negligence. Id. A New York statute provides that a suspended licensee is entitled to a post-suspension hearing, but the statute specifies no time in which the hearing must be held. Id. at 61, 99 S.Ct. at 2647. The statute ordains that a summary suspension is to remain in force pending the hearing and final determination. Id. at 60-61, 99 S.Ct. at 2647. The Board is given thirty days after the hearing to issue a final order. Without resorting to these statutory procedures, Barchi filed suit in federal district court challenging the constitutionality of the New York statute. Id. at 61, 99 S.Ct. at 2647.

The Barchi Court concluded that Barchi had a property interest in his license sufficient to invoke the protection of the Due Process Clause of the Fourteenth Amendment. Id. at 64, 99 S.Ct. at 2649; U.S. Const. amend. XIV, § 1. The Court then balanced the trainer’s substantial interest in avoiding suspension with the State’s important interest in assuring the integrity of racing carried on under its auspices. Barchi, 443 U.S. at 64, 99 S.Ct. at 2649. The Court said that:

[T]he State is entitled to impose an interim suspension, pending a prompt judicial or administrative hearing that would definitely determine the issues, whenever it has satisfactorily established probable cause to believe that a horse has been drugged and that a trainer has been at least negligent in connection with the drugging.

Id.

The United States Supreme Court concluded that prior to the suspension of his license, Barchi received all the process that was due him. The Court determined the procedural statute did not affront the Due Process Clause by authorizing summary suspension without a pre-suspension hearing. Id. at 65, 99 S.Ct. at 2649.

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Bluebook (online)
829 P.2d 7, 113 N.M. 561, 1991 WL 328629, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-mexico-state-racing-commission-v-yoakum-nmctapp-1991.