North v. McRae

817 S.E.2d 793
CourtCourt of Appeals of North Carolina
DecidedSeptember 4, 2018
DocketNo. COA17-698
StatusPublished

This text of 817 S.E.2d 793 (North v. McRae) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
North v. McRae, 817 S.E.2d 793 (N.C. Ct. App. 2018).

Opinion

STROUD, Judge.

Defendants appeal from the trial court's order denying summary judgment to dismiss plaintiffs' negligence claims based upon their contention that plaintiff Morgan North's ("Morgan") claim must be brought before the Industrial Commission because Morgan was an employee of the McRae defendants when she was injured. Defendants have simultaneously denied the existence of an employment relationship between Morgan and the McRae defendants before the Industrial Commission. On appeal, defendants now argue that the trial court had no jurisdiction to decide their motions for summary judgment based upon the issues of existence of an employment relationship, and it should have dismissed plaintiffs' case because the Industrial Commission must make this determination in the first instance. Because parties cannot confer jurisdiction upon a court or upon the Industrial Commission merely by filing a claim or making an allegation, and based upon the forecast of evidence, the trial court correctly determined that there are genuine issues of material fact and summary judgment should be denied. We affirm the trial court's order.

I. Background

A. Factual Background

This case arises out of plaintiffs' complaint which includes claims of negligence of the defendants which allegedly caused serious injuries to Morgan. Plaintiffs' complaint alleged that defendants Richard H. McRae and Amy P. McRae ("the McRae defendants") operated six large chicken houses on a 93 acre tract of land in Scotland County, North Carolina, to grow and produce chickens for profit under an agreement with defendants Mountaire Farms, Inc. and Mountaire Farms, L.L.C. ("the Mountaire defendants"). The McRae defendants hired Melissa Barrington as their farm manager, and Ms. Barrington was paid weekly and provided with a place to live on the farm. The complaint further alleged that the McRae defendants were aware and approved of Ms. Barrington allowing her two daughters, Morgan, and another minor to assist her with her duties maintaining the farm, including helping out in the chicken houses. They were paid cash for their assistance.

On 2 August 2013, Ms. Barrington told the girls-including Morgan, who had been staying with the Barrington's on the chicken farm that week-that she needed help cleaning "the chicken dust off the louvers off the fans in one or more of the chicken houses[.]" While she was cleaning the louvers, "Morgan's right hand was pulled into the blades of the fan where she was working" and "she sustained severe and deep lacerations on the top of her wrist and fractures of four of her fingers. The skin on the top of her right hand was peeled away, and she sustained other severe physical injuries to her right hand as well as horrible disfigurement." We will not discuss the allegations of negligence in more detail as they are not relevant to this issue presented in this appeal.

B. Procedural Background

In July 2016, plaintiffs filed a complaint alleging Morgan's severe bodily injury was caused by the negligence of defendants. In November 2016, defendants answered, denying the allegations of negligence. The individual McRae defendants also raised seven affirmative defenses; the Mountaire defendants raised twenty affirmative defenses; and McRae's Electrical Contractors raised six affirmative defenses, although no defendant raised an affirmative defense of lack of jurisdiction based upon the Workers' Compensation Act. On 16 December 2016, defendants took an oral deposition of Morgan.

On or about 11 January 2017, Morgan filed a Workers' Compensation claim against the McRae defendants, alleging that she was their employee at the time of the injury. In February 2017, the McRae defendants filed a Form 61 Denial of Workers' Compensation Claim, alleging there was no employee/employer relationship between Morgan and the McRae defendants and that Morgan's compensation claim was not filed promptly. On 7 April 2017, the McRae defendants and the Mountaire defendants each moved for summary judgment. In their motions and supporting briefs, defendants claimed they were entitled to summary judgment on two grounds: (1) plaintiffs' failure to show negligence and proximate cause for her negligence claim; and (2) that plaintiffs' sole remedy was under the North Carolina Workers' Compensation Act. In addition to their argument that plaintiffs had failed to forecast evidence to support a negligence claim, defendants also requested that the trial court dismiss plaintiffs' case based upon the allegation of employment by the McRae defendants in Morgan's Workers' Compensation claim.

The trial court held a hearing on 24 April 2017 on defendants' summary judgment motions. At the start of the hearing, the Mountaire defendants' counsel-with consent from plaintiffs' counsel-moved to continue the hearing on two of the bases in their summary judgment motion, related to the "alleged joint venture or partnership between the Mountaire defendants and the McRaes" and the "negligence argument." The McRae defendants did not limit their arguments in this manner but addressed both jurisdiction and the "negligence, lack of proximate cause argument." The parties first addressed the issue which defendants presented as the primary focus of the summary judgment hearing, jurisdiction of the trial court over the negligence claims based upon defendants' argument that there was no genuine issue of material fact as to Morgan's status as an employee at the time of her injury so her sole remedy should be through the pending Workers' Compensation claim. On 4 May 2017, the trial court entered its order denying defendants' motion to strike and motions for summary judgment. Defendants timely appealed to this Court.

C. Motion to Supplement the Record

Before we address the substance of this appeal, we will address plaintiffs' motions to supplement the record. On 25 August 2017, plaintiffs moved to supplement the record on appeal, asking this Court to allow documents from the Workers' Compensation claim before the Industrial Commission to be included in the record on appeal. Although the parties presented some documents related to the Workers' Compensation claim at the summary judgment hearing and addressed that claim in their arguments-indeed, it was the primary topic of argument-plaintiffs' first motion asks to supplement the record with some documents filed by a party after the summary judgment hearing, so clearly these documents could not have been considered by the trial court. We deny plaintiffs motion on these documents and strike any references to those documents in plaintiffs' brief.

On 18 September 2017, plaintiffs filed a second motion to supplement the record on appeal and requested this Court take judicial notice of the Industrial Commission's "Order Granting Plaintiff's Motion to Stay All Proceedings," filed 30 August 2017. Defendants again objected and asked that any references be stricken. We allow plaintiffs' motion to supplement with the Industrial Commission's order granting a stay. Unlike the documents filed by the parties, the order is the official action of the Industrial Commission, which we can judicially notice, and it was submitted to support an argument that a portion of defendants' argument is now moot. See, e.g., State v. King , 218 N.C. App. 384, 387-88, 721 S.E.2d 327

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Bluebook (online)
817 S.E.2d 793, Counsel Stack Legal Research, https://law.counselstack.com/opinion/north-v-mcrae-ncctapp-2018.