Shenandoah Motors, Inc. v. Smith

672 S.E.2d 127, 53 Va. App. 375, 2009 Va. App. LEXIS 54
CourtCourt of Appeals of Virginia
DecidedFebruary 10, 2009
Docket0883084
StatusPublished
Cited by3 cases

This text of 672 S.E.2d 127 (Shenandoah Motors, Inc. v. Smith) is published on Counsel Stack Legal Research, covering Court of Appeals of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Shenandoah Motors, Inc. v. Smith, 672 S.E.2d 127, 53 Va. App. 375, 2009 Va. App. LEXIS 54 (Va. Ct. App. 2009).

Opinion

JEAN HARRISON CLEMENTS, Judge.

Shenandoah Motors, Inc. and VADA Group Self-Insurance Association (collectively, employer) appeal a decision of the Workers’ Compensation Commission (commission) awarding temporary partial disability benefits to Barbara Jean Smith (claimant). In reaching that decision, the commission concluded that claimant’s post-injury termination from full-duty employment with employer, even if that termination was for cause, did not bar her, under Code § 65.2-510, from receiving post-termination partial disability benefits, because employer made no “actual bona fide job offer” of selective employment during claimant’s period of partial disability and the conduct of claimant that led to her termination was not “criminal or sufficiently egregious” to waive that requirement. On appeal, employer contends the commission erred in holding employer did not establish a constructive refusal of selective employ *378 ment under Code § 65.2-510, even though the evidence showed employer would have made suitable light-duty employment available to claimant during the period of her partial disability but for her prior termination for cause, and, alternatively, in finding claimant’s misconduct and poor sales performance at work insufficiently egregious to bar her claim. Under the facts of this case, we reverse the commission’s decision awarding claimant temporary partial disability benefits and remand for further proceedings consistent with this opinion.

I. BACKGROUND

On August 17, 2005, claimant suffered a compensable injury to her left hip while working for employer as a car salesperson, and an award of medical benefits was subsequently issued. Claimant’s treating physician released her to return to work on September 8, 2005, with no restrictions. Claimant returned to work that day and resumed her normal work duties and hours with employer. 1 Claimant continued on full-duty work with employer until she was fired on November 29, 2005, for repeatedly failing to meet her monthly sales quota and for her poor work habits. Claimant was under no work restrictions at the time of her discharge.

On June 1, 2006, claimant’s treating physician placed her on light-duty restrictions due to hip and back problems related to her August 17, 2005 injury. Claimant obtained suitable light-duty employment on her own.

*379 On August 4, 2006, claimant filed a claim for temporary partial disability benefits from June 1, 2006, and continuing.

At the May 22, 2007 hearing before the deputy commissioner, the parties stipulated that claimant’s post-termination back and hip problems were compensable consequences of her August 17, 2005 injury and that claimant had been partially disabled since June 1, 2006, and continuing. The parties further stipulated that claimant had a pre-injury weekly wage of $402.90 and a post-injury weekly wage of $114.67. Employer defended the claim on the ground that claimant was terminated for cause. Claimant objected to “the late assertion” of employer’s defense and moved to have it stricken. Taking claimant’s motion under advisement, the deputy commissioner heard evidence on employer’s defense.

Robert Houck, general manager for employer, testified at the hearing that he first became aware of claimant’s poor work habits and inferior sales performance in early June 2005. At the time, claimant’s sales average for the year was 5.2 vehicles per month, which was below the minimum sales standard of eight vehicles per month and the lowest average of all of employer’s sales associates, the rest of whom regularly “ma[de] their quota.” According to Houck, claimant often arrived late to work, slept and played solitaire in her office during work hours, failed to greet customers when they came on the lot, was rude to customers and co-workers, and even told at least one of her co-workers that she wished employer would “fire her so she could draw unemployment.” Houck testified that claimant’s poor sales performance and misconduct continued after her accident. Houck further testified that, despite numerous warnings from employer’s sales manager and a warning from Houck himself in September 2005, claimant’s work habits and sales performance did not improve and, after selling only three vehicles in October and only two in November, claimant was fired on November 29, 2005. Lastly, Houck stated that he was not aware of claimant having been placed on any light-duty restrictions related to her August 17, 2005 injury by accident, but, “[i]f there had been *380 light[-]duty restrictions, [he] would have been able to work with her to accommodate [those] restrictions.”

In response to the only two questions asked of him on cross-examination, Houck testified that claimant’s sleeping at work was not limited to her lunch hour.

Claimant testified that she slept at work only during her lunch hour and that she was not the only salesperson who ignored customers on the lot. She denied ever playing solitaire “while there were customers on the floor.” She admitted not making her sales quota in certain months, but blamed the other salespeople for “contributing to [her] lack of sales” by preventing her from approaching customers. She further stated that she met her sales quota “numerous times” in the past and was, in fact, previously awarded for her sales performance.

In a written statement in support of her motion to strike employer’s defense, claimant argued that employer’s failure to notify her of its intent to assert the termination for cause defense until after the close of business on Friday, May 18, 2007, deprived her of the chance to properly investigate that previously unidentified defense and adequately challenge it at the May 22, 2007 hearing. Claimant also argued, relying on M & S Auto Parts, Inc. v. Presgraves, 45 Va.App. 455, 611 S.E.2d 655 (2005), that the termination for cause defense under Code 65.2-510(A) was inapplicable as a matter of law in this case because she was working full duty when she was terminated by employer and employer did not offer her suitable selective employment after her physician placed her on light-duty restrictions on June 1, 2006. 2

In response, employer asserted that it notified claimant of its intent to raise the termination for cause defense “immediately after determining” that the defense was appropriate and *381 that claimant had adequate notice of the defense and could not “demonstrate any prejudice resulting from the timing of [the] notification.” Employer also argued that Presgraves was factually distinguishable and thus inapplicable to this case, because, unlike in Presgraves, employer presented evidence in this case to show that, but for claimant’s termination for cause, “employer could and would have accommodated” claimant’s light-duty restrictions.

Initially finding that claimant “had adequate notice of [employer’s] defense and [could] demonstrate no prejudice in the timing of the notification,” the deputy commissioner denied claimant’s motion to strike employer’s defense on that ground.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
672 S.E.2d 127, 53 Va. App. 375, 2009 Va. App. LEXIS 54, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shenandoah-motors-inc-v-smith-vactapp-2009.