State Ex Rel. Fish v. Industrial Accident Board

362 P.2d 852, 139 Mont. 246, 1961 Mont. LEXIS 42
CourtMontana Supreme Court
DecidedJune 9, 1961
Docket10254
StatusPublished
Cited by6 cases

This text of 362 P.2d 852 (State Ex Rel. Fish v. Industrial Accident Board) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Ex Rel. Fish v. Industrial Accident Board, 362 P.2d 852, 139 Mont. 246, 1961 Mont. LEXIS 42 (Mo. 1961).

Opinion

MR. JUSTICE CASTLES

delivered the Opinion of the Court.

This is an original proceeding in which the relator seeks a writ of prohibition to prohibit the Industrial Accident Board from further consideration of a record taken at a hearing before a referee under circumstances hereinafter related. We granted an alternative writ on May 1, 1961, returnable on May 11, 1961.

On the return day the respondent Board appeared by a *247 motion to quash service of the writ, a motion to quash the alternative writ, and an answer on return to the alternative writ.

The petitioner is one of counsel for a claimant against the Industrial Accident Board under the Workmen’s Compensation Act, R.C.M. 1947, § 92-101 et seq. The Board set a hearing on the claim for April 27, 1961, in Deer Lodge, Montana, designating one George Wood as the hearing examiner. The claim came on for hearing on that day. The petition alleged that during the course of the hearing, at the noon lunch hour, counsel for the claimant first discovered that the hearing examiner was not a regular employee of the Board, but was, in fact, engaged in a private enterprise as an insurance adjuster, his principal business being devoted to the settlement and adjustment of workmen’s compensation claims, for and on behalf of insurance companies engaged in such business in Montana.

The petition then alleged that Wood’s adjusting business was located in Missoula; that the insurance carrier involved in the instant claim was the Glacier Assurance Company with offices in Missoula; that the Board makes their award of compensation solely upon the recommendations of the hearing examiner, that no transcript of the hearing is made upon which the Board may review the evidence narrated; and that the Board exclusively determines the award upon the findings of the examiner.

The petition then alleged that the hearing examiner exhibited great prejudice at the hearing by compelling the claimant to testify, over objection as to the date on which he retained counsel to assist in protecting his claim, stating that such information was important to him.

It was then alleged that by reason of an alleged conflict of interest on the part of the hearing examiner that the claimant was denied a fair and impartial hearing as is his right under Article III, § 27, of the Constitution of Montana, and the *248 Fourteenth Amendment to the Constitution of the United States.

We previously stated that a motion to quash service of the alternative writ was made, but we do not deem that matter to be of importance to this opinion, and shall not discuss it.

However, we shall discuss the motion to quash the alternative writ and the answer and return to the writ. While the petition was vague as to whether the hearing examiner had been or was employed by the insurance carrier the answer and return makes clear that the hearing examiner was not an employee of the insurance carrier nor connected with the carrier in any manner. With this fact made clear then, the petition for the writ, in effect, charges that ipso facto an insurance adjuster has such a conflict of interest that he cannot grant a fair and impartial hearing. Of course, in addition, the petition did allege that the examiner exhibited great bias by requiring the claimant to testify as to his employment of counsel.

As to this latter matter, we do not have before us any of the record which would permit us to determine the relevancy of the question of employment of counsel, but upon oral argument counsel for the Board suggested several situations wherein such inquiry might be pertinent as to the length of time a claim lay dormant so as to go to the weight of testimony, etc. At any rate, no showing was made by the record, or by any statement of fact, or during argument just how the question and answer demonstrated bias.

The return affirmatively alleged that the hearing examiner was an experienced and well-qualified person to act, in that he was a former full-time employee of the Board for three years; that his findings had been in favor of claimants in ninety-five percent of the cases he had heard; that he was a well-qualified, impartial, and open-minded person.

We granted the alternative writ because of this court’s desire to zealously guard the right to fair and impartial hearings. It is not necessarily the fact of bias that concerns us but *249 the possibility that bias might exist. This follows because of the provisions of section 92-109, R.C.M. 1947, which provides in part:

“* * * Every finding * * * made by any * * * referee * * * when approved and confirmed by the board * * * shall be deemed to be the finding * * * or award of the board. ’ ’

Our oft-quoted rule that the findings of fact by the Board will not be disturbed unless the evidence clearly preponderates against them presupposes that the findings were made by an unbiased Board and referees in a similar setting. This is the type of bias which gives rise to the statutory rules on disqualification of jurors. The Federal and State Constitutions require no less. Because the courts, including this court, have repeatedly indulged in the presumption that public officials do their legal duty, the courts zealously guard against any situation in which the possibility of an unfair hearing may occur.

It was because of our concern for the hearing procedures upon which we rely that our alternative writ in this cause was granted.

It is charged in the petition that the referee does not prepare a transcript of the hearing (unless an appeal be taken) and the Board acts, not upon a transcript, but upon the findings and recommendations of the referee. Upon the hearing, counsel for the respondent admits that such a situation prevails.

Previously in State ex rel. Mueller v. District Court, 87 Mont. 108, 285 P. 928, 930, a somewhat similar matter was before this court in an original proceeding. We had this to say:

“* * * An accused officer is guaranteed a trial upon the charges against him before an independent, specially created tribunal which has exclusive jurisdiction of the subject matter. In other words, the police commission is *250 a special tribunal, created by statute, having quasi-judicial powers to hear and determine charges preferred against a member of the police department. It is a subordinate and administrative tribunal, vested with disciplinary powers, and is not limited by the provisions of the Constitution which apply to courts. People ex rel. Flanagan v. Board of Police Com’rs, 93 N.Y. 97; People ex rel. Meyer v. Roosevelt, 23 App.Div. 514, 48 N.Y.S. 537, 540; Id., 155 N.Y. 702, 50 N.E. 1121.
“The statute makes no provision for the disqualification of members of the commission on the ground of bias or prejudice, and it must be held, in accordance with the law, that, regardless of the personal opinions of its members, this tribunal has exclusive jurisdiction of the subjects delegated to it, and its members are not vulnerable to such attack.

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Bluebook (online)
362 P.2d 852, 139 Mont. 246, 1961 Mont. LEXIS 42, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-fish-v-industrial-accident-board-mont-1961.