State Ex Rel. Nilsen v. Cushing

453 P.2d 945, 253 Or. 262, 1969 Ore. LEXIS 449
Oregon Supreme Court·Decided April 30, 1969·Published·Cited by 13 cases

Opinions

GOOD-WIN, J.

The Labor Commissioner appeals from a circuit court judgment denying mandamus against a district judge who had denied the Commissioner’s motion for a default judgment.

The Commissioner, charged by ORS 652.330 with a duty to assist unpaid workmen in collecting wages, [264] had commenced an action in the District Court for Josephine County to collect wages and penalties on behalf of a baby sitter. The employers, a Mr. and Mrs. Donald J. Cray, were duly served with the complaint and summons, but failed to appear. The unpaid wage claim amounted to $21.00. Penalties demanded in the complaint amounted to $317.10. Costs and attorney’s fees would have run the total up to nearly $500.00. The district judge answered a request for a default judgment with a letter saying he thought the penalties required explanation. The district judge later decided not to enter judgment until he had taken testimony on the amount of wages and penalties due. The Commissioner brought mandamus, taking the position that ORS 18.080(1) (b) allowed the judge no discretion in the matter. The circuit court agreed with the district court, and the Commissioner appeals.

An action to recover wages, statutory penalties, costs and attorney fees is not an action “arising upon a contract for money or damages only,” under ORS 18.080(1) (a), but is an “other” action governed by [265] ORS 18.080(1) (b). Nordling v. Johnston, 205 Or 315, 283 P2d 994, 287 P2d 420, 48 ALR2d 1369 (1955). Accordingly, the clerk of the court was neither authorized nor required to enter the judgment. The fixing of a reasonable attorney fee was a judicial act and could not be performed by the clerk of the court. It does not follow, however, that there was a necessity for the taking of evidence.

The complaint set forth the basis for the various amounts demanded. The wage claim of $21 amounted to $10.50 per day for the two days worked. The amount was calculated at the rate of $1.50 an hour for seven hours on each day. A statutory penalty under ORS 652.350 of ten per cent added $2.10. A further penalty under ORS 652.150 (30 days’ wages at $10.50 per day) came to $315. The days worked, the rate of pay, the willfulness of the failure to pay, and all other material facts alleged in the complaint had been “admitted” by the default. Kerschner v. Smith, 121 Or 469, 472, 236 P 272, 256 P 195 (1927); Philbrick v. O’Connor, 15 Or 15, 18-19, 13 P 612 (1887).

The penalty under ORS 652.150 was mandatory. In cases of willful nonpayment of wages, “* * * as a penalty for such nonpayment, the wages or compensation of such employe shall continue from the due date thereof at the same rate until paid or until action therefor is commenced; provided, that in no case shall such wages or compensation continue for more than 30 days * * ORS 652.150: Nordling v. Johnston, supra.

Under ORS 18.080(1) (b), the taking of proof ivas not necessary. All the elements of the Commissioner’s cause of action stood admitted. Apart from the matter, of the attorney fee, which the Commissioner had expressly agreed to accept in any amount fixed by the [266] court, there was nothing in the case upon which the taking of proof could be material.

In order to defeat mandamus in this case, it has been argued that because an attorney’s fee had' to be set, it is possible that the court may have desired testimony on the amount of such fee. Such a desire, had it been expressed in the case at bar, no doubt would have been honored by the plaintiff. The parties, however, were at no time in disagreement on the matter of attorney fees, and the attempt to inject the attorney fee as a viable issue in this appeal is an attempt to dodge the only issue which was disputed below, i.e., whether or not the penalties were excessive. The court and the plaintiff fully understood that the attorney fee was not a problem, and discretion to fix fees does not draw after it a generalized discretion to refuse to enter judgment for the liquidated amounts to which the plaintiff was entitled by law upon the failure of the defendants to appear and contest the case.

It has been suggested that an Oregon court has inherent power to satisfy itself by a testimonial hearing or otherwise of the probability of the facts alleged in a complaint before granting a default judgment. Assuming, without deciding, that there may be a broad area of discretion with reference to deciding when testimony is “necessary” under ORS 18.080(1) (b), this is not such a case. Proof prior to a default judgment is “necessary” only when evidence would affect the outcome of the case. A court having before it a sworn complaint alleging a good cause of action for wages has no need to také testimony to reaffirm the allegations of the complaint. The allegations' are presumed to be true. Given the fact that the baby sitter had worked two days and had earnecl $10.50' each [267] day, the wage claim of $21 was fully liquidated and required no testimony to make it more definite. The penalty was an automatic calculation based upon a statute, and given the admission (by default) that $21 in wages remained unpaid, testimony on the matter of the penalty would have been irrelevant. The judge’s letter to the plaintiff revealed that the judge had no reason to doubt any relevant fact: “This defendant apparently owes $21.00. This Court does not feel justified in running this up to $423.35 plus interest. How can you justify it?” This letter was answered by a letter pointing out the application of the statutory penalties to the unpaid claim. Discretion in requiring proof means legal discretion, not the individual judge’s ideas about the wisdom of a particular law.

In the case at bar, the only question that could reasonably be raised by the judge would concern the construction of the applicable wage laws. The judge was entitled to be advised on the law, but, eventually, he would have a clear duty to enter some kind of a judgment. When the judge refused to enter a judgment, the plaintiff was entitled to bring mandamus to compel the entry of a judgment. ORS 1.025.

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State Ex Rel. Nilsen v. Cushing, 453 P.2d 945, 253 Or. 262, 1969 Ore. LEXIS 449 (Or. 1969).

453 P.2d 945 (State Ex Rel. Nilsen v. Cushing) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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