Tuma v. Kosterman

682 P.2d 1275, 106 Idaho 728, 1984 Ida. LEXIS 497
CourtIdaho Supreme Court
DecidedJune 14, 1984
Docket14516
StatusPublished
Cited by14 cases

This text of 682 P.2d 1275 (Tuma v. Kosterman) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tuma v. Kosterman, 682 P.2d 1275, 106 Idaho 728, 1984 Ida. LEXIS 497 (Idaho 1984).

Opinions

DONALDSON, Chief Justice.

This case is an appeal from a ruling of the Idaho Industrial Commission on the sole issue of whether appellant (employer) may claim an exemption from liability under the Idaho Workmen’s Compensation Act. Respondent (employee) was injured while on appellant’s premises on September 29, 1980, and subsequently petitioned the Idaho Industrial Commission for compensation pursuant to the Workmen’s Compensation Act. Appellant contended that he was exempted from liability on the following theories: (1) appellant’s thoroughbred horse business was an exempt activity under I.C. § 72-212(8), as an agricultural pursuit; (2) respondent was an independent contractor as defined by I.C. § 72-102(13); and (3) respondent’s employment was casual pursuant to I.C. § 72-212(2). Appellant appeals from the Industrial Commission’s finding that he was not exempt from liability under the Workmen’s Compensation Act, and thus was required to pay compensation to respondent. We affirm the order of the Industrial Commission.

Appellant owns and operates Fantasy Thoroughbred Farms. At the time of the hearing, thirty acres of the 110-acre farm were used to conduct a thoroughbred horse [730]*730operation, with the remainder leased to third parties. Appellant had approximately sixty thoroughbred horses at his farm including stallions, brood mares, yearlings, and twenty to twenty-five horses used specifically for racing. He had been raising horses for approximately thirty years. Appellant testified that approximately 50% of the farm revenue stemmed from winning races with his horses, and the other 50% from the sale of horses that were not to be used in the racing operation. In addition to owning and conducting the thoroughbred business, appellant was employed full time at an outside venture.

To train horses for the racing circuit, it is first necessary to gallop them on a regular basis for several months before training begins. Before the time of the alleged accident, appellant had always sent his horses to professional trainers where the galloping service was performed. Appellant later decided he would begin galloping his horses on the farm. He contacted respondent to see if she would gallop his horses. It was decided that respondent would begin on September 29, 1980. Respondent would be paid $2 or $3 per gallop. Appellant apparently felt that respondent would initially be working on a trial basis. Respondent assumed that she would be working for a period of sixty days, the galloping time necessary before the horses’ training would begin. She did assume, however, that appellant would terminate her if he was at any time dissatisfied with her work.

On September 29, 1980, respondent met appellant at the farm to begin galloping the horses. Appellant provided the equipment which was to be used, and then indicated what he knew about each horse respondent was to ride and gave her instructions on the use of the reins, the tightness of the reins, and the distance to be covered. Respondent then galloped each horse while appellant observed. While respondent was attempting to take the third horse to the oval track where it was to be galloped, the horse became skittish and fell over on respondent. She was injured during this incident, and it is for these injuries that she claimed compensation.

I.

We will first examine whether appellant’s business was exempt from Workmen’s Compensation Laws, under I.C. § 72-212(8), as an agricultural pursuit. An agricultural pursuit is specifically defined by the statute as “the raising or harvesting of any agricultural or horticultural commodity including the raising, pelting, shearing, feeding, caring for, training and management of livestock, bees, poultry and fur-bearing animals and wildlife raised in captivity, on inclosed lands and public ranges.” Appellant is involved in the “raising, ... feeding, caring for, training and management of” horses, which have been defined by this Court as livestock.1 While these activities arguably fall within the statutory definition of an “agricultural pursuit,” our analysis does not end here.

In the recent case of Lesperance v. Cooper, 104 Idaho 792, 663 P.2d 1094 (1983), we summarized the principles that we have relied upon previously in determining whether an employer is engaged in an agricultural pursuit. We concluded that the trier of fact must look at the following factors: (1) “the general nature of the employer’s business;” (2) “the traditional meaning of agriculture as the term is commonly understood;” and, (3) “that each business will be judged on its own unique characteristics.” Id. at 794-95, 663 P.2d at 1096-97.

In Lesperance, we relied upon both the statutory definition of an agricultural pursuit, and the application of the three factors stated above, in reaching our decision that a cattle feed operation was an agricultural pursuit. Id. at 795, 663 P.2d at 1097. In conjunction with the statutory definition, we believe these three factors provide the [731]*731necessary framework within which to completely analyze whether a specific business falls within the exemption.

In applying the first factor to the case at bar, we view the general nature of the employer’s [appellant’s] business to be both the sale and racing of thoroughbred horses. Indeed, appellant testified that approximately 50% of the farm revenue stemmed from winning races with his horses and the other 50% from the sale of horses. Thus, we cannot say that the “general nature” of appellant’s business was primarily horse breeding. Rather, it appears that appellant’s business was split equally between horse breeding and horse racing.

As to the second factor, the traditional meaning of agriculture may arguably include horse breeding, but, it can hardly include the training and racing of racehorses. We do not view horse racing as typical of an ordinary farmer, or in any way related to an agricultural purpose. Manning v. Win Her Stables, Inc., 91 Idaho 549, 428 P.2d 55 (1967).

In examining the third factor, the unique characteristics of the appellant’s business, it is apparent that appellant is involved in two business activities, horse breeding and horse racing. Even assuming that horse breeding is an exempt activity, we do not view horseracing as an exempt activity. Rather, horse racing is a covered occupation. We have stated that “where the employer is engaged in both a covered occupation and an exempt occupation, a special employee employed to work exclusively in the covered occupation is covered.” Hubble v. Perrault, 78 Idaho 448, 453, 304 P.2d 1092, 1094-95 (1956), quoted in Manning v. Win Her Stables, Inc., 91 Idaho 549, 553, 428 P.2d 55, 59 (1967); see also Kuhn v. Box Canyon Livestock, Inc., 102 Idaho 658, 660, 637 P.2d 1154, 1156 (1981); Goodson v. L.W. Hult Produce Co., 97 Idaho 264, 267, 543 P.2d 167, 170 (1975). Although horseracing may be related to horse breeding, it fairly can be said to constitute a separate enterprise.

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Tuma v. Kosterman
682 P.2d 1275 (Idaho Supreme Court, 1984)

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Bluebook (online)
682 P.2d 1275, 106 Idaho 728, 1984 Ida. LEXIS 497, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tuma-v-kosterman-idaho-1984.