Western Kentucky Coca-Cola Bottling Co. v. Runyon

410 S.W.3d 113, 2013 WL 3122750, 2013 Ky. LEXIS 297
CourtKentucky Supreme Court
DecidedJune 20, 2013
DocketNo. 2011-SC-000784-DG
StatusPublished
Cited by7 cases

This text of 410 S.W.3d 113 (Western Kentucky Coca-Cola Bottling Co. v. Runyon) is published on Counsel Stack Legal Research, covering Kentucky Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Western Kentucky Coca-Cola Bottling Co. v. Runyon, 410 S.W.3d 113, 2013 WL 3122750, 2013 Ky. LEXIS 297 (Ky. 2013).

Opinion

Opinion of the Court by

Justice CUNNINGHAM.

Appellant, Western Kentucky Coca-Cola Bottling Company, Inc., (“WKCC”) is a soft drink distributorship. Appellee, Trevor Runyon, was employed at WKCC as a night loader from June, 2006 to March 26, 2009. He typically worked five shifts per week, with his days off being Wednesday and Saturday.

However, for several weeks preceding March 26, 2009, Runyon had been coming to WKCC on Wednesdays to work extra hours. Though a normal shift was approximately eight to ten hours, Runyon would work the first six hours. His shift supervisor, Cecil Webb, explained that this arrangement was permitted so that Runyon could accumulate enough hours per week to maintain his full-time status. Thus, for over a month, Runyon had worked at WKCC on Wednesdays from noon to about 6 p.m.

Runyon’s employment with WKCC was not entirely harmonious. He was suspended for three days in 2008 due to tardiness and absenteeism. His supervisor also complained that Runyon was difficult to work with and could not get along with his co-workers.

On Sunday, March 22, 2009, Runyon was scheduled to work. Runyon testified that he called the weekend supervisor, Justin Mercer, that morning and informed Mercer that he could not work due to illness. Runyon also missed his scheduled shift the following day. Again, Runyon claims he notified Webb by telephone. Webb denies ever speaking with Runyon that day. Webb also testified that he asked Mercer if Runyon had called in the previous day and Mercer told him that Runyon had not.

On Tuesday, March 24, 2009, Runyon worked his normally scheduled shift. Webb testified that Runyon approached him following the Tuesday shift and asked if he could work the next day. According to Webb, Runyon specifically wanted to make up the hours he had missed on Sunday and Monday. Webb agreed, though he reprimanded Runyon for not having called in to report his absence on Sunday or Monday. Further, Webb testified that Runyon asked to work all day on Wednesday to make up for the missed hours. Again, Runyon denies this conversation and testified that he arrived at work on Wednesday per his recent habit.

On Wednesday, March 25, 2009, Runyon arrived at work at the start of the shift. However, he clocked out approximately two hours after the shift began. When Webb inquired, Runyon said he was leaving. He told Runyon that he could not “come and go as he pleased.” Runyon did not reply, except to say he was “taking care of business,” and offered no specific explanation as to why he was leaving before the shift had ended.

The following day, Thursday, March 26, 2009, Runyon again arrived at WKCC for his normally scheduled shift. Webb immediately discharged Runyon for his unexcused absences, chronic tardiness, and leaving the previous day without providing a reason. Runyon filed for unemployment benefits that same day.

The Division of Unemployment Insurance originally determined that Runyon had not been discharged by WKCC for [116]*116misconduct. WKCC appealed. A hearing was held and the Unemployment Appeals referee set aside the decision. The referee concluded that Runyon had been discharged for misconduct related to his employment. Runyon appealed the referee’s decision to the Kentucky Unemployment Insurance Commission (the “Commission”), which reversed.

WKCC then appealed to the Warren Circuit Court. WKCC properly filed a complaint, naming both the Commission and Runyon as defendants pursuant to KRS 341.450. The Commission answered the complaint, but Runyon never responded. The Warren Circuit Court entered a default judgment against Runyon and then simultaneously entered an order affirming the decision of the Commission on the merits.

WKCC then appealed to the Court of Appeals, which affirmed the Warren Circuit Court. The Court of Appeals concluded that the Commission’s decision was based on substantial evidence. Further, the Court of Appeals determined that the circuit court’s order affirming the Commission modified the default judgment, thereby rendering it a nullity. This Court granted discretionary review. For the reasons set forth herein, we reverse.

Default Judgment

We first turn to the issue of the default judgment. WKCC argues that the default judgment disposed of the case in its favor and effectively bars appellate review of the matter by the circuit court, the Court of Appeals, and this Court. The Coui't of Appeals concluded that the default judgment was essentially vacated by the trial court’s order affirming the Commission’s decision. We disagree with both positions.

The order granting default judgment, pursuant to CR 55.01, was not proper because Runyon was never in default. An appeal from an adverse decision of the Commission is a special statutory proceeding. KRS 341.450. See also Kentucky Unemployment Ins. Com’n v. Carter, 689 S.W.2d 360, 361 (Ky.1985). As such, “the procedural requirements of the statute shall prevail over any inconsistent procedures set forth in the Rules [of Civil Procedure].” CR 1(2).

The procedures set forth in KRS 341.450 do not require Runyon to file an answer. KRS 341.450(1) directs the aggrieved party to file a complaint “against the [C]om-mission.” KRS 341.450(2) directs the Commission to file its answer within twenty days of service of the complaint. Though Runyon was properly named a defendant, as required by KRS 341.450(1), there is no requirement that any defendant other than the Commission answer the plaintiffs complaint.

Clearly, the procedures set forth in KRS 341.450 are inconsistent with the pleading requirements of CR 7.01. CR 1 directs that the statutory procedures prevail. As such, Runyon was not required to answer WKCC’s complaint. Therefore, he did not “fail[ ] to plead or otherwise defend.” CR 55.01. Default judgment was not proper under these circumstances and was void ab initio. Accordingly, the order granting default judgment is hereby vacated.

The Commission’s Order

We next turn to the merits of the Commission’s order. The Commission is not bound by the referee’s decision; it reviews the matter de novo and may affirm, modify, or set aside the referee’s decision based on the evidence submitted. KRS 341.430(1). On appeal, we first review the Commission’s findings of fact, which are binding if they are supported by substantial evidence of probative value. Kentucky Unemployment Ins. Com’n v. Cecil, 381 S.W.3d 238, 245 (Ky.2012). We [117]

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
410 S.W.3d 113, 2013 WL 3122750, 2013 Ky. LEXIS 297, Counsel Stack Legal Research, https://law.counselstack.com/opinion/western-kentucky-coca-cola-bottling-co-v-runyon-ky-2013.