Perez v. Ritz-Carlton (Virgin Islands), Inc.
Opinion of the Court
OPINION OF THE COURT
(August 14, 2013)
Cenobia and Luis Sanchez Perez appeal the Superior Court’s grant of summary judgment to R.C. Hotel (Virgin Islands), Inc., and The Ritz-Carlton Hotel Company, LLC, in a case brought after Ms. Perez fell on the premises of the Ritz-Carlton Hotel on St. Thomas. Because there is sufficient evidence to allow a jury to find
I. FACTUAL AND PROCEDURAL BACKGROUND
On March 16, 2007, Cenobia Perez and Michelle Page were scheduled to give massages to two guests of the Ritz-Carlton Hotel at 10 a.m. At the time, both Perez and Page were independent contractors working at the hotel as massage therapists. Perez had been working in that capacity since 2001. Although it was “drizzl[ing]” at 10 a.m., and the rain had been “heavier” earlier in the morning, the hotel guests chose to receive their massages outside in the cabana area. (J.A. 550, 635-36.) To get from the spa to the cabana area, Perez, Page, and the guests walked outside along a coral stone pathway and staircase, which were wet from the rain. Page led the way with the two guests in the middle and Perez following behind. When Perez reached the landing at the top of the stairs, she slipped on fallen leaves, grass, dirt, and other debris that had accumulated on the stairs, falling down the stairs and injuring her head, back, and spine.
Perez and her husband Luis Perez filed a complaint in Superior Court against The Ritz-Carlton (Virgin Islands), Inc., (“RCVI”), the operator of the hotel, on September 15, 2008, alleging negligence and loss of consortium.
On May 12, 2009, RCVI, RC Hotel, and RCHC moved for partial summary judgment on the Perezes’ negligence claims, arguing that they had failed to identify evidence showing that RCVI, RC Hotel, or RCHC had notice of a dangerous condition, that the leaves and debris on the pathway and stairs was an open and obvious condition, and that their daily cleaning routine prevented a finding of negligence. Later that month, on
On September 17, 2009, the Superior Court granted summary judgment to RCVI on the negligence claims.
On June 1, 2011, the Superior Court granted summary judgment to RCVI, RC Hotel, and RCHC on the breach of contract claim, finding that the Perezes had failed to submit any evidence of a contract. In a separate order that same day, the court also granted summary judgment to RC Hotel and RCHC on the negligence claims, finding that there was no evidence to show that either defendant had notice of the debris or moss on the stairway on the day Ms. Perez fell, nor was there evidence that the stairs themselves were defective or unreasonably dangerous.
We have jurisdiction over this appeal pursuant to title 4, section 32 of the Virgin Islands Code, which vests the Supreme Court with jurisdiction over “all appeals arising from final judgments, final decrees, [and] final orders of the Superior Court.” V.I. Code Ann. tit. 4, § 32(a). The Superior Court’s June 1, 2011 Orders granting summary judgment are final orders within the meaning of section 32, Sealey-Christian v. Sunny Isle Shopping Ctr., Inc., 52 V.I. 410, 418 (V.I. 2009), and the Perezes filed a timely notice of appeal on June 27, 2011.
III. DISCUSSION
The Perezes argue the Superior Court erred in granting summary judgment because they proffered sufficient evidence to show that RC Hotel and RCHC (“Appellees”) had constructive notice of a dangerous condition on the pathway and stairs to create a question of fact for the jury. They also argue that there is sufficient evidence to show that the area where Ms. Perez fell was negligently constructed because it was built on a slope which causes leaves, grass, and soil to collect on the pathway and stairs when it rains, and that the pathway and stairs lacked adequate handrails in violation of the Virgin Islands building code.
The Superior Court’s grant of summary judgment is subject to plenary review by this Court. Williams v. United Corp., 50 V.I. 191, 194-95 (V.I. 2008). In reviewing that ruling, this Court applies the same test the Superior Court should have utilized, and may not weigh the evidence or determine the credibility of witnesses. Id. at 194-95. Instead, we view all inferences from the evidence in the light most favorable to the nonmoving party, and take the nonmoving party’s conflicting allegations as true if properly supported. Id. Although “[s]ummary judgment is a drastic remedy,” the nonmoving party may not rest on its allegations alone, but must present actual evidence, amounting to more than a scintilla, showing a genuine issue for trial. Id. (citing Anderson v. Liberty Lobby, Inc.,
In order to determine whether the Superior Court’s grant of summary judgment was appropriate, we must analyze the court’s decision in the context of the substantive law governing the cause of action. Sealey-Christian, 52 V.I. at 419. This would normally require us to determine whether the Perezes submitted sufficient evidence to support a jury finding that Appellees owed Ms. Perez a duty of care, that they breached that duty of care,, and that their actions were the legal cause of Ms. Perez’s injuries. Id. (quoting Turbe v. Gov’t of V.I., 938 F.2d 427, 428 (3d Cir. 1991) (applying the Restatements under Virgin Islands law)). But the only issue raised by Appellees in their motion for summary judgment and preserved on appeal is their argument that they had no notice of a dangerous condition — and therefore did not breach their duty of care. While they did argue in a single footnote of their motion that there was insufficient evidence regarding causation, this issue was not addressed by the Superior Court and Appellees did not raise this argument in their appellate brief. V.I.S.Ct.R. 22(m) (“Issues that were... raised or objected to [before the Superior Court] but not briefed ... are deemed waived for purposes of appeal....”). Accordingly, the only issue properly before this Court is whether the Superior Court erred in finding that the Perezes failed to submit sufficient evidence to create a genuine issue of material fact regarding Appellees’ breach of their duty of care.
We first note that a possessor of land is subject to liability for physical harm caused to its business invitees by a condition on the land only if it
(a) knows or by the exercise of reasonable care would discover the condition, and should realize that it involves an unreasonable risk of harm to such invitees, and
(b) should expect that they will not discover or realize the danger, or will fail to protect themselves against it, and
(c) fails to exercise reasonable care to protect them against the danger.
Sealey-Christian, 52 V.I. at 424 (quoting RESTATEMENT (SECOND) OFTORTS § 343).
In order to show constructive notice, courts applying Virgin Islands law have typically required plaintiffs to demonstrate that the condition existed long enough before the injury that the possessor should have discovered it in the exercise of reasonable care. Williams, 50 V.I. at 195-99 (evidence allowed an inference that “the substance had been on the floor long enough that Plaza should have discovered it”); Saldana, 260 F.3d at 232 (“Because Saldana does not allege actual notice on the part of Kmart, she would ultimately be required to show that the wax was on the floor long enough to give Kmart constructive notice of this potential unreasonable risk of harm.” (internal alternations and quotation marks omitted)); Joseph v. Speedy Gas, Inc., 55 V.I. 1219, 1228 (D.V.I. App. Div. 2011) (“To show ‘unreasonable risk of harm’ under the controlling standard, Joseph was required to demonstrate that the condition existed ‘long enough’ to present constructive notice.”). Appellees correctly point out that the Perezes failed to produce evidence showing how long the leaves and debris were on the pathway and stairs before Ms. Perez fell, and therefore they cannot survive summary judgment under this theory of constructive notice. See Saldana, 260 F.3d at 234 (affirming summary judgment where there was a “complete absence of relevant evidence ... on the critical question of how long the wax was on the floor”).
However, the Perezes argue that they identified sufficient evidence to support a finding of constructive notice through the testimony of hotel
The Appellate Division of the District Court of the Virgin Islands recently declined to apply this recurring condition rule, implying that it is not recognized by “the Restatement (Second) of Torts, Third Circuit common law [or] Virgin Islands jurisprudence.” Joseph, 55 V.I. at 1227 at n.8 (affirming the Superior Court’s grant of summary judgment in a slip-and-fall case). Joseph relied heavily on Saldana, in which the United States Court of Appeals for the Third Circuit held that absent a showing of actual notice, a plaintiff “would ultimately be required to show” that a dangerous condition existed on the property “long enough to give [the possessor] constructive notice of this potential unreasonable risk of harm.” Saldana, 260 F.3d at 232 (quoting David v. Pueblo Supermarket, 740 F.2d 230, 234 (3d Cir. 1984)) (internal quotation marks omitted). But the plaintiff in Saldana did not argue that the dangerous condition causing her injury — wax on the floor of a St. Croix Kmart — was a recurring condition; instead she only attempted to show that the wax was on the floor long enough that Kmart should have realized the danger in the exercise of reasonable care. 260 F.3d at 232-33. Further — contrary to the Appellate Division’s holding in Joseph — the recurring condition rule does not conflict with the longstanding application of Restatement section 343 in Virgin Islands jurisprudence.
The recurring condition rule has been described as a “modification” of “traditional” constructive notice principles embodied in Restatement section 343(a). Sheehan v. Roche Bros. Supermarkets, Inc., 448 Mass. 780, 863 N.E.2d 1276, 1280 n.3, 1287 (2007) (adopting related “mode of operation” rule). However, in our view, the recurring condition rule — or “recurrent risk approach,” as the court described it in Sheehan — arises directly from the basic principles of premises liability set out in the Restatements and the common law generally. It is a longstanding tenet of American jurisprudence that negligence can only arise from foreseeable harms, as “[t]he risk reasonably to be perceived defines the duty to be obeyed.” Palsgraf v. Long Island R.R. Co., 248 N.Y. 339, 162 N.E. 99, 100 (1928). Courts have more recently observed in section 343 premises liability actions that “[fjoreseeability ... is the touchstone of the existence of the duty of reasonable or ordinary care.” Janis v. Nash Finch Co., 2010
SD 27, 780 N.W.2d 497, 502 (2010); see also Banks v. Trustees of Univ. of Pa., 446 Pa. Super. 99, 666 A.2d 329, 331 (1995) (“As to invitees, possessors of land owe a duty to protect from foreseeable harm. RESTATEMENT, supra, §§ 341A, 343 and 343A.”); Benham v. King, 700 N.W.2d 314, 318 (Iowa 2005) (in applying section 343, possessor “had a duty to use reasonable care to maintain [property] in a reasonably safe condition to protect [invitee] against foreseeable risks of harm”). Liability for such foreseeable harms is based on the possessor’s superior knowledge of the property, as the possessor is in the best position to know of potentially dangerous conditions on the property — and therefore has a heightened duty to protect those it invites onto the property from foreseeable harm caused by those conditions. See, e.g., Janis, 780 N.W.2d
Furthermore, we are persuaded by the fact that the recurring condition rule is not in conflict with the principle that “the possessor is not an insurer of the visitor’s safety.” Viotty v. Bank of Nova Scotia, No. 1:06-cv-6, 2010 U.S. Dist. LEXIS 60816, *8 (D.V.I. June 18, 2010) (quoting Restatement (Second) of Torts § 344 cmt. f). It does not impose strict liability on possessors or add any duties beyond what the law already requires — the exercise of reasonable care to protect invitees from known or foreseeable dangers. See Dumont, 664 A.2d at 849 n.1 (“This principle neither imposes strict liability on the defendant for injuries sustained on its premises nor makes the defendant the absolute insurer of its customers. If the owner of the premises has taken precautions reasonably necessary to protect its customers, then the owner is not liable to customers injured on the premises.”). As the New Mexico Supreme Court explained in Mahoney, “we do not mean to say that a proprietor becomes an insurer or that res ipsa loquitur will apply; nor do we change any of the principles of law enunciated” in prior case law. 377 P.2d at 674. Instead, the recurring condition rule is “focuse[d] directly on . . . principle^] firmly established in [previous] case law — that a premises owner’s duty to remedy a condition, not directly created by the owner, is based on that owner’s actual or constructive knowledge of the existence of the condition.” Blair, 130 S.W.3d at 766. The recurring
The Perezes argue that Appellees had constructive notice of the condition that caused Ms. Perez’s injuries because the depositions of hotel employees show that Appellees had actual knowledge of a recurring dangerous condition caused by rainfall depositing debris on the pathway and stairs. When viewing the evidence in the light most favorable to the Perezes — as we must at this stage of the litigation — it is clear that they identified sufficient evidence to support a finding that Appellees’ had constructive notice of a dangerous condition under the recurring condition rule. Gillian Brooks, a hotel employee, indicated in her deposition testimony that leaves and other debris from the trees accumulated on the stairs when it rained, and that she had seen two people lose their footing on the pathway and stairs in the past. See Sealey-Christian, 52 V.I. at 431 (imputing employee’s knowledge to property owner for constructive notice); Zisa v. City of New York, 39 A.D.3d 313, 834 N.Y.S.2d 127, 128 (App. Div. 2007) (testimony of defendant’s employee created a genuine issue of material fact regarding defendant’s notice of a recurring condition); see also RESTATEMENT (THIRD) OF AGENCY § 5.03 (“For purposes of determining a principal’s legal relations with third parties, notice of a fact that an agent knows or has reason to know is imputed to the principal if knowledge of the fact is material to the agent’s duties to the principal.”). Similarly, Robert Trainer, another hotel employee, testified that “leaves or debris or things like that. . . would come falling down or running down the pathway” by the spa after it rained, and that rainwater would “flow down the pathways like a waterfall.”
Appellees’ arguments to the contrary do not change this holding. They argue that there is no testimony regarding “how bad the rain was on
Accordingly, the Perezes identified sufficient evidence to support a jury finding that Appellees knew that it was raining on the day Ms. Perez fell, knew that whenever it rained leaves and debris would accumulate on the pathway and stairs, and knew that this created a dangerous condition. Therefore, there is a genuine issue of material fact regarding Appellees’ constructive notice of the condition that caused Ms. Perez’s injuries through evidence that they had actual knowledge of a recurring dangerous condition on the property.
For the foregoing reasons, we reverse the Superior Court’s June 1, 2011 Order granting summary judgment to RC Hotel and RCHC on the Perezes’ negligence claims and remand for further proceedings.
They filed an identical action with the District Court of the Virgin Islands, but it was dismissed on March 6, 2009, for lack of subject matter jurisdiction.
The Perezes initially appealed the court’s grant of summary judgment to RCVI, but later moved to dismiss the appeal. Perez v. Ritz Carlton Hotel (Virgin Islands), Inc., S. Ct. Civ. No. 2009-0101, slip op. at 1 (V.I. Nov. 19, 2009) (unpublished) (granting dismissal).
Although the Perezes included the order granting summary judgment on the breach of contract count in the notice of appeal, they make clear in their reply brief that they are not appealing this order. Additionally, the order granting summary judgment to RCVI on the negligence claims on September 17, 2009, was not listed in the notice of appeal, and the Perezes also make clear in their reply brief that they are not appealing the court’s grant of summary judgment to RCVI.
Appellees argue that this Court may affirm summary judgment because the Perezes failed to produce sufficient evidence of either parties’ possession of the property for the purposes of premises liability. But they did not raise this issue in their motion for summary judgment. Instead, Appellees referred to it only in a short footnote in their reply to the Perezes’ opposition to summary judgment, and the Superior Court never addressed this argument. Like an issue raised for the first time in an appellate reply brief, an issue raised for the first time in a reply brief supporting summary judgment is deemed waived because the opposing party typically does not have the opportunity to respond. See, e.g., Nat’l Fire Ins. Co. of Hartford v. Lewis, 898 F. Supp. 2d 1132, 1148 n.11 (D. Ariz. 2012) (citing Delgadillo v. Woodford, 527 F.3d 919, 930 n.4 (9th Cir. 2008)) (refusing to “consider arguments raised [by the defendants] for the first time in a reply” to plaintiffs’ opposition to summary judgment); RIV VIL, Inc. v. Tucker, 979 F. Supp. 645, 653 n.10 (N.D. Ill. 1997) (citing United States v. Hughes, 970 F.2d 227, 234 (7th Cir. 1992)) (declining to address arguments in reply brief
Sealey-Christian and our older cases cited 1 V.I.C. § 4 •— which provides “[t]he rules of the common law, as expressed in the restatements of the law... and... as generally understood and applied in the United States, shall be the rules of decision in the courts of the Virgin Islands... in the absence of local laws to the contrary” — in applying Restatement (Second) OF TORTS § 343 to premises liability actions. See also Bright v. United Corp., 50 V.I. 215, 223-24 (V.I. 2008); Williams v. United Corp., 50 V.I. 191, 195-96 (V.I. 2008). These cases were decided before the publication of the Restatement (Third) of Torts: Physical and Emotional Harm (2010), and before this Court’s decision in Banks v. Int’l Rental & Leasing
In White v. Spenceley Realty, LLC, 53 V.I. 666, 679-80 (V.I. 2010), White argued that the “evidence show[ed] that there was an ongoing and persistent problem” creating constructive notice of a dangerous condition. But we affirmed summary judgment on the ground that Spenceley Realty — as the lessor — had no duty to inspect the premises, and only-had a duty to repair once White — the lessee — notified Spenceley of an unsafe condition on the property. Id. Similarly, in Williams, we declined to decide whether the related “mode of operation” rule applies in the Virgin Islands. 50 V.I. at 201.
We also note that the decisions of the Appellate Division serve only as persuasive authority on this Court. See Defoe v. Phillip, 56 V.I. 109, 119 (V.I.) (holding that this Court considers Third Circuit and Appellate Division case law as persuasive authority only), aff'd, 702 F.3d 735 (3d Cir. 2012). For the reasons outlined above, we find Joseph unpersuasive.
Like the Second Restatement, the Restatement (Third) of Torts: Physical and Emotional Harm is silent on the recurring condition rule, requiring only that “a land possessor... use reasonable care to investigate and discover dangerous conditions and... use reasonable care to attend to known or reasonably knowable conditions on the property.” RESTATEMENT (Third) of Torts: Physical and Emotional Harm § 51 cmt. a.
Appellees argue that we cannot consider Trainer’s testimony because the Perezes did not rely on his testimony in their opposition to summary judgment. But Federal Rule of Civil Procedure 56(c)(3) — applicable to summary judgment proceedings through Superior Court Rule 7 — provides that a court may consider all evidence in the record in ruling on the motion. Fed . R. Crv. P. 56(c) (3) (“The court need consider only the cited materials, but it may consider other materials in the record.”).
While Desir at first testified that when it rains, she sweeps the stairs “leadfingj down to the spa,” she later indicated that “we don’t have nobody” responsible for “sweeping] the cabana steps and the steps to the pool.” (J.A. 623.)
Appellees’ Brief contains a total of sixty-five footnotes, which include many of their substantive arguments and citations to case law. We direct Appellees to Supreme Court Rule 15(a), which provides that “[ejxcessive footnotes in briefs and motions are discouraged.”
The Perezes also argue that they identified sufficient evidence to survive summary judgment by showing that Appellees created a dangerous condition through the negligent construction of the pathway and stairs, including the failure to install adequate handrails, the
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