No. 92-007 IN THE SUPREME COURT OF THE STATE OF MONTANA 1992

APPEAL FROM: District Court of the Fourth Judicial District, In and for the County of Ravalli, The Honorable Jack L. Green, Judge presiding.

COUNSEL OF RECORD: For Appellant: Julio K. Morales; Morales Law Office, Missoula, Montana. For Respondent: John 0. Mudd; Garlington, Lohn & Robinson, Missoula, Montana.

Filed: Submitted 

### on Briefs: April 2, 1992 Decided: May 7, 1992

ClerkJustice Fred J. Weber delivered the Opinion of the Court. Plaintiff, Yvonne Miller, brought a wrongful discharge action against her employer, Citizens State Bank (Bank), in the Fourth Judicial District Court, Ravalli County, Montana. The court entered judgment in favor of the Bank. Ms. Miller appeals. We affirm. The issues for review are restated 

### as follows: 1. Did the Bank terminate 

### Ms. Miller for good cause as required by § 39-2-904(2), MCA? 2. Did the Bank comply with § 39-2-904(3), MCA, by following 

### the express provisions of its personnel policy when it terminated Ms. Miller? The District Court made the following findings. Ms. Miller became a fufl 

### time employee of the Bank in 1956. 

### In 1989, Ms. Millerwas involuntarilyterminated fromherposition as operations officer. 

### Ms. Miller had held the position of operations officer for ten years prior to her discharge. U. C. Hollingsworth, president of the 

### Bank from 1937 through 1987, testified by deposition that plaintiff was a good 

### and enthusiastic worker. Earle

### Wright,plaintiff's supervisor prior to 2987, testified that during his tenure, the Bank had no cause to terminate Ms. Miller. 

### In 1987,the Bank hired Samuel

### R. Noel,

### who later assumed the position of bank president. Mr. Noel implemented changesdesigned to facilitate demands from regulatory agencies and accommodate changes 

### in the economic climate. The court found Ms. Miller was aware of the requirements of her position, yet she failed toperform important tasks or did not complete 

### tasks in 

### a timely

manner. The court noted thatMr. Noel was a difficult supervisor. However, it also found Ms. Miller "bucked the systemw thus straining the working relationship between herself and Mr. Noel. The District Court found that in addition to a below standard written performance appraisal,on at least three occasions

### Mr. Noel warned Ms. Miller of potential termination unless 

### her job performance improved. Despite these warnings and indicators,Ms. Miller delayed completing tasks and resisted changes implementedby Mr. Noel. As a result, 

### Ms. Miller was terminated. TheDistrict Court found the Bank followed the express written provisions of itspersonnel policies 

### in terminatingMs. Miller. It further concluded the Bank did notwrongfully dischargeMs. Miller. Plaintiff appeals this judgment, arguing she was wrongfully terminated under § 39-2-904, MCA, which prohibits employers from discharging employees without cause and in violation of the employer's written personnel policies. I Did the Bank terminateMs. Miller for good cause as required by 5 39-2-904 (2), MCA? Ms. Miller contends 

### shewas wrongfully discharged because 

### the Bank terminatedher without good cause. Plaintiff encourages 

### this Court 

### to adopt 

### a new standard of "good causeu based upon whether 

### the employee satisfied the general obligations of 

### an employee described 

### in !j 39-2-401, MCA, whether the 

### employer followed industry standards of progressive discipline, and whether the defendant exercised bad faith. 3Y In light of the statutory definition adopted by the legislature, 

### we conclude that 

### it is inappropriate to apply the standard advanced by Ms. Miller. Section 39-2-904, MCA, states in part: I1Adischarge iswrongful only if 

# .. . (2) the dischargewas not 

### for good cause 

# . . .I1 Section 39-2-903(5), MCA, defines good

cause as: flreasonable job-related grounds for dismissal based 

### on

a failure to satisfactorily perform job duties, disruption of the employer's operation, or other legitimate business reason.I1 Based 

### on its extensive findings, including those that Ms. Miller failed to implement new procedures and delayed completing tasks, the District Court concluded plaintiff was terminated for failure to satisfactorily perform her job duties. Thus, it held 

### Ms. Miller was terminated for good cause based on reasonable jobrelated grounds as defined by § 39-2-903(5), MCA, UnderRule 52(a)

## ,M.R. Civ.P., theDistrict CourtIs findingsof fact will not be disturbed on appeal unless they are clearly

erroneous. Trad Indus. Ltd. 

### v. Brogan (1991), 246 Mont. 439, 447, 805 P.2d 54, 59. Here,Ms. Miller failed to show the lower court's findings were clearly erroneous. Accordingly, we conclude Ms. Miller's termination was based on reasonable job related grounds. We hold the Bank terminated Ms. Miller for good cause as required by 

### 5 39-2-904(2), MCA. I1 Did the Bank comply with 3 39-2-904(3), MCA by following the express provisions of its personnel policy when it terminated Ms. Miller? Ms. Miller contends the Bank failed to provide her with a

### . , formalwarning; thus, shewas terminated inviolation of the Bank's personnel policy. section 39-2-904 (3), MCA, states in part: "A discharge is wrongful only if 

# . . . (3)the employer violated the express provisions of its own written personnel policy." Here the District Court specifically found that Mr. Noel warned Ms. Miller that her continued substandard performance would result in dismissal. It further found that the Bank followed the express written provisions of itspersonnel policieswhen it terminatedMs. Miller. As previously stated, the standard of review for the lower court's findings of fact, in a civil action, is whether or not the findings are clearly erroneous. Trad Indus. Ltd., 246 Mont. at 447, 805 P.2d at 59. In reviewing the record,we conclude thatMs. Miller failed to prove these findingswere clearly erroneous. We hold the Bank complied with g 39-2-904(3), MCA, and followed the provisions of its personnel policy when it terminated Ms. Miller. Affirmed.

We Concur:May7, 1992 CERTIFICATEOFSERVICE 

### I hereby certifythat thefollowingorderwas sentby United Statesmail,prepaid,tothe followingnamed:

Julio

### K.Morales MORALESLAWOFFICE 

### P.O. Box 9311 Missoula.MT 59807 John 

### 0.Mudd GARLINGTON,LOHN&ROBINSON P.O. Box7909 Missoula,MT 59807 

### EDSMITH CLERKOFTHESUPREMECOURT 

### STATEOFMONTANA