Opinion ID: 1172226
Heading Depth: 3
Heading Rank: 1

Heading: The Superior Court Properly Granted Summary Judgment on the Issue of One Call's Duty to Manes.

Text: Summary judgment may be granted only if there is no genuine issue of material fact and the moving party is entitled to judgment as a matter of law. Estate of Arrowwood v. State, 894 P.2d 642, 644 n. 2 (Alaska 1995). This court conducts de novo review of the question. Beilgard v. State, 896 P.2d 230, 233 (Alaska 1995). All factual inferences are drawn in favor of the non-moving party, and the existence of a genuine issue regarding any material fact precludes summary judgment. Id. at 233. The grant of summary judgment removed from the jury consideration of Manes's claim that One Call had a duty to inform itself of all hidden conditions at the Always Inn. However, the jury did consider One Call's potential liability for referring Manes to a room with stairs when she requested otherwise, and for failure to disclose defects of which they were or should have been aware. Manes's challenge to the grant of summary judgment can prevail only if the facts show that an agency relationship existed between Manes and One Call, which included a duty on the part of One Call to inspect the Always Inn, and to discover hidden defects beyond those apparent to a reasonable person in One Call's situation. [1] Since the facts, and reasonable inferences drawn from them, do not give rise to such a duty, Manes's challenge must fail.
While the questions of what constitutes agency and whether evidence is competent to show it are questions of law, the evaluation of the evidence and the decision on whether an agency relationship exists is for the factfinder. Foster v. Cross, 650 P.2d 406, 408 (Alaska 1982) (agency relationship existed under contract); see also Sparks v. Republic Nat'l Life Ins., 132 Ariz. 529, 542, 647 P.2d 1127, 1140 (1982) (While it is true that the question of whether an agency existed is one of fact, when the material facts from which the agency relationship could be inferred are not in dispute, the question of whether an agency relationship exists is a question of law.). The facts which might give rise to an agency relationship are undisputed in this case. One Call advertised as a free reservation service. Manes contacted One Call with travel dates and requirements, and was told that One Call would find a place for her. Manes and One Call had no further contact. One Call reserved a room for Manes at the Always Inn. Several weeks later, Manes received a confirmation from the Always Inn, along with a request for a deposit, which Manes sent. On these undisputed facts, the issue properly is characterized as a dispute of the legal consequences of those facts. A court may rule on the existence and scope of an agency relationship which arises from undisputed facts. Thus, this issue was properly subject to summary adjudication.
The Restatement (Second) of Agency provides that in order for an agency relationship to exist, the agent must have a power to alter the legal relations between the principal and third persons. Restatement (Second) of Agency § 12 (1958). The principal, in turn, must have the right to control the conduct of the agent with respect to matters entrusted to him. Restatement (Second) of Agency § 14; see also Nicholas v. Moore, 570 P.2d 174 (Alaska 1977) (for master and servant agency relationship to exist, principal must exercise control over the agent). If an agency relationship does exist, the extent of the duties of the agent to the principal are determined by the terms of the agreement between the parties, interpreted in light of the circumstances under which it is made. Restatement (Second) of Agency § 376; see also Szelenyi v. Morse, Payson & Noyes Ins., 594 A.2d 1092, 1094 (Me. 1991) (The agent's duties are based on the manifestations of consent of the parties and ordinarily must be inferred from the parties' conduct.). Both Manes's control over One Call and One Call's power to act on Manes's behalf were essentially nonexistent. The only power One Call had to act on Manes's behalf was to make a reservation in her name. One Call and Manes had no contact beyond the initial phone call. Manes herself was required to submit a deposit to secure that reservation. All other financial matters remained Manes's responsibility. One Call received no payment from Manes for its services. Moreover, Manes exercised no control over One Call's actions beyond listing her requirements. One Call never informed Manes that it either had inspected or would inspect any establishment to which it referred her, although Bradshaw in fact had examined the Always Inn to discover its general condition and the features available to its guests. As noted, the jury considered One Call's failure to disclose defects of which it should have been aware, which would include dangers which Bradshaw's examination should have revealed. The imposition of a greater duty would effectively render One Call an insurer of the safety of its patrons, and hold it responsible for all hidden conditions at any facility to which it made referrals. While Manes could reasonably rely on One Call not to refer her to a location it knew was obviously dangerous, Manes has presented no evidence which would entitle her to believe that One Call's free service included such a broad duty. Indeed, such a duty would be beyond the scope of the duties of a travel agent [2] and is not consistent with One Call's more limited role in accommodation referral. [3]