Court Opinion

ID: 9593728
Source: CourtListenerOpinion
Date Created: 2023-08-22 00:24:28.625738+00
Date Added: 2024-06-11T18:01:21.972381
License: Public Domain

BAKES, Justice,
dissenting:
The Court’s opinion acknowledges that this case falls within our holding in Meade v. Freeman, 93 Idaho 389, 462 P.2d 54 (1969). There we held, following the general rule in the United States, that in the absence of a specifically tailored statute, the vending of alcoholic beverages to an obviously intoxicated individual is not the proximate cause of damage to third parties resulting from the subsequent tortious or unlawful acts of the obviously intoxicated individual. In Alegria v. Payonk, 101 Idaho 617, 619 P.2d 135 (1980), this Court announced a limited exception to the general rule pronounced in Meade. Our holding in Alegría was fact specific and very narrowly tailored. Alegria only stands for the proposition that,
“[T]he sale of alcoholic beverages by a licensed vendor of such beverages to an actually, apparently and obviously intoxicated person known to be a minor can be a contributing actual and proximate cause of the damage resulting to a third person from the subsequent negligent operation of an automobile by such intoxicated minor, thereby giving rise to a cause of action against such vendor.” 101 Idaho at 618, 619 P.2d at 136 (emphasis added).
The Alegría language quoted by the majority, ante at 261, 766 P.2d at 731, is not the holding in that case, but is mere dicta and must be construed in light of the issue presented. As Chief Justice Donaldson framed the issue, our holding in Alegria applies only to licensed vendors of alcoholic *264beverages who sell such beverages to obviously intoxicated minors. Since the facts of the instant case do not fit this very narrowly tailored exception, Alegría is not applicable here, and this case is controlled by the general rule announced in Meade.
The Court’s opinion does not state whether or not it is overruling Meade v. Freeman, supra. The majority opinion merely states, “We see no reason for distinguishing between serving liquor to a minor and an adult when either is obviously intoxicated.” Does that statement mean that Meade is overruled?
While the Court’s opinion recognizes that the Idaho legislature passed a “dram shop act,” I.C. § 23-808, effective April 3, 1986, it fails to recognize that that legislation is more narrowly drafted and tailored thhn the Court’s broad statement that “[w]e see no reason for distinguishing between serving liquor to a minor and an adult when either is obviously intoxicated.” For example, I.C. § 23-808 places limitations on who may bring a claim under the act, specifically prohibiting the intoxicated person, his estate or representatives, or any passenger or his estate or representatives from bringing an action. Furthermore, there is a 180-day notice by certified mail statute of limitations contained in the act. Additionally, the opening policy statement of the act, although qualified later in the act, provides that “it is not the furnishing of alcoholic beverages that is the proximate cause of injuries inflicted by intoxicated persons and it is the intent of the legislature, therefore, to limit dram shop and social host liability....” That statement conflicts with the Court’s decision today.
The possible discrepancy between today’s opinion and I.C. § 23-808 is further enhanced by the majority opinion’s attempt to apply today’s decision retroactively, even though the opinion mistakenly describes its action as “prospectively” applying the statute. Jones v. Watson, 98 Idaho 606, 570 P.2d 284 (1977), cited as authority for the Court’s action, certainly does not support the Court’s action today. In Jones the Court refused to apply the new ruling to earlier cases, contrary to what the Court does in this case.
In Thompson v. Hagan, 96 Idaho 19, 523 P.2d 1365 (1974), this Court set out the three different approaches to retroactively applying decisions of this Court which overrule prior precedent.
“The first approach is the traditional rule which is derived from the concept that courts do not pronounce new law, but only discover the true law. Under this approach there are no new decisions, but only clarifications of the true law which makes a decision applicable to both past and future cases. The second approach is the prospective rule. Under this rule a decision is effective only in future actions, and does not affect the rule of law in the case in which the new rule is announced. The third approach is the modified prospective rule which is a combination of the traditional and prospective rules. Under the modified prospective rule, the new decision applies prospectively and to the parties bringing the action resulting in the new decision; or, to the parties bringing the action and all similar pending actions.” 96 Idaho at 25, 523 P.2d at 1371.
In addition to setting out the categories, the Court in Thompson set out the factors to be considered in determining which of the various rules to apply.
“To aid the courts in determining which rule to apply, Linkletter v. Walker [381 U.S. 618, 85 S.Ct. 1731, 14 L.Ed.2d 601 (1965)] set forth the following factors to be considered. First, the purpose of the new decision must be analyzed in connection with the question of retroactivity. The purpose of holding the automobile guest statute unconstitutional is to prevent guests from being denied equal protection of the law. The purpose would be served by applying the ease to both past and future actions. The second factor is reliance on the prior rule of law. The possibility exists that hosts may have offered rides to guests relying on the protection of the guest statute from negligence actions. Additionally, insurance companies may have relied upon the guest statute in setting their rates. The *265factor of reliance is very strong in this action. The third factor is the effect on the administration of justice. This factor takes into account the number of cases that would be reopened if the decision that the guest statute is unconstitutional is applied retroactively.” 96 Idaho at 25, 523 P.2d at 1371.
Although, as previously noted, the Court’s opinion cites and purports to rely on Jones v. Watson, 98 Idaho 606, 570 P.2d 284 (1977), notably absent from the Court’s opinion is any discussion from the Jones case of the analysis which a court must make in order to determine whether or not a new court decision, overruling a prior decision, will be applied prospectively (only to cases in the future), or to some degree retroactively to other causes of action which accrued prior to the overruling decision. The Jones Court made that analysis, stating the applicable analysis to be:
“ ‘The determination of whether a rule is to be given retroactive application is generally made pursuant to a balancing process, wherein the gain to be achieved in the administration of justice by accomplishment of the purpose of the new rule (the first criterion) is balanced against the adverse effects on the administration of justice resulting from the extent to which the courts have mistakenly but in good faith relied on the prevailing rule (the second criterion) and from an application of the new rule for the purpose of reconsidering determinations already finally made pursuant to the then prevailing rule (the third criterion).’ People v. McDaniel, 16 Cal.3d 156, 127 Cal.Rptr. 467, 472, 545 P.2d 843, 848 (1976).” 98 Idaho at 609, 570 P.2d at 287.
The Court in Jones then went through the various categories and analyzed its reasons why the prior overruling decision should only be applied prospectively, i.e., only to causes of action which accrued after the overruling decision. If the majority opinion would apply the analysis of Jones, which it cites and relies on, it could hardly reach the result which the Court has done in this ease.
The Court’s opinion today does not even consider the alternative categories described in Jones v. Watson or Thompson v. Hagan, supra, when it comes up with the date of the accident in this case, September 20, 1985, as the prospective (actually retroactive) date to which it is going to apply its decision. That particular date bears no relationship to any of the standards set out in Thompson.
More seriously, the Court does not review any of the policy considerations set out in Thompson or Jones in determining which of the various approaches it should use in deciding whether the opinion will be applied retroactively or prospectively. Notably absent from the Court’s decision is any analysis of the fact that over two years ago the Idaho legislature made a limited change of the rule in Meade v. Freeman, supra. As a result, not only is there no need for the Court’s action today in its so-called “prospective” overruling of Meade, but the Court’s decision may well conflict in some respects with the legislature’s enactment of I.C. § 23-808, effective April 3, 1986. For example, the “prospective” application of today’s decision (as the Court describes it) creates the following ambiguity. For causes of action which accrue after April 3, 1986, will the controlling authority be I.C. § 23-808, or the Court’s decision today? If the statute will be the controlling authority, then what is the necessity for the retroactive application of today’s decision for a narrow window between September 20, 1985, the date of the accident in this case, and April 3, 1986, the date of the enactment of I.C. § 23-808?
The Court today appears to have given little thought to its ruling. The bar and the public are entitled to know whether or not Meade has been overruled; whether I.C. § 23-808 is going to be the controlling authority after April 3,1986; and why it is necessary to overrule Meade “prospectively” (actually retroactively) to cover the narrow period from September 20, 1985, through April 3, 1986, given the enactment by the legislature of I.C. § 23-808.
Applying the standard of Thompson v. Hagan and Jones v. Watson, supra, and acknowledging the legislature’s action in *266enacting I.C. § 23-808, effective April 3, 1986, I believe the Court’s action in this case is unsettling and unnecessary, and unsupported by all our prior authorities. Accordingly I dissent. The judgment of the district court should be affirmed.
SHEPARD, C.J., concurs.