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Taxpayer held stock in two Oklahoma S-corporations. He sold substantially all of the corporate assets of both companies to a third party. Following the sale, taxpayer received his proportionate share of the proceeds, and reported that sum as a net capital gain on his federal tax return. Taxpayer later sought a deduction equivalent to the net capital gain on an amended Oklahoma return. The Oklahoma Tax Commission disallowed the deduction to the extent the proceeds were derived from intangible personal property (namely goodwill). After review of the matter, the Oklahoma Supreme Court reversed, finding the taxpayer sold an indirect ownership interest in an Oklahoma company, and therefore, qualified for the deduction. View "In the Matter of the Income Tax Protest of Hare" on Justia Law

Posted in: Business Law, Tax Law

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Claimant sought permanent total disability benefits from the Multiple Injury Trust Fund. The Workers' Compensation Court of Existing Claims held that the claimant's combined injuries rendered the claimant permanently totally disabled and awarded benefits. The Multiple Injury Trust Fund appealed. On appeal, the Court of Civil Appeals reversed, finding claimant ineligible to claim benefits against the Multiple Injury Trust Fund as the claimant was not a "physically impaired person" at the time of the claimant's second on-the-job injury. The dispositive issue presented for the Oklahoma Supreme Court’s review was whether claimant met the statutory definition of a "physically impaired person" at the time of the claimant's second on-the-job injury for purposes of determining eligibility for Multiple Injury Trust Fund benefits. As a corollary, the Court considered whether a duly-executed settlement agreement (memorialized on a form prescribed by the Workers' Compensation Court) constituted an adjudication of the claimant's disabilities. The Court answered both questions in the affirmative. View "Multiple Injury Trust Fund v. Garrett" on Justia Law

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The State filed a petition to terminate Mother's parental rights pursuant to 10A O.S.Supp.2014, section 1-4-904(B)(5), alleging Mother failed to correct the conditions that led to the deprived child adjudication of B.K. B.K. was removed from the home as the result of a delusional episode in which Mother believed the police had planted listening devices in B.K.'s ears to spy on Mother. This delusional episode was reported to police by B.K.'s seventeen-year-old brother. Both a psychologist and a psychiatrist diagnosed Mother as having a delusional persecution disorder that medication would help control. When Mother said she would not take medication for the delusional disorder, the State pursued termination of Mother's parental rights because B.K. had been in DHS foster care for over 36 months. A jury returned a verdict that found Mother failed to correct the conditions. The trial court entered judgment on the verdict and terminated Mother's parental rights. Mother appealed. Upon review, a majority of the Court of Civil Appeals reversed the judgment, finding undisputed evidence revealed Mother's mental disorder was the cause of B.K. being adjudicated deprived, not deficiencies in parenting. The majority opinion held that any termination must be based on the mental health ground found in 10A O.S.Supp.2014 sec. 1-4-904(B)(13) and, therefore, it was fundamental error to terminate pursuant to 10A O.S.Supp. 2014 sec. 1-4-904(B)(5). The State sought review from the Oklahoma Supreme Court to address whether the Legislature intended 10A O.S.2011, section 1-4-904(B)(13) to be the exclusive ground for termination in cases where a parent has a "diagnosed cognitive disorder" or can such a disorder be a "condition" leading to a deprived adjudication that a parent must correct under 10A O.S.2011, section 1-4-904(B)(5). The Supreme Court vacated the majority opinion of the Court of Civil Appeals, and held: (1) subsection 1-4-904(B)(13) did not exclusively apply, and (2) the trial court did not err in terminating Mother's parental rights based on subsection 1-4-904(B)(5). View "In the Matter of B.K." on Justia Law

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Bob Hensley (Buyer) purchased real estate by contract for deed. He sued the insurer of the property's previous owner, State Farm Fire & Casualty, alleging breach of the implied-in-law duty of good faith. Insurer filed a motion for summary judgment and argued buyer was a stranger to the insurance contract and could not bring an action against insurer. The trial court granted the insurer's motion for summary judgment. The judgment was appealed and affirmed by the Court of Civil Appeals. After review, the Oklahoma Supreme Court held the buyer's action in this case for breach of the implied-in-law duty of good faith by an insurer was based upon his status as an insured or third party beneficiary; and buyer's equitable title to property arising from a contract for deed is insufficient by itself to confer upon him the status of an insured. The Court also held the buyer presented facts on the issue whether he was an intended third party beneficiary, and these facts and their inferences were disputed by insurer. Whether buyer was a third party beneficiary and an insured under the policy based upon disputed facts and inferences was a matter for the trier of fact, and summary judgment for insurer was improvidently granted. View "Hensley v. State Farm Fire & Casualty Co." on Justia Law

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The main issue on certiorari review was whether the doctrine of informed consent required a physician to obtain the patient's consent before using a non-doctor to perform significant portions of a surgery for which the physician was engaged to perform thereby subjecting the patient to a heightened risk of injury. Dr. Mary Kirk, Dana Hurley's gynecologist, recommended Hurley undergo a total laparoscopic hysterectomy. Hurley agreed and Dr. Kirk scheduled the operation. In coordinating the surgery, Dr. Kirk specifically requested Art Bowen to assist with the operation. At the time of Dr. Kirk's request, Bowen had previously assisted Dr. Kirk in approximately 40 to 50 cases of which 90 percent were hysterectomies. Bowen, however, was neither Dr. Kirk's nor the hospital's employee. Bowen worked completely under the supervision and guidance of the employing surgeon. There was conflicting evidence as to whom, Dr. Kirk or Bowen, caused Hurley's injury. Dr. Kirk denied Bowen injured Hurley's right ureter despite her concession that Bowen performed the right side of the hysterectomy with the harmonic scalpel. Yet, Bowen's initial discovery response indicated Bowen's admission that he caused the injury. Both Dr. Kirk and Bowen conceded, however, that Bowen used the harmonic scalpel to cauterize and cut the round ligament, utero ovarian pedicle, broad ligament, and uterine artery. After reviewing the record in this case, the Oklahoma Supreme Court found that under Oklahoma's full disclosure rule, a physician must disclose and obtain the patient's informed consent. The Court reemphasized that full disclosure of all material risks incident to treatment must be made. "As such, no physician has carte blanche to delegate any or all tasks to a non-doctor. To hold otherwise, would obliterate a patient's freedom of choice and reinstate the paternalistic approach to medicine this Court rejected." The scope of the duty to inform is broad enough to include a physician's duty to inform the patient "who" will be performing significant portions of the procedure or surgical tasks. The Court of the Civil Appeals' opinion was vacated and the district court's summary judgment order was reversed as to all issues. This matter was remanded for further proceedings. View "Hurley v. Kirk" on Justia Law

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Plaintiff-appellee Elizabeth Cates filed on her behalf and a putative class asserting claims against the defendant-appellee INTEGRIS Health, Inc. for breach of contract, violation of the Oklahoma Consumer Protection Act, deceit, specific performance, and punitive damages. INTEGRIS successfully moved to dismiss the claims based on the ground that they are all preempted by the Employee Retirement Income Security Act. Cates appealed. Because the trial court in this matter did not take into consideration the federal Tenth Circuit Court of Appeals’ decision in Salzer v. SSM Health Care of Oklahoma Inc., 762 F.3d 1130 (10th Cir. 2014), which was factually similar to the facts of this case and found that the plaintiff’s claims were not preempted, the Oklahoma Supreme Court reversed and remanded the trial court in this matter for reconsideration in light of Salzer. View "Cates v. Integris Health, Inc." on Justia Law

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Armor Correctional Health Services, Inc., sued the Board of County Commissioners of Oklahoma County (County) for payment of medical services provided to prisoners and detainees in the Oklahoma County Jail. County admitted that Armor provided the medical services in question pursuant to a contract. County did not dispute the accuracy of Armor's monthly invoices for such services, and admitted it had not paid some invoices. Despite these admissions, County argued that judgment could not be entered because Armor had not provided proof of the availability of funds as required by 62 O.S.2001, sections 3621 and 3632. In reply, Armor argued that the County's obligation to pay for the medical services to the prisoners and detainees was not a claim founded on contract alone that was subject to the provisions of sections 362 and 363. Armor also argued that the obligation was not "indebtedness" as addressed in Article 10, section 263 of the Oklahoma Constitution. Armor asserted the County's obligation to pay the medical services provided to prisoners and detainees was incurred in fulfillment of a governmental function mandated by the Oklahoma Constitution. The trial court granted summary judgment to medical provider and County appealed. The Oklahoma Supreme Court concluded nothing in the record suggested that the medical services provided by Armor for the prisoners and detainees in the Oklahoma County Jail were not "reasonable, proper, and necessary." As those services and the charges therefor were in fulfillment of the sheriff's constitutional duty for "the keeping of prisoners confided to his custody," Armor was entitled to judgment in its favor. View "Armor Correctional Health Services, Inc. v. Bd. of County Comm'rs of Okla. Cty." on Justia Law

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Replevin is not the only remedy to recover that is no longer needed as evidence. An inmate acting pro se filed a pleading in his criminal case, seeking return of a computer, a photo camera and a movie camera, alleging this property had nothing to do with the criminal charges. The inmate called his pleading a petition for writ of replevin. In response, the District Attorney denied ever having custody of the property. The trial court denied relief, ruling: (1) the inmate failed to follow proper procedure provided by statute to initiate replevin; and (2) he could not use a writ to try to regain property from a party that does not possess such property. The inmate appealed. The Oklahoma Supreme Court agreed that replevin was not a remedy available to the inmate here. However, the Court concluded that other remedies may have been available, so the case was remanded for the trial court to consider granting relief pursuant to 22 O.S.2001, section 1321. View "Kolosha v. Oklahoma" on Justia Law

Posted in: Criminal Law

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Parents sued medical providers for injuries sustained during their child's birth, alleging negligence. The trial court granted summary judgment to defendant Mercy Health Center. Plaintiffs appealed, arguing the trial court did not apply a correct standard for causation and failed to recognize the testimony from their expert witnesses. Mercy argued the trial court correctly sustained a motion for summary judgment which relied in part on a “Daubert” motion filed by Mercy. Mercy also argued plaintiffs failed to show causation, as required in a negligence action by an expert opinion. After review, the Oklahoma Supreme Court reversed the summary judgment because plaintiffs' materials used to object to summary judgment showed expert opinions on causation sufficient to create a question of fact. The Court also explained a Daubert adjudication may not be applied retroactively to support a prior judgment. View "Andrew v. Depani-Sparkes" on Justia Law

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The Oklahoma Supreme Court granted certiorari in this case to consider whether Appellant Kaye Beach sufficiently established that her "religiously motivated practice has been substantially burdened," because she was required to submit to a high-resolution facial photograph to renew her drivers license, despite her belief that doing so violated her religion. Appellant renewed her drivers license at least two to three times under the new system. Appellant stated she was first aware of changes to the system in 2004, when she was required to submit a fingerprint for a renewal. Appellant contended her sincerely held religious beliefs forbade her from participating in a global-numbering identification system, using the number of man, and eternally condemned her for participating in any such system. Appellant believed that the Department's system took measurements off facial points, from the biometric photo, to determine a number that is specific to her, for use with facial recognition technology. Appellant believed the resulting number was the "number of a man" referred to in Revelation 13:16-18 thus Appellant objects to the measurements of her body being used to identify her. Appellant states that the government intended to use the biometric photo to tie our bodies to our ability to buy and sell in order to permit or deny access to goods, services, places, and things needed to live. The Court of Civil Appeals held in her favor. The Oklahoma Supreme Court found that Appellant failed to produce any evidence from which one could reasonably conclude, or infer, that Department substantially burdened the free exercise of her articulated religious beliefs. Accordingly, the Court reversed the Court of Civil Appeals and reinstated the trial court’s judgment. View "Beach v. Oklahoma Dept. of Pub. Safety" on Justia Law