Utah Law Developments

Publication year2018
Pages42
CitationVol. 31 No. 1 Pg. 42
Utah Law Developments
Vol. 31 No. 1 Pg. 42
Utah Bar Journal
February, 2018

January, 2018

Appellate Highlights

Rodney R. Parker, Dani N. Cepernich, Scott A. Elder, Nathanael J. Mitchell, and Adam M. Pace, J.

Editor’s Note: The following appellate cases of interest were recently decided by the Utah Supreme Court, Utah Court of Appeals, and United States Tenth Circuit Court of Appeals.

UTAH SUPREME COURT

Outfront Media, LLC v. Salt Lake City Corp., 2017 UT 74 (Oct. 23, 2017)

This appeal arose out of a city’s denial of a billboard owner’s sign relocation request. Affirming, the supreme court clarified that it would no longer defer to a local agency’s interpretation of its own ordinances and would instead review for correctness.

Dircks v. Travelers Indem. Co. of Am., 2017 UT 73 (Oct. 17, 2017)

The federal court certified the question whether a company that had purchased liability coverage for an employee’s vehicle was also required to purchase underinsured motorist insurance. The Utah Supreme Court held that any vehicle that is covered by a policy’s liability insurance must also be covered by underinsured motorist insurance, unless the coverage is waived by a formal acknowledgement.

Rawcliffe v. Anciaux, 2017 UT 72 (Oct. 11, 2017)

A shareholder brought this action against the company’s board of directors and several of its officers for authorizing and receiving spring-loaded, stock-settled stock appreciation rights. Because there was no allegation the defendants intended to circumvent the company’s compensation plan, the district court dismissed the complaint under Rule 12(b)(6). On appeal, the Utah Supreme Court engaged in a detailed analysis of what is required to state a claim against directors and officers under Utah’s Revised Business Corporation Act. Applying that standard to this case, the court affirmed the dismissal.

Wilson v. Educators Mut. Ins. Ass’n, 2017 UT 69 (Sept. 28, 2017)

The Utah Court of Appeals dismissed an insurance company’s subrogation action for lack of standing. The Utah Supreme Court granted certiorari and held that an insurance company had the right to file the subrogation action in its own name pursuant to the express terms of the insurance policy, and it clarified the distinction between a right of subrogation arising under contract and one arising under the right of equitable subrogation.

Bivens v. Salt Lake City Corp., 2017 UT 67 (Sept. 26, 2017)

The plaintiffs in this suit all received parking tickets from Salt Lake and brought suit, alleging that the notice provided was insufficient to apprise them of the right to challenge the ticket. Affirming dismissal, the Utah Supreme Court held that, although the City’s parking violation notices contained certain misstatements, they...

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