Firststreet For Boomers & Beyond, Inc. v. Dist. Ct. (Ansara) ( 2022 )


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  •                        IN THE SUPREME COURT OF THE STATE OF NEVADA
    FIRSTSTREET FOR BOOMERS &                             No. 83379
    BEYOND, INC.; AND AITHR DEALER,
    INC.,
    Petitioners,
    vs.
    THE EIGHTH JUDICIAL DISTRICT
    COURT OF THE STATE OF NEVADA,
    IN AND FOR THE COUNTY OF                                 FILED
    CLARK; AND THE HONORABLE
    CRYSTAL ELLER, DISTRICT JUDGE,
    MAR 1 5 2022
    ELIZABETH A. BROWN
    Respondents,                                          CLERK OF SUPRE  MECOURT
    and                                                  SY t6TY CLW
    ROBERT L. ANSARA, AS SPECIAL
    ADMINISTRATOR OF THE ESTATE
    OF SHERRY LYNN CUNNISON,
    DECEASED; ROBERT L. ANSARA, AS
    SPECIAL ADMINISTRATOR OF THE
    ESTATE OF MICHAEL SMITH,
    DECEASED HEIR TO THE ESTATE OF
    SHERRY LYNN CUNNISON,
    DECEASED; DEBORAH TAMANTIN
    INDIVIDUALLY, AND HEIR TO THE
    ESTATE OF SHERRY LYNN
    CUNNISON, DECEASED; HALE
    BENTON, INDIVIDUALLY; AND
    JACUZZI, INC., D/B/A JACUZZI
    LUXURY BATH,
    Real Parties in Interest.
    ORDER GRANTING PETITION FOR A WRIT OF MANDAMUS
    This original petition for a writ of mandamus challenges a
    district court discovery sanction order in a torts action. Petitioners
    firstSTREET for Boomers & Beyond, Inc. and AITHR Dealer, Inc. marketed
    and sold decedent Sherry Lynn Cunnison a walk-in tub manufactured by
    real party in interest Jacuzzi, Inc. After her death, Sherry's family, the
    SUPREME COVET
    OF
    NEVADA
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    utal - 0204-5.
    Cunnison real parties in interest, brought a negligence and product liability
    action against petitioners and Jacuzzi. Following several years of litigation,
    the district court found that petitioners, not their attorneys, had violated
    their mandatory disclosure duties under NRCP 16.1 and sanctioned them
    by striking their answer as to liability. Petitioners now challenge that order
    in this petition for a writ of mandamus.'
    A writ of mandamus "is available to compel the performance of
    an act that the law requires . . . or to control an arbitrary or capricious
    exercise of discretion." NRS 34.160; Int'l Game Tech., Inc. v. Second
    Judicial Dist. Court, 
    124 Nev. 193
    , 197, 
    179 P.3d 556
    , 558 (2008). And,
    "[w]hile an appeal generally constitutes an adequate and speedy remedy
    precluding writ relief," Cote H. v. Eighth Judicial Dist. Court, 
    124 Nev. 36
    ,
    39, 
    175 P.3d 906
    , 908 (2008) (footnote and internal quotations omitted), this
    court has exercised its discretion to grant writ relief when a district court's
    erroneous application of the law leads to a manifest abuse of discretion,
    State v. Dist. Court (Arrnstrong), 
    127 Nev. 927
    , 932, 
    267 P.3d 777
    , 780 (2011)
    (explaining that a clearly erroneous interpretation or application of a law
    or rule constitutes a manifest abuse of discretion). We exercise our
    discretion to entertain this petition because the district court failed to apply
    the plain language of the relevant Nevada Rules of Civil Procedure,
    resulting in a manifest abuse of its discretion in its decision under those
    rules. See id.; Smith v. Eighth Judicial Dist. Court, 
    107 Nev. 674
    , 677, 679,
    
    818 P.2d 849
    , 851, 853 (1991) (recognizing that writ relief is an
    extraordinary remedy and that this court has sole discretion in determining
    whether to entertain a writ petition). Additionally, our consideration of this
    'The order in question was entered by Judge Richard Scotti.
    2
    . ,•
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    petition promotes judicial economy and administration, see Redeker v.
    Eighth Judicial Dist. Court, 
    122 Nev. 165
    , 167, 
    127 P.3d 520
    , 522 (2006),
    limited on other grounds by Hidalgo v. Eighth Judicial Dist. Court, 
    124 Nev. 330
    , 341, 
    184 P.3d 369
    , 377 (2008), because it corrects legal error that, if
    uncorrected, will adversely affect the future proceedings in this case.
    Petitioners argue that the district court erred in sanctioning
    them under NRCP 16.1 because petitioners did not violate a court order.
    Reviewing the district court's interpretation of NRCP 16.1 de novo, see Dep't
    of Tax. v. Eighth Judicial Dist. Court, 
    136 Nev. 366
    , 369, 
    466 P.3d 1281
    ,
    1283 (2020) (reviewing a district court's interpretation of NRCP 16.1 de
    novo in the context of a writ petition), we agree. NRCP 16.1(e)(3) provides,
    If an attorney fails to reasonably comply with any
    provision of this rule, or if an attorney or a party fails
    to comply with an order entered under Rule 16.3, the
    court, on motion or on its own, should impose upon a
    party or a party's attorney, or both, appropriate
    sanctions in regard to the failure(s) as are just . . .
    Under NRCP 16.1s plain language, for the district court to sanction a
    party's conduct, the party must have disobeyed an order entered under
    NRCP 16.3 (concerning discovery commissioners). NRCP 16.1(e)(3)
    (providing, in relevant part, that the district court may impose appropriate
    sanctions on a party where it fails to comply with an order entered under
    Rule 16.3); see also Morrow v. Eighth Judicial Dist. Court, 
    129 Nev. 110
    ,
    113, 
    294 P.3d 411
    , 414 (2013) (When a rule is clear on its face, we will not
    look beyond the rule's plain language."); Webb, ex rel. Webb v. Clark Cty.
    Sch. Dist., 
    125 Nev. 611
    , 618, 
    218 P.3d 1239
    , 1244 (2009) (explaining that
    "the rules of statutory interpretation apply to Nevada's Rules of Civil
    Procedure"). But here, the district court ignored the plain language of
    SUPREME COURT
    NRCP 16.1(e)(3) when it imposed sanctions on petitioners without first
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    •                      :JP
    entering, and petitioners violating, an NRCP 16.3 order compelling
    discovery. Indeed, the district court failed to identify any order petitioners
    violated that would justify sanctions under NRCP 16.1.2
    The Cunnison real parties in interest identify a minute order
    wherein the district court directed petitioners to make certain additional
    disclosures, arguing petitioners purported violation of that minute order
    supports the sanctions under NRCP 16.1. We disagree, as a minute order
    is not effective for any purpose, Rust v. Clark Cty. Sch. Dist., 
    103 Nev. 686
    ,
    689, 
    747 P.2d 1380
    , 1382 (1987) (concluding that "the clerk's minute order,
    and even an unfiled written order are ineffective for any purpose"), which
    would include for the purpose of imposing sanctions under NRCP 16.1(e)(3).
    Furthermore, the minute order was not issued pursuant to NRCP 16.3 as
    required by NRCP 16.1(e)(3) and the district court did not find that it was
    a facially clear discovery order that petitioners disobeyed. See Nev. Power
    Co. v. Fluor 111., 
    108 Nev. 638
    , 645, 
    837 P.2d 1354
    , 1359 (1992) (explaining
    that to impose sanctions for a party's misconduct, the district court must
    first "determine[ ] that a facially clear discovery order was disobeyed").
    Based on the foregoing, we agree with petitioners that the district court
    manifestly abused its discretion in sanctioning petitioners under NRCP
    16.1 such that writ relief is warranted.3 Accordingly, we
    2We   decline to consider the parties' arguments relative to other rules
    justifying the district court's action, as NRCP 16.1(e)(3) is the only rule the
    district court relied on as a basis for imposition of sanctions in its order.
    3Based   on our decision, we need not address petitioners' remaining
    arguments.
    SUPREME COURT
    OF
    NEVADA
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    4
    -.., • .1.'!,:ft'
    ORDER the petition GRANTED AND DIRECT THE CLERK
    OF THIS COURT TO ISSUE A WRIT OF MANDAMUS instructing the
    district court to vacate its order striking petitioners answer as to liability.4
    J.
    Cadish
    J.
    , J.
    Herndon
    cc:   Hon. Crystal Eller, District Judge
    Thorndal Armstrong Delk Balkenbush & Eisinger/Las Vegas
    Lewis Roca Rothgerber Christie LLP/Las Vegas
    Richard Harris Law Firm
    Weinberg, Wheeler, Hudgins, Gunn & Dial, LLC/Las Vegas
    Charles Allen Law Firm
    Weinberg, Wheeler, Hudgins, Gunn & Dial, LLC/Atlanta
    Eighth District Court Clerk
    4We lift the stay imposed by this court on November 23, 2021.
    5
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