Caraballo v. Cleveland Metro. School Dist. , 2013 Ohio 4919 ( 2013 )

[Cite as Caraballo v. Cleveland Metro. School Dist., 2013-Ohio-4919.]
Court of Appeals of Ohio
EIGHTH APPELLATE DISTRICT
COUNTY OF CUYAHOGA
JOURNAL ENTRY AND OPINION
No. 99616
WILFREDO CARABALLO
PLAINTIFF-APPELLEE
vs.
CLEVELAND METRO. SCHOOL DIST., ET AL.
DEFENDANTS-APPELLANTS
JUDGMENT:
AFFIRMED IN PART; REVERSED IN PART
AND REMANDED
Civil Appeal from the
Cuyahoga County Court of Common Pleas
Case No. CV-783470
BEFORE: Jones, P.J., Kilbane, J., and E.T. Gallagher, J.
RELEASED AND JOURNALIZED: November 7, 2013
ATTORNEYS FOR APPELLANT
Wayne J. Belock
Chief Legal Counsel
Cleveland Metro. School District
1380 East 6th Street, Room, 203
Cleveland, Ohio 4414
Joseph J. Jerse
Legal Counsel
Cleveland Metro. School District
1111 Superior Avenue, Room 1807
Cleveland, Ohio 44114
ATTORNEYS FOR APPELLEE
Christian R. Patno
Nicholas M. Dodosh
Susan C. Stone
McCarthy, Lebit, Crystal & Liffman
101 West Prospect Avenue
Suite 1800
Cleveland, Ohio 44115
LARRY A. JONES, SR., P.J.:
{¶1} Defendant-appellant, the Cleveland Metropolitan School District (“CMSD” or
“the District”), appeals the trial court’s denial of its motion to dismiss plaintiff-appellee’s,
Wilfredo Caraballo, complaint. We affirm in part and reverse in part.
{¶2} In 2012, Caraballo filed a nine-count complaint on behalf of his minor
daughter K.C. against the CMSD and unidentified John Doe and Jane Doe individuals and
John Doe entities. In the complaint, Caraballo alleged that on March 23, 2009, while
eating lunch at her CMSD elementary school, K.C. was severely injured after she ate a
burrito from the school cafeteria that contained a two-prong metal binder clip. Count 1
of the complaint alleged “willful, reckless and wanton misconduct”; Count 2 alleged
negligence; Count 3 alleged res ipsa loquitur; Count 4 alleged breach of implied warranty
of merchantability; Count 5 alleged breach of implied warranty of fitness for a particular
purpose; Count 6 was a derivative claim for loss of consortium; Counts 7 and 8 alleged
violations of state and federal regulations concerning school lunches and the Pure Food
and Drug Act; and Count 9 alleged product liability.
{¶3} The CMSD, as a separate defendant, filed a motion to dismiss, arguing that it
was immune from liability as a political subdivision and the court should dismiss the
complaint for failure to state a claim upon which relief can be granted pursuant to Civ.R.
12(B)(6). The trial court denied the motion and the District filed a timely appeal. The
unidentified John and Jane Does and John Doe entities are not a party to this appeal.
{¶4} The District raises one assignment of error for our review:
The trial court erred in failing to dismiss the complaint against the Cleveland
Metropolitan School District on the ground of statutory immunity.
Motion to Dismiss
{¶5} The purpose of a complaint is to notify the defendant of the legal claim against
him or her. Wilson v. Riverside Hosp., 18 Ohio St.3d 8, 10, 479 N.E.2d 275 (1985). A
motion to dismiss for failure to state a claim is viewed with disfavor and is rarely granted.
Id. citing 5 Wright & Miller, Federal Practice 593, 598, Section 1357 (1969).
{¶6} We apply a de novo standard of review to the trial court’s decision on a
motion to dismiss under Civ.R. 12(B)(6) for failure to state a claim upon which relief may
be granted. Perrysburg Twp. v. Rossford, 103 Ohio St.3d 79, 2004-Ohio-4362, 814
N.E.2d 44, ¶ 5, citing Cincinnati v. Beretta U.S.A. Corp., 95 Ohio St.3d 416,
2002-Ohio-2480, 768 N.E.2d 1136. Under this standard of review, we must
independently review the record and afford no deference to the trial court’s decision.
Herakovic v. Catholic Diocese of Cleveland, 8th Dist. Cuyahoga No. 85467,
2005-Ohio-5985, ¶ 13.
{¶7} In order for a trial court to dismiss a complaint under Civ.R. 12(B)(6), it must
appear beyond doubt that the plaintiff can prove no set of facts in support of his or her
claim that would entitle the plaintiff to relief. Doe v. Archdiocese of Cincinnati, 109
Ohio St.3d 491, 2006-Ohio-2625, 849 N.E.2d 268, ¶ 11, citing O'Brien v. Univ.
Community Tenants Union, Inc., 42 Ohio St.2d 242, 327 N.E.2d 753 (1975). And when
considering a Civ.R. 12(B)(6) motion, a court’s factual review is confined to the four
corners of the complaint. Grady v. Lenders Interactive Servs., 8th Dist. Cuyahoga No.
83966, 2004-Ohio-4239, ¶ 6. Within those confines, a court accepts as true all material
allegations of the complaint and makes all reasonable inferences in favor of the
nonmoving party. Fahnbulleh v. Strahan, 73 Ohio St.3d 666, 667, 653 N.E.2d 1186(1995). “[A]s long as there is a set of facts, consistent with the plaintiff’s complaint,
which would allow the plaintiff to recover, the court may not grant a defendant’s motion to
dismiss.” York v. Ohio State Hwy. Patrol, 60 Ohio St.3d 143, 145, 573 N.E.2d 1063(1991).
{¶8} Therefore, when reviewing the CMSD’s motion to dismiss, we will assume
the allegations surrounding K.C.’s injuries as outlined in the complaint to be true.
Political Subdivision Immunity
{¶9} The CMSD’s motion to dismiss was premised on the argument that it was
entitled to political subdivision immunity. Whether a political subdivision is entitled to
immunity is a purely legal issue, properly determined by a court prior to trial, but
preferably on a motion for summary judgment. Roe v. Hamilton Cty. Dept. of Human
Servs., 53 Ohio App.3d 120, 126, 560 N.E.2d 238 (1st Dist.1998), citing Harlow v.
Fitzgerald, 457 U.S. 800, 102 S.Ct. 2727, 73 L.Ed.2d 396 (1982).
{¶10} To determine whether the District is immune under the Political Subdivision
Tort Liability Act, as it is codified in R.C. Chapter 2744, we employ a three-tiered
analysis. Colbert v. Cleveland, 99 Ohio St.3d 215, 2003-Ohio-3319, 790 N.E.2d 781, ¶
7. The first tier of the analysis is the general rule that a political subdivision is immune
from liability incurred in performing either a governmental function or proprietary
function. Id., citing Greene Cty. Agricultural Soc. v. Liming, 89 Ohio St.3d 551, 733
N.E.2d 1141 (2000); R.C. 2744.02(A)(1).
{¶11} The parties in this case do not dispute that the District qualifies as a political
subdivision as defined in R.C. 2744.01(F). Accordingly, its immunity is presumed and
we proceed to the second tier. Walsh v. Mayfield, 8th Dist. Cuyahoga No. 92309,
2009-Ohio-2377, ¶ 11-12.
{¶12} “The second tier of the analysis requires a court to determine whether any of
the five exceptions to immunity listed in R.C. 2744.02(B) apply to expose the political
subdivision to liability.” Colbert at ¶ 8. Thus, since immunity is presumed, Caraballo
must demonstrate that an exception to the general rule of immunity as outlined in R.C.
2744.02(B) applies to expose the District to liability. Sims v. Cleveland, 8th Dist.
Cuyahoga No. 92680, 2009-Ohio-4722, ¶ 13, citing Walsh at id.{¶13} If any of the exceptions to immunity in R.C. 2744.02(B) apply and no
defense in that section protects the political subdivision from liability, then the third tier is
applied. Colbert at ¶ 9. In the third tier, a court looks to R.C. 2744.03 to determine
whether any defenses in the section apply, thereby providing the political subdivision a
defense against liability. Id. In other words, liability must be created under R.C.
2744.02(B) before it is necessary to apply the defenses or immunities set forth in R.C.
2744.03(A).
Exceptions to Immunity
{¶14} Counts 2 through 9 of the complaint alleged negligence, res ipsa loquitur,
loss of consortium, and various breaches of implied warranties, products liability claims,
and violations of state and federal regulations that govern food service.
{¶15} As previously mentioned, the school district meets tier one of the Cater
analysis as a political subdivision. Next, we must determine if one of the exceptions to
immunity under R.C. 2744.02(B)(1)-(5) apply. The five exceptions are: (1) negligent
operation of a motor vehicle by the political subdivision’s employee; (2) negligent
performance of acts by an employee of a political subdivision with respect to the political
subdivision’s proprietary functions; (3) the political subdivision’s negligent failure to keep
public roads in repair; (4) negligent creation or failure to remove physical defects in
buildings and grounds; and (5) where another section of the Ohio Revised Code expressly
imposes civil liability on a political subdivision. Id.; Young v. Genie Industries United
States, 8th Dist. Cuyahoga No. 89665, 2008-Ohio-929, ¶ 17.
{¶16} According to Caraballo, the two exceptions to immunity that apply in this
case are R.C. 2744.02(B)(2) and 2744.02(B)(4).
{¶17} R.C. 2744.02(B)(2) states, in part, that “political subdivisions are liable for
injury, death, or loss to person or property caused by the negligent performance of acts by
their employees with respect to proprietary functions of the political subdivisions.”
Therefore, in order for the exception in R.C. 2744.02(B)(2) to apply, the District’s
provision of school lunches must be considered a proprietary function of the District.
The CMSD argues that the serving of school lunches is a governmental function as set
forth in R.C. 2744.02(A)(1); therefore, the exception as outlined in R.C. 2744.02(B)(2)
would not apply.
{¶18} Governmental functions include “[t]he provision of a system of public
education.” R.C. 2744.01(C)(2)(c). R.C. 3313.81 states, in material part:
[t]he board of education of any * * * local school district may establish food
service, provide facilities and equipment, and pay operating costs in the
schools under its control for the preparation and serving of lunches, and
other meals or refreshments to the pupils, employees of the board of
education employed therein, and to other persons taking part in or
patronizing any activity in connection with the schools.
{¶19} CMSD relies on the Seventh Appellate District’s decision in Taylor v.
Boardman Twp. Local School Dist. Bd. of Edn., 7th Dist. Mahoning No. 08 MA 209,
2009-Ohio-6528, where the court determined that although the serving of school lunches
was not expressly by statute a governmental function, it still qualified as such. The
Taylor court reasoned:
Although the language of R.C. 3313.81 does not necessarily require a local
board of education to establish a food service, [R.C.] 3313.813(C) does
obligate local boards of education to establish food service programs if
certain basic conditions apply, as mandated by the “National School Lunch
Act,” or the “Child Nutrition Act of 1996.” Sections 1751 and 1771,
Title 42, U.S. Code. It can therefore be concluded that the provision of
lunches is generally a necessary part of the provision of a system of public
education, thus part of an obligation of sovereignty imposed on the state of
Ohio. Boardman’s provision of school lunches is thus a governmental
function pursuant to R.C. 2744.01(C)(1)(a).
***
A board of education is the only entity permitted to create, supervise and
regulate the provision of meals to students in school facilities. The provision
of food within a school program is subject to strict rules, and is controlled by
statutory mandates in terms of the program’s structure and day-to-day
functioning. * * * Given the foregoing, the provision of school lunches to
students in school facilities is an activity not customarily engaged in by
nongovernmental persons. Boardman’s provision of school lunches is thus
a governmental function pursuant to R.C. 2744.01(C)(1)(c).
Id. at ¶ 21-23.
{¶20} Caraballo argues that the serving of school lunches may be a proprietary
function since school districts are increasingly relying on non-governmental third-party
entities to deliver, prepare, and serve school lunches. As such, he should be afforded the
opportunity, as the plaintiff in Taylor was, to engage in discovery. This may establish,
Caraballo contends, that the CMSD’s system of food delivery, preparation, and serving
does not constitute a governmental function.
{¶21} We agree with Caraballo to one extent. Putting aside the question of
whether Taylor is factually distinguishable from this case and the fact that the decision is
not binding on this court, Taylor was not decided on a Civ.R. 12(B)(6) motion, rather, it
was decided on factual questions raised by summary judgment motions pursuant to Civ.R.
56.
{¶22} At this early stage of the proceedings, we cannot say with certainty that the
serving of school lunches is a governmental function; further discovery is warranted.
{¶23} Caraballo further claims that the CMSD is subject to the immunity exception
in R.C. 2744.02(B)(4), which holds political subdivisions “[l]iable for injury, death, or loss
to person or property that is caused by the negligence of their employees and occurs within
or on the grounds of, and is due to physical defects within or on the grounds, of buildings
that are used within the performance of governmental functions * * *.”
{¶24} He contends that he may establish facts as alleged in the complaint by
proving that the metal binder clip came to be in his child’s food due to employee
negligence and physical defects within or on the grounds of the school. As an example,
Caraballo claims he may be able to establish that a physical defect on the grounds of the
school led to the collapse of a negligently or recklessly located and/or maintained storage
shelf which, in turn, led to the binder clip landing in the food preparation area. The
CMSD argues that Caraballo did not properly plead this exception to immunity in his
complaint because he did not allege that a physical defect on or in District property,
coupled with employee negligence, led to K.C.’s injuries.
{¶25} Again, insofar as Caraballo has made a short, plain statement of his claim
which, if accepted as true, would entitle him to relief, he should be permitted to engage in
discovery to attempt to prove his claim.
{¶26} In regard to Caraballo’s claim for loss of consortium, this claim “is derivative
and, but for the primary cause of action by the plaintiff, would not exist.” Moss v. Lorain
Cty. Bd. of Mental Retardation, 185 Ohio App.3d 395, 2009-Ohio-6931, 924 N.E.2d 401,
¶ 32 (9th Dist.), citing Bradley v. Sprenger Ents., Inc., 9th Dist. Lorain No. 07CA009238,
2008-Ohio-1988, ¶ 14. Because Caraballo’s cause of action for loss of consortium is
derived from, and dependent upon, the personal injury action that arose from the harm
suffered by his daughter, and we have determined that the complaint sets forth a
cognizable claim against the District, the loss of consortium claim survives as well. Moss
at id.{¶27} Finally, considering Caraballo’s allegations for breach of implied warranties,
products liability, and violations of state and federal regulations that govern food service,
at this early stage of litigation, we find that there is sufficient evidence on these claims to
withstand the District’s motion to dismiss.
R.C. 2744.03 Defenses
{¶28} Count 1 of Caraballo’s complaint alleged a cause of action for “willful,
wanton, and reckless conduct.” Complaint ¶ 9, 10, 25.
{¶29} R.C. 2744.03 “lists defenses for political subdivisions once an exception to
sovereign immunity has already been established.” Sims, 8th Dist. Cuyahoga No. 92680,
2009-Ohio-4722, ¶ 16, citing Cater, 83 Ohio St.3d 24, 33, 697 N.E.2d 610 (1998).
{¶30} R.C. 2744.03(A)(5) provides that:
(A) In a civil action brought against a political subdivision or an employee of
a political subdivision to recover damages for injury, death, or loss to person
or property allegedly caused by any act or omission in connection with a
governmental or proprietary function, the following defenses or immunities
may be asserted to establish nonliability:
***
(5) The political subdivision is immune from liability if the injury, death, or
loss to person or property resulted from the exercise of judgment or
discretion in determining whether to acquire, or how to use, equipment,
supplies, materials, personnel, facilities, and other resources unless the
judgment or discretion was exercised with malicious purpose, in bad faith, or
in a wanton or reckless manner.
{¶31} Caraballo alleged specifically that the District, “by and through its
employees, willfully, wantonly, and recklessly failed to comply with duties they owed to a
student” and “[a]s a direct and proximate result of the willful, reckless and wanton
misconduct of Defendants, [K.C.] required substantial medical treatment and has incurred
great physical and mental pain and suffering” and “incurred medical care, treatment and
expense, incurred mental anguish and medical and other bills in excess of $13,408.44.”
Complaint ¶ 8, 9, 10.
{¶32} It is well-settled that R.C. 2744.03 does not create a cause of action or
separately provide a basis for liability on a political subdivision; R.C. 2744.03(A)(5) is a
defense to liability but cannot be used to establish liability. Cater at 32; see Sims at id.;
see also Glover v. Dayton Pub. Schools, 2d Dist. Montgomery No. 17601, 1999 Ohio App.
LEXIS 3706, *10 (Aug. 13, 1999) (holding that R.C. 2744.03 does not provide a separate
basis for liability against the school district and is relevant only if one of the listed
exceptions to immunity in R.C. 2744.02(B) has first been found to exist.); Rush v.
Mansfield, N.D.Ohio No. 1:07-CV-1068, 2011 U.S. Dist. LEXIS 13689 (Feb. 11, 2011)
(noting that R.C. 2744.03(A)(5) provides defenses to liability if one of the exceptions in
R.C. 2744.03(B) is implicated; it cannot be used as an independent basis to impose
liability.)
{¶33} Thus, it is only after an exception to a political subdivision’s immunity has
been established that a court proceeds to the third tier of the analysis to determine whether
a defense in R.C. 2744.03 applies to relieve the political subdivision of liability.
{¶34} As such, allegations against the District that it acted in a willful, reckless, and
wanton manner may be used as a defense to liability if immunity is established, but the
allegation does not create a separate cause of action against the CMSD. Therefore, the
CMSD’s motion to dismiss should have been granted as to Count 1 of the complaint only.
Future Claim of Immunity
{¶35} Our decision today does not mean that the CMSD is foreclosed from making
future immunity arguments. The court’s denial of the District’s motion to dismiss
triggered its right to an interlocutory appeal under R.C. Chapter 2744, but does not
constitute a “final denial of immunity.” Parsons v. Greater Cleveland Regional Transit
Auth., 8th Dist. Cuyahoga No. 93523, 2010-Ohio-266, ¶ 15; see Hubbell v. Xenia, 115
Ohio St.3d 77, 2007-Ohio-4839, 873 N.E.2d 878 (denial of political subdivision’s motion
to dismiss predicated on an immunity argument is a final appealable order, but does not
foreclose a future finding of immunity.)
{¶36} All that is required at this stage of the proceedings is for the court to
determine whether, when viewing all factual allegations as true in the complaint, Caraballo
has shown he can prove any set of facts entitling him to relief. Civ.R. 12(B)(6); see
Parsons at id. When viewing the complaint in this light, Caraballo has made a colorable
claim for relief. But it cannot be decided at this early stage whether the CMSD is
immune from liability; further discovery is warranted to make that final determination.
{¶37} In sum, the trial court did not err in denying the District’s motion to dismiss
pursuant to Civ.R. 12(B)(6), except as to Count 1 of the complaint. The trial court should
have granted the motion to dismiss as to Count 1 of the complaint.
{¶38} Judgment affirmed in part and reversed in part.
{¶39} Accordingly, the case remanded to the trial court for proceedings consistent
with this opinion.
It is ordered that appellant and appellee split the costs herein taxed.
The court finds there were reasonable grounds for this appeal.
It is ordered that a special mandate issue out of this court directing the Cuyahoga
County Court of Common Pleas to carry this judgment into execution.
A certified copy of this entry shall constitute the mandate pursuant to Rule 27 of the
Rules of Appellate Procedure.
LARRY A. JONES, SR., PRESIDING JUDGE
MARY EILEEN KILBANE, J., and
EILEEN T. GALLAGHER, J., CONCUR