JIM BATES, Pеtitioner and Appellant, v. LAURA LEE NEVA, Respondent and Appellee.
No. DA 14-0171.
Supreme Court of Montana
Decided December 23, 2014.
Submitted on Briefs December 12, 2014.
2014 MT 336 | 377 Mont. 350 | 339 P.3d
For Appellant: Jim Bates, self-represented, Fishtail.
For Appellee: Patricia D. Peterman; Michael F. McGuinness, Patten, Peterman, Bekkedahl & Green, PLLC, Billings.
JUSTICE BAKER delivered the Opinion of the Court.
¶1 Jim Bates appeals the Twenty-Second Judicial District Court‘s ruling that the Montana Human Rights Act (MHRA) applies to Laura Lee Neva‘s claim of sexual harassment in her lease of commercial property from Bates. The issue we address on appeal is whether the MHRA applies to Neva‘s commercial lease. We conclude that it does and affirm.
PROCEDURAL AND FACTUAL BACKGROUND
¶2 In June 2009, Neva approached Bates abоut leasing a commercial property in Absarokee for an art gallery. The building was
¶3 In July 2009, the two worked together on the repairs. Neva would later testify to numerous instances of inappropriate conduct by Bates during this month, including grabbing Neva‘s breast, commenting on Neva‘s underwear, and telephoning Neva to tell her that he was naked. Bates also sent a string of emails to Neva, later admitted into evidence, in which he proposed sexually explicit encounters. Neva eventually told Bates that he was “nothing but a landlord” to her. Bates then stopped making repairs, though the two dispute whether that was because Neva rebuffed his advances or because Neva installed a security system preventing Bates from gaining unfettered access to the building.
¶4 In 2010, Neva filed a complaint with the Montanа Human Rights Bureau, alleging that Bates violated the MHRA by sexually harassing her. In 2011, after a contested hearing, a hearing officer found that Bates had “severe[ly]” and “persistent[ly]” harassed Neva, and that the harassment was “patently unwelcome.” Despite these findings, the hearing officer concluded that the harassment occurred in a context that neither the MHRA‘s public accommodation nor real estate provisions cover. With regard to the MHRA‘s real estate provisions, the hearing officer declared, “The MHRA does not address illegal discrimination in commerciаl, as opposed to housing, leases between private individuals.”
¶5 Neva appealed the hearing officer‘s determination to the Montana Human Rights Commission. Examining the text of the MHRA, the Commission concluded that it “prohibits unlawful discrimination in commercial property transactions, as well as all other real estate transactions.” Accordingly, the Commission ruled that Neva could proceed with her claim.
¶6 Bates sought judicial review, arguing that the Commission: (1) violated his right to due process by analyzing Neva‘s action under the MHRA‘s real estate provisions, and (2) incorrectly interpreted those provisions. Ruling for Bates on the due process argument, the District Court vacated the Commission‘s decision and reinstated the hearing officer‘s.
¶7 Neva appealed the District Court‘s order to this Court and we reversed, concluding that Bates received due process. Bates v. Neva, 2013 MT 246, ¶¶ 19-20, 371 Mont. 466, 308 P.3d 114. We remanded, directing the District Court to resolve the issue that formed the alternate basis for Bates‘s challenge to the Commission‘s decision: whether the MHRA‘s real estate provisions apply to Neva‘s commercial lease. Bates, ¶ 20.
¶8 On remand, the District Court concluded that the MHRA‘s rеal estate provisions prohibit discrimination in commercial real estate transactions. The court entered an order on February 27, 2014, remanding the case to the Montana Department of Labor and Industry‘s Hearings Bureau for further proceedings, including a determination of damages. Bates appeals the District Court‘s decision and order, thus presenting to the Court this matter of first impression.
STANDARD OF REVIEW
¶9 The correct interpretation of a statute is a question of law that we review de novo. City of Missoula v. Iosefo, 2014 MT 209, ¶ 8, 376 Mont. 161, 330 P.3d 1180.
DISCUSSION
¶10 The MHRA prohibits an “owner, lessor, or manager” leasing a “housing accommodation or imрroved or unimproved property” from discriminating on the basis of sex “in a term, condition, or privilege” relating to property‘s “use” or “lease.”
¶11 Based on the plain meaning of improved or unimproved property as used in
¶12 Bates argues that the District Court got it wrong. Specifically, he interprets “housing accommodation or improved or unimproved property” to mean “housing accommodation or housing property.” This interpretation, he suggests, reflects the Legislature‘s intention to make the MHRA equivalent to the Federal Fair Housing Act with regard to real estate transactions. He argues that this interpretation also better comports with
¶13 We interpret statutes consistently with the Legislature‘s intent as crystallized in the statute‘s plain language. In re Marriage of Rudolf, 2007 MT 178, ¶ 41, 338 Mont. 226, 164 P.3d 907. Specifically, in interpreting a statute, we are “simply to ascertain and declare what is in the terms or in substance contained therein, not to insert what has been omitted or to omit what has been inserted.”
¶14 First enacted in 1974, the MHRA recognizes and declares that “[t]he right to be free from discrimination because of race, creed, religion, color, sex, physical or mental disability, age, or national origin” is a “civil right.”
(1) It is an unlawful discriminatory practice for the owner, lessor, or manager having the right to sell, lease, or rent a housing accommodation or improved or unimproved property or for any other person:
. . .
(b) to discriminate against a person because of sex, marital status, race, creed, religion, age, familial status, physical or mental disability, color, or national origin in a term, condition, or рrivilege relating to the use, sale, lease, or rental of the housing accommodation or property . . . .
¶15 The MHRA does not define improved or unimproved property. “When the legislature has not defined a statutory term, we consider the term to have its plain and ordinary meaning.” Giacomelli v. Scottsdale Ins. Co., 2009 MT 418, ¶ 18, 354 Mont. 15, 221 P.3d 666. In ascertaining plain meaning, we have “long adhered to ‘ordinary rules of
¶16 Bates argues that, in the phrase “housing accommodаtion or improved or unimproved property,” improved or unimproved property is limited to housing property. But that construction requires reading “housing” as modifying improved or unimproved property. Plain language and proper usage of grammar militate against that reading. Specifically, the series-qualifier canon of statutory interpretation, which calls for reading a pre-positive modifier as modifying all items that follow in a series, applies only where the items in the series have parallel construction. Black‘s Law Dictionary 1574 (Bryan A. Garner ed., 10th ed. 2009). If thе items do not have parallel construction because a modifier is interspersed between them, the result is that the pre-positive modifier applies only to the first item in the series and does not carry over. Ward Gen. Ins. Servs., Inc. v. Emp‘rs Fire Ins. Co., 7 Cal. Rptr. 3d 844, 849 (Cal. Ct. App. 2003) (“Most readers expect the first adjective in a series of nouns or phrases to modify each noun or phrase in the following series unless another adjective appears.” (emphasis supplied)); Antonin Scalia & Bryan A. Garner, Reading Law: The Interpretation of Legal Texts 148 (2012) (“The typical way in which syntax would suggest no carryover modification is that a determiner ... will be repeated before the second element.“). To illustrate, the phrase “skinny men or happy or sad women” is syntactically identical to “housing accommodation or improved or unimproved property.” But no reasonable reader would read “skinny” to modify “happy or sad women.” Instead, a reasonable reader would read “skinny” as modifying only “men” and “happy or sad” as the sole modifiers of “women.” Likewise, because we adhere to “the ordinary rules of grammar,” Jay, 24 Mont. at 225, 61 P. at 252, we read “housing” to modify “accommodation” and not “improved or unimproved property.”1
¶17 The MHRA‘s definition section confirms that “housing accommodation” and “improved or unimproved property” are separate and distinct terms. As noted, the statute defines housing accommodation,
¶18 Rеading improved or unimproved property as dependent on “housing” also contravenes our obligation to, if possible, “give effect to all” words in a statute.
¶19 We need not contrive a specialized meaning for improved or unimproved property because the plain and ordinary meaning
¶20 Bates questions this plain reading by pointing out that
¶21 Bates also calls our attention to
¶22 Bates also points to our recognition that “[t]he Montana Legislature has indicated its clear intent that the MHRA be interpreted consistently with federal discrimination statutes and case law.” BNSF Ry. Co. v. Feit, 2012 MT 147, ¶ 8, 365 Mont. 359, 281 P.3d 225. Bates suggests that we should read the MHRA as regulating discrimination only in housing because that is all that the Federal Fair Housing Act regulates.
¶23 In Feit, we held that obesity may constitute a physical or mental impairment under the MHRA. Feit, ¶ 16. In discussing the definition of disability, we stated that the “MHRA [is] to be interpreted consistently with federal discrimination statutes and case law.” We specifically noted that “the definition of physical or mental disability [in the MHRA] is substantially identical to that in the [Americans with Disabilities Act]” and
¶24 In contrast to Feit, where the language and history of the statute supported reading the MHRA‘s disability provisions identically to federal law, thе language and history of the statute do not support reading
¶25 Finally, Bates argues that the Montana Human Rights Bureau, the agency charged with administering the MHRA, long has applied the statute only to hоusing transactions, and we should thus defer to an agency interpretation limiting the MHRA to housing transactions. This argument ignores that the Human Rights Commission in this very case determined that the MHRA is not limited to housing transactions and applies to commercial real estate transactions.2
¶26 The purpose of the MHRA is to protect the individual right to be free from discrimination.
CONCLUSION
¶27 We affirm the District Court‘s decision and order. We remand for proceedings consistent with the District Court‘s February 27, 2014 order.
CHIEF JUSTICE McGRATH, JUSTICES COTTER, SHEA and WHEAT concur.
JUSTICE RICE, dissenting.
¶28 The Court has
¶29 In determining legislative intent, we are to be “mindful of the rules of statutory construction that guide our review....” State v. Heath, 2004 MT 126, ¶ 24, 321 Mont. 280, 90 P.3d 426. “‘Statutory construction is a “holistic endeavor” and must account for the statute‘s text, language, structure, and object.‘” Heath, ¶ 24 (quoting S.L.H. v. State Compen. Mut. Ins. Fund, 2000 MT 362, ¶ 16, 303 Mont. 364, 15 P.3d 948, quoting United States Nat‘l Bank v. Independent Ins. Agents of Am. (1993), 508 U.S. 439, 455, 113 S. Ct. 2173, 2182, 124 L. Ed. 2d. 402, 418). In this holistic endeavor, we must avoid a myopic focus: “When construing a statute, it must bе read as a whole, and its terms should not be isolated from the context in which they were used by the Legislature.” State v. Price, 2002 MT 229, ¶ 47, 311 Mont. 439, 57 P.3d 42; see also Mont. Sports Shooting Ass‘n v. State, 2008 MT 190, ¶ 11, 344 Mont. 1, 185 P.3d 1003 (“We construe a statute by reading and interpreting the statute as a whole, ‘without isolating specific terms from the context in which they are used by the Legislature.‘“) (citation omitted).
¶30 A reading of the anti-discrimination provisions within
¶31 As they were when originally enacted in 1974, the anti-discrimination provisions of the MHRA are organized into sections by type of discrimination. Those sections have been labeled in the Montana Code Annotated for ease of understanding, including, for example, “49-2-303. Discrimination in employment,” “49-2-304. Discrimination in public accommodations,” “49-2-306. Discrimination in financing аnd credit transactions,” and “49-2-307. Discrimination in education.” Likewise, the section at issue here is labeled “49-2-305. Discrimination in housing—exemptions.” The identification of the section‘s content as “discrimination in housing” corresponds both to the abundance of residential language and absence of any commercial language within the section. The Court correctly notes that these catchlines were not enacted by the Legislature. Opinion, ¶ 21. However, it cannot be denied, from a review of their content, that the anti-discrimination sections of the MHRA are organized precisely as they have been labeled, and that, consistent with its catchline, the subject of
¶32 Bates correctly notes that the phrase, “housing accommodation or improved or unimproved property,” is used only once, while the phrase “housing accommodation or property” is frequently used within
¶33 The Court rejects Bates’ interpretation of “improved and unimproved property” as referring to vacant land because, as the Court sees it, the term “housing accommodation” encompasses vacant land because it includes buildings “to be constructed,” and therefore, Bates’ interpretation of the phrase would add nothing to the statute. Opinion, ¶ 18. However, the Court‘s interpretation distorts the plain wording of the statute. “Housing accommodation” is specifically defined by
repairing, or maintaining a housing accommodation or property.”
¶34 It is obvious that, for these reasons, the agency has interpreted this section, since its enactment, as applying only to housing discrimination claims. Administrative Rule of Montana 24.8.207, states, in part:
(1) Within ten business days of the filing of the complaint, the Human Rights Bureau shall serve notice of filing upon the parties by mail. The notice shall:
. . .
(d) in cases filed pursuant to
49-2-305, MCA (housing cases), advise the parties of their right to commence a civil action under49-2-510(4)(a), MCA , in an appropriate district court....
Admin. R. M. 24.8.207 (2008) (Notice of Filing Complaints (emphasis added)). As the Hearing Officer noted, “[t]he MHRA does not address discrimination in commercial, as opposed to housing, leases between private individuals.” We follow the rule that “where a particular meaning has been ascribed to a
¶35 All that said, even if the Court‘s grammatical analysis has correctly determined that commercial leases could be included within the phrase “housing accommodation or improved or unimproved property,” this presents a classic example of the rare case when the Court‘s proper duty nonetheless requires reversal of the District Court. As the U.S. Supreme Court has explained:
It is a familiar rule that a thing may be within the lеtter of the statute and yet not within the statute, because not within its spirit, nor within the intention of its makers. This has been often asserted, and the reports are full of cases illustrating its application. This is not the substitution of the will of the judge for that of the legislator, for frequently words of general meaning are used in a statute, words broad enough to include an act in question, and yet a consideration of the whole legislation, or of the circumstances surrounding its enactment, or of the absurd results
which follow from giving such a broad meaning to the words, makes it unreasonable to believe that the lеgislator intended to include the particular act.
Church of the Holy Trinity v. United States, 143 U.S. 457, 459, 12 S. Ct. 511, 512, 36 L. Ed. 226, 228 (1892); see also Public Citizen v. United States Dep‘t of Justice, 491 U.S. 440, 454, 109 S. Ct. 2558, 2567, 105 L. Ed. 2d. 377, 397 (1989) (citing Church of the Holy Trinity); Bitterroot River Protective Ass‘n v. Bitterroot Conservation Dist., 2008 MT 377, ¶ 72, 346 Mont. 507, 198 P.3d 219 (declining to apply the statutory term “natural water body” in its literal sense where such an application would be contrary to the Stream Access Act). Here, “a consideration of the whole legislation,” or, in terms used by our jurisprudence, a consideration of “the statute‘s text, language, structure, and object,” makes it abundantly clear to me that the Legislature intended
¶36 I would reverse.
JUSTICE McKINNON joins in the Dissenting Opinion of JUSTICE RICE.
