Larry O. Ford
Erik
T. Engle
Meyer & Ford
Pullin,
Knopf, Fowler & Flanagan
Anne E. Shaffer
Charleston,
West Virginia
Charleston, West Virginia
Attorney
for the Appellees
Attorneys for the Appellant
JUSTICE ALBRIGHT delivered the Opinion of the Court.
JUSTICES DAVIS and MAYNARD dissent and reserve the right to file a dissenting opinions.
1. A circuit court's
entry of summary judgment is reviewed de novo. Syl. Pt. 1, Painter
v. Peavy, 192 W. Va. 189, 451 S.E.2d 755 (1994).
2. A circuit court's
entry of a declaratory judgment is reviewed de novo. Syl. Pt.
3, Cox v. Amick, 195 W.Va. 608, 466 S.E.2d 459 (1995).
3. 'If the right to
control or supervise the work in question is retained by the person for whom
the work is being done, the person doing the work is an employee and not an
independent contractor, and the determining factor in connection with this
matter is not the use of such right of control or supervision but the existence
thereof in the person for whom the work is being done.' Point 2, Syllabus,
Spencer v. Travelers Insurance Company, 148 W.Va. 111, [133 S.E.2d
735 (1963)]. Syl. Pt. 3, Myers v. Workmen's Compen. Comm'r, 150
W.Va. 563, 148 S.E.2d 664 (1966).
4. The question as
to whether a person is an employee or an independent contractor depends on
the facts in any given case and all elements must be considered together.
Among the elements to be considered are the manner of selection of the person
who is to do the work, how the person is to be paid for such work, the right
to hire and to fire, and the right or power of control or supervision in connection with
the work to be done, but the most important element is the one last mentioned.
Syl. Pt. 1, Spencer v. Travelers Ins. Co., 148 W.Va. 111, 133 S.E.2d
735 (1963).
5. An owner who engages
an independent contractor to perform a job for him or her may retain broad
general power of supervision and control as to the results of the work so
as to insure satisfactory performance of the contract _ including the right
to inspect, to stop the work, to make suggestions or recommendations as to
the details of the work, or to prescribe alterations or deviations in the
work _ without changing the relationship from that of owner and independent
contractor, or changing the duties arising from that relationship.
Syl. Pt. 4, Shaffer v. ACME Limestone Co., 206 W.Va. 333, 524 S.E.2d
688 (1999).
6.
Although our standard of review for summary judgment remains de novo,
a circuit court's order granting summary judgment must set out factual findings
sufficient to permit meaningful appellate review. Findings of fact, by necessity,
include those facts which the circuit court finds relevant, determinative
of the issues and undisputed. Syl. Pt. 3, Fayette County Nat. Bank
v. Lilly, 199 W.Va. 349, 484 S.E.2d 232 (1997).
7. A motion for summary
judgment should be granted only when it is clear that there is no genuine
issue of fact to be tried and inquiry concerning the facts is not desirable to clarify the application of the law. Syl. Pt. 3, Aetna
Cas. & Sur. Co. v. Federal Ins. Co., 148 W. Va. 160, 133 S.E.2d 770
(1963).
8.
A party who moves for summary judgment has the burden of showing that
there is no genuine issue of material fact and any doubt as to the existence
of such issue is resolved against the movant for such judgment. Syl.
Pt. 6, Aetna Cas. & Surety Co. v. Federal Ins. Co., 148 W.Va. 160,
133 S.E.2d 770 (1963).
9.
'A motion by both plaintiff and defendant for summary judgment under
Rule 56, R.C.P. does not constitute a determination that there is no issue
of fact to be tried and if a genuine issue of material fact is involved both
motions should be denied.' Syl. pt. 3, Haga v. King Coal Chevrolet Company,
151 W.Va. 125, 150 S.E.2d 599 (1966)
. Syl. Pt. 4, Warner v.
Haught, Inc., 174 W.Va. 722, 329 S.E.2d 88 (1985). 10. The question to
be decided on a motion for summary judgment is whether there is a genuine
issue of material fact and not how that issue should be determined.
Syl. Pt. 5, Aetna Cas. & Sur. Co. v. Federal Ins. Co., 148 W.Va.
160, 133 S.E.2d 770 (1963). 11. To ascertain whether
a workman is an employee or an independent contractor each case must be resolved
on its own facts and ordinarily no one feature of the relationship is controlling, but all must be considered together.
Syl. Pt. 1, Myers v. Workmen's Compen. Comm'r, 150 W.Va. 563, 148 S.E.2d
664 (1966).
12.
In determining whether a workman is an employee or an independent contractor,
the controlling factor is whether the hiring party retains the right to control
and supervise the work to be done. Syl. Pt. 2, Myers v. Workmen's
Compen. Comm'r, 150 W.Va. 563,
148 S.E.2d 664 (1966).
13. Where the evidence
relative to whether a particular person is an independent contractor or an
employee is in conflict or, if not in conflict, admits of more than one reasonable
inference, an issue is presented for jury determination. Syl. Pt. 1,
Levine v. Peoples Broadcasting Corp., 149 W.Va. 256, 140 S.E.2d 438
(1965). 14. 'A trial court
exceeds its legitimate powers when it denies a jury trial to one entitled
thereto who makes a proper demand therefor.' Syllabus point 2, State ex
rel. W.Va. Truck Stops v. McHugh, 160 W.Va. 294, 233 S.E.2d 729 (1977).
Syl. Pt. 2, Lorenze v. Church, 172 W.Va. 369, 305 S. E.2d 326 (1983). 15. When a proceeding
under this article involves the determination of an issue of fact, such issue
may be tried and determined in the same manner as issues of fact are tried and determined in other civil actions in the court in which the proceeding
is pending. W.Va. Code § 55-13-9 (1941). 16. West Virginia Code §
55-13-9 and Rules 38, 39 and 57 of the West Virginia Rules of Civil Procedure,
read and considered together, operate to guarantee that any issue triable
by a jury as a matter of right in other civil actions cognizable by the circuit
courts shall, upon timely demand in a declaratory judgment proceeding, be
tried to a jury. As to other issues, Rule 39 of the Rules of Civil Procedure
expressly authorizes trial by the court, with or without an advisory jury.
Albright, Justice:
Mountain
Lodge Association (hereinafter Appellant or MLA),
appeals the August 28, 2000, final order of the Circuit Court of Pocahontas
County awarding summary judgment in favor of Crum & Forster Indemnity
Co. (hereinafter Crum) and United States Fire Insurance Company
(hereinafter U.S. Fire or collectively Appellees),
in a civil action filed by Appellant seeking a declaratory judgment to determine
coverage for employee dishonesty under a commercial general liability
policy and seeking recovery for alleged employee dishonesty and alleged bad
faith on the part of Appellees for denying coverage under the policy. Appellees
Crum and U.S. Fire denied coverage under that insurance policy because Appellees
claim that the allegedly dishonest person was an independent contractor and
not an employee of MLA. The lower court agreed and entered summary judgment
for Appellees after also considering a cross-motion for summary judgment filed
by Appellant. Because we
find Appellees are not entitled to summary judgment as a matter of law, we
reverse and remand for proceedings consistent with this opinion.
MLA, an unincorporated association,
operates Mountain Lodge, which is located at Snowshoe in Pocahontas County,
West Virginia. At some time prior to May 1996, MLA decided to renovate its condominium complex. It appears that MLA originally
intended to utilize a general contractor to accomplish at least some of the
renovations, but elected, on or about May 16, 1996, to alter its approach.
Mountain Lodge proposed to act as general contractor for the exterior
rehabilitation project rather than rely on a commercial general contractor.
According to MLA board meeting minutes dated May 16, 1996, and approved July
22, 1996, the plan was for the board to hire Norman D. Tyler to work
for the board as their construction manager. Mr. Tyler had
worked for the board prior to May 16, 1996, in a different capacity.
Later,
but prior to starting these renovations, MLA purchased from Crum & Forster,
through Accordia, Inc., a commercial general liability policy of insurance
issued by U.S. Fire, which included an employee dishonesty section intended
to protect the insured from theft of property or money by employees. Subsequently,
a letter dated November 13, 1996, was prepared, referring to a professional
services contract for N. D. Tyler, which, with its attachments,
outlined duties and compensation for Mr. Tyler with respect to the renovations.
Copies of that letter, included in the record with some of its attachments,
are addressed to Sam McKeen, President, Mountain Lodge Association, and are
signed by Mr. McKeen, but not by Mr. Tyler. The
documents in the record also disclose a plan to pay Mr. Tyler for his services
in a series of installments, plus a possible bonus based on savings in costs
effected by Mr. Tyler.
It is not clear from the record
when Mr. Tyler actually began acting as construction manager, but
the record does disclose a representation by Mr. McKeen that the project was
scheduled to be accomplished between January and September, 1997, and that Mr.
McKeen expected Mr. Tyler's services to be on-site.
There
is also a reference in the record to a three-way telephone conversation on
March 26, 1997, among Mr. Tyler, Mr. McKeen and Janice Peacock, a representative
of Accordia, during which Mr. McKeen asserts that he verified to Accordia
that Mountain Lodge had an employment relationship with Mr. Tyler. Specifically,
MLA allegedly sought, and then obtained assurance from Accordia, based on
Mr. Tyler's status as an employee, that it would not be necessary to acquire
a separate bond to protect MLA against any dishonesty by Mr. Tyler, as it
would be if he was an independent contractor.
After the renovations began
in 1997, MLA Board President Sam McKeen sent Mr. Tyler at least three memos
regarding aspects of Mr. Tyler's work and the progress of the renovations.
Those memos included demands that Mr. Tyler [i]mmediately return
various amounts of money which Mr. Tyler had allegedly over-billed for work
and materials, that he provide justification for certain invoices, and that
he complete installation of certain trim pieces, as well as other matters.
The last memo in the record, dated December 3, 1997, requested that Mr. Tyler
perform specified tasks, demanded reimbursement to MLA of $53,000.00 which Mr. Tyler had
allegedly misappropriated, and announced the termination of his services by
MLA. Those memos suggest that, in addition to serving as construction
manager, Mr. Tyler furnished certain materials and labor for the renovation
project through a separate business entity in which he had an interest or
was the owner.
(See footnote 1)
When Mr. Tyler did not make the reimbursement
requested, MLA filed a proof of loss with Appellee, Crum & Forster, alleging
employee dishonesty by Mr. Tyler in the amount of $53,616.00. Crum & Forster
responded by requesting copies of MLA's tax forms relating to Mr. Tyler's employment.
MLA had no such records because it had neither withheld income taxes from, nor
paid workers' compensation premiums for, Mr. Tyler. Crum & Forster denied
the claim by letter dated August 10, 1998, stating that a key element
in determining the status of the actor is whether or not Mountain Lodge Association
paid taxes on behalf of the actor. Citing the definition of employee
in the policy, Crum & Forster concluded that there is no evidence
to support that Norman D. Tyler was, in fact, an employee and closed the
claim.
Following this denial, MLA
filed its Complaint in this action on October 9, 1999, seeking a declaratory
judgment on the issues of coverage and other relief mentioned above. After
Appellees filed an answer and after some initial discovery, MLA filed a motion
for summary judgment, followed by the filing of a cross-motion for summary
judgment by Appellees. The circuit court made initial findings by an order
entered June 28, 2000, and its final summary judgment order was entered August
28, 2000. The court below determined that the subject insurance policy afforded
MLA no coverage for the alleged defalcations of Mr. Tyler. Essentially, the
trial court found that there were no disputed facts, that MLA had failed to
retain control over Mr. Tyler and that Appellees were therefore entitled to
judgment as a matter of law. It is from that August 28, 2000, order granting Appellees
summary judgment that MLA appeals.
Later that month, Accordia sent
a detailed letter to Crum & Forster in support of MLA's claim, and Crum
& Forster reopened the claim. MLA and Crum & Forster exchanged correspondence
in which MLA argued that Mr. Tyler's position was similar to that of its general
manager position. Crum & Forster again denied the claim. In the last
letter, dated November 4, 1998, Crum & Forster again cited the fact that
taxes were withheld from, and workers compensation paid on, the general
manager position, but not with respect to Mr. Tyler. The letter made no
comment regarding similarities between the two positions and recited that no
additional evidence had been presented in support of the MLA claim that Mr.
Tyler was an employee.
This
case involves the granting of summary judgment in a declaratory judgment action.
Our focus here is upon whether summary judgment was properly granted, although
we note that the standard of review for both types of judgments is the same.
A circuit court's entry of summary judgment is reviewed de novo.
Syl. Pt. 1, Painter v. Peavey, 192 W.Va. 189, 451 S.E.2d 755 (1994).
A circuit court's entry of a declaratory judgment is reviewed de novo.
Syl. Pt. 3, Cox v. Amick, 195 W.Va. 608, 466 S.E.2d 459 (1995).
The
question with which we must grapple is whether Appellees here, Defendants below,
were entitled to summary judgment as a matter of law. That question depends
on whether the record below supports the conclusion of the trial court that
the undisputed facts, without further inquiry, show that Appellant did not have
the right to control the manner in which Mr. Tyler performed his duties
as construction manager for Appellant. If Appellant had such a right
of control, Mr. Tyler was an employee covered by the insurance policy at issue
in this case. If Appellant did not have that right of control, Mr. Tyler was
an independent contractor not covered by the insurance policy.
This Court has expressed the
underlying law which distinguishes an employee from an independent contractor
in two contrasting, but consistent, leading cases. We have stated the roles
as follows:
If
the right to control or supervise the work in question is retained by the person
for whom the work is being done, the person doing the work is an employee and
not an independent contractor, and the determining factor in connection with
this matter is not the use of such right of control or supervision but the existence
thereof in the person for whom the work is being done. Point 2, Syllabus,
Spencer v. Travelers Insurance Company, 148 W.Va. 111, [133 S.E.2d 735
(1963)].
Syl. Pt. 3, Myers v. Workmen's Compen. Comm'r, 150 W.Va. 563
In
syllabus point one of Spencer v. Travelers Insurance Company, 148 W.Va.
111, 133 S.E.2d 735 (1963), we further said:
The
question as to whether a person is an employee or an independent contractor
depends on the facts in any given case and all elements must be considered
together. Among the elements to be considered are the manner of selection
of the person who is to do the work, how the person is to be paid for such
work, the right to hire and to fire, and the right or power of control or
supervision in connection with the work to be done, but the most important
element is the one last mentioned.
In
Shaffer v. ACME Limestone
Co., 206 W.Va. 333, 524 S.E.2d 688 (1999)
, we distinguished a broad, general
right of control from control over the manner in which the work is to
be done. We said:
An owner
who engages an independent contractor to perform a job for him or her may retain
broad general power of supervision and control as to the results of the work
so as to insure satisfactory performance of the contract _ including the right
to inspect, to stop the work, to make suggestions or recommendations as to the
details of the work, or to prescribe alterations or deviations in the work _
without changing the relationship from that of owner and independent contractor,
or changing the duties arising from that relationship.
Id., 206 W.Va. at 338, 524 S.E.2nd at 693, syl. pt. 4.
With
these principles in mind, we proceed to consider the determinations of the
court below. One touchstone for this consideration is the principle that [a]lthough
our standard of review for summary judgment remains de novo, a circuit court's
order granting summary judgment must set out factual findings sufficient to
permit meaningful appellate review. Findings of fact, by necessity, include
those facts which the circuit court finds relevant, determinative of the issues
and undisputed. Syl. Pt. 3, Fayette County Nat. Bank v. Lilly,
199 W.Va. 349, 484 S.E.2d 232 (1997).
We agree with the findings
of the lower court, enunciated in its final order, that the facts in the record
before the lower court are undisputed. However, as we read the record and
the findings below, the lower court also concluded that it had before it the
complete contract between Appellant and Mr. Tyler. We have great difficulty
discerning the basis of that conclusion.
We note that the entirety of
the writings supposedly constituting the contract are not in the record because
there is a reference to specifications by the architects which are not among
the papers before us. The principal contract document in the record is a letter
dated November 13, 1996. The letter recites that it is in reference to a professional
services contract and proceeds to set forth five specific undertakings
by Mr. Tyler and his compensation for the work. The first undertaking is to
perform services outlined on an attached list stated in the specifications
outline prepared by the Fairfax Architects in June, 1996, a two-page,
single-spaced enumeration of services. The fourth undertaking stated in the
letter is to supervise on site the interior and exterior
renovations as shown in the Fairfax Architects final plans . . . .
(Emphasis added.) This letter is signed by Mr. McKeen, but not by Mr. Tyler.
We find no testimony or other evidence in the record to establish whether these
documents constitute the whole of the contract.
As
we have said before, the absence of
a dispute as to the facts is not alone determinative of the propriety of a
summary judgment. First, Rule 56 of the West Virginia Rules of Civil Procedure
requires that the trial court also determine that the movant is entitled to
judgment as a matter of law.
(See footnote 2) See W.Va.Rul.Civ.P.
56. In syllabus point three of
Aetna Casualty & Sururety Co. v. Federal Insurance Co., 148 W. Va.
160, 133 S.E.2d 770 (1963), we stated: A motion for summary judgment
should be granted only when it is clear that there is no genuine issue of
fact to be tried and inquiry concerning the facts is not desirable to clarify
the application of the law. In the case before us, where the principal
issue turns in large part upon what Appellant and Mr. Tyler agreed to in the
contract designating Mr. Tyler as construction manager, it appears
that it would be critical for the record to establish clearly that the relevant
documents in the record constitute the entire contract or, if not, what additional
or other terms constituted the whole contract. In its order entered June
28, 2000, the lower court concluded that the evidence demonstrated that while
MLA desired to retain control of Mr. Tyler, it failed to do so from
the point he was hired through completion of the relationship. This
Court is utterly unable to find any evidence in the record _ one way or the
other _ to support this conclusion. In this connection, we note the rule,
as set forth in Williams v. Precision Coil, Inc., 194 W.Va. 52, 459
S.E.2d 329 (1995), that a court considering a motion for summary judgment
must grant the nonmoving party the benefit of inferences, as '[c]redibility
determinations, the weighing of the evidence, and the drawing of legitimate
inferences from the facts are jury functions, not those of a judge[.]' Id. at 59, 459 S.E.2d at 336 (1995)
(quoting Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 255 (1986)).
Further, the Williams court stated, [s]ummary judgment should
be denied 'even where there is no dispute as to the evidentiary facts in the
case but only as to the conclusions to be drawn therefrom. 194 W.Va.
at 59, 459 S.E.2d at 336 (quoting Pierce v. Ford Motor Co., 190 F.2d
910, 915 (4th Cir. 1951). We have also stated that [a] party
who moves for summary judgment has the burden of showing that there is no
genuine issue of material fact and any doubt as to the existence of such an
issue is to be resolved against the movant for such judgment. Syl. Pt.
6, Aetna Cas., 148 W.Va. at 161, 133 S.E.2d at 772.
There
is no doubt that the documents which the trial court considers to constitute
the contract between MLA and Mr. Tyler appear to repose considerable discretion
in Mr. Tyler. However, those documents do not negate the ordinary power of
an employer to direct the manner in which Mr. Tyler performed those
tasks. For example, while
Mr. Tyler was directed in those documents to negotiate contracts
with subcontractors on behalf of MLA, as general contractor, the documents
are utterly silent as to whether competitive or comparative bids were to be
sought and they are similarly silent on whether contracts negotiated required
ultimate board approval or, on the other hand, might be entered into by Mr.
Tyler over the express opposition of MLA.
The parties to this appeal
filed cross-motions for summary judgment. We have previously determined that
the mere filing of such cross-motions for summary judgment by the parties
does not resolve the issue of whether there is no material issue of fact and
summary judgment is appropriate. We have stated that '[a] motion by
both plaintiff and defendant for summary judgment under Rule 56, R.C.P. does
not constitute a determination that there is no issue of fact to be tried
and if a genuine issue of material fact is involved both motions should be
denied.' Syl. pt. 3, Haga v. King Coal Chevrolet Company, 151 W.Va.
125, 150 S.E.2d 599 (1966) Syl. Pt. 4, Warner v. Haught, Inc.,
174 W.Va. 722, 329 S.E.2d 88 (1985). Appellees were, for the purposes of the
summary judgment appealed to this Court, the movants, with the burden of showing
entitlement to a summary judgment and against whom permissible inferences
were to be drawn. Appellant urges the view
that the lower court overlooked the distinction between retaining the right
to exercise control and actually exercising the right of control.
We have studied the language employed by the court below carefully and cannot
determine whether the lower court recognized that distinction. However, we
do note that, while an employer's actual exercise of the right to control may prove,
or tend to prove, the existence of the right to control, the failure
to exercise a duly reserved right to control does not, by itself, prove the
absence of that right. We perceive that the lower court may well have determined
that the record below did not demonstrate an actual exercise by MLA of control
over the manner in which Mr. Tyler performed his duties and may have improperly
given some weight to that conclusion in reaching the judgment that Mr. Tyler
was not an employee of MLA.
We
cannot escape the conclusion that the lower court weighed the evidence and
decided the underlying factual question in this case. As we have said: The
question to be decided on a motion for summary judgment is whether there is
a genuine issue of material fact and not how that issue should be determined.
Syl. Pt. 5, Aetna Cas., 148 W.Va. at 160, 133 S.E.2d at 771.
The
lower court considered several factors in reaching its conclusion, citing
these Facts in its final order: We do not perceive that
the facts relied on by the trial court, recited above, compel
the conclusion that Mr. Tyler was an independent contractor because they do
not directly address the right to control and supervise his work. We
cannot conclude that the lower court had before it a full picture of the relationship
between MLA and Mr. Tyler.
.
. . Mr. Tyler paid his own taxes and was not included as an employee for workers
compensation coverage purposes. Mr. Tyler held a temporary position with Mountain
Lodge Association. Mr. Tyler had a Professional Services Contract
that specified that the Prize [sic], his salary, was set at $65,000
plus 25% of all savings above the first $40,000 savings on estimated cost.
While Mountain Lodge Association may have desired to supervise
the actions of Mr. Tyler, it did not retain, nor did it exercise control,
over Mr. Tyler.
This
Court has stated that [t]o ascertain whether a workman is an employee
or an independent contractor each case must be resolved on its own facts and
ordinarily no one feature of the relationship is controlling, but all must
be considered together. Syl. Pt. 1, Myers, 150 W.Va. at 563,
148 S.E.2d at 665. However, we have identified the major factor: In
determining whether a workman is an employee or an independent contractor,
the controlling factor is whether the hiring party retains the right to control
and supervise the work to be done. Syl. Pt. 2, Myers, 150 W.Va.
at 563, 148 S.E.2d at 665.
The
limits of the evidence before the trial court are illustrated by the truncated
recitals in the record regarding the various communications between MLA and
Mr. Tyler and the memorandum of the phone conversation in March 1997, in which
MLA, Mr. Tyler and a representative of the insurance firms participated. It
is readily apparent that those documents do not reveal the whole story of
what transpired as a result of those communications or as a result
of work commencing under MLA's construction manager arrangement
with Mr. Tyler. For example,
it is clear from the record that Mr. Tyler, at least once, met with the board
to discuss problems. What were the details of that meeting? Would those details
shed light on the issue? To what extent did Mr. Tyler meet at other times
with the board or Mr. McKeen on matters affecting how Mr. Tyler was performing
his duties? Did Mr. Tyler acknowledge his employment status (rather than independent
contractor status) in the March 1997, telephone conversation?
We have not had prior occasion
to address the nature of the relationship between a construction manager
and a property owner, acting as its own general contractor. On
the state of the record before us, we are reluctant to characterize the relationship
here because the real nature of that relationship is so dependent upon what
occurred between the parties to the construction management contract,
particularly in its formation. In short, it appears that a finder of fact
might conclude that Mr. Tyler was an employee, as in Spencer, or that
Mr. Tyler was an independent contractor, as in Shaffer. This Court has said that
the standard of review for declaratory judgment is de novo. See
Cox, 195 W.Va. at 610, 466 S.E.2d at 461, syl. pt. 3. We have also
said that, in those cases, any determinations of fact made by the circuit
court in reaching its ultimate resolution are reviewed pursuant to a clearly
erroneous standard. Id., 195 W.Va. at 612, 466 S.E.2d at 463. In the case before
us we need not apply that standard because the facts in the record are not
in dispute. Rather, the questions here are whether reasonable minds might
draw differing inferences and, therefore, conclusions from the evidence and
whether there is additional evidence that might assist the finder of fact
and the court in resolving the ultimate issue. We conclude that the matter
must be remanded to the trial court for a full examination of the factual
issues presented by the differing inferences that may be drawn from the evidence
and such further development of the record as may be appropriate to determine
the law applicable to those facts in the circumstances.
(See footnote 3)
Our
declaratory judgment act provides that [w]hen a proceeding under this
article involves the determination of an issue of fact, such issue may be
tried and determined in the same manner as issues of fact are tried and determined
in other civil actions in the court in which the proceeding
is pending. W.Va. Code § 55-13-9 (1941). In accord with that statutory
language, Rule 57 of the
West
Virginia Rules of Civil
Procedure provides that a jury trial may be demanded in a declaratory judgment
proceeding under the circumstances and in the manner provided by Rules
38 and 39 of the West
Virginia Rules of Civil
Procedure. West Virginia
Code § 55-13-9 and Rules 38, 39 and 57 of the Rules of Civil Procedure,
read and considered together, operate to guarantee that any issue triable
by a jury as a matter of right in other civil actions cognizable by the circuit
courts shall, upon timely demand in a declaratory judgment proceeding, be
tried to a jury. As to other issues, Rule 39 of the Rules of Civil Procedure
expressly authorizes trial by the court, with or without an advisory jury.
In
Lorenz v. Church, 172 W. Va. 369, 305 S. E.2d 326 (1983), we found
that a jury trial was mandated in a declaratory judgment proceeding on the
factual issue of whether the parties had reached agreement on an oral lease,
as a prelude to the trial court determining and declaring the rights of the
parties, if any, under the alleged oral lease. In that case we also re-iterated
and applied the rule that 'A trial court exceeds its legitimate powers
when it denies a jury trial to one entitled thereto who makes a proper demand
therefor.' Syllabus point 2, State ex rel. W. Va. Truck Stops v. McHugh,
160 W. Va. 294, 233 S.E.2d 729 (1977). Id.
Applying these principles to
the case sub judice, we find the controlling issue triable by a jury
as a matter of right. This Court has previously stated that [w]here the
evidence relative to whether a particular person is an independent contractor
or an employee is in conflict or, if not in conflict, admits of more than one
reasonable inference, an issue is presented for jury determination." Syl.
Pt. 1, Levine v. Peoples Broadcasting Corp., 149 W.Va. 256, 140 S.E.2d
438 (1965). See also, Syl. Pt. 1, Sanders v. Georgia-Pacific Corp., 159
W.Va. 621, 225 S.E.2d 218 (1976). Syl. Pt. 5, Pasquale v. Ohio Power Co.,
187 W.Va. 292, 418 S.E.2d 738 (1992).
Based upon the foregoing, we
reverse the summary judgment order of the circuit court and remand the matter
to the lower court for further proceedings consistent with this opinion.