Taylor v. Department of Fish, Wildlife & Parks

                                              No.    82-244

                  I N THE SUPREME COURT O THE STATE O M N A A
                                         F           F OTN

                                                     1983




COURTNEY L. TAYLOR,

                    P l a i n t i f f and A p p e l l a n t ,



DEPARTMENT O FISH, WILDLIFE & PARKS,
            F
STATE O MONTANA, a n d JAMES W. FLYNN,
       F

                   Defendants and Respondents.




Appeal from:       D i s t r i c t Court of t h e F i r s t J u d i c i a l D i s t r i c t ,
                   I n and f o r t h e County o f Lewis & C l a r k ,
                   The H o n o r a b l e P e t e r Meloy, J u d g e p r e s i d i n g .


C o u n s e l o f Record:

         For Appellant:

                   Robinson, Doyle & B e l l ;                  J o h n Doyle a r g u e d ,
                   H a m i l t o n , Montana

         For Respondent:

                   Kevin C. Meek a r g u e d , Dept. F i s h , W i l d l i f e a n d
                   P a r k s , H e l e n a , Montana




                                             Submitted:                May 5 , 1983

                                                 Decided :             J u l y 1 4 , 1983




Filed:




                                             Clerk
Mr. Chief Justice Frank 1. Haswell delivered the Opinion of
the Court.
       Courtney Taylor appeals the District Court decision
dismissing    his action against the Department of Fish,
Wildlife and Parks to void          his forced retirement at age
sixty and reinstate him to his position as game warden with
attorney fees, costs and backpay.          We reverse and remand for
further proceedings.
       Taylor has been employed as a state game warden by the
Department   of   Fish, Wildlife     and    Parks since 1952.           On
August 7, 1979, he reached the age of sixty.               Pursuant to
section 19-8-601 (2), MCA, of        the Game Wardens Retirement
Act, he was compulsorily retired.

       On November 15, 1978, Taylor began investigating what
action he might take to avoid compulsory retirement.                    He
informed the Department on December 29, 1978, that he was
not   considering     retirement.     On    June   22,    1979,     Taylor
informed the Secretary of Labor and the Equal Opportunity
Cornmission of his intention to bring an action against the
Department for violation of the Federal Age Discrimination
in Employment Act, 29 U.S.C.        S S 621-634.    In February 1979
he was informed by the Administrator of the Public Employee
Retirement Systems Division that he was compelled to enforce
the Game Wardens Retirement Act as written.
       Taylor filed a complaint of discrimination with the
Montana Human Rights Commission on August 6, 1979, the day
before his retirement.        On November 26, 1979, the Human
Rights Division ruled in favor of the State.             It held:
             ". . . Charging Party has no remedy under
             Montana statutes.    It is possible, of
             course, that his forced retirement may be
             in violation of federal law.     However,
             that is not a question for the Montana
             Human Rights Commission to decide. In-
             deed, it is not even a deferral agency
             for EEOC complaints which allege age
             discrimination.
             "Likewise, it would be an abuse of dis-
             cretion for this administrative agency to
             rule on the constitutional question.


             "Therefore a finding of no jurisdiction
             must be made insofar as the complaint
             alleges federal statutory and constitu-
             tional violations.   To the extent that
             Montana age discrimination statutes are
             in issue, a finding of no reasonable
             cause is required."
This ruling was made final December 18, 1979.
        By a letter dated November 26, 1979, appellant was
advised:
             "The complainant has the right to make a
             written request for an informal confer-
             ence with the division administrator why
             the investigator's findings should not
             have been accepted. If the determination
             is not altered as a result of such a
             conference, the complainant has the right
             to formally request a hearing on the no
             cause finding.   At such a hearing, the
             issue for consideration is the adequacy
             of the investigation, not the liability
             of the respondent. If such a hearing is
             requested, you wlll have the right to be
             present with or without counsel and to
             participate.   However, you would not be
             required to do so, and no legal conse-
             quences would follow from your decision
             not to participate. You will be informed
             of any request for an informal conference
             or for a hearing in this matter."
        Thirty days after the Human Rights Commission ruling
was made final, Taylor brought an action against the State
in United    States District        Court, Missoula   Division,     for
violations of section 7(b) of the ADEA, 29 U.S.C.          S 626(b),

and the Fourteenth Amendment to the United States Constitu-
tion.      The   Department   was    awarded   summary   judgment   on
October 6, 1981.
         On   November       25,   1981, Taylor    filed    an   action   in
District Court of Lewis and Clark County.                  He alleged that
the enforcement of the game warden retirement statute vio-

lates the equal protection clause of the Montana Constitu-
               zr($4
tion, Art. & Section 4.                Essentially, Taylor claimed that
the retirement statute is not based on a bona fide occupa-
tional qualification as the State does not require physical
conditioning as a prerequisite for the job during a game
warden's course of employment.             He asked that the statute be
declared unconstitutional, that he be reinstated as a game
warden, and      that he       recover     backpay, attorney fees, and
costs.
         The District Court granted the Department's motion to
dismiss.      The court's action was based upon failure to bring
the administrative appeal within thirty days of the conclu-
sion of the agency proceeding in violation of section 2-4-
702, MCA.      Taylor appeals the District Court dismissal.

         Five issues have been raised for our consideration:
         1.    Does Dolan v.           School District #lo, Deer Lodge

(1981),           Mont   .         ,   636 P.2d   825, 38 St.Rep.    1903,
require voiding the game warden retirement statute because
of an irreconcilable conflict with the anti-discrimination
provisions in the Human Rights Act?

         2.   Must appellant exhaust available administrative
remedies before seeking judicial relief?

         3.    Should    an evidentiary hearing be conducted to
determine whether there is a basis for age discrimination in
Montana and to determine the appellant's damages, if any?
         4.    Is appellant's claim barred by              the statute of
limitations?
       5.     Is the United States Supreme Court case of Equal
Employment Opportunity Commission v. Wyoming, Cause No. 81-
554 (decided March 2, 1983), applicable to this case?
       Taylor argues that the irreconcilable conflict between
tne game warden retirement statute and certain provisions of
the Human Rights Act requires the retirement provision to be
declared void.       He contends that the clear intent of the
legislature to abolish age discrimination in employment as
expressed in Dolan, supra, mandates this result.

       The Department of Fish, Wildlife and Parks asserts
that Dolan does not state that all age qualifications are
invalid.      Counsel admits the Department has a great burden

to prove that the mandatory retirement age is related to job
performance; it should be given the opportunity to meet that
burden.
       Under the authority of Dolan, we conclude that the
Human Rights Act necessarily repeals the game warden retire-
ment statute to the extent of any irreconcilable conflict or

inconsistency.      See also, Kuchan v. Harvey (1978), 179 Mont.
7, 5 8 5    P.2d   1298; State Aeronautics   Comm.   v.    Board   of
Examiners (1948), 121 Mont. 402, 194 P.2d       633.      Mary Dolan
was a school teacher who, in March 1977, was compulsorily
retired pursuant to section 20-4-203(2), MCA.        She wanted to
continue teaching and proceeded through the proper adminis-
trative channels where her forced retirement was affirmed.
She filed an action in District Court, and it ruled that
section 20-4-203(2), MCA, violated the equal protection and
due process clauses of the United States and Montana Consti-
tutions and was repealed by the enactment of sections 49-2-
303(1) and 49-3-201, MCA, of the Human Rights Act.
         On appeal this Court affirmed the District Court deci-
sion.     We determined that the appeal could be decided on
statutory grounds without reaching constitutional considera-
tions.     It was recognized that the Court should not pass on
the constitutionality of any act of the legislature unless
required for a decision of the case.           State v. King (1903),
28 Mont. 268, 277, 72 P. 657, 658.
         The Court applied the rule of statutory construction
that requires repeal of an earlier statute that conflicts
with a later one.         This was done to effectuate the clear
intent of     the    legislature    to    abolish   discrimination    in
employment based       solely on age.       To hold otherwise would
materially dilute the effect of Montana's anti-discrimina-
tion legislation.        We noted       that Title 49 contains very
broad anti-discrimination prohibitions and very limited
exceptions     to    such prohibitions.         This   indicates     the
legislature intended        to abolish all discrimination             in

employment except under the most limited circumstances.               In
Dolan the tenure statute violated this intention because it
allowed discrimination based solely on age.             No qualifying
or justifying reasons were included in the statute which

would place the forced retirement within the purview of the
exceptions    in Title 49.         We    thereby concluded that the
statute was impliedly repealed by Title 49.
        The present case is quite similar to Dolan.           In both
cases the constitutionality of mandatory retirement statutes
is challenged.        In this case, as in Dolan, we must decide
the case on statutory, rather than constitutional, grounds,
if possible.        Dieruf v. City of Bozeman (1977), 173 Mont.

447, 563 P.2d       127; State ex rel. Hammond v.
1 6 0 Mont.        391,    5 0 3 P.2d       52;     S t a t e ex r e l .        Konen v .           C i t y of

Butte        (1964),       1 4 4 Mont.        95,     394 P.2d          753;      Application              of

Baker        Sales        Barn      (1962),         140       Mont.        1,    367     P.2d           775;

Y e l l o w s t o n e Bank     v.    S t a t e Bd.       of    Equalization             ( 1 9 6 0 ) , 137

Mont.       198,      3 5 1 P.2d      904;        State       ex    rel.     Burns      v.          Lacklen

( 1 9 5 5 ) , 1 2 9 Mont.        243,       284 P.2d       998; Monarch M i n i n g Co.                    v.

S t a t e Highway Comm.             ( 1 9 5 4 ) , 1 2 8 Mont. 6 5 , 270 P.2d                 738; Yale

O i l C o r p . v.     P l e n t y w o o d F a r m e r s O i l ( 1 9 3 5 ) , 9 8 Mont.              582, 4 1

P.2d    1 0 ; S t a t e v. T e s l a e t a l .           ( 1 9 2 4 ) , 69 Mont.         5 0 3 , 2 2 3 P.

107.

            W r e c o g n i z e t h e r u l e of
             e                                           s t a t u t o r y c o n s t r u c t i o n which

provides         that      special      statutes           will       prevail       over            general

statutes.             Kuchan v .      Harvey        ( 1 9 7 8 ) , 1 7 9 Mont.          7,       5 8 5 P.2d

1 2 9 8 ; B r y a n t v.     Ball e t al.           ( 1 9 7 1 ) , 1 5 7 Mont.       28,         482 P.2d

147; Teamsters,              et al.,        L o c a l 45 v.         Montana L i q u o r C o n t r o l

Board       ( 1 9 7 0 ) , 1 5 5 Mont.        300,     4 7 1 P.2d        541;      Monarch Lumber

Co.    v.     Haggard       ( 1 9 6 1 ) , 1 3 9 Mont.         105,     360 P.2d         794;          In   re

Kesl's        Estate       (1945),      1 1 7 Mont.           377,     1 6 1 P.2d       641;          In r e

S t e v e n s o n ( 1 9 3 0 ) , 87 Mont.          486,    289 P.        566.       T i t l e 49 i s a

general         legislative          enactment           that        deals      with        employment

whereas         the    game      warden       retirement             statute       is       a       special

s t a t u t e a f f e c t i n g o n l y game w a r d e n s .

            I n Dolan,       on t h e o t h e r h a n d ,          we a p p l i e d t h e r u l e o f

statutory           construction              that       requires          striking             a     prior

s p e c i a l s t a t u t e t h a t irreconcilably c o n f l i c t s with a later

g e n e r a l s t a t u t e because t h e i n t e n t i o n of t h e l e g i s l a t u r e t o

e f f e c t a r e p e a l is c l e a r l y m a n i f e s t e d .           Dolan,      636 P.2d            at

8 2 8 , 38 S t . R e p .    a t 1 9 0 7 ; see a l s o , Kuchan               v. Harvey, s u p r a ;

State         A e r o n a u t i c s Comm.    v.     Board o f        Examiners,          supra.            We

a l s o apply t h i s r u l e here.
       The particular provisions of the Human Rights Act are
in direct conflict with the retirement statute.

       Section 49-2-303(1)(a), MCA, reads:
            "Discrimination in employment. (1) It is
            an unlawful discriminatory practice for:
            "(a) an employer to refuse employment to
            a person, to bar him from employment, or
            to discriminate against him in compensa-
            tion or in a term, condition, or privi-
            lege of employment because of his race,
            creed, religion, marital status, color,
            or national origin or because of his age,
            physical or mental handicap, or sex when
            the reasonable demands of the position do
            not require an age, physical or mental
            handicap, or sex distinction;"
Section 49-3-201, MCA, reads:
            "Employment of state and local government
            personnel. (1) State and local government
            officials and supervisory personnel shall
            recruit, appoint, assign, train, evalu-
            ate, and promote personnel on the basis
            of merit and qualifications without
            regard to race, color, religion, creed,
            political ideas, sex, age, marital
            status, physical or mental handicap, or
            national origin.
            "(2) All state    and   local   governmental
            agencies shall:
            " ( a ) promulgate written directives to
            carry out this policy and to guarantee
            equal employment opportunities at all
            levels of state and local government;
            "(b) regularly review their personnel
            practices to assure compliance; and
            "(c) conduct continuing orientation and
            training programs with emphasis on human
            relations and fair employment practices.
           "(3) The department of administration
           shall insure that the entire examination
           process, including appraisal of qualifi-
           cations, is free from bias."
       The game warden retirement statute reads: "(2) Retire-
ment shall be compulsory at age 60."        Section 19-8-601(2),
MCA.
          Consequently,               the     later      statute         ( e . ,        the     Human
Rights       Act)       impliedly          repeals       the     retirement            statute        to
effectuate            the    clear       intent     of     the    legislature.                  Dolan,

Kuchan, and S t a t e A r e o n a u t i c s Comm.,               supra.

          A s expressed            i n Dolan,       t h e i n t e n t of       the legislature
i n p a s s i n g t h e Human R i g h t s A c t was t o p r e v e n t a l l a g e d i s -
crimination            in    employment           unless       age      is    related         to     job

performance.             C e r t a i n s p e c i f i c e x c e p t i o n s were e n a c t e d p e r -
m i t t i n g age d i s c r i m i n a t i o n ;   however, Dolan p o i n t s o u t t h e r e
m u s t be a j u s t i f i c a t i o n      f o r age d i s c r i m i n a t i o n t o b r i n g it
i n t o t h e purview of t h e s e e x c e p t i o n s .               636 P.2d        a t 829,       38
St.Rep.         at    1908.         Furthermore,          section         49-2-303(2),             MCA,

provides         that       such    statutory        exceptions              must    be    strictly

construed.            I n t h i s c a s e , t h e game w a r d e n r e t i r e m e n t s t a t u t e
does      not     provide          any    justification           or     qualification               for

compulsory r e t i r e m e n t b u t simply r e t i r e s e v e r y p e r s o n reach-
ing     age s i x t y .        Title        49    indicates           that    the     legislature
i n t e n d e d t o a b o l i s h s u c h r e s u l t a n d , s i n c e no q u a l i f i c a t i o n
or j u s t i f i c a t i o n brings t h e discrimination within t h e scope

of    the exceptions,              t h e s t a t u t e h a s been i m p l i e d l y r e p e a l e d

by T i t l e 49.
          The        Department          argues     strongly          that     the     exhaust i o n
d o c t r i n e s h o u l d p r e c l u d e T a y l o r from j u d i c i a l        redress.         We

hold      that        Taylor       acted         properly        in    bringing           his      case
d i r e c t l y t o District Court.
          F i r s t of a l l , t h i s Court h a s h e r e t o f o r e h e l d t h a t t h i s

c a s e i s an " o r i g i n a l a c t i o n , "      not a judicial                r e v i e w of    an
administrative action.                      Thus,    t h e d o c t r i n e simply does n o t

apply
          Second, i n t h e a r e a of t a x a p p e a l s , t h i s Court e s t a b -
lished an exception to the exhaustion doctrine in Keller v .

Dept. of Revenue (1979), 182 Mont. 478, 597 P.2d           736.    In
Keller taxpayers sought to appeal a ruling by the Department
of Revenue to the District Court.        The District Court held
that they must exhaust their remedies with the State Tax
Appeal Board.      We held that the particular Department of
Revenue ruling was an interpretation of law that must be
made by the judiciary and, thus, the exhaustion doctrine is
inapplicable.     The same applies here.
       Next, Taylor asserts that a fact-finding hearing
should not be conducted to determine whether             there   is a
basis for age discrimination.        Since no qualifying reasons
for discrimination are found in the game warden retirement
statute, the statute is violative of the Human Rights Act on
its face and should be stricken.
       The Department argues that it should be allowed to
offer proof that a game warden's age is related to his job
performance.    Further, a hearing should be held to determine
the amount Taylor's backpay award should be offset by his
wages earned since retirement and to determine the fairness

o i attorney fees.
       The compulsory retirement statute does not condition
retirement on qualifications or justification which could
place such discrimination in Title 49 exceptions.           We hold
tnat the statute facially conflicts with the Human Rights
Act.   The judiciary should not interfere with the legisla-
tive   function of    establishing    employment   and    retirement
qualifications.
       To determine if a basis for age discrimination exists,
the court, in essence, would be rewriting the statute.             It
would h a v e t o add q u a l i f i c a t i o n s and j u s t i f i c a t i o n s               t o the

compulsory             retirement        statute             to       establish      that      a   game

w a r d e n ' s a g e is r e l a t e d t o j o b p e r f o r m a n c e , t h e r e b y b r i n g i n g

the     discrimination within                     the       s t a t u t o r y exceptions.          This

would be        i n excess of            the court's                  authority.        We    held    in

C h e n n a u l t v.     Sager    (1980),                    Mont.             ,    610 P.2d       173,

37 St.Rep.             857,   t h a t t h e r o l e of            a    court     i n construing         a

s t a t u t e i s s i m p l y t o a s c e r t a i n and d e c l a r e i t s s u b s t a n c e and

n o t t o i n s e r t what h a s been o m i t t e d .                   The s t a t u t e s i n q u e s -

t i o n o m i t a n y bona f i d e o c c u p a t i o n a l q u a l i f i c a t i o n s f o r game

w a r d e n s o r a n y b a s i s f o r a g e d i s c r i m i n a t i o n i n s u c h employ-

ment.

          Furthermore, determining t h e b a s i s f o r age discrimina-

tion     i n Montana          will     entail           a    great       fact-finding         effort.

T h i s m i g h t i n c l u d e , among o t h e r t h i n g s ,            a s t a t u t o r y survey,

hearing e x p e r t testimony regarding i n d i v i d u a l v a r i a t i o n s i n

age progression                and     specifics              about        the     occupation         in

question.           The l e g i s l a t u r e ,    not the courts,                 has the proper

resources         to      assume      such        an        undertaking.             Additionally,

p u b l i c p o l i c y i s s u e s a r e b e s t r e s o l v e d by t h e l e g i s l a t u r e i n

the f i r s t instance.

          S i n c e t h e D i s t r i c t Court r u l e d i n f a v o r of t h e Depart-

ment,     no h e a r i n g was h e l d t o d e t e r m i n e t h e amount o f a w a r d s

f o r p a s t wages, b e n e f i t s ,        a t t o r n e y f e e s and c o s t s .        W e must

remand t o t h e D i s t r i c t C o u r t f o r a n e v i d e n t i a r y h e a r i n g o n

these i t e m s .

         During o r a l argument b e f o r e t h i s Court t h e Department

raised,      for the f i r s t t i m e ,           the defense t h a t Taylor's claim

was b a r r e d by t h e two-year                 s t a t u t e of       limitations for t o r t

actions       involving          property.                  Section       27-2-207,       MCA.        We
a l l o w e d s u p p l e m e n t a l b r i e f i n g on t h i s i s s u e .

           Taylor        contends           that,        according             t o l o n g s t a n d i n g case

l a w i n M o n t a n a , R u l e 8 ( c ) , M.R.Civ.P.,                        requires a s t a t u t e of

l i m i t a t i o n s defense t o be plead a f f i r m a t i v e l y , and, i f n o t ,

i t 1s w a i v e d a s a d e f e n s e .               Here, t h e Department r a i s e s t h i s

i s s u e f o r t h e f i r s t t i m e a t o r a l argument on appeal.

           The D e p a r t m e n t c l a i m s t h a t t n e d e f e n s e o f                  statute of

limitations              can     be    raised           for        the     first        time       on        appeal

according           to    Rierson           v.       Board         of    Administration                 of    PERS

(1981      I              Mont    .              ,    622 P.2d           195,     38 S t . R e p .       3.      In
Rierson the appellant f i r s t raised                                  t h e i s s u e of      s t a t u t e of

limitations              in    his    petition               for    rehearing            in    the      Supreme

Court.          T h i s C o u r t a d d r e s s e d and d e c i d e d t h e i s s u e a d v e r s e

t o appellant.                 The D e p a r t m e n t a r g u e s t h a t t h i s              is i m p l i e d

authority t o address the s t a t u t e of                                l i m i t a t i o n s d e f e n s e on

a p p e a l e v e n t h o u g h i t was n o t r a i s e d i n t h e D i s t r i c t C o u r t .

           W hold t h a t t h e s t a t u t e of
            e                                                            limitations defense has

been waived              and,     thus,          cannot be r a i s e d here.                    Rule 8 ( c ) ,

M.K.Civ.P.,              provides           that        a     defense           of      the    statute           of

l i m i t a t i o n s is a n a f f i r m a t i v e d e f e n s e and c a n o n l y b e r a i s e d

by   answer.             The l a w         is c l e a r        that       if     the defense              is n o t
plead      affirmatively,                  i t is w a i v e d .            B u t t e Country Club v.

Metropolitan              Dist.       (1974),               164     Mont.        75,     519       P.2d       408;

ilansen        v.   K e i r n a n e t a1.             (1972),           1 5 9 Mont.         448,     499 P.2d

787;     Turner          v.     Powell           (1929),          85 Mont.           241,     278       P.    512;

S t a t e ex rel.             Kolbow V.              Dist.     Court        ( 1 9 0 9 ) , 38 Mont.            415,
                                0-
                                 ' c-q.
                                      "
1 0 0 P.       207;      GrogRn       &.     V a l l e y T r a d i n g Co.             ( 1 9 0 4 ) , 30 Mont.



           The D e p a r t m e n t d i d n o t r a i s e s e c t i o n 27-2-207,                        MCA, a s

a d e f e n s e i n t h e D i s t r i c t Court; hence, t h e d e f e n s e h a s been
waived.        T h e r e is no l a n g u a g e i n R i e r s o n t h a t would a l l o w a

p a r t y t o r a i s e a d e f e n s e on a p p e a l t h a t h a s been w a i v e d d u e
t o a f a i l u r e t o a s s e r t it a t t h e t r i a l                 level.       There      is

s i m p l y no h o l d i n g    i n R i e r s o n t h a t o v e r r u l e s many y e a r s o f
case l a w r e g a r d i n g t h e s t a t u t e o f l i m i t a t i o n s d e f e n s e .

         W a l s o o r d e r e d s u p p l e m e n t a l b r i e f i n g on t h e a p p l i c a -
          e

bility        of    Equal       Employment           Opportunity              Commission           v.

Wyoming,       supra,       t o the present case.                      Both p a r t i e s a s s e r t
t h a t t h e U n i t e d S t a t e s Supreme C o u r t c a s e h a s no a p p l i c a -
tion.         We    agree.         The       cases    are    distinguishable.                  EEOC

a d d r e s s e d t h e i s s u e of w h e t h e r    t h e F e d e r a l Age D i s c r i m i n a -
tion     in    Employment A c t a p p l i e d           t o t h e Wyoming s t a t e game

warden r e t i r e m e n t s t a t u t e .     The p r e s e n t c a s e d e a l s w i t h t h e
Montana Human R i g h t s A c t a n d i t s a p p l i c a t i o n t o t h e Montana
game warden          compulsory r e t i r e m e n t          statute.            I n EEOC,      the

United        States     Supreme         Court       applied       a     federal      act     to    a
Wyoming        statute,        whereas        here     we    are        applying       Montana's
Human      Rights        Act      to    Montana's           game        warden      retirement

statute.
         Reversed           and        remanded        for      further           proceedings
consistent w i t h t h i s opinion.


                                                     '?A&d. J u s t i c e
                                                       Chief

W concur:
 e