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Arizona Supreme Court reignites 2020 safety lawsuit against Circle K

Store owners have a legal responsibility to keep their shops “reasonably safe” for customers, the Arizona Supreme Court ruled March 12.

The justices rejected claims by Circle K that because the case of water that Roxanne Perez tripped over was “open and obvious,” the company cannot be held liable for her injuries.

None of that means Perez ultimately will win her case. The ruling sends the case back to a trial court which had thrown out her lawsuit as lacking legal merit.

But the decision is significant because it spells out a legal standard for the responsibilities of store owners to ensure that those they invite onto their property, like shoppers, are not subject to unreasonable risk of injury. And that places them on notice about what precautions they now have to take to shield themselves from liability.

According to court records, Perez went to a Circle K store in 2020 that she frequently patronized in Phoenix to buy ice cream. After getting the ice cream from the freezer, she turned to enter the next aisle when she tripped and fell over a single case of water on the floor at the end of the aisle.

The company said it had been placed there as an “end cap” display, a common tool of retailers to show off certain items. Perez said she did not see it before tripping.

In 2022, Maricopa County Superior Court Judge Joan Sinclair threw out the lawsuit.

“While the case of water may have created a dangerous condition, it did not create an unreasonably dangerous condition,” the judge wrote.

“The plaintiff could have seen the case of water if she looked down,” said Sinclair. “She is expected to take care of herself and Circle K owned no duty to the plaintiff in this context.”

Chief Justice Ann Scott Timmer, writing for the unanimous Supreme Court, said it’s not that simple.

“Indisputably, Circle K, as a business owner, has an affirmative duty to make and keep its markets reasonably safe for customers, who are invitees,” she said. And in this case, it is clear that Perez was an “invitee.”

“Thus, as a matter of law, Circle K owed a duty of care to Perez,” Timmer said. That means that the trial judge should not have barred Perez from pursuing her claim.

All that sets the stage for what comes next.

Timmer said that whether that end cap — and the fact it was only one crate high — was unreasonably dangerous is something that the trial court will have to consider in deciding whether Circle K had a duty to protect patrons in such circumstances and whether it breached the standard of conduct in complying with that duty.

Similarly, she said, a trial court can address the questions of whether the display was “open and obvious.”

The chief justice said the March 12 ruling does not strip business owners of their ability to have claims against them thrown out before actually having to go to a full-blown trial. Timmer said there are circumstances where there is no real dispute over the facts — the issues that are decided by juries — leaving a trial judge free to conclude that the law does not create a legal liability.

There was no immediate response from the Arizona Retailers Association to the ruling and the implications to its members.

Justices fend off removal, voters keep power over the bench

Voters kept two state Supreme Court justices on the bench and roundly rejected a measure poised to walk back the results of the 2024 retention election and limit when and how often voters can weigh in on whether to fire judges.

Election results painted an existential picture of how the state’s voters sat with and acted on judicial candidates, and how they valued the civic power to keep or kick out judges.

Initial election results showed 79% of voters rejected Proposition 137, a measure poised to nullify results of the 2024 retention election and effectively do away with judicial term limits. 

As for how individual judges fared, Supreme Court Justices Clint Bolick and Kathryn King are likely to stay on the bench, per initial returns, with Bolick seeing support for his retention from 58.42% of voters, and King receiving 59.47%. 

All four Arizona Court of Appeals judges and all 42 Maricopa County Superior Court judges are safe, too, with early results awarding some sizable margins. 

The 2024 retention election served as a turning point for the typically lackluster portion of the ballot. Justices at the top of the ticket prompted high-ticket campaigns both for and against and some zeal on judicial races drifted down to Superior Court judges, too. 

Campaigns for and against retention coalesced around Bolick and King. 

Those seeking to see the two booted from the bench primarily highlighted their vote on the ruling keeping the state’s 1864 abortion ban intact and touched on past rulings striking down school funding initiatives.  

Opposing groups noted Bolick’s past work on litigation for the Goldwater Institute, Institute for Justice and the American Federation for Children and King’s past work as former Gov. Doug Ducey’s deputy general counsel and as a corporate litigator. 

Judicial Independence Defense PAC, a group seeking to keep Bolick and King on the bench, highlighted the threat of Gov. Katie Hobbs appointing two new “liberal” justices to the bench in the event of Bolick and King’s exit and made a general plea for voters to reject the “politicization” of the judiciary. 

Judicial Independence Defense PAC brought in high dollar donations from in-state and out-of-states, including $125,000 from Randy Kendrick, Goldwater Institute board member and wife of Arizona Diamondbacks managing general partner, and $200,000 from billionaire Jeff Yass. 

Protect Abortion Rights No Retention Bolick and King reported a total of $17,477 in income per their pre-general election campaign finance report and no money spent or raised in the post-primary report, but noted they had been working with partner organizations to campaign against the justices. 

Daniel Scarpinato, spokesperson for Judicial Independence Defense PAC, the effort formed to back Bolick and King’s retention, said the results showed “a reputation of these independent justices and all of our judges and a real repudiation of this effort to inject partisan politics into our retention elections and into our judicial branch.” 

Scarpinato said, had the effort to oust Bolick and King been successful, it would have “opened the floodgates on both sides.” 

“Next time around, whoever the new justice is that Governor Hobbs selects would have a target on their back. If there had been success on this front, partisan special interests would have smelled blood in the water,” Scarpinato said. 

As for Court of Appeals and Superior Court judges, another political action committee, Arizonans for an Independent Judiciary, advocated for the retention of all judges on the ballot and made specific defenses of Court of Appeals Judge Angela Paton, Maricopa County Superior Court Judge Chistopher Coury, and Pima County Superior Court Judge Kellie Johnson after Gavel Watch, a voting guide to the retention elections by Civic Engagement Beyond Voting, advocated against their retention. 

Voters retained all four Court of Appeals judges, with Paton seeing a slightly lower margin at 67.48%. 

Early results also showed voters on track to retain all Maricopa County Superior Court judges, too, with comfortable margins. The vast majority of judges courted more than 70% support from voters, with Coury seeing a slightly lower margin at 65%.

In Pima County, judges had similar success, with the vast majority seeing approval above 70%. Johnson, who initially lifted the injunction on the 1864 abortion ban, was still retained, but saw a slightly lower margin of support at 67%. 

In Pinal County, all four judges are on track to stay on the bench. 

Proposition 137

Beyond individual judges, the 2024 judicial retention elections, and all retention elections thereafter, will stay intact given the sweeping failure of a measure poised to void retention results rendered this cycle and limit when judges are made to stand for retention.

Proposition 137, as referred by the Legislature, would have nullified the results of the 2024 retention election and effectively done away with judicial term limits.

Under the measure, judges are only made to sit for a retention election given a negative finding from the Commission on Judicial Performance Review, or if the judge is facing a conviction of a felony offense, any crime involving fraud or dishonesty, or personal bankruptcy or foreclosure. 

The measure also input legislative say into the Judicial Performance Review Commission by way of an appointee. 

Proponents of the measure made the case by noting the typically lengthy judicial retention ballot means a low-information election and further expressed a fear of a politicized judiciary, given ramped-up efforts to keep or oust judges. 

Proposition 137 did not draw any dedicated for or against campaigns but was instead woven into messaging, primarily from Democrats. Those against the measure highlighted the need to keep voter input on judicial retention elections and to ensure the results of the 2024 election stand, while a Republican judicial PAC opted not to take a position. 

Scarpinato noted too, though the Judicial Independence Defense PAC did not engage in Prop. 137, that the measure reflected the public’s appreciation of the current system in place. 

Cathy Sigmon, co-founder of Civic Engagement Beyond Voting and founder of Gavel Watch, the state’s first voting guide on judicial retention elections, said the “resounding” rejection of Prop. 137 served as a “big bright spot in the results.” 

She said, “The people in Arizona don’t like to have their powers curtailed or taken away.” 

Gavel Watch advocated against the retention of Bolick and King, as well as some Superior Court judges down ballot. 

Though all judges are likely to be retained, Sigmon said margins for the two justices – 58.42% for Bolick and 59.47% for King – were lower than a typical retention election and gave some an indication of higher voter attention. 

In 2022, Gavel Watch advocated for the removal of Justice William Montgomery. 

He was ultimately retained by 55.53% of voters, but his margins stood lower than two justices on the same ballot – Justice Ann Timmer, who courted 71.09% support from voters, and Justice James Beene, who secured 70.53%. 

Sigmon said Gavel Watch would continue gathering information for the next round of retention elections and dissecting the 2024 results in the meantime. 

She noted, too, in assessing the passage of the abortion measure but the failure to boot Bolick and King, of a continued goal to draw lines between candidates and key issues.

“It’s extremely common that people don’t quite see the connection between people making those decisions and the policies they care about. So that, to me, just makes it all the more important to continue doing what we’re doing throughout Arizona,” Sigmon said. “We try to focus less on the actual candidates and more on the issues, and draw that association.” 

Sigmon said certain voters do in fact care about judicial retention, contrary to claims of ballot fatigue and disinterest in judges. 

“That has been very decisively debunked,” Sigmon said. “People do care about the judiciary, and they very much see that it’s a third branch of government that they should have public oversight of.”

LD15 GOP candidate fighting residency challenge

Editor’s note: This article has been corrected to indicate Rep. Michael Way referred to the complaint filed against him as being driven by members of the North Carolina  Legislature rather than the Arizona Freedom Caucus. Way clarified he didn’t think anyone from Arizona’s Freedom Caucus was involved in filing the residency challenge against him.

A Republican legislative candidate accused of not being eligible to hold public office due to state residency requirements said the complaint filed against him is “politically motivated.”

Attorneys presented evidence in a Maricopa County Superior Court hearing Sept. 3 alleging Michael Way of Queen Creek isn’t eligible to be a member of the Legislature because he hasn’t lived in the state for three uninterrupted years prior to the election in accordance with state law. Way recently won his primary race to be a nominee for the state House of Representatives in the Republican stronghold of Legislative District 15. 

Way testified to the court that he believes the complaint against him was driven by members of North Carolina’s state legislature after he was asked about a news release from North Carolina Republican state Rep. Keith Kidwell’s office calling for an investigation of Way’s voting history. Kidwell leads the ultraconservative Freedom Caucus in the North Carolina House of Representatives.

Michael Way, a Republican candidate for LD15. Residency.
Michael Way, a Republican candidate for LD15.

“It is my position that he was tipped off and asked to put this on his letterhead and put out on social media after the story broke,” Way said. “He is a member of the Freedom Caucus … I believe this is all politically motivated.”

LD15 Republican precinct committeewoman Deborah Kirkland filed the complaint against Way days after The Arizona Republic published a story that questioned if Way is eligible to hold public office because of voter records showing he voted in North Carolina’s 2022 general election. 

Kidwell said in his news release that he wants Way to be investigated for “possible voter fraud.”

“I am deeply concerned by reports that Michael A. Way voted in North Carolina during a period for which he attested that he was in fact living in Arizona,” Kidwell said. 

Freedom Caucus members aren’t the only ones who have weighed in on the issue. Rep. David Cook, R-Globe, sent a letter to Attorney General Kris Mayes on Sept. 3 calling for her office to investigate the allegations against Way, according to a Washington Post report. Several Freedom Caucus members have criticized Cook during his time at the Legislature.

Cook wrote: “A number of politicians beat the drums regarding election integrity frequently. This seems to be the poster child for laws ensuring election integrity – we cannot have individuals simply picking and choosing which state they want to vote in depending on the election.”

Kirkland testified that she supported Way’s opponent Peter Anello in the primary election. Anello was endorsed by Rep. Jacqueline Parker, R-Mesa. Parker represents the district and is a member of the Arizona Freedom Caucus but she isn’t seeking re-election. 

Anello also ran on the same slate as Rep. Neal Carter, R-San Tan Valley, and Arizona Freedom Caucus Chairman Sen. Jake Hoffman, R-Queen Creek. 

Kirkland said she initially planned to support Way after the primary election because he’s a Republican but changed her mind after she became aware of The Arizona Republic article. 

“I feel that Mr. Way lied to me,” Kirkland said. “How can it not be a little personal.”

Kirkland also said she didn’t support Way during the primary election because she felt that he wasn’t active enough within the LD15 GOP precinct committee. 

Way said he voted in North Carolina in a 2021 municipal election and in the state’s 2022 general election. He also testified that he and his family lived in multiple properties in North Carolina but said he was stationed there for a temporary work assignment for his company Charter One while visiting Arizona almost every month to see family, report on his business dealings, and attend church events. 

“I would give him a big hug and I would say ‘welcome home,’” Charter One Managing Partner William Guttery said of how he greeted Way every time he saw Way when he returned from North Carolina.

Way said he’s considered Arizona his home since 2009 when his family moved to the state. He’s been out of the state for extended periods including a church mission to Brazil for two years, law school at the University of Wyoming, and the North Carolina work assignment. Way said he often frequented Arizona during each absence and left most of his personal belongings with family each time. 

Way’s attorney, Andrew Gould, said there is no law preventing a person from being registered to vote in two states and there is no duty on a voter to cancel their voter registration.

It is a felony to vote in the same election in multiple states. Way said he didn’t vote in Arizona during the North Carolina elections that he participated in. He said he voted in those North Carolina elections because he believed it was his civic duty and it was in the best interest of his company.

Kirkland’s attorney Tim La Sota said Way’s North Carolina voter registration is an admission of residency in the state. 

“We’ve got nothing but self-serving testimony in Mr. Way’s defense,” La Sota said. “One should not be able to avail oneself the right to vote in one state and then say oh you know what – I didn’t really mean that. I should still be able to register to vote in another state when they have the residency requirement that overlapped.”

La Sota also questioned Way about an opinion article he wrote that was published by The Carolina Journal in January 2023 that describes Way having “deep roots and an appreciation” for his family’s home in the greater Raleigh area. 

Way said he didn’t write the editor’s description La Sota referenced and it was likely done by a person on Charter One’s marketing team that didn’t run it by him before the article was published. 

Maricopa County Superior Court Judge Rodrick Coffey, an appointee of former Gov. Jan Brewer, said he will try to rule on the case no later than Sept, 9. Coffey also took a motion to dismiss the case by Gould under advisement but proceeded with the evidentiary hearing due to the expedited pace the case needs to proceed.

Group folds effort to raise minimum wage

Arizonans won’t get a chance to vote in November to raise the state minimum wage.

One Fair Wage, the sponsoring group of what would have been Proposition 212, said Thursday it is withdrawing the signatures submitted in July to put the measure on the ballot. Instead, it will most immediately focus on electing sympathetic candidates to the Legislature.

The longer-term goal, however, is to approach the issue not on a statewide basis but instead by trying to get individual counties, cities and towns to adopt their own minimum wage at a level that is higher than what is now required by state law.

The decision, though, was not entirely voluntary.

Raise the Wage Arizona, the local operation of One Fair Wage, submitted 354,278 signatures.

But the Arizona Restaurant Association, in a lawsuit filed in Maricopa County Superior Court, contends there are a series of problems.

For example, state law requires that anyone who is a paid circulator or from out of state must first register with the Secretary of State’s Office. Attorney Kory Langhofer told Judge Scott Blaney many of those who collected signatures did not comply.

Langhofer also contends there are other violations of state laws regulating petition circulators. And if circulators were acting illegally, all the signatures they collected cannot be counted.

All total, he said that once those invalid signatures are eliminated, the petition drive no longer has the legally required 255,949 names.

A hearing had been set for next week. Now, with the withdrawal, that is no longer necessary.

Saru Jayaraman, president of One Fair Wage, said it is possible the measure still could have survived the legal challenge. But she admitted that was not a sure thing.

“We didn’t want to just keep spending money on that when the chances were getting harder and harder, given the process,” Jayaraman said. “That’s why we decided to pivot to legislation and local initiatives.”

More immediately, what she also wants to do is focus on killing Proposition 138.

That measure, put on the ballot by the Republican-controlled Legislature at the behest of the Arizona Restaurant Association, would allow its members to pay its tipped workers 25% less than the minimum wage as long as what they make, with tips, is at least $2 an hour above the minimum wage. The current tip credit is $3 an hour.

There is no question but that change would financially benefit the restaurants.

In the case of the current $14.35 minimum, the tip credit can reduce the restaurant’s cost to $11.35 an hour. But bumping that up to 25% would drop that to $10.76.

But the focus, beyond defeating Proposition 138, is trying to do on a community-by-community basis what Proposition 212 would have done statewide: Hike the minimum wage.

That local option is allowed under versions of changes to the state minimum wage laws previously approved by voters.

Voters in Tucson and Flagstaff already have enacted their own minimum wage ordinances. Jayaraman says she believes residents of other communities would be amenable to the idea.

Arizona had no minimum wage before 2006, with employers required to pay only what the federal government required – $5.15 an hour at that time.

That year, over the objections of restaurants and some other businesses, voters approved creation of the state’s first minimum by a margin of 2-1. That hiked it immediately to $6.75 with a mandate to make annual changes to account for inflation, adjustments that brought it to $8.05 an hour in 2016.

A new successful initiative at that time, approved by 58% of those who voted, brought it immediately to $10 in 2017 and automatically to $12 by 2020. Subsequent inflation adjustments now have it at $14.35.

By contrast, the federal minimum remains at $7.25.

Proposition 212 would have added a dollar an hour to the state minimum this coming January, with another dollar at the beginning of 2026, all on top of the regularly scheduled inflation hikes.

But what particularly alarmed the Restaurant Association was that the initiative would have phased out the tip credit. That would have forced employers to pay at least the minimum wage, regardless of how much the workers made in tips.

Now Prop 212 and that risk are gone. But Steve Chucri, president of the Arizona Restaurant Association, said the effort to get voters to approve Prop 138 and its 25% tip credit will continue.

He said that a larger tip credit does not mean workers would take home less. Chucri pointed out that restaurants could claim the credit and reduce their own costs only if an employee actually made $2 an hour over the minimum when tips were included.

“This isn’t saving big corporate giants like they’re suggesting,” he said. “This is the mom-and-pops who need this tip credit to keep people employed and to keep their restaurants operating.”

And while the restaurants lost the minimum wage ballot battles in 2006 and 2016, Chucri said he believes the results will be different this time and voters will approve the increased tip credit in Prop 138.

“What we are seeing and what people and our guests are understanding is that it’s getting more and more expensive to dine out,” he said.

But State Rep. Mariana Sandoval, who has been working with One Fair Wage, said in a written statement there is no reason to have a tip credit at all.

“We should not feel obligated or the social pressure to tip because we know folks are not making a living wage,” said the Goodyear Democrats. “And we should definitely not be subsidizing anyone’s payroll.”

Chucri also argued that efforts to increase wages at the ballot and get rid of the tip credit are being pushed by “outside interests” and not restaurant employees who he said “get paid very well.”

“And if they didn’t, they wouldn’t be staying at these restaurants for decades,” he said.

And what of the $14.35 minimum wage that can be paid to workers who don’t get tips?

Chucri said that, at least in the fast-food industry, that is a starting wage. And he said that most have to pay more just to get and keep workers.

“They’re letting the market dictate that,” Chucri said.

The future of Proposition 138 aside, that still leaves One Fair Wage with the local option.

On one level, the same hurdle remains: Putting a measure on a ballot requires valid signatures which generally need to equal 15% of those who voted in the last local election. But  Jayaraman said that focusing the resources on just a few communities at the time versus a statewide contest could prove more effective, saying it could take as few as 1,000 signatures in some cities to qualify for the ballot.

That local option is already playing out in Glendale where a group known as Worker Power has submitted enough signatures to raise the minimum wage for hotel and event center workers to $20 an hour. The same measure has other provisions, including how many rooms attendants can clean in an eight-hour workday before their pay is doubled.

 

 

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