The
SD Supreme Court handed down three decisions this morning:
1) Denial of Motion to Suppress upheld;
2) Stare Decisis overturned, upholding previous
dissenting view of Retired Justice Judith Meierhenry;
3) For-Profit corporation
(Black Hills Advocate LLC) not eligible for appointment as guardian.
Summaries
follows:
STATE
v. HOLY, 2025 S.D. 19: After having his
Motion to Suppress Evidence denied, Defendant secured the following result in
the trial court:
[¶13.] At a subsequent court trial, the circuit court relied
upon stipulated facts to find [Defendant] guilty of both counts. The court
suspended a prison sentence and ordered supervised probation for the possession
of a controlled substance charge and imposed court costs for the misdemeanor
drug paraphernalia charge.
This appeal focuses exclusively on the Motion to Suppress
with Defendant arguing, “that police officers unreasonably extended the stop by asking
about contraband without any level of suspicion.” The
SD Supreme Court rejected Defendant’s argument and affirmed. This decision is unanimous (5-0) with opinion
authored by Justice Salter.
EARLL v. FARMERS MUTUAL INSURANCE, 2025 S.D. 20: Motor vehicle
accident resulted in death. Parents and
Estate of Deceased collected $25,000 from tortfeasor’s liability insurer and
then collected $75,000 from UIM (Underinsured Motorist) coverage of vehicle
being driven by Deceased. Parents and
Estate sought additional coverage of $250,000 under “separate motor
vehicle policy they purchased from Farmers Mutual, which provided coverage for
two vehicles owned by the [family] that were not involved in the accident.” The
trial court ruled for Farmers Mutual, applying the precedent of De Smet
Insurance Company of South Dakota v. Pourier, 2011 S.D. 47, ¶ 12, 802
N.W.2d 447, 451–52 (a 3/2 decision “which held that an ‘owned but not insured’
exclusion for UIM coverage was enforceable and not void as against public
policy.”) In this appeal, family
requests the SD Supreme Court to overrule the Pourier decision, and the SD
Supreme Court does so! In overturning
precedent, the Court handed down a lengthy opinion which “consider[s] the [four
prongs of] the well-established doctrine of stare decisis.” (the four prongs being, “(1) Quality of prior
decision, (2) Workability, (3) Consistency, (4)Subsequent developments, and (5)
Extent of Reliance.”) NOTE: The discussion by the SD Supreme
Court in connection with the articulated criteria needed to overturn stare
decisis precedent is traceable to its 2024 decision involving Governor Noem’s
Request concerning potential conflicts of interest for legislators and an older
1920 Decision. A concluding paragraph of the opinion states:
[¶48.] While we acknowledge Pourier’s
careful reasoning by a sharply divided Court, our review of the public policy
of this State for UM/UIM coverage and the Janus factors lead us to conclude
that Pourier is an outlier in this Court’s decisions. For the reasons discussed
above, we reverse our decision in Pourier and we hold that the “owned but not
insured” exclusion to UIM coverage in motor vehicle policies—when used to deny
coverage to an insured individual under circumstances like those in this
case—violates South Dakota public policy.
NOTE: Retired Justice Judith Meierhenry’s dissenting opinion
in Pourier was examined and found to be the proper rationale by this
unanimous (5-0) ruling, with opinion authored by Chief Justice Jensen.
GUARDIANSHIP AND CONSERVATORSHIP OF FLYTE, 2025 S.D. 21: In
adjudicating conflicting requests [by Daughter and Son] to be appointed guardian
of a dementia-afflicted parent who owns land worth more than $2 million, the
trial court, acting sua sponte, appointed “Black Hills Advocate,
LLC (BHA), a for-profit corporation” as guardian. The SD Supreme Court reversed and remanded,
stating:
[¶56.] We conclude that the circuit court did
not abuse its discretion by declining to appoint [Daughter] as Gerda’s guardian
and conservator. We also conclude that SDCL 29A-5-304 does not restrict the
circuit court’s authority to appoint a third-party guardian or conservator sua
sponte where such appointment is in the best interests of the protected person.
However, we hold that SDCL 29A-5-110 does not authorize for-profit entities to
be appointed as guardians or conservators, with the exception of statutorily
qualified banks and trust companies. Therefore, we reverse the circuit court’s
appointment of BHA and remand for further proceedings consistent with this
opinion. Additionally, we award [Son] one-half of his requested appellate
attorney fee.
This
ruling is unanimous (5-0) with opinion authored by Justice Kern.
These
decisions may be accessed at
http://ujs.sd.gov/Supreme_Court/opinions.aspx .