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Winnisquam Regional School District v. Levine8/18/2005
s subject to an "almost infinite period of liability."
Winnisquam contends theseare arbitrary and unreasonable classifications under the statute and thus violate the equal protection provisions of Part I, Articles 1 and 14 of the New Hampshire Constitution. Cf. State v. Basinow, 117 N.H. 176, 177 (1977). In addition, it argues that the eight-year statute of repose period is "inherently unreasonable because it eliminates a cause of action before the wrong may reasonably be discovered." We disagree. For ease of analysis we will address botharguments together.
We have held that the equal protection guarantee of the New Hampshire Constitution does not forbid classifications, but requires us to examine the rights affected and the purpose and scope of the classification. LeClair v. LeClair, 137 N.H. 213, 222 (1993); see In re Sandra H., 150 N.H. 634, 638 (2004). The issue is whether a difference in treatment is constitutionally permissible.
In determining whether RSA 508:4-b denies Winnisquam equal protection of the laws, the test is whether the challenged classifications are reasonable and have a fair and substantial relation to the object of the legislation. Carson, 120 N.H. at 932-33. In applying this test, however, we will not examinethe factual basis relied upon bythe legislature asjustification for the statute. "In the absence of a suspect classification or a fundamental right, courts will not second-guess the legislature as to the wisdom of or necessity for legislation. Our sole inquiry is whether the legislature could reasonably conceive to be true the facts on which the challenged legislative classifications are based." Id. at 933 (quotations and citations omitted).
In Big League Entertainment, Inc. v. Brox Industries, Inc., 149 N.H. 480 (2003), we held that RSA 508:4-b acts as a statute of repose. In reaching that conclusion we looked to the legislative history, which clearly demonstrates that the purpose of the statute is to relieve potential defendants from infinite liability perpetuated by the discovery rule. As stated in Laws 1990, 164:1:
The general court finds that, under current law, builders, designers, architects and others in the building trade are subject to an almost infinite period of liability. This period of liability, based on the discovery rule, particularly affects the building industry and will eventually have very serious adverse effects on the construction of improvements to real estate in New Hampshire. Therefore, it is in the public interest to set a point in time after which no action may be brought for errors and omissions in the planning, design and construction of improvement to real estate. This act is determined to be in the public interest and to promote and balance the interests of prospective litigants in cases involving planning design and construction of improvements to real property.
A review of the legislative findings and stated purpose for the current enactment of RSA 508:4-b makes clear that the lawmakers intended to promote the public interest by protecting the building industry from infinite liability. The current version of the statutereflects the legislature's concern that those involved in the construction trade not be subject to an almost infinite period of liability. The legislature's rationale for conferring upon the building industry a limited period of time in which a claim could be brought is reasonable, not arbitrary, and bears a fair and substantial relationship to the legislative purpose. Because there isno suspect classification or fundamental right affected here,we disagree with the trial court's conclusion that RSA 508:4-b violates equal protection under our State Constitution.
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