Justia Government & Administrative Law Opinion Summaries

Articles Posted in Arkansas Supreme Court
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Sarah Gildehaus filed a liquor-permit application for her store. The Arkansas Alcoholic Beverage Control Board voted unanimously to issue a permit to Gildehaus. Christopher Moore appealed, arguing that the Board’s decision to grant the application violated a statutory prohibition of a permit holder either having an interest in more than one permit or directly or indirectly financially benefiting from the sale of liquor at more than one location. The circuit court affirmed, holding that Appellant had standing as a permit holder to challenge the Board’s actions, that there was sufficient evidence to support the Board’s decision, and that the Board’s actions were not arbitrary, capricious, or an abuse of discretion. The Supreme Court affirmed, holding that the circuit court did not err in its judgment. View "Moore v. Arkansas Alcoholic Beverage Control Board" on Justia Law

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Michelle Jameson received a conditional permit for a liquor store in Rogers, Arkansas. After Jameson sold one bottle of liquor, the Board granted approval to place Jameson’s permit on inactive status. Jameson subsequently applied to the Board to transfer her inactive permit to Christopher Moore at a new location in Rogers. The Board unanimously approved the transfer of the permit to Moore. Sarah Gildehaus filed a petition for judicial review. The circuit court dismissed the petition, finding that Gildehaus lacked standing to challenge the Board’s decision and that, even if she did have standing, there was substantial evidence to support the Board’s decision. The Supreme Court affirmed, holding (1) the circuit court erred in dismissing Gildehaus’s petition based on a lack of standing; but (2) the circuit court did not err in finding that the Board’s decision was supported by substantial evidence. View "Gildehaus v. Arkansas Alcoholic Beverage Control Board" on Justia Law

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The City of Russellville created the City Corporation to operate, maintain, and improve the city’s municipal waterworks system. The City Corporation managed a water treatment plant that provided potable drinking water to the residents of Russellville. In 1998, Carrothers Construction Company of Arkansas, LLC (Carrothers) constructed an expansion of the water-treatment plant. Carrothers purchased several items of machinery and equipment for the project. Carrothers installed this machinery and equipment for an extensive three-phase water treatment process at the Russellville plant. In 2004, the auditor for the Arkansas Department of Finance and Administration (DFA) conducted an audit of Carrothers’s records pertaining to its activities and purchases in 1999 and 2000 in performing its contractual obligations to expand the Russellville water treatment plant. The auditor determined that Carrothers purchased personal property from out-of-state vendors and that these purchases were subjected to Arkansas’s state and local use taxes, plus interest. Carrothers objected to the assessments, resulting in a lawsuit to challenge the tax assessments, and to demand refund of additional use taxes paid. Carrothers filed a motion for summary judgment asserting that there were no genuine issues of material fact and that, as a matter of law, it qualified for a manufacturing exemption. In 2015, the circuit court granted Carrothers’s motion for summary judgment and ruled that Carrothers was entitled to the manufacturing exemption. The Supreme Court reversed and remanded: "Carrothers acquired materials and constructed a facility to treat and clean the water, but it did not manufacture the water. Thus, Carrothers is not entitled to the manufacturing exemption," and therefore not entitled to summary judgment as a matter of law. View "Walther v. Carrothers Constr. Co. of Ark." on Justia Law

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Marilyn Worsham worked for a nonprofit agency and was later transferred to a host agency, at which time her pay was reduced. Worsham filed for unemployment benefits, but the Department of Workforce Services denied the claim. The Appeal Tribunal affirmed. The Board of Review affirmed and adopted the Appeal Tribunals ruling, finding that Worsham did not meet the wage requirements under Ark. Code Ann. 11-10-507(5)(A) for establishing a claim. The court of appeals affirmed. The Supreme Court affirmed, holding (1) the Board did not err in refusing to accept additional evidence at another hearing; and (2) the Board did not err in ruling that Worsham did not meet the wage requirements for establishing an unemployment-benefit claim. View "Worsham v. Bassett" on Justia Law

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In 2013, the Kanis and Denny Roads Suburban Water Improvement District No. 349 of Pulaski County (the District) reassessed Southwest Power Pool, Inc.’s (SPP) commercial facility, an improvement on its property that is connected to the City of Little Rock’s waterworks system, which resulted in an annual levy of $60,653. The District’s board of equalization confirmed the reassessment. SPP then filed a complaint in circuit court, arguing that the reassessment was wrong as a matter of law and of fact. The circuit court largely granted the District’s motion for summary judgment, and, following a bench trial on the issue of the sufficiency of the 2013 notice of reassessment, the circuit court granted final judgment in favor of the District. The Supreme Court reversed, holding that SPP’s facility cannot be assessed, and accordingly, the 2013 reassessment, and the subsequent reassessments, are invalid. View "Sw. Power Pool Inc. v. Kanis & Denny Roads Suburban Water Improvement Dist. No. 34" on Justia Law

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The Arkansas State Medical Board found Dr. Mahmood Ahmad in violation of the Arkansas Medical Practices Act. While Ahmad’s administrative appeal was pending in the circuit court, Ahmad filed a complaint for declaratory judgment and injunctive relief against the Board and the Board’s chairman (collectively, the Board), alleging that portions of the Chronic Intractable Pain Treatment Act and certain Board regulations were unconstitutional. The Board moved to dismiss the complaint, arguing that, because Ahmad’s exclusive remedy was an administrative appeal of the Board’s order, Ahmad’s complaint for declaratory and injunctive relief was barred as a matter of law. Ahmad responded by filing a motion for temporary restraining order seeking an order prohibiting the Board from pursuing any administrative action against him until both his administrative appeal and his declaratory and injunctive action were concluded. The circuit court granted the Board’s motion to dismiss and denied Ahmad’s motion for a restraining order. The Supreme Court affirmed, holding (1) the circuit court did not err in dismissing Ahmad’s complaint for failure to exhaust administrative remedies; and (2) the circuit court did not err in denying, on jurisdictional grounds, Ahmad’s request for a temporary restraining order. View "Ahmad v. Beck" on Justia Law

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In 2011, 2012, and 2013, the Board of Trustees of the University of Arkansas (“University”) submitted applications to the Washington County Tax Assessor seeking immunity from taxation or, alternatively, exemption from taxation for tax years 2010 through 2012. The assessor denied the University’s applications. The Washington County Board of Equalization affirmed. The University paid the assessed taxes under protest and appealed. The county court affirmed. The University appealed and filed a complaint in the circuit court. The Fayetteville School District intervened in the case. The circuit court granted summary judgment in favor of the University, concluding that the University was entitled to sovereign immunity from ad valorem taxation. The school district and the county and its assessor and tax collector appealed. The Supreme Court affirmed, holding that the University is an instrumentality of the State, and therefore, the property at issue was immune from ad valorem taxation. View "Washington County Bd. of Trs." on Justia Law

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Plaintiffs in this case were three female same-sex married couples and their children. One spouse in each married couple gave birth to a child, but the Arkansas Department of Health declined to issue a birth certificate with both spouses listed as parents. Plaintiffs filed suit seeking a declaration that Defendant, the Director of the Department, violated their constitutional rights and that certain statutory provisions were unconstitutional. After a hearing, the circuit court announced its intention to order the Department to amend the birth certificates of the child-plaintiffs. Before the written order was entered, Defendant requested a stay pending appeal. The circuit court denied Defendant’s request, ordered Defendant to issue amended birth certificates to Plaintiffs, and struck portions of a statute and made substantial additions to a provision of the Arkansas Code. The Supreme Court (1) denied the petition for emergency stay as to the portions of the order and memorandum opinion ordering Defendant to provide amended birth certificates to Plaintiffs, as Defendant did not challenge this portion of the order; but (2) granted the petition as to the remainder of the order and memorandum opinion, holding that it was best to preserve the status quo ante with regard to the statutory provisions while the Court considered the circuit court’s ruling. View "Smith v. Pavan" on Justia Law

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In 2014, the Arkansas State Board of Education (State Board) classified six schools within the Little Rock School District as being in academic distress. In 2015, the State Board voted to immediately remove all members of the District’s board of directors and to direct the commissioner of education to assume the authority of the Board of Directors for the governance of the District. Appellees, three former members of the District board of directors and a parent whose children attend school in the District - filed an amended complaint for declaratory relief, writ of prohibition, writ of mandamus, and injunctive relief, alleging that the State Board’s actions were unconstitutional, ultra vires, arbitrary, capricious, and wantonly injurious. Appellants moved to dismiss the complaint, arguing that the action was barred by sovereign immunity. The trial court denied the motion to dismiss. Appellant subsequently filed this interlocutory appeal. The Supreme Court reversed and dismissed Appellees’ complaint, holding (1) the allegations in the complaint did not establish a sovereign-immunity exception; but (2) Appellees failed to establish in their complaint that the State Board acted arbitrarily, capriciously, or in bad faith in assuming control of the District. View "Key v. Curry" on Justia Law

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The Pulaski County Election Commission (PCEC) filed a petition for declaratory judgment in the circuit court challenging the constitutionality of certain emergency rules promulgated by the Arkansas State Board of Election Commissioners (ASBEC) relating to absentee voters. The circuit court declared (1) the emergency rules were derivative of Act 595 of 2013, which amended the Arkansas election code to require that voters provide proof of identity when voting; (2) the Act was unconstitutional; and (3) the emergency rules were also unconstitutional. The Supreme Court affirmed in part and vacated in part, holding (1) the circuit court correctly ruled that the rules relating to absentee voters promulgated by the ASBEC were unconstitutional; but (2) the circuit court erred in declaring the Act unconstitutional, as that issue was not pled or developed before the court. View "State Bd. of Election Comm'rs v. Pulaski County Election Comm'n" on Justia Law