Justia Government & Administrative Law Opinion Summaries

Articles Posted in Business Law
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In a contract dispute between film producer Adam Rosenfelt and the Mississippi Development Authority ("MDA"), Rosenfelt claimed the MDA promised loan guarantees so he could make movies in Mississippi. He made one film, which was not financially successful, and the MDA refused to guarantee the loan for his next project. Rosenfelt claimed the MDA breached a contract with him, personally. The Mississippi Supreme Court concluded Rosenfelt lacked standing to file suit: the actual documents showed any agreement was between the MDA and one or more LLCs, not Rosenfelt personally. Furthermore, the Court determined no error has been shown as to the dismissal of one of those LLCs, Element Studios, LLC, for want of standing. View "Rosenfelt v. Mississippi Development Authority" on Justia Law

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From 1910 until 1986, Greenlease Holding Co. (“Greenlease”), a subsidiary of the Ampco-Pittsburgh Corporation (“Ampco”), owned a contaminated manufacturing site in Greenville, Pennsylvania. Trinity Industries, Inc. and its wholly-owned subsidiary, Trinity Industries Railcar Co. (collectively, “Trinity”), acquired the site from Greenlease in 1986 and continued to manufacture railcars there until 2000. An investigation by Pennsylvania into Trinity’s waste disposal activities resulted in a criminal prosecution and eventual plea-bargained consent decree which required, in relevant part, that Trinity remediate the contaminated land. That effort cost Trinity nearly $9 million. This appeal arose out of the district court’s determination that, under the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”), and Pennsylvania’s Hazardous Sites Cleanup Act (“HSCA”), Trinity was entitled to contribution from Greenlease for remediation costs. The parties filed cross-appeals challenging a number of the district court’s rulings, including its ultimate allocation of cleanup costs. The Third Circuit ultimately affirmed the district court on several pre-trial rulings on dispositive motions, vacated the cost allocation determination and remanded for further proceedings. View "Trinity Industries Inc v. Greenlease Holding Co." on Justia Law

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Following an investigation into violations of the Secondhand Dealers Law (SDL), the State of California, by and through the District Attorneys of Riverside and Shasta Counties, filed an action pursuant to Business and Professions Code section 17200 et seq., (Unfair Competition Law or UCL) to enjoin petitioner GameStop, Inc., (GameStop) against noncompliance. GameStop filed a motion to remove the action from the County of Riverside pursuant to Code of Civil Procedure section 394, claiming that the district attorney, as an official elected by the County of Riverside, was a local governmental entity. The trial court denied the motion, giving rise to this petition for writ of mandate by GameStop. The SDL requires secondhand dealers to report the name, address, and photo identification of the seller, a complete description of the serialized property, a certification from the seller that she or he is the owner of the property, and a fingerprint of the seller. During the time period enumerated in the complaint, GameStop failed to comply with the reporting, holding, and inspection requirements of the SDL. The Court of Appeal concluded the mandatory removal provisions of section 394 were inapplicable to UCL actions brought by a district attorney to enforce provisions of the statewide SDL, and denied GameStop's petition for relief. View "GameStop, Inc. v. Superior Court" on Justia Law

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In November 2014, officers from the Pennsylvania State Police, Bureau of Liquor Control Enforcement (Bureau) conducted an investigation regarding underage persons present inside appellee Jet-Set Restaurant, LLC (Jet-Set), a licensed establishment located in Reading, Berks County. Bureau officers identified four underage females inside Jet- Set. The officers observed three of the four females enter Jet-Set after providing a doorman with identification that showed they were underage. Bureau officers also observed one of the females purchase a bottle of beer inside Jet-Set and another one of the females consume two bottles of beer purchased by another customer. Bureau officers subsequently learned one of the females had been inside Jet-Set before. The Bureau cited Jet-Set for: (1) permitting minors to frequent the premises in violation of Section 4-493(14) of the Liquor Code (frequenting count); and (2) furnishing alcohol to underage minors in violation of Section 4-493(1) of the Liquor Code, 47 P.S. 4-493(1) (furnishing count). The Bureau appealed the dismissal of the frequenting count, but both the Pennsylvania Liquor Control Board and the Berks County Court of Common Pleas affirmed the dismissal on the basis that “frequent” means “to visit often or to resort to habitually or to recur again and again, or more than one or two visits” and the Bureau had not established a violation based on the isolated occurrence observed by Bureau officers in November 2014. The Pennsylvania Supreme Court granted discretionary review to determine whether the definition of “frequent” set forth in Appeal of Speranza, 206 A.2d 292 (Pa. 1965) continued to apply to Section 4-493(14) of the Liquor Code, 47 P.S. 4-493(14), in light of subsequent amendments to the statute. The Court concluded Speranza still controlled and, accordingly, affirmed the order of the Commonwealth Court. View "Pa. St. Police v. Jet-Set Restaurant, LLC" on Justia Law

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A commercial tenant breached its lease and owed unpaid rent. The landlord sued and obtained a writ of attachment against any funds owed the tenant from Alaska’s Department of Health and Social Services (DHSS). DHSS replied to the writ by stating it owed nothing to the tenant because a recent audit showed the tenant owed DHSS $1.4 million. Without responding to DHSS’s reply the landlord moved for a writ of execution against DHSS, which the superior court denied after finding there were no funds to attach. The court denied the landlord’s motion for reconsideration, as well as its request for a hearing to examine DHSS. The landlord appealed the denial of its motion for reconsideration and sought a remand for a hearing to examine DHSS. In affirming the superior court, the Alaska Supreme Court concluded the superior court was correct in denying reconsideration of its order regarding the writ of execution. View "Arcticorp v. C Care Services, LLC" on Justia Law

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In this case, the issue presented for the Louisiana Supreme Court’s review centered on whether a City of New Orleans ordinance levying a gallonage tax based on volume upon dealers who handle high alcoholic content beverages was a valid exercise of its authority to levy and collect occupational license taxes within the meaning of La. Const. Art. VI, sec. 28. The trial court declared the ordinance unconstitutional. The Supreme Court found the portion of the ordinance at issue was not an unconstitutional exercise of the City’s taxing authority. Thus, the Court reversed the trial court’s grant of summary judgment in favor of the plaintiffs, and remanded to the trial court for further proceedings. View "Beer Industry League of Louisiana v. City of New Orleans" on Justia Law

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Appellant Maxim Cabaret, Inc. d/b/a Maxim Cabaret was a strip club in Sandy Springs, Georgia, and appellant Theo Lambros was the club’s operator, sole shareholder, and president (collectively “Maxim”). Maxim appealed the superior court's order granting summary judgment to the City of Sandy Springs on Maxim’s legal challenges to city ordinances. The Georgia Supreme Court held that Maxim’s challenges to prior versions of the City’s ordinances that have since been replaced or amended were moot; current adult business ordinances prohibiting the sale of alcohol at businesses that offer live nude entertainment constitutionally regulate negative secondary effects of strip clubs without unduly inhibiting free speech or expression; and because the City may constitutionally prohibit Maxim from obtaining a license to sell liquor on its premises under the City’s adult business licensing ordinances, Maxim lacked standing to challenge the City’s alcohol licensing regulations. View "Maxim Cabaret v. City of Sandy Springs" on Justia Law

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The issue this case presented for the Georgia Supreme COurt's review centered on whether the contract involved in this case between the City of Atlanta and a private business for the lease of retail concession space at Hartsfield-Jackson Atlanta International Airport created a taxable interest subject to ad valorem taxation by Clayton County. The City of Atlanta owned the Airport, which was partially in Clayton County outside the City’s boundaries. Appellee Aldeasa Atlanta Joint Venture entered into the written agreement with the City to lease space on two different concourses at the Airport for the non-exclusive rights to operate two duty free retail stores. Appellant Clayton County Board of Tax Assessors (“County”) issued real property tax assessments to Aldeasa for the 2011 and 2012 tax years on Aldeasa’s purported leasehold improvements on the two parcels involved in the Concessions Agreement and also on Aldeasa’s purported possessory interest in the two parcels. Aldeasa appealed the assessments and paid the tax pending the outcome of the appeal. The trial court found the Concessions Agreement created a usufruct interest in the property, and not an estate in real property; it rejected the County’s assertion that it was legally authorized to impose a property tax on usufructs located at the Airport; and it also rejected the County’s assertion that the Concessions Agreement created a taxable franchise. Accordingly, the trial court granted Aldeasa’s motion for summary judgement and denied the motion filed by the County. The County appealed, asserting four different taxable interests were created by the Concessions Agreement. The Supreme Court disagreed with the State's assertions and affirmed the trial court. View "Clayton County Bd. of Assessors v. Aldeasa Atlanta Joint Venture" on Justia Law

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Plaintiffs Yvonne Reid and Serena Wong sued defendants the City of San Diego (City) and the San Diego Tourism Marketing District (TMD) in a putative class action complaint, challenging what they allege is "an illegal hotel tax." The trial court sustained Defendants' demurrer without leave to amend on statute of limitations and other grounds. The Court of Appeal affirmed, concluding some of the causes of action were time-barred and the remainder failed to state facts constituting a cause of action. View "Reid v. City of San Diego" on Justia Law

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Plaintiffs John Davis and Shad Denson filed a complaint seeking declaratory and injunctive relief against the City of Jackson, Mississippi (“City”). The plaintiffs, both taxicab drivers, sought: (1) a declaratory judgment that the City’s taxicab ordinances violate the Mississippi Constitution; and (2) an injunction to prevent the City from denying the plaintiffs a Certificate of Public Necessity for their failure to comply with the City’s ordinances. The City filed a motion to dismiss the plaintiffs’ complaint for lack of subject-matter jurisdiction, citing Mississippi Code Section 11-51-75 (Rev. 2012), which required a bill of exceptions to be filed and transferred to circuit court when the complaining party was aggrieved by a discretionary action of a municipal governing authority. The chancery court granted the City’s motion to dismiss, finding it lacked jurisdiction to consider the case. The plaintiffs appealed. The Mississippi Supreme Court found the dismissal for lack of jurisdiction was proper, but for a different reason: plaintiffs lacked standing to challenge the constitutionality of the City’s taxi ordinances because they failed to file or complete the required application to start a taxicab company in Jackson. View "Davis v. City of Jackson" on Justia Law