Justia Government & Administrative Law Opinion Summaries

Articles Posted in Contracts
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Employee sustained injuries in the course of his employment with Four Star Transportation. Despite being hired by Four Star, Employee was initially considered an employee of Better Integrated Services. Better Integrated leased Employee to Beacon Enterprises, which then leased Employee to Four Star. Beacon had an insurance policy with Kentucky Employers' Mutual Insurance (KEMI). An ALJ determined (1) Employee's injury entitled him to benefits and a permanent partial disability award, and (2) KEMI's policy covered Employee's injury. The Workers' Compensation Board reversed, finding Employee was not covered under the KEMI policy due to the fact he was unaware that Four Star was leasing him from different entities, including Beacon. The court of appeals affirmed. The Uninsured Employers' Fund appealed. The Supreme Court affirmed, holding (1) Employee could not be considered Beacon's employee because he did not enter into a contract for hire with Beacon; (2) the Board did not act arbitrarily in finding that the ALJ's opinion was not supported by substantial evidence; and (3) the Board and lower court's decision was not based on Better Integrated and Beacon's failure to comply with Ky. Rev. Stat. 342.615. View "Ky. Uninsured Employers' Fund v. Hoskins" on Justia Law

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The Board of Supervisors of Fluvanna County filed a complaint against Davenport & Company asserting that Davenport, which served as the financial advisor to the Board, knowingly made false representations and used its fiduciary position to persuade the Board to hire Davenport as an advisor regarding the financing of the construction of a new high school. Davenport filed a demurrer to the complaint, which the circuit court granted on the basis that the separation of powers doctrine prevented the court from resolving the controversy because the court would have to inquire into the motives of the Board's legislative decision making. The Supreme Court reversed, holding that the Board effectively waived its common law legislative immunity from civil liability and the burden of litigation, and therefore the circuit court erred in sustaining Davenport's demurrer on these grounds. View "Bd. of Supervisors of Fluvanna County v. Davenport & Co. LLC" on Justia Law

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The United States Postal Services (USPS) terminated Plaintiff's employment contract after discovering, through a sting operation, that Plaintiff had stolen mail containing money. The Postal Service Board of Contract Appeals (PSBCA) convened an evidentiary hearing and determined that Plaintiff's breach of his employment contract justified the decision to terminate his contract. Plaintiff did not appeal this decision. Meanwhile, Plaintiff initiated a Federal Tort Claims Act (FTCA) suit against the United States for the actions of USPS employees on the date of the sting, alleging six torts. The district court dismissed three of the claims and granted summary judgment to the government on the remaining claims. The First Circuit Court of Appeals affirmed the district court as to all claims, holding (1) the district court correctly concluded that the PSCBA's findings precluded relitigation of the factual issues in Plaintiff's FTCA suit; and (2) summary judgment was properly granted as to Plaintiff's FTCA claims for negligent supervision, malicious prosecution, and invasion of privacy by postal inspectors. View "Rios-Pineiro v. United States" on Justia Law

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Respondent Nissan North America, Inc. (Nissan) appealed a superior court decision that vacated decision of the New Hampshire Motor Vehicle Industry Board (Board) and ruled that RSA chapter 357-C rendered unenforceable a provision of a written settlement agreement between Nissan and petitioner, Strike Four, LLC, a Nissan dealer. Nissan also appealed the superior court's ruling that it was entitled to neither specific performance of the settlement agreement nor attorney's fees. Upon review, the Supreme Court affirmed the Superior Court's decision, but vacated that court's dismissal of Nissan's claim for attorney fees. The case was remanded for further proceedings. View "Strike Four, LLC v. Nissan North America, Inc." on Justia Law

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In 2008, the legislature enacted legislation to establish the Idaho Education Network (IEN), which was to be a high-bandwidth telecommunications distribution system for distance learning in every public school in the state. Syringa Networks, LLC (Syringa), an Idaho telecommunications company, entered into a “teaming agreement” with ENA Services, LLC (ENA). Pursuant to their agreement, ENA submitted a proposal in response to a request-for-proposals (RFP) with the Department of Administration, although the cover letter stated that both ENA and Syringa were responding jointly to the proposal. Qwest Communications Company, LLC, and Verizon Business Network Services, Inc., also submitted responsive proposals. The proposals were then scored based upon specific criteria; the ENA and Qwest proposals received the highest scores. The Department issued a letter of intent to award contracts to Qwest and ENA. One month later, it issued amendments to the two purchase orders to alter the scope of work that each would perform. Qwest became "the general contractor for all IEN technical network services" (providing the “backbone”) and ENA became "the Service Provider." The effect of these amendments was to make Qwest the exclusive provider of the backbone, which was what Syringa intended to provide as a subcontractor of ENA. Syringa filed this lawsuit against the Department, its director, the chief technology officer, ENA and Qwest. The district court ultimately dismissed Syringa’s lawsuit against all of the Defendants on their respective motions for summary judgment. Syringa then appealed the grants of summary judgment, and the State Defendants cross-appealed the refusal to award them attorney fees. Upon review, the Supreme Court affirmed the judgment dismissing all counts of the complaint except count three seeking to set aside the State's contract with Qwest on the ground that it was awarded in violation of the applicable statutes. Furthermore, the Court reversed Qwest’s award of attorney fees against Syringa. We remand to the trial court the determination of whether any of the State Defendants were entitled to an award of attorney fees against Syringa for proceedings in the district court. The Court awarded costs and attorney fees on appeal to ENA. Because the State Defendants and Syringa both prevailed only in part on appeal, the Court did not award them either costs or attorney fees on appeal. View "Syringa Networks v. Idaho Dept of Admin" on Justia Law

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K&D Enterprises, through its manager, Mid-America, contracted to purchase an apartment complex. Prior to the closing, K&D Enterprises created a new company, Euclid-Richmond Gardens, and assigned its rights under the purchase agreement to that new company. Euclid-Richmond Gardens hired K&D Group, Inc., a property-management company, to manage the apartment. K&D Group hired former employees of Mid-America and assumed the operations of the complex. The Bureau of Workers' Compensation later conducted an audit and determined K&D Group was the successor in interest to the business operations of Mid-America, a determination that authorized the Bureau to base K&D Group's experience rating, in part, on Mid-America's past experience, which included a large workers' compensation claim. After K&D Group's administrative appeal was denied, K&D Group unsuccessfully filed a mandamus action in the court of appeals. The Supreme Court reversed the judgment of the court of appeals and issued the writ of mandamus, holding that K&D Group was not a successor in interest for purposes of workers' compensation law, and thus, the Bureau abused its discretion when it transferred part of Mid-America's experience rating to K&D Group. View "State ex rel. K&D Group, Inc. v. Buehrer" on Justia Law

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Margaret Hunt, a teacher, sued her former employer, the Richmond County Board of Education for breach of her employment contract. The parties stipulated to the amount of damages, and after a bench trial, the trial court entered judgment in the stipulated amount plus prejudgment interest. The Board cut two checks, one reflecting the interest and fees, and another intended to reflect the damages award. The award was treated as wage income, with various sums withheld to comply with state and federal tax laws. Hunt objected to that treatment of the damages award, contending that the second check prepared by the Board should have been for the full amount of the damages, and that the payment should be reported for tax purposes using an IRS Form 1099. The parties could not agree on the tax treatment of the damages award. As a result, the Board filed suit seeking an injunction against Hunt in the event she resorted to certain collection methods (such as garnishment of the Board's assets). The superior court grated a temporary restraining order. Hunt appealed to the Supreme Court, and the Supreme Court reversed: "the mere apprehension of injury does not support the grant of an injunction." View "Hunt v. Richmond County Bd. of Education" on Justia Law

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Plaintiff-Appellant Richard J. Sternberg, M.D. brought an action against Defendants-Appellees Nanticoke Memorial Hospital, its CEO and members of the hospital's Medical Executive Committee (MEC) (collectively "Nanticoke") for tortious interference with existing business relationships, defamation, and breach of the Medical Staff Bylaws. The suit arose from a precautionary suspension of his clinical privileges imposed by Nanticoke under its professional review procedures. Nanticoke asserted immunity under federal and state law and sought attorneys fees, citing state law and a fee-shifting provision of Nanticoke's Medical Staff Bylaws Credentials Policy. After cross-motions for summary judgment, the Superior Court denied Sternberg's motion and granted Nanticoke's motion, awarding attorney's fees under state law without addressing Nanticoke's claim for costs and fees under the Credentials Policy. Sternberg appealed and the Supreme Court affirmed on the issue of immunity but reversed the award of attorney's fees under the applicable statute because Sternberg refuted the only fact supporting the requisite bad faith for an award under that law. Upon remand, the Superior Court awarded attorney's fees and costs based upon the Credentials Policy. Sternberg raised three claims on appeal: (1) he claimed that the Superior Court erred by granting Nanticoke's motion for summary judgment for attorney's fees under the Credentials Policy, because the bylaw violates public policy; (2) he claimed the Credentials Policy was unenforceable against him because Nanticoke materially breached the bylaws; and (3) he claimed that the Superior Court abused its discretion in determining the amount of attorney's fees and costs to be awarded. Finding no merit to any of his claims on appeal, the Supreme Court affirmed the Superior Court. View "Sternberg, M.D. v. Nanticoke Memorial Hospital, Inc., et al." on Justia Law

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Appellant Altrua HealthShare appealed the district court's decision affirming the Idaho Department of Insurance's (Department) determination that Altrua transacted insurance without a certificate of authority. Altrua argued that both the Department and the Ada County district court erred in finding that Altrua was an insurer because Altrua never assumed the risk of paying its members' medical bills. The Department found, and the district court affirmed, that when members make their predetermined monthly payments into the escrow account Altrua operates, the risk of payment shifts from the individual members to the escrow account, and in turn to Altrua. Altrua also contended that the Department's determination that it is an insurer despite the disclaimers in its membership contract to the contrary is an unconstitutional interference with Altrua's right to contract. Upon review, the Supreme Court found that the Department's conclusion that Altrua's membership contract was an insurance contract was clearly erroneous, and reversed the findings. The case was remanded for further proceedings. View "Altrua Healthshare v. Deal" on Justia Law

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Sharp, a federal supply contractor, submitted a termination compensation claim to the Department of the Army contracting officer, and later brought a Contracts Dispute Act claim before the Armed Services Board of Contract Appeals, claiming that, because the Army failed to exercise the entirety of the last option year under a delivery order, Sharp was entitled to premature discontinuance fees under its General Services Administration schedule contract. The ASBCA dismissed for lack of subject-matter jurisdiction, concluding that the Federal Acquisition Regulation, does not permit ordering agency contracting officers to decide disputes pertaining to schedule contracts. The Federal Circuit affirmed. Under FAR 8.406-6, only the GSA contracting office may resolve disputes that, in whole or in part, involve interpretation of disputed schedule contract provisions. View "Sharp Elec. Corp. v. McHugh" on Justia Law