Wright v. Childree
Wright v. Childree
Opinion
These consolidated appeals concern payment by the State of office-overhead expenses to lawyers who accept appointments to represent indigent clients before the courts of this state.
On February 1, 2005, the attorney general issued Op. Att'yGen., No. 2005-063, concluding that the comptroller did not have to pay overhead under §
Wright sued Robert L. Childree, the comptroller for the State of Alabama, for withholding office-overhead payments, alleging, among other things, breach of contract.2 Wright sought a judgment declaring that the comptroller's denial of payment was improper, and he sought injunctive relief requiring the comptroller to resume paying office-overhead expenses and to reimburse attorneys for back payments. Wright also sought certification of a class consisting of all Alabama lawyers who were appointed to represent any indigent defendant in Alabama as of February 1, 2005, and who had been improperly denied payment of office-overhead expenses for indigent-defense work after February 1, 2005, but excluding lawyers who are "contract counsel" under Ala. Code 1975, §
Wright apparently sent the circuit court a proposed order, which is not included in the record before this Court, requesting the payment of interest on the withheld payments. Evidently, in this proposed order, Wright included the payment of interest on any amounts he was due, because in his response to the proposed order the comptroller argues against paying interest. The record before this Court indicates that Wright did not request interest, nor did he mention interest until he filed his proposed order.3
On September 28, 2005, the trial court entered its order, directing the comptroller to "resume statewide payments of over-head hours on all indigent defense fee declarations which are otherwise properly completed, approved by a judge, and submitted to him for payment" and "to pay all overhead payments withheld from any lawyer in reliance on Op. Atty. Gen. No. 2005-063 (February 1, 2005) to all such lawyers *Page 774 statewide." The trial court stated in its order that the parties agreed that the comptroller would abide on a statewide basis by the court's resolution of the dispute, and that, therefore, their agreement pretermitted any need to address class certification. The trial court "decline[d] to address the other issues raised by [Wright] and decline[d] to award attorney fees" and did not specifically address interest in its order. The court certified the judgment as final, pursuant to Rule 54(b), Ala. R. Civ. P.
After filing an unsuccessful motion to alter or amend the order, Wright filed his notice of appeal on October 28, 2005. In the notice of appeal, Wright alleged that the trial court did not grant complete relief because the court refused to award interest on the office-overhead-expense payments previously withheld, to award attorney fees, to direct the comptroller to provide the information necessary for class certification, and to allow Wright additional time to submit a fee application.
On November 8, 2005, the comptroller filed his cross-appeal, alleging that, based on Ala. Code 1975, §
In 1993, the Alabama Court of Criminal Appeals in May v.State,
On April 19, 1996, the then attorney general issued identical opinions in responses to inquiries from the comptroller and the finance director, who asked whether the trial court was required to approve office-overhead expenses in advance of the actual occurrence of those expenses. The attorney general concluded that office-overhead expenses claimed under §
This Court, in Ex parte Smith,
In 1999, the legislature enacted Act No. 99-427, which amended §
The attorney general issued an opinion in 2001, addressing the issue of office-overhead expenses. Op. Att'y Gen., No. 2002-022 (Oct. 15, 2001). He stated that based on May,Barksdale, and the language of §
On March 15, 2002, this Court issued an opinion on application for rehearing in Lyons v. Norris,
"In June 1999, the Alabama Legislature passed the `Investment in Justice Act of 1999.' Act No. 99-427, 1999 Ala. Acts. In pertinent part, Act No. 99-427 substantively amended §
15-12-21 to increase attorney fees for appointed work at the trial level. Under the Act, the rate of compensation for attorneys representing indigent criminal defendants was increased to $40 per hour for out-of-court time and $60 per hour for in-court time. The fee limits, which have been increased substantially, are now based on the severity of the crime, and there is no limit on the total fee that can be paid to an attorney representing a defendant charged with a capital offense or with an offense that carries a possible sentence of life imprisonment without parole. Section15-12-21 , as amended, also specifies that `the court for good cause shown may approve an attorney's fee in excess of the maximum amount allowed.' Section15-12-21 now provides that to be reimbursable, any expenses incurred must be incurred, specifically, `in the defense of his or her client.' Here, the attorneys seek reimbursement for office-overhead expenses, including but not limited to: professional license fees; malpractice, casualty, health, general-liability, and workers' compensation insurance; office salaries; ad valorem taxes; office supplies; postage and express-delivery charges; depreciation for office equipment and furniture; local and long-distance telephone charges; `CLE expenses, including travel and lodging for out-of-town seminars (incurred one or more times per year)'; utilities; various bank fees and interest on business loans; and other professional fees. Although whether these fees are actually incurred `in the defense of [an attorney's] client' *Page 776 is highly questionable, that issue is not presently before this Court. Neither does this Court have before it the question of the applicability of Act No. 99-427 to office-overhead expenses. However, the change in language in Act No. 99-427 from `any expenses reasonably incurred in such defense' to `any expenses reasonably incurred in the defense of his or her client,' prohibits reimbursement of office-overhead expenses based on calculations of the pro rata cost of an attorney's criminal practice compared to his overall practice. At the same time, it precludes advance calculations of office-overhead expenses for a specific criminal defendant. The increase in fees, together with the ability of the courts to approve fees in excess of the mandated maximum `for good cause shown,' further indicates the Legislature's intent to eliminate reimbursement for `office-overhead expenses' under Act No. 99-427."
As the trial court states in its order in this case, the decision in Lyons triggered two reactions. The first was Christensen v. Childree, CV-2002-50, an action in Covington County against the comptroller. At oral argument, Wright's counsel stated that the comptroller briefly stopped paying office-overhead expenses in 2002 pursuant to an executive order and that that was the basis for the Covington County action. The Covington Circuit Court held that office-overhead expenses were to continue under §
"That it was and continues to be the intent of this Legislature pursuant to the enactment of Act 99-427, H. 53 of the 1999 Regular Session, the Investment In Justice Act of 1999, that over-head expenses shall be paid in addition to in-court and out-of court fees to attorneys appointed to represent indigent persons."
In 2005, the comptroller requested an opinion from the attorney general asking whether an attorney representing an indigent defendant may claim both office-overhead expenses at a rate approved in advance by the trial court and expenses under the Uniform Guidelines for Attorney Fee Declarations. On February 1, 2005, the attorney general issued an opinion concluding, "Act 99-427 amended section
Based on the 2005 attorney general opinion, the comptroller ceased payments of office-overhead expenses to lawyers appointed to represent indigent defendants under Ala. Code 1975, §
"[Attorney]: Your Honor, I think there is — from the standpoint of the comptroller, he requested the AG opinion. The AG's office delivered the opinion on February 1, and he has relied on that opinion to direct him, to advise him in how he should act in his official capacity.
"I think that we are here in the proper way to be here to contest that, which is a declaratory judgment action, and I don't have any great words to say other than exactly what Mr. Douglas [Wright's lawyer] said is that we look to this Court to provide some direction for the comptroller in light of what previous caselaw has said, the Lyons [v. Norris, 829 So.2d 74.8 (Ala. 2002)] opinion included, and what the Attorney General's office — the opinion that they rendered or issued to the comptroller.
". . . .
"[Attorney]: It has — some of this about the Christensen [v. Childree] case, and I will you — well, I don't want to say that. The Christensen case was determined in consultation with other assistant — with the Attorney General's office to be the law there and not be applicable anywhere else in the state.
"This is why — that's essentially why the comptroller is acting that way or acting that way for fee declarations that come out of that particular circuit.
"THE COURT: There is something disturbing about that. That makes absolutely no sense whatsoever, I mean, basically discriminating against everybody else in every other judicial circuit but Covington County. That is not right.
"[Attorney]: Well, I cannot necessarily disagree with that.
"THE COURT: I know you can't. What is your take on the resolution from the legislature?
"[Attorney]: My take on that resolution is that it was an attempt to clarify — it was the legislature's shot at clarifying what was intended in
15-12-21 , the amended15-12-21 . It was in response to what was said in a footnote in the Lyons opinion, which that footnote formed the basis, I think, of the Attorney General's opinion, I think the foot-note by [Chief] Justice Moore."I also note that in the legislation that did arise — I think it was during the special session when the legislature was trying to amend that code section further, I did note that the language in that resolution was going to be inserted into that order to make it very clear.
". . . .
"[Attorney]: So, I mean, I don't — I don't necessarily have a disagreement with Mr. Douglas on this. I don't think *Page 778 the comptroller necessarily does. I think the comptroller necessarily does. I think the comptroller just wants to make sure that his position is he was advised on a course of action, and that is what he has been doing."
Although the comptroller admits that the lawyer's arguments could have been more forceful, he contends that his position has been made clear throughout the filings and proceedings in the trial court: 1) that office-overhead expenses are not reimbursable under §
In the present case, Wright filed a "Motion for a Judgment on the Pleadings or, in the Alternative, for Summary Judgment on the Issue of Liability with Class Issues Reserved." Wright attached matters outside the pleadings to his complaint. Rule 12(c), Ala. R. Civ. P., provides that a motion for a judgment on the pleadings be treated as one for a summary judgment in accordance with Rule 56, Ala. R. Civ. P., whenever matters outside the pleadings are presented to and not excluded by the court. Not all matters outside the pleadings, however, convert a motion to a summary-judgment motion. See Donoghue v.American Nat'l Ins. Co.,
"It is an ingrained principle of statutory construction that `[t]he Legislature is presumed to be aware of existing law and judicial interpretation when it adopts a statute. Ex parteLouisville N.R.R.,
In Hexcel Decatur, Inc. v. Vickers,
"Overruling McClain in the face of this legislative history would violate the rule that `[t]he Legislature, when it enacts legislation, is presumed to have knowledge of existing law and of the judicial construction of existing statutes.' Mobile Infirmary Med. Ctr. v. Hodgen,
884 So.2d 801 ,814 (Ala. 2003). See also Ex parte Drummond Co.,837 So.2d 831 ,835 n. 9 (Ala. 2002)('In 1968, this Court adopted the Belli v. Driskill,282 Ala. 640 ,213 So.2d 806 (1968)] test. The Legislature has had more than 30 years to overrule or modify that decision; it has chosen not to do so. Moreover, in those 30 years, the Legislature has amended the Workers' Compensation Act. "`[W]hen the legislature readopts a code section, or incorporates it into a subsequent Code, prior decisions of this court permeate the statute, and it is presumed that the legislature deliberately adopted the statute with knowledge of this court's interpretation thereof.'"' (quoting Jones v. Conradi,673 So.2d 389 ,392 (Ala. 1995), quoting in turn Edgehill Corp. v. Hutchens,282 Ala. 492 ,495-96 ,213 So.2d 225 ,227-28 (1968))); Ex parte HealthSouth Corp.,851 So.2d 33 ,41-42 (Ala. 2002)('Presumably, when the Legislature reenacts or amends a statute without altering language that has been judicially interpreted, it adopts a particular judicial construction.'). Had the Legislature disagreed with the interpretation of §25-5-11.1 given by this Court in McClain, it could have easily amended §25-5-11.1 in 1992, 1993, 1995, or 1996 when it changed, added, or repealed no less than 90 other sections of the Workers' Compensation Act. The Legislature has acquiesced in the holding of McClain, and to overrule that case now would be to disregard the doctrine of stare decisis."
In 1999, when the legislature amended §
We recognize that a fundamental principle of statutory construction is that it is presumed that the legislature did not do a futile thing in enacting a statute. Ex parteWatley,
As stated earlier, the trial court made note of the legislature's 2002 joint resolution expressing its intent that Act No. 99-427 not affect the payment of office-overhead expenses. Although we agree with the comptroller that this joint resolution is not binding law, we do note that it was adopted by the same quadrennially elected legislative body that enacted Act No. 99-427. This Court has clearly stated, however, that "[a] resolution is not a law but merely the form in which the legislature expresses an opinion. The Legislature has no power to make laws by resolution." Gunter v. Beasley,
The comptroller argues that the 1999 amendment clarified an ambiguity regarding the payment of office-overhead expenses. (State comptroller's brief at 22-24.) However, given the judicial interpretation of §
Although there is no meaningful difference in the phrases "in such defense" and "in the defense of his or her client," it is important that we recognize that it was a footnote in an opinion of this Court that *Page 781
has brought us here today. Indeed, the comptroller paid office-overhead expenses from 1999 to 2002. In 2001, the then attorney general issued an opinion addressing office-overhead expenses and concluded that based on the language of §
The footnote in the opinion in Lyons and the 2005 attorney general opinion, which relied heavily onLyons, stand alone in concluding that the 1999 amendment to §
The parties raise the issue whether the Covington Circuit Court's decision in Christensen v. Childree is binding on the comptroller. In light of our resolution regarding the interpretation of §
As noted previously, this appeal and cross-appeal arise out of the trial court's order entered in response to Wright's "Motion for a Judgment on the Pleadings or, in the Alternative, for Summary Judgment on the Issue of Liability with Class Issues Reserved." The trial court certified its order as final pursuant to Rule 54(b), Ala. R. Civ. P. As a practical matter, what the trial court did was to rule on Wright's claim that §
AFFIRMED.
NABERS, C.J., and SEE, LYONS, HARWOOD, WOODALL,* STUART, SMITH, and PARKER, JJ., concur.
Reference
- Full Case Name
- Daniel W. Wright, Individually and on Behalf of Others Similarly Situated v. Robert L. Childree, in His Official Capacity as Comptroller of the State of Alabama. Robert L. Childree, in His Official Capacity as Comptroller of the State of Alabama v. Daniel W. Wright, Individually and on Behalf of Others Similarly Situated.
- Cited By
- 8 cases
- Status
- Published