Georgia Supreme Court

Georgia Supreme Court -- Election Decisions

On Monday, the Georgia Supreme Court issued seven more opinions, including the much awaited decision on the Photo ID case, a case about a Randoph County Board of Commissioners election, and another case involving elections for the Carroll County Board of Education -- just in time for special elections coming up as early as Tuesday June 17. This post covers these election-related decisions -- even though none were decided on substantive grounds.

First, in Perdue v. Lake, an appeal of the injunction issued by a superior court against the enforcement of the 2006 version of the act requiring a photo ID to vote, the Georgia Supreme Court found that plaintiff Lake did not have standing to challenge the act.

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Georgia Supreme Court issues 27 opinions

The Georgia Supreme Court today issued 27 opinions.  The count is: 5 general civil cases (including a major tort reform decision, discussed below), 6 domestic cases, 3 habeas cases, 12 criminal cases (including 8 involving murder and/or life sentences), and 1 attorney discipline case.  The opinions are available here and the summaries are here.

Over the next week we will be catching you up on court of appeals decisions (both 11th Circuit and Georgia), as well as this fresh batch of Georgia Supreme Court decisions.

The headline case from today's releases is the decision in the pair of cases, Fowler Properties, Inc. v. Dowland, and vice versa, holding the new offer of judgment statute, OCGA § 9-11-68, unconstitutional as applied to cases filed prior to the statute's enactment. In this slip-and-fall case originally filed in December 2002, the defendant made an offer of judgment of $20,000 after the statute was enacted -- an offer to which the plaintiff did not respond. When the jury found in the defendant's favor at trial, it moved for attorneys' fees pursuant to the statute, which the trial court found reasonable, but denied on the ground that the statute was unconstitutional (on a variety of grounds).

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Georgia Supreme Court -- Civil Cases from Monday

The Georgia Supreme Court issued four opinions in general civil cases Monday.

The case getting the most attention is the court's most recent decision in a line of cases interpreting the Georgia Legislature's attempts at tort reform.  In Allen v. Wright, the Georgia Supreme Court invalidated the requirement of filing authorizations for disclosure of medical records along with the complaint in med mal cases (OCGA § 9-11-9.2) because it violates HIPAA. The defendants moved to dismiss the plaintiff's complaint because they contended her authorizations did not comply with the statute's requirements, but the trial court found the statute was preempted by the (federal) Health Insurance Portability and Accountability Act of 1996 (HIPAA). The Court of Appeals affirmed (relying on its decision in Northlake Medical Center v. Queen, 280 Ga. App. 510 (2006)).

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Georgia Supreme Court -- Discipline and Family Law Cases

The Georgia Supreme Court on Monday issued 20 opinions, including 4 family law cases and 2 attorney discipline decisions.

The topic of the day for divorce cases was attempts by parties to revisit the divorce issues later. In Scott v. Scott, a party successfully sought to set aside a final judgment incorporating an agreement based on a nonamendable defect on the face of the judgment, to wit, the failure to comply with requirements of OCGA § 19-5-12 and an impermissible waiver of the right to child support, but the Supreme Court held that the agreement did not contain any defects rendering the agreement void, and having consented to the agreement and requested it be incorporated into the order, the appellee could not later attack its terms. In Jacob v. Koslow, the Supreme Court held that a party could not move for contempt of a divorce decree in a different county from where the judgment was entered, unless it were in conjunction with a motion for modification. Notably, however, a court in a different county could entertain a motion for modification plus a petition for contempt, deny the modification motion and still find the respondent in contempt.

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Georgia Supreme Court today

The Georgia Supreme Court has posted 20 decisions today -- the count is 9 criminal cases; 1 parental rights case; 3 domestic cases; 1 habeas case; 4 other civil cases; and 2 attorney discipline cases. Our summaries are forthcoming, but the opinions are available here, with the court's brief summaries here.

Georgia Supreme Court - April 24 Opinions

In contrast to the Eleventh Circuit, which again issued no opinions today, the Georgia Supreme Court just released decisions in sixteen cases, summarized here.

First, in the world of "what not to do as a plaintiff," is McConnell v. Wright. The McConnells filed a personal injury (auto accident) suit in which State Farm ultimately was added as a defendant. Everything was fine until the McConnell's attorney withdrew, and meanwhile the McConnells were scheduled for their depositions -- and rescheduled, twice, while the McConnells sought new counsel. Apparently there was a miscommunication the third time when the McConnells updated State Farm on the status of their seeking counsel, but failed to show up for their deposition. The McConnells claim they assumed the deposition would be rescheduled when they updated State Farm. State Farm moved to dismiss as a sanction for failing to appear, and the trial court granted the motion -- without a hearing.

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O'Kelley Reversed; Gay Marriage Amendment Upheld

The Georgia Supreme Court reversed the trial court in O'Kelley in a short opinion released today, which is available at this link.

The Court provided no express holding regarding the scope of the amendment (i.e. whether the amendment prohibits same-sex unions from having any of the benefits of marriage, as it might appear from the text, or whether it simply means that any union that grants all of the same benefits as marriage is not recognized, as the state contended at oral argument), but that may be implicit in the court's holding that the purpose of the amendment is not to invalidate same-sex relationships but merely to "reserv[e] marriage and its attendant benefits to unions of man and woman."

Gay Marriage Amendment Arguments

Judge Larry Salmon, a Floyd County Superior Court judge, is sitting in for Justice Harold Melton, who worked as executive counsel for Governor Perdue when the amendment was drafted and passed. (Judge Salmon ruled in 2001 that a consent decree in a divorce that allowed custody to the wife so long as she was not cohabiting with someone to whom she was not married did not apply when the wife was living with her partner with whom she had celebrated a civil union. The ruling was premised simply on an interpretation of the terms of the existing consent decree, however, and was not a ruling about whether a same-sex couple should have custody.)

The Court interrupts the assistant AG (Stefan Ritter) as he begins his argument to ask whether there was overwhelming support for the ballot, and also whether the language on the ballot could have confused the voters. Ritter says that the trial court found it was not confusing. The Court queries whether the "right for any reason" rule should apply. Ritter says that the cases support the trial court's ruling.

The Court asks Ritter if the amendment is clear, what does it say?  And, would it not have been more clear to simply mimic the state statute that already limits marriage to heterosexual couples? Ritter said they did not want to leave any question how other states' "unions" would be treated. What about same-sex benefits from other states that are not exactly the same as marriage? Ritter says that the amendment does not cover this -- it only covers proxies for actual marriage with all of the same benefits as marriage. (Notably, this would narrow the potential reach of part (b) significantly, because few states actually provide all of the same benefits as marriage to same-sex couples.)

The Court turns to the single-subject rule's requirement that the treatment of "unions" be "germane" to the accomplishment of a single objective. Ritter says the objective or purpose of the amendment is to limit unions between couples to those between a man and a woman, and he goes through each sentence of the amendment to explain how the sentence is germane. The sentence that troubled the trial court was the first sentence of part (b) regarding unions. Ritter says that the language limits its reach to unions that provide the same benefits as marriage. Thus, there is no single subject problem.

When the Court asks whether, if the amendment isn't limited as Ritter suggests, then wouldn't there be single-subject problems? Ritter does not quite answer this, and seems to back off of his position on the amendment as being limited to proxies for marriage, saying that the limits of the amendment may have to be tested later.

The Court asks how many states have struck down the plethora of similar amendments based on a single-subject violation. Georgia is the only one.

Does the fact that it was a well-publicized and litigated amendment and overwhelmingly approved by the voters change the burden of proof? Ritter says that he doesn't think so. (I think this was intended to be a softball for Ritter to talk about how much public information and support there was for the amendment, so that the Court should worry less that the voters were uninformed. However, Ritter missed that opportunity.)

Johnny Stephenson of Alston & Bird LLP argues for the plaintiffs-appellees. He contends that the amendment should have been presented as two separate amendments, because it forced the voters to vote all-or-nothing: either no measure regarding same-sex marriage, or a measure that not only prohibits same-sex marriage but enacts a number of additional limitations that the voters may not have chosen if had a choice.

The Court asks about whether the ballot provision was "misleading" or whether he contends it was "coercive"? Stephenson acknowledges that the standard for the language on the ballot provision is low, although this Court could certainly overrule that line of cases, but he points out that the bigger picture and the context of the single-subject issue is that the voters were stuck with voting on a single amendment that may not have expressed what they really wanted.

The Court asks whether it is significant that they used the word "union" instead of "relationship" in the first sentence of part (b) -- i.e. that "union" really does only refer to marriages or proxies for marriage, so there is no single subject problem. Stephenson says that actually, the word "union" is significant but for a different reason -- because the preexisting statute (which is otherwise identically worded) uses the word "marriage" where the amendment uses the word "union," we should assume the legislature intended something different from "marriage."

Part (b) is not merely a "full-faith-and-credit" provision? Stephenson says it is not -- future legislatures would be prohibited from affording any of the benefits of marriage to same sex couples. If that's the case, that is a different subject. The Court points out that the state just conceded that the amendment is only limited to relationships that are "tantamount to a marriage." Stephenson says he is troubled by the AG's position because what does it mean to be tantamount to marriage? What about a civil union that grants all benefits of marriage but one? There are difficulties in enforcement. (The subtext of his argument is that courts might push the line of "tantamount to marriage" back to "sort of like marriage" rather than being so all-or-nothing as Ritter suggests.)

Stephenson emphasizes that they have data showing the public has widely varying views on the extent to which benefits should be available to same-sex couples, and yet the public was left with a Hobson's choice on voting on this amendment as a single amendment.

Stephenson adds as an alternative that severability is an option. The portions of the amendment that are not central to the single objective could be severed. The Court points out that the trial court didn't do that, and this Court has not previously done so. Stephenson says the trial court may have felt constrained precisely because this Court had not previously struck parts of a provision violating the single subject rule.

The Court asks whether, if the amendment was read narrowly (i.e. reaching only unions that grant all of the benefits of marriage), then there would be no problem. Stephenson says if you read into the amendment words that aren't there, then yes.

Ritter in rebuttal goes back to a case relied on by plaintiffs regarding the single subject rule. He contends there was no coercion here.

And so concludes the argument.

Perdue v. O'Kelley Oral Argument

Arguments at the Georgia Supreme Court this morning, June 27, in Perdue v. O'Kelley, the gay marriage amendment case, will be webcast live via RealPlayer. Watch the webcast, and read the briefs. (Disclaimer: BME represented plaintiff-appellee Senator David Adelman on appeal.)

For those unfamiliar with the case, the amendment has two parts: one declares "marriage" to be "only the union of man and woman" and prohibits same-sex marriage, while the second goes further and declares that no "union" between two persons of the same sex will be "entitled to the benefits of marriage" and no "any public act, record, or judicial proceeding" of any other state "respecting a relationship between persons of the same sex" will be recognized, nor divorces from those unions granted. The ballot provision read: "Proposing an amendment to the Constitution so as to provide that this state shall recognize as marriage only the union of man and woman; to provide for submission of this amendment for ratification or rejection; and for other purposes."

The trial court found, over the plaintiffs' objections that the ballot provision misleadingly left out a description of the second part of the amendment, that this language was within the legislature's discretion to draft ballot language. However, the trial court also found that the amendment violated the single subject rule by addressing both same-sex "marriage" and the treatment of all other "unions" in the same provision. The state appealed, and the Georgia Supreme Court granted the state's request for expedited arguments.

This is an especially dicey argument because this amendment passed by an overwhelming margin in 2004, and four of the seven Georgia Supreme Court Justices are up for election this year.
We'll have more on the arguments as they proceed...

How Appealing covers these arguments and related news here.

Georgia Supreme Court: Corporations Are “Persons” Under Georgia RICO

Williams General Corp. v. Stone, --- S.E.2d ----, 2006 WL 1584434 (Ga. Jun 12, 2006) (NO. S06G0006)

    In a unanimous opinion released on June 12, 2006, the Georgia Supreme Court held that corporations are considered “persons” under the Georgia RICO Act. Williams General Corp. v. Stone, --- S.E.2d ----, 2006 WL 1584434 (Ga. Jun 12, 2006) (NO. S06G0006). (Disclosure: BME represented plaintiff-appellant Williams General.)

    Last August, in Stone v. Williams General Corp., 275 Ga. App. 33 (2005), the Georgia Court of Appeals held that, because corporations are not a “person[s]” within the meaning of the Georgia RICO statute, they cannot be directly liable for conspiring to violate Georgia RICO because Georgia RICO’s conspiracy provision, O.C.G.A. § 16-14-4(c), prohibits only “persons” from conspiring to violate one of the two other RICO subsections. Id. at 34. In doing so, that Court of Appeals overturned a Gwinnett County jury’s verdict against Stone Cold Chemical for conspiring with one of its officers and directors, Thomas D. Stone, to violate Georgia’s RICO statute and steal Plaintiff Williams General Corp.’s trade secrets. In December, the Supreme Court granted certiorari to review whether “a corporation [is] a ‘person’ for purposes of the Georgia RICO Act, O.C.G.A. §§ 16-14-1 et seq.?” Williams General Corporation d/b/a Buck Head Products v. Thomas D. Stone et al., S06G0006 (letter to counsel attached to Writ of Certiorari).

    In reversing this decision, the Supreme Court made the following two important determinations: (1) corporations are “persons” for purposes of Georgia RICO; and (2) O.C.G.A. § 16-2-22(a), which determines the standards under which a “corporation may be prosecuted for an act or omission constituting a crime,” does not apply to private civil RICO damage actions.

    First, the Supreme Court concluded that corporations are “persons” under Georgia RICO because: (1)
the Georgia Criminal Code defines “persons” as including “public or private corporation[s],” O.C.G.A. § 16-1-3(12); (2) the Georgia Code’s general definitional provisions define “persons” as including “corporations,” O.C.G.A. § 1-3-3(14); and (3) Georgia RICO contains a liberal construction mandate dictating that the Act “be liberally construed to effectuate the remedial purposes embodied in its operative provisions,” O.C.G.A. § 16-14-2(b), and, therefore, “it would be error to give a more restrictive meaning to the [person] term, thus limiting the remedial purposes of the Act and violating the liberal construction imperative of the legislature.” Williams General, 2006 WL 1584434 at * 1.

      In reaching its conclusion, the Georgia Supreme Court recognized and overruled language in a footnote from a prior Supreme Court decisions,
Clark v. Security Life Ins. Co. of America, 509 S.E.2d 602, 605, n.11 (Ga. 1998). The Clark footnote suggested, without any analysis, that Georgia RICO “prohibits only ‘persons’ from engaging in racketeering activity” and does not “indicate[] a legislative purpose to impose liability on a corporation.Id.  Concluding that “[t]his language . . . adds confusion to a straightforward interpretation of the RICO statute,” the Supreme Court expressly “disapprove[d]” the footnote’s language.

    Second, the Supreme Court overruled another important portion of the
Clark decision. In Clark, the Court applied O.C.G.A. § 16-2-22(a), which provides the standards under which corporations may be criminally prosecuted in Georgia, to a civil RICO case because “RICO is directed to ‘organized criminal elements’.” 509 S.E.2d at 604-05. In Williams General, the Supreme Court found that this approach was flawed and threatened to cause unintended consequences. According to the Court, “to construe the statute” in this manner “would mandate that O.C.G.A. § 16-2-22 and other criminal statues that limit imposition of corporation criminal liability would now be applied to civil suits which stem from criminal law violations. We have not previously applied O.C.G.A. § 16-2--22 or any other criminal statutes to civil suits brought by individuals, and we decline to do so here.” Williams General, 2006 WL 1584434 at * 2 (footnote omitted).

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