Justia Oklahoma Supreme Court Opinion Summaries

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The City of Oklahoma City charged Christopher Tucker with municipal misdemeanor offenses of interfering with official process, obstructing an officer, and failing to obey lawful commands of an officer. Tucker signed an agreement for the Cochran Firm-Criminal Defense, Birmingham, L.L.C. to provide him with legal representation for his scheduled trial in October of 2010. Tucker was found guilty of a municipal charge. Tucker alleged that the firm's Case Manager informed him that the law firm would engage in a four to five-day trial to defend him, the law firm would provide an experienced trial lawyer with twenty to thirty years of experience to represent him at trial, and that the law firm "had attorneys who were licensed to practice in Oklahoma and who would in fact defend the Plaintiff in trial . . . ." He alleged that these statements were untrue and were made to fraudulently induce him to enter into an agreement for legal services and to pay "outrageous fees." From Tucker's complaint, he alleged: (1) the firm required a non-refundable retainer of $13,690.00 for legal representation for the trial; (2) after he signed the agreement, the Cochran Firm informed him that a specific attorney would represent him but that another showed up at trial; (3) the morning of his trial was the first time he met the attorney who actually represented him at his trial; and (4) the firm failed to properly represent him. After filing an amended motion to dismiss, the trial court determined that the forum-selection clause in the retainer agreement should be judicially enforced. The trial court also determined that enforcement of a forum-selection clause would not be unfair or unreasonable under the circumstances. The trial court dismissed the action for improper venue. Tucker appealed, and the Court of Civil Appeals concluded that the forum-selection clause should not have been enforced, reversed the trial court's order dismissing his claims, and remanded the matter for further proceedings in the District Court. The law firm petitioned for certiorari. After review, the Supreme Court concluded: (1) when a parties' agreement has an interstate forum-selection clause and a party seeks its judicial enforcement in an Oklahoma District Court by seeking dismissal of the Oklahoma proceeding, then the procedure for its enforcement is by a motion pursuant to 12 O.S. section 2012(B)(6), or Rule 13 motion for summary judgment; and (2) an interstate forum-selection clause is separable from the contract in which it appears, and its validity like any other provision in a contract is subject to the requirements of a valid contract. The appellate court's decision was vacated and the case remanded for further proceedings. View "Tucker v. Cochran Firm-Criminal Defense Birmingham, LLC" on Justia Law

Posted in: Contracts
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This appeal stemmed from an action for auto negligence arising out of injuries sustained by Plaintiffs Rachael Montgomery and her three year old son, Noah Orcutt. Montgomery was rear-ended by Defendant Morgan Potter, who claims that her car brakes failed. As a result of Defendant's negligence, Montgomery claimed she sustained a severe back injury that required surgery. Among other damages sought Montgomery sought damages for her pain and suffering. Montgomery was an uninsured driver at the time of the accident. Citing 47 O.S. Supp. 2011, section 7-116, which prevents uninsured motorists from recovering certain non-economic damages such as pain and suffering, Defendant denied that Montgomery was entitled to damages for pain and suffering. Plaintiffs argued on appeal that section 7-116 was a special law in violation of art. 5, section 46 of the Oklahoma Constitution and filed a motion for declaratory relief declaring the statute unconstitutional. The trial court ruled in Plaintiffs' favor. The Supreme Court agreed: because 47 O.S.2011, section 7-116 impacted less than an entire class of similarly situated claimants it was under-inclusive and, therefore, the Court found it to be an unconstitutional special law prohibited by the Oklahoma Constitution. View "Montgomery v. Potter" on Justia Law

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The single issue this case presented for the Supreme Court's review centered on attorney's fees: was the trial court's grant of over $7 million in a multi-jurisdictional, class action law suit an abuse of discretion when the entire class was awarded only $45,780. The trial court originally determined the appropriate attorney fees to be $3,610,719.15 based on Oklahoma ex rel. Burk v. City of Oklahoma City, 598 P.2d 659 and the directives of 12 O.S. Supp. 2009 section 2023.2 Rajine Hess filed a motion to reconsider based on the fees awarded in Berry v. Volkswagen Group of America, 397 S.W.3d 425 (Mo. 2013), a Missouri Supreme Court case involving a class action against Volkswagen related to defective window regulator claims. The trial court considered the Missouri case; and, adopting the identical analysis utilized in reaching a determination that the appropriate fee award was approximately $3.6 million, the trial court amended its order to reflect a multiplier of 1.9 for an adjusted award of $7,221.438.30. In calculating the lodestar, the trial court included hours in failed, out-of-state litigation concerning similar issues to those presented here. Based on these facts, the Oklahoma Supreme Court held that the $7 million attorneys' fee award constituted an abuse of discretion. View "Hess v. Voklswagen of America, Inc." on Justia Law

Posted in: Class Action
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A church filed a claim with its insurer for damage to its sanctuary after a severe winter storm. The insurer hired an independent insurance adjuster to adjust the claim. The church eventually filed suit against both its insurer and the independent adjuster alleging breach of contract, bad faith, and gross negligence. The church settled with its insurer, and the trial court granted summary judgment for the independent adjuster. The issues this case presented for the Supreme Court's review on appeal were: (1) whether a special relationship existed between an insured entity and an independent adjuster hired by the insurer, sufficient to subject the independent adjuster to the implied covenant of good faith and fair dealing arising under the insurance contract; and (2) whether an independent insurance adjuster owed a legal duty to the insured such that it may be liable to the insured for negligence in its adjustment of the claim. The Oklahoma Supreme Court determined the answer to both questions was no, and affirmed the trial court's judgment. View "Trinity Baptist Church v. Brotherhood Mutual Insurance Services, LLC" on Justia Law

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Petitioner Jerry Fent, challenged Senate Bill No. 1246, alleging that because it was a revenue bill and subject to the requirements of the Oklahoma Constitution art. 5, sec. 33, was unconstitutional because the Legislature did not follow the Constitution when it was enacted. The parties conceded that the bill did not meet the requirements of art. 5. After review, the Supreme Court concluded that because the ballot title indicated that the measure was aimed at only bills "intended to raise revenue" and "revenue raising bills," the obvious meaning of raising revenue in this context was to increase revenue. Senate Bill 1246 was not unconstitutional, and the Court denied petitioner's request for declaratory relief. View "Fent v. Fallin" on Justia Law

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The trial judge denied the appellants' motion to compel arbitration on the ground that there was no binding arbitration agreement. The trial judge ruled that Tamera Nelson did not have authority to sign an arbitration agreement on behalf of her grandmother, Arda Lee Churchill (who was a resident of the Grace Living Center-Chikasha until her death), so no valid arbitration agreement existed. The Supreme Court agreed with the trial court that no valid arbitration agreement existed because Tamera Nelson was not authorized to make health care decisions for her grandmother under the circumstances. The Health Care Power of Attorney required that Arda Lee Churchill's physician certify that she was not capable of making her own health care decisions and no such certification was made. View "Johnson v. Convalescent Center of Grady, LLC" on Justia Law

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The main issue on appeal in this case was whether the purchase of electricity and natural gas utility services qualifies for a sales tax exemption. Appellant-taxpayer American Airlines, Inc., ("AA") was denied a refund for the sales tax it paid on its purchases of electricity and natural gas utility services during the 2006 calendar year. The Account Maintenance and Compliance Division of the Oklahoma Tax Commission denied the request. Appellant timely protested the denial. The Oklahoma Tax Commission, by order, adopted the Findings, Conclusions and Recommendations of the administrative law judge finding taxpayer failed to prove the denial was incorrect. Upon review, the Supreme Court held the Services Exemption (68 O.S. Supp. 2006, section 1357 (28)) provided an exemption for electricity and natural gas utility services used by AA during 2006 in aircraft repair and maintenance activities. The remaining issue concerned the appropriate methodology for determining the amount of the sales tax refund AA should have received on its 2006 purchases of utility services. The adopted Findings, Conclusions and Recommendations did not make a specific finding concerning an appropriate methodology. The Court remanded the case back to the Oklahoma Tax Commission for further proceedings. View "American Airlines, Inc. v. Oklahoma Tax Commission" on Justia Law

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Partners in a civil union signed co-parenting agreements designating Plaintiff as the parent of Defendant's two biological children. Upon their separation and dissolution of the civil union, Plaintiff continued to act as a parent for the children. Defendant removed the children from Plaintiff's care, changed their last names, and planned to remove the children from Oklahoma. Plaintiff petitioned the District Court for, inter alia, a determination of her parental rights. The district court granted Defendant's motion to dismiss. Plaintiff appealed. This was an issue of first impression in Oklahoma. Addressing the threshold issue of standing with regard to plaintiff's case, the Supreme Court concluded that plaintiff had standing to seek a best-interests-of-the-child hearing when the biological parent relinquished some of her parental rights through a co-parenting agreement. As such, the Court concluded the trial court erred in granting defendant's motion to dismiss the case, and remanded the case to address other issues plaintiff raised on appeal. View "Eldredge v. Taylor" on Justia Law

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Appellants Homesales, Inc., JPMorgan Chase Bank, N.A., and Jason L. Howell, appealed the district court's order certifying this case as a class action at the request of Appellee Marshall County. This case centered on the Documentary Stamp Tax Act, and its applicability to a sheriff's deed granted to Homesales in a mortgage foreclosure action prosecuted by JPMorgan. Homesales claimed that the transaction was exempt from documentary tax. The County disagreed and sued to collect the tax it claimed was due. The County also moved to certify the case as a class action in which all Oklahoma counties would join as plaintiffs. The district court granted the County's motion and certified the case pursuant to Title 12 O.S. Supp. 2013 sec. 2023 (B)(3) and the defendants appealed. Because the County was precluded by the Oklahoma Supreme Court's holding in "Murray Cnty. v. Homesales, Inc.," (330 P.3d 519) from suing to collect unpaid taxes allegedly due pursuant to the DSTA, the district court's class certification order was reversed and this case was remanded for further proceedings. View "Marshall County v. Homesales, Inc." on Justia Law

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Plaintiff Shaloa Edwards brought an action for declaratory and injunctive relief against the City of Sallisaw, the city manager, and the mayor. Plaintiff was the elected police chief of Sallisaw, Oklahoma, and just prior to Plaintiff bringing suit, the board of commissioners passed an ordinance removing Plaintiff's supervisory and management authority over the police department. The district court found that the ordinance improperly removed the police chief's authority to supervise and manage the police department and deprived the police chief of his due process protections by circumventing statutory and local removal procedures and effectively removing him from office. A home-rule city has a sovereign right to govern itself in purely municipal matters. Here, the Sallisaw Board of Commissioners had the ability to set out the duties and authority of a police chief's day-to-day responsibilities. The Supreme Court held that it would not question how a city charter allocated the authority to set the police chief's duties and responsibilities if not contrary to statute, precedent, or Constitution. The Sallisaw city charter granted that authority to the board of commissioners. The district court's order and permanent injunction was therefore vacated. View "EDWARDS v. CITY OF SALLISAW" on Justia Law