Ace Foster Care v. Family & Social Services

865 N.E.2d 677, 2007 Ind. App. LEXIS 877, 2007 WL 1247304
CourtIndiana Court of Appeals
DecidedMay 1, 2007
Docket45A03-0605-CV-202
StatusPublished
Cited by5 cases

This text of 865 N.E.2d 677 (Ace Foster Care v. Family & Social Services) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ace Foster Care v. Family & Social Services, 865 N.E.2d 677, 2007 Ind. App. LEXIS 877, 2007 WL 1247304 (Ind. Ct. App. 2007).

Opinion

OPINION

DARDEN, Judge.

STATEMENT OF THE CASE

Ace Foster Care and Pediatric Home Nursing Agency Corporation (“Ace” 1 ) ap *679 peals the trial court’s order that denied its motion for summary judgment in its lawsuit against Indiana Family and Social Services Administration, (“FSSA”), Division of Family and Children, Lake County Office; and granted judgment to FSSA; and dismissed Ace’s claims.

We affirm.

ISSUE

Whether the trial court erred when it granted judgment to FSSA and dismissed Ace’s claims.

FACTS

Ace was licensed by the State of Indiana as a licensed foster care placement agency. In November of 2003, it submitted to FSSA’s Lake County Office of Family and Children (“LCOFC”) a proposal “requesting that a contract be awarded” to Ace for it to provide placement services. (App. 222). On April 28, 2004, Ace filed a complaint against FSSA, asserting claims of breach of contract, promissory estoppel, and violation of constitutional due process. These claims were based on statements allegedly made to representatives of Ace by employees of FSSA. Ace also sought a preliminary injunction. On June 18, 2004, FSSA filed a motion to dismiss under Indiana Trial Rule 12(B)(6) and accompanying brief. On July 20, 2004, the trial court granted Ace injunctive relief. FSSA appealed that order, and our review led us to make the following findings of fact:

LCOFC contracts with various licensed child placing agencies (“LCPAs”) to place children in foster care homes in Lake County. In 1999, Elliott Cunningham began working for the Lake County office of Mentor Network (“Mentor”), a national organization. Mentor, an LCPA, had a contract with LCOFC for foster care placement. In 2003, Cunningham left Mentor and founded Ace.
On June 11, 2003, Ace filed an application with FSSA for a license to operate a child placing agency. Thereafter, Ace began negotiating a lease for office space and paid deposits for office furniture and utilities. On November 1, 2003, Cunningham wrote a letter to Ace’s prospective landlord apologizing for the delay in finalizing the lease and informing him that the license application was still pending; that Ace had been required to set aside $20,000 to guarantee funding for a three-month budget; that an FSSA licensing consultant had agreed to expedite the application process and was going to inspect the office space on November 6, 2003; and that after the inspection Ace would submit “a contract proposal” to the LCOFC. Plaintiffs Exh. 3. With the letter, Cunningham enclosed a revised lease “including a new start date of December 1, 2003” and a $900 deposit. Id.
On November 6, 2003, the FSSA licensing consultant notified Ace that its license application had been approved. On November 9, 2003, Cunningham wrote a letter to LCOFC Director Bruce Hillman informing him that Ace would be sending LCOFC “a child placement contract proposal” by November 17, 2003, and requesting that the proposal be approved “as soon as reasonably possible.” Plaintiffs Exh. 4. Cunningham also informed Hillman that Ace could not “sign or commit to a lease for [its] office space until [LCOFC approved its] contract proposal” and that Ace had “several foster parents with foster children who are rather impatient and anxious to transfer their foster care license [from other LCPAs to Ace and] other foster parents, who call for a weekly progress report who are becoming very frustrated in not being able to transfer their license yet.” Id. On November *680 17, 2003, Cunningham sent Hillman a “child placement contract proposal” for his “review and approval.” Plaintiffs Exh. 1 (cover letter from Cunningham to Hillman).
On November 19, 2003, LCOFC attorney Eugene Velazco called Ace employee (and former Mentor employee) Frank Godinez regarding Ace’s contract proposal. According to Godinez, Velazco told him, “It looks good. Things look okay. I don’t see any problem with it right now.” Tr. at 47-48. Godinez informed Cunningham of this conversation. Cunningham then called Velazco. According to Cunningham, Velazco stated that “he is the one that approves contracts” and that Ace “can start up January the 2nd, [2004,] as long as I have [Ace’s] license in my hands[.]” Id. at 16. Cunningham told Velazco that Ace’s license application had been approved and that he would give Velazco the license as soon as possible. According to Cunningham, Velazco stated, “You’re good to go, ... but remember, you have to have three months’ expenditures [to] pay your foster care parents, your staff, your rent, your phone bills, you must have three months of cash available, because we will not pay you for three whole months.” Id. at 17.
On December 5, 2003, Cunningham and Godinez delivered the license to Ve-lazco. According to Cunningham, Ve-lazco stated, “Okay, I have everything I need. You’ll be good to go [on January 2, 2004].” Id. at 19. Cunningham told Velazco that he “would be entering into some contractual situations” and requested “something in writing.” Id. at 20. Velazco explained that all LCPA contracts with LCOFC terminated on December 31, whereupon “everybody is under oral contract until Mr. Hillman signs approximately two to three months later.” Id. Velazco told Cunningham, “Once your children are transferred, you notify us and go through the process, and basically we have to pay you.” Id. When Cunningham asked if he needed ■ to know or do anything else, Velazco responded, “No, I’ll inform everyone that you’re good to go, and you can arrange your contractual agreements the way you see fit.” Id. On December 15, 2003, Ace signed a five-year lease for its office space.
On or about December 19, 2003, Cunningham and Godinez met with two LCOFC employees to discuss foster families that had requested a transfer to Ace from Mentor. Cunningham provided the LCOFC with the requisite paperwork to transfer the families effective January 2, 2004. When Ace had not received transfer documents from Mentor as of January 5, 2004, Cunningham called Hillman. At a meeting on January 7, 2004, Hillman informed Cunningham that the LCOFC “could not go through with the contract.” Id. at 26. According to Cunningham, Hillman stated that LCOFC could not go through with the contract because of a grand jury investigation and because “the county was broke.” Id. At a subsequent meeting, Hillman told Cunningham “that there were too many agencies, and he was planning on cutting back on the amount of child care agencies.” Id. at 28.

Indiana Family & Social Services Admin., Div. of Family and Children, Lake County Office v. Ace Foster Care and Pediatric Home Nursing Agency Corp., 823 N.E.2d 1199, 1200-02 (Ind.App.2005) (footnotes omitted). After a hearing at which the above evidence was heard, on July 20, 2004, the trial court ordered FSSA to enter into a one-year contract with Ace.

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865 N.E.2d 677, 2007 Ind. App. LEXIS 877, 2007 WL 1247304, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ace-foster-care-v-family-social-services-indctapp-2007.