Adams County Record v. Greater North Dakota Ass'n

1997 ND 116, 564 N.W.2d 304, 1997 N.D. LEXIS 121, 1997 WL 295917
CourtNorth Dakota Supreme Court
DecidedJune 5, 1997
DocketCivil 960365
StatusPublished
Cited by3 cases

This text of 1997 ND 116 (Adams County Record v. Greater North Dakota Ass'n) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Adams County Record v. Greater North Dakota Ass'n, 1997 ND 116, 564 N.W.2d 304, 1997 N.D. LEXIS 121, 1997 WL 295917 (N.D. 1997).

Opinion

VANDE WALLE, Chief Justice.

[¶ 1] The plaintiffs, Adams County Record, Ashley Tribune, Walsh County Record, Walsh County Press, and Jennifer Ring (collectively Adams County Record) appealed from a district court judgment denying their request for a writ of mandamus compelling defendant, Greater North Dakota Association (GNDA), to make its records available to them under the North Dakota open records law. We hold the district court finding that GNDA is not an organization supported by public funds and, therefore, is not subject to the open records law, is not clearly erroneous and we affirm the judgment.

[¶2] The judgment was entered after a hearing on remand by this court in Adams County Record v. GNDA, 529 N.W.2d 830, 839 (N.D.1995). The facts underlying this litigation are extensively discussed in that opinion and will be referred to here only as necessary to an understanding of the issues on appeal.

[¶ 3] Adams County Record asked the district court to issue a writ of mandamus ordering GNDA to provide Adams County Record access to GNDA’s records, arguing GNDA is an organization “supported in whole or in part by public funds” making it subject to the state open records law, under Section 44-04-18, N.D.C.C., and Art. XI, § 6, N.D. Const. The trial court granted summary judgment denying the relief, and Adams County Record appealed.

*305 This court reversed the summary judgment in Adams County Record, 529 N.W.2d at 835-888, explaining the trial court needed to address material factual issues:

“[W]e conclude the term support, as used in the open records law, means something other than an exchange of money for identifiable and specific goods and services. When there is a bargained-for exchange of value, a quid pro quo, the entity is not supported by public funds. As such, those agencies or organizations carrying out business with the state or employed by the state are not subjected to the open records law.
⅜ ⅜ ⅜ ⅜ ‡ ⅜

“The Adams County Record’s first basis for claiming GNDA is subject to the open records law is by receipt of public funds as membership dues. Approximately thirty memberships were purchased by ten different state agencies or divisions....

“Where membership dues result in ‘a quid pro quo, in sufficiently identifiable quantities’ there is not ‘support for the purposes of the open records law.’ ... The trial court blocked the Adams County Record’s attempt to discover specific information about GNDA’s organization and structure. The trial court abused its discretion in denying discovery of this potentially relevant information. We conclude the evidence and the inferences favorable to the Adams County Record were sufficient to defeat summary judgment based on membership ‘support.’
“GNDA also receives public funds in the form of a grant originally established to aid in publishing Horizons magazine. An appropriation of $60,000 was provided in 1993 to the Tourism Department for this grant. H.B. 1014, S.L.1993, ch. 14, § 1. The Tourism Department, in turn, has entered into a written agreement with GNDA to provide $7,500 per issue, or a total of $60,000 for the 1993-95 biennium, to help publish Horizons magazine_
[[Image here]]
“In connection with the $60,000 grant, the evidence in the record and its reasonable inferences raise a genuine issue of a material fact as to whether GNDA is supported by public funds and is subject to the open records law....”

[¶ 4] Upon this court’s remand of the case, the district court held an evidentiary hearing and then made the following relevant findings of fact:

“The law of this case is clearly outlined in Justice Sandstrom’s original opinion. From the testimony received, I am satisfied that the issue of whether the member dues paid by the governmental agencies convert the GNDA into a govemmentally subsidized corporation have been laid to rest- In addition to receiving the Horizons magazine and the GNDA news, discounts on publications, conferences, seminars, legislative updates, membership surveys and other action undertaken by the GNDA are only part of the ultimate benefits received.... If we are to apply the ‘quid pro quo’ test, it seems abundantly clear that the membership dues, which are even less than those which are paid by private corporations, are more than amply covered by the services received- In addition, the financial records of GNDA show that the memberships paid by governmental agencies of all types amount to less than three percent of the total membership receipts of the GNDA. Clearly, it has been adequately shown that membership payments are merely received in exchange for goods and services.
“The issue argued more strongly by the plaintiffs in this case is whether the $30,-000 paid annually to the GNDA for the publication of the Horizons magazine brings them within the definition of Section 44 — 04—18(1) of the NDCC_ Upon examination of the agreement, it seems clear that this does not constitute a contract. There is simply no mutuality of obligation. If the GNDA chose not to publish Horizons, they would not receive any money, but the state could not force them to publish....
[[Image here]]
“Eventually, it appears that the question is whether the state receives a substantial benefit from the publication of Horizons. *306 ... I am satisfied that the state receives substantial benefits from the continued publication of Horizons.
“Based on the foregoing, I am satisfied that the State of North Dakota receives quid pro quo for their contributions in the form of membership dues and Horizons payment and, accordingly, the application for the Writ is in all things denied.”

[¶ 5] On this appeal, Adams County Record claims the district court did not properly apply this court’s holding in the prior appeal to determine whether GNDA receives support for purposes of the open records law:

“The District Court correctly determined that the ‘Agreements’ between the State and GNDA did ‘not constitute a contract’ because ‘[t]here is simply no mutuality of obligation’ contained in these ‘Agreements.’ ... The District Court’s analysis should have ended there....
“The District Court did not stop, however, but went forward and framed the issue before it as ^whether the state receives a substantial benefit from Horizons.’ ... In so framing the issue, the District Court misapplied the holding of the North Dakota Supreme Court in Adams County Record I.”

[¶ 6] Adams County Record’s argument reflects a fundamental misunderstanding of the nature of unilateral contracts. Adams County Record asserts inasmuch as the court found “no mutuality of obligation” because GNDA was not required to publish the Horizons

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Teigen v. State
2008 ND 88 (North Dakota Supreme Court, 2008)
Interest of I.B.A. and C.B.A.
2008 ND 89 (North Dakota Supreme Court, 2008)

Cite This Page — Counsel Stack

Bluebook (online)
1997 ND 116, 564 N.W.2d 304, 1997 N.D. LEXIS 121, 1997 WL 295917, Counsel Stack Legal Research, https://law.counselstack.com/opinion/adams-county-record-v-greater-north-dakota-assn-nd-1997.