Arnold v. City of Chattanooga

19 S.W.3d 779, 1999 Tenn. App. LEXIS 765
CourtCourt of Appeals of Tennessee
DecidedNovember 22, 1999
StatusPublished
Cited by66 cases

This text of 19 S.W.3d 779 (Arnold v. City of Chattanooga) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arnold v. City of Chattanooga, 19 S.W.3d 779, 1999 Tenn. App. LEXIS 765 (Tenn. Ct. App. 1999).

Opinion

OPINION

FRANKS, J.

In this action to inspect documents in the possession of the defendants, the Trial Judge ordered defendants to ‘permit the inspection and reproduction of the full volume report prepared by Decosimo’s Management Consultants, and the written report of the Public Finance Administration. Defendants obtained a stay of the Trial Court’s judgment, and appealed the matter to this Court.

Jon Kimsey is the Mayor (‘Mayor’) of the City of Chattanooga (‘City’). During the summer of 1998, the Mayor met with several officials of the Tennessee American Water Company (‘Tennessee-American’), after which the Mayor decided that it would be in the City’s best interest for the privately owned water company to be municipally owned.

Chattanooga City Attorney, Randall Nelson, retained special counsel Frederick Hitchcock to advise the City concerning matters related to the City’s acquisition of the assets of the Tennessee American. Hitchcock retained the firm of Decosimo Management Consulting, L.L.P. (‘Decosi-mo’), to undertake certain analyses and provide answers to certain questions concerning matters relevant to the acquisition of Tennessee-American through negotiations, or an eminent domain action. The Mayor and his advisors wanted to determine the feasibility of acquiring the water company and to help ‘determine whether or not they wanted to go forward.’

Decosimo prepared a preliminary draft of its report (the ‘Decosimo Report’) in September 1998, addressed to Hitchcock. The report consisted of one volume of analysis and responses to questions of Hitchcock and the City Attorney, and three additional volumes containing the financial data upon which the Decosimo firm relied. Public Financial Management, Inc. (‘PFM’) had an existing contract with the City to provide financial assistance. PFM provided the City with a report (‘the PFM Report’), which addressed questions presented by the City Attorney regarding the acquisition of Tennessee-American.

On November 24, 1998, the Mayor announced to the Public Works Committee of the Chattanooga City Council his position that the City of Chattanooga should acquire the assets of the Tennessee-American Water Company. Joseph Decosimo ‘the only senior partner’ of Decosimo, joined the Mayor in the presentation. The Mayor presented a handout entitled ‘Gaining Ownership and Control of Our Water Resources.’ The handout stated that De-cosimo and PFM had completed studies supporting the feasibility of acquiring the assets of Tennessee-American indicating that ‘the City can finance this purchase by *782 the utility’s cash flow.’ The handout also stated that ‘any estimates of Fair Market Value must be kept confidential until an agreement is reached.’ Charts and graphs were included in these handouts. The source of the charts and graphs included in these handouts was indicated to be ‘Deco-simo Management Consulting.’

On January 13, 1999, plaintiff Dean Arnold d/b/a/ The Chattanooga Fax filed a Petition against the City of Chattanooga and its Mayor asking for inspection and copying under the Public Records Act of the report produced by Decosimo Management Consulting. On January 25, 1999, the Tennessee-American Water Company filed its petition for access to the Decosimo report and the report of Public Financial Management. The Trial Court then consolidated the two cases on January 29, 1999.

On January 22, 1999, the City filed a Rule 24.04, Tenn.R.Civ.P., notice and served the Attorney General and Reporter of the State of Tennessee, contending that the Public Records Act was unconstitutional as violating Article II, Sections 1 and 2 of the Tennessee Constitution if the Act was construed to require production of the City Attorney’s work product. The Attorney General filed a response which essentially stated that the Tennessee Rules of Civil Procedure constituted an exception to the Public records Act, and therefore the constitutional issue need not be reached. In this regard, we found it unnecessary to reach the constitutional issue.

On April 6, 1999, a hearing was held in which all parties presented evidence through depositions and argument. Following this hearing, the Court pursuant to T.C.A. § 10-7-505(b) requested and re- ■ ceived the Decosimo Report and the PFM Report under seal and reviewed the documents.

On April 28, 1999, the Trial Court entered a Memorandum Opinion and Order, which held that the reports were not protected and ordered their release. Further, the Court stated that the City and Mayor had knowingly and willfully violated the Public records Act, and allowed Plaintiff Arnold to recover a portion of his attorney’s fees.

In order to determine whether the Chancery Court was correct in determining the two reports were subject to disclosure under the Public Records Act, it is necessary to first determine whether the reports were work products protected against discovery under. Rule 26-02(3) or (4) of the Tennessee Rules of Civil Procedure or the common law work product doctrine. If the reports are not protected by the work product doctrine, or if that protection was waived, then the reports are subject to disclosure under the Public Records Act, as they fall under no other protections.

This Court’s review of the Chancery Court’s findings of fact is de novo which findings are ‘accompanied by a presumption of correctness of findings, unless the preponderance of the evidence is otherwise’. T.R.A.P. Rule 13(d). Questions of law are reviewed de novo with no presumption of correctness. Ganzevoort v. Russell, 949 S.W.2d 293, 296 (Tenn.1997).

In Hickman v. Taylor, 329 U.S. 495, 67 S.Ct. 385, 91 L.Ed. 451 (1947), 1 the United State Supreme Court held that memoran- *783 da, written and oral statements, and mental impressions of an attorney gained in the process of preparing for a lawsuit, were shielded by the public policy against permitting unwarranted inquiries into the files and mental impressions of an attorney.

In general, the work product doctrine protects certain documents and papers of an attorney prepared by the attorney, or some other person in his behalf, in anticipation of litigation or in preparation for trial. See Vythoulkas v. Vanderbilt University Hospital, 693 S.W.2d 350 (Tenn. Ct. App.1985); 27 C.J.S. Discovery § 83(a) (1999). This work product doctrine extends to reports or investigations made by, or on behalf of a party, where such documents have been prepared in anticipation of litigation or in preparation for trial. See Dawning v. Bowater, 846 S.W.2d 265 (Tenn. Ct. App.1992); 27 C.J.S. Discovery § 83(a) (1999).

Rule 26.02 of the Tennessee rules of Civil Procedure codifies the work product doctrine, and provides in pertinent part:

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Bluebook (online)
19 S.W.3d 779, 1999 Tenn. App. LEXIS 765, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arnold-v-city-of-chattanooga-tennctapp-1999.