Baker v. District of Columbia

494 A.2d 1299, 1985 D.C. App. LEXIS 420
CourtDistrict of Columbia Court of Appeals
DecidedJune 28, 1985
Docket84-444
StatusPublished
Cited by9 cases

This text of 494 A.2d 1299 (Baker v. District of Columbia) is published on Counsel Stack Legal Research, covering District of Columbia Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baker v. District of Columbia, 494 A.2d 1299, 1985 D.C. App. LEXIS 420 (D.C. 1985).

Opinion

MACK, Associate Judge:

This is an action by the District of Columbia under the D.C. Consumer Protection Procedures Act (CPPA), D.C.Code, §§ 28-3901 — 28-3908 (1981), to enforce an agreement entered into by the District’s Office of Consumer Protection in settlement of a consumer complaint against appellant Mallory E. Baker. The agreement provided that in settlement of the action, Baker would pay the consumer, Mary P. Buckley, a total of $2000 in four equal installments of $500. When Baker defaulted on the agreement, the District filed a complaint in the Superior Court, requesting the court to order, as a remedy for that default, the rescission of the underlying contract between Baker and Buckley. 1 Following the filing of an answer to the complaint, the trial court granted the District’s motion for judgment on the pleadings, finding that the underlying contract was void, and ordering rescission and restitution to Buckley of the full amount paid under the contract, plus interest and costs. We find that given the posture of the case as it was brought by the agency, the trial court had no jurisdiction to adjudicate the merits of the underlying claim, but was limited to enforcement of the settlement agreement between the parties. We therefore reverse and remand for additional proceedings.

The undisputed facts of this case are as follows. On July 20, 1978, Baker entered into a contract with Buckley in which he agreed to enclose and extend a side porch on Buckley’s house for $10,235, estimating that the work would require 75 days to complete. Baker accepted two installments of $3411.67 towards the total price in advance of completion of the work. In May of 1980, Buckley complained to the Office of Consumer Protection, now the Office of Consumer and Regulatory Affairs [hereinafter “the agency”], that the work had not been completed in a satisfactory manner, although the nature of the problem has not been identified and Buckley’s complaint has not been included in the record.

Once a complaint is filed, the agency is directed to “investigate” and to “determine: (1) what trade practice actually occurred, and (2) whether the trade practice which occurred violates any statute, regulation, rule of common law, or other law, of the District of Columbia.” D.C.Code § 28-3905(b). In the course of this investigation, the agency must “consult the respondent [Baker] and such other available sources of information.” Id. The legislative history for the CPPA provides that under § 28-3905(b), the merchant must be “given a chance, to explain the occurrence. A thorough investigation must be made .... ” D.C.Council Rep. on Bill 1-253 (Mar. 24, 1976) [hereinafter “Legislative History”], at 19. There is nothing in the record to indicate that the agency investigated the allegations of Buckley’s complaint under this section. There is no evidence that it made an independent investigation of whether Baker had not completed the work described in the parties’ contract or had completed it in an unworkmanlike manner. *1285 Instead, the agency found reasonable grounds to believe that Baker had not obtained a home improvement contractor’s license, and that without such a license, his receipt of installment payments from Buckley prior to completion of the work violated 5Y DCRR § 2.1 (1970) (now codified at 16 DCMR § 800.1 (1983)). That regulation provides:

No person shall require or accept any payment for a home improvement contract in advance of the full completion of all work required to be performed under the contract, unless that person is licensed as a home improvement contractor. . . . [2]

Violators of this regulation are subject to prosecution by the Corporation Counsel’s office and may be punished by a fine of up to $300 or a jail term of up to 90 days, or both. D.C.Code § 2-504 (1981) (formerly codified at D.C.Code § 2-2304 (1973)); D.C. Code § 2-505 (1981) (formerly codified at D.C.Code § 2-2305 (1973)); see 16 DCMR § 800.6 (1983) (formerly codified at 5Y DCRR § 4.14 (1970)). Although violations of the home improvement licensing regulations are not listed among those trade practices that are defined as unlawful under the CPPA, see D.C.Code § 28-3904, the agency interprets its statutory mandate to encompass “trade practice[s] in violation of any law of the District of Columbia,” D.C. Code § 28-3903(a)(13) (emphasis added), 3 including the 5Y DCRR § 2.1 requirement that nonlicensed home improvement contractors refrain from accepting any payment until all work contracted for has been completed. 4

In lieu of further administrative proceedings on Buckley’s complaint — referral to an administrative law judge for a hearing, D.C.Code § 28-3905(e)(3), (f) & (g) — the agency entered into a settlement agreement with Baker under the authority of D.C.Code §§ 28-3905(e)(l), -3905(h)(1). The parties to the agreement were the agency, Baker and Buckley. In this agreement, Baker made no admission that-he had violated any law or regulation (Agreement § I ¶ 5), but he agreed to pay Buckley $2000 in full settlement of the dispute (id. § II ¶ 1). The parties further provided, however, that “[n]o party ... waives any right to enforce its rights either before the Section of Hearings, or before any appropriate Court should the terms of this [agreement] not be carried out.” (Section I 116).

The agency has no independent power to enforce settlement agreements through civil contempt proceedings or the like, and therefore the agreement also provided that the parties “consented] to the jurisdiction of the Superior Court of the District of Columbia in a suit to enforce” the agreement. (Section I II4). The CPPA specifically provides for such enforcement suits in D.C.Code § 28-3905(i)(3)(B). In the event of a breach of the agreement, the District by statute may not only recover the amount agreed to in the settlement agreement, but in addition may request that the court assess a $1000 fine for the violation. D.C.Code § 28-3905(i)(3)(A)(ii). Attorney’s fees may also be recovered. Section 28-3905(i)(3)(B).

Baker breached the settlement agreement.

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

Related

A.H. Smith Associates Ltd. Partnership v. Maryland Department of Environment
695 A.2d 1252 (Court of Special Appeals of Maryland, 1997)
Dc Pres. Leag. v. Dept. of Consmr. Affrs.
646 A.2d 984 (District of Columbia Court of Appeals, 1994)
Ramos v. District of Columbia Department of Consumer & Regulatory Affairs
601 A.2d 1069 (District of Columbia Court of Appeals, 1992)
Bernstein v. Fernandez
649 A.2d 1064 (District of Columbia Court of Appeals, 1991)
District of Columbia v. Jerry M.
571 A.2d 178 (District of Columbia Court of Appeals, 1990)
Moore v. Jones
542 A.2d 1253 (District of Columbia Court of Appeals, 1988)

Cite This Page — Counsel Stack

Bluebook (online)
494 A.2d 1299, 1985 D.C. App. LEXIS 420, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baker-v-district-of-columbia-dc-1985.