Board of Education v. Diamond

808 F.2d 987
CourtCourt of Appeals for the Third Circuit
DecidedDecember 19, 1986
DocketNos. 85-5717, 85-5745 and 85-5746
StatusPublished
Cited by20 cases

This text of 808 F.2d 987 (Board of Education v. Diamond) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Board of Education v. Diamond, 808 F.2d 987 (3d Cir. 1986).

Opinion

[989]*989OPINION OF THE COURT

GIBBONS, Circuit Judge:

The Board of Education of East Windsor Regional School District appeals, and the parents of a minor child — Andrew Diamond — cross appeal, from a final judgment declaring that the School District must pay Andrew Diamond’s educational expenses in a residential placement on a full calendar year basis, ordering reimbursement of expenses incurred by his parents to date, and dismissing his parents’ counterclaim for damages for injury to their son, for prejudgment interest, and for attorneys’ fees. We affirm the judgment insofar as it declares that the School District must fund Andrew Diamond’s education in a residential placement and orders reimbursement of expenses already incurred by such placement. We reverse and remand for further proceedings on the counterclaim.

I.

State and Local Proceedings

Andrew Diamond was born on February 16, 1971 with several congenital physical abnormalities. He has a neurological impairment which inhibits his ability to walk or to communicate. Because of these impairments he has special educational needs which were recognized when the School Board made his first placement at the Midland School, a private school for disabled children. Andrew Diamond continued at Midland School for a number of years. In September 1980, however, Midland School advised his parents that it was no longer able to provide an appropriate education for Andrew because his learning skills were declining and his behavior becoming counterproductive. Although the Midland School placement was determined to be inappropriate, the School Board continued it anyway.

Andrew Diamond’s parents, meanwhile, requested a hearing before a classification officer of the New Jersey Department of Education. While a decision on that request was pending, the parents removed Andrew from the Midland School and placed him in Rhode Island’s Behavior Research Institute in June, 1981. On July 81, 1981 the New Jersey Department of Education hearing officer determined that Andrew Diamond should be reclassified as neurologically impaired and trainably mentally retarded. He therefore ordered that a residential placement be made if no suitable day placement could be found.

In response to the Department of Education’s order the School Board proposed placing Andrew in the Mercer Special Services School District (Mercer Special). The Mercer Special program is nonresidential, uses group instruction, and administers consequences for less than 15% of targeted behavior. At this time, Andrew was making remarkable progress at the Behavior Research Institute, which is residential, offers individual instruction, and administers consequences for targeted behavior much more frequently. The School Board, unfortunately, was not paying for the Behavior Research Institute placement. Therefore, the resultant financial hardship forced the parents to bring their child home after about five months. At home, Andrew’s condition deteriorated because the School Board provided only 1 to iVz hours of home instruction per day.

In response, Andrew’s parents requested another hearing before the New Jersey Department of Education. After an extended hearing, the Department Classification Officer’s May 18, 1983 order directed the Board both to continue Andrew Diamond’s residential placement and to reimburse his parents for all of Andrew’s residential placement expenses.

II.

District Court Proceedings

Throughout the proceedings before the New Jersey Department of Education, the School Board resisted any residential placement for Andrew Diamond. It reacted to the May 18, 1983 Department order by filing a complaint in the United States District Court for the District of New Jersey on June 13, 1983. The School Board [990]*990sought an order placing Andrew at Mercer Special and denying his parents reimbursement of costs incurred in Andrew’s residential placement.1

In the proceedings before the New Jersey Department of Education the Diamonds were represented by the New Jersey Public Advocate. The Public Advocate entered an appearance and filed an answer on their behalf in the district court action, which was limited to defending against the relief sought by the School Board. Private counsel, retained by the Diamonds, filed a counterclaim for damages for the School Board’s non-compliance with its obligation to provide a free appropriate education— both with respect to expenditures made by the parents and with respect to damage to Andrew Diamond. The counterclaim sought counsel fees and “such further relief as the Court may deem equitable and just.” Neither the Public Advocate’s pleading nor the counterclaim explicitly sought an award of fees for the Public Advocate.

In the district court action the laboring oar was pulled for the Diamonds by the Public Advocate. After extensive pretrial motion practice, a bench trial took place. The district court filed findings of fact and conclusions of law. The court proceeded in accordance with 20 U.S.C. § 1415(e)(2), which provides in pertinent part:

In any action brought under this paragraph the court shall receive the records of the administrative proceedings, shall hear additional evidence at the request of a party, and, basing its decision on the preponderance of the evidence, shall grant such relief as the court determines is appropriate.

Having reviewed both the administrative records and the Department Classification Officer’s decision, the district court adopted the Education Department’s decision as its own. The court also reviewed the evidence developed at trial and made additional findings based upon this evidence. These findings reject both the School Board’s factual contention that its Mercer Special placement of Andrew Diamond was appropriate and the School Board’s legal challenge to the order requiring reimbursement of past residential placement expenses.

Turning to the counterclaim, the district court relied on Smith v. Robinson, 486 U.S. 992, 104 S.Ct. 3457, 82 L.Ed.2d 746 (1984) to hold that there was no legal basis for the award of either damages for injury to Andrew Diamond or of counsel fees. The Public Advocate was directed to prepare a proposed form of judgment. The judgment, as filed, makes no provision for the payment of prejudgment interest on sums ordered to be reimbursed to the Diamonds for expenses that the School District should have paid in the first place.

III.

The School District Appeal

The School District contends on appeal that the district court’s findings of fact are clearly erroneous, and that the court applied erroneous legal standards both in determining the appropriate placement for Andrew Diamond and in ordering reimbursement.

The School District’s factual challenge is predicated on the proposition that the district court should have credited the testimony of its witness, Dr. Sher E. Schwartz, a psychologist employed by Mercer Special. Dr. Schwartz testified that based on the paperwork submitted to Mercer Special she felt that Mercer Special could provide an appropriate and thorough education for Andrew Diamond. But Dr. Schwartz never saw Andrew Diamond. In contrast, the trial court heard testimony from Dr. Kenneth C. Schneider, a psychologist who observed Andrew Diamond personally in a non-residential setting at the Midland School.

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Bluebook (online)
808 F.2d 987, Counsel Stack Legal Research, https://law.counselstack.com/opinion/board-of-education-v-diamond-ca3-1986.