Dollar v. Olmstead

502 S.E.2d 472, 232 Ga. App. 520, 98 Fulton County D. Rep. 2141, 1998 Ga. App. LEXIS 734
Court of Appeals of Georgia·Decided May 11, 1998·No. A98A0781·Published·Cited by 14 cases

Opinion

Birdsong, Presiding Judge.

Jim and Muriel Dollar, individually and as co-trustees of the Dollar Concrete Construction Company Profit Sharing Plan, appeal the grant of summary judgment to Tommy C. Olmstead, Commissioner of the Georgia Department of Human Resources and the denial of summary judgment to plaintiffs.

The record shows that on December 28, 1989, the Office of Child Support Recovery, a division of the Georgia Department of Human Resources, entered into an Administrative Consent Income Deduction Order (“Deduction Order”) with Dwight Collins, an employee of Dollar. Collins acknowledged in the Deduction Order that he owed $4,808 in unpaid child support.

The Deduction Order required that: “[Collins’] employer . . . providing or administering income due [Collins] as wages, salary, bonus, commission, compensation as an independent contractor, workers *521 compensation, unemployment compensation, disability benefits, annuity and retirement benefits, pensions, dividends, interest royalties, trust or any other payments, shall deduct from all monies due . . . [t]he amount of $50.00 . . . each MONTH, to be deducted each pay period in approximate equal amounts, until the amount of unpaid support is paid in full.”

After it was served with the Deduction Order and a Notice to Payor, Dollar withheld funds from Collins’ pay and paid it to the Child Support Recovery Unit. The Notice to Payor provided as follows: “This Notice to Payor and the attached documents are binding on you until further notice from the Office of Child Support Enforcement or the court or until you no longer provide income to the obligor.”

In 1991, Dollar decided to terminate a Profit Sharing Plan and Trust it had established for its employees. At the time the trust was terminated, Collins’ share of the trust was $891.96, and he no longer worked for Dollar. Muriel Dollar wrote to Carol McLeod, an employee of the Child Support Recovery Unit of the Georgia Department of Human Resources, and asked whether she should send Collins’ share of the trust money to Collins or the Child Support Recovery Unit. According to Muriel Dollar, Carol McLeod instructed her, after consulting with her legal department, to mail the $891.96 to the Child Support Recovery Unit.

After learning that the $891.96 had been paid to the Child Support Recovery Unit, Collins filed a suit against Jim and Muriel Dollar in their individual capacities and as co-trustees of the trust fund in the United States District Court for the Northern District of Georgia. The district court granted Collins’ summary judgment motion, finding that ERISA’s anti-alienation provision precluded the Dollars from paying Collins’ trust money to a third party. A judgment requiring the Dollars to pay Collins $891.96, plus pre-judgment and post-judgment interest, was entered on November 27, 1992. The Dollars paid the judgment and requested that the Department of Human Resources reimburse them for this payment. This request was denied on December 23, 1992.

On August 10, 1994, Jim Dollar and Muriel Dollar, individually and as co-trustees of the Dollar Concrete Construction Company Profit Sharing Plan, filed suit against James Ledbetter, Commissioner of the Georgia Department of Human Resources. In this lawsuit, the Dollars assert causes of action for (1) deprivation of property without due process of law in violation of Art. I, Sec. I, Par. I of the Constitution of the State of Georgia; (2) denial of protection to property in violation of Art. I, Sec. I, Par. II of the Constitution of the State of Georgia; (3) conversion; (4) negligent application of statute; (5) unjust enrichment; and (6) violation of 42 USC § 1983. Plaintiffs *522 also requested that the court impose a constructive trust on the $891.96 paid to the Child Support Recovery Unit and order that it be paid to the Dollars. In an order dated July 27, 1995, the trial court noted that Tommy C. Olmstead was the successor in office to James Ledbetter and substituted Olmstead as the party defendant. On July 23, 1997, the trial court summarily granted the defendant’s motion for summary judgment on all claims and denied the plaintiffs’ motion for summary judgment on all counts. Plaintiffs appeal the grant of summary judgment to defendant on their constitutional tort claims, § 1983 claim, negligent application of statute claim and unjust enrichment claim. Plaintiffs also appeal the denial of their motion for summary judgment on all counts. Held:

1. In their second enumeration of error, plaintiffs contend that the trial court erred in granting summary judgment to the defendant on their § 1983 claim. “Will v. Michigan Dept. of State Police, 491 U. S. 58 (109 SC 2304, 105 LE2d 45) (1989) holds that § 1983 claims cannot be asserted against a state agency or state officials acting in their official capacity.” Professional Practices Comm. v. Brewer, 219 Ga. App. 730, 731 (466 SE2d 651). Summary judgment was properly granted on plaintiffs’ § 1983 claim.

2. In their third enumeration of error, plaintiffs claim that the trial court improperly granted summary judgment to the defendant on their equity claim for unjust enrichment or money had and received. “The common law doctrine of sovereign immunity, adopted by this state in 1784, protected governments at all levels from unconsented to legal actions.” (Footnote omitted.) Gilbert v. Richardson, 264 Ga. 744, 745 (1) (452 SE2d 476). A 1991 amendment to the Georgia Constitution reiterates that “sovereign immunity extends to the state and all of its departments and agencies.” Ga. Const, of 1991, Art. I, Sec. II, Par. IX (e). However, it also provides that “[t]he sovereign immunity of the state and its departments and agencies can only be waived by an Act of the General Assembly which specifically provides that sovereign immunity is thereby waived and the extent of such waiver.” Id. The General Assembly has enacted no statute waiving sovereign immunity for equity claims against the state. Since Olmstead has been sued in his official capacity as the Commissioner of the Georgia Department of Human Resources, it is construed as a suit against the state and he is entitled to sovereign immunity for the plaintiffs’ claim for equitable relief. Price v. Dept. of Transp., 257 Ga. 535, 537 (361 SE2d 146); Roberts v. Barwick, 187 Ga. 691, 695 (1 SE2d 713).

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Dollar v. Olmstead, 502 S.E.2d 472, 232 Ga. App. 520, 98 Fulton County D. Rep. 2141, 1998 Ga. App. LEXIS 734 (Ga. Ct. App. 1998).

502 S.E.2d 472 (Dollar v. Olmstead) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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