Gannett River States Publishing Co. v. Arkansas Industrial Development Commission

799 S.W.2d 543, 303 Ark. 684, 18 Media L. Rep. (BNA) 1426, 1990 Ark. LEXIS 546
CourtSupreme Court of Arkansas
DecidedNovember 19, 1990
Docket90-50
StatusPublished
Cited by56 cases

This text of 799 S.W.2d 543 (Gannett River States Publishing Co. v. Arkansas Industrial Development Commission) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gannett River States Publishing Co. v. Arkansas Industrial Development Commission, 799 S.W.2d 543, 303 Ark. 684, 18 Media L. Rep. (BNA) 1426, 1990 Ark. LEXIS 546 (Ark. 1990).

Opinion

Special Justice, Frank J. Huckaba.

This is an appeal from the circuit court’s finding that an Arkansas Industrial Development Commission (Commission) file was exempt from public disclosure under provisions of the Arkansas Freedom of Information Act (FOIA). Specifically, the trial court found that Act 8 of the Third Extraordinary Session of 1989 (Act 8), which amended the Act, applied to the file, rendering it exempt. Since the case involves interpretation and construction of acts of the General Assembly, we have jurisdiction under Supreme Court Rule 29(1 )(c). We reverse and remand the decision of the trial court.

Appellant, Gannett River States Publishing Co., is publisher of the Arkansas Gazette. On October 23,1989, the Gazette made a proper request to inspect the Commission’s file. The file concerned the Agency’s announcement some days earlier that Tokusen, U.S.A. (Tokusen), would locate a new steel plant in Conway, Arkansas.

The Commission, through Dave Harrington, its executive director, refused the Gazette’s request because Harrington concluded, relying on exemptions under existing freedom of information law, that disclosure would give advantage to competitors or bidders. No bidders are involved in this case.

It is not disputed that the records sought are subject to disclosure under the FOIA, unless the Act itself or other laws specifically exempt it from disclosure. The Act, codified at Ark. Code Ann. § 25-19-105 (1987 & Supp. 1989), read as follows when the request for information was made:

(a) Except as otherwise specifically provided by this section or by laws specifically enacted to provide otherwise, all public records shall be open to inspection and copying by any citizen of the State of Arkansas during the regular business hours of the custodian of the records.
(b) It is the specific intent of this section that the following records shall not be deemed to be made open to the public by the provisions of this chapter:
(9) Files which, if disclosed, would give advantage to competitors or bidders: . . .

Appellant’s suit filed on October 27, 1989, four days after the information was requested. The General Assembly, then in special session, passed Act 8, and the Act was signed into law on November 1,1989. The hearing in this case was held the next day, on November 2. After passage of Act 8, Section (b) (9) of FOIA was expanded to exempt from disclosure:

(9)
(A) Files which, if disclosed, would give advantage to competitors or bidders; and
(B) Records maintained by the Arkansas Industrial Development Commission related to any business entity’s planning, site location, expansion, operations, or product development/marketing, . . .

While quoting both Sections (A) and (B) above, the trial court specifically found that Act 8 applied and that the Tokusen file falls within the exemptions from disclosure expressed in the Act. The court further found that the Gazette possessed no property right or other vested right which it lost by the application of Act 8.

The question before this court are: (1) Did Act 8 operate to make the Tokusen file exempt because it related to a business entity’s planning, site location, expansion, operations, or product development/marketing? and (2) Is the Tokusen file exempted from disclosure because disclosure would give advantage to competitors, as FOIA provided when this suit was filed?

Since Act 8 took effect before the trial court order was entered, but after the request for information was made, an answer to the first question depends upon whether the Act operates retroactively as well as prospectively. We will first address retroactive application of Act 8, since the trial court’s decision was based upon that Act.

This court, in Abrego v. United Peoples Fed. Sav. & Loan, 281 Ark. 308, 664 S.W.2d 858 (1984), quoted favorably from an opinion of the United States Supreme Court:

The principle that statutes operate only prospectively, while judicial decisions operate retrospectively, is familiar to every law student. Compare Sands, Sutherland’s Statutory Construction § 106 with Linkletter v. Walker, 381 U.S. 618, 622-625 (1965). This court has often pointed out that
the first rule of construction is that legislation must be considered as addressed to the future, not to the past. . . . The rule has been expressed in varying degrees of strength but always of one import, that a retrospective operation will not be given to a statute which interferes with antecedent rights. . . . unless such be “the unequivocal and inflexible import of the terms, and the manifest intention of the legislature.”
Union Pacific R. Co. v. Laramie Stock Yards Co., 231 U.S. 190, 199 (1913) (citations omitted). . . .

Later, in Arkansas Rural Medical Practice Student Loan & Scholarship Bd. v. Luter, 292 Ark. 259, 729 S.W.2d 402 (1987), citing Abrego, supra, we approved the following language:

The operation of a statute must be prospective only, “unless the words are so clear, strong and imperative as to have no other meaning.” United States Fidelity & Guaranty Co. v. Struthers Wells Co., 209 U.S. 306 (1908). “Any doubt is resolved against retroactivity and in favor of prospectivity only. McQueeney v. Catholic Bishop of Chicago, 159 N.E. 2d 43, 80 A. L.R. 2d 796 (1959). “A retrospective application will not be given to a statute which interferes with antecedent rights unless such be the unequivocal and inflexible import of the terms and the manifest intention of the legislature.” United States v. Security Industrial Bank, 459 U.S. 70 (1982) (our emphasis). Statutes will not be construed to have retroactive operation “unless the language is so clear it will admit of no other construction.” Sutherland Statutory Construction, Vol. 2 § 41.04, p. 348.

The Commission argues that Act 8 was curative and intended to “clear up confusion” in existing law. The language of the statute itself does not expressly suggest that it is curative or for clarification. It amends FOIA by making seven additional types of records exempt from disclosure. The amendatory language makes no reference to any other provision in the FOIA. The rules cited above against retroactive operation apply especially with reference to amendatory acts. Lucas v. Hancock, 266 Ark.

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799 S.W.2d 543, 303 Ark. 684, 18 Media L. Rep. (BNA) 1426, 1990 Ark. LEXIS 546, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gannett-river-states-publishing-co-v-arkansas-industrial-development-ark-1990.