Gibson v. Office Atty General Off the State of California

CourtCourt of Appeals for the Ninth Circuit
DecidedMarch 18, 2009
Docket07-56124
StatusPublished

This text of Gibson v. Office Atty General Off the State of California (Gibson v. Office Atty General Off the State of California) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gibson v. Office Atty General Off the State of California, (9th Cir. 2009).

Opinion

FOR PUBLICATION UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT

PAULA LAUREN GIBSON and  ANNETTE D. GOODE-PARKER, Plaintiffs-Appellants, No. 07-56124 v. D.C. No. OFFICE OF THE ATTORNEY GENERAL, STATE OF CALIFORNIA; BILL  CV-07-00838-FMC ORDER AND LOCKYER; RICHARD M. FRANK; AMENDED JAMES THOMAS GREENE; KATHLEEN OPINION FOOTE; LOUIS MAURO; JACOB APPLESMITH; and BARBARA MOTZ, Defendants-Appellees.  Appeal from the United States District Court for the Central District of California Florence-Marie Cooper, District Judge, Presiding

Argued and Submitted November 17, 2008—Pasadena, California

Filed January 27, 2009 Amended March 18, 2009

Before: Susan P. Graber and Richard R. Clifton, Circuit Judges, and Edward C. Reed,* District Judge.

Opinion by Judge Graber; Partial Concurrence and Partial Dissent by Judge Clifton

*The Honorable Edward C. Reed, Jr., Senior United States District Judge for the District of Nevada, sitting by designation.

3429 GIBSON v. OFFICE OF THE ATTORNEY GENERAL 3433

COUNSEL

Paula Lauren Gibson, Los Angeles, California, in propria per- sona, for the plaintiffs-appellants.

Stephanie L. Quinn, Randolph Cregger & Chalfant LLP, Sac- ramento, California, for the defendants-appellees.

ORDER

The opinion filed on January 27, 2009, slip opinion page 909, and published at 2009 WL 174915, is replaced by the amended opinion filed concurrently with this order.

With this amendment, the panel has voted to deny the peti- tion for rehearing. Judges Graber and Clifton have voted to deny the petition for rehearing en banc, and Judge Reed has so recommended.

The full court has been advised of the petition for rehearing en banc, and no judge of the court has requested a vote on it.

The petition for rehearing and petition for rehearing en banc are DENIED. No further petitions will be entertained. 3434 GIBSON v. OFFICE OF THE ATTORNEY GENERAL OPINION

GRABER, Circuit Judge:

Plaintiffs Paula Lauren Gibson and Annette D. Goode- Parker work for the Office of the Attorney General of the State of California (“OAG”) as a lawyer and a paralegal, respectively. In violation of an internal policy of the OAG, Gibson represented Goode-Parker in a private legal malprac- tice case without first having obtained permission from the OAG. The OAG informed Gibson that she would be fired if she continued the private representation. Plaintiffs then filed this action against the OAG and individual decision-makers, alleging a violation of their First Amendment rights and a breach of contract. We hold that the district court properly dismissed the action under Federal Rule of Civil Procedure 12(b)(6) for failure to state a claim, but erred in awarding attorney fees to Defendants.

FACTUAL BACKGROUND

A. First Amendment Claim

Gibson works as a Deputy Attorney General in the Anti- trust Law Section of the OAG. Goode-Parker is employed as a Senior Legal Analyst in the same section. On June 25, 2003, Gibson filed a private legal malpractice action on behalf of Goode-Parker against a California divorce lawyer in the Los Angeles Superior Court. The malpractice claim related to the divorce lawyer’s representation of Goode-Parker in a divorce proceeding. Although the OAG requires its lawyers to obtain permission in advance to engage in the private practice of law, Gibson did not seek permission to represent Goode- Parker until nearly a year after filing the malpractice case. Defendant Kathleen Foote, Senior Assistant Attorney General for the Antitrust Law Section, ultimately denied Gibson’s request on the ground that the existence of a separate, pending GIBSON v. OFFICE OF THE ATTORNEY GENERAL 3435 claim by the divorce lawyer against Gibson with the State Board of Control created a conflict of interest.

Gibson filed a grievance concerning the denial of her request to represent Goode-Parker. Gibson argued that the OAG’s policy of requiring advance permission for engaging in the private practice of law violates the First Amendment. Four months later, without any formal action in response to Gibson’s grievance, Gibson was informed that she would be terminated from her employment with the OAG if she did not withdraw from representing Goode-Parker in the malpractice action.

Immediately thereafter, Defendant James Thomas Greene, the Chief Assistant Attorney General for the Public Rights Division, reviewed and denied Gibson’s grievance. He noted in his denial that it is difficult for a deputy attorney general to engage in the private practice of law and not come into conflict with the OAG’s interests or those of a client. He also noted that the prior-approval process is necessary to prevent conflicts between a public employee’s official duties and his or her outside activities, and he opined that the process is not an unconstitutional prior restraint.

Gibson appealed the denial of her grievance, and Defendant Richard M. Frank, Chief Deputy Attorney General, upheld the denial. He agreed with Greene’s conclusions that the OAG’s pre-approval requirement is not an unconstitutional prior restraint and that Gibson’s involvement in the malpractice action created a conflict of interest. Gibson appealed Frank’s decision to the Department of Personnel Administration. Her appeal was denied.

Around the same time that Gibson submitted her grievance and appeals, she requested and received permission to repre- sent herself in connection with two additional legal matters related to the underlying malpractice case involving the divorce lawyer. First, she received permission to appeal a 3436 GIBSON v. OFFICE OF THE ATTORNEY GENERAL sanctions order that had been issued against her in that action, subject to certain limitations, including that (1) the representa- tion be confined to specific issues, (2) OAG resources not be used and Gibson’s affiliation with the OAG not be invoked, and (3) any criticisms of Gibson’s performance by the appel- late court made in the course of the appeal be reported promptly to the OAG.

Gibson also was given permission to file a malicious prose- cution action against the divorce lawyer. The conditions placed on Gibson by the OAG were that (1) she would not disparage the OAG or its policies; (2) she would not use office time, materials, staff, or equipment; (3) she would not invoke the OAG or her title in her representation, and (4) she would report to Greene any criticisms or concerns expressed by the court during the case.

B. Contract Claim

In July 2001, Gibson entered into a written agreement with the OAG, which provided that Gibson would transfer to the Antitrust Law Section from the Health, Education, and Wel- fare Section. The agreement was a response to Gibson’s com- plaints of disability discrimination and denial of reasonable accommodations, which she had made to the State Personnel Board and Department of Fair Employment and Housing. Goode-Parker provided many of the reasonable accommoda- tion services required by Gibson. Goode-Parker alleges that she had an oral agreement with OAG that mirrored Gibson’s written agreement.

Plaintiffs assert that their respective agreements provided that (1) transfer to the Antitrust Law Section would take place in order for Plaintiffs to make a “fresh start,” (2) the reason- able accommodations previously provided would continue, (3) all other conditions of employment would remain the same, and (4) attorney fees for enforcement of the agreements would be available. Plaintiffs allege that these agreements GIBSON v.

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