Halperin v. Pitts

287 P.3d 1069, 352 Or. 482
CourtOregon Supreme Court
DecidedOctober 4, 2012
DocketCC C064436CV; CA A139639; SC S059505
StatusPublished
Cited by69 cases

This text of 287 P.3d 1069 (Halperin v. Pitts) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Halperin v. Pitts, 287 P.3d 1069, 352 Or. 482 (Or. 2012).

Opinions

[484]*484LANDAU, J.

ORS 20.0801 provides for an award of attorney fees in small tort actions. Subsection (1) of the statute provides for an award to the plaintiff, if the plaintiff prevails in the action. That subsection spells out certain procedural prerequisites to such an award to the plaintiff, including a requirement that the plaintiff must have made a timely written demand on the defendant before initiating the action. Subsection (2) provides for an award of fees to the defendant if the defendant pleads a counterclaim and the defendant prevails in the action. Subsection (2), however, does not mention any prerequisites to the award. In particular, it says nothing about the defendant having to make a timely written demand on the plaintiff. The issue in this case is whether subsection (2) nevertheless should be read to require a defendant to have made a timely written demand as a prerequisite to recovering attorney fees under the statute. The Court of Appeals concluded that ORS 20.080(2) must be read to include the requirement. We disagree. The legislature included no statutory wording that is reasonably capable of being read to require a defendant to tender a prelitigation demand as a prerequisite to recovering attorney fees. We therefore reverse the decision of the Court of Appeals and remand for further proceedings.

The relevant facts are few and undisputed. Plaintiffs and defendants own adjacent parcels of land in Washington County. For years, they have disputed the boundary between their properties. Plaintiffs sent defendants a demand letter, complaining about what they regarded as defendants’ trespass and asking for $5,500 in damages. Plaintiffs later initiated an action to quiet title and alleging a claim for trespass against defendants. Defendants counterclaimed for trespass and to quiet title, alleging $5,000 in general damages. After a bench trial, the trial court dismissed both parties’ trespass claims, concluding that neither party was entitled to relief. The trial court did, however, quiet title in plaintiffs’ favor.

[485]*485Defendants appealed, arguing that, among other things, the trial court had erred in dismissing their counterclaim for trespass. The Court of Appeals agreed, concluding that, based on plaintiffs’ own admissions, they were liable for trespass as a matter of law. Halperin v. Pitts, 241 Or App 249, 254, 250 P3d 402 (2011).

Defendants then petitioned the Court of Appeals for an award of attorney fees pursuant to ORS 20.080(2). Plaintiffs objected, asserting that defendants were not entitled to attorney fees because defendants had failed to send plaintiffs a demand letter before filing their counterclaim for trespass. Defendants argued that ORS 20.080(2) contains no such requirement. Plaintiffs replied that this court nevertheless read the statute to include such a requirement in Bennett v. Minson, 309 Or 309, 787 P2d 481 (1990). Defendants rejoined that the suggestion in Bennett that ORS 20.080(2) includes a prelitigation demand requirement was dictum and contrary to the plain wording of the statute. The Court of Appeals sustained plaintiffs’ objection to the petition for an award of attorney fees, based on this court’s decision in Bennett.

On review, defendants argue that the Court of Appeals erred in reading into ORS 28.080(2) a requirement that simply is not contained in the statute’s wording. Defendants acknowledge that a passage in Bennett is to the contrary, but they argue that the passage addressed a matter that was neither disputed nor briefed by the parties and was not necessary to the court’s decision. As such, defendants contend, the passage amounts to obiter dictum and has no precedential force.

Plaintiffs concede that ORS 20.080(2) is “silent” on the question whether a defendant must deliver a prelitigation demand letter as a prerequisite to recovery of attorney fees under that subsection. Nevertheless, they contend that this court in Bennett concluded that the statute does impose such a requirement, and, because of the importance of stare decisis, as well as various policy reasons, this court should adhere to that earlier decision. Alternatively, plaintiffs contend that, if this court chooses to follow the wording of ORS 20.080(2) without the gloss that Bennett imposed on [486]*486it, we should do so prospectively, because they reasonably relied on Bennett.

Thus framed, the issue is one of statutory construction. The rules of statutory construction are familiar. Our goal is to determine the meaning of the statute that the legislature that enacted it most likely intended. PGE v. Bureau of Labor and Industries, 317 Or 606, 610, 859 P2d 1143 (1993). To determine the intended meaning of the statute, we examine its text, in context, and, where appropriate, legislative history and relevant canons of construction. State v. Gaines, 346 Or 160, 171-73, 206 P3d 1042 (2009). This court has emphasized that, in determining the intended meaning of a statute,

“there is no more persuasive evidence of the intent of the legislature than the words by which the legislature undertook to give expression to its wishes. Only the text of a statute receives the consideration and approval of a majority of the members of the legislature, as required to have the effect of law. The formal requirements of lawmaking produce the best source from which to discern the legislature’s intent, for it is not the intent of the individual legislators that governs, but the intent of the legislature as formally enacted into law[.]”

Id. at 171 (citations and internal quotation marks omitted).

We begin, therefore, with the words of the statute at issue. ORS 20.080 provides:

“(1) In any action for damages for an injury or wrong to the person or property, or both, of another where the amount pleaded is $5,500 or less, and the plaintiff prevails in the action, there shall be taxed and allowed to the plaintiff, at trial and on appeal, a reasonable amount to be fixed by the court as attorney fees for the prosecution of the action, if the court finds that written demand for the payment of such claim was made on the defendant not less than 10 days before the commencement of the action or the filing of a formal complaint under ORS 46.465, or not more than 10 days after the transfer of the action under ORS 46.461.

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Bluebook (online)
287 P.3d 1069, 352 Or. 482, Counsel Stack Legal Research, https://law.counselstack.com/opinion/halperin-v-pitts-or-2012.