HIGHLAND SCHOOL DIST. NO. 203 v. Racy

202 P.3d 1024, 149 Wash. App. 307
CourtCourt of Appeals of Washington
DecidedMarch 17, 2009
Docket27015-7-III, 27252-4-III
StatusPublished
Cited by19 cases

This text of 202 P.3d 1024 (HIGHLAND SCHOOL DIST. NO. 203 v. Racy) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
HIGHLAND SCHOOL DIST. NO. 203 v. Racy, 202 P.3d 1024, 149 Wash. App. 307 (Wash. Ct. App. 2009).

Opinion

202 P.3d 1024 (2009)

HIGHLAND SCHOOL DISTRICT NO. 203, Appellant,
v.
Scott RACY; Darryl Hartung; Highland Education Association; and Washington Education Association, Respondents and Cross-Appellants.

Nos. 27015-7-III, 27252-4-III.

Court of Appeals of Washington, Division 3.

March 17, 2009.

*1025 Kirk A. Ehlis, Menke Jackson Beye Ehlis & Harper LLP, Yakima, WA, for Appellant.

Kevan Tino Montoya, Velikanje Halverson PC, Yakima, WA, for Respondents and Cross-Appellants.

KORSMO, J.

¶ 1 The trial court imposed sanctions for frivolous litigation against the Highland *1026 School District No. 203 (District) after it sought to enjoin the Highland Education Association (Union) from arbitrating discipline against two of its members, contrary to earlier Washington Supreme Court precedent. The District appeals from the sanction order. The Union cross-appeals the amount of attorney fees it was awarded, arguing that the trial court was required to use the lodestar approach. We conclude that the trial judge did not abuse his considerable discretion in either context and affirm the rulings below.

BACKGROUND

¶ 2 The District declined to renew the coaching contracts of two teachers, citing unrelated instances of classroom misconduct. The Union filed grievances and sought arbitration of the actions because other discipline against the two teachers had previously been imposed under the parties' labor agreement. The District filed an action in the Yakima County Superior Court, seeking to enjoin the arbitration process.

¶ 3 The Union moved to dismiss the injunction action, citing to the decision in Mount Adams School District v. Cook.[1] The trial court agreed that Mount Adams precluded trial court intervention to decide the issue of arbitrability under the Collective Bargaining Agreement (CBA). The injunction action was therefore dismissed. The Union also sought sanctions, arguing that the action was frivolous in light of the Mount Adams case. The trial court awarded the Union $18,000 in attorney fees under RCW 4.84.185, although the Union sought $30,043.50. The court ordered reimbursement for the Union's actual expenses rather than an award based on the lodestar method.

¶ 4 The District prevailed at arbitration, with the arbitrator ruling that issues relating to coaching contracts were not protected by the CBA. The District then sought reconsideration of the sanction ruling. The trial court denied reconsideration and ordered an additional $705 in attorney fees. The District then appealed the sanction ruling to this court. The Union cross-appealed the amount of sanctions awarded.

ANALYSIS

Sanction Ruling

¶ 5 The District contends that the trial court erred in finding the litigation frivolous under RCW 4.84.185, particularly in light of the fact that it ultimately prevailed at arbitration on the basis that the coaching contract grievances were not subject to arbitration. It argues that the trial court did not find that it acted in bad faith or brought suit for purposes of delay or harassment. The fact the District ultimately prevailed at arbitration does not mean that its initial decision to sue had merit. Similarly, the statute does not require findings of bad motivation before a court determines that a suit is frivolous.

¶ 6 The first sentence of the statute provides:

In any civil action, the court having jurisdiction may, upon written findings by the judge that the action, counterclaim, cross-claim, third party claim, or defense was frivolous and advanced without reasonable cause, require the nonprevailing party to pay the prevailing party the reasonable expenses, including fees of attorneys, incurred in opposing such action, counterclaim, cross-claim, third party claim, or defense.

RCW 4.84.185.

¶ 7 By its express terms, the court may impose sanctions for any action that is "frivolous and advanced without reasonable cause." Id. Nothing in the statute requires a court to find that the action was brought in bad faith or for purposes of delay or harassment. While the District properly notes that the legislative history contains comments that the statute would deter vexatious litigation, the Legislature did not limit the reach of the statute to actions or claims brought to harass or delay. Thus, the appellant's arguments that the trial court failed to find that it acted in bad faith or for improper purposes simply have no weight.

¶ 8 The parties disagree on the standard of review, with the District arguing that construction of the statute requires de novo *1027 review, while the Union contends the sanction decision is reviewed for abuse of discretion. We agree with the Union. The Washington Supreme Court unequivocally has stated:

... this court has held that an award of attorney fees that is authorized by statute is left to the trial court's discretion and will not be disturbed "in the absence of a clear showing of abuse of discretion." ... This standard of review is appropriate for decisions under RCW 4.84.185.

Fluke Capital & Mgmt. Servs. Co. v. Richmond, 106 Wash.2d 614, 625, 724 P.2d 356 (1986) (citations omitted).

¶ 9 Discretion is abused when it is exercised on untenable grounds or for untenable reasons. State ex rel. Carroll v. Junker, 79 Wash.2d 12, 26, 482 P.2d 775 (1971). The trial court concluded that the injunction litigation was precluded by Mount Adams School District v. Cook, 150 Wash.2d 716, 81 P.3d 111 (2003). We agree.

¶ 10 Mount Adams also involved an action between a school district and its teachers' union.[2] There the school district declined to let Mr. Cook teach because his teaching certificate had not been renewed by the time school started. He filed a grievance and sought arbitration. The school district, as in this case, sought an injunction from the Yakima County Superior Court. Id. at 719, 721-722, 81 P.3d 111. The trial court granted the injunction and this court affirmed that decision. Id. at 722, 81 P.3d 111. The Washington Supreme Court, in a 6-3 decision, reversed and ordered the matter arbitrated. Id. at 727, 81 P.3d 111.

¶ 11 The majority noted that Washington, consistent with federal law, strongly favors arbitration of labor disputes and will defer issues to arbitration unless a matter was clearly excluded from arbitration. Id. at 723-724, 81 P.3d 111. The majority then reasoned that the collective bargaining agreement in place in

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Bluebook (online)
202 P.3d 1024, 149 Wash. App. 307, Counsel Stack Legal Research, https://law.counselstack.com/opinion/highland-school-dist-no-203-v-racy-washctapp-2009.