JONES & MATSON v. Hall

66 Cal. Rptr. 3d 872, 155 Cal. App. 4th 1596, 2007 Cal. App. LEXIS 1693
CourtCalifornia Court of Appeal
DecidedOctober 12, 2007
DocketB192341
StatusPublished
Cited by18 cases

This text of 66 Cal. Rptr. 3d 872 (JONES & MATSON v. Hall) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
JONES & MATSON v. Hall, 66 Cal. Rptr. 3d 872, 155 Cal. App. 4th 1596, 2007 Cal. App. LEXIS 1693 (Cal. Ct. App. 2007).

Opinion

Opinion

FLIER, J.

Pursuant to title 42 United States Code section 1983, plaintiffs Urrea C. Jones, Jr., Stephen K. Matson and their law firm, Jones & Matson, sued their former client, the Compton Unified School District (District), the former and current members of its board of trustees, its superintendent and its former associate superintendent for violation of plaintiffs’ First Amendment rights under color of state law and for conspiracy to violate plaintiffs’ rights. 1 Plaintiffs alleged that defendants first reduced the use of plaintiffs’ legal services, and then withdrew the District’s cases after plaintiffs filed a government claim for damages, in retaliation for plaintiffs’ refusal to support the political campaigns of defendants Hall and Calhoun.

The trial court dismissed the District after sustaining its demurrer and granted a nonsuit to defendants Quijada-Barrera, Shipp, Sharif and Patillo. At the conclusion of trial, a jury returned a special verdict for defendants Hall, Calhoun, Beeman and Gonzales, finding those defendants had not intentionally sought to deprive plaintiffs of their constitutional rights. The court subsequently denied plaintiffs’ motions for new trial and for judgment notwithstanding the verdict and granted attorney fees under title 42 United States Code section 1988 to the four defendants who prevailed by nonsuit.

Plaintiffs appeal from the trial court’s grant of nonsuit, denial of their motion for judgment notwithstanding the verdict and award of attorney fees. Defendants Hall, Calhoun, Beeman and Gonzales cross-appeal from the trial court’s denial of their motion for nonsuit.

We affirm the judgment, denial of the motion for judgment notwithstanding the verdict and award of attorney fees. We dismiss the cross-appeal as moot.

*1599 FACTS

1. District’s Emergence from State Control

Through December 2001, the District operated under the direct control of a state administrator acting on behalf of the State Superintendent of Public Instruction. Jones & Matson performed legal services for the District under a May 2001 contract with the state administrator.

The District emerged from state control after December 2001, when the state administrator became a trustee who retained only a veto power over the District’s fiscal matters.

2. District’s Contract with Jones & Matson

In June 2002, the board of trustees voted to renew Jones & Matson’s legal services contract. At the same time, the board renewed the legal contracts for its two other law firms, Littler Mendelson, which served as general counsel to the District, and Orbach & Huff, which handled its real estate matters. These contracts had not yet expired, but the board wished to enter into contracts with District vendors directly after emerging from the state administrator’s control.

Jones & Matson’s contract was renewed on a board vote of five to two, with defendants Calhoun and Quijada-Barrera voting against renewal. The renewed legal services contract increased Jones & Matson’s hourly billing rates. The contract also provided that plaintiffs were to serve at the pleasure of the board and the contract could be terminated by either party upon 30 days’ notice.

3. District Concerns over Legal Costs

Superintendent Gonzales was charged with responsibility for improving the District’s performance both academically and fiscally to avoid the conditions that had previously required state administrative control.

Gonzales, as well as associate superintendent Beeman and several board members, had a continuing concern about the large amount of legal expenses being charged by Jones & Matson, which repeatedly exceeded the amount budgeted. Reducing legal expenses was a priority for Gonzales. In October 2001, Gonzales issued a directive requesting his staff not to contact outside legal counsel without prior authorization. Gonzales began to scrutinize and sign off on case assignments to ensure that matters which could be handled in-house were not being sent to outside counsel.

*1600 4. Directive to Reduce Legal Expenses

In June 2002, Gonzales issued a directive to the District’s executive cabinet members stating that only he or Beeman was authorized to make contact with the District’s legal counsel, i.e., Jones & Matson, Littler Mendelson, and Orbach & Huff. The directive advised staff to obtain prior approval from Gonzales before making any contact with the law firms.

Notwithstanding Gonzales’s directive, District staff continued informally to consult Jones & Matson daily regarding personnel, discipline, grievance, claims and special education issues and lawsuits. No other law firm was representing the District in those areas at the time.

On September 20, 2002, Gonzales sent a letter to Beeman and his staff to express concern about “the escalating costs of legal services being provided the District by Jones & Matson.” Gonzales directed that requests to make contact with the firm be submitted to him in writing for prior approval. Gonzales did not send a similar letter regarding either Littler Mendelson or Orbach & Huff because it was he who generally made the telephone calls to Littler Mendelson and the nature of Orbach & Huff’s representation required little telephone contact.

5. Alleged Improper Political Campaign Solicitation

Hall served as president of the board of trustees from December 2001 to approximately June 2003. In 2002, Hall and Calhoun were running for the Compton City Council in a coordinated campaign. Hall and Jones arranged to meet for lunch on the 1st or 2d of July, 2002.

Hall testified that, during the lunch, Jones brought up the subject of Hall’s running for city council, stating that “[tjhose things are kind of costly.” Jones told Hall about a prior incident when a superintendent of another institution had asked Jones for help in a campaign. Jones said he “never gets involved in assisting [or] contributing to campaigns” and had been offended by the request. 2

*1601 On July 5, 2002, associate superintendent Beeman signed an authorization to refer 16 new files to Jones & Matson. Beeman testified that those cases had accumulated from the prior fiscal year that ended June 30, 2002. There had been no money left in the budget to pay for additional legal services, and Beeman had decided to hold those cases until the next fiscal year. Beeman testified Jones asked for Hall’s signature as board president on the work authorization in Gonzales’s absence from the office. 3

Jones received the authorization for the new cases on July 19, 2002. On the same day, he also received a fax from Hall’s campaign inviting him to an August 2002 fundraiser. 4

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Cite This Page — Counsel Stack

Bluebook (online)
66 Cal. Rptr. 3d 872, 155 Cal. App. 4th 1596, 2007 Cal. App. LEXIS 1693, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jones-matson-v-hall-calctapp-2007.