King v. Walters

190 F.3d 784, 1999 WL 682012
CourtCourt of Appeals for the Seventh Circuit
DecidedSeptember 1, 1999
DocketNo. 98-2086
StatusPublished
Cited by14 cases

This text of 190 F.3d 784 (King v. Walters) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
King v. Walters, 190 F.3d 784, 1999 WL 682012 (7th Cir. 1999).

Opinion

DIANE P. WOOD, Circuit Judge.

According to the plaintiffs, this case presents the question whether the State of Illinois can be held to its word to a federal district court, when the state sends an agency official to the court in response to an order to present a person with authority to settle a case and indicates the official is such a person; the state defendants see it as a case about the propriety of imposing upon the state a consent decree to which it never truly consented. At bottom, the litigation concerns the child custody enforcement program Illinois has established under Title IV-D of the Social Security Act, 42 U.S.C. § 651 et seq.' At this stage, however, the merits are largely beside the point. Instead, we must decide whether the district court was justified in its decision to enter judgment in accordance with a consent decree negotiated by the parties, but which the state attempted to repudiate at the eleventh hour. We conclude that further proceedings in the district court are necessary before we can decide whether the decree was properly entered, and we therefore remand the ease for that purpose.

I

The only way to understand why the district judge acted as he did with regard to this consent decree is to review in some detail the tortuous course of this litigation. It began as a class action brought by plaintiffs, who are beneficiaries of child support orders and their custodial parents residing in Cook County, Illinois, and who are receiving neither the total amount of child support payments due to them nor the child support enforcement services from the State of Illinois required by federal law. The defendants (to whom we refer collectively as “the state”) are the state officials responsible for administering Illinois’ child support enforcement program: the Director of the Illinois Department of Public Aid (“IDPA”) and the Administrator of IDPA’s Division of Child Support Enforcement (“DCSE”). The plaintiffs filed their initial complaint on March 3, 1992, seeking declaratory and injunctive relief under § 1983 to redress the state’s alleged failure to establish child support enforcement programs meeting the requirements of Title IV-D. On August 6, 1992, the court dismissed that complaint for reasons that are not important here, but it granted the plaintiffs leave to file an amended version by September 2, 1993 — a deadline that was eventually extended until April 29,1994.

[786]*786At that point, both sides became interested in pursuing a settlement. In time, however, those early negotiations stalled. The plaintiffs therefore moved to reinstate the case on April 26, 1994, and they filed a second amended complaint on May 23, 1994. Over the next several months, the second amended complaint survived a series of challenges from the state; the court granted the plaintiffs’ request for class certification; and the parties worked out a schedule for discovery. Then, (another two years later!) on April 2, 1996, the trial preparations once again came to a halt when the parties informed the court that they had agreed on a settlement “in principle” and were working on a written document. Based on this announcement, the court dismissed the case with leave to reinstate by July 7, 1996. The court subsequently extended the deadline for reinstatement several times as a bookkeeping device to keep track of the case while the parties negotiated. (We have frowned on this practice, unless it is clear that nothing else will accomplish the desired goal, because it can be confusing, or worse, prejudicial to the rights of the parties. See Otis v. City of Chicago, 29 F.3d 1159, 1163 (7th Cir.1994) (en banc). In this case, it appears to have been driven by the pressure to improve docket statistics, which is not the kind of valid reason that Otis contemplated.)

Almost a year later, while these settlement discussions were dragging along, on April 21, 1997, the Supreme Court decided Blessing v. Freestone, 520 U.S. 329, 117 S.Ct. 1353, 137 L.Ed.2d 569 (1997). In Blessing, the Court held that Title IV-D does not convey a privately enforceable right to have state child custody enforcement programs achieve “substantial compliance” with its requirements. Id. at 343-45, 117 S.Ct. 1353. On the other hand, the Court expressly acknowledged the possibility that specific provisions of Title IV-D may give rise to individual rights that, if properly identified in the complaint, could be vindicated by means of § 1983. Id. at 345-46, 117 S.Ct. 1353. The obvious relevance of Blessing to the plaintiffs’ claim was not lost on either party. Yet the question whether the second amended complaint identified the sort of specific enforceable rights to which the Blessing Court had alluded remained unanswered. Although both the plaintiffs and the state believed that Blessing should be interpreted in their favor, each feared that litigating the issue could lead to the establishment of their opponents’ position as precedent.

On June 25,1997, the plaintiffs moved to vacate the most recent dismissal and reinstate the case, even though the applicable deadline for reinstatement had passed. At the hearing on the motion, plaintiffs’ counsel explained that the settlement negotiations had gone off-track because of “intervening events,” including actions by the state legislature, a change in the state administrative structure, and Blessing. After the court reinstated the case, the Assistant Attorney General (“AAG”) appearing on behalf of the state suggested for the first time that the state might be interested in litigating the issues raised by Blessing. That comment prompted the district judge (who noted that the case had been lingering on and off his docket for over five years) to order the parties to return to court on August 6, 1997, so that the court could be informed whether the case was still in a “settlement posture.” The court also specifically ordered the state to produce someone with decision making authority who could definitively answer that question.

As it turned out, court was not in session on August 6 and the status conference was rescheduled for September 17. Nevertheless, the parties convened on August 6 to discuss where matters stood. Robert Lyons, who was then DCSE’s Deputy Administrator and is now DCSE’s Administrator, appeared at both the August 6 meeting and the September 17 court date, ostensibly in response to the district judge’s request that the state produce someone with authority to settle. On both occasions, Lyons personally indicated that [787]*787the state still intended to settle and was not interested in litigating the Blessing issue. Indeed, when the district judge expressed his frustration with the case’s snail-like pace at the September 17 status hearing, both sides reiterated that they were close to settlement with only a few wrinkles remaining to be ironed out. Skeptical that settlement was in fact imminent, the judge set a trial date for November 3, 1997.

With the added pressure of an impending trial date, settlement negotiations intensified. AAG Karen Konieczny, who took over the case from her predecessor prior to the July 25 hearing, represented the state. In addition, approximately six different IDPA officials participated in the negotiations, including most prominently Lyons.

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190 F.3d 784, 1999 WL 682012, Counsel Stack Legal Research, https://law.counselstack.com/opinion/king-v-walters-ca7-1999.