Paul & Peter's Check Cashing v. Department of Labor & Industry

582 A.2d 397, 135 Pa. Commw. 373, 1990 Pa. Commw. LEXIS 589
CourtCommonwealth Court of Pennsylvania
DecidedOctober 1, 1990
DocketNo. 1841 C.D. 1990
StatusPublished
Cited by2 cases

This text of 582 A.2d 397 (Paul & Peter's Check Cashing v. Department of Labor & Industry) is published on Counsel Stack Legal Research, covering Commonwealth Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Paul & Peter's Check Cashing v. Department of Labor & Industry, 582 A.2d 397, 135 Pa. Commw. 373, 1990 Pa. Commw. LEXIS 589 (Pa. Ct. App. 1990).

Opinion

CRAIG, President Judge.

The Commonwealth Court here records the disposition of certain matters, in an appeal brought by petition for review from the Board of Claims (board), as follows:

1. Motion to intervene, by the board;
2. Board’s motion to quash, or preliminary objections, to obtain dismissal of the proceeding before this court;
3. Motion to dismiss by the Pennsylvania Department of Labor and Industry, State Workman’s Insurance Fund (department); and
4. Petition of Paul & Peter’s Check Cashing (petitioner) for preliminary relief in appellate matter, under Pa.R. A.P. 1732.

After briefly outlining the history of the case, the court will deal with each of the matters for disposition.

Background History

A payee of a $3900 check from the State Workman’s Insurance Fund cashed the check with petitioner, who paid him the amount of the check less a service charge. The petitioner was unable to have the check honored because the department had stopped payment on it as a consequence of the payee’s claim that the check had been lost. The petitioner initiated action against the department and the payee in the local courts of Philadelphia. Because those [377]*377courts clearly lack jurisdiction over such a claim against a Commonwealth agency, the petitioner and department agreed to transfer the matter to the Commonwealth Court. This court, on its own initiative, transferred this claim against the state to the Board of Claims.

No party appears to dispute that the Board of Claims has jurisdiction over this matter.

While counsel for the petitioner and department and the board were communicating with respect to the setting of a board hearing, the petitioner and the department entered into an agreement to settle the matter, under which the department would pay the petitioner $3783.94, and the petitioner would execute and deliver a full release.

Although counsel for the parties advised the board of the settlement, a hearing examiner of the board proceeded with a hearing on August 15, 1990, with counsel for the department present in Harrisburg and counsel for the petitioner ultimately brought into the matter by conference telephone.

As indicated below, the board takes the position that, even though the parties in interest have settled and proposed to discontinue a case before the board, the board has the power nevertheless to insist upon a hearing to investigate all potential issues which the board may discern, whether or not the parties have raised any such issues.

On August 16, the Chief Administrative Judge of the board issued a letter addressed to counsel for the petitioner and the department, alleging a lack of legal knowledge and a disrespectful attitude on the part of petitioner’s counsel, promising an opinion of the board with respect to the settlement and the allocation of costs or fines for contempt of the board, prohibiting further telephone or written communications from counsel, and concluding with the direction:

The Commonwealth is directed not to issue a check for payment of settlement arrangements until the board issues its final Opinion.

[378]*378The letter was signed by the Chief Administrative Judge as such.

The petitioner has treated that interlocutory direction of the board, that the department not proceed with payment of the settlement, as a preliminary injunction, from which the petitioner has appealed to this court.

Motion to Intervene by Board

The board through counsel has asserted (1) that it is a statutory court, not just an administrative agency, and that (2) it should be permitted to intervene as a party in the petitioner’s appeal before this court.

Precisely because the board is a statutory court, Foley Brothers, Inc. v. Commonwealth, 400 Pa. 584, 163 A.2d 80 (1960), see Merchants Warehouse Co. v. Gelder, 349 Pa. 1, 36 A.2d 444 (1944), it cannot intervene as an adversary party in an appeal to this court from its own decision, any more than a common pleas court could intervene in this court as a party.

Indeed, board counsel has cited Department of Public Welfare v. Shapiro, 80 Pa.Commonwealth Ct. 182, 471 A.2d 160 (1984), in which this court clearly held that the board is not an administrative agency but is a judicial tribunal, adding

As such, it has neither authority nor standing to participate as a party in proceedings involving an appeal from a decision that it has made.

80 Pa.Commonwealth Ct. at 184, 471 A.2d at 161.

Board counsel has argued strenuously that the right to intervene is implicit in the statement of the Supreme Court that:

Like any other tribunal, the Board of Claims has the implicit right to decide every question which occurs in a cause of action over which it has jurisdiction.

Shovel Transfer and Storage v. Simpson, 523 Pa. 235, 565 A.2d 1153, 1155 (1989). Of course, that statement clearly refers to the power of the board to decide questions before [379]*379it, not to act as an adversary party in an appeal from its decisions.

Board counsel strenuously argues that debatable issues in connection with a settlement, such as the fictitious name registration of the petitioner in this case and potential statutory limitation arguments, are not being addressed by the department and the petitioner, so that the board — perceiving that such issues might be in this case — has a right to come to our court to raise and pursue them. However, like any court, the board has no power to raise non-jurisdictional issues which the parties have not raised and, as noted above, no question of the board’s jurisdiction is present.

Moreover, board counsel fails to perceive that the presence of arguable questions is precisely why interested parties commonly enter into settlements of cases. The very purpose of a settlement is to leave, as unresolved, questions which, if litigated, could embroil the parties in a greater expenditure of time and money than the case is worth.

Question of Power of Board to Investigate and Reject Settlements

The statute governing the board, 72 P.S. §§ 4651-1 through 4651-10, empowers the board to arbitrate claims against the Commonwealth arising from contracts, by hearing and determining claims involving $300 or more, 72 P.S. §§ 4651-1, 4651-4. There is no mention of any power to investigate claims when the parties in interest wish to settle and discontinue them.

Under 72 P.S. § 4651-10, the board has statutory power to adopt rules and regulations. The board commendably has done so, ruling that procedure before the board “shall be, as nearly as possible, in accordance with 231 Pa.Code (relating to Rules of Civil Procedure).” Thus the board has adopted Pa.R.C.P. No. 229, which expressly allows parties to discontinue cases in the courts, as governed by those rules.

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582 A.2d 397, 135 Pa. Commw. 373, 1990 Pa. Commw. LEXIS 589, Counsel Stack Legal Research, https://law.counselstack.com/opinion/paul-peters-check-cashing-v-department-of-labor-industry-pacommwct-1990.