Richardson v. The UPS Store, Inc.

Massachusetts Supreme Judicial Court·Decided October 28, 2020·No. SJC 12769·Published

Opinion

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SJC-12769 KEVIN RICHARDSON, SECOND1 vs. THE UPS STORE, INC., & another.2

Suffolk. April 9, 2020. - October 28, 2020.

Present: Gants, C.J., Lenk, Gaziano, Lowy, Budd, Cypher, & Kafker, JJ.3

Notary Public. Statute, Construction.

Certification of a question of law to the Supreme Judicial Court by the United States District Court for the District of Massachusetts.

Orestes G. Brown for the plaintiff.

Joseph R. Palmore, of the District of Columbia, for the defendants.

Michael Walsh, for Walsh & Walsh LLP, amicus curiae, submitted a brief.

1 Individually and on behalf of all others similarly situated.

2 J&V Logistics LLC.

3 Chief Justice Gants participated in the deliberation on this case prior to his death.

BUDD, J. In this case we have been asked by the United States District Court for the District of Massachusetts whether G. L. c. 262, §§ 41 and 43, Executive Order Nos. 455 (03-13) and 455 (04-04), or the codification of such orders within G. L. c. 222, limit the fees that a notary public may charge for any and all notarial acts to no more than $1.25. The question arises in connection with a lawsuit brought by the plaintiff, Kevin Richardson, II, alleging that the defendants, The UPS Store, Inc., and J&V Logistics LLC, the franchise owner, overcharged him for notary services. We conclude that the $1.25 fee cap set forth in G. L. c. 262, § 41, applies only to a particular notarial act known as "noting," i.e., a step in the process of protesting a dishonored negotiable instrument, and that the meaning of that section has not been expanded, either by statute or executive order, to include all notarial acts.4 And aside from § 41 there currently are no statutes or executive orders that cap fees for any other notarial act.

Background. We recite the undisputed facts relevant to the certified question. The plaintiff used the services of a notary public at the subject UPS store to notarize documents signed by the plaintiff or his wife various times between 2012 and 2016. On at least three occasions, the plaintiff was charged a total

4 We acknowledge the amicus brief submitted by Walsh & Walsh LLP.

of ten dollars per service, including $1.25 for the notarization and $8.75 for clerical fees.

In August 2016, the plaintiff filed suit against the defendants in the Superior Court, alleging violations of G. L. c. 262, § 41, and G. L. c. 93A. The defendants removed the case to the United States District Court for the District of Massachusetts under the Federal Class Action Fairness Act of 2005, where the plaintiff moved for class certification of present and former purchasers of notarization services from the defendants for the period between August 30, 2012, to the date of judgment, and alleging $5.9 million in damages. The defendants opposed class certification and moved to certify to this court the question whether § 41 applies to all notarial acts as the plaintiff contends. The District Court certified the question regarding the scope of § 41, and denied the plaintiff's motion for class certification with leave to renew within fourteen days of our opinion on this matter.

The certified question5 put to this court asks:

"Does [G. L. c. 262, § 41 or 43,] proscribe fees in excess of $1.25 for notarization of a document where the notarial act at issue is unrelated to the protest of a bill of exchange, order, draft or check for non-acceptance or non-

payment, or of a promissory note for non-payment and what, if any, impact do Executive Order Nos. 455 (03-13) and 455 (04-04) and the codification of Executive Order No. 455

5 The original certified question, which made reference only to G. L. c. 262, §§ 41 and 43, was expanded to include Executive Order No. 455 and G. L. c. 222 in the inquiry.

(04-04) as [G. L. c. 222] in 2016 have on the question of whether [G. L. c. 262, § 41 or 43,] proscribe such fees?"

For reasons explained infra, we answer the question "no," G. L. c. 262, §§ 41 and 43, do not proscribe fees for acts unrelated to the protest of a negotiable instrument, and neither Executive Order Nos. 455 (03-13) and 455 (04-04) nor G. L. c. 222 has any impact on our interpretation of §§ 41 and 43.

Discussion. 1. Scope of G. L. c. 262, § 41. In determining the scope of § 41, "[o]ur analysis begins with the statutory language, the principal source of insight into [l]egislative purpose" (quotation and citation omitted). Dental Serv. of Mass., Inc. v. Commissioner of Revenue, 479 Mass. 304, 306 (2018). Section 41 provides:

"The fees of notaries public shall be as follows: For the protest of a bill of exchange, order, draft or check for non-acceptance or non-payment, or of a promissory note for non-payment, if the amount thereof is [$500] or more, one dollar; if it is less than [$500], fifty cents; for recording the same, fifty cents; for noting the non-

acceptance or non-payment of a bill of exchange, order, draft or check or the non-payment of a promissory note, seventy-five cents; and for each notice of the non-

acceptance or non-payment of a bill, order, draft, check or note, given to a party liable for the payment thereof, twenty-five cents; but the whole cost of protest, including necessary notices and the record, if the bill, order, draft, check or note is of the amount of [$500] or more, shall not exceed two dollars, and if it is less than [$500], shall not exceed one dollar and fifty cents; and the whole cost of noting, including recording and notices, shall in no case exceed one dollar and twenty-five cents"

(emphasis added).

The plaintiff contends that § 41 limits the fees that notaries public are permitted to charge for any notarial act to $1.25. In support of this interpretation, he points to the last sentence in § 41, which states: "[T]he whole cost of noting . . . shall in no case exceed one dollar and twenty-five cents." We are not convinced.

By its plain language, § 41 applies to fees charged by notaries public in connection with the act of "protesting" the nonpayment of a negotiable instrument. A protest is a series of notarial acts in which a notary public prepares a certificate of dishonor verifying that a negotiable instrument, such as a check or promissory note, was dishonored by nonacceptance or nonpayment. See G. L. c. 106, § 3-505 (b). The certificate is used to recover the money owed. See G. L. c. 106, §§ 3-503 (a), 3-505 (b). Although this process rarely is used in modern times, it was a common procedure in 1836, when the law was first passed. R.S. (1836), c. 122, § 16.6 Section 41 enumerates a

6 General Laws c. 262, § 41, is the current codification of a statute that was originally enacted in 1836 as R.S. (1836), c. 122, § 16. Since its enactment in 1836, the statute has undergone multiple revisions as the Legislature periodically recompiled its statutes. See R.S. (1836), c. 122, § 16; G.S. (1860), c. 157, § 13; P.S. (1882), c. 199, § 21; R.L. (1902), c. 204, § 31; G. L. c. 262, c. 41 (1921). The final clause, providing that "the whole cost of noting, including recording and all notices, shall in no case exceed one dollar and twenty- five cents," was introduced in 1839, and has remained unchanged since. See St. 1839, c. 93, § 1.

variety of fees associated with discrete notarial acts within the process of protesting, including two separate fee caps that limit the "whole cost of protest" to two dollars if the negotiable instrument is worth $500 or more, and $1.50 if the negotiable instrument is worth less than $500.

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