SHELBY COUNTY TREATMENT CENTER v. Edmondson

945 So. 2d 1048, 2005 Ala. Civ. App. LEXIS 623, 2005 WL 2680016
CourtCourt of Civil Appeals of Alabama
DecidedOctober 21, 2005
Docket2040205
StatusPublished
Cited by1 cases

This text of 945 So. 2d 1048 (SHELBY COUNTY TREATMENT CENTER v. Edmondson) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
SHELBY COUNTY TREATMENT CENTER v. Edmondson, 945 So. 2d 1048, 2005 Ala. Civ. App. LEXIS 623, 2005 WL 2680016 (Ala. Ct. App. 2005).

Opinion

945 So.2d 1048 (2005)

SHELBY COUNTY TREATMENT CENTER et al.
v.
Alan EDMONDSON et al.

2040205.

Court of Civil Appeals of Alabama.

October 21, 2005.
Rehearing Denied December 30, 2005.

*1050 G. Dennis Nabors and David E. Belser of Nabors Belser & DeBray, LLC, Montgomery, for appellants.

Mickey L. Johnson, Pelham, for appellees.

CRAWLEY, Presiding Judge.

Shelby County Treatment Center ("SCTC"), Susan Sidwell, Dr. Glen Archibald, and Frank Combs appeal from a judgment granting injunctive relief in favor of Alan Edmondson and 37 other individuals who allege that they are residents of Saginaw, Alabama. We reverse.

The record indicates that SCTC is a corporation whose officers and shareholders include Susan Sidwell, Dr. Glen Archibald, and Frank Combs. On October 21, 2003, SCTC filed an application with the State Health Planning and Development Agency ("SHPDA") for a certificate of need ("CON") to operate a methadone clinic[1] in Shelby County. The application stated that the proposed location of the clinic was Calera, Alabama, an incorporated municipality within Shelby County.

Pursuant to Ala. Admin. Code (SHPDA) Rule 410-1-7-.08, SHPDA notified the public that SCTC had applied for a CON to operate a methadone clinic in Shelby County and that it proposed to operate the clinic in Calera.[2] Between October 24, 2003 and January 21, 2004, SHPDA conducted a review of and held a public hearing on the application. No individual or entity filed a request to intervene in opposition to the application or to have the application assigned to an administrative law judge for a contested case hearing. See Ala. Admin. Code (SHPDA) Rule 410-1-8-.01 (establishing time limits for filing a *1051 contest of a CON application). On February 4, 2004, SHPDA granted SCTC's CON application.

After the CON was granted, SCTC was unsuccessful in locating suitable rental property or a lot for sale in Calera upon which to build its clinic. However, SCTC found a building site in Saginaw, an unincorporated community 2.5 miles north of Calera in Shelby County. On May 24, 2004, SCTC filed a request for a modification of the CON to relocate in Saginaw; the request was granted the same day. A May 6, 2004 article in The Birmingham News had reported the proposed change in location.

On May 20, 2004, Robert E. Owens, the District Attorney for the 18th Judicial Circuit, purporting to represent the State of Alabama as well as Alan Edmondson and 37 other residents of Saginaw, filed in the Shelby Circuit Court a complaint for injunctive relief, seeking to prevent the opening of the clinic in Saginaw or, in the alternative, to remand the cause to SHPDA for a public hearing on the propriety of locating the clinic in Saginaw. In their complaint, the plaintiffs asserted that they were denied their due-process rights to notice and a hearing because SCTC's "misrepresentation" as to the location of the clinic prevented them from discovering the true location of the clinic until the time for contesting the CON application had expired.

On May 25, 2004, the trial court issued a temporary restraining order ("TRO"), requiring SCTC to cease and desist from all actions designed to further the opening of a methadone clinic in Saginaw and setting the matter for an evidentiary hearing on the plaintiffs' motion for a preliminary injunction. In addition, the TRO determined

"that a public interest is affected by the matters alleged in plaintiffs' complaint, and that the District Attorney for Shelby County is a proper representative for the named plaintiffs and for the citizens of the State of Alabama in protecting such public interest."

On June 4, 2004, at a hearing on the motion for a preliminary injunction, Mickey Johnson, a lawyer in private practice, entered an appearance for the plaintiffs; the district attorney informed the trial court that Johnson was assisting him with the case. At the hearing on the motion for a preliminary injunction, the parties made legal arguments and submitted documentary evidence consisting of SCTC's CON application and the SHPDA file on the application; no testimony was presented.

On June 14, 2004, the trial court entered a lengthy order granting a preliminary injunction. In summary, the court determined that (1) SCTC's application for a CON to operate a methadone clinic in Calera "was done, procedurally, according to the controlling laws and regulations governing such applications," but that (2) SCTC had misrepresented its intent to locate the clinic in Calera, and that (3) SCTC's "decision . . . to locate [the clinic] in Saginaw, Alabama without first providing any form of public notice of such intent, deprive[d] the plaintiffs of their right to due process." The court concluded that "any certificate of need, or amendment or modification thereto, issued in contravention of the due process rights acknowledged herein is void and [SCTC was] enjoined from acting thereon."

After the hearing, but before the trial court ruled on the motion for a preliminary injunction, SCTC moved to dismiss the district attorney as the plaintiffs' counsel or, in the alternative, to join SHPDA as a party. The trial court set the motions for a hearing on July 19, 2004. The court denied both motions in open court at an August 9, 2004, hearing.

*1052 Testimony and documentary evidence were presented at hearings on August 9 and August 20, 2004. Although the plaintiffs presented legal arguments and cross-examined witnesses called by SCTC at both hearings, they called no witnesses and presented no evidence at either hearing.

On October 12, 2004, the trial court entered an order permanently enjoining SCTC from operating a methadone clinic in Saginaw. The order expressly adopted the findings of fact and conclusions of law in the May 25, 2004, order granting the TRO. The order issuing the permanent injunction states, in pertinent part:

"2. That all other remedies available to the plaintiffs by law have been circumvented as described herein, and that injunctive relief is the only adequate remedy remaining to the plaintiffs in this cause.
". . . .
"4. Additional evidence has been presented on a hearing for permanent injunctive relief. On the issue of conformity to the rules and regulations of the [SHPDA], the Court finds:
"(a) That due process requires notice to the public sufficient to allow them to be heard [in] a meaningful manner. A[CON] application made to the [SHPDA] is subject to the provisions of § 41-22-12, Code of Alabama, and can be made a contested case, thus invoking a number of procedural safeguards afforded citizens in the administrative process. It is incumbent, in the first instance, that sufficient, truthful information be provided to state agencies for public access and dissemination in order for citizens to accurately assess the impact that administrative decisions may have upon them. The failure to provide accurate information in a public application prohibits an interested person from determining the extent of such impact, thus precluding informed decisions on the degree to which procedural and substantive safeguards can and should be employed.
"(b) That a misrepresentation regarding the planned location of the [clinic] in the [CON] application . . . precluded plaintiffs from discovering those facts necessary to determine the degree by which they would be affected by any action taken on the application.

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Bluebook (online)
945 So. 2d 1048, 2005 Ala. Civ. App. LEXIS 623, 2005 WL 2680016, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shelby-county-treatment-center-v-edmondson-alacivapp-2005.