Sholes v. Sholes

760 N.E.2d 156, 2001 Ind. LEXIS 1112, 2001 WL 1637506
CourtIndiana Supreme Court
DecidedDecember 21, 2001
Docket27S02-0112-CV-655
StatusPublished
Cited by37 cases

This text of 760 N.E.2d 156 (Sholes v. Sholes) is published on Counsel Stack Legal Research, covering Indiana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sholes v. Sholes, 760 N.E.2d 156, 2001 Ind. LEXIS 1112, 2001 WL 1637506 (Ind. 2001).

Opinions

ON PETITION FOR TRANSFER

BOEHM, Justice.

We grant transfer in this civil appeal to determine whether Indiana Code section 34-10-1-2 requires appointment of counsel for civil litigants who are without "sufficient means to prosecute or defend an action." We hold: (1) appointment of counsel under the statute is mandatory; (2) counsel appointed under the statute must be compensated; and (8) Indiana Trial Rule 60.5 gives trial courts the power to order payment of appointed counsel, but (4) the same considerations governing other court- mandated funding apply in determining whether mandate is appropriate, and (5) counsel for whom mandate of compensation is not appropriate under Trial Rule 60.5 cannot constitutionally be appointed under the statute. In sum, in ruling on an application for appointed counsel in a civil case, the trial court must determine whether the applicant is indigent, and whether the applicant, even if indigent, has means to prosecute or defend the case. If those criteria are met, and there is no funding source or volunteer counsel, the court must determine whether the mandate of expenditure of public funds is appropriate in that case.

Factual and Procedural Background

On February 10, 1998, Christine Sholes filed a petition for dissolution of marriage from her husband David Sholes, who is serving a life sentence in the Indiana State Prison. The trial court held a final hearing on the petition on April 14, 1998, and entered a decree of dissolution on April 16. Christine was awarded all marital property that was not in David's possession. In addition, the court entered a qualified domestic relations order directing General Motors Corporation, David's former employer, to pay 100% of David's retirement benefits to Christine. Ten months later, on February 19, 1999, David, pro se, filed a "Verified Motion to Proceed as Pauper." No ruling on that motion appears in the record. On March 8, David filed another "Verified Motion to Proceed as Pauper" in [158]*158connection with a request for a record of proceedings. The court denied David's request for a record and made no finding as to David's indigence.

On April 15, 1999, David filed a motion to set aside the judgment and the trial court scheduled a hearing for April 29. On the day of the hearing, David filed a "Verified Request for Appointment of Pauper Counsel." Though David did not explicitly rely on Indiana Code section 34-10-1-2, he stated that he was "wholly without funds to pay for an attorney due to his indigent status." The trial court denied David's request without making any findings. On June 16, 1999, the trial court found "that [David] is without sufficient funds or means" to pay for a transcript of the record for purposes of his appeal, and ordered one prepared at public expense.

The Court of Appeals reversed the trial court's denial of David's motion to set aside the judgment. Sholes v. Sholes, 732 N.E.2d 1252 (Ind.App.2000). In doing so, the court relied on Indiana Code sections 34-10-1-1 and 34-10-1-2. Those sections provide:

See. 1. An indigent person who does not have sufficient means to prosecute or defend an action may apply to the court in which the action is intended to be brought, or is pending, for leave to prosecute or defend as an indigent person.
See. 2. If the court is satisfied that a person who makes an application described in section 1 of this chapter does not have sufficient means to prosecute or defend the action, the court shall:
(1) admit the applicant to prosecute or defend as an indigent person; and
(2) assign an attorney to defend or prog-ecute the cause.
All officers required to prosecute or defend the action shall do their duty in the case without taking any fee or reward from the indigent person.

Ind.Code §§ 34-10-1-1, -2 (1998). The Court of Appeals concluded that David had presented sufficient evidence that he was indigent and that all proceedings after David's request for counsel must be vacated. Sholes, 782 N.E.2d at 1258.

Christine sought transfer. Because of the importance of the issues presented, this Court issued an order inviting amicus curiae briefs, and received responses from the Evansville Bar Association, Hendricks County Bar Association, Indiana Legal Services, Inc., Indiana Civil Liberties Union, and Lifers United for Penal Progress. We invited comment as to the following issues: (1) Does Indiana Code section 34-10-1-2 require appointment of counsel for civil indigent litigants; (2) if so, must the attorney be paid; and (8) if the attorney is entitled to be paid, who is responsible for the payment?

Though not identical, the arguments presented by amici may be summarized as follows: (1) section 34-10-1-2 imposes a mandatory duty on the courts to appoint counsel for civil litigants who meet the statute's requirements; and (2) section 34-10-1-2 does not forbid compensation to appointed counsel.1 The central issue, according to amici, is whether the statute allows for payment of appointed counsel. They argue that if compensation is not provided, then the statute is unconstitutional. Amicus Hendricks County Bar Association also posits that appointments under the statute would impose an unequal burden on counties that house the state's [159]*159correctional facilities. Both Indiana Legal Services, Inc. and the Indiana Civil Liberties Union contend that the counties are responsible for compensating the appointed counsel.

We agree with the Court of Appeals that the statute does not confer discretion on the trial court to deny counsel. And, as explained below, amici are correct that the Indiana Constitution requires that appointed counsel be compensated. However, in the absence of any legislatively prescribed source of funding, a court's ability to direct that counsel be appointed is cireumseribed by the doctrines surrounding the court's ability to order the expenditure of public funds. Ultimately, then, the decision to appoint counsel for an indigent litigant in a civil case turns on the court's assessment of the nature of the case, the genuineness of the issues, and any other factors that bear on the wisdom of mandating public funds for that purpose.

I. Indiana Code Section 34-10-1-2 Requires Appointment of Counsel

The Court of Appeals concluded that the legislature, by failing to amend section 34-10-1-2 in light of Holmes v. Jones, 719 N.E.2d 843 (Ind.Ct.App.1999), has approved of Holmes' holding that the unambiguous language of the statute requires appointment of counsel. Sholes, 732 N.BE.2d at 1258. David argues that legislative acquiescence analysis is unnecessary to the Court of Appeals' holding because the legislature has already expressed its intent in the original enactment of section 34-10-1-2. We think David is essentially correct. Courts are obliged to respect the plain language of a statute. Bartlett v. State, 711 N.E.2d 497, 501 (Ind.1999). Indiana case law "presumptively treats 'shall as mandatory ... 'unless it appears clear from the context or the purpose of the statute that the legislature intended a different meaning."" Ind. Civil Rights Comm'n v.

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Bluebook (online)
760 N.E.2d 156, 2001 Ind. LEXIS 1112, 2001 WL 1637506, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sholes-v-sholes-ind-2001.