Simmons v. Cohen

551 A.2d 1124, 122 Pa. Commw. 70, 1988 Pa. Commw. LEXIS 950
CourtCommonwealth Court of Pennsylvania
DecidedDecember 13, 1988
DocketNo. 2229 C.D. 1985
StatusPublished
Cited by6 cases

This text of 551 A.2d 1124 (Simmons v. Cohen) 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
Simmons v. Cohen, 551 A.2d 1124, 122 Pa. Commw. 70, 1988 Pa. Commw. LEXIS 950 (Pa. Ct. App. 1988).

Opinion

Opinion by

Judge Craig,

Simmons v. Cohen, 111 Pa. Commonwealth Ct. 267, 534 A.2d 140 (1987), recites much of the history of this case, which is a class action brought against the Pennsylvania Department of Public Welfare (DPW) to require DPW to reimburse welfare recipients for legal expenses incurred by them in recovering Supplemental Security Income (SSI) awards from the federal government, awards from which DPW has recovered payment of the subrogation liens accruing to it by virtue of DPW’s previous payment of interim benefits to the welfare recipients pending resolution of their federal claims.

The question now presented is as follows:

Where DPW has a common law obligation to bear its proportionate share of the legal costs incurred by welfare recipients in recovering federal SSI awards, as to which DPW has subrogation liens for providing interim assistance, may DPW elect to limit its common law obligation only to those recipients who received their federal awards after a specific date selected by DPW for administrative or ‘policy’ reasons?

[72]*72 History of the Case

In this case, certified as a class action by order of this court dated May 19, 1987, the initiating petitioner was Ethel H. Holloway, now deceased and represented by her personal representative, Henry Simmons. After the federal Social Security Administration denied SSI benefits for her in 1981, the decedent appealed that denial through the federal administrative, process, receiving interim general assistance from DPW pending resolution of the federal case. As of March 1, 1983, the federal Social Security Administration awarded the decedent a lump sum for back SSI benefits in the amount of $4,892.40. The federal government sent a check for that amount directly to DPW, which retained $2,854.40, the total amount of interim assistance that DPW had paid, and relayed the rest to the decedent. By letter of June 20, 1983, the decedent, through counsel, asked DPW to reimburse her for DPWs proportionate share of the attorneys fees incurred in obtaining the federal award, which the decedent had paid after the Social Security had approved them as to amount.

Just one week thereafter,, on June 28, 1983, DPW adopted its “SSI Attorneys Fee Reimbursement Policy” (DPW Fee Reimbursement Policy) acknowledging that DPW would reimburse attorney s fees to successful welfare recipients in SSI proceedings, but limiting reimbursement to those cases where “[t]he SSI award of record date is on or after April 1, 1983.”

Although DPWs reimbursement policy, which excluded petitioners claim by setting a cutoff date just one month later than the date of her award, thus came into being a few days after her request in June of 1983, DPW displayed an unusual degree of bureaucratic indifference by not reaching a definitive denial decision on her request until more than a year later, on July 2, [73]*731984. DPW rested its denial solely on the fact that the record date of the petitioners award antedated the cutoff date by one month.

Shortly after the denial letter, petitioners counsel, on September 7, 1984, requested a hearing from DPW on the matter. To that request, DPW did not bother to respond.

Finally, when DPWs continuing silence for nearly a year indicated that no hearing would be forthcoming, the petitioner filed this action on August 14, 1985. In Simmons, this court denied DPWs motion for summary judgment, holding that this court had jurisdiction over the action as an original jurisdiction proceeding and declining to dismiss the action upon the ground of the statute of limitations. In Simmons, we also held that 42 Pa. C. S. §5524(6) sets a two-year period of limitation for actions against government units for the nonpayment of money or the nondelivery of property in a government officers possession. The court further held that the statute, by the commencement of this action, was tolled as to other members of the class, and that the two-year period of limitations would bar only those class members, if any, whom DPW informed, before August 14, 1983, that their attorneys fee reimbursement requests were denied on the basis of the DPW Fee Reimbursement Policy cutoff date.

After our Simmons decision, counsel sought to implement the class certification by serving on DPW interrogatories seeking a list of class members who had received their federal awards pursuant to appeal on or after January 1, 1974, the date of the federal-state compact on this subject. DPW elected to answer only in terms of recipients whose awards were dated earlier, than the April 1, 1983 cutoff date and who had received DPW denials of attorney fee reimbursement between the June 28, 1983 date of the DPW Fee Reimburse[74]*74ment Policy and August 14, 1983, the date two years before the running of the statute of limitations was tolled by the commencement of this action. On the basis of that interpretation, DPW claimed that the only class member was Ethel H. Holloway, the deceased initiating petitioner in this case. Accordingly, DPW moved for decertification of the class on the ground that it only had. one member.

DPWs interpretation was both factually and legally erroneous. As a matter of fact, as established by the Joint Stipulation, DPW had not expressly denied reimbursement to Ethel Holloway until long after August 14, 1983. As a matter of law, DPW was attempting to limit its response to the interrogatories only to those recipients which, according to DPWs own view of Simmons, would be excluded by virtue of the statute of limitations.

Moreover, despite DPWs theory that all potential parties earlier than Holloway need not be included in answering interrogatories because they would be barred by the statute of limitations, this court pointed out that it cannot delegate to DPW the function of determining, before trial, which persons are to be excluded from the class by reason of the statute of limitations. Because the purpose of discovery is to obtain information necessary to identify persons within the class and outside of it, proper response to discovery is required, particularly because that response would not constitute any admission with respect to the ultimate rights of the persons identified.

Petitioners present motion for summary judgment must be characterized more properly as a motion for partial summary judgment because, if the substantive right is established, there would still remain in this action a need to proceed with the identification and possible classification of all class members. [75]*75Subrogees Obligation To Contribute to the Expenses of Litigation Producing the Fund Subject to the Subrogation Lien

Furia v. Philadelphia, 180 Pa. Superior Ct. 50, 118 A.2d 236 (1955), established the common law duty of a governmental agency subrogee to contribute proportionately to the legal expense of recovering funds subject to subrogation rights. In Associated Hospital Service of Philadelphia v. Pustilnik, 262 Pa. Superior Ct. 600, 396 A.2d 1332 (1979), pacated and remanded on other grounds, 497 Pa. 221, 439 A.2d 1149

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Martinez v. Colorado Department of Human Services
97 P.3d 152 (Colorado Court of Appeals, 2003)
Bollman Hat Co v. Root
Third Circuit, 1997
Simmons v. Snider
645 A.2d 400 (Commonwealth Court of Pennsylvania, 1994)
Steinberg v. County of Hillsborough
36 Fla. Supp. 2d 190 (Florida Circuit Courts, 1989)

Cite This Page — Counsel Stack

Bluebook (online)
551 A.2d 1124, 122 Pa. Commw. 70, 1988 Pa. Commw. LEXIS 950, Counsel Stack Legal Research, https://law.counselstack.com/opinion/simmons-v-cohen-pacommwct-1988.