Terracor v. Utah Board of State Lands & Forestry

716 P.2d 796, 31 Educ. L. Rep. 1014, 29 Utah Adv. Rep. 42, 1986 Utah LEXIS 761
CourtUtah Supreme Court
DecidedMarch 7, 1986
Docket20270
StatusPublished
Cited by44 cases

This text of 716 P.2d 796 (Terracor v. Utah Board of State Lands & Forestry) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Terracor v. Utah Board of State Lands & Forestry, 716 P.2d 796, 31 Educ. L. Rep. 1014, 29 Utah Adv. Rep. 42, 1986 Utah LEXIS 761 (Utah 1986).

Opinions

STEWART, Justice:

Pursuant to Rule 65B(b)(3) of the Utah Rules of Civil Procedure,1 the plaintiff, Ter-racor, petitions this Court for extraordinary relief in the nature of a writ of mandamus, directing the Board of State Lands and Forestry and the Division of State Lands and Forestry to rescind a special use lease (“SULA 593”) issued by the Board to Bloomington Knolls Association. Terracor alleges that (1) the Board violated U.C.A., 1953, § 65-1-68,2 which permits the Board to sell subdivided school trust lands by public auction but does not allow the Board to dispose of such lands by negotiated leases; and (2) the Board breached its fiduciary responsibility to obtain the highest possible return from school trust lands by issuing SULA 593 without competitive bidding. Terracor claims that extraordinary relief is necessary because it has no plain and adequate remedy at law since section 65-1-9,3 which provides for appeals from some kinds of Board decisions, does not expressly state that appeals should be to the district court and that under decisions of this Court it is not clear whether this Court or the district court is the proper forum for an appeal in the first instance. Terracor also claims extraordinary relief is appropriate because the language of section 65-1-68 is clear and mandatory, and under Archer v. Utah State Land Board, 15 Utah 2d 321, 392 P.2d 622, 623 (1964), and Hamblin v. State Board of Land Commissioners, 55 Utah 402,187 P. 178 (1919), as well as Rule 65B, mandamus is an appropriate remedy where a public agency or official has violated a clear duty mandated by statute. The defendants counter that extraordinary re[798]*798lief is improper because Terracor only-seeks clarification of an unclear statute and that Terracor had a plain and adequate legal remedy by means of an appeal under section 65-1-9. Since we deny Terracor’s petition for an extraordinary writ because it lacks standing, we do not decide these issues.

In late 1983 or early 1984, Terracor approached the State Land Board and sought to acquire the 10.9-acre parcel of land at issue by exchanging an equivalent amount of property that Terracor owned. Some time after that, Bloomington Knolls applied to the Land Board to lease the same 10.9 acres, with the intention of subdividing the parcel for development as homesites. The Board notified Terracor of the competing proposal and explained that to make the land exchange acceptable Terracor would have to offer more land in exchange, or land of a greater value, since the land Terracor had offered would not be develo-pable for several years. The Board also notified Terracor that approval of the lease to Bloomington Knolls would, in effect, constitute a rejection of Terracor’s proposal. Terracor did nothing more toward negotiating an exchange. In May, 1984, the Board leased the 10.9 acres of school trust land to Bloomington Knolls.

Terracor protested the Land Board’s leasing procedure on the ground that it was contrary to state law and that it would result in unfair competition. On September 18, 1984, the Board ruled that Terracor had waived its right to protest by doing nothing to indicate a continuing interest in the land after being informed of Blooming-ton Knolls’ proposal. The Board also ruled that its procedures were in compliance with state law and that it had not violated its fiduciary responsibilities with respect to the administration of state school trust lands by leasing the disputed parcel pursuant to a negotiated lease rather than by auction.

Terracor then filed this petition for extraordinary relief directly in this Court. Terracor does not assert in this action that the Board erred in refusing Terracor’s proposed exchange. Indeed, in its “Petition for Relief Under Rule 65B(b)(3)” filed in this Court, Terracor admits that it does not now challenge the granting of the lease to Bloomington Knolls rather than to it. Thus, the action in this Court is not based on Terracor’s losing out to Bloomington Knolls for the parcel in question. Rather, Terracor asserts only that the Board violated state law by leasing rather than selling the parcel in question and violated its fiduciary duty to maximize the return on all school trust lands by negotiating a lease of a portion of those lands rather than requiring competitive bidding. It is noteworthy that Terracor’s aborted efforts to acquire the land were based on the same type of negotiated procedure that it now alleges is illegal.

The parties have not raised or addressed the question of Terracor’s standing to bring this petition to challenge the legality of the Land Board’s lease. However, this Court may address that issue sua sponte. Utah Restaurant Association v. Davis County Board of Health, Utah, 709 P.2d 1159 (1985); Heath Tecna Corp. v. Sound Systems International, Inc., Utah, 588 P.2d 169, 170 (1978). A petitioner for extraordinary relief must have standing, just as any other litigant must have. See, e.g., Startup v. Harmon, 59 Utah 329, 336, 203 P. 637, 640-41 (1921); Crockett v. Board of Education, 58 Utah 303, 309, 199 P. 158, 160 (1921).

The doctrine of standing is intended to assure the procedural integrity of judicial adjudications by requiring that the parties to a lawsuit have a sufficient interest in the subject matter of the dispute and sufficient adverseness that the legal and factual issues which must be resolved will be thoroughly explored. Unlike federal law where standing doctrine is related to the “case or controversy” language of Article III of the United States Constitution, our standing law arises from the general precepts of the doctrine of separation of powers found in Article V of the Utah Constitution. Under Utah law, the doctrine of standing operates as gatekeeper to [799]*799the courthouse, allowing in only those cases that are fit for judicial resolution. Important jurisprudential considerations dictate that courts confine themselves to resolution of those disputes most effectively resolved through the judicial process, i.e., crystalized disputes concerning specific factual situations. Flast v. Cohen, 392 U.S. 83, 88 S.Ct. 1942, 20 L.Ed.2d 947 (1968); Jenkins v. Swan, Utah, 675 P.2d 1145, 1149 (1983). Thus, the doctrine of standing limits judicial power so that there will not “be a significant inroad on the representative form of government, castpng] the courts in the role of supervising the coordinate branches of government ... [and converting] the judiciary into an open forum for the resolution of political and ideological disputes about the performance of government.” Baird v. State, Utah, 574 P.2d 713, 717 (1978). See also United States v. Richardson, 418 U.S. 166, 188-92, 94 S.Ct. 2940, 2952-54, 41 L.Ed.2d 678 (1974) (Powell, J., concurring). For this reason, this Court will not lightly dispense with the requirement that a litigant have a personal stake in the outcome of a specific dispute. Jenkins v. Swan, supra, 675 P.2d at 1150; see also Stromquist v. Cokayne,

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Bluebook (online)
716 P.2d 796, 31 Educ. L. Rep. 1014, 29 Utah Adv. Rep. 42, 1986 Utah LEXIS 761, Counsel Stack Legal Research, https://law.counselstack.com/opinion/terracor-v-utah-board-of-state-lands-forestry-utah-1986.