This Week’s Court of Appeals Opinions

Krishnan v. NC Dep’t of Health & Hum. Servs (20-107 – Published) Author: Judge Richard Dietz
State employee grievance; administrative law; time period to petition for contested case.

ALJ, on own initiative, dismissed petition for contested case hearing as untimely per GS 150B-23(f). Parties appealed, saying St. Human Resources Act, GS 126-34.02 applied; therefore, statute of limitations began to run when employee received agency decision, not when it was mailed. Court agreed with the parties, reversed and remanded.

Green v. Howell (20-204 – Published) Author: Judge Allegra Collins
Public official immunity; sufficiency of the complaint; malice or corruption.

Trial court’s order denying City Council Manager’s motion to dismiss on grounds of public official immunity is reversed.

Mitchell v. Boswell  (19-1077 – Published) Author: Judge Hunter Murphy
Motion to enforce settlement agreement; N.C.G.S. 7A-38.1(l); statute of frauds; authorized agent; signed by parties.

Mediated settlement agreement under G.S. § 7A-38.1(l) was signed by the parties’ attorneys instead of the parties. Failure of parties to sign “renders it unenforceable as a matter of law.”

NC Dep’t of State Treasurer v. Riddick (20-224 – Published) Author: Judge John Tyson
Public employees retirement system; N.C. Gen. Stat. sections 128 and 161; non-accrual of benefits after criminal conduct; conversion of sick leave; U.S. Const. art. I, sec. 10; N.C. Const. art. I., sec. 19 and 27.

Register of Deeds retired and also “entered guilty pleas to six (6) counts of felonious Embezzlement by a Public Official in Excess of $100,000, in violation of N.C. Gen. Stat. § 14-92 (2019).” After conviction, the retirement system determined she forfeited retirement as of effective date of the forfeiture statute, reducing her years of service and making her ineligible for retirement. ALJ’s decision modified retirement system decision. Superior Court upheld ALJ. On appeal, she argued unconstitutional retroactive application, cruel and unusual punishment and interference with contract, and the Court of Appeals rejected each of those constitutional arguments.

Pounds v. Portfolio Recovery Assocs., LLC  (19-925 – Published) Author: Judge Tobias Hampson
Motion to Compel Arbitration; Assignment; Credit Card Agreement.

Defendant bought plaintiffs’ debt from the original creditors, obtained default judgments. When sued, defendant tried to compel arbitration. Court finds that the agreements to purchase the debt did not include assignment of all rights, e.g., arbitration; therefore, trial court’s finding defendants could not compel plaintiffs to arbitrate was correct. As it was an interlocutory appeal allowable because denial of motions to compel arbitration are immediately appealable, case is remanded for proceedings on other aspects of case. Plaintiffs seek vacatur of all the default judgments (class action), prospective injunctive relief, penalties and repayment of any monies paid.

Note: This case is of potential interest as a plaintiffs’ win down the road could eliminate judgments against many consumers. Such judgments are one of the things many occupational licensing boards and agencies inquire about. So, this is something to keep an eye on.

Richardson v. NC State Bureau of Investigation (18-765 – Unpublished)  Author: Judge Wanda Bryant
Administrative Law; Discipline; Just Cause.