Justia West Virginia Supreme Court of Appeals Opinion SummariesArticles Posted in Government Contracts
Jefferson County Foundation, Inc. v. W. Va. Economic Development Authority
The Supreme Court affirmed the orders of the circuit court dismissing Jefferson County Foundation, Inc.'s suit seeking a declaration that a series of transactions were an unlawful "de facto tax abatement," holding that there was no error.After the West Virginia Economic Development Authority (WVEDA) adopted a resolution to undertake a series of transactions with Roxul USA, Inc. (Rockwool) to finance the construction of a manufacturing plant the Foundation filed a complaint seeking a declaration that the transactions were a de facto tax abatement for Rockwool that violates both statute and the West Virginia Constitution. The business court dismissed the suit with prejudice. The Supreme Court affirmed, holding (1) WVEDA was statutorily authorized to engaged in the transactions; (2) the transactions were not an exemption from tax; (3) the West Virginia Economic Development Act does not conflict with W. Va. Code 11-3-9; and (4) the transactions did not violate W. Va. Const. art. X, 1. View "Jefferson County Foundation, Inc. v. W. Va. Economic Development Authority" on Justia Law
Metro Tristate, Inc. v. Public Service Commission of W. Va.
The Supreme Court affirmed the order of the West Virginia Public Service Commission ruling that its jurisdiction under state law to regulate a company that was operating in West Virginia solely as a contractor for a federal agency was preempted by federal law, holding that there was no error in the Commission's determination.The United States Department of Veterans Affairs (VA), the federal agency in this case, was impelled to give the company, Community Pastor Care, LLC (CPC), the subject contract to meet a goal expressed by Congress in 38 U.S.C. 8127(a). Metro Tristate, Inc. filed this case asking that the Commission bar CPC from transporting VA passengers until it received a permit from the Commission. The Commission concluded that its jurisdiction to regulate CPC was preempted by federal law. The Supreme Court affirmed, holding that the Commission correctly determined that its jurisdiction to regulate CPC was preempted by federal law. View "Metro Tristate, Inc. v. Public Service Commission of W. Va." on Justia Law
West Virginia Counties Group v. Great Cacapon Volunteer Fire Department, Inc.
The Supreme Court affirmed the circuit court's dismissal of West Virginia Counties Group Self-Insurance Risk Pool, Inc.'s (WVCoRP) claims against Great Cacapon Volunteer Fire Department, Inc. (VFD), holding that the circuit court did not err.When a fire destroyed the building where VFD was housed, the owner of the building, the Morgan County Commission, was reimbursed for the loss by WVCoRP. Seeking to recover the funds it expended, WVCoRP sued the VFD and other parties for negligence. In the process, WVCoRP invoked a contractual right to subrogation. The circuit court determined that the claims against VFD were barred by W. Va. Code 29-12A-13(c), which prohibits claims against political subdivisions made under a right of subrogation. The Supreme Court affirmed, holding (1) WVCoRP's claims spring from its coverage contract with the Commission and fall within any plain meaning of subrogation; and (2) section 29-12A-13(c) is not an insurance law of the State from which WVCoRP is exempt. View "West Virginia Counties Group v. Great Cacapon Volunteer Fire Department, Inc." on Justia Law
Wiseman Constr. Co. v. Maynard C. Smith Constr. Co.
Respondent was the low bidder on a government construction contract. The Purchasing Division of the Department of Administration and the Lottery Commission (collectively, the Agency), however, awarded the contract to Petitioner, the next low bidder, determining that Petitioner was the lowest qualified responsible bidder on the project. Petitioner filed suit to rescind the contract. The circuit court ordered the Agency to award the contract to Respondent, concluding that the determination to disqualify Respondent was not rational. The Supreme Court affirmed, holding that the Agency abused its discretion when it awarded the construction contract to Petitioner. View "Wiseman Constr. Co. v. Maynard C. Smith Constr. Co." on Justia Law
Posted in: Government Contracts
PNGI Charles Town Gaming, LLC v. W. Va. Racing Comm’n
The West Virginia Racing Commission promulgated two administrative rules, a rule establishing the burden of proof for ejections by a racing association and a rule allowing the Racing Commission to grant a stay of a permit holder’s ejection by a racing association pending review. The Racing Commission adopted the rules without legislative approval, concluding that the rules were merely procedural rather than legislative and thus did not require legislative approval. PNGI Charles Town Gaming, LLC filed a petition seeking a writ of prohibition and declaratory judgment claiming that the rules had not been properly promulgated under the West Virginia Administrative Procedures Act. The circuit court entered summary judgment in favor of the Racing Decision, concluding that the rules were properly adopted without the need for legislative approval and that the Racing Commission possessed inherent authority to issue a stay of a racetrack’s ejection decision. The Supreme Court affirmed, holding that the circuit court did not err in concluding that the two rules were properly enacted procedural rules that were within the authority of the Racing Commission. View "PNGI Charles Town Gaming, LLC v. W. Va. Racing Comm’n" on Justia Law
Affiliated Constr. Trades v. W. Va. Dep’t of Transp.
In 2003, the Division of Highways (DOH) let out a public highway construction contract to Nicewonder Contracting. The Affiliated Construction Trades Foundation (ACT) filed a declaratory judgment action against the DOH and Nicewonder, alleging that the construction contract violated state and federal law because the DOH did not seek public bids for the project and there was no prevailing wage clause in the contract. Upon remand from the district court, the circuit court granted Nicewonder's motion for summary judgment, finding ACT lacked standing. The Supreme court reversed, holding that the appropriate standard to determine if an organization has representative standing to sue on behalf of its members is when the organization proves that (1) at least one of its members would have standing to sue in their own right; (2) the interests it seeks to protect are germane to the organization's purpose; and (3) neither the claim asserted nor the relief requested requires the participation of individual members in the lawsuit. The Court found that ACT met all three prongs and thus had representative standing to seek the declarations contained in its petition. View "Affiliated Constr. Trades v. W. Va. Dep't of Transp." on Justia Law