Jefferson Cnty. v. Birchfield

• Decision Date: 15 November 2013
• Docket Number: 2090257.
• Citation: 142 So.3d 556
• Parties: JEFFERSON COUNTY v. Suzanne BIRCHFIELD.
• Court: Alabama Court of Civil Appeals

142 So.3d 556

JEFFERSON COUNTY

v.Suzanne BIRCHFIELD.

2090257.

Court of Civil Appeals of Alabama.

June 17, 2011.

Certiorari Denied Nov. 15, 2013

Alabama Supreme Court 1101140.

French A. McMillan, asst. county atty., Birmingham, for appellant.

Candice J. Shockley of Shockley & King, LLC, Pelham, for appellee.

BRYAN, Judge.¹

Jefferson County, the defendant below, appeals from a judgment in favor of Suzanne Birchfield, the plaintiff below. We reverse and remand.

Procedural History

On July 26, 2006, Birchfield sued Jefferson County. Her complaint, as ultimately amended, alleged that she had served as the appointed chief deputy tax assessor for the Bessemer Division of Jefferson County (“the chief deputy tax assessor-Bessemer”) from September 29, 1987, until October 15, 2006; that she was entitled to cost-of-living adjustments (“COLAs”) to her salary while she served as the chief deputy tax assessor-Bessemer; that John Scott, who was the elected assistant tax assessor for the Bessemer Division of Jefferson County (“the assistant tax assessor-Bessemer”) when she was appointed the chief deputy tax assessor-Bessemer, had represented to her in September 1987 that she was not entitled to COLAs because COLAs would cause her compensation to exceed 90% of his compensation, which would violate applicable law; that that representation constituted a misrepresentation of material fact; and that she was entitled to the COLAs that had not been paid to her from September 29, 1987, through September 30, 2002. Based on those allegations, Birchfield sought a judgment declaring that she was entitled to COLAs for the period September 29, 1987 through September 30, 2002, and damages based on theories of breach of contract and misrepresentation. Answering, Jefferson County denied that Birchfield was entitled to COLAs while she served as the chief deputy tax assessor-Bessemer and denied that Scott had misrepresented a material fact to Birchfield. Jefferson County also asserted various affirmative defenses including the applicable statutes of limitations.

Following a bench trial at which it received evidence ore tenus, the trial court entered the following judgment:

“This cause came on to be heard on Plaintiff, Suzanne Birchfield's Complaint for payment of Cost of Living Adjustment Benefits due from Jefferson County. The Court took testimony on June 30th and July 6th, 2009. After considering said testimony and the exhibits received into evidence, this Court finds that the following order is due to be entered:

“1. On July 14, 1987, the Alabama Legislature enacted Act 87–421 which provided for the appointment of a Chief Deputy Tax Assessor by the Elected Jefferson County Tax Assessor and by the Elected Jefferson County Assistant Tax Assessor, Bessemer Division. Said act provided that the Deputy Tax Assessor would be ‘compensated at a rate equal to Jefferson County Merit System Class Thirty ...’ and that ‘Said Chief Deputies shall receive any and all benefits that are received by Merit System Employees, including longevity payments....'

“2. One of the benefits to which the Merit System Employees of Jefferson County were and are entitled is a yearly Cost of Living Adjustment. The amount of the benefit is adjusted in the fall of each year by the Jefferson County Commission.

“3. Suzanne Birchfield was appointed as Chief Deputy Tax Assessor for the Bessemer Division of Jefferson County, Alabama on September 29, 1987 and held that position until October 15, 2006.

“4. Jefferson County by and through its employees and agents represented to Suzanne Birchfield that she was not entitled to the Cost of Living Adjustment Benefit from 1987 until July of 2004.

“5. Suzanne Birchfield learned for the first time that she was entitled to the Cost of Living Adjustment Benefit in August of 2004 when she received a copy of an opinion issued on July 27, 2004, by the Office of the Attorney General of the State of Alabama. This opinion, designated as Opinion 2004–189 [,] provided in pertinent part:

“ ‘The acts state that the “Chief Deputy” shall receive any and all benefits that are received by Merit System Employees, including longevity payments....” (Citations omitted). It is the opinion of this Office that cost-of-living increases qualify as such a benefit. Therefore, if the Jefferson County Commission grants merit system employees in Jefferson County a cost-of-living increase, the chief deputies would be entitled to the same cost-of-living increase.’

“The opinion further provided:

“ ‘The chief deputies are entitled to a cost-of-living increase, however, because Acts 87–421, 88–936, and 88–946 state that the chief deputies are entitled to all of the benefits of county merit system employees. When the Jefferson County Commission grants a cost-of-living increase to merit system employees, the deputies should receive the same cost-of-living increase.’

“6. Suzanne Birchfield contacted the Jefferson County's Attorney's Office on August 2, immediately after she learned of the Attorney General's opinion and requested payment of the Cost of Living Adjustment Benefits.

“7. On the 15th day of September, 2004, Ms. Birchfield received from Jefferson County the sum of $1,640.76, which Jefferson County claimed was payment of the Cost of Living Adjustment Benefit for the period October 1, 2003 through [September] 4, 2004.

“8. On the 28th day of February, 2005, Ms. Birchfield received from Jefferson County the sum of $1,352.40 which Jefferson County claimed was payment of the Cost of Living Adjustment Benefit for the period October 1, 2002 through September 30, 2003.

“9. Suzanne Birchfield submitted a claim to Jefferson County for the Cost of Living Adjustment Benefits which had been wrongfully denied to her for the time period September 29, 1987 through [September 30, 2002].

“10. Jefferson County refused to pay the claim.

“11. Suzanne Birchfield filed suit in this Court within two years of the time that she first learned that she, as the Chief Deputy Tax Assessor of [the Bessemer Division of] Jefferson County, was entitled to the Cost of Living Adjustment Benefit received by the Merit System Employees of Jefferson County.

“12. At trial, Suzanne Birchfield submitted an amended claim to this Court for the unpaid Cost of Living Adjustment Benefits in the amount of [$]141,542.24.

“13. Section 6–5–101 of the Code of Alabama provides:

“ ‘Misrepresentations of a material fact made wilfully to deceive, or recklessly without knowledge and acted on by the opposite party, or if made by mistake innocently and acted on by the opposite party constitute legal fraud.’

“14. Jefferson County, through its officials, agents and employees represented to Suzanne Birchfield that she was not entitled to a benefit which she was, by law, entitled to receive. These false representations were continuing in nature and were made to Suzanne Birchfield with the intent that she should rely on them. Suzanne Birchfield relied on the false representations made by Jefferson County and she was damaged.

“15. Defendant, Jefferson County failed to pay to Suzanne Birchfield, the Cost of Living Adjustment benefit which was due to her, as mandated by the Legislature of the State of Alabama. Jefferson County owes to Suzanne Birchfield the sum of $141,542.24.

“Judgment is hereby rendered against Jefferson County and in favor of Suzanne Birchfield in the amount of $141,542.24 together with costs.”

Jefferson County timely appealed to the supreme court; the supreme court then transferred the appeal to this court pursuant to § 12–2–7(6), Ala.Code 1975.

Facts

The Alabama Legislature enacted Act No. 87–421, Ala. Acts 1987, in July 1987. In pertinent part, Act No. 87–421 provided:

“Section 1. The Elected Jefferson County Tax Assessor and the Elected Jefferson County Assistant Tax Assessor, Bessemer Division, are empowered to each appoint one person to serve as Chief Deputy....

“....

“Section 3. Said Chief Deputies shall be compensated at a rate equal to Jefferson County Merit System Class Thirty, however, in no event shall such compensation exceed ninety percent of the compensation received by the Appointing Authority....

“Section 4. Said Chief Deputies shall receive any and all benefits that are received by Merit System Employees, including longevity payments....”

(Emphasis added.)

Birchfield testified that Scott had written the proposed bill that was submitted to the legislature and enacted as Act No. 87–421 and that she had been working as a merit-system employee in Scott's office when he wrote the proposed bill. She further testified that, before she applied for the position of chief deputy tax assessor-Bessemer, Scott had told her that “it was his opinion ” that, if she were appointed deputy chief tax assessor-Bessemer, she would not be entitled to COLAs because COLAs would cause her compensation to exceed 90% of his compensation. (Emphasis added.) Birchfield further testified that she nonetheless applied for the position of chief deputy tax assessor-Bessemer and that Scott appointed her to that position on September 29, 1987.

Birchfield testified that Scott subsequently began receiving an automobile allowance in the amount of approximately $5,200 per year and that she had asked Scott whether she could receive a COLA because he was receiving that automobile allowance. According to Birchfield, Scott told her “[t]hat [her] salary was capped at 90% [of his]” and that “[e]ven though he was getting more money, there was no way that [she] could get more money.”

In 1989, the Alabama Legislature enacted Act No. 89–1009, Ala. Acts 1989. In pertinent part, Act No. 89–1009 provided:

“Section 1. Effective at the beginning of the next term of office, October 1, 1991, the Jefferson County tax assessor ... shall receive a salary of $55,800.00 per annum....

“Section 2. Effective at the beginning of the next term of office, October 1, 1991, the elected assistant tax assessor, Bessemer Division, ... shall receive a salary...