City of Lawrence Utilites Service Board, City of Lawrence, Indiana, and Mayor Dean Jessup, Individually and in his Official Capacity v. Carlton E. Curry
68 N.E.3d 581
| Ind. | 2017Background
- Carlton Curry was appointed superintendent of Lawrence Utilities by the Utility Service Board (USB) in 2009; he worked closely with then-mayor Ricketts on utility policy.
- Dean Jessup defeated Ricketts, sought resignations of prior appointees, and ultimately instructed that Curry be terminated after policy disagreements (notably over a proposed wastewater treatment plant).
- Curry was notified of termination by the new mayor and a letter; he sued claiming wrongful discharge under the utility superintendent statute, unpaid wages under Indiana’s Wage Payment Statute (WPS), and tortious interference by the mayor.
- Federal claims were dismissed on summary judgment and remaining state-law claims proceeded; the trial court granted summary judgment for Curry on wrongful discharge, denied summary judgment on intentional interference, and entered summary judgment for the City on the WPS claim.
- The Indiana Supreme Court affirmed: the USB (not the mayor) has exclusive statutory authority to remove a superintendent under Ind. Code § 8-1.5-3-5(d) (only after notice and a hearing); Curry was not entitled to wages under the WPS because he did not perform work after termination; a genuine factual dispute existed on intentional interference.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the mayor had authority to remove the utility superintendent | Curry: statute gives board removal power; mayor lacked authority to terminate him | City: mayor had authority (Morrison dictum is not binding); mayor could remove Curry | Held: Mayor lacked authority; only USB may remove superintendent for cause after notice and hearing (summary judgment for Curry affirmed) |
| Whether Curry is owed wages under the Wage Payment Statute | Curry: he remained "ready, willing and able" to work and thus is owed wages | City: Curry performed no labor after termination; WPS protects unpaid wages for labor actually performed | Held: Curry not entitled to WPS wages (summary judgment for City affirmed) |
| Whether the mayor tortiously interfered with Curry’s employment contract | Curry: mayor intentionally interfered by terminating him, lacking justification | City: a public entity cannot interfere with its own employee; termination was justified | Held: Genuine issue of material fact exists about intentional interference; denial of summary judgment for City affirmed |
| Effect of USB appointing superintendent and later appointing replacement | Curry: USB appointment means removal requires USB action; replacement does not cure lack of notice/hearing | City: USB’s later appointment ratified termination | Held: USB’s appointment of a replacement did not cure absence of statutorily required notice and hearing; wrongful discharge stands |
Key Cases Cited
- Morrison v. McMahon, 475 N.E.2d 1174 (Ind. Ct. App. 1985) (prior case discussing board’s discharge power over superintendent)
- Elrod v. Burns, 427 U.S. 347 (U.S. 1976) (patronage hiring practices and public policy considerations)
- City of Clinton v. Golder, 885 N.E.2d 67 (Ind. Ct. App. 2008) (Wage Payment Statute requires actual labor or service to recover wages)
- SCI Propane, LLC v. Frederick, 39 N.E.3d 675 (Ind. 2015) (standard of review for summary judgment)
