367 N.C. 613
N.C.2014Background
- Twin County Motorsports, Inc. was licensed by the DMV to perform vehicle inspections.
- DMV charged six violations for allowing an unlicensed individual to perform safety inspections.
- Lance Cherry, a corporate officer, appeared pro se at the DMV hearing on Twin County’s behalf.
- DMV hearing officer found violations and imposed a $1,500 civil penalty and 1080-day license suspension.
- Twin County appealed to the DMV Commissioner, then to Nash County Superior Court, challenging Cherry’s representation as unauthorized practice of law.
- Court of Appeals affirmed the trial court and held that corporations must be represented by an attorney in DMV hearings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a corporation may be represented by a nonattorney before DMV hearings | Twin County (Cherry) can represent the corporation | Lexis-Nexis rule requires attorney representation | Yes; nonattorney representation before DMV is not unauthorized practice of law. |
| Whether DMV proceedings fall within authorization to act without attorney under 84-4 | Agency proceedings not ‘action or proceeding’ in a court | 84-4 restricts appearances to attorneys | Agency proceedings are not a court; nonattorney appearance permissible. |
| Whether Ocean Hill and allied precedents justify nonattorney representation in DMV context | Agency may exercise limited judicial authority; nonattorney acts for corporation | Ocean Hill not controlling for DMV contested cases | Ocean Hill supports nonattorney representation in administrative hearing context. |
Key Cases Cited
- Ocean Hill Joint Venture v. North Carolina Dept. of Environment, Health & Natural Resources, 333 N.C. 318 (1993) (agency not a court of justice; not an ‘action or proceeding’ under statute of limitations)
- Allied Env’tl. Servs., PLLC v. N.C. Dep’t of Envtl. & Nat. Res., 187 N.C. App. 227 (2007) (corporation may represent itself in OAH proceedings; exception not controlling here)
- Lexis-Nexis, Division of Reed Elsevier, Inc. v. Travishan Corp., 155 N.C. App. 205 (2002) (pro se corporate representation allowed in some contested cases)
- Gardner v. N.C. State Bar, 316 N.C. 285 (1986) (employees’ acts deemed acts of the corporation)
- Pledger v. State, 257 N.C. 634 (1962) (nonlawyer may perform legal acts for a corporation if in primary corporate interest)