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Sanders v. Board of Trustees of the Mountain Home School District No. 193
322 P.3d 1002
Idaho
2014
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Background

  • Sanders, a Mountain Home School District employee, applied for a consulting teacher position but was passed over for another candidate.
  • A Master Contract with the Mountain Home Education Association provided a grievance process culminating in non-binding arbitration.
  • Arbitrator ruled Sanders breach occurred due to the appointee's minimum qualifications; Board rejected the arbitrator's report.
  • Sanders sued for breach of contract; district court denied attorney fees to the Board under I.C. §12-117, and awarded arbitration costs as discretionary costs.
  • Syringa Networks held that I.C. §12-117 is not exclusive, allowing fees under I.C. §12-120(3); arbitration costs were later challenged on appeal.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Is §12-117 exclusive when §12-120(3) may apply? Sanders argues Syringa allows §12-120(3) alongside §12-117. Board contends §12-117 is the exclusive basis when applicable. Not exclusive; §12-120(3) may apply.
Whether §12-120(3) applies to this employment-contract breach case? Board sought §12-120(3) fees; Sanders argues contract-related case fits commercial transaction. Employee breach of employment contract falls within §12-120(3) as a commercial transaction. Yes; §12-120(3) applies.
Whether the district court properly awarded arbitration costs as discretionary costs? Costs were pre-litigation arbitration costs governed by the contract and should be treated differently. Costs arose from arbitration connected to litigation and are recoverable as discretionary costs. Arbitration costs were not recoverable as discretionary costs.
Should attorney fees be awarded on appeal? Cross-appeal/appeal on fees; Sanders seeks no fee on appeal. Board seeks fees on appeal under §12-120(3) and §12-117. Neither party awarded attorney fees on appeal.

Key Cases Cited

  • Hagerman Water Right Owners, Inc. v. State, 130 Idaho 718 (1997) (I.C. §12-117 exclusive basis subject to statutes expressly providing otherwise)
  • Syringa Networks, LLC v. Idaho Dep’t of Admin., 155 Idaho 55 (2013) (I.C. §12-117 not exclusive; fees may be awarded under other statutes such as §12-120(3))
  • Potlatch Educ. Ass’n v. Potlatch School Dist. No. 285, 148 Idaho 630 (2010) (I.C. §12-117 exclusive when applicable prior to Syringa)
  • Hayden Lake Fire Prot. Dist. v. Alcorn, 141 Idaho 307 (2005) (statutory interpretation; free review of interpretation of statutes)
  • Printcraft Press, Inc. v. Sunnyside Park Utils., Inc., 153 Idaho 440 (2012) (I.C. §12-120(3) applies to commercial transactions; appellate fees discussed)
Read the full case

Case Details

Case Name: Sanders v. Board of Trustees of the Mountain Home School District No. 193
Court Name: Idaho Supreme Court
Date Published: Apr 7, 2014
Citation: 322 P.3d 1002
Docket Number: 40013
Court Abbreviation: Idaho