State ex rel. New Wen, Inc. v. Marchbanks (Slip Opinion)
167 N.E.3d 934
Ohio2020Background
- ODOT closed the Cherry Valley Rd. / SR 16 intersection in Licking County, eliminating direct access between New Wen’s Wendy’s property and SR 16.
- New Wen (relator) filed a mandamus action; this Court granted a writ directing ODOT to commence appropriation (eminent-domain) proceedings, finding a compensable taking. 159 Ohio St.3d 15, 2020-Ohio-63.
- After the writ, New Wen sought an award of reasonable attorney fees and expert-witness costs.
- ODOT opposed, arguing no statutory basis for fee recovery and that claimed amounts were unreasonable.
- The Court analyzed federal and state fee statutes, administrative rules, and 42 U.S.C. § 1988/§ 1983 arguments and concluded no authorization existed to award fees or the claimed expert costs.
- The application for attorney fees and expert-witness costs was denied; a concurrence urged the legislature to consider whether fee-shifting should be authorized in such cases.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a prevailing party in a state mandamus action to compel appropriation can recover attorney fees absent state statutory authorization | New Wen: federal Uniform Relocation Act (42 U.S.C. 4654) and related federal rules authorize fees; Ohio adopted analogous provisions | ODOT: federal provisions apply only to federal agencies; no Ohio statute authorizes fees in a mandamus inverse-condemnation | Denied — American Rule controls; no statutory authorization for fees in this mandamus action |
| Whether federal Uniform Relocation Act obligations (because federal funds were involved) create a private right to fees against ODOT | New Wen: project involved federal funds and 42 U.S.C. 4655 obligations mean owners should recover attorney fees | ODOT: 42 U.S.C. 4654/4655 govern federal-agency condemnation and preapproval assurances, not a basis to award fees in state mandamus | Denied — federal URA provisions do not authorize fee awards in state mandamus proceedings against a state agency |
| Whether Ohio law or administrative rules (R.C. Chapter 163; Ohio Adm.Code 5501:2-5-06(G)(3)) authorize fee awards | New Wen: Ohio adopted federal-rule language in administrative code and some statutes authorize fees in related appropriation contexts | ODOT: administrative rules cannot create fee-shifting absent clear statutory grant; Ohio statutes cited apply in different contexts | Denied — administrative-code language cannot create statutory authorization; Ohio statutes do not authorize fees here |
| Whether New Wen can recover fees under 42 U.S.C. § 1988 as a prevailing § 1983 plaintiff | New Wen: alleged federal constitutional takings and invoked § 1983 in its complaint, so § 1988 fees follow | ODOT: this Court lacks original jurisdiction to adjudicate § 1983 claims; § 1988 cannot expand the Court's jurisdiction | Denied — mandamus was not a § 1983 action for which this Court can award § 1988 fees |
Key Cases Cited
- Sorin v. Warrensville Hts. School Dist. Bd. of Edn., 46 Ohio St.2d 177 (1976) (adopts American Rule: prevailing party cannot recover attorney fees absent statutory authorization)
- Burger Brewing Co. v. Thomas, 42 Ohio St.2d 377 (1975) (administrative rules must be predicated on statutory grant of authority)
- Doyle v. Ohio Bur. of Motor Vehicles, 51 Ohio St.3d 46 (1990) (same principle on rulemaking authority)
- Vance v. Roedersheimer, 64 Ohio St.3d 552 (1992) (local rule or regulation cannot serve as statutory authorization for attorney fees)
- State ex rel. Murphy v. Indus. Comm., 61 Ohio St.2d 312 (1980) (statutory authorization required for fee awards)
- State ex rel. Cleveland Mun. Court v. Cleveland City Council, 34 Ohio St.2d 120 (1973) (statutes and rules cannot expand this Court’s original jurisdiction)
- ProgressOhio.org, Inc. v. Kasich, 129 Ohio St.3d 449 (2011) (reinforces limits on this Court’s original-jurisdiction authority)
- Conley v. Shearer, 64 Ohio St.3d 284 (1992) (discusses § 1983 as a vehicle to challenge state-action deprivation of federal rights)
