COMMITTEE FOR EDUCATIONAL EQUALITY, et al., Plaintiffs-Respondents, v. STATE of Missouri, et al., Defendants-Appellants, and LEE‘S SUMMIT SCHOOL DISTRICT R-VII, et al., Plaintiffs-Cross-Appellants, v. STATE of Missouri, et al., Defendants-Appellants.
No. 75660
Supreme Court of Missouri, En Banc.
June 21, 1994.
We are unwilling to place the burden of proving prejudice on the plaintiffs in their motion for new trial as it relates to the preliminary “insurance question.” The plaintiffs have a constitutional right to a fair and impartial jury and should not be required after the trial to establish whether they were denied this right because the trial court failed to allow them to properly voir dire the panel. A trial court‘s denial of the right to ask the preliminary “insurance question” is prejudicial as a matter of law. Carothers, 745 S.W.2d at 172.
CONCLUSION
We reverse and remand for a new trial consistent with this opinion.
All concur.
John Gianoulakis, Lisa A. Pake, Robert G. McClintock, St. Louis, Jeremiah W. (Jay) Nixon, Atty. Gen., John Munich, Robert L. Presson, Asst. Attys. Gen., Jefferson City, for respondents.
Paul M. Brown, Hancock, Neal C. Staut, et al., St. Louis, for amici.
HOLSTEIN, Judge.
The judgment below not being final, the appeal is dismissed.
This appeal arises from two consolidated lawsuits filed in the circuit court of Cole County. Two additional parties were allowed to intervene as plaintiffs after that consolidation. Taken together, the plaintiffs include a not-for-profit corporation representing eighty-nine school districts known as the Committee for Educational Equality, the same eighty-nine school districts, separately named, an additional thirty-seven school districts, fifty-one students from the named plaintiff school districts, and two taxpayers. Mixed within the petitions are several claims, some claims more clear than others. Read together, the petitions allege that the funding of schools through the property tax provided for in
Intermingled with the above allegations is the claim that the General Assembly has violated its duty pursuant to
The named defendants are the state of Missouri, the Governor, the Treasurer, the State Board of Education, the Missouri Department of Elementary and Secondary Education, its Commissioner, and the Attorney General.
After the lawsuits were commenced, four school districts, Ladue, Pattonville, Kirkwood and School of the Osage, sought to intervene as defendants apparently because one of the petitions asked for a “pro rata” redistribution of the “Foundation Formula” funds free of the “previous year” restraint of
An extended trial was held and a judgment entered on January 15, 1993. The operative portion of the judgment now before us includes the following three paragraphs:
The court specifically determines and declares that the Foundation Formula contained in
§ 163.031, RSMo , at the level at which it is presently funded is unconstitutional because of the provisions of§ 1(a) of article IX [providing for free publicschools], § 2 of article I [providing for equal protection of the laws],§ 36 of article III [providing for appropriations for public education to be second in order] and/or§§ 40(24) and40(30) of article III [prohibiting the General Assembly from passing any local or special law relating to the management of public schools and prohibiting special laws where general laws can be made applicable] of the Missouri Constitution.1....
The court determines and declares that the General Assembly ... must provide a child living in a poor school district the same opportunity to receive substantially the same educational [sic] as a child living in a rich district, and that deviations from equality in the distribution of resources are not permissible except to provide resources either (a) to the least advantaged or (b) for specifically identified educational needs. The court further determines and declares that the present system of funding public schools in Missouri does not comport with the requirements heretofore declared in this paragraph.
The court determines and declares that the General Assembly must provide adequate funds to establish and maintain a system of public education at the elementary and secondary level providing a general diffusion of knowledge and intelligence at the level necessary in this era to preserve the rights and liberties of the people. The court further declares that the state does not meet the requirements herein above determined and declared in this paragraph.
The judgment did not identify any school district or class of school districts excluded from the operation of
In addition, the judgment did not order a redistribution of appropriated funds. Although the findings suggest that a new, simplified and more flexible formula might be desirable, the judgment does not require that a new funding formula be established. The judgment only declared that the General Assembly must “provide adequate funds.” The trial court withheld giving instructions on how the General Assembly was to accomplish its task. The trial court retained jurisdiction to enter an injunction and other equitable relief. The judgment was stayed until ninety days after the next regular session to give the General Assembly time to enact a “constitutionally sufficient plan for funding public education in Missouri.”
The court also reserved for later decision the question of whether the “current level of funding of public education in Missouri meets the minimal constitutional level of twenty-five percent of state revenues as required by
The parties seek to impress on us the importance of the claims made and the dire consequences that will follow a ruling unfavorable to their respective positions. Unfortunately, they have presented us with a record complicated by jurisdictional deficiencies that inhibit a decision on the merits. The judgment appealed from fails to fully dispose of all claims, giving rise to questions of appealability of the judgment due to an absence of finality and aggrievement of appealing
I.
At the outset, this Court, sua sponte, must determine its own jurisdiction of this appeal. ABC Fireproof Warehouse Co. v. Clemans, 658 S.W.2d 28, 30 (Mo. banc 1983). This is not a matter of mere technical concern. Judicial integrity and restraint demand it. “To avoid an arbitrary discretion in the courts, it is indispensable that they should be bound by strict rules and precedents which serve to define and point out their duty in every particular case that comes before them.” The Federalist Papers No. 78 (Alexander Hamilton). Courts, no less than the citizens they serve, must abide the rules and precedents defining their jurisdiction. To do otherwise is to erode the very foundation of the rule of law.
The right to appeal is established by statute.
This case clearly involves multiple claims and multiple parties. The rule regarding the appealability of judgments which are not final as to all claims or to all parties is
When more than one claim for relief is presented in an action, whether as a claim, counterclaim, cross-claim, or third-party claim, or when multiple parties are involved, the court may enter a judgment as to one or more but fewer than all of the claims or parties only upon an express determination that there is no just reason for delay. In the absence of such determination, any order or other form of decision, however designated, ... shall not terminate the action....
When a separate trial of any claim, counterclaim or third party claim is ordered in any case and a jury trial thereof is had, the separate judgment entered upon the verdict therein shall be deemed a final judgment for the purposes of appeal within the meaning of § 512.020. When a separate trial is had before the court without a jury of claims arising out of the same transactions, occurrences or subject matter as the other claims stated or joined in the case, the judgment entered shall not be deemed a final judgment for purposes of appeal within the meaning of § 512.020, RSMo, unless specifically so designated by the court in the judgment entered.
Notwithstanding well-reasoned decisions to the contrary, Rule 81.06 was construed to give a trial court essentially unfettered discretion to decide if its orders were final and appealable, even though there was only a “partial disposition ... of a distinct judicial unit.” Speck v. Union Elec. Co., 731 S.W.2d 16, 20 (Mo. banc 1987). This Court apparently rethought that decision within the year when it adopted
When
Under the federal cases construing
Missouri‘s
Applying the above principles to the case at hand, the plaintiffs made multiple claims even though the claims are not segregated into counts. Neither the pleadings nor the judgment are models of clarity. However, the claims raised include the claim that the students’ right to equal protection of the law has been violated and that the General Assembly‘s duty to provide adequate funding for education has been violated by
Although not briefed, at oral argument it was suggested that the judgment was final because it disposed of the “claim” for declaratory judgment. That argument misapprehends the nature of the declaratory judgment act. The declaratory judgment act was designed to provide a preventative remedy. It supplements but does not supplant other remedies. “[It] affects exclusively matters of practice, pleadings, and forms and modes of proceedings; it does not create any new or substantive rights, but is procedural in nature.” 26 C.J.S. Declaratory Judgments § 1 (1956). While the declaratory judgment act is liberally construed to accomplish its preventive purpose, it is but one of several remedies, not a substantive claim.
In International Minerals & Chemical Corp. v. Avon Products, 817 S.W.2d 903 (Mo. banc 1991), the plaintiff had filed a 5-count petition. The trial court had granted judgment as to Count I, a count seeking a declaratory judgment regarding an indemnity agreement. The petition alleged that there was an indemnity agreement between the plaintiff and defendant under which the defendant had agreed to pay patent infringement claims that might be made against the plaintiff by third parties. Although the precise amount of damages was undetermined when the action was filed, Count V of the same petition asked for damages under the indemnity agreement. The trial court entered a judgment finding that an indemnity agreement existed under which the defendant was liable for certain patent infringement claims made against the plaintiff. However, the trial court withheld ruling on the separate count relating to damages for breach of the indemnity agreement. This Court concluded that there was ample authority “for defining by rule the scope of the finality requirement so as to include a determination that could be made subject of a separate judgment.” Id. at 906. That case is distinguishable from the case now under consideration. In that case, the assessment of damages for patent infringement was dependent upon different operative facts, some of which were undetermined when the petition was filed, and upon a different legal theory from the existence and terms of the indemnity agreement. Even though the indemnity claim and the patent infringement claim were connected, each involved different legal theories and different operative facts.
There are no additional or different facts, and no additional legal principles applicable in determining whether to grant injunctive or other equitable relief in addition to the declaratory judgment in this case. Because remedies are left wholly unresolved regarding each of the claims for relief made before the trial court, the judgment is not final.
International Minerals, while reaching the correct result, went too far in some respects. It states there is “no substantial
II.
Even if we were to strain the meaning of “one claim” beyond the limits of the plain meaning of the words and to ignore the nearly uniform construction of those same words predating adoption of our
Assuming there is at least one claim fully resolved as to at least one party,
The trial court‘s order, entered January 15, 1993, did not become immediately effective but provided:
In order to allow time for the General Assembly to enact a constitutionally sufficient plan for funding public education in Missouri and also to allow time for the appellate review of this memorandum opinion and judgment, the effectiveness of the foregoing paragraphs one through five are stayed until ninety days after adjournment of the first regular session of the 87th General Assembly. The court reserves the authority to modify the stay upon prior notice to the parties. (Emphasis added).
A stay “to allow time for appellate review” was meaningless for two reasons. First, execution of judgment is automatically stayed pending appeal where, as here, an appellant is a school district.
At times, principles of judicial economy will militate in favor of certifying “no just reason for delay” to allow an appeal of an isolated claim. At other times, principles of judicial economy will be better served by staying a declaration or an execution of a judgment to permit the parties to rectify the source of conflict without the expense, time and energy consumed by an appeal. In this case, the trial judge attempted to both certify an incomplete judgment final for purposes of appeal and to stay entry of the order to allow the legislature time to enact a new funding formula. It is clear that the judge wisely anticipated the legislature‘s willingness to act while the judgment was stayed. However, all of the benefits of judicial economy served by a stay to allow parties to resolve their dispute without an appeal would be defeated by authorizing contemporaneous pursuit of an appeal.
The language used---“allow time for the General Assembly” and “the effectiveness of the foregoing paragraphs one
In granting the stay, the circuit court necessarily determined that just reason existed for delay in giving effect to its judgment because of the potential that the General Assembly might repeal
Here the circuit court‘s order anticipated that during the stay, there were three possible results: legislative inaction, enactment of a constitutionally sufficient plan, or passage of a constitutionally insufficient plan. In the case of legislative inaction, the stay would expire, by its terms, and the order would become final and appealable at the expiration of the stay.
However, in this case, the legislature clearly acted, leaving only two possibilities, a sufficient plan or an insufficient plan. Of course, the new plan was never subject to judicial scrutiny to determine its constitutional sufficiency. Thus, the passage of S.B. 380 moots the original order as to
In sum, by the terms of the stay order, absence of a “just reason for delay” of the appeal could only come into being after (1) legislative inaction and (2) the expiration of the stay. Because the first event did not and will not occur, the predicate to a determination of “no just reason for delay” of the appeal never existed, and the judgment is not final under
The issues in this case are clearly of great public significance. However, it is not within the province of courts “to decide abstract, hypothetical or moot questions, disconnected from the granting of actual relief.” Fugel v. Becker, 2 S.W.2d at 746. It is unwise for courts to shortcut procedural requirements necessary to fully and fairly address the substantive issues in cases of great public significance, when those same procedures would be required without pause in cases of lesser magnitude. To say a partial appeal is permissible due to the importance, infrequency or harshness of the case is neither workable nor reliable as a benchmark for appellate review. Curtiss-Wright Corp. v. General Electric Co., 446 U.S. at 10. The circuit court abused its discretion in determining its order to be final under
CONCLUSION
The state requests that this Court vacate the judgment below, as opposed to merely dismissing the appeal, fearing the effects of res judicata in future proceedings. The judgment here is not final but is, at most, interlocutory in nature. A judgment that is to be used as the basis for the application of res judicata must be final and not an interlocutory judgment. Noll v. Noll, 286 S.W.2d 58, 60-61 (Mo.App.1956); Restatement (Second) of Judgments § 13 (1982). Because the judgment here is subject to modification, and because the state has done all within its power to seek appellate review, res judicata principles will not apply to make the trial court‘s decision, as it now exists, preclusive of issues in future litigation.
COVINGTON, C.J., BENTON, THOMAS and PRICE, JJ., concur.
ROBERTSON, J., concurs in result in separate opinion filed.
LIMBAUGH, J., concurs in opinion of ROBERTSON, J.
ROBERTSON, Judge, concurring in result.
The parties in this case raise three distinct constitutional challenges to the system of school financing in place in Missouri prior to the passage of Senate Bill 380 in 1993. 1993 Laws of Missouri. First, the parties claim that the former Section 163.031 violates the equal protection provisions of
Following a three-week trial, the trial court issued a lengthy memorandum opinion purporting to find facts, reach conclusions of law, and enter a judgment. Although little else is certain in the document, it is clear that the trial court severed the plaintiffs’ claims that the amount of funding being provided public elementary and secondary education of this state failed to reach twenty-five percent of state revenue as required by
The Court specifically determines and declares that the Foundation Formula contained in
Section 163.031, RSMo , at the level at which it is presently funded is unconstitutional because of the provisions ofSection 1(a) of Article IX [providing for free public schools],Section 2 of Article I [providing for equal protection of the laws],Section 36 of Article III [providing for appropriations for public education to be second in order] and/orSections 40(24) and40(30) of Article III [prohibiting the General Assembly from passing any local or special law relating to the management of public schools and prohibiting special laws where general laws can be made applicable] of the Missouri Constitution.*
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The Court determines and declares that the General Assembly must provide a child living in a poor school district the same opportunity to receive substantially the same educational [sic] as a child living in a rich district, and that deviations from equality in the distribution of resources are not permissible except to provide resources either (a) to the least advantaged or (b) for specifically identified educational needs. The Court further determines and declares that the present system of funding public schools in Missouri does not comport with the requirements heretofore declared in this paragraph.
The Court determines and declares that the General Assembly must provide adequate funds to establish and maintain a system of public education at the elemen-
tary and secondary level providing a general diffusion of knowledge and intelligence at the level necessary in this era to preserve the rights and liberties of the people. The Court further declares that the State does not meet the requirements hereinabove determined and declared in this paragraph.
Reading these three paragraphs, it appears that the first paragraph is a general declaration as to the constitutionality of the former
The Court‘s opinion concludes that the judgment entered by the trial court is not final and holds that the Court has no jurisdiction to consider the appeal in this case. I disagree with the Court‘s decision that the trial court‘s judgment is not final and, therefore, not appealable. I also believe the Court must address issues of standing and mootness raised by the parties.
Though it is true that the judgment of the trial court is fraught with ambiguities and uncertain language, I believe, nevertheless, that that portion of the judgment declaring
Declaratory judgment actions serve a preventive function in the law. They permit parties to obtain a judicial declaration of their rights and obligations in advance of either causing or suffering a legal injury. Thus, a declaratory judgment action need not seek any specific relief other than a declaration of the rights of the parties. 26 C.J.S. Declaratory Judgments, § 1. Further, a judgment entered in a declaratory judgment action is final even though it does not provide the parties with any relief beyond the declaration of rights for which the petition prays. Id.
These general rules relating to declaratory judgments are, of course, subject to statutory modification. This is because the common law does not recognize declaratory judgment actions; they are entirely creatures of statute and suspend rules of procedure that normally require a ripe controversy founded on injury to a party as a predicate to a court deciding a controversy.
The principal opinion decides this case without a single reference to the declaratory judgment statutes of this state. I believe the principal opinion‘s focus on common law remedies is misplaced and misunderstands the nature of declaratory judgments.
In Missouri, “the circuit courts ... have power to declare rights, status, and other legal relations whether or not further relief is or could be claimed.”
The Court‘s decision that the trial court‘s judgment in this case was not final and thus not reviewable on appeal is a product of the supposed failure of the judgment to provide any relief beyond the declaration of rights. Because a declaratory judgment is final even if it does not provide relief beyond the declaration of rights, the judgment entered by the trial court declaring that
The Court takes a contrary view, mixing claims with remedies and concluding that “[w]hile the declaratory judgment act is lib-
Where the trial court enters a judgment on a claim that is both final and complete as to that claim, it may invoke
I agree with the Court that the trial court confused the issue mightily when it said that there is no just reason for delay in one breath and, in the next, stayed its own judgment for ninety days, inferring that a just reason for delay exists. I believe this Court has some discretion, as well, in cases of this magnitude and would permit the appeal of the equal protection declaration under
Aside from my disagreements with what the Court did say, I also disagree with the Court‘s decision to remain silent on the standing and mootness issues by the parties in this case.
First, standing: I believe it is incumbent on the Court to consider the question of the standing of the parties because the jurisdictional flaw in the trial court‘s order upon which the principal opinion relies is not apparent on its face. If the parties seeking review have no authority to do so because they lack standing, the Court should not consider the issues raised by them whether they are procedural or substantive.
Standing asks whether the persons complaining about a judgment have a right to do so. Standing is a jurisdictional matter antecedent to the right of relief. State ex rel. Williams v. Marsh, 626 S.W.2d 223, 227, n. 6 (Mo. banc 1982). The standing question is preliminary to a review of judgment itself, unless it is clear on the face of the record that the trial court did not possess subject matter jurisdiction. In this case, the trial court clearly possessed subject matter jurisdiction.
The state argues that the plaintiffs lack standing to raise equal protection claims.
The plaintiffs’ claims in this case are founded solely on the state constitution. Although I am not willing to decide the point without the assistance of briefs and argument, I wonder whether the judicial branch has the authority to “take over” the state‘s schools under an equal protection claim founded on the state constitution. I find no supremacy clause in the Missouri constitution that permits the courts to undertake executive and legislative functions in a proactive manner in the face of unconstitutional expenditures by the legislative and executive branches. It is clear that the courts can enjoin the expenditure of money when that expenditure violates the state constitution; it is considerably more doubtful whether the judicial branch can direct expenditures in a manner contrary to that expressed by the legislature when only state constitutional claims are at stake.
The two taxpayer plaintiffs in this case also made no claim that their own constitutional rights to equal protection were violated. Their claims were simply that other persons---students---were being denied equal protection of the law. We do not permit a litigant to assert the constitutional rights of another. To allow persons suffering no injury to attack a statute‘s constitutionality would permit parties to create controversy and litigation that do not adversely affect them. State ex rel. Reser v. Rush, 562 S.W.2d 365, 369 (Mo. banc 1978). Therefore, the taxpayers, qua taxpayers, lack standing to raise the students’ equal protection claims for them. The trial court should have dismissed the taxpayers’ equal protection claims as well.
As to the merits of the trial court‘s judgment, it appears that the judgment addresses two independent constitutional claims. The first is the students’ claim that
Turning first to the
general diffusion of knowledge and intelligence [is] ... essential to the preservation of the rights and liberties of the people.”
Thus, I do not believe, as apparently the trial court did, that
If my reading of the constitution is correct, plaintiffs’
Though the principal opinion finds that the trial court‘s judgment that former
er
A cause of action is moot when the question presented for decision seeks a judgment upon some matter which, if the judgment was rendered, would not have any practical effect upon any then existing controversy. When an event occurs which renders a decision unnecessary, the appeal will be dismissed. And where an enactment supersedes the statute on which the litigants rely to define their rights, the appeal no longer represents an actual controversy, and the case will be dismissed as moot. Bank of Washington v. McAuliffe, 676 S.W.2d 483, 487 (Mo. banc 1984) [citations omitted].
There is no question but that the legislature repealed the foundation formula upon which the trial court passed judgment. Thus, the question of the constitutionality of the old formula is moot.
All of the parties in this case argue that this case is not moot. Most of the arguments are founded not so much on legal principle but on the parties’ assurance that the importance of the questions before the Court are worthy of the Court making an exception to those principles in this case. It remains the fact, however, that the rules under which the courts of this state have historically operated prevent the issuance of declaratory judgments of constitutional rights independent of any governmental act that impinges or threatens to impinge on claimed rights. Once the General Assembly repealed former
Nor does it matter that Senate Bill 380 is phased in over a period of years. Once the old foundation formula ceased providing the entire basis for the distribution of state revenues for the support of free public schools, the issue of the constitutionality of that formula became moot.
Finally, the parties contend that this appeal is not moot because section D of Senate Bill 380 provides for a statewide vote if this Court “does not affirm in whole or in part the [circuit court‘s] decision” in this case.
That the issues raised in this case are important is beyond dispute. Nevertheless, this Court has not historically claimed for itself an extra-constitutional authority to issue advisory opinions as to the constitutionality of repealed statutes nor has it decided the constitutionality of newly-enacted statutes before an action is filed challenging their legality or before a full factual development of the issues in the trial court. I see no reason to claim that authority now.
In sum, I would hold that the judgment of the trial court declaring that
