BART M. SHEA, ET AL., Plaintiffs/Appellants, v. MARICOPA COUNTY, ET AL., Defendants/Appellees.
No. CV-22-0187-PR
SUPREME COURT OF THE STATE OF ARIZONA
Filed May 3, 2023
253 Ariz. 286 (App. 2022)
COUNSEL:
Christopher H. Bayley, Andrew M. Jacobs (argued), Emily Gildar Yaron, James G. Florentine, Snell & Wilmer L.L.P., Phoenix, Attorneys for Bart and Cheryl Shea
Rachel H. Mitchell, Maricopa County Attorney, Joseph J. Branco (argued), Wayne J. Peck, Deputy County Attorneys, Phoenix, Attorneys for Maricopa County, Maricopa County Board of Adjustments, and Maricopa County Planning and Development Department
JUSTICE LOPEZ authored the Opinion of the Court, in which VICE CHIEF JUSTICE TIMMER and JUSTICES BEENE and KING joined. JUSTICE BOLICK dissented.*
JUSTICE LOPEZ, Opinion of the Court:
¶1 We consider the statutory jurisdictional requirements for judicial review of an administrative decision. We hold that
BACKGROUND
¶2 In 2017, Maricopa County’s Planning and Development Department (the “Department”) initiated proceedings against homeowners Bart and Cheryl Shea, alleging violations of several sections of the Maricopa County Zoning Ordinance for building certain structures on their property without proper permits. On December 12, 2017, the Department’s hearing officer fined the Sheas, who timely appealed to the Department’s Board of Adjustment (the “Board”). In February 2018, the Board affirmed the fine.
¶3 On March 14, 2018, the Sheas filed a “Verified Complaint for Special Action” (the “complaint”) in superior court, naming Maricopa County, the Board, and the Department (collectively, the “County”) as defendants. In its factual and procedural background, the complaint alleged that “[o]n or about January 10, 2018, [the Sheas] appealed the hearing officer’s decision to the [Board]” who “denied [their] appeal. Having been aggrieved by a decision made by the Board, [the Sheas] file this appeal pursuant to
¶4 Count I of the complaint requested declaratory relief that “the Department’s finding and ruling was not supported by fact or law,” that “they owe no fines or penalties as set forth in the Department’s December 12, 2017 [judgment],” and that “the Department’s and County Attorney’s actions were the result of improper retaliation.” Counts II and III alleged procedural and substantive due process violations, respectively, and the complaint’s prayer for relief also requested the court to grant declaratory relief and dismiss the citation or, alternatively, grant another hearing.
¶5 The complaint made several notable omissions. First, it did not state the date of the Board’s decision affirming the hearing officer’s judgment. Second, although a copy of the hearing officer’s decision was attached to the complaint, a copy of the Board’s decision was not. Third, the complaint was not
¶6 Emphasizing these omissions and the complaint’s excessive length, the County moved to dismiss the Sheas’ complaint, arguing that the court lacked jurisdiction under two sections of the Act. See
¶7 On August 22, 2018, the Sheas filed their “First Amended Verified Complaint for Appeal of Administrative Action.” On September 14, 2018, the County filed an answer, alleging that the court lacked subject matter jurisdiction because the Sheas’ complaint “violate[d] the requirements of . . .
¶8 On August 27, 2019, after a judicial reassignment, the trial court sua sponte ruled that it lacked subject matter jurisdiction. The court reasoned that the Sheas’ complaint failed to comply with
¶9 In a split opinion, the court of appeals affirmed the trial court’s dismissal and counterclaim judgment. Shea v. Maricopa Cnty., 253 Ariz. 286, 287 ¶ 1, 289–90 ¶ 14 (App. 2022). The majority reasoned that because the Sheas’ complaint erroneously cited
¶10 We accepted review to settle a recurring issue of statewide importance: whether
DISCUSSION
¶11 “Determining the procedure for review of administrative decisions involves the interpretation of rules and statutes, which [this Court] review[s] de novo.” Smith v. Ariz. Citizens Clean Elections Comm’n, 212 Ariz. 407, 412 ¶ 18 (2006); see Bolser Enters., Inc. v. Ariz. Registrar of Contractors, 213 Ariz. 110, 112 ¶ 12 (App. 2006) (applying de novo review in deciding whether the superior court properly dismissed a complaint for judicial review based on a lack of subject matter jurisdiction).
I.
¶12 Section 11-816(B)(3) authorizes Board review of decisions made by hearing officers and directs that “[j]udicial review of the final decision by the [Board] shall be pursuant to [the Act].” Under the Act, because the statute is the sole source of jurisdiction, compliance with its strictures is mandatory. Ariz. Comm’n of Agric. & Horticulture v. Jones, 91 Ariz. 183, 187 (1962) (“We said of [the Act] that the right of appeal ‘exists only by force of statute, and this right is limited by the terms of the statute.’” (quoting Knape v. Brown, 86 Ariz. 158, 159 (1959))). Compliance with court rules, however, including JRAD, is not determinative of jurisdiction. See id.
¶13 Section 12-902(B), which falls under the Act, limits judicial review of administrative decisions as follows:
Unless review is sought of an administrative decision within the time and in the manner provided in this article, the parties to the proceeding before the administrative agency shall be barred from obtaining judicial review of the decision.
Id. (emphasis added). Thus, according to the statute’s terms, both the Act’s “time” and “manner” requirements have jurisdictional import. Id.
¶14 Section 12-904(A) of the Act imposes the following “manner” requirements:
An action to review a final administrative decision shall be commenced by filing a notice of appeal within thirty-five days from the date when a copy of the decision sought to be reviewed is served upon the party affected . . . . The notice of appeal shall identify the final administrative decision sought to be reviewed and include a statement of the issues presented for review.
Id. (emphasis added). In other words,
II.
¶15 Having established
A.
¶16 Our jurisprudence interpreting procedural rules, although not dispositive, informs our analysis. We have long held that, where no party is misled or prejudiced, non-statutory defects in a timely notice of appeal do not preclude jurisdiction. Boydston v. Strole Dev. Co., 193 Ariz. 47, 50 ¶ 11 (1998) (“[E]ven if defective, a notice of appeal is sufficient if it is neither misleading nor prejudicial.”); Hanen v. Willis, 102 Ariz. 6, 9 (1967) (“[W]hen adequate notice to appeal has been given to the other party, no mere technical error should prevent the appellate court from reaching the merits of the appeal.”); Sheppard v. Ariz. Bd. of Pardons & Paroles, 111 Ariz. 587, 588 (1975) (“[T]his Court will consider any application ‘which states sufficient facts to justify relief irrespective of its technical denomination.’” (quoting State v. Superior Court, 103 Ariz. 208, 210 (1968))). The policy animating this substance-over-form approach is our preference for decisions on the merits. Hanen, 102 Ariz. at 9; see Webb v. State ex rel. Ariz. Bd. of Med. Exam’rs, 194 Ariz. 117, 122 ¶ 25 (App. 1999) (noting the policy to interpret ambiguities regarding timing “in favor of preserving the right to appeal and against the forfeiture of that right upon a technicality”).
¶17 Courts have also applied this harmless error standard to timely notice of claims containing technical defects under agency regulations. Epperson v. Indus. Comm’n, 26 Ariz. App. 467, 472 (1976) (holding that despite “insufficient service under Rule 58, Rules of Procedure of the Industrial Commission of Arizona[,]” the court would “decline to attach any legal significance to the omission” given the lack of “any prejudice . . . as a result of this faulty service”).
¶18 In sum, when applying our rules, we favor decisions on the merits and treat non-prejudicial, non-misleading defects in a timely notice of appeal as not jurisdictional unless the plain meaning of a statute bars jurisdiction. We see no reason not to apply this policy in the administrative appeal context. Accordingly, we now determine whether the plain meaning of
B.
¶19 We first interpret
¶20 The County asserts that the Sheas’ complaint titled “Verified Complaint for Special Action” is not a “notice of appeal” under
¶21 Because
¶22 Our procedural rules governing administrative appeals further support an expansive meaning of “notice of appeal.” Under JRAD Rule 4(c), the “[c]ontent of the Notice of Appeal” must include the following: (1) “the caption of the case and the administrative agency case number”; (2) the appealing party’s identity; (3) “the final administrative decision from which the party is appealing, including the date of that decision”; (4) “the findings and decision or part of the findings and decision sought to be reviewed”; and (5) “the issues presented for review.” JRAD Rule 4(c)(1)–(5). These requirements are plainly intended to provide adequate notice of the intent to appeal and to identify the decision to be appealed, the very purpose embodied in the plain meaning of “notice of appeal.”
¶23 The County warns that construing the Sheas’ misstyled complaint as a notice of appeal would license the trial court to adjudicate the administrative appeal under different procedural rules. The County exaggerates this risk. We are unpersuaded that a mislabeled filing initiating an appeal of an administrative decision would prompt a court to overlook the substance of the matter and
C.
¶24 Given our construction of
¶25 We reject the County’s assertion that it was “prejudiced” by the excessive length and inartful wording of the “complaint.” Mere inconvenience in reviewing the Sheas’ “complaint” does not warrant dismissal of the appeal because the filing did not mislead or otherwise compromise the County’s litigation position. Cf. Hill v. City of Phx., 193 Ariz. 570, 573 ¶ 14 (1999) (finding no prejudice where the notice of appeal omitted certain defendant names but all defendants “received the notice and . . . knowingly participated in . . . proceedings pertaining directly to the appeal”).
D.
¶26 We next interpret
¶27 Here, the “complaint” sufficiently identified the final administrative decision being appealed by pinpointing—albeit indirectly—the Board’s decision. The “complaint” attributed the Sheas’ “grievance” to the Board’s decision, provided the agency’s internal case number identifying all the Department’s documents pertaining to the case, including the Board’s decision, and noted the case’s procedural history. The Sheas’ “complaint,” construed as a notice of appeal, also met this requirement.
E.
¶28 Last, we turn to
¶29 Here, the Sheas’ “complaint” included a statement of the issues by alleging an inadequate factual basis for the hearing officer’s judgment and procedural and substantive due process violations. Although the Sheas did not list these claims under a “statement of issues” heading, the statute does not mandate a specific format. This requirement too is satisfied.
III.
¶30 The dissent contends that the statute compels the “harsh result” of dismissing the Sheas’ appeal because they commenced their appellate review of the Board’s decision by filing a document titled “complaint” rather
CONCLUSION
¶31 We hold that
SHEA ET AL. V. MARICOPA COUNTY ET AL.
JUSTICE BOLICK, Dissenting
BOLICK, J., dissenting:
¶32 I agree with my colleagues that the Sheas placed the Board on notice that they were appealing its determinations. However, I agree with the court of appeals majority that in creating an opportunity for appeal, the legislature decreed the basic manner by which such appeals would take place, and the Sheas failed to comply. Although in a case like this I would prefer to emphasize substance over form, I conclude the legislature limited our authority to do so.
¶33 “Appeal being a statutory privilege, jurisdictional requirements prescribed by statute must be strictly complied with to achieve entrance to appellate review.” Ariz. Dep’t of Econ. Sec. v. Holland, 120 Ariz. 371, 373 (App. 1978). The opening sentence of
¶34 In general use, “manner” encompasses “a characteristic or customary mode of acting” or “a mode of procedure.” Manner, Merriam-Webster, https://www.merriam-webster.com/dictionary/manner (last visited Apr. 26, 2023). The legislature prescribed the manner of filing an appeal in
¶35 The Section then goes on to specify the contents of the “notice of appeal.”
¶37 Whatever the law means by a notice of appeal, and whatever is necessary or sufficient by way of its contents, a complaint for special action is not an appeal. The two actions are conceptually distinct, and each has its own procedural rules and requirements. Compare Ariz. R.P. Spec. Act. 4., with
¶38 I agree with my colleagues that this legislative choice can make administrative appeals difficult for the unwary. Likely that is why our rules provide a handy template for properly filing an appeal, titled “Notice of Appeal of Administrative Decision.” JRAD Rule 4; JRAD Form 1. Even without the template, the statutes spell out what is required and point to our rules, which could not be clearer that a notice of appeal is required.
¶39 And dismissal of the appeal (or, in this case, the special action) is certainly a harsh result. But so long as the legislature acts within its constitutional authority and complies with due process requirements, it gets to mandate harsh results if it chooses. The legislature could not have tailored harsh-consequences language more plainly than when it decreed that “[u]nless review is sought . . . in the manner provided . . . , the parties . . . shall be barred from obtaining judicial review of the decision.”
¶40 For the foregoing reasons, and with great respect to my colleagues, I dissent.
