Untitled Texas Attorney General Opinion ( 2011 )


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  •                                ATTORNEY GENERAL OF TEXAS
    GREG        ABBOTT
    August 12, 20 II
    Mr. Robert Scott                                          Opinion No. GA-0878
    Commissioner of Education
    Texas Education Agency                                    Re: Authority of an independent school district to
    1701 North Congress Avenue                                defray the legal expenses of an administrator who
    Austin, Texas 78701-1494                                  files an action for defamation (RQ-0953-GA)
    Dear Commissioner Scott:
    You ask whether an independent school district may defray the legal expenses of an
    administrator who files a lawsuit against a third party for defamation. l
    A letter from an attorney representing the school district in question explains that "[olne or
    more of the District's administrators have been subject to stories in local media, alleging
    improprieties in connection with student testing, student admissions and attendance, etc.,,2 The letter
    indicates that "[tlhe stories have had the tendency to injure the reputation not only of the
    administrators, but of the District itself," and that "[tlhe Board of Trustees believes that the District
    itself has been defamed[.]" Safi Letter at 1-2. The letter asks us to "assume that the Board believes
    that the expenditure in funding the plaintiff's lawsuit would be in the District's interest, and not
    merely in the employee's personal interest." [d. at 3.
    This is a case of first impression in Texas. No judicial decision or attorney general opinion
    has heretofore considered a situation in which a governmental body seeks to payor reimburse its
    ernployee's legal expenses for bringing a lawsuit as a private party plaintiff.
    When the employee is a defendant, we have said that a "school board's authority to employ
    an attorney for a trustee sued in an individual capacity is limited to situations where the district's
    interests, and not merely the trustee's personal interests, require assertion or defense in court." Tex.
    Att'y Gen. Op. No. GA-0104 (2003) at 4 (citations omitted). As we have noted, the attorney for the
    iLetter from Mr. Robert Scott, Commissioner of Education, Texas Education Agency, to Honorable Greg
    Abbott, Attorney General of Texas (Mar. 15,2011), https://www.oag.state.tx.us/opinlindex_rq.shtml ("Request Letter").
    'Letter from S. Anthony Safi, Mounce, Green, Myers, Safi, Paxson & Galatzan, to Mr. Robert Scott at 1 (Jan.
    24,2011) (attached to Request Letter), https://www.oag.state.tx.us/opinlindex_rq.shtml ("Safi Letter").
    Mr. Robert Scott - Page 2                                (GA-0878)
    school district argues that the plaintiff-employee's contemplated legal action "would be in the
    District's interests." Safi Letter at 3.
    However, as the attorney for the district acknowledges, "the District itself does not have
    standing to file a defamation case on its own behalf." 
    Id. at 2.
    In a Texas court of appeals case, the
    court considered whether a governmental body-in that case an independent school district-may
    sue for defamation. See Port Arthur Indep. Sch. Dist. v. Klein & Assocs. Political Relations, 
    70 S.W.3d 349
    , 351 (Tex. App.-Beaumont 2002, no pet.). After observing that the matter is "a
    question of law," the court held that a governmental body is prohibited from filing an action for
    defamation. 
    Klein, 70 S.W.3d at 353
    . Relying on the United States Supreme Court's decision, New
    York Times v. Sullivan, 
    376 U.S. 254
    (1964), the Klein court declared:
    In distinguishing a suit brought by a governmental unit from
    a suit filed by a government official, the United States Supreme Court
    has stated as follows: "For good reason, 'no court oflast resort in this
    country has ever held, or even suggested, that prosecutions for libel
    on government have any place in the American system of
    jurisprudence. '"
    
    Klein, 70 S.W.3d at 351
    (quoting 
    Sullivan, 376 U.S. at 291
    ).
    The fact that a governmental body is itself proscribed from bringing an action for defamation
    means that the administrators at issue here may not do so on the district's behalf-or with funding
    from the district. Because the United States Supreme Court has said that governmental bodies may
    not bring defamation lawsuits, the governmental body's employee may not attempt to circumvent
    that prohibition by bringing a personal lawsuit with funding from the governmental body because
    doing so would necessarily be limited to the employee's personal interests.' The district's use of its
    resources to advance an employee's personal interests fails the test for financial support or
    reimbursement articulated in Attorney General Opinion GA-0104 (2003).4 Thus, we conclude that
    an independent school district may not defray the legal expenses of an administrator who files a
    private defamation lawsuit that advances his or her personal interests.
    3In a recent decision, the Texas Supreme Court held that, because a hospital that has been paid by a workers'
    compensation carrier is barred by statute from pursuing a claim against the covered patient for the remaining charges,
    a hospital may not file a lien against the patient's property to recoup the remaining charges because it "cannot accomplish
    indirectly (by filing a lien) what [it] could not do directly (by filing suit)." Daughters of Charity Health Servs. of Waco
    v. Linnstaedter, 
    226 S.W.3d 409
    , 410 (Tex. 2007).
    4Moreover, it might be questioned whether reimbursement to an employee who acts as a plaintiffis ever proper.
    Unlike an employee who is sued as a defendant, a plaintiff employee is not required to incur any legal expenses on behalf
    of his governmental body.         And in the present instance, the administrator is attempting to raise an
    issue--defamation-which his employer would be barred ab initio from raising in a legal action.
    Mr. Robert Scott - Page 3                   (GA-0878)
    SUMMARY
    An independent school district may not defray the legal
    expenses of an administrator who files an action for defamation.
    Very truly yours,
    DANIEL T. HODGE
    First Assistant Attorney General
    DAVIDJ. SCHENCK
    Depnty Attorney General for Legal Counsel
    JASON BOATRIGHT
    Chair, Opinion Committee
    Rick Gilpin
    Assistant Attorney General, Opinion Committee