Charles Brice v. State of Delaware, Department of Correction

Summary

The Supreme Court of Delaware held that the Merit Employee Relations Board lacked statutory authority to routinely award attorney's fees under 29 Del. C. § 5931(a)'s provision allowing it to otherwise make employees whole. However, because the statute granted broad equitable remedial authority, the Board had ancillary equitable jurisdiction to award attorney's fees in extraordinary cases under the bad-faith exception to the American Rule. The court reversed and remanded for the Board to determine and award reasonable fees incurred by Brice.

Holdings

1. The phrase "otherwise make employees whole" does not constitute specific statutory authorization for the routine award of attorney's fees to successful employees, either as a matter of right or in the Board's discretion.
2. The Board possesses ancillary equitable jurisdiction to award attorney's fees to a successful employee in extraordinary cases under the common-law bad-faith exception to the American Rule.
3. The General Assembly's enactment of a statute subjecting the State to broad equitable remedies waives sovereign immunity under the Delaware Constitution as to ancillary equitable relief, including attorney's fees awarded under the bad-faith exception.

Questions Presented

1. Whether the phrase "otherwise make employees whole" in 29 Del. C. § 5931 authorizes the Merit Employee Relations Board to award attorney's fees routinely to a successful employee.
2. Whether the Board possesses ancillary equitable jurisdiction to award attorney's fees under the bad-faith exception to the American Rule in extraordinary cases.
3. Whether sovereign immunity bars the Board from awarding attorney's fees as ancillary equitable relief against the State.

Disposition

reversed_and_remanded