Hill v. City of Lincoln, 221 Neb. 719

Summary

The Supreme Court of Nebraska affirmed a judgment concerning refunds of improper wage deductions for municipal police and fire pension benefits. The court held that class counsel failed to prove a net benefit to the class sufficient to support an attorney fee award. It also held that the claims were not liquidated because recovery depended on resolving a reasonable statutory interpretation dispute, and therefore prejudgment interest was unavailable.

Holdings

1. Class counsel was not entitled to an attorney fee because counsel failed to present evidence establishing a net benefit to the class.
2. No prejudgment interest was recoverable because the claims were not liquidated where the existence and amount of the overpayment depended on resolving a reasonable dispute over statutory interpretation through a declaratory judgment action.

Questions Presented

1. Whether class counsel proved a net benefit to the class sufficient to support an attorney-fee award from the fund created by the litigation.
2. Whether the employees' refund claims were liquidated so that prejudgment interest was recoverable.
3. If prejudgment interest was recoverable, whether the district court properly limited the period for which interest accrued.

Disposition

affirmed