Opinion ID: 1392493
Heading Depth: 3
Heading Rank: 6

Heading: the superior court erred in its awards of attorney's fees because keane was entitled to public interest status

Text: Keane contends that the superior court abused its discretion when it denied him public interest status and awarded attorney's fees to the Incorporators and the LBC. See Citizens Coalition for Tort Reform, Inc. v. McAlpine, 810 P.2d 162, 171 (Alaska 1991) (We review the trial court's determination of public interest status under the abuse of discretion standard.). We agree. The criteria for identifying a public interest suit are as follows: (1) whether the case is designed to effectuate strong public policies; (2) whether, if the plaintiff succeeds, numerous people will benefit from the lawsuit; (3) whether only a private party could be expected to bring the suit; and (4) whether the litigant ... would lack sufficient economic incentive to bring the lawsuit if it did not involve issues of great public importance. Carney v. State, Board of Fisheries, 785 P.2d 544, 549 (Alaska 1990). All four factors must exist before a party is considered a public interest litigant. Id. We conclude that Keane is a public interest litigant. First, this lawsuit was designed to effectuate public policy. Keane challenged an alleged violation of a policy of the Alaska Constitution that favors limiting tax-levying authorities. Keane also sought a determination that would clarify statutory limitations on municipalities' tax-levying powers. Each of these goals involves important public policies. Second, numerous people will benefit from this lawsuit if Keane succeeds. Although Keane admits that [t]he hundreds of fishermen of the Ugashik District would be the primary beneficiaries, defining boundaries of constitutional provisions will benefit the public at large. See, e.g., Whitson v. Anchorage, 632 P.2d 232, 234 (Alaska 1981); Thomas v. Bailey, 611 P.2d 536, 540 (Alaska 1980). Likewise, interpreting public laws will benefit the public. See Girves v. Kenai Peninsula Borough, 536 P.2d 1221, 1227 (Alaska 1975). Third, it is reasonable to conclude that only a private party would be expected to bring this suit because the LBC's decision is supported by the DCRA. Fourth, Keane lacked sufficient economic incentive to bring this suit. This appeal was directed at the formation of a municipality, rather than at the imposition of a tax; economic interests were affected only indirectly. Keane alleges that in this case the affected economic interest of a typical fisherman is quite small, approximately $555.55. [24] See Citizens for the Preservation of the Kenai River, Inc. v. Sheffield, 758 P.2d 624, 627 (Alaska 1988) (holding that whether a party is a public interest litigant depends on the interests of typical members rather than the interests of a single member). The economic interest of a typical fisherman in this case is not substantial and does not preclude Keane's public interest status. [25] Keane satisfied all four of the necessary criteria to be considered a public interest litigant. We conclude that the superior court abused its discretion in denying Keane public interest status. Therefore, we reverse the awards of attorney's fees. [26]