Parsons, Murphy and Raffaele v. Pennsylvania Higher Education Assistance Agency (PHEAA)

910 A.2d 177 (Commonwealth Court 1239 CD 2006)

On November 15, 2006, the Commonwealth Court, in an opinion authored by the Honorable Doris A. Smith-Ribner, determined that PHEAA was compelled under the Right to Know Law to disclose its expense vouchers for the Retreats taken by the Board, as well as, other travel-related expenditures to three Reporters who submitted right to know requests for them in the Summer of 2005.

PHEAA had withheld the requested records under three asserted exceptions: the records contained trade secrets protected from disclosure under the Uniform Trade Secrets Act; the records were "legislative records" because the PHEAA Board was partially comprised of legislators; and, the personal security exception for any confidential or personal information. The Reporters agreed to redaction of any personal information to include credit card numbers, account numbers, Social Security numbers, telephone numbers or addresses, if any. PHEAA failed to provide any records, even in redacted form to the Reporters, and to date no records have been disclosed. PHEAA had denied the requests in its final determination which the reporters appealed to the Commonwealth Court.

The Commonwealth Court reversed PHEAA's decision that withheld the requested records and determined as a matter of first impression, that the three asserted grounds for excepting the records from mandatory disclosure were unreasonable and contrary to law and that the records must be disclosed. Although the Court indicated legitimate and proven work product of PHEAA could be redacted if it proved it was secret and of competitive value, the Court retained jurisdiction at this time to monitor such claims and release of the documents. The Court further ruled that the Reporters were entitled to attorneys' fees permitted under the Act. This is the first time an appellate court has addressed the issue of legal fees and awarded them to a news organization under the 2002 amendments to the Right To Know Law.

Nauman Smith lawyer Craig J. Staudenmaier represented the reporters and their news organizations.

No. 1239 C.D. 2006 (Pa. Commw. Order of January 12, 2007).

Following the Commonwealth Court's November 15, 2006 Opinion and Order, (above), on January 12, 2007, the Commonwealth Court granted the Petition to Enforce filed by Reporters Jan Murphy of The Patriot-News, Martha Raffaele of the Associated Press and Jim Parsons of WTAE-Pittsburgh, and set forth a timetable for the production and/or redaction of documents withheld by PHEAA since the Summer of 2005. The January Order required that within 14 days, PHEAA provide the Court a log of any records it has supplied to the Reporters, explaining its redactions, with such log to be supplemented at one week intervals until all responsive records were provided to Reporters by February 16, 2007. The January Order further denied PHEAA's request to have the November Order certified as final and appealable.

PHEAA appealed on the 14th day to the Supreme Court, 11 MAL 2007 (see below).

Parsons et al v. PHEAA, No. 11 MAL 2007 (Pa. Supreme Ct.).

Subsequent to the Commonwealth Court issuing its Order on January 12, 2007, granting the Petition to Enforce filed by Reporters Jan Murphy of The Patriot-News, Martha Raffaele of the Associated Press and Jim Parsons of WTAE-Pittsburgh, PHEAA filed an Emergency Application for Stay of the Commonwealth Court's November and January Orders, which was granted on January 26th, the date it was filed. After reviewing PHEAA's Petition for Review of the Commonwealth Court's declination to finalize the Order, the Supreme Court dismissed PHEAA's Petition and its Emergency Application for Stay as moot because it denied PHEAA's appeal in the related action, 1049 MAL 2006 (see below).

Parsons et al v. PHEAA, No. 1049 MAL 2006 (Pa. Supreme Ct.).

Reporters were again successful in defending against PHEAA's attempt to shield records from public view when, on February 22, 2007, the Pennsylvania Supreme Court denied the Petition for Allowance of Appeal filed by PHEAA on December 18, 2006. The Supreme Court's Order lifted the Emergency Stay, thus permitting the Commonwealth Court to proceed with enforcing its earlier orders in Reporters' favor, and requiring that public records be disclosed to the Reporters with minimal redaction of only those trade secrets in which PHEAA could show a competitive advantage and legal support that such alleged secrets qualified for protection under the Uniform Trade Secrets Protection Act. Petition for counsel fees is pending before the Court.

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