Gowan v. Tully
New York Court of Appeals
45 N.Y.2d 32, 407 N.Y.S.2d 650, 379 N.E.2d 177 (1978)
- Written by Steven Pacht, JD
Facts
Robert Nolan and other estate-tax attorneys (collectively, Nolan) who were employees of New York’s Department of Taxation and Finance (department) brought a class-action suit against James Tully (defendant), the department’s commissioner, on behalf of 44 department estate-tax attorneys who had been or might be fired during the pendency of the class-action suit. Nolan primarily alleged that the class members had been (or would be) fired in violation of New York’s Labor Law, but Nolan also alleged violations of the New York and United States Constitutions. While Nolan’s case was pending, James Gowan (plaintiff), a former department estate-tax attorney, along with certain other former department estate-tax attorneys (collectively, Gowan) (plaintiffs), brought an Article 78 proceeding against Tully, seeking reinstatement to their former jobs. Gowan reiterated the allegations in Nolan’s suit and further alleged that the terminations were not made in good faith but rather were undertaken for the sole purpose of replacing the incumbents with members of a different political party. By the consent of the parties, Gowan’s suit was held in abeyance while Nolan’s suit was litigated. The supreme court dismissed Nolan’s petition. On appeal, Nolan asked the appellate division to take judicial notice of Gowan’s allegations, which Nolan argued showed that the terminations were made in bad faith. The appellate division affirmed the dismissal of Nolan’s petition without addressing Nolan’s bad-faith arguments. Shortly thereafter, three members of the United States Supreme Court ruled that the First and Fourteenth Amendments to the United States Constitution prohibited the termination of public employees for political-patronage reasons. Nolan’s attempt to further appeal to the New York Court of Appeals was unsuccessful. The supreme court thereafter dismissed Gowan’s petition on res judicata grounds based on the outcome of Nolan’s petition. The appellate division affirmed. Gowan appealed, contending that the dismissal of Nolan’s petition did not have res judicata effect due to the Supreme Court’s subsequent decision.
Rule of Law
Issue
Holding and Reasoning (Breitel, C.J.)
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