Stuart James
Shannon WhitfieldStuart James, who has represented Walker County in its lawsuit against Erlanger Health System, wants to continue to work for the county under incoming Commissioner Shannon Whitfield.
James said he plans to meet with Whitfield to explain why he will win the case for the county. Whitfield did not return a call seeking comment tonight, but he has said multiple times this year that he would not make a decision on the lawsuit until winning the election.
Whitfield defeated Commissioner Bebe Heiskell in the Nov. 8 election. He will take office at the beginning of next year.
While he has followed coverage of the lawsuit, Whitfield has said he wanted to wait on a decision because he might not know some facts about the case -- facts that could be hidden as part of attorney-client privilege.
"The most important thing is to make sure the citizens of Walker County have been treated fairly and can put this dark period behind them," James said in a statement tonight. "I'm optimistic that this will happen early in Commissioner-elect Whitfield's tenure in office."
In 2011, Erlanger loaned $20 million to Hutcheson Medical Center. At the same time, Heiskell signed an agreement with Hutcheson's governing body, telling the board that the local government could cover half of the loan if the hospital didn't have the funds.
Last December, after a company bought Hutcheson in bankruptcy court, Erlanger sued Walker County. In August, U.S. District Court Harold Murphy granted the hospital's motion for summary judgment, ruling that Walker County owes Erlanger $8.7 million. (The total bill had shrunk from $10 million because Erlanger received some money in Hutcheson's sale.)
In October, James appealed Murphy's ruling. He has argued multiple times that the state constitution does not allow the type of agreement that took place in 2011 because Erlanger is not based in Georgia.
And if that's the case, James argued, then Heiskell's 2011 promise of paying half the loan wasn't valid. So you can't hold the county to it.
James also argued that Walker County is protected by "sovereign immunity" -- a legal protection that says people can't sue a local government.
But Murphy, the district court judge, didn't go for these arguments. He said "sovereign immunity" doesn't apply when an elected official like Heiskell signs a contract.
"Walker County also agreed [in 2011] that its obligation to make the payments required under the Intergovernmental Agreement would be absolute and unconditional," Murphy wrote, "and that such payments would not be abated or reduced for any reason."
After James filed an appeal, the Association County Commissioners of Georgia filed a brief in support of his arguments.