S. v. Santa Clara County Office of Education

Background

J.S., a minor, and Terre S., J.S.’s mother and guardian ad litem, asked the court to approve a settlement reached before litigation with the Santa Clara County Office of Education (SCCOE) and the Evergreen School District. The defendants joined the petition.

According to the petition, J.S. was 15 years old and had been diagnosed with autism spectrum disorder, Tourette’s Syndrome, and other disorders. Terre S. had filed an administrative claim alleging that several educational entities denied J.S. a free appropriate public education during the 2018–2019 school year. The alleged failures included not providing a timely educational placement, not offering placement in the least restrictive environment, not timely convening or implementing an individualized education program, not offering adequate goals and services, not providing assistive technology, not conducting a behavioral assessment, and not making a clear written offer.

Terre S. also filed a California tort claim seeking damages based on an alleged January 31, 2019 incident in which an SCCOE employee allegedly verbally and physically assaulted J.S. The petition stated that J.S. reportedly suffered kneecap injuries requiring follow-up care and that his primary alleged injuries were mental and emotional. The petition also identified potential claims under Section 504 of the Rehabilitation Act, Title II of the Americans with Disabilities Act, the California Unruh Civil Rights Act, and the Fourth, Eighth, and Fourteenth Amendments. J.S. and Terre S. had separately settled their claims against Santa Cruz City Schools, but that agreement was not before this court.

Settlement Terms

The proposed settlement required SCCOE and the Evergreen School District to establish a $21,500 settlement fund, subject to approval by SCCOE’s insurer and the court. The proposed allocation was:

- $9,000 for J.S.’s and Terre S.’s counsel. Counsel reported that total fees and costs incurred to that point were $26,565, including costs related to the administrative claim. - $12,500 for J.S. and Terre S. Of that amount, $5,500 would be paid directly to Terre S. to settle the tort claim and would be used for trauma therapy for J.S. The remaining $7,000 would cover J.S.’s qualified educational expenses until the funds were depleted or June 30, 2021, whichever came first.

Court’s Analysis

Under Federal Rule of Civil Procedure 17(c), courts have a special duty to protect minors involved in litigation. In reviewing a proposed settlement involving a minor, the court must independently determine whether the settlement serves the minor’s best interests. The court focused on the minor’s net recovery and whether that recovery was fair and reasonable in light of the facts, the minor’s claims, and settlements in similar cases. It did not have a special duty to protect the interests of adult co-plaintiffs or counsel.

The court applied this standard even though the proposed settlement involved both federal and state claims. It found that the $12,500 available to J.S. and Terre S. was commensurate with settlements approved in similar cases. The court also found value in resolving the matter early, before the parties incurred the additional time and expense of potentially prolonged litigation in which SCCOE and the Evergreen School District likely would have challenged the nature and extent of J.S.’s alleged injuries.

Disposition

The court found the proposed settlement fair, reasonable, and proper. It granted the petition for approval of the minor’s compromise and ordered the Clerk to close the file. This order approved the settlement; it did not decide the underlying educational, tort, disability-discrimination, or constitutional claims on their merits.