Fiske v. Gillespie

California Court of Appeal May 2, 1988 No. B025876Published

Before: Roth

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Holding. The court held that the action was non-justiciable because it lacked an actual controversy and failed to demonstrate the actual or threatened expenditure of public funds required for a taxpayers' suit. Consequently, the court declined to reach the underlying constitutional question regarding the insurance statute.

Issues

Whether the action presented an actual controversy sufficient for declaratory relief.
Whether the action satisfied the requirements for a taxpayers' suit under Code of Civil Procedure section 526a.
Whether the court should reach the constitutional challenge to the insurance statute.

Disposition. reversed

Quotations verified verbatim against the opinion

“The courts of this state are not empowered to render advisory opinions to satisfy the curiosity of parties motivated by reasons ulterior to resolution of an actual dispute.”

“The statute authorizing declaratory judgments is explicitly limited to "cases of actual controversy."”

“The cause of action created by this statute, however, requires actual expenditure, or at the least a threat of actual expenditure, of public funds, if only in small amounts.”

Opinion

ROTH, P. J.

The Commissioner of the California Department of Insurance appeals from a judgment enjoining her from expending funds to enforce the provisions of Insurance Code section 790.03, subdivision (f), part of the state’s legislative regulation of trade practices in the business of insurance. (See Ins. Code, § 790.) Section 790.02 prohibits all unfair methods of competition and unfair or deceptive acts or practices in the business of insurance. The various subdivisions of section 790.03 define some of such acts and practices. Subdivision (f) defines one such prohibited act or prac

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tice as the setting by an insurer of premiums, rates, dividends, or benefits for life insurance and annuities at the same rates for both men and women. The provision requires insurers to establish different rates for men and women, except as prohibited by federal law.

Respondents filed a taxpayers’ action (Code Civ. Proc., § 526a) for declaratory and injunctive relief, contending the statute, by mandating a classification by gender, denies men and women the equal protection of the laws guaranteed by the Constitutions of California and of the United States. Respondents’ motion for summary judgment was granted, and this appeal followed.

At the outset, appellant contends the action is not a proper taxpayers’ suit and does not present an actual controversy. Because these contentions are well taken, it is unnecessary to reach the constitutional question.

The courts of this state are not empowered to render advisory opinions to satisfy the curiosity of parties motivated by reasons ulterior to resolution of an actual dispute.

(People

ex rel.

Lynch

Superior Court

(1970) 1 Cal.3d 910 [83 Cal.Rptr. 670, 464 P.2d 126];

Younger

Fiske v. Gillespie

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ROTH, P. J.

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