BOSTON
– Following a decision
by the U.S. District Court for the District of Massachusetts in which the Real
Estate Bar Association for Massachusetts, Inc. (REBA) was found liable for
violating 42 U.S.C. Section 1983, and ordered to pay $904,076.17 in legal fees
to a real estate conveyancing business, the Boston Bar Association today
announced that it has filed an amicus
brief in the First Circuit of Appeals asserting the First Amendment rights
of all litigants, including bar associations, to petition courts for the redress
of grievances that have a reasonable basis in fact and in law – regardless of
whether the courts ultimately grant or deny relief on the merits.
REBA
v. National Real Estate Information Services (NREIS) and NREIS Inc., began
in Suffolk Superior Court in 2006 with REBA’s claim that NREIS engaged in the
unauthorized practice of law by providing certain real estate conveyancing
services. NREIS subsequently removed the case to federal court, and
counterclaimed against REBA, arguing that REBA’s claim, if allowed, would
deprive NREIS of its rights under the Dormant Commerce Clause to do business in
Massachusetts.
The
BBA’s amicus brief, drafted by Jonathan Albano, a partner at Bingham McCutchen,
LLP, emphasizes that the BBA does not seek to be heard on whether NREIS actually
engaged in the unauthorized practice of law or whether prohibiting NREIS from
conducting its business in Massachusetts would violate the Dormant
Commerce Clause. Instead, the BBA’s
brief focuses on the First Amendment rights of
private parties, including bar
associations, to file reasonably based claims for judicial relief without being
held liable for damages or attorneys fees.
The
brief concludes that if the District Court’s judgment is upheld, private
citizens who are granted standing by legislation to bring claims against private
individuals but who fail to prevail on such claims would appear to face a
similar risk of being held “state actors” responsible for attorneys fees
awards.