Monday, March 22, 2010

"Public entity" immunity for misrepresentations [Gov. Code 818.8] is limited to commercial or financial transactions.

The Case:  Johnson v. State of California (1968) 69 Cal.2d 782 '

The question: 
 To what extent are public entities immune for misrepresentations made by the entity or its employees under Gov.  Code §. 818.8.
Gov.  Code §. 818.8  provides that "A public entity is not liable for an injury caused by misrepresentation by an employee of the public entity, whether or not such misrepresentation be negligent or intentional."
According to Johnson, and subsequent cases, the application of Gov. Code §. 818.8 is limited to "interferences with financial or commercial interest."


Subsequent Cases:

*   Adkins v. State of California (1996) 50 Cal.App.4th 1802, 1818.
*    Michael J. v. Los Angeles County Dept. of Adoptions (1988) 201 Cal.App.3d 859, 247 Cal.Rptr. 504.

RELATED ISSUE:   This immunity does not apply to contracts. See Arthur L. Sachs, Inc. v. City of Oceanside (1984)151 Cal. App. 3d 315


Gov. Code 818.8 does not apply to actions based on a contract which are specifically subject to liability under Government Code section 814. Citing  In Souza & McCue Constr. Co. v. Superior Court, 57 Cal.2d 508, and the legislative committee comment  to section 814. 

4 comments:

  1. does 818.8 apply to student loan refund checks that were cashed by the school.

    ReplyDelete
  2. california state university , long beach cashed my student loan refund checks and the the state attorney general claims immunity from liability based on 818.8.

    ReplyDelete
  3. Immunity does not apply to actual fraud and contract.

    ReplyDelete