Monday, 2 April 2018

Court says PACER fees misused

The United States District Court for the District of Columbia has issued an opinion in the class action case National Veterans Legal Services Program, et. al., v United States (docket available here). In her opinion, Judge Ellen Segal Huvelle said that the federal judiciary misused millions of dollars in PACER fees to fund programs that are not allowed. However, she wrote that "the Court rejects the parties’ polar opposite views of the statute." She rejected the plaintiffs' reasoning that PACER fees can only be used to cover the "marginal cost" of running PACER, but also rejected the government's "other extreme" reasoning that the E-Government Act allows PACER fees to fund any dissemination of information through electronic means. Under her reasoning, the federal judiciary must return approximately $200 million to people who paid PACER fees from 2010-2016.
The Freedom to Tinker blog has an extensive discussion of the decision:
"The law says that the Judiciary “may, only to the extent necessary, prescribe reasonable fees… to reimburse expenses incurred in providing these services.” The lawsuit centered on the meaning of terms like “only to the extent necessary” and “these services.” During the litigation, the Judiciary provided a spreadsheet showing how PACER fees were spent across different categories (categories invented by the Judiciary). About a quarter of these fees were spent on things that related to public access tangentially at best (for example, “courtroom technologies”). The judge decided that these were illegal. About 15% of fees were under a different heading: “Public Access Services.” The plaintiffs did not allege that these were illegal even though ~$25m per year seems an awful lot for serving digital documents to the public. Only the middle set of categories—about $100m per year—was seriously in dispute."

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