Court of Appeals Holds that D.C. Council Lawfully Transferred Several Million Dollars from Special Fund to General Fund

ByDouglas C. Melcher

On May 24, 2012, the District of Columbia Court of Appeals decided Washington, D.C. Association of Realtors, Inc. v. District of Columbia, No. 11-CV-833, slip op. (D.C. May 24, 2012) in which it considered a case arising from legislation of the D.C. Council directing the transfer of several million dollars from the Real Estate Guarantee and Education Fund to the District’s General Fund. Several associations of realtors challenged the transfer in Superior Court. They alleged that the transfer violated Section 450 of the District’s Home Rule Act and the Real Estate Licensure Act of 1982. The Superior Court granted summary judgment to the District. The Court of Appeals affirmed. It held that nothing in Section 450 of the Home Rule Act prohibits the D.C. Council “from legislating a transfer of monies out of a special fund and into the General Fund.” It also held that nothing in the Real Estate Licensure Act of 1982 prohibits the D.C. Council from transferring monies from the Real Estate Guarantee and Education Fund to the General Fund and that, even if such a prohibition existed, an earlier enactment of the D.C. Council could not prohibit the D.C. Council from enacting subsequent legislation directing a transfer.

Douglas C. Melcher

I am a licensed attorney with about twenty years of experience in the private practice of law. I focus my practice on advising and representing individuals, small businesses, and non-profits in civil litigation, including trial court proceedings, appeals, administrative hearings, mediation, and arbitration. I have written numerous articles for D.C. Law Blog and other publications, and am the author of Tort Claims and Defenses in the District of Columbia, which is a handbook for lawyers about civil claims for injury to persons, property, reputation, and commercial interests. Please feel free to contact me if you would like to inquire about assistance with a legal matter. I can be reached at dmelcher@melcherlaw.com or 202-427-5753. For further information about my background, click here.