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You can search the entire site. or go to the recent opinions, or the chronological or subject indices. Vote Yes for Alaska's Fair Share v. Resource Development Council for Alaska, Inc., Alaska Trucking Association, Inc., Alaska Miners Association, Inc., Associated General Contractors of Alaska, Alaska Chamber, and Alaska Support Industry Alliance (12/1/2023) sp-7674

Vote Yes for Alaska's Fair Share v. Resource Development Council for Alaska, Inc., Alaska Trucking Association, Inc., Alaska Miners Association, Inc., Associated General Contractors of Alaska, Alaska Chamber, and Alaska Support Industry Alliance (12/1/2023) sp-7674

         Notice:  This opinion is subject to correction before publication in the Pacific Reporter.   

         Readers are requested to bring errors to the attention of the Clerk of the Appellate Courts,  

         303 K Street, Anchorage, Alaska 99501, phone (907) 264-0608, fax (907) 264-0878, email  

         corrections@akcourts.gov.  

  

  

                   THE SUPREME COURT OF THE STATE OF ALASKA  



  

VOTE YES FOR ALASKA'S FAIR                               )         

SHARE,                                                   )       Supreme Court Nos.  S-18044/18063  

                                                         )         

                          Appellant and                  )       Superior Court No.  3AN-20-05901 CI  

                          Cross-Appellee,                )         

                                                         )       O P I N I O N  

         v.                                              )         

                                                         )       No. 7674 - December 1, 2023  

RESOURCE DEVELOPMENT                                     )  

COUNCIL FOR ALASKA, INC.,                                )  

ALASKA TRUCKING ASSOCIATION,   )  

INC., ALASKA MINERS                                      )  

ASSOCIATION, INC., ASSOCIATED                            )  

GENERAL CONTRACTORS OF                                   )  

ALASKA, ALASKA CHAMBER, and                              )  

ALASKA SUPPORT INDUSTRY                                  )  

ALLIANCE,                                                )  

                                                         )  

                          Appellees and                  )  

                          Cross-Appellants.              )  

                                                         )  

         and.                                            )  

                                                         )  

KEVIN MEYER, in his official capacity                    )  

as Lt. Governor of the State of Alaska;                  )  

GAIL FENUMIAI, in her official capacity )  

of Director of the Alaska Divisions of                   )  

Elections; and STATE OF ALASKA,                          )  

DIVISION OF ELECTIONS,                                   )  

                                                         )  

                          Appellees.                     ) 



                                                           



                                                           


----------------------- Page 2-----------------------

  



                 Appeal from the Superior Court of the State of Alaska, Third  

                 Judicial District, Anchorage, Thomas A. Matthews, Judge.  

  

                 Appearances:  Robin O. Brena and Jon S. Wakeland, Brena  

                 Bell & Walker, P.C., Anchorage, for Appellant.   Matthew  

                  Singer and Peter A Scully, Schwabe, Williamson & Wyatt,  

                 P.C.,  Anchorage,  for  Appellees  Resource  Development  

                 Council for Alaska, Inc., et al.  Notice of nonparticipation  

                 filed  by  Katherine  Demarest,  Assistant  Attorney  General,  

                 Anchorage, and Treg R. Taylor, Attorney General, Juneau,  

                 for Appellees Lieutenant Governor of the State of Alaska,  

                 Director of the State of Alaska Division of Elections, and the  

                  State of Alaska Division of Elections.  

  

                 Before:    Winfree,  Chief  Justice,  Maassen,  Carney,  and  

                 Henderson, Justices.  [Borghesan, Justice, not participating.]  

                   

                 HENDERSON, Justice.  

                 WINFREE,  Chief  Justice,  with  whom  CARNEY,  Justice,  

                 joins, concurring in part.  

  



         INTRODUCTION  



                 A group of trade associations sued the State and a ballot initiative group  



seeking to invalidate the State's approval of a ballot initiative petition.  The litigation  



focused primarily on the constitutionality of a statute limiting the compensation that  



may be paid for obtaining signatures on ballot initiative petitions.  The superior court  



ruled that the statute was unconstitutional and dismissed the trade associations ' claims  



that a large number of petition signatures should be invalidated because the statutory  



                                                     1 

compensation limits had been exceeded.     



                 The ballot initiative group then moved for an attorney's fees award against  



the  trade  associations.   The ballot  initiative  group  contended  that  it  was  a qualified  



                                                                                                                   

         1       We affirmed the superior court's decision in an earlier appeal.  Res. Dev.  

Council for Alaska v. Vote Yes for Alaska's Fair Share, 494 P.3d 541, 543-53 (Alaska  

2021).  



                                                       -2-                                                   7674  


----------------------- Page 3-----------------------

  



prevailing constitutional claimant entitled to an award of full reasonable attorney's fees  



                             2 

under   AS 09.60.010,           or   at   least   an   award   of   partial   attorney's   fees   under  



                            3 

Alaska Civil Rule 82.   The trade associations responded that the ballot initiative group  



could not be a constitutional claimant because it was not a "plaintiff, counterclaimant,  



cross claimant, or third-party plaintiff," and argued that if the ballot initiative group was  



a  constitutional  claimant,  then  they  were  qualified  non-prevailing  constitutional  



                                                                                   4 

claimants entitled to protection from an attorney's fees award.    The ballot initiative  



group  responded  that  the  trade  associations  could  not  be  constitutional  claimants  



because they had sufficient economic incentive to bring their claim regardless of its  



constitutional nature.    



                 The  superior  court  concluded  that  the  ballot  initiative  group  was  a  



constitutional claimant because its claim was effectively a counterclaim.  But the court  



also concluded that the trade associations did not have sufficient economic incentive to  



bring  their  claim  regardless  of  its  constitutional  nature,  and  they  therefore  were  



constitutional  claimants  protected  from  an  award  of  full  attorney's  fees  under  



                                                                                                                   

         2       AS 09.60.010(c)(1) and (d)(1)-(2) provide that a prevailing party -  "as  

plaintiff, counterclaimant, cross claimant, or third-party plaintiff in the action" - may  

obtain an award of full reasonable attorney's fees devoted to constitutional claims upon  

which the party prevailed so long as the party did not have sufficient economic incentive  

to bring the claims regardless of their constitutional nature.  

         3       See  Alaska R. Civ. P. 82(a) ("Except as otherwise provided by law or  

agreed to by the parties, the prevailing party in a civil case shall be awarded attorney's  

fees calculated under this rule.").  

         4       AS      09.60.010(c)(2)        provides      that    a   party     -     "as    a    plaintiff,  

counterclaimant, cross claimant, or third-party plaintiff in the action" - who brings but  

does not prevail on a constitutional claim may be protected from an adverse award of  

attorney's fees so long as the constitutional claim was not frivolous and the party did  

not have sufficient economic incentive to bring the claim regardless of its constitutional  

nature.  



                                                       -3-                                                   7674  


----------------------- Page 4-----------------------

  



AS 09.60.010.    The  court  nonetheless  awarded  the  ballot  initiative  group  partial  



attorney's fees under Rule 82.  



                 The ballot  initiative  group  appeals,  effectively  limiting  its  argument  to  



whether  the  superior  court  correctly  determined  that  the  trade  associations  were  



qualified  constitutional  claimants  because  they  did  not  have  a  sufficient  economic  



incentive  to  bring  their  claim  regardless  of  its  constitutional  nature.    The  trade  



associations also appeal, arguing that if they are qualified constitutional claimants, then  



the Rule 82 attorney's fees must be vacated.  



                 We affirm the superior court's determination that the trade associations  



did not have a sufficient economic incentive to bring their claims.  Therefore, in light  



of the way the  parties litigated the matter, the trade associations are qualified, non- 



prevailing  constitutional  claimants  and  the  Rule  82  attorney's  fees  award  must  be  



vacated.    



         FACTS AND PROCEEDINGS  



         A.      Facts  



                 We  outlined  many  of  the  facts  relevant  to  this  appeal  in  our  previous  



decision,  Resource  Development  Council for  Alaska  v.  Vote  Yes  for  Alaska's  Fair  



        5 

Share.    That decision  addressed whether the lieutenant governor properly certified a  



ballot initiative from Vote Yes for Alaska's Fair Share (Fair Share) regarding changes  



to an oil and gas production tax for certain fields.    



                 As we outlined  in  that  decision,  the  lieutenant  governor  approved  Fair  



                                                                                                    6 

Share's petition for its ballot initiative to appear on the 2020 statewide ballot,  and the  



Division of Elections printed petition booklets for circulation so Fair Share could gain  



                                                                                                                 

         5       494 P.3d  at  544-45.   The State parties had participated in this previous  

case, but took no position regarding the attorney's fees issue in this appeal and cross- 

appeal and filed a notice of non-participation.   

         6       Id. at 544.  



                                                      -4-                                                  7674  


----------------------- Page 5-----------------------

  



                                                         7 

the required signatures of qualified voters.   Fair Share hired a professional signature- 



gathering  company  that  sent  signature-gatherers  (called  circulators)  to  circulate  the  



                       8 

petition booklets.   These circulators ultimately provided 544 of the 786 signed petition  



                                        9 

booklets Fair Share submitted.   In March 2020, the lieutenant governor confirmed that  



Fair  Share's  initiative  had  been  "properly  filed"  and  would  be  placed  on  the  2020  

general ballot.10  



         B.       Proceedings  



                  1.       Decisions on the merits  



                  A  group  of  trade  associations  -  Resource  Development  Council  for  



Alaska,  Inc.;  Alaska  Trucking  Association,  Inc.;  Alaska  Miners  Association,  Inc.;  



Associated General Contractors of Alaska, Inc.; Alaska Chamber; and Alaska Support  



Industry Alliance (collectively the "Trade Associations") - challenged the Fair Share  

ballot initiative as invalid.11   The Trade Associations argued that the ballot initiative  



was improperly certified because the compensation for ballot circulators exceeded the  

statutory threshold of $1 per signature.12  



                  The  Trade  Associations  filed  suit  against  the  State  and  Fair  Share,  

claiming  that  Fair  Share's  petition  was  improperly  certified.13    They  requested  



                                                                                                                    

         7        Id.  For the petition to appear on the ballot, Fair Share had to obtain voter  

signatures " 'equal in number to 10 percent of those who voted in the preceding general  

election,'  representing  'at least three-fourths of the house districts of the state,'  with  

each of those house districts providing signatures  'equal in number to at least seven  

percent of those who voted in the preceding general election in the house district. ' "   

Id. at 543 (quoting AS 15.45.140(a)).  

         8        Id. at 543-44.  



         9        Id . at 544.  



         10       Id.   



         11       Id.   



         12       Id.  



         13       Id.  



                                                       -5-                                                    7674  


----------------------- Page 6-----------------------

  



declaratory relief that "petition booklets that are supported by false circulator affidavits  



have not been properly certified under AS  15.45.130 and that the signatures in those  



booklets may not be counted," and also sought injunctive relief ordering the lieutenant  

governor to invalidate the booklets and associated voter signatures.14   The State and  



Fair Share both moved to dismiss, and after limited discovery the Trade Associations  

cross-moved for partial summary judgment.15  



                 Initially,  the  Trade  Associations'  complaint  had  focused  on  Alaska  



statutes, particularly the statutory cap on circulator compensation.  But as the superior  



court noted, the constitutionality of the statute quickly became and remained a central  



issue throughout the litigation.  Both the State and Fair Share highlighted the protection  



of constitutional free speech rights and challenged the circulator compensation statute  



as unconstitutional under the Alaska and United States Constitutions.   



                 The   superior      court    dismissed      the   Trade      Associations'      action   on  



constitutional grounds.  The court noted that constitutional claims were at issue for both  



parties, and explained that "[t]he Alaska Constitution enshrines the right of the people  



to propose and enact laws by initiative, and to approve or reject acts of the legislature  



by referendum.  Also implicated are fundamental First Amendment rights to engage in  



core political speech."   The court also provided an in-depth explanation of Alaska's  



initiative process.   It explained that "[p]etition circulation is 'core political speech'  "  



that  "is  protected  by  the  First  Amendment."    But  it  noted  that  "there  must  also  be  



regulation of elections to ensure they have qualities of fairness and honesty . . . to ensure  



that there is some order, rather than chaos, to accompany the democratic process."   



                 Ultimately,  the   superior   court  agreed  with  the  Trade  Associations'  



interpretation of the signature payment statute, but held the statute unconstitutional.  It  



                                                                                                                 

         14      Id.  



         15      Id. at 544-45.  



                                                      -6-                                                  7674  


----------------------- Page 7-----------------------

  



explained that the statute was unconstitutional because "the prohibition on payment  



greater than $1 per signature under AS 15.45.110(c) is an unconstitutional restriction  



on free speech protected by the First Amendment to the United States Constitution."   



The  court  also  noted that  the  Trade  Associations'  proposed  remedy  of  disregarding  



39,000 valid signatures on the petition was constitutionally flawed and would result in  



disenfranchisement of thousands of Alaska voters.   



                 The Trade Associations appealed the superior court's dismissal, and we  



affirmed,  holding  that  AS  15.45.110(c)'s  limitation  on  circulator  compensation  was  

unconstitutional and concluding that the petition was properly certified.16  We agreed  



that the statute provided a hard cap on all forms of circulator compensation, and that  



Fair Share's circulators' monthly compensation exceeded the statutory $1 per-signature  

cap.17    But  we  also  agreed  that  nevertheless,  the  petitions  were  properly  certified  



because "the $1 a signature limit, as a hard cap, is an unconstitutional restriction on core  



political  speech,"  thus  eliminating  the  statutory  basis  for  the  Trade  Associations'  

challenge to the petition certification.18  



                 2.       Decisions on attorney's fees  



                 After the superior court's decision on the merits, Fair Share moved for full  



reasonable  attorney's  fees  as  a  "constitutional  claimant,"  arguing  that  it  met  the  



statutory  definition because  it was  the prevailing party on  constitutional  claims  and  



lacked sufficient economic incentive to otherwise bring suit.    It urged that the "case  



involved  fundamental  rights  to  the  initiative  and  political  speech  under  the  Alaska  



Constitution, as well as political speech under the U.S. Constitution."   



                 Fair Share stated that it "successfully defended the constitutional rights of  



Alaskans"   and   "itself   against   [the   Trade   Associations']   efforts   to   impair   the  



                                                                                                                   

         16      Id. at 549-54.  



         17      Id. at 545-46.  



         18      Id.   



                                                       -7-                                                   7674  


----------------------- Page 8-----------------------

  



constitutional rights to initiative and political speech."  It argued that we had "found no  



sufficient economic incentive or interest in similar circumstances" and that it should  



thus receive full reasonable fees.  Fair Share contended that the "Court need look only  



to AS 09.60.010 to determine its fees  . . .  as a prevailing constitutional claimant."  In  



the alternative, it requested that the court award it enhanced attorney 's fees pursuant to  

Rule 82(b)(3).19   



                 The   Trade   Associations   opposed   the   motion   for                attorney's   fees,  



contending that Fair Share  was not a  "constitutional claimant" because it  was not  a  



"plaintiff, counterclaimant, cross claimant, or third-party plaintiff"  that  affirmatively  



brought a constitutional claim.  They also argued that "[i]f Fair Share is a constitutional  



claimant merely because it raised constitutional arguments in its motions practice, then  



by that logic [the Trade Associations] are also immune" from fee liability under the  



same  statute.    The  Trade  Associations  cited Alaska  Miners  Association  v.  Holman,  



where we ruled that a non-prevailing constitutional litigant was immune from attorney's  

fees under AS 09.60.010(c)(2). 20   



                 The  superior  court  held  that  Fair  Share  was  a  constitutional  claimant  



because  it  "successfully  defended  itself  against  Plaintiffs'  efforts  to  impair  the  



constitutional rights to initiative and political speech."    The court also held that the  



Trade   Associations   were   non-prevailing   constitutional   claimants   "because   they  



                                                                                                                 

         19      Rule 82(b)(3) grants a court discretion to vary an attorney's fees award  

from the standard fee awards, based on consideration of several factors including the  

complexity  of  litigation,  length  of  trial,  vexatious  or  bad  faith  conduct,  and  other  

equitable factors that the court deems relevant.   

         20      397 P.3d 312, 317 (Alaska 2017).  Like the Trade Associations here, the  

Alaska Miners Association had sued the Division of Elections and several sponsors of  

a ballot initiative that would have required large-scale mining operations to undergo  

additional  legislative  approval.    Id.  at  313.    But  unlike  the  Trade  Associations'  

statutorily  based  complaint,  the  initial  complaint  in  Holman  asserted  constitutional  

arguments.  Id at 313-14.  



                                                      -8-                                                  7674  


----------------------- Page 9-----------------------

  



assert[ed] constitutional arguments in their summary judgment pleadings" and "did not  



prevail in this suit."   Examining the  evidence of whether the Trade Associations had  



sufficient economic incentive to otherwise bring suit, it concluded that "Fair Share has  



failed to establish that  [the Trade Associations]  have a direct economic incentive to  



bring this action ."  It noted that "the case was brought by various trade associations that  



represent a multitude of interests.  While each Plaintiff may have varying reasons for  



participating in this suit, Fair Share has not demonstrated what direct benefits Plaintiffs  



derive from filing this suit."   (Emphasis in original.)  In reaching this conclusion, the  



court examined the nature and composition of the trade associations and their members,  



the nature of relief sought, and the variety of interests represented in the lawsuit.  The  



court  considered  Fair  Share's  assertion  that  the  Trade  Associations  were  "acting  as  



proxies for the major oil companies that were funding the [OneAlaska - Vote No on  



One] campaign against the ballot initiative, as well as the litigation in this case."  But  



the court noted that "the OneAlaska - Vote No on One campaign did not bring this  



suit."  Noting the lack of evidence of  direct economic incentive such that "successful  



litigation  would  only  confer  indirect  or  attenuated  economic  benefits  to  [the  Trade  



Associations]," the court concluded that the litigation was "not primarily motivated by  



economic interests as required by the statute."  It therefore determined that the Trade  



Associations  were  protected  from  attorney's  fees  as  non-prevailing  constitutional  



claimants.   



                 Despite deeming the Trade Associations "constitutional claimants" and  



therefore  protected  from  attorney's  fees,  the  court  then  turned  to  Rule  82  and  its  



provisions  for  awarding  fees.   The  court  found  that  Fair  Share  had  not  sufficiently  



supported its request for an "upward variance" in Rule 82 fees, but awarded Fair Share  



                                                     -9-                                                 7674  


----------------------- Page 10-----------------------

  



the standard 20% of actual attorney 's fees reasonably and  necessarily incurred.21    It  



deducted or reduced some contested billing entries, and ultimately awarded Fair Share  



$13,100 in Rule 82 attorney's fees.   



         STANDARD OF REVIEW  

                 Interpreting AS 09.60.010 is a question of law that we review de novo.22   



"We apply our independent judgment to questions of law, adopting the 'rule of law that  



                                                                                23 

is most persuasive in light of precedent, reason, and policy. ' "                   When a question of  



statutory  interpretation  is  involved,  we  will  independently  evaluate  the  trial  court 's  

interpretation.24  



        DISCUSSION  



                 The main issue before us is who, if anyone,  is a constitutional claimant,  

and what attorney's fees, if any, attach as a result.25  We agree with the superior court  



                                                                                                               

        21       Rule 82(b)(2) establishes that in cases involving no money judgment that  

are  resolved  without  trial,  the  prevailing  party  shall  be  awarded  20%  of  its  "actual  

attorney's fees which were necessarily incurred."  

        22       Alaska  Conservation  Found.  v.  Pebble  Ltd.  P'ship ,  350  P.3d  273,  279  

(Alaska  2015).    We  have  contemplated  whether  constitutional  claimant  status  also  

"could be a discretionary determination by the superior court or a mixed question of  

fact and law."  Id. at 284 n.60.  But interpreting a statute is a question of law we review  

de novo, and the constitutional claimant analysis is "generally made on indisputable  

facts."  See Dep't of Health & Soc. Servs. v. Planned Parenthood of the Great Nw., 448  

P.3d  261,  262  (Alaska  2019)  (Winfree,  J.,  concurring).    We  therefore  review  

constitutional claimant status de novo as a question of law.  

        23       DeVilbiss  v.  Matanuska-Susitna  Borough,  356  P.3d  290,  294  (Alaska  

2015) (quoting Young v. Embley, 143 P.3d 936, 939 (Alaska 2006)).  

        24       Id.   



        25       In  this  instance,  because  the  Trade  Associations  are  plaintiffs  whose  

arguments focused on constitutional claims, we consider them constitutional claimants.   

We  do  not,  however,  decide  the  issue  whether  a  private  party  may  violate  another  

private   party's   constitutional   rights   such   that   either   party   could   qualify   as   a  

"constitutional litigant" for purposes of attorney's fees, as neither party raised or briefed  

that issue.  



                                                    -10-                                                 7674  


----------------------- Page 11-----------------------

  



that the Trade Associations are  constitutional claimants.  The court therefore erred in  



awarding Rule 82 attorney's fees to Fair Share.  That determination is dispositive, so  



we do not reach the question whether Fair Share is a constitutional claimant.  



         A.      Statutory Overview   



                 Rule  82  generally  entitles  a  prevailing  party  in  a  civil  matter  to  an  

attorney's fees award.26  Beginning in 1974 we recognized a "public interest exception"  



to  Rule  82  that  protects  litigants  raising  important  public  interest  matters  from  the  

disincentive of attorney's fees.27  In Anchorage v. McCabe we reasoned that the public  



interest exception encouraged good faith public interest claims and that in fee-shifting  



jurisdictions  like  Alaska,  the  public  interest  litigant  serves  as  a  "private  attorney  

general" vindicating a significant legislative policy.28  We adopted a three-prong test to  



determine whether an action qualified for the public interest exception, considering :   



first, whether the action effectuated  strong public policy; second, whether  numerous  



people would benefit from successful litigation; and third, whether "only a private party  

could have been expected to bring th[e]  action."29   In 1982 we added a fourth prong  



requiring  that  parties  claiming  the  public  interest  exception  demonstrate  a  lack  of  

economic incentive to bring the litigation.30  



                 In 2003 the Alaska Legislature abrogated and replaced the public interest  

exception  to  Rule  82.31    The  legislature  intended  that  a  new  statute,  AS  09.60.010,  



                                                                                                                

         26      See Alaska R. Civ. P. 82(a); Gilbert v. State, 526 P.2d 1131, 1136 (Alaska  

 1974), superseded by statute, AS 09.60.010.  See also Alaska Conservation Found., 350  

P.3d 273, 279-80 (Alaska 2015) (outlining history of public interest exception).  

         27      Alaska Conservation Found. , 350 P.3d at 279-80.  



         28      568 P.2d 986, 990 (Alaska 1977), superseded by statute, AS 09.60.010.  



         29      Id. at 991 (quoting La Raza Unida v. Volpe , 57 F.R.D. 94, 101 (N.D. Cal.  

 1972)).  

         30      Kenai Lumber Co., v. LeResche, 646 P.2d 215, 223 (Alaska 1982).   



         31      Ch. 86, §§ 1-2, SLA 2003 (codified at AS 09.60.010(b)-(e)).  



                                                     -11-                                                 7674  


----------------------- Page 12-----------------------

  



would, much like Rule 82's public interest exception, encourage private parties to speak  



up for constitutional rights while mitigating the risks of loss and the costs of pursuing  

a suit, particularly one that might not result in damages.32  Relevant to this appeal, the  



"constitutional claimant" provision operates as both a sword and a shield.33  Prevailing  



qualified constitutional claimants must be awarded attorney's fees associated with their  

constitutional  claims.34    Non-prevailing  qualified  constitutional  claimants  must  be  



protected from paying the attorney's fees of their opponents provided the claims are not  

frivolous or motivated by direct economic incentive.35  



         B.      The Trade Associations Are Non-Prevailing Constitutional Claimants  

                 Under AS 09.60.010.  



                 The   primary   issue   on   appeal   related   to   the   Trade   Associations'  



constitutional claimant status is whether they had sufficient economic incentive to bring  



the suit regardless of the constitutional claims.  We hold that the Trade Associations are  



non-prevailing constitutional claimants because they lacked sufficient direct economic  



incentives to otherwise bring their challenge.  



                 We determine whether a litigant is a constitutional claimant by  focusing  



"on primary purpose:  A litigant has sufficient economic incentive to bring a claim when  



it is brought primarily to advance the litigant's direct economic interest, regardless of  

the nature of the claim."36  To determine "primary purpose" we generally examine two  



                                                                                                                

         32      See Alaska Conservation Found., 350 P.3d at 280-81 (outlining legislative  

history).   

         33      See AS 09.60.010(c)(1)-(2).    



         34      AS 09.60.010(c)(1).  



         35      AS 09.60.010(c)(2).  Section (d) of the statute further refines the fees and  

associated costs available to prevailing parties, stating that the award must include only  

the portion of the prevailing party's claims concerning constitutional rights and must  

be awarded only if the prevailing party "did not have sufficient economic incentive to  

bring the suit."  AS 09.60.010(d)(1)-(2).  

         36      Alaska Conservation Found. , 350 P.3d at 281-82.  



                                                     -12-                                                 7674  


----------------------- Page 13-----------------------

  



factors:    first,  the  nature  of  the  claim  and  the  relief  sought;  and  second,  the  direct  

economic interest at stake.37  As to the first factor, the nature of the claim and the relief  



sought,  we  "look  to  statements  made  in  the  pleadings  and  proceedings  about  the  



rationale for the lawsuit, to whether the relief requested was equitable or legal, and to  



the amount of money in controversy, to determine whether the litigant had sufficient  

economic incentive to bring the claim."38   The facts of the case, including arguments  



the  parties  make  throughout  the  litigation,  inform  our  determination  of  the  primary  

purpose.39   That a litigant seeks injunctive and declaratory relief alone is informative  



but not dispositive in determining whether a litigant had sufficient economic incentive  

to  bring  a  claim.40    Here,  the  Trade  Associations  devoted  much  of  their  briefing,  



including their summary judgment arguments, to demonstrating that the United States  



Constitution did not bar the state from regulating the initiative process.  As the superior  



court  found,  neither  the  constitutional  arguments  nor  the  statutory  arguments  were  



frivolous.   The Trade Associations sought only declaratory and injunctive relief, not  



monetary relief, meaning that the decision of the lawsuit in itself would not result in  



direct  financial  gain.    Thus  the  first  factor  favors  the  Trade  Associations  being  



constitutional claimants.  



                                                                                                                    

         37       Id. at 282-83.  



         38       Id. at 282.  



         39       Id.   



         40       Id. (noting that "the type of relief sought" is not conclusive:  " 'Economic  

interest need not take the form of damages,'  and requesting injunctive relief does not  

guarantee a lack of economic motivation" (quoting Matanuska-Susitna Borough Sch.  

Dist. v. State , 931 P.2d 391, 403 (Alaska 1997)));  see also  Eyak Traditional Elders  

Council  v.  Sherstone,  Inc.,  904  P.2d  420,  426  (Alaska  1995)   (concluding  that  

"economic  incentives  were  simply  not  at  the  heart  of  the  [qualified  public  interest  

litigant's]  motive  to  litigate"  though  its  suit  sought  money  damages  along  with  

injunctive relief).  



                                                      -13-                                                    7674  


----------------------- Page 14-----------------------

  



                  As to the second factor, the direct economic interest at stake, we have  



noted  that   "we  have  never  required  that  parties  seeking  constitutional-claimant  

status . . . be completely disinterested in the case."41  As we have emphasized in suits  



involving elections and the ballot-initiative process, "possible or speculated impact" is  

not  direct  economic  benefit.42    We  have  repeatedly  limited  the  proper  inquiry  to  



examining whether there are "direct economic benefits [that] will flow to the claimant  



as  a  result  of  successful  litigation"  and  not  "when  it  would  confer  only  indirect  or  

attenuated economic benefits."43  We have held that superior courts err where they look  



to "future possibilities and contingencies well outside the contours of the litigation to  

conclude that  [the] case was not merely about" the constitutional issue at hand.44  We  



have  also  recognized  that  third-party  funding  of  constitutional  litigation  with  direct  

economic benefit to that party can be relevant to the constitutional claimant analysis.45   



But regardless of the funding source, any economic benefit must still be direct in order  



to  defeat  constitutional  claimant  status :    "Focusing  on  the  funding  of  constitutional  



litigation rather than on the litigation itself to determine primary purpose  . . . can lead  

easily to the wrong result."46  



                                                                                                                   

         41      Alaska Miners Ass 'n v. Holman, 397 P.3d 312, 317 (Alaska 2017).  



         42      Id.  



         43      Alaska Conservation Found ., 350 P.3d at 283; see also Kodiak Seafood  

Processors Ass 'n  v. State,  900 P.2d 1191, 1198-99  (Alaska 1995)  (rejecting possible  

economic effect of litigation outcome on crab fishing industry as too speculative to  

support direct "economic benefit" and finding for crab fishers); Ninilchik Traditional  

Council v. Noah, 928 P.2d 1206, 1218- 19 (Alaska 1996) (same in commercial fishing  

industry).  

         44      Alaska Conservation Found ., 350 P.3d at 284 (emphasis added).  



         45      Id. at 285.   



         46      Id.  



                                                      -14-                                                   7674  


----------------------- Page 15-----------------------

  



                 Fair  Share  urges  that  the  Trade  Associations  have  direct  economic  



incentive  "by  proxy."    Fair  Share  characterizes  the  Trade  Associations  as  merely  



"nominal Plaintiffs" who are acting on behalf of the "major oil producers."  Fair Share  



requests that we reverse the superior court and hold that the Trade Associations had  



sufficient economic incentive based on the "additional $1 billion per year in production  



taxes" that the major oil producers would have to pay if Fair Share's ballot measure  



succeeded.  Alternatively, Fair Share asks us to remand for "discovery into the funding  



and control of this litigation."   



                 But  we  already  rejected  such  an  approach  in  Alaska  Conservation  



Foundation , even after the superior court there had permitted discovery analogous to  

what Fair Share seeks here.47  In that case, we recognized that "commercial . . . interests  



may fund litigation by others . . . but this does not automatically transform otherwise  

indirect economic benefit into direct economic benefit."48  As in Alaska Conservation  



Foundation , here "the underlying litigation was limited" to constitutional requirements,  



and did not directly affect the economic interests of any  non-party  interested in the  

result.49    



                 We  reiterated  this  principle  in  Alaska  Miners  Association  v.  Holman ,  



which involved a constitutional challenge to the ballot-initiative process as related to a  



ballot measure that would require additional legislative approval for large-scale mining  

operations.50   Similar to Fair Share's arguments here, the litigants in Holman  argued  



that  a  group  of  trade  associations,  funded  in  part  by  Pebble  Limited  Partnership  



(Pebble), had a direct economic incentive to bring a suit because the ballot measure  



                                                                                                                 

         47      See id. at 275-78 (describing discovery process).  



         48      Id. at 285.  



         49      See id.; Alaska Miners Ass 'n v. Holman, 397 P.3d 312, 316-17 (Alaska  

2017).  

         50      Holman , 397 P.3d at 313-17.  



                                                     -15-                                                  7674  


----------------------- Page 16-----------------------

  



"inject[ed] uncertainty"  as  to  whether  Pebble Mine development  could proceed  and  



therefore could "have an immediate impact in the form of lowering the stock prices of  

companies associated with the Project."51    



                  We      rejected      this    argument,        stating     that    "[w]e      reiterate     and  



emphasize - again  -  that  direct  economic  benefit  is  needed"  to  show  sufficient  

economic  incentive.52    Even  with  no  dispute  that  Pebble  partially  funded  the  ballot  



measure litigation,53 we concluded that the trade associations in that case lacked direct  



economic incentive to bring suit.  And because "the primary purpose of the litigation  



was  to  bring  constitutional  challenges  to  a  ballot  initiative,"  we  held  that  the  trade  



associations were protected from attorney's fees as constitutional claimants "regardless  



of  the  real  party  in  interest  and  regardless  of  the  economic  interests  of  [the  trade  

associations'] typical members."54  We noted that "we have never required that parties  



seeking constitutional-claimant status . . . be completely disinterested in the case" and  

instructed that "[p]ossible or speculated [economic] impact is not enough."55    



                  Following   Holman ,   we   consider   the   Trade   Associations'   real   or  



speculative  connections  to  "major  oil  producers"  insufficient  to  establish  direct  



economic  impact  in  this  context.    Fair  Share  asserts  that  the  Trade  Associations'  



economic impacts are more direct than those in Holman because the Trade Associations  



are  "acting  as  proxies  for  the  major  oil  companies  .  .  .  and  the  oil  companies  had  



sufficient economic incentive to file suit because the Fair Share Act will directly impact  



                                                                                                                     

         51       Id.   



         52       Id. at 317 (emphasis in original.).  



         53       The superior court found that Pebble financed at least part of the litigation,  

and at oral argument the plaintiffs conceded that Pebble both partially financed the suit  

and agreed to indemnify all named plaintiffs in the event of an adverse attorney's fees  

ruling.  Id. at 313-15.  

         54       Id. at 317.  



         55       Id.   



                                                       -16-                                                    7674  


----------------------- Page 17-----------------------

  



the production taxes they must pay."  It urges that "direct ties to the entities that would  



have paid the increased production taxes under the Fair Share Act directly affect the  



incentives of the [Trade Associations] in which they have membership."   



                 Fair   Share   points   to   two   cases   in   which   we   determined   that   an  



organization's  membership's  interests  established  sufficient  economic  incentive  to  



defeat constitutional claimant status.  But both cases involved Rule 82 public interest  



litigants rather than constitutional claimants, and both are distinguishable on the facts.   



In Fairbanks North Star Borough v. Interior Cabaret Hotel, Restaurant, & Retailers  

Association   (ICHRRA),56  an  alcohol  beverage  industry  nonprofit  group  sued  the  



borough to prevent an alcohol tax referendum from being placed on the ballot, explicitly  



acknowledging that it sued "  'because its members would be directly and adversely  

affected' by adoption of the tax ordinance."57  ICHRRA's members were all for-profit  



businesses  licensed  to  sell  alcohol.58    We  concluded  that  the  public  interest  litigant  



exception did not apply because ICHRRA's members'  economic interest in avoiding  

the  tax  provided  sufficient  economic  incentive  to  file  suit.59    But  as  the  Trade  



Associations point out, that case involved a tax that would be applied directly to all of  



ICHRRA's members, so it was "undisputed that all of ICHRRA's members ha[d] some  

sort  of  direct  financial  interest."60    Here,  the  ballot  initiative  sought  to  increase  



production taxes on oil from three major fields:  Prudhoe Bay, Kuparuk, and Colville.   



And  unlike  ICHRRA's  relatively  uniform  membership,  the  Trade  Associations '  



memberships  "consist  of  a  broad  constituency  of  individuals,  organizations,  and  



companies, the vast majority of which would not be directly impacted by a tax on oil  



                                                                                                                  

         56       137 P.3d 289 (Alaska 2006).  



         57      Id. at 291.  



         58      Id. at 290.   



         59      Id. at 292-94.  



         60      Id. at 292.   



                                                      -17-                                                  7674  


----------------------- Page 18-----------------------

  



production."61  The economic interests of an organization's members and directors are  



relevant to assessing the primary motivation of litigation.62   But here, the economic  



interest  asserted  is  that  some  of  the  Trade  Associations'  members  are  oil  and  gas  



producers who would be subject to higher taxes if the Fair Share Act reached the ballot  



and if it were ultimately passed by Alaska's voters.  We view the possibility that some  



members of the Trade Associations could avoid a potential future production tax, still  

subject to voter approval, as both indirect and attenuated.63  Thus we conclude that the  



Trade Associations' interests here are too diffuse to constitute direct economic impact.   



                 Further, we decline to reverse and remand for discovery into the funding  



sources  of  the  litigation.    We  have  rejected  an  approach  that  focuses  on  litigation  



funding sources.  And we have specifically noted that seeking evidence  beyond that  



which has already been developed in the course of the litigation is a misplaced and  

potentially  misleading  inquiry .64    Fair  Share  repeatedly  asserts  facts  suggesting  



                                                                                                               

        61       The Trade Associations note the variety of organizational structures and  

interests among their members.  For example, the "Resource Development Council for  

Alaska, Inc. is a statewide business association comprised of individuals and companies  

from Alaska's oil and gas, mining, forest products, tourism, and fisheries industries,  

including Alaska Native Corporations, local Alaska communities, organized labor, and  

industry  support  firms."    Some,  like  the  Alaska  Trucking  Association  and  Alaska  

Mining Association, represent specific industries and the companies that support those  

industries.   Others  are  significantly  broader  across  industries  and  interests,  like  the  

Alaska Chamber, which "is an Alaskan member-based group that has been the voice of  

the  Alaska  business  community  whose  membership  includes  individual  Alaskans,  

Alaska Native Corporations, oil and gas companies, trucking companies, banks, mining  

entities, and tourism companies."   

        62       See,  e.g.,  Kachemak  Bay  Watch,  Inc.  v.  Noah ,  935  P.2d  816,  827-28  

(Alaska 1997) (holding nonprofit had economic incentive because evidence presented  

at trial showed that three nonprofit directors would be directly economically impacted  

by litigation outcome).   

        63       See Alaska Conservation Found. v. Pebble Ltd. P'ship , 350 P.3d 273, 281- 

83 (Alaska 2015).  

        64       See id. at 285.  



                                                    -18-                                                 7674  


----------------------- Page 19-----------------------

  



connections between the "major oil producers" and the campaign against the success of  

the ballot measure.65  These facts may have influenced the ultimate success of the Vote  



No campaign at the ballot box,66 but they are well beyond the contours of the underlying  



litigation  in  this  case.    Even  if,  as  in  Holman ,  there  was  evidence  that  third-party  



resource developers funded the litigation because they were interested in blocking the  



ballot  measure,  any  financial  benefit  to  the  Trade  Associations '  various  individual  



members  would  have  been  both  speculative  and  attenuated  by  the  ballot  initiative  



process and the will of the voters.  



                 While   affirming   the   superior   court's   determination   that   the   Trade  



Associations are constitutional claimants, we note that it was error to state  that Fair  



Share had the burden to prove the Trade Associations'  economic incentive.  As Fair  



Share notes, the superior court indicated twice in its decision that  Fair Share had the  



burden to prove the Trade Associations' direct economic interest.    This is incorrect.   



The burden is on the Trade Associations to prove their lack of direct economic interest.    

                 But  the  error  is  harmless  in  this  context.67    Regardless  of  whether  the  



superior court proceeded as if Fair Share had the burden, the record supports the court's  



ultimate conclusion.  The superior court "must 'look to the facts of the case to determine  



the litigant's primary motivation for filing the suit ' " because those facts "inform the  



                                                                                                               

         65      At the superior court, Fair Share cited quarterly reports showing that the  

counter-initiative campaign against the ballot measure (called OneAlaska - Vote No  

on  One,  or  "Vote  No")  received  most  of  its  funding  from  BP  Exploration  Alaska,  

ExxonMobil, ConocoPhillips Alaska, and Hilcorp Energy.  It also noted that both the  

Vote No campaign and the oil companies paid the law firms that employed the Trade  

Associations' counsel.   

         66      See  Elwood  Brehmer,  Oil  Tax  Increase  Defeated,  but  Revenue  Issue  

Remains,  ALASKA  J.  COMMERCE.  (Nov.  18,  2020,  9:02  AM),  https://www.alaska  

journal.com/2020 -11-18/oil-tax-increase-defeated-revenue-issue-remains.   

         67      Pedersen  v.  Blythe,  292  P.3d  182,  184  (Alaska  2012)  ("[W]e  must  

disregard harmless errors that have no substantial effect on the rights of parties or on  

the outcome of the case.").   



                                                    -19-                                                 7674  


----------------------- Page 20-----------------------

  



determination of primary purpose."68  Here, the superior court's overall analysis reflects  



a thoughtful examination of the required factors to determine the primary purpose of  



the  litigation:    (1)  "the  nature  of  the  claim  and  relief  sought,"  and  (2)  "the  direct  

economic  interest  at  stake."69    The  court  considered  statements  made  by  the  Trade  



Associations throughout the litigation, the nature of the relief sought, and what, if any,  



direct economic impact the litigation would have.   It also expressly considered Fair  



Share's assertions that the Trade Associations were "acting as proxies" for the major  



oil companies.  This included consideration of our discussion of third-party economic  

interests in Alaska Conservation Foundation .70  Based on these considerations the court  



reasoned that any increase in oil production taxes occurring "if the initiative was added  



to the ballot and it passed" was too "indirect or attenuated" to be the Trade Associations'  



primary motivation for bringing suit.  Reviewing the record and recognizing the burden  



on the Trade Associations to prove their lack of direct economic incentive, we affirm  



the  superior  court 's  determination  that  the  Trade  Associations  were  constitutional  



claimants.  



         C.      It Was Error To Award Rule 82 Fees Against The Trade Associations.  



                 We  have  recognized  that  the  statutory  language  protecting  qualifying  



constitutional   claimants   is   "couched   .   .   .   in   seemingly   mandatory   terms"   as  



"AS 09.60.010(c)(2)  states  that  a  court  'may  not  order'  a  qualifying  unsuccessful  

claimant to pay attorney's fees."71  And we have consistently recognized that the statute  



protecting  constitutional  claimants  is  an  "exception  to  Rule  82."72    "A  qualified  



                                                                                                                   

         68      Alaska Conservation Found. , 350 P.3d at 282  (quoting  O'Callaghan v.  

State, 920 P.2d 1387, 1390 (Alaska 1996)).  

         69      Id. at 281-82.   



         70      Id. at 285.  



         71      Id. at 284 n.60 (quoting AS 09.60.010(c)(2)).   



         72      Id. at 280.  



                                                      -20-                                                   7674  


----------------------- Page 21-----------------------

  



constitutional claimant is entitled to protection under AS 09.60.010(c)(2) against an  

attorney's  fees  award  under  Rule  82."73    Fees  should  not  be  awarded  against  a  



constitutional  claimant  who  brings  claims  that  are  neither  frivolous  nor  primarily  

economically motivated.74    



                 The Trade Associations argue that the superior court erred by concluding  



that the constitutional claimant statute "does not protect constitutional claimants from  



adverse fee awards under Rule 82" and awarding Rule 82 fees against them.  Fair Share  



concedes that if the Trade Associations are deemed constitutional claimants, "they are  



not  subject  to  any  award  of  fees."    We  agree.    As  discussed  above,  the  Trade  



Associations  are  constitutional  claimants  and  the  case  involves  only  constitutional  



claims.  The Trade Associations are therefore shielded from an attorney's fee award.  It  



was  error for the superior court to conduct a Rule 82 analysis.  We thus vacate the  



superior court's attorney's fees award to Fair Share.  



        CONCLUSION  



                 We     AFFIRM        the   superior     court's    determination       that   the    Trade  



Associations  are  constitutional  claimants,  and  we  VACATE  the  superior  court's  



attorney's fees award to Fair Share.  



                                                                                                               

        73       Taylor v. Alaska Legis. Affs. Agency , 529 P.3d 1146, 1160 (Alaska 2023).  



        74       We  note  that  the  statute  only  protects  constitutional  claimants  against  

attorney's  fee  awards  for  those  fees  "devoted  to  claims  concerning"  constitutional  

rights.    AS 09.60.010(d)(1).   We have clarified that "Rule 82 attorney fees may be  

awarded only for work that would not have been necessary but for a non-constitutional  

claim."  Lake & Peninsula Borough Assembly v. Oberlatz , 329 P.3d 214, 228 (Alaska  

2014).    In  other  words,  if  the  suit  includes  separate,  non-constitutional  claims,  fees  

could be awarded based on work on those claims.  Here, however, Fair Share does not  

argue  that  any  portion  of  the  litigation  between  the  parties  was  unnecessary  to  

constitutional claims.   



                                                    -21-                                                 7674  


----------------------- Page 22-----------------------

  



WINFREE, Chief Justice, with whom CARNEY, Justice, joins  concurring in part.  



                 I  agree  with  today's  decision  because  it  correctly  resolves  the  parties'  



attorney's fees dispute as litigated in the superior court and argued to us in this appeal.   



But there has long been an elephant in the courtroom when one private party seeks to  



obtain or avoid attorney's fees vis à vis another private party, rather than a government  



                                                                                                          1 

entity, under AS 09.60.010's "constitutional claimant" attorney's fees framework.   If  



it is true that vindication of a private party's constitutional rights is sought against the  



government because only the government can violate a private party's constitutional  



        2 

rights,  how is it that a private party can be a "constitutional claimant" against another  



private party and invoke the benefit or protection of AS 09.60.010?  



                                                                                                                

         1       We  summarized  the  effect  of  AS  09.60.010  in  Alaska  Conservation  

Found. v. Pebble Ltd. P'ship , 350 P.3d 273, 274 (Alaska 2015):  



                 The statute both encourages and protects those challenging  

                 governmental  action  as  a  violation  of  federal  or  state  

                 constitutional  rights.    First,  the  statute  provides  that  a  

                 successful claimant generally is entitled to an award of full  

                 reasonable attorney's fees and costs incurred in connection  

                 with   a   constitutional   claim,   unless   the   claimant   had  

                 ''sufficient     economic       incentive''      to   bring    the    claim  

                 regardless of its constitutional nature.  Second, the statute  

                 protects an unsuccessful claimant from an adverse attorney's  

                 fees award if the constitutional claim was not frivolous and  

                 the claimant did not have ''sufficient economic incentive''  

                 to bring the claim regardless of its constitutional nature.  

         2       See, e.g., Belluomini v. Fred Meyer of Alaska, Inc. , 993 P.2d 1009, 1015  

(Alaska 1999) (describing "long-standing legal principle" that "state and federal courts  

have historically recognized that the constitution protects individuals from state action  

but not from similar deprivations by private actors"); Baker v. City of Fairbanks , 471  

P.2d 386, 394 (Alaska 1970) ("The American constitutional theory is that constitutions  

are a restraining force against the abuse of governmental power, not that individual  

rights are a matter of governmental sufferance.") ; see also State v. Alaska State Emps.  

Ass'n/Am.  Fed'n  of  State,  Cnty.  &  Mun.  Emps.,  529  P.3d  547,  557  (Alaska  2023)  

  



                                                     -22-                                                 7674  


----------------------- Page 23-----------------------

  



                 Our case law has developed considerably since we recognized in State v.  



Native  Village  of  Nunapitchuk  that  the  legislature  had  exercised  its  constitutional  



authority  to  abrogate  our  common  law  "public  interest  litigation"  attorney's  fees  



framework  and  replace  it  with  the  narrower  constitutional  litigation  framework  of  



                   3 

AS 09.60.010.   We soon thereafter stated that for the party prevailing against the State  



on a constitutional claim, AS 09.60.010 controlled the award of attorney's fees to the  



                                            4                                                                5 

exclusion of Alaska Civil Rule 82   and the former public interest litigation doctrine.    



In two later cases we established parameters for determining whether, to qualify as a  



                                                                                                                



(explaining that no First Amendment violation occurs unless claimant shows that state  

or federal government was entity curtailing right to speak or associate); Anderson v.  

Alaska  Hous.  Fin.  Corp.,  462  P.3d  19,  25  (Alaska  2020)  (explaining  that  Alaska  

Constitution's due process clause requires claimant to prove existence of "state action  

and  the  deprivation  of  an  individual  interest  of  sufficient  importance  to  warrant  

constitutional protection"); Miller v. Safeway, Inc. , 102 P.3d 282, 288 (Alaska 2004)  

(explaining  that  Alaska  Constitution's  right  to  privacy  applies  to  "unwarranted  

intrusions by the government" and not by private parties); State v. Planned Parenthood  

of Alaska, 35 P.3d 30, 38 (Alaska 2001) (explaining that Alaska Constitution's art. 1,  

§ 3's equal protection provision restrains only state action).  

         3       134 P.3d 389, 391-92, 395, 402-06 (Alaska 2007) (discussing history of  

public interest litigation framework and legislative enactment abrogating and replacing  

it with AS 09.60.010); see also Krone v. State, Dep't of Health & Soc. Servs., 222 P.3d  

250,  253-54,  255-57  (Alaska  2009)  (discussing  legislature's  abrogation  of  public  

interest   litigation   framework   and   its   replacement   with   AS   09.60.010);  Alaska  

Conservation  Found.,  350  P.3d  at  274  (noting  that  AS  09.60.010  was  "enacted  to  

abrogate our previous common law public interest litigation attorney's fees framework  

and replace it with a narrower constitutional litigation framework").  

         4       See  Alaska R. Civ. P. 82(a) ("Except as otherwise provided by law or  

agreed to by the parties, the prevailing party in a civil case shall be awarded attorney's  

fees calculated under this rule.").  

         5       Krone, 222 P.3d at 257.  



                                                     -23-                                                 7674  


----------------------- Page 24-----------------------

  



constitutional  claimant  under  AS  09.60.010,  a  party  lacked  "sufficient  economic  



                                                                                                       6 

incentive" to bring a constitutional claim regardless of its constitutional nature.     



                  In Alaska Conservation Foundation  a number of individuals and a non- 



profit  entity  sued  the  State  for  allegedly  issuing  constitutionally  defective  land  and  



water use permits to Pebble Limited Partnership in connection with the proposed Pebble  



        7 

Mine.    The Pebble Limited Partnership intervened as a party-defendant aligned with  



            8 

the State.   The State and the Pebble Limited Partnership prevailed on the constitutional  



                                                                                    9 

claim and attorney's fees litigation under AS 09.60.010 ensued.   The Pebble Limited  



Partnership sought wide-ranging discovery from the plaintiffs and certain non-parties  



about the plaintiffs' economic interests and obtained superior court orders compelling  

the discovery.10  We granted a petition for review and an original application for relief  



on the superior court's discovery rulings and consolidated them for decision.11  



                 We issued two related opinions the same day, one reversing the superior  

court's  merits-decision  rejecting  the  plaintiffs'  constitutional  claim12  and  the  other  



reversing the superior court's discovery rulings.13  We recognized that, because our first  



decision resulted in the plaintiffs being prevailing constitutional claimants, the award  



of attorney's fees had to be reversed and the plaintiffs then would be entitled to seek  



                                                                                                                   

         6       Alaska  Conservation Found., 350 P.3d at 281-86; Alaska Miners Ass'n v.  

Holman , 397 P.3d 312, 316-17 (Alaska 2017).  

         7        350 P.3d at 275.  



         8       Id.  



         9       Id.  



         10      Id. at 275-78.  



         11      Id. at 274.  



         12      Nunamta  Aulukestai  v.  State,  Dep't  Nat.  Res.,  351  P.3d  1041,  1064  

(Alaska 2015).  

         13      Alaska Conservation Found. , 350 P.3d at 286.  



                                                      -24-                                                   7674  


----------------------- Page 25-----------------------

   



 attorney's fees in the superior court.14  Concluding that the attorney's fees litigation still  



 would require a decision on the discovery disputes, and specifically the correct analysis  



 for analyzing sufficient economic incentive to bring constitutional claims, we reached  

 those issues.15  



                  We reversed the discovery order and concluded that the case was about  



 potential constitutional limitations on State-issued land and water use permits for which  



 there was not sufficient economic incentive to bring the action absent the constitutional  

 issue.16    Along  the  way  we  rejected  the  arguments  that  the  plaintiffs  were  merely  



 stalking horses for fisheries and tourism interests opposed to the Pebble Mine and that  



 those interests had sufficient economic incentive to bring the lawsuit, focusing instead  



 on  whether  the  ultimate  decision  on  the  constitutional  issue  could  have  a  direct  

 economic  impact  on  anyone.17    Answering  that  question  "no,"  we  remanded  for  



 proceedings  in  which  the  plaintiffs,  as  qualified  prevailing  constitutional  claimants,  

 could seek an AS 09.60.010(c)(1) attorney's fees award.18   Whether the Pebble Limited  



Partnership or the plaintiffs could rely on AS 09.60.010 to seek or avo id an attorney's  

fees award vis  à vis the other was not an issue before us.19   



                  In Holman  a number of parties (Alaska Miners) aligned with the Pebble  



 Limited Partnership sued the State to challenge, on state constitutional grounds, the  



 certification of a ballot initiative that would require final legislative approval for large- 



 scale mining operations located within certain watersheds, such as the proposed Pebble  



                                                                                                                    

         14       Id. at 274-75.  



         15       Id.   



         16       Id. at 286.  



         17       Id.   



         18       Id. at 286.  



         19       Cf. id. at 274 (stating that AS 09.60.010 "encourages and protects those  

 challenging governmental action as a violation of federal or state constitutional rights").  



                                                       -25-                                                   7674  


----------------------- Page 26-----------------------

  



Mine.20    The  ballot  initiative  sponsors  collectively  (Holman)  intervened  as  a  party- 



defendant aligned with the State to defend the ballot initiative.21  The State and Holman  



prevailed on the constitutional issue and we later affirmed that decision on appeal.22   



Holman  then  sought  AS  09.60.010  attorney's  fees  against  the  Alaska  Miners  as  a  

prevailing constitutional litigant.23  The Alaska Miners countered that they were non- 



prevailing  constitutional  claimants  entitled  to  protection  against  an  attorney's  fees  



award,  and  that  Holman,  as  an  intervenor-defendant,  could  not  meet  the  statutory  



requirement  that  a  constitutional  claimant  be  a  plaintiff,  counterclaimant,  cross- 

claimant,  or  third-party  plaintiff.24    The  superior  court  awarded  full  reasonable  



attorney's fees to Holman, first concluding that Holman was effectively a "claimant"  



despite  being  an  intervenor-defendant  and  then  concluding  that  because  the  Pebble  



Limited Partnership had agreed to indemnify the Alaska Miners and the Pebble Limited  



Partnership had a sufficient economic interest in bringing the claim regardless of its  

constitutional nature, the Alaska Miners were not protected by AS 09.60.010(c)(2).25  



                 We reversed the superior court's decision.  Noting that the case was the  

"mirror image" of Alaska Conservation Foundation ,26 we rejected the superior court's  



                                                                                                                  

         20      Alaska Miners Ass'n v. Holman , 397 P.3d at 313 (Alaska 2017).  



         21      Id.  



         22      Id. (citing Hughes v. Treadwell, 341 P.3d 1121, 1134 (Alaska 2015)).  



         23      Id. at 314.  



         24      Id.;    cf.   AS     09.60.010(c)(2)         (providing       qualified     non-prevailing  

constitutional claimant protection against an attorney's fee award); AS 09.60.010(c)(1)  

(referring  to  constitutional  claimant  as  "plaintiff,  counterclaimant,  crossclaimant,  or  

third-party plaintiff" in  action concerning constitutional rights).  The Alaska Miners  

couched its latter superior court argument to be that the statute was intended to protect  

persons who raised constitutional claims against the State but not to protect intervenor- 

defendants against private parties.  397 P.3d at 314.   

         25      Holman , 397 P.3d at 315.  



         26      Id. at 316.  



                                                      -26-                                                  7674  


----------------------- Page 27-----------------------

  



real-party-in-interest  analysis  and  concluded  that  the  case  was  about  constitutional  



limitations  on  Alaska's  ballot  initiative  process  and  not  about  direct  economic  

interests.27    Because  the  only  issue  before  us  was  whether  the  Alaska  Miners  had  



"sufficient economic incentive" to bring its suit against the State,28  we reversed the  



award  of  AS  09.60.010  attorney's  fees  against  the  Alaska  Miners  and  in  favor  of  

Holman.29   Whether the two private parties could rely on AS 09.60.010 to obtain or  



avoid attorney's fees awards vis  à  vis each other -  and how the statutory language  



about a claimant being a plaintiff asserting a constitutional claim rather than being a  



defendant  defending  a  constitutional  claim  might  play  in  the  analysis  -  was  not  

resolved in our decision.30   



                  In the case before us now, the AS 09.60.010 attorney's fees dispute again  



is  between  private  parties  and  does  not  involve  the  State.    The  plaintiff  trade  



                                                                                                                  

         27      Id. at 317.   



         28      Id. at 316.  



         29      Id. at 318.  



         30       The statutory definition of a claimant was an issue in more recent superior  

court litigation, although it was not an issue in the  subsequent appeal.  In  Taylor v.  

Alaska Legis. Affs. Agency the attorney general sued a legislative agency for declaratory  

judgment on a constitutional question about the effective date of budget appropriations.   

529  P.3d  1146,  1148-51  (Alaska  2023).    The  superior  court  ruled  in  favor  of  the  

legislative agency, which then sought AS 09.60.010(c)(1) attorney's fees.  Id.  at 1160.   

The superior court agreed with the attorney general that the agency did not qualify as a  

constitutional claimant because it was a defendant in the action, not a plaintiff, but it  

did award attorney's fees to the agency under Civil Rule 82.  Id. at 1152.  The attorney  

general appealed the merits of the constitutional ruling and the attorney's fees award.   

Id.  The agency did not appeal the ruling that it was not entitled to an award of attorney's  

fees under AS 09.60.010(c)(1).  Id. at 1159.  We affirmed the superior court's decision  

on the constitutional issue but vacated the attorney's fees award because the court had  

not resolved the attorney general's contention that he was entitled to protection against  

the fees award under AS 09.60.010(c)(2).  Id.  at 1160 (noting we took no position on  

whether the attorney general, or any state agency, could be a qualified constitutional  

claimant under the statute).  



                                                      -27-                                                  7674  


----------------------- Page 28-----------------------

  



associations (Trade Associations) sued the State and the ballot initiative sponsor (Fair  



Share),   contending   that   the   collection   and   certification   of   signatures   violated  



AS  15.45.130  and  AS  15.45.110(c).  But  the  constitutionality  of  AS  15.45.110(c)  



became a central issue in the litigation, and the State and Fair Share prevailed on that  



constitutional issue.  Fair Share sought AS 09.60.010(c)(1) attorney's fees against the  



Trade  Associations  as  a  successful  constitutional  claimant,  arguing  that  it  had  



successfully   defended   "against   [the   Trade   Associations']   efforts   to   impair   the  



constitutional  rights  to  initiative  and  political  speech."    The  Trade  Associations  



responded that Fair Share had not been a "plaintiff, counterclaimant, cross claimant, or  



third-party plaintiff" in the action, had not raised a constitutional claim in its pleadings,  



and  therefore  could  not  be  a  constitutional  claimant  under  the  statute.    They  



alternatively  argued  that  they  were qualified  non-prevailing  constitutional  claimants  



and protected against an attorney's fees award under AS 09.60.010(c)(2).  Like the  



superior court in Holman  but unlike the superior court in  Taylor, the superior court  



accepted  Fair  Share's  argument  and  concluded  that  Fair  Share  was  a  constitutional  



claimant despite not being a plaintiff-like party, entitling it to attorney's fees under  



AS 09.60.010(c)(1) if otherwise qualified.  But the court went on to conclude that the  



Trade Associations were qualified non-prevailing constitutional claimants protected by  



AS 09.60.010(c)(2), thus precluding an award of attorney's fees.   



                 Today's  decision  correctly  affirms  the  superior  court's  ruling  that  the  



Trade Associations are qualified non-prevailing constitutional claimants entitled to the  



protection of AS 09.60.010(c)(2) with respect to its constitutional claim.  As litigated  



in the superior court and argued to us by Fair Share on appeal, that resolves the narrow  



dispute  before  us.    But  our  narrow  ruling  begs  the  elephantine  question:    Can  



AS 09.60.010 be interpreted to provide a private party with the right to obtain or avoid  



an attorney's fees award vis à vis another private party who did not and could not violate  



another  private  party's  constitutional  rights?    The  language  of  the  statute,  when  



delineating who can be a claimant, suggests the statute is limited to someone suing the  



                                                    -28-                                                  7674  


----------------------- Page 29-----------------------

  



government  on  a  constitutional  question,  which  seems  consistent  with  the  statute's  

intent.31    This  then  suggests  that  as  to  a  dispute  between  private  parties  about  



constitutional interpretation, Civil Rule 82 and not AS 09.60.010 applies.  There also  



remains  the  related  question  whether  a  private  or  government  entity  defendant  can  



potentially       qualify     as    a   constitutional       claimant       entitled     to    protection      under  



AS 09.60.010(c)(2)  merely  by  opposing  a  constitutional  claim  with  a  competing  



constitutional analysis, thus eviscerating the legislature's intent to encourage citizens to  

bring actions to protect their constitutional rights.32  But, because these issues are not  



before  us,  we  have  no  analysis  of  the  statutory  language,  no  presentation  about  



legislative history and intent, and no adversarial arguments on how the statute should  



be read in this context.  At some point these issues need to be presented and resolved.   



  



                                                                                                                         

         31       See supra note 1.  



         32        Cf. supra notes 1 and 30 (and related text).  



                                                         -29-                                                      7674  

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