Hunt v. Richmond County Bd. of Education

Margaret Hunt, a teacher, sued her former employer, the Richmond County Board of Education for breach of her employment contract. The parties stipulated to the amount of damages, and after a bench trial, the trial court entered judgment in the stipulated amount plus prejudgment interest. The Board cut two checks, one reflecting the interest and fees, and another intended to reflect the damages award. The award was treated as wage income, with various sums withheld to comply with state and federal tax laws. Hunt objected to that treatment of the damages award, contending that the second check prepared by the Board should have been for the full amount of the damages, and that the payment should be reported for tax purposes using an IRS Form 1099. The parties could not agree on the tax treatment of the damages award. As a result, the Board filed suit seeking an injunction against Hunt in the event she resorted to certain collection methods (such as garnishment of the Board's assets). The superior court grated a temporary restraining order. Hunt appealed to the Supreme Court, and the Supreme Court reversed: "the mere apprehension of injury does not support the grant of an injunction." View "Hunt v. Richmond County Bd. of Education" on Justia Law