Montgomery County, Maryland Class Action

Stephen H. Ring, P.C.
301-563-9249

Class Action Challenges Contingent Fees to Contractor: In 2007 Montgomery County became the test site for speed cameras in Maryland under a new state law that also banned any contingent fee to a contractor who "operates the system." The county's contract with Affiliated Community Services, a subsidiary of Lockheed, gives ACS $16.25 out of each $40 ticket. ACS provides most of the critical services needed to operate the system, which includes highly sophisticated software and equipment owned and managed by ACS.

A class action was filed on behalf of all recipients of citations under the speed camera system on several legal theories, including the doctrine of "ultra vires," which means that the contract is void because the county acted outside its authority.

On January 29, 2010, the Circuit Court for Montgomery County certified the class for purposes of injunctive and declaratory relief, but not for purposes of claims to recover money. On June 15, 2010 the Court dismissed the case as to all claims on various grounds including the absence of a private cause of action, and the conclusion that the "operator" is the government, exclusively.

This ruling has necessitated an appeal, which will take many months for completion. This page will be updated periodically as to the status of the appeal. The appellants' information report was filed on July 23, 2010. A scheduling order is expected to be issued from the court within the next several weeks.

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