A judge in Morgan County could set a precedent by forcing Georgia property owners who sued to halt development of a massive state-backed auto factory near their properties to pay for the other side’s legal costs.
The case involves the proposed Rivian electric automobile plant on a rural stretch near Social Circle off Interstate 20. Lawyers for Georgia and for a related quasi-governmental entity made their half-million-dollar demand in the local superior court Wednesday.
A half dozen local landowners sued the county in a bid to force compliance with local zoning.
They have been fighting a losing battle, in no small part due to the state’s unparalleled power as an entity that enjoys “sovereign immunity” from local ordinances, including zoning requirements.
The state bypassed the agricultural zoning for the 2,000-acre property by purchasing it, then leasing it to the Joint Development Authority for Morgan and nearby counties, which in turn leased it to Rivian.
Opponents of the plant say the state and authority are trying to silence dissent by going after the landowners’ pocketbooks for $344,000 in legal costs. Plant proponents say the state and the authority are trying to protect taxpayer dollars from frivolous lawsuits.
Near the end of the three-hour hearing, Morgan Superior Court Judge Stephen Bradley could not say when he would rule, let alone how. But he was sure of one thing: a ruling against the defendants would set a precedent in Georgia.
“I found no cases in which the state, as sovereign, obtained payment from citizens” for opposing a state action, he said.
Georgia law allows defendants, in this case the state and the authority, to recover legal fees from plaintiffs who file frivolous lawsuits. This suit was clearly frivolous because the state is not subject to local zoning and the plaintiffs knew that all along, said Charles E. Peeler, a lawyer contracted to represent the state.
“The motive is to delay, harass and stop the project,” he said.
Judge Bradley issued an initial ruling against the landowners several years ago, declining their request for a temporary restraining order on development of the Rivian project because, in his view, they had low odds of winning. The state Court of Appeals did not overrule him on that, and the state Supreme Court declined to hear the case.
But John A. Christy, who is representing the landowners in their lawsuit, said it remains an open question whether sovereign immunity applies when the state leases land to a developer. He told the judge that he had ruled that there was a “low probability of success,” not “no probability.”
Christy said the state was trying to “weaponize” the law that allows defendants to recoup attorney fees in frivolous cases, and he said a ruling against his clients would have “a chilling effect” on others considering a court fight against the state.
Bradley must rule not only on whether the plaintiffs must pay but also on how much.
The hearing featured attorneys for the state and for the authority taking the witness stand to explain their fees.
Peeler said his firm offered the state a “significant discount” by charging $625 an hour, which is nearly half his own hourly rate and well below the $1,400 an hour billed by another member of his firm who once served on the Georgia Supreme Court.
The state also got a good deal from recent hires at his firm, he said. A 2024 University of Georgia law school graduate and a 2023 Emory law grad both bill at more than $625 an hour, he said, eliciting a gasp from a woman seated near the front of the courtroom. “Lord have mercy,” she said.
Although Bradley did not indicate how he would rule, he did push back against an attorney for the authority, who had said the case was obviously frivolous from the start.
“I don’t know if I completely agree with you,” Bradley said, observing that the authority joined the lawsuit as a defendant for a reason. “If the result was so obvious, why did the JDA bother to intervene?”
Blake McCormack, chairman of the Morgan County Commission, said after the hearing that it would be a “travesty” if the judge made the plaintiffs pay; it would mean the “state used their tax dollars to fight against them,” he said.
He was shocked by the attorneys’ hourly fees.
“I’m not sure there are rocket scientists that deserve $1,400 per hour,” McCormack said. “That is crazy.”
An agent for the authority shared a statement by its board that ran in a local newspaper. “Citizens have the right to voice concerns,” the opinion piece said, “but when the legal system is weaponized to block a perfectly legal project, that is not a legitimate exercise of that right.”
Meanwhile, the Rivian project has been delayed.
The company paused development last year, then in January announced it had secured a $6 billion loan from the U.S. Department of Energy. Rivian said construction will begin in 2026, with its R2 and R3 models rolling out of the plant in 2028.
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Ty Tagami | Capitol Beat
Ty Tagami is a staff writer for Capitol Beat News Service. He is a journalist with over 20 years experience.