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WELLS v. ONE2ONE LEARNING FOUNDATION PART - I

WELLS v. ONE2ONE LEARNING FOUNDATION PART - I
03:07:2007

WELLS v. ONE2ONE LEARNING FOUNDATION



Filed 8/31/06 (this opn. should precede companion case, S131807, also filed 8/31/06)





IN THE SUPREME COURT OF CALIFORNIA





JOEY WELLS, a Minor, etc., et al., )


)


Plaintiffs and Appellants, )


) S123951


v. )


) Ct.App. 3 C042504


ONE2ONE LEARNING FOUNDATION )


et al., )


) Sierra County


Defendants and Respondents; ) Super. Ct. No. S46-CV-5844


)


STATE OF CALIFORNIA, )


)


Real Party in Interest and Respondent. )


__________________________________ )


The Charter Schools Act (CSA; Ed. Code, § 47600 et seq.), as adopted by the Legislature in 1992 and since amended, represents a revolutionary change in the concept of public education. Under this statute, interested persons may obtain charters to operate schools that function within public school districts, accept all eligible students, charge no tuition, and are financed by state and local tax dollars, but nonetheless retain considerable academic independence from the mainstream public education system. Such schools may elect to operate as, or be operated by, corporations organized under the Nonprofit Public Benefit Corporation Law. (Id., § 47604, subd. (a).)


Here certain charter schools, their corporate operators, and the chartering school districts were sued on multiple grounds by some of the schools' students and their parents or guardians. The gravamen of all the claims is that the schools--designed to provide and facilitate home instruction through use of the Internet (so-called distance learning)--failed to deliver instructional services, equipment, and supplies as promised, and as required by law. In effect, the plaintiffs assert, the schools functioned only to collect â€





Description Public school districts are not "persons" who may be sued under California False Claims Act. Charter schools, and individuals, corporations, entities, or organizations that operate them, are "persons" subject to suit under both CFCA and unfair competition law, and are not exempt from either law merely because such schools are deemed part of the public school system. A CFCA cause of action is not a barred claim for educational malfeasance insofar as it asserts, not simply that defendant's charter schools provided a substandard education, but that they submitted false claims for school funds while failing to furnish any significant educational services, materials, and supplies. A CFCA cause of action is not barred insofar as it alleges that, before 2000, that charter schools violated independent study rules set forth in a 1993 statute, Education Code Sec. 51747.3, because Sec. 51747.3 applied to charter schools even before its amendment in 1999. A qui tam action under CFCA against a charter school operator is not subject to Tort Claims Act requirement of prior presentment of a claim for payment.
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