Supreme Court of Arkansas
Kenyghatta Davis v. The…
December 17, 20152015 Ark. LEXIS 678
Summary
The court affirmed summary judgment for the City, holding that municipal statutory authority to establish rates and charges for waterworks services included implied authority to impose a late fee for delinquent bills. The court also held that the late fees were not usurious or unreasonable and unconscionable penalties because customers could avoid them by paying on time, and the City showed that the fees were intended to encourage timely payment. Justice Wynne, joined by Justice Danielson, dissented, arguing that the majority relied on an unpreserved statutory theory and that the record presented a factual dispute about whether the fee was a just and equitable charge.