Sore Losers Law in Practice

By Evan M. Goldberg

Recently a defendant acted maliciously with respect to a settlement and was properly called out.  The company’s bizarre reaction to the Colorado court’s verdict was to purposely inconvenience the plaintiff by paying  $23,500 paid in assorted coins. The defendant was fined for disrespectful action. 

No one likes being sued. But the Court system is available to pursue justice. Indeed, it is the responsibility of a fair government to provide such access. Unfortunately, even when a lawsuit is over, some just don’t get it. By paying a voluntary settlement in tons of coins, as opposed to a check, the defendant demonstrated immaturity and was rightfully admonished and penalized by the Judge. By agreeing to the settlement, the defendant must have accepted the plaintiff’s claim as valid. There are always sore losers. 

In supporting penalties for defendant’s actions, the Judge noted that the company had sent the money as loose coins, totaling 3 tons (2.7 metric tonnes), and delivered it in a custom-made metal box. This massive coin-filled container was so heavy that it couldn’t be transported in the freight elevator at the offices of Fired Up Fabrications’ lawyers, and even a forklift couldn’t handle it, as stated in court documents.

As a result of this misconduct, Judge Findley ordered JMF Enterprises to use a more conventional payment method, such as a check. Additionally, he ruled that JMF would have to provide an increased settlement amount, covering an estimated $8,092 in legal fees resulting from the dispute over the legitimacy of the coin payment.

One of the subcontractor’s attorneys, Danielle Beem, described the coin payment as a “symbolic middle finger” to their client. The lawsuit is widely discussed in the media. JMF’s attorneys did not agree with the fines imposed.  Their lawyers argued that the settlement agreement did not specify the payment method and claimed that they had no intention of causing any distress to Fired Up Fabrications, emphasizing their prior close friendship. They contended that the coin payment was a reference to their shared career field, meant to fulfill the settlement, albeit in an unconventional manner. 

However, Judge Findley pointed out that photographic evidence indicated that JMF had gone to the extent of sorting the coins into boxes by denomination and then “carelessly and haphazardly” dumping them into the container. He noted that the time and expense required to rectify this payment attempt would substantially reduce the net settlement amount received by the plaintiff due to costs and inconvenience. The Judge and plaintiffs’ attorneys had no doubts the liable company had done it on purpose and showed immaturity and disrespect toward the plaintiffs. 

There have been other cases when defendants tried to pay their fines in pennies.

JMF is one of many parties trying to pay claims or charges in coins. Previous cases involved bringing pennies in wheelbarrows and buckets compared to the company that brought them in a metal cage. Almost all of the cases ended badly for the responsible party. 

In May 2016, a resident of Frisco, Texas, expressed his disbelief at receiving a speeding ticket for going nine miles over the speed limit. His frustration deepened when a jury upheld the ticket. When the city authorities ordered him to pay $212 in fines, he decided to make the payment as inconvenient as possible. His unconventional choice was to settle the debt by using over 22,000 pennies, which he carried in two buckets. He had obtained these coins from a local bank, and he even went as far as painting the buckets with the words “Extortion payment.” He then proceeded to the Frisco Municipal Court and emptied the pennies onto the counter. The entire episode was recorded and later posted on YouTube.

While the city of Frisco refrained from providing a specific comment on the incident, a spokesperson informed the media that the pennies had been counted using two coin-cashing machines, which took approximately three hours to complete. According to Frisco’s spokesperson, the original fine amounted to $79.90, with court costs totaling $132.10, resulting in a payment of $212.00. Notably, there was an overpayment of $7.81, the man stated the city could keep.

A judge  ordered the owner of an auto repair shop to pay nearly 4 million more cents to resolve a legal dispute. In June 2023, Miles Walker, the proprietor of A-OK Walker Autoworks in Peachtree City, Georgia, was required by a federal judge to pay $39,934 in unpaid overtime and damages to nine employees. This settlement came as a result of a civil lawsuit filed by the U.S. Labor Department, accusing Walker of retaliation against his former employee, Andreas Flaten, in 2021.

After Andreas Flaten reported to the agency that Walker owed him a final paycheck of $915, the employer retaliated by delivering the amount in pennies coated with oil to Flaten’s driveway. A pay stub with an offensive message accompanied this pile of loose change.

Why is it inappropriate to pay fines in coins? Is it prohibited to pay tickets or claims in coins? 

In the U.S. there is no legal requirement for any business or government agency to use any particular payment type. Most businesses and government agencies accept cash, but they do not have to get 40,000 pennies for your $400 fine. There is no law in the U.S. that makes any person, business, or government agency accept all forms of legal payment. Yes, it says: “This note is a Legal Tender For All Debts, Public and Private” on U.S. paper currency. It means that you can use cash to pay debts and penalties, not that someone has to accept it, no matter the form of particular payment. It takes time and employees’ effort to count pennies. 

If you are paying a fine and they do not accept your pennies, and you run out of time to get back with an acceptable payment method, then you will pay an additional late fee, even though you were there on time to pay with your pennies. You may face extra financial charges for the inconvenient and unreasonable action of bringing thousands of coins instead of a common and acceptable payment form. 

So the bottom line is, don’t be a sore loser.