On March 30, 2004, C.A.S., a juvenile, was adjudicated delinquent by this court. At that time, the juvenile admitted to one count of arson, graded as a Felony 1. The juvenile intentionally set five small fires in her home at 333 North Fulton Street, Allentown, Lehigh County, Pennsylvania, which spread to several other homes in the neighborhood, causing damage in excess of $200,000. One firefighter was injured.
On May 13,2004, following a disposition hearing held on April 30,2004, and the consideration of several evalu
On July 1, 2004, a review of disposition hearing was held. At that time, the court ordered that the juvenile remain at Laurel Youth Services. Restitution figures were amended as follows:
John Dilcher, $250.
Debra Hausman, $250.
Susan Rogers, $580.
Cynthia Donmoyer, $250.
Bonnie Krumenacker, $250.
Rebecca and Chris Houser, $1,184.22.
The court held in abeyance the restitution claims of Erie Insurance Company, Lliana Claxton, and All State Insurance Company. The court requested that the juvenile and the Commonwealth submit memoranda on these claims. This opinion follows.
DISCUSSION AND CONCLUSIONS OF LAW
The juvenile, through her counsel, questions the appropriateness of a restitution claim made by Erie Insur
“[An] order of restitution is not an award of damages .... While the order aids the victim, its true purpose, and the reason for its imposition, is the rehabilitative goal it serves by ‘impressing upon the offender the loss he has caused and his responsibility to repair that loss as far as it is possible to do so.’ ” Commonwealth v. Galloway, 302 Pa. Super. 145, 161, 448 A.2d 568, 576 (1982) (quoting State v. Stalheim, 275 Or. 683, 689, 552 P.2d 829, 832 (1976)).
The case at bar first focuses on what constitutes a “victim” for purposes of the restitution order. Particularly instructive is the definition of “victim” under 18 Pa.C.S. § 1106(h), Restitution for injuries to person or property.2 Historically the term “victim” was defined as “[a]ny person, except an offender, who suffered injuries to his person or property as a direct result of the crime.” See Galloway at 161, 448 A.2d at 576. (emphasis in original)
“The insurance company was required to reimburse the legal owners, as per an insurance contract, but such payment does not constitute injury as required by section 1106(h). Injury to property is defined in 18 Pa.C.S. § 1106(h), as ‘[ljoss of real or personal property, including negotiable instruments, or decrease in its value, directly resulting from the crime.’ Therefore, payment under an insurance contract is not a Toss’, but merely a contractual obligation. Only the innocent legal owners of the home destroyed by the arson are entitled to restitution on the arson conviction as the victims.” Galloway at 161-62,448 A.2d at 577. (emphasis in original) (footnote omitted)
In summation, the Galloway court determined that when an insurance carrier’s loss is merely consequential to the criminal conduct and is not the intended victim of the crime, the insurance carrier is not entitled to receive compensation in the form of restitution.
Since the determination made in Galloway, the Pennsylvania Legislature has seen fit to modify the definition of “victim.” As defined under the current 18 Pa.C.S. § 1106(h) statute, “victim” now “includes the Crime Victim’s Compensation Fund if compensation has been paid by the Crime Victim’s Compensation Fund to the victim and any insurance company that has compensated the victim for loss under an insurance contract.” See Commonwealth v. Layhue, 455 Pa. Super. 89, 95, 687 A.2d 382, 384 (1996). (emphasis added) As a result, Erie
Restitution in juvenile court is governed by 42 Pa.C.S. §6352. In Interest of Dublinski, 695 A.2d 827, 830 (Pa. Super. 1997). Specifically, section 6352(5) allows a court to order “payment by the child of reasonable amounts of money as fines, costs or restitution as deemed appropriate as part of the plan of rehabilitation considering the nature of the acts committed and the earning capacity of the child.” In order to determine the requisite amount of restitution owed by the juvenile, the sentencing court must consider four factors: “(1) The amount of loss suffered by the victim; (2) The fact that defendant’s action caused the injury; (3) The amount awarded does not exceed defendant’s ability to pay; [and] (4) The type of payment that will best serve the needs of the victim and the capabilities of the defendant.” In Interest ofDublinski at 829. (citations omitted) Furthermore, although “an award of restitution lies within the discretion of the court, it should not be speculative or excessive and [the appellate courts] must vacate a restitution order which is not supported by the record.” Id.
Case law has suggested particular ways in which a trial court ought to consider the four factors outlined above. In terms of the second element, “the court must apply a ‘but-for’ analysis, in which appellant will be liable for restitution for all damages which would not have occurred but for her criminal conduct.” Id. at 830. The third element of the analysis requires that the court con
In applying the factors outlined above, the juvenile in this case will not be held responsible for the amount of requested restitution to either Erie Insurance Company or Allstate Insurance Company. While the amount of loss suffered by the victims is clear from the record and the damage caused is particularly attributable to the juvenile’s criminal conduct, namely intentionally setting a fire in her home, which spread to the neighboring homes, the amounts of requested restitution for the insurance companies far exceed this juvenile’s ability to pay. Erie Insurance Company3 is requesting $22,682.51 in restitution. Allstate Insurance Company is requesting restitution in the amount of $3,578.43. Given the juvenile’s significant mental and psychological issues, the likelihood of future employment with a Felony 1 arson conviction, and her lack of a work history, an amount of restitution greater than $25,000 is excessive and unreasonable in light of the juvenile’s ability to pay.
Based on the application of the aforementioned factors and the juvenile’s inability to pay, the juvenile will not be held responsible for any restitution to either Erie Insurance Company or Allstate Insurance Company.
ORDER
And now August 8, 2005, after consideration of the testimony heard on July 1, 2005, and the memorandum on restitution filed by counsel for the juvenile on July 14,2005, the juvenile shall be responsible to the following victims as follows:
Erie Insurance Company, $0.
Lliana Claxton, $920.
All State Insurance Company, $0.
1.
Such analysis would likewise apply to Allstate Insurance Company. The juvenile did not make argument as to the amount of restitution due Lliana Claxton. Therefore, the court has not analyzed that claim for restitution.
2.
This section applies to restitution orders in criminal court and is therefore not controlling. See In Interest of Dublinski, 695 A.2d 827, 830 (Pa. Super. 1997). This court merely uses the definition of the word “victim” as instructive.
3.
Erie Insurance Company was the insurer of the Donmoy er home.