Justia U.S. D.C. Circuit Court of Appeals Opinion Summaries

Forsyth Memorial Hospital, Inc. and other providers (collectively "appellants") appealed the district court's grant of summary judgment in favor of the Secretary of Health and Human Services ("HHS") upholding the denial of their reimbursement claims arising from the merger of Presbyterian Health Services Corporation ("Presbyterian") and Carolina Medicorp, Inc. ("Carolina"). At issue was whether the denial of the reimbursement claims was arbitrary and capricious, an abuse of discretion, contrary to law, or unsupported by substantial evidence. The court affirmed the denial of the reimbursement claims and held that the district court properly concluded that it was neither arbitrary and capricious nor contrary to law for the Administrator of the Centers for Medicare & Medicaid Services ("Administrator") to find that appellants were not entitled to reimbursement where, in the merger between Carolina and Presbyterian, no bona fide sale took place and the parties were related.

Argentina appealed the district court's dismissal of its motion to extend where Argentina had violated a Bilateral Investment Treaty when it implemented several emergency measures in response to the nation's financial crisis. An arbitration panel determined that Argentina was liable to National Grid PLC, ("National Grid") which had been operating in Argentina under the auspices of the treaty. At issue was whether National Grid forfeited its timeliness defense, whether the district court erred in treating Argentina's motion to extend as moot, and whether the district court erred in ultimately finding service to be untimely. Also at issue was whether the district court erred in granting a confirmation motion without first giving Argentina the opportunity to raise defenses available under the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, 9 U.S.C. 201-208. The court rejected Argentina's argument that National Grid had forfeited its timeliness defense where it had expressly preserved this defense in the joint stipulation and then raised it in its first responsive pleading. The court also held that the district court had no authority to grant Argentina's motion to extend time to serve notice and therefore acted within its discretion in treating the motion as moot. Absent any evidence of timely service of notice, the court affirmed the dismissal of Argentina's motion to vacate the arbitral awards. The court further affirmed National Grid's cross-motion for recognition of the arbitral award where Argentina had ample time to raise defenses but made no attempt to raise such defects in the district court.

The Equal Rights Center ("ERC") sued Post Properties, Inc. ("Post") alleging that Post designed, constructed, and operated its apartment complexes in a manner that violated the Fair Housing Act ("FHA"), as amended by the Fair Housing Amendments Act of 1988 ("FHAA"), 42 U.S.C. 3601-3631, and Title III of the Americans with Disabilities Act ("ADA"), 42 U.S.C. 12181-12189. At issue was whether the district court properly granted summary judgment to Post on the ground that the ERC lacked standing to bring suit where it failed to demonstrate an injury in fact. The court held that the ERC failed to demonstrate that its injury was actual or imminent at the time of the filed suit and held that the district court erroneously concluded that the ERC could not establish standing because it chose to redirect its resources to investigate Post's allegedly discriminatory practice. Therefore, the court focused on whether the organizational plaintiff undertook expenditures in response to, and to counteract, the effects of a defendant's alleged discrimination rather than in anticipation of litigation and determined that the ERC failed to demonstrate that it suffered an injury in fact that was actual or imminent at the time it filed the suit.

Appellee sued the Broadcasting Board of Governors ("Board") after the Board terminated her contract alleging violations of the First and Fifth Amendments when she appeared in a music video that criticized the United States' involvement in Iraq. At issue was whether the district court erred in denying defendants' motions for dismissal on the basis of qualified immunity. The court held that, while it may be ultimately established in this case that the governmental interest involved was sufficient to outweigh appellee's constitutional right and allowed the Board to take action, it was not sufficiently established at this stage to have required the district court to uphold the assertion of qualified immunity and dismiss the action. Accordingly, the court affirmed the district court's dismissal of defendants' claims based on qualified immunity and remanded for further proceedings.

Appellant appealed a conviction on one count of committing an act affecting a personal financial interest in violation of 18 U.S.C. 208(a) and 216(a)(2) and two counts of making false statements in violation of 18 U.S.C. 1001(a)(2) where the convictions arose from his involvement in the allocation of a $15 million congressional earmark while serving as the interim Associate Administrator of the National Aeronautics and Space Administration ("NASA"). At issue was whether there was sufficient evidence to support his convictions under section 208(a) and whether the district court properly charged the jury with the section 208(a) violation. The court held that there was sufficient evidence to support appellant's conviction under section 208(a) where there was ample evidence from which the jury could conclude that the allocation of the earmarked funds was indeed a "particular matter" within the meaning of the statute; that appellant participated both "personally and substantially" in the distribution of the earmarked funds; and that appellant knew he had a financial interest in the "particular matter." The court also held that even if the district court erred by not including the "direct and predictable effect" language in the jury charge, its error was harmless.

Plaintiffs, the son and widow of an individual who was allegedly tortured and killed by the Palestinian Authority and the Palestine Liberation Organization ("defendants"), sued defendants for violation of the Torture Victim Protection Act ("TVPA"), 28 U.S.C. 1350, and federal common law. At issue was whether the district court abused its discretion in vacating the entry of default and if not, whether plaintiffs had a cause of action under the TVPA or federal common law. The court affirmed the judgment of the district court and held that the TVPA did not permit a suit against defendants where the term "individual" comprised only natural persons and also held that plaintiffs did not have a cause of action under 28 U.S.C. 1331 for an alleged violation of federal common law.

AdSurfDaily, Inc., an internet marketing company incorporated and controlled by appellant, appealed a default judgment and final order of forfeiture after they withdrew their claims in this civil forfeiture action where federal agents seized $80 million of the company's bank account funds as part of an investigation of the company for wire fraud and money laundering. The government filed a complaint for forfeiture in rem against the funds and two pieces of real property that had been purchased with AdSurfDaily money. At issue was whether the district court violated appellants' due process rights when it failed to stay the forfeiture action pending the outcome of a parallel criminal proceeding and when the district court denied them an opportunity to challenge the forfeiture on the merits when it refused to reinstate their withdrawn claims. The court held that the district court did not violate appellants' due process rights when they never asked for a stay and where due process did not require the government to provide a person with the opportunity to challenge the seizure of property he had voluntarily forfeited. The court also held that the district court did not abuse its discretion in denying a motion to reinstate withdrawn claims when the withdrawal was the product of a free, deliberate choice.

Petitioners sought administrative review of the Chief of the Perishable Agricultural Commodities Act ("PACA"), 7 U.S.C. 499, and Vegetable Division of the Agricultural Marketing Service's ("Judicial Officer") determination that petitioners, who were officers of national produce wholesalers, Fresh America, had been responsibly connected to Fresh America during the violations period at issue and were subject to the statute's employment restrictions. At issue was whether petitioners were merely nominal officers to Fresh America and whether Fresh America was the alter ego of its chairman of the board. The court granted the petition for review where the Judicial Officer's decision was devoid of any analysis of the actual power exercised by petitioners at Fresh America. The court also held that Fresh America was dominated by the board and its chairman, not just by the chairman.

Appellant filed suit against the United States Department of Homeland Security, the Coast Guard, and the Assistant Commandant of the Coast Guard (collectively "the Government") challenging the Coast Guard's determination to terminate his appointment as an unaffiliated, independent pilot. At issue was whether the Government's action violated the Administrative Procedures Act ("APA"), 5 U.S.C. 706(2)(A), as well as appellant's First Amendment and Fifth Amendment rights. The court held that the Coast Guard's interpretation of the term "voluntary association" in the Great Lakes Pilotage Act ("GLPA"), 46 U.S.C. 9304(a), easily survived review under Chevron. The court also held that appellant's First Amendment claim appeared to be precluded by the Second Circuit's judgment and failed on the merits. The court further held that the Coast Guard did not act arbitrarily and capriciously in determining that appellant's dispatch as an independent pilot expired after the 2003 navigation season. The court also rejected appellant's Fifth Amendment due process claim where he had no constitutionally protected entitlement to continued dispatch by the Coast Guard. Finally, the court held that the district court did not abuse its discretion in denying appellant's request for extra-record discovery.

Appellant brought a suit under the Administrative Procedure Act ("APA"), 5 U.S.C. 500, seeking an injunction requiring the United States State Department ("State Department") to disclose the Hearing Officer's Findings of Fact and Recommendation when the Deputy Assistant Secretary of State for Passport Services granted her children limited validity passports after a hearing. After the district court granted the State Department's motion to dismiss appellant's suit, she timely appealed the decision and then filed a second, separate complaint against the State Department alleging that the State Department's decision on the merits was arbitrary and capricious in violation of the APA. The State Department filed a second motion to dismiss which was pending. The court vacated the district court's grant of the State Department's motion to dismiss and instructed the district court to reevaluate appellant's claims upon consolidation of both her cases against the State Department.