Justia U.S. 5th Circuit Court of Appeals Opinion Summaries

Plaintiffs allege that Boeing and Southwest Airlines defrauded them by, among other things, concealing a serious safety defect in the Boeing 737 MAX 8 aircraft. The district court certified four classes encompassing those who purchased or reimbursed approximately 200 million airline tickets for flights that were flown or could have been flown on a MAX 8.In reviewing Defendants' interlocutory appeal, the Fifth Circuit reversed the district court. The court found that Plaintiffs lacked Article III standing because they failed to allege any concrete injury. View "Earl v. Boeing" on Justia Law

These consolidated appeals involve a dispute over the enforceability of a Texas state court judgment after it had been made executory by a Louisiana state court and the judgment creditors then sought to make it executory in the United States District Court for the Eastern District of Louisiana. That federal court dismissed the case on res judicata grounds, but the Fifth Circuit concluded instead that the district court lacked subject-matter jurisdiction over the case because Plaintiffs failed to satisfy 28 U.S.C. Section 1332(a)’s amount-in-controversy requirement for diversity of citizenship jurisdiction.   Accordingly, the Fifth Circuit vacated the district court’s judgment dismissing Plaintiffs’ complaint on the basis of res judicata and remanded with instructions that the district court dismiss this case without prejudice for lack of subject-matter jurisdiction. The court explained that the $1,313.16 in prejudgment interest awarded in the Texas Judgment is included in determining the amount in controversy. However, the 5.00% interest from the date of the Judgment until paid in full is not. The total amount in controversy thus comes to $58,832.63. Because the amount in controversy does not exceed the sum or value of $75,000, exclusive of interests and costs, the district court lacked subject-matter jurisdiction under Section 1332(a). View "Cleartrac, et al v. Lanrick Contractors, et al" on Justia Law

Plaintiffs, who identify as Moorish Americans, sought to enter the Caddo Parish Courthouse to file documents with the court clerk. Upon arriving at the security-screening station, plaintiffs informed the officers on duty that they wished to enter without passing through the security screening. After Plaintiffs’ repeated refusals to depart, the officers stated they would count to three and, if Plaintiffs refused to leave, they would be arrested. They did not depart and were arrested, charged with violating Louisiana Revised Statutes Section 14:63.3.Plaintiffs brought a litany of claims against various officials serving in Caddo Parish and the Louisiana state government based on their actions taken during the arrest. Plaintiffs also moved for recusal of the magistrate judge, which the district court denied.   The Fifth Circuit affirmed. The court explained that Plaintiffs have pointed to no precedent that abrogates the general “search incident to arrest” rule when religious headwear is involved. Accordingly, the district court correctly granted summary judgment on the ground of qualified immunity. Further, the court held that there was no error in the district court’s denial of Plaintiffs’ motion for recusal of the magistrate judge. The magistrate judge did not work on this case in private practice nor work with Defendants’ counsel in the practice of law while he was working on this case. Nor is there evidence of any bias or knowledge of the case that would have required the district court, in its discretion, to order recusal. View "Foley Bey v. Prator" on Justia Law

Believing Texas intends to enforce its abortion laws to penalize their out-of-state actions, Plaintiffs sued Texas Attorney General (Petitioner). Petitioner moved to dismiss the suit for lack of subject matter jurisdiction. Plaintiffs then issued subpoenas to obtain Petitioner’s testimony. Petitioner moved to quash the subpoenas, which the district court initially granted. On reconsideration, however, the district court changed course, denied the motion, and ordered Petitioner to testify either at a deposition or evidentiary hearing. Petitioner petitioned for a writ of mandamus to shield him from the district court’s order.   The Fifth Circuit granted the writ, concluding that the district court clearly erred by not first ensuring its own jurisdiction and also by declining to quash the subpoenas. The court explained that the district court committed a “clear abuse of discretion” by finding that exceptional circumstances justified ordering Petitioner to testify. Petitioner has therefore shown a clear and indisputable right to relief. The court further found that the errors are ones that cannot be rectified as the case progresses. Petitioners compelled testimony cannot be undone or corrected by the district court or a reviewing court once it occurs. Accordingly, the court was satisfied that, under the circumstances, it should exercise its discretion to issue the writ. View "In Re: Ken Paxton" on Justia Law

Plaintiff was dismissed from her role as a Cadre On-Call Response Employee (CORE) for the Federal Emergency Management Agency (FEMA) in 2017. Plaintiff claimed that her dismissal resulted from race-based discrimination in violation of Title VII of the Civil Rights Act of 1964. Following administrative proceedings in which an administrative law judge rejected her complaint, Plaintiff filed suit in federal district court. Plaintiff appealed the district court’s order granting FEMA summary judgment and denying her motion for additional time to conduct discovery, arguing that the court abused its discretion by declining to grant a continuance under Rule 56(d) as required by Chandler v. Roudebush.   The Fifth Circuit affirmed. The court concluded that because Plaintiff failed to diligently pursue her limited discovery needs during the two-month continuance, the district court did not abuse its discretion in denying her Rule 56(d) motion. Further, Chandler cannot be construed as demanding further discovery where, as here, the government acquiesces, but the employee fails to diligently pursue it. Plaintiff received a de novo trial and treatment equal to that afforded to a private-sector employee. The district court did not contravene Chandler by denying further discovery and granting the summary judgment motion. View "Dominick v. DHS" on Justia Law

This mandamus petition concerns a qui tam action brought against Planned Parenthood Federation of America, Inc., and five Texas-based affiliates. Relator filed the initial complaint on February 5, 2021, alleging that Petitioners presented millions of dollars of false or fraudulent claims for payment under the Medicaid system.Petitioners moved to dismiss both complaints, and the district court denied those motions in large part in April of 2022. Petitioners then sought reconsideration of that order, which the district court denied in July of 2022. Discovery proceeded meanwhile; tens of thousands of documents were exchanged and several motions to compel were raised by both parties and ruled on.Seven months after the case was unsealed, Petitioners moved to transfer to the Austin Division of the Western District of Texas, arguing that it is a more convenient forum than the Amarillo Division of the Northern District of Texas, where the case was originally filed and remains pending. The district court denied the motion. Petitioners then sought mandamus relief.The Fifth Circuit affirmed, finding that Petitioners failed to show that the district court clearly abused its discretion in denying their motion to transfer. As a result, they failed to demonstrate that they are entitled to the extraordinary remedy of a writ of mandamus. View "In re Planned Parenthood Federation of America" on Justia Law

Plaintiffs are two voter registration organizations who challenged Texas’s recently revised requirements for voter residency. The district court concluded Plaintiffs had organizational standing because the new laws caused them to divert resources from other projects and also chilled their ability to advise and register voters. On the merits, the district court ruled that the challenged laws, in large part, impermissibly burdened the right to vote. Texas appealed.   The Fifth Circuit agreed with Texas that Plaintiffs lack organizational standing. So, without reaching the merits, the court reversed the district court’s judgment and rendered judgment dismissing Plaintiffs’ claims. Plaintiffs argue that it is “a crime under Texas law to help someone to register to vote in violation of [S.B. 1111’s] confusing new requirements.” But Texas law does not criminalize giving good faith but mistaken advice to prospective voters. Rather, the statute on which Plaintiffs rely applies only “if the person knowingly or intentionally” “requests, commands, coerces, or attempts to induce another person to make a false statement on a [voter] registration application.” Plaintiffs do not assert that they plan to “knowingly or intentionally” encourage people to register who are ineligible under S.B. 1111. Plaintiffs’ argument turns on the “confusion and uncertainty” S.B. 1111 supposedly injects into their voter outreach efforts. Uncertainty is not the same as intent, however. Accordingly, Plaintiffs have not shown a serious intention to engage in protected activity arguably proscribed by the challenged law. In sum, the district court erred in concluding Plaintiffs had organizational standing based on a chilled-speech theory View "Texas State LULAC v. Paxton" on Justia Law

Plaintiff petitioned for a writ of mandamus directing the district court to remand this removed action to state court for want of federal-court jurisdiction. This matter arises from a traffic collision. Plaintiff is a citizen of Louisiana, as is the driver of the other vehicle, Defendant. At the time of removal by diverse Defendant Zurich American Insurance Company (“Zurich”), neither Defendant nor defendant Dynamic Energy Services International, LLC, had been served. Plaintiff initiated an action in Louisiana state court against the three defendants. According to Zurich, it could remove to federal court because the driver—a citizen of the forum state—had not yet been served.   The Fifth Circuit denied the petition for writ of mandate. The court explained that because the only basis for removal, in this case, was diversity jurisdiction, and complete diversity is lacking, The court explained that the district court must dismiss want of jurisdiction. the critical distinction is whether diversity is complete. In that regard, Plaintiff, in his mandamus petition, correctly posits that “Texas Brine is consistent with Deshotel,” based on the fact that “[i]n Texas Brine, unlike [Plaintiff], diversity was complete. Had the Texas plaintiff wanted, it could have filed its case originally in federal court. Plaintiff by contrast, could not have done so.” View "In Re: Calvin Levy" on Justia Law

The Federal Energy Regulatory Commission (FERC)  brought an enforcement action against BP, alleging the company capitalized on the hurricane-induced chaos in commodities markets by devising a scheme to manipulate the market for natural gas. BP sought judicial review of FERC’s order finding that BP engaged in market manipulation and imposing a $20 million civil penalty.   The Fifth Circuit explained that because FERC predicated its penalty assessment on its erroneous position that it had jurisdiction over all (and not just some) of BP’s transactions, the court must remand for a reassessment of the penalty in the light of the court’s jurisdictional holding. Thus, the court granted in part and denied in part BP’s petition for review and remanded to the agency for reassessment of the penalty.   The court explained that it has rejected FERC’s expansive assertion that it has jurisdiction over any manipulative trade affecting the price of an NGA transaction. The court, however, reaffirmed the Commission’s authority over transactions directly involving natural gas in interstate commerce under the NGA. The court further determined that there was substantial evidence to support FERC’s finding that BP manipulated the market for natural gas. The court found that FERC’s reasoning in imposing a penalty was not arbitrary and capricious, though the court concluded that FERC’s reliance on an erroneous understanding of its own jurisdiction necessitates remand for recalculation of the penalty. Finally, the court held that neither separation of functions nor statute of limitations issues justify overturning the Commission’s order. View "BP America v. FERC" on Justia Law

Plaintiffs-Appellants, forty-eight owners of property located near the former Dresser Industrial Valve Operations Facility (“Dresser Facility”) in Rapides Parish, Louisiana, appeal the district court’s order dismissing the Louisiana Department of Environmental Quality (“LDEQ”) as improperly joined and denying their motion for remand. They further challenge the injunction issued by the district court against Plaintiff M.G. from pursuing a proceeding in state court.   The Fifth Circuit reversed and remanded the district court’s ruling. The court concluded that Defendants failed to meet their burden of establishing that LDEQ was improperly joined. Although the district court carefully reviewed certain Louisiana constitutional provisions and statutes in determining that Plaintiffs had not stated a cognizable claim against LDEQ, the court noted that at least one Louisiana appellate court has recognized that LDEQ may be sued in tort for its negligence under circumstances similar to those alleged by Plaintiffs. Additionally, it is unclear whether LDEQ would have discretionary immunity under La. R.S. Section 9:2798.1 in this case under the court’s standard for determining improper joinder, any ambiguity or uncertainty in the controlling state law must be resolved in Plaintiffs’ favor. Accordingly, the court reversed the district court’s dismissal without prejudice of LDEQ and its denial of Plaintiffs’ motion for remand. View "D & J Invst of Cenla v. Baker Hughes" on Justia Law