Demoruelle v. USA
1:15-cv-00208
D. Haw.Oct 26, 2015Background
- Pro se plaintiffs allege improper disclosure of veterans’ records by VAPIHCS after requesting one veteran’s records.
- They received records for seven other veterans and 26 requested documents were missing.
- Plaintiffs reported the incident to VA; government provided credit monitoring and promised to check for further disclosures.
- Plaintiffs filed an FTCA Administrative Claim on August 28, 2014; VA offered $35.60 in February 2015, which was rejected.
- Plaintiffs plead FTCA claims incorporating HIPAA, Privacy Act, and Hawaii Revised Statutes § 663-1; government moves to dismiss for lack of subject-matter jurisdiction.
- Court sua sponte addresses standing and ultimately dismisses for lack of standing and failure to state FTCA claims; summary judgment motion is moot.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether plaintiffs have standing to sue | Demoruelle asserts injury from improper disclosures | No actual injury to Demoruelle shown; no standing | Lack of standing; case dismissed for lack of subject-matter jurisdiction |
| Whether FTCA waives sovereign immunity for HIPAA/Privacy Act claims | FTCA claims arise from federal statutory duties | FTCA does not authorize HIPAA/Privacy Act claims | FTCA claims fail as a matter of law; dismissed |
| Whether state-law claims (Haw. Rev. Stat. § 663-1; UIPA) can support FTCA claims | Claims under Hawaii statute and UIPA | FTCA does not convert state-law duties into FTCA liability | Not actionable under FTCA; claims fail even if amended |
Key Cases Cited
- Wolfe v. Strankman, 392 F.3d 358 (9th Cir. 2004) (liberal pleading standard for pro se litigants; standing analysis)
- D’Lil v. Best W. Encina Lodge & Suites, 538 F.3d 1031 (9th Cir. 2008) (courts must examine jurisdiction sua sponte; standing duty)
- Bernhardt v. Cnty. of Los Angeles, 279 F.3d 862 (9th Cir. 2002) (standing concerns; injury-in-fact requirement)
- Cetacean Cmty. v. Bush, 386 F.3d 1169 (9th Cir. 2004) (lack of standing and jurisdiction when no Article III injury)
- Steel Co. v. Citizens for a Better Env’t, 523 U.S. 83 (1998) (jurisdictional principles; standing prerequisite to merits)