Lord Abbett Municipal Income Fund, Inc. v. Tyson, 2012 U.S. App. LEXIS 1481

Fund owns bonds issued by Cooperative District for Country Crossing project; income supported by fees from electronic bingo machines.
Alabama Task Force on Illegal Gambling threatened seizure of bingo machines due to anti-gambling laws; Country Crossing closed to avoid seizure.
Fund alleges state interference deprived it of its property interest in bond income and seeks injunctive relief and a hearing under §1983.
District court dismissed for lack of ripeness and potential lack of standing; ruled the claim unripe.
On appeal, Court holds ripeness is met and addresses Ex parte Young, standing, and failure to state a procedural due process claim.
Court affirms dismissal on alternative grounds that the complaint fails to state a claim for relief.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Ripeness and pre-seizure due process claim	Young controls; threats trigger ripe claim	Young does not require preseizure hearing here	Claim is ripe; Young does not compel preseizure hearing
Article III standing	Threats to use enforcement injury constitutes standing	No concrete injury without seizure	Fund adequately pled Article III standing
Failure to state a procedural due process claim	Threats to interfere with income violate due process	No constitutionally inadequate process shown	Complaint fails to state a §1983 procedural due process claim

Ex parte Young, 209 U.S. 123 (1908) (federal jurisdiction to challenge ongoing state action)
Calero-Toledo v. Pearson Yacht Leasing Co., 416 U.S. 663 (1974) (preseizure notice may be postponed in forfeiture contexts)
Fuentes v. Shevin, 407 U.S. 67 (1972) (preseizure hearing postponement in forfeiture contexts)
Ashcroft v. Iqbal, 556 U.S. 662 (2009) (pleading plausibility standard for civil suits)
Grayden v. Rhodes, 345 F.3d 1225 (11th Cir. 2003) (procedural due process requires constitutionally adequate process)