Bailey v. SharpBailey v. Sharp
- Reporters:
- , ,
- Before:
- Easterbrook
Lead Opinion
The jury in this civil rights suit returned a verdict on June 27, 1985, awarding Joseph L. Bailey $80,000 against defendant Kevin C. Andrews. The clerk immediately entered a judgment. The judge then stated in open court: “I will set a briefing schedule. I will probably give you more time than the rules allow but I must — you are on your own as to when you would file any motion for — I mean when you have to file any notice of appeal. I am not giving free advice on that subject. I am just setting the schedule____ It has been determined that the defendant Kevin C. Andrews has until the 15th of July, 1985 to file any and all motions in favor of the motion for directed verdict and indeed to file a motion for a new trial.” Andrews filed his motion for a new trial 15 days later, on July 12. The district court granted the motion conditionally on September 9, ordering a new trial unless Bailey accepted a remittitur to $17,000. Bailey rejected the remittitur, so on October 7 the court made the order for a new trial unconditional.
Bailey asks us to issue a writ of mandamus directing the district court to set aside the order for a new trial and to reinstate the final judgment. The argument is straightforward. Under
There are nonetheless two hurdles. The first is that an amendment to the Federal Rules of Civil Procedure raises a question whether the motion was indeed untimely. The second is Eady v. Foerder, 381 F.2d 980 (7th Cir.1967), in which this court held, on similar facts, that the district court has the authority to grant untimely motions. We consider these two issues in turn.
I
July 12 is 15 days after June 27 (the date judgment was entered), but not all days count. The version of
We held in United States v. Kimberlin, 776 F.2d 1344 (7th Cir.1985), that the amendment to
II
Eady holds that when a judge extends the time within which to file an application for a new trial, and counsel relies to his detriment on that extension, the “unique circumstances” of this reliance allow the court to dispose of the motion before it. In this case the district judge, true to his word, granted counsel more time than the rules allow. The court then held, citing Eady, that it was entitled to rule on the resulting untimely motion because of counsel’s reliance on the extension.
Before this court, however, counsel for Andrews frankly admitted that, the day after the district judge granted him additional time, he researched the question whether the judge had the authority to extend the ten-day limitation for filing a motion for a new trial. He apparently read — or more properly misread — Eady as permitting a district court to extend the time despite the strictures of the Rules. If counsel had read Eady correctly, he would have recognized that the district judge had no authority to extend the time. Eady simply creates an equitable exception to the rigid time limitation when a lawyer, not knowing the law, actually relies on the affirmative misstatement of the district judge. See Marañe, Inc. v. McDonald’s Corp., 755 F.2d 106, 111 n. 2 (7th Cir.1985). See also Needham v. White Laboratories, Inc., 454 U.S. 927,102 S.Ct. 427, 70 L.Ed.2d 237 (1981) (Rehnquist, J., dissenting from the denial of certiorari) (actual reliance is an element of the “unique circumstances” exception to jurisdictional rules). If counsel had read Eady correctly, he would have realized that it was incumbent upon him to seek clarification. In short, it is clear that it was not the judge’s misstatement but counsel’s misreading of the law that led to his failure to file on time.
The writ of mandamus will issue.
Notes
The dissenting opinion in Kimberlin argued that the former
Concurrence Opinion
concurring.
The facts of Eady were all but identical to the facts of this case. After entering judgment on a jury’s verdict, the district court filed an order stating: “Leave to plaintiff to file any and all post trial motions with brief and written argument in support thereof within 30 days.” Plaintiffs filed their motion for a new trial 28 days after the entry of judgment; the court granted the motion; this court held that the district court “properly entertained the motion” (380 F.2d at 981). The court relied on “ ‘unique circumstances’ present in the case at bar” (ibid.). The “circumstance” was that the district court gave the plaintiff more time, and this “was justifiable excuse for plaintiffs’ failure to file their motion within ten days” (ibid.).
The. difficulty with this conclusion is that no excuse, “justifiable” or otherwise, permits an extension of time under
The panel in Eady apparently was confused about the role of justifiable neglect and detrimental reliance. It cited as authority two cases, Harris Truck Lines, Inc. v. Cherry Meat Packers, Inc., 371 U.S. 215, 83 S.Ct. 283, 9 L.Ed.2d 261 (1962), and Wolfsohn v. Hankin, 376 U.S. 203, 84 S.Ct. 699, 11 L.Ed.2d 636 (1964). Wolfsohn is a summary disposition that cites only Harris and Thompson v. INS, 375 U.S. 384, 84 S.Ct. 397, 11 L.Ed.2d 404 (1964). Harris, in turn, dealt with a finding under
Harris does not support Eady. The district court has no power, comparable to that supplied by
Thompson, too, deals with the timeliness of an appeal rather than the effectiveness of a motion. Twelve days after the entry of judgment a party filed a motion for a
It is therefore no surprise that Eady stands alone. So far as I can determine, no other court of appeals permits a district court to act on a
In Hulson v. Atchison, Topeka & Santa Fe Ry., 289 F.2d 726 (7th Cir.), cert. denied, 368 U.S. 835, 82 S.Ct. 61, 7 L.Ed.2d 36 (1961), the district court granted a 10-day extension of time within which to seek a new trial. The court acted on a motion by plaintiffs; defendants represented that they did not object. Plaintiffs took all the time the court allowed them, but when they filed the motion the defendants opposed it, relying on
Eady appears in our cases — in the rare occasions on which it appears at all — for a point related only to Thompson. For example, in Marañe we cite Eady for the proposition that “an appellate court may and should hear an appeal even though it is not timely, if the appellant reasonably relied on an erroneous statement of the district court that the appeal or motion was timely, and the appeal would have been timely if the district court had been correct.” 755 F.2d at 111 n. 2. This is the holding of Thompson, and it has nothing to do with the district court’s authority to grant the relief belatedly sought. Parisie v. Greer, 705 F.2d 882 (7th Cir.1983) (en banc), holds that until the district court files a judgment the time for appeal does
Professors Wright and Miller supply the only principled explanation for Eady that I have been able to find. They conclude that the extension of time allowed by Eady is “similar” to the sort of extension allowed by Thompson, because each preserves a procedural right that may be lost by a combination of a judge’s error and a lawyer’s inattentiveness. The extension therefore “serves the interest of justice.” Wright & Miller, supra, § 1168 at p. 639. Wright and Miller find authority for this in
There is much to the concern that litigants not be deprived of procedural rights by judicial error. This underlies Thompson as well as the arguments of Wright and Miller. Yet their position is more appropriately a request to the Supreme Court to amend
The federal rules are full of occasions on which the erroneous action of a court may undermine the procedural rights of a party. Perhaps the most notorious is
The Advisory Committee’s notes to
The same thing is true of
[A]n intelligent reading of the federal rules would have made it quite clear [in Eady ] that the district court had no authority either to entertain a new trial motion filed more than ten days following entry of judgment or to grant an enlargement of the appeal period. In this context, therefore, perhaps reliance on a clearly erroneous action of the district court should not have been considered reasonable. It is somewhat anomalous that although simple inadvertence, ignorance of the rules, or unfamiliarity of them usually will not constitute “excusable neglect” for purposes ofRule 6(b)(2) , a misconception of the express time provisions, inRule 6(b) , 59, and formerRule 73(a) does not bar a party from invoking the principle of unique circumstances.
4 Wright & Miller, supra, at p. 642. Ultimately they say that although “reasonable reliance” should extend the time,
At all events this is no longer 1973, when Wright and Miller wrote. Thompson then stood unquestioned. More recent cases have cast a shadow over that decision. The Supreme Court only recently informed us that “with respect to filing deadlines a literal reading of Congress’ words is generally the only proper reading of those words.” Locke, supra, 105 S.Ct. at 1792. The aggrieved party in Locke sought one extra day, based on arguments that the statute was ambiguous, that he had relied on a misleading official construction, and that he had not adequately researched the question. The Court’s reply: Businesses should have “checked the regulations or ... consulted with an attorney for legal advice.” Id. at 1793.
Other cases are to the same effect. Griggs v. Provident Consumer Discount Co., supra, holds that an appeal filed in advance of a motion under
Perhaps most importantly for our current inquiry, Browder, decided in 1978, drains Thompson of generality. Twenty-eight days after the entry of judgment, a party filed in the district court a “motion for stay,” making arguments of the sort usually contained in motions under
Whatever vitality Harris and Thompson retain after Locke, Griggs, and Browder, one can at least justify those cases by saying that the rules allow some extensions of time to appeal and that district courts ought not be allowed to interfere with an appellate court’s jurisdiction. None of the Supreme Court’s cases supports a principle that a district court may extend its own jurisdiction — in the face of an express prohibition in
There is one other way to justify Eady. Rule 58 provides that the clerk shall prepare and enter the judgment “forthwith” after the verdict, as the clerk did here, “unless the court otherwise orders”. By delaying the entry of judgment a judge may give a party more than ten days after the return of the jury’s verdict within which to file a motion for a new trial. The district court in this case might have told the clerk to defer entry of the judgment for ten days, and if the clerk had done this the motion of July 12 would have been timely.
This position would prove far too much, however. If we are to go by what “might have been,” then not only
These considerations require us to overrule Eady, and to overrule it now rather than to wait for the case of some unfortunate who really is taken in by a purported extension of time. The court concludes that as soon as a lawyer reads Eady, he knows that
Too, Eady could be read just as the lawyer for Andrews read it — as permitting lawyers to take advantage of extensions they receive from district courts. The district court in this case read Eady as authorizing the extension of time. To leave Eady undisturbed is to invite future claims of reliance, not only on a misreading of
It would be prudent to clear Eady from the books. Derelicts confuse the law, and
This means that counsel who are unaware of the time limits and who mistakenly rely on the pronouncements of district judges may forfeit the right to obtain new trials. Forfeitures are not necessarily disastrous; Andrews still has an appeal. But any inadvertent surrender of a legal right is to be regretted. In Averhart v. Arrendondo, supra, responding to a related problem arising from the fact that a party must file a fresh notice of appeal after the denial of a motion under
Other circuits follow Hulson rather than Eady. E.G., Merrel-National Laboratories, Inc. v. Zenith Laboratories, Inc., 579 F.2d 786, 790 (3d Cir. 1978) (“Defendants have argued that the time for filing a motion [under