AMENDED ORDER REGARDING THE REMEDIES ON PLAINTIFFS’ MOTION FOR PRELIMINARY INJUNCTION
Now before the Court is the remedies portion of the motion for a preliminary injunction filed by plaintiffs Center for Food Safety, Organic Seed Alliance, Sierra Club, and High Mowing Organic Seeds (collectively, “Plaintiffs”). Having carefully reviewed the parties’ arguments and evidence and considered the relevant legal authority, the Court hereby GRANTS the remedy requested by Plaintiffs. 1
BACKGROUND
Plaintiffs filed this action challenging the decision by the United States Department of Agriculture (“USDA”) and its Animal and Plant Health Inspection Service (“APHIS”) (collectively, “Defendants”) to issue permits to four seed companies to plant stecklings of genetically engineered sugar beets. Plaintiffs contend that APHIS’s decision to issue these permits without conducting any environmental review violates the National Environmental Policy Act, 42 U.S.C. §§ 4321-4335 (“NEPA”), the Plant Protection Act (“PPA”), the 2008 Farm Bill, and the Administrative Procedure Act, 5 U.S.C. § 706(2)(A) (“APA”).
Monsanto Company (“Monsanto”) owns intellectual property rights in the technology used to produce Roundup Ready sugar-beets. Betaseed, Inc. (“Betaseed”) is a supplier of sugar beet seed. Betaseed’s parent company, KWS SAAT AG (“KSW”), pursuant to a licensing agreement with Monsanto, inserted the gene for glyphosate tolerance into sugar beets to *1054 produce a type of Roundup Readysugar beets known as Event H7-1.
KSW and Monsanto submitted a petition to the USDA seeking to deregulate Event H7-1, which the USDA granted on March 4, 2005. However, on August 13, 2010, in a prior case, Center for Food Safety v. Vilsack, Case No. 08-00484 {“Sugar Beets I ”), this Court vacated Defendants’ deregulation decision based on APHIS’s failure to prepare an Environmental Impact Statement (“EIS”).
The Court shall address additional facts as necessary to its analysis in the remainder of this Order.
ANALYSIS
I. Plaintiffs’ Motion for Preliminary Injunction.
In order to obtain a preliminary injunction, Plaintiffs "must establish that [they are] likely to succeed on the merits, that [they are] likely to suffer irreparable harm in the absence of preliminary relief, that the balance of equities tips in [their] favor, and that an injunction is in the public interest."
Winter v. Natural Resources Defense Council,
The Court already determined that Plaintiffs have demonstrated a likelihood of success on the merits. (Docket No. 92.) Therefore, the Court will address the remaining factors.
A. Plaintiffs Have Demonstrated Likelihood of Irreparable Harm.
Despite the Court’s repeated admonitions to Defendants and Intervenor-Defendants that the Court will not restrict its consideration of any likely harm to impacts stemming from the plantings allowed pursuant to the permits at issue, Defendants and Intervenor-Defendants continue to argue that Plaintiffs’ arguments regarding potential harm from the later cycles of genetically engineered sugar beet plantings and production is speculative because agency decisions have not yet been made to allow such later cycles. In light of the Court’s determination that Plaintiffs have demonstrated a likelihood of success on the merits—that Defendants violated NEPA by considering the permits in isolation and segmenting them from the later cycles of genetically engineered sugar beet plantings and production by unlawfully relying on a categorical exclusion to avoid conducting any environmental review, it would be illogical if the Court restricted Plaintiffs’ showing of harm to injuries based solely on the unlawfully segmented permits in isolation.
See Save Our Sonoran, Inc. v. Flowers,
Moreover, it is significant that the permits themselves provide that their purpose was “[t]o produce stecklings (seed vernalization) for transplant into basic seed (commercial) production trials in 2010-2011.” (Evidentiary Hearing Exhibit (“Ex.”) 610 at 6.)
See Colorado River Indian Tribes,
Additionally, despite their arguments that Plaintiffs’ assertions of harm based on later cycles of genetically engineered sugar beet plantings and production are purely speculative, Defendants and IntervenorDefendants argue that the Court should consider the harm Intervenor-Defendants will incur if the Court orders the stecklings to be removed and Defendants later grant further approvals to authorize such later cycles. However, the law directs the Court to consider the potential environmental impacts from the full project that was unlawfully segmented. Additionally, Defendants and Intervenor-Defendants have not cited to, and the Court did not find, any authority directing the Court to consider potential economic impacts from development of a crop that is not currently legal.
Nevertheless, Plaintiffs have demonstrated a likelihood of harm stemming from the plantings pursuant to the permits at issue. The evidence presented at the evidentiary hearing made clear that, even with the existence of protocols designed to minimize any environmental harm, there is a significant risk that the plantings pursuant to the permits will cause environmental harm. Despite efforts by Defendants to implement effective protocols and efforts by Intervenor-Defendants to minimize any contamination or cross-pollination, there are examples of where such efforts were ineffective, either because the conditions were later determined to be in *1056 sufficient or the conditions were not followed. In other instances, the causes of the contamination were never discovered. These incidents are too numerous for this Court to declare confidently that these permits provide sufficient containment to protect the environment.
Defendants and Intervenor-Defendants argue that Plaintiffs have not demonstrated any harm has occurred when a permit has been issued with the particular conditions included with the permits at issue. In addition to applying the wrong standard (actual harm versus likelihood of harm), Defendants and Intervenor-Defendants are seeking to penalize Plaintiffs, as well as the environment, because the precise effects from these plantings are not yet known. However, “this lack of precision is the result of [APHIS’s] failure to conduct an environmental evaluation
prior
to” issuing these permits.
Brady Campaign,
Plaintiffs have further demonstrated a likelihood of harm stemming from the entire cycle of genetically engineered sugar beet plantings and production. If the stecklings are transplanted and replanted to produce seed, and the remainder of the planting and production cycle of genetically engineered sugar beets moves forward, the potential for contamination, including through cross-pollination merely increases. The evidence demonstrates that there are points of vulnerability where contamination is likely at every production stage. Even Intervenor-Defendants, despite their best efforts, have not been able to prevent contamination. Plaintiffs have members who grow organic Beta vulgaris seed in and around the Willamette Valley, buy seed from such growers, and consume organic beta crops in that area. These farmers and consumers would likely suffer harm from cross-contamination.
The likely environmental harm established by Plaintiffs is irreparable. “Environmental injury, by its nature, can seldom be adequately remedied by money damages and is often permanent or at least of long duration,
i.e.,
irreparable. If such injury is sufficiently likely, therefore, the balance of harms will usually favor the issuance of an injunction to protect the environment.”
Amoco Prod. Co.,
Additionally, Plaintiffs have demonstrated significant procedural injury stemming from the NEPA violations. “There is no doubt that the failure to undertake an [environmental review] when required to do so constitutes procedural injury to those affected by the environmental impacts of a project.”
See Save Strawberry Canyon v. Dept. of Energy,
Failing to conduct the required environmental review and depriving Plaintiffs and the public "of the opportunity to participate in the NEPA process at a time when such participation is required and is calculated to matter" constitutes irreparable harm.
See Save Strawberry Canyon,
Although, standing alone, a procedural deprivation may not be sufficient to warrant the issuance of an injunction, the likely environmental harm to be suffered here is compounded by the procedural injury.
See Citizens for Better Forestry v. United States Dept. of Agriculture,
Accordingly, the Court finds that Plaintiffs have made a strong showing that they and the environment are likely to suffer irreparable harm if this Court does not issue an injunction.
B. Balance of Equities and the Public Interest Tip in Favor of an Injunction.
In light of Plaintiffs’ strong showing of likely irreparable harm and Defendants’ and Intervenor-Defendants’ weak showing of harm, the balance of equities tips sharply in favor of Plaintiffs. Notably, the harm of which Defendants and Defendant-Intervenors complain—the purported harm based on the lack of genetically engineered sugar beet seed in 2012, 2013 and 2014—has already been *1058 caused by this Court’s prior order vacating APHIS’s deregulation decision. Unless and until APHIS alters the status quo by fully or partially deregulating genetically engineered sugar beets, and does so in a manner that comports with the requisite environmental statutes and regulations, Intervenor-Defendants are legally precluded from growing and processing genetically engineered sugar beets.
Moreover, that Defendants and Intervenor-Defendants waited almost a year after the Court held that Defendants acted unlawfully in deregulating genetically engineered sugar beets before they attempted to enact interim measures or sought permits to authorize continued plantings and production of genetically engineered sugar beets has further contributed to the harm of which they now complain. IntervenorDefendants and Defendants then rushed to seek and grant permits which improperly segmented the planting of seed stecklings from the remainder of the sugar beet planting and production cycles. Thus, the Court finds that the harm of which Defendants and Defendanb-Intervenors now complain was caused by the Court’s prior orders and their own delay, rather than from Plaintiffs’ efforts to require Defendants to comply with NEPA.
The Court further finds that neither Defendants nor Intervenor-Defendants “have any cause to claim surprise as a result of any injunction.”
See National Parks & Conservation Ass’n. v. Babbitt,
On September 1, 2010, APHIS announced that it had received permit applications and intended to grant these permits to authorize steckling production within the next two weeks. (Ex. 93.) The next day, Plaintiffs issued a press release in which they noted that APHIS’s intended use of the permitting process for a commercially grown genetically engineered crop was unprecedented and that they were considering legal action. APHIS issued the permits a couple of days later and on Labor Day, Monday, September 6, 2010, updated its website to reflect that the permits had been issued. Three days later, on September 9, 2010, Plaintiffs filed this lawsuit challenging the issuance of the permits, and they filed a motion for a temporary restraining order on September 10, 2010. 3
Therefore, when the permits were issued and the plantings began, Defendants and Intervenor-Defendants were well aware of Plaintiffs’ objections to genetically engineered sugar beets, of Plaintiffs’ prior litigation and of Plaintiffs’ likely challenge to the issuance of the new permits. Moreover, Defendants and Monsanto were aware of Plaintiffs’ concern regarding potential abuse of the permitting process to avoid the effect of court orders regarding
*1059
deregulation, as this issue had been raised in a prior ease regarding the deregulation of genetically engineered alfalfa.
See Geertson Farms, Inc. v. Johanns,
Moreover, Defendants’ and IntervenorDefendants’ claims of likely harms are undermined by the language of the permits themselves, which provide that the crop will be destroyed if further approvals were not granted. (Ex. 602 at 4.) IntervenorDefendants also represented to the Court that “[i]n the event that APHIS decides not to authorize the transplantation and flowing [of the stecklings], the stecklings will be destroyed by the terms of the permits.... ” (Intervenor-Defendants’ Opp. to TRO (Docket No. 74) at 12.)
Additionally, the Court finds Defendants’ and Intervenor-Defendants’ assertions of economic harm not to be credible. The evidence of economic harm at the evidentiary hearing was presented primarily through Dr. Richard J. Sexton, Intervenor-Defendants’ expert witness. However, the analysis and conclusions Dr. Sexton presented at the evidentiary hearing were actually prepared before May 6, 2010, in anticipation of the remedies hearing in Sugar Beets I. Therefore, his study was not specifically on the effects of limiting the use of the stecklings planted pursuant to the permits at issue here, but rather, was a study of potential economic effects due to a complete vacature and injunction regarding the entire planting and production cycle of genetically engineered sugar beets. In his prepared analysis, Dr. Sexton did not account for the stecklings that were legally planted before August 13, 2010 and would not be subject to the preliminary injunction at issue here. 4 Nor did Dr. Sexton evaluate what impact existing inventories of conventional or genetically engineered sugar beet seed held by the seed producers would have on his analysis and conclusions. Therefore, the Court finds Dr. Sexton’s conclusions regarding the extent of economic harm to be greatly exaggerated. 5
*1060
Finally, to the extent the Court considers the assertions of likely economic harm made by Defendants and Intervenor-Defendants, the Court finds that these anticipated losses do not outweigh the potential irreparable damage to the environment established by Plaintiffs.
See National Parks & Conservation Ass’n,
Regarding the public interest at stake, the Ninth Circuit has recognized "the well-established public interest in preserving nature and avoiding irreparable environmental injury."
Alliance for Wild Rockies v. Cottrell,
Therefore, the Court finds that the balance of hardships between the parties and the public interest tips sharply in favor of Plaintiffs and in favor of issuing an injunction.
C. The Requested Injunction Is Warranted.
Plaintiffs seek an injunction requiring Intervenor-Defendants and SES VanderHave USA that planted stecklings pursuant to the permits at issue be ordered to remove the stecklings from the ground. Defendants and Intervenor-Defendants complain that such an order would be an improper mandatory injunction.
Issuing an injunction that alters status quo
pendente lite,
although disfavored, may be issued where "the facts and law clearly favor the moving party."
Stanley v. University of So. Calif.,
Moreover, Defendants’ and IntervenorDefendants’ claims regarding the extraordinary nature of requested injunction are belied by the requirements of the permits themselves, which require the stecklings be destroyed if further transplantation is not approved by APHIS or other regulatory authority. (Ex. 602 at 4.) And, as noted above, Intervenor-Defendants represented to the Court that “[i]n the event that APHIS decides not to authorize the transplantation and flowing [of the stecklings], the stecklings will be destroyed by the terms of the permits.... ” (Intervenor-Defendants’ Opp. to TRO (Docket No. 74) at 12.)
Additionally, the Court notes that, to the extent the requested injunction is a mandatory injunction, Defendants and Intervenor-Defendants created this problem. They delayed in seeking or implementing interim relief despite knowing in
September of 2009
that the Court found APHIS unlawfully deregulated sugar beets and thus, at a minimum, a vacature of the decision was highly likely. Moreover, once the vacature was issued, instead of moving formally for a stay of the vacature and making the requisite showing, or asking the Ninth Circuit to stay the vacature pending the appeal, Defendants rushed to grant permits, and Intervenor-Defendants rushed to plant stecklings pursuant to these permits. These permits have gone far beyond the scope of what has been done before—granting permits for commercially grown genetically engineered crops. Despite the fact that the permits themselves state that their purpose was “[t]o produce stecklings (seed vernalization) for transplant into basic seed (commercial) production trials in 2010-2011,” Defendants took the position before this Court that they did not unlawfully segment this portion of the genetically sugar beet production cycle. Based on the record currently before the Court, the legality of Defendants’ conduct does not even appear to be a close question. It appears clear that Defendants and Intervenor-Defendants were merely seeking to avoid the impact of the Court’s prior order
in Sugar Beets I.
Therefore, the Court finds that Plaintiffs have established that the “facts and law clearly favor” granting the requested injunction in this case.
See Dahl,
D. No Bond Will Be Required.
Although Federal Rule of Civil Procedure 65(c) generally requires that a successful application for a preliminary injunction post a bond or other security, “[t]he court has discretion to dispense with the security requirement, or to request mere nominal security, where requiring security would effectively deny access to judicial review.”
California ex rel. Van De Kamp v. Tahoe Regional Planning Agency,
Upon review of the declarations submitted by Plaintiffs, the Court finds that an imposition of a bond here would effectively deny Plaintiffs access to judicial review. By virtue of an agreement among all of the Plaintiffs, Center for Food Safety is the organization that would be responsible for any bond required. (Declaration of Andrew Kimbrell (“Kimbrell Decl.”), ¶ 13.) Center for Food Safety is a small nonprofit with a full-time staff of only twelve and a part time staff of six. Its budget is already committed to paying the expenses of existing staff expenses and programs. Center for Food Safety would not be able to post a substantial bond without eliminating other programs and reducing its staff. (Kimbrell Decl., ¶¶ 15-18.) The founder and executive director of Center for Food Safety attests that requiring the organization to pay a bond would fatality harm its ability to bring lawsuits on behalf of the public interest. (Id., ¶ 20.) Accordingly, the Court does not require Plaintiffs to post a bond.
II. No Stay Will Be Issued.
In their conclusion of their post-hearing brief, Defendants and Intervenor-Defendants summarily request a stay pending appeal if the Court issues the injunction. In
Golden Gate Restaurant Ass’n v. City and County of San Francisco,
the Ninth Circuit set forth the factors regulating issuance of a stay pending appeal: "(1) whether the stay applicant has made a strong showing that he is likely to succeed on the merits; (2) whether the applicant will be irreparably injured absent a stay; (3) whether issuance of the stay will substantially injure the other parties interested in the proceeding; and (4) where the public interest lies."
CONCLUSION
For the foregoing reasons, the Court GRANTS Plaintiffs’ motion for a preliminary injunction and HEREBY ORDERS that the stecklings planted pursuant to the permits issued by Defendants shall be removed from the ground. After meeting and conferring with Defendants and Intervenor-Defendants, Plaintiffs shall submit a proposed injunction in accordance with this Order by no later than 4:00 p.m. on December 2, 2010. The proposed injunction shall specify who will be responsible for carrying out the Court’s order and ensuring that the stecklings are removed from the ground. The Court FURTHER ORDERS that this preliminary injunction shall not take effect until Tuesday, December 7, 2010 at 10:00 a.m.
IT IS SO ORDERED.
Notes
. The Court GRANTS the parties' request to file the confidential portions of their post-trial briefs under seal.
. Defendants’ and Intervenor-Defendants’ attempts to distinguish Sonoran and Colorado River Indian Tribes from the facts here are unpersuasive. They contend that unlike in Sonoran, the harms from the permits at issue are distinguishable from those caused by the later production and development cycles. However, this argument ignores this Court's finding that Defendants improperly segmented their consideration of the permits. The permits are one part of a larger project and it is the obligation of Defendants, and of the Court, to consider the entire project as a whole.
Defendants and Intervenor-Defendants also argue that the holding of Colorado River Indian Tribes should be disregarded because that court presumed irreparable harm. However, in the portion of the order cited to by Plaintiffs and relied on by this Court, the Central District Court considered the evidence of irreparable environmental injury and did not rely on the presumption.
. Of the 526 acres authorized for plantings pursuant to the permits at issue, 153.2 acres were planted before or on September 9, 2010 and an additional 4.1 acres were planted on September 10, 2010. (Declaration of Natalia A. Weinsetel (Docket No. 133), ¶¶ 6-7.) A total of 256.14 acres were planted pursuant to these permits. Thus, when Plaintiffs filed their lawsuit, only 29 percent of the authorized acreage and 59.8 percent of the actual acreage had been planted.
. At the evidentiary hearing, Dr. Sexton did estimate that use of the stecklings planted prior to August 13, 2010 may reduce his estimated damages by fifty percent.
. Moreover, Intervenor-Defendants improperly submitted evidence at the evidentiary hearing regarding harm they would allegedly suffer in their research efforts if the stecklings planted pursuant to the permits were destroyed. Intervenor-Defendants argue that such evidence should be considered by the Court as relevant to the balance of equities and public interest inquiries. However, the Court finds that Intervenor-Defendants’ introduction of this evidence is an improper attempt to avoid the impact of the Court’s prior finding and ruling regarding the limited purpose of the permits.
