IN RE: LOUISIANA CRAWFISH PRODUCERS
No. 16-30353
United States Court of Appeals, Fifth Circuit
March 28, 2017
850 F.3d 177
сonsolidated with: 16-30355, 16-30357, 16-30358, 16-30359, 16-30360, 16-30361, 16-30362, 16-30363, 16-30364, 16-30365, 16-30366, 16-30367, 16-30368, 16-30369, 16-30370, 16-30371, 16-30372, 16-30373, 16-30374, 16-30375, 16-30376, 16-30377, 16-30379, 16-30380, 16-30381, 16-30382, 16-30383, 16-30384, 16-30385, 16-30386, 16-30387, 16-30388, 16-30389, 16-30390, 16-30391, 16-30392, 16-30393, 16-30394, 16-30395, 16-30396, 16-30397, 16-30398, 16-30399, 16-30400, 16-30401, 16-30402, 16-30403, 16-30405, 16-30406, 16-30407, 16-30408, 16-30409, 16-30410, 16-30411, 16-30413, 16-30414, 16-30415, 16-30416, 16-30417, 16-30418, 16-30419, 16-30420, 16-30421, 16-30422, 16-30423, 16-30424, 16-30425, 16-30426, 16-30427, 16-30428, 16-30429, 16-30430, 16-30431, 16-30432, 16-30433, 16-30434, 16-30435, 16-30436, 16-30437, 16-30738, 16-30439, 16-30440, 16-30441, 16-30442, 16-30443, 16-30444, 16-30445, 16-30446, 16-30447, 16-30448, 16-30449
John L. Rivkin, George D. Kappus, Rivkin Radler, L.L.P., Uniondale, NY, Douglas Russell Holwadel, Trial Attorney, Adams Hoefer Holwadel, L.L.C., Celeste Darmstadter Elliott, Lugenbuhl, Wheaton, Peck, Rankin & Hubbard, David P. Salley, Stephen Porter Hall, Phelps Dunbar, L.L.P., Steven W. Usdin, Jamie Lauren Berger, Esq., Laurence D. LeSueur, Jr., Barrasso, Usdin, Kupperman, Freeman & Sarver, L.L.C., New Orleans, LA, Richard Dean McConnell, Samuel O‘Neill Lumpkin, Kean Miller, L.L.P., Baton Rouge, LA, Erik Neal Fain, William Thomas McCall, I, Esq., Guillory & McCall, L.L.C., Lake Charles, LA, for Defendants-Appellees.
Before REAVLEY, ELROD, and GRAVES, Circuit Judges.
JENNIFER WALKER ELROD, Circuit Judge:
The Louisiana Crawfish Producers Association-West and some of its commercial crawfishermen members sued a number of oil and gas companies and their insurers, claiming thе companies’ dredging activities caused damage to the fisheries the fishermen used. The district court granted summary judgment in favor of two of the companies, Florida Gas Transmission Co. and Southern Natural Gas Co., finding that Plaintiffs did not create a genuine issue of material fact as to whether the two companies’ activities constituted “dredging” so as to support maritime tort claims. Plaintiffs moved the district court to reconsider its grant of summary judgment and submitted new evidence for its review. The district court denied Plaintiffs’ motion for reconsideration as to both companies. Plaintiffs appeal both the district court‘s order granting summary judgment as well as the denial of their motion for reconsideration. We AFFIRM the district court‘s grant of summary judgment and denial of the motion for reconsideration with respect to Florida Gas Transmission Co. With respect to Southern Natural Gas Co., we REVERSE the district court‘s denial of Plaintiffs’ Rule 59(e) motion and VACATE its grant of summary judgment.
I.
Plaintiffs-Appellants are the Louisiana Crawfish Producers Association-West and over eighty individual crawfishermen who operate in the Atchafalaya Basin in Louisiana (collectively, Plaintiffs).1 They sued
After this case was removed from state court to the United States District Court for the Western District of Louisiana, various defendant companies filed a motion to dismiss, arguing that Plaintiffs failed to state a cause of action for maritime tort. The district court held that Plaintiffs had stated a maritime tort claim against Florida Gas, Southern Natural, and Dow Chemical Co. (Dow)2 by alleging that these defendants engaged in dredging activities.3 The district court dismissed Plaintiffs’ claims against all other defendant companies because Plaintiffs failed to allege these companies had engaged in dredging activities. Plaintiffs appealed the dismissаl of these defendants, but we affirmed. In re Louisiana Crawfish Producers, 772 F.3d 1026 (5th Cir. 2014). Our decision left Florida Gas, Southern Natural, and Dow, along with their insurers, as the remaining defendants.
Following our decision in Louisiana Crawfish, the remaining defendants and Plaintiffs conferred and prepared a case management order to establish litigation deadlines. At the time the parties created the case management order, Southern Natural‘s
3. Dispositive Motions:
a. Any party having dispositive motion(s) concerning legal issues and not requiring additional fact discovery shall file their motion(s) by July 31, 2015.
b. Oppositions to dispositive motions filed on or befоre July 31, 2015 shall be filed by August 31, 2015.
c. Any reply briefs shall be filed by September 15, 2015.
d. Within thirty (30) days from receipt of the transcript of the Southern Natural Gas Company deposition in this matter, Plaintiffs shall file any dispositive motions or supplemental oppositions necessitated by factual information learned during the deposition.
Southern Natural advised Plaintiffs that its earliest available deposition date was September 22, 2015. This date fell after the case management order‘s August 31 deadline for Plaintiffs to oppose dispositive motions. Plaintiffs nevertheless agreed to hold Southern Natural‘s deposition on September 22, 2015, anticipating they would be allowed to supplement their opposition to any dispositive motions with information learned at the deposition.
While the motion was pending before the district court, Southern Natural‘s corporate representative was deposed on September 22, 2015. During the deposition, Southern Natural‘s corporate representative testified that Southern Natural engaged in dredging in connection with the subject spoil banks.5 At the end of the deposition, Southern Natural‘s corporate representative reserved his right to read and sign the deposition transcript. At Plaintiffs’ request, the court reporter provided an uncertified copy of the transcript to Plaintiffs on October 26, 2016. However, because Southern Natural‘s corporate representative had not yet signed the transcript, an official transcript was not yet available. After the deposition took place, Plaintiffs also forwarded requests for admissions to all defendants, ahead of the agreed-upon discovery cutoff date. In its response, Southern Natural admitted to using dredge vessels in the construction of the canal at issue.6
On November 12, 2015, while Plaintiffs were still awaiting the official deposition transcript, the district court granted summary judgment in favor of Florida Gas and Southern Natural,7 finding that Plaintiffs did not provide evidence that created a genuine issue of material fact as to whether either of these defendants had engaged
Plaintiffs moved thе district court to reconsider its grant of summary judgment under
The district court dеnied Plaintiffs’ motion for reconsideration as to both Florida Gas and Southern Natural. Plaintiffs now appeal the district court‘s original order granting summary judgment as well as the district court‘s order denying reconsideration.
II.
We review grants of summary judgment de novo, applying the same standard as the district court. Templet v. HydroChem Inc., 367 F.3d 473, 477 (5th Cir. 2004). “The court shall grant summary judgment if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.”
Typically, we review a district court‘s decision on a
III.
We first address the district court‘s grant of summary judgment and subse-
In opposition to Florida Gas‘s summary judgment motion, Plaintiffs submitted Florida Gas‘s United States Army Corps of Engineers permit and permit application. Plaintiffs attached additional evidence to their motion for reconsideration, which included Southern Natural‘s corporate deposition testimony, a photograph purporting to show the canal in which Florida Gas‘s pipeline is placed, and a document entitled “Memorandum and Files.” Because the district court considered this additional evidence in denying the motion for reconsideration as to Flоrida Gas, this evidence became part of the summary judgment record. Templet, 367 F.3d at 477-79. Therefore, we review de novo whether summary judgment was appropriate.8 Id. at 477. We hold that the district court did not err in granting summary judgment in favor of Florida Gas and in subsequently denying Plaintiffs’ motion for reconsideration as to Florida Gas.
As a threshold matter, Plaintiffs argue that the district court erred by shifting the summary judgment burden to them because Florida Gas did not submit any evidence in support of its motion for summary judgment. However, Plaintiffs—not Florida Gas—bear the burden to present evidence creating a genuine issue of material fact to defeat summary judgment. Lindsey, 16 F.3d at 618 (“[W]here the nonmovant bears the burden of proof at trial, the movant may merely point to an absence of evidence, thus shifting to the nonmovant the burden of demonstrating by competent summary judgment proof that there is an issue of material fact warranting trial.“); Little v. Liquid Air Corp., 37 F.3d 1069, 1075, 1076 n.16 (5th Cir. 1994) (en banc) (noting that the party moving for summary judgment may simply assert the “absence of facts supporting the elements of the plaintiffs’ theory of recovery” and need not “negate the existence of facts“); see also 10A Charles Alan Wright & Arthur R. Miller, Federal Practice and Procedure § 2727.1 (4th ed. 2016). Plaintiffs bear the burden of proving their maritime tort claims at trial and therefore bear the burden of demonstrating that Florida Gas dredged the canals in question.
In its summary judgment motion, Florida Gas “point[ed] to” the lack of record evidence that it participated in dredging activities; therefore, Plaintiffs bоre the burden of “demonstrating by competent summary judgment proof” that there is a genuine issue of material fact as to whether Florida Gas dredged. See Lindsey, 16 F.3d at 618. The evidence submitted by Plaintiffs—either initially in opposition to summary judgment or later attached to their motion for reconsideration—was not sufficient to satisfy this burden.
Plaintiffs argue that Florida Gas‘s Army Corps of Engineers permit application creates a genuine issue of fact because “[e]very company that dredged canals in the Atchafalaya during this time period was required to obtain a permit like
Likewise, Florida Gas‘s permit itself does not create a fact issue as to whether Florida Gas dredged the canal in question. The only mention of dredging in Florida Gas‘s permit is in a list of boilerplate conditions that are not tied to any specific location. These conditions do not show that Florida Gas requested permission to dredge, that it received permission to dredge, or, most critically, that it actually dredged. There is nothing in Florida Gas‘s permit that defeats summary judgment.9
Plaintiffs contend that Southern Natural‘s corporate deposition testimony also creates a genuine issue of material fact as to Florida Gas‘s dredging. Specifically, Plaintiffs argue that Southern Natural‘s corporate representative testified that if a forty-foot wide canal remained in existence today, that could be an indication that the canal had been dredged. Plaintiffs’ reliance on this testimony is misplaced because the testimony does not specifically address Florida Gas‘s pipelines nor does it address whether Florida Gas had conducted any dredging. Further, Plaintiffs have not cited to anything in the record that indicates that Southern Natural‘s repre-sentative had any knowledge of Florida Gas‘s pipeline construction history.
Plaintiffs also submitted a photograph that they contend shows “an approximately forty-foot wide canal with adjacent spoil banks still in existence today in the fishery, in which FLORIDA‘s pipeline rests, today.” Plaintiffs contend that because this canal exists, Florida Gas, “or someone on its behalf ... dredged a canal.” However, as the district court noted, the photograph is of such poor quality that it is extremely difficult to determine what it depicts. Further, even if the photograph proves the existence of a canal, this does not serve as evidence that Florida Gаs dredged the canal. Indeed, Florida Gas has agreed all along that a canal exists; it only contends it did not dredge it.
The final piece of evidence offered by Plaintiffs to defeat summary judgment with respect to Florida Gas is a document entitled “Memorandum for the Files.” In this document, a Southern Natural employee purportedly writes that he consulted with an employee from Florida Gas to inquire about the credentials of a dredging contractor Florida Gas had used. Plaintiffs argue that given the proximity in time between when the memo was produced and when Florida Gas constructed its pipeline at issue in this case, “there is certainly a logical inference to be madе that the memo refers to FLORIDA‘s pipelines at issue in this case.” However, as the district court correctly recognized, this document cannot defeat summary judgment as to Florida Gas because the document does
In sum, none of Plaintiffs’ evidence creates a genuine issue of material fact as to whether Florida Gas participated in dredging activities. Little, 37 F.3d at 1075. Accordingly, we affirm the district court‘s grant of summary judgment in favor of Florida Gas. Having done so, we also affirm the denial of Plaintiffs’ motion for reconsidеration as to Florida Gas.
IV.
We turn next to the district court‘s grant of summary judgment in favor of Southern Natural and its subsequent denial of Plaintiffs’ motion for reconsideration as it pertained to Southern Natural. The district court granted summary judgment in favor of Southern Natural because Plaintiffs did not submit any evidence relating to Southern Natural‘s dredging activity in opposition to the summary judgment motion. The district court‘s initial grant of summary judgment in favor of Southern Natural was proper11—Southern Natural pointed “to an absence of evidence” supporting Plaintiffs’ claims, thus shifting to Plaintiffs “the burden of demonstrating by competent summary judgment proof that there is an issue of material fact warranting trial,” a burden Plaintiffs did not satisfy. Lindsey, 16 F.3d at 618.
Howevеr, we must also determine whether the district court‘s denial of reconsideration as to Southern Natural was proper in light of the evidence Plaintiffs submitted along with their motion for the district court to reconsider Southern Natural‘s dismissal. Unlike the district court‘s review of Plaintiffs’ new evidence pertaining to Florida Gas, the district court likely did not consider Plaintiffs’ new evidence pertaining to Southern Natural;12
The district court declined to reconsider its grant of summary judgment in favor of Southern Natural despite Plaintiffs providing three types of new evidence upon reconsideration: (1) Southern Natural‘s deposition transcript; (2) documentary evidence offered during Southern Natural‘s deposition; and (3) Southern Natural‘s responses to requests for admission. There are several factors the district court should have considered when determining whether to grant Plaintiffs’ motion for reconsideration in light of Plaintiffs’ new evidence: (1) the probative value of the evidence; (2) the reason for Plaintiffs’ default; (3) whether the evidence was available to Plaintiffs at the time of the summary judgment motion; and (4) potential prejudice to Southern Natural. See Luig, 817 F.3d at 906 (citing Templet, 367 F.3d at 478). These factors “are simply illustrative and not exhaustive.” Templet, 367 F.3d at 482. The district court concluded that all of the additional evidence that Plaintiffs asked the court to consider was “plainly available or easily discovered before summary judgment.” We disagree with the district court‘s analysis, particularly as it pertains to Southern Natural‘s deposition transcript and responses to requests for admissions.13
Southern Natural‘s deposition transcript and responses to requests for admissions are clearly probative. The district court granted summary judgment as to Southern Natural because Plaintiffs failed to present evidеnce that Southern Natural engaged in any dredging activities. In both its deposition and its responses to requests for admissions, Southern Natural candidly admitted that it dredged the canal in question.14 If the district court would have considered the contents of Southern Natural‘s
Plaintiffs’ reasons for their default also support granting their motion for reconsideration. First, as to Southern Natural‘s deposition transcript, Plaintiffs had not yet received an official copy of the transcript at the time the district court granted the motion for summary judgment. In evaluating Plaintiffs’ motion for reconsideration, the district court faulted Plaintiffs for failing to seek an extension of time to file supplemental briefing after Southern Natural‘s deposition took place and while Plaintiffs were waiting for an official copy of the transcript. However, no extension of time should have been necessary—Plaintiffs were justified in relying on the deadlines set forth in the case management order. The case management order allowed Plaintiffs thirty days from the time they received Southern Natural‘s deposition transcript to file any dispositive motions or any supplemental oppositions with the court. However, the district court entered its order granting summary judgment on November 12, 2015—five days before Plaintiffs received the offiсial deposition transcript. Plaintiffs submitted their motion for reconsideration along with the new evidence on November 25, 2015—a mere eight days after Plaintiffs received the official transcript and well within the thirty-day timeframe established by the case management order.16 Contrary to the district court‘s conclusion, Plaintiffs were not required to request an extension of time in order to submit the deposition transcript to the district court.
Second, as to Southern Natural‘s responses to requests for admissions, the district court faulted Plaintiffs for “failing to immediately move to supplement their opposition when they received [Southern Natural‘s] responses” three days before the district court‘s ruling. But thе district court failed to recognize that Plaintiffs, relying on the terms of the case management order, had no reason to believe the district court would grant the defendants’ motion while Plaintiffs were still awaiting Southern Natural‘s official deposition transcript.17 Plaintiffs therefore had no reason to “immediately” bring Southern Natural‘s responses to the district court‘s attention, but rather were justified in waiting for the
The third factor—whether the evidence was available to Plaintiffs at the time of the summary judgment motion—also favors Plaintiffs. Southern Natural contends that the case management order limits Plaintiffs’ rights to file supplemental materials to those materials that include “factual information learned during the deposition.” Southern Natural argues that none of the information Plaintiffs learned at the deposition or from Southern Natural‘s admissions was new—Plaintiffs had all of the deposition exhibits in their possession for several years before the summary judgment motion and these documents contained evidence that Southern Natural dredged.
We disagree. While it may be true that Plaintiffs had much of the relevant documentary evidence in their possession before Southern Natural moved for summary judgment, the admission made by Southern Natural that the company dredged the pipeline in question was indeed “information learned” by Plaintiffs. An admission by a party carries considerably more weight than inferences drawn from documentary evidence purporting to support a certain fact. Indeed, an admission by a party “is conclusively established” as fact in thе case.
Finally, Southern Natural will not be unfairly prejudiced by the district court‘s consideration of Southern Natural‘s own admissions and deposition testimony. This is not situation in which Southern Natural was unaware that the evidence at issue existed—the contents of both the deposition testimony and admissions were always known to Southern Natural and within its control. Further, had the district court utilized the case management order, this evidence would have been properly in front of the district court before it granted summary judgment in Southern Natural‘s favor. See Luig, 817 F.3d at 907 (holding that there was no prejudice where, had the district court allowed the moving party the proper opportunity to respond, “the evidence would have been properly in front of the district court“).
There are “two important judicial imperatives” relating to a motion for reconsideration: “(1) the need to bring litigation to an end; and (2) the need to render just decisions on the basis of all the facts.” Templet, 367 F.3d at 479 (emphasis add-
V.
Accordingly, we AFFIRM the district court‘s grant of summary judgment and denial of the motion for reconsideration with respect to Florida Gas. With respect to Southern Natural, we REVERSE the district court‘s denial of Plaintiffs’ Rule 59(e) motion and VACATE its grant of summary judgment. We REMAND for further proceedings consistent with this opinion.
Notes
Q: Let‘s talk about the Section 28 line. Do you know how that line was actually constructed?
A: I know that the line was permitted to be constructed by virtue of Southern Natural digging a flotation canal for waterborne equipment to lay the pipeline, and we know that was done in accordance with the permit.
