IN RE UNITED STATES,
Miscellaneous No. 806
United States Court of Appeals for the Federal Circuit
September 11, 2006
Judge Lawrence M. Baskir
Cletus P. Lyman, Lyman & Ash, of Philadelphia, Pennsylvania, argued for respondent.
On Petition for a Writ of Mandamus to the United States Court of Federal Claims
Before SCHALL, GAJARSA, and PROST, Circuit Judges.
SCHALL, Circuit Judge.
The United States petitions for a writ of mandamus under the All Writs Act,
This case involves a suit, purportedly under the Tucker Act,
Because the Court of Federal Claims should not have exercised jurisdiction over Mr. Scholl‘s suit and because the requirements for the writ of mandamus are met, we grant the government‘s petition for a writ of mandamus and direct the court to dismiss Mr. Scholl‘s complaint.
BACKGROUND
I.
In each federal judicial district, the bankruptcy judges in regular active service “constitute a unit of the district court . . . known as the bankruptcy court for that district.”
In 2000, the year in which Mr. Scholl was denied reappointment, sections 5.01(b) and (c) of Chapter 5 of the Judicial Conference regulations provided:
(b) The court of appeals will decide whether or not to reappoint the incumbent judge. In making this decision, the court of appeals shall take into consideration the professional and career status of the incumbent. Reappointment should not be denied unless the incumbent has failed to perform the duties of a bankruptcy judge according to the high standards of performance regularly met by United States bankruptcy judges.
(c) If the court of appeals determines by majority vote of the active judges of that court that the incumbent bankruptcy judge appears to merit reappointment, the court shall follow the procedures set forth in following sections 5.02 and 5.03.
Section 5.02 of the regulations provided that, if the court of appeals determined that an incumbent bankruptcy judge who was willing to be reappointed appeared to merit reappointment, the circuit executive of the court would cause to be published a public notice stating that the court was considering the judge for reappointment and inviting comments from members of the bar and the public. Section 5.03 of the regulations dealt with the process by which the court of appeals would decide on the reappointment after comments from the bar and public were reviewed.2
II.
On August 27, 1986, Mr. Scholl was appointed to the Bankruptcy Court for the Eastern District of Pennsylvania by the Court of Appeals for the Third Circuit. His fourteen-year term of appointment ended on August 26, 2000. In a letter addressed to the Chief Judge of the Third Circuit, dated December 29, 1999, Mr. Scholl expressed his “willingness to accept reappointment.” A preliminary vote of the active judges of the Third Circuit was held, and Mr. Scholl received enough votes to have his reappointment proceed through the public notice and comment process. The process involved notices in local newspapers seeking comments on the proposed reappointment, as well as 1,165 questionnaires sent to attorneys and bankruptcy trustees who had appeared before Mr. Scholl during his tenure as a judge. Approximately 300 of the questionnaires were returned to the court of appeals. Mr. Scholl was provided with copies of all comments and a detailed chart analyzing the responses to the questionnaires, to which he submitted a detailed response. Upon reviewing the comments, responses to the questionnaires, and Mr. Scholl‘s response, the active judges of the Third Circuit voted 11-to-1 against reappointment of Mr. Scholl. In a May 25, 2000 letter, Mr. Scholl was informed of the adverse vote, and was told that the process to appoint a replacement was being initiated. Mr. Scholl served as a bankruptcy judge until his term ended on August 26, 2000.
III.
After the expiration of his term, Mr. Scholl brought the present action in the Court of Federal Claims, purportedly under the Tucker Act. In Count I of his complaint, he alleges, that as a bankruptcy judge, he had a “property interest in continued employment that was taken in violation of the Due Process Clause of the Fifth Amendment to the U.S. Constitution.” Compl. ¶ 19. In Count II of his complaint, he alleges that the failure to reappoint him was in violation of the Judicial Conference regulations. Id. ¶ 37. Mr. Scholl asserts that
In due course, the government moved, pursuant to Rule 12(b)(1) of the Rules of the Court of Federal Claims, to have Mr. Scholl‘s suit dismissed for lack of jurisdiction.3 The government argued that the case should be dismissed for lack of subject matter jurisdiction under the Tucker Act because Mr. Scholl did not have a firm right to reappointment under a money mandating statute, regulation of an executive department, or Constitutional provision. The court rejected this contention in Scholl I, 54 Fed. Cl. at 643-44, 650. The court ruled that under the applicable Judicial Conference regulations, “Judge Scholl had a firm right to be reappointed as a [bankruptcy] judge, absent the showing that he had failed to perform according to high standards.” The government made a renewed motion to dismiss for lack of subject
Four months later, the government filed a “Motion to Certify Interlocutory Appeal and to Stay Further Proceedings.” In its motion, the government argued that whether Mr. Scholl states a claim when he seeks back pay for not being reappointed and whether the Court of Federal Claims possesses jurisdiction to review the Third Circuit‘s decision not to reappoint him are controlling questions of law, and that if the decision of the trial court is reversed with respect to either issue, dismissal of the suit would result. Interlocutory Appeal Mot. at 3-4, 9-11. The government further argued that whether a “firm right” to reappointment exists is an issue of first impression upon which there are substantial grounds for a difference of opinion. Id. at 6-8. Finally, the government asserted that the trial court should grant a discretionary stay because “discovery in this case likely would involve a sensitive and potentially burdensome inquiry into the basis for the decision of the Third Circuit judges . . . .” Id. at 11-12.
The Court of Federal Claims determined that the government‘s motion was untimely and that, in any event, the government had failed to satisfy the requirements for an interlocutory appeal. Consequently, the court denied certification for interlocutory appeal in Scholl v. United States, 68 Fed. Cl. 58 (2005) (”Scholl III“). Mr. Scholl then moved to compel the government‘s answer to an interrogatory seeking the name and nature of the testimony of each witness that the government intended to call at trial. The government‘s response opposed Mr. Scholl‘s motion to compel and also presented a “Renewed Motion for Certification of an Interlocutory Appeal.”
The Court of Federal Claims, inter alia, (i) granted the motion to compel the interrogatory answer insofar as it related to Count II of the complaint, (ii) directed the government to submit under seal to the court all documents in its privilege log for in camera review, (iii) issued an order to show cause why the Due Process claim in Count I should not be dismissed for lack of subject matter jurisdiction, and (iv) denied the Renewed Motion for Certification of an Interlocutory Appeal for the same reasons that it
DISCUSSION
I.
A writ of mandamus is a “‘drastic and extraordinary’ remedy ‘reserved for really extraordinary causes.‘” Cheney v. U.S. Dist. Court for the D.C., 542 U.S. 367, 380 (2004) (quoting Ex parte Fahey, 332 U.S. 258, 259-60 (1947)). The Supreme Court has explained that “[t]he traditional use of the writ in aid of appellate jurisdiction both at common law and in the federal courts has been to confine the court against which mandamus is sought to a lawful exercise of its prescribed jurisdiction.” Id. (quoting Roche v. Evaporated Milk Assn., 319 U.S. 21, 26 (1943)).
Three conditions must be satisfied before a court will issue a writ of mandamus. First, “the party seeking issuance of the writ must have no other adequate means to attain the relief he desires.” Id. (quoting Kerr v. U.S. Dist. Court for the N. Dist. of Cal., 426 U.S. 394, 403 (1976)). Second, “the petitioner must satisfy the burden of showing that his right to issuance of the writ is ‘clear and indisputable.‘” Cheney, 542 U.S. at 381 (quoting Kerr, 426 U.S. at 403). Third, “even if the first two prerequisites have been met, the issuing court, in the exercise of its discretion, must be satisfied that the writ is appropriate under the circumstances.” Id. (citing Kerr, 426 U.S. at 403).
II.
In its petition for mandamus, the government argues that the Court of Federal Claims “made an extraordinary claim of power to review” the Third Circuit‘s decision not to reappoint Mr. Scholl as a bankruptcy judge. Pet. at 1. The government asserts:
Congress vested that appointment power exclusively in the Courts of Appeals, and declined to provide would-be judicial officers with a private right of action in the [Court of Federal Claims]. Review of the Third Circuit‘s appointment decisions by an Article I court would raise serious Appointments Clause and separation-of-powers problems, which by themselves warrant immediate mandamus review.
Id. The government further asserts that “the [Court of Federal Claims] has now imposed an additional, concrete, and imminent harm on the Third Circuit, by requiring it to turn over for in camera review documents containing Circuit Judges’ internal deliberations and other privileged and confidential communications relating to the appointment decision at issue.” Id. In view of the trial court‘s denials of certification for interlocutory appeal and its order compelling discovery, the government concludes that no remedy other than mandamus is available to prevent “imminent, concrete, and irreparable harm” to the Third Circuit, the separation of powers, and the deliberative process. Id. at 1, 26-30.
Mr. Scholl responds that the government has “failed to meet the requirements of the drastic remedy of mandamus and show that the circumstances here are extraordinary.” Scholl‘s Answer to Pet. at 10. According to Mr. Scholl, “the trial court did not usurp power; its decisions are not clearly and indisputably incorrect; relief by appeal from final judgment is available . . . .” Id.
III.
In relevant part, the Tucker Act gives the Court of Federal Claims “jurisdiction to render judgment upon any claim against the United States founded either upon the Constitution, or any Act of Congress or any regulation of an executive department, . . . or for liquidated or unliquidated damages in cases not sounding in tort.”
A pay statute may serve as the basis for Tucker Act jurisdiction. For example, in James v. Caldera, 159 F.3d 573, 581 (Fed. Cir. 1998), we stated that
Mr. Scholl asserts two bases for Tucker Act jurisdiction in this case. First, he points to
IV.
Section 153(a) clearly is a money-mandating statute, for it provides that a bankruptcy judge “shall receive as full compensation for his services, a salary at an
Apparently recognizing the problem that he faces under section 153(a), Mr. Scholl argues that his “non-reappointment [was] a form of discharge.” Scholl‘s Supplemental Br. on Jurisdiction at 8. This argument is without merit. It is true that a claim of unlawful discharge may support Tucker Act jurisdiction. Testan, 424 U.S. at 402 (“[T]he employee is entitled to the emoluments of his position until he has been legally disqualified.“); James, 159 F.3d at 581 (“If an enlisted member of the Armed Services is wrongfully discharged before the end of his or her current term of enlistment, the right to pay conferred by § 204 continues and serves as the basis for Tucker Act jurisdiction.“). However, for two reasons this proposition does not help Mr. Scholl. First, he was not discharged during his 14-year term. He served until the end of his term and was fully paid for his services. Second, it is simply incorrect to say that non-reappointment is a form of discharge. Non-reappointment and discharge are two entirely different things.
V.
We turn now to the issue of whether the Judicial Conference regulations support Tucker Act jurisdiction in this case. As seen, the Court of Federal Claims held that
In James, we stated that “[c]onceivably, Tucker Act jurisdiction . . . could exist if, as matter of law, the regulations gave one in James‘s circumstances ‘a firm right’ to have his enlistment extended.” 159 F.3d at 582 (citing Austin v. United States, 206 Ct. Cl. 719, 724 (1975)). Pointing to James, Mr. Scholl argues that the Court of Federal Claims correctly held that section 5.01 of the Judicial Conference regulations provided the basis for Tucker Act jurisdiction in this case. He contends that he “had a property interest in his office of bankruptcy judge because he had a firm right of reappointment—the Third Circuit was bound to follow Judicial Conference regulations.” Scholl‘s Reply Supplemental Br. on Jurisdiction at 1. Mr. Scholl‘s contention is based on the premise that wrongful non-reappointment is a form of wrongful discharge. Scholl‘s Supplemental Br. on Jurisdiction at 12, 16. Mr. Scholl reasons that “[t]he circumstances involving plaintiff are similar to tenured professors at colleges and universities,” who serve under a series of one-year contracts and “have the right of renewal of their contracts upon expiration.” Id. at 17 (citing Perry v. Sindermann, 408 U.S. 593 (1972)).
The government disagrees. It argues that because section 5.01 did not give Mr. Scholl a firm right or protected interest in reappointment, it could not form the basis for Tucker Act jurisdiction over Mr. Scholl‘s suit. It contends that “[f]or the administrative convenience of the Courts of Appeals, the Judicial Conference has adopted procedural guidelines for making reappointment decisions. However, these guidelines do not create an enforceable right in reappointment.” Government‘s Supplemental Br. on
As seen above, section 303 of the Federal Courts Improvement Act of 1996 provides that “[w]hen filling vacancies, the court of appeals may consider reappointing incumbent bankruptcy judges under procedures prescribed by regulations issued by the Judicial Conference of the United States.” As in effect in 2000, section 5.01 of the Judicial Conference regulations stated that “the court of appeal shall take into consideration the professional and career status of the incumbent.” The regulations further stated that “[r]eappointment should not be denied unless the incumbent has failed to perform the duties of bankruptcy judge according to the high standards of performance regularly met by United States bankruptcy judges.”7
the Judicial Conference of the United States, March 14, 2001, available at http://www.uscourts.gov/judconf/01-mar.pdf.
Furthermore, assuming, arguendo, non-compliance with section 5.01, there is nothing in the language of the section that can be accurately characterized as money-mandating. See Mitchell, 463 U.S. at 216-17 (“[T]he claimant must demonstrate that the source of substantive law he relies upon ‘can fairly be interpreted as mandating compensation by the Federal Government for the damages sustained.‘” (quoting Testan, 424 U.S. at 400 (quoting Eastport S.S. Corp. v. United States, 178 Ct. Cl. 599, 607 (1967)))); Samish Indian Nation v. United States, 419 F.3d 1355, 1366 (Fed. Cir. 2005) (“[T]his statutory language and structure is not reasonably read as demonstrating congressional intent to establish a damage remedy under the [Indian Self-Determination and Education Assistance Act] for non-payment of the underlying benefits, based on the wrongful refusal to accord the Samish federal recognition between 1975 and 1996 (thereby precluding entry into a self-determination contract.“)). For the foregoing reasons, we hold that the Court of Federal Claims erred as a matter of law in holding that the Judicial Conference regulations support Tucker Act jurisdiction in this case.8
VI.
Having determined that the Court of Federal Claims erred in exercising jurisdiction in this case, we have no difficulty concluding that the government is entitled to issuance of a writ of mandamus. That is the case, we think, because the three
CONCLUSION
For the foregoing reasons, we grant the government‘s petition for a writ of mandamus. We hereby direct the Court of Federal Claims to dismiss Mr. Scholl‘s complaint.
COSTS
Each party shall bear its own costs.
PETITION FOR WRIT OF MANDAMUS IS GRANTED.
