MEMORANDUM OPINION AND ORDER
Thе plaintiffs in this action, former employees of the Town of North Hempstead, challenge the termination of their employment under 42 U.S.C. § 1983, 42 U.S.C. § 1985(3), 42 U.S.C. § 1988, 18 U.S.C. § 1961 et seq. (Racketeer Influenced and Corrupt Organizations, hereinafter “RICO”), and common law fraud. Plaintiffs bring this action against the Town of North Hemp-stead, the former town supervisor, members of the Town Council, other former town officials, the president of the town Civil Service Employees Association and the town supervisor’s political fund-raising organization and its treasurer. Plaintiffs assert that they were terminated from their positions as public employees solely on the basis of their political affiliation and in retaliation for their political activities. (Compl. ¶2.)
Defendants move to dismiss the Complaint. Fed.R.Civ.P. 12(b)(6), 12(c), and 9(b). Defendants Town of North Hempstead, Benjamin L. Zwirn, May Newburger, Anthony D’Urso, Gerard Cunningham, Richard Middlemark, William Biamonte, and Lawrence Nedelka (hereinafter collectively referred to as “Municipal” or “Town” defendants) move to dismiss the complaint for failure to state a claim upon which relief may be granted pursuant to Federal Rule of Civil Procedure (hereinafter “FRCP”) 12(b)(6) or in the alternative pursuant to FRCP 9(b) for failure to plead allegations of fraud with particularity. Defendant Paul Nehrich as “President of the Town of North Hempstead Civil Service Employees Association” (hereinafter “CSEA”) moves to dismiss all claims pursuant to FRCP 12(c). (CSEA Mem. of Law at 1.) Defendant “Friends of Ben Zwim” also moves to dismiss pursuant to FRCP 12(c). 1
BACKGROUND
Plaintiffs are former employees of the Town of North Hempstead who were dis
Thomas Rini was Administrative Assistant to the Superintendent of Highways. (Compl. ¶ 5.) Diane O’Donnell was a Traffic Technician I. (Compl. ¶ 6.) Richard E. Ryan was also a Traffic Technician I. (Compl. ¶ 7.) Edward Winrow was Administrative Assistant to the Commissioner of Community Services. (Compl. ¶ 8.) Barbara Laumenede was a Payroll Supervisor. (Compl. ¶ 9.) Lawrence Ragona was a Laborer II. (Compl. ¶ 10.) John Infranca was a Recreation Aide. (Compl. ¶ 11.) Helen Delaney Harris was an Investigator Aide. (Compl. ¶ 12.) John CiborowsH was a Laborer I. (Compl. ¶ 13.) Vincent Anthony was Chief Research Assistant. (Compl. ¶ 14.) Rhoda Becker was Commissioner of Planning and Research Development of the Town of North Hempstead. (Compl. ¶ 15.) Giacomo Ciccone was a Labor Supervisor I. (Compl. ¶ 16.) Charles O’Connor was a Multiple Residence Inspector I. (Compl. ¶ 17.) Eight of the plaintiffs were elected members of the Nassau County Republican Committee. (Compl. ¶¶ 5-17.) Plaintiffs further allege that defendants knew these plaintiffs to be active Republicans. (Compl. ¶ 18.)
Benjamin L. Zwirn was Supervisor of the Town of North Hempstead, and a member of the Town Board; he is a Democrat. (Compl. ¶ 19.) May Newburger, Anthony D’Urso, and Barbara Johnson were Town Board members and are Democrats. (Compl. ¶¶ 20-22.) Gerard Cunningham was a Republican Town Board member. (Compl. ¶ 23.) Richard Middlemark was the Executive Assistant to the Supervisor. (Compl. ¶24.) Paul Nehrich is an employee of the Town of North Hempstead (Compl. ¶25), and is Unit President of the North Hemp-stead Unit of Local 830, Civil Service Employees Association, Inc., Local 1000, AFSCME, AFL-CIO, which Unit on May 1, 1993, became part of Nassau County Municipal Employees Local 882 of the Civil Service Employees Association, Inc., Local 1000, AFSCME, AFL-CIO. (Answer of Defendant Nehrich, Individually, at ¶ 26.) William Biamonte was Administrative Assistant to the Supervisor and Director of Legislative Affairs. (Compl. ¶ 26.) Lawrence Nedelka is Commissioner of Finance. (Compl. ¶ 27.) The Town of North Hempstead (“Town”) is a municipal corporation according to the laws of the State of New York. (Compl. ¶ 28.) Friends of Ben Zwirn was and is an unincorporated political committee formed to promote the election of defendant Zwirn. (Compl. ¶ 29.) Alice Peckelis is Treasurer of Friends of Ben Zwirn. (Compl. ¶ 30.) Plaintiffs are suing all defendants in their official and individual capacities except Cunningham and Peckelis, who are being sued in their official capacities only. (Compl. ¶32.)
Plaintiffs allege that Zwirn and defendants Middlemark, Nedelka, and Biamonte created a budget for the Town as well as to
engagfe] in a scheme and conspiracy to defraud the Town, as well as plaintiffs and other Republicans and the Nassau County Civil Service Commission through the use of implied extortion, strong-armed tactics and other threats and harassing measures for the purpose of demonstrating to Town employees who were members of the Republican Party that in the event they did not disavow their loyalties to the Republican Party and/or switch their registration from Republican to another, they would be terminated.
(Compl. ¶44.) Plaintiffs claim that defendants’ true motivation in terminating them
was so that the defendants would be free to hire individuals associated with them or the Democratic Party and who contributed to them or the Democratic Party without regard to the competence of said individuals and without regard to the various Civil Service laws, regulations and other requirements for hiring of Town employees.
(Compl. ¶ 45.) It is alleged that Zwirn “and/or his agents” told Republican employees at various Town forums that they would be terminated, as Zwirn did not intend to continue to employ individuals who had worked under the previous Republican Town administration. (Compl. ¶ 46.) Plaintiffs claim they had “implied knowledge ... that all active Republican Town employees were being targeted for termination.” (Compl. ¶ 47.)
DISCUSSION
On a motion to dismiss, the factual allegations of the complaint are accepted as true.
Leatherman, v. Tarrant County Narcotics Intelligence & Coordination,—U.S.-,-,
The complaint seeks compensatory and punitive damages, attorney’s fees, and injunctive relief against the defendants based upon violations of the Racketeer Influenced and Corrupt Organizations Act (“RICO”), and 42 U.S.C. §§ 1983, 1985(3) through violations of the plaintiffs First, Fourth, Fifth, and Ninth Amendment rights, and common-law fraud.
I. SECTION 1983 CLAIMS
Plaintiffs’ fourth and fifth causes of action allege violations of 42 U.S.C. § 1983 for the loss of their employment on the basis of their political affiliation. (Compl. ¶¶ 112, 120.) The fourth cause of action alleges violations of the First and Fourteenth Amendments; the fifth cause of action alleges violations of the Fourth, Fifth, and Ninth amendments. (Compl. ¶¶ 112,120.) Each defendant moves to dismiss the § 1983 claims for failure to state a claim.
A MUNICIPAL DEFENDANTS’ LEGISLATIVE IMMUNITY
Each Town Board member, including Zwirn, is named in their official and individual capacity except Cunningham, who is named only in his official capacity. The Complaint alleges that plaintiffs’ employment was terminated by implementation of the 1992 Town budget. (Compl. ¶¶ 45, 49.) The Town Board members move to dismiss the complaint against them in all respects, asserting legislative immunity from suit. (Municipal Defendants’ Memorandum of Law in Support of Motion to Dismiss, hereinafter “Mun.Defs.’ Mem. of Law” at 21.)
The common-law doctrine of official immunity governs civil liability for public servants acting in their legislative capacity.
Supreme Court of Virginia v. Consumers Union of United States, Inc.,
1. Official-Capacity Claims
The Municipal defendants assert that the clаims should be dismissed against them in all respects on the basis of their legislative immunity. (Mun.Defs.’ Mem. of Law at 21.) Granting such a motion would presumably include the claims made against them in their official-capacity. However, a public officer named as a defendant in his/her official-capacity in a § 1983 suit is not entitled to assert personal immunity defenses, but only the immunities available to the governmental entity.
Hafer v. Melo,
Here the claimed injury is allegedly the result of a policy of the municipality, i.e., the passage of a budget reduction plan. (Compl. ¶ 119.) Therefore, claims against its officers in their official capacities are in reality claims against the Town of North Hemp-stead itself.
See Graham,
Similarly, the official capacity claims against each of the appointed Town officials must be dismissed. This includes official
2. Individual-Capacity Claims
The Municipal defendants also move to dismiss all claims against them in their individual capacity based upon legislative immunity. (Mun.Defs.Mem. of Law at 21.) These defendants maintain that because the complained of actions involve the approval of resolutions effecting budget cuts, they are “absolutely immune from suit.” (Id.)
a. Individual Board Members
Legislative immunity protects a legislator from being sued under § 1983 in his/her individual capacity for legitimate legislative acts.
Tenney v. Brandhove,
Here, the plaintiffs claim that their positions were eliminated by resolutions passed by a majority of the Town Board (Compl. ¶ 49.) Defendants argue that such budgeting decisions are properly within the legislative function of a Town Board under New York Town Law §§ 51, 60, 64, 106-109 (McKinney 1987). The plaintiffs, relying on Forrester, argue that employment decisions are administrative, not legislative, and therefore not entitled to immunity. (Plaintiffs’ Memorandum of Law in Opposition to Motion to Dismiss, hereinafter “Pls.Mem. in Opp’n” at 23.) In the alternative, plaintiffs argue it is premature to determine the nature of the exercise here. (Id.)
The alleged facts establish that budget lines for many civil service positions of the Town were eliminated by the vote of the Town Board. (Compl. ¶ 49.) As a result of this official act, the plaintiffs’ employment was terminated.
2
The decision to hire or fire any particular employee within a position is arguably administrative.
See Visser v. Magnarelli,
The plaintiffs argue that immunity should be unavailable, notwithstanding that the positions were eliminated, because the plaintiffs lost their jobs and their functions were assumed by employees in remaining positions. (Pls.Mem. in Opp’n at 23.) This argument is of no avail. In
Rateree,
the Seventh Circuit found the defendant City Commissioners absolutely immune from suit for voting to eliminate funding for the plaintiffs’ positions, notwithstanding the plaintiffs’ claim that they were first harassed and then discharged based on their political views rather than budgetary considerations.
[bjecause government officials are engaged by definition in governing, their decision will often have adverse effects on other persons. When officials are threatened with personal liability for acts taken pursuant to their official duties, they may well be induced to act with an excess of caution or otherwise skew their decisions in ways that result in less than full fidelity to the objective and independent criteria that ought to guide their conduct.
Forrester,
Therefore, this Court finds that plaintiffs’ § 1983 cause of action against the Town Board members personally, must be dismissed. The Town Board members acted within the scope of their legitimate legislative capacity in voting to eliminate the funding for plaintiffs’ positions. Even assuming an illegitimate motive in voting for the budget resolutions, the Board members are entitled to personal immunity for these legislative acts.
See e.g. Rateree,
b. Zwirn as Town Supervisor
Also relying on
Forrester,
plaintiffs assert that Zwirn, as chief executive of the Town, is not a legislator and therefore not entitled to assert legislative immunity. (Pls.Mem. in Opp’n at 24.) Presumably plaintiffs are analogizing the dictum of
Forrester
that state executive officials are not entitled to absolute immunity for their official acts to the same extent as the President of the United States.
See
Although defendant Zwirn is chief executive of the Town, he has legislative responsibilities in his dual capacity as a Town Board member. N.Y.Town Law §§ 60, 63 (McKinney 1987);
see also Aitchison v. Raffiani,
The Court holds that Middlemark, Biamonte, and Nedelka are also extended legislative immunity in their individual capacities for the § 1983 claims. As noted above, these three individuals are named in the complaint as a result of their capacity as high-level advisors to the supervisor and Board with respect to the development of the planned elimination of the plaintiffs’ positions by Board resolution. (Compl. ¶¶57, 58.)
The official immunity available to legislators is extended to legislative aides “insofar as the conduct of the [aide] would be a protected legislative act if performed by the Member himself.”
Gravel v. United States,
Although the Municipal defendants, which include these three particular defendants (Mun.Defs.Mem. of Law at 2), do not explicitly assert the legislative privilege with respect to Middlemark, Biamonte, and Nedelka, it nevertheless follows from the assertion of the argument in favor of the individual Board members (Mun.Defs.Mem. of Law at 21), that for the reasons stated, the aides are entitled to legislative immunity in that the complaint questions their conduct in the course of their duties in assisting to develop this legislation. Therefore the individual-capacity § 1983 claims against Middlemark, Biamonte, and Nedelka must be dismissed.
B. SUFFICIENCY OF THE § 1983 CLAIMS
Plaintiffs allege that the elimination of their positions, resulting in termination of their employment, was solely based on their political affiliation. ■ (Compl. ¶ 2.) Plaintiffs assert that these terminations violated their rights under the First and Fourteеnth Amendments (Compl. ¶ 112), and the Fourth, Fifth, and Ninth Amendments. (Compl. ¶ 120.) The defendants argue that the First Amendment § 1983 causes of action should be dismissed for failure to state a claim because the defendants were not “fired” but that their positions were merely eliminated by a policy-based, large-scale budget cut, and therefore no constitutional claim can arise. (Mun.Defs.Mem. of Law at 16.) As to the other constitutional claims, the defendants argue that they are simply “makeweight.” (Id. at 17.)
1. First Amendment Claim a. Town of North Hempstead
Plaintiffs argue that these budget cut job eliminations were conceived in a manner which violated their First and Fourteenth Amendment rights under the trilogy of
Elrod v. Burns,
The Municipal Defendants assert that the § 1983 causes of action should be dismissed because the above noted cases do not apply to the facts here. (Mun.Defs.Mem. of Law at 15.) Defendants attempt to distinguish each of the above referenced cases and the instant circumstances based on the fact that the
Elrod
trilogy involves political patronage employment decisions regarding existing positions, whereas here the positions were eliminated altogether by budget resolutions.
(Id.
at 16.) The defendants assert that the plaintiffs’ First Amendment claim is thus one of first impression and does not fall within the doctrine first articulated in
Elrod.
(Mun.Defs.Mem. of Law at 14.) The Municipal defendants argue that no First Amend
The United States Court of Appeals for the Second Circuit has previously recognized a § 1983 cause of action where a public employee asserted that his position was eliminated by legislative action in retaliation for exercising his First Amendment rights.
Vezzetti v. Pellegrini,
The defendants’ attempt to distinguish
Elrod
and its progeny on the basis of a budget induced abolishment of the positions, as opposed to dismissal, fails to acknowledge the thrust of the plaintiffs’ allegation; that the particular positions selected for elimination were selected based upon a bad faith motive to retaliate against the individuals holding those positions for their notable support for the prior political administration. This allegation brings the complaint within
Elrod
and its progeny.
See Vezzetti,
Moreover, actionable political patronage decisions are not contingent upon the allega
The key to plaintiffs’ position is the allegation that the defendants have attempted to shield their improperly motivated employment decision by pretexually formalizing it within budget resolutions. (Compl. ¶ 45.) The plaintiffs allege that the defendants created a list of active Republicans, from which the plaintiffs’ positions were selected for budget elimination. (Compl. ¶¶ 60, 66.) Plaintiffs assert that the only basis for selecting their particular positions for elimination is that the individuals holding those positions were known to be especially active Republican supporters. (Compl. ¶ 66.) The defendants assert that plaintiffs’ First Amendment rights were not infringed because elimination of their positions for budgetary reasons is a permissible policy decision. Even if the plaintiffs have no “right” to their positions, and “even though the government may deny [plaintiffs] the benefit for any number of reasons, there are some reasons upon which the government may not rely.”
Elrod,
Moreover, even assuming that the defendants are correct in arguing that to state a claim the plaintiffs must allege that their positions were filled by members of the opposing party, the plaintiffs still allege a valid claim on the basis of political retaliation. Retaliatory state action aimed at a person’s exercise of their First Amendment rights is actionable under § 1983.
See Mt. Healthy City School Dist. Bd. of Educ. v. Doyle,
The plaintiffs allege they were approached by representatives of the Zwim administration and offered a choice to either renounce their support for the Republican party or lose their jobs. (Compl. ¶¶ 69-71.) In retaliation for their refusal to renounce their Republican support, their jobs were eliminated. The plaintiffs’ allegation infers that had they openly renounced their support for the Republican Party their particular positions would not have been subjected to the budget cuts. Therefore, the plaintiffs have alleged a
prima facie
claim against the Town under § 1983 for retaliation for their exercise of First Amendment rights.
See Elrod
b. Non-Town Defendants
Plaintiffs broadly allege their First Amendment § 1983 cause of action against all defendants, including those not
i. Nehrich and the CSEA
Here plaintiffs claim the Municipal defendants were able to single-out their positions based on information provided about the plaintiffs’ activity on behalf of the opposition political party. Plaintiffs allege that Nehrich provided lists of town employees and identified which town employees were politically active. (Compl. at ¶¶ 59-60, 64-66.) This allegation states sufficient facts to sustain the § 1983 cause of action against Nehrich.
See Spear,
The plaintiffs also name Nehrich as a defendant in his capacity as President of the Town of North Hempstead Civil Service Employees Association (hereinafter “CSEA”). However, the plaintiffs fail to name the CSEA as a defendant. The CSEA has moved to dismiss the complaint on the basis that none of Nehrich’s alleged acts are said to be performed in his official capacity, and therefore cannot be attributеd to the CSEA. (CSEA Mem.Law at 2.) Presumably the intent of naming Nehrich as a union official is to obtain relief against the CSEA. However, the Court finds that there is no allegation in the complaint which would indicate that Nehrich was acting within the scope of his capacity as a union official, or that his alleged acts were ratified or even known to the CSEA.
Therefore, the issue is whether the CSEA can be held liable for Nehrich’s acts by a theory of agency or respondeat superior. The plaintiffs do not indicate what legal entity they seek relief from; whether the CSEA local or the national parent, whether an unincorporated association or a corporation.
If the entity from which plaintiffs seek relief is an unincorporated association, plaintiffs must allege facts that demonstrate that Nehrich had apparent authority for his acts.
Jund v. Town of Hempstead,
The CSEA national has answered that they are a not-for-profit corporation. (CSEA Mem. of Law at 2.) The CSEA, relying on
Rojas v. Alexander’s Dept. Store, Inc.,
Nevertheless, plaintiffs contend that they were injured by the improper basis upon which their positions were selected for elimination. Thus any § 1983 liability for the CSEA would require a showing that the CSEA “conspired” with the Municipal defendants to violate the plaintiffs’ First Amendment rights. On the facts alleged, no such inference can be drawn, as the plaintiffs have failed to plead that the principal (CSEA) is responsible for the acts of its purported agent (Nehrich). Instead, plaintiffs have alleged only that Nehrich individually conspired with the Town to violate the plaintiffs’ constitutional rights.
Therefore, the civil rights claims against Nehrich in his capacity as “President of the Town of North Hempstead CSEA” fails to state a claim and is dismissed. Plaintiffs have failed to name the appropriate entity, and have failed to state any facts alleging liability of CSEA whether by Nehrich’s apparent authority with acts on behalf of the union, or by demonstrating acts in furtherance of an impermissible CSEA policy. Moreover, the fundamental purpose of a public employer labor union is to collectively bargain on behalf of civil service employees and not to contribute to their discharge from employment. Therefore, this Court views it as highly unlikely that the plaintiffs can show that Nehrich’s alleged acts were in furtherance of a CSEA policy to terminate civil service employees on the basis of political patronage, or that the CSEA held Nehrich out as having the authority to do such acts and that such acts were on behalf of the CSEA. Nevertheless, although this Court is doubtful of plaintiffs’ ability to support an amended pleading, plaintiffs are granted leave to file an amended complaint which names the proper CSEA defendant and plead sufficient allegations to demonstrate that the entity, in whatever legal form, is liable for the constitutional torts of Nehrich.
ii. Friends of Ben Zwirn and Peckelis
Similarly, plaintiffs’ civil rights claims include the political committee Friends of Ben Zwirn (“Friends”), and its treasurer Alice Peckelis. (Compl. ¶¶29, 31.) To state a claim against a private entity under § 1983, the plaintiff must allege that the private party willfully conspires with government officials under color of state law to deprive the plaintiff of a constitutionally protected right.
See Tower v. Glover,
The complaint contains one paragraph which identifies Friends or Peckelis as a participant in these alleged acts. (Compl. at ¶89.) The plaintiffs allege that Friends
served as a repository of campaign support, including financial support ... which financial contributions manifested to defendants the TOWN employees who were now supporting defendants and the administration of defendant, Zwirn.
(Id.)
This allegation is wholly insufficient to establish the liability of Friends or Peckelis under § 1983.
Spear,
Therefore, the fourth cause of action, based upon a First Amendment § 1983 claim, is sustained against the Town and Nehrich in his individual capacity. The First Amendment § 1983 cause of action is dismissed against all other defendants, officially and individually. The plaintiffs are granted leave to replead this cause of action against the proper CSEA entity.
2. Fourth, Fifth, and Ninth Amendment Claims
The plaintiffs’ fifth cause of action alleges that the elimination of their positions violated the Fourth, Fifth, and Ninth Amendments under § 1983. (Compl. ¶ 120.) The plaintiffs’ fifth cause of action must be dismissed with prejudice, as the allegations can under no circumstances establish a violation of these provisions of the Bill of Rights.
a. Fourth Amendment
Although the Fourth Amendment is applicable to the states as incorporated through the Fourteenth Amendment,
Mapp v. Ohio,
Here the plaintiffs do not allege a search or seizure, or any conduct which implicates the Fourth Amendment. Therefore the рlaintiffs Fourth Amendment allegation does not give rise to a § 1983 cause of action.
See e.g. Sheppard v. Beerman,
b. Fifth Amendment
The plaintiffs also allege a Fifth Amendment due process violation. (Compl. ¶¶ 120, 121.) The plaintiffs’ right to due process of law with respect to action by a state or any of its subdivisions is derived from the Fourteenth Amendment. The Fifth Amendment in and of itself pertains only to actions of the federal government. As the plaintiffs have not alleged any acts by the federal government, or an act by any defendant associated with the federal government, the plaintiffs’ Fifth Amendment § 1983 claim must be stricken.
See e.g., Heath v. Highland Park Sch. Dish,
c. Ninth Amendment
The plaintiffs eonclusorily allege a Ninth Amendment violation as an additional basis for a § 1983 claim. (Compl. at ¶ 120). This claim must also be stricken. Section 1983 claims must be based upon a specific constitutional guarantee.
See Paul v. Davis,
Therefore, the fifth cause of action, which is based upon the Fourth, Fifth, and Ninth Amendments is dismissed with prejudice.
II. SECTION 1985 CLAIMS
In the sixth count of the complaint, plaintiffs claim that the defendants conspired to violate their civil rights under 42 U.S.C. § 1985(3). (Compl. at ¶¶ 124-30.) Plaintiffs maintain that as members of the Republican Party they are a protected class. (Compl. ¶ 125.) The defendants move to dismiss upon the ground that members of the Republican party do not comprise a protected class for the purposes of § 1985 liability. (Mun. Defs.Mem. of Law at 19); (Friends Mem. of Law at 9.) The Municipal defendants also move to dismiss the § 1985(3) claims against them in their individual capacity on the grounds of immunity. (Mun.Def.Mem. of Law at 18.)
To plead a violation of 42 U.S.C. § 1985(3) the plaintiffs must allege four elements: 1) a conspiracy; 2) for the purpose of depriving, either directly or indirectly, any person or class of persons of equal protection of the laws, or of equal privileges and immunities under the law; and 3) an act in furtherance of the conspiracy; 4) whereby a person is either injured in his person or property or deprived of any right or privilege of a citizen of the United States.
United Brotherhood of Carpenters v. Scott,
A PROTECTED CLASS
The defendants’ challenge to the plaintiffs’ status as a class under the second required element of
Scott
and
Griffin
squarely raises the question of the viability of the Second Circuit’s decision in
Keating v. Carey,
In
Scott,
the Supreme Court held that nonunion employees were not a protected class, and continued the narrow interpretation of protected classes under § 1985 which began in
Scott,
In
Keating,
the Second Circuit reviewed the legislative and historical context of the enactment of § 1985(3), and noted that the Ku Klux Klan was not merely a racist organization but also a political organization intent on intimidating others, particularly northern Republicans (“carpetbaggers”).
In Scott, the Court stated, in dicta, we find difficult the question of whether § 1985(3) provided a remedy for every concerted effort by one political group to nullify the influence of or do other injury to a competing group by use of otherwise unlawful means. To accede to that view would go far toward making the federal courts ... the monitors of campaign tactics in both state and federal elections, a role that the courts should not be quick to assume.
B. SUFFICIENCY OF THE § 1985 CLAIMS
The plaintiffs claim that the Municipal defendants acted in concert with Nehrieh and Friends to deprive them of employment on the basis of their political affiliation and in an effort to intimidate or chill the remaining employees’ opposition political activity. (Compl. ¶¶ 2, 45, 65.)
1. Municipal Defendants
The Municipal defendants assert that the § 1985 claims must fail with resрect to them because an “agreement between the Town and its own officers and employees cannot constitute a conspiracy.” (Mun. Defs.Mem. of Law at 21.) In essence, they invoke the “intracorporate conspiracy” doctrine which is premised on the concept that a corporation generally cannot conspire with its employees or agents as all are considered a single legal entity.
See Girard v. 91th St. & Fifth Ave. Corp.,
Here it is alleged that the Municipal defendants conspired to develop and approve a budget reduction plan which еliminated plaintiffs’ positions. Regardless of the motive or intent supporting the legislation, these are acts within the scope of their official duties. Therefore, the § 1985 claims against the Municipal defendants in their individual capacities must be dismissed, as a matter of law, as the allegation that their acts in furtherance of the conspiracy were solely within the scope of their duties as officials or employees of the Town.
See Davidson,
The intracorporate immunity doctrine is similar to the rationale under which the Municipal defendants are entitled to assert legislative immunity under a § 1983 claim. The basis thereof is that the acts by these defendants which allegedly infringed the plaintiffs constitutionally protected rights, are within the scope of their official duties. Some courts have simply applied the doctrine of official legislative immunity to individual capacity claims against local legislators under 42 U.S.C. § 1985.
See e.g., Aitchison v. Raffiani,
Notwithstanding the dismissal of the § 1985(3) individual capacity claims against the Municipal defendants, the allegations that the officials and emplоyees of the Town, as representatives of the Town (official capacity claims), conspired with Nehrich and Friends to develop and enact a policy which officially deprived plaintiffs of their first amendment rights, does sufficiently allege a § 1985(3) cause of action against the Town.
See Edmonds v. Dillin,
2. Nehrich and the CSEA
As to Nehrich, the plaintiffs allege that he provided the Town officials with the information about which Town employees were active in the Republican party. (Compl. ¶¶ 59-60.) Plaintiffs further allege that Nehrich personally met with these officials to select which positions would be eliminated based upon the political activities of the individual holding that position. (Compl. ¶ 61.) It is important to note that the intracorporate immunity doctrine does not apply to Nehrich although plaintiffs state that Nehrieh is an employee of the Town. (Compl. at ¶ 25.) None of the allegations regarding Nehrich pertain to his duties as an employee of the Town. For example, Nehrich’s alleged presence at the policy meetings had no relation to his duties as an employee of the Town. This is unlike Middlemark, Biamonte, and Nedelka, all of whom were policymaking officials whose presence at a meeting to develop a proposed budget plan would be within the normal course of their duties as Town employees. Therefore, plaintiffs adequately allege Nеhrich’s involvement, as an individual, in a conspiracy with the Town under § 1985.
However, with respect to the claim against Nehrich as president of the CSEA local, there is no allegation whatsoever which indicates a basis to assert that Nehrich’s involvement in this alleged conspiracy was done in his official capacity as a representative of the CSEA.
See Scott,
3. Friends of Ben Zwim and Peckelis
With respect to the § 1985 claim against Friends and Peckelis the plaintiffs fail to allege any affirmative act in furtherance of this alleged conspiracy which would support the claim. Although the plaintiffs allege that Friends, by Peckelis, was a “repository of campaign support” (Compl. at ¶ 89), the Court finds in this statement nothing more than a description of the legitimate fundamental purpose of this election campaign committee. This conelusory statement does not suffice as an affirmative act, nor is there any allegation of a causal connection between this function of Friends and the furtherance of the alleged conspiracy. Therefore, the § 1985 against Friends and Peckelis are dismissed with prejudice. See
Scott,
Therefore, the § 1985(3) conspiracy claim of the sixth count of the complaint is sustained against the Town оf North Hempstead and Nehrich, in his individual capacity. The § 1985(3) claim against all other defendants is dismissed with prejudice except that the plaintiffs are granted leave to replead against the proper CSEA entity. The Court notes that at this stage, the remaining conspiracy Civil Rights claims under 42 U.S.C. §§ 1983 and 1985(3) are duplicative with respect to the defendants named and the underlying constitutional violations. Although the Court makes no ruling at this time, should discovery reveal no distinction between the claims, it may be appropriate to dismiss or withdraw one of the claims.
See Ferran v. Town of Nassau,
III. RICO CAUSES OF ACTION
The plaintiffs allege three distinct RICO causes of action, under 18 U.S.C. § 1962(b), (c) and (d), based upon predicate acts involving mail fraud under 18 U.S.C. § 1341 (Compl. at ¶ 95) and wire fraud under 18
undermining and weakening the Republican Party in the TOWN, by terminating through illegal means, TOWN employees who are active Republican Party members solely because of their political affiliation and in coercing and intimidating Republican TOWN employees into disavowing their loyalties or participation in Republican political matters.
(Compl. at ¶ 75.) The second cause of action alleges an enterprise under 18 U.S.C. § 1962(b) for the purpose of “acquir[ing] dominant interest and control of the TOWN.” (Compl. at ¶ 105.) The third RICO cause of action conclusorily alleges under 18 U.S.C. § 1962(c) that the defendants all conducted an enterprise which engaged in a pattern of racketeering activity. (Compl. at ¶ 108.)
A civil RICO plaintiff must show (1) conduct (2) of an enterprise (3) through a pattern (4) of racketеering activity.
Sedima, S.P.R.L. v. Imrex Co., Inc.,
A MUNICIPALITY AS AN “ENTERPRISE”
Plaintiffs allege that the “enterprise” comprised the Town, members of the Town board, and other Town employees. (Compl. at ¶75.) The complaint also conclusorily states that all other defendants are “associated-in-fact.” (Compl. at ¶ 74.) The Municipal defendants move to dismiss the RICO claims against the Town asserting that it is incapable of forming the criminal intent essential to the predicate acts. (Mun.Def.Mem. of Law at 13-14.) This Court finds the defendants’ position persuasive and thus dismisses the RICO causes of action against the Town and the Town employees in their official capacities.
Municipal entities may not be held civilly liable under RICO.
See Nu-Life Constr. Corp. v. Board of Educ.,
Moreover,
mens rea
on the part of the agents of the municipality may not be imputed to the municipality through the doctrine of
respondeat superior. See Landry v. Air Line Pilots Ass’n Intern. AFL-CIO,
Although this Court need not reach the issue, other courts have dismissed similar claims upon the ground that the mandatory treble damages provisions of RICO cannot properly be imposed upon municipalities.
See Genty v. Resolution Trust Corp.,
B. INDIVIDUAL CAPACITY IMMUNITY
The RICO causes of action are based upon the acts of these governmental officials which impacted the plaintiffs. Therefore the RICO claim rests upon the question of whether the enterprise concept can be sustained against the Town employees in their individual capacities. The Municipal defendants cite to
Thillens, Inc. v. Community Currency Exch. Ass’n of Illinois, Inc.,
In
Thillens,
state legislators were accused of improperly enacting regulations as part of a corrupt conspiracy to injure the plaintiffs business.
Establishing the defendants’ role in the conspiracy naturally would require investigation into activities cloaked with immunity, including study of staff activities and motivations for acts of the defendants andtheir staffs geared toward enacting the challenged laws. Official immunity was designed to prevent a plaintiff from using a civil action to peer so deeply into the legislative process.
Plaintiffs’ complaint also alleges wrongdoing directly involving purely legislative functions. As part of the general fact basis of the complaint, the plaintiffs assert that the defendants
scheme and conspiracy to defraud was implemented under the guise of large-scale budget cuts and a desire to downsize government, when, in fact, said intention was false and fraudulent and served as a means to camouflage the true intentions of defendants which was to eliminate TOWN employees who they felt were previously employed under Republican administrations, and who were active members of the Republican Party ...
(Compl. ¶ 45.)
That said conduct on behalf of the defendants ... was done so without regard to the effect said terminations would have on the continued operation of the services in the TOWN and without regard to the impact it would have on the long-term economic condition of the TOWN by virtue of the additional cost as a result of the separation of these employees of the TOWN
(Compl. ¶ 54.)
That all of said defendants participated in secret meetings by and among one another for the purpose of conspiring to defraud the said plaintiffs and in general, members of the public into believing that there existed a fiscal crisis in the TOWN as the ostensible reason for terminating in large scale numbers TOWN employees who were active members of the Republican Party.
(Compl. ¶ 86.)
That the TOWN served as the vehicle by which defendant, ZWIRN, and the other defendants named herein were able to carry out and implement their plan and scheme under the guise of lawful governmental action ...
(Compl. ¶ 88.)
In addition, the pleadings which specify RICO predicate acts directly implicate the defendants’ official functions. For example,
That it was part of the pattern of racketeering activity that between June, 1991, and June, 1992, that the defendants and their “co-conspirators” and agents unlawfully, wilfully and knowingly devised and intended to devise a scheme and artifice to terminate TOWN employees ... [u]nder the guise of TOWN-wide fiscal crisis ...
(Compl. ¶ 91.)
That from in or about Decembеr, 1991 through May, 1992, defendants and their co-conspirators and agents unlawfully ... for purposes of executing ... the scheme and artifice fraud ... insofar as camouflaging their true intentions to terminate TOWN employees who were active Republicans under the guise of economic crisis and hardship did place ... and did cause to be delivered by mail [reports notifying the civil service commission of the terminations]
(Compl. If 95.) The plaintiffs’ charges thus broadly implicate the defendants’ acts committed within the legislative process regarding a legitimate legislative issue.
See Thillens,
As discussed above in the context of 42 U.S.C. § 1983, the common-law doctrine of legislative immunity has been extended to regional legislators,
Lake Country Estates, Inc. v. Tahoe Regional Planning Agency,
The claim of an unworthy purpose does not destroy the privilege. Legislators are immune from deterrents to the uninhibited discharge of their legislative duty, not for their private indulgence but for the public good. One must not expect uncommon courage even in legislators. The privilege would be of little value if they could be subjected tо the cost and inconvenience and distractions of a trial upon a conclusion of the pleader, or to the hazard of a judgment against them based upon a jury’s speculation as to motives. The holding of this Court in Fletcher v. Peck,6 Cranch 87 , 130 [3 L.Ed. 162 (1810) ], that it was not consonant with our scheme of government for a court to inquire into the motives of legislators, has remained unquestioned.
Plaintiffs’ reliance upon Massey
v. City of Oklahoma City,
Thus, the RICO causes of action against the Town of North Hempstead, the Town Board members, and other Town employees (except Nehrich), in their official and individual capacities must be dismissed. As a RICO cause of action cannot be properly alleged against these defendants, and the other defendants are merely alleged to be associated-in-fact, the enterprise fails and the RICO causes of action must be dismissed. This Court holds that it appears beyond a doubt that the plaintiffs can prove no set of facts in support of a RICO claim which would entitle them to relief.
See Bolt Electric, Inc. v. City of New York,
C. RICO PATTERN
Even if the plaintiffs were able to sustain a RICO cause of action against a proper enterprise, the complaint fails to allege a “pattern of racketeering activity.” Although civil RICO liability requires a showing that the defendant committed a minimum of two predicate acts, establishing a pattern of racketeering activity requires something “beyond simply the number of predicate acts involved.”
H.J. Inc.,
[w]hat is required is that the complaint plead a basis from which it could be inferred that the acts of racketeering activity were neither isolated nor sporadic.
Beauford v. Helmsley,
The Supreme Court described continuity as “both a closed and open-ended concept, referring either to a closed period of repeated conduct, or to past conduct that by its nature projects into the future with a threat of repetition.”
H.J. Inc.,
at 241,
A party alleging a RICO violation may demonstrate continuity over a closed period by proving a series of related predicates extending over a period of time. Predicate acts extending over a few weeks or months and threatening no future criminal conduct do not satisfy this requirement: Congress was concerned in RICO with long-term criminal conduct.
Id.
at 242,
[o]ften a RICO action will be brought before continuity can be established [by alleging predicate acts extending over a substantial period of time]. In such cases, liability depends on whether the threat of continuity is demonstrated.
Id.
(emphasis in original). The Court in
H.J. Inc.
explained that the continuity requirement can be met where the predicate acts establish either explicitly, “a specific threat of repetition extending indefinitely into the future,” or implicitly, by “showing that the predicate acts or offenses are part of an ongoing entity’s regular way of doing business.”
H.J. Inc.,
The Municipal defendants assert that the alleged period of the predicate acts is too brief to constitute closed-ended continuity. (Mun.Defs.Mem. of Law at 6-7.) Plaintiffs assert that the RICO allegations suffice for either closed, or open-ended continuity.
1. Closed-End Continuity
In support of their position that the complaint adequately alleges “closed-end” continuity, the plaintiffs conelusorily assert that the enterprise acted “from in or about mid-1991 through in or about June, 1992.” (Compl. at ¶¶ 78, 91, 100, 101.) This is the broadest period alleged. Allegations of predicate acts contained within a period of one-year or more often fail to establish closed-ended continuity.
See F.N. Wolf & Co. v. Estate of Neal,
Fed.Sec.L.Rep. (CCH) ¶ 95,-805 at 98, 875,
a. Wire Fraud
The sum of plaintiffs’ allegation of wire-fraud is: “said defendants had telephone conversations respecting the illegal terminations of TOWN employees from the middle of 1991 to the latter portion of 1991 ...” (Compl. ¶62), in addition to one other conclusory reference to wire fraud from “June, 1991 to June, 1992.” (Compl. ¶ 100.) Even assuming that the plaintiffs’ time frame is true, wire and mail fraud allegations must still satisfy the Federal Rule 9(b) specificity requirement.
See Hecht v. Commerce Clearing House, Inc.,
b. Extortion
Similarly the complaint fails to properly allege extortion under the Hobbs Act, 18 U.S.C. § 1951, as a predicate act.
10
The plaintiffs’ allegation as to Hobbs Act extortion is wholly devoid of any pleaded facts which give an indication of the vaguest sort as to when the alleged extortion demands occurred, who made them or to whom they were made. (Compl. ¶ 101.) Pleadings which fail to indicate the persons, dates and methods of extortion, and merely parrot the statutory language are plainly inadequate to support a civil RICO predicate act.
Gregoris Motors v. Nissan Motor Corp.,
e. Mail Fraud
Therefore the remaining alleged predicate act which may support plaintiffs’ RICO claims involves the claimed mail fraud. Plaintiffs allege ten (10) acts of mail fraud, all occurring within a four month period of December 12, 1991 to April, 1992. (Compl. at ¶ 95.) Seven of the ten acts occurred on one date, January 28, 1992.
(Id.)
Most significantly however, the complaint sets forth that only
one
of the alleged acts of mail fraud was directed through the mails to a plaintiff; the remaining nine alleged acts comprise eight reports and one letter which were sent to the Nassau Civil Service Commission, a non-par
2. Open-Ended Continuity
If plaintiffs fail to allege closed-ended continuity, to maintain their RICO claims the complaint must suggest open-ended continuity.
See H.J. Inc.,
Plaintiffs argue that the complaint satisfies the open-ended concept of continuity, as an explicit threat of continuing activity. They assert that the defendants’ scheme continues to cause mаny employees of the Town to disavow affiliation with the Republican Party. (Compl. at ¶ 72; Pls.Mem. in Opp’n. at 11.) However such as claim fails to establish the threat of continuing criminal conduct because the concept refers to “past conduct, that by its nature projects into the future with a threat of repetition.”
H.J. Inc.
at 241,
Based on the foregoing, the Court holds that the complaint fails to establish a threat that the “racketeering” activity will continue into the future, because “the alleged predicate acts do not inherently require further criminal activity, and the complaint does not raise an inference that the prohibited conduct is a method of doing business regularly employed by Defendants.”
Center Cadillac, Inc. v. Bank Leumi Trust Co. of New York,
IV. COMMON LAW FRAUD CLAIMS
The defendants move to dismiss the common-law fraud cause of action for failure to
Allegations of fraud must satisfy the particularity requirement of Rule 9(b). A fraud pleading must allege the essential elements of material misrepresentation, knowledge of falsity, intent to defraud, reasonable reliance, and injury.
See Diduck v. Kaszycki & Sons Contractors, Inc.,
The common law fraud cause of action must be dismissed with leave to replead for failure to satisfy the requirements of Rule 9(b). The complaint alleges that the plaintiffs were defrauded by the reason given for the elimination of their positions. The complaint asserts that the defendants reason for the elimination of the positions, a town-wide fiscal crisis, is false. (Compl. ¶¶ 2, 63.) The complaint further alleges that the defendants knew that such representation was false because the defendants subsequently rehired Democrats to fill positions previously held by terminated Republicans. (Compl. ¶ 53.)
However, plaintiffs allegations of fraud are presented in such a “shotgun” fashion, that no reasonable person can piece together the allegations which plaintiffs intend to pursue. Accordingly, plaintiffs, if they be so advised, may replead the seventh cause of action by specifically delineating what paragraphs of the complaint should be considered as containing allegations of fraud. However, the plaintiffs are reminded of their obligation under Federal Rule 11, particularly where it appears that claims are made that persons other than the plaintiffs were hired to fill the positions which were eliminated.
V. MOTION TO DISMISS PLAINTIFF BECKER’S CLAIMS
Defendants move to dismiss all claims on behalf of plaintiff Rhoda Becker, former Commissioner of Planning and Research Development for the Town of North Hempstead. (Mun.Def.Mem. of Law at 22.) Defendants rely on
Regan v. Boogertman,
The Supreme Court has held that it is acсeptable to make political loyalty a requirement in policy-making positions:
representative government [should] not be undercut by tactics obstructing the implementation of policies of the new administration, policies presumably sanctioned by the electorate____ Limiting patronage dismissals to poheymaking positions is sufficient to achieve this governmental end.
Elrod v. Burns,
the question is whether the hiring authority can demonstrate that party affiliation is an appropriate requirement for effective performance of the public office involved.
Id.
at 518,
The position of Commissioner of Planning and Research Development is by appointment of the Town Board. North Hempstead Town Code § 23-7.2(A). The appointment is based upon “administrative experience and qualifications for the duties of such office and such additional standards as may be required by the Town Board.” Id. Defendants analogize Ms. Becker’s former job to a cabinet position. (Mun.Defs.Mem. of Law at 23.)
It is not dispositive of this issue that Becker’s position was not afforded civil service protection, and defined “policymaker” by the defendants.
Regan,
CONCLUSION
The defendants’ motion to dismiss is granted in part and denied in part.
The RICO claims set forth in counts one, two, and three of the complaint are dismissed with prejudice.
The civil rights claims under 42 U.S.C. § 1983, set forth in count three, is sustained against the defendant Town of North Hemp-stead and the defendant Nehrich as an individual, and dismissed as to all other defendants. However, the plaintiffs are granted leave to replead such cause of action against the proper CSEA entity. The § 1983 claims set forth in count five of the complaint are dismissed with prejudice.
The civil rights claim under 42 U.S.C. § 1985(3), set forth in count six of the complaint, is sustained at this time against the defendant Town of North Hempstead and the defendant Nehrich individually, and dismissed as to all other defendants. However, the plaintiffs are granted leave to replead such cause of action against the proper CSEA entity.
The common law fraud cause of action set forth in count seven of the complaint is dismissed with leave to replead.
The defendants’ motion dismiss the remaining civil rights claims of plaintiff Becker is denied. The plaintiffs shall file and serve the amended complaint within twenty (20) days from the date of this order.
SO ORDERED.
Notes
. Defendant pro se Alice Peckelis has not filed a formal motion to dismiss. However, the Court considers the motion on behalf of defendant "Friends of Ben Zwim” as encompassing Peckelis as she is named in her capacity as an officer of that entity only, and not individually.
. With respect to plaintiff Rhoda Becker, however, the complaint does not allege that her position, Commissioner of Planning and Development, was eliminated by resolution, but that her occupancy of this appointed position was not renewed at the end of her term.
. Other courts have recognized the § 1983 First amendment claim despite the defense of elimination of the position by budgetary considerations or legislation, however, they have dismissed the case on summary judgement for failure to meet the burden of proof or on some other basis.
See e.g., Laidley v. McClain,
. Also in
Hollyday v. Rainey,
. The complaint acknowledges that Nehrich “was and is an employee of” the Town. (Compl. at ¶ 25.) However, Nehrich is named as a defendant only as an individual and in his capacity as president of the CSEA local; no allegation against Nehrich pertains to his employment with the Town. Therefore, all discussion with respect to Nehrich will pertain only to the capacities in which he is named in the complaint. Moreover, even if he had been named in his capacity as a Town employee, this aspect of the complaint would most certainly be dismissed because under Monell, the Town could not be liable for his acts on theory of respondeat superior as it is not claimed that he held a policy-making position and thus could not assert any immunity defenses. Nehrich would therefore still be held liable as an individual.
. Subsequent to
Scott,
this Circuit declined to hold that membership in a particular political party does not constitute a basis for protection under § 1985.
Gleason v. McBride,
. The
Nu-Life
case was appealed in
Terminate Control Corp. v. Horowitz,
. The Second Circuit has not directly addressed this issue in either
Terminate Control Corp. v. Horowitz,
. Ironically, the discussion in
Massey
supports the defendants' contention that the Town may not be held liable under civil RICO, although this Court does not rely on the same rationale for the proposition. The
Massey
case was an early decision which held that a municipality is not a "person” under RICO, and thus concluded that a municipality is incapable of forming the requisite criminal intent for predicate acts of racketeering.
This court is aware of no act of the Oklahoma Legislature that granted municipal corporations within this State the power to engage in any kind of activity that could be deemed racketeering. Without power conferred by the legislature, it does not have the capacity to engage in this type of activity and cannot be found to have violated the predicate offenses of § 1962. If its officials did so, their actions were necessarily ultra vires.
Id.
Additionally, the
Massey
court held that public policy demands that a municipality cannot be liable for treble damages under § 1964(c).
Id.
Relying upon
City of Newport v. Fact Concerts, Inc.,
. The Court notes that all allegations of extortion except one (Compl. ¶ 101) are merely incorporated by reference into the pattern of RICO predicate acts, and additionally they do not indicate they are under the Hobbs Act, 18 U.S.C. § 1951. (See Compl. at ¶¶44, 47, 69, 70.)
