Justia U.S. 8th Circuit Court of Appeals Opinion Summaries

This case involves a rare procedural maneuver called snap removal. Federated Mutual Insurance Company removed an insurance dispute to federal court before Plaintiff, M & B Oil, Inc., “properly joined and served” one of the Defendants, the City of St. Louis. The question is whether this maneuver eliminates the requirement of complete diversity.   The Eighth Circuit answered no, and vacated the order denying remand and sent the case back for a second look. The court explained that from the beginning, M & B sued two Defendants: St. Louis and Federated. One of them is a fellow Missourian, so there has never been complete diversity. And without complete diversity, there is no “original jurisdiction. Further, the court wrote that snap removal cannot cure a lack of complete diversity. Moreover, the court explained that there is reason to doubt that any fraudulent-joinder argument will succeed now that M & B has amended its complaint to include an inverse condemnation claim against St. Louis. View "M & B Oil, Inc. v. Federated Mutual Insurance Co" on Justia Law

Plaintiff saw Defendant, an officer, pointing a firearm at her 12- and 14-year-old sons down the street from their family’s home. When Plaintiff approached to ask what happened, Defendant repeatedly ordered her to “get back.” After Plaintiff questioned the order, Defendant briefly pointed his taser at her. Plainitff then complied with his orders. Her sons were eventually cleared of any wrongdoing. Plaintiff filed a 42 U.S.C. Section 1983 action against Defendant, claiming he used excessive force. The district court granted summary judgment to Defendant on the claim after concluding he was entitled to qualified immunity. Defendant appealed.   The Eighth Circuit affirmed. The court explained that Defendant was placed in a position where he had two possibly armed suspects detained in front of him and a third unknown individual approaching from behind, creating a potentially serious safety risk. Adding to the circumstances, when Defendant ordered Plaintiff to “get back,” she moved to the side, but she did not immediately comply by moving backward. Rather, she questioned the order and moved sideways. Ordered to get back a second time, she again questioned the order and remained where she was until after the taser was drawn. Accordingly, the court wrote that under the totality of the circumstances, Defendant momentarily pointing his taser at Plaintiff to gain control of the scene was not unreasonable. View "Casondra Pollreis v. Lamont Marzolf" on Justia Law

Louis DeGidio, the father of Plaintiffs, began purchasing, distributing, and servicing Industrial Combustion, LLC’s (“IC”) burners for institutional boiler systems in a sales area including most of Minnesota. IC’s non-exclusive distributors are responsible for installing and servicing the IC burners they sell. In 1996, the family incorporated Louis DeGidio, Inc. (“LDI”) and Louis DeGidio Services, Inc. (“LDSI”). LDI continued purchasing burners from IC. LDSI installed and serviced the burners LDI sold, purchasing replacement parts from IC. The two corporations shared the same location, officers, and shareholders. Plaintiffs were joint 50% shareholders and key officers of both. Whatever written agreement was then in effect is not in the record, but it is undisputed that LDI was the distributor. At issue is whether a manufacturer collects an indirect “franchise fee” within the meaning of the Minnesota Franchise Act if it charges the distributor a price based on the retail price the manufacturer paid a third-party vendor for the parts.   The Eighth Circuit affirmed and agreed with the district court the answer is clearly no, and therefore, the distributorship agreement here at issue was not a franchise. The court further agreed that the manufacturer did not breach an oral implied-in-fact contract and was not barred by promissory estoppel when it terminated the DeGidio sales representative without cause. Applying Minnesota law and reviewing de novo, the court affirmed the grant of summary judgment in favor of IC and its parent company, Cleaver-Brooks, Inc. View "Louis DeGidio, Inc. v. Industrial Combustion, LLC" on Justia Law

This case started more than fifty years ago when Minnie Liddell sued to desegregate the St. Louis public school system. The NAACP joined the lawsuit, and the State of Missouri (among others) became a defendant. The parties struck a deal that lasted until 1999 when they agreed to end Missouri’s remedial obligations. The Missouri Legislature ratified the parties’ settlement agreement and created a charter-school option. A group of charter schools complained to the Missouri Legislature, which altered the funding formula in 2006. The revised formula, part of Senate Bill 287, is what has led to the current dispute. The St. Louis Public School District and one of the plaintiffs asked the district court to enforce the settlement agreement by having Missouri reimburse it for the special-sales-tax revenue it had lost under the new funding formula. The district court sided with Missouri, and both sides appealed. Plaintiffs continued to believe that the St. Louis Public School District should receive all the special-sales-tax revenue. And Missouri argued that the desegregation-spending condition finds no support in the settlement agreement.   The Eighth Circuit affirmed the district court’s judgment but vacated the part requiring charter schools to spend those funds on “desegregation measures.” The court explained that there has been no “disproportionate adverse financial impact” on the St. Louis Public School District because it never had a right to keep all the special-sales-tax revenue for itself. Moreover, the court rejected the argument that allowing charter schools to spend their money as they see fit is inconsistent with the “purpose” of the settlement agreement. View "Deric Liddell v. State of Missouri" on Justia Law

In March 2021, the Camden County Commission voted to ban Plaintiff from county property for one year because he allegedly disrupted and harassed county officials and employees. Plaintiff sued Camden County, the Camden County Commission, and Commissioner (collectively, “Defendants”), claiming that Defendants retaliated against him for exercising his rights under the First Amendment.Defendant sought a preliminary injunction against Defendants and a damages claim against the Commissioner. The District Court granted the preliminary injunction over the Commissioner’s qualified immunity defense, finding that Plaintiff adequately alleged a violation of clearly established rights. However, the court determined Defendants’ appeal of the injunction was moot because it would have expired in March 2022. View "Nathan Rinne v. Camden County" on Justia Law

Zurich American Insurance Company (“Defendant”) insured St. Joe Minerals Corporation (“St. Joe”) and its sole shareholder Fluor Corporation (“Plaintiff”) from 1981 to 1985. St. Joe operated a lead smelting plant in Herculaneum, Missouri. Residents of the town sued Fluor and St. Joe in the early 2000s, claiming that they had been injured by the plant’s release of lead and other toxins.Defendant agreed to defend the companies and paid out $9.87 million. Defendant also contributed more than $25 million to a settlement between St. Joe and the remaining plaintiffs. Plaintiff went to trial, lost in a jury trial, and then settled the claims for $300 million.Defendant filed for declaratory judgment against Plaintiff, who filed a counterclaim alleging bad faith failure to settle. The district court granted summary judgment to Defendant, concluding that the policy limited Defendant’s liability on a per-occurrence basis and that the $3.5 million per-occurrence limit had been exhausted by Defendant’s initial payments. The court also concluded that Defendant did not act in bad faith when it elected not to settle the claims against Plaintiff.The Eighth Circuit reversed the district court’s policy-limits determination and remanded for further proceedings. The court found that an endorsement modified the limits of liability for comprehensive general liability, including bodily injury liability, to be on a per-claim basis. View "Fluor Corporation v. Zurich American Insurance Co." on Justia Law

Plaintiffs, thousands of Peruvian citizens, alleged injury from Doe Run’s lead-mining and smelting complex in La Oroya, Peru. Doe Run, based in St. Louis, Missouri, has operated the complex since 1997. The Renco Group owns Doe Run. Plaintiffs sued in Missouri state court, and Defendants removed the case to the District Court for the Eastern District of Missouri. Defendants submitted a report to the district court about allegedly fraudulent conduct by two former “plaintiff recruiters” in Peru. Defendants sought certain discovery in this case. Plaintiffs opposed these efforts and filed for a protective order to bar the defendants from obtaining discovery from the non-trial-pool Plaintiff. Plaintiffs also filed an emergency motion for a protective order to prohibit Defendants’ Peruvian counsel from participating in witness interviews in the Peruvian criminal investigation, claiming that it would be impermissible ex parte communication. Defendants appealed the grant of Plaintiffs’ emergency motion for a protective order. Plaintiffs then filed a motion to dismiss the appeal for lack of jurisdiction. But they moved to withdraw their motion to dismiss.   The Eighth Circuit granted Plaintiffs’ motion to dismiss for lack of jurisdiction and denied Plaintiffs’ motion to withdraw their motion to dismiss as moot. The court reasoned that though the order is not appealable merely by virtue of its effect on a foreign criminal investigation, it may nevertheless be appealable if it has the practical effect of an injunction and has serious, irreparable consequences. The court concluded that the order does not have that effect. Moreover, Defendants have not demonstrated that it has serious, irreparable consequences. View "Chris Collins v. Doe Run Resources Corporation" on Justia Law

Plaintiff, a former pretrial detainee in the custody of the Ozark County Sheriff’s Department, filed an action pursuant to 42 U.S.C. Section 1983 claiming that Defendants acted with deliberate indifference to Plaintiff’s serious medical needs by denying him prescription medication. Defendants moved for summary judgment on the basis of qualified immunity. The district court denied the motion.   The Eighth Circuit affirmed. The court explained that Plaintiff has sufficiently demonstrated that Defendants were subjectively aware of but disregarded a serious medical need. The facts construed in the light most favorable to Plaintiff show that the “defendants, who are not medical personnel, substituted their controlled substance ‘policy’ and their schedule for administering or failing to administer medication for that of a treating physician.” Further, Defendants failed to administer or misadministered the medication to Plaintiff despite knowing a doctor prescribed them and despite Plaintiff’s repeated requests for his medication. Construing the facts in the light most favorable to Plaintiff, his “right to adequate treatment was clearly established, and the district court properly denied Defendants qualified immunity. View "Tracy Presson v. Darrin Reed" on Justia Law

Plaintiff filed suit against the Board of Regents of the University of Minnesota (University) following the elimination of the University’s men’s gymnastics team. He then sought a preliminary injunction to reinstate the team pending the outcome of the litigation. The district court denied the motion for the preliminary injunction, finding that Plaintiff’s delay in filing for the injunction undermined his claim of irreparable harm and that the other preliminary injunction factors favored the University. Plaintiff appealed the order denying the motion for the preliminary injunction. At issue on appeal is whether Plaintiff has suffered irreparable harm, and second, whether he unreasonably delayed in bringing the claim.   The Eighth Circuit affirmed. The court explained that it has found that “delay is only significant if the harm has occurred and the parties cannot be returned to the status quo.” Here, the men’s collegiate gymnastics season begins in December at the earliest and January at the latest. The goal of a preliminary injunction is “to preserve the status quo until the merits are determined.” Given that the injunction motion was not filed until November 2021 and that the majority of the coaching staff and other gymnasts had left the University by this time, it would have been improbable, at best, for the team to have competed in the 2021–2022 season. Because Plaintiff sought an injunction after it would have been possible “to preserve the status quo,” the court held that the delay was unreasonable and that it consequently defeated Plaintiff’s goal of preventing irreparable harm. View "Evan Ng v. Board of Regents of the U of M" on Justia Law

After (Decedent) died, two of his three adult children brought a pro se diversity action in the District of Minnesota against Defendant, Decedent’s second wife. They asserted multiple claims arising from Defendant’s alleged use of her power as Decedent’s attorney-in-fact to close two Certificates of Deposit and keep funds that Decedent intended would benefit his children. Defendant moved to dismiss, alleging lack of diversity jurisdiction because Decedent’s third child, like Defendant, is a resident of California and is an indispensable, non-diverse party. Defendant filed a second motion to dismiss, arguing that Plaintiffs’ incomplete assignment did not establish diversity jurisdiction. The district court determined it has diversity subject matter jurisdiction and dismissed the FAC claims with prejudice because they fail to state a claim and Plaintiffs are not real parties in interest. Plaintiffs appealed the district court’s dismissal.   The Eighth Circuit affirmed. The court found that the district court properly granted Defendant’s Rule 12(b)(6) motion because Plaintiffs’ FAC failed to state plausible claims of fraudulent misrepresentation and civil theft. Therefore, the court wrote it need not separately consider the district court’s alternative ruling that Plaintiffs are not “real parties in interest” under Rule 17(a). Further, the court concluded the district court did not abuse its discretion in dismissing with prejudice the claims asserted in the FAC. The court explained it does not agree that additional claims regarding Defendant’s use of the CD proceeds after she was done acting as Attorney-in-Fact would necessarily have been futile. But without a proposed amended complaint to consider, the district court did not abuse its discretion by assuming they would be. View "Eric Sorenson v. Joanne Sorenson" on Justia Law