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

Articles Posted in Legal Ethics
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Swift sued its lawyers alleging malpractice for failing to file a timely appeal of an adverse judgment in an Arkansas state court action. The court affirmed the district court's grant of summary judgment in favor of the lawyers where there was sufficient evidence to support the jury's verdict; the trial court did not abuse its discretion in admitting evidence of the discovery of disputes or in instructing the jury on spoliation; the trial court did not abuse its discretion in admitting hearsay statements and the statement of a certain witness; and the trial court did not abuse its discretion in permitting demonstrative animation evidence. Accordingly, the Arkansas appellate courts would not have reversed the jury's verdict and, therefore, the lawyers' failure to file a timely appeal did not proximately cause harm to Swift. View "Swift Transportation Co., et al. v. Angulo, Jr., et al." on Justia Law

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Plaintiff filed a lawsuit against his employer, Union Pacific, for injuries he sustained at a railyard operated by Gunderson. Union Pacific filed a third-party complaint for indemnity against Gunderson, and Union Pacific and Gunderson settled with plaintiff, each agreeing to pay half of plaintiff's settlement demand. After settling with plaintiff, Union Pacific and Gunderson proceeded to trial to determine whether Gunderson should also be liable for Union Pacific's half of the settlement. The court affirmed the district court's award to Union Pacific of half of its attorney's fees and costs incurred as of the settlement pursuant to the parties' Track Lease Agreement but denied Union Pacific's motion for additional attorney's fees arising out of the post-settlement indemnification proceedings. View "Rice v. Union Pacific RR Co." on Justia Law

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This case stemmed from a contract dispute between Mountain Valley and Southern. Southern subsequently obtained a judgment against Mountain Valley and, simultaneously, Mountain Valley obtained a judgment against Southern on its counterclaim. Both parties then appealed from the judgment of the district court denying each party attorney's fees and costs for the litigation. The court held that the district court was within its discretion to find that neither party qualified as the prevailing party under Nevada law. Because the court affirmed the denial of attorney's fees to Southern, the court need not discuss Mountain Valley's protective claim for its own attorney's fees. Accordingly, the court affirmed the judgment. View "Southern Wine and Spirits, etc. v. Mountain Valley Spring Co." on Justia Law

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Universal successfully defended a lawsuit brought by a group of cotton farmers in Arkansas state court for damages arising from off-target aerial application of the herbicide known as 2,4-D Amine. Universal then sued several aerial herbicide applicators (collectively, Crop Dusters) who were not parties to the cotton farmers' litigation, seeking to recover its attorney's fees incurred during the cotton farmers' litigation. Because the Crop Dusters owed no duty to Universal, the court affirmed the district court's dismissal of Universal's negligence claim. The court affirmed the dismissal of Universal's Arkansas Deceptive Trade Practices Act (ADTPA), Ark. Code Ann. 4-88-107(a), claim where the alleged conduct failed to fit within the scope of the unconscionable trade practices prohibited by the ADTPA. Because the Arkansas Supreme Court most recently has rejected any cause of action against a third party for attorney's fees incurred in earlier litigation against another party, and in this case there was no duty running from the third party to the plaintiff that would support such a cause of action in any event, the court affirmed the dismissal of Universal's claims based on the third-party-litigation exception to the American Rule and Restatement (Second) of Torts section 914(2). Accordingly, the court affirmed the district court's dismissal of Universal's complaint for failure to state a claim. View "Universal Cooperatives, Inc., et al v. AAC Flying Service, Inc., et al" on Justia Law

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Homeowners challenged the validity of the foreclosure of their home mortgages. The district court dismissed the suit under Rule 12(b)(6). The court affirmed the district court's dismissal of the law firm as fraudulently joined and concluded that the court had subject matter jurisdiction over the appeal because the doctrine of prior exclusive jurisdiction was inapplicable. The court concluded that Homeowners' pleadings mirrored those in Karnatcheva v. JPMorgan Chase Bank, N.A. and affirmed the district court's dismissal. Homeowners have failed to plead factual content that permitted the court to infer more than the mere possibility of misconduct where the pleadings contained nothing but naked assertions that one or more of the named defendants suspected that Wells Fargo lacked legal title to the mortgages yet chose to publish statements to the contrary. The district court was well within its discretion to file sanctions. Accordingly, the court affirmed the district court's judgment. View "Dunbar, et al v. Wells Fargo Bank, N.A., et al" on Justia Law

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James Schottel brought this action under 42 U.S.C. 1983 alleging a state court judge, Judge Patrick Young, violated his constitutional rights by conditioning the grant of his motion to withdraw as counsel on the repayment of a $1,600 retainer to the clients. The district court dismissed the action for lack of subject matter jurisdiction pursuant to the Rooker-Feldman doctrine. The Eighth Circuit Court of Appeals affirmed, holding that because Judge Young's actions were judicial in nature and were not taken in the complete absence of all jurisdiction, Judge Young was entitled to judicial immunity for the claims brought against him in this section 1983 action. View "Schottel v. Young" on Justia Law

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Plaintiff sued the attorney handling his father's estate, asserting diversity jurisdiction and alleging malpractice and constructive fraud. The court affirmed the district court's holding that the matter was not ripe because the estate was still open, no final distribution of the estate had yet taken place, and plaintiff could still assert his rights in probate. Accordingly, the court affirmed the judgment of the district court dismissing plaintiff's complaint without prejudice.

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Plaintiffs filed a complaint and moved for a temporary restraining order and preliminary injunction, alleging section 16, article V, of the Iowa Constitution, as implemented by Iowa Code sections 46.2, 46.4-46.10, and 46.14, violated their Fourteenth Amendment right to equal protection under the laws. The court concluded that the State Judicial Nominating Commission was a "special limited purpose" entity for its sole function was to select the most qualified candidates for judicial appointments and forward the names of these candidates to the Governor for a final appointment. This narrow function had a disproportionate effect on a definable group of constituents - members of the Iowa Bar - over other voters in the state. Therefore, the election of the attorney members of the Commission was an election of special interest. Applying rational basis review, the court agreed that the district court's Iowa system of election for the Commission's attorney members by and from members of the Iowa Bar was rationally related to Iowa's legitimate interests. Therefore, Iowa's system did not violate plaintiffs' rights under the Equal Protection Clause. Accordingly, the court affirmed the judgment.

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Plaintiff commenced this action in federal court alleging that M&K violated multiple provisions of the Fair Debt Collection Practices Act (FDCPA), 15 U.S.C. 1692d-f, by making false statements and misrepresentations in a memorandum filed in the state court action in support of Discover's motion for summary judgment. The complaint also asserted state law claims for malicious prosecution, abuse of process, and the recovery of treble damages for attorney deceit under Minn. Stat. 481.071. Plaintiff subsequently appealed the district court's grant of summary judgment dismissing these claims. The court affirmed the dismissal of the FDCPA claims on the merits where it was not false or misleading to submit a client affidavit and legal memorandum arguing M&K's legal position that plaintiff was liable for the unpaid account balance at issue. The court also affirmed the dismissal of plaintiff's state law claims where plaintiff failed to submit sufficient evidence of intentional fraud and deceit. Accordingly, the court affirmed the judgment.

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Plaintiff sued defendants in Missouri state court, on behalf of a putative class of similarly situated borrowers, alleging that defendants engaged in the unauthorized practice of law in violation of Mo. Rev. State 484.020 when they charged certain fees in the course of refinancing plaintiff's mortgage. Defendants moved the suit to federal court under the Class Action Fairness Act (CAFA), 28 U.S.C. 1332(d) and plaintiff subsequently appealed the district court's judgment. The court held that plaintiff failed to show that she was charged any fees, directly or indirectly, for legal work performed by non-lawyers. Therefore, plaintiff had not shown injury and did not have standing to bring her claim. In light of plaintiff's lack of standing, the district court should have dismissed for lack of jurisdiction rather than reaching the merits of the summary judgment motion. Accordingly, the judgment was affirmed in part, vacated in part, and remanded with instructions that the action be dismissed for lack of jurisdiction.