Justia U.S. 6th Circuit Court of Appeals Opinion Summaries

Michigan’s 2012 Public Act 53 provides: “A public school employer’s use of public school resources to assist a labor organization in collecting dues or service fees from wages of public school employees is a prohibited contribution to the administration of a labor organization,” so that unions must collect their own membership dues from public-school employees, rather than have the schools collect those dues via payroll deductions. The Act does not bar public employers other than schools from collecting membership dues for unions who represent their employees. Unions and union members challenged the Act under the First Amendment and the Equal Protection Clause. The district court entered a preliminary injunction barring enforcement. The Sixth Circuit reversed, quoting the Supreme Court: “The First Amendment prohibits government from ‘abridging the freedom of speech’; it does not confer an affirmative right to use government payroll mechanisms for the purpose of obtaining funds for expression.” The court further reasoned that there is a legitimate interest in support of the Act’s classification; the legislature could have concluded that it is more important for the public schools to conserve their limited resources for their core mission than it is for other state and local employers. View "Bailey v. Callaghan" on Justia Law

TracFone provides prepaid wireless phone service primarily through third-party retailers. The Commercial Mobile Radio Service Emergency Telecommunications Board, created by the Kentucky General Assembly to develop an emergency 911 system for wireless customers, sued to collect unpaid fees from TracFone. KRS § 65.7635 requires wireless providers to collect a fee from their customers and remit the money to the CRMS for the cost of maintaining the 911 system. The district court ruled in favor of the Board with respect to the interpretation of the statute but declined to award prejudgment interest on TracFone’s unpaid fees. The Sixth Circuit affirmed, rejecting an argument concerning ambiguity in the statute. TracFone was required to remit fees from the effective date of the statute, regardless of what method it chose. View "KY Commercial Mobile Radio Serv. Emergency Telecommunications Bd. v. Tracfone Wireless, Inc." on Justia Law

Cogent sued, alleging that Hyalogic was disseminating false information regarding Cogent’s product Baxyl, an “oral, liquid HA supplement that is sold into the human natural products market.” Shortly after the filing, the parties entered into a settlement agreement. Cogent moved to enforce the settlement agreement, claiming that Hyalogic caused false and misleading videos to be uploaded to You Tube and by statements made at a conference. The district court found no breach of the settlement agreement and denied the motion. The Sixth Circuit affirmed. The contract unambiguously refers to a clear statement “about the other Party’s product.” Statements that refer to preservatives that can be found in a number of products, including Cogent’s products, are not statements “about the other Party’s products.” View "Cogent Solutions Grp, LLC v. Hyalogic, LLC" on Justia Law

AT&T and Intrado, rival telecommunications carriers, submitted to an arbitration conducted by the Public Utilities Commission of Ohio to determine how to interconnect their networks to service 9-1-1 calls. AT&T insisted that all points of interconnection be on its network, relying on the Telecommunications Act of 1996, 47 U.S.C 251(c), a provision only applicable to incumbent carriers like AT&T. The Commission rejected this request, relied on the general provisions of Section 251(a), and ordered the carriers to establish interconnection points on both AT&T’s and Intrado’s networks. The district court and Sixth Circuit affirmed, rejecting an argument that the Commission exceeded its arbitral authority by applying Section 251(a) because Intrado had petitioned for interconnection only under Section 251(c). The Commission properly interpreted an incumbent carrier’s interconnection duties under the Act. View "OH Bell Tel. Co. v. Pub. Utils Comm'n of OH" on Justia Law

KDMC operates a regional medical center. SEIU is a labor union that represents health care and social service workers and has a collective bargaining agreement with KDMC. In 2010, concerned about the cost of health care for KDMC employees, SEIU launched a two-day robo-call campaign, targeting KDMC, to protest proposals that would shift a larger cost to employees. Residents within KDMC’s service area received calls from an automated system that played a prerecorded voice message criticizing KDMC’s plans in dramatic terms. The message did not disclose that the SEIU was responsible for the call. Call recipients who opted to press “1” during the call were patched through to the direct extension for KDMC CEO Jackson. KDMC alleges that Jackson’s extension received 536 live calls over the two-day period and that the high volume of calls overwhelmed its main trunk lines. KDMC filed suit under the Telephone Consumer Protection Act of 1991, 47 U.S.C. 227. The district court dismissed, holding that the Act does not extend to purposeful calls made by individuals seeking to express an opinion, noting that the calls required a real person to “exercise independent judgment” in order to connect to Jackson. The Sixth Circuit affirmed. View "Ashland Hosp. Corp. v. Serv. Emps. Int'l Union" on Justia Law

In 2008, Dixon, an African-American woman and then-interim Associate Vice President for Human Resources at the University of Toledo, wrote an op-ed column in the Toledo Free Press rebuking comparisons drawn between the civil-rights and gay-rights movements. Shortly thereafter, Dixon was fired. Claiming violations of her First and Fourteenth Amendment rights, Dixon filed a 42 U.S.C. 1983. The district court granted summary judgment to the defendants on all claims. The Sixth Circuit affirmed. The speech of a high-level Human Resources official who writes publicly against the very policies that her government employer charges her with creating, promoting, and enforcing is not protected speech. View "Dixon v. Univ. of Toledo" on Justia Law

American Freedom Defense Initiative is a nonprofit corporation that wanted to place an advertisement on the side of city buses in Michigan. The advertisement read: “Fatwa on your head? Is your family or community threatening you? Leaving Islam? Got Questions? Get Answers! RefugefromIslam.com”. Suburban Mobility Authority for Regional Transportation (SMART), refused to display the advertisement. AFDI sued, claiming a First Amendment violation. The district court granted a preliminary injunction, holding that plaintiffs likely could show that SMART’s decision was arbitrary. The Sixth Circuit reversed. SMART’s policy prohibits: political or political campaign advertising; advertising promoting the sale of alcohol or tobacco; advertising that is false, misleading, or deceptive; advertising that is clearly defamatory or likely to hold up to scorn or ridicule any person or group of persons; and advertising that is obscene or pornographic; or in advocacy of imminent lawlessness or unlawful violent action. The restrictions, which concern a nonpublic forum are reasonable, viewpoint-neutral limits that do not deny AFDI’s First Amendment rights. The injunction would cause substantial harm to others, compelling SMART to post on its buses messages that have strong potential to alienate people and decrease ridership; the public interest would not be served by this preliminary injunction. View "Am. Freedom Def. Initiative v. Suburban Mobility Auth. for Reg'l Transp." on Justia Law

Leyse received a prerecorded telemarketing call from a radio station. He sued, alleging violation of the Telephone Consumer Protection Act of 1991, 105 Stat. 2394, which prohibits certain prerecorded telemarketing calls. The district court dismissed, finding that the Federal Communications Commission had issued regulations exempting the type of call at issue from the TCPA’s prohibitions; that the FCC was authorized by Congress to do so; that the court should defer to the resulting regulation; and that the regulation passed muster under Chevron. The Sixth Circuit affirmed, holding that “Chevron deference” applies to the regulation and that the regulation is valid under Chevron. The court rejected an argument that it lacked jurisdiction under the Hobbs Act. View "Leyse v. Clear Channel Broad. Inc." on Justia Law

Federal officers applied for a warrant to search the offices of Fair Finance in Akron, as part of an investigation into its owner, Durham, who was suspected of employing the company to engage in a Ponzi scheme. A Magistrate granted a warrant and, at the government’s request, sealed the file. Officers executed the search. The warrant and inventory of seized items were placed in the sealed file. Newspapers requested an order unsealing the files, arguing that they had a right of access under common law and the First Amendment. The district court denied the motion. After an indictment issued, the court granted the government’s motion to unseal the face sheet of the warrant, the form application (excluding the affidavit in support of the application), the inventory, two attachments to the warrant and application, the motion to seal the documents, and the order granting that motion. The affidavit filed in support of the warrant application and the docket sheet remained sealed. The newspapers are no longer contesting the sealing of the affidavit. The Sixth Circuit affirmed. The First Amendment right of access does not permit the newspapers to obtain the documents filed in connection with these warrant proceedings.View "In re: Search of Fair Finance " on Justia Law

Park sells art from its gallery, online, by catalog, and by phone, and conducts auctions in different cities and on cruise ships. Franks, CEO of Global Fine Art Registry, published online articles alleging that Park engaged in suspect business practices and sold inauthentic art. Park sued, claiming defamation, tortious interference, interference with prospective business advantage, and civil conspiracy to destroy goodwill and reputation. During trial, the district court gave several warnings and sanctioned Franks’s counsel for failure to honor rulings regarding improper lines of questioning. Despite repeated instances of misconduct, Park did not request a mistrial. The jury returned a verdict in favor of defendants on defamation, tortious interference with business expectancies, and civil conspiracy, but did not find in favor of defendants on counterclaims. The jury found in favor of GFAR on its Lanham Act counterclaim and awarded $500,000.00. The district court decided that the misconduct was serious enough that there was a reasonable probability that the verdict was influenced and granted a new trial. The Sixth Circuit affirmed denial of a motion to reinstate the verdict. Failure to seek a mistrial based on misconduct occurring during the trial did not waive Park’s right to seek a new trial under FRCP 59. View "Park West Galleries, Inc. v. Hochman" on Justia Law