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

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The 1949 Federal Property and Administrative Services Act is intended to facilitate the “economical and efficient” purchase of goods and services on behalf of the federal government, 40 U.S.C. 101. In November 2021, the Safer Federal Workforce Task Force, under the supposed auspices of the Act, issued a “Guidance” mandating that employees of federal contractors in “covered contract[s]” with the federal government become fully vaccinated against COVID-19. Ohio, Kentucky, and Tennessee and Ohio sheriffs’ offices sued, alleging that the Property Act does not authorize the mandate, that the mandate violates other federal statutes, and that its intrusion upon traditional state prerogatives raises federalism and Tenth Amendment concerns.The district court enjoined enforcement of the mandate throughout the three states and denied the federal government’s request to stay the injunction pending appeal. The Sixth Circuit denied relief. The government has established none of the showings required to obtain a stay. The government is unlikely to succeed on claims that the plaintiffs lack standing and the plaintiffs likely have a cause of action under the Administrative Procedure Act. The court noted the plaintiff’s concerns about disruptions to the supply chain if workers leave their jobs rather than receiving vaccinations and also stated: Given that expansive scope of the Guidance, the interpretive trouble is not figuring out who’s “covered”; the difficult issue is understanding who, based on the Guidance’s definition of “covered,” could possibly not be covered. View "Commonwealth of Kentucky v. Biden" on Justia Law

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Greene was booked into the Crawford County Jail after having his bond revoked for attending a plea hearing while intoxicated. Over the next four days, Greene began hallucinating and exhibiting other symptoms of delirium tremens, a life-threatening complication of alcohol withdrawal that the Sixth Circuit has recognized as an objectively serious medical need. Greene ultimately suffered acute respiratory failure. He died four days later. Crawford County officials did not provide any medical care to Greene before his incapacitation but only sought a mental health evaluation from a Community Mental Health Authority and purportedly relied on that evaluation in deciding not to seek medical assistance.In a suit under 42 U.S.C. 1983, claiming deliberate indifference to Greene’s medical need and that Crawford County is liable for maintaining an unconstitutional policy of not providing medical care to inmates suffering from delirium tremens, the district court denied qualified immunity at summary judgment to some county officials and denied Crawford County summary judgment. The Sixth Circuit affirmed that the officials were not entitled to qualified immunity. Greene experienced a clearly established life-threatening medical condition for at least two days. The defendants did not provide any medical assistance during that time. The court dismissed Crawford County’s interlocutory appeal for lack of appellate jurisdiction. View "Greene v. Crawford County" on Justia Law

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Long and the Piercys operated a Tennessee quarry. Their agreement was silent as to whether their division of “profit” would be based on gross profit after payment of a royalty or net profit after payment of the royalty plus other costs. Based on the division of labor and respective contributions, Long believed that the four individuals should receive equal shares of the gross profit. When Long complained, the Piercys padlocked him off the property and threatened to call the sheriff, then stopped paying Long. A state court chancellor found that Long was entitled to the difference between what the Piercys had paid him and what Long should have received ($151,670.87) but rejected Long’s claim for lost anticipated profits, declining to find that the Piercys breached the partnership agreement but assessing costs against the Piercys.The Piercys sought Chapter 7 bankruptcy relief. Long initiated adversary proceedings, seeking a declaration that the judgment was nondischargeable under 11 U.S.C. 523(a)(4) for debts incurred by embezzlement, or through defalcation while acting in a fiduciary capacity. The Sixth Circuit reversed the bankruptcy court and district court. Long’s state-court judgment may be declared nondischargeable if Long can produce evidence of wrongful intent. The state-court judgment is unclear as to the basis for its relief and does not preclude a finding of fraud. Under the Tennessee Revised Uniform Partnership Act, partners owe each other fiduciary duties. View "Long v. Piercy" on Justia Law

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In the Bankruptcy Court, Harang sought a declaration that his tax debts were dischargeable, notwithstanding 11 U.S.C. 523(a)(1). The IRS answered the complaint, served discovery requests, moved to compel answers, and eventually sought discovery sanctions, which the Bankruptcy Court imposed, stating that “[f]or all purposes in this case ... the Court will presume ... that the Debtor had sufficient income to pay his tax liabilities ... but consciously chose not to do so.” Later, after holding that a witness “refused to appear for his deposition at the direction of” Harang, the Court entered a second sanctions order with additional factual findings. The Court scheduled the trial for February 16, 2021; on January 21, Harang moved to dismiss the adversary proceeding under Rule 41.The Bankruptcy Court entered an Order of Dismissal with Prejudice, stating: Given the protracted and tortious [sic] history of this case, the court finds it proper to condition the dismissal ... upon the inclusion of its prior factual findings ...[and] that the dismissal should be with prejudice because that was the request of the Plaintiff ... the United States was ready to proceed to trial. The Sixth Circuit Bankruptcy Appellate Panel affirmed. A bankruptcy court has the duty and the discretion to address the misbehavior of parties appearing before it. Rule 41(a)(2) creates needed latitude for courts to exercise that discretion. The Bankruptcy Court did not abuse its discretion by restating earlier, unchallenged factual findings. View "In re Jack Warren Harang" on Justia Law

Posted in: Bankruptcy
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For more than 20 years, Glennborough’s developers and homeowners have sought to change the subdivision’s “ZIP Code” by petitions to the Postal Service, two rounds of litigation, and one settlement. The Glennborough Homeowners Association contends that the Postal Service breached a consent judgment entered as part of the earlier settlement by allowing mail addressed to “Ypsilanti” (rather than “Superior Township” or “Ann Arbor,” two other communities in Washtenaw County) to be delivered to Glennborough. In the consent agreement, the Postal Service agreed to “recognize ‘Superior Township, Michigan 48198’ as an authorized last line” for Glennborough “in place of its current last line of address, ‘Ypsilanti, Michigan 48198.’ In its lawsuit, the Association sought an order requiring the Postal Service to alter Glennborough’s ZIP Code.The Sixth Circuit affirmed the dismissal of the suit, first noting that the Association, not a party to the consent judgment, likely lacked standing. The Association’s alleged “injuries,” concerning property values, distance to a post office, utility connections, and eligibility to attend specific schools, are not related to any issue addressed in the consent order. View "Glennborough Homeowners Association v. United States Postal Service" on Justia Law

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The Ohio National Guard ended its 45-year collective-bargaining relationship with the Union that represents its technicians, who are dual-status employees because their employment is “a hybrid, both of federal and state, and of civilian and military strains.” The Guard announced that it was not bound by the expired collective bargaining agreement (CBA) and that it questioned the applicability of the Federal Service Labor-Management Relations Statute to the technicians, then started terminating Union dues deductions. The Union filed Unfair Labor Practice (ULP) charges with the Federal Labor Relations Authority (FLRA). An ALJ found that the Guard is an “agency” under the Statute, 5 U.S.C. 7103(a)(3), the FLRA had jurisdiction over the Guard, technicians had collective-bargaining rights under the Statute, and the Guard’s actions in repudiating the CBA violated the Statute.The Guard argued that the FLRA cannot regulate state national guards because Congress had not called the militia into service, that its actions were not ULPs, and that the remedies recommended by the ALJ were inappropriate. An FLRA panel adopted the ALJ’s recommended decision. The Sixth Circuit rejected the Guard’s petition for review. The Guard is a federal executive agency in its capacity as the employer of technicians; the FLRA has jurisdiction over the Guard with respect to labor-relations issues under the Statute. It is not unconstitutional for the FLRA to enforce the Statute by issuing orders to state national guards in their role as employers of technicians. View "The Ohio Adjutant General's Department v. Federal Labor Relations Authority" on Justia Law

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In 2014, Detroit Police Officers arrested Jones and others as they demonstrated outside a city water contractor’s facility, blocking the building’s entrance. A police bus took the protestors to a police station. Jones could not board it because he uses a wheelchair, which the bus was not equipped to handle. Officers called for a cargo van, which did not have a wheelchair lift, and lifted Jones into the van; the ceiling height made it difficult for him to sit up straight and the van lacked restraints. An officer braced his feet against the chair to prevent it from moving. Jones claims that the entry into the van and the jostling of the ensuing trip exacerbated existing injuries and damaged his spine. The state declined to prosecute Jones for disorderly conduct.Jones sued the city and police officers in their individual capacities under the Americans with Disabilities Act, 42 U.S.C. 12101, the Rehabilitation Act, 29 U.S.C. 701, with a claim under 42 U.S.C. 1983, arguing that the officers used excessive force. The Sixth Circuit previously granted qualified immunity to the officers with respect to the excessive-force claims and later affirmed summary judgment in the city’s favor on Jones’s failure-to-accommodate claims. Neither the Americans with Disabilities Act nor the Rehabilitation Act permits a claim of vicarious liability. View "Jones v. City of Detroit" on Justia Law

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In November 2021, 5he Occupational Safety and Health Administration (OSHA), the federal agency tasked with assuring a safe and healthful workplace, issued an Emergency Rule on COVID-19 Vaccination and Testing, 86 Fed. Reg. 61402. The rule does not require anyone to be vaccinated but allows covered employers—employers with 100 or more employees—to determine for themselves how best to minimize the risk of contracting COVID-19 in their workplaces. Employers may require unvaccinated workers to wear a mask on the job and test for COVID-19 weekly; they can require workers to do their jobs exclusively from home. Workers who work exclusively outdoors are exempt. The next day, the Fifth Circuit stayed the rule pending judicial review; it renewed that decision in an opinion issued on November 12. Under 28 U.S.C. 2112(a)(3), petitions challenging the rule, filed in Circuits across the nation, were consolidated into the Sixth Circuit, which dissolved the stay issued by the Fifth Circuit. The language of its enabling act plainly authorizes OSHA to act on its charge “to assure safe and healthful working conditions for the nation’s workforce and to preserve the nation’s human resources.” OSHA’s issuance of the rule is not a transformative expansion of its regulatory power, The factors regarding irreparable injury weigh in favor of the government and the public interest. View "In re: MCP No. 165, Occupational Safety and Health Admin., Interim Final Rule: COVID19 Vaccination and Testing, 86 Fed. Reg. 61402" on Justia Law

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Simpson's insurer, the Fund, paid Simpson’s medical costs ($16,225) arising from a car accident. Simpson hired the Firm to represent her in a personal injury suit. The Fund maintained a right of subrogation and reimbursement. Simpson settled her suit for $30,000. After depositing the settlement funds in a trust account, the Firm paid $9,817.33 to Simpson, $1,000.82 to other lienholders, and $10,152.67 to its own operating account for fees and expenses, offering the Fund $9,029.18. The Fund sued under the Employee Retirement Income Security Act (ERISA) section 502(a)(3), claiming an equitable lien of $16,225. The Firm issued a $9,029.18 check to the Fund, exhausting the settlement funds.The district court issued a TRO requiring the Firm to maintain $7,497.99 in its operating account. The Firm argued that the Fund sought a legal remedy because the Firm no longer possessed the settlement funds; ERISA 502(a)(3) only authorizes equitable remedies. The Fund argued that it sought an equitable remedy because the settlement funds were in the Firm’s possession pursuant to the TRO and cited the lowest intermediate balance test: a defendant fully dissipates a plaintiff’s claimed funds (by spending money from the commingled account to purchase untraceable items) only if the balance in the commingled account dipped to $0 between the date the defendant commingled the funds and the date the plaintiff asserted its right to the funds. The district court granted the Firm summary judgment, reasoning that the Firm dissipated the settlement funds before the TRO issued; the Fund could not point to specific recoverable funds held by the Firm and sought a legal remedy. The Sixth Circuit affirmed, concluding that no issues had been preserved for review. View "Sheet Metal Workers' Health & Welfare Fund of North Carolina v. Law Office of Michael A. DeMayo, LLP" on Justia Law

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McCall, who pleaded guilty to a conspiracy charge involving heroin possession and distribution in 2015 and was sentenced to 235 months’ imprisonment, moved for compassionate release. He cited as“extraordinary and compelling circumstances” warranting his release: the COVID-19 pandemic, his rehabilitation efforts, and the Sixth Circuit’s 2019 decision, “Havis” that “attempted” controlled substance offenses do not qualify as predicate offenses for the purpose of the Sentencing Guidelines’ career-offender enhancement and a subsequent holding applying the decision to convictions for conspiracy to distribute controlled substances. He argued that his prior convictions for drug trafficking and assault no longer qualify as predicate offenses for career-offender status, that he has rehabilitated himself, and that the 18 U.S.C. 3553(a) factors favored granting compassionate release. The government argued that McCall raised “generalized fears of contracting COVID-19, without more,” that post-sentence legal developments are not extraordinary, and that McCall poses a danger to the community.The district court denied McCall’s motion in a form order. The Sixth Circuit reversed. The district court suggested that it thought itself unable to rely on nonretroactive changes in sentencing law and abused its discretion by not considering the disparity in McCall’s sentence post-Havis along with his efforts at rehabilitation and the presence of COVID-19. View "United States v. McCall" on Justia Law