Justia U.S. Federal Circuit Court of Appeals Opinion Summaries

The Army issued a solicitation, noting that it intended to award contracts without discussions and that noncompliance with proposal requirements “may result in elimination of the proposal from further consideration. . . Failure to meet a requirement may result in an offeror being ineligible for an award.” The submission was required to include a cost/price proposal that was “fully complete and error free,” with supporting information, including subcontractor information. Orion submitted a proposal on the last possible date, wthout proprietary cost information for five of its eight subcontractors. Eight days later, the Army received packages allegedly containing the missing subcontractor information. The packages were returned unopened. The contracting officer rejected Orion’s proposal and denied a protest. The Army subsequently issued an amendment, notifying offerors in the competitive range that discussions were going to be held and seeking new cost/price proposals. Orion unsuccessfully attempted to resubmit. A second protest was dismissed and the Government Accountability Office affirmed. The Claims Court dismissed, holding that Orion lacked standing to bring a bid protest under 28 U.S.C. 1491(b)(1), and that, on the merits, it was a rational decision to exclude Orion from competition due to the missing information. The Federal Circuit affirmed. View "Orion Tech., Inc. v. United States" on Justia Law

Indian Harbor sought reimbursement under the National Defense Authorization Act of 1993, 106 Stat. 2315, 2371; 107 Stat. 1547, 1745 for environmental cleanup costs associated with the development of the former Marine Corps Air Station Tustin military base in southern California. The Court of Federal Claims determined that Indian Harbor failed to identify a “claim for personal injury or property” that triggered the government’s duty to indemnify and dismissed. The Federal Circuit reversed, relying on the purposes of the Act, to encourage cleanup and redevelopment of former military installations. View "Indian Harbor Ins. v. United States" on Justia Law

In 1968, Lost Tree entered an option to purchase approximately 2,750 acres on Florida’s coast, near Vero Beach, encompassing a barrier island, bisected by the A-1-A Highway, and stretching west to islands on the Indian River. Lost Tree purchased substantially all of the land, including the 4.99-acre “Plat 57” on John’s Island. Through the mid-1990s, Lost Tree developed approximately 1,300 acres into the gated residential community, John’s Island, which includes golf courses, a beach club, a hotel, condominiums, and single family homes. In 2002 Lost Tree first considered development of Plat 57 and applied to the Army Corps of Engineers for a permit under the Clean Water Act, 33 U.S.C. 1344, to fill 2.13 acres of wetland. The Corps denied the application in 2004, reasoning that the parcel as a whole included Plat 57, a neighboring upland plat, and scattered wetlands in the vicinity stating that less environmentally damaging alternatives were available, and that Lost Tree “has had very reasonable use of its land.” The Court of Federal Claims denied takings claim. The Federal Circuit reversed, holding that the court erred in determining the relevant parcel. Plat 57 alone was the relevant parcel: Lost Tree had distinct economic expectations for Plat 57. View "Lost Tree Vill. Corp. v. United States" on Justia Law

In its tax return for the year 1997, ConEd claimed multiple deductions pertaining to a lease-in/lease-out (LILO) tax shelter transaction under which a Dutch utility, EZH, a tax-indifferent entity because it is not subject to U.S. taxation, conveyed to ConEd a gas-fired cogeneration plant that delivers power to customers in the Netherlands, then leased it back, followed by a reconveyance to EZH and a sublease. The stated purpose of the arrangement was tax avoidance. LILO transactions accelerate losses to the taxpayer and defer gains. The transaction provided several upfront deductions that allowed ConEd to pay lower taxes in 1997 (and in later years) than it otherwise would have. The IRS disallowed these claimed deductions and assessed a deficiency of $328,066. ConEd paid the deficiency and filed a refund claim; when this claim was denied, ConEd filed suit. The Claims Court awarded ConEd a full refund. The Federal Circuit reversed, applying the substance-over-form doctrine to conclude that ConEd’s claimed deductions must be disallowed. There was a reasonable likelihood that EZH would exercise its purchase option at the conclusion of the ConEd sublease, thus rendering the master lease illusory. View "Consol. Edison Co. of NY v. United States" on Justia Law

Harris served on active duty in the U.S. Army from 1963 to 1966 and from 1967 to 1970. In 1985, he had a VA Medical Center examination; an “Agent Orange” form associated with that examination indicates that Harris complained of “skin rashes on trunk and arms.” Another form, listing his service in Vietnam, is an “Application for Medical Benefits,” stated that it “will be used to determine your eligibility for medical benefits.” In 2002, Harris, pro se, sought service-connected disability compensation for contact dermatitis and latex allergy. The DVA regional office ultimately granted the claims and assigned an effective date of 2002. Harris sought an effective date of 1985. The Board held that the report of the Agent Orange Registry examination did not constitute a claim. The Veterans Court affirmed The Federal Circuit vacated, stating that pro se filings must be read liberally; the Veterans Court did not apply the proper legal standard for determining whether the Board had correctly determined the earliest applicable date for the claim. View "Harris v. Shinseki" on Justia Law

Judge Abrams was an ALJ with the Social Security Administration since 2001. In 2007 the national office sent regional offices guidelines to facilitate case processing and service delivery. A Collective Bargaining Agreement between SSA and its ALJs provided that the benchmarks were guidelines, and would not be used as a source of any disciplinary or performance action. Later that year a nationwide initiative began to move cases through the process more quickly, with a particular focus on completing cases that were more than 900 days old. Abrams had frequently come to management’s attention due to his difficulty in timely processing cases. Efforts to address this included agreeing to exchange his older cases for newer cases, not assigning new cases or giving him “thin” cases, offering him docket management training, and offering to have his aged cases reassigned; the latter two he refused. After attempts to work with Abrams in 2007-2008, the SSA filed three complaints and sought suspensions for failure to follow instructions. The three complaints were combined, and a hearing was conducted. The ALJ concluded the evidence weighed in favor of removal. The initial decision was affirmed by the full Merit Systems Protection Board and the Federal Circuit. View "Abrams v. Soc. Sec. Admin." on Justia Law

The patent is directed to a carton or box which holds containers such as cans and bottles, having a dispenser-piece with a finger-flap on top for pulling the dispenser-piece either into an open position or fully off of the carton. The Federal Circuit affirmed the Board of Patent Appeals and Interferences’ determinations, on inter partes reexamination that independent representative claims 1, 8, and 13 are invalid as obvious and that dependent representative claims 2, 9, and 14 are not obvious. View "C.W. Zumbiel Co., Inc. v. Kappos" on Justia Law

In 1930, A.A. Milne transferred to Slesinger exclusive merchandising and other rights to Winnie-the-Pooh works in the U.S. and Canada. In 1961, Slesinger exclusively “assigned, granted, and set over to” Disney the rights in the 1930 agreement. A 1983 agreement sought to resolve the parties’ disputes, but Slesinger contends it retained rights in the works, while Disney maintains Slesinger assigned all rights. In 1991, before the present litigation, Slesinger sued in state court, alleging breach of the 1983 agreement. Slesinger acknowledged that the 1983 agreement “regranted, licensed and assigned all rights” to Disney. The action was ultimately dismissed. The dispute continued in federal court. The district court dismissed, noting that the parties’ actions indicated the rights were transferred to Disney in the 1983 agreement. Between 1983 and 2006, Disney registered at least 15 trademarks. In 2004, Disney registered copyrights in 45 works and renewed copyright registrations for another 14. Slesinger did not attempt to perfect or register trademarks or copyrights before asserting its federal claims and never objected to Disney’s registrations until 2006, when the state court dismissed its claims and Slesinger attempted to cancel Disney’s applications and marks. The Federal Circuit affirmed the Board’s dismissal, citing estoppel. View "Stephen Slesinger, Inc. v. Disney Enters., Inc." on Justia Law

The IRS assigned a taxpayer identification number to Crystal Cascades, LLC. The company changed its name to Crystal Cascades Civil, LLC (CCC), but did not notify the IRS and continued using the original number. A Nevada bank made loans to CCC and recorded trust deeds. CCC failed to pay employment taxes in 2003 and 2004. The IRS filed tax lien notices in 2004-2005, under the identification number and directed to “Crystal Cascades, LLC.” In 2005 RHB made loans to CCC. The Nevada bank initiated foreclosure. CCC filed under Chapter 11. RHB argued seniority over the tax liens. During foreclosure, RHB purchased the property. Under I.R.C. 7452(d), the IRS may redeem properties against which it has a valid tax lien. The parties negotiated for RHB to pay $100,000; the IRS released its right of redemption. The bankruptcy court concluded that the lien notices did not impart constructive notice to third parties and awarded RHB surplus sale proceeds. The Ninth Circuit Bankruptcy Appellate Panel affirmed. RHB sought return of the $100,000, asserting that the agreement was void for lack of consideration because the right of redemption was illusory. The Court of Federal Claims held that RHB failed to prove that the IRS acted in bad faith. The Federal Circuit affirmed. View "Rd. & Hwy. Bldrs., LLC v. United States" on Justia Law

In 2001 Fox sought to register a mark having a literal element, consisting of the words COCK SUCKER, and a design element, consisting of a drawing of a crowing rooster. Since 1979, Fox has used this mark to sell rooster-shaped chocolate lollipops, which she “displays . . .in retail outlets in small replicas of egg farm collecting baskets to emphasize the country farmyard motif.” The consumers targeted by Fox’s business are, primarily, fans of teams that have gamecocks as mascots. The Trademark Trial and Appeal Board affirmed refusal by the examiner to register her mark, citing 15 U.S.C. 1052(a). The Federal Circuit affirmed, holding that a mark that creates a double entendre falls within the proscription of the section where, as here, one of its meanings is clearly vulgar. The section’s prohibition on registration of “immoral ... or scandalous matter” includes a mark that is “vulgar.”View "In re: Fox" on Justia Law