Alimanestianu v. United States

130 Fed. Cl. 137, 2016 U.S. Claims LEXIS 1951, 2016 WL 7488355
CourtUnited States Court of Federal Claims
DecidedDecember 29, 2016
Docket14-704C
StatusPublished
Cited by1 cases

This text of 130 Fed. Cl. 137 (Alimanestianu v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alimanestianu v. United States, 130 Fed. Cl. 137, 2016 U.S. Claims LEXIS 1951, 2016 WL 7488355 (uscfc 2016).

Opinion

Fifth Amendment Taking; Nónfinal Judgment; Property Interest; Settlement and Espousal of Claims Against Libya; Per se Taking’ Regulatory Taking’ Penn Central factors.

OPINION AND ORDER 1

WILLIAMS, Judge.

Plaintiffs in this Fifth Amendment taking case are family members of Mihai Alimanes-tianu, who was killed in 1989, when, in an act of state-sponsored terrorism, the Socialist People’s Libyan Arab Jamairya (“Libya”) bombed United Trans Aeriens Flight 772. Plaintiffs were awarded a nearly $1.3 billion judgment against Libya for the wrongful death of Mihai Alimanestianu. Pugh v. Socialist People’s Libyan Arab Jamahiriya, 530 F.Supp.2d 216, 267-68 (D.D.C, 2008), vacated, Nos. 08-5387, 08-5388, 2009 WL 10461206, at *1 (D.C. Cir. Feb. 27, 2009) (per curiam). Plaintiffs allege that the Government effected a taking by espousing and settling their claims with Libya and obtaining a vacatur of their judgment.

As part of the United States’ settlement with Libya, Plaintiffs’ claims were referred to the Foreign Claims Settlement Commission, and Plaintiffs received compensation of just over $10 million. Because Plaintiffs’ settlement is far less than the $1,3 billion judgment they were awarded in their District Court action, Plaintiffs assert that the United States owes them additional just compensation for taking their property.

This matter comes before the Court on Defendant’s motion for summary judgment and Plaintiffs’ cross-motion for partial summary judgment. Because there are no genuine issues of material fact and Plaintiffs have failed to establish a compensable taking as a matter of law, Defendant’s motion for summary judgment is granted.

Background 2

Plaintiffs are family members of Mihai Ali-manestianu, who was killed in the 1989 explosion of United Trans Aeriens Flight 772 caused by Libya in an act of state-sponsored terrorism. Compl. ¶¶ 10-11. At the time of the explosion in 1989, there was no exception to the Foreign Sovereign Immunities Act (“FSIA”) for state sponsors of terrorism, and Libya was immune from suit in the United States. In 1996, Congress amended FSIA to include an exception permitting claims for money damages for personal injury or death caused by acts of foreign sovereigns desig *140 nated as state sponsors of terrorism. 28 U.S.C. § 1605(a)(7) (1996).

In 2002, Plaintiffs filed suit stemming from Mr. Alimanestianu’s death in the United States District Court for the District of Columbia against Libya and six high-ranking Libyan officials. 3 On January 24, 2008, the District Court granted summary judgment in Plaintiffs’ favor and on August 8, 2008, entered final judgment, awarding Plaintiffs approximately $1.3 billion. 4

The defendants in the Pugh action filed a notice of appeal on August 14, 2008. Pugh v. Socialist People’s Libyan Arab Jamahiriya, Nos. 08-5387, 08-5388 (D.C. Cir.) (consolidated). That same date, “[i]n order to further the process of normalization of relations” the United States entered into a “Claims Settlement Agreement” with Libya. Def.’s App. Al. The objective of the Agreement was to:

(1) Reach a final settlement of the Parties’ claims and those of their nationals (including natural and juridical persons);
(2) Terminate permanently all pending suits (including suits with judgments that are still subject to appeal or other forms of direct judicial review); and
(3) Preclude any future suits that may be taken to U.S. and Libyan courts.

Id.

The Agreement established a humanitarian settlement fund. Id. at A2. The United States deposited $300 million into the fund which was to be used to compensate Libyan victims of United States airstrikes. Libya deposited $1.5 billion into the fund. Id. at A4. The $1.5 billion included “$681 million ..; to ensure fair compensation for the claims of- nationals of the United States for wrongful death or physical injury in those cases described in the Act which were pending against Libya ... as well as other terrorism-related claims against Libya.” Id. at A6. Each country agreed to accept these funds “as a full and final settlement of its claims and suits and those of its nationals,” and each party was required to “[sjecure ... the termination of any suits pending in its courts ... (including proceedings to secure and enforce court judgments), ... preclude any new suits in its courts,” and restore “sovereign, diplomatic and official immunity to the other Party ....” Id. at A2.

In 2008, Congress enacted the Libyan Claims Resolution Act. Pub. L. No. 110-301, 122 Stat. 2999 (2008) (“LCRA”). The LCRA codified the Agreement and provided that, upon the United States’ receipt of funds pursuant to the Claims Settlement Agreement, sovereign immunity would be restored to Libya. Id. The LCRA provided, that the funds had to be sufficient to ensure “fair compensation of claims of nationals of the United States for wrongful death or physical injury ....” Id.

On October 31, 2008, the Secretary of State certified receipt of the Libyan funds, and President George W. Bush issued Executive Order No. 13,477, providing that any pending suit by United States nationals and any pending suit in the United States by foreign nationals within the terms of the Claims Settlement Agreement — “including any suit with a judgment that is still subject to appeal ... shall be terminated.” Pis.’ Mot. Ex. 5, at A99. The State Department established a fund to compensate individuals with wrongful death or personal injury claims against Libya caused by acts of state-sponsored terrorism and provided that the Foreign Claims Settlement Commission would adjudicate and render final decisions on claims of U.S. nationals referred to the Commission by the Secretary of State. 22 U.S.C. § 1623(a)(1)(C) (1998). The Commission was obligated to first apply the “provisions of the applicable claims agreement” and then apply “[t]he applicable principles of international law, justice, and equity.” § 1623(a)(2).

At the time of the Claims Settlement Agreement, the enactment of the LCRA and the referral of claims to the Commission, the appeal in Pugh was proceeding in the United States Court of Appeals for the District of *141 Columbia Circuit. On January 9, 2009, the United States filed a “motion to intervene, vacate judgment, and dismiss [the] suit with prejudice,” arguing that, pursuant to the LCRA, the Claims Settlement Agreement, and Executive Order No. 13,477, U.S. Courts no longer had jurisdiction over terrorism-related claims against Libya. Pis.’ Mot. Ex. 5, at A62-63. In its motion to intervene, the Government stated that it “espoused the terrorism-related claims of U.S. nationals against Libya, including plaintiffs’ claims,” and “made the plaintiffs’ claims its own.” Id. at A63.

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Related

Alimanestianu v. United States
888 F.3d 1374 (Federal Circuit, 2018)

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Bluebook (online)
130 Fed. Cl. 137, 2016 U.S. Claims LEXIS 1951, 2016 WL 7488355, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alimanestianu-v-united-states-uscfc-2016.