Alyeska Pipeline Service Co. v. Wilderness Society

421 U.S. 240, 95 S. Ct. 1612, 44 L. Ed. 2d 141, 1975 U.S. LEXIS 108, 5 Envtl. L. Rep. (Envtl. Law Inst.) 20286, 52 Oil & Gas Rep. 1, 7 ERC (BNA) 1849, 11 Empl. Prac. Dec. (CCH) 10,842, 10 Fair Empl. Prac. Cas. (BNA) 826
CourtSupreme Court of the United States
DecidedMay 12, 1975
Docket73-1977
StatusPublished
Cited by4,558 cases

This text of 421 U.S. 240 (Alyeska Pipeline Service Co. v. Wilderness Society) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alyeska Pipeline Service Co. v. Wilderness Society, 421 U.S. 240, 95 S. Ct. 1612, 44 L. Ed. 2d 141, 1975 U.S. LEXIS 108, 5 Envtl. L. Rep. (Envtl. Law Inst.) 20286, 52 Oil & Gas Rep. 1, 7 ERC (BNA) 1849, 11 Empl. Prac. Dec. (CCH) 10,842, 10 Fair Empl. Prac. Cas. (BNA) 826 (1975).

Opinions

[241]*241Mb. Justice White

delivered the opinion of the Court.

This litigation was initiated by respondents Wilderness Society, Environmental Defense Fund, Inc., and Friends of the Earth in an attempt to prevent the issuance of permits by the Secretary of the Interior which were required for the construction of the trans-Alaska oil pipeline. The Court of Appeals awarded attorneys’ fees to respondents against petitioner Alyeska Pipeline Service Co. based upon the court’s equitable powers and the theory that respondents were entitled to fees because they were performing the services of a “private attorney general.” Certiorari was granted, 419 U. S. 823 (1974), to determine whether this award of attorneys’ fees was appropriate. We reverse.

I

A major oil field was discovered in the North Slope of Alaska in 1968.1 In June 1969, the oil companies constituting the consortium owning Alyeska2 submitted an [242]*242application to the Department of the Interior for rights-of-way for a pipeline that would transport oil from the North Slope across land in Alaska owned by the United States,3 a major part of the transport system which would carry the oil to its ultimate markets in the lower 48 States. A special interdepartmental task force studied the proposal and reported to the President. Federal Task Force on Alaskan Oil Development: A Preliminary Report to the President (1969), in App. 78-89. An amended application was submitted in December 1969, which requested a 54-foot right-of-way, along with applications for “special land use permits” asking for additional space alongside the right-of-way and for the construction of a road along one segment of the pipeline.4

Respondents brought this suit in March 1970, and sought declaratory and injunctive relief against the Secretary of the Interior on the grounds that he intended to issue the right-of-way and special land-use permits in violation of § 28 of the Mineral Leasing Act of 1920, 41 Stat. 449, as amended, 30 U. S. C. § 185,5 and without [243]*243compliance with the National Environmental Policy Act of 1969 (NEPA), 83 Stat. 852, 42 U. S. C. § 4321 et seq.6 On the basis of both the Mineral Leasing Act and the NEPA, the District Court granted a preliminary injunction against issuance of the right-of-way and permits. 325 F. Supp. 422 (DC 1970).

Subsequently the State of Alaska and petitioner Alyeska were allowed to intervene.7 On March 20, 1972, the Interior Department released a six-volume Environmental Impact Statement and a three-volume Economic [244]*244and Security Analysis.8 After a period of time set aside for public comment, the Secretary announced that the requested permits would be granted to Alyeska. App. 105-138. Both the Mineral Leasing Act and the NEPA issues were at that point fully briefed and argued before the District Court. That court then decided to dissolve the preliminary injunction, to deny the permanent injunction, and to dismiss the complaint.9

Upon appeal, the Court of Appeals for the District of Columbia Circuit reversed, basing its decision solely on the Mineral Leasing Act. 156 U. S. App. D. C. 121, 479 F. 2d 842 (1973) (en banc). Finding that the NEPA issues were very complex and important, that deciding them was not necessary at that time since pipeline construction would be enjoined as a result of the violation of the Mineral Leasing Act, that they involved issues of fact still in dispute, and that it was desirable to expedite its decision as much as possible, the Court of Appeals declined to decide the merits of respondents’ NEPA contentions which had been rejected by the District Court.10 Certiorari was denied here. 411 U. S. 917 (1973).

Congress then enacted legislation which amended the Mineral Leasing Act to allow the granting of the permits sought by Alyeska11 and declared that no further action [245]*245under the NEPA was necessary before construction of the pipeline could proceed.12

With the merits of the litigation effectively terminated by this legislation, the Court of Appeals turned to the questions involved in respondents’ request for an award of attorneys’ fees.13 161 U. S. App. D. C. 446, 495 F. 2d 1026 (1974) (en banc). Since there was no applicable statutory authorization for such an award, the court proceeded to consider whether the requested fee award fell within any of the exceptions to the general “American rule” that the prevailing party may not recover attorneys’ fees as costs or otherwise. The exception for an award against a party who had acted in bad faith was inapposite, since the position taken by the federal and state parties and Alyeska “was manifestly reasonable and assumed in good faith . . . .” Id., at 449, 495 F. 2d, at 1029. Application of the “common benefit” exception which spreads the cost of litigation to those persons benefiting from it would “stretch it totally outside its basic rationale . . . .” Ibid.14 The Court of Appeals nevertheless held that respondents had acted to vindicate “important statutory rights of all citizens ...,” id., at 452, 495 F. 2d, at 1032; had ensured that the governmental system functioned properly; and were entitled to attorneys’ fees lest the great cost of litigation of this kind, particularly against well-financed defendants such as [246]*246Alyeska, deter private parties desiring to see the laws protecting the environment properly enforced. Title 28 U. S. C. § 241215 was thought to bar taxing any attorneys’ fees against the United States, and it was also deemed inappropriate to burden the State of Alaska with any part of the award.16 But Alyeska, the Court of Appeals held, could fairly be required to pay one-half of the full award to which respondents were entitled for having performed the functions of a private attorney general. Observing that “[t]he fee should represent the reasonable value of the services rendered, taking into account all the surrounding circumstances, including, but not limited to, the time and labor required on the case, the benefit to the public, the skill demanded by the novelty or complexity of the issues, and the incentive factor,” 161 U. S. App. D. C., at 456, 495 F. 2d, at 1036, the Court of Appeals remanded the case to the District Court for assessment of the dollar amount of the award.17

[247]*247II

In the United States, the prevailing litigant is ordinarily not entitled to collect a reasonable attorneys’ fee from the loser.

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Bluebook (online)
421 U.S. 240, 95 S. Ct. 1612, 44 L. Ed. 2d 141, 1975 U.S. LEXIS 108, 5 Envtl. L. Rep. (Envtl. Law Inst.) 20286, 52 Oil & Gas Rep. 1, 7 ERC (BNA) 1849, 11 Empl. Prac. Dec. (CCH) 10,842, 10 Fair Empl. Prac. Cas. (BNA) 826, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alyeska-pipeline-service-co-v-wilderness-society-scotus-1975.