Arnold v. Melwani

CourtDistrict Court, D. Guam
DecidedSeptember 20, 2012
Docket1:09-cv-00030
StatusUnknown

This text of Arnold v. Melwani (Arnold v. Melwani) is published on Counsel Stack Legal Research, covering District Court, D. Guam primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arnold v. Melwani, (gud 2012).

Opinion

IN THE DISTRICT COURT OF GUAM

RICHARD T. ARNOLD, ) CV. NO. 09-00030 DAE ) Plaintiff, ) ) vs. ) ) MANU P. MELWANI, et al., ) ) Defendants. ) _____________________________ ) ORDER: (1) DENYING PLAINTIFF’S MOTIONS FOR RECONSIDERATION; (2) DENYING PLAINTIFF’S MOTION TO VACATE Pursuant to Local Civil Rule 7.1(e), the Court finds this matter suitable for disposition without a hearing. After reviewing the motions and the supporting and opposing memoranda, the Court DENIES Plaintiff Richard T. Arnold’s Motions for Reconsideration (docs. ## 114, 123) and DENIES Plaintiff’s Motion to Vacate (doc. # 164). BACKGROUND The instant litigation arises out of a contract dispute between Plaintiff

Richard T. Arnold’s (“Plaintiff”) construction company, Pacific Superior Enterprises Corp., and Defendant Manu P. Melwani over ownership rights to payment on a renovation project for Guam Housing and Urban Renewal Authority (“GHURA”) residential housing units. (Doc. # 19, Ex. A.) On June 14, 1996, GHURA filed an interpleader action, CV887-96, in the Superior Court of Guam to

determine ownership rights to the fees for the renovation. (See “SAC,” Doc. # 124 at 2.) Plaintiff’s dispute with Defendant Manu P. Melawani has spurred over a decade of litigation. Because the Superior and Supreme Courts of Guam have

extensively set forth the factual and procedural history of the conflict, this Court need not restate those facts here. On December 22, 2009, Plaintiff filed the instant action in federal

district court, seeking to recover money related to his dispute with Defendant Melwani that he alleged the Superior Court of Guam had withheld from him in a “fourteen year . . . unconstitutional prejudgment attachment.” (See “Compl.,” Doc. # 1 at 1.) Plaintiff filed his First Amended Complaint (“FAC”) on March 11,

2010. (Doc. # 16.) Early in the litigation, Plaintiff moved for the recusal of Chief Judge Frances Tydingco-Gatewood, which she denied. (See docs. ## 25, 44.) Plaintiff then sought reconsideration of that ruling, which she also denied.

(Docs. ## 46, 58.) He then appealed the order denying reconsideration to the Ninth Circuit, but the action was dismissed for lack of appellate jurisdiction. (See docs. ## 62, 69.)

On March 31, 2011, the Court dismissed the FAC pursuant to Federal 2 Rule of Civil Procedure 12(b)(6) for failure to state a claim. (Doc. # 92.) However, in light of Plaintiff’s pro se status, the Court granted Plaintiff leave to

amend as to Counts I, II and IV of the FAC. (See Doc. # 92.) However, the Court dismissed Count III – in which Plaintiff challenged the legality of certain decisions of the Superior and Supreme Courts of Guam – with prejudice based on the

Rooker-Feldman doctrine and judicial immunity. See id. The Court then entered judgment as to Count III on March 31, 2011. (See doc. # 93.) The Melwani Defendants1 filed a Motion to Amend Judgment on

April 14, 2011, asking that the Court dismiss the entirety of the FAC with prejudice. (Doc. # 95.) Shortly thereafter, on April 27, 2011, Plaintiff filed three motions. First, Plaintiff filed a Motion for Reconsideration of the Court’s prior March 31, 2011 Order dismissing Count III of the FAC with prejudice.

(Doc. # 98.) Second, Plaintiff filed a Motion to Vacate an August 14, 2000 decision of the Superior Court of Guam granting partial summary judgment as well as the final judgment entered in favor of Defendant Melwani on May 8, 2001. (See

doc. # 99.) Third, Plaintiff filed a Motion to Vacate the judgment of the Superior Court of Guam in Special Proceedings Case No. 0057-07. (Doc. # 100.)

1 The Melwani Defendants include Manu P. Melawani, Anita Melwani, Lawrence Melwani, J. Teker, and Robert P. Kutz. 3 Approximately one week later, Plaintiff filed a fourth motion, a Notice of a Constitutional Question, challenging the constitutionality of District of Guam

Local Civil Rule 7.1. (Doc. # 101.) On August 31, 2011, the Court issued an order denying the Melwani Defendants’ Motion to Amend Judgment (doc. # 95) and also denying all four of

Plaintiff’s motions (docs. ## 98-101). (Doc. # 112.) On October 14, 2011, Plaintiff filed a second Motion for Reconsideration of the Court’s March 31, 2011 Order dismissing Count III with

prejudice. (Doc. # 114.) The motion also asked for reconsideration of the Court’s dismissal of Plaintiff’s constitutional question in its August 31, 2011 Order. (Id.) On January 20, 2012, the Melwani Defendants filed an Opposition to the Motion for Reconsideration. (Doc. # 120.) On January 24, 2012, Plaintiff filed a Reply to

Melwani Defendants’ Opposition. (Doc. # 122.) On January 27, 2012, Plaintiff filed a Motion for Reconsideration of the Court’s August 31, 2011 Order denying his Motion for Reconsideration as to

the Court’s dismissal of Count III of the FAC with prejudice (doc. # 98) and denying Plaintiff’s two Motions to Vacate various judgments of the Superior and Supreme Courts of Guam (docs. ## 99, 100). (Doc. # 123.)

Shortly thereafter, on February 10, 2012, Plaintiff filed a Second 4 Amended Complaint (“SAC”). (Doc. # 124.) Because the SAC named her as a defendant, Chief Judge Tydingco-Gatewood recused herself from the instant case

on March 28, 2012. (Doc. # 126.) Subsequently, a group of defendants made up of former members of the Guam judiciary2 brought a Motion to Dismiss and a Motion to Strike the SAC on June 12, 2012. (Doc. # 133.) They also filed a

Motion to Declare Plaintiff a Vexatious Litigant the following day, on June 13, 2012. (Doc. # 135.) A group of defendants comprised of current officers of the Guam judiciary3 substantively joined both motions. (See docs. ## 136-137.) On

August 7, 2012, the Melwani Defendants filed a Motion to Dismiss for Lack of Jurisdiction. (Doc. # 159.) On August 17, 2012, this Court scheduled a hearing on the Motion to Dismiss and Strike SAC (doc. # 133), the Motion to Declare Plaintiff a Vexatious

Litigant (doc. # 135), and the Motion to Dismiss for Lack of Jurisdiction (doc. # 159). (Doc. # 161.) The hearing is set for October 19, 2012. (Id.) Finally, on August 31, 2012, Plaintiff filed a Motion to Vacate the Court’s August 31, 2011

2 The group includes Benjamin Cruz, Frances Tydingco-Gatewood, Joaquin Manibusan, Peter Siguenza, and Mitchell Thompson. 3 The group includes Richard Benson, Michael J. Bordallo, F. Phillip Carbullido, John Manglona, Catherine Maraman, the Superior Court of Guam, the Supreme Court of Guam, and Robert Torres. 5 Order. (Doc. # 164.) On September 14, 2012, the former and current members of the Guam judiciary filed Oppositions to Plaintiff’s Motion to Vacate.

(Docs. ## 166, 167.) On September 18, 2012, the Melwani Defendants filed a Joinder in Opposition to Motion to Vacate. (Doc. # 168.) STANDARD OF REVIEW

Parties may bring motions for reconsideration pursuant to Federal Rules of Civil Procedure 59(e) or 60(b). While the Federal Rules of Civil Procedure do not expressly provide for a “motion for reconsideration,” such a

motion is usually construed as either a Rule 59(e) motion to alter or amend the judgment or a Rule 60(b) motion for relief from a “final judgment, order, or proceeding.” A motion for reconsideration under Rule 59(e) is only granted in

“highly unusual circumstances” when the district court: (1) is presented with newly discovered evidence; (2) has committed clear error; or (3) if there is an intervening change in the controlling law. 389 Orange Street Partners v. Arnold, 179 F.3d 656,

665 (9th Cir. 1999).

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