Boneta v. American Medical Systems, Inc.

District Court, S.D. Florida·Decided May 21, 2021·No. 0:20-cv-60409·Unknown

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA

CASE NO. 20-CIV-60409-RAR

DEBORAH BONETA, et al.,

Plaintiffs,

v.

AMERICAN MEDICAL SYSTEMS, INC.,

Defendant. _______________________________/

ORDER DENYING DEFENDANT’S MOTION FOR RECONSIDERATION, OR IN THE ALTERNATIVE, FOR CERTIFICATION FOR INTERLOCUTORY APPEAL

THIS CAUSE comes before the Court upon Defendant’s Motion for Reconsideration of this Court’s Order Denying Defendant’s Motion for Summary Judgment, or, in the Alternative, to Certify the Order for Interlocutory Appeal Pursuant to 28 U.S.C. § 1292(b) [ECF No. 145] (“Motion”), filed on March 19, 2021. Having considered the parties’ written submissions, the record, and applicable case law, it is hereby ORDERED AND ADJUDGED that Defendant’s Motion is DENIED as set forth herein. BACKGROUND Plaintiffs Deborah and Diego Boneta seek redress for injuries allegedly caused by Defendant’s vaginal mesh devices. Defendant filed two motions for summary judgment. In the first, Defendant argued that Plaintiffs should be judicially estopped from proceeding on these claims because they failed to disclose the claims as assets in their joint bankruptcy proceeding.1 [ECF No. 68]. In the second, Defendant asserted that Plaintiffs’ claims were barred by the statute

1 Generally, judicial estoppel prevents a party who successfully takes a position in a prior judicial proceeding from intentionally asserting a conflicting position in a subsequent action. See New Hampshire v. Maine, 532 U.S. 742, 750 (2001). of limitations because they accrued more than four years before Plaintiffs filed this lawsuit in December 2015. [ECF No. 96]. On March 10, 2021, the Court denied both motions. Boneta v. Am. Med. Sys., Inc., --- F. Supp. 3d ---, 2021 WL 917871 (S.D. Fla. Mar. 10, 2021) (“Order”). But Defendant takes issue with the Court’s analysis of judicial estoppel. In its Order, the Court held that both parties erroneously cited to the judicial estoppel standard under federal law, which is inapplicable since this action is based solely on the Court’s diversity jurisdiction. Id. at *10 (citing Searcy v. R.J.

Reynolds Tobacco Co., 902 F.3d 1342, 1358 n.7 (11th Cir. 2018)). Instead, Florida’s judicial estoppel standard applies, which, as the Court explained, requires that the party seeking to invoke the doctrine also have been a party in the prior proceeding in which an inconsistent position was successfully maintained—a requirement that does not exist under federal law. Id. at *11 (citing Salazar-Abreu v. Walt Disney Parks and Resorts U.S., Inc., 277 So. 3d 629, 631 (Fla. 5th DCA 2018)). There exists a “special fairness and policy considerations” exception to the mutuality of parties requirement, which comes into play only where a party uses “intentional self-contradiction to obtain an unfair advantage in litigation.” Id. at *12 (citing Osorio v. Dole Food Co., No. 07- 22693, 2009 WL 48189, at *15 (S.D. Fla. Jan. 5, 2009)). Applying Florida law, the Court found that because Defendant was not involved in any

capacity in Plaintiffs’ bankruptcy proceedings, Plaintiffs’ failure to disclose this lawsuit did not prejudice them in any way. Id. at *11-12 (“Florida courts have consistently rejected the application of judicial estoppel to bar claims undisclosed in bankruptcy where the defendant seeking to invoke the doctrine was not involved in any way in the bankruptcy proceedings.”) (collecting cases). Further, based upon an application of Florida law, the Court found insufficient evidence in the record to establish that Plaintiffs intentionally misrepresented the existence of their lawsuit to the Bankruptcy Court, and thus refused to invoke judicial estoppel to bar Plaintiffs’ claims. Id. at *12. Defendant moves the Court to reconsider its holding that Florida law applies on the application of judicial estoppel. Defendant believes that it was not given an opportunity to brief the issue of which law applies, and argues that the Eleventh Circuit “unequivocally” held in Slater v. U.S. Steel Corp., 871 F.3d 1174 (11th Cir. 2017) (en banc) that the federal standard applies for any case involving a prior bankruptcy proceeding. Mot. at 2, 6-9. In the alternative, Defendant asks this Court to certify its Order [ECF No. 144] to the Eleventh Circuit under 28 U.S.C. § 1292(b), seeking review of the following issue: “Whether the federal or state standard for judicial

estoppel should be applied in a case involving a prior bankruptcy proceeding, pending in a later District Court proceeding pursuant to diversity jurisdiction.” Id. at 14. LEGAL STANDARD

Rule 54(b) of the Federal Rules of Civil Procedure provides that a non-final order—i.e., one that does not end the action as to any of the claims at issue—“may be revised at any time before the entry of a judgment adjudicating all the claims and all the parties’ rights and liabilities.” FED. R. CIV. P. 54(b). A district court has broad discretion to reconsider earlier interlocutory rulings under this standard, which, in this circuit, is equivalent to the standard controlling motions to alter or amend judgment under Rule 59(e) or Rule 60(b). Grasso v. Electrolux Home Prods., Inc., No. 15-20774, 2016 WL 2625746, at *1 (S.D. Fla. Mar. 24, 2016) (citing Region 8 Forest Serv. v. Alcock, 993 F.2d 800, 805–06 (11th Cir. 1993)). To balance the competing interests of finality on the one hand and “the public interest in reaching the right result” on the other, id., a party seeking reconsideration must demonstrate the availability of newly-discovered evidence, a manifest error of law or fact, or an intervening change in controlling law. Waite v. All Acquisition Corp., 194 F. Supp. 3d 1298, 1307 (S.D. Fla. 2016). “Clear error or manifest injustice occurs where the Court has patently misunderstood a party, or has made a decision outside the adversarial issues presented to the Court by the parties, or has made an error not of reasoning but of apprehension. Such problems rarely arise[,] and the motion to reconsider should be equally rare.” Kottler v. Gulf Coast Collection Bureau, No. 19- 61190, 2020 WL 3064769, at *2 (S.D. Fla. June 9, 2020) (citation and quotations omitted). Disagreement with the court’s decision, absent a showing of manifest error, is not sufficient to demonstrate entitlement to relief. See Jacobs v. Tempur-Pedic In’tl, Inc., 626 F.3d 1327, 1344 (11th Cir. 2010). Likewise, a motion for reconsideration is not appropriately used as a vehicle to “relitigate

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