Chevron U.S.A. Inc. v. United States

72 Fed. Cl. 817, 2006 U.S. Claims LEXIS 268, 2006 WL 2590393
United States Court of Federal Claims·Decided September 7, 2006·No. No. 03-288 C·Published·Cited by 12 cases

Opinion

OPINION AND ORDER

DAMICH, Chief Judge.

This case is one of a series of cases filed in the U.S. Court of Federal Claims pertaining to contracts for jet fuel. Currently before the Court is Plaintiffs’ Motion Pursuant to Rule 56(f) of the Rules of the U.S. Court of Federal Claims (“RCFC”) for additional discovery. The Court DENIES Plaintiffs’ motion, but allows Plaintiffs to refile the motion in accordance with the appropriate standards for a Rule 56(f) motion.

On April 13, 2006, Defendant filed a Motion to Dismiss the Second Amended Complaint. In its motion, Defendant requests that the Court dismiss ¶¶ 47 and 48 of Count I for lack of subject matter jurisdiction pursuant to RCFC 12(b)(1). Def.’s Mot. at 1-2, 31-35. Defendant further asks the Court to dismiss Count I (apart from ¶¶ 47 and 48), as well as Counts II-YII, because Plaintiffs fail to state a claim upon which relief can be granted under RCFC 12(b)(6). Id. at 1-2, 16-31. Alternatively, Defendant asks the Court to grant summary judgment under RCFC 56(b) on all Counts save ¶¶ 47 and 48 of Count I based on the legal theories of waiver or estoppel. Id. at 1, 3, 35-39.

On May 30,2006, Plaintiffs filed a response to Defendant’s motion, along with a Motion Pursuant to RCFC 56(f) to Refuse Defendant’s Application for Summary Judgment or, in the Alternative, for a Continuance to Permit Discovery. Briefing on Plaintiffs’ Motion Pursuant to RCFC 56(f) is now complete. In its motion, Plaintiffs argue that they have “not had an opportunity for discovery on any of [their] claims and, therefore, cannot present facts essential to justify [their] opposition.” Pis.’ Mot. at 1-2. Plaintiffs further contend that they have received no discovery relating to Defense Energy Support Center’s (“DESC’s”) fuel contract files and have not yet obtained “all of the documents [they require], take depositions of key DESC witnesses or obtain any discovery from key third parties.” Id. at 3. Plaintiffs then list the relevant paragraphs of their Second Amended Complaint and of Defendant’s Proposed Findings of Uncontroverted Fact for which they seek additional discovery. Attached to Plaintiffs’ motion is the Declaration of J. Keith Burt, which mirrors the motion in making a general statement regarding the need for additional discovery and listing the relevant paragraphs of the Second Amended Complaint and of Defendant’s Proposed Findings of Uncontroverted Fact.

Summary judgment is inappropriate unless the parties have had adequate time for discovery. Dunkin’ Donuts of America, Inc. v. Metallurgical Exoproducts Corp., 840 F.2d 917, 919 (Fed.Cir.1988) (citing Celotex Corp. v. Catrett, 477 U.S. 317, 326, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986)). When a party files a motion for summary judgment and the nonmoving party has not had the opportunity to discover information essential to oppose the motion, the motion should be denied. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 250 n. 5, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986). The nonmoving party may respond to the motion for summary judgment by filing a motion under RCFC 56(f). RCFC 56(f) provides:

Should it appear from the affidavits of a party opposing the motion that the party cannot for reasons stated present by affidavit facts essential to justify the party’s opposition, the court may refuse the application for judgment or may order a continuance to permit affidavits to be obtained or depositions to be taken or discovery to be had or may make such other order as is just.1

[819]*819Motions for additional discovery under FRCP 56(f) are generally favored and are liberally granted. Theisen Vending Co. v. United States, 58 Fed.Cl. 194, 197 (2003); accord Jade Trading, LLC v. United States, 60 Fed.Cl. 558, 565 (2004); Gregory Lumber Co. v. United States, 9 Cl.Ct. 503, 532 (1986). Nonetheless, in moving for relief under FRCP 56(f), a party must state with precision the material he hopes to obtain with further discovery and how that material will allow the party to oppose summary judgment and rebut any showing of the absence of a genuine issue of fact. Simmons Oil Corp. v. Tesoro Petroleum Corp., 86 F.3d 1138, 1144 (Fed.Cir.1996). “It is not enough simply to assert, á la Wilkins Macawber, that ‘something will turn up.’ ” Id. The Federal Circuit has not set forth factors to be considered in evaluating motions for discovery under RCFC 56(f). In Theisen Vending, however, a five-part test for relief under RCFC 56(f) was established, based on precedent from other circuit courts:

[T]he non-movant must by affidavit and supporting papers: (1) specify the particular factual discovery being sought, (2) explain how the results of the discovery are reasonably expected to engender a genuine issue of material fact, (3) provide an adequate factual predicate for the belief that there are discoverable facts sufficient to raise a genuine and material issue, (4) recite the efforts previously made to obtain those facts, and (5) show good grounds for the failure to have discovered the essential facts sooner.

58 Fed.Cl. at 198; accord Jade Trading, LLC, 60 Fed.Cl. at 565. This Court adopts the test set forth in Theisen Vending.

Defendant, in its response, argues that Plaintiffs’ motion does not meet the standard set forth in Simmons, because Plaintiffs do not state with precision what materials they expect to obtain through additional discovery and how they expect the materials will allow them to rebut Defendant’s motion for summary judgment. The Court agrees that Plaintiffs’ motion does not comply with the standard established in Simmons, and further holds that the motion does not satisfy the test set forth in Theisen Vending. In several footnotes in their reply, Plaintiffs suggest that the additional discovery they require is directed to the issue of intent relevant to Plaintiffs’ allegations of misrepresentation and mistake, and is required to support Plaintiffs’ allegations of minority price preference and small business auction. See, e.g., Pis.’ Reply to Def.’s Mot. at 1 n. 1, 3 n. 4, 4 n. 6, 6 n. 11. It is not clear to the Court, however, how these requests for additional discovery pertain to Defendant’s motion for summary judgment. Plaintiffs’ minority price preference and small business auction causes of action (Count I, ¶¶ 47 and 48) are the subject of Defendant’s motion to dismiss for lack of subject matter jurisdiction pursuant to RCFC 12(b)(1). Plaintiffs’ misrepresentation and mistake causes of action (Counts II and VI) are the subject of Defendant’s motion to dismiss for failure to state a claim pursuant to RCFC 12(b)(6). Discovery is not required for the Court to render a decision on a motion to dismiss based on lack of subject matter jurisdiction or based on failure to state a claim upon which relief can be granted.

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Chevron U.S.A. Inc. v. United States, 72 Fed. Cl. 817, 2006 U.S. Claims LEXIS 268, 2006 WL 2590393 (uscfc 2006).

72 Fed. Cl. 817 (Chevron U.S.A. Inc. v. United States) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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