Estate of Kyle Thomas Brennan etc. v. Church of Scientology Flag Service Organization, Inc.

CourtCourt of Appeals for the Eleventh Circuit
DecidedJuly 7, 2011
Docket10-14967
StatusPublished

This text of Estate of Kyle Thomas Brennan etc. v. Church of Scientology Flag Service Organization, Inc. (Estate of Kyle Thomas Brennan etc. v. Church of Scientology Flag Service Organization, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eleventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Estate of Kyle Thomas Brennan etc. v. Church of Scientology Flag Service Organization, Inc., (11th Cir. 2011).

Opinion

[PUBLISH]

IN THE UNITED STATES COURT OF APPEALS

FOR THE ELEVENTH CIRCUIT ________________________ FILED U.S. COURT OF APPEALS ELEVENTH CIRCUIT No. 10-14967 JULY 7, 2011 ________________________ JOHN LEY CLERK D. C. Docket No. 8:09-cv-00264-SDM-EAJ

ESTATE OF KYLE THOMAS BRENNAN, by and through its Administrator, Victoria L. Britton,

Plaintiff - Appellee,

versus

CHURCH OF SCIENTOLOGY FLAG SERVICE ORGANIZATION, INC.,

Defendant - Appellant.

________________________

Appeal from the United States District Court for the Middle District of Florida _________________________

(July 7, 2011)

Before HULL, BLACK and STAPLETON,* Circuit Judges. _____________________ *Honorable Walter K. Stapleton, United States Circuit Judge for the Third Circuit, sitting by designation. STAPLETON, Circuit Judge:

The Church of Scientology Flag Service Organization, Inc. (“Scientology”),

appeals from the District Court’s order permanently enjoining a Florida state court

from sanctioning counsel for the Estate of Kyle Thomas Brennan (“the Brennan

Estate”) for his continued representation of the Brennan Estate in this matter, in

violation of a state court order prohibiting that representation. This appeal

requires us to examine the limits imposed by the Anti-Injunction Act, 28 U.S.C. §

2283, and, more specifically, to decide whether the permanent injunction was

“necessary in aid of [the District Court’s] jurisdiction.” Id. We conclude that it

was not, and we will therefore reverse and vacate the District Court’s injunction.

I.

On February 13, 2009, the Brennan Estate, represented by Kennan Dandar,

Esq., named Scientology as a defendant in a wrongful death action filed in the

United States District Court for the Middle District of Florida (“the Brennan

Action”). The complaint alleged that three Scientology members deprived Kyle

Brennan of his psychiatric medication, and that “while in a mentally deteriorated

state caused by the abrupt denial of his prescription,” he shot and killed himself.

Fourteen months later, on April 12, 2010, Dandar filed an “Involuntary Motion to

Withdraw as Counsel” for the Brennan Estate, explaining that he had “been

2 ordered to withdraw by a state court judge.” (Dkt. 74 at 1.) The motion to

withdraw was denied, and Dandar subsequently persuaded the District Court to

enjoin enforcement of a state court order imposing sanctions on Dandar for failing

to withdraw from the Brennan Action. This appeal followed.

The “state court judge” is Senior Judge Robert Beach of the Circuit Court

for Pinellas County, Florida, who presided over another wrongful death action

brought against Scientology in 2000 (“the McPherson Action”). The McPherson

Action ended in a May 2004 settlement (“the Settlement Agreement”) that also

covered an action in Texas in which Dandar was both counsel and a named party

and adversary of Scientology.

About a month after the Brennan Estate filed its federal wrongful death

action, Scientology filed a motion before Judge Beach to enforce a provision of

the Settlement Agreement which allegedly prohibited Dandar from participating in

any way in any adversarial proceeding against Scientology. Dandar responded by

arguing in his briefing before Judge Beach (1) that the Settlement Agreement did

not foreclose him from representing the Brennan Estate in the Brennan Action;

and (2) that, if it did have that effect, it would be unenforceable because it was in

3 violation of Florida Bar Rule 4-5.6(b) and public policy.1 Judge Beach held that

his court had jurisdiction over the parties to the Settlement Agreement and the

subject matter, that the Settlement Agreement prohibited Dandar’s representation

of the Brennan Estate in the Brennan Action, and that this prohibition was

enforceable. On June 10, 2009, he ordered Dandar to cease representation of all

parties other than the plaintiff in the McPherson Action in all matters against

Scientology. Dandar appealed this order, and Florida’s Second District Court of

Appeal affirmed per curiam and without an opinion. Dandar v. Church of

Scientology, 25 So. 3d 1233 (Fla. Dist. Ct. App. 2009).

1 Florida Bar Rule 4-5.6(b) provides:

A lawyer shall not participate in offering or making: . . . (b) an agreement in which a restriction on the lawyer’s right to practice is part of the settlement of a client controversy.

In 2004, the preamble to the Rules of Professional Conduct of the Florida Bar provided:

The fact that a rule is a just basis for a lawyer’s self-assessment, or for sanctioning a lawyer under the administration of a disciplinary authority, does not imply that an antagonist in a collateral proceeding or transaction has standing to seek enforcement of the rule. Accordingly, nothing in the rules should be deemed to augment any substantive legal duty of lawyers or the extra- disciplinary consequences of violating such duty.

See also Lee v. Dep’t of Ins., 586 So. 2d 1185, 1188 (Fla. Dist. Ct. App. 1991) (“To use rule 4- 5.6 as the basis for invalidating a private contractual provision is manifestly beyond the stated scope of the Rules and their intended legal effect.”)

4 Scientology then filed a motion before Judge Beach to enforce his June 10,

2009, order, and Dandar responded by filing a motion to void the Settlement

Agreement. On February 19, 2010, Judge Beach denied Dandar’s motion to void

the Settlement Agreement. On April 12, 2010, Judge Beach (1) found Dandar in

civil contempt of his order of June 10, 2009, and February 19, 2010; (2) ordered

Dandar to pay Scientology damages in the amount of $50,000; (3) directed Dandar

to immediately file a motion to withdraw in the Brennan Action; and (4) ordered

that if Dandar failed to withdraw from the Brennan Action, a civil penalty of

$1,000 per day would accrue against him and his law firm.

Dandar immediately filed his “Involuntary Motion to Withdraw as Counsel”

in the Brennan Action, noting as follows:

Plaintiff objects to this motion as evidenced in the attached Declaration by Plaintiff’s Administrator, Victoria L. Britton, mother of the decedent. Both she and [Dandar] have exhausted all efforts to find substitute counsel without success. The estate must be represented by counsel. Plaintiff is an innocent third party who will be severely damaged by having no other attorney to take over representation in this case.

(Dkt. 74 at 1-2.) On April 22, 2010, the District Court denied the motion to

withdraw, noting that (1) the Middle District of Florida’s Local Rule 2.03(b)

5 prohibits an attorney from withdrawing from a case without leave of court; (2) the

Brennan Estate “vehemently objects to Dandar’s withdrawing from the case,”

because it “cannot find substitute counsel;” and (3) “[d]espite the state court’s

order[,] . . . Dandar remains a member in good standing of The Florida Bar,

Dandar is able and willing to represent the plaintiff, and the parties identify neither

a conflict of interest nor any other legally cognizable barrier to Dandar’s continued

representation in this matter.” (Dkt. 77 at 1-2.) The Brennan Action thus

proceeded with Dandar as counsel for the Brennan Estate.

On May 6, 2010, however, Judge Beach directed Dandar to appear before

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