Hensley v. United States

Procedural entryThis page is a short order in Hensley v. United States. Read the opinion of the Court — 531 F.3d 1052
Court of Appeals for the Ninth Circuit·Decided July 9, 2008·No. 06-35619·Published

Opinion

FOR PUBLICATION

UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT

PAMELA S. HENSLEY; MICHAEL M.  HENSLEY, husband and wife each of them and their marital community thereof, No. 06-35619 Plaintiffs-Appellees, v.  D.C. No.

CV-04-00302-MJP

UNITED STATES OF AMERICA, as OPINION substituted party for Edward and Jane Doe Eich, Defendant-Appellant.

Appeal from the United States District Court for the Western District of Washington Marsha J. Pechman, District Judge, Presiding

Argued and Submitted

May 8, 2008—Seattle, Washington

Filed July 9, 2008

Before: Susan P. Graber and Johnnie B. Rawlinson, Circuit Judges, and Otis D. Wright II,* District Judge.

Opinion by Judge Graber

*The Honorable Otis D. Wright II, United States District Judge for the Central District of California, sitting by designation.

8314 HENSLEY v. UNITED STATES

COUNSEL

William G. Cole, Attorney, Civil Division, U.S. Department of Justice, Washington, D.C., for the defendant-appellant.

Howard M. Goodfriend, Edwards, Sieh, Smith & Goodfriend, P.S., Seattle, Washington; Lincoln D. Sieler, Mosler, Schermer , Wallstrom, Jacobs & Sieler, Seattle, Washington, for the plaintiffs-appellees.

HENSLEY v. UNITED STATES 8315 OPINION

GRABER, Circuit Judge:

In this negligence action arising from a car accident, we are called upon to decide when the plaintiffs’ claim accrued for purposes of measuring the two-year statute of limitations under the Federal Tort Claims Act (“FTCA”), 28 U.S.C. §§ 1346(b), 2401, 2671-2680. As required by binding precedent , we hold that the claim accrued at the time of the collision and not later when the Attorney General certified that the driver of the other vehicle was acting within the scope of his federal employment at the time of the collision. Accordingly, we reverse the judgment in favor of the plaintiffs and remand with instructions to dismiss the action.

FACTUAL AND PROCEDURAL HISTORY

On November 6, 2000, a car driven by Ensign Edward C. Eich, an active duty commissioned officer in the United States Navy Reserve, struck from behind a car driven by Pamela Hensley, the wife of an active duty Chief Petty Officer in the United States Navy. Mrs. Hensley suffered serious injuries as a result of the collision.

The collision occurred on the grounds of the Whidbey Island Naval Air Station. Although Eich was driving his personal vehicle, he was wearing his Navy uniform at the time of the crash. Mrs. Hensley saw that Eich was in uniform and testified that she knew from seeing the uniform that he was a Navy officer. Military police were called to the scene. An ambulance took Mrs. Hensley to a Navy hospital, where she received treatment.

The military police promptly prepared an incident report. It included the information that Eich was employed as a Navy officer. Mrs. Hensley did not receive a copy of that report. Instead, while at the hospital, she received a “Vehicle Infor-

8316 HENSLEY v. UNITED STATES mation Exchange Sheet” containing Eich’s name and address, along with information about his personal insurance carrier, United Services Automobile Association (“USAA”). That sheet did not identify Eich as a member of the military. A military police officer who visited Mrs. Hensley at the hospital advised her to follow up with Eich’s insurance company.

During the next two years, Mrs. Hensley contacted USAA many times. According to her declaration, USAA told her that she had three years under Washington law to file suit if settlement negotiations proved unproductive.

Mrs. Hensley did not hire a lawyer until August 2003, nearly three years after the accident. Counsel pursued further discussions with USAA. When negotiations failed, the Hensleys filed suit against Eich and his wife in Washington state court on October 24, 2003—less than three years, but more than two years, after the accident.

That action was removed to federal court in early 2004. Following certification that Eich was acting within the scope of his federal employment at the time of the accident, the United States substituted itself for the Eichs pursuant to 28 U.S.C. § 2679(d)(1). The United States also moved to dismiss the Hensleys’ complaint for lack of subject matter jurisdiction.1 Among other reasons,2 the government cited the FTCA’s two-

1 Before the district court ruled on the government’s motion to dismiss, the Hensleys amended their complaint to add claims against USAA for negligent misrepresentation regarding the applicable statute of limitations. On stipulation of the parties, the claims against USAA were dismissed with prejudice, before trial, leaving only the United States as a defendant.

2 The Hensleys did not file an administrative claim before filing suit, as required by 28 U.S.C. § 2675(a). Because we dispose of the case on statute of limitations grounds, we need not reach the interpretive questions that the parties raise concerning the revisions of the Federal Employees Liability Reform and Tort Compensation Act of 1988 (the “Westfall Act”), Pub. L. No. 100-964, §§ 5-6, 102 Stat. 4563, 4564-65 (1988), to 28 U.S.C. § 2679(d)(5), providing that an action that is removed to federal court generally is considered timely if the administrative claim would have been timely had the claim been filed on the date of commencement of the state action.

HENSLEY v. UNITED STATES 8317 year statute of limitations, 28 U.S.C. § 2401(b). In response, the Hensleys argued that the statute of limitations should be equitably tolled because Mrs. Hensley had no reason to think that Eich was acting within the scope of his employment, a military police officer suggested that she contact Eich’s private insurance carrier, and USAA representatives assured her that her claim would be settled after she provided more information .

The district court ruled that the Hensleys’ suit was timely: “[I]f a civil action is instituted within the applicable state limitations period, an FTCA claim does not accrue for limitations purposes until the plaintiff knows or should have known that the alleged tortfeasor was acting within the scope of federal employment . . . .” With respect to the Hensleys’ alternative equitable tolling argument, the district court observed that this “is not an equitable tolling case.”

Following a bench trial, the district court found that Eich had operated his car negligently. The court thus ruled in favor of the Hensleys and awarded them more than $1.5 million. The government timely appealed from the resulting judgment.

STANDARDS OF REVIEW

We review de novo a district court’s interpretation of the statute of limitations under the FTCA, Lehman v. United States, 154 F.3d 1010, 1013 (9th Cir. 1998), and its decision as to whether a statute of limitations bars a claim, Santa Maria v. Pac. Bell, 202 F.3d 1170, 1175 (9th Cir. 2000). The district court’s decision regarding equitable tolling is “generally reviewed for an abuse of discretion, unless the facts are undisputed, in which event the legal question is reviewed de novo.” Id.

8318 HENSLEY v. UNITED STATES DISCUSSION

A. The Hensleys’ Claim Accrued at the Time of the Car Accident.

[1] The FTCA waives sovereign immunity for claims against the federal government arising from torts committed by federal employees who are acting within the scope of their employment. 28 U.S.C. §§ 1346(b)(1), 2679(d)(1). But the statute provides that a tort claim “shall be forever barred” unless it is presented “within two years after such claim accrues.” Id. § 2401(b). As a general rule, a claim accrues “when a plaintiff knows or has reason to know of the injury which is the basis of his action.” Gibson v. United States, 781 F.2d 1334, 1344 (9th Cir. 1986) (internal quotation marks omitted). In addition, as a general rule, ignorance of the involvement of government employees is irrelevant to accrual of a federal tort claim. Dyniewicz v. United States, 742 F.2d 484, 487 (9th Cir. 1984).

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